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CC - Item 8F - Resolution to Comply With AB 936 (HUEOSE)• 1 q 0 7 ML TO: MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGER DATE: JANUARY 24, 2012 SUBJECT: RESOLUTION TO COMPLY WITH AB 936 (HUESO) SUMMARY Last year the State legislature adopted AB 936 (Hueso), which requires a redevelopment agency to adopt a resolution before February 1, 2012 declaring whether or not it has forgiven the repayment of a loan, advance, or indebtedness owed between the a agency or a city during the period of time between January 1, 2010 and December 31, 2011. Based on a review of the documents, it has been determined that neither the Rosemead Community Development Commission nor the City have forgiven loans, advances or indebtedness owed to each other for the period of January 1, 2010 to December 31, 2011. To comply with the law, the City Attorney has advised that resolutions making such declarations be adopted by both the Community Development Commission and the City Council. Recommendation: That the City Council adopt the attached Resolution declaring that no loans, advances or other indebtedness have been forgiven between the Commission and the City of Rosemead between January 1, 2010 and December 31, 2011. BACKGROUND /ANALYSIS AB 936 (Hueso) was adopted by the legislature in 2011 prior to the enactment of ABx1 26 and ABx1 27 and the freeze on all redevelopment activities. The provisions of this bill have been codified into the California Redevelopment Law as Section 33354.8 of the California Health and Safety Code. This law requires that redevelopment agencies adopt a resolution after January 1, 2012 and prior to February 1, 2012, declaring whether or not it has forgiven, during the period of time commencing January 10, 2010, and ending December 21, 2011, the repayment, wholly or partially, of a loan, advance, or indebtedness that has been owed to the Agency by a public body. The City Attorney has made staff aware of this requirement and advised that the Community Development Commission and City Council each adopt such resolutions. Attachment — Resolution APPROVED FOR CITY COUNCIL AGENDA: I► CITY COUNCIL RESOLUTION NO. 2012 -09 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD MAKING A DECLARATION UNDER HEALTH AND SAFETY CODE SECTION 33354.8 THAT, DURING THE PERIOD FROM JANUARY 1, 2010, TO DECEMBER 31, 2011, THE CITY HAS NOT FORGIVEN THE REPAYMENT, WHOLLY OR PARTIALLY, OF ANY LOAN, ADVANCE, OR INDEBTEDNESS OWED TO THE CITY BY THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION WHEREAS, the City of Rosemead ( "City ") is a California municipal corporation organized and existing under the laws of the State of California; and WHEREAS, the Rosemead Community Development Commission, a public body, corporate and politic ( "Commission "), is the redevelopment agency performing redevelopment functions within the territorial limits of the City pursuant to the California Community Redevelopment Law (Health & Safety Code § 33000, et seq.); and WHEREAS, the California Community Redevelopment Law, pursuant to Section 33354.8 of the California Health and Safety Code, requires that the City (a public body) adopt a resolution after January 1, 2012 and prior to February 1, 2012, declaring whether or not it has forgiven, during the period of time commencing January 1, 2010, and ending December 31, 2011, the repayment, wholly or partially, of a loan, advance, or indebtedness that has been owed to the City by the Commission; and WHEREAS, Section 33354.8 of the California Health and Safety Code also requires that within ten (10) days after the adoption of the resolution, the Commission transmit a copy of the resolution to the California State Controller. NOW, THEREFORE, the City Council of the City of Rosemead resolves as follows: Section One Based upon the best knowledge of City staff and the City Council, during the period between January 1, 2010, and December 31, 2011, the City has not forgiven the repayment, wholly or partially, of a loan, advance, or indebtedness that has been owed to the City by the Commission. Section Two. Not later than ten (10) days after the adoption of this Resolution, the City Clerk shall transmit a copy of this Resolution to the California State Controller. APPROVED and ADOPTED this 24` day of January, 2012. STEVEN LY, MAYOR ATTEST: Gloria Molleda, City Clerk APPROVE AS TO FORM: Rachel Richman, City Attorney