LOS ANGELES LOCAL AGENCY FORMATION COMMISSION

SPECIAL REORGANIZATION OF THE HARBOR AREA

STAFF REPORT

ON

TERMS AND CONDITIONS

TO THE

LOCAL AGENCY FORMATION COMMISSION

FOR LOS ANGELES COUNTY

SUBCOMMITTEE ON FINDINGS, TERMS AND CONDITIONS

As Approved by Sub-Committee on March 18, 2002

March 18, 2002

Local Agency Formation Commission

For Los Angeles County

700 North Central Avenue, Suite 350

Glendale, California 91203

(818) 254-2454
TABLE OF CONTENTS

Introduction. 1

Procedural Requirements. 2

Special Reorganization History. 6

Fiscal Findings. 8

Harbor Revenues. 8

Revenue Neutrality Finding. 8

Fiscal Viability Finding. 9

Transition Period. 10

Effective Date. 10

Transition Period Length. 13

Transition Period Service Discontinuation Notice. 14

Service Levels. 15

Service Control 15

Transition Service Scope. 16

Payment Calculation. 17

Transition Service Reimbursement 18

Employee Transfer 22

Collective Bargaining Agreements. 22

Civil Service System.. 23

Retirement Benefits. 23

Surplus Employees. 24

Legal Opinions. 26

Trust Account Funds & Liquid Assets. 27

Local Service-Related Assets. 29

Streets and Highways. 31

Storm Water Facilities. 32

Assets of San Pedro and Wilmington. 33

Miscellaneous Assets. 33

Enterprises. 35

Airports and Port of Los Angeles. 35

Liabilities. 38

General Obligation Bonds. 38

Assessment Bonds and Special Tax Bonds. 39

Judgment Obligation Bonds. 39

General Fund Lease Obligations and Certificates of Participation. 40

Sanitation Equipment Charge Revenue Bonds. 41

Parking Revenue Bonds. 41

Non-Debt Liabilities. 41

Miscellaneous Provisions. 44

Redevelopment Areas. 44

Proposition K Assessment District 44

Other Assessment Districts.