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HomeMy WebLinkAbout00322C - RIVERSIDE CO CANYON PROJECT AREA PASSTHRU County of Riverside . Canyon Redev Proj Area Pass-Thru Agr AGREEMENT #322C R910, 12-23-93 SETTLEMENT AND COOPERATION AGREEMENT-...-..,.., -- - THE COUNTY OF RIVERSIDE, THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, AND THE CITY OF PALM SPRINGS THIS AGREEMENT is entered into as of 30th day of December, 1993 , by and between the COUNTY OF RIVERSIDE (the "County" ) , the CITY OF PALM SPRINGS (the "City") , and the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS (the "Agency") . WHEREAS, City and Agency, by Ordinance No. 1388, dated July 19, 1991 have, pursuant to California Community Redevelopment Law (California Health and Safety Code Sections 33000 et . seq. ) , adopted the Redevelopment Plan for the Canyon Redevelopment Project, (the "Project" ) ; and WHEREAS, County is an affected taxing entity which has general purpose ad valorem property taxes levied on its behalf on all of the property located within the project area; and WHEREAS, County, City and Agency have determined that it is appropriate to alleviate any financial burden or detriment caused to the County by the Project; and WHEREAS, City an Agency are willing to alleviate said financial burden by authorizing payments of money to be used for maintaining and improving County services which will benefit the Project and the immediate area in which the Project is located; or acquiring, constructing or improving capital facilities to be used, in whole or in part, to service and benefit the Project; and P92\394\014084-0022\2077741.5 01/06/94 -1- WHEREAS, County, City and Agency wish to enter into a settlement and cooperation agreement to provide mutual aid and assistance in the redevelopment of certain areas of City and to ensure that County services and facilities are maintained and improved in the Project and the immediate area in which the Project is located; and WHEREAS, County, City and Agency desire to resolve and settle, once and for all times, all past, present or future claims, disputes or causes of action, both real or potential, arising against Agency and City in relationship to the Project . NOW, THEREFORE, in consideration of the promises and covenants contained herein, the parties agrees as follows : Section 1 . Definitions (a) "County" shall mean the County of Riverside, a political subdivision of the State of California. (b) "City" shall mean the City of Palm Springs, a municipal corporation. (c) "Agency" shall mean the Community Redevelopment Agency of the City of Palm Springs . (d) "Project" shall mean the specific project area and redevelopment activities as set froth in the Canyon Redevelopment Plan. (e) "Tax Increment" shall mean that portion of ad valorem property taxes resulting from the increase in assessed valuation in the Project Area, as defined in section 33670 of the Health and Safety Code. "Tax Increment" shall refer to the 1% levy allowed PS2\394\014084-0022\2077741.5 01/06/94 -z- under Article XIIIA of the Constitution of the State of California, and shall not include those taxes levied in excess of the 1% general levy. (f) "County' s Share" shall mean twenty-seven point one two percent (27 . 120) of the Tax Increment . (g) "Fiscal Year" shall mean the period from July 1 to and including the following June 30 . Section 2 . Distribution of Tax Increment (a) Commencing in the 1992-93 fiscal year, and in each fiscal year thereafter, County shall receive seventy-five (75) percent of the County' s share derived from the Project for such fiscal year. (b) Whenever the cumulative allocation of the twenty-five percent (25a) of the County' s Share which Agency has retained pursuant to subsection (a) above, equals or exceeds $15, 000, 000, the County shall, beginning in the next fiscal year, receive one hundred (100) percent of County' s Share from the Project . Section 3 . Tax Increment Limit County' s Auditor/Controller or other official responsible for the administration of property taxes shall be authorized to pay amounts required hereunder directly to the County. Amounts paid by Agency to County, pursuant to this section, shall not count against the limit on the total amount of Tax Increment to be allocated to the Agency for the Project . Section 4 . Dismissal of Litigation (a) County shall cause to be dismissed, with prejudice, in P52\394\014094-0022\2077741.5 01/06/94 -3- its entirety, Riverside County Superior Court Case No. Indio 64715 as a condition precedent to the performance by the Agency of any of its obligations under this agreement . (b) County hereby waives any and all causes of action, cases, claims, counts, actions, and/or complaints related to, and agrees not to challenge the validity of the Plan, or the ordinance adopting the Plan and/or the validity, on the grounds of the invalidity of the Plan, of bonds to finance or refinance in whole or in part the Plan, including, without limiting the generality of the foregoing, the legality and validity of all proceedings heretofore taken or in any way connected with the designation of the survey area, the Project Area, the formulation of the Preliminary Plan, the adoption of the Plan, and the formulation and certification of the Environmental Impact Report and other environmental documents for the Plan. (c) County acknowledges it is familiar with Section 1542 of the Civil Code of the State of California, which provides : "A general release does not extend to claims a creditor does not know or suspect to exist in his favor at the time of executing the release which if known by him must have materially affected his settlement with the debtor. " County hereby waives and relinquishes any rights and benefits which it may have under Section 1542 of the Civil Code of the State of California to the full extent that County may lawfully waive such rights . County hereby releases defendants in the above-titled action, Case No. Indio 64715, from all claims and causes of actions by reason of any damages which have been sustained, or which may be sustained, as a result of the Plan. (d) By agreeing to the provisions of this Section 4, County F52\394\014084-0022\2077741.5 01/06/94 -4- does not waive the right to dispute the validity of any future amendments to the Plan or the adequacy of any environmental documents related to any such future amendments to the Plan, and/or the right to challenge any illegal implementation of the Plan; provided however, in the event Agency and City, for the purpose of providing land for or assistance for the development or construction of school facilities, including but not limited to classrooms and administrative facilities, amend the Plan (including but not limited to by adding area to the Project Area) , District expressly agrees to waive any rights it may have to challenge such amendment . (e) In the event and to the extent that the Property Tax Increment, or any portion thereof is withheld or not paid to Agency by reason of the pendency or filing of any cause of action, cases, claims, events, actions and/or complaints by any other public or private person or entity against the Plan, or environmental documents prepared and certified pursuant thereto, Agency' s responsibility for making or directing any payment otherwise required by this Agreement may, at Agency' s sole discretion, accrue and be paid to County without interest when and if available at the conclusion of litigation. The time for Agency' s performance under this Agreement shall be excused for the duration of such litigation. Section 5 . Agency Indebtedness Agency' s obligations hereunder to make payment for the benefit of County shall constitute an indebtedness of Agency within the meaning of California Health and Safety Code Section 33670 . PS2\394\0140M.0022\2077741.5 01/06/94 -5- Section 6 . Books and Records Each party shall, within thirty (30) days after receipt of written request from the other, make available for review or audit its books and records regarding payments referenced in this agreement . Section 7 . City and Agency Obligations City shall have no financial obligation or liability by virtue of or pursuant to this agreement . Agency shall have no obligation or liability by virtue of or pursuant to this Agreement except for payments of Tax Increment paid to County as provided hereinunder. Agency agrees not to issue any bonds that would impair the ability of Agency to make the payments to County described in this Agreement . Agency agrees to notify County prior to any such bond issuance, and to allow County the opportunity to object on the grounds that Agency' s proposed issuance would impair Agency' s ability to pay County the amount due under this agreement . Section 8 . Repeal of Section 33676 (b) Resolutions Within sixty (60) days of executing this agreement, County shall repeal any resolution it has adopted pursuant to Health and Safety Code section 33676 (b) regarding the Project . Section 9 . Allocation of Special Taxes Irrespective of Section 8 above, County shall be allocated, in addition to the portion of taxes allocated pursuant to subsection (a) of Section 33670 of the Health and Safety Code and Section 2 of this agreement, all or any portion of the tax revenue that would otherwise be allocated to the Agency pursuant to Subdivision (b) of PS2\394\014084-0022\2077741.5 01/06/94 -6- # # Section 33670 that is attributable to increases in the rate of tax imposed for the benefit of County in addition to the basic one percent (11) tax levy which increase in rates or levy occurs after the 1990-91 tax year. Section 10 . Modification and Termination If after this Agreement is executed, the State of California enacts laws or policies in conflict with all or any portion of this Agreement, County, City and Agency may mutually agree to excuse performance of all or any portion of this Agreement . In the event the Ordinance adopting the project or any section or portion of this Agreement shall be held, found or determined to be unenforceable or invalid for any reason whatsoever, the remaining portions shall remain in effect, and the parties hereto shall take further actions as may be necessary and available to effectuate the intent of the parties as to all provisions set forth in this Agreement . Section 11 . Joint Defense of Agreement County, City, and Agency agree to jointly defend against any lawsuit, not filed by a party to this agreement, challenging he validity of any or all of the provisions contained herein. Section 12 . Effective Date This Agreement shall become effective as of the date first above written after execution by all parties, and shall remain in effect during the life of the Project . PS2\394\01408"22\2077741.5 01/06/94 -7- 0 0 Section 13 . Entire Agreement This agreement constitutes the entire, complete and final expression of agreement between the parties . In Witness Whereof, the parties have executed this Agreement as of the day and year first above written. F 0,-fae0 �e s� b gn ATTEST: ✓ ��101�6"Ir ,0 Clef Of The rd Chairman, Board of Supervisor-e €Po Patricia A. Lamm ice... FJiZ��n"Li � "Fl .`-1�27/1,l �LiLx��/�✓� Cit�� erk Mayor, City of Palm Springs Ccgy� Secret ary Community Redevelopment Agency of the City of Palm Springs APPROVED By THE COMMUNITY REDEV. ..e, nYYHUvtL' AGENCY SY RES. MO. �'/O i� -.3.3-ci`3 OUNTV COUNSEL C � ,3 APPROvFr) By THE-CMY COUNCIL BY RES. i4¢7._i �d�y a-�3 s73 PS2\394\014084-0022\2077741.5 01/06/94 -8-