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HomeMy WebLinkAboutR-03-07RESOLUTION NO. R-03-07 A RESOLUTION OF THE CITY OF SEBASTIAN, FLORIDA, ESTABLISHING AN AGREEMENT TO LOAN THE RIVERFRONT REDEVELOPMENT DISTRICT $108,000 FOR THE PURPOSE OF FUNDING A REDEVELOPMENT PLAN; ESTABLISH A USE OF FUNDS; ESTABLISH A RATE OF INTEREST; ESTABLISHING A TERM; PROVIDING FOR CONFLICTS; AND PROVIDING FORAN EFFECTIVE DATE. WHEREAS, the Riverfront Redevelopment Agency has determined that improvements are necessary within the Riverfront Redevelopment District; and WHEREAS, the Riverfront Redevelopment District is a component unit of the City of Sebastian, and WHEREAS, a Comprehensive Redevelopment Plan would provide a blueprint for acceptable redevelopment improvements within the district; and WHEREAS, the level of tax increment financing in the current year as well as the dedication of that financing this fiscal year will not sustain the cost of developing the redevelopment plan; and WHEREAS, the Riverfront Redevelopment Agency has approved this loan from the General Fund, and WHEREAS, the General Fund has sufficient reserves to cover short-term lending to the Riverfront Redevelopment District at an interest rate below market value, NOW, THEREFORE, BE IT. RESOLVED BY TIlE CITY COUNCIL OF THE CITY OF SEBASTIAN, THAT: Section 1. LOAN AGREEMENT. There is hereby established an agreement to loan from the General Fund to the Riverfront Redevelopment District an amount of ONE HUNDRED AND EIGHT THOUSAND DOLLARS ($108,000) to provide short-term funding for the creation of a Redevelopment Plan for the Riverfront Redevelopment District. Section 2. USE OF FUNDS. The Riverfront Redevelopment District Loan shall be used only for the purpose of creating a Comprehensive Redevelopment Plan for the expanded l~iverfront Redevelopment Disu-ict. Section 3. RATE OF INTEREST. The interest rate charged on the Riverfront Redevelopment Loan shall be the average monthly participant return rate received by the Local Government Surplus Funds Trust Fund (SBA) over the life of the loan. Tiffs rate shall be used to recover the interest lest on investment. S~tion 4. TERM OF LOAN. The Riverfront Redevelopment Loan shall be for a period not exceed one year from the date of adoption of this resolution. Section 5. All resolutions or parts of resolutions in conflict herewith are hereby repealed. Section 6. This Resolution shall become effective upon adoption. It was moved for adoption by Councilmembcr H~- 11_ The motion was seconded by Councilmember Barczyk vote, the vote was as follows: Mayor Walter Barnes aye Vice Mayor James A. Hill aye Councilmember Ray Coniglio aye Councilmember Joe Barczyk aye Councilmember Ed Majcher aye and, upon being put to a The Mayor thereupon declared this Resolution duly passed and adopted this 26th day of February, 2003. ATT..F~: City Clerk By: CITY OF SEBASTIAN, FLORIDA Mayor Walter Barnes Approved as to form and content for reliance by the City of Sebastian only: Rich Stringer, City A~o/!ney