HomeMy WebLinkAboutResolution No. 98-R450
RESOLUTION NO. 98—R45
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A RESOLUTION OF THE REDEVELOPMENT AGENCY OF
THE CITY OF AZUSA REQUESTING A LOAN FROM THE CITY OF AZUSA FOR
PURPOSES OF THE MERGED REDEVELOPMENT PROJECT AREA
WHEREAS, the Redevelopment Agency ofthe City of Azusa ('Agency") is authorized to undertake
certain actions which are necessary and incidental to the carrying out of the Redevelopment Plan which has
previously been adopted by the City of Azusa, for purposes of the Merged Redevelopment Project Area; and
WHEREAS, the Agency has incurred and will continue to incur obligations for such purpose; and
WHEREAS, the City of Azusa is authorized, pursuant to Section 33620, et. seq., of the Health and
Safety Code of the State of California to make loans to the Agency for the purposes of defraying said
expenses;
NOW, THEREFORE, BE IT RESOLVED by the Directors of the Redevelopment Agency of the
City of Azusa that:
Section 1. Pursuant to the provisions of said Section 33620, et. seq., of the California State Health
and Safety Code, the Board of Directors Agency hereby authorizes the Redevelopment Agency of the City
of Azusa to request a Loan from the City of Azusa for purposes of the Merged Redevelopment Project.
Section 2. The Agency pledges to accept and administer any funds loaned to it pursuant to this
request in accordance with the provisions of Section 33620, et. seq., of the Health and Safety Code.
Section 3. The Agency requests that authorization for repayment of the loan shall be evidenced by
a Note (in the form attached as Exhibit A) of the Agency containing the following terms, in addition to all
usual and customary terms:
INT. BORROW
LOAN AMOUNT PROJECT RATE TERM FROM PLEDGED REVENUE SOURCES
$739,730 Administration 6.0% 1 Year General Fund Tax Increment, Other
The loan listed herein is payable according to the terms of the Note. Payments will be made at least
annually, and will be paid in full in full on or before June 30, 1999. The Note is payable from accumulated
tax increment funds in excess of those pledged for payment of Agency bonded indebtedness, and/or from
any other funds available to the Agency from which such payment may legally be made. The Note may be
prepaid at any time without penalty.
Section 4. The Chairman of the Agency is hereby authorized and directed to execute, on behalf of
the Agency the Note to the City of Azusa in accordance with the provisions of Section 3 hereof.
AND ADOPTPihis 7th day of July 1998.
1 HEREBY CERTIFY that the foregoing resolution was duly adopted by the Redevelopment
Agency of the City of Azusa at a regular meeting held on the 7th day of July 1998.
AYES: BOARDMEMBERS
NOES: BOARDMEMBERS
ABSTAIN: BOARDMEMBERS
HARDISON, BEEBE, MADRID
STANFORD, ROCHA
NONE
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PROMISSORY NOTE
MERGED REDEVELOPMENT PROJECT AREA
AZUSA, CALIFORNIA
JULY 1, 1998
For value received, the REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body
corporate and politic ("Agency"), promises to pay the CITY OF AZUSA, a municipal corporation and
general law city organized and existing under the laws ofthe State of California ("City"), the sum of SEVEN
HUNDRED THIRTY-NINE THOUSAND SEVEN HUNDRED THIRTY DOLLARS ($739,730) with
interest thereon from the date of July 1, 1998, at the rate of six (6%) percent per annum, principal and
interest payable at least annually and due in full by June 30, 1999, as provided herein. The Note is payable
from tax increment revenues in excess of those pledged for Agency bonded indebtedness and/or any other
resources available to the Agency from which such payment may legally be made, allocated to and received
by the Agency for the Merged Redevelopment Project Area. The term of the note shall be one (1) year, due
in full by June 30, 1999, unless extended by mutual consent of both parties.
This note is issued in connection with the provision of funds to finance redevelopment activities of the
Merged Redevelopment Project Area. The Merged Project provides for tax increment financing in
accordance with the provisions of the California Health and Safety Code. The Agency is authorized, with
the consent of the Board of Directors, to undertake certain actions which are necessary and incidental to
carrying out the Redevelopment Plan which has previously been adopted by the City of Azusa, for purposes
of the Merged Redevelopment Project area. The City Council has authorized the loan for purposes of
funding incurred administrative obligations. This note is issued under the authority and pursuant to the
Community Redevelopment Law, commencing with Section 33600 of the Health and Safety Code of the
State of California, as amended.
Each payment shall be credited first to interest due and the remainder to principal; and interest shall
thereupon cease upon the principal so credited. Any unpaid interest shall accrue and be added to the
outstanding principal balance. In event of default in payment of any amount as herein provided, then the
entire amount shall become due at the option of the City of Azusa. Principal and interest shall be payable
in lawful money of the United States at AZUSA, CALIFORNIA. Demand, presentment for payment, protest
and notice of protest are hereby waived.
REDEVELOPMENT AGENCY OF THE
CITY OF-AZUSA _
Chairman
ADMINISTRATION
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