OB 08-30-12CITY OF CUPERTINO
10300 Torre Avenue
Cupertino, CA 95014
SUCCESSOR TO THE REDEVELOPMENT AGENCY
OVERSIGHT BOARD
Special Meeting of August 30, 2012 - 10 a.m. Emergency Operations Center, City Hall
1. CALL TO ORDER
The meeting of the Successor to the RDA Oversight Board was called to order on August 30,
2012 at 10:00 a.m.,
.
2. ROLL CALL
Committee members present:
Mike Rock, Special Districts
David Woo, City of Cupertino
Chair Irene Lui, County of Santa Clara
William Hausman, Cupertino Union School District
Vice Chair Gilbert Wong, City of Cupertino
Rebecca Haggerty, County Appointee
Hector Quinonez, Foothill DeAnza Community College District
Others Present:
Carol Korade, City Attorney, Successor Agency (SA) Staff
Steve Mitra, Deputy County Counsel, Santa Clara County
Vera Gil, Senior Planner, Successor Agency (SA) Staff
3. APPROVAL OF MINUTES
Motion: Motion by Hausman, second by Haggerty, and carried 6-0-1; Mike Rock
abstained; to approve May 22, 2012 minutes as presented.
4. ORAL COMMUNICATIONS: None
5. WRITTEN COMMUNICATIONS: None
6. NEW BUSINESS
A. Discussion and public comments on results of due diligence review of Redevelopment
Agency and Successor Agency, as stated by Assembly Bill 1484.
Vice Chair Wong requested that discussion of the item be deferred to later in the meeting when
staff member is present.
B. Consider and approve the amended Enforceable Obligation Payment Schedule (EOPS)
covering August 2011 through December 2011.
David Woo presented the staff report:
As a result of the due diligence review, an item brought to light in reviewing the draft was that the
original enforceable obligation payment schedule that the RDA passed about a year ago had an
obligation that should have been listed. At the August meeting the SA amended the enforceable
obligation payment schedule covering the first obligation period of August 2011 through December
Successor to Redevelopment Agency August 30, 2012 2
2011. The item added is a $1,315,000 loan repayment to the City of Cupertino for an advance and
loan that was made during the same fiscal year. There is a loan agreement that goes with that which
the due diligence review and audit had noted. The SA approved the amended ROPS to add that
item at their August 21st meeting and the SA is now submitting it to the SA oversight board for
their review and approval. He clarified that the period covered August 2011 through December
2011, which was the first period of the wind down during which time it was adopted by the RDA
before the oversight boards were formed. The oversight board never saw that initial enforceable
obligation payment schedule and it wasn’t required to be presented to the oversight board at that
time because the oversight boards did not exist.
Vice Chair Wong opened the public hearing; as there was no one who wished to speak; the public
hearing was closed.
Motion: Motion by Haggerty, second by Lui, and unanimously carried 7-0-0 to adopt
Resolution No. 12-03 of the Cupertino Successor Agency Oversight Board
approving the amended enforceable obligation payment schedule (EOPS)
covering August 2011 through December 2011
C. Consider and approve the third Recognized Obligation Payment Schedule (ROPS)
covering January 2013 through June 2013.
David Woo, presented the staff report:
This is a ROPS requiring Board adoption on a go-forward basis for January 2013 through June
2013. In this ROPS there are no new obligations being listed because the Board at its May 22nd
meeting passed a resolution to wind down affairs and pass the final obligations of the agency; it is a
cleanup and reconciliation of the previous ROPS that the Board passed. The reconciliation is for
what actually occurred; which is $124,500 payment to the Housing Trust of Santa Clara County.
At the May meeting the Board accepted through a staff report a total of $1,124,500 that had been
paid to date; the $124,500 is part of that amount and is being reported on this ROPS.
The second item is a reconciliation of the administrative costs; the Board approved $125,000 in the
administrative allowance for that time period; the agency spent slightly less, about $117,000. The
savings was used to cover the Redevelopment Property Tax Trust payment to the County. Staff is
requesting the Board approve the ROPS through Resolution 12-04 presented.
Rebecca Haggerty:
Said it was encouraging to see the admin was under budget; and she noted there was no notice of
objection to the ROPS from the County, and she supported it.
Vice Chair Wong opened the meeting for public comment; as there was no one present to speak,
the public input portion of the meeting was closed.
Motion: Motion by Haggerty, second by Lui, and unanimously carried 7-0-0 to adopt
Resolution No. 12-04 of the Cupertino Successor Agency Oversight Board
approving the third recognized payment schedule (ROPS) covering January 2013
through June 2013
Vice Chair Wong returned the agenda back to Item 6A.
Successor to Redevelopment Agency August 30, 2012 3
6. NEW BUSINESS
A. Discussion and public comments on results of due diligence review of Redevelopment
Agency and Successor Agency, as stated by Assembly Bill 1484.
John Guthrie, Santa Clara County ABX126 Audit Manager, presented the staff report:
Section 34179 of AB 1484 required some new audit requirements, which is similar to information
shown in the AUP audit just issued, with a major difference in Schedule 11. In AB 1484 the State
was asking how much housing cash and how much non-housing cash is available after all
encumbrances are taken against that for distribution to the State. They want the report on the
housing cash by October 1 and the other report by December 15, 2012. This is probably the first
AUP report to be issued and is early on the agenda for the issuance of the reports. An additional
narrative on the report will be available on the web site later in the day with a link to the narrative.
As shown on the last schedule there is approximately $3,000 cash that will be remitted to the State
as a result of the audit.
Vice Chair Wong opened the public hearing; as there was no one who wished to speak; the public
hearing was closed.
Rebecca Haggerty:
Noted that the item would be discussed again in the following week for action to be taken at that
time.
7. OLD BUSINESS: None
8. OTHER BOARD UPDATES/REPORTS: None
9. ADJOURNMENT: The meeting was adjourned to the next meeting on Thursday,
September 6, 2012 at 9:30 a.m.
/s/Elizabeth Ellis
Respectfully Submitted: ______________________________
Elizabeth Ellis, Recording Secretary