The Successor Agency is performing its functions under Parts 1.8 and 1.85 of the California Health and Safety Code, as amended by Assembly Bill 1484 and other subsequent legislation including Senate Bill 107 (“SB 107”) (together, “Dissolution Law”), to administer the enforceable obligations and wind-down activities of the former Agency, all subject to the review and approval by an Oversight Board.

SB 107 modified the ROPS process and established an annual ROPS starting with ROPS 16-17 and provides for a one time amendment to annual ROPS. The ROPS is “the document setting forth the minimum payment amounts and due dates of payments required by enforceable obligations for each fiscal year as provided in subdivision (o) of Section 34177.”

Under the Dissolution Law, the Successor Agency may consider an amendment to ROPS 22-23 covering the B period of January 1, 2023 to June 30, 2023, and the Amended ROPS 22-23 B must be submitted to the DOF no later than October 1, 2022.

An amendment to ROPS 22-23 B has been prepared to increase Redevelopment Property Tax Trust Fund (“RPTTF”) funding for the B period for five Line Items.  The amended Line Items on ROPS 22-23 B are detailed as follows.

1. Line Item #19 - Waterpark Hotel DDA, increase RPTTF budget by $363,042.  Allowable expenses incurred during ROPS 21-22 AB, were over the approved budgeted amount by $363,042.
2. Line Item #20 - Site B2 DDA, increase RPTTF budget by $4,167 for allowable expenses to incur due to the closing of escrow regarding the property transfer per the Disposition and Development Agreement and the Long Range Property Management Plan.
3. Line Item #22 - Brookhurst Triangle DDA, increase RPTTF budget by $44,925 for allowable expenses to incur due to the closing of escrow regarding the property transfer per the Disposition and Development Agreement and the Long Range Property Management Plan.
4. Line Item #53 - Item 19 Trustee Fee (Waterpark Bond) , increase RPTTF budget by $3,767.  Allowable expenses are over the approved budgeted amount.
5. Line Item #54 - Item 7 Trustee Fee (Katella Cottages Note), increase RPTTF budget by $160.  Allowable expenses incurred during ROPS 21-22 AB, were over the approved budgeted amount by $160.

The table below highlights the proposed amendment to the B period in ROPS 22-23 B that would increase the B period budget by $416,061 from the Redevelopment Property Tax Trust Fund (“RPTTF”).   

It is recommended that the Successor Agency:

• Adopt the attached Resolution approving Amended ROPS 22-23 B for the period of January 1, 2023 to June 30, 2023, subject to the submittal to and review by the Countywide Oversight Board and then by the State Department of Finance; and

• Authorize posting and transmittal of the ROPS.  Further, the Assistant City Manager and Community and Economic Development Director and her designees, in consultation with legal counsel, shall be authorized to make augmentations, modifications, additions or revisions as may be necessary or directed by Department of Finance.