Reso 2011-053 Attachment - Laserfiche WebLink

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' City of San Leandro Notes to Basic Financial Statements For the year ended June 30, 2010 NOTE 7 - LONG-TERM DEBT, Continued A. Governmental Activities Long -Term Debt, Continued Bay Fair Mall Debt with Agency Commitment On June 15, 1998, the City committed $4,000,000 to renovate the Bayfair Mall. This debt with City commitment is at 0% interest and has installments ranging between $200,000 and $400,000 per year over a 15 year period beginning in July 1998. The debt is secured and payable from Community Redevelopment Agency revenues. An adjustment was made in prior years for an accelerated payment of $50,000 which is reflected in the table, leaving a debt service balance of $700,000. At June 30, 2010, future debt service requirements for the Bay Fair Mall Debt with City Commitment were as follows: For the Year Ending June 30, Principal Total 2011 $ 250,000 $ 250,000 2012 250,000 250,000 2013 200,000 200,000 Total debt service $ 700,000 $ 700,000 Owner Participation Agreements with Agency Commitment The Agency entered into the following agreements which represent contingency liabilities for the Agency: Ford Motor Company $ 2,131,843 Batarse Family Trust Disposition and Development 381,789 $ 2,513,632 1. Ford Motor Company Owner Participation Agreement - The agreement required the Agency to make annual payment equivalent to 50% of the sales tax generated above a base of $277,000 by the sale of vehicles as part of the Ford Store San Leandro development. The amount due is $2,131,843 to be paid over several years depending on the volume of auto sales at no interest. 2. Batarse Family Trust Disposition and Development Agreement — The agreement required the Agency to make annual payments equivalent to 50% of the sales tax generated by the sale of vehicles as part of the development of a proposed Saturn dealership. The amount due is $381,789 to be paid over several years depending on the volume of auto sales at no interest. 69