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.

At previous meetings of the Successor Agency and Oversight Board, all prior Recognized Obligation Payment Schedules (“ROPS”) were approved with certain modifications by DOF.  All prior ROPS were for six-month fiscal periods. 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 16-17 covering the B period of January 1, 2017 to June 30, 2017, and the Amended ROPS 16-17 B must be submitted to the DOF no later than October 1, 2016. An amendment to ROPS 16-17 has been prepared to carry over Redevelopment Property Tax Trust Fund (“RPTTF”) from the A period to the B period for certain Line Items.

The amended Line Items on ROPS 16-17 B are detailed as follows:

Line Item #19 - Waterpark Hotel DDA, increase budget by $50,000.  This amount was previously approved for the ROPS 16-17 A period, however all work and expenses incurred to fulfill the obligations of the DDA will occur during the ROPS 16-17 B period.

Line Item #22 - Brookhurts Triangle DDA, increase budget by $500,000. This amount was previously approved for the ROPS 16-17 A period, however all work and expenses incurred to fulfill the obligations of the DDA will occur during the ROPS 16-17 B period.

The table below highlights the proposed amendment to the A and B periods in ROPS 16-17 that would increase $550,000 into the B period from the Redevelopment Property Tax Trust Fund (“RPTTF”).

None until approved by the DOF.  If the DOF approves the Amended ROPS as submitted, the Successor Agency will increase its previously authorized ROPS 16-17 B distribution amount of $10,062,077 to $10,612,077, a difference of $550,000 for the period of January 1, 2017 to June 30, 2017, to pay the Successor Agency’s enforceable obligations.

Staff recommends that the Successor Agency:

• Adopt the attached Resolution approving Amended ROPS 16-17 B for the period of January 1, 2017 to June 30, 2017, subject to submittal to and review by the Oversight Board and then by the State Department of Finance, and authorizing posting and transmittal of the ROPS.  Further, the 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 DOF.