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-