Rancho Palos Verdes Redevelopment Agency (1985) 111
LOAN AGREEMENT
This Loan Agreement, dated as of January 1, 1985 , is
made by and between the City of Rancho Palos Verdes and the
Rancho Palos Verdes Redevelopment Agency. For and in
consideration of the mutual covenants and promises set forth
herein, the Parties agree as follows:
RECITALS
This Loan Agreement is entered into with reference to
the following facts:
A. In furtherance of the objectives of the
Redevelopment Law, the Agency has undertaken a program for the
redevelopment of blighted areas in the City, and in this
connection, has undertaken and is now carrying out the
responsibility for the redevelopment of the Project Area pursuant
to and in furtherance of the Redevelopment Plan.
B. The Agency and the City have adopted the
Redevelopment Plan providing for the redevelopment of the Project
Area by undertaking such actions as may be appropriate to abate
the geologic hazards in the Project Area and to relocate and
reconstruct, Palos Verdes Drive South.
ARTICLE I
DEFINITIONS
Section 1.01 . Agency. "Agency" means the Rancho Palos
Verdes Redevelopment Agency, a public body, corporate and
politic, organized and existing pursuant to the Constitution and
laws of the State of California.
Section 1.02 . CC !j . "City" means the City of Rancho
Palos Verdes, a municipal corporation, organized and existing
pursuant to the Constitution and laws of the State of
California.
Section 1.03 . Loan Agreement. "Loan Agreement" means
this Loan Agreement dated as of January 1, 1985 , between the City
and Agency.
Section 1.04 . Party. "Party" means any party to this
Agreement.
Section 1 .05 . Project Area. "Project Area" means the
territory included within Project Area No. 1 of the Agency.
Section 1.06 . Redevelopment Law. "Redevelopment Law"
means the Community Redevelopment Law (California Health and
Safety Code Sections 33000 , et seq. )
Section 1.07 . Redevelopment Plan. "Redevelopment Plan"
means the Redevelopment Plan for the Project Area.
ARTICLE II
LOAN
Section 2.01. Loan. The City shall loan to the Agency
the sum of Two Hundred Eighty-Two Thousand Five Hundred Dollars
($282 .500 .00 ) . Such loan shall bear interest at the rate of
eight percent (8%) per annum until paid. The principal of and
interest on such loan shall be paid in thirty (30 ) equal annual
installments on January 1st of each year, commencing January 1,
1986; provided, however, that to the extent moneys are available
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to the Agency therefor, the Agency shall prepay principal and the
amounts of the remaining annual installments shall be adjusted
accordingly by amortizing the remaining prinipal balance of the
loan at the rate of interest specified above for the period
covered by the remaining annual installments . A late charge
shall be added to any amount due and owing to the City hereunder
which is not paid on a timely basis . The amount of such late
charge shall be five (5% ) of the amount unpaid. The City may
exercise any appropriate remedy to enforce payment by the Agency
hereunder.
Section 2.02 . Use of Proceeds. The Agency shall expend
the proceeds of the loan for the design, installation or
construction of the following:
A. Dewatering wells.
B. Pipelines
C. Storm drains.
D. Breakwaters.
E. Jetties.
F. Culverts, pipes and channels.
G. Revetments.
H. Installation or relocation of utilities .
I. Reconstruction or relocation of Palos Verdes Drive
South.
J. Acquisition of real property or any interest
therein in connection with the foregoing.
K. Geological studies to analyze water levels in
Altamira Canyon.
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: , i III 41
Section 2 .03 . Subordination. Notwithstanding the
provisions of Section 2.01, above, the Agency, in its sole
discretion, may pledge the taxes allocated to the Agency from
Porject Area No. 1, as a first lien thereon, to the payment of
principal and interest on bonds or obligations of the Agency
issued pursuant to California Health and Safety Code Section
33601, or Sections 33640 et seq.
IN WITNESS WHEREOF THE PARTIES HAVE CAUSED THIS LOAN
AGREEMENT TO BE EXECUTED.
CITY OF RANCHO PALOS VERDES
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ATTEST: By Ah 4 , r 41,,L/ ii
May•f' ft
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City Clerk
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ATTEST: By 1 44,v/7- / ..//
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Agency Secretary
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