CC - Item 5D - Submittal of Amended ROPS 20-21 (--, E M F ROSEMEAD SUCCESSOR
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AGENCY BOARD
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TO: THE HONORABLE CHAIR AND BOARD MEMBERS
FROM: GLORIA MOLLEDA,EXECUTIVE DIRECTOR 1 ,M
DATE: AUGUST 25, 2020
SUBJECT: SUBMITTAL OF AMENDED ROPS 20-21
SUMMARY
The Successor Agency's Recognized Obligation Payment Schedule for FY 20-21 ("ROPS FY
20-21") has been approved by the State Department of Finance ("DOF") and the First District
Countywide Oversight Board ("COB"). An amendment to the Agency's ROPS 20-21 is
necessary to cover all expenditures related to its contractual obligation to reimburse the
Rosemead Housing Development Corp. ("RHDC") for any shortfall in net operating revenues,
and to receive the full amount of the Administrative Cost Allowance for Agency administrative
expenses.
STAFF RECOMMENDATION
That the Rosemead Successor Agency Board approve Resolution No. 2020-14 SA approving an
amended ROPS FY 20-21 for the period July 2020 through June 2021, and further, directing
staff to submit the amended ROPS FY 20-21 to the COB and DOF.
DISCUSSION
Pursuant to the Assistance and Operating Agreements (the "Agreements") for the Angelus and
Garvey senior housing projects, the former Commission (and now the Successor Agency) is
obligated to reimburse RHDC for any "shortfall" determined by deducting Permitted Operating
Expenses from Gross Receipts of the respective housing projects.
On the Agency's original ROPS FY 20-21 submission, the DOF approved reimbursement
amounts of $110,422 and $50,016, respectively, for the Angelus and Garvey senior housing
projects' net revenue shortfalls. Subsequent to the ROPS approval process, a final accounting of
FY 18-19 operating revenues was obtained which showed higher shortfall amounts than the
amounts presented to DOF.
Based on the final operating results, total shortfall amounts were $223,681 and $152,228,
respectively, for the Angelus and Garvey senior housing projects. After accounting for the
previously approved reimbursement amounts of$110,422 and $50,016, the amended FY 20-21
ROPS will include additional reimbursement requests for $113,259 and $102,212, respectively,
AGENDA ITEM 5.D
Successor Agency Meeting
August 25, 2020
Page 2 of 2
for the Angelus and Garvey senior housing projects.
Additionally, under the law, the Agency may request an annual Administrative Cost Allowance
("ACA")of up to $250,000 to cover annual administrative costs of the Agency. The Agency had
previously requested (and been approved for by DOF) an annual ACA of$120,000 on ROPS FY
20-21. However, based on projected administrative expenditures for FY 20-21 due to the
increased administrative expense for staff and administration of the programs, certain previous
administrative expenses being paid by general fund dollars, and the additional expenses being
accrued, the Agency will request an additional ACA amount of$130,000 for ACA expenses on
the amended ROPS FY 20-21.
FISCAL IMPACT
The amended ROPS 20-21, if approved by COB and DOF, will result in additional funding to the
Agency from the Redevelopment Property Tax Trust Fund("RPTTF") in the amount of$345,196
($215,196 for the combined housing project additional operating shortfalls, plus $130,000 for
additional ACA).
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Submi e :
• e
Scott Mil.,
Finan T"'.nsultant
Attachments:
1. Resolution No. 2020-14 SA
2. Amended ROPS FY 20-21
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Attachment A
Resolution No. 2020- 14 SA
RESOLUTION NO. 2020-14 SA
A RESOLUTION OF THE SUCCESSOR AGENCY TO THE ROSEMEAD
COMMUNITY DEVELOPMENT COMMISSION APPROVING AN AMENDED
RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE PERIOD OF
JULY 1,2020 THROUGH JUNE 30, 2021
WHEREAS, pursuant to California Health and Safety Code Section 34179 (q),
commencing on and after July 1, 2018, the County of Los Angeles shall have five consolidated
oversight boards encompassing five supervisorial districts; and
WHEREAS, the First Supervisorial District Consolidated Oversight Board (Oversight
Board) has jurisdiction over the Successor Agency to the Former Redevelopment Agency to the
City of Rosemead; and
WHEREAS, Section 34177 requires each Successor Agency to prepare a draft Recognized
Obligation Payment Schedule (ROPS) and Section 34180 requires the First Supervisorial District
Consolidated Oversight Board to approve same; and
WHEREAS, Section 34177(o)(1)(E) provides that the Successor Agency may file an
amendment to an approved ROPS no later than October 1, and that such amended ROPS must be
presented to the Oversight Board for approval; and
WHEREAS, the Successor Agency wishes to file an amendment to its previously
approved ROPS for the period July 1, 2020 through June 30, 2021 (ROPS 20-21); and
WHEREAS, the Successor Agency prepared amendment to the ROPS 20-21 is attached
hereto.
NOW THEREFORE, THE SUCCESSOR AGENCY TO THE ROSEMEAD
COMMUNITY DEVELOPMENT COMMISSION HEREBY RESOLVES:
1. The amended ROPS 20-21 for the period July 1, 2020 through June 30, 2021
attached hereto is hereby approved.
2. Successor Agency staff is directed to provide to the First Supervisorial District
Consolidated Oversight Board (a) a copy of this Resolution along with (b) the Successor Agency
approved amended ROPS 20-21 and(c) a Resolution for the Oversight Board to approve.
1
PASSED, APPROVED AND ADOPTED this 25th day of August, 2020.
Sandra Armenta, Chairperson
ATTEST:
Ericka Hernandez
Successor Agency Secretary
APPROVE AS TO FORM
Rachel Richman
Successor Agency Attorney
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Attachment B
Amended ROPS FY 20-21
Attachment B
Amended Recognized Obligation Payment Schedule(ROPS 20-21 B)-Summary
Filed for the January 1,2021 through June 30,2021 Period
Successor Agency: Rosemead
County: Los Angeles
Current Period Requested Funding for Enforceable ROPS 20-21B ROPS 20-21B ROPS 20-21B
Obligations(ROPS Detail) Authorized Requested Amended
Amounts Adjustments Total
A Enforceable Obligations Funded as Follows(B+C+D) $ - $ - $ -
B Bond Proceeds - - -
C Reserve Balance - - -
D Other Funds - - -
E Redevelopment Property Tax Trust Fund(RPTTF)(F+G) $ 675,336 $ 345,471 $ 1,020,807
F RPTTF 615,336 215,471 830,807
G Administrative RPTTF 60,000 130,000 190,000
H Current Period Enforceable Obligations(A+E) $ 675,336 $ 345,471 $ 1,020,807
Certification of Oversight Board Chairman:
Name Title
Pursuant to Section 34177(o)of the Health and Safety
code, I hereby certify that the above is a true and
accurate Recognized Obligation Payment Schedule for
the above named successor agency. /s/
Signature Date
Rosemead
Amended Recognized Obligation Payment Schedule(ROPS 20-21 B)-ROPS Detail
January 1,2021 through June 30,2021
Authorized Amounts Requested Adjustments
Item Total Outstanding Fund Sources Fund Sources
# Project Name Obligation Type Obligation Total _ Total Notes
Bond Reserve Other Admin Bond Reserve Other Admin
Proceeds Balance Funds RPTTF RPTTF Proceeds Balance Funds RPTTF RPTTF
$48,517,614 $- S. 5-$615,336 $60,000 $675,336 5- 5- $- $215,471 $130,000 $345,471
3 2010 Tax Increment Bonds Bonds Issued On or $4,723,625 - - - 82,125 - $82,125 - - - - - $-
Before 12/31/10
22 Senior Housing Land Lease- Miscellaneous $1,824,000 - - - - - $- - - - - - $-
Angelus
23 Senior Housing Operations Miscellaneous $2,262,000 - - - - - $- - - - - - $-
Overhead-Angelus
24 Senior Housing Shortfall Subsidy- Miscellaneous $2,785,088 - - - 55,211 - $55,211 - - - 113,259 - $113,259
Angelus
25 Senior Housing Land Lease- Miscellaneous $3,465,184 - - - - - $- - - - - - $-
Garvey
26 Senior Housing Operations Miscellaneous $4,250,675 - - - - - $- - - - - - $-
Overhead-Garvey
27 Senior Housing Shortfall Subsidy- Miscellaneous $1,282,729 - - - 25,000 - $25,000 - - - 102,212 - $102,212
Garvey
30 Loan Repayment to City of Bond Funded Project- $538 - - - - - $- - - - - - $-
Rosemead Pre-2011
34 Administrative Cost Allowance Admin Costs $120,000 - - - - - $- - - - - 130,000 $130,000
35 2016 Subordinate Tax Allocation Bonds Issued After 12/31/ $27,803,775 - - - 453,000 - $453,000 - - - - - $-
Bonds 10