HomeMy WebLinkAbout0223C - PSUSD - TAX INCREMENT PASSTHRU COOPERATION AGR PSUSD Coop Agr - Use of
PA9 Tax Increment Funds
AGREEMENT #223
R658, 11-1-89
AGREEMENT FOR COOPERATION BETWEEN PSUSD - PA9 Tx Incr Passthru
THE PALM SPRINGS UNIFIED SCHOOL DISTR City co-signed
THE COMMUNITY REDEVELOPMENT AGENCY OF AGREEMENT #2788A
CITY OF PALM SPRINGS , AND THE Motion 11-1-89
CITY OF PALM SPRINGS
1 . PARTIES AND DATE
1 . 1 THIS AGREEMENT ENTERED INTO IN THE CITY OF PALM
SPRINGS , COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, THIS /off DAY
OF Yjiti; .y,✓, ✓, 1989 BETWEEN THE PALM SPRINGS UNIFIED SCHOOL DISTRICT,
A PUBLIC AGENCY (DISTRICT) , AND THE COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS, A PUBLIC BODY (AGENCY ) AND THE CITY OF
PALM SPRINGS , A MUNICIPAL CORPORATION (CITY ) .
2. RECITALS
2. 1 WHEREAS AGENCY IS PROPOSING TO UNDERTAKE A PROGRAM
UNDER THE CALIFORNIA COMMUNITY REDEVELOPMENT LAW (HEALTH AND SAFETY
CODE SECTION 33000 ET SEW KNOWN AS REDEVELOPMENT PROJECT AREA # 9
(PROJECT) FOR THE REDEVELOPMENT, DEVELOPMENT, REPLANNING AND
REDESIGN OF BLIGHTED AREAS WITHIN THE CITY.
2 . 2 WHEREAS THE DISTRICT IS IN RECEIPT OF ORDINANCE NO.
1321 ADOPTED BY THE CITY COUNCIL OF THE CITY OF PALM SPRINGS ,
CALIFORNIA, ON DECEMBER 29 , 1988 AUTHORIZING THE REDEVELOPMENT OF AN
AREA WITHIN THE TERRITORIAL LIMITS OF THE CITY OF PALM SPRINGS BY
THE REDEVELOPMENT AGENCY FOR THE CITY OF PALM SPRINGS.
2. 3 WHEREAS AS DEFINED IN SECTION 33353. 2, THE DISTRICT
IS AN AFFECTED TAXING ENTITY WHICH HAD BONDED INDEBTEDNESS AND
GENERAL PURPOSE PROPERTY TAXES LEVIED ON ITS BEHALF BY THE COUNTY
OF RIVERSIDE ON ALL OF THE PROPERTY LOCATED IN THE PROPOSED
REDEVELOPMENT PROJECT AREA IN FISCAL YEAR 1988-89.
2 . 4 WHEREAS THE CALIFORNIA COMMUNITY REDEVELOPMENT LAW
AUTHORIZED REDEVELOPMENT AGENCIES TO PAY TO ANY TAXING AGENCY WITH
TERRITORY LOCATED WITHIN A PROJECT AREA OTHER THAN THE COMMUNITY
WHICH HAS ADOPTED THE PROJECT, ANY AMOUNTS OF MONEY WHICH IN THE
AGENCY DETERMINATION IS APPROPRIATE TO ALLEVIATE ANY FINANCIAL
BURDEN OR DETRIMENT CAUSED TO ANY TAXING AGENCY BY A REDEVELOPMENT
PROJECT.
2 . 5 WHEREAS DISTRICT AND AGENCY RECOGNIZE THE NEED TO
PROVIDE ADEQUATE PUBLIC SCHOOL FACILITIES TO SERVE THE PROJECT OR
THE IMMEDIATE NEIGHBORHOOD IN WHICH THE PROJECT IS LOCATED IN ORDER
TO ASSIST IN ELIMINATING BLIGHTING CONDITIONS AND HAVE DETERMINED
THAT SUCH FACILITIES, BOTH IN AND OUT OF THE PROJECT AREA, ARE OF
PRIMARY BENEFIT TO THE PROJECT AREA OR THE IMMEDIATE NEIGHBORHOOD
IN WHICH THE PROJECT IS LOCATED AND THAT REDEVELOPMENT FINANCING IS
THE ONLY MEANS OF FINANCING ALL OR A PORTION OF THE REHABILITATION,
CONSTRUCTION, AND RECONSTRUCTION OF SUCH PUBLIC SCHOOL FACILITIES
IN CONJUNCTION WITH OTHER AVAILABLE DISTRICT FINANCING.
2. 6 DISTRICT HAS SUBMITTED OBJECTIONS AND HAS
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SUBSTANTIATED BY DATA AND INFORMATION SUBMITTED TO THE AGENCY THE
EXTENT AND SCOPE OF THE PROJECT'S FINANCIAL IMPACT ON THE DISTRICT.
2. 7 DISTRICT AND AGENCY WISH TO ENTER INTO A COOPERATIVE
AGREEMENT BETWEEN THEMSELVES '170 PROVIDE MUTUAL AID AND ASSISTANCE
IN THE REDEVELOPMENT, DEVELOPMENT AND PHYSICAL IMPROVEMENTS OF
CERTAIN AREAS OF THE PROJECT AREA THROUGH THE CONSTRUCTION AND
INSTALLATION OF PUBLIC SCHOOL FACILITIES, BUILDINGS AND STRUCTURES
OR OTHER IMPROVEMENTS INCLUDING PLANNING AND ENGINEERING COSTS
DIRECTLY RELATED TO SUCH CONSTRUCTION AND INSTALLATION, HEREINAFTER
COLLECTIVELY REFERRED TO AS "PUBLIC SCHOOL FACILITIES" , AND AGENCY
AND DISTRICT HAVE A COMMON INTEREST IN AND WISH TO FACILITATE
REDEVELOPMENT AND TO PROVIDE FOR THE COOPERATION OF DISTRICT AND
AGENCY IN CARRYING OUT THE REDEVELOPMENT ACTIVITIES, GOALS AND
OBJECTIVES SET FORTH IN THE REDEVELOPMENT PLAN.
2. 8 IT IS THE INTENT AND DESIRE OF THE DISTRICT AND
AGENCY TO EXPEDITE AND FACILITATE THE IMPLEMENTATION OF ELIGIBLE
PROJECTS BY THE DISTRICT WHICH ARE INSIDE OR OUTSIDE THE PROJECT
AND WHICH PRIMARILY BENEFIT SAID PROJECT AND THE GOALS AND
OBJECTIVES OF THE REDEVELOPMENT PLAN. TO THIS END AND IN
ACCORDANCE WITH ITS POLICIES, RULES , AND REGULATIONS , THE DISTRICT
WILL EXPEND THE REVENUES PAID TO IT PURSUANT TO THIS AGREEMENT FOR
THE EFFECTIVE IMPLEMENTATION OF THE REDEVELOPMENT PLAN, ITS GOALS
AND OBJECTIVES.
NOW THEREFORE IN CONSIDERATION OF THE FOREGOING AND
THE MUTUAL PROMISES AND COVENANTS CONTAINED HEREIN, THE PARTIES
HERETO AGREE AS FOLLOWS :
3 . TERMS
3 . 1 FIFTY PERCENT ( 50% ) OF ALL TAXES ATTRIBUTABLE TO THAT
AREA WITHIN THE TERRITORIAL LIMITS OF THE DISTRICT RESULTING FROM
AN INCREASE IN THE ASSESSED VALUATION OF THE PROJECT AREA OVER THE
BASE YEAR WHICH WOULD OTHERWISE HAVE BEEN LEVIED UPON TAXABLE
PROPERTY IN THE PROJECT AREA BY OR FOR THE BENEFIT OF THE DISTRICT
AND WHICH ARE ALLOCATED TO AGENCY PURSUANT TO SECTION 33670 (b)
(TAX INCREMENT) SHALL BE PAID BY AGENCY INTO A TRUST FUND TO BE
ADMINISTERED BY AND FOR THE EXCLUSIVE BENEFIT OF THE DISTRICT AND
DESIGNATED AS THE "PALM SPRINGS PUBLIC SCHOOL TRUST FUND"
HEREINAFTER CALLED "FUND" .
PAYMENTS INTO THE FUND SHALL BE SUBJECT TO THE
PROVISIONS OF SECTION 3 . 8 OF THIS AGREEMENT WHEREBY AN AMOUNT NOT
TO EXCEED 20 % OF THE_P �' e ,y1FUND MAY BE USED BY THE AGENCY TO
SATISFY THE REQUIREMENTS OF I� ALTH AND SAFETY CODE SECTION 33334 . 2
FOR LOW AND MODERATE INCOME HOUSING.
EXHIBIT "A" ATTACHED IS A SAMPLE OF THE CALCULATION
REFERENCED IN 3 . 1 AND 3 . 8 AND IS MADE A PART OF THIS AGREEMENT FOR
INTERPRETIVE PURPOSES.
3 . 2 THE PROCEEDS OF THE "FUND" INCLUDING ACCRUED
INTEREST SHALL BE TO PAY THE PRINCIPAL OF AND INTEREST ON LOANS,
MONEY ADVANCED TO, OR INDEBTEDNESS, (WHETHER FUNDED, REFUNDED,
ASSUMED OR OTHERWISE) INCURRED BY DISTRICT TO FINANCE OR REFINANCE,
IN WHOLE OR IN PART, THE REHABILITATION,CONSTRUCTION OR
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I
'RECONSTRUCTION OF NEW EXISTING PUBLIC SCHOOL FACILITIES AND FOR
ANY OTHER PURPOSE ENUMERATED IN SECTION 3 .3 . 1 . WHEN THE ANNUAL
DEBT SERVICE FOR SUCH LOANS , ADVANCES AND INTEREST THEREOF, HAVE
BEEN PAID IN ANY ONE YEAR, ALL MONIES THEREAFTER RECEIVED FROM
TAXES IN THAT YEAR IN ACCORDANCE WITH SECTION 3 . 1 OR ANY LESSER
PORTION THEREOF AGREED TO BY THE PARTIES, ATTRIBUTABLE TO DISTRICT,
UPON THE TAXABLE PROPERTY WITHIN THAT PORTION OF SUCH REDEVELOPMENT
PROJECT INCLUDED WITHIN THE TERRITORIAL LIMITS OF DISTRICT SHALL
CONTINUE TO BE PAID TO "FUND" PURSUANT TO THIS AGREEMENT.
3 . 3 THE SCHOOL DISTRICT SHALL ANNUALLY ADOPT A BUDGET
AND A CAPITAL IMPROVEMENT PROGRAM SETTING FORTH THE REHABILITATION,
CONSTRUCTION, RECONSTRUCTION OR OTHER ACTIVITIES BEING UNDERTAKEN.
THE DISTRICT SHALL SUBMIT ITS BUDGET PLAN TO THE AGENCY IN
ACCORDANCE WITH THE "CRITERIA FOR USE OF FUND" ENUMERATED IN
SECTION 3 . 3 . 1 AND THE AGENCY SHALL APPROVE OF THE BUDGET AS LONG AS
THE BUDGET PLAN ADHERES TO THE CRITERIA ESTABLISHED IN SECTION
3 . 3 .1 AND IS IN CONFORMANCE WITH THE REDEVELOPMENT PLAN. SUCH
APPROVAL PROCESS SHALL INCLUDE FINDINGS THAT THE BUDGET AND
PROJECTS ARE IN CONFORMANCE WITH THE GOALS , OBJECTIVES AND INTENT
OF THE REDEVELOPMENT PLAN AND THIS AGREEMENT.
THE DISTRICT AGREES TO CONSTRUCT, INSIDE OR OUTSIDE
THE PROJECT AREA, FACILITIES NECESSARY TO HOUSE STUDENTS AT SUCH
TIME AS ENROLLMENT PROJECTIONS INDICATE THAT SUCH FACILITIES ARE
NECESSARY AND AT SUCH TIME AS BOND FUNDS OR OTHER FUNDING FOR SUCH
CONSTRUCTION IS PROVIDED BY PLEDGING TAX INCREMENT FOR PAYMENT OF
BONDED OR OTHER INDEBTEDNESS .
3 . 3 . 1 CRITERIA FOR USE OF FUND
THE PROCEEDS OF THE FUND SHALL BE UTILIZED FOR THE
FOLLOWING PURPOSES , OR AS HEREINAFTER MAY BE AGREED UPON BETWEEN
THE DISTRICT AND THE AGENCY:
1 . REHABILITATION, CONSTRUCTION AND/OR RECONSTRUCTION OF:
A. PERMANENT OR TEMPORARY CLASSROOMS ,
B . GYMS , ATHLETIC OR RECREATIONAL FACILITIES,
AND POOLS,
C. LIBRARY, AUDITORIUM AND SCHOOL SITE
ADMINISTRATION FACILITIES,
D. DISTRICT ADMINISTRATIVE OFFICE, MAINTENANCE AND
WAREHOUSING FACILITIES, AND BUS MAINTENANCE
FACILITIES ,
E. OFF SITE PUBLIC IMPROVEMENTS SUCH AS SIDEWALKS
CROSSWALKS LIGHTS, CURBS, GUTTERS AND STREETS,
F. LANDSCAPING, IRRIGATION AND LIGHTING AND
G. OTHER ANCILLARY FACILITIES AND EQUIPMENT
APPURTENANT TO A SCHOOL FACILITY TO MAKE SUCH
FACILITIES OPERABLE.
2 . ACQUISITION OF PROPERTY FOR PUBLIC SCHOOL
FACILITIES , DISTRICT ADMINISTRATIVE AND OTHER
SUPPORT SERVICES.
3 . DESIGN,PLANNING, ADMINISTRATIVE AND ENGINEERING COSTS
EQUIVALENT TO NOT MORE THAN 20% OF THE ACQUISITION,
REHABILITATION, CONSTRUCTION OR RECONSTRUCTION COST
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OF THE SPECIFICALLY DESIGNATED PROJECT.
3 .4 THE MONIES REQUIRED TO BE PAID INTO THE FUND BY THIS
AGREEMENT SHALL BE PAID TO FUND NOTWITHSTANDING ANY AGENCY BOND
RESOLUTION OR INDENTURE PROVIDING FOR THE ISSUANCE TO TAX
ALLOCATION BONDS , OR OTHER FORMS OF INDEBTEDNESS INCURRED BY AGENCY
UNDER THE COMMUNITY REDEVELOPMENT 'LAW INCLUDING REVENUES TO BE
DISTRIBUTED TO OTHER AFFECTED TAXING ENTITIES TO ALLEVIATE ANY
FINANCIAL BURDEN OR DETRIMENT CAUSED BY AGENCY 'S PROJECT, EXCEPT AS
MAY THEREAFTER BE MUTUALLY AGREED UPON.
3 . 5 THAT PORTION OF TAXES WHICH ARE TO BE ALLOCATED TO
AGENCY PURSUANT TO SECTION 33670 (b) AND WHICH ARE TO BE PAID TO
THE FUND PURSUANT TO SECTION 3 . 1 SHALL BE ALLOCATED AND PAID TO THE
FUND NO LATER THAN THIRTY (30 ) DAYS AFTER TAXES ARE ALLOCATED AND
PAID TO AGENCY BY THE RIVERSIDE COUNTY AUDITOR OR OFFICER
RESPONSIBLE FOR THE DISBURSEMENT OF TAXES .
3 . 6 THE DISTRICT SHALL BE ALLOCATED, IN ADDITION TO 'THE
PORTION OF TAXES ALLOCATED PURSUANT TO SUBDIVISION (a ) OF SECTION
33670 AND SECTION 3 . 1 OF THIS AGREEMENT, ALL OR ANY PORTION OF THE
TAX REVENUES ALLOCATED TO AGENCY PURSUANT TO SUBDIVISION (b) OF
SECTION 33670 ATTRIBUTABLE TO INCREASES IN THE RATE OF TAX IMPOSED
FOR THE BENEFIT OF THE DISTRICT WHICH LEVY OCCURS AFTER THE TAX
YEAR IN WHICH 'THE ORDINANCE ADOPTING THE REDEVELOPMENT PLAN BECOMES
EFFECTIVE.
3.7 SPECIAL BONDED INDEBTEDNESS TAXES FOR EXISTING DEBT
SERVICE ATTRIBUTABLE TO THAT AREA WITHIN THE TERRITORIAL LIMITS OF
THE DISTRICT WHICH WOULD HAVE OTHERWISE BEEN LEVIED UPON TAXABLE
PROPERTY IN THE PROJECT AREA BY OR FOR THE BENEFIT OF THE DISTRICT
AFTER THE EFFECTIVE DATE OF ORDINANCE NO. 1321 WHICH WOULD HAVE
BEEN ALLOCATED TO AGENCY PURSUANT TO SECTION 33670 (b ) SHALL
CONTINUE TO BE COLLECTED BY THE COUNTY OF RIVERSIDE AND WHEN SO
COLLECTED SHALL BE ALLOCATED AND PAID TO THE DISTRICT AND SHALL BE
USED TO PAY THE PRINCIPAL OF AND INTEREST OF EXISTING BONDED
INDEBTEDNESS . WHEN SUCH INDEBTEDNESS , IF ANY, AND INTEREST
THEREOF, HAS BEEN PAID, ALL MONIES THEREAFTER RECEIVED FROM TAXES
ATTRIBUTABLE TO THE DISTRICT UPON THE TAXABLE PROPERTY WITHIN THAT
PORTION OF SUCH REDEVELOPMENT PROJECT INCLUDED WITH THE TERRITORIAL
LIMITS OF PROJECT SHALL BE ALLOCATED PURSUANT TO SECTION 33670 .
3 . 8 TAX INCREMENT ALLOCATED TO DISTRICT BY AGENCY UNDER
THIS AGREEMENT SHALL INCLUDE ALL ALLOCATIONS OF SUCH TAX INCREMENT
EXCEPT THAT AN AMOUNT NOT TO EXCEED 20% OF FUNDS COLLECTED PURSUANT
TO SECTION 3 . 1 WILL BE DEDUCTED FROM THE FUND FOR THE PURPOSE OF
SATISFYING THE REQUIREMENTS OF HEALTH AND SAFETY CODE SECTION
33334. 2. TAX INCREMENT PAYMENTS REDUCED TO DISTRICT UNDER THIS
SECTION SHALL BE INCREASED PROPORTIONALLY IN THE EVENT AGENCY
REDUCES OR ELIMINATES THE DEPOSIT OF TAX INCREMENT TO AGENCY'S LOW
AND MODERATE INCOME HOUSING FUND.
3 . 9 THE DISTRICT SHALL BE ALLOCATED, IN ADDITION TO THE
PORTION OF TAXES ALLOCATED PURSUANT TO SECTION 33670 AND SECTION
3 . 1 OF THIS AGREEMENT, ALL OR ANY PORTION OF THE TAX REVENUES
ACCRUED FOR BENEFIT OF THE DISTRICT PURSUANT TO SECTION 33676
ATTRIBUTABLE TO INCREASES IN THE ASSESSED VALUE DUE TO CERTAIN
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REASSESSMENTS OF PROPERTIES .
4 . 0 MONIES INCLUDING INTEREST ACCRUED, OTHERWISE
REQUIRED BY THIS AGREEMENT TO BE PAID TO DISTRICT BY AGENCY MAY BE
RETAINED IN WHOLE OR PART BY AGENCY UPON REQUEST OF DISTRICT. SUCH
FUNDS INCLUDING INTEREST SHALL BE ALLOCATED BY AGENCY TO THE FUND
AND SHALL BE USED TO PAY ON BEHALF OF THE DISTRICT THE PRINCIPAL OF
AND INTEREST ON LOANS , CONSTRUCTION PROJECTS , MONEY ADVANCED TO, OR
INDEBTEDNESS (WHETHER FUNDED, REFUNDED, ASSUMED OR
OTHERWISE)INCURRED BY AGENCY TO FINANCE OR REFINANCE IN WHOLE OR
PART, THE PROJECTS SET FORTH IN SECTION 3 . 3 OF THIS AGREEMENT.
4 . 1 IF AFTER THIS AGREEMENT IS EXECUTED, THE STATE OF
CALIFORNIA ENACTS LAWS OR POLICIES TO CONFLICT WITH ALL OR ANY
PORTION OF THIS AGREEMENT, THE AGENCY AND DISTRICT MAY MUTUALLY
AGREE TO EXCUSE PERFORMANCE OF ALL OR ANY PORTION OF THIS
AGREEMENT. IN THE EVENT ANY SECTION OR PORTION OF THIS AGREEMENT
SHALL BE HELD, FOUND OR DETERMINED TO BE UNENFORCEABLE OR INVALID
FOR ANY REASON WHATSOEVER, THE REMAINING PROVISIONS SHALL REMAIN IN
EFFECT, AND THE PARTIES HERETO SHALL TAKE FURTHER ACTIONS AS MAY BE
NECESSARY AND AVAILABLE TO THEM TO EFFECTUATE THE INTENT OF THE
PARTIES TO ALL PROVISIONS SET FORTH IN THIS AGREEMENT.
4. 2 IF EITHER PARTY COMMENCES LITIGATION AGAINST THE
OTHER FOR THE PURPOSE OF DETERMINING OR ENFORCING ITS RIGHT
HEREUNDER OR FOR MONEY DAMAGES FOR A BREACH HEREOF OR FOR OTHER
EQUITABLE RELIEF RELATED HERETO, THE PREVAILING PARTY SHALL BE
ENTITLED TO RECEIVE FROM THE LOSING PARTY, ATTORNEY FEES IN AN
AMOUNT DETERMINED BY THE COURT, TOGETHER WITH COSTS REASONABLY
INCURRED IN PROSECUTING OR DEFENDING SUCH ACTION.
4. 3 DISTRICT AND AGENCY MUTUALLLY AGREE TO ASSIST EACH
OTHER IN THE IMPLEMENTATION OF THE REDEVELOPMENT PLAN IN ACCORDANCE
WITH APPLICABLE STATE AND FEDERAL LAWS. DISTRICT AND AGENCY SHALL
SUPPLY TO ONE ANOTHER SUCH INFORMATION AND REPORTS AS FROM TIME TO
TIME EITHER MAY REQUIRE TO UNDERTAKE THEIR RESPECTIVE OBLIGATIONS .
EXHIBIT A
PALM SPRINGS UNIFIED SCHOOL DISTRICT
AND THE REDEVELOPMENT AGENCY OF
THE CITY OF PALM SPRINGS
SAMPLE OF PASS-THROUGH CALCULATION
Given:
1 ) Current Year Assessed Valuation $1, 100,000
2 ) Base Year Assessed Valuation $500,000
3 ) Tax Growth From Base Year $600,000
4 ) Tax Increment Generated (Approx. 1%) $ 6, 000
5 ) Amount Generated by District (Approx . 30%) $ 1 , 800
6 ) 40% Distribution to District $ 720
7 ) 40% Distribution to Agency $ 720
8 ) 20% Low/Moderate Income Housing $ 360
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CITY OF PALM SPRINGSL�
DATED 10 �Z°Oe� MAYOR �1
ATTEST:
CITY CLERK —
� ��B l tivlt'.-�ww
COMMUNITY RED ELOPMENT AGENCY OF THE CITY OF
PALM
`S/PRI S
DATED (� C' CHAIRMAN ✓V
ATTEST:
SECRETARY
PALM SPRINGS UNIFIED SCHOOL DISTRICT
10-10-89
DATED PRESIDENT ,
ATTEST: / . / Minna Maryanoj�
SECRETARY W
Wilber D. Hawkins
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