|
City of Redwood City
<br />Notes to the Basic Financial Statements
<br />For the fiscal year ended June 30, 2017
<br />
<br />
<br />
<br />NOTE 14 – DISSOLUTION OF THE REDWOOD CITY REDEVELOPMENT AGENCY (CONTINUED)
<br />
<br />fund, Housing Legal Aid Society Fund, to be used for housing purposes. The State Department of Finance
<br />(DOF) has disputed that these funds are restricted for housing, and the City has filed a lawsuit against the
<br />State of California on this matter. On October 30, 2013 the Superior Court Judge hearing the lawsuit filed
<br />against the State of California Department of Finance concerning the $10.3 million the City is holding in
<br />the Housing Legal Aid Society Fund as part of the dissolution of the former Redevelopment Agency issued
<br />a tentative ruling in favor of the State of California. On November 6, 2013 the Judge then issued a
<br />“Request for Further Briefing” to be held on November 22, 2013. On January 4, 2014 the Superior Court
<br />Judge ruled in favor of the State of California. In April 2014, the City filed an appeal, and as of the date of
<br />this report, a ruling on the appeal has not been issued. In December 2015, the City remitted $10.3
<br />million to the DOF, under protest, in order for the Successor Agency to receive a finding of completion.
<br />
<br />In future fiscal years, successor agencies will only be allocated revenue in the amount that is necessary to
<br />pay the estimated annual installment payments on enforceable obligations of the former redevelopment
<br />agency until all enforceable obligations of the prior redevelopment agency have been paid in full and all
<br />assets have been liquidated.
<br />
<br />The City’s former Redevelopment Agency had entered into agreements with certain public entities whose
<br />jurisdictions were within the territory of the former Redevelopment Agency under which these entities
<br />received a specified share of the property tax increment received by the former Redevelopment Agency.
<br />Under Assembly Bill X1 26 the responsibility for making these payments has been shifted to the County
<br />of San Mateo.
<br />
<br />The following is a summary of the capital assets of the Successor Agency:
<br />
<br />Beginning
<br />Balance Additions Retirements Transfers
<br />Ending Balance
<br />Capital assets not being depreciated: $ $ $ $ $
<br />Land 3,126,664 ‐ (565,925) ‐ 2,560,739
<br />Total capital assets not being depreciated 3,126,664 ‐ (565,925) ‐ 2,560,739
<br />Capital assets being depreciated:
<br />Improvements other than buildings 13,231,503 ‐ ‐ ‐ 13,231,503
<br />Accumulated depreciation (3,020,773) (356,054) ‐ ‐ (3,376,827)
<br />Traffic Signals 208,691 ‐ ‐ ‐ 208,691
<br />Accumulated depreciation (78,260) (10,435) ‐ ‐ (88,695)
<br />Storm Drains 4,101,302 ‐ ‐ ‐ 4,101,302
<br />Accumulated depreciation (1,281,659) (102,533) ‐ ‐ (1,384,192)
<br />Machinery & Equipment 953,244 ‐ ‐ ‐ 953,244
<br />Accumulated depreciation (459,492) (46,957) ‐ ‐ (506,449)
<br />Net capital assets being depreciated 13,654,556 (515,979) ‐ ‐ 13,138,577
<br />Total capital assets,net 16,781,220 (515,979) (565,925) ‐ 15,699,316
<br />
<br />
<br />
<br />
<br />
<br />
<br />
<br />82
<br />6.1.E. - Page 105
|