HomeMy WebLinkAbout04A Prelim - Special - OB - 03/14/2012 DRAFT
PRELIMINARY MINUTES
SPECIAL MEETING OF THE
OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY
WEDNESDAY, MARCH 14, 2012 - 2:00 P.M.
ADMINISTRATIVE CONFERENCE ROOM- PALM DESERT CIVIC CENTER
73-510 FRED WARING DRIVE, PALM DESERT, CALIFORNIA 92260
This Oversight Board has been created pursuant to§34161 through 34190 of the Health and Safety Code for the sole purpose
of overseeing the actions of the Successor Agency to the Palm Desert Redevelopment Agency. In accordance with Health and
Safety Code§34179(h),all Oversight Board actions shall not be effective for three business days,pending a request for review
by the State Department of Finance("Department"). In the event that the Department requests a review of a given Oversight
Board action,it shall have 10 days from the date of its request to approve the Oversight Board action or return it to the Oversight
Board for reconsideration,and such Oversight Board action shall not be effective until approved by the Department. In the event
that the Department returns the Oversight Board action to the Oversight Board for reconsideration,the Oversight Board shall
resubmit the modified action for Department approval,and the modified Oversight Board action shall not become effective until
approved by the Department. AervfieBY OVERSIGHT BOARD((• ga
I. CALL TO ORDER ON '-f'- r 2rDI0
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The meeting was convened at 2:05 p.m. VERIFIED BY C
Original on file with City Clerk's Office
II. ROLL CALL
Present: Absent:
Board Member Heather Buck Board Member Lisa Brandt
Board Member Bill Carver Board Member Cindy McDaniel
Board Member Patricia A. Larson
Board Member Robert A. Spiegel
Also Present:
John M. Wohimuth, Executive Director of the Successor Agency-Palm Desert RDA
William L. Strausz, Richards, Watson & Gershon, Successor Agency Counsel
Justin McCarthy, Assistant City Manager
Paul S. Gibson, Finance Officer
Lauri Aylaian, Director of Community Development
Janet Moore, Director of Housing
Mark Greenwood, Director of Public Works
Veronica Tapia, Accountant
Dr. Edwin Deas, Vice President of Business Affairs, College of the Desert
Rachelle D. Kiassen, Secretary, Successor Agency-Palm Desert RDA
III. ORAL COMMUNICATIONS
None
DRAFT
PRELIMINARY MINUTES MARCH 14, 2012
SPECIAL MEETING OF THE OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
IV. APPROVAL OF MINUTES
None
V. NEW BUSINESS
A. INTRODUCTIONS.
Board Members and those present introduced themselves, as follows:
• Heather Buck, Project Coordinator for the former Palm Desert
Redevelopment Agency.
• Bob Spiegel, Mayor, City of Palm Desert, and Chairman of the former
Palm Desert Redevelopment Agency.
• Patricia (Corky) Larson, representing the Coachella Valley Water District.
• Roy William(Bill)Carver, retired,appointed by Fourth District Riverside County
Supervisor John Benoit.
• John Wohlmuth, Executive Director of the Successor Agency to the
Palm Desert Redevelopment Agency.
• Bill Strausz, with the law firm of Richards, Watson & Gershon, Los Angeles,
Counsel to the former Palm Desert Redevelopment Agency and Counsel to the
Successor Agency to the Palm Desert Redevelopment Agency.
• Rachelle Klassen, Palm Desert City Clerk and Secretary to the Successor
Agency to the Palm Desert Redevelopment Agency.
• Paul Gibson, Finance Director, City of Palm Desert and Successor Agency to
the Palm Desert Redevelopment Agency.
• Janet Moore, Director of Housing, City of Palm Desert.
• Veronica Tapia,Accountant, former Palm Desert Redevelopment Agency and
Successor Agency to the Palm Desert Redevelopment Agency, Palm Desert
Housing Authority.
• Justin McCarthy, Assistant City Manager, City of Palm Desert and the former
Palm Desert Redevelopment Agency.
• Dr. Edwin Deas, Vice President of Business Affairs, College of the Desert,
potential appointee on behalf of the Chancellor of the California Community
Colleges.
• Lauri Aylaian, Director of Community Development, City of Palm Desert.
• Mark Greenwood, Director of Public Works, City of Palm Desert.
• Lori Carney, Human Resources Manager, City of Palm Desert.
B. OATH OF OFFICE ADMINISTERED TO OVERSIGHT BOARD MEMBERS.
Ms. Klassen administered the Oath of Office to Members Buck, Carver, Larson,
and Spiegel; said Oaths are now on file in the Office of the Palm Desert
City Clerk/Secretary to the Successor Agency to the Palm Desert Redevelopment
Agency.
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PRELIMINARY MINUTES DRAFT MARCH 14, 2012
SPECIAL MEETING OF THE OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
C. OVERSIGHT BOARD MEETING SCHEDULE.
o Suggested dates for Regular Meetings:
- 1st Monday of the Month - P.M.
- 1st Wednesday of the Month - A.M. or P.M.
- 3rd Tuesday of the Month - A.M.
Following discussion amongst members, the first Monday of the month at
1:30 p.m. was identified as the best choice for scheduling regular meetings of the
Oversight Board of the Successor Agency to the Palm Desert Redevelopment
Agency.
Member Carver moved to waive further reading and adopt Resolution No. OB-001,
establishing the time, day, and place of regular meetings of the Oversight Board to be the first
Monday of each month at 1:30 p.m. in the Administrative Conference Room of the Palm Desert
Civic Center. Motion was seconded by Member Larson and carried by 4-0 vote,with Brandt and
McDaniel ABSENT.
D. ELECTION OF OFFICERS.
1) Elect Chair for the Oversight Board of the Successor Agency to the
Palm Desert Redevelopment Agency.
Member Larson nominated Member Spiegel as Chair of the Oversight Board of the
Successor Agency to the Palm Desert Redevelopment Agency. Nomination was seconded by
Member Buck and carried by 4-0 vote, with Brandi and McDaniel ABSENT.
2) Authorize the Secretary of the Successor Agency to the Palm Desert
Redevelopment Agency to notify the Department of Finance of the elections
and Members of the Oversight Board.
Member Carver moved to authorize Secretary of the Successor Agency to the
Palm Desert Redevelopment Agency Rachelle Klassen to notify the Department of Finance of
the elections and Members of the Oversight Board. Motion was seconded by Member Buck and
carried by 4-0 vote, with Brandt and McDaniel ABSENT.
3) Designate the Executive Director of the Successor Agency to the Palm Desert
Redevelopment Agency as the contact person to the Department of Finance.
Member Buck moved to appoint John Wohlmuth as Executive Director to the Oversight
Board of the Successor Agency and designate him as the contact person for the Department of
Finance. Motion was seconded by Member Spiegel and carried by 4-0 vote, with Brandi and
McDaniel ABSENT.
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MINUTES DRAFT MARCH 14, 2012
PRELIMINARY U
SPECIAL MEETING OF THE OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
E. REPORT REGARDING ROLE OF THE OVERSIGHT BOARD.
Members reviewed the copy of AB 26 provided in their agenda packets and
discussed role of the Oversight Board; staff members offered to answer questions.
It was noted that clean-up legislation was currently being proposed in Sacramento
having to do with ABX1 26 in order to clear up some of the ambiguity and
uncertainty in the law. Oversight Board Members inquired about the process for
disposing of Successor Agency assets. Further, they asked whether or not there
was any provision for legal counsel assigned specifically to the Oversight Board
outside of legal counsel the Successor Agency has for itself, which poses a
representational conflict; and if legal counsel was secured, who paid for it.
With Oversight Board concurrence, the report was received and filed.
F. ACTIONS/MINUTES OF THE SUCCESSOR AGENCY TO THE PALM DESERT
REDEVELOPMENT AGENCY.
With Oversight Board concurrence, Minutes of the Successor Agency to the Palm Desert
Redevelopment Agency Meetings of February 9 and February 23, 2012, were received
and filed.
G. REQUEST FOR APPROVAL OF THE UNCERTIFIED RECOGNIZED
OBLIGATION PAYMENT SCHEDULE (ROPS).
Staff noted that AB 26 clearly required that a Successor Agency had to identify
obligations and list them on two reports prior to the date of dissolution or date the
Governor signed the legislation: 1) Enforceable Obligation Payment Schedule
(EOPS) approved by the Redevelopment Agency before dissolution;
2) Recognized Obligation Payment Schedule (ROPS) first approved by the
Successor Agency and then the Oversight Board. The first ROPS would be
reviewed by the Oversight Board, Department of Finance (DOF), and
Riverside County; with the County required to do an audit of the City's activities
listed in the subject Schedule. DOF has already provided feedback following
Successor Agency's approval of the ROPS, requesting review of agreements and
related documentation for certain line items. There is some confusion regarding
application of the law, after the Supreme Court decision on December 29, 2011,
and subsequent delay of certain deadlines in the law; whereas, submission of the
Certified ROPS to DOF must occur by April 15. However, Palm Desert was
informed that Riverside County cannot physically perform the required certification
by that date. Therefore, the Department of Finance requirement and the
legislation have been extended so that the County has until July 1 to perform
certification. Additionally, DOF has clarified that it is acceptable to take an
uncertified ROPS to the Oversight Board for review and approval prior to County
certification. It was pointed out that there are four Project Areas listed in the
Schedule, with bonded indebtedness being listed as the first section in each
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PRELIMINARY MINUTES DRAFT MARCH 14, 2012
SPECIAL MEETING OF THE OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
Project Area,followed by obligations—existing contracts, administrative costs,etc.
Certain costs of the Oversight Board were not included, but it does include costs
of the meetings being held, such as today's. Staff offered to answer questions.
Oversight Board Members went through pages of the ROPS and asked questions
about obligations for the Project Areas, how they would be paid, and how Pass-
through amounts would be handled. For the next meeting, staff agreed to provide
a Project Area Map of the Redevelopment Agency as it existed prior to dissolution
to better illustrate where the obligations came from. Further, staff noted that the
ROPS defined money to be paid; it did not identify money to be received or
transactions related to land, and those matters will be separate considerations for
the Oversight Board. Board Members requested a line-by-line review of the ROPS
at the next meeting.
Member Larson moved to continue approval of the Uncertified Recognized Obligation
Payment Schedule(BOPS)to the next meeting. Motion was seconded by Member Carver and
carried by 4-0 vote, with Brandt and McDaniel ABSENT.
VI. CONTINUED BUSINESS
None
VII. OLD BUSINESS
None
VIII. REPORTS AND REMARKS
A. CHAIR
None
B. MEMBERS OF THE OVERSIGHT BOARD
1. Member Carver commented he was glad to see that AB 26 provided the
Oversight Board with personal immunity from suit with regard to any actions
they take as Members of this Board.
2. Ms. Klassen noted that along with the packet that she provided to Board
Members where the Oath of Office was the first page, it also contained a letter,
requesting an Assuming Office Statement of Economic Interests - Form 700
from each appointed, voting Board Member. She noted that Members of the
Board have full economic disclosure requirements, and she was available to
answer questions as needed.
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PRELIMINARY MINUTES DRAFT MARCH 14, 2012
SPECIAL MEETING OF THE OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
IX. ADJOURNMENT
Upon a motion by Member Larson, second by Member Carver, and 4-0 vote of the
Oversight Board, Chair Spiegel adjourned the meeting at 2:55 p.m.
ROBERT A. SPIEGEL, CHAIR
ATTEST:
RACHELLE D. KLASSEN, SECRETARY
OVERSIGHT BOARD OF THE SUCCESSOR AGENCY
TO THE PALM DESERT REDEVELOPMENT AGENCY
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