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CC - Item 4E - Acceptance of Annual Report of CDC for FYE 04-05E TO: HONORABLE MAYOR AND MEMBERS ROSEMEAD CITY COUNCIL FROM: BILL CROWE, CITY MANAGER DATE: DECEMBER 21, 2005 0 RE: ACCEPTANCE OF THE ANNUAL REPORT OF THE COMMUNITY DEVELOPMENT COMMISSION FOR FISCAL YEAR 2004-2005 Pursuant to California Redevelopment Law, the Community Development Commission is required to submit an Annual Report of its activities each year to the City Council. The attached Annual Report for fiscal year 2004-2005 has been prepared by staff and meets all of the requirements of law. It is recommended that the City Council accept the Annual Report for fiscal year 2004-2005. BC.js Attachments COUWL ACHE DEC 2 7 2005 REM No. • ANNUAL REPORT FOR FISCAL YEAR 2004 - 2005 ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION 0 i 1. Introduction Every redevelopment agency is required to submit to the legislative body and the State Controller an annual report for its review. Generally, the annual report must contain the following information. A. Audit An independent financial audit, including an opinion as to the agency's compliance with applicable laws, regulations and administrative requirements. The audit must also report on the agency's financial activities with respect to money required to be held in a separate low- and moderate-income housing fund pursuant to California Redevelopment Law (the "CRL"). B. Fiscal Statement A fiscal statement containing information on the amount of indebtedness, the amount of tax increment revenues received by the Agency, the amount of tax increment revenue paid to any taxing entities and other information required by the CRL. C. Actions and Expenditures in Alleviating Blight A description of the agency's progress, including specific actions and expenditures, in alleviating blight in the fiscal year must be reported. D. Housing Activities The CRL specifies the reporting requirements for an agency's housing activities, including displacement. The housing report must contain information for all housing activities within the project area, whether or not they are funded exclusively by other public agencies. E. Redevelopment Agency Loans The annual report must contain a list and status report of loans in default. F. Property Report A description of the total number and nature of the properties that the agency owns and property acquisitions in the previous year must be reported. II. Redevelopment Project Areas The Rosemead Community Development Commission (the "Commission") has adopted two redevelopment project areas. Redevelopment Project Area No. 1 was originally adopted by the Rosemead City Council on June 27, 1972 by Ordinance No. 340 and was amended by Ordinance No. 592 on December 9, 1986 to increase the limitation on the number of dollars allocated to the Rosemead Redevelopment Agency (subsequently changed to the Community Annual Report 2004-2005 Rosemead Community Development Commission • • Development Commission) and to re-establish the Agency's authority to acquire property. The second amendment to the Redevelopment Plan was approved on December 20, 1994 by Ordinance 752 to bring it into conformity with the requirements of Assembly Bill 1290. On January 22, 2002 by Ordinance 822, the City Council approved a third amendment to the Redevelopment Plan for the purpose of extending the time line for incurring debt. The Rosemead City Council adopted Redevelopment Project Area No. 2 on June 27, 2000 by Ordinance 809. III. The Annual Report The Commission has prepared its Annual Report for the 2004-2005 Fiscal Year. This Report must be submitted to the City Council of the City of Rosemead for its review and approval. A. Independent Financial Audit McGladrey & Pullen, LLP, Certified Public Accountants performed an audit of the general-purpose financial statements of the Rosemead Community Development Commission for the fiscal year ending June 30, 2005. It is the opinion of McGladrey & Pullen that the general purpose financial statements present fairly, in all material respects, the financial position of the Commission as of June 30, 2005, and the results of its operations for the year then ended are in conformity with generally accepted accounting principles. McGladrey & Pullen performed tests of the Commission's compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. The results of their tests disclosed no instances of noncompliance that are required to be reported under Govemment Auditing Standards. In planning and performing the audit, McGladrey & Pullen considered the Commission's internal control over financial reporting. This consideration would not necessarily disclose all matters in internal control over financial reporting that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. McGladrey & Pullen noted no matters involving internal control and its operations that they consider to be material weaknesses as defined above. A copy of the Annual Financial Report for Fiscal Year ended June 30, 2005 is attached to this Report as Exhibit A. Annual Report 2004-2005 Rosemead Community Development Commission • B. Redevelopment Agencies Financial Transactions Report The Commission's Financial Transactions Report has been prepared by the Commission's Fiscal Officer, Karen Ogawa, and submitted to the State Controller's office pursuant to the CRL. This report includes a copy of the Statement of Indebtedness that was filed with the County Auditor on or before October 1, 2005 as required pursuant to the CRL. A copy of the Financial Transactions Report is attached as Exhibit B. C. Actions and Expenditures in Alleviating Blight During the reporting period for this Annual Report, the Commission demonstrated its desire to alleviate blight within Project Area No. 1 and Project Area No. 2 by the following actions and expenditures: 1. A First-Time Homeowner Purchase Program is operated by the Rosemead Housing Development Corporation (the "RHDC") using Housing Set-Aside funds. Financial assistance is made available in the form of deferred payment and low-interest loans for the purchase of single-family homes or condominium units. The loan funds are used to cover the difference between the purchase price of a home (market value) and the sales price that would be affordable to the purchaser. The loans are used to provide down payment assistance for households qualifying under guidelines that have been established by the RHDC. During this reporting period, no loans were made to low- and moderate-income households. 2. The Commission focused on funding capital improvements for both Project Areas. Those improvement projects funded by tax increment are the San Gabriel Boulevard Beautification, upgrades to Hellman Avenue over the Alhambra Wash Bridge, Virginia Avenue improvements and traffic signal controller updates. The Redevelopment Implementation Plan for 2005 - 2009 indicates that during the fiscal years 1999 through 2004, Commission's progress in alleviating blight within Project Area No. 1 and Project Area No. 2 is described by the following actions and expenditures of the Commission. 1. The Commission operates a commercial rehabilitation program that is funded both with Community Development Block Grant funds and tax increment funds. This program is implemented on a citywide basis not just in the Project Areas. Since the inception of this program, the Commission has provided rehabilitation assistance totaling over $450,000 to businesses within the City. 2. The Commission continues to pursue a variety of business attraction activities. The Commission has sent representatives to the International Convention of Shopping Centers (ICSC) to promote business sites within the City and Project Areas. The Commission has also assisted businesses and retailers in processing plans with the City and analyzing market needs. Annual Report 2004-2005 Rosemead Community Development Commission 3. The Commission has focused on funding capital improvements for both Project Areas. The following table illustrates the capital improvement program funded by tax increment over the last six years. ROSEMEAD REDEVELOPMENT AGENCY CAPITAL IMPROVEMENT PROGRAM Na PROJECF'TIFLE 1999/2000 (ACTUAW 200N111 (ACTUAL) 2001102 '(ACTUAL) " 2002103 (ACTUAL) 2009104: '0C7UA4) 20"OS (ACFUAL) :PROJECT TOTAL 1 Walnut Grove Avenue Beautification $108,400 6.740 7,809 $107,331 2 San Gabriel Boulevard Beautification 201,287 180 40,675 152,963 303,197 698,302 3 Del Mar Avenue Beautification 42,204 6,901 35,303 4 Street Resurfacing (109,991) 102,082 7,909 5 Street Lighting Improvements 5,395 5,395 6 Concrete Repairs 71,254 71,254 7 Slurry Seal 3,872 61,504 65,376 8 Delta Storm Drain 221,526 221,526 9 Kelbum Storm Drain 140,994 140,994 10 Walnut Grove Brill elAlhambra Wash Retrofit 4,850 1,455 66,699 8,412 81,416 11 Hellman/Jackson Traffic Signal 10,510 19,493 9,046 1,023 40,072 12 Walnut Grove Excess Caltrans Parcel Purchase 8,880 8,880 13 Garvey Ave over Rio Hondo Bride 7,015, 2,117 9,132 14 Garvey Sr. Housing Traffic Signal 10,559 (2,250 1,281 9,590 15 Safe Route to Schools Ci 'de School signing) 25,149 6,036 31,185 16 Hellman Ave over Alhambra Wash Brill 5,132 21,365 81,670 37,534 104,976 250.677 17 C' Hall Fountain Rehabilitation 109,676 2,221 111,897 18 Traffic Signal Unintenu bble Power Supply 177,988 177,988 19 vi inia Street Im mvements 380 380 20 Za o an Public Safe Center 49,149 49,149 21 Street Widening (6,901 (6.901) TOTAL s829,dj6- :f.203;522 ' $303,645 5118,56¢ ~19D,407 ''$457,322 12,101-037 4. The Commission, through the RHDC, has developed a 72-unit Garvey Senior Citizens Residential Complex. The four (4)-story housing project was developed in conjunction with a community center occupying a portion of the site. The community center provides recreation and meeting facilities for the occupants of the senior housing project as well as senior citizens through out the entire community. The total square footage of the complex is approximately 67,500 square feet for the housing portion and 25,000 for the community center. D. Housing Activities 1. Displacement The total number of non elderly and elderly households, including separate subtotals of very low income households, other lower income households, and persons and families of moderate income, that were displaced or moved from their dwelling units as a part of a redevelopment project of the Commission during Fiscal Year 2004-05 is as follows: Income Number Very Low 0 Other Lower 0 Moderate 0 Annual Report 2004-2005 Rosemead Community Development Commission The total number of non elderly and elderly households, including separate subtotals of very low income households, other lower income households, and persons and families of moderate income, that the Commission estimates will be displaced or will move from their dwelling units as a part of a redevelopment project during Fiscal Year 2005-06 is as follows: Income Number Very Low 0 Other Lower 0 Moderate 0 2. Demolition and Removal The total number of dwelling units housing very low income households, other lower income households, and persons and families of moderate income, respectively, which have been destroyed or removed from the low or moderate income housing market during the reporting year as part of a redevelopment project of the Commission is as follows: Income Number Very Low 0 Other Lower 0 Moderate 0 3. Construction and Rehabilitation The total number of Commission-assisted dwelling units which were constructed, rehabilitated, acquired or subsidized during Fiscal Year 2004-05 for occupancy at an affordable housing cost by elderly persons and families that are restricted by agreements or ordinance for occupancy and the length of time any Commission assisted units are required to remain available at an affordable cost is as follows: Income Number Very Low 0 Other Lower 0 Moderate 0 Annual Report 2004-2005 Rosemead Community Development Commission 0 • The total number of new or rehabilitated units subject to Health & Safety Code Section 33413(b) (2) (regarding the production of affordable units resulting from public or private construction), including separate subtotals of the number originally affordable to and currently occupied by, elderly persons and families, but only if the units are restricted by agreement or ordinance for occupancy by the elderly, and by very low income households, other lower incomes, and persons and families of moderate income, respectively, and the length of time these units are required to remain available at an affordable cost is as follows': Income Number Very Low 0 Other Low 0 Moderate 0 4. Housing and Community Development Report The Commission's Housing and Community Development Report on the Status and Use of the Low and Moderate Income Housing Fund as prepared by the Commission's Fiscal Officer, Karen Ogawa is attached as Exhibit C. E. Redevelopment Agency Loans The Commission has no loans that are fifty thousand dollars ($50,000) or more that are in default or not in compliance with the terms of the loan approved by the Commission. F. Property Report The Commission's Property Report is attached as Exhibit D. Rosemead's Redevelopment Project Area No. 1 was created prior to 1976 and is exempt from any inclusionary housing requirements. Inclusionary housing requirements do apply to Project Area No. 2. Annual Report 2004-2005 Rosemead Community Development Commission 0 0 Exhibit A Annual Financial Report Annual Report 2004-2005 Exhibit A Rosemead Community Development Commission i • Rosemead Community Development Commission Financial and Compliance Report Fiscal Year Ended June 30, 2005 McGladrey& Pullen Certified Public Accountants McGladrey 8 Pullen, LLP is a member firth of RSM International, an affillatlon of separate and independent legal entices. • Contents 9 Section I-Financial Section Independent Auditors Report on the Financial Statements and Supplementary Information 1 and 2 Basic Financial Statements Government-wide Financial Statements Statement of net assets-governmental activities 3 Statement of activities--governmental activities 4 Fund Financial Statements Balance sheet-governmental funds 5 and 6 Reconciliation of the governmental funds balance sheet to the govemment-wide statement of net assets 7 Statement of revenues, expenditures and changes in fund balances--govemmental funds 8 and 9 Reconciliation of governmental funds statement of revenue, expenditures and changes in fund balances to the govemment-wide statement of activities 10 Notes to financial statements 11-20 Required Supplementary Information Budget comparison schedules 21 and 22 Section II-Compliance Section Independent Auditors Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 24 and 25 Computation of Low-Moderate Income Housing Excess/Surplus Funds 26 and 27 • 9 Financial Section McGladreY& Pullen Is 40 Certified Public Accountants Independent Auditor's Report on the Financial Statements and Supplementary Information To the Governing Board Rosemead Community Development Commission Rosemead, California We have audited the accompanying financial statements of the governmental activities and each major fund of the Rosemead Community Development Commission (the Commission), a blended component unit of the City of Rosemead, California, as of and for the year ended June 30, 2005, which collectively comprise the Commission's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the Commission's management Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Govemment Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the Commission as of June 30, 2005, and the respective changes in financial position thereof for the year then ended, in conformity with accounting principles generally accepted in the United States of America. The Commission has not presented a Management's Discussion and Analysis required by Governmental Accounting Standards Board (GASB) Statement No. 34 that the GASB has determined is necessary to supplement, although not required to be part of, the basic financial statements. In accordance with Government Auditing Standards, we have also issued our report dated October 3, 2005 on our consideration of the Commission's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over the financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit McGladrey 8 Pulm, LLP is a member firm of RSM International, an alfitladon of separate and independent legal entities. 0 9 The budgetary comparison information on pages 21 and 22 is not a required part of the basic financial statements, but is supplementary information required by accounting principles generally accepted in the United States of , America. We have applied certain limited procedures that consist principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Commission's basic financial statements. The computation of Low-Moderate Income Housing excess/surplus funds on pages 26 and 27 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Pasadena, California October 3, 2005 Rosemead Community DevelopmeCommission 0 Statement of Net Assets-Govemmental Activities June 30, 2005 Assets Current Assets Cash and investments $ 9,458,544 Receivables, other 540,539 Prepaid items 3,000 Cash and investments with fiscal agents 2,322,000 Total current assets 12,324,083 Noncurrent Assets, capital assets, depreciable buildings, property and equipment, net 24,963,716 Total assets $ 37,287,799 Liabilities Current Liabilities Accounts payable and accrued liabilities $ 690,636 Long-tern debt, due within one year 490,000 Total current liabilities 1,180,636 Noncurrent Liabilities, long-term debt, due in more than one year 32,430,000 Total liabilities $ 33,610,636 Net Assets Invested in capital assets, net of related debt $ (5,601,449) Restricted for low-moderate income housing 870,663 Unrestricted net assets 8,407,949 Total net assets $ 3,677,163 See Notes to Financial Statements. • Rosemead Community Development Commission Statement of Activities--Governmental Activities Year Ended June 30, 2005 C~ J Net Revenue (Expense) and Changes in Program Revenues Net Assets Charges for Governmental General government Intergovernmental, City of Rosemead Public works Interest on long-term debt Depreciation Total primary government $ 382,738 $ 3,158,201 $ 2,775,463 1,677,820 - (1,677,820) 640,173 - (640,173) 1,830,836 - (1,830,836) 996,774 - (996,774) $ 5,528,341 $ 3,158,201 (2,370,140) General revenues: Property taxes 3,494,330 Income from property and investments 683,854 Total general revenues and transfers 4,178,184 Change In net assets 1,808,044 Net assets, beginning of year, as restated 1,869,119 Net assets, end of year $ 3,677,163 See Notes to Financial Statements. • Rosemead Community Development Commission Balance Sheet-Governmental Funds June 30, 2005 • Rosemead Low-Moderate Housing Income Housing Development Debt Service Assets Set-Aside Fund Corporation Fund Cash and investments Receivable from the City of Rosemead Receivables, other Restricted cash and investment Prepaid items Total assets 870,540 $ 417,420 $ 123 50,187 32,835 - - 2,322,000 - 3,000 - $ 870,663 $ 470,607 $ 2,354,835 Liabilities and Fund Balances Accounts payable and accrued liabilities Fund balances: Reserved for debt service Reserved for low-moderate income housing Reserved for prepaid items Unreserved, designated for redevelopment projects Total fund balances Total liabilities and fund balances $ - $ 40,273 $ - 2,354,835 870,663 - - - 3,000 - - 427,334 - 870,663 430,334 2,354,835 $ 870,663 $ 470,607 $ 2,354,835 See Notes to Financial Statements. 0 Total Capital Projects Govemmental Fund Funds 8,170,584 $ 9,458,544 457,394 540,539 - 2,322,000 - 3,000 $ 8,627,978 $ 12,324,083 $ 194,136 $ 234,409 2,354,835 870,663 - 3,000 8,433,842 8,861,176 8,433,842 12,089,674 $ 8,627,978 $ 12,324,083 0 0 Rosemead Community Development Commission L Reconciliation of the Governmental Funds Balance Sheet to the Government-wide Statement of Net Assets June 30, 2005 Total fund balances, governmental funds. $ 12,089,674 Amounts reported for governmental activities in the statement of net assets are different because: Capital assets, less accumulated depreciation, used in governmental activities are not current financial resources and, therefore, are not reported in the governmental funds. 24,963,716 Interest payable on long-term debt does not require current financial resources. Therefore, interest payable is not reported as a liability in the governmental funds balance sheet. (456,227) Long-term liabilities are not due and payable in the current period; therefore, they are not reported in the govemmental funds balance sheet. (32,920,000) Net assets of govemmental activities $ 3,677,163 See Notes to Financial Statements. i Rosemead Community Development Commission Statement of Revenues, Expenditures and Changes in Fund Balances- Governmental Funds Year Ended June 30, 2005 Rosemead Low-Moderate Housing Income Housing Development Debt Service Set-Aside Fund Corporation Fund Revenues: Property tax increment $ - $ - $ - Use of money and property 83 406,200 135,132 State grants Other Total revenues Expenditures: Current: General government Intergovernmental, City of Rosemead Public works Capital outlay Debt service: Principal Interest Total expenditures Revenues over (under) expenditures Other financing sources (uses): Transfers: From other funds (To) other funds Total other financing sources (uses) Net change in fund balances - 454 - 83 406,654 135,132 253,080 - 351,600 - 465,000 - 1,836,765 604,680 2,301,765 83 (198,026) (2,166,633) 2,166,798 - - 2,166,798 83 (198,026) 165 Fund balance, beginning Fund balance, ending 870,580 628,360 2,354,670 $ 870,663 $ 430,334 $ 2,354,835 See Notes to Financial Statements. • Total Capital Projects Governmental Fund Funds $ 3,494,330 $ 3,494,330 142,439 683,854 3,156,837 3,156,837 910 1,364 6,794,516 7,336,385 129,658 382,738 1,326,220 1,677,820 981,580 981,580 20,875 20,875 465,000 - 1,836,765 2,458,333 5,364,778 4,336,183 1,971,607 - 2,166,798 (2,166,798) (2,166,798) (2,166,798) - 2,169,385 1,971,607 0 6,264,457 10,118,067 $ 8,433,842 $ 12,089,674 Rosemead Community Development Commission Reconciliation of Governmental Funds Statement of Revenue, Expenditures and Changes in Fund Balances to the Government-wide Statement of Activities Year Ended June 30, 2005 Net change in fund balances, total governmental funds 1,971,607 Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlay as expenditures. However, in the government-wide statement of activities and changes in net assets, the cost of those assets is allocated over their estimated useful lives as depreciation expense. This is the amount of capital assets recorded in the current period. 362,282 Depreciation expense on capital assets is reported in the govemment-wide statement of activities and changes in net assets, but they do not require the use of current financial resources. Therefore, depreciation expense is not reported as expenditures in governmental funds. (996,774) Repayment of bond principal is an expenditure in governmental funds, but the repayment reduces long-term liabilities in the govemment-wide statement of net assets. This amount represents long-term debt repayments. 465,000 In the statement of activities, interest expense is reported as it accrues on long-term liabilities whereas, in the governmental fund statements, interest expenditures are reported when due. This is the amount by which interest paid exceeds interest accrued. 5,929 Change in net assets of governmental activities $ 1,808,044 See Notes to Financial Statements. 10 Rosemead Community Develvent Commission Notes to Financial Statements Note 1. Summary of Significant Accounting Policies Nature of operations: The Rosemead Redevelopment Agency was established in June 1972 pursuant to State of California Health and Safety Code Section 33000 entitled Community Redevelopment Law. The Agency's name was changed to the Rosemead Community Development Commission (the Commission) in January 2002. Its purpose is to finance street, park and utility improvements. It also acquires and constructs major capital facilities all within the Rosemead Project Area No. 1. The Commission is a component unit of the City of Rosemead, California, (the City) and is included in the basic financial statements of the City. The Commission has the same fiscal year as the City. The financial statements contain information for the Commission only. The City's financial statements can be obtained from the Finance Department of the City. Description and scope of the reporting entity: Governmental Accounting Standards Board (GASB) Statement No. 14, The Financial Reporting Entity, defines the reporting entity as the primary government and those component units for which the primary government is, or has the potential to be, financially accountable. Financial accountability is defined as appointment of a voting majority of the component unit's Board and either (ay the primary government has the ability to impose its will or (b) the possibility that the component unit will provide a financial benefit to, or impose a financial burden on, the primary government. Since the City Council of the City also serves as the Board of Directors of the Commission, the City, in effect, has the ability to influence and control operations. Therefore, the City has oversight responsibility for the Commission. Accordingly, in applying the criteria of GASB Statement No. 14, the financial statements of the Commission are included in the City's Comprehensive Annual Financial Report. The Commission has the same fiscal year as the City, Government-wide and fund financial statements: The government-wide financial statements (i.e., the statement of net assets and the statement of activities) report information on all of the activities of the Commission. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities are supported by taxes and intergovernmental revenues. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable to a specific function or segment. Program revenues include changes to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment. Taxes and other items not property classified as program revenues are reported as general revenues. Major individual governmental funds are reported in separate columns in the fund financial statements Measurement focus, basis of accounting and financial statement presentation: The government wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned, and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Grants and similar items are recognized as revenue as soon as all eligibility requirements of the provider are met. Amounts reported as program revenues include charges to customers or applicants for goods, services or privileges provided. Internally dedicated resources, such as taxes, are reported as general revenues rather than as program revenues. Net assets are reported as restricted when constraints placed on their use are either externally imposed by creditors, grantors, contributors, or laws or regulations of other governments, or imposed by law through local enabling legislation. When both restricted and unrestricted resources are available for use, it is the Commission's policy to use restricted resources first, then unrestricted resources as they are needed. Rosemead Community Development Commission Notes to Financial Statements Note 1. Summary of Significant Accounting Policies, Continued Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the govemment considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. Principal and interest on long-term debt are recorded as fund liabilities when due or when amounts have been accumulated in the debt service fund for payments to be made early in the following year. Revenues that are accrued generally include real property taxes. Real property taxes are levied for the period from July 1 to June 30 against property owners of record on March 1. The taxes are due in two installments, on December 10 and April 10, and become delinquent after December 10 and April 10, respectively. Under the provisions of NCGA Interpretation 3, property tax revenue is recognized in the fiscal year for which the taxes have been levied, provided it is collected within 60 days of the end of the fiscal year in the fund financial statements. The Commission reports the following major govemmental funds: The Low-Moderate Income Housing Set-Aside Fund is used to account for the 20% of gross property tax increment revenue received by the Commission to fund future projects involving the replacement or rehabilitation of low- and moderate-income housing within City limits. The Rosemead Housing Development Corporation (the Corporation) is used to account for the construction and financing of low- and moderate-income housing. The Debt Service Fund is used to account for the accumulation of resources for the payment of principal, interest and related costs associated with all long-term debt of the Commission. The Capital Projects Fund is used to account for the financial resources to be used for the improvement and rehabilitation of the community redevelopment project areas and acquisition or construction of major capital facilities within the Commission. Management has the ultimate responsibility for the appropriateness of the accounting policies and procedures used by the Commission. Cash and investments: Cash includes amounts in demand and time deposits. Investments are reported in the accompanying balance sheet at fair value, except for certain money market contracts that are reported at cost because they are not transferable and they have terms that are not affected by changes in market interest rates. Changes in fair value that occur during a fiscal year are recognized as income from property and investments reported for that fiscal year. Income from property and investments includes interest earnings; changes in fair value; any gains or losses realized upon the liquidation, maturity or sale of investments; and property rentals and the sale of Commission-owned property. 12 Rosemead Community Development 0 0 Commission Notes to Financial Statements Note 1. Summary of Significant Accounting Policies, Continued The Commission pools cash and investments of all funds, except for assets held by fiscal agents. Each fund's share in this pool is displayed in the accompanying financial statements as cash and investments. Investment income earned by the pooled investments is allocated to the various funds on a monthly basis, based on each fund's average cash and investments balance, except for investment income associated with funds not legally required to receive pooled investment income which has been assigned to and recorded as revenue of the general fund, as provided by California Government Code Section 53647. Restricted cash and investments represent amounts that are restricted under the terms of debt agreements. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. Capital assets: Capital assets, which include land, buildings, equipment and infrastructure assets (e.g., roads, bridges, traffic signals and similar items), are reported in the government-wide financial statements. Capital assets are defined by the Commission as assets with an initial individual cost of more than $500 and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. The cost of normal maintenance and repairs that do not add to the value of an asset or materially extend an asset's useful fife are not capitalized. Construction in progress costs are transferred to their respective fixed asset category upon completion. Depreciation is charged to operations using the straight-line method based on the estimated useful life of an asset. The estimated useful lives of depreciable assets are as follows: Years Buildings 50 Improvements other than buildings 15 Furniture and office equipment 7 Streets 30 Sidewalks 40 Receivables: All trade, service and tax receivables are shown net of an allowance for uncollectibles. All other receivables are reported at their gross value and, where appropriate, are reduced by the estimated portion that is expected to be uncollectible. Long-term obligations: Long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities statement of net assets. Bond premiums, discounts and issuance costs are deferred and amortized over the life of the bonds using the effective-interest method. Bonds payable are reported net of the applicable bond premium or discount Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. 13 • • Rosemead Community Development Commission Notes to Financial Statements Note 1. Summary of Significant Accounting Policies, Continued In the fund financial statements, governmental fund types recognize bond premiums, discounts and issuance costs during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources, while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Fund equity: In the fund financial statements, governmental funds report reservations of fund balances for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balances represent tentative management plans and are subject to change. Use of restricted/unrestricted net assets: When an expense is incurred for purposes for which both restricted and unrestricted net assets are available, the Commission's policy is to apply restricted net assets first. Note 2. Cash and Investments Summary of cash and investments: Cash and investments are reported in the accompanying balance sheet and statement of net assets as follows at June 30, 2005: Cash and investments Restricted cash and investments Components of the Commission's cash and investments at June 30, 2005 are as follows: Unrestricted cash and investments: Cash Time certificates of deposit Cash total Investment in State Treasurer's Investment Pool Total unrestricted cash and investments Restricted investment in a corporate note Total cash and investments $ 9,458,544 2,322,000 $ 11,780,544 $ 986,686 850,000 1,836,686 7,621,858 9,458,544 2,322,000 $ 11,780,544 Investments authorized in accordance with California Government Code Section 3601 and under the provisions of the Commission's policy: The table below identifies the investment types that are authorized by the Commission's investment policy. The table also identifies certain provisions of the Commission's investment policy that address interest rate risk, custodial (investments and cash deposits credit risk, default credit risk and concentration risk. This table does not address investments of bond proceeds held by bond trustee that are governed by provisions of debt agreements of the Commission, rather than general provisions of the Commission's investment policy. 14 Rosemead Community Developp ent Commission • Notes to Financial Statements Note 2. Cash and Investments, Continued Authorized Investment Type Maximum Maturity Maximum Percentage of Portfolio Maximum Investment in One Issuer U.S. Treasury obligations 5 years None None U.S. agency securities 5 years None None Bankers acceptances 180 days 40% 10% Commercial paper 270 days 25% 10% Negotiable certificates of deposit 36 months 30% None Medium-term notes 36 months 15% 5% Local Agency Investment Fund (LAIF) NIA None None Nonnegotiable certificates of deposit 1 year 10% None California agency indebtedness N/A None None Investments authorized by debt agreements: Investments held by the bond trustee are governed by the provisions of the debt agreement rather than the general provisions of California Government Code or the Commission's investment policy. The table below identifies the investment types that are authorized for investments held by the bond trustee. The table also identifies certain provisions of these debt agreements that address interest rate risk, credit risk and concentration risk. Authorized Investment Type Maximum Maturity Maximum Percentage of Portfolio Maximum Investment in One Issuer U.S. Treasury obligations 5 years None None U.S. agency securities 5 years None None Banker's acceptances 270 days 40% 10% Commercial paper 180 days 25% 10% Money market portfolio 1 year None None The Commission has monies held by a trustee pledged to the payment or security of their outstanding tax allocation bonds. These are subject to the same risk category as the invested cash. The California Government Code provides that these monies, in absence of specific statutory provisions governing the issuance of bonds or certificates, may be invested in accordance with the ordinance, resolutions or indentures specifying the types of investments its trustees or fiscal agents may make. These ordinances, resolutions or indentures are generally more restrictive than the Commission's general investment policy. At June 30, 2005, the monies held by the trustee were invested in a taxable 5.8% corporate note payable with a A-1 rating by Standard & Poor's and a P-1 rating by Moody's Investors Service that matures on October 1, 2023. Disclosures related to interest rate risk: Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways the Commission manages its exposure to interest rate risk is by investing in pooled investments, such as ME 15 Rosemead Community Development Commission • Notes to Financial Statements Note 2. Cash and Investments, Continued Custodial credit risk (deposits): Custodial credit risk for deposits is the risk that, in event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The Commission maintains its bank accounts at financial institutions that are collateralized with securities held by the pledging financial institution, or by its Trust Department or agent, but not in the Commission's name. The primary difference between the carving amount and the bank balance are deposits in transit and outstanding checks. In accordance with state statutes, the Commission maintains deposits at those depository institutions insured by the FDIC. The California Government Code requires California banks and savings and loan associations to collateralize the deposits of governmental entities by pledging government securities as collateral. The market value of pledge securities must equal at least 110% of those deposits. California law also allows financial institutions to secure the deposits of governmental entities by pledging first trust deed mortgage notes having a collateral value of 150% of a corporation's total deposits; however, the collateralized securities are not held in the name of the Commission. Custodial credit risk (investments): Custodial credit risk for investments is the risk that the Commission will not be able to recover the value of its investments in the event of a counterparty failure. The Commission does not have investments in debt or equity securities, other than those amounts invested with a fiscal agent as required by bonds outstanding. Disclosures related to credit risk: Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of an investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the actual rating as of June 30, 2005 for each investment type: Investment Type Unrated AAA* A* P-1" LAW $ 7,621,858 $ 7,621,858 $ - $ - $ - * Source: Standard and Poor's **Source: Moody's Investors Service Concentration of credit risk: The investment policy of the Commission contains no limitations on the amount that can be invested in by any one issuer beyond that stated above. There were no investments that represent 5% or more of the Commission's investments. Investment in state investment pool: The Commission is a voluntary participant in the LAIF that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The fair value of the Commission's investment in this pool is reported in the accompanying financial statements at amounts based upon the Commission's pro rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis. The total estimated fair value invested by all public entities agencies in LAIF is $60,635,669,395. Of that amount, 100% is invested in nonderivative financial products. As of June 30, 2005, the average maturity of the LAIF investments was 151 days. LAIF is not rated; however, the City Treasurer considers the default credit risk of LAIF to be minimal. 16 Rosemead Community Developlfient Commission Notes to Financial Statements Note 3. Reimbursement Agreements and Related-party Transactions The Commission reimburses the City for administrative services, facilities and other operating services, which totaled $1,677,820 for the fiscal year ended June 30, 2005. The Commission and the City are commonly controlled by the City Council. The Corporation has also entered into a 55-year lease agreement with the City for the Angelus Senior Housing facility at $60,000 annually, expiring June 2047. Total lease commitments remaining are $2,520,000 for the Angelus Senior Housing facility at June 30, 2005. The Corporation has also entered into a 55-year lease agreement with the City for the Garvey Senior Housing facility at $72,000 annually, expiring November 2057. Total lease commitments remaining are $3,744,000 for the Garvey Senior Housing facility at June 30, 2005. The Corporation paid $60,000 and $72,000 in lease payments to the City during the year ended June 30, 2005 for the Angelus and Garvey Senior Housing facilities, respectively. Note 4. Capital Assets and Accounting Change Capital asset activity was as follows for the year ended June 30, 2005: Balance at Governmental activities: Capital assets not being depreciated: Land Construction in progress Total capital assets, not being depreciated Balance at June 30, 2004 Increases Decreases June 30, 2005 $ 2,410,308 $ - $ - $ 2,410,308 162,663 309,394 - 472,057 2,572,971 309,394 - 2,882,365 Capital assets being depreciated: Buildings and improvements Vehicles Furniture and office equipment Infrastructure Total capital assets being depreciated Less accumulated depreciation for. Buildings and improvements Vehicles Furniture and office equipment Infrastructure Total accumulated depreciation Total capital assets being depreciated, net Governmental activities capital assets, net 17,014,012 22,443 - 17,036,455 - 11,090 - 11,090 1,372,681 19,355 - 1,392,036 14,105,806 - - 14,105,806 32,492,499 52,888 - 32,545,387 2,339,934 422,568 - 2,762,502 - 2,218 - 2,218 1,017,414 92,197 - 1,109,611 23,025,237 (943,886) - 22,081,351 $ 25,598,208 $ (634,492) $ - $ 24,963,716 17 Rosemead Community Development Commission • Notes to Financial Statements Note 4. Capital Assets and Accounting Change, Continued Depreciation expense was charged entirely to the general government function of the Commission for the year ended June 30, 2005. In 1998 the Commission entered into a no cost ground lease with the Army Corps of Engineers to provide for parking and access adjacent to the Rio Hondo Flood Control Channel in order for the Commission to proceed with the construction of a second Senior Citizen Housing project, which will consist of 72 housing units, and an adjacent 20,000-square-foot Community Center. During the year ended June 30, 2003, the ground lease with the Army Corps of Engineers was extended to a 25-year lease and expires during the year ending June 30, 2028. The property for this project was purchased years ago by the Commission for $1.66 million, of which $1.0 million was reimbursed to the Commission by Federal HOME funds. The costs incurred on this project were allocated between the Corporation (Senior Citizen Housing project) and the Commission (Community Center). Note 5. Long-term Debt Long-term debt consists of the following at June 30, 2005: Principal Principal Balance at Balance at Due within June 30, 2004 Additions Reductions June 30, 2005 One Year Governmental activities: Tax allocation bonds, Series 1993A $ 33,385,000 $ - $ 465,000 $ 32,920,000 $ 490,000 Tax allocation bonds, Series 1993A: In November 1993, the Commission issued tax allocation bonds in the amount of $34,275,000 (Series 1993A) to finance a portion of the cost of the redevelopment area known as Project Area No. 1. The bonds bear interest ranging from 4.6% to 5.6%. The bonds mature before October 1, 2033. The bond issue reallocated $6,813,850 of proceeds from the 1991 bond issue deposited in the Low-Moderate Income Housing Set-Aside Fund in October 1991. The reallocation had the effect of satisfying the present value effect of the $423,574 borrowed from the Educational Revenue Augmentation Fund (ERAF) in fiscal year ended June 30, 1993 and satisfying the present value effect of the set-aside requirements as follows: $812,342 for fiscal year ended June 30, 1992, $847,147 for fiscal year ended June 30, 1993 and $469,142 for each of the fiscal years ended/ending June 30, 1997 through 2022. Additional Low-Moderate Income Housing Set-Aside commitments are addressed in Note 7. The Tax Reform Act instituted certain arbitrage restrictions with respect to the issuance of tax-exempt bonds. Arbitrage regulations deal with the investment of all tax-exempt bond proceeds at an interest yield greater than the interest yield paid to bondholders. Generally, all interest paid to bondholders can be retroactively rendered taxable if applicable rebates are not paid to the federal government at least every five years. During the current year, the Commission performed calculations of excess investment earnings on various bonds and financings in accordance with arbitrage regulations. The Commission has determined that no arbitrage rebate liability exists as of June 30, 2005. 18 Rosemead Community Develo• nt Commission Notes to Financial Statements Note 5. Long-term Debt, Continued At June 30, 2005, debt service requirements to maturity for governmental activities long-term debt are as follows: Fiscal Years Ending June 30, 2006 2007 2008 2009 2010 2011-2015 2016-2020 2021-2025 2026-2030 2031-2034 Note 6. Risk Management Long-term Debt Principal Interest $ 490,000 $ 1,812,168 515,000 1,785,909 545,000 1,757,948 570,000 1,728,400 600,000 1,697,395 3,520,000 7,953,920 4,605,000 6,845,728 6,035,000 5,372,500 7,930,000 3,430,280 8,110,000 939,120 $ 32,920,000 $ 33,323,368 The Commission is exposed to various risks of loss related to torts; thefts of, damage to and destruction of assets; errors and omissions; and natural disasters. The Commission, through the City, carries commercial liability insurance coverage. The Commission carries no insurance coverage for natural disasters. Since the Commission does not have any employees (it uses employees from the City), it is not liable for injury to employees, workers' compensation, or employee health and accident insurance. The City has had no reductions in insurance coverage, nor did the City have any settlements that were in excess of insurance coverage in any of the three preceding years. Note 7. Commitments and Contingent Liabilities Low-Moderate Income Housing Set-Aside Fund: Under State law, the Commission is required to set aside a portion of its property tax increment revenue for low- and moderate-income housing. The Commission has made findings that, for the years ended June 30, 1986 through 1991, it was allowed to defer funding of the set-aside. The set-aside amounts incurred during the fiscal years ended June 30, 1994, 1995 and 1996 were also deferred until the fiscal year ending June 30, 2023, as provided by the Commission's adoption of the housing deficit repayment plan. As of June 30, 2005, the accumulated set-aside amount not yet funded was approximately $4,947,000. As required by law, the Commission devised a plan to fund the accumulating amount. To help fund the completion of the Senior Citizen Housing project construction, the Capital Projects Fund transferred an additional $849,863 to the Low-Moderate Income Housing Set-Aside Fund during the fiscal year ended June 30, 2002, over and above the 20% requirement of $299,993, and an additional $1,279,548 to the Low-Moderate Income Housing Set-Aside Fund during the fiscal year ended June 30, 2003, over and above the 20% requirement of $290,868. These additional amounts, which total $2,129,411, are considered an advance on future set-aside requirements and will be deducted from future transfers for the set-aside over future years. During the fiscal years ended June 30, 2005 and 2004, the 20% requirements of $448,578 and $394,533 were funded using the cumulative advance. As of June 30, 2005, the remaining advance was $1,286,301. 19 0 0 Rosemead Community Development Commission Notes to Financial Statements Note 7. Commitments and Contingent Liabilities, Continued Advance agreement: In February 1995, the Commission approved an agreement with a local utility company to advance the utility company $117,600 required to install water distribution mains within the Commission redevelopment area. The agreement remains on hold by the Commission as of October 3, 2005. Note 8. Property Management and Operations The Commission, through the Corporation, has an agreement with a management company, dated July 1994 and April 2002, to operate the development housing. This agreement is automatically renewed for successive periods of one year, unless terminated by the Corporation. The management company is responsible for collecting rents and receipts, employing an on-site manager and maintaining financial records. Total fees paid to the management company were $20,217 for the Angelus Senior Housing facility and $26,257 for the Garvey Senior Housing facility during fiscal year ended June 30, 2005. Note 9. Pronouncements Issued but Not Yet Adopted The GASB has issued several pronouncements prior to June 30, 2005 that have effective dates that may impact future financial presentations. Management has not currently determined what, if any, impact implementation of the following statements may have on the Commission's financial statements. • GASB Statement No. 42, Accounting and Financial Reporting for Impairment of Capital Assets and Insurance Recoveries • GASB Statement No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions • GASB Statement No. 46, Net Assets Restricted by Enabling Legislation (an amendment of GASB Statement No. 34) • GASB Statement No. 47, Accounting for Termination Benefds 20 i 0 Required Supplementary Information • Rosemead Community Development Commission Budget Comparison Schedules Year Ended June 30, 2005 Low- Moderate-Income Housing Set-Aside Fund Variance from Budgeted Amounts Actual Final Budget Original Final Amounts over (under) Fund balance, July 1, 2004 Resources (inflows): Use of money and property Transfers from other funds Other Amount available for appropriations Charges to appropriations (outflows): General government Intergovernmental, City of Rosemead Transfers to other funds Total charges to appropriations Excess (deficiency) of resources over (under) charges to appropriations Fund balance, June 30, 2005 $ - $ - $ 870,580 $ 870,580 17,700 17,700 83 (17,617) 17,700 17,700 83 (17,617) 17 See Note to Required Supplementary Information. 21 Rosemead Housing Development Corporation Variance from Actual Final Budget $ 26,728 $ 26,728 $ 628,360 $ 601,632 405,600 405,600 406,200 600 7,800 7,800 454 (7,346) 413,400 413,400 406,654 (6,746) 454,140 454,140 253,080 (201,060) 366,000 366,000 351,600 (14,400) 820,140 820,140 604,680 (215,460) is 22 0 0 Rosemead Community Development Commission Note to Required Supplementary Information Budgetary Information Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America for the governmental fund. All annual appropriations lapse at fiscal year end. On or before the last day in March of each year, all agencies of the government submit requests for appropriations to the government's manager so that a budget may be prepared. Before the first Thursday of June 30, the proposed budget is presented to the government's Council for review. The Council holds public hearings and a final budget must be prepared and adopted no later than June 30. The appropriated budget is prepared by fund, function and department. The Commission's department heads, with approval of the Finance Director and City Manager, may make transfers of appropriations within a department. Transfers of appropriations between departments must be approved by the City Council. The legal level of budgetary control (i.e., the level at which expenditures may not legally exceed appropriations) is the department level. The Council made several supplemental budgetary appropriations throughout the year. The supplemental budgetary appropriations made in the governmental funds are detailed in the required supplementary information. Encumbrance accounting is employed in the governmental funds. Encumbrances (e.g., purchase orders, contracts) outstanding at year end are reported as reservations of fund balances and do not constitute expenditures or liabilities because the commitments will be reappropriated and honored during the subsequent year. 23 LI Compliance Section • McGladrey& Pullen Certified Public Accountants • Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed In Accordance with GovemmentAuditing Standards To the Governing Board Rosemead Community Development Commission Rosemead, California We have audited the financial statements of the govemmental activities and each major fund of the Rosemead Community Development Commission (the Commission), a component unit of the City of Rosemead, California, as of and for the year ended June 30, 2005, which collectively comprise the Commission's basic financial statements, and have issued our report thereon dated October 3, 2005. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Internal Control over Financial Reporting In planning and performing our audit, we considered the Commission's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide an opinion on the internal control over financial reporting. Our consideration of internal control over financial reporting would not necessarily disclose all matters in internal control over financial reporting that might be material weaknesses. A material weakness is a reportable condition in which the design or operation of one or more internal control components does not reduce to a relatively low level the risk that misstatements caused by error or fraud in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving internal control over financial reporting and its operation that we consider to be material weaknesses. Compliance and Other Matters As part of obtaining reasonable assurance about whether the Commission's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. This included those provisions of laws and regulations identified in the Guidelines for Compliance Audits of California Redevelopment Agencies issued by the State Controller and as interpreted in the Suggested Auditing Procedures for Accomplishing Compliance Audits of California Redevelopment Agencies issued by the Governmental Accounting and Auditing Committee of the California Society of Certified Public Accountants. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. However, we noted an immaterial instance of noncompliance that we have reported to management of the Commission in a separate letter, dated October 3, 2005. McGladrey 8 Pullen, LLP is a member firm of RSM Intemadonal, an affitabon of separate and independent legal entities. 24 • • This report is intended for the information of Governing Board, management and the State Controller. However, this report is a matter of public record and its distribution is not limited. Pasadena, California October 3, 2005 25 Rosemead Community Development Commission Computation of Low-Moderate Income Housing Excess/Surplus Funds Year Ended June 30, 2005 Project Area 1 Fund Balance-Beginning of Year $ 870,580 Adjustments Less unavailable funds-included in beginning fund balance: Land held for resale _ Rehabilitation loans _ ERAF loan receivable _ Set-aside deferrals _ Unspent bond proceeds and other prefunded amounts (see Note 7 to the financial statements) (870,580) Total unavailable funds (870,580) Available fund balance-beginning of year _ Current year proceedsluses (actual plus changes in unavailable): Proceeds 83 Uses _ Changes in unavailable amounts (83) Available fund balance-end of year _ Encumbrances Unspent bond proceeds present _ _ Land sales-HS 33334.12(g)(3)(A) _ Available fund balance-for excess surplus $ _ Does available fund balance for excess/surplus exceed $1,000,000? If so, enter available fund balance and evaluate that amount against tax increment. If less, enter zero. $ _ Does available fund balance for excess/surplus exceed the greater of prior four years' set-aside deposits or $1,000,000? Tax increment set-aside amounts: Fiscal year 2000-01 $ 709,551 Fiscal year 2001-02 769,135 Fiscal year 2002-03 760,010 Fiscal year 2003-04 863,675 Total set-aside deposited into fund 3,102,371 3,102,371 Excess/Surplus Funds Greater of available fund balance for excess/surplus or prior four years' tax increment set-aside deposits $ _ 26 • Rosemead Community Development Commission 0 Computation of Low-Moderate Income Housing Excess/Surplus Funds, Continued Year Ended June 30, 2005 Reconciliation to Ending i Ending GAAP fund balance Available fund balance-end of year above Add unavailable funds-end of year Land held for resale Rehabilitation loans ERAF ban receivable Set-aside deferrals Other, unspent bond proceeds and other prefunded amounts (see Note 7 to the financial statements) Total unavailable funds Area 1 $ 870,663 870,663 870,663 $ 870,663 27 • • Exhibit 6 Community Development Commission Financial Transactions Report Annual Report 2004-2005 Exhibit B Rosemead Community Development Commission REDEVELOPMENT AGENCIES FINANCIAL TRANSACTIONS REPORT COVER PAGE Rosemead Redevelopment Agency Fiscal Year: 2005 ID Number: 13981974600 Su i d Signature FINANCE DIRECTOR Title KAREN OGAWA Name (Please Print) 12-21-05 Date Per Health and Safety Code section 33080, this report is due within six months after the end of the fiscal year. The report Is to include two (2) copies of the agency's component unit audited financial statements, and the report on the Status and Use of the Low and Moderate Income Housing Fund (HCD report). To meet the filing requirements, all portions must be received by the California State Controllers Office. To file electronically: 1. Complete all forms as necessary. 2. Transmit the completed output file using a File Transfer Protocol (FTP) program or via diskette. 3. Sign this cover page and mail to either address below with 2 audits and the HCD report. To file a paper report: 1. Complete all forms as necessary. 2. Sign this cover page, and mail complete report to either address below with 2 audits and the HCD report. Report will not be considered filed until receipt of this signed cover page. Mailing Address: State Controller's Office Division of Accounting and Reporting Local Government Reporting Section P. O. Box 942850 Sacramento, CA 94250 Express Mailing Address: State Controller's Office Division of Accounting and Reporting Local Government Reporting Section 3301 C Street, Suite 700 Sacramento, CA 95816 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Detailed Summary of Footnotes For Fiscal Year 2004-05 Forms Column Additional Details Footnotes Project Areas Report Most Recent Date Project Area was A PROJECT-AREA-NAME Please refer to the enclosed Amended 'Project Area No. 1' Ordinance No. 832 which amends the effectiveness of the Plan to 2013. Footnotes Page 1 12/21/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report General Information Fiscal Year 2006 Members of the Governing Body Middle Last Name First Name Initial Chairperson Imperial Jay u Member IClark Margaret Member Nunez John Member Taylor Gary Member Tran John Member Member Member Member Member Mailing Address Street 1 8838 East Valley Bouelvard Street 2 Finance Department city Rosemead State ®Zip 91770- Phone (626) 569 2120 ❑ Is Address Changed? Agency Officials Last Name First Name Middle Phone Initial Executive Director Crowe William (626) 569-2101 Fiscal Officer Ogawa Karen (626) 569-2121 • Secretary Castruita Orfadina (626) 569-2171 Report Prepared By Independent Auditor Firm Name M Iadrey & Pullen, LLP - ~ Last Ogawa Itshuler First Karen Jeffrey Middle Initial n street 8838 East Valley Boulevard 18401 Von Kraman Avenue, 5th Floor city [Rosemead Irvine State CA Zip Code 91770 92612-8531 Phone (626) 569-2121 (949) 255-6512 • General Information Page 1 12/2112005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Achievement Information (Unaudited) Fiscal Year 2005 Indicate Only Those Achievements Completed During the Fiscal Year of this Report as a Direct Result of the Activities of the Redevelopment Agency. Please provide a description of the agency's activities/accomplishments during the past year. Enter the amount of square Square Footage Completed • footage completed this year by building type and segregated by New Rehabilitated new or rehabilitated construction. Construction Commercial Buildings I Industrial Buildings Public Buildings Other Buildings Total Square Footage 0 0 Enter the Number of Jobs Created from the Activities of the Agency Types Completed A=Utilities B=Recreation C=Landscaping D=Sewer/ Storm E=Streets/ Roads F=Bus/Transit • Achievement Information (Unaudited) Page 1 12/21/2005 (Please be specific, as this information will be the basis for possible inclusion in the publication.) Activity Report Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Audit Information Fiscal Year 2005 Was the Report Prepared from Audited Financial Data, and Did You Submit a Copy of the Audit? Indicate Financial Audit Opinion If Financial Audit is not yet Completed, What is the Expected Completion Date? If the Audit Opinion was Other than Unqualified, State Briefly the Reason Given Was a Compliance Audit Performed in Accordance with Health and Safety Code Section 33080.1 and the State Controller's Guidelines for Compliance Audits, and Did You Submit a Copy of the Audit? Indicate Compliance Audit Opinion If Compliance Audit is not yet Completed, What is the Expected Completion Date? Yes] Unqualified I- 1 Yes Unqualified • • Audit Information Page 1 12/21/2005 If compliance opinion includes exceptions, state the areas of non-compliance, and describe the agency's efforts to correct. Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Project Area Report Fiscal Year 2005 Project Area Name Please Provide a Brief Description of the Activities for this Project Area During the Reporting Year. Area No. 1 Forwarded from Prior Year ? Enter Code for Type of Project Area Report P = Standard Project Area Report L = Low and Moderate Income Housing Fund O = Other Miscellaneous Funds or Programs Does the Plan Include Tax Increment Provisions? Date Project Area was Established (MM-DD-YY) Most Recent Date Project Area was Amended Did this Amendment Add New Territory? Most Recent Date Project Area was Merged Will this Project Area be Carried Forward to Next Year? Established Time Limit : A = Administrative Fund M = Mortgage Revenue Bond Program S = Proposed (Survey) Project Area Yes 6/27/1972 7/27/2004 No~ Repayment of Indebtedness (Year Only) Effectiveness of Plan (Year Only) New Indebtedness (Year Only) Size of Project Area in Acres Percentage of Land Vacant at the Inception of the Project Area Health and Safety Code Section 33320.1 (xx.x%) Percentage of Land Developed at the Inception of the Project Area Health and Safety Code Section 33320.1 (xx.x%) Objectives of the Project Area as Set Forth in the Project Area Plan (Enter the Appropriate Code(s) in Sequence as Shown) Yes 2022 2013 2004 511 RICPOI R = Residential I = Industrial C = Commercial P = Public O = Other • 0 Project Area Report Page 1 12/21/2005 Activitv Report Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Assessed Valuation Data Fiscal Year 2005 Project Area Name Project Area No. 1 Frozen Base Assessed Valuation 47,632,060 Increment Assessed Valuation 326,123,952 Total Assessed Valuation 373,756,012 0 Assessed Valuation Data Page 1 12/21/2005 Fiscal Year Project Area Name Amounts Paid To Taxing Agencies Pursuant To: County Cities School Districts Community College District Special Districts Total Paid to Taxing Agencies Net Amount to Agency Gross Tax Increment Generated 2005 Project Area No. 1 Tax Increment Pass Through Detail Other Payments H& S Code H& S Code H& S Code Total H& S Code H& S Code Section 33401 Section 33676 Section 33607 Section 33445 Section 33445.5 780,689 $780,689 $0 $o $o $0 -1 $780,689 $0 $0 $780,689 $0 $0 $3,807,909 17J • Pass-Through / School District Assistance Page 1 12/2112005 Pass-Through / School District Assistance Fiscal Year Project Area Name 2005 Tax Allocation Bond Debt Revenue Bonds Other Long Term Debt City/County Debt Low and Moderate Income Housing Fund Total Available Revenues Net Tax Increment Requirements Protect Area No. 1 66,243,3681 4,947,087 $71,190,455 16,648,339 $54,542,116 • I* Summary of the Statement of Indebtedness - Project Area Page 11 12/21/2005 Summary of the Statement of Indebtedness - Project Area Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Agency Long-Tenn Debt Fiscal Year 12005 Project Area Name Project Area No. 1 Forward from Prior Year Bond Type Year of Authorization Principal Amount Authorized Principal Amount Issued Purpose of Issue Maturity Date Beginning Year Maturity Date Ending Year Principal Amount Unmatured Beginning of Fiscal Year Adjustment Made During Year Adjustment Explanation Interest Added to Principal Principal Amount Issued During Fiscal Year Principal Amount Matured During Fiscal Year Principal Amount Defeased During Fiscal Year Principal Amount Urmatured End of Fiscal Year Principal Amount In Default Interest In Default Tax Allocation Bonds 1993 34,275,000 034,275,000 • Project Funding-A 2002 2022 $33,385,000 465,000 $32,920,000 Bond Types Allowed: Tax Allocation Bonds; Revenue Bonds; Certificates of Participation; Tax Allocation Notes; Financing Authority Bonds; City/County Debt; US;State; Loans; Lease Obligations; Notes; Deferred Pass-Throughs; Deferred Compensation; Other Agency Long-Term Debt Page 1 12/21/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Statement of Income and Expenditures - Revenues Fiscal Year Proiect Area Name Tax Increment Gross (Include All Apportionments) Special Supplemental Subvention Property Assessments Sales and Use Tax Transient Occupancy Tax Interest Income Rental Income Sale of Real Estate Gain on Land Held for Resale Federal Grants Grants from Other Agencies Bond Administrative Fees Other Revenues Total Revenues 2005 Project Area No. 1 Low/Moderate Special Capital Project Debt Service Income Housing Revenue/Other Funds Funds Funds Funds Total 4,588,5981 1 $4,588,598 $0 $0 $0 $0 142,439 135,132 83 406,200 $683,894- $0 $0 $0 $0 $0 $0 $0 3,157,747 454 $3,158,201 $7,888,784 $135,132 $83 $406,654 $8,430,653 0 i Statement of Income and Expenditures - Revenues Page 1 12/21/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Fiscal Year Project Area Name Administration Costs Professional Services Planning, Survey, and Design Real Estate Purchases Acquisition Expense Operation of Acquired Property Relocation Costs Relocation Payments Site Clearance Costs Statement of Income and Expenditures - Expenditures 4005 [Project Area No.1 Project Improvement / Construction Costs Disposal Costs Loss on Disposition of Land Held for Resale Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total • 1,326,220 219,600 $1,545,820 129,658 9,166 $138,824 $0 $0 $0 375,914 $375,914-- $0 $0 $0 981,580 $981,580 $0 $0 Statement of Income and Expenditures - Expenditures Page 1 12/2112005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Statement of Income and Expenditures - Expenditures Fiscal Year 2005 Project Area Name Project Area No.1 Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Decline In Value of Land Held for Resale $0 Rehabilitation Costs $0 Rehabilitation Grants $0 Interest Expense 1,836,765 $1,836,765 Fbced Asset Acquisitions 20,875 $20,875 Subsidies to Low and Moderate Income $0 Housing Debt Issuance Costs $0 Other Expenditures Including Pass- 1 1,094,268 $1,094,268 Through Payment(s) Debt Principal Payments: Tax Allocation Bonds and Notes 465,000 $465,000 Revenue Bonds, Certificates of $0 Participation, Financing Authority Bonds City/County Advances and Loans $0 All Other Long-Term Debt $0 Total Expenditures $3,552,601 $2,301,765 $0 $604,680 $6,459,046 Excess (Deficiency) Revenues over $4,336,183 ($2,166,633) $83 ($198,026) $1,971,607 (under) Expenditures t~ Statement of Income and Expenditures - Expenditures Page 2 12121/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Statement of Income and Expenditures - Other Financing Sources Fiscal Year 2005 Project Area Name Project Area No.1 Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Proceeds of Long-Term Debt Proceeds of Refunding Bonds Payment to Refunded Bond Escrow Agent Advances from City/County Sale of Fixed Assets Miscellaneous Financing Sources (Uses) Operating Transfers In Tax Increment Transfers In Operating Transfers Out $0 $0 $0 $0 $0 $0 2,166,798 $2,166,798 Tax Increment Transfers Out $0 (To the Low and Moderate Income Housing Fund) Total Other Financing Sources (Uses) ($2,166,798) $2,166,798 $0 $o $0 0 0 Statement of Income and Expenditures - Other Financing Sources Page 1 12/21/2005 J Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Statement of Income and Expenditures - Other Financing Sources Fiscal Year 20 55 Project Area Name Project Area No.1 Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Excess (Deficiency) of Revenues and $2,169,385 $165 $83 ($198,026) $1,971,607 Other Financing Sources over Expenditures and Other Financing Uses Equity, Beginning of Period $6,264,457 $2,354,670 $870,580 $628,360 $10,118,067 Prior Period Adjustments $0 Residual Equity Transfers $0 Other(Specify) A B C D E Refresh Total 1- Other Total Equity, End of Period $8,433,842 $2,354,835 $870,663 $430,334 $12,089,674 0 • Statement of Income and Expenditures - Other Financing Sources Page 2 12/21/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Balance Sheet - Assets and Other Debits Low/Moderate Special Fiscal Year 2005 Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total Assets and Other Debits Cash and Imprest Cash 8,170,5841 1 870,540 417,420 $9 458 544 Cash with Fiscal Agent 2,322,000 $2,322 000 Tax Increments Receivable $0 Accounts Receivable 457,394 32,835 123 50,187 $540,539 Accrued Interest Receivable - $0 Loans Receivable $0 Contracts Receivable $0 Lease Payments Receivable $0 Unearned Finance Charge $0 Due from Capital Projects Fund $0 Due from Debt Service Fund $0 Due from Low/Moderate $0 Income Housing Fund Due from Special $0 Revenue/Other Funds Balance Sheet - Assets and Other Debits Page 1 12/2112005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Balance Sheet - Assets and Other Debits Low/Moderate Special Fiscal Year 2005 Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total Investments L I I r $0 • Oth A er ssets 3,000 $3,000 Investments: Land Held for $0 Resale Allowance for Decline In _ $0 Value of Land Held for Resale Fixed Assets: Land, "A $0 Structures, and Improvements Equipment` $0 Amount Available In Debt $0 Service Fund Amount to be Provided for 32,920,000 $32 920,000 Payment of Long-Tenn Debt Total Assets and Other $8,627,978 $2,354,835 $870,663 $470,607 $32,920,000 $0 $45,244,083 Debits (Must Equal Total Liabilities, • Other Credits, and Equities) Balance Sheet - Assets and Other Debits Page 2 12121/2005 Fiscal Year 2005 Liabilities and Other Credits Accounts Payable Interest Payable Tax Anticipation Notes Payable Loans Payable Other Liabilities Due to Capital Projects Fund Due to Debt Service Fund Due to Low/Moderate Income Housing Fund Due to Special Revenue/Other Funds Tax Allocation Bonds Payable Lease Revenue, Certificates of Participation Payable, Financing Authority Bonds All Other Long-Term Debt Total Liabilities and Other Credits Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Balance Sheet - Liabilities and Other Credits Low/Moderate Special Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total 194,136 40,273 $234,409 $0 - $0 $0 T $0 $0 - $0 $0 32,920,000 $32,920,000 $0 • Balance Sheet - Liabilities and Other Credits Page 1 12/21/2005 Fiscal Year 2005 Equities Investment In General Fixed Fund Balance Reserved Fund Balance Unreserved-Designated Fund Balance Unreserved-Undesignated Total Equities Total Liabilities, Other Credits, and Equities Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Balance Sheet - Liabilities and Other Credits Low/Moderate Special Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total $0 2,322,000 870,663 3.OOOT __J $3,195,663 8,433,842 32,8351 1 $8,466,677 427,334 $427,334 $8,433,842 $21354,835 $870,663 $430,334 $0 $12,089,674 $8,627,978 $2,354,835 $870,663 $470,607 $32,920,000 $0 $45,244,083 • 17J Balance Sheet - Liabilities and Other Credits Page 2 12/21/2005 Rosemead Redevelopment Agency Redevelopment Agencies Financial Transactions Report Statement of Income and Expenditures - Summary, Combined Transfers In/Out Fiscal Year 2005 Operating Transfers In $2,166,798 Tax Increment Transfers In 50 Operating Transfers Out 52,166,798 Tax Increment Transfers Out T o- 10 0 Statement of Income and Expenditures - Summary, Page 1 12/21/2005 Combined Transfers In/Out Pi ORDINANCE NO. 832 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD AMENDING PART 6 OF THE REDEVELOPMENT PLAN FOR PROJECT AREA NUMBER 1 IN ACCORDANCE WITH SECTION 33333.6(e)(2)(C) OF THE COMMUNITY REDEVELOPMENT LAW THE CITY COUNCIL OF THE CITY OF ROSEMEAD DOES ORDAIN AS FOLLOWS: Section 1. The City Council finds, determines and declares that this Ordinance is enacted pursuant to the authority of Health and Safety Code section 33333.6(e)(2)(C) as amended by SB 1045 for the purpose of amending the Redevelopment Plan for Project Area 1, as enacted by Ordinance No. 340 on June 27, 1972, and subsequently amended, by extending the duration of the Redevelopment Plan's effectiveness and the duration of the receipt of tax increment. Section 2. Part 6, entitled " DURATION OF REDEVELOPMENT PLAN'S EFFECTIVENESS of the Redevelopment Plan is hereby amended to read as follows: DURATION OF REDEVELOPMENT PLAN'S EFFECTIVENESS Notwithstanding any provisions of this Plan to the contrary, consistent with section 33333.6 of the California Community Redevelopment Law, the following limitations are imposed on this Plan: This Plan, including the land use and development control provisions, shall be effective until June 27, 2013. After June 27, 2013, the Agency shall have no authority to act pursuant to this Plan except to pay previously incurred indebtedness and to enforce existing covenants, contracts or other obligations, provided, however, that this prohibition shall not limit actions designed to eliminate housing program project deficits or to implement a replacement housing program, as more particularly authorized by section 33333.6(8) of the Community Redevelopment Law. The Agency shall not pay indebtedness or receive property. taxes pursuant to section 33670 after June 27, 2023, the date that is ten years from the termination of the effectiveness of this Plan, provided, however, that this prohibition shall not -1- • limit allocation of taxes for the purpose of eliminating housing program project deficits or implementing a replacement housing program, as more particularly authorized by section 33333.6(8) of the Community Redevelopment Law, nor shall it limit allocation of taxes to pay indebtedness incurred prior to January 1, 1994, including the indebtedness incurred by Redevelopment Project Area No. 1 Tax Allocation Bonds, Series 1993A and Redevelopment Project Area No. 1 Taxable Tax Allocation Refunding Bonds, Series 1993B." Section 3. The City Clerk shall certify to the adoption of this Ordinance and cause the same to be processed in accordance with state law. PASSED, APPROVED and ADOPTED this 2r" day of July, 2004. Ci of Rosemead Mayor, ATTEST: ~~I hereby certify that the foregoing Ordinance No. was duly and regularly adopted by the City Clerk Rosemead City Council ar a regular meeting held on the 27th day of July 2004, by the following vote: Yes: Clark, Imperial, Taylor, Alarcon, Vasquez No: None, Absent: None, Abstain: None City Cler 2- STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF RO SEMEAD I, Nancy Valderrama, City Clerk of the City of Rosemead, do hereby certify that the foregoing Ordinance No. 832 being: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROSENIEAD AMENDING PART 6 OF THE REDEVELOPMENT PLAN FOR PROJECT AREA NUMBER I IN ACCORDANCE WITH SECTION 33333.6(e)(2)(c) OF THE CONffviiJNITY REDEVELOPMENT LAW was duly adopted at a regular meeting of the Rosemead City Council on the 27 h day of July, 2004 by the following vote to wit: YES: COUNCILMEMBERS, TAYLOR NO: NONE ABSENT: NONE ABSTAIN: NONE VASQUEZ, ALARCON CLARK, RvTERIAL, City Clerk STATEMENT OF INDEBTEDNESS - CONSOLIDATAED FILED FOR THE 2005- 2006 TAX YEAR Name of Redevelopment Agency ROSEMEAD REDEVELOPMETN AGENCY Name of Project Area Account No. PROJECT AREA NO. 1 237.02 Cover Page Curre nt Balances Carried Forward From: Line Total Outstanding Debt PrincipaVlnterest Due During Tax Year Fiscal Period - Totals From Form Pa 1 Totals 71,190,455 2,771,310 (Optional) Post Fiscal Period - Totals From Form B Totals 2 Grand Totals 3 71,190,455 2,771,310 Available Revenues From Calculation of Available Revenues, Line 7 4 16,648,339 Net Requirement 54, 542,116 Consolidate on this form all of the data contained on Form A and B (Including supplemental pages). Form A Is to Include all Indebtedness entered into as of June 30 of the Fiscal Year. Form B may be filed at the option of the agency, and is to Include indebtedness entered Into post June 30 of the Fiscal Year, pursuant to Health and Safety Code Section 33675(cx2). This Is optional for each agency and is not a requirement for filing the Statement of Indebtedness. The Reconciliation Statement Is to Include Indebtedness from Form A only. Certification of Chief Financial Officer. Pursuant to Section 33675 (b) of the Health and Safety Code, I hereby certify that the above Is a true and accurate Statement of Indebtedness for the above named agency. • FINANCE DIRECTOI I Rev. 6/3/94 KAREN OGAWA STATEMENT OF INDEBTEDNESS - FISCAL YEAR INC FILED FOR THE 2005 - 2006 TAX YEAR Name of Redevelopment Agency ROSEMEAD REDEVELOPMENT AGENCY Name of Project Area PROJECT AREA NO. 1 For Indebtedness Entered Into as of June 30, 2005. Form A Page 1 of 1 Acct. # 237.02 Original Data Current Debt Identification Date Principal Tenn Interest Rate Total Interest Total Outstanding Debt PrincipaUlnterest Due During Tax Year TAX ALLOCATION BOND q SERIES 1993A 11-02-93 3Y,275,000 10-01-23 VARIES 54, 984,128 66, 243, 368 2,302,168 HOUSING SET-ASIDE s 1995-96 5,567,345 2022-23 7.00 331,620 4,947,087 469,142 c D E F G H I IP) K L I 1 Total This Page 77 71, 190, 455 ~ 1 2,771,310 Purpose of Indebtedness: (A) STREET IMPROVEMENTS (13) PURSUANT TO HEALTH AND SAI-ElY (C) SECTION 3334.2 (D) (E) (F) of Redevelopment Agency Name of Project Area STATEMENT OF INDEBTEDNESS - POST FISCAL YEAR INDEBTEDNESS ONLY FILED FOR THE 2005 - 2006 TAX YEAR To be used only if the agency wishes to include Indebtedness entered into after June 30 ROSEMEAD REDEVELOPMENT AGENCY. PROJECT AREA NO. 1 Indebtedness Entered Into post June 30, 2005, as of ,2003. Form B (Optional) Acct. # 237.02 Ori inai Da ta Current Debt Identification Date Principal Term Interest Rate Total Interest Total Outstanding Debt Principal/Interest Due During Tax Year A 13 C D E F G H i J LK) (L OT S POST FISCAL YEAR INDEBTEDNESS of Indebtedness: (L) RECONCILIATION STATEMENT - CHANGES IN INDEBTEDNESS Name of Agency ROSEMEAD REDEVELOPMENT AGENCY Name ofProlectArea PROJECT AREA NO. 1 Account No. 237.02 Tax Year. 2005-2006 Reconciliation Dates: From July 1, 2004 TO June 30, 2005. Page 1 of -1 Debt Identification: Outstanding Debt Ad us tments Amounts Paid Against Remaining SOI a and line: Brief Ali Beginning Increases Decreases Indebtedn ess from: Balance Prior Yr Current Yr Dawription Indebtedness Attach Explanation) Attach Explanation) Tax Increment Other Funds A+B-C-D-E g 1 Line A Pg 1 Line A TAX ALLOCATION BOND SERIES 1993A 68, 545, 133 2,166,798 134,967 66, 243, 368 9 1 Line B Pg 1 Line B HOUSING SET-ASIDE 4,947,087 4,947,087 Pg Lin. N/A Pg Line NIA COUNTY FIRE PROTECTION DISTRICT TRANSFER 780,689 780,689 0 Pg Pg Line Line Pg Pg Line Line Pg Pg Line Line Pg Pg Line Line Pg Pg Line 1 1-he TOTAL- THIS PAGE TOTALS FORWARD GRAND TOTALS 73,492,220 780,689 2,947,487 134,967 71,190,455 NOTE: This form Is to reconcile the previous Staternent of Indebtedness to the current one being flied. Howswr, since the recondiladon period Is nn*od by law to a July 1 - June 30 fiscal year period, only those Kerns Included on the 801 Form A is to be Included on this document To assist In following each Rom of Indebtednees from one SOI to the next, use page and line number references from each SOI that the Item of indebtedness is listed on. N the Indebtedness Is now to this fiscal year, enter 'nW In the -Prow Yr page and line columns. Column F must equal the current 804 Form A Total Outstanding Debt column. J Rev_ 6/3194 • • CALCULATION OF AVAILABLE REVENUES AGENCYNAME ROSEMEAD REDEVELOPMENT AGENCY PROJECT AREA PROJECT AREA NO. 1 TAX YEAR 2005-2006 RECONCILIATION DATES: JULY 1, 2004 TO JUNE 30, 2005 1. Beginning Balance, Available Revenues 15,007,228 (See Instructions) 4,588,598 2. Tax. Increment Received -Gross AN Tax Increment Revenues, to Include any Tax Increment passed through to other local taxing agencies. 3. All other Available Revenues Received (See Instructions) 4. Revenues from any other source, included In Column E of the Reconciliation 134,967 Statement, but not included in (1-3) above 5. Sum of Lines 1 through 4 19, 730, 793 6. Total amounts paid against indebtedness 3,082,454 in previous year. (D + E on Reconciliation Statement) 7. Available Revenues, End of Year (5 - 6) 16,648,339 FORWARD THIS AMOUNT TO STATEMENT OF INDEBTEDNESS, COVER PAGE, LINE 4 NOTES Tax Increment Revenues: The only amount(s) to be excluded as Tax Increment Revenue are any amounts passed through to other local taxing agencies pursuant to Health and Safety Code Section 33676. Tax Increment Revenue set-aside In the Low and Moderate Income Housing Fund will be washed in the above calculation, and therefore omitted from Available Revenues at year end. Item 4. above: This represents any payments from any source other than Tax Increment OR available revenues. For instance, an agency funds a project with a bond issue. The previous SOI included a Disposition Development Agreement (DDA) which was fully satisfied with these bond proceeds. The DDA would be shown on the Reconciliation Statement as fully repaid under the "other" column (Col E), but with funds that were neither Tax Increment, nor "Available Revenues" as defined. The amounts used to satisfy this DDA would be included on line 4 above in order to accurately determine ending "Available Revenues. Rev. (613194) • i TO: FROM: •RE October 3, 1993 AGENCY RESOLD'1'ION ADOPTING A PLAN TO' SLIM UM =Z. DEFICIT IN THE LOW-MODZ.ATE '32jCcMy HOUSING S=-AS=DE FMM CREATED BY DEFERRAL AND BORROWING PURSUANT TO H"ETH AND SAFE'L'Y CODE SS 33334.6(a) AND 3 3 6 8 2 (b ) Since FY 1985-86 the Agency has been required to allocate 20-1 of its tax increment to the Low-Moderate Incame Housing Set- Aside Fund ("Fund"'). As authorized by the redevelopment law, some of this obligation has been deferred to make.payments to the Education Revenue Augmentation Fund ("ERAF„) and to ive priority to projects and obligations itemized in Resolution 86-g 36, the Agency-*s Statement of Existing Obligations and Projects. The subject Resolution establishes a plan for eliminating the Fund deficit that has resulted from the ERAF borrowing and from obligation deferrals from Fiscal Year 1985-86 through Fiscal Year 1990-91. The resolution also defers Fund payments Fiscal Years 1993-94 through 1995-96 and provides for eliminating the deficit resulting from that additional deferral. All of these obligations are subordinated-to, and deferred until payment of, the Agency's 1993 Bonds. The obligations than become a first lien on Agency revenues and the A•gen ccmrmits to preserve an unexpended balance. of its revenue limit to insure that sufficient funds will be available to satisfy the obligations. The Resolution also allocates the $6,813,849.62 prepaid to the Fund in October 1991 from proceeds of the Agency's 1987 Taxable Notes. That amount is applied to full payment of the Fiscal year. 1991-92 -and '1992-93 Fund abli tions to repayment the ERAF barrawin , and to of ars obligations to the Fund durpnapthe t a portion of future years q arm of the 1993 Bands. RECQ%.(_vENDATTON: That the Agency Board adopt the resolution. 9 VY'ALLIN, 'r~R=SS, REISMAN1 r1"l-IC_ c, DILKES "W C r rl C C3 r tact TwCNT'=[76►~Tt~ =TRC~ . g41TC Sts S. NTA mQmICI., G1uFORfVI... Sa~03-SZC3 r=~.tPwa►+c lata~ .~o-9sa= PAC31141" Mai 4.40_03c', g M 0 R A N 3 M Vrank Tripepi, Executive Director, Rosemead Redevelopment Agency . Peter L. Wallin, Office Of- the City Attorney RESOLUTION No. 93- 27 ' A RESOLUTION OF THE REDZ7ZL0nM=;T AGZNCy Or THE CITY Or ROSS.:an OPTING A PLAN TO INCOMMATE T D.~"'ICIT IN THE LOW-M00MXTE INCOI~ HOUSING SET-ASIDE FAD CRZJ~-TZZ BY DF'dERRALS AND BOP-ROWING PURSUANT TO IMALTH AHD SAFETY CODE SS 33334.6 (e- AND 33882 (b) WA.?--RZAS, Health and Safety Code S •33334.6 (e) authorizes the Agency to defer allocations to the Law-Moderate Income Housing Sat-Aside Hand ("Fund") to provide for the orderly and timely has of projects and pursuant to that authority the Agency previously deterred the following amounts: 1985-86 $ 331,173 1986-87 • $ 588,779 1987-88 $ 627,685 1958-89 $ 917,701 1989-90 $ 664,095 1990791 S 729,442 TOTAL $3,981,875 ~WH~EAS in order to provide for the arderly and ti=3.y completion at projects the-Agency needs to defer additional amounts for fiscal years 1993-94, 1994-95 and 1495-96; WEE_ILEM, Health and Safety Code S 3 3 3 3 4.6 (gl requires the Agency to adopt a plan to elimi nwte the foregoing deficit; WREIMS, By Resolution 93-12, pursuant to-Health and Safety Code s 33682(b), the Agency borrowed $423,573.72, being 501 of the Fiscal Year 1992-1993 housing set aside allocation, for purpases ofpaying the Educational Revenue Allocation Fund assessment and provided for repayment 0:1 that amount on or before Mina 30, 2003; W~Fi-PAS, The Agency has authorized the sale of not to exceed $34,000,000.00 principal amount of. Redevelopment Project Area No. 1 Tax Allocation Bonds, Series 3.993A and not to exceed $3,200,000.00 principai amount of Redevelopment Project Area No, 1 Taxable Tax Allocation Refunding Bonds, Series 1.993B (collectively, the "1993 Bonds"). In connection 'therewith the Agency has provided for pre-payment of Fund obligations by deposit of $6,,313,84 9..62 to the Fund an October 9 1991 from proceeds of the Agency's 1987 Dotes, paid deposit shall be applied as sec forth in this Resolutien. f w'fi-M-4-rA5, by Ordinance No. 5 9 Z the City revenue lmit for the Redevelopment plan fn of $249,245,938 commencing with fiscal year current unused portion of the revenue limit total debt service on 1993 Bonds and all Obligations to the Fund. _ COL`ncil established a r Project Area No. 1. 1986-87, and the exceeds the sum of current and future NOW TEM~-ZFF0RE, the Agency finds, determines and resolves as follows: Section 1. her As more particulaz.ly set fat- h an Exh- bit A eto and incorporated herein by reference, the $6,813,849.62 deposit to the Fond from the proceeds of the 1987 Notes is hereby applied to: (i) full payment of Fund deposit requirements for Fiscal Year 1991-92 in the amount of $8120,341.74; (ii) full payment of Fund deposit requj.remerts for Fiscal Year 1992-93 3.a the amount of $847,147.45; (iii) full repayment of the. $423,573.72 borrawad for the'ERAF payment pursuant to Resalution 93-12; and (iv) partial payment of Fund deposit requirements for each fiscal year commencing in Fiscal Yea= 1996-97 and ending in Fiscal Year 2021-2022 in equal annual amounts estimated as sat forth an Exhibit A hereto, which a~maunts shall be computed upon the sale of the 1993 Bonds and- based upon a present value discount factor equal to the yield on the 1993 Bonds. Section I. The amount of $3,981,875.00, being the deficit of payments made to -the. Fiend from fiscal year 1985-86 to date, shall be recorded and appropriately noted on the financial statements as a debt to be repaid, without interest, commencing in Fiscal Year 2022-2023. In the event that AB 1290 is signed by the Governar, said amounts shall be repaid, with interest at the legal rate, but only to the•extent that funds are available within the tax allocation limitation. of the plan. Section 3. The Agency finds that deferral of the entire amount of the deposit to the Fund required by Health and Safety Code section 33334.6(c) for Fiscal Year 1993-94'thraugh and including Fiscal tear 1995-96 is necessary in order to provide for the• orderly and timely completion of projects itemized in Resolution 86-36, A Resolution of the Rosemead Redevelopment Agency Approving Lists of Existing Projects and Obligations Pursuant to Section 33334.6 (f) of the Health and Safety Code. Accordingly, the Agency hereby defers the entire amount of each said annual deposit and the deficit thereby created in the Fund shall be annually retarded and appropriately noted an the financial statements as a debt to be repaid, commencing in Fisca Year 2022-2023. Mn the event that AB 1290 is signed by the Governor, said amounts shall be repaid, with interest at the legal rate, but only to the extent trot funds are available within the tax allocation limitation of the Plan. 0 A 1 • • i• • •r • section . The obligation of the Agency to the Fund shall constitute a lien upon property taxes allocated to the Agency pursuant to Health and Safety Code § 336701 subordinate, however to the payment of debt service an the 1993 Bonds and any additional parity Bonds issued as authorized in the indenture under which the 1993 Bonds are issued. Sub h ject to Section 5 ereof, the Agency ras.erves the right to subordinate its obligation to the Fund to any future borrowings if it is in the best financial interest of the Agency to do so. Section 5. The'Agency shall preserve an unexpended balance of its revenue limit to insure that' sufficient funds will be available to satisfy the obligations provided for in Sections-2 and 3 of this Resolution. ' Section S. This Resolution shall take effect from and attar its adoption and approval. PASSED, A21.7ROVE0 and ADOPTED this , 1693. Chairman of Rosemead Redevelopment Agency (seal) ATTEST: Secretary of the Rosemead Redevelopment Agency 1, . Secretary of the Rosemead Redevelopment Agency, do hereby certify that the foregoing Resolution No. 93 was regularly introduced and adapted by the Rosemead Redevelopment Agency, at a regular meeting thereof held on t 1993 by the following vote: AYES: NOES : ABSMiT : ABSTAINED : IN WITNiSS WnMEREOF, I have hereunto set my hand and affixe the off icial seal of the Rosemead Redevelopment Agency this t 19 9 3 . S ecrataZy o f the- Ros enaad Redevelopment Acencv r ~ • Rae~es3 3cdn-~apa:C: A.r-n ? :3 Yur Azonl=j= U' T::p~ld 8oastar, 94."A. .x ?=MM VJ= prow . Fs=r a vilmt a Rra+a+t t E95a6t~ MOW g=.UL741 LL Cp' 6U~tL74 W.147.4 1 Q.9S491Z38 sLZ.221s2 0.62 o aoa Lmm ass i aoa au lima aao 4s7.390.II! 075si1773 4i7.P9= 0=494109 4%7j9aQ3 Q.6i3Sus 4i7.?9= 464=66 4i7.99a03 L7gp= 457.99403 a -u744391 4=J=73 Q.n "7ta . 497J9a03 d -ds"l 4=7,99QM 0.112=41 41739403 LAdM=& 4i739a03 0A=1"2 4i7~yga03 O.t13436" 4:7.940.x3 L79mmm 43739011: 0.3011'''7 Immim 4i734C.m Q.33t:= 49T.990.03 0 l=m"a 4=JS0.03 4.39lau WMILU 44IJ9a03 o.-illamLs MUMAY 437.91x03 L=Il491 497-69=- 0.24940193 Mijaud 4a7.990M L==23" 417.990.0,3 x-.==41 Imi7fiza ti mm"211`l Le ' upa ~aClLb t~sala aL aw `.or 0>oi ~nr 1991lt t 3 nsalie ai tSr As.=, tae tkcl rw mm a'a7 to w a p y-M due hm A 2nZ2. is :'tacaCalS~r~dc~r C.v~r a -Oct 14::1 Ad C'~ ~ Z;se-,a~;kt • r w ~ ` : Rase~Ld $:~.-r~op~ea:.l3~? CL= ;tr ccr Jlacr, Asian L. so Yar A=cr.L-Ztizm 0 =aIBIT "Alt .'r Z PrmpziaMval xS -,Uda msra.lh7~tr.. rst~ v.tv. t=4L74 t - D=MM 147,147.45 UMISU LM e.oo oco 469.14= 469.14= 469.147 C7 469.145 48 14= Wtgnn . 469.141M 469a4= 473.573.72 1- J@ 14= . 469,14= 469.l== 469.145.67 469,145.07 469.14107- 449.14207 LMIC= 4&.I43.fi1 40 14207 , ASIUA 07 469,14207 48 143 ' - . 469.14107 0371 .1354 Z- 16th 469.14= 03CI=9 48,14207 0==M 469.14'-CT a113E1= 469.14= =2490 469.14IM 012249491 • 469dt..A7 0.121711+.1 t4-• Ys1a6 1` I _ 11:34174 om i3"i 4 Acn'•AFan 4 Sttrli/ , alIFA~ .S.rr;,., Creep d7-ca 0I. a xi cam =sd rosmi s of LU A1n7 !or 04CA 1ne 12OUL s mad um and had rumba of the Az=r tot Ss;d ym 1337!3. • • Exhibit C Housing and Community Development Report Annual Report 2004-2005 Exhibit C Rosemead Community Development Commission • • CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT REDEVELOPMENT AGENCY ANNUAL HOUSING ACTIVITY REPORT FY ENDING: 06 / 30 / 2005 Agency Name and Address: ROSEMEAD REDEVELOPME County of Jurisdiction: LOS ANGELES Health & Safety Code Section 33080.1 requires agencies to annually report on their Low & Moderate Income Housing Fund and housine activities for the Department of Housing and Community Development (HCD) to report on agencies' activities in accordance with Section 33080.6. Section 33080.3 specifies agencies must send this form. HCD Schedules, and an Audit report to the State Controller Please answer each question below. Your answers determine which HCD SCHEDULES must be completed in order for the agency to fulfill the statutory requirement to report LMIHF housing activity and fund balances for the reporting period. 1. Check one of the items below to identify the Agency's status at the end of the reporting period: ❑ New (Agency formation occurred during reporting year. No financial transactions were completed). Active (Financial and/or housing transactions occurred during the reporting year) ❑ Inactive (No financial and/or housing transactions occurred during the reporting year). ONLY COMPLETE ITEM 7 ❑ Dismantled (Agency adopted an ordinance to dissolve itself). ONLY COMPLETE ITEM 7 2. How many adopted project areas did the agency have during the reporting period? 2 How many project areas were merged during the reporting period? If the agency has one or more adopted project areas, complete SCHEDULE HCD-A for em If the agency has no adopted project areas, DO NOT complete SCHEDULE HCD-A. 3. Within an area outside of any adopted redevelopment project area(s): (a) did the agency destroy or remove any dwelling units or displace any households over the reporting period, (b) does the agency intend to displace any households over the next reporting period, (c) did the agency permit the sale of any owner-occupied unit prior to the expiration of land use controls over the reporting period, and/or (d) did the agency execute a contract or agreement for the construction of any affordable units over the next two years? ❑ Yes (any question). Complete SCHEDULE HCD-B. No (all questions). DO NOT complete SCHEDULE HCD-B. 4. Did the agency have any funds in the Low & Moderate Income Housing Fund during the reporting period? Yes. Complete SCHEDULE HCD-C. ❑ No. DO NOT complete SCHEDULE HCD-C. 5. During the reporting period, were housing units completed within a project area and/or assisted by the a ncy outside a project area? ❑ Yes. Complete all applicable HCD SCHEDULES DI-D7 for each housine prolect completed and HCD SCHEDULE E. [X No. DO NOT complete HCD SCHEDULES D1-D7 or HCD SCHEDULE E. 6. Indicate whether HCD financial and housing activity information has been reported using method A and/or B checked below: [3 A. Forms. All required HCD SCHEDULES A. B. C. DI-D7. and E are attached. ❑ B. On-line (htip://www.hcdcagov/rdco "Lock Report" date: . HCD SCHEDULES not required. _ (Jock date is-shown under "Admin " Area and "Report Change History ) 7. To the best of my knowledge: (a) the representations above (b gency information reported are correct. DECEMBER 21. 2005 Date Signature of Autho ' Agency Representative FINANCE IRECTOR Title 626.569.2121 Telephone Number • IF NOT REQUIRED TO REPORT, SUBMIT ONLYA PAPER COPY OF THIS PAGE. • IFREQUIRED TO REPORT, AND REPORTING BY USING PAPER COPYSCHEDULES SUBMIT THIS PAGEANDALL APPLICABLE HCD FORMS (SCHEDULES A-E) • IFREPORTINGON-LINE, PROOF OF ELECTRONIC REPORTI.NGIS"CONFIRMATION LETTER" UPON LOCKING REPORT • BOTH PAPER COPY REPORTING AND ON-LINE REPORTING REQUIRE A COPY OF THE AUDIT REPORT BE SENT TO: THE STATE CONTROLLER Division of Accoundng and Reporting Local Government Reporting Section 3301 C Street Suite 500--Sacramento, CA 95816 Redevelopment Agency Annual Report - Fiscal Year 20042005 HCD-Cover Cover (7/1/105) Page I of I • • SCHEDULE HCD-A Inside Project Area Activity for Fiscal Year that Ended 06/ 30 / 05 Agency Name: ROSE~MEExAD REDEVELOPMENT Project Area Name: PROJECT AREA NO. 1 I A Preparer's Name, Title K A R OGAWA, FIN D 11~,eparer's E-Mail Address: kogawa@cityofrosemead. org Preparer's Telephone No: 626.569.2121 Preparer's Facsimile No: 626.307.9218 1. Project Area Information GENERAL INFORMATION a. 1. Year I' plan for project area was adopted: 1972 2. Year that plan was last amended (if applicable): 07_24-04 3. Was plan amended after 2001 to extend time limits per Senate Bill 211 (Chapter 741, Statutes of 2001)? Yes_XNo_ 4. Current expiration of plan: 06/ 27 / 2013 mo day yr b. If project area name has changed, give previous name(s) or number: N/A c. Year(s) of any mergers of the project area N/A Identify former project areas that merged: d. Year(s) project area plan was amended involving real property that either. N/A (1) Added property to plan: (2) Removed property from plan: 2. Affordable Housing Replacement and/or Inclusionary or Production Requirements (Section 33413). N/A Pre-1976 project areas not subsequently amended after 1975: Pursuant to Section 33413(d), only Section 33413(a) replacement requirements apply to dwelling units destroyed or removed after 1995. The Agency can choose to apply all or part of Section 33413 to a project area plan adopted before 1976. If the agency has elected to apply all or part of Section 33413, provide the date of the resolution and the applicable Section 33413 requirements addressed in the scope of the resolution. Date: / / mo day yr Resolution Scope (applicable Section 33413 requirements): Post-1975 project areas and geographic areas added by amendment after 1975 to pre-1976 project areas: Both replacement and inclusionary or production requirements of Section 33413 apply. NOTE: Amounts to report on HCD-A lines 3a(1), 3b-3f, and 3i. can be taken from what is reported to the State Controller's Office (SCO) on the Statement of Income and Expenditures as part of the Redevelopment Agency's Financial Transactions Report, except for the reclassifying of Transfers-In from Internal Funds and the reporting of Other Sources as discussed below: Transfers-In from other internal funds: Report the amount of transferred funds on applicable HCD-A, lines 3a-j. For example, report the amount transferred from the Debt Service Fund to the Housing Fund for the deposit of the required set-aside percentagelamount by reporting gross tax increment on HCD-A, Line 39(1) and report the Housing Fund's share of expenditures for debt service on HCD-C, Line 4c. Dc Other Sources: Non-GAAP (Generally Acceptable Accounting Principles) revenues such as from land sales for those agencies using the Land Held for Resale method to record land sales should be reported on HCD-A Line 3d. Housing fund receipts for the repayment of loan principal should be included on HCD-A Line 3h. California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-A Sch A (711/05) Page 1 of 6 i 0 Agency Name: ROSEMEAD REDEVELOPMENT Project Area Name: PROJECT AREA NO. 1 AGENCY Proiect Area Housine Fund Revenues and Other Sources 3. Report all revenues and other sources of funds from this project area which accrued to the Housing Fund over the reporting year. Any income related to agency-assisted housing located outside the project area(s) should be reported as "Other Revenue" on Line 3j. (of this Schedule A), if this project area is named as beneficiary in the authorizing resolution. Any other revenue sources not reported on lines 3a.-3i., should also be reported on Line 3j. Enter on Line 3a(1) the full 100% of gross Tax Increment allocated prior to applicable pass through of funds and deductions for fees (refer to Sections 33401, 33446, & 33676). Compute the required minimum percentage of gross Tax Increment and enter the amount on Line 3a(2)(A) or 3a(2)(B). Next, report the amount of Tax Increment set-aside before any exemption and/or deferral (if amount set-aside is less than required minimum explain the difference). If any amount of Tax Increment was exempted or deferred, in addition to completing lines 3a(4) and/or 3a(5). complete Line 4 and/or Line 5. To determine the amount of Tax Increment deposited to the Housing Fund [Line 3a(6)], subtract allowable amounts exempted [Line 3a(4)] or deferred [Line 3a(5)] from the actual amount allocated to the Housing Fund [Line 3a(3)]. a. Tax Increment: (1) 100%ofGross Allocation: $ 4,588,598 (2) Calculate only I set-aside amount: either A or B below: (A) 20% required by 33334.2 (Line 3a(1) x 20%): $ 917,720 (B) 30% required by 33333.10(8) (Line 3a(1) x 30%): $ (Senate Bill 211, Chapter 741, Statutes of 2001) (3) Amount of set-aside (Line 3a(2)) allocated to Housing Fund $ 917,720 " If, pursuant to Section 33334.3(1), less than the minimum % of Gross Tax Increment (see 3a(2) above) is being allocated from this project area, identify the project area(s) contributing the difference. Explain any other reason(s): (4) Amount Exempted [Health & Safety Code Section 33334.2] (if there is an amount exempted, also complete question #4, next page): ) (5) Amount Deferred [Health & Safety Code Section 33334.6] (if there is an amount deferred, also complete question #5, next page): ) (6) Total deposit to the Housing Fund [result of Line 3a(3) through 3a(5)]: $ 917,720 b. Interest Income: $ 83 c. Rental/Lease Income (combine amounts separately reported to the SCO): $ 406,200 d. Sale of Real Estate: $ e. Grants (combine amounts separately reported to the SCO): $ f. Bond Administrative Fees: $ g. Deferral Repayments (also complete Line 5c(2) on the next page): $ h. Loan Repayments: $ i. Debt Proceeds: $ j. Other Revenue(s) [Explain and identify amount(s)]: MISCELLANEOUS REVENUE $ 454 PREFUNDING OF FUTURE TAX INCRE- $ 0 MENT SET-ASIDE $ $ 454 k. Total Project Area Receipts Deposited to Housing Fund (add lines 3a(6). through 3j.): $1,324,457 California Redevelopment Agencies - Fiscal Year 2004-2005 Sch A (7/1/05) HCD-A Page 2of6 • s ROSEMEAD REDEVELOPMENT Agency Name: AGENCY Project Area Name: PROJECT AREA NO.1 Exemption(s) 4. a. If an exemption was claimed on Page 2, Line 3a(4) to deposit less than the required amount, complete the following information: Check only one of the Health and Safety Code Sections below providing a basis for the exemption: ❑ Section 33334.2(a)(1): No need in community to increase/improve supply of lower or moderate income housing. ❑ Section 33334.2(ax2): Less than the minimum set-aside % (20% or 30%) is sufficient to meet the need- El Section 33334.2(a)(3): Community is making substantial effort equivalent in value to minimum set-aside % (20% or 30%) and has specific contractual obligations incurred before May 1, 1991 requiring continued use of this funding. Note: Pursuant to Section 33334.2(a)(3)(C), this exemption expired on June 30,1993 but contracts entered into prior to May 1, 1991 may not be subject to the exemption sunset. ❑ Other: Specify code section and reason(s): b. For any exemption claimed on Page 2, Line 3a(4) and/or Line 4a above, identify: Date that initial la finding was adopted: / / Resolution # Date sent to HCD: mo day yr mo day yr Adoption date of reporting year finding: / / Resolution # Date sent to HCD: mo day yr mo day yr Deferral(s) 5. a. Specify the authority for deferring any set-aside on Line 3a(5). Check only one Health and Safety Code Section boxes: ® Section 33334.6(d): Applicable to project areas approved before 1986 in which the required resolution was sent to HCD before September 1986 regarding needing tax increment to meet existing obligations. Existing obligations can include those incurred after 1985, if net proceeds were used to refinance pre-1986 listed obligations. Note: The deferral previously authorized by Section 33334.6(e) expired. It was only allowable in each fiscal year prior to July 1, 1996 with certain restrictions. ❑ Other: Specify code Section and reason: b. For any deferral claimed on Page 2, Line 3a(5) and/or Line 5a above, identify: Date that initial 1 finding was adopted: / / Resolution # _ mo day yr Adoption date of reporting year finding: / / Resolution # mo day yr Date sent to HCD: mo day yr Date sent to HCD: / / mo day yr c. A deferred set-aside pursuant to Section 33334.6(d) constitutes indebtedness to the Housing Fund. Summarize the amount(s) of set-aside deferred over the reporting year and cumulatively as of the end of the reporting year: Amount of Prior Cumulative Amount Amount Deferred Deferrals Repaid Deferred (Net of Any Fiscal Year This Reporting FY During Reporting FY Amount(s) Repaid) (1) Last Reporting FY $4,947,087 (2) This Rcportinc FY S 0 3 0 S *4, 947, 087 * The cumulative amount of deferred set-aside should also be shown on HCD-C, Line 8a If the prior FY cumulative deferral shown above differs from what was reported on the last HCD report (HCD-A and HCD-C), indicate the amount of difference and the reason: Difference: S 0 Reason(s): Cal ifomia Redevelopment Agencies -Fiscal Year 2004-2005 HCD-A Sch A (711105) Page 3 of 6 • Agency Name: ROSEMEAD REDEVELOPMENT AGENCY Deferral(s) (continued) • Project Area Name: PROJECT AREA NO. 1 5. d. Section 33334.6(g) requires any agency which defers set-asides to adopt a plan to eliminate the deficit in subsequent years. If this agency has deferred set-asides, has it adopted such a plan? Yes K] No ❑ If yes, by what date is the deficit to be eliminated? 06 / 30 /2023 mo day yr If yes, when was the original plan adopted for the claimed deferral? 10 / 12 /93 mo day yr IdentifyResolution# 93-27 Date Resolution sent to HCD / / EVERY YEAR WITH REPORT mo day yr When was the last amended plan adopted for the claimed deferral? / / mo day yr N/A Identify Resolution # Date Resolution sent to HCD / / N/A mo day yr Actual Project Area Households Displaced and Units and Bedrooms Lost Over Reporting Year: 6. a. Redevelopment Project Activity. Pursuant to Sections 33080.4(a)(1) and (a)(3), report by income category the number of elderly and nonelderly households permanently displaced and the number of units and bedrooms removed or destroyed, over the reporting year, (refer to Section 33413 for unit and bedroom replacement requirements). Nnmhar of Finncahnidc/1lnite/Radrnnme Project Activity VL L M AM Total Households Permanently Displaced - Elderly Households Permanently Displaced - Non Elderly Households Permanently Displaced -Total Units Lost (Removed or Destroyed) and Required to be Replaced Bedrooms Lost (Removed or Destroyed) and Required to be Replaced Above Moderate Units Lost That Agency is Not Required to Replace Above Moderate Bedrooms Lost That Agency is Not Required to Replace b. Other Activity. Pursuant to Sections 33080.4(a)(1) and (a)(3) based on activities other than the destruction or removal of dwelling units and bedrooms reported on Line 6a report by income category the number of elderly and nonelderly households permanently displaced over the reporting year: NumhPr of Aameahnldt Other Activity VL L M AM Total Households Permanently Displaced - Elderly Households Permanently Displaced - Non Elderly Households Permanently Displaced - Total c. As required in Section 33413.5, identify, over the reporting year, each replacement housing plan required to be adopted before the permanent displacement, destruction, and/or removal of dwelling units and bedrooms impacting the households reported on lines 6a. and 6b. N/A Date / / Name of Agency Custodian mo day yr Date mo Name of Agency Custodian day yr Please attach a separate sheet of paper listing any additional housing plans adopted. California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-A Sch A (7/1/05) Page 4 of 6 • • Agency Name: ROSEMEAD REDEVELOPMENT Project Area Name: PROJECT AREA NO.1 AGENCY Estimated Project Area Households to be Permanently Displaced Over Current Fiscal Year: 7. a. As required in Section 33080.4(a)(2) for a redevelopment project of the agency, estimate, over the current fiscal year, the number of elderly and nonelderly households, by income category, expected to be permanently displaced. (Note: actual displacements will be reported for the next reporting year on Line 6). N/A Number of Households Project Activity VL L M AM Total Households Permanently Displaced - Elderly Households Permanently Displaced - Non Elderly Households Permanently Displaced - Total b. As required in Section 33413.5, for the current fiscal year, identify each replacement housing plan required to be adopted before the permanent displacement, destruction, and/or removal of dwelling units and bedrooms impacting the households reported in 7a. Date / / mo day yr Date / / mo day yr Name of Agency Custodian Name of Agency Custodian I Please attach a separate sheet of paper listing any additional housing plans adopted. Units Developed Inside the Proiect Area to Fulfill Requirements of Other Project Area(s) 8. Pursuant to Section 33413(b)(2)(A)(v), agencies may choose one or more project areas to fulfill another project area's requirement to construct new or substantially rehabilitate dwelling units, provided the agency conducts a public hearing and finds, based on substantial evidence, that the aggregation of dwelling units in one or more project areas will not cause or exacerbate racial, ethnic, or economic segregation. NONE Were any dwelling units in this project area developed to partially or completely satisfy another project area's requirement to construct new or substantially rehabilitate dwelling units? ❑ No. ❑ Yes. Date initial finding was adopted? / / Resolution # Date sent to HCD: mo day yr mo day yr Cal ifornia Redevelopment Agencies - Fiscal Year 2004-2005 HCD-A Sch A (711i05) Page 5 of 6 Agency Name: Section 33413(c)(2)(A) specifies that pursuant to an adopted program, which includes but is not limited to an equity sharing program, agencies may permit the sale of owner-occupied units prior to the expiration of the period of the land use controls established by the agency. Agencies must deposit sale proceeds into the Low and Moderate Income Housing Fund and within three (3) years from the date the unit was sold, expend funds to make another unit equal in affordability, at the same income level, to the unit sold. a. Sales. Did the agency permit the sale of any owner-occupied units during the reporting year'. E$No ❑Yes Project Area Name: 0 PROJECT AREA NO. 1 Sales of Owner-Occupied Units Inside the Proiect Area Prior to the Expiration of Land Use Controls 9. b. Were reporting year funds spent to make units equal in affordability to units sold over the last three reporting years? $ Total LMIHF Spent On Equal Units Over Reporting Year Number of Units SALES VL L M Total Units Made Equal This Reporting Yr to Units Sold Over This Reporting Yr Units Made Equal This Reporting Yr to Units Sold One Reporting Yr Ago Units Made Equal This Reporting Yr to Units Sold Two Reporting Yrs Ago Units Made Equal This Reporting Yr to Units Sold Three Reporting Yrs Ago Affordable Units to be Constructed Inside the Project Area Within Two Years 10. Pursuant to Section 33080.4(a)(10), report the number of very low, low, and moderate income units to be financed by any federal, state, local, or private source in order for construction to be completed within two years from the date of the agreement or contract executed over the reporting year. Identify the project and/or contractor, date of the executed agreement or contract, and estimated completion date. Specify the amount reported as an encumbrance on HCD-C, Line 6a. and/or any applicable amount designated on HCD-C, Line 7a. such as for capital outlay or budgeted funds intended to be encumbered for project use within two years from the reporting year's agreement or contract date. - N /A DO NOT REPORT ANY UNITS ON THIS SCHEDULE A THAT ARE REPORTED ON OTHER HCD-As, B, OR Ds. Col A Col B Col C Col D Col E Name of Agreement Estimated Sch C Amount Sch C Amount Project and/or Execution Completion Date Encumbered Designated Contractor Date (w/in 2 rs of Col B Ine 6a Line 7a VL L M Total $ $ S $ S S Please attach a separate sheet of paper to list additional information. 0 ROSEMEAD REDEVELOPMENT AGENCY E- Total Proceeds From Sales Over Reporting Year Number of Units SALES VL L M Total Units Sold Over Reporting Year Equal Units. [XNo ❑Yes California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-A Sch A (711/05) Page 6 of 6 E SCHEDULE HCD-C • Agency-wide Activity for Fiscal Year Ended 06 / 30 / 05 Agency Name:ROSEMEAD REDEVLOPEMENT County: LOS ANGELES AGENCY Preparet'sName,Title: KAREN OGAWA, FIN DI RPreparer's E-Mail Address: kogawa@cityofrosemead.org Preparer's Telephone No: 6 2 6.5 6 9.2121 Preparer's Facsimile No: 6 2 6.3 0 7.9 218 Low & Moderate Income Housine Funds Report on the "status and use of the agency's Low and Moderate Income Housing Fund." Most information reported here should be based on information reported to the State Controller. 1. Beginning Balance (Use "Net Resources Available" from last fiscal year report to HCD) a. If Beginning Balance requires adiustment(s).describe and provide dollar amount (positive/negative) making up total adjustment: Use < $ > for negative amounts or amounts to be subtracted. $ $ b. Adjusted Beginning Balance [Beginning Balance plus + or minus Total Adjustment(s)] 2. Project Area(s) Receipts and Housing Fund Revenues a. Total Project Area(s) Receipts. Total Summed amount of HCD-Schedule A(s) (from Line 3k) $ 1,498,940 $1,498,940 $ 1,324,457 b. Housing Fund Resources not reported on HCD Schedule -A(s) Describe and Provide Dollar Amount(s) (Positive/Negative) Making Up Total Housing Fund Resources c. Total Housing Fund Resources $ 3. Total Resources (Line lb. +Line 2a+Line 2c.) $2,823,397 NOTES: Many amounts to report as Expenditures and Other Uses (beginning on the next page) should be taken from amounts reported to the State Controller's Office (SCO). Review the SCO's Redevelopment Agencies Financial Transactions Report. Housing Fund "transfers-out" to other internal Agency funds: Report the specific use of all transferred funds on applicable lines 4a.-k of Schedule C. For example, transfers from the Housing Fund to the Debt Service Fund for the repayment of principal and interest of debt proceeds deposited to the Housing Fund should be reported on the applicable item comprising HCD-C Line 4c, providing tax increment (gross and deposit amounts) were reported on Sch-As. External transfers out of the Agency should be reported on HCD-C Line 4j (e.g.: transfer of excess surplus to the County Housing Authority). Other Uses: Non-GAAP (Generally Accepted Accounting Principles) recording of expenditures such as land purchases for agencies using the Land Held for Resale method to record land purchases should be reported on HCD-C Line 4a(1). Funds spent resulting in loans to the Housing Fund should be included in HCD-C lines 4b., 4f., 4g., 4h., and 4i as appropriate. The statutory cite pertaining to Community Redevelopment Law (CRL) is provided for preparers to review to determine the appropriateness of Low and Moderate Income Housing Fund (LMIHF) expenditures and other uses HCD does not represent that line items identifying any expenditures and other uses are allowable CRL is accessible on the Internet 1website: htW://www.leginfo.ca.gov/ (California Latv)J beginning with Section 33000 of the Health and Safety Code Cal ifornia Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C Sch C (7nro5) Page I of 8 0 0 Agency Name: ROSEMEAD REDEVELOPMENT AGENCY 4. Expenditures, Loans, and Other Uses a. Acquisition of Property & Building Sites [33334.2(e)(1)] & Housing [33334.2(e)(6)1: (1) Land Purchases (Investment - Land Held for Resale) " $ (2) Housing Assets (Fixed Asset) * $ (3) Acquisition Expense $ (4) Operation of Acquired Property $ (5) Relocation Costs $ (6) Relocation Payments $ (7) Site Clearance Costs $ (8) Disposal Costs $ (9) Other [Explain and identify amount(s)]: * Reported to SCO as part of Assets and Other Debts (10) Subtotal PropertyBuilding Sites/Housing Acquisition (Sum of Lines 1 - 9) $ b. Subsidies from Low and Moderate Income Housine F (1) 1" Time Homebuyer Down Payment Assistance $ (2) Rental Subsidies $ (3) Purchase of Affordability Covenants [33413(b)2(B)] $ (4) Other [Explain and identify amount(s)]: (5) Subtotal Subsidies from LMIHF (Sum of Lines 1 - 4) c. Debt Service [33334.2(e)(9)]. If paid from LMIHF, report LMIHF's share of debt service. If paid from Debt Service Fund, ensure "gross" tax increment is reported on HCD-A(s) Line 3a(1). (1) Debt Principal Payments (a) Tax Allocation, Bonds & Notes $ (b) Revenue Bonds & Certificates of Participation $ (c) City/County Advances & Loans $ (d) U. S. State & Other Long-Term Debt $ (2) Interest Expense $ (3) Debt Issuance Costs $ (4) Other [Explain and identify amount(s)]: REPAYMENT FOR ADVANCE S469,142 DEPOSIT $ PAYMENT FOR 20% TAX INCR$ 448,578 $ 917,720 (5) Subtotal Debt Service (Sum of Lines I - 4) $ 917,720 d. Planning and Administration Costs f33334.3(e)(1 (1) Administration Costs $ 219,600 (2) Professional Services (non proiect specific) $9,166 (3) Planning/Survey/Design (non project specific) $ (4) Indirect Nonprofit Costs [33334.3(e)(1)(B)] $ (5) Other [Explain and identify amount(s)]: MANAGEMENT CO. SERVICE $ (801) OTHER OPERATIN E P. $T7f57 $ $243,914 (6) Subtotal Planning and Administration (Sum of Lines l - 5) $ 472,680 California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C Sch C (7/l/05) Page 2 of 10 0 0 Agency Name: ROSEMEAD REDEVELOPMENT AGENCY 4. Expenditures, Loans, and Other Uses (continued) e. On/Off-Site Improvements [33334.2(e)(2)] Complete item 13 $ f. Housing Construction [33334.2(e)(5)] $ g. Housing Rehabilitation [33334.2(e)(7)] $ h. Maintenance of Mobilehome Parks [33334.2(e)(10)] $ i. Preservation of At-Risk Units [33334.2(e)(11)] $ j. Transfers Out of Agency (1) For Transit village Development Plan (33334.19) $ (2) Excess Surplus [33334.12(a)(1)(A)] $ (3) Other (specify code section authorizing transfer and amount) A. Section $ B. Section $ Other Transfers Subtotal $ (4) Subtotal Transfers Out of Agency (Sum of j(1) through j(3)) $ k. Other Expenditures, Loans, and Uses [Explain and identify amount(s)]: MISCELLANEOUS EXPENSES s 0 Subtotal Other Expenditures, Loans, and Uses -S 132 , 000 Total Expenditures, Loans, and Other Uses (Sum of lines 4a.-k.) $ 1,522,400 5. Net Resources Available [End of Reporting Fiscal Year] 1,300,997 [Page 1, Line 3, Total Resources minus Total Expenditures, Loans, and Other Uses on Line 4.1.] $ 6. Encumbrances and Unencumbered Balance a. Encumbrances. Amount of Line 5 reserved for future payment of legal contract(s) or agreement(s). See Section 33334.12(gx2) for definition. $ Refer to item 10 on Sch-A(s) and item 4 on Sch-B. b.U nencumbered Balance (Line 5 minus Line 6a). Also enter on Page 4, Line 1 la. $1,300,997 7. Designated/Undesignated Amount of Available Funds a. Designated From Line 6b- Budgeted/planned to use near-term $ Refer to item 10 on Sch-A(s) and item 4 on Sch-B b. Undesignated From Line 6b- Portion not vet budgeted/planned to use $ 1, 300, 997 8. Other Housing Fund Assets (non recurrent receivables) not included as part of Line 5 a. Indebtedness from Deferrals of Tax Increment (Sec. 33334.6) [refer to Sch-A(s), Line 5c (2)]. $ 4,947,087 b. Value of Land Purchased with Housing Funds and Held for Development of Affordable Housing. Complete Sch-C item 14. $ c. Loans Receivable for Housing Activities $ d. Residual Receipt Loans (periodic/fluctuating payments) $ e. ERAF Loans Receivable (all years) (Sec. 33681) $ f. Other Assets [Explain and identify amount(s)]: s 9. Total Other Housing Fund Assets (Sum of lines 8a: f.) $ 4,947,087 9. TOTAL FUND EQUTTY[Line 5 (Net Resources Available) +8g (Total Other Housing Fund Assets]$ 6,248,084 Compare Line 9 to the below amount ~ reported to the SCO (Balance Sheet of Redevelopment Agencies Financial ULATIVEeA i xN dtf ~p ,sRand ' EISentifyamount(s)]: $(4,947,087) Dt tti ~E $ $ (4, 947, 08 l ENTER LOW-MOD FUND TOTAL EQUITIES (BALANCE SHEET) REPORTED TO SCO $ 1,300,997 Cal ifomia Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C Sch C (7/l/05) Page 3 of 10 Agency Name: ! 0 ROSEMEAD REDEVELOPMENT AGENCY Excess Surplus Information Pursuant to Section 33080.7 and Section 33334.12(gx 1), report on Excess Surplus that is required to be determined on the first day of a fiscal year. Excess Surplus exists when the Adjusted Balance exceeds the greater of: (1) $1,000,000 or (2) the aggregate amount of tax increment deposited to the Housing Fund during the prior four fiscal years. Section 33334. l2(gx3XA) and (B) provide that the Unencumbered Balance can be adjusted for: (1) any remaining revenue generated in the reporting year from unspent debt proceeds and (2) if the land was disposed of during the reporting year to develop affordable housing, the difference between the fair market value of land and the value received. The Unencumbered Balance is calculated by subtracting encumbrances from Net Resources Available. "Encumbrances" are funds reserved and committed pursuant to a legally enforceable contract or agreement for expenditure for authorized redevelopment housing activities [Section 33334.12(8)(2)]. For Excess Surplus calculation purposes, carry over the prior year's HCD Schedule C Adjusted Balance as the Adjusted Balance on the first day of the reporting fiscal year. Determine which is larger: (1) $1 million or (2) the total of tax increment deposited over the prior four years. Subtract the largest amount from the Adjusted Balance and, if positive, report the amount as Excess Surplus. 10. Excess Surplus: Complete Columns 2, 3, 4, & 5 to calculate Excess Surplus for the reporting year. Columns 6 and 7 track prior years' Excess Surplus. Column 1 Column 2 Column 3 Column 4 Column 5 Column 6 Column 7 Stun of Tax Current Current Amount 4 Prior and Current Reporting Years Total Tax Increment Deposits to Housing Fund Increment Deposits Over Prior Four FYs Reporting Year 1" Day Adjusted Balance Reporting Year I" Day Excess Surplus Balances Expended/Encumbered Against FY Balance of Excess Surplus as of End of Reporting Year Remaining Excess Surplus for Each Fiscal Year as of End of Reporting Year 4RptYrsAgo Fy2000-01 $ 709,551 $ $ $ 3RRtYrsAgo FY2001-02 $ 769,135 S $ $ 2 RR t Yrs Ago FY 2002-0 760,010 $ $ $ 1 I2►t Yr Ago FY2003-04 $ 863,675 $ $ $ CURRENT Sum of Column 2 Last Year's Sch C Col 4 minus: larKer Reporting Adiusted Balance of Col 3 or $lmm Year (report pgsitive FY2004-05 $3,102,371 $ 0 $ 0 $ $ 11. Reporting Year Ending Unencumbered Balance and Adjusted Balance: a. Unencumbered Balance (End of Year) [Page 3, Line 6b] $ 1,300,997 b. If eligible, adjust the Unencumbered Balance for: (1) Debt Proceeds [33334.12(gx3)(B)]: Identify n en debt proceeds and related income remaining at end of reporting year $ (2) Land Conveyance Losses [(33334.12(g)(3)(A))]: Identify reporting year losses from sales/grants/leases of land acquired with low-mod funds, if 49% or more of new or rehabilitated units will be affordable to lower-income households $ 12. Adjusted Balance (for next Year's determination of Excess Surplus) [Line l la minus sum of l lb(1) and I lb(2)] $ Note: Do not enter Adjusted Balance in Coll 4. It is to be reported as next year's 1st day amount to determine Excess Surplus a. If there is remaining Excess Surplus from what was determined on the first day of the reporting year, describe the agency's plan (as specified in Section 33334.10) for transferring, encumbering, or expending excess surplus: b. If the plan described in 12a. was adopted, enter the plan adoption date: California Redevelopment Agencies -Fiscal Year 2004-2005 Sch C (7/1/05) mo day yr HCD-C Page 4 of 10 Agency Name: ROSEEMAD REDEVELOPMENT AGENCY Miscellaneous Uses of Funds 13. If an amount is reported in 4e., pursuant to Section 33080.4(ax6), report the total number of very low-, low-, and moderate-income households that directly benefited from expenditures for onsite/offsite improvements which resulted in either new construction, rehabilitation, or the elimination of health and safety hazards. (Note: If Line 4e of this schedule does not show expenditures for improvements, no units should be reported here.) N/A Income Level Households Constructed Households Rehabilitated Households Benefiting from Elimination of Health and Safety Hazard Duration of Deed Restriction Very Low Low Moderate 14. If the agency is holding land for future housing development (refer to Line 8b), summarize the acreage (round to tenths, do not report square footage), zoning, date of purchase, and the anticipated start date for the housing development. No. of Purchase Estimated Date Site NametUcation* Acres Zoning Date Available Comments Please attach a separate sheet of paper listing any additional sites not reported above. 15. Section 33334.13 requires agencies which have used the Housing Fund to assist mortgagors in a homeownership mortgage revenue bond program, or home financing program described in that Section, to provide the following information: a. Has your agency used the authority related to definitions of income or family size adjustment factors provided in Section 33334.13(a)? Yes ❑ No ❑ Not Applicable ❑ b. Has the agency complied with requirements in Section 33334.13(b) related to assistance for very low-income households equal to twice that provided for above moderate-income households? Yes ❑ No ❑ Not Applicable ❑ - Cal ifornia Redevelopment Agencies -Fiscal Year 2004-2005 HCD-C Sch C (7/l/05) Page 5 of 10 • • Agency Name: ROSEMEAD REDEVELOPMENT AGENCY 16. Did the Agency use non-LMIHF funds as matching funds for the Federal HOME or HOPE program during the reporting period? YES ❑ NO ❑ If yes, please indicate the amount of non-LMIHF funds that were used for either HOME or HOPE program support. HOME $ HOPE $ 17. Pursuant to Section 33080.4(a)(11), the agency shall maintain adequate records to identify the date and amount of all LMIHF deposits and withdrawals during the reporting period. To satisfy this requirement, the Agency should keep and make available upon request any and all deposit and withdrawal information. DONOTSUBMITANYDOCUMENTS/RECORDS. Has your agency made any deposits to or withdrawals from the LMlHF? Yes ❑ No EN If yes, identify the document(s) describing the agency's deposits and withdrawals by listing for each document, the following (attach additional pages of similar information below as necessary): Name of document (e.g. ledger, journal, etc.): LOW AND MODERATE FUND (H C D- C LINE 17) Name of Agency Custodian (person): KAREN O G A W A Custodian's telephone number: 626,569,2121 Place where record can be accessed: CITY OF R O S EM E A D 8838 EAST VALLEY BOULEVARD ROSEMEAD, CA 91770 Name of document (e.g. ledger, journal, etc.): Name of Agency Custodian (person): Custodian's telephone number: Place where record can be accessed: 18. Use of Other (non Low-Mod Funds) Redevelopment Funds for Housine Please briefly describe the use of any non-LMIHF redevelopment funds (i.e., contributions from the other 80% of tax increment revenue or other non Low-Mod funds) to construct, improve, assist, or preserve housing in the community. N/A 19. Sueeestions/Resource Needs Please provide suggestions to simplify and improve future agency reporting and identify any training, information, and/or other resources, etc. that would help your agency to more quickly and effectively use its housing or other funds to increase, improve, and preserve affordable housing? 20. Annual Monitoring Reports of Previously Completed Affordable Housine Pro9ects/Programs (H&SC 33418) Were all Annual Monitoring Reports received for all prior years' affordable housing projects/programs? Yes ❑ No ❑ California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C sch C (7ni05) Page 6 of 10 Agency Name: ROSEMEAD REDEVELOPMENT AGENCY 21. Excess Surplus Expenditure Plan (H&SC 33334.10(2) California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C Sch C (7/1105) Page 7 of 10 Agency Name: • • ROSEMEAD REDEVELOPMENT AGENCY 22. Foot note area to incorporate any additional information. California Redevelopment Agencies - Fiscal Year 2004-2005 HCD-C Sch C (7/1/05) Page 8 of 10 Agency Name: ROSEMEAD REDEVELOPMENT AGENCY 23. Project Achievement and HCD Director's Award for Housing Excellence Project achievement information is optional but can serve important purposes: Agencies' achievements can inform others of successful redevelopment projects and provide instructive information for additional successful projects. Achievements may be included in HCD's Annual Report of Housing Activities of California Redevelopment Agencies to assist other local agencies in developing effective and efficient programs to address local housing needs. In addition, HCD may select various projects to receive the Director's Award for Housing Excellence. Projects may be selected based on criteria such as local affordable housing need(s) met, resources utilized, barriers overcome, and project innovation/complexity, etc. Project achievement information should only be submitted for one affordable residential project that was completed within the reporting year as evidenced by a Certificate of Occupancy. The project must not have been previously reported as an achievement. To publish agencies' achievements in a standard format, please complete information for each underlined category below addressing suggested topics in a narrative format that does not exceed two pages (see example, next page). In addition to submitting information with other HCD forms to the State Controller, please submit achievement information on a 3.5 inch diskette and identify the software type and version For convenience, the diskette can be separately mailed to: HCD Policy Division, 1800 3'd Street, Sacramento, CA 95814 or data can be emailed by attaching the file and sending it to: dmckellnccdca.~ov or rleU@hcd.ca.gov. AGENCY INFORMATION • Project Type (Choose one of the categories below and one kind of assistance representing the rim project type) New/Additional Units (Previously Unoccupied/Uninhabitable): Existing Units (Previously Occupied) - New Construction to own - Rehabilitation of Owner-Occupied - New Construction to rent - Rehabilitation of Tenant-Occupied - Rehabilitation to own - Acquisition and Rehabilitation to Own - Rehabilitation to rent - Acquisition and Rehabilitation to Rent - Adaptive Re-use - Mobilehomes/Manufactured Homes - Mixed Use Infrll - Payment Assistance for Owner or Renter - Mobilehomes/Manufactured Homes - Transitional Housing - Mortgage Assistance - Other (describe) - Transitional Housing - Other (describe) • Agency Name: • Agency Contact and Telephone Number for the Project: DESCRIPTION • Project Name • Clientele served [owner, renter, income group, special need (e.g. large family or disabled), etc.] • Number and type of units and location, density, and size of project relative to other projects, etc. • Degree of affordability/assistance rendered to families by project, etc. • Uniqueness (land use, design features, additional services/amenities provided, funding sources/collaboration, before/after project conversion such as re-use, mixed use, etc.) • Cost (acquisition, clean-up, infrastructure, conversion, development, etc.) HISTORY • Timeframe from planning to opening • Barriers/resistance (legal/financiallcommunity, etc.) that were overcome • Problems and creative solutions found • Lessons learned and/or recommendations for undertaking a similar project AGENCY ROLE AND ACHIEVEMENT • Degree of involvement with concept, design, approval, financing, construction, operation, and cost, etc. • Specific agency and/or community goals and objectives met, etc. California Redevelopment Agencies- Fiscal Year 2004-2005 HCD-C sch C (7/1/05) Page 9 of 10 Agency Name: • 0 ROSEMEAD REDEVELOPMENT AGENCY ACHIEVEMENT Z'x-_A MPLF Proiect Tvne: NEW CONSTRUCTION- OWNER OCCUPIED Redevelopment Agency Contact: Name (Area Code) Telephone # Project/Program Name: Project or Program Description During the reporting year, construction of 12 homes was completed. Enterprises, which specializes in community self-help projects, was the developer, assisting 12 families in the construction of their new homes. The homes took 10 months to build. The families' work on the homes was converted into "sweat equity" valued at $15,000. The first mortgage was from CHFA. Families were also given an affordable second mortgage. The second and third mortgage loans were funded by LMIHF and HOME funds. History The (City or Coun!y) of struggled for several years over what to do about the area. The tried to encourage development in the area by rezoning a large portion of the area for multi-family use, and twice attempted to create improvement districts. None of these efforts were successful and the area continued to deteriorate, sparking growing concern among city officials and residents. At the point that the Redevelopment Agency became involved, there was significant ill will between the residents of the and the (City or County). The introduced the project in with discussions of how the Agency could become involved in improving the blighted residential neighborhood centering on . This area is in the core area of town and was developed with disproportionately narrow, deep lots, based on a subdivision plat laid in 1950. Residents built their homes on the street frontages of and leaving large back-lot areas that were landlocked and unsuitable for development, having no access to either avenue. The Agency worked with 24 property owners to purchase portions of their properties. Over several years, the Agency purchased enough property to complete a tract map creating access and lots for building. Other non-profits have created an additional twelve affordable homes. Agency Role The Agency played the central role. The Project is a classic example of successful redevelopment. All elements of blight were present: irregular, land-locked parcels without access; numerous property owners; development that lagged behind that of the surrounding municipal property; high development cost due to need for installation of street improvements, utilities, a storm drain system, and undergrounding of a flood control creek; and a low-income neighborhood in which property sale prices would not support high development costs. The Agency determined that the best development for the area would be single-family owner-occupied homes. The Agency bonded its tax increment to fund the off-site improvements. A tract map was completed providing for the installation of the street improvements, utilities, storm drainage, and the undergrounding of Creek. These improvements cost the Agency approximately $1.5 million. In lieu of using the eminent domain process, the Agency negotiated with 22 property owners to purchase portions of their property, allowing for access to the landlocked parcels. This helped foster trust and good will during the course of the negotiations. The Project got underway once sufficient property was purchased. California Redevelopment Agencies -Fiscal Year 2004-2005 HCD-C Sch C (7/!/05) Page 10 of 10 • 11 Exhibit D Property Report Annual Report 20042005 Exhibit D Rosemead Community Development Commission 0 • Rosemead Community Development Commission Annual Property Report 2004-2005 The Rosemead Community Development Commission (the "Commission") has prepared this Property Report for fiscal year 2004-2005 pursuant to Health & Safety Code Section 33080.1 (f) that states: "...The annual report shall contain all of the following: (f) A description of the total number and nature of the properties that the agency owns and those properties the agency has acquired in the previous fiscal year." Number of Properties Owned by the Commission: One Nature of Properties Owned by the Commission: property consists of a vacant commercial parcel of 6,970 square feet. Commission Acquired in Previous Fiscal Year: None