2000 AGN FEB 01 I12 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT For the City Council Meeting of February 1, 2000 TO: Honorable Mayor and City Council APPROVAL: Henry Garcia, City Manage FROM: Robb Steel, Redevelopment Directo llp SUBJECT: Consideration and Approval of a Proposed Resolution Approving a Redevelopment Cooperation Loan Agreement by and between the City of Colton and Redevelopment Agency for the City of Colton DATE: January 25, 2000 Backciround The Redevelopment Agency is considering a Redevelopment Participation Agreement with La Mesa RV, Inc. for the rehabilitation of the K -Mart property at 1175 South Mt. Vernon in the Cooley Ranch Project Area. As part of the Agency's financial obligations, it is required to reimburse La Mesa RV for specified costs. To make the required reimbursements to La Mesa RV, it is necessary that the City of Colton agree to allocate not more than 50% of the realized sales taxes from the project to the Agency. Discussion The detailed project description and supporting documents is included in your Agency Board packet for this date. To avoid unnecessary duplication, it has not been reproduced here. Please refer to the Agency report if you have any questions regarding the project. Attached hereto is the Redevelopment Cooperation Loan Agreement that the City of Colton must approve as a condition precedent to the effectiveness of the Agency Redevelopment Participation Agreement. The Cooperation Loan Agreement requires the City of Colton to make available to the Agency, subject to annual appropriation, certain funding measured by reference to a portion of the new City revenues attributable to the Project. This funding will be used to satisfy the Agency's obligations to La Mesa RV beginning in the second or third year of the Project (provided the Agency has realized a preferential return on its initial $250,000 Redevelopment Assistance Payment to the Participant). Item #12