TITLE
Recommendation to adopt resolution approving the decision of the City of Long Beach, as the Successor Agency to the Redevelopment Agency of the City of Long Beach, to approve an amended repayment schedule for the amounts of Property Tax funds (formerly 20 Percent Tax Increment Set-Aside) owed by the former Redevelopment Agency to the Low- and Moderate-Income Housing Asset Fund and submit to the State of California Department of Finance for approval.
DISCUSSION
On February 11, 2014, the Successor Agency reviewed and approved a revised repayment schedule for $24,721,890 in funds the former Redevelopment Agency (Agency) owes to the Low- and Moderate-Income Housing Asset Fund (LMIHAF) related to the deferral of $16,361,451 from the Downtown Project Area plus an additional remaining loan balance of $8,360,439. The Oversight Board of the City of Long Beach as Successor Agency to the Redevelopment Agency of the City of Long Beach (Oversight Board) approved the same schedule on February 24, 2014.
The California Department of Finance (DOF) has requested that the dollar amounts requested for this repayment on each Recognized Obligation Payment Schedule (ROPS) be based on actual dollar amounts and not estimates. Accordingly, the repayment schedule needs to be amended annually based on actual Redevelopment Property Tax Trust Fund (RPTTF) distributions to the Successor Agency. The amount of low- and moderate-income housing funds that can be repaid annually is limited to 50 percent of the residual proceeds paid in the preceding fiscal year less the residuals paid in Fiscal Year 2012-13 (FY12-13).
Following its Finding of Completion, the Successor Agency owed the LMIHAF $24,721,890. The debt was comprised of $16,361,451 deferred from the Downtown Redevelopment Project Area’s low- and moderate-income housing set-aside between 1986 and 2001, plus $8,360,439 borrowed in 2010 to make a state-mandated Supplemental Education Revenue Augmentation Fund (SERAF) payment. The de...
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