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RES-10478 Cooperation & Reimbursement Agreement ApprovalRESOLUTION NO. 10478 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE APPROVING AND AUTHORIZING THE EXECUTION OF A COOPERATION AND REIMBURSEMENT AGREEMENT WITH THE ORANGE REDEVELOPMENT AGENCY RELATING TO REIMBURSEMENT BY THE ORANGE REDEVELOPMENT AGENCY FOR A PORTION OF THE COST OF STREET REPAIRS WITHIN THE ORANGE MERGED AND AMENDED REDEVELOPMENT PROJECT AREA. WHEREAS, the City of Orange (the "City") is a municipal corporation, which exercises governmental functions and powers and is organized and existing under the laws of the State of California; and WHEREAS, the Orange Redevelopment Agency, a public body, corporate and politic the "Agency"), has been duly created, established and authorized to transact business and exercise its powers under and pursuant to the Community Redevelopment Law (commencing with Section 33000 of the Health and Safety Code of the State of California and herein referred to as the "Redevelopment Law"); and WHEREAS, the Amended and Restated Redevelopment Plan (the "Redevelopment Plan") for the Orange Merged and Amended Redevelopment Project Area (the Redevelopment Project Area") was duly approved by the City Council on November 27, 2001 by Ordinance No. 21-01, pursuant to the Redevelopment Law; and WHEREAS, pursuant to the Redevelopment Law, the Agency is engaged in activities necessary to carry out and implement the Redevelopment Plan for the Redevelopment Project Area; and WHEREAS, the City desires to repair, reconstruct, rehabilitate andlor replace various City streets sidewalks, curbs and gutters within the boundaries of the Redevelopment Project Area (herein referred to as the "Public Improvements"); and WHEREAS, the City has requested the Agency to assist with funding a portion of the cost of the Public Improvements because the City has limited means available to it for financing the total costs of the Public Improvements; WHEREAS, Section 33445 of the Redevelopment Law authorizes the Board of Directors of the Agency (herein referred to as the "Agency Board"), with the consent of the City Council, to, among other things, pay all or a part of the value of the land for and the cost of installation and construction of any building, facility, structure, or other improvement, that is publicly owned and is located in or contiguous to the Redevelopment Project Area, upon the making of the following findings: a) That the acquisition of land or the installation or construction of the buildings, facilities, structures, or other improvements are of benefit to the Redevelopment Project Area by helping to eliminate blight within the Redevelopment Project Area or providing housing for low- or moderate-income persons; and b) That no other reasonable means of financing the acquisition of the land or installation or construction of the buildings, facilities, structures, or other improvements are available to the community; and c) That the payment of funds for the acquisition of land or the cost of the buildings,facilities, structures, or other improvements is consistent with the implementation plan adopted by the Agency pursuant to Section 33490 of the Redevelopment Law.WHEREAS, by the adoption of its Resolution No. ORA-0476 on February 26, 2008,the Agency Board authorized the issuance of its Orange Merged and Amended Redevelopment Project Area 2008 Tax Allocation Bonds, Series A (the " 2008A Bonds") to finance the costs of certain capital projects of benefit to the Redevelopment Project Area,including a portion of the Public Improvements; and WHEREAS, before the Agency Board adopted Resolution No. ORA-0476, the Agency made available for public inspection a summary report ( the "Summary Report"),which included all of the following: (i) an estimate of the amount of tax increment revenues allocated to the Agency, which the Agency proposed to use to pay for all or part of the cost of the capital projects described in the Summary Report; (ii) the facts supporting the determinations required to be made by the Agency pursuant to Section 33445 of the Redevelopment Law then in effect; and (iii) the redevelopment purpose for which such tax increment revenues would be used to pay for said capital projects; and WHEREAS, before it adopted Resolution No. ORA- 0476, the Agency Board,pursuant to Section 33679 of the Redevelopment Law, held a public hearing with the City Council with respect to use of tax increment revenues for the capital projects then proposed to be financed by the issuance of the 2008A Bonds and received evidence concerning the public benefits therefrom; and WHEREAS, by the adoption of Resolution No. ORA-0476 and Resolution No.10257, the Agency Board and the City Council, respectively, determined that there were sufficient facts supporting the determinations required to be made by the Agency and the City Council pursuant to Section 33445 of the Redevelopment Law then capital projects described in the Summary Report, including some portion of the Public Improvements; to wit, that (i) said capital projects are of benefit to the Redevelopment Project Area; (ii) said capital projects will assist in the elimination of one or more blighting conditions inside the Redevelopment Project Area and are consistent with the Agency's adopted Implementation Plan for the Project Area; and (iii) for that portion of said capital projects to be funded by the Agency, no other reasonable source of financing said portion of the capital projects is available to the City; and WHEREAS, in light of the fact that Section 33445 of the Redevelopment Law has been amended, in part, subsequent to the date of adoption of the aforementioned Resolutions No. ORA-0476 and 10257, this City Council desires to make the findings required by the current version of Section 33445 of the Redevelopment Law in connection with the Public Improvements; to wit, that (a) the Public Improvements are of benefit to the Redevelopment Project Area by helping to eliminate blight within the Redevelopment Project Area; (b) there are no other reasonable means available to the City for funding theAgency's portion of the costs of the construction of the Public Improvements other than the funds provided by the Agency; ( c)the payment of funds by the Agency to the City for a portion of the cost of the Public Improvements is consistent with the Implementation Plan adopted by the Agency pursuant to Section 33490 of the Redevelopment Law; and WHEREAS, as the "lead agency" under the California Environmental Quality Act Public Resource Code Section 21000 et seq.; herein referred to as "CEQA"), the City Council finds and determines that the Public Improvements are within that class of projects which consist of the repair, maintenance, and/or minor alteration of existing public rights-of-way, sidewalks, gutters or topographical features, involving negligible or no expansion of use beyond that previously existing and that, therefore, pursuant to Section 15301 of Title 14 of the California Code of Regulations (herein referred to as the "State CEQA Guidelines"), the Public Improvements will not cause a significant effect on the environment and are,therefore, categorically exempt from the provisions of CEQA; and WHEREAS, in furtherance of the Redevelopment Plan for the Redevelopment Project Area and the public purposes of both the Agency and the City, the Agency and the City desire to enter into that certain Cooperation Agreement for the Provision of Public Improvements of Benefit to the Orange Merged and Amended Redevelopment Project Area (Street Improvements) in the form presented at the meeting at which this Resolution is adopted (the Agreement"), pursuant to which Agreement the City will cause the Public Improvements to be installed and constructed and thereafter maintained, and the Agency will pay or reimburse the City forthe Agency's portion of the costs of such Public Improvements in the amount not to exceed Nine Hundred Eighty-five Thousand and No/100Dollars ($985,000. 00), as more particularly set forth in the Agreement; and WHEREAS, the City Council has duly considered all of the terms and conditions of the proposed Agreement and believes that the Agreement is in the best interests of the Agency and the City and the health, safety, morals and welfare of its residents, and in accord with the public purposes and provisions of applicable State and local law and NOW, THEREFORE, the City Council of the City of Orange resolves, finds and determines, on the basis of the facts set forth in the agenda report presented to it and any testimony received at the meeting at which this matter was considered, as follows: 1. The foregoing recitals are true and correct. 2. The Public Improvements are exempt from the application of CEQA pursuant to a "Class 1" categorical exemption as set forth in Section 15301 of the State CEQA Guidelines because the Public Improvements consist of the repair, maintenance, and/or minor alteration of existing public rights-of--way, sidewalks, gutters or topographical features,involving negligible or no expansion of use beyond that existing at the time of the adoption of this Resolution. Accordingly, the City Clerk (or her authorized representative) is hereby authorized and directed to file a Notice of Exemption with the Orange County Clerk-Recorder.3. The Public Improvements are of benefit to the Redevelopment Project Area by helping to eliminate blight within the Redevelopment Project Area.4. There are no other reasonable means available to the City for funding the Agency's portion of the costs of the construction of the Public Improvements other than the funds provided by the Agency.5. The payment of funds by the Agency to the City for a portion of the cost of the Public Improvements in an amount not in excess of $985,000.00 in accordance with the terms and provisions of the Agreement is consistent with the Implementation Plan adopted by the Agency pursuant to Section 33490 of the Redevelopment Law.6. The Agreement between the Agency and the City, a copy of which is on file with the City Clerk, is hereby approved, and the Mayor is authorized and directed to execute,and the City Clerk to attest, said Agreement on behalf of the City.7. The officers and employees of the City are authorized and directed, jointly and severally, to do any and all things necessary or advisable in order to effectuate the purposes of this resolution and to administer the City's obligations, responsibilities and duties to be performed hereunder, and all actions previously taken by such officers and employees in connection with the Agreement are ratified and approved.ADOPTED this 22"d day of June, 2010 arolyn Ca ecche, Mayor, City of ATTEST: Mary E.. ,City Clerk, City of range i I, ^,rIARY E. MURPHY, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the 22° day of June, 2010, by the following vote: AYES: COUNCILMEMBERS: Smith, Murphy, Cavecche, Dumitru, Bilodeau NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ABSTAIN: COUNCILMEMBERS: None 2~ Mary E. ,City Clerk, City o Orange 5