HomeMy WebLinkAboutResolution No. 98-C0290 0
RESOLUTION NO. 98—C29
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA'S AUTHORIZING
THE MAYOR TO EXECUTE THE CONTRACT FOR LOAN ASSISTANCE UNDER
SECTION 108 OF THE HOUSING AND COMMUNITY DEVELOPMENT ACT, THE
NOTE, THE RESTRICTED ACCOUNT AGREEMENT, AND OTHER DOCUMENTS AS
DEEMED NECESSARY TO FULFILL THE CITY OF AZUSA'S OBLIGATIONS
PURSUANT TO THE SECTION 108 LOAN GUARANTEE FOR THE DOWNTOWN
AZUSA REVITALIZATION PROJECT
THE CITY COUNCIL OF THE CITY OF AZUSA DOES HEREBY DETERMINE
AND RESOLVE S FOLLOWS:
WHEREAS, the City Council of the City of Azusa ("Council") adopted the
Redevelopment Plan for a redevelopment project known and designated as the "Central Business
District Redevelopment Project Area ("Project Area") by Ordinance No. 2062 of the City
adopted on September 18, 1978, amended by Ordinance No. 2077 by the City on July 2, 1979,
Ordinance No. 2113 on July 20, 1981, Ordinance No. 2197 on November 28, 1983, Ordinance
No 2249 on December 17, 1984, and by Ordinance No. 2250 on December 17, 1984, and
amended and merged by Ordinance No. 3282 adopted by the City on November 8, 1988, and all
requirements of law for and precedent to the adoption and approval of the Redevelopment Plan
have been compiled with; and
WHEREAS, on August 19, 1996, the Council approved the Downtown Azusa Concept
Plan and Implementation Program; and
WHEREAS, the boundaries of the Downtown Concept Plan are generally along Azusa
Avenue, between the 210 Freeway and Ninth Street, and along Foothill Boulevard between
Alameda and San Gabriel Avenues, includes a blighted area comprised of underutilized
commercial, service, and residential properties, deteriorated structures and vacant lots; and
WHEREAS, the Redevelopment Agency of the City of Azusa adopted the five-year
1995-1999 Redevelopment Implementation Plan in December 1994, and the 1995-1999
Redevelopment Plan Review on June 16,1997; and
WHEREAS, the Council adopted Resolution No. 96 -Cl 55 on October 7, 1996,
authorizing the submission of an application for a Section 108 Loan Guarantee to the United
States Department of Housing and Urban Development through the Los Angeles County
Community Development Commission ("CDC"); and
WHEREAS, the City submitted an application for a Section 108 Loan Guarantee in an
amount of $2,436,000, to the CDC on October 10, 1996; and
WHEREAS, the Section 108 Loan Guarantee is proposed to fund certain projects to
revitalize Downtown Azusa consistent with the Downtown Concept Plan and Redevelopment
Implementation Plans; and
WHEREAS, the proposed use of the Section 108 Loan Guarantee proceeds will fund the
Downtown Azusa Revitalization Program ("Program") which includes, among others, the
following projects: streetscape improvements, breezeway construction, property acquisition,
relocation assistance, and property demolition, and well as payment of the HUD fee; and
WHEREAS, the Program will encourage a more rational utilization of land in the
Redevelopment Project Area and eliminate blighting influences contributing to the deterioration
of the City's commercial area; and
WHEREAS, the Program will provide new commercial opportunities to area residents,
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an improved environment, and will become a strong complement to the City.
NOW, THEREFORE, THE CITY COUNCIL, a municipal corporation, finds
determines, and declares:
SECTION I. The City acknowledges that the Contract for Section 108 Loan Guarantee
Assistance, the Note, and Restricted Accounts Agreement (cumulatively known as the
"Governing Documents") are necessary to fulfill the City's obligation under the Section 108
Loan Guarantee program and agrees to fully abide by the requirements set forth therein and to
make all payments and to perform all obligations stipulated therein; and
SECTION H. The City agrees to establish a custodial account as required by HUD in
the Contract for Loan Guarantee Assistance; and
SECTION III. The City agrees to make the annual payments of principal and/or
interest, as evidenced in the Note, to the Community Development Commission's Loan
Guarantee Funds Repayment Account, as defined in the Note, from Community Development
Block Grant ("CDBG") funds or program income; and
SECTION IV. In the absence of CDBG (or successor program) monies, the City will
make annual payments from funds established in the Restricted Account Agreement; and
SECTION V. The City may enter into agreements with its Redevelopment Agency to
provide funding to meet its debt service obligation should the Section 108 Loan be called; and
SECTION VI. The Mayor, or her or his authorized designee, is authorized to execute all
necessary contracts and agreements with the Community Development Commission and the
Department of Housing and Urban Development, and to make any minor changes to the
Governing Documents, as necessary; and
SECTION VII. This Resolution shall be effective immediately upon its adoption.
SECTION VIII. The City Clerk shall certify the adoption of this Resolution.
WOPTED This 17th day OfFebruary 1998.
I HEREBY CERTIFY that the foregoing Resolution was duly passed, approved, and adopted
by the City Council of the City of Azusa, at a regular meeting of said City Council held on the
17th day of February , 1998 by the following vote of the Council:
AYES: COUNCILMEMBERS: Hardison, Stanford, Rocha, Beebe, Madrid
NOES: COUNCILMEMBERS: None
ABSTAIN: COUNCILMEMBERS:
APPROVED AS TO FORM
City Attorney
