Tackling RDA Issues —How Other Cities & Counties Are Doing It

Darold PieperCity Attorney, City of Vista

- and -

Tim SchaeferPrincipal Owner, Magis Advisors

Viewpoints

Some think the State saw . . .

Your agency probably got . . .

Some stakeholders thought they might see . . .

Tack

ling

RD

A Is

sues

—H

ow O

ther

Citi

es &

C

ount

ies

Are

Doi

ng It

Redevelopment Litigation

• Affordable housing matters may remain unclear

• Challenges to Department of Finance determinations

• “Claw backs”

• Others . . .

• Planning for the “wind-down” now more challenging as a result

Handling Debt Going Forward

• Refunding existing bonds for cost savings

• Smoothing of “spikes” in debt service– caused by maturing BANs, as an

example

• To fulfill or complete other binding obligations that required issuing debt after the fact

• What to do about “deeply subordinated debt

• Dealing with banks and/or other private lenders

Changing Your Point of View . . .

• Possible “surprises” in substitutes for, or investments in, your

DSRFs

• Aligning the ROPS and your cash flow forecast

• Avoiding inadvertent (or seemingly unavoidable) deviations from

previous pledges to bondholders

• “Disconnects” at Auditor-Controller regarding project area-specific

liens and/or prioritizations

CASH FLOW FORECASTING & ACTIVE DEBT MANAGEMENT ARE CRITICAL TO “PROBLEM AVOIDANCE”