Laserfiche WebLink
0 <br /> L11 • i <br /> MEMORANDUM RANCHO PALOS VERDES <br /> TO: HONORABLE MAYOR & CITY COUNCIL <br /> FROM: CITY MANAGER <br /> DATE: AUGUST 3, 1999 <br /> SUBJECT: LOAN TO THE PORTUGUESE BEND CLUB HOMEOWNERS ASSOCIATION <br /> TO FINANCE THE INSTALLATION OF SEWERS <br /> RECOMMENDATION: <br /> 1. Approve the attached Construction Loan Agreement and authorize the <br /> Chairman to execute the agreement on behalf of the Agency. In addition, authorize the <br /> Executive Director to make changes to this Agreement as reasonably necessary to <br /> implement the intent of the Agreement, provided that such changes do not increase the <br /> loan amount, the terms of repayment, or the other material terms of the Agreement, and <br /> empower the Agency's Executive Director to grant the various approvals anticipated by <br /> this Agreement (such as approval of the forms of the promissory note and the deed of <br /> trust, and the construction contract). <br /> 2. Authorize the Executive Director to accept another entity as the intermediary, <br /> if for some reason Bay Cities National Bank cannot perform. The bank will be involved <br /> in the transaction only for an instant, and the identity of the entity has little relevance to <br /> the overall transaction. <br /> U3. Approve the loan agreement that is attached to this report whereby the City <br /> i"--- will loan an additional $250,000 to the Portuguese Bend fund of the Redevelopment <br /> 4. Rescind approval of the prior agreement with the Association so that there is <br /> no confusion regarding which agreement is effective. <br /> BACKGROUND: <br /> Last year, the Redevelopment Agency approved a loan in the amount of $500,000 to <br /> the Portuguese Bend Club Homeowners Association ("Association") so that the <br /> Association would be able to install a sewer system. The Agency determined that this <br /> project furthers the purposes of the Redevelopment Plan because it will reduce the <br /> amount of water which reaches the landslide and by so doing, should increase the <br /> stability of the area. <br /> (() <br /> 15 4 <br />