Resolution No. 2012-044RESOLUTION NO. 2012-44 11
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON ACTING AS THE SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF VERNON
APPROVING A RECOGNIZED OBLIGATION PAYMENT SCHEDULE
AND AUTHORIZING TRANSMITTAL TO THE LOS ANGELES
AUDITOR -CONTROLLER FOR AN EXTERNAL AUDIT PURSUANT
TO ABxl 26
WHEREAS, as part of the 2011-2012 State budget bill, the
California State Legislature recently enacted, and the Governor
signed, companion bills ABxl 26 and ABxl 27, which eliminated every
redevelopment agency unless the community that created it adopted an
ordinance agreeing to participate in an Alternative Voluntary
Redevelopment Program which required the payment of an annual
"community remittance" payment; and
WHEREAS, on August 16, 2011, the City Council of the City of
Vernon adopted Ordinance No. 1184 determining it will comply with the
Voluntary Alternative Redevelopment Program pursuant to Part 1.9 of
Division 24 of the California Health and Safety Code in order to
permit the continued existence and operation of the Redevelopment
Agency of the City of Vernon; and
WHEREAS, ABxl 26 also required redevelopment agencies to
adopt, an Enforceable Obligation Payment Schedule ("EOPS") which was
meant to serve as the basis for the payment of the Redevelopment
Agency's outstanding financial obligations through December 31, 2011;
and
WHEREAS, the Redevelopment Agency adopted an EOPS on
September 20, 2011 for the period of July 2011 to December 2011; and
WHEREAS, the California League of Cities and the California
Redevelopment Association filed suit in the Supreme Court of the State
of California challenging the constitutionality of ABxl 26 and
ABxl 27; and
WHEREAS, on December 29, 2011, the Supreme Court announced
its ruling to uphold Assembly Bill ABxl 26 (dissolution of
redevelopment agencies), but overturning and invalidating Assembly
Bill ABxl 27 (allowing redevelopment agencies to continue with
voluntary payments to the State); and
WHEREAS, under ABlx 26 the City of Vernon in its capacity as
the Successor Agency must prepare a Recognized Obligations Payment
Schedule ("ROPS") that enumerates the enforceable obligations and
expenses of the Successor Agency for the six-month period ending June
30, 2012, which ROPS must be (a) reviewed and certified as to its
accuracy by the County Auditor -Controller or its designee,
(b) approved by the Oversight Board for the Successor Agency,
(c) submitted to the State Controller's Office and to the State
Department of Finance and (d) posted on the Successor Agency's
website; and
WHEREAS, pursuant to a provision of ABlx 26, codified as
Health and Safety Code Section 34177, the City Council of the City of
Vernon, as the Successor Agency of the Redevelopment Agency of the
City of Vernon, has approved the draft ROPS covering the period of
January 2012 through June 2012.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
and correct.
SECTION 2: The City Council of the City of Vernon hereby
- 2 -
approves and authorizes the transmittal of the draft Recognized
Obligations Payment Schedule covering the period of January 2012
through June 2012, in substantially the same form attached hereto as
Exhibit A.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the City Administrator, or his designee, to transmit a copy
of the draft ROPS to the County for review and certification.
SECTION 4: The City Clerk of the City of Vernon shall
certify to the passage, approval and adoption of this resolution, and
the City Clerk of the City of Vernon shall cause this resolution and
the City Clerk's certification to be entered in the File of
Resolutions of the Council of this City.
APPROVED AND ADOPTED this 20th day of March, 2012.
r
Name: William J. Davis
Title:Mayor Pro-Tem
_3_
STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, Willard G. Yamaguchi, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution
No. 2012-44, was duly passed, approved and adopted by the City Council
of the City of Vernon at a regular meeting of the City Council duly
held on Tuesday, March 20, 2012, and thereafter was duly signed by the
Mayor or Mayor Pro-Tem of the City of Vernon.
Executed this a o day of March, 2012, at Vernon, California.
it ar G. ag 'hi, Oty Clerk
(SEAL)
EXHIBIT A
41
M
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: March 22, 2012
TO: Rory Burnett, Finance Director/City Treasurer
Alex Kung, Assistant to the City Administrator
FROM: Willard Yamaguchi, City Clerk
RE: Resolution No. 2012-44 — A Resolution of the City Council of the City of Vernon Acting
as the Successor Agency of the Redevelopment Agency of the City of Vernon Approving a
Recognized Obligation Payment Schedule and Authorizing Transmittal to the Los Angeles
Auditor -Controller for an External Audit Pursuant to Abxl 26
Transmitted herewith for your transmittal to the Los Angeles Auditor -Controller is a copy of Resolution
No. 2012-44 referenced above, which was approved by City Council on March 20, 2012.
Please ensure that a copy of the transmittal letter is sent to the City Clerk for the file.
Thank you.
WY:dj
Attachment
c: Resolution No. 2012-44
31,;' a1j,2
RECEIVED
MAR 15 2012
CITY CLERK'S OFFICE
DATE: March 14, 2012
STAFF REPORT
FINANCE DEPARTMENT
TO: Honorable City Council
FROM: Rory Burnett, Finance Director fq 3/15/1 Z
RE: Recognized Obligation Payment Schedule
Background:
ao` . 77
VO 1 W
On June 28, 2011, the Governor signed Assembly Bill 1X 26 (AB 1X 26) limiting the activities
and potential dissolution of the Redevelopment Agencies. On July 18, 2011 the California
Redevelopment Association filed a lawsuit challenging the constitutionality of AB 1X 26 and
AB 1X 27. On December, 29 2011, the California Supreme Court issued an opinion upholding
AB 1X 27 and invalidating AB 1X 27 which dissolved all redevelopment agencies throughout
the State of California effective February 1, 2012.
Pursuant to Health and Safety Code Section 34177 (1), the City of Vernon , as Successor Agency
to the dissolved Vernon Redevelopment Agency, prepared the attached Recognized Obligation
Payment Schedule.
Recommendation:
It is recommended that the City Council approve the Recognized Obligation Payment Schedule
at the March 20, 2012 City Council meeting.
Juarez, Debbie
From: Kung, Alex
Sent: Thursday, March 22, 2012 4:30 PM
To: 'Kwan, Wai Shui'
Cc: Juarez, Debbie
Subject: Resolution No. 2012-44 - Approving a Recognized Obligation payment Schedule and
Authorizing
Attachments: Resolution No. 2012-44.pdf
Wai,
Per your request attached is the resolution authorizing the ROPS.
Thanks,
Alex
Alex Kung
Assistant to the City Administrator
City of Vernon
City Administration
323.583.8811 Ext. 355
323.826.1422 Fax
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