CIC Resolution 98-77COMMUNITY IMPROVEMENT COMMISSION
OF THE CITY OF ALAMEDA
RESOLUTION NO. 98-77
AUTHORIZING AMENDMENT TO THE LOAN INTEREST RATE OF THE COOPERATION
AGREEMENT BETWEEN THE CITY AND THE COMMUNITY IMPROVEMENT COMMISSION
WHEREAS, the City Council of the City of Alameda, acting pursuant
to the provisions of the California Community Redevelopment Law (Health
and Safety Code Section 33000 et seq.), has activated the Community
Improvement Commission of the City of Alameda (the "Commission") and has
declared itself to constitute the Commission by Ordinance No. 2103,
adopted on August 4, 1982; and
WHEREAS, pursuant to the Community Redevelopment Law, the Commission
is performing a public function of the City and may have access to
services and facilities of the City; and
WHEREAS, on June 19, 1991, the City and the Commission entered into
an agreement in order to:
(1) Set forth activities, services and facilities which the
City will render for and make available to the Commission in furtherance
of the activities and function of the Commission under the Community
Redevelopment Law; and
(2) Provide that the Commission will reimburse the City for
actions undertaken and costs and expenses incurred by it, for and on
behalf of the Commission;
WHEREAS, the City and the Commission desire to amend the agreement
in order to modify the applicable interest rate paid to the City for
loans made or funds advanced to the Community Improvement Commission by
the City.
NOW, THEREFORE, THE COMMUNITY IMPROVEMENT COMMISSION OF THE CITY OF
ALAMEDA DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The "Cooperation Agreement" between the City of Alameda
and the Community Improvement Commission of the City of Alameda is
amended in the form attached to this resolution and incorporated herein
by reference and the Chair and Secretary are hereby directed and
authorized to execute said amendment to the Cooperation Agreement on
behalf of the Commission.
C:\WP51\DATA\RESO\CIC.LOA
AMENDMENT TO COOPERATION AGREEMENT.
This Amendment of the Agreement, entered into this day of , 1998, by
and between the CITY OF ALAMEDA,("City") and the Community Improvement Commission
("CIC"), is made with reference to the following:
RECITALS:
A. On June 19, 1991, an agreement was entered into by and between City and the
CIC(hereinafter "Agreement"), setting forth activities, services and facilities which the City will
render for and make available to the CIC under Community Redevelopment Law, and for which
the CIC will reimburse the City, and the terms and conditions of repayment of any funds
advanced or loaned to the CIC by the City;
B. City and CIC desire to modify the Agreement regarding the rate of interest to be
paid on any funds advanced or loans made by the City to the CIC, on the terms and conditions
set forth herein.
NOW, THEREFORE, it is mutually agreed by and between and undersigned parties as
follows:
1. Paragraph 5 of the Agreement is modified to read as follows:
"It is understood by both the Commission and the City that such repayment shall be a
debt of the Commission shall be repaid solely from tax increment funds generated within
the Commission's redevelopment project areas. It is understood that in the event such tax
increment revenues fail to yield enough revenue to repay this obligation, the Commission
is under no obligation to the City to make such repayment from any other funds or
resources it may acquire."
2. Paragraph 7 of the Agreement is modified to read as follows:
"The obligations of the Commission under this Agreement shall constitute an
indebtedness of the Commission within the meaning of Section 33670 et seq. of the
Community Redevelopment.
Effective July 1, 1998, the outstanding balance of amounts owed to the City pursuant to
this agreement shall accrue interest until paid pursuant to the following schedule:
Date
Prior to July 1, 1998
July 1, 1998 through June 30, 1999
Interest rate of accrual of interest on
outstanding balance
Twelve percent (12%) per annum.
Greater of: (a) one percent (1.0%) per
annum greater than the interest rate the
City earns on cash deposits; or (b) eleven
percent (11.0%) per annum.
y 1, 1099 t rcaigh June 30, 2000 Greater of: (a) one percent (1.0%) per
annum greater than the interest rate the
City earns n cash deposits; or (h) ten
percent ( I °A%) per annum.
Ady I , 2000 through June 30, 2001
July 1, 200] thtough ;line 30, 2002
■-•
July 1, 2002 through June 30, 2003
July I, 2003 until indebtedness paid in fun
°rooter of (a) one percent (1,0%) per
aiinuni pi-cater than the interest rate the
City eurus on cash deposits; or (h) nine
percent (9.0%) per annum.
- -
Greater tlf: (a) one percent (1.0%1 per
annum greater than the interest rate the
City earns on cash deposits; or (b) eight
percent (8.0%) per aruturn.
Greater of (a) one percent (1.0%) per
annum greater than the interest rate the
C'i ry earns AII cash deposits. or (h) seven
percent (7.0%) per annum.
Greater of: (a) coy percent (1.0%) per
annum greater than the interest rate the
City earns on cash deposits; or (h) six
percent (.0%) per annum."
Except as expressly modified herein, all other terms and covenants set forth in the
Agreement shall remain the Sullab and Khali be in full fnrce and effect,
IN WITNESS WHEREOF, the parties hereto have caused this modification of Agreement
to be executed on the day and year first above Written,
COMMUNITY IMPRCIVEMENT CITY OF ALAMEDA
COMMISSION
Executive Director By: City Manager
Attest:
Secretary
2
Attest:
City Clerk
Approved as In form:
I, the undersigned, hereby certify that the foregoing
Resolution was duly and regularly adopted and passed by the
Community Improvement Commission of the City of Alameda in special
meeting assembled on the 7th day of April , 1998, by the
following vote to wit:
AYES: Commissioners Daysog, DeWitt, Kerr, Lucas
and Chair Appezzato - 5.
NOES: None.
ABSENT: None.
ABSTENTIONS: None,
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the
official seal of said Commission this 8th day of April , 1998.
Dian Felsch, Secretary
Community Improvement Commission
rr"
Ralph A ppezz*t.45,
Community Improvement Commission