AgdaPkt 2005-01-24 - Laserfiche WebLink

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1A~~ LOAN AGREEMENT CITY OF REDWOOD CITY/CITY OF REDWOOD CITY REDEVELOPMENT AGENCY This LOAN AGREEMENT (the "Loan Agreement") dated February 1, 2005 is between the REDEVELOPMENT AGENCY OF THE CITY OF REDWOOD CITY, a public body, corporate and politic, duly organized and existing under the laws of the State of California (the "Agency"), and the CITY OF REDWOOD CITY, a charter city and municipal corporation organized and existing under the laws of the State of California (the "City") (collectively, the "Parties"); RECITALS WHEREAS, the Agency is authorized to transact business and exercise powers under and pursuant to the provisions of Part 1 of Division 24 of the Health and Safety Code of the State of California (the "Redevelopment Law"), and has the power under Section 33601 of the Redevelopment Law to borrow money for any of its corporate purposes; and WHEREAS, a redevelopment plan for the Redwood City Redevelopment Project Area in the City (the "Redevelopment Project"), has been adopted and, from time to time, amended in compliance with all requirements of the Redevelopment Law; and WHEREAS, pursuant to the Redevelopment Plan for the Redevelopment Project and the provisions of Section 33670 of the Health and Safety Code, the Agency is entitled to receive certain allocations of tax increment revenues ("Tax Revenues"); and WHEREAS, in order to assist in financing needs for the Redevelopment Project, the City has previously loaned funds to the Agency and the Agency has repaid such loaned funds from tax increment revenues derived from the Redevelopment Project; and WHEREAS, the Agency has a plan in place for downtown development projects which is to be funded in part with existing funds as well as the issuance of bonds and; WHEREAS, to ensure the existence of adequate funds for the downtown development plan the Parties desire to enter into this Loan Agreement whereby the City will loan the Agency three million dollars ($3,000,000); and WHEREAS, all acts and proceedings required by law necessary to make this Loan Agreement, when executed by the Parties, the valid, binding and legal obligations of the Parties, and to constitute this Loan Agreement as a valid and binding agreement for the uses and purposes herein set forth in accordance with its terms, have been done and taken, and the execution and delivery of this Loan Agreement have been in all respects duly authorized. NOW, THEREFORE, in consideration of the promises and the mutual agreements herein contained, the Parties hereby agree as follows: Atty/Agr/Agr.239 011005