Title
Consider adoption of a resolution, in connection with issuance of bonds by the Fort Ord Reuse Authority, to:
a. Approve and authorize the Chair of the Board of Supervisors or other Authorized Officer to execute a Bond Certificate; and
b. Approve and authorize the County Auditor-Controller and Treasurer-Tax Collector to execute the Irrevocable Direction to Transfer Funds.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors adopt a resolution (Attachment A), in connection with issuance of bonds by the Fort Ord Reuse Authority, to:
a. Approve and authorize the Chair of the Board of Supervisors or other Authorized Officer to execute a Bond Certificate; and
b. Approve and authorize the County Auditor-Controller and Treasurer-Tax Collector to execute the Irrevocable Direction to Transfer Funds.
SUMMARY:
The Fort Ord Reuse Authority (FORA) intends to sell bonds prior to its dissolution on June 30, 2020 to fund costs of building removal and to allow for funding of FORA's unfunded CalPERS obligations. Under FORA's current bond proposal, tax increment from County's East Garrison Redevelopment Project Area would not be used to repay the bonds, and County would not receive bond proceeds.
In connection with issuance of the bonds, FORA has requested that the County approve a Certificate of the County (Attachment B) and requested the Auditor-Controller and Treasurer-Tax Collector to acknowledge and accept the Irrevocable Direction to Transfer Funds (Attachment C).
DISCUSSION:
FORA plans to fund costs of building removal on the former Fort Ord and unexpected unfunded obligations of FORA to CalPERS through the issuance of bonds, which will become debts of FORA. The City of Marina will succeed FORA as Administrator of the bonds upon FORA dissolution.
California Health and Safety Code Section 33492.71(c)(1)(D) provides that after dissolution of FORA, the tax increment allocated to FORA shall continue to be paid to the accounts of FORA,...
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