HomeMy WebLinkAbout2/20/2002 - STAFF REPORTS DATE: February 20, 2002
TO: Community Redevelopment Agency
FROM: Director of Finance &Treasurer/Director of Redevelopment
REPAYMENT AND RELENDING OF CRA LOANS
RECOMMENDATION:
It is recommended that the Community Redevelopment Agency approve the following loan
repayments and new loans (at 6% interest)from the General Fund, effective March 1, 2002.
Loan Repay New Loan
Merged Area#1 Debt Service $616,785
Merged Area#1 Capital Project $616,785
Merged Area#2 Debt Service $100,000
Merged Area#2 Capital Projects $100,000
SUMMARY:
This is a "housekeeping" item to transfer cash to the Merged Area#1 and#2 Capital Project Funds
from the Merged Areas #1 and #2 Debt Service Funds, via a repayment of loans to and reloaning
of funds from the General Fund.
BACKGROUND:
State rules governing Redevelopment accounting do not allow transfers between project areas or
even between a single project area's debt service fund and capital projects fund. If a project area's
capital projects fund has a negative cash balance and its debt service fund has positive cash
balance, the simplest way to "transfer" cash between the two funds is to repay an existing loan and
make a new loan. That is the situation in the proposed budget amendment resolutions.
The purpose of all these loans is to cover projected negative cash balances in the Capital Projects
Funds and to fund the appropriation for the Desert Shadows Project. The net indebtedness of the
CRA project areas remain the same. The net effect on the General Fund is zero.
The attached resolutions amending the budget accomplish the necessary tracking t comply with
thee accounting rules. /
Thomas M. Kanarr John RAymond
Director of Finance &Treasurer bipedor of Redevelopment
APPROVED
David H. Ready
Executive Director
Attachments: Resolutions
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE
BUDGET FOR THE 2001-02 FISCAL YEAR.
WHEREAS Resolution 1126 approving the budget for the fiscal year 2001-02 was adopted
on June 6, 2001; and
WHEREAS the Executive Director has recommended, and the Agency desires to approve,
certain amendments to said budget;
NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record
inter-fund cash transfers as required in accordance with this Resolution, and that Resolution
1126, adopting the budget for the 2001-02 fiscal year is hereby amended as follows:
SECTION 1. ADDITIONS
FUND Activity Account Amount
No. 851 8204 49625 $216,785
Title: Merged Area#1 N. Palm Canyon City Loan Principal
Debt Service
Purpose: Pay back $616,785 effective 3/1/02 in loans from the General Fund.
$400,000 of the loan repayment was included in the CRA's FY01-02 budget.
SECTION 2. SOURCE: Surplus funds from Tax Increment have accumulated in Fund
Balance.
FUND Activity Account Amount
No. 001 12416
Title: General Fund Redevelopment $216,785
Agency Loans
Receivable
Adopted this day of 2002
AYES:
NOES:
ABSENT:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS
By
Assistant Secretary Chairman
REVIEWED AND APPROVED AS TO FORM
,'n
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE
BUDGET FOR THE 2001-02 FISCAL YEAR.
WHEREAS Resolution 1126 approving the budget for the fiscal year 2001-02 was adopted
on June 6, 2001; and
WHEREAS the Executive Director has recommended, and the Agency desires to approve,
certain amendments to said budget;
NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record
inter-fund cash transfers as required in accordance with this Resolution, and that Resolution
1126, adopting the budget for the 2001-02 fiscal year is hereby amended as follows:
SECTION 1. ADDITIONS
FUND Activity Account Amount
No. 001 12416 $616,785
Title: General Fund Redevelopment
Agency Loans
Receivable
Purpose: New loan (at 6%, effective 3/1/02) to Merged Area #1 to cover on-going
administration costs and the cost of the Desert Shadows OPA.
SECTION 2. SOURCE Merged Area #1 is concurrently paying back $616,785 in
loans from the General Fund,
FUND Activity Account Amount
No. 811 29301 $616,785
Title: Merged Area#1 Fund Balance
Capital &Admin
Adopted this day of 12002
AYES:
NOES:
ABSENT:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS
By
Assistant Secretary Chairman
REVIEWED AND APPROVED AS TO FORM
(21
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE
BUDGET FOR THE 2001-02 FISCAL YEAR.
WHEREAS Resolution 1126 approving thebudget for the fiscal year 2001-02 was adopted
on June 6, 2001; and
WHEREAS the Executive Director has recommended, and the Agency desires to approve,
certain amendments to said budget;
NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record
inter-fund cash transfers as required in accordance with this Resolution, and that Resolution
1126, adopting the budget for the 2001-02 fiscal year is hereby amended as follows:
SECTION 1. ADDITIONS
FUND Activity Account Amount
811 8191 65120 $185,000
Merged Project Area Capital &Admin Desert Shadows
#1 OPA
Purpose: To appropriate funds for Desert Shadows off-site improvements.
SECTION 2. SOURCE
FUND Activity Account Amount
811
MPA#1 29301 $185,000
Fund Balance
Adopted this day of 2002
AYES:
NOES:
ABSENT:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS
By
Assistant Secretary Chairman
REVIEWED AND APPROVED AS TO FORM
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE
BUDGET FOR THE 2001-02 FISCAL YEAR.
WHEREAS Resolution 1126 approving the budget for the fiscal year 2001-02 was adopted
on June 6, 2001; and
WHEREAS the Executive Director has recommended, and the Agency desires to approve,
certain amendments to said budget;
NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record
inter-fund cash transfers as required in accordance with this Resolution, and that Resolution
1126, adopting the budget for the 2001-02 fiscal year is hereby amended as follows:
SECTION 1. ADDITIONS
FUND Activity Account Amount
001 12416 $100,000
General Fund Redevelopment
Agency Loans
Receivable
Purpose: New Loan (at 6%, effective 3/1/02) to Merged Area #2 to cover on-going
costs.
SECTION 2. SOURCE Merged Area #2 is concurrently paying back $100,000 in
loans from the General Fund.
FUND Activity Account Amount
812 29301 $100,000
Merged Area#2 Fund Balance
Capital &Admin
Adopted this day of , 2002
AYES:
NOES:
ABSENT:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS
By
Assistant Secretary Chairman
REVIEWED AND APPROVED AS TO FORM