HomeMy WebLinkAboutRprt - Portola Ave - I-10 Intrchng Prjct BPFACITY OF PALM DESERT/SUCCESSOR AGENCY OF THE PALM DESERT
REDEVELOPMENT AGENCY
STAFF REPORT
REQUEST: RECEIVE AND FILE MEMORANDUM OF UNDERSTADING
BETWEEN COACHELLA VALLEY ASSOCIATION OF
GOVERNMENTS, THE CITY OF PALM DESERT AND THE
SUCCESSOR AGENCY TO THE PALM DESERT
REDEVELOPMENT AGENCY AND AUTHORIZE CITY MANAGER
TO EXECUTE RELATED DOCUMENTS
SUBMITTED BY: Paul S. Gibson, Director of Finance
DATE: July 10, 2014
CONTENTS: Memorandum of Understanding
Recommendation
By Minute Motion that the City Council and Successor Agency Board receive
and file the Memorandum of Understanding Related to the Bond Proceeds
Funding Agreement ("Agreement") for the Portola Avenue/I-10 Interchange
Project by and among the Coachella Valley Association of Governments
("CVAG"), the Successor Agency to the Palm Desert Redevelopment Agency
("Successor Agency") and the City of Palm Desert and authorize City
Manager to execute related documents.
Background
On February 28, 2008, City Council approved Contract No. C27330B with Coachella
Valley Association of Governments (CVAG) to participate in the funding of the future
construction of the Portola Avenue/I-10 Interchange.
On March 13, 2014, City Council and the Successor Agency Board approved the Bond
Proceeds Funding Agreement, substantially as to form, approving funding of the local
portion of this project. Section 2(b) of the agreement provides CVAG the ability to
deposit the funds in an interest bearing Escrow Account at any City selected financial
institution. Based on staff's research relative to the conditions and requirements applied
to these funds, staff believes the most advantageous institution for these funds to be the
California Asset Management Program ("CAMP").
The MOU clarifies the agreement to include CAMP as an approved financial institution
for this purpose. As part of the finalization of the agreement, the City Manager has
approved the Memorandum of Understanding with CVAG to clarify the agreement for
the Portola/I-10 Interchange Project.
G:\rda\Veronica Tapia\Word Files\Staff Reports\Successor Agency\Bond Proceed Agreements\Completed BPFAs\Portola @ 1-10\SR-CVAG Portola @ 1-10 Bond Proceeds
MOU 6-10-14 docx
Staff Report
Portola Avenue/I-10 Interchange CVAG Agreement MOU
Page 2of2
July 10, 2014
Fiscal Analysis
$15,000,000 of the City's share has been approved for payment by the Successor
Agency from available bond proceeds. CVAG has agreed to fund up to 75% of the
estimated total project cost of $72,100,000. Pursuant to Sections 6 and 7 of the
agreement, the remaining portion may be funded by Measure A Funds, unless
additional bond proceeds are available for use. Only in the event there are no funding
sources available from Measure A, Successor Agency, or CVAG would the City have to
consider utilizing monies available in the Capital Projects Fund to pay for any of the
costs.
Prepaa eed By:
Paul S. Gibson, Director of Finance
proval:
hn M. Wohlmuth
ity Manager/Executive Director of the
Successor Agency of the Palm Desert
Redevelopment Agency
CITY COUNCTLAA`ION
APPROVED DENTED
RECEIVED OTHER
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ABSTAIN: AI/KY
VERIFIED BY• /<. )K10'XIS
Original on File with City C1eik4s Office
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G:\rda\Veronica Tapia\Word Files\Staff Reports\Successor Agency\Bond Proceed Agreements\Completed BPFAs\Portola @ I-10\SR-CVAG Portola @ 1-10 Bond Proceeds
MOU 6-10-14.docx
MEMORANDUM OF UNDERSTANDING
This Memorandum of Understanding (the "MOU") is dated as of , 2014, by
and among the Coachella Valley Association of Governments ("CVAG"), the City of Palm
Desert (the "City"), and the Successor Agency to the Palm Desert Redevelopment Agency
(collectively, with the City and CVAG, the "Parties").
WHEREAS, the Parties have entered into that certain Bond Proceeds Funding
Agreement Regarding Portola Avenue/I-10 Interchange Project (the "Agreement"), dated as
of April 24, 2014; and
WHEREAS, the Parties desire to clarify the Parties' intent and agreement regarding
certain terms of the Agreement;
NOW THEREFORE, the Parties hereby jointly acknowledge and declare as
follows:
1. With respect to Section 2(b) of the Agreement, the term "Bank" includes the
California Asset Management Program ("CAMP"), a joint powers authority established
pursuant to California Government Code Section 6500 et seq., and the term "interest
bearing account" includes shares in any investment trust established by or under CAMP.
2. The foregoing is intended to clarify the inclusion of CAMP, as among the
financial institutions at which the City may designate the maintenance of the SA Account. It
is not intended, and shall not be construed as, a limitation on City's designation under
Section 2(b) of the Agreement.
3. This MOU may be executed in any number of counterparts and each of such
counterparts shall for all purposes be deemed to be an original; and all such counterparts
shall together constitute but one and the same.
COACHELLA VALLEY ASSOCIATION OF CITY OF PALM DESERT
GOVERNMENTS
By: By:
Print Name: Print Name:
Title: Title:
SUCCESSOR AGENCY TO THE PALM
DESERT REDEVELOPMENT AGENCY
By:
Print Name:
Title:
-1-
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