2009-01 RESOLUTION NO. 2009- 01
A RESOLUTION FO THE COMMUNITY REDEVELOPMENT AGENCY OF
THE CITY OF GRAND TERRACE,CALIFORNIA,AMENDING THE FISCAL
YEAR 2008-09 CRA BUDGET AND ALLOCATING A DEPOSIT INTO THE
EDUCATIONAL REVENUE AUGMENTATION FUND
WHEREAS,the California Budget Act of 2008, requires redevelopment agencies
to shift property tax revenue to K-12 schools and community colleges during fiscal year
2008-09; and
WHEREAS, such funds are required by the California Budget Act of 2008 to be
transferred to the county auditor and be deposited in the Educational Revenue
Augmentation Fund(ERAF)no later than May 10, 2009; and
WHEREAS,the redevelopment agency is required to determine that it has
available funds to fund the required ERAF transfer and that,if needed, such payment may
come from redevelopment low mod housing funds and, if needed, such payment may
come from general funds of the city or any other legal source of funds; and
WHEREAS,the governing board must communicate to the county auditor its
intention to remit such ERAF transfer payment to the county auditor no later than March
1, 2009; and
WHEREAS,the California Department of Finance has determined that the
Community Redevelopment Agency of Grand Terrace share of the 2008 ERAF transfer
payment in accordance with Health and Safety Code §33685 to be the amount of
$448,211; and
WHEREAS,the State Budget Act of 2008 and AB 1389 was adopted after the
Board of Directors adopted the 2008-09 fiscal year budget of the Community
Redevelopment Agency of Grand Terrace; and
WHEREAS,the governing board believes that the California Budget Act of 2008
requirement to shift property taxes from redevelopment agencies to K-12 schools and
community colleges is improper, illegal and furthermore supports the efforts by the
California Redevelopment Association and the City of Moreno Valley Redevelopment
Agency in a lawsuit filed in Sacramento Superior Court seeking to block sections of
budget trailer bill AB 1389, which was approved as part of the FY 2008-09 State budget;
NOW THEREFORE,the Board of Directors of the Community Redevelopment
Agency of Grand Terrace does hereby resolve, declare, determine, and order as follows:
Section 1. There are sufficient funds in the unreserved,undesignated non-housing
Fund Balance Reserves of the Community Redevelopment Agency to pay the determined
ERAF transfer payment for FY 2008-09.
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Section 2. The Agency will remit the required ERAF transfer from unreserved,
undesignated non-housing fund balance reserves of the Community Redevelopment
Agency, as determined by the Department of Finance, and advise the County Auditor
Controller its intent to deposit $448,211 into the Educational Revenue Augmentation
Fund no later than May 10, 2009.
Section 3. Amend the FY 2008-09 Budget of the Community Redevelopment
Agency to appropriate $448,211 from the unreserved,undesignated fund balance reserve
of the CRA Debt Service Fund.
Section 4. The Agency reserves the right to a receive a refund from the state should
the requirement to shift property taxes from the redevelopment agency, contained in the
California Budget Act of 2008, is determined to be illegal or invalid at a later date.
PASSED, APPROVED, AND ADOPTED this 13t'day of January, 2009.
Attest:
Secretary of the Grand Terrace Community Chairmaf the Grand Terrace
Redevelopment Agency Commu ty Redevelopment Agency
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� Resolution CRA 2009-01
I,BRENDA MESA,CITY CLERK of the City of Grand Terrace,do hereby certify that the foregoing
Resolution was introduced and adopted at a regular meeting of the Community Redevelopment
Agency of the City of Grand Terrace held on the 13r' day of January, 2009 by the following vote:
AYES: Agency Members Cortes,Miller and Stanckiewitz;Vice-Chairman
Garcia and Chairman Ferre
NOES: None
ABSENT: None
ABSTAIN: None
sty Clerk
� Approved as to form:
City Attorney U