OB - Agenda - 09-16-13Public Comment from the Audience
• If you wish to address the Oversight
Board, please complete a Speaker
Request Card, as it must be handed to
the City Clerk before the start of the
meeting.
• The Board will hear public comments on
matters not listed on the agenda during
the Public Comments from the
Audience period.
• Opportunity to address the Board (on
non - agenda items) is limited to 3
minutes per speaker.
• The Board will hear public comments on
items listed on the agenda during
discussion of the matter and prior to a
vote.
Brown Act
Pursuant to provisions of the Brown Act, no
action may be taken on a matter unless it is
listed on the agenda, or unless certain
emergency or special circumstances exist.
The Board may direct staff to investigate
and /or schedule certain matters for
consideration at a future Board meeting.
Rules of Decorum
Persons attending the meeting shall observe
rules of propriety, decorum, good conduct,
and refrain from impertinent or slanderous
remarks. Violation of this rule shall result in
such persons being barred from further
audience before the governing body.
Pursuant to Gov. Code Sect. 54954.3(c),
any person who engages in unlawful
interference shall be removed from
chambers.
Americans with Disabilities Act
In compliance with the ADA, if you need
special assistance to participate in this
meeting, please contact the City Clerk's
office at least 48 hours prior to the meeting
to allow the City to make reasonable
arrangements to ensure accessibility to the
meeting or service.
This agenda was posted 72 hours in
advance of the meeting at the City Hall,
8838 E. Valley Boulevard, Rosemead; the
L.A. County Library, Rosemead Branch,
8800 E. Valley Boulevard, Rosemead; and
other locations pursuant to RMC Sec.
1.08.020. Any writings or documents
provided to a majority of the Rosemead
Oversight Board regarding any item on this
agenda will be made available for public
inspection in the City Clerk's office during
normal business hours.
Rosemead
Oversight
Board
for the
Successor Agency to the
Rosemead Community
Development Commission
SPECIAL MEETING AGENDA
September 16, 2013
5:00 PM
City Hall Council Chamber
8838 E. Valley Boulevard
Rosemead, CA 91770
www.cityofrosemead.org
Jeff Allred, Board Member
Marty Jones, Board Member
Robert Miller, Board Member
Irene Redondo - Churchward, Board Member
Dalila Sotelo, Board Member
Pat Wallach, Chair
Nicole Lash, Vice -Chair
ROSEMEAD OVERSIGHT BOARD SPECIAL MEETING AGENDA
September 16, 2013
Oversight Board
Special Meeting Agenda
• CALL TO ORDER— 5:00 PM
• PLEDGE OF ALLEGIANCE — Board Member Allred
ROLL CALL:
Chair Wallach, Vice -Chair Lash, Board Members Allred, Jones, Miller, Redondo -
Churchward, Sotelo
PUBLIC COMMENTS FROM THE AUDIENCE
The Oversight Board will receive public comments on matters not listed on the agenda.
2. CONSENT CALENDAR
A. Minutes
May 13, 2013 — Regular Meeting
June 12, 2013 — Regular Meeting
3. MATTERS FROM STAFF OF THE ROSEMEAD SUCCESSOR AGENCY
A. Chamber Loan Agreement
On October 8, 2012, the Oversight Board approved modifications to the loan agreement
between the former Community Development Commission and the Rosemead Chamber of
Commerce (Chamber). Under the modifications, the first payment, due on July 1, 2012, was
amortized over the subsequent three years of the term without any penalties or interest. Per
the attached letter, the Chamber is requesting that the payments due July 1, 2013 and July
1, 2014 be suspended and one lump sum payment be made on July 1, 2015 for the entire
$25,000 amount. The requested modifications are permitted under the Health and Safety
Code since the debt is not being forgiven and the final payment period is not being extended.
Additionally, the loan will continue to be secured by the real property owned by the Chamber
and used as their offices.
Recommendation: That the Oversight Board provide direction regarding the requested loan
modification. If the Oversight Board is willing to approve the modifications as requested, the
Oversight Board needs to approve Resolution 2013 -0009, entitled:
Page 2 of 4
ROSEMEAD OVERSIGHT BOARD SPECIAL MEETING AGENDA
September 16, 2013
A RESOLUTION OF THE OVERSIGHT BOARD FOR THE
SUCCESSOR AGENCY TO THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION APPROVING REVISED TERMS
FOR THE PROMISSORY NOTE WITH THE ROSEMEAD
CHAMBER OF COMMERCE DATED SEPTEMBER 14, 2010
B. Resolution No. 2013.0011 Approving the Loan Agreement between the City and the
Rosemead Successor Agency for Capital Improvement Projects to be Repaid by
Excess Bond Proceeds of the Rosemead Successor Agency
As the Board is aware, the Successor Agency has been working to obtain approval from the
State Department of Finance (DOF) for the completion of the capital improvement projects
funded with existing bond proceeds from the former redevelopment commission. On August
9, 2013, the DOF provided a letter to the City outlining the steps the City must follow in order
to expedite the intended bond funded projects. In the letter, the DOF suggests that the
Successor Agency may want to utilize the permitted loan procedures of Health and Safety
Code section 34173(h) to permit the City to move forward with the capital improvement
projects in a timelier manner. Staff and the City Attorney reviewed the DOF letter and the
Health and Safety Code, and agree that executing a loan agreement between the City and
the Successor Agency will provide for the most expedited method for moving forward with
the intended capital improvement projects. Under the loan agreement, the City will loan the
Successor Agency the funds to construct capital improvement projects, and the City will be
reimbursed by the Successor Agency every six months with the first reimbursement on
January 31, 2014. It is important to note that the Successor Agency has control of all the
bond funds in a bank account and will not need to wait for funding through Tax Increment or
the DOF.
The City will loan the Successor Agency funds, which will allow staff to move forward
immediately with some of the capital improvement projects, including the construction of the
Public Plaza and the expansion of the Rosemead Community Recreation Center (RCRC).
Bids have already been issued for the Public Plaza construction and an award may be made
at the September 24, 2013 City Council meeting. Additionally, engineering and planning
work necessary for the RCRC expansion will be completed as soon as possible in an effort
to meet the previously promised deadline of July 1, 2014 for re- opening of the center.
Recommendation: That the Oversight Board approve Resolution No. 2013 -0011, entitled:
A RESOLUTION OF THE OVERSIGHT BOARD FOR THE
SUCCESSOR AGENCY TO THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION APPROVING THE LOAN
AGREEMENT BETWEEN THE CITY OF ROSEMEAD AND THE
SUCCESSOR AGENCY DATED SEPTEMBER 10, 2013
Page 3 of 4
ROSEMEAD OVERSIGHT BOARD SPECIAL MEETING AGENDA
September 1 6, 2013
C. ROPS Submittal — January through June 2013
The Department of Finance (DOF) requires that the Recognized Obligation Payment
Schedule (ROPS) for the January through June 2014 be submitted by October 1, 2013. As
with every previous ROPS, the layout and format of the schedules has been modified, and
the schedules may look slightly different.
The new ROPS document now includes a summary page, a fund balance page, a schedule
for the current ROPS period, a reconciliation page of prior ROPS periods, and a notes page.
The two major changes are to the reconciliation page and the inclusion of the new Fund
Balance page. The reconciliation page has new columns and forumlas, which change has
the reconciliation and any necessary true -up payments are calculated. In our case, this has
created some true -up issues for the Administrative Cost Allowance and is described in detail
in the Analysis section of this report.
The Fund Balance page is new for this ROPS and is designed to provide a longer term look
at the funds available. Unfortunately, despite the title of "Fund Balances," this report is not
designed as a normal fund balance worksheet. As the Board may note in Column I for the
worksheet, there is no beginning balance and the revenues and expenditures are equal;
however, line 5 shows that the Successor Agency has a negative prior period adjustment of
$13,176 but the balance on line 6 is still zero. The DOF has locked this spreadsheet and
prohibits negative ending balances, which creates some unique financial reporting problems
to properly account for variances in a ROPS period. A detailed explanation is provided in the
Analysis section of this report. Printed copies of the entire new ROPS document have been
included with this report for approval by the Board.
Recommendation: That the Oversight Board approve the ROPS for the period of January
through June and Resolution No. 2013 -0010, entitled:
A RESOLUTION OF THE OVERSIGHT BOARD FOR THE
SUCCESSOR AGENCY TO THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION APPROVING THE
RECOGNIZED OBLIGATION PAYMENT SCHEDULES FOR
THE PERIOD OF JANUARY 1, 2014 THROUGH JUNE 30, 2014
4. ADJOURNMENT
The next regular Rosemead Oversight Board meeting is scheduled to take place on
Wednesday, October 16, 2013 at 5:00 p.m.
Page 4 of 4