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HomeMy WebLinkAboutSA-RDA 012 and HA-47 - Trnsfr - Housing Assets ListSUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY/ PALM DESERT HOUSING AUTHORITY STAFF REPORT JOINT CONSIDERATION REQUEST: ADOPT RESOLUTION NOS. SA-RDA o12 AND HA- 4� PROVIDING FOR THE TRANSFER OF ASSETS IDENTIFIED IN THE HOUSING ASSETS LIST TO THE PALM DESERT HOUSING AUTHORITY FROM THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY AS DIRECTED BY THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY SUBMITfED BY: Janet M. Moore, Director of Housing DATE: October 11, 2012 CONTENTS: Resolution No. SA-RDA�� Resolution No. HA- [�Z_ Draft Copy of Resolution No. OB-018 Housing Assets List (Exhibit A to the resolutions) DOF Letter (Exhibit B to Resolution No's OB-018 and SA-RDA o12 Recommendation That the Successor Agency, 1) Adopt Resolution SA-RDA � 12 providing for the transfer of assets identified in the Housing Assets List to the Palm Desert Housing Authority ("Authority") from the Successor Agency to the Palm Desert Redevelopment Agency ("Successor Agency"), together with related responsibilities, powers, duties and obligations associated with the housing activities of the former redevelopment agency as directed by the Oversight Board of the Successor Agency ("Oversight Board"); and 2) Authorize the Executive Director to effectuate the transfer of assets. That the Housing Authority Board, 3) Adopt Resolution HA- 47 providing for the acceptance of the transfer of assets described in action No. 1 by the Successor Agency; and 4) Authorize the Executive Director to take any steps necessary in order to accept the transfer of assets. Executive Summary The Agency possessed housing assets when it was dissolved on February 1, 2012, which are described on the Housing Assets List, (Exhibit A to the attached resolutions). In February of 2012 the Palm Desert City Council designated the Authority as the successor housing entity and transferred the housing responsibilities previously performed by the Agency to the Authority. Pursuant to AB 1484, the Authority submitted a Housing Assets List to State Department of Finance ("DOF") indicating the `assets' to be transferred to the Authority. On August 31, 2012, the DOF notified the Authority (Exhibit B) that DOF does not object to any of the assets identified on the Housing Assets List. Staff Report Adopt Resolution No. SA-RDA o12 & Resolution No. HA-47 October 11, 2012 Page 2 of 3 The Oversight Board held a meeting on October 8, 2012 to adopt the Board's Resolution OB- 018 directing the Successor Agency to transfer of assets, described in the Housing Assets List, from the Successor Agency (interim holder of the assets) to the Authority, together with related responsibilities, powers, duties and obligations associated with the housing activities of the former Redevelopment Agency. Discussion Upon dissolution of the Agency on February 1, 2012 pursuant to AB X1 26, the Successor Agency to the Palm Desert Redevelopment Agency was created to wind-down the Agency's activities. Pursuant to Health and Safety Code Section 34176(b), the City Council of the City of Palm Desert (the "City"). adopted a resolution electing that the City not retain the responsibility for performing housing functions previously performed by the former Agency, and determining that all of the assets, as allowed by law, and all rights, powers, liabilities, duties, and obligations associated with the housing activities of the former Agency be transferred to the Authority as the "Housing Successor". H& S Code Section 34177(g) directs the Successor Agency to effectuate transfer of housing functions and assets to the appropriate housing entity designated pursuant to H& S Code Section 34176, which in this case is the Authority. H& S Code Section 34181(c) provides that the Oversight Board shall direct the Successor Agency to transfer housing assets pursuant to H & S Code Section 34176. H& S Code Section 34176(a)(2) then directs the Authority as Housing Successor to submit to the DOF a list of all housing assets (the "Housing Assets List"), including any assets transferred between February 1, 2012 and the date on which the Housing Assets List is created. Health and Safety Code Section 34176(e) defines "housing asset" as any asset that meets one of the following criteria: 1. Any real property, interest in, or restriction on the use of real property, whether improved or not, and any personal property provided in residences, including furniture and appliances, all housing-related files and loan documents, office supplies, software licenses, and mapping programs, that were acquired for low and moderate income housing purposes, either by purchase or through a loan, with any source of funds; 2. Any funds that are encumbered by an enforceable obligation to build or acquire low and moderate income housing as defined in the Community Redevelopment Law (the "CRL") unless required in the bond covenants to be used for repayment purposes of the bond; 3. Any loan or grant receivable, funded from the Low and Moderate Income Housing Fund (the "LMIH Fund"), from homeowners, homebuyers; nonprofit or for profit developers, and other parties that require occupancy by persons of low or moderate income as defined by the CRL; 4. Any funds derived from rents or operation of properties acquired for low and moderate income housing purposes by other parties that were financed with any source of funds, including residual receipt payments from developers, conditional grant repayments, cost savings and proceeds from refinancing, and principal and interest payments from homebuyers subject to enforceable income limits; G:U-IOUSING�PATTY LEONUIvIIvI\STAFF REPOR'[1SARDA\SR - TRANSFER OF HOUSING ASSETS ]0-I 1-12.DOC Staff Report Adopt Resolution No. SA-RDA o12 & Resolution No. HA- 47 October 11, 2012 Page 3 of 3 5. A stream of rents or other payments from housing tenants or operators of low and moderate income housing financed with any source of funds that are used to maintain, operate, and enforce the affordability of housing or for enforceable obligations associated with low and moderate income housing; or 6. Repayments of loans from the LMIH Fund (e.g., a loan used to make a SERAF payment) or LMIH Fund deposits which had been deferred as of the effective date of AB X1 26. At the time of the dissolution, the Agency possessed housing assets which are described on the Housing Assets List, included as Exhibit A to the attached resolutions. The list includes the rental properties operated by the Authority, the rent stream from the Authority properties, the covenants and assistance loans on for-sale developments, the home improvement program loans, the properties acquired in Desert Rose and Falcon Crest, the loans to developers for affordable housing and the SERAF advance to the Agency, etc. The Authority submitted the Housing Assets List to DOF on July 31, 2012. DOF had 30 days from receipt of the Housing Assets List to object to any of the assets or transfers of assets identified on the Housing Assets List. On August 31, 2012, DOF notified the Authority (Exhibit B) that DOF does not object to any of the assets identified on the Housing Assets List. On October 8, 2012 the Oversight Board held a meeting to adopt Resolution No. OB-018 directing the Successor Agency to: i) transfer to the Housing Successor the assets identified on the Housing Assets List, heretofore or hereafter approved or deemed approved by DOF pursuant to Health and Safety Code Section 34176(a)(2), and (ii) transfer to the Housing Successor all rights, powers, duties, and obligations associated with the housing activities of the former Agency related to the housing assets. The attached resolutions provide for the transfer from the Successor Agency to the Authority as Housing Successor, as directed by the Oversight Board. Fiscal Analvsis There is no fiscal impact for the actual transfer. Operational costs for the Authority to take over the housing responsibilities are identified on the Recognized Obligation Payment Schedule through June 2013, however, coverage for future operational costs will be submitted with each future payment schedule for revieuu by the DOF. J Submitted by: Fina Department: / � � � �D�./L/��/ Ja et M. Moore, Director of Hou 'ng 'r�� u Gibson, Director of Finance � o JMM:pI U�'L{ BY HnUSG �AUTH �� `� Approval: � ON ��� �i o2C�lo�. � _�, � � VERI�lEC) BY:,� �`1 �,� �, J n. Wohlmuth, Executive '�t#ia� on file� with C�it�+ Cl�rk's Office �� � � � � � � � � � � w � ✓ U O U � � � 0 '� � .� � G:UiOUSING�PATTY LEONUMM\STAFF REPORTSARDA\SR - TRANSFER OF HOUSING ASSETS 10-11-12.DOC RESOLUTION NO. SA-RDA- 012 A RESOLUTION OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY TRANSFERRING HOUSING FUNCTIONS AND ASSETS RECITALS: A. Pursuant to Health and Safety Code Section 34175(b) and the California Supreme Court's decision in Califomia Redevelopment Association, et al. v. Ana Matosantos, et al. (53 Cal.4th 231(2011)), on February 1, 2012, all assets, properties, contracts, leases, books and records, buildings, and equipment of the former Palm Desert Redevelopment Agency (the "Agency") transferred to control of the Successor Agency to the Palm Desert Redevelopment Agency (the "Successor Agency") by operation of law. B. Pursuant to Health and Safety Code Section 34176(b), the City Council of the City of Palm Desert (the "City") adopted Resolution No. 2007-07 electing for the City not to retain the housing functions previously perFormed by the former Agency, and determining that all of the assets, as allowed by law, and all rights, powers, liabilities, duties, and obligations associated with the housing activities of the former Agency be transferred to the Palm Desert Housing Authority (the "Housing Successor"). C. Pursuant to Health and Safety Code Section 34176(a)(2), the Housing Successor submitted to the State Department of Finance (the "DOF") a list of all housing assets, including any assets transferred on or after February 1, 2012, attached hereto as Exhibit A, and incorporated herein by reference (the "Housing Assets List"). The DOFdid not object to the assets identified in the Housing Assets List (Exhibit B). D. Health and Safety Code Section 34181(c) provides that the oversight board of the Successor Agency (the "Oversight Board") shall direct the Successor Agency to transfer housing assets to the appropriate entity pursuant to Health and Safety Code Section 34176, being the Housing Successor, and Health and Safety Code Section 34177(g) directs the Successor Agency to effectuate the transfer of housing functions and assets pursuant to Health and Safety Code Section 34176. E. On October 8, 2012, the Oversight Board adopted Resolution No. OB-018 directing the Successor Agency to transfer Housing Assets to the Housing Successor pursuant to Health and Safety Code Section 34176(a)(2). NOW, THEREFORE, THE BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS: 12812-0001\1495052v1.doc RESOLUTION NO. SA-RDA- 012 Section 1. The above recitals are true and correct and are a substantive part of this Resolution. Section 2. This Resolution is adopted pursuant to Health and Safety Code Sections 34176 and 34177(g). Section 3. The Board of the Successor Agency hereby approves: (i) the transfer to the Housing Successor of those assets identified on the Housing Assets List, heretofore or hereafter approved or deemed approved by DOF pursuant to Health and Safety Code Section 34176(a)(2), excluding those items listed on Exhibit C thereto, and (ii) the transfer to the Housing Successor all rights, powers, duties, and obligations associated with the housing activities of the former Agency related to the housing assets transferred pursuant to this Section 3. Section 4. The staff and the Board of the Successor Agency are hereby authorized and directed, jointly and severally, to execute and record such documents and instruments and to do any and all other things which they may deem necessary or advisable to effectuate this Resolution. PASSED AND ADOPTED this 11th day of October, 2012. AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, SECRETARY ROBERT A. SPIEGEL, CHAIRMAN -2- 12812-0001\1495052v1.doc G:�E-IOUSING�Patty LeonUMM�staff report\SARDA\SARDA Reso re transfer of Housing Assets 10-11-12.doc RESOLUTION NO. SA-RDA- 0l2 EXHIBIT A Housing Assets List (see attached) Exhibit A 12812-0001\1495052v1.doc RE50LUTION NO. HA- 4� A RESOLUTION OF THE PALM DESERT HOUSING AUTHORITY ACCEPTING THE TRANSFER OF HOUSING FUNCTIONS AND ASSETS FROM THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY RECITALS: A. Pursuant to Health and Safety Code Section 34175(b) and the California Supreme Court's decision in California Redevelopment Association, et al. v. Ana Matosantos, et al. (53 Cal.4th 231(2011)), on February 1, 2012, all assets, properties, contracts, leases, books and records, buildings, and equipment of the former Palm Desert Redevelopment Agency (the "Agency") transferred to the control of the Successor Agency to the Palm Desert Redevelopment Agency (the "Successor Agency") by operation of law. B. Pursuant to Health and Safety Code Section 34176(b), the City Council of the City of Palm Desert (the "City") adopted Resolution No. 2007-07 electing for the City not to retain the housing functions previously performed by the former Agency, and determining that all of the assets, as allowed by law, and all rights, powers, liabilities, duties, and obligations associated with the housing activities of the former Agency be transferred to the Palm Desert Housing Authority (the "Housing Authority"). C. Health and Safety Code Section 34177(g) directs the Successor Agency to effectuate transfer of housing functions and assets to the appropriate entity designated pursuant to Health and Safety Code Section 34176, being the Housing Authority, and Health and Safety Code Section 34181(c) provides that the oversight board of the Successor Agency (the "Oversight Board") shall direct the Successor Agency to transfer housing assets pursuant to Health and Safety Code Section 34176. D. On October 8, 2012, the Oversight Board adopted Resolution No. OB-018 directing the Successor Agency to take such action, and on October 11, 2012, the Successor Agency adopted its Resolution No. SA-RDA- approving the transfer of housing functions and assets to the Housing Authority. E. The Housing Authority desires to accept the housing functions and assets identified in the Housing Assets List (Exhibit A) to be transferred by the Successor Agency to the Housing Authority pursuant to Resolution No. SA-RDA of the Successor Agency. NOW, THEREFORE, THE PALM DESERT HOUSING AUTHORITY HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS: Section 1. The above recitals are true and correct and are a substantive part of this Resolution. 12812-0001\1496490v1.doc RESOLUTION NO. HA- 4� Section 2. The Housing Authority hereby accepts the housing functions and assets transferred to the Housing Authority pursuant to Resolution No. SA- RDA of the Successor Agency. Section 3. The officers and staff of the Housing Authority are hereby authorized and directed, jointly and severally, to execute and record such documents and instruments and to do any and all other things which they may deem necessary or advisable to effectuate this Resolution. PASSED AND ADOPTED this 11th day of October, 2012. AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, SECRETARY ROBERT A. SPIEGEL, CHAIRMAN -2- 12812-0001 \ 1496490v 1. doc G:\HOUSING\Patty LeonWMN�staff report\RESOLUTIONS\HA Reso re accepting housing assets.doc RESOLUTION NO. HA-�� EXHIBIT A Housing Assets List (see attached) -3- 12812-0001 U 496490v l.doc G:\HOUSING\Patty Leon\JMM\staff report\RESOLUTIONS\HA Reso re accepting housing assets.doc i� ��� -- RESOLUTION NO. OB- 018 A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY DIRECTING THE TRANSFER OF HOUSING FUNCTIONS AND ASSETS RECITALS: A. Pursuant to Health and Safety Gode Section 34175(b) and the California Supreme Court's decision in California Redevelopment Association, et al, v. Ana Matosantos, et al. (53 Cal.4th 231(2011)), on February 1, 2012, all assets, properties, contracts, leases, books and records, buildings, and equipment of the Palm Desert Redevelopment Agency (the "Agency") transferred to the Successor Agency to the Palm Desert Redevelopment Agency (the "Successor Agency") by operation of law. B. Pursuant to Health and Safety Code Section 34176(b), the City Council of the City of Palm Desert (the "City") adopted Resolution No. 2012-07 electing for the City not to retain the responsibility for performing housing functions previously perFormed by the Agency, and determining that all of the assets, as allowed by law, and all rights, powers, liabilities, duties, and obligations associated with the housing activities of the Agency be transferred to the Palm Desert Housing Authority (the "Housing Authority"). C. Health and Safety Code Section 34177(g) directs the Successor Agency to effectuate transfer of housing functions and assets to the appropriate entity designated pursuant to Health and Safety Code Section 34176, being the Housing Authority, and Health and Safety Code Section 34181(c) provides that the oversight board of the Successor Agency (the "Oversight Board") shall direct the Successor Agency to transfer housing assets to the appropriate entity pursuant to Health and Safety Code Section 34176, being the Housing Authority. D. Pursuant to Authority submitted to the assets, including any as� List") (Exhibit A). Health and Safety Code Section 34176(a)(2), the Housing State Department of Finance (the "DOF") a list of all housing ;ts transferred after February 1, 2012 (the "Housing Assets E. Health and Safety Code Section 34176(a)(2) provides 30 days from DOF's receipt of the Housing Assets List for DOF to object to any of the assets or transfers of assets identified on the Housing Assets List. F. On August 31, 2012, DOF notified the Housing Authority (Exhibit B) that DOF does not object to any of the assets identified on the Housing Assets List. G. The Oversight Board desires to direct the transfer of all assets identified on the Housing Assets List. H. Pursuant to Health and Safety Code Sections 34179(f) and 34181(f), notice of this action was posted on the Successor Agency's website on September 26, 2012. 12R 12-0001 \1493791 v 1.doc RESOLUTION NO. OB- 018 NOW, THEREFORE, THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS: Section 1. The above recitals are true and correct and are a substantive part of this Resolution. Section 2. This Resolution is adopted pursuant to Health and Safety Code Sections 34177(g) and 34181(c). Section 3. The Successor Agency is hereby authorized and directed to transfer to the Housing Authority the assets described on the Housing Assets List attached hereto as Exhibit A. The Successor Agency is hereby further authorized and directed to transfer to the Housing Authority all rights, powers, duties, and obligations associated with the housing activities of the former Agency related to the housing assets transferred pursuant to this Section 3. Section 4. The staff of the Successor Agency is hereby directed to provide DOF written notice and information regarding the action taken by the Oversight Board in Section 3 of this Resolution. Such notice and information shall be provided by electronic means and in a manner of DOF's choosing. Section 5. The staff and the Board of the Successor Agency are hereby authorized and directed, jointly and severally, to execute and record such documents and instruments and to do any and all other things which they may deem necessary or advisable to effectuate this Resolution. PASSED AND ADOPTED this 8th day of October, 2012. AYES: NOES: ABSENT: ABSTAI N: ATTEST: ROBERT A. SPIEGEL, CHAIR RACHELLE D. KLASSEN, SECRETARY OVERSIGHT BOARD FOR THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY G:IHOUSING\Patty LeonUMhf�staffreport\OVERSIGHT BOARD\Traosfer of Assets 10-8-2012\OB resolution directing transfer of housing assets (2).doc RESOLUTION NO. 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OB- 018 Exhibit B Notification by DOF on the Housing Assets List G9HOfJSMC\Pvty Imn\1FAf�smR�epon\OVeR51�H[ BOARd�T'aosta of Asms IOE401H\OB raalmion di�m�ing vsn.vfc of Mming essms Q)doc RESOLUTION NO'S OB-018 AND SA-RDA �6NT Os.� r ` 'ti EXHIBIT B n ���� Z p III q * DEPARTMENT OF EDMIlNO G. 9ROWN Jn. • ��VERNOR ����~ F 1 N A N C E 91 5 L OTI�CR � OAORAM[NTO GA � G3o 11-3'lde � W W W.DOv.W.00V August 31, 2012 Ms. Janet Moore, Direetor of Housing Palm Desert Housing Authority 7&510 Fred Waring Drive Palm Desert, CA 92260 Dear Ms. Moore: Subject: Housing Asseta Transfer Form Purauant to Health and Safety Code (HSC) section 34176 (a) (2), the Palm Desert Housing Authorily submitted a Housing Assets Transfer Form (Form) to the Cal'rfomia Departrnent of Finance (Finance) on July 31, 2012 for the period February 1, 2012 through July 23, 2012. Finance has completed ita review of your Fortn, which may have inGuded obtaining c4arification for various items. Based on a sample of line items reviewed and the application of law, Finance is not objecting to any assets or transfers of assets identified on your Form. Please direct inquiries to Beliz Chappuie, Supervisor or Mindy Patterson, Lead Analyst at (916) 4451546. Sincerely, � � n: c STEVE SZALAY � Local GovemmeM ConsuRant cc: Ms. Veronica Tapia, Accountarrt II, Palm Desert Housing Authority Ms. Pam Elias, Chief Accounting Property Tax Division, Riverside County Auditor-CoMroller Ms. April Nash, Supervising AccountaM, Riverside CouMy Auditor-Controiler Ms. Jennifer Baechel, Business Process Malyst II, Riverside County AuditorvController Cal'rfornia State Audkor Controller's APPROVED BV OVERSIGHT BOARD BV RESOLUTION NO. 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