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HomeMy WebLinkAboutMINUTES - 08151989 - 1.62 Y 1-062 TO: REDEVELOPMENT AGENCY FROM: PHIL BATCHELOR, EXECUTIVE DIRECTOR DATE: July 25 , 1989 Contra Costa SUBJECT: Repayment Agreement with the County Flood Control County and Water Conservation District, to finance the adoption of the Oakley Redevelopment Plan. SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS Approve a Repayment Agreement with the County Flood Control and Water Conservation District (FCD) and authorize the Executive Director or his designee to execute the Agreement, related to adoption of the Oakley Redevelopment Plan. FISCAL IMPACT The Agency will incur a debt of $60 ,000 to FCD, at an annual interest rate of 1% per annum above the prime interest rate. The loan is to be paid back from future tax increments generated in the Oakley Redevelopment Project Area. BACKGROUND/REASONS FOR RECOMMENDATIONS The Redevelopment Agency has been moving forward with the adoption of a Redevelopment Plan in the Oakley Area. The process of adopting a Redevelopment Plan is normally financed by loans from the legislative body or special districts governed by the legislative body. This is so because Redevelopment Law does not allow the expenditure of tax increment funds in other than the project area in which it is generated; nor the lending of tax increments from one project area to another. The Repayment Agreement calls for the FCD to loan $60 ,000 to the Redevelopment Agency in order to finance the adoption of the Oakley Redevelopment Plan. Under the terms of the Agreement the Agency will repay the FCD with future tax increments generated within the Oakley Project Area. Without this loan the Agency would need to borrow funds from the County in order to see the adoption process completed. CONTINUED ON ATTACHMENT: YES SIGNATURE: _ RECOMMENDATION OF EXECUTIVE DIRECTOR _RECOMMENDATIONAGEN COMI APPROVE OTHER SIGNATURE(S) : ACTION OF AGENCY ON August 15 , 1989 APPROVED AS RECOMMENDED X OTHER VOTE OF COMMISSIONERS I HEREBY CERTIFY THAT THIS IS A X UNANIMOUS (ABSENT ) TRUE AND CORRECT COPY OF AN AYES: NOES: ACTION TAKEN AND ENTERED ON THE ABSENT: ABSTAIN: MINUTES OF THE REDEVELOPMENT AGENCY ON THE DATE SHOWN. cc: Redevelopment Director ATTESTED August 15, 1989 Public Works Flood Control PHIL BATCHELOR, Auditor-Controller AGENCY SECRETARY County Counsel BYDEPUTY GR12/jb/repayoak.bos q4WA -