AgdaPkt 2011-03-07 - Laserfiche WebLink

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6.3D Page t REPORT To the Honorable Mayor and City Council and '1`heRedeveloprnent Agency Board °From . the City M anager and the Executive Director March 7, 2011 SUBJECT Approval of Amendment to City /Agency Agreement for Services (Administrative Services) RECOMMENDATION 1. Adopt the resolution of the City approving Amendment No. 2 to Agreement for Services with the Agency (Administrative Services). 2. Adopt the resolution of the Agency approving Amendment No. 2 to Agreement for Services with the City (Administrative Services). BACKGROUND In January of 2003, the City and the Agency entered into a Tong -term contract obligating the City to provide certain administrative services to the Agency. The agreement documents and obligates the amount required to be paid by the Agency and helps insure the Agency's ability to continue providing the administrative services required for revitalization activities in the Redevelopment Project Area. It is appropriate to continue to document the amount of the annually obligated funds to reflect current budgetary needs. The original agreement was effective as of July 1, 2002 and has a term of ten (10) years commencing on July 1, 2002 and terminating on July 1, 2012. It may be extended for two (2) consecutive ten (10) year periods by mutual consent and through a written instrument. Also, as required by redevelopment law, the Agency must file an annual statement of indebtedness that sets forth the Agency's various financial obligations. The agreement establishes the amounts owed by the Agency for administrative services, provides documentation of that debt, assists Agency auditors in documenting Agency indebtedness, and provides an ongoing record for the City's and Agency's files. The first amendment to the agreement was executed on July 1, 2008. It amended Section 1 Scope of Services by modifying the detailed list of city staff positions that provided services to the Redevelopment Agency as well as listed additional services to be included in the scope. The first amendment also revised Section 2 Compensation outlining a process by which the agreement would reflect the current adopted fiscal year's budget rather than specifying a set amount of funds as was mentioned in the original agreement. Minor adjustments during the year were authorized to be made by the City Manager and the Agency's Executive director. A second amendment is being proposed to bring the agreement in alignment with current conditions and to simplify the language. It is suggested that the Scope of