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HomeMy WebLinkAbout12.11.2024@631 Special Redevelopment Agency MeetingWednesday, December 11, 2024 6:31 PM City of South San Francisco P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA Library Parks & Recreation Building, Council Chambers 901 Civic Campus Way, South San Francisco, CA Successor Agency to the Redevelopment Agency EDDIE FLORES, Chair (District 5) MARK ADDIEGO, Vice Chair (District 1) JAMES COLEMAN, Boardmember (District 4) MARK NAGALES, Boardmember (District 2) BUENAFLOR NICOLAS, Boardmember (District 3) ROSA GOVEA ACOSTA, Board Clerk FRANK RISSO, Agency Treasurer SHARON RANALS, Executive Director SKY WOODRUFF, General Counsel Special Meeting Agenda December 11, 2024Successor Agency to the Redevelopment Agency Special Meeting Agenda How to submit written Public Comment before the Successor Agency to the Redevelopment Agency: Members of the public are encouraged to submit public comments in writing in advance of the meeting via the eComment tab by 4:31 p.m. on the meeting date. Use the eComment portal by clicking on the following link: https://ci-ssf-ca.granicusideas.com/meetings or by visiting the City Council meeting's agenda page. eComments are also directly sent to the iLegislate application used by City Council and staff. How to provide Public Comment during the Successor Agency to the Redevelopment Agency: COMMENTS ARE LIMITED TO THREE (3) MINUTES PER SPEAKER During a meeting, comments can only be made in person: Complete a Digital Speaker Card located at the entrance to the Council Chambers. Be sure to indicate the Agenda Item # you wish to address or the topic of your public comment. When your name is called, please come to the podium, state your name and address (optional) for the Minutes. American Disability Act: The City Clerk will provide materials in appropriate alternative formats to comply with the Americans with Disabilities Act. Please send a written request to City Clerk Rosa Govea Acosta at 400 Grand Avenue, South San Francisco, CA 94080, or email at [email protected]. Include your name, address, phone number, a brief description of the requested materials, and preferred alternative format service at least 24-hours before the meeting. Accommodations: Individuals who require special assistance of a disability-related modification or accommodation to participate in the meeting, including Interpretation Services, should contact the Office of the City Clerk by email at [email protected], 24-hours before the meeting. Page 2 City of South San Francisco Printed on 12/6/2024 2 December 11, 2024Successor Agency to the Redevelopment Agency Special Meeting Agenda CALL TO ORDER ROLL CALL AGENDA REVIEW LEVINE ACT DISCLOSURES (SB 1181) If you have donated $250 or more to the campaign of a South San Francisco elected official in the past twelve (12) months, please read the following paragraphs carefully: • The Levine Act (Gov. Code § 84308) requires any Party, Agent, or Participant, as defined in §84308(a), of a proceeding involving any grants, denials, renewals, restrictions, or modifications to any licenses and permits, entitlements for use, contracts, or franchises (“Proceeding”), to disclose on the record any contributions they have made to any elected, appointed, or candidate for City Officer totaling more than $250 within the preceding 12 months. • The Levine Act also requires any elected, appointed, alternate, or candidate for City Officer who has received a contribution totaling $250 within the past 12 months from a Party, Agent, or Participant of a Proceeding to (1) disclose that fact on the record involving the Proceeding and (2) to recuse themselves from, and in no way attempt to use their official position to influence any decision involving, the Proceeding. • Elected, appointed, alternates, or candidates for City Officer are prohibited from accepting, soliciting, and directing, and Parties, Participants, and Agents are prohibited from making, campaign contributions of more than $250 while the Proceeding is pending and for 12 months after the date a final decision is rendered for the Proceeding. Violations of the Levine Act may result in a civil action brought by the Fair Political Practice Commission (FPPC) for an amount up to five thousand dollars ($5,000) per violation. Any person who knowingly or willfully violates any provision of the Political Reform Act is guilty of a misdemeanor and subject to a fine of up to the greater of ten thousand dollars ($10,000) or three times the amount the person unlawfully contributed upon conviction for each violation. PUBLIC COMMENTS - Comments are limited to items on the Special Meeting Agenda CONSENT CALENDAR Staff Report regarding a resolution of the Successor Agency to the Redevelopment Agency of the City of South San Francisco, reviewing and approving a recognized obligation payment schedule and administrative budget for fiscal year 2025-26 (Karen Chang, Director of Finance) 1. Page 3 City of South San Francisco Printed on 12/6/2024 3 December 11, 2024Successor Agency to the Redevelopment Agency Special Meeting Agenda Resolution of the Successor Agency to the Redevelopment Agency of the City of South San Francisco reviewing and approving the recognized obligation payment schedule and administrative budget for the period July 1, 2025 through June 30, 2026, pursuant to health and safety code sections 34177(j) and 34177(l) 1a. ADJOURNMENT Page 4 City of South San Francisco Printed on 12/6/2024 4 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:24-1116 Agenda Date:12/11/2024 Version:1 Item #:1. Staff Report regarding a resolution of the Successor Agency to the Redevelopment Agency of the City of South San Francisco, reviewing and approving a recognized obligation payment schedule and administrative budget for fiscal year 2025-26 (Karen Chang, Director of Finance) RECOMMENDATION It is recommended that the Successor Agency to the Redevelopment Agency of the City of South San Francisco (“Successor Agency”)adopt a resolution approving the Recognized Obligation Payment Schedule and Administrative Budget for Fiscal Year 2025-26 as required by State law. BACKGROUND/DISCUSSION The State Legislature dissolved all California redevelopment agencies in 2012.The Successor Agency is responsible for winding down the affairs of the former Redevelopment Agency of the City of South San Francisco (“RDA”).This includes completing projects that were under contract with the RDA prior to dissolution. State law requires successor agencies to request funding for obligations on an annual basis.The Recognized Obligation Payment Schedule 25-26 (“ROPS 25-26”)requests funding for Fiscal Year 2025-26.The Successor Agency must adopt an Administrative Budget for the same time period. Enforceable obligations are funded by property tax revenues from former redevelopment project areas and other sources,such as repayments of loans issued by the RDA.Funds that are not committed on the ROPS are distributed to taxing agencies that serve former redevelopment project areas such as the City,County,schools, and special districts. The ROPS must be approved by the San Mateo Countywide Oversight Board (“Oversight Board”)and California Department of Finance (“DOF”).The Oversight Board will consider the ROPS 25-26 on January 6, 2025.The ROPS must be submitted to DOF by February 1,2025,who will make a determination by April 15, 2025.If the ROPS is not submitted to DOF on time,the City and Successor Agency could be subject to a civil penalty of $10,000 per day. DICUSSION The ROPS 25-26 requests $190,157 to fund the following obligations: ·Items 12-14 -Oyster Point Project DDA -The Successor Agency administers a Disposition and Development Agreement (“DDA”)dated March 23,2011,between the RDA,City,and Oyster Point Ventures,LLC,which was ultimately assigned and assumed by the current developer KR Oyster Point / KR-TRS (“Kilroy”or “developer”).The RDA negotiated the DDA to redevelop a former landfill into a life science workplace known as Oyster Point.The Successor Agency is responsible for certain costs related to environmental remediation and construction. ROPS Item 12 relating to Oyster Point development costs requests no funding this period.The City of South San Francisco Printed on 12/6/2024Page 1 of 3 powered by Legistar™5 File #:24-1116 Agenda Date:12/11/2024 Version:1 Item #:1. ROPS Item 12 relating to Oyster Point development costs requests no funding this period.The Successor Agency anticipates that funding received in prior years will cover remaining DDA obligations which have been scaled back based on current cost estimates. The City is currently implementing Oyster Point Phase 2C landscape improvements.Improvements include repaving of the upper parking lot and roadway,installation of new accessible pathways, widening and resurfacing of the Bay Trail,new landscape planting and irrigation,energy efficient lighting,picnic areas,fitness equipment,and a dedicated dog area.Construction of these improvements began early 2024.The first phase is opening to the public in November 2024 with the second phase anticipated to open early 2025. Future work includes installation of a new pump station for the Oyster Point Marina area.This is expected to take place between August 2025 and mid-2027. The Successor Agency is responsible for funding this work under Sections 3.4.1 and Exhibit 3.4.1 of the DDA.While the Successor Agency anticipates that prior ROPS funding will cover remaining obligations,it is possible that additional funding will be necessary in the future if there are unforeseen circumstances that increase costs.If this occurs,the Successor Agency will request funding on future ROPS. ROPS Item 13 relates to the Successor Agency’s indemnification obligation under Section 5.2 of the DDA due to potential exposure arising from former solid waste landfill.No funds are requested this period. ROPS Item 14 requests $190,157 for project-related staff,consultant,and legal costs to implement the Oyster Point project.This includes reimbursing the City for time the Public Works Director,City Manager,and other staff spend administering the project as detailed in Exhibit A.The costs are estimated based on average hours per month. Taxing Agency Benefit from Oyster Point The Successor Agency’s investment in the Oyster Point project will result in a significant increase in annual property tax revenues by adding over $2 billion in estimated new development value.On the Fiscal Year 2024-25 property tax bills,the properties had a secured value of over $1.3 billion,resulting in over $14.5 million in annual property tax revenue,compared to $840,000 in annual property tax revenues in 2011.Values are expected to increase as the project continues to be developed.Assuming 2%growth in annual assessed values,taxing agencies will benefit from nearly $879 million in estimated property tax revenues between 2025 and 2054. ·Item 48 -Administrative Cost Allowance -The Successor Agency requests $0 for Fiscal Year 2025-26 administrative expenses, which is further explained in the next section. ·Item 73 -San Mateo Community College District Litigation Costs -This item has been retired from the ROPS. ·Other Enforceable Obligations -ROPS Items 16 and 17 are related to an agreement with the San Mateo County Harbor District for dock improvements.There are no anticipated Successor Agency costs in Fiscal Year 2025-26.These obligations remain listed on the ROPS in case there are eligible costs in the future. City of South San Francisco Printed on 12/6/2024Page 2 of 3 powered by Legistar™6 File #:24-1116 Agenda Date:12/11/2024 Version:1 Item #:1. ADMINISTRATIVE BUDGET Health and Safety Code Section 34177(j)requires the Successor Agency to prepare an administrative budget and submit it to the Oversight Board for approval.An Administrative Budget for Fiscal Year 2025-26 is attached as Exhibit B. Staff has prepared an administrative budget of $0 for Fiscal Year 2025-26.The Dissolution Act sets an Administrative Cost Allowance cap that is generally 50%of non-administrative Redevelopment Property Tax Trust Funds (“RPTTF”)received in the prior fiscal year.The Successor Agency is ineligible for an administrative allowance because it received $0 in non-administrative RPTTF in Fiscal Year 2024-25.The City will need to cover administrative costs for Fiscal Year 2025-26 due to this limit. CONCLUSION Adoption of the proposed ROPS 25-26 and Administrative Budget is necessary to obtain funding for Fiscal Year 2025-26 obligations and are required by State law. Attachments: 1.Exhibit A - ROPS 25-26 2.Exhibit B - Administrative Budget for FY 25-26 3.Exhibit C - ROPS 25-26 Item 14 Oyster Point Soft Cost Estimate 4.Exhibit D - ROPS 25-26 SA Power Point Presentation City of South San Francisco Printed on 12/6/2024Page 3 of 3 powered by Legistar™7 Recognized Obligation Payment Schedule (ROPS 25-26) - Summary Filed for the July 1, 2025 through June 30, 2026 Period Successor Agency: South San Francisco County: San Mateo Current Period Requested Funding for Enforceable Obligations (ROPS Detail) 25-26A Total (July - December) 25-26B Total (January - June) ROPS 25-26 Total A Enforceable Obligations Funded as Follows (B+C+D) $ 190,157 $ - $ 190,157 B Bond Proceeds - - - C Reserve Balance - - - D Other Funds 190,157 - 190,157 E Redevelopment Property Tax Trust Fund (RPTTF) (F+G) $ - $ - $ - F RPTTF - - - G Administrative RPTTF - - - H Current Period Enforceable Obligations (A+E) $ 190,157 $ - $ 190,157 Certification of Oversight Board Chairman: Name Title Pursuant to Section 34177 (o) of the Health and Safety code, I hereby certify that the above is a true and accurate Recognized Obligation Payment Schedule for the above named successor agency. /s/ Signature Date 8 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - ROPS Detail July 1, 2025 through June 30, 2026 A B C D E F G H I J K L M N O P Q R S T U V W Item # Project Name Obligation Type Agreement Execution Date Agreement Termination Date Payee Description Project Area Total Outstanding Obligation Retired ROPS 25-26 Total ROPS 25-26A (Jul - Dec) 25-26A Total ROPS 25-26B (Jan - Jun) 25-26B Total Fund Sources Fund Sources Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF $21,734,857 $190,157 $- $- $190,157 $- $- $190,157 $- $- $- $- $- $- 12 Oyster Point Ventures DDA OPA/DDA/ Construction 03/23/ 2011 06/30/2027 Oyster Pt Ventures, LLC DDA Sections 3.2.1 Phase IC Improvements and 3.4.1 Improvement Costs Merged - N $- - - - - - $- - - - - - $- 13 Oyster Point Ventures DDA OPA/DDA/ Construction 03/23/ 2011 06/30/2027 Various contractors/ staff DDA Section 5.2 Environmental Indemnification Merged 18,513,268 N $- - - - - - $- - - - - - $- 14 Oyster Point Ventures DDA Project Management Costs 03/23/ 2011 06/30/2027 Legal/Staff costs Soft project management costs Merged 380,000 N $190,157 - - 190,157 - - $190,157 - - - - - $- 16 Harbor District Agreement Improvement/ Infrastructure 03/25/ 2011 06/30/2027 Harbor District Secs. 5.0 lease rev; 7.0 temp. office Merged 1,793,248 N $- - - - - - $- - - - - - $- 17 Harbor District Agreement Project Management Costs 03/25/ 2011 06/30/2027 Legal/Staff costs Soft project management costs Merged 798,341 N $- - - - - - $- - - - - - $- 48 Administration Costs Admin Costs 07/01/ 2025 06/30/2026 Legal/Staff costs Costs to administer Successor Agency Merged 250,000 N $- - - - - - $- - - - - - $- 73 San Mateo Community College District Litigation Litigation 07/01/ 2022 06/30/2025 Legal costs / Meyers Nave Litigation expenses that are an enforceable obligation under HSC 34171(d)(1)(F)(ii) Merged - Y $- - - - - - $- - - - - - $- 9 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - Report of Cash Balances July 1, 2022 through June 30, 2023 (Report Amounts in Whole Dollars) Pursuant to Health and Safety Code section 34177 (l), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. A B C D E F G H ROPS 22-23 Cash Balances (07/01/22 - 06/30/23) Fund Sources Comments Bond Proceeds Reserve Balance Other Funds RPTTF Bonds issued on or before 12/31/10 Bonds issued on or after 01/01/11 Prior ROPS RPTTF and Reserve Balances retained for future period(s) Rent, grants, interest, etc. Non-Admin and Admin 1 Beginning Available Cash Balance (Actual 07/01/22) RPTTF amount should exclude "A" period distribution amount. 14,724,185 2,131,861 E: Funds reserved for Oyster Point Escrow Account ($14,724,185) F: Other Funds reserved for ROPS 22-23 ($231,620) + ROPS 23-24 ($188,513) + 21-22 Revenue ($1,521,494) + Excess PPA 21-22 ($190,234) 2 Revenue/Income (Actual 06/30/23) RPTTF amount should tie to the ROPS 22-23 total distribution from the County Auditor-Controller 7,676,935 278,386 1,737,852 E: Deposits and interest earned Oyster Point Escrow Account ($7,676,935). F: Other Funds revenues from Interest ($59,274), Misc ($141,391), City Advance repayment to Successor Agency ($100,000) 3 Expenditures for ROPS 22-23 Enforceable Obligations (Actual 06/30/23) 5,637,711 231,620 1,737,852 E: Drawdowns from Oyster Point Escrow Account F and G: Other Funds and RPTTF expenses match PPA 22-23 4 Retention of Available Cash Balance (Actual 06/30/23) RPTTF amount retained should only include the amounts distributed as reserve for future period(s) 16,763,409 537,497 E: Funds reserved for Oyster Point Escrow Account ($16,763,409) F: Other Funds reserved for ROPS 23-24 ($188,513) and ROPS 24-25 ($348,984) 5 ROPS 22-23 RPTTF Prior Period Adjustment RPTTF amount should tie to the Agency's ROPS 22-23 PPA No entry required - PPA 22-23 10 Pursuant to Health and Safety Code section 34177 (l), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. A B C D E F G H ROPS 22-23 Cash Balances (07/01/22 - 06/30/23) Fund Sources Comments Bond Proceeds Reserve Balance Other Funds RPTTF Bonds issued on or before 12/31/10 Bonds issued on or after 01/01/11 Prior ROPS RPTTF and Reserve Balances retained for future period(s) Rent, grants, interest, etc. Non-Admin and Admin form submitted to the CAC 6 Ending Actual Available Cash Balance (06/30/23) C to F = (1 + 2 - 3 - 4), G = (1 + 2 - 3 - 4 - 5) $- $- $- $1,641,130 $- F: 21-22 Revenue ($1,521,494) less Other Funds held for ROPS 24-25 ($348,984), 22-23 Revenue ($300,665), + Excess PPA 21-22 ($190,234) 11 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - Notes July 1, 2025 through June 30, 2026 Item # Notes/Comments 12 13 14 16 17 48 73 12 24-25 25-26 July 2024-June 2025 July 2025-June 2026 Staff Description Requested Actual Variance Requested Requested Variance Comment/Explanation for Variance City Manager Agency and project administration 49,467$ 49,431$ 36$ 36,208$ 36,208$ Director, Econ & Comm Dev Agency and project administration 13,643$ 13,633$ 10$ 28,565$ 28,565$ Deputy Dir, Econ & Comm Dev Agency and project administration 10,857$ 10,849$ 8$ -$ -$ Economic Development Coordinator Agency and project administration 8,269$ 8,263$ 6$ -$ -$ Management Analyst II Agency and project administration 7,005$ 6,999$ 5$ -$ -$ Management Analyst I Agency and project administration 5,241$ 5,237$ 4$ -$ -$ Administrative Assistant I Agency and project administration 4,249$ 4,246$ 3$ -$ -$ City Clerk Agency meeting administration 3,469$ 3,466$ 3$ 4,688$ 4,688$ Deputy City Clerk Agency meeting administration 1,969$ 1,968$ 1$ 2,320$ 2,320$ City Clerk Records Technician Agency meeting administration 1,685$ 1,684$ 1$ 1,611$ 1,611$ Director, Finance Agency administration 40,318$ 40,289$ 30$ 19,635$ 19,635$ Deputy Director, Finance Agency administration 12,648$ 12,639$ 9$ -$ -$ Senior Accountant Agency administration 20,917$ 20,901$ 15$ 7,102$ 7,102$ Administrative Assistant II Agency administration 3,902$ 3,899$ 3$ 4,550$ 4,550$ Rounding Adjustment Agency administration (639)$ (639)$ -$ 183,000$ 183,504$ (504)$ 104,677$ -$ 104,677$ Vendor/Payee Description Requested Actual Variance Requested Requested Variance RSG, Inc Successor Agency Consultant 25,000$ 20,510$ 4,490$ 25,000$ 25,000$ Maze and Associates Auditor 6,000$ 4,000$ 2,000$ 4,000$ 4,000$ Redwood Public Law Legal Counsel 30,000$ 23,501$ 6,499$ 30,000$ 30,000$ BNY Mellon SSF Escrow Deposit & Trustee 2,500$ 1,250$ 1,250$ 4,000$ 4,000$ Willdan Financial Services Continuing Disclosure Agent/Arbitrage 2,500$ -$ 2,500$ 4,000$ 4,000$ Overhead Supplies, facilities, etc.1,000$ -$ 1,000$ -$ 67,000$ 49,261$ 17,739$ 67,000$ -$ 67,000$ 250,000$ 232,765$ 17,235$ 171,677$ -$ 171,677$ Sub-Total (Other Costs) Grand Total ADMINISTRATIVE BUDGET SOUTH SAN FRANCISCO SUCCESSOR AGENCY Sub-Total (Personnel Costs) 23-24 July 2023-June 2024 ROPS Period Obligations Period Total Outstanding Obligations ($) Total Number of Outstanding Obligations 21,734,857$ 6 Please specify budget methodology (Cost Allocation, Time Study etc) Cost Allocation Agency is ineligible for administrative cost allowance in 25-26 due to receiving $0 RPTTF in 24- 25 13 ROPS Period Obligations Period Item Staff Tasks Hourly Rate (Burdened)# of Hours per month Requested Successor Agency Engineering Management Staff costs Philip Vitale, Deputy CIP Director Project and contract management specific to Oyster Point DDA project 177.11$ 10 21,254$ Successor Agency Engineering Management Staff costs Eunejune Kim, Public Works Director Project and contract management specific to Oyster Point DDA project 261.34$ 10 31,361$ Successor Agency Engineering Management Staff costs West Coast Code Consultants Inc. - WC-3 Daily project management; cost management; coordination with contractor, developer and other regulatory agencies 232.00$ 40 111,360$ Successor Agency Project Management Staff Costs Sharon Ranals, Successor Agency Executive Director Overall project management, coordination with developer, staff and legal counsel 303.31$ 2 7,279$ Jennifer Clemente, Financial Services Manager Contract interpretation, implementation and dispute resolution for all contracts related to the enforceable obligations included in the DDA 157.56$ 4 7,563$ Legal Expenses Redwood Public Law Contract interpretation, implementation and dispute resolution for all contracts related to the enforceable obligations included in the DDA 472.50$ 2 11,340$ Total 190,157$ SUCCESSOR AGENCY SOUTH SAN FRANCISCO Oyster Point IIC DDA Soft Project Management costs 25-26 July 2025-June 2026 14 South San Francisco ROPS 25-26 1 15 ROPS 25-26$190,157 REQUESTED 2 ROPS Item Requested Item 12 Oyster Point Project Costs $0 Item 14 Oyster Point Project Mgnt $190,157 Item 48 Admin Cost Allowance $0 Total Requested $190,157 Entire Request from Other Funds 16 Oyster Point Site Plan 17 Vision for Oyster Point Kilroy Realty 18 Oyster Point IICImprovement Plan 19 Oyster Point IICConstruction Photos 20 Oyster Point IICConstruction Photos 21 Oyster Point IICConstruction Photos 22 OYSTER POINT DDA PROPERTY TAX IMPACT 9 Property Tax Estimates Annual 2011: $840,000 2025: $15 million 2044: $32 million Cumulative(2% Growth from 2025) 2034: $232 million 2044: $524 million 2054: $879 million 23 OYSTER POINT DDAPROJECT MANAGEMENT (ITEM 14) Position Tasks Average Hrs/Mo Fully Loaded Hr Rate Total Annual Cost Deputy Capital Improvement Projects Director Project and contract management specific to Oyster Point DDA project 10 $177.11 $21,254 Public Works Director Project and contract management specific to Oyster Point DDA project 10 $261.34 $31,361 Project Management Services (WC-3) Daily project management; cost management; coordination with contractor, developer and other regulatory agencies 40 $232.00 $111,360 City Manager / Successor Agency Executive Director Overall project management, coordination with developer, staff and legal counsel 2 $303.31 $7,279 Financial Services Manager Support cost/contract management, payment of project invoices, transfers between escrow accounts 4 $157.56 $7,563 Legal Services (Meyers Nave) Contract interpretation, implementation and dispute resolution for all contracts related to the enforceable obligations included in the DDA 2 $472.50 $11,340 Total Estimated Budget $190,157 10 24 ADMINISTRATIVE BUDGETFY 2025-26 (ITEM 48) 11 Description of Cost/Expense Amount Staff salaries, benefits, and payroll taxes $0 Professional Services – Successor Agency Consulting (RSG, Inc.)0 Professional Services – Auditors (Maze & Associates)0 Professional Services – Legal (Meyers Nave)0 Professional Services – Oyster Point Escrow Account Trustee & Continuing Disclosure 0 Total Budget $0 25 ROPS 25-26$190,157 REQUESTED 12 ROPS Item Requested Item 12 Oyster Point Project Costs $0 Item 14 Oyster Point Project Mgnt $190,157 Item 48 Admin Cost Allowance $0 Total Requested $190,157 Entire Request from Other Funds 26 NEXT STEPS Successor Agency forwards ROPS to Oversight Board Oversight Board meeting on January 6, 2025 ROPS due to DOF February 1, 2025 DOF Determination due by April 15, 2025 Property Tax Revenue distributed 6/1/25 and 1/2/26 27 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:24-1117 Agenda Date:12/11/2024 Version:1 Item #:1a. Resolution of the Successor Agency to the Redevelopment Agency of the City of South San Francisco reviewing and approving the recognized obligation payment schedule and administrative budget for the period July 1, 2025 through June 30, 2026, pursuant to health and safety code sections 34177(j) and 34177(l) WHEREAS,pursuant to Part 1.85 of Division 24 of the California Health and Safety Code (“HSC”)Section 34170 et seq.(“Dissolution Act”),the Redevelopment Agency of the City of South San Francisco (“RDA”)was dissolved as of February 1, 2012; and WHEREAS,the Successor Agency to the Redevelopment Agency of the City of South San Francisco (“Successor Agency”)succeeded to all assets,properties,contracts,leases,books and records,buildings,and equipment of the former RDA and,except as repealed,restricted,or revised by the Dissolution Act,was vested with all authority,rights,powers,duties and obligations under the California Community Redevelopment Law (HSC Section 33000 et seq.) previously vested with the RDA; and WHEREAS,HSC Section 34177(l)requires the Successor Agency to prepare a Recognized Obligation Payment Schedule (“ROPS”)for each 12-month fiscal period,which lists the outstanding obligations of the former RDA and states the sources of funds for required payments; and WHEREAS,HSC Section 34177(j)requires the Successor Agency to prepare a proposed administrative budget and submit it to the San Mateo Countywide Oversight Board (“Oversight Board”) for approval; and WHEREAS,Successor Agency staff has prepared a ROPS for the July 1,2025 through June 30,2026 fiscal period (“ROPS 25-26”),which,pursuant to HSC Section 34177(l),must be approved by the San Mateo Countywide Oversight Board (“Oversight Board”)and submitted to the State Department of Finance (“DOF”) no later than February 1, 2025; and WHEREAS,the Successor Agency to the Former Redevelopment Agency of the City of South San Francisco has prepared an administrative budget for the period July 1,2025 to June 30,2026 (“Administrative Budget”) as set forth in the attached Exhibit B; and WHEREAS,the Oversight Board will review ROPS 25-26 and the Administrative Budget on January 6,2025; and WHEREAS,the Successor Agency desires to approve the ROPS 25-26 and the Administrative Budget and transmit it to various parties as required by the Dissolution Act; and NOW,THEREFORE,the Successor Agency to the Redevelopment Agency of the City of South San Francisco, does hereby resolve as follows: 1.The Recitals set forth above are true and correct, and are incorporated herein by reference; City of South San Francisco Printed on 12/6/2024Page 1 of 2 powered by Legistar™28 File #:24-1117 Agenda Date:12/11/2024 Version:1 Item #:1a. 2.The draft ROPS 25-26 attached hereto as Exhibit A was prepared by the Successor Agency,reviewed and approved by the Successor Agency Board, and will be submitted to the Oversight Board; 3.In accordance with HSC Section 34177(j),the Successor Agency hereby approves the Administrative Budget for the period July 1,2025 through June 30,2026,attached hereto as Exhibit B,contingent upon approval by the Oversight Board at its meeting on January 6, 2025; 4.The City Finance Director or designee is authorized to modify the draft ROPS 25-26 and the Administrative Budget to correct errors,to update the ROPS 25-26 if necessary as a result of subsequent review by the Oversight Board,and provide clarifications consistent with requirements of the State Department of Finance and the intent of this Resolution; 5.The Executive Director of the Successor Agency or designee is authorized and directed to take all actions necessary to implement this Resolution,including without limitation,the submittal of the draft ROPS 25-26 to the Oversight Board,the County Auditor-Controller,the County Administrative Officer,the State Department of Finance,and the State Controller,and the posting of this Resolution and the draft ROPS 25-26 on the Successor Agency’s website; 6.The Finance Director or designee is authorized to incorporate the items on the ROPS into the 2025-26 operating budget once the ROPS is approved; 7.The Executive Director and the Finance Director,and their designees,are authorized and directed to take such actions as necessary and appropriate to carry out and implement the intent of this Resolution,including without limitation,the establishment of separate accounts and funds as necessary to appropriately document the receipts and expenditures of the Successor Agency; and 8.The Executive Director of the Successor Agency and/or their designee are authorized to execute contracts and agreements for the items listed on the July 1,2025 through June 30,2026 ROPS,as approved by the Oversight Board,up to the amounts specified on the approved ROPS for such items,unless specifically directed otherwise by the Oversight Board. ***** Exhibit A - South San Francisco’s Successor Agency’s Draft ROPS 25-26 Exhibit B - South San Francisco’s Successor Agency’s Fiscal Year 25-26 Administrative Budget City of South San Francisco Printed on 12/6/2024Page 2 of 2 powered by Legistar™29 Recognized Obligation Payment Schedule (ROPS 25-26) - Summary Filed for the July 1, 2025 through June 30, 2026 Period Successor Agency: South San Francisco County: San Mateo Current Period Requested Funding for Enforceable Obligations (ROPS Detail) 25-26A Total (July - December) 25-26B Total (January - June) ROPS 25-26 Total A Enforceable Obligations Funded as Follows (B+C+D) $ 190,157 $ - $ 190,157 B Bond Proceeds - - - C Reserve Balance - - - D Other Funds 190,157 - 190,157 E Redevelopment Property Tax Trust Fund (RPTTF) (F+G) $ - $ - $ - F RPTTF - - - G Administrative RPTTF - - - H Current Period Enforceable Obligations (A+E) $ 190,157 $ - $ 190,157 Certification of Oversight Board Chairman: Name Title Pursuant to Section 34177 (o) of the Health and Safety code, I hereby certify that the above is a true and accurate Recognized Obligation Payment Schedule for the above named successor agency. /s/ Signature Date 30 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - ROPS Detail July 1, 2025 through June 30, 2026 A B C D E F G H I J K L M N O P Q R S T U V W Item # Project Name Obligation Type Agreement Execution Date Agreement Termination Date Payee Description Project Area Total Outstanding Obligation Retired ROPS 25-26 Total ROPS 25-26A (Jul - Dec) 25-26A Total ROPS 25-26B (Jan - Jun) 25-26B Total Fund Sources Fund Sources Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF $21,734,857 $190,157 $- $- $190,157 $- $- $190,157 $- $- $- $- $- $- 12 Oyster Point Ventures DDA OPA/DDA/ Construction 03/23/ 2011 06/30/2027 Oyster Pt Ventures, LLC DDA Sections 3.2.1 Phase IC Improvements and 3.4.1 Improvement Costs Merged - N $- - - - - - $- - - - - - $- 13 Oyster Point Ventures DDA OPA/DDA/ Construction 03/23/ 2011 06/30/2027 Various contractors/ staff DDA Section 5.2 Environmental Indemnification Merged 18,513,268 N $- - - - - - $- - - - - - $- 14 Oyster Point Ventures DDA Project Management Costs 03/23/ 2011 06/30/2027 Legal/Staff costs Soft project management costs Merged 380,000 N $190,157 - - 190,157 - - $190,157 - - - - - $- 16 Harbor District Agreement Improvement/ Infrastructure 03/25/ 2011 06/30/2027 Harbor District Secs. 5.0 lease rev; 7.0 temp. office Merged 1,793,248 N $- - - - - - $- - - - - - $- 17 Harbor District Agreement Project Management Costs 03/25/ 2011 06/30/2027 Legal/Staff costs Soft project management costs Merged 798,341 N $- - - - - - $- - - - - - $- 48 Administration Costs Admin Costs 07/01/ 2025 06/30/2026 Legal/Staff costs Costs to administer Successor Agency Merged 250,000 N $- - - - - - $- - - - - - $- 73 San Mateo Community College District Litigation Litigation 07/01/ 2022 06/30/2025 Legal costs / Meyers Nave Litigation expenses that are an enforceable obligation under HSC 34171(d)(1)(F)(ii) Merged - Y $- - - - - - $- - - - - - $- 31 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - Report of Cash Balances July 1, 2022 through June 30, 2023 (Report Amounts in Whole Dollars) Pursuant to Health and Safety Code section 34177 (l), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. A B C D E F G H ROPS 22-23 Cash Balances (07/01/22 - 06/30/23) Fund Sources Comments Bond Proceeds Reserve Balance Other Funds RPTTF Bonds issued on or before 12/31/10 Bonds issued on or after 01/01/11 Prior ROPS RPTTF and Reserve Balances retained for future period(s) Rent, grants, interest, etc. Non-Admin and Admin 1 Beginning Available Cash Balance (Actual 07/01/22) RPTTF amount should exclude "A" period distribution amount. 14,724,185 2,131,861 E: Funds reserved for Oyster Point Escrow Account ($14,724,185) F: Other Funds reserved for ROPS 22-23 ($231,620) + ROPS 23-24 ($188,513) + 21-22 Revenue ($1,521,494) + Excess PPA 21-22 ($190,234) 2 Revenue/Income (Actual 06/30/23) RPTTF amount should tie to the ROPS 22-23 total distribution from the County Auditor-Controller 7,676,935 278,386 1,737,852 E: Deposits and interest earned Oyster Point Escrow Account ($7,676,935). F: Other Funds revenues from Interest ($59,274), Misc ($141,391), City Advance repayment to Successor Agency ($100,000) 3 Expenditures for ROPS 22-23 Enforceable Obligations (Actual 06/30/23) 5,637,711 231,620 1,737,852 E: Drawdowns from Oyster Point Escrow Account F and G: Other Funds and RPTTF expenses match PPA 22-23 4 Retention of Available Cash Balance (Actual 06/30/23) RPTTF amount retained should only include the amounts distributed as reserve for future period(s) 16,763,409 537,497 E: Funds reserved for Oyster Point Escrow Account ($16,763,409) F: Other Funds reserved for ROPS 23-24 ($188,513) and ROPS 24-25 ($348,984) 5 ROPS 22-23 RPTTF Prior Period Adjustment RPTTF amount should tie to the Agency's ROPS 22-23 PPA No entry required - PPA 22-23 32 Pursuant to Health and Safety Code section 34177 (l), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. A B C D E F G H ROPS 22-23 Cash Balances (07/01/22 - 06/30/23) Fund Sources Comments Bond Proceeds Reserve Balance Other Funds RPTTF Bonds issued on or before 12/31/10 Bonds issued on or after 01/01/11 Prior ROPS RPTTF and Reserve Balances retained for future period(s) Rent, grants, interest, etc. Non-Admin and Admin form submitted to the CAC 6 Ending Actual Available Cash Balance (06/30/23) C to F = (1 + 2 - 3 - 4), G = (1 + 2 - 3 - 4 - 5) $- $- $- $1,641,130 $- F: 21-22 Revenue ($1,521,494) less Other Funds held for ROPS 24-25 ($348,984), 22-23 Revenue ($300,665), + Excess PPA 21-22 ($190,234) 33 South San Francisco Recognized Obligation Payment Schedule (ROPS 25-26) - Notes July 1, 2025 through June 30, 2026 Item # Notes/Comments 12 13 14 16 17 48 73 34 24-25 25-26 July 2024-June 2025 July 2025-June 2026 Staff Description Requested Actual Variance Requested Requested Variance Comment/Explanation for Variance City Manager Agency and project administration 49,467$ 49,431$ 36$ 36,208$ 36,208$ Director, Econ & Comm Dev Agency and project administration 13,643$ 13,633$ 10$ 28,565$ 28,565$ Deputy Dir, Econ & Comm Dev Agency and project administration 10,857$ 10,849$ 8$ -$ -$ Economic Development Coordinator Agency and project administration 8,269$ 8,263$ 6$ -$ -$ Management Analyst II Agency and project administration 7,005$ 6,999$ 5$ -$ -$ Management Analyst I Agency and project administration 5,241$ 5,237$ 4$ -$ -$ Administrative Assistant I Agency and project administration 4,249$ 4,246$ 3$ -$ -$ City Clerk Agency meeting administration 3,469$ 3,466$ 3$ 4,688$ 4,688$ Deputy City Clerk Agency meeting administration 1,969$ 1,968$ 1$ 2,320$ 2,320$ City Clerk Records Technician Agency meeting administration 1,685$ 1,684$ 1$ 1,611$ 1,611$ Director, Finance Agency administration 40,318$ 40,289$ 30$ 19,635$ 19,635$ Deputy Director, Finance Agency administration 12,648$ 12,639$ 9$ -$ -$ Senior Accountant Agency administration 20,917$ 20,901$ 15$ 7,102$ 7,102$ Administrative Assistant II Agency administration 3,902$ 3,899$ 3$ 4,550$ 4,550$ Rounding Adjustment Agency administration (639)$ (639)$ -$ 183,000$ 183,504$ (504)$ 104,677$ -$ 104,677$ Vendor/Payee Description Requested Actual Variance Requested Requested Variance RSG, Inc Successor Agency Consultant 25,000$ 20,510$ 4,490$ 25,000$ 25,000$ Maze and Associates Auditor 6,000$ 4,000$ 2,000$ 4,000$ 4,000$ Redwood Public Law Legal Counsel 30,000$ 23,501$ 6,499$ 30,000$ 30,000$ BNY Mellon SSF Escrow Deposit & Trustee 2,500$ 1,250$ 1,250$ 4,000$ 4,000$ Willdan Financial Services Continuing Disclosure Agent/Arbitrage 2,500$ -$ 2,500$ 4,000$ 4,000$ Overhead Supplies, facilities, etc.1,000$ -$ 1,000$ -$ 67,000$ 49,261$ 17,739$ 67,000$ -$ 67,000$ 250,000$ 232,765$ 17,235$ 171,677$ -$ 171,677$ Sub-Total (Other Costs) Grand Total ADMINISTRATIVE BUDGET SOUTH SAN FRANCISCO SUCCESSOR AGENCY Sub-Total (Personnel Costs) 23-24 July 2023-June 2024 ROPS Period Obligations Period Total Outstanding Obligations ($) Total Number of Outstanding Obligations 21,734,857$ 6 Please specify budget methodology (Cost Allocation, Time Study etc) Cost Allocation Agency is ineligible for administrative cost allowance in 25-26 due to receiving $0 RPTTF in 24- 25 35