HomeMy WebLinkAboutAgenda Report - February 6, 2008 E-12AGENDA ITEM Folvit
CITY OF LODI
COUNCIL COMMUNICATION
TM
AGENDA TITLE: Adopt Resolution to Approve the Forgiving of the Remaining Loan Balance
of $359,950 from the Lodi Veteran's Monument Foundation, a Non-profit
Corporation of California
MEETING DATE:
PREPARED BY:
February 6,2008
Deputy City Manager
RECOMMENDED ACTION:
Adopt Resolution to
remaining loan balance
Veteran's Monument
Corporation of California.
approve the forgiving of the
of $359,950 from the Lodi
Foundation, a Non-profit
BACKGROUND INFORMATION: The Veteran's Memorial Plaza was dedicated in
2001. Funding for the plaza was advanced ($450,000
to be repaid in annual payments by July 1 of each year)
by the City of Lodi with an agreement from the Lodi Veteran's Monument Foundation, a non-
profit corporation of California, to repay the balance as donations were made by the members of
this group to their foundation. The amount still remaining on this advance/ loan is $359,950.
There were very few members remaining of the foundation when it dissolved last year.
Therefore, the original organization to which donations were being made and from which
repayment to the City of Lodi can be made no longer exists. However, there is an endowment
that has been established to pay for the maintenance of the memorial and its replacement.
Donations to the Lodi Improvement Foundation -endowment for the Veteran's Memorial
Monument are now being accepted and there have been some donations made that have been
forwarded to this new foundation. As this endowment grows and earnings accrue, withdrawals
will be allowed to pay for maintenance of the memorial monument. Staff is recommending that
the balance of the loan be written off at this time in order to clear the records related to the
dissolution of the Lodi Veteran's Monument Foundation.
FISCAL IMPACT: The maintenance of the Veteran's Memorial will be paid out of the earnings
from the endowment for the Veteran's Memorial through the Lodi Improvement Foundation.
FUNDING AVAILABLE: Not applicable
i
,�90es R. Krueger, Deputy City Manager
APPROVED:
Blair' , City Manager
RESOLUTION NO. 2008-15
A RESOLUTION OF THE LODI CITY COUNCIL
FORGIVING THE LODI VETERAN'S MOMUMENT
FOUNDATION LOAN BALANCEAND
WRITING OFF THE DEBT
WHEREAS, the Veteran's Memorial Plaza was dedicated in 2001; and
WHEREAS, the City of Lodi advanced the funding for the Plaza in the amount of
$450,000 to the Lodi Veteran's Monument Foundation, a non-profit corporation of California;
and
and
WHEREAS, annual payments were scheduled to be received by July 1 of each year;
WHEREAS, the current balance owing on the loan is $359,950; and
WHEREAS, because very few members of the original foundation remain, the
Foundation was dissolved in 2007, and the original organization to which donations were
being made and from which repayment to the City of Lodi can be made no longer exists; and
WHEREAS, an endowment was established to pay for the maintenance of the
memorial over the course of its useful life, and donations to the Lodi Improvement
Foundation-endowmentfor the Veteran's Memorial Monument are now being accepted; and
WHEREAS, staff recommends that the balance of the loan be written off in order to
clear the records related to the dissolution of the Lodi Veteran's Monument Foundation.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby forgives
the Lodi Veteran's Monument Foundation loan balance and hereby writes off the debt in the
amount of $359,950.
Date: February 6, 2008
hereby certify that Resolution No. 2008-15 was passed and adopted by the Lodi
City Council in a regular meeting held February 6, 2008, by the following vote:
AYES: COUNCIL MEMBERS— Hansen, Johnson, Katzakian, and
Mayor Mounce
NOES: COUNCIL MEMBERS — Hitchcock
ABSENT: COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS— None
NIFER . PERRIN
puty City ler
k
2008-15