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Home My WebLink About00127C - PA7 HIGHLAND GATEWAY CV WATER DISTRICT REIMBURSEMENT TAX INCREMENT PASSTHRU • 0 Coachella Valley Water Distr passthru agr for Highland- Gateway, PA#7 AGREEMENT # 127 AGREEMENT FOR COOPERATION Resolution 318, 3-6-85 between THE COACHELLA VALLEY WATER DISTRICT and COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS THIS AGREEMENT is entered into on the 6th day of March 1985, by and between the Coachella Valley Water District (the "District") and the Community Redevelopment Agency of the City of Palm Springs (the "Agency") . R E C I T A L S WHEREAS the Agency proposes to undertake certain redevelopment activities in the Highland-Gateway Redevelopment Project Area pursuant to the Community Redevelopment Law, in the interests of the health, safety, and general welfare of the people of the City of Palm Springs. WHEREAS the Community Redevelopment Law authorizes redevelopment agencies to provide that any taxing agency with territory located within a project area, other than the community which has adopted the project, may receive an amount of money which in the Agency's determination is appropriate to alleviate any financial burden or detriment caused to any taxing agency by a redevelopment project; WHEREAS the parties wish to enter into a cooperative agreement to provide mutual aid and assistance in the redevelopment of the Highland-Gateway Redevelopment Project Area and to alleviate any financial burden or detriment caused to the District by such redevelopment activities; and WHEREAS in considering this Agreement, the Agency has found and determined that it would be appropriate to alleviate any financial burden or detriment caused to the District by the redevelopment activities by providing that the District shall receive a portion of the tax revenues generated within the Highland-Gateway Redevelopment Project Area: C 0 V E N A N T S NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein , the parties agree as follows: ARTICLE I. DEFINITIONS Section 1 .01 Definitions. The words and terms in this Agreement, unless a different meaning clearly appears from the context, shall have the meanings set forth as follows: a. "Agency" shall mean 'the Community Redevelopment Agency of the City of Palm Springs, a redevelopment agency. b. "Base Year" shall mean the tax year in which the assessment roll of the County was last equalized prior to the effective date of the Ordinance adopting the Redevelopment Plan for the Highland-Gateway Redevelopment Project Area, as defined in Section 33670 of the Health and Safety Code. C. "Bonds" shall mean any bonds, notes, interim certificates, debentures or other obligations issued by the Agency, pursuant to Article V of Part I of Division 24 of the Health and Safety Code (commencing with Section 33640) . d. "County" shall mean the County of Riverside, a political subdivision of the State of California. e. "District" shall mean the Coachella Valley Water District, a public agency. f. "District Tax Revenues" shall mean the portion of total tax increment revenues allocated to the District for general fund purposes which amount is determined by multiplying the District's general tax levy, which is currently 3. 31% by the amount of total tax increment revenue. g. "Community Redevelopment Law" shall mean Part I of Division 24 of the Health and Safety Code (commencing with Section 33000) . h. "Fiscal Year" shall mean the period from July 1 to and including the following June 30. i . "Indebtedness" shall mean any principal of and interest on loans, moneys advanced to, or other indebtedness (whether funded, refunded, assumed or otherwise) incurred by the Agency to finance or refinance, in whole or in part, any redevelopment projects identified in the Redevelopment Plan. j. "Ordinance" shall mean the Ordinance enacted by the City Council adopting the Redevelopment Plan for the Highland-Gateway Redevelopment Project Area. k. "Highland-Gateway Redevelopment Project Area" shall mean an area within the City which is a blighted area, the redevelopment of which is necessary to effectuate the public purposes specified ' in the Redevelopment Plan, as shown on a map on file in the office of the Secretary of the Agency. 1 . "Redevelopment Plan" shall mean the plan entitled "Redevelopment Plan, Highland-Gateway Redevelopment Project" prepared by the Agency and adopted by the City for the Highland-Gateway Redevelopment Project Area, pursuant to Sections 33330 et seq. of the Health and Safety Code. M. "Redevelopment Projects" shall mean those projects identified in the Redevelopment Plan or Plans. n. "Redevelopment Activities" shall mean redevelopment set forth in the Redevelopment Plan or Plans which meets the criteria set forth in Section 33678 (b) of the Health and Safety Code. "Total Tax Increment Revenue" shall mean those taxes generated from inceased in the assessed valuation of property within the Highland-Gateway Redevelopment Project Area from and after the effective date of the Ordinance, pursuant to Section 33670 of the Health and Safety Code, prior to fulfilling legally binding obligations to alleviate any financial burden or detriment caused to any taxing agency and after allocating a portion of totl tax increment revenue to the Low and Moderate Income Housing Fund required by Sections 33334.2 and 33334.3 of the California Health and Safety Code. ARTICLE II. ALLOCATION OF TAX REVENUES Section 2.01 Allocation of Tax Revenues. From the total tax increment revenues generated from the Highland-Gateway Redevelopment Project Area each year, the County' s Auditor shall allocate to the District a percentage of the District Tax revenues as follows: a. Twenty percent (20%) of the District Tax Revenue for the first five million dollars of cumulative Total Tax Increment. b. Thirty percent (30%) of the District Tax Revenue for the second five million dollars of cumulative Total Tax Increment ($5,000,001- $10,000,000) . C. Fifty percent (50%) of the District Tax Revenue for the third five million dollars of cumulative Total Tax Increment ($10,000,001- $15,000,000) . d. Sixty percent (60%) of the District Tax Revenue for the fourth five million dollars of cumulative Total Tax Increment ($15,000,001- $20,000,000) . e. Eighty percent (80%) of the District Tax Revenue for the fifth five million dollars of cumulative Total Tax Increment ($20,000,001- $25,000,000) . f. One Hundred percent (100%) of the District Tax Revenue thereafter. -3- Section 2.02 Financing Limitation. As set forth in Paragraph (505) of the Redevelopment Plan, the financing limitations are summarized as follows: a. No loans, advances, or indebtedness to finance in whole or in part the Redevelopment Project and to be repaid from allocation of tax revenues shall be established or incurred by the Agency beyond 25 years from the date of adoption of the Redevelopment Plan, unless such time limitation is extended by amendment of the Redevelopment Plan. However, loans advances, or indebtedness may be repaid over a term longer than said 25-year period. b. From time to time, the Agency may issue bonds for any of its corporate purposes. The Agency may issue bonds on which the principal and interest are payable in whole or in. part from tax revenues. The total outstanding principle of any bonds issued and repayable from tax revenues shall not exceed $50,000,000 constant 1984 dollars at any one time except by amendment of the Redevelopment Plan. Section 2.03 Allocation of Tax Revenues From Project Areas. The parties agree that the allocation of tax revenues under this Agreement shall apply to the Highland-Gateway Redevelopment Project Area of the Redevelopment Plan commencing with the Base Year; and that the provisions of Section 2.01 Allocation of Tax Revenues shall commence in the first fiscal year in which tax revenues are allocated to the Agency. Section 2.04 Alleviation of Financial Burden The parties agree that the amount received by the District pursuant to this Agreement is appropriate to alleviate any financial burden or detriment caused to the District by the implementation of the Redevelopment Plans. ARTICLE III. COSTS AND EXPENSES Section 3.01 Operation and Maintenance Costs. The Agency shall not use tax revenues allocated to the Agency for payment of operation and/or maintenance costs incident to any Redevelopment Project. Section 3.02 Employee and Contractual Services. The Agency may use tax revenues for the purpose of paying for employee or contracted services, provided that such services are directly related to the purposes set forth in Sectionds 33020 and 33021 of the Health and Safety Code and the powers established in the Community Redevelopment Law. ARTICLE IV. GENERAL PROVISIONS Section 4.01 Mutual Assistance. The District will assist the Agency in the planning, financing, acquisition, construction and operation of redevelopment activities undertaken by Agency, in accordance with applicable state and federal law. -4- Section 4.02 Effective Date and Term. This Agreement shall become effective upon the date of execution of this Agreement and shall remain in effect during the term of the Redevelopment Plan. Section 4.03 Severability. Each paragraph and provision of this Agreement is severable from each other provision, and if any provision or part thereof is declared invalid, the remaining provision shall nevertheless remain in full force and effect. Section 4.04 Modification. This Agreement shall not be modified except by written agreement of the parties. Section 4.05 Entire Agreement. This Agreement constitutes the entire, complete and final expression of the agreement of the parties. IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year first above written. CGACHEL.L� VALLEY WATER/ DDISTRICT By P�he dent A?T�S-�: t cr tart' _ COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS° B Chairman ATTEST: APPROVED AS TO FORM �yC Secretary r t /Ctforne Y Da e (SEAL) APPROVEF) 13`Y' ""i'; C01"IM$, LAITY REDEV, AGENCY BY RES. Ho. --F/r ?- -5- RESOLUTION OF THE BOARD OF DIRECTORS OF COACHELLA VALLEY WATER DISTRICT 1 RESOLUTION NO. 85-49 2 BE IT RESOLVED by the Board of Directors of the Coachella Valley 3 Water District assembled in regular meeting this 12th day of February, 1985, 4 that the President or Vice President and Secretary are hereby authorized to 5 execute on behalf of. this District, an "Agreement for Cooperation between 6 the Coachella Valley Water District and Community Redevelopment Agency of 7 the City of Palm Springs" for the Highland-Gateway Redevelopment Project 8 Area. 9 * is is >l• ,Y * & * k 10 11 12 13 14 15 16 17 18 19 STATE OF CALIFORNIA ) COACHELLA VALLEY WATER DISTRICT ) as. 20 OFFICE OF THE SECRETARY ) 21 I, BERNARDINE SUTTON, Secretary of the Board of Directors of the 22 Coachella Valley Water District, DO HEREBY CERTIFY that the foregoing is a 23 full, true and correct copy of Resolution No. 85-49 adopted by the Board of 24 Directors of said District at a regular meeting thereof duly held and 25 convened on the 12th day of February, 1985, at which meeting a quorum of 26 said Board was present and acting throughout. 27 Dated this 12th day of February, 1985. 28 \ 29 Secretary of the Coachella Valley Water District and of the Board 30 (SEAL) of Directors thereof. 1 31 32