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ARA-2012-001 RESOLUTION NO. ARA- 2012 -001 A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY ADOPTING AN AMENDED ENFORCEABLE OBLIGATION PAYMENT SCHEDULE AS REFERRED TO IN SECTION 34169(G) OF THE CALIFORNIA HEALTH AND SAFETY CODE. WHEREAS, the Anaheim Redevelopment Agency (the "Agency ") is a community redevelopment agency organized and existing under the California Community Redevelopment Law (Health and Safety Code Section 33000 et seq.; herein referred to as the "CRL ") and has been authorized to transact business and exercise the powers of a redevelopment agency pursuant to action of the City Council of the City of Anaheim (the "City Council "); and WHEREAS, the California State Legislature, in conjunction with the Fiscal Year 2011- 2012 State budget, passed Assembly Bill X1 26 and Assembly Bill X1 27 ( "AB 26" and "AB 27 ", respectively) on June 15, 2011, which were approved by the Governor on June 28, 2011 and chaptered by the Secretary of State on June 29, 2011; and WHEREAS, AB 26 amended specified provisions of the CRL and added Parts 1.8 and 1.85 of Division 24 of the Health and Safety Code, which immediately suspended most of the authority of redevelopment agencies and provided for their dissolution; and WHEREAS, AB 27 added Part 1.9 to the CRL, which established a Voluntary Alternative Redevelopment Program, whereby a redevelopment agency was able to be exempt from dissolution under AB 26 and could continue to exist and function under the CRL upon the enactment of an ordinance by the legislative body that created that redevelopment agency, thereby committing itself to comply with the provisions of AB 27 and to make annual remittance payments to the County Auditor - Controller; and WHEREAS, the validity, passage, and applicability of AB 26 and AB 27 were the subjects of a judicial challenge brought by the California Redevelopment Association ( "CRA ") and the League of California Cities in their own capacity and on behalf of their members in California Redevelopment Association, et al. v. Ana Matosantos, et al. (the "CRA Action "); and WHEREAS, the California Supreme Court delivered its decision in the CRA Action on December 29, 2011, finding AB 26 constitutional and AB 27 unconstitutional, meaning that all redevelopment agencies, including the Agency, will be dissolved under AB 26 and none will have the opportunity to be exempt from dissolution and continue to exist and function under the CRL by opting into the Voluntary Alternative Redevelopment Program under AB 27; and WHEREAS, from the time that the California Supreme Court accepted jurisdiction over the CRA Action and stayed the effectiveness of Part 1.85 of AB 26 in August, 2011, so that it could put to rest constitutional questions concerning AB 26 and AB 27, through the date of issuance in late December, 2011 of its decision in the CRA Action, redevelopment agencies were prohibited from making payments for anything other than "enforceable obligations" (as defined in Part 1.8 of AB 26) and were required to adopt a schedule of those "enforceable obligations ", including the amount of payments obligated to be made by redevelopment agencies, by month, through December, 2011 ( "Enforceable Obligation Payment Schedule "); otherwise, a redevelopment agency would not be able to make payments on its enforceable obligations other than payments required to meet obligations with respect to bonded indebtedness; and WHEREAS, by the adoption of its Resolution No. ARA- 2011 -011 on August 23, 2011, the governing board of the Agency adopted a Enforceable Obligation Payment Schedule for the purpose of ensuring that it was able to meet its commitments under "enforceable obligations" through December, 2011, pending the outcome of the Court's decision in the CRA Action; and WHEREAS, noting in its decision that its stay of the implementation of the provisions of Part 1.85 of the CRL had been in place for four months and, consequently, delayed operation of Part 1.85 by a like amount of time, the California Supreme Court reformed AB 26 to extend each of its deadlines by the duration of its stay, which, among other things, extended the date of dissolution of redevelopment agencies from October 1, 2011 to February 1, 2012; and WHEREAS, in order to ensure that the Agency is able to make payments on its enforceable obligations from and after January 1, 2012 until dissolution of the Agency occurs, this governing board of the Agency desires to amend its Enforceable Obligation Payment Schedule in the form of the amended Enforceable Obligation Payment Schedule attached hereto as Attachment No. 1; and WHEREAS, the Agency has duly considered all other related matters and has determined that the Agency's adoption of this Resolution is in the best interests of the City, and the health, safety, and welfare of its residents, and in accord with the public purposes and provisions of applicable state and local laws and requirements. NOW THEREFORE THE ANAHEIM REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS FOLLOWS: Section 1. The foregoing Recitals are incorporated into this Resolution by this reference, and constitute a material part of this Resolution. Section 2. Pursuant to the authority conferred upon the Agency by Part 1.8 of the CRL and Resolution No. ARA- 2011 -011 of the Agency to evaluate and consider the adoption of amendments necessary for the continued payment on, and performance of, enforceable obligations, the Agency hereby adopts the amended Enforceable Obligation Payment Schedule attached hereto as Attachment No. 1. The attached amended Enforceable Obligation Payment Schedule is that "Enforceable Obligation Payment Schedule" referred to in CRL Section 34169 and shall be interpreted and applied in all respects in accordance with such section and the CRL, to the fullest extent permitted by law. Section 3. The Agency Executive Director is further authorized and directed to post the amended Enforceable Obligation Payment Schedule on the Agency website and to notify the Orange County Auditor - Controller, the State Department of Finance, and the Controller of the 2 State concerning this Resolution, the amended Enforceable Obligation Payment Schedule, and its online publication. THE FOREGOING RESOLUTION is approved and adopted by the governing board of the Anaheim Redevelopment Agency this 24th day of Jarnnry , 2012, by the following roll call vote: AYES: Chairman Tait, Agency Members Galloway, Sidhu, Eastman and Murray NOES: None ABSTAIN: None ABSENT: None 4 1,AIRMA‘ ATTEST: LINDA DAL, AGENCY SECRETARY LINDA N. 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