Loading...
HomeMy WebLinkAboutC-3097 LOAN REPAYMENT AGREEMENT CENTRAL PROJECT AREA REDEVELOPMENT PROJECT THIS AGREEMENT is entered into this 21st day of December, 1993 , by and between the City of Arcadia, a municipal corporation ("City") , and the Arcadia Redevelopment Agency, a public body corporate and politic ("Agency") . WHEREAS, the Agency has an ongoing need for assistance in funding certain administrative expenses and overhead and project costs of the Agency through 2026; and WHEREAS, Section 33600, et seq. , of the California Community Redevelopment Law authorizes the Agency to borrow money or accept financial or other assistance from any other public agency for any redevelopment project within its area of operation. NOW, THEREFORE, BE IT RESOLVED that the parties hereto do mutually agree as follows: 1. Amount of Loan - City agrees during the life of the Central Redevelopment Plan to loan to the Agency an amount to be determined each year by the City dependent upon the availability of City funds in each fiscal year not to exceed Ten Million Dollars ($10, 000, 000) in any given fiscal year. Said amount shall be in addition to any and all amounts previously loaned to the Agency. 2. Disbursement of Funds - The City agrees to disburse loan proceeds to the Agency upon receipt of a request in writing from the executive director of the Agency or designee. These disbursements may be conditioned upon receipt of funds from the Agency in repayment of previous City loans in amounts sufficient to cover said disbursements. The Agency agrees to use such proceeds only for purposes provided for in the Community Redevelopment Law. 3. Interest - The Agency agrees to pay the City up to twelve percent interest per annum on the funds borrowed at the time or times of repayment of the loan. 4. Repayment - The Agency agrees to repay any and all funds borrowed as soon as tax increment revenues are available. 5. Obligation Constitutes Indebtedness - This Loan and Repayment Agreement shall constitute an obligation and debt of the Agency to use all available tax increment revenue to repay City by periodic payments. Such indebtedness shall be subordinate to any existing or future bonded indebtedness of the Agency. KKR33089 IN WITNESS WHEREOF, the City and Agency have executed this Agreement as of the date first above-written. CITY O, ARC•DIA ARCAD. RED VELIP. T AG ICY Mayor, - Cha-;a ATTEST: ATTEST: C. Clerk A cy Secretar, APPROVED AS TO FORM: APPROVED AS TO FORM: ()71 • /1 // Mic ael iller Step en P. Deitsch City Attorney and Special Agency Counsel Agency Counsel KKR33089 -2-