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HomeMy WebLinkAbout00-174 - Resolutions RESOLUTION NO. 00-174 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, DECLARING ITS INTENTION TO ESTABLISH COMMUNITY FACILITIES DISTRICT NO. 2000-02 (RANCHO CUCAMONGA CORPORATE PARK) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN TO FINANCE THE ACQUISITION OF CERTAIN PUBLIC FACILITIES WHEREAS, the CITY COUNCIL of the CITY OF RANCHO CUCAMONGA, CALIFORNIA (the "City Council'), received a petition from the owners of certain property located within the City of Rancho Cucamonga identified as Tentative Parcel Map No. 15295 requesting that the City Council initiate proceedings to consider the formation of a community facilities district pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the"Act') to finance the acquisition of certain public facilities; and WHEREAS, pursuant to such petition the City Council desires to initiate proceedings to consider the formation of such community facilities district which shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 2000-02 (RANCHO CUCAMONGA CORPORATE PARK) (the "District'); and, WHEREAS, this City Council is now required to proceed to adopt its Resolution of Intention to initiate the proceedings for the establishment of such District,to set forth the boundaries for such District, to indicate the type of public facilities proposed to be financed by such District, to indicate the rate and apportionment of a special tax sufficient to finance the acquisition of such public facilities and the administration of the District and any indebtedness incurred by the District,to set a time and place for a public hearing relating to the establishment of such District; and WHEREAS, a map of such District has been submitted showing the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy of a special tax by the District. SECTION 1: Recitals. The above recitals are all true and correct. SECTION 2: Initiation Of Proceedings. These proceedings are initiated by this City Council pursuant to the authorization of Section 53318 of the Government Code of the State of California. SECTION 3: Boundaries Of District. It is the intention of this City Council to establish a Community Facilities District pursuant to the provisions of the Act, and to determine the boundaries and parcels on which special taxes may be levied to finance the acquisition of certain public facilities. A description of the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy of a special tax by the District is as follows: Resolution No. 00-174 Page 2 of 13 All that property as shown on a map as previously approved by this City Council, such map designated by the name of this Community Facilities District, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. SECTION 4: Name Of District. The name of the proposed Community Facilities District to be established shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 2000-02 (RANCHO CUCAMONGA CORPORATE PARK). SECTION 5: Description Of Public Facilities. It is the further intention of this City Council to finance the acquisition of certain public facilities. A general description of the type of public facilities to be acquired is set forth in Exhibit A attached hereto and incorporated herein by this reference. The types of facilities described in Exhibit A are facilities which this legislative body is authorized by law to contribute revenue to or to construct, own or operate. It is hereby further determined that the proposed public facilities are necessary to meet increased demands and needs placed upon the City and other public agencies as a result of development within the District. The cost of acquiring such public facilities includes incidental expenses where applicable including, but not limited to, the costs of planning and designing such facilities; all costs associated with the establishment of the District,the issuance and administration of bonds, including the payment of any rebate obligation due and owing to the federal government, the determination of the amount of any special taxes to be levied, the costs of collecting any special taxes, and costs otherwise incurred in order to carry out the authorized purposes of the District, together with any other expenses incidental to the acquisition, construction, completion and inspection of:such facilities. SECTION 6: Special Tax. It is hereby further proposed that, except where funds are otherwise available, a special tax sufficient to pay for such public facilities and related incidental expenses authorized by the Act,secured by recordation of a continuing lien against all non-exempt real property in the District, will be levied annually within the boundaries of such District. For further particulars as to the rate and method of apportionment of the Resolution No. 00-174 Page 3 of 13 proposed special tax, reference is made to the attached and incorporated Exhibit B,which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed District to clearly estimate the maximum amount that such person will have to pay. The special taxes herein authorized, to the extent possible, shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency as applicable for ad valorem taxes. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer. SECTION 7: Public Hearing. NOTICE IS GIVEN THAT ON THE 18TH DAY OF OCTOBER,2000,AT THE HOUR OF 7:00 O'CLOCK P.M., IN THE REGULAR MEETING PLACE OF THE CITY COUNCIL BEING THE COUNCIL CHAMBERS, CITY HALL, LOCATED AT 10500 CIVIC CENTER DRIVE, RANCHO CUCAMONGA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE THIS CITY COUNCIL WILL CONSIDER THE ESTABLISHMENT OF THE PROPOSED COMMUNITY FACILITIES DISTRICT, THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX, AND ALL OTHER MATTERS AS SET FORTH IN THIS RESOLUTION OF INTENTION. THAT AT THE ABOVE-MENTIONED TIME AND PLACE FOR PUBLIC HEARING ANY PERSONS INTERESTED, INCLUDING TAXPAYERS AND PROPERTY OWNERS MAY APPEAR AND BE HEARD, AND THAT THE TESTIMONY OF ALL INTERESTED PERSONS FOR OR AGAINST THE ESTABLISHMENT OF THE DISTRICT, THE EXTENT OF THE DISTRICT, OR THE FINANCING OF THE PUBLIC FACILITIES,WILL BE HEARD AND CONSIDERED. ANY PROTESTS MAY BE MADE ORALLY OR IN WRITING. HOWEVER, ANY PROTESTS PERTAINING TO THE REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS SHALL BE IN WRITING AND CLEARLY SET FORTH THE IRREGULARITIES AND DEFECTS TO WHICH THE OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK OF THE CITY COUNCIL ON OR BEFORE THE TIME FIXED FOR THE PUBLIC HEARING. WRITTEN PROTESTS MAY BE WITHDRAWN IN WRITING AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEARING. Resolution No. 00-174 Page 4 of 13 IF A WRITTEN MAJORITY PROTEST AGAINST THE ESTABLISHMENT OF THE DISTRICT IS FILED, THE PROCEEDINGS SHALL BE ABANDONED. IF SUCH MAJORITY PROTEST IS LIMITED TO CERTAIN FACILITIES OR PORTIONS OF THE SPECIAL TAX, THOSE FACILITIES OR THAT TAX SHALL BE ELIMINATED BY THE CITY COUNCIL. SECTION 8: Election. If, following the public hearing described in the Section above, the City Council determines to establish the District and proposes to levy a special tax within the District, the City Council shall then submit the levy of the special taxes to the qualified electors of the District. If at least twelve (12) persons, who need not necessarily be the same twelve (12) persons, have been registered to vote within the District for each of the ninety(90)days preceding the close of the public hearing, the vote shall be by registered voters of the District, with each voter having one (1)vote. Otherwise,the vote shall be by the landowners of the District who were the owners of record at the close of the subject hearing, with each landowners or the authorized representative thereof, having one (1)vote for each acre or portion of an acre of land owned within the District. SECTION 9: Notice. Notice of the time and place of the public hearing shall be given by the City Clerk by causing the publication of a Notice of Public Hearing in the legally designated newspaper of general circulation,such publication pursuant to Section 6061 of the Government Code, with such publication to be completed at least seven (7)days prior to the date set for the public hearing. SECTION 10: Reservation Of Rights To Authorize Tender Of Bonds. The City Council reserves to itself, in its capacity as the legislative body of the District if formed,the right and authority to allow any interested owner of property within the District, subject to the provisions of Government Code Section 53344.1 and to such conditions as this City Council may impose, and any applicable prepayment penalties as may be described in the bond indenture or comparable instrument or document, to tender to the Treasurer of the City of Rancho Cucamonga, acting for and on behalf of the District, in full payment or part payment of any installment of the special Resolution No. 00-174 Page 5 of 13 taxes or the interest or penalties thereon which may be due or delinquent, but for which a bill has been received, any bond or other obligation secured thereby, the bond or other obligation to be taken at par and credit to be given for the accrued interest shown thereby computed to the date of tender. SECTION 11: Advances Of Funds Or Work-In-Kind. At any time either before or after the formation of the District, the City Council may accept advances of funds or work-in- kind from any source, including, but not limited to, private persons or private entities and may provide, by resolution,for the use of those funds or that work-in-kind for any authorized purpose, including, but not limited to, paying any cost incurred by the City in creating the District. The City may enter into an agreement, by resolution, with the person or entity advancing the funds or work-in-kind, to repay all or a portion of the funds so advanced,or to reimburse the person or entity for the value, or cost, whichever is less, of the work- in-kind, as determined by the City Council. The City has entered into a Community Facilities District Reimbursement Agreement with Catellus Development Corporation to provide for such advances for the payment of all initial consulting and administration costs and expenses related to the proceedings to consider the formation of the District and to subsequently authorize, issue and sell bonds fbr' the District.,Such advances are subject to reim66`rsement pursuant to the terms of such agreement. No such agreement shall constitute a debt or liability of the City. Please See Next Page for Formal Adoption and Signatures Resolution No. 00-174 Page 6 of 13 PASSED, APPROVED, AND ADOPTED this 6th day of September 2000. AYES: Alexander, Biane, Curatalo, Dutton, Williams NOES: None ABSENT: None ABSTAINED: None c% GI,G William J. lexander, Mayor ATTEST: ra J. Adams C C, City Clerk I,DEBRA J.ADAMS,CITY CLERK of the City of Rancho Cucamonga, California,do hereby certify that the foregoing Resolution was duly passed, approved and adopted by the City Council of the City of Rancho Cucamonga, California,at a Regular Meeting of said City Council held on the 6`h day of September 2000. Executed this 7`h day of September, at Rancho Cucamonga, California. Zh� 94-,a",2�-) Debra J. Adam C, City Clerk Resolution No. 00-174 Page 7 of 13 Exhibit "A" Description of Public Facilities The types of public facilities proposed to be financed by the District shall include: Street improvements on public street improvements required as a condition of approval of development of the property within the proposed District; such street improvements to include but not be limited to: demolition and grading, curb, gutter and sidewalks, traffic signals; entry feature and signs; fire hydrants; storm drains; water and sewer improvements; paving; striping; landscaping and irrigation improvements; public utilities and appurtenances. A-1 Resolution No. 00-174 Page 8 of 13 EXHIBIT "B" CITY OF RANCHO CUCAMONGA COMMUNITY FACILITIES DISTRICT NO. 2000-02 (Rancho Cucamonga Corporate Park) RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX A Special Tax applicable to each assessor's parcel or portion thereof in the CFD shall be levied and collected according to the tax liability determined by the Council, through the application of the rate and method of apportionment of the Special Tax set forth below. All of the property in the CFD, unless exempted by law or by the provisions of this Rate and Method of Apportionment of Special Tax, shall be taxed to the extent and in the manner herein provided. I. DEFINITIONS "Act"means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California. "Acre or Acreage" means the land area of a Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other map or plan recorded with the County. "Administrative Fees or Expenses" means the actual or estimated costs incurred by the City to determine, levy and collect the Special Taxes, including salaries of City employees and the fees of consultants, legal counsel, corporate paying agents, fiscal agents, and trustees; the costs of collecting installments of the Special Taxes upon the general tax rolls; cost of arbitrage calculation and arbitrage rebates, preparation of required reports; and any other costs required to administer the CFD as determined by the City. "Administrative Services Director" means the Administrative Services Director of the City or his or her designee. "Assessor" means the Assessor of the County. City of Rancho Cucamonga August 28,2000I CFD 2000-02(Rancho Corporate Park) B-1 Page 1 Resolution No. 00-174 Page 9 of 13 "Bond Share" means the share of Bonds assigned to a Taxable Parcel as specified in Section VI. "Bonds" mean any bonds issued by the CFD or other debt as defined in Section 53317 (d) of the Act incurred by CFD 2000-02. "CFD" means the City of Rancho Cucamonga Community Facilities District No. 2000-02 (Rancho Cucamonga Corporate Park). "City" means the City of Rancho Cucamonga, California. "Council" means the City Council of the City of Rancho Cucamonga acting for the CFD under the Act. "County" means the County of San Bernardino, California. "Debt Service means for each calendar year, the total scheduled amount of principal and interest payable on any Outstanding Bonds during the calendar year commencing on January 1 of such Fiscal Year. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Indenture" means the bond indenture, fiscal agent agreement, indenture of trust, trust agreement, resolution of issuance of other instrument pursuant to which the Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Maximum Annual Special Tax" means the greatest amount of Special Tax, determined in accordance with Section III, that can be levied in any Fiscal Year on any parcel. "Maximum Special Tax Revenue" means the sum of the Maximum Annual Special Tax for all of the Taxable Parcels in the CFD. "Outstanding Bonds" means the total principal amount of Bonds that have been issued and not retired or defeased. "Parcel" means any County of San Bernardino assessor's parcel that is within the boundaries of CFD, based on the equalized tax rolls of the County of San Bernardino as of January 1 in the prior Fiscal Year. "Parcel's Allocated Share" means the Maximum Annual Special Tax for a Parcel divided by the Maximum Annual Special Tax Revenue. City of Rancho Cucamonga August 28,2000 CFD 2000-02(Rancho Corporate Park) Page 2 Resolution No. 00-174 Page 10 of 13 "Payoff Parcel" means any Taxable Parcel for which a prepayment of the Special Tax Obligation is being calculated pursuant to Section VI. "Reserve Fund" means the total amount held in any bond reserve fund established for the Outstanding Bonds of the CFD. "Reserve Fund Share" is equal to the lesser of the Reserve Requirement or existing monies in the Reserve Fund, if any, for the Outstanding Bonds multiplied by the Parcel's Allocated Share. "Reserve Requirement" shall have the meaning given such term in the Indenture. "Special Tax" means any tax levied within CFD pursuant to the Act and this Rate and Method of Apportionment of Special Tax. "Special Tax Obligation" means the total obligation of a Taxable Parcel to pay the Special Tax for the remaining life of the CFD. "Special Tax Requirement" means for any Fiscal Year, the total of (i) Debt Service for such Fiscal Year; (ii) related Administrative Expenses for such Fiscal Year; (iii) any amounts needed to replenish the Reserve Fund to the Reserve Requirement and (iv) the amount, if any, equal to reasonably anticipated Special Tax delinquencies for the current Fiscal Year [subject to the limitations of Government Code Section 53321(d)], less a credit for funds available to reduce the annual Special Tax levy as determined pursuant to the Indenture. "Taxable Acreage" or "Taxable Acre" is the area within each Taxable Parcel that is suitable for commercial or other improvements when considering existing easements for streets. The minimum Taxable Acreage in this CFD is 137.38 acres. If the total Acreage of all Taxable Parcels falls below the minimum Taxable Acreage of 137.38 acres, the Taxable Acreage for each Taxable Parcel shall be increased proportionally based on the Acreage of such Parcel until the minimum Taxable Acreage is reached "Taxable Parcel" means any Parcel that is not a Tax-Exempt Parcel. "Tax-Exempt Parcel" means, as of January 1st of each year, (i) any Parcel owned by a governmental entity, or irrevocably offered for dedication to a governmental entity, (ii) any Parcel which constitutes public right-of-way or which is encumbered by an unmanned utility easement, making_impractical.its utilization for other than the purpose set forth in the easement, or {iii) any Parcel assigned a zero value by the Assessor. City of Rancho Cucamonga August 28,2000 CFD 2000-02(Rancho Corporate Park) Page 3 Resolution No. 00-174 Page 11 of 13 Notwithstanding the foregoing, (i) a Taxable Parcel acquired by a public entity after the adoption of the Resolution of Formation by means of negotiated transaction, or by gift or devise, or by eminent domain proceedings, shall remain a Taxable Parcel, and (ii) if a public agency owning a Tax-Exempt Parcel, including a Tax-Exempt Parcel held in trust for any beneficiary, grants a leasehold or other possessory interest in the parcel to a non-exempt person or entity, the Special Tax shall be levied on the leasehold or possessory interest and shall be payable by the owner of the leasehold or possessory interest. II. CLASSIFICATION OF PARCELS At the beginning of each Fiscal Year, using the definitions above, the Council shall cause each Parcel to be classified as a Tax-Exempt Parcel or a Taxable Parcel.. III. MAXIMUM SPECIAL TAX RATE The Maximum Annual Special Tax Rate is $3,896 per Taxable Acre. On each July 1, commencing on July 1, 2002, the Maximum Annual Special Tax shall be increased by two percent (2%) of the amount in effect for the previous Fiscal Year. IV. APPORTIONMENT OF SPECIAL TAX Commencing with the first Fiscal Year for which the Special Tax is levied and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and levy the Special Tax until the amount of Special Taxes levied equals the Special Tax Requirement. The Special Taxes shall be levied each Fiscal Year as follows: (1) The Special Tax shall be levied on each Taxable Parcel in an amount equal to 100% of the applicable Maximum Annual Special Tax; or (2) If less monies are needed to satisfy the Special Tax Requirement, the Special Tax shall be levied proportionally on each Taxable Parcel at less than 100% of the Maximum Annual Special Tax; provided that, the Council may levy an amount in excess of the Special Tax Requirement if all authorized CFD Bonds have not already been issued. City of f Rancho Cucamonga � August 28,2000 CFD 2000-02(Rancho Corporate Park) Page 4 Resolution No. 00-174 Page 12 of 13 V. MANNER OF COLLECTION Collection of the Special Tax shall be by the County of San Bernardino in the same manner as ordinary ad valorem property taxes are collected and the Special Tax shall be subject to the same penalties and the same lien priority in the case of delinquency as ad valorem taxes; provided, however, that the City may provide in the Indenture or in the Resolution of Issuance for (i) other means of collecting the Special Tax, including direct billings thereof to the property owners and (ii) judicial foreclosure of delinquent Special Taxes. VI. SATISFACTION OF SPECIALTAX OBLIGATION Property owners may prepay and permanently satisfy the Special Tax Obligation ("Special Tax Prepayment") by a cash settlement with the City as permitted under Government Code Section 53344. Prepayment is permitted only under the following conditions: • The City determines that the prepayment of the Special Tax Obligation does not jeopardize its ability to make timely payments of Debt Service on Outstanding. No Special Tax prepayment shall be allowed unless the Maximum Annual Special Tax that may be levied on all Taxable Parcels other than the Payoff Parcel is at least 110% of the maximum annual Debt Service on the Outstanding Bonds. • Any property owner prepaying the Special Tax Obligation must pay any and all delinquent Special Taxes and penalties for the Payoff Parcel prior to prepayment. The amount of the Special Tax Prepayment shall be established by the following steps: Step 1: Determine the Maximum Annual Special Tax for the Payoff Parcel based on the assignment of the Maximum Annual Special Tax described in Section III above. Step 2: Divide the Maximum Annual Special Tax for the Payoff Parcel from Step 1 by the Maximum Special Tax Revenue to arrive at the Parcel's Allocated Share. Step 3: Determine the Bond Share for the Payoff Parcel by multiplying the Parcel's Allocated Share from Step 2 City of Rancho Cucamonga August 28,2000 CFD 2000-02(Rancho Corporate Park) Page 5 Resolution No. 00-174 Page 13 of 13 by the total amount of Outstanding Bonds issued by the CFD. Step 4: Determine the Reserve Fund Share associated with the Bond Share determined in Step 3. The Reserve Fund Share is equal to the lesser of the Reserve Requirement or existing monies in the Reserve Fund, if any, for the Outstanding Bonds multiplied by the Parcel's .Allocated Share. Step 5: Calculate; the amount needed to pay interest on the Bond Share from the first Bond interest and/or principal payment date established pursuant to the Indenture following the current Fiscal Year until the earliest redemption date for the Bonds on which Bonds may be redeemed from the proceeds of a Special Tax Prepayment. Subtract from this amount, the amount of interest that is reasonably expected to be earned from the reinvestment of the Special Tax Prepayment less money kept by the City to cover costs from the date of the prepayment until the first redemption date for the Bonds. Step 6: Determine the Total Prepayment Amount by subtracting the Reserve Fund Share calculated in Step 4 from the Bond Share calculated in Step 3, adding the interest amount calculated in Step A.5 and by adding Debt Service not yet paid for the current calendar year to the date of bond redemption and all fees, call premiums, and expenses incurred by the City in connection with the prepayment calculation or with the application of the proceeds of the Special Tax Prepayment. VII. TERM OF "SPECIAL TAX" The Special Tax shall be collected only so long as required to make payments on the Bonds, but in no event shall it be levied after Fiscal Year 2035-2036. City of Rancho Cucamonga August 28,2000 CFD 2000-02 (Rancho Corporate Park) Page 6