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HomeMy WebLinkAboutCity/CRA Interlocal Agreement (Financial Contribution for Public Redevelopment Activities) recorded 9-20-18 CFN 2018211150,OR BK 8266 PAGE 221, Recorded 0912012018 at 11:20 AM,Scott Ellis,Clerk of Courts, Brevard County #Pgs:17 Prepared by and return to: Anthony A. Garganese, City Attorney Garganese, Weiss, D'Agresta & Salzman, P.A. Post Office Box 2873 Orlando, Florida 32802-2873 (407) 425-9566 INTERLOCAL AGREEMENT (Financial Contribution for Public Redevelopment Activities) This Agreement entered into this 18th day of September, 2018, by and between the CITY OF CAPE CANAVERAL, FLORIDA, a municipal corporation of the State of Florida ("City"), and the CAPE CANAVERAL COMMUNITY REDEVELOPMENT AGENCY, a body politic and corporate created pursuant to Part III, Chapter 163, Florida Statutes and City of Cape Canaveral Resolution No. 2012-16 ("Agency"). WITNESSETH: WHEREAS, in 2012 the City created the Agency pursuant to Resolution 2012-16; and WHEREAS, the City and Agency hereby recognize, as more fully explained herein, that a joint public partnership exists between the Agency and the City for purposes of designing, permitting, constructing and financing the City of Cape Canaveral Arts/Preservation and Enrichment (CAPE) Center ("Cape Center"); and (2) Canaveral City Park Redevelopment including new Multigenerational Center ("Canaveral City Park Redevelopment") to be located within the Agency's Redevelopment Area("Redevelopment Area"); and WHEREAS, the Agency is beginning to generate adequate tax increment funding to commence making significant public capital investments in the Redevelopment Area in Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 1 of 16 accordance with the Agency's Redevelopment Plan ("Redevelopment Plan") and the Community Redevelopment Act of 1969 and as more specifically stated herein; and WHEREAS, the Redevelopment Plan provides that the Agency will formulate, finance and implement redevelopment strategies that will serve as a catalyst for future redevelopment and business opportunities within the Redevelopment Area; and WHEREAS, the Redevelopment Plan also provides that the Agency will provide necessary public facilities at acceptable levels of service within the Redevelopment Area to accommodate existing and future needs as proposed development occurs within the Redevelopment Area including, but not limited to, (i) the Agency working with all appropriate government agencies and private utilities to ensure the provision of adequate services and facilities within the Redevelopment Area including parks and recreation and other public services; (ii) the Agency pursuing adequate park and recreation facilities, open space and beautification opportunities that may be desirable for neighborhood improvement, with special consideration for the health, safety and welfare of children; and WHEREAS, as a result of a City of Cape Canaveral initiated strategic planning process, the City has identified two important public capital improvement projects and redevelopment activities to be constructed in the very near future which will improve and enhance the park and recreational facilities, open space and beautification opportunities within the Redevelopment Area: the (1)the Cape Center and(2) Canaveral City Park Redevelopment projects; and WHEREAS, the Cape Center will be located in the historic old city hall building and is intended to support local culture, commerce and education and serve as a venue for cultural Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 2 of 16 enrichment/education programs and a mechanism for public engagement in the arts and repository for the City's rich cultural heritage; and WHEREAS, the redevelopment of Canaveral City Park, which is the City's most centrally located park, will include a new Multigenerational Center and other public recreational amenities that will serve as the central recreational hub of the community and engage people of all ages in cultural and recreational activities; and WHEREAS, both the Cape Center and the Canaveral City Park Redevelopment projects are major redevelopment activities which are expressly contemplated by, and in furtherance of implementing, the goals, policies and objectives set forth in the Redevelopment Plan; and WHEREAS, the current and previous annual budgets and capital improvement plans of the City and Agency provide that the Agency will participate with the City in funding the construction of the Cape Center and Canaveral City Park Redevelopment projects; and WHEREAS, the Agency and City desire to partner together in pursuing the construction of the redevelopment activities associated with the Cape Center and Canaveral City Park Redevelopment projects for purposes of providing adequate services and facilities within the Redevelopment Area including parks and recreation and other public services, and for purposes of providing adequate park and recreation facilities, open space and beautification opportunities that may be desirable for the residents and businesses of Cape Canaveral and the Redevelopment Area; and WHEREAS, the Agency and City also desire to pursue these redevelopment activities to promote future economic development within the Redevelopment Area and the City; and Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 3 of 16 WHEREAS, to expedite the funding of the aforementioned redevelopment activities under historically favorable lending terms, the City Council adopted Ordinance No. 7-2017 and Resolution No. 2017-10 authorizing a loan agreement with Whitney Bank (d/b/a Hancock Bank) for a loan in the amount $6,200,000, as more specifically defined in Section 3(a) of this Interlocal Agreement ("Bank Loan"); and WHEREAS, the Bank Loan is in furtherance of the City and the Agency having adequate funding to complete the future design, permitting and construction of the Cape Center and Canaveral City Park projects; and WHEREAS, the Agency has now generated sufficient annual tax increment funding to reimburse the City the annual principal & interest payments on the Bank Loan as the Agency's financial contribution to the aforementioned redevelopment activities in furtherance of the Redevelopment Plan; and WHEREAS, although the financial commitment made by the Agency hereunder and accepted and agreed to by the City under this Joint Resolution is not a loan between the City and the Agency, to the extent that this Joint Resolution and attached Interlocal Agreement are construed as a loan, the Agency and City are aware that the Florida Attorney General has previously opined that loans between a city and redevelopment agency comply with Florida law. See Op. Fla. Att'y Gen. 2001-30; and WHEREAS, it is necessary and proper for the Agency to agree to contribute to the financing of the Cape Center, Canaveral City Park Redevelopment projects and any other capital projects within the Agency's Redevelopment Area and to reimburse the City for the annual Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 4 of 16 principal and interest payments paid by the City on the Bank Loan under the terms and conditions of this Agreement; and WHEREAS, the City and Agency are desirous of entering into this Interlocal Agreement to provide for the Agency's commitment to reimburse the City for the annual principal and interest payments paid on the Bank Loan from increment revenues deposited into the Redevelopment Trust Fund, and by any other available funding received by the Agency, or the proceeds of future bonds that may be issued by the Agency in the future; and WHEREAS, the City and the Agency hereby deem the terms and conditions of this Interlocal Agreement are consistent with the existing goals, policies and objectives of the Redevelopment Plan; and WHEREAS, the City Council of the City of Cape Canaveral, Florida, and the governing board of the Cape Canaveral Community Redevelopment Agency, hereby find this Interlocal Agreement to be in the best interests of the public health, safety, and welfare of the citizens of Cape Canaveral and the Redevelopment Area. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties hereto agree as follows: SECTION 1. RECITALS; AUTHORITY. The foregoing recitals are true and correct and hereby incorporated herein by this reference. This Agreement is entered into pursuant to the authority of Section 163.01, Florida Statutes, and Part III, Chapter 163, Florida Statutes, particularly including Section 163.400, Florida Statutes. Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 5 of 16 SECTION 2. CONSISTENCY WITH THE REDEVELOPMENT PLAN. The City and the Agency hereby agree that this Agreement is consistent with the Agency's Redevelopment Plan, and that a modification of the Redevelopment Plan is not legally necessary to approve, execute and implement the terms and conditions of this Interlocal Agreement. SECTION 3. DEFINITIONS. (a) As used in this Agreement, the following terms shall have the following meanings: (1) "Act" means the actions by the governing body of the Agency and the City Council creating the Agency and authorizing this Interlocal Agreement, Section 163.01, Florida Statutes, as amended, Part III, Chapter 163, Florida Statutes, and other applicable provisions of law. (2) "Agency" means the Cape Canaveral Community Redevelopment Agency Florida, and any successor thereto. (3) "Bank Loan" means that certain bank loan authorized by the City's City Council by Ordinance No. 7-2017 and Resolution No. 2017-10 authorizing a loan agreement between the City and Whitney Bank (d/b/a Hancock Bank) in the original principal amount of up to Six Million Two Hundred Thousand and No/100 Dollars ($6,200,000.00), with a term of 10 years and interest rate of 2.05%, for purposes of funding the CAPE Center, Canaveral City Park projects and other related capital improvements. Said Bank Loan is payable in accordance Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 6 of 16 6 with the attached Debt Service Schedule, which is hereby fully incorporated herein as EXHIBIT "A." (4) "Area" or "Redevelopment Area" means the Agency's jurisdictional area of operation which is legally described and set forth in City Resolution 2012-16, as may be amended. (5) "City" means the City of Cape Canaveral, Florida, a Florida municipal corporation. (6) "City Council" means the elected governing body of the City. (7) "Fiscal Year" means the period commencing on October 1 of each year and continuing to and including the succeeding September 30. (8) "Governing Body" means the governing board of the Agency, or any successor board, commission or council thereto. (9) "Increment Revenues" means any monies deposited in the Redevelopment Trust Fund pursuant to Section 163.387, Florida Statutes, plus any investment earnings thereof. (10) "Plan" means the Redevelopment Plan adopted by the Agency and the City Council pursuant to the Act for redevelopment in the area of operation of the Agency. (11) "Redevelopment Activities" shall mean those activities funded by the Bank Loan located within the Redevelopment Area, specifically the Cape Center and Canaveral City Park projects and other related capital improvements, and Interlocal Agreement City of Cape Canaveral -Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 7 of 16 falling within the definitions of "community redevelopment," "redevelopment," "related activities," and "community policing innovation" as those terms are defined in section 163.340, Florida Statutes, and authorized by the Plan including design, engineering, permitting and construction costs incurred by the City and/or Agency directly related to such activities. (12) "Redevelopment Trust Fund" means the redevelopment trust fund of the Agency created and established pursuant to the Act in which Increment Revenues are deposited. (b) Words importing singular numbers shall include the plural number in each case and vice versa, and words importing persons shall include firms, corporations or other entities, including governments or governmental bodies. References to Florida Statutes are to Florida Statutes (2018), as amended. SECTION 4. FINDINGS AND DETERMINATIONS. (a) The parties hereto recognize and find that it is in the best interest of each party and the public to establish an additional cooperative relationship between the parties hereto in order to best carry out the purposes of the Act, specifically including the Redevelopment Activities which will occur within the Area on a timely and expeditious basis. The parties hereto do further find that the Agency has sufficient available funds to timely carry out the financial contribution required by Section 5 of this Interlocal Agreement to assist in funding the certain Redevelopment Activities under the Act and more specifically described herein. Interlocal Agreement City of Cape Canaveral -Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 8 of 16 (b) It is hereby ascertained, determined and declared by the Governing Body of the Agency, that: (1) It is in the best interests of the citizens of the City and is contemplated by the Act and the Agency's Redevelopment Plan that the Agency undertake certain actions in order to further the redevelopment of its Area of operation within the corporate limits of the City through the implementation of the Plan by engaging in the Redevelopment Activities. (2) The Agency is authorized under the Act to use Increment Revenues and other available funds of the Agency, if any, to make the financial contribution to the City pursuant to Section 163.400, Florida Statutes, to pay all or a portion of the Redevelopment Activities of the City and Agency. (3) The financial contribution required under this Interlocal Agreement will be paid from all available funding sources available to the Agency including, but not limited to, Increment Revenues, grants, and any Agency Bonds that may be issued by the Agency if warranted and financially feasible, and the Agency is authorized under the Act to issue, if necessary, any future Agency Notes without a vote of the electors residing within the area of operation of the Agency or within the City or any part thereof SECTION 5. AUTHORIZATION; FINANCIAL CONTRIBUTION. (a) On a fiscal year basis, the Agency agrees to make a financial contribution to the City from any available funds in an amount equal to each loan payment due, and paid by the Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency 2018 Loan Payment Reimbursement Agreement Page 9 of 16 City, under the Bank Loan, as more specifically stated in the Debt Service Schedule attached hereto as EXHIBIT "A." The reimbursement commitment made by the Agency under this Section shall be retroactive to the first loan payment made by the City and shall continue until such time as the Bank Loan is deemed paid in full by the City and the bank. However, the Agency shall not be responsible for reimbursing the City for any penalties or fees incurred by the City as a result of late payments. Consistent with the terms and conditions of the Bank Loan, the Agency's financial contribution made under this Interlocal Agreement is likewise intended to be used for, and contingent upon the City, constructing the Redevelopment Activities. (b) The Agency agrees to annually budget and appropriate sufficient funds to make the reimbursement payment required by this Section from: (i) Increment Revenues; (ii) all other revenue and funding sources available and received by the Agency at any given time, and (iii) the proceeds from any Agency Bonds that may be issued by the Agency with the City's approval to make the reimbursement commitment required by this Section. (c) The Agency's commitment and obligations under this Section shall not be deemed to constitute a general obligation of the Agency or the City or a debt, liability or obligation of the Agency, the City, the State of Florida or any political subdivision thereof or a pledge of the faith and credit of the Agency, the City, the State of Florida or any political subdivision thereof. Neither the Agency, the City, the State of Florida or any political subdivision thereof, shall be directly, indirectly or contingently obligated to levy or to pledge any form of ad valorem taxation whatsoever for the Agency's obligation to make the financial commitment required by this Section or the City's obligation to repay the Bank Loan. t Interlocal Agreement City of Cape Canaveral -Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 10 of 16 1 1 4 i 1 4 (d) The Agency covenants and agrees to perform and comply in every respect material to the financial commitment required under this Section with all applicable laws, rules and regulations relating to the preparation and implementation of the Plan and the performance of the Agency's covenants and obligations hereunder. ' SECTION 6. REMEDIES; NO GENERAL OBLIGATION. In the event the Agency should fail to perform any promise, covenant or condition contained herein, the City shall be entitled to seek any remedy then available to it under applicable law and may proceed to obtain equitable relief, including injunctive relief, from any court of competent jurisdiction. The parties hereto recognize and acknowledge that the only sources of payment to the City of the Agency's financial commitment herein are the Increment Revenues deposited in the Redevelopment Trust Fund, funds from any other revenue and funding sources available and received by the Agency at any given time, and the proceeds from any Agency Bonds issued to pay the financial commitment under this Interlocal Agreement, and the obligation evidenced here is not a general obligation or a pledge of the full faith and credit of the Agency or any other governmental entity or political subdivision of the State of Florida, under any applicable statutory or constitutional provision. SECTION 7. REPRESENTATIONS AND WARRANTIES. (a) The Agency does hereby represent and warrant to the City that it has all requisite power, authority and authorization to enter into this Agreement and has taken, or will take, all necessary actions required to enter into this Agreement, make any payment Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 11 of 16 €RE( �qq contemplated hereby, and to fulfill any and all of its obligations, duties and responsibilities for or required of it by this Agreement, for their exercise individually or collectively. (b) The City does hereby represent and warrant to the Agency that it has all requisite power, authority, and authorization to enter into this Agreement, has taken, or will take in the near future, all necessary actions required to enter into this Agreement, and to fulfill any and all of its obligations, duties and responsibilities for or required of it by this Agreement, whether exercised individually or collectively. (c) The City does hereby represent and warrant to the Agency that it does not intend to sell, convey or assign the Bank Loan or proceeds thereof to any other person and intends to hold the Bank Loan until maturity. (d) The City does hereby represent and warrant that the financial contribution made by the Agency under this Interlocal Agreement will be used to repay the Bank Loan for purposes of funding the Redevelopment Activities. SECTION 8. AMENDMENTS. This Agreement may be amended only by the mutual written agreement of the City and the Agency at any time and from time to time. SECTION 9. THIS AGREEMENT CONSTITUTES A CONTRACT. In consideration of the acceptance of their mutual duties, obligations, and responsibilities hereunder, this Agreement shall be deemed to be and shall constitute a contract between the City and the Agency. SECTION 10. SEVERABILITY. If any one or more of the covenants, agreements or provisions of this Agreement shall be held contrary to any express provisions of Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 12 of 16 I. law or contrary to any policy or express law, although not expressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such covenants, agreements or provisions shall be null and void and shall be deemed separate from the remaining covenants, agreements or provisions of this Agreement. SECTION 11. CONTROLLING LAW. All covenants, stipulations, obligations, and agreements of the City and the Agency contained in this Agreement shall be deemed to be covenants, stipulations, obligations and agreements of each of the City and Agency, respectively, to the full extent authorized by the Act and provided by the Constitution or the laws of the State of Florida. Any and all provisions of this Agreement and any proceedings seeking to enforce or challenge any provisions of this Agreement shall be governed by the laws of the State of Florida. Venue for any proceeding pertaining to this Agreement shall be Brevard County, Florida. SECTION 12. NO MEMBER LIABILITY. No covenant, stipulation, obligation or agreement contained herein shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future member of the governing body or agent or employee of the City or the Agency in its, his or their individual capacity, and neither the members of the City Council or the Governing Body of the Agency, nor any official executing this Agreement shall be liable personally or shall be subject to any accountability for reason of the execution by the City or the Agency of this Agreement or any act pertaining thereto. SECTION 13. FILING OF AGREEMENT ONLY. The Clerk of the City is hereby authorized and directed after approval of this Agreement by the City Council and the Interlocal Agreement City of Cape Canaveral -Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 13 of 16 Governing Body of the Agency and the execution thereof by the duly qualified and authorized officers of each of the parties hereto, to file this Agreement with the Clerk of the Circuit Court of Brevard County, Florida, in accordance with Section 163.01(11), Florida Statutes. SECTION 14. ASSIGNMENT. Neither party to this Agreement may assign, sell, transfer, convey, or give any or all of its rights, duties, obligations, and responsibilities under this Agreement without the prior written approval and consent of the other party. SECTION 15. EXPIRATION DATE; TERMINATION. Unless extended by mutual agreement of the City and the Agency by adoption and execution of a subsequent interlocal agreement, this Agreement shall expire at such time as the City has fully paid all principal and accrued interest on the Bank Loan or when the Agency sunsets as a legal entity, whichever occurs first. Notwithstanding the aforesaid, the Agency may terminate this Agreement if the City decides not to construct the Redevelopment Activities. Further, the parties may terminate this Agreement by mutual written agreement. SECTION 16. EFFECTIVE DATE. This Agreement shall become effective on September 18, 2018 upon the execution by the appropriate officers of the City and the Agency, and upon filing this Agreement with the Clerk of the Circuit Court of Brevard County, Florida, as required by Section 163.01(11), Florida Statutes. IN WITNESS WHEREOF, the parties hereto, by and through the undersigned, have entered into this Interlocal Agreement on the date and the year first above written. [Signature Pages Follow] Interlocal Agreement City of Cape Canaveral -Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 14 of 16 CITY OF CAPE CANAVERAL,FLORIDA ATTEST (SEAL): « `a I Mia Goforth, CM City Clerk Bob Hoog, Mayor .fit 7/ ,,,.K.y. } tq� 'v L '(F a t. STATE OF FLORIDA COUNTY OF BREVARD I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgments, personally appeared Bob Hoog, Mayor of the City of Cape Canaveral,X to me known personally or ❑ who produced as identification, to be the person described in and who executed the foregoing instrument and he acknowledged before me that he executed the same for the purposes set forth herein, and he did not swear an oath. Daniel Roy LeFever NOTARY PUBLIC STATE OF FLORIDA (Notary Seal) !�:Comm#FF984423 / 10 Expires 4/20/2020 NOTARY PUBLIC My Commission Expires: Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 15 of 16 limmumummummenniumnimmiummi CAPE CANAVERAL COMMUNITY REDEVELOPMENT AGENCY ATTEST: B .�-! c.--ji, AlliF , Mia Goforth, CMC,'ecording Secretary Bob Hoog, Chai on STATE OF FLORIDA COUNTY OF BREVARD I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgments, personally appeared Bob Hoog, Chairperson of the Cape Canaveral Community Redevelopment Agency,Jif to me known personally or 0 who produced as identification, to be the person described in and who executed the foregoing instrument and he acknowledged before me that he executed the same for the purposes set forth herein, and he did not swear an oath. �0 Daniel Roy LeFever NOTARY PUBLIC (Notary Seal) isi:l,ar STATE OF FLORIDA / �� coma*FF984423 '4 1g1e Expires 4/20/2020 NOTARY PUBLIC My Commission Expires: Interlocal Agreement City of Cape Canaveral-Cape Canaveral Community Redevelopment Agency CRA Initial Funding Loan Agreement Page 16 of 16 City of Cape Canaveral, Florida Capital Improvement Revenue r:ore, Series 2017 Bank Financing Note - Hancock Bank, Rate . 2.05% Debt Service Schedule _..-_.tet=.-z=.... .... Date Principal Coupon Interest Period Total Fiscal Total ' 2/ 1/18 564,000.00 2.050000 67,433.61 631,433.61 8/ 1/18 57,769.00 57.769.00 689,202.61 L 2/ 1/19 576,000.00 2.050000 57,769.00 633.769.00 8/ 1/19 51,865.00 51,865.00 685,634.00 2/ 1/20 588,000.00 2.050000 51,865.00 639,865.00 8/ 1/20 45,838.00 45,83)3,00 685.703.00 2/ 1/21 600,000.00 2.050000 45,838.00 645,838.00 8/ 1/21 39,666.00 39,688.00 685,526.00 2/ 1/22 613,000.00 2.050000 39,668.00 652,688.00 8/ 1/22 33,404.75 33,404.75 686.092.75 2/ 1/23 625.000.00 2.050000 33,404.75 658,404.75 8/ 1/23 26.998.50 26,998.50 685,403.25 2/ 1/24 638,000.00 2.050000 26,998.50 664.998.50 8/ 1/24 20.459.00 20,459.00 685,457.50 2/ 1/25 652,000,00 2.050000 20,459.00 672.459.00 8/ 1/25 13,776.00 13,776.00 686,235.00 2/ 1/26 665,000.00 2.050000 13,776.00 678,776.00 8/ 1/26 6,959.75 6,959.75 685,735.75 2/ 1/27 679,000.00 2.050000 6.959.75 685.959.75 8/ 1/27 685,959.75 6,200,000.00 660,949.61 6,860,949.61 ACCRUED 6,200,000.00 660,949.61 6,860,949.61 rte__-..tis_.=:. ._..a=_._=__„_ Dated 7/20/17 with Delivery of 7/20/17 Bond Years 32,241.444 Average Coupon 2.050000 Average life 5.200233 N 1 C % 2.050000 % Using 100.0000000 T I C z 2.049931 % From Delivery Date Arbitrage Yield 2.049931 % Prepared by Larson Consulting Services, Orlando, Florida Micro-Muni sizing Date: 05-31-2017 p 11:03:04 Filename: hankl7 Key: hancockmay31 EXHIBIT IA