11A - ORDINANCE - VOLUNTARY REDEVELOPMENT

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8/22/11 LES deemed to be dissolved as of October 1, 2011. The City adopted a resolution on August 24, 2011, allowing for this ordinance to be enacted by November 1, 2011, as provided by the CRL. G. ABX1 27 provides that a community may participate in an "Alternative Voluntary Redevelopment Program," in order to enable a redevelopment agency within that community to remain in existence and carry out the provisions of the CRL, by enacting an ordinance agreeing to comply with Part 1.9 of Division 24 of the Health and Safety Code. H. The Alternative Voluntary Redevelopment Program requires that the community agree by ordinance to remit specified annual amounts to the county auditor-controller. 1. Under the threat of dissolution pursuant to ABX1 26, and upon the contingencies and reservations set forth herein, the City shall make the Fiscal Year 2011-2012 community remittance, which is currently Twenty Million Four Hundred Eighty Nine Thousand One Hundred Seventy Dollars ($20,489,170.00) (subject to the appeal the City filed as referenced below), as well as the subsequent annual community remittances as set forth in the CRL. J. On August 15, 2011, the City filed an appeal with the California Director of Finance's determination of the Fiscal Year 2011-12 community remittance amount, as provided in Health and Safety Code Section 34194. K. The City is aware that an action challenging the constitutionality of ABX1 26 and ABX1 27 has been filed on behalf of cities, counties and redevelopment agencies. Further, on August 11, 2011, the California Supreme Court agreed to review the petition filed by the California Redevelopment Association and the League of California Cities and stayed specific portions of the legislation. L. While the City currently intends to make these community remittances, they shall be made under protest and without prejudice to the City's right to recover such amounts and interest thereon, to the extent there is a final determination that ABX1 26 and ABX1 27 are unconstitutional. M. The City reserves the right, regardless of any community remittance made pursuant to this Ordinance, to challenge the legality of ABX1 26 and ABX1 27. Further, the agreement referenced between the City and Agency shall be entered into conditionally, and shall be operative only if ABX1 26 and ABX1 27 are upheld and the stay or a portion thereof is lifted, as it pertains to this Continuation Ordinance. N. All legal prerequisites to the adoption of this Ordinance have occurred. THE CITY COUNCIL OF THE CITY OF SANTA ANA, CALIFORNIA, DOES ORDAIN AS FOLLOWS: 2 11 A-2