HomeMy WebLinkAboutResolution - RDA 09-08 STATE OF CALIFORNIA) RESOLUTION NO. RDA 09-08
COUNTY OF RIVERSIDE)ss
CITY OF SAN JACINTO
A RESOLUTION OF THE GOVERNING BOARD OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN JACINTO
AUTHORIZING REIMBURSEMENT OF THE AGENCY'S LOW AND
MODERATE INCOME HOUSING FUND THROUGH A BUDGET
TRANSFER FROM THE AGENCY'S GENERAL FUND FOR PROPERTY
LOCATED ON THE SOUTH SIDE OF SEVENTH STREET ADJACENT TO
THE NORTH MOUNTAIN MIDDLE SCHOOL, FOR COMPLIANCE WITH
HEALTH AND SAFETY CODE SECTION 33334.16
WHEREAS, the Redevelopment Agency of the City of San Jacinto (the"Agency")is
engaged in activities necessary to execute and implement the redevelopment plan
("Redevelopment Plan") for San Jacinto Redevelopment Project Area ("Project Area")
pursuant to the provisions of the California Community Redevelopment Law(Health and
Safety Code Section 33000 et seq.) ("CRL") and the Redevelopment Plan; and
WHEREAS, on September 2, 1999,the Governing Board of the Agency("Governing
Board") authorized the acquisition of approximately 4.92 acres of residentially zoned
property located on the south side of Seventh Street adjacentto the North Mountain Middle
School, commonly referred to as Assessor Parcel Numbers 433-180-029-8, 433-180-031-
9, 433-180-032-0, and 433-180-034-2 (the "Property"); and
WHEREAS,the Property was purchased on October 6, 1999 pursuant to California
Health and Safety Code Section 33449 which allows the Agency to acquire land outside of
the Project Area in order to provide housing for persons and/or families of low to moderate
income; and
WHEREAS, the Property was originally purchased on October 6, 1999 from the
Shaver 138 Partnership, L.P. with monies from the Agency's low and moderate income
housing fund ("Housing Fund")fora purchase price of one dollar($1.00) plus the payment
of property taxes in arrears for a total of$34,617.96 (the "Purchase Price"); and
WHEREAS,the Agency originally intended the Property to be developed as part of
an affordable housing project; and
WHEREAS, the Agency has subsequently determined that development of a
housing project on the Property is not a viable project for the Agency to carry out at this
time; and
WHEREAS, CRL Section 33334.16 generally requires the Agency to initiate housing
activities on property purchased with Housing Fund monies within five(5)years of the date
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the property was purchased, but permits the Agency to extend the initial five (5) year
holding period for an additional five (5) years by a resolution of the City Council; and
WHEREAS, pursuant to a resolution adopted by the City Council of the City of San
Jacinto in July of 2004, the holding period for the Property was extended for an additional
five (5) years; and
WHEREAS, the extended holding period for the Property is scheduled to expire in
July 2009, at which time the Housing Fund can no longer hold the Property; and
WHEREAS, the Agency now desires to reimburse the Housing Fund by making a
budget transfer from the Agency's 80% general fund for the purpose of making the
Housing Fund whole; and
WHEREAS,the Agency shall transfer an amount equal to the Purchase Price, plus
a reasonable rate of return of 3.653%, which rate is based on the rate generally earned by
the Agency on its funds, calculated from the date of purchase of the Property through the
date of this Resolution, which equals $46,947.75 (the "Reimbursement Amount"); and
WHEREAS,the benefit of using this budget transfer rather than selling the Property
allows the Agency to continue to land bank the Property forfuture redevelopment purposes
which is particularly important in light of the region's current economic downturn; and
WHEREAS, the Agency has determined that payment of the Reimbursement
Amount to the Housing Fund is of benefit to Agency because it will contribute to the long-
term economic development and success of the Project Area thereby increasing the
economic and cultural vitality of the Project Area; and
WHEREAS, payment of the Reimbursement Amount to the Housing Fund is exempt
from the requirements of the California Environmental Quality Act ("CEQA"), pursuant to
State CEQA Guidelines Section 15378(b), because such reimbursement constitutes the
creation of a funding mechanism and/or other governmental fiscal activity which does not
involve any commitment to any specific project which may result in a potentially significant
physical impact on the environment.
NOW, THEREFORE, THE GOVERNING BOARD OF THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN JACINTO RESOLVES AS FOLLOWS:
Section 1. The recitals set forth above are true and correct, and are
incorporated into this Resolution as though fully set forth herein.
Section 2. The Governing Board hereby approves the payment of the
Reimbursement Amount to the Housing Fund from the Agency's 80% general fund via a
budget transfer from the Agency's general fund.
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Section 3. The Governing Board hereby authorizes the Agency's Executive
Director to take any and all actions as may be necessary or convenient to implement or
carry out the actions authorized by this Resolution.
Section 4. This Resolution shall take effect immediately upon its adoption
by the Agency.
PASSED, APPROVED AND ADOPTED this 18th day of June 2009 by the
following vote:
AYES: Di Memmo, Potts, Mansperger, Stubblefield
NAYS: None
ABSENT: Ayres
ABSTAIN: None
San Jacinto Redevelopment Agency
By: -&
jj0
Da a tub lefield, air an
ATTEST:
Barry Notlellan, Agency Secretary
APPROVED AS TO FORM:
BEST BEST & KRIEGER LLP
allinge , Agency Counsel
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CERTIFICATION
I, Barry McClellan, Agency Secretary of the Redevelopment Agency of the
City of San Jacinto, do hereby certify that the foregoing Resolution No. RDA 09-08 was
duly and regularly passed and adopted by the Redevelopment Agency of the City of San
Jacinto at a meeting thereof held on the 18t' of June 2009, and that the foregoing is a full,
true and correct copy of said Resolution.
By: zoft'-�Az
Bar lellan, Agency Secretary
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