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February 22, 2013

Mayor Bob Filner

City of San Diego Successor Agency

202 C Street

San Diego, California 92106

Subject: Recommended Amendments to ROPS 13-14A. Additional Line Items 557 to 560.

Per your request, please find our four recommended amendments to the ROPS 13-14A, scheduled

to be heard at the February 26, 2013 Oversight Board meeting at the offices of Civic San Diego.

Our proposed Line Items 557 to 560 total $590,549,309 in debt to be recognized by the Department

of Finance before the March 1, 2013 deadline for inclusion.

New lines items include:

 Line Item 557. Outstanding HUD Debt of $144,214,499.

This debt was bundled/grouped with Line Items “City Loans.” Backup documentation

www.tinyurl.com/20100621 On June 21, 2010 the City Council approved Part 1 a

Repayment Agreement for $78,787,000. Part 2 the outstanding $144,214,499 in HUD

debt and accrual of interest was never rescheduled/resolved. See Appendix A for the

letter from the former Redevelopment Agency that acknowledges the full $228,432,499

debt, of which $144,214,499 was never erased. The erasure of HUD debt proposed by

RDA staff was taken out of consideration in the public hearing by Mayor Jerry Sanders.

 Line Item 558. Interest on Line Item 557 Outstanding HUD Debt $40,380,060.

Accrued interest from June 30, 2009 to June 30, 2013.

 Line Item 559. Second Amendment to Ballpark Cooperation Agreement $33,954,750.

Resolution # 03327, Amended 3/20/09. Originally bundled/grouped with Line Item 85

Ballpark Cooperation Agreement and Amendments 1 to 3. See Appendix B.

Fiscal Year 2011-$11,318,250. Fiscal Year 2012-$11,318,250. Fiscal Year 2013-$11,318,250.

 Line Item 560. Unmet Affordable Housing Requirement $372,000,000.

Please see the attached Appendix C for a discussion on the outstanding 1,500 Affordable

Housing units originally bundled/grouped with the Cooperation Agreement denied by the

Department of Finance (DOF). Currently Affordable Housing Advocates have filed a

Class Action lawsuit based upon Civic San Diego’s refusal to put the unmet affordable

housing requirements on their own line items on ROPS for approval/discussion by DOF.

To be able to discuss these Line Items at future Meet and Confer appointments, the line items

first have to be added to the ROPS 13-14A.

Regards,

Katheryn Rhodes

371 San Fernando Street, San Diego, California 92106.

rhodes@laplayaheritage.com 619-523-4350

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Table 1 – Recommended Amendments to the City of San Diego Recognized Obligation Payment Schedule

(ROPS 13‐14A) July 1, 2013 through December 31, 2013.

Item #

Project Name / Debt Obligation

Contract/Agreement Execution Date

Contract/Agreement Termination Date

Payee

Description/Project Scope

Project Area

Total Outstanding Debt or Obligation

Total Due During Fiscal Year 2013-2014

Funding Source

Notes/Comments

557

Outstanding Federal HUD Debt CDBG/Section 108 Loans not including

in Repayment Agreement

Acknowledged June 21, 2010 Item 203. Unresolved.

Outstanding unscheduled debt repayment schedule.

Federal Government (HUD), via City of San Diego

Loans for Housing/Non-Housing Projects, not included in Loan

Agreement Doc. D-4525 6/20/2010

Multiple Project Areas

$144, 214,499

TBD

TBD

Originally bundled/grouped with City Loan Line Items.

Item #

Project Name / Debt Obligation

Contract/Agreement Execution Date

Contract/Agreement Termination Date

Payee

Description/Project Scope

Project Area

Total Outstanding Debt or Obligation

Total Due During Fiscal Year 2013-2014

Funding Source

Notes/Comments

558

Accrued Interest on Outstanding Federal HUD Debt CDBG/Section 108 Loans.

Acknowledged June 21, 2010 Item 203. Unresolved.

Outstanding unscheduled debt repayment schedule.

Federal Government (HUD), via City of San Diego

Interest on Loans for Housing/Non-Housing Projects, not included in

HUD Loan Agreement Doc. D-4525 6/20/2012

Multiple Project Areas

$40,380,060.

TBD

TBD

Seven percent accrued interest on $144,214,400 for Four Years

(June 30, 2009 to June 30, 2013)

Item #

Project Name / Debt Obligation

Contract/Agreement Execution Date

Contract/Agreement Termination Date

Payee

Description/Project Scope

Project Area

Total Outstanding Debt or Obligation

Total Due During Fiscal Year 2013-2014

Funding Source

Notes/Comments

559

Second Amendment to Ballpark Cooperation Agreement.

October 29, 2009

June 30, 2013.

City of San Diego.

Resolution # 03327, Amended 3/20/09,

Centre City.

$33,954,750

TBD

TBD.

Originally bundled/grouped with Line Item 85 Ballpark Cooperation

Agreement and Amendments 1 to 3. Fiscal Year 2011-$11,318,250.

Fiscal Year 2012-$11,318,250. Fiscal Year 2013-$11,318,250.

Item #

Project Name / Debt Obligation

Contract/Agreement Execution Date

Contract/Agreement Termination Date

Payee

Description/Project Scope

Project Area

Total Outstanding Debt or Obligation

Total Due During Fiscal Year 2013-2014

Funding Source

Notes/Comments

560

Unmet Affordable Housing Requirements. Approximately 1,500 units.

Acknowledged February 28, 2012 Item S-500 EOPS/ROPS Unresolved.

Outstanding unscheduled

Successor Housing Agency

Unmet Affordable Housing Requirements.

Multiple Project Areas.

$372,000,000

TBD

TDB

Originally bundled/grouped with City Loan Line Items for

February 28, 2012 Item S-500.

TBD = To Be Determined.

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FY 2012 CDBG HUD AAP - Appendix A 04/30/2011 Page A-4