(OB-2012-26) OVERSIGHT B OA RD RESOLUTION NUMBER OB -20 12-26 A RESOLUTION OF THE OVERSIGHT B OA RD FOR THE CITY OF SAN DIEGO REDEVELOPMENT SUCCESSOR A GENCY A UTHORIZING THE SUCCESSOR A GENCY TO A PPROVE REFINANCING, LOAN MODIFICA TIONS , LOA N SUB ORDINA TIONS, SHORT SA LES, AND FORECLOSURES RELA TED TO AFFORDABLE HOUSING LOA NS, A ND TO NEGOTIA TE A REDUCED PRINCIPA L BALANCE , REDUCED INTEREST , OR REPAYMENT TERMS OF AFFORDABLE HOUSING LOANS ========------ :WHE.REA£ , t h ~fer-me F - R€ d ev-e l ef>men-t - Agene-y - e -f -th e-G i- t-y ~ 0- f - S-an:Bieg e= (:Eenn e i :: R:: B A: : ) ' ------- administered the implementation of various redevel o pment projects , programs , and activities within designated redevelopment project areas throughout the City o f San Diego (City); and

WHEREAS, in accordance with A ssembly B ill x1 26 (AB 26), the Former RDA dissolved as of February 1, 20 12, at which time the City of San Diego , solely in its capacity as the designated successor a gency to the Former RDA (Successor Agency) , assumed the Former RDA ' s assets and obligations ; and

WHEREAS , before the Former RDA ' s dissolution , the City Council adopted Resolution No. R-30 effective January 12 , 2012 , designating the City to serve as the successor agency to the Former RDA (Successor Agency) pur s uant to California Health and Safety Code

section 34173( d)(l ) , and further designating the City to serve as the successor housing entity to the Former RDA (Successor Housing Entity) for purposes of performing the Former RDA 's housing functions , retaining the Former RDA 's housing assets, and assuming the Former RDA's housing responsibilities pursuant to California Health and Safety Code

section 34176(a)(l); and

WHEREAS , the Successor A gency is winding down the Former RDA ' s affairs in accordance with AB 26, enacted on June 28 , 2011 , and A ssembly B ill 1484 (AB 1484), enacted on June 27 , 20 12 (collectively , the Dissolution Laws); and

WHEREAS , California Health and Safety Code

section 34176(

d) requires the Successor Housing Entity to create a new , separate fund , known as the Low and Moderate Income Housing Doc No . 437860 (OB -20 12 - 26) A sset Fund (Housing Asset Fund) , for purposes o f retaining an y encumbered affordable housing funds transferred from the Successor A gency and any funds generated in the future from the housing assets as defined in California Health and Safety Code

Section 34176(e) ("Housing Assets"); and WHEREA S, the City Council adopted two companion resolutions , designated as r:= : = -= = = - - Reso lut io n ~ N o . ~ R- 3 0 '7--5 - 9 ~ 9 ~ and ~ R e sG -l -uti . o n-NG .-- R- J Q -7 0Q . Q - b et h - t :}ff€ lG-t i .:v €l - Ju- l ~ - l -, 2- Q - 1 ~ 2 ,- a ppFev - in g '-------­ the Successor Agency's execution and recording of the appropriate conveyance instruments , including quitclaim deeds and assignment and assumption agreements, to accomplish the transfer of the Housing A ssets to the Successor Housing Entity , and also authorizing the establishment of the Housing A sset Fund within the City ' s treasury; and

WHEREAS , the transfer o f Housing A ssets from the Successor A gency to the Housing Successor Entity is expected to occur soon , subject to the approval o f the Oversight Board and the State Department o f Finance; and

WHEREAS, until the transfer o f the Housing Assets is completed , the Successor A gency is responsible for management o f the Housing A ssets; and WHEREA S, the Successor A gency now seeks authorization from the Oversight B oard to take certain actions related to certain Housing A ssets to avoid having to bring each action to the Oversight B oard for approval since the actions are related only to Housing A ssets that will be transferred to the Housing Successor Entity and will not have any adverse impact on the financial interests o f the Successor A gency or the other taxing entities represented by the members of the Oversight Board ; and

NOW, THEREFORE , B E IT RESOLVED by the Oversight B oard that the Successor Agency is authorized to approve refinancing, loan modifications , loan subordinations, short sales, and foreclosures related to loans funded from the Low and Moderate Income Doc N o. 437860 (OB -20 12-26) Housing Fund and associated security interests, and to negotiate a reduced principal balance , interest balance , or repayment terms o f such loans, and to execute all related documents . PASSED AND ADOPTED b y the Oversight B oard at a duly noticed meeting o f the Oversight Board held on September \~ 2012. c==- === = ------ --------------------' C h W £ 1 - - - - - - - - - - - - - - Do c No . 437860