HomeMy WebLinkAbout2013-85 - Formalizing the City's Intent to Loan $6,132,900.00 From the General Fund to the Harbor Fund for the Development of the Marina Portion of Marina ParkRESOLUTION NO. 2013 -85
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH FORMALIZING THE
FORMALIZING THE CITY'S INTENT TO LOAN
$6,132,900.00 FROM THE GENERAL FUND TO THE
HARBOR FUND FOR THE DEVELOPMENT OF THE
MARINA PORTION OF MARINA PARK
WHEREAS, the California Coastal Commission approved the development
of Marina Park in June 2012; and
WHEREAS, the development of the marina portion of Marina Park is an
improvement within Newport Harbor; and
WHEREAS, the City adjusted commercial and noncommercial tidelands
rent for piers, moorings, marinas, and tidelands leases to fair market value in December
2012; and
WHEREAS, the State Lands Commission ( "SLC ") approved the
establishment of a Newport Harbor Capital Fund to collect the net incremental increase in
revenue generated from the adjusted rental rates as well as any additional trust funds, at
the City Council's discretion, in order to (1) reimburse the General Fund for monies
loaned to the tidelands funds for Newport Harbor improvements and maintenance
activities, if the loan request was formalized in advance of any expenditures from the
General Fund and (2) fund the improvements and maintenance activities provided in the
Five Year Tidelands Capital Plan for Newport Harbor; and
WHEREAS, the SLC approved the establishment of the Newport Harbor
Capital Fund upon the condition that the City must notify the SLC in advance of any
additional or future loans, occurring after June 21, 2013, to the Harbor Fund that will be
reimbursed to the General Fund and provide supporting documents, including a City
resolution, confirming that the loan to the Harbor Fund had been formalized in advance of
any expenditure from the General Fund; and if a loan to the Harbor Fund will exceed one
million dollars, the City must obtain SLC approval prior to the procurement of the loan;
and
WHEREAS, the cost of developing the marina portion of Marina Park is
$6,132,900.00; and
WHEREAS, the City Council desires to formalize this loan from the General
Fund to the Newport Harbor Capital fund in advance of any expenditure from the General
Fund;and
WHEREAS, the City Council desires the City to seek SLC approval of the
loan of $6,132,900.00 from the General Fund to the Newport Harbor Capital fund.
NOW, THEREFORE, the City Council of the City of Newport Beach
resolves as follows:
Section 1: Upon SLC approval, the City shall reimburse the General Fund
from the Newport Harbor Capital Fund for the cost of developing the marina portion of
Marina Park.
Section 2: The cost of such development (excluding the Sailing Center) is
$6,132,900.00.
Section 3: The City Council finds this action is not subject to the California
Environmental Quality Act ( "CEQA ") pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
Section 4: This resolution shall take effect immediately upon its adoption
by the City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 26th day of November, 2013,
Keith Curry, Mayor
ATTEST:
Lelani Brown, City Clerk