OB - Item 2A - Minutes 4-25-12Minutes of the
Oversight Board for the Successor Agency to the
Rosemead Community Development Commission Meeting
April 25, 2012
The regular meeting of the Oversight Board for the Successor Agency to the Rosemead Community
Development Commission was called to order by City Clerk Molleda at 6:03 p.m. in the Rosemead City
Council Chamber located at 8838 East Valley Boulevard, Rosemead, California
PLEDGE OF ALLEGIANCE: City Clerk Molleda
PRESENT: Board Members Allred, Alvarez, Jones, Lash,
STAFF PRESENT: City Attorney Richman, Assistant City
Recreation Montgomery- Scott, Public Works Director Man
1. BOARD MEMBERS INTRODUCTIONS
Board Members stated their names and the ases they will be
2, PUBLIC COMMENTS FROM THE
Steven Ly — stated he N
of. He addressed the be
proceeds. Mr. Ly state(
responsibly by targeting
a lot of projectT t
these prol�gfM
3. MA1T�2S FROM STAFFVF THE
A. selection of a
and City Clerk
of Parks and
n behalf of t City's Council or Commission of which he is a part
imp( o he City being able to continue utilizing its bond
Rosemead had Al ays utilized its redevelopment funds
i'c prove; v rejects. He stated the City of Rosemead still has
re ,:. rongly rely on the services the City will provide once
SUCCESSOR AGENCY
and Vice - Chairperson
nand Safety Code section 34179 requires the Oversight Board to designate
In keeping with standard procedures, it would also be prudent to select a
n who is authorized to act in the absence of the Chairperson.
Furthermore, the Oversight Committee is required to appoint a Successor Agency staff
person as the Public Official point of contact for the Department of Finance. The Successor
Agency wishes to designate the Assistant City Manager as the point of contact for the
Department of Finance.
Rosemead Oversight Board Meeting
Minutes of April 25, 2012
Page 1 of 7
ITEM NO. Z;A
Recommendation: That the Oversight Board select a Chairperson and Vice- Chairperson
and approve Resolution 2012 -0001, entitled:
A RESOLUTION OF THE OVERSIGHT BOARD FOR THE
SUCCESSOR AGENCY TO THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION DESIGNATING A
CHAIRPERSON, VICE - CHAIRPERSON AND PUBLIC OFFICAL
FOR DEPARTMENT OF FINANCE CONTACT PURPOSES AS
REQUIRED BY HEALTH AND SAFETY CODE SECT,I. N, 34179
Board Member Jeff Allred made a motion, seconded by Board Mem46'r ul Alvarez, to appoint Pat
Wallach has the Chair of the Oversight Board for the Successor /genc - e Rosemead Community
Development Commission. Vote resulted in:
Y:, t
Yes: Allred, Alvarez, Jones, Lash,
No: None
Abstain: None
Absent: None
Chair Pat Wallach made a motion, secondi
appoint Raul Alvarez has the Vice Chair of
Rosemead Community Development Comi
Yes: Allred, Alvarez, Jones,
No: None
A
Board Memberl`r'e Teedondo- Churchward, to
� ght Board for t ucc ssor Agency to the
fi p� resulted
9 ` ti%
r Re ntlo C yard, Wallach
'fe
view nd Administrative Cost Allowance
The Rose1�i d Re t ment Commission established its first project area on June 27,
1972 and ifs :eond p t;: a on June 27, 2000. On March 10, 2009 the Commission
merged these project as into one allowing for greater flexibility in addressing the
r, maming bligh nditlons in the community. Throughout the years, the Commission has
fined on a c istent course of improving blighted areas through infrastructure
i ment projects and partnering with the County and school districts without entering
into 'a fangements to subsidize commercial developers or businesses. The City and
the for ,' mmission are very proud of the fact that they never used redevelopment
funding ,t" subsidize private business entities.
Along with completing numerous infrastructure projects throughout the years, the
Commission was also able to develop strong programs to encourage private investment in
rehabilitating and renovating commercial and retail business areas. This was done through
the Code Enforcement and Planning divisions with staff specifically assigned to certain
commercial corridors and target areas. Staff members were able to develop strong working
relationships with businesses to ultimately achieve blight removal and revitalization through
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 2 of 7
the installation of new signage, the painting of exteriors and the removal of barbed wire and
bars on windows. The Commission was also able to assist in beautifying the area through
the repair of sidewalks, the planting of street trees and the construction or renovation of
medians and parkways.
With the elimination of Redevelopment, the City as the Successor Agency has hopes to
continue many of these programs as funding permits. California Health and Safety Code
section 34171(b) provides that each Successor Agency will be provided with a minimum of
$250,000 in each fiscal year for administrative and ongoing oper��ional costs. Due to
Rosemead's size and tax increment base, it is projected th trR8serrfi2ad will only receive this
minimum amount. The Oversight Board has the respons ,.o review and approve the
annual administrative cost allowance budget for the ency.
Recommendation: That the Oversight
, entitled:
A RESOLUTION OF THE 0 E SIGHT BOARD FOR TH
SUCCESSOR AGENCY TO NIT Y
�QSEME�j[ COMMU
�,
DEVELOPMENT COMMISSIOW�PfC+VING THE
SUCCESSOR AGENCY ADMINISTRA , UDGET FOR THE
FISCAL YEARS 2 012 AND 20121 h ,PURSUANT TO
THE HEALTH AND ODE SECTIO . 770" ND (k)
'i
Assistant City Manager Matt Hawkesworth review d the std` i
Board Member Jeff Allred Mxtion de y Board M bar Nicole Lash, to approve
Resolution No. 2012.00 apthe Successo ency Admmistra'tion Budget for the Fiscal
Year 2011/2012 and 201?12 13 pursdaht to the Health' nd Safety Code Section 341770) and (k). Vote
resulted in:�
Wallach
No: N6ni
Abstain:
Absent:
C. " Tax crement 2006A, 2006B, and 2010A Bonds
The ...,,- Aedevelopment Commission issued Tax Increment Bonds in both 2006 and
2010 untl rprevious redevelopment law. The outstanding obligation on these bonds is
approxim , ly $67.5 million with payments due through 2033. Authorization from the
Oversight Board is being requested to continue making the debt service payments as
required by the bond covenants.
Recommendation: That the Oversight Board approve the required debt service payments
for the 2006A, 2006B, and 2010A Bonds as required by the bond covenants.
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 3 of 7
Assistant City Manager Matt Hawkesworth reviewed the staff report.
Board Member Nicole Lash made a motion, seconded by Board Member Irene Redondo - Churchward,
to approve the required debt service payments for the 2006A, 20068, and 2010A Bonds as required by
the bond covenants. Vote resulted in:
Yes: Allred, Alvarez, Jones, Lash, Redondo - Churchward, Wallach
No: None
Abstain: None
Absent: None`
D. Capital Improvement Projects Funded by
The Oversight Board is requested to authori;
capital improvement projects for which the
Oversight Board will comply with Califor k
by ABx1 26, which states, "Bond procee .$
were sold unless the purpose can no longer
be used to defease the bonds."
The Rosemead Redevelopme
intent to complete several com
specified in the bond covenants F
construction or development whe
on hold until >fhifii i direction was
The
had
issued
by the
3f existing B roceeds to complete
sold. Such au ation by the
Safety Code secti : 4 enacted
the purposes fon ich bonds
in'which case, th proceeds may
I.�l ;�eetem nt Bonds in 2010 with the
jecCv '.' hi some of the projects
oth�were in various phases of
O; 'As a result, all projects were put
sight Board and the Department of
still ha 'approximately $7.7 million in bond proceeds
0Jq, : a following projects:
Center and Public Plaza Expansion and Construction
2. Zak ' Park 1tt! yer�ents
3. Rose Park 1 'provements (Fitness and playground equipment)
4. Sewer .:tem Expansion
Valley BIN. Street Improvements
Rosem� d Park Turf Improvements
rk elopment at Rush & Walnut Grove
Each of these projects have been in various stages of development for a number of years
and have been previously reviewed and approved by the City Council or former
Redevelopment Commission Board in 2010 or earlier. A detailed description along with
background information for each project will be included in the Background section of this
report.
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 4 of 7
Recommendation: That the Oversight Board authorize the use of existing bond proceeds
to complete the previously approved capital improvements projects as presented on the
ROPS.
Assistant City Manager Matt Hawkesworth reviewed the staff report.
Board Member Jeff Allred made a motion, seconded by Board Member Nicole Lash, to authorize the
use of existing bond proceeds to complete the previously approved capit rovement projects as
presented on the ROPS. Vote resulted in:
Yes: Allred, Jones, Lash, Redondo - Churchward,
No: Alvarez
Abstain: None
Absent: None:, -
E. Rosemead Senior Housing
The Rosemead Housing Development Corporat�ivns and operates two low- income
senior housing Facilities. Th :F)n elus Senior HousitigJacility was built in 1995 and the
Garvey Senior Housing Fa iii structed m 2002 j laws which regulate
affordable housing, these faciliti u> enants which them to be maintained as
affordable housing facilities for 3 ears : ya�ars revely.
The Rosemea It jqq g Developme • orporation (.RHDC) is a 501c3 non - profit
organiz rand rel% %s'�olely upon fu 'ng from outside sources to operate and subsidize
the rentssof these two= ilities. As such he RHDC has an Assistance and Operating
XX
Agreemek ' the R ead Communi,: Development Commission to provide funding
and operation akin : - e provides for the transfer of low and moderate
1ru,, :. `�. • sing s;from the iff , unity Development Commission to the RHDC to
subside osts - l inistrative overhead and to make up any shortfalls between the
rents colle Ord geri f fational costs. The Rosemead Housing Development
Corporation a J gperatesa Ground Lease Agreement with the City of Rosemead,
hich owns the'�d on w ich the senior housing facilities sit.
0% mendati&: That the Oversight Board recognize the Assistance Lease and Ground
and • ti agreement as an enforceable obligations and authorize payment from either
the low :: oderate income housing funds being held by the Successor Agency or through
tax incredtient distribution.
Assistant City Manager Matt Hawkesworth reviewed the staff report.
Vice Chair Raul Alvarez made a motion, seconded by Board Member Irene Redondo - Churchward, to
recognize the Assistance Lease and Ground and Operating Agreement as an enforceable obligations
and authorize payment form either the low and moderate income housing funds being held by the
Successor Agency or through tax increment distribution. Vote resulted in:
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 5 of 7
Yes: Allred, Alvarez, Jones, Lash, Redondo - Churchward, Wallach
No: None
Abstain: None
Absent: None
Recognized Obligation Payment Schedule Approval
California Health and Safety Code section 34177 requires each Successor Agency to
prepare a Recognized Obligation Payment Schedule ( "ROPS ") 'po section 34180 requires
the Oversight Board to approve the ROPS. The approved R., S is then required to be
transmitted to the County Auditor - Controller, the State Co �o I es Office and the State
Department of Finance.
}
A ROPS will be prepared and presented to the e1s�gttt Board fo six -month period.
Due to the unique timing of the establishme f the Oversight Board first meeting,
ROPS for the periods of January through a 2012 and July through De b r 2012 have
both been prepared and are submifted ort9ard's val.
Recommendation: That the Oversight Board
A RESOLUTION
SUCCESSOR A(
DEVELOPMENT
RECOGNIZED C
JUL
Assistant City Manager
the
Resolution 2012 -0003, entitled:
THE
PROVING THE
HEDULES FOR
1 "GH JUNE 30, 2012
31, 2012
Board MefuJfffAfl made ion, seoWd by Board Member Nicole Lash, to approve
Resolutio o. 20124 row f recognized obligation payment schedules for the period of
Janug1,,'�2012 through 0, 201� bly 1, 2012 through December 21, 2012. Vote resulted in:
Allred, Alvaz, Jones, Lash, Redondo - Churchward, Wallach
G. Designation of a Regular Meeting Schedule
California Health and Safety Code section 34179 requires the Oversight Board meetings to
be subject to the Ralph M. Brown Act (Brown Act). As such, a regular meeting schedule
needs to be approved. It is not anticipated that the Oversight Board will need to meet very
often and perhaps only twice per year once all the nuances are worked out; however the
Successor Agency staff is recommending the Board establish a monthly meeting date in the
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 6 of 7
event a meeting must take place. If there are no items on the agenda, the meeting would be
cancelled with the posting of appropriate notices.
Due to the City of Rosemead's existing meeting schedules, the Successor Agency staff has
requested that regular meetings be held on Wednesdays. Outside of this request, the Board
members may choose which Wednesday of the month and the starting time of the meeting.
Recommendation: That the Oversight Board approve Resolution 2012 -0002, entitled:
A RESOLUTION OF THE OVERSIGHT BOAW- FOR
SUCCESSOR AGENCY TO THE ROSEMEAO,;:;CQMMUNITY
DEVELOPMENT COMMISSION ESTABLIS44I146 A.rREGULAR
MEETING SCHEDULE
Board Member Nicole Lash made a motion, seconded b ice Chair Raul Alvarezl d establish the
THIRD WEDNESDAY OF EACH MONTH at 5:00 P.M. as Oversigrt Board for theSiC;ce r Agency
to the Rosemead Community Development Commis'sgular meeting schedule. ie resulted in:
Yes: Allred, Alvarez, Jones, Lash,
No: None
Abstain: None
Absent: None
4. ADJOURNMENT
The meeting adjourned
May 16, 2012 at 5:00 p
p.m Tl pext regular
Wallach
Board meeting is scheduled to take place on
Pat Wallach
Chair
ATT
Matt Hawkesworth
Successor Agency Staff
Assistant City Manager
Rosemead City Council Regular Meeting
Minutes of Aril 25, 2012
Page 7 of 7