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HomeMy WebLinkAbout2002-11-04MINUTES REGULAR MEETING OF THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY MONDAY, NOVEMBER 4, 2002 — 10:00 A.M. NORTH WING CONFERENCE ROOM PALM DESERT CIVIC CENTER 73-510 FRED WARING DRIVE, PALM DESERT, CALIFORNIA 92260 I. CALL TO ORDER Secretary Rachelle D. Klassen called to order the regular meeting of the Riverside County Palm Desert Financing Authority at 10:00 a.m. Due to the lack of a quorum, she immediately adjourned to 4:30 p.m. on Monday, November 4, 2002. President Kelly reconvened the meeting at 4:30 p.m. II. ROLL CALL Present: Commissioner Carlos L. Ortega Vice President Roy Wilson President Richard S. Kelly Absent: Commissioner Larry Parrish Also Present: Paul S. Gibson, Treasurer William L. Strausz, Authority Counsel Michael O'Connor, Riverside County Deputy Executive Officer Sheila R. Gilligan, Assistant City Manager for Community Services Homer Croy, Assistant City Manager for Development Services Justin McCarthy, Assistant City Manager for Redevelopment Steve Aryan, Assistant to the City Manager Patrick Conlon, Special Projects Administrator Rachelle D. Klassen, Secretary III. ORAL COMMUNICATIONS None IV. CONSENT CALENDAR A. MINUTES of the Special Meeting of the Riverside County Palm Desert Financing Authority (RCPDFA) Meeting of October 7, 2002. Rec: Approve as presented. MINUTES REGULAR MEETING OF THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY NOVEMBER 4, 2002 Upon a motion by Vice President Wilson, second by Commissioner Ortega, and 3-0 vote of the Authority Commission, with Commissioner Parrish ABSENT, the Consent Calendar was approved as presented. V. CONSENT ITEMS HELD OVER None VI. NEW BUSINESS A. RESOLUTION NO. RCPDFA 2 - A RESOLUTION OF THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY, DECLARING ITS INTENTIONS, RETAINING PROFESSIONALS, AND APPROVING CERTAIN ACTIONS IN CONNECTION WITH THE SALE AND ISSUANCE OF BONDS. Commissioner Ortega stated that at the Authority Commission's last meeting, direction was given to get the various participants and preliminary documents together for the proposed financing. He said the subject resolution appointed bond counsel, disclosure counsel, and other consultants, as named therein, noting that it was proposed that the firm of Richards, Watson & Gershon (RW&G) provide both legal counsel to the Authority and act as bond counsel for the purposes of issuing bonds. He pointed out that in order to serve as General Advisory Counsel to the Authority, RW&G required an Attorney - Conflict Waiver relative to its representation of both the Palm Desert Redevelopment Agency and the Authority. Commissioner Ortega further explained specifics of the subject resolution, including naming of consultants and their respective responsibilities. He provided a supplemental sheet to Commissioners at the meeting (on file and of record in the Secretary's Office), listing participants in the bond issue, including the proposed Trustee, BNY Western Trust Company. It was noted that actual approval for the Trustee would be given when the bond documents were approved. Vice President Wilson moved to waive further reading and adopt Resolution No. RCPDFA 2. Motion was seconded by Commissioner Ortega and carried by 3-0 vote with Commissioner Parrish ABSENT. VII. CONTINUED BUSINESS None 2 MINUTES REGULAR MEETING OF THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY VIII. OLD BUSINESS NOVEMBER 4, 2002 A. CONSIDERATION OF FUNDING VARIOUS PUBLIC CAPITAL IMPROVEMENT PROJECTS VIA BOND PROCEEDS ISSUED BY THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY. Commissioner Ortega distributed information on the proposed tax allocation revenue bond issue. He noted that the existing tax roll had been analyzed relative to the objectives of the Authority, and the County projected that there was $2.5 million available that was not already committed to other projects. Based on current information, it was projected to grow to $2.7 million by 2008. Initially, there would be some $403,000 available for the Animal Shelter. He went on to say that alternatives being explored for the new bond issue were: 1) Refunding of the existing Blythe Debt Service; 2) setting aside an escrow fund that provides for release of funds upon reaching a certain level of tax increment without having to issue another bond. Commissioner Ortega continued to explain that there would be $6 million available for the Animal Shelter construction, including all the related costs of bond issuance; $7.4 million would be placed in an interest -bearing account in order to refund the Blythe Debt. The amount available for other projects would be some $15 million, and $1.7 million would be placed in the escrow fund. He commented that the numbers may change slightly following their being formally analyzed for the bond issue. Responding to question, Commissioner Ortega noted the Sheriffs Substation analysis was in process. Mrs. Gilligan added it was anticipated that a preliminary report would be available by the end of the month, and staff would be meeting to discuss it sometime in December. Upon inquiry, Mr. Strausz advised that by January, the Authority Commission Board should have decided on the projects to be funded. Thereafter, even after the bonds are issued, the Board could decide that it wanted to spend the money on something else; but it should have a firm expectation of actual projects prior to the closing of the bonds. In response to comment, Commissioner Ortega answered that the next step to be taken would be obtaining quotes on bond insurance, which would be brought to the Board for authorization of a contract. He added that lately, MBIA had been the most competitive; however, at least two other firms would also be approached. No action was required nor taken by the Authority Commission. 3 MINUTES REGULAR MEETING OF THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY XI. REPORTS AND REMARKS NOVEMBER 4, 2002 1. Mr. Conlon commented that the land transfer between Animal Samaritans and the Financing Authority was expected to be completed during the month of November so that final approval from the Financing Authority Board could be given in December. Further, after the Animal Commission reviews and recommends approval, he also anticipated having the architect's contract to the Financing Authority Board at its December meeting. Responding to comment and questions, Mr. Conlon stated that the property being discussed was a ten -acre parcel currently owned by Animal Samaritans, who only needed five for their shelter, and the other five acres would be deeded to the Financing Authority or to the County for the Animal Campus. He said the deal was that the Authority would provide some off -site improvements that would benefit both properties, and Animal Samaritans would give credit for such improvements against the cost of the property. The two facilities on the site would complement each other in the scope of services to be provided between both the private and public organizations (e.g. education, low-cost spaying/neutering programs would be provided through Animal Samaritans). 2. Mr. Aryan provided Commissioners with an updated copy of the Bylaws approved at the last meeting, reflecting a regular meeting schedule on the first Monday of each month at 10:00 a.m. X. ADJOURNMENT With no further business or discussion and Authority Commission concurrence, President Kelly adjourned the meeting at 5:00 p.m. ATTEST: SS . ,ram RACHELLE D. KLASSEN, S'�ECRETARY TO THE RIVERSIDE COUNTY PALM DESERT FINANCING AUTHORITY / RIC(HARD S. KELLY, PR ESIDENT 4