HomeMy WebLinkAbout1995-01-17; City Council; 12982; Early Repayment To Aviara Forward FundingCIT” OF CARLSBAD - AGENr\ BILL
APPROVAL OF EARLY REPAYMENT TO AVIARA
Adopt Resolution No. q 5 - 1 1 approving early repayment to Aviara Land
Associates for amounts advanced under a Forward Funding, Mitigation and
Reimbursement Agreement.
ITEM EXPLANATION:
On June 8, 1991, an Agreement approved by Council on June 18, 1991, with
Aviara Land Associates (Aviara) became effective for forward funding and
reimbursement of design and other preconstruction work on the Poinsettia
Lane/Interstate 5 overpass (the Project). Under the agreement, Aviara was to
advance up to $913,000 and would be reimbursed when sufficient Bridge and
Thoroughfare District fees were collected. Since that time the City has formed
Community Facilities District #l (CFD) in which has been incorporated this Project
and the related Bridge and Thoroughfare fees.
Aviara has met their obligation under the agreement and has advanced the full
amount of $913,000 which has been used to pay for the preconstruction work on
the project. Under current projections, the CFD will have sufficient funds to repay
Aviara for their advance in fiscal year 1995-96. Thus, the repayment has been
scheduled in the Capital Improvement Program (CIP) for payment in 1995-96.
In November 1994, Aviara requested that the City look into a modification of the
CIP which would move the repayment of their funds forward to the earliest
possible date. After reviewing the financial status of the CFD, staff is
recommending allowing this modification contingent on Aviara’s willingness to
discount the amount to be reimbursed for the loss of interest earnings to the City
for the early payment. Aviara has sent the City a letter stating that this plan for
repayment is acceptable by them (Exhibit 2). Thus, staff recommends that
Council adopt the attached Resolution allowing early repayment of the advance
at a discounted amount in full satisfaction of the City’s obligation under the
agreement.
FISCAL IMPACT:
Early repayment of this amount from CFD funds will not jeopardize any current
projects in the CFD. Sufficient funds are available to pay all anticipated project
costs through July 1, 1995. By discounting the repayment at a rate similar to the
yield on the City’s portfolio, the CFD financial status will be similar to what it would
have been if the repayment was made as scheduled.
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PAGE TWO OF AGENDA BILL NO. 12, g=
The City’s portfolio is now earning approximately 6%, thus staff would recommend that
the repayment be discounted at an annual rate of 6% for the period from the date of
payment to July 1, 1995. Assuming the payment date was February 1, 1995, the
discount amount would be $22,825 ($913,000 at 6% for 5 months) which would result in a repayment amount of $890,175. Aviara has concurred with this discount as
indicated in their letter dated December 6, 1994.
EXHIBITS:
1. Resolution No. 94 H 1 \ approving early repayment to Aviara Land Associates for
amounts advanced under a Forward Funding, Mitigation and Reimbursement
Agreement.
2. Letter from Aviara to the City of Carlsbad.
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EXHIBIT 1
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RESOLUTION NO. 95 - 11
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA APPROVING THE EARLY REPAYMENT
TO AVIARA UNDER AN AGREEMENT FOR FORWARD FUNDING,
MITIGATION AND REIMBURSEMENT FOR PUBLIC FACILITIES
WHEREAS, On July 8, 1991, the City entered into an Agreement for
Forward Funding and Reimbursement for Public Facilities (the Agreement) with
Aviara Land Associates (Aviara) under which Aviara was to advance up to
$913,000 to the City for the design and other pre-construction work on the
Poinsettia Lane/Interstate 5 overpass (the Project); and
WHEREAS, such advance has been made by Aviara and used by the
City to fund the work on the Project; and
WHEREAS, under the Agreement, reimbursement was to occur when
sufficient Bridge and Thoroughfare District fees were collected and allocated to the
Project or when bonds were issued for the Project under an assessment district
or community facilities district; and
WHEREAS, the City has since formed Community Facilities District #1
(CFD) which incorporated this Project and the related Bridge and Thoroughfare
fees; and
WHEREAS, the CFD will have sufficient funds allocated to the Project
to repay Aviara for their advance in fiscal year 199596 and such repayment has
been scheduled in the Capital Improvement Program (CIP) for payment in 1995-
96; and
WHEREAS, in November 1994, Aviara requested that the City make
reimbursement of the advance prior to its scheduled date; and
IfI
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WHEREAS, staff has determined that the CFD does have sufficient
funds to make such early repayment subject to a discount for the loss of interest
earnings to the CFD.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
of Carlsbad, California as follows:
1. That the above recitations are true and correct.
2. That the City Council authorizes staff to reimburse Aviara $913,000
less the discount as further described below in full satisfaction of the City’s
obligations under the Agreement for Forward Funding and Reimbursement for
Public Facilities dated July 8, 1991.
3. That the reimbursement shall be discounted at an annual rate of
6% for the period from the date of payment to July 1, 1995.
4. The Finance Director shall require Aviara to execute the attached
Full Release as a condition simuftaneous with said payment.
PASSED, APPROVED AND ADOPTED at a regular meeting of the City
Council on the 17th day of JANUARY , 1995, by the following vote, to wit:
AYES: Council Members Lewis, Nygaard, Kulchin, Finnila, Hall
NOES: None
ABSENT: None
Al-i-EST:
124t22bRG%
ALETHA L. RAUTENKRANZ, City Cler ww
II I/
AlTACHMENT “A”
That the Undersigned, being of lawful age, for sole
consideration of Eight hundred ninety thousa+olpyt(
paid to Aviara Land Associates Limited Partnership, a Delaware Limited Partnership
(“Aviara”), does hereby and for its heirs, executors, administrators, successors and
assigns release, acquit and forever discharge the City of Carlsbad and its agents, servants, successors, heirs, executors, administrators and all other persons, firms,
corporations, associations or partnerships from any and all claims, actions, causes of
action, demands, rights, damages, costs, loss of service, expenses and compensation
whatsoever, which the undersigned now has or which may hereafter accrue relating to
the reimbursement of funds advanced by Aviara pursuant to the July 8, 1991 Agreement
for Forward Funding, Mitigation and Reimbursement approved by the City Council on the
18th day of June, 1991 in Carlsbad California, by Resolution No. 91-207.
THE UNDERSIGNED HAS READ THE ABOVE AND FULLY UNDERSTANDS IT TO BE
A FULL AND FINAL RELEASE OF ALL CLAIMS.
Signed and delivered this 30th day of January ,19=.
SEE ATTACHED
Signature
Signature
Resolution No. 95-11
.
AVLARA LAN-D ASSOCWES LIMITED PARTNERSHIP, a Delaware limited partnership
Jo#$,hpelke, Assistant Secretary
By'?fTk2$$~~F21q General Partner
- CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT -
STATE OF CALIFORNIA )
/-
COUNTY OF \ ,<J‘ [ /J&/H
/
1
.G.. “JANE DOE. NOTARY PUBLIC”
personally appeared. o! L. c/ cn?m. 3 t’ <T~IQ / . %$=I ,4?Le
personally known to me .I jr ) to be the person(s) whose name(s)+siare
subscribed to the wrthin Instrument and acknowledged to me thatb&belthey executed the same in b&her/their authorized
capacrty(ies). and that by b&her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted. executed the Instrument.
‘WITNESS mv hand and official seal.
&& ! & n( ‘Ai /LL/
&mm. #lo10938
(SEAL)
NOTARY PUBLIC SIGNATURE /
- OPTIONAL INFORMATION -
TITLE OR TYPE OF DOCUMENT
DATE OF DOCUMENT NUMBER OF PAGES
SIGNER(S) OTHER THAN NAMED ABOVE -~~
-
AVURA LAND ASSOCIATES LIMITED PARTNERSHIP, a Delaware limited partnership
f-&eike, Assistant Secretary
ion, General Partner
- CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT -
STATE OF CALIFORNIA 1
COUNTY OF &,, AI&or )
personally appeared, /I. / l/_ Ffi /g NjBN./3 5’ , . \/
personally known to me (0) to be the person(s) whose name(s) *‘are
subscribed to the wlthln instrument and acknowledged to me that We/they executed the same in WfW!their authortzed
capaclty(ies;. and that by h&bWtheir signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted. executed the instrument.
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NOTARY PUBLIC SIGNATURE
(SEAL)
\A/IThlECC mtr hqnrl =nrl nffirrical cn=l
COdRfR. #IO18938 m WK: CAL )iGFiNIA
w#00colJNrY 0
1 OPTIONAL INFORMATION -
TITLE OR TYPE OF DOCUMENT
DATE OF DOCUMENT NUMBER OF PAGES
SIGNERIS) OTHER THAN NAMED ABOVE -~
December 6, 1994
Mr. Jim Elliott Financial Management Director City of Carlsbad 1200 Carlsbad Village Drive G&bad, CA 92008-1989
Dear Jim:
As outlined in your letter dated November 30, 1994, Aviara Land Associates is willing to accept a $22,825 discount in order to receive our Poinsettia Lane Bridge Reimbursement
on February 1, 1995. With the City Council’s approval, we will expect a check for
approximately $890,175 on or about February 1, 1995, and understand that there will be
a slight adjustment when the exact payout date is known.
Thank you for your cooperation.
Sincerely,
Lrcr J D. Larry Clemens
Vice President
DLC/er cc: Scott Medansky Curt Noland
brdgre.im.alz
2011 PAL~MAK AIRPORT ROAD SUITE 206 CARLSKAD, CALIFORNIA 92009 (619) 931-1190 F~x:(619) 931-7950
c
FULL RELEASE
KNOW ALL MEN BY THESE PRESENTS:
AlTACHMENT “A”
That the Undersigned, being of lawful age, for sole
consideration of Eight hundred ninety thousa~olp-p( ed sea-five z-s--
paid to Aviara Land Associates Limited Partnership, a Delaware Limited Partnership
(“Aviara”), does hereby and for its heirs, executors, administrators, successors and
assigns release, acquit and forever discharge the City of Carlsbad and its agents,
servants, successors, heirs, executors, administrators and all other persons, firms,
corporations, associations or partnerships from any and all claims, actions, causes of
action, demands, rights, damages, costs, loss of service, expenses and compensation
whatsoever, which the undersigned now has or which may hereafter accrue relating to
the reimbursement of funds advanced by Aviara pursuant to the July 8, 1991 Agreement
for Forward Funding, Mitigation and Reimbursement approved by the City Council on the
18th day of June, 1991 in Carlsbad California, by Resolution No. 91-207.
THE UNDERSIGNED HAS READ THE ABOVE AND FULLY UNDERSTANDS IT TO BE
A FULL AND FINAL RELEASE OF ALL CLAIMS.
Signed and delivered this 30th day of January ,19=.
SEE ATTACHED
Signature
Signature
Resolution No. 95-11
- CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT -
STATE OF CALIFORNIA 1
COUNTY OF czi?4 AL ‘@ )
NAME, TITLE OF OFFICER - E.G., “JA DOE, NOTARY PUBLIC”
personally appeared, B. ( . &J!?M&N~ 5’ i%‘fl7T M. h’i’f%!ANZ$k Y
personally known to me (2) to be the person(s) whose name(s) Ware
subscribed to the within instrument and acknowledged to me that befebe/they executed the same in +%&her/their authorized
capacity(ies), and that by h&her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
\AIIThlCCC m\r h~mrl nnrl nffini.,l mm01
m#oo COUNTY
(SEAL)
- OPTIONAL INFORMATION -
TITLE OR TYPE OF DOCUMENT
DATE OF DOCUMENT NUMBER OF PAGES
SIGNER(S) OTHER THAN NAMED ABOVE
- CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT -
STATE OF CALIFORNIA )
<& &z&&d COUNTY OF *c-j
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On /,h~[T+.T before me,/C/14irHLE&/ ~Ah/~h,Qhf’~ /V87M Y Fu& L-
NAME, TITLE OF OFFICER - .G.. “JANE DOE, NOTARY PUBLIC”
personally appeared, 4. L. c/&m&5. z’ ZN /-. r ?&/kc
personally known to me (C ) to be the person(s) whose name(s)-is/are
subscribed to the within instrument and acknowledged to me that-e/they executed the same in h&her/their authorized
capacity(ies), and that by b&her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
WITNESS mv hand and official seal. - ---I ---.~- -. - -...-.I. --_..
4/iii&ti
NOTARY PUBLIC SIGNATURE /
(SEAL)
- OPTIONAL INFORMATION -
, TITLE OR TYPE OF DOCUMENT
DATE OF DOCUMENT NUMBER OF PAGES
- SIGNER(S) OTHER THAN NAMED ABOVE
AVIARA LAND ASSOCIATES LIMITED PARTNERSHIP,
a Delaware limited partnership
General Partner
By:
By:
. .
,
1. .