HomeMy WebLinkAbout18-016 - Resolution RESOLUTION NO. 18-016
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
CUCAMONGA, CALIFORNIA, AMENDING RESOLUTION NO. 18-002
OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA,
DECLARING ITS INTENTION TO ESTABLISH NORTH ETIWANDA
COMMUNITY FACILITIES DISTRICT NO. 2017-01 OF THE CITY OF
RANCHO CUCAMONGA AND TO AUTHORIZE THE LEVY OF A
SPECIAL TAX THEREIN TO FINANCE THE PROVISIONS OF CERTAIN
PUBLIC SERVICES
WHEREAS, on the 17th day of January, 2018, the City Council of the City of Rancho Cucamonga
(the "City Council"), initiated proceedings for the formation of North Etiwanda Community Facilities
District No. 2017-01 of the City of Rancho Cucamonga (the "District") by adoption of Resolution No.
18-002, entitled "Resolution of the City Council of the City of Rancho Cucamonga, California, Declaring
its Intention to Establish North Etiwanda Community Facilities District No. 2017-01 of the City of Rancho
Cucamonga and to Authorize the Levy of a Special Tax Therein to Finance the Provisions of Certain
Public Services" (the "Resolution of Intention"); and
WHEREAS, at such time the City Council approved a Rate and Method of Apportionment of
Special Tax for the District which included an annual increase in the Maximum Annual Special Tax by the
lesser of 4% or the percentage change in the February annualized Consumer Price Index, and called a
public hearing on the establishment of the District, the proposed Rate and Method of Apportionment of
Special Tax and other matters for February 21, 2018; and
WHEREAS, this City Council has been advised that it is necessary to amend the Rate and
Method of Apportionment of Special Tax for the District included in the Resolution of Intention to include
an annual increase in the Maximum Annual Special Tax which shall be a minimum of 2% and not exceed
6%, determined on an annual basis as needed to satisfy the Special Tax Requirement; and
WHEREAS, on the 17th day of January, 2018, the City Council also adopted Resolution No.
18-003, entitled "Resolution of the City Council of the City of Rancho Cucamonga, California, Ordering
and Directing the Preparation of a Report for Proposed North Etiwanda Community Facilities District No.
2017-01 of the City of Rancho Cucamonga" to provide more detailed information relating to the proposed
District, the proposed public services to be financed through the District, and an estimate of the cost of
providing such services (the Special Tax Report"), such report to be provided at the public hearing on the
Resolution of Intention; and
WHEREAS, pursuant to Section 53325 of the Government Code, the City Council may amend
the Rate and Method of Apportionment to increase special taxes so long as it directs a report to be
prepared which analyzes the impact of such increase and considers such report prior to adoption of a
resolution of formation; and
WHEREAS, Section 53321 of the California Government Code requires that prior to the formation
of a community facilities district a public hearing must be held not less than 30 days or more than 60
days following the adoption of the Resolution of Intention; and
WHEREAS, in order to comply with the requirements of Section 53325 and to provide the City
Council with sufficient time to consider the report, it is necessary for the public hearing to be continued;
and
WHEREAS, Section 53325 of the California Government Code provides that such hearing may
be continued from time to time, but shall be completed within 30 days of the date of the originally
scheduled hearing, except that if the legislative body finds that the complexity of a proposed community
Resolution No. 18-016 - Page 1 of 8
facilities district requires additional time, beyond 30 days, the hearing may be continued from time to time
for a period not to exceed six months; and
WHEREAS, the City Council has determined that the complexity of the District requires additional
time and that the public hearing should, therefore, be continued to May 2, 2018.
NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED by the City Council as
follows:
1. Recitals. The recitals stated above are true and correct and are hereby incorporated into this
Resolution.
2. Amended Rate and Method of Apportionment. Exhibit "A" to the Resolution of Intention shall be
deleted in its entirety and replaced by Exhibit "A," attached hereto.
3. Special Tax Report. The City Manager is hereby directed and ordered to prepare or cause to be
prepared a report pursuant to Government Code 53325 which provides a brief analysis of the impact of
the proposed modifications to the Rate and Method of Apportionment of Special Tax. The report, upon its
preparation, shall be submitted to this City Council for review, and such report shall be made a part of the
record of the continued public hearing on the Resolution of Intention to establish such District.
4. The public hearing on the formation of the proposed District shall be continued to May 2, 2018, at
7:00 o'clock p.m. and shall be held in the City Council Chambers, City Hall, located at 10500 Civic
Center Drive, Rancho Cucamonga, California.
Resolution No. 18-016 - Page 2 of 8
PASSED, APPROVED, AND ADOPTED this 21st day of March, 2018.
CO de/f /
L. ennis Michael, Mayor
ATTEST:
c �'A -,a1( t).
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✓ J.nice C. Reynolds, Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF RANCHO CUCAMONGA )
I, Janice C. Reynolds, City Clerk of the City of Rancho Cucamonga, do hereby
certify that the foregoing Resolution was duly passed, approved, and adopted by the City Council of the
City of Rancho Cucamonga, at a Regular Meeting of said Council held on the 21st day of March 2018.
AYES: Alexander, Kennedy, Michael, Spagnolo, Williams
NOES: None
ABSENT: None
ABSTAINED: None
Executed this 22ndday of March, 2018, at Rancho Cucamonga, California.
0,, Ja e C. Reynolds, Clerk
Resolution No. 18-016 - Page 3 of 8
EXHIBIT "A"
AMENDED RATE AND METHOD OF APPORTIONMENT
FOR THE NORTH ETIWANDA COMMUNITY FACILITIES DISTRICT NO. 2017-01
OF THE CITY OF RANCHO CUCAMONGA
A Special Tax as hereinafter defined shall be levied on each Assessor's Parcel of Taxable
Property within the North Etiwanda Community Facilities District No. 2017-01 ("North Etiwanda CFD") of
the City of Rancho Cucamonga and collected each Fiscal Year commencing with Fiscal Year 2018/19 in
an amount determined by the City Council through the application of the Amended Rate and Method of
Apportionment as described below. All of the real property in the North Etiwanda CFD, unless exempted
by law or by the provisions hereof, shall be taxed for the purposes of, to the extent, and in the manner
herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meaning:
"Acreage" or "Acre" means the land area of an Assessor's Parcel as shown on County records,
such as an Assessor's Parcel Map and secured roll data, or if the land area is not shown on an
Assessor's Parcel Map, the land area shown on the applicable final subdivision map, record of
survey, or other recorded document creating or describing the Assessor's Parcel. If the preceding
maps for a land area are not available, the Acreage of such land area may be determined utilizing
available spatial data and geographic information systems (GIS).
"Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5,
Division 2 of Title 5 of the Government Code of the State of California.
"Administrative Expenses" means the actual or reasonably estimated costs directly related to the
administration of the North Etiwanda CFD including, but not limited to, the following: the costs of
computing the Special Taxes and preparing the annual Special Tax collection schedules (whether
by the City, the CFD Administrator, or both); the costs of collecting the Special Taxes (whether by
the County, the City, or otherwise); the costs to the City, North Etiwanda CFD, or any designee
thereof in complying with disclosure requirements; the costs associated with preparing Special Tax
disclosure statements and responding to public inquiries regarding the Special Taxes; and the
costs of the City, North Etiwanda CFD, or any designee thereof related to any appeal of the levy or
application of the Special Tax. Administrative Expenses shall also include amounts estimated or
advanced by the City or North Etiwanda CFD for any other administrative purposes, including, but
not limited to, attorney's fees, proposed formation of the North Etiwanda CFD, or any other
expenses incidental to the provision of the Services.
"Assessor's Data" means Acreage or other Assessor's Parcel information contained in the
records of the Assessor of the County.
"Assessor's Parcel" means a lot or parcel shown on an Assessor's Parcel Map with an assigned
Assessor's Parcel number.
"Assessor's Parcel Map" means an official map of the assessor of the County designating
parcels by an Assessor's Parcel number.
Resolution No. 18-016 - Page 4 of 8
"CFD Administrator" means an official of the City, or designee thereof, responsible for
determining the Special Tax Requirement and providing for the levy and collection of the Special
Taxes.
"City" means the City of Rancho Cucamonga.
"City Council" means the City Council of the City of Rancho Cucamonga, acting as the legislative
body of the North Etiwanda CFD.
"County" means the County of San Bernardino.
"Developed Property" means for each Fiscal Year, all Taxable Property, for which a building
permit was issued prior to the March 1st preceding the Fiscal Year for which the Special Tax is
being levied.
"Exempt Property" means all Assessors' Parcels that are exempt from the Special Tax pursuant
to Section E.
"Fiscal Year" means the period starting July 1 and ending on the following June 30.
"Homeowner Association Property" means any property within the boundaries of North
Etiwanda CFD which is owned by a homeowners' or property owners' association, including any
master or sub-association.
"Maximum Annual Special Tax" means the maximum Special Tax, determined in accordance
with the provisions of Section C below, which may be levied in any Fiscal Year on any Assessor's
Parcel of Taxable Property.
"Non-Residential Property" means all Assessor's Parcels of Developed Property within the
boundaries of the North Etiwanda CFD for which a building permit(s) has been issued for a non-
residential structure(s).
"North Etiwanda CFD" means the North Etiwanda Community Facilities District No. 2017-01 of
the City of Rancho Cucamonga.
"Proportionately" means for Taxable Property that the ratio of the Special Tax levy to the
Maximum Annual Special Tax is equal for all Assessor's Parcels within each classification
(Residential Property, Non-Residential Property, and Undeveloped Property) within the North
Etiwanda CFD.
"Public Property" means any property which (a) is owned by a public agency, (b) has been
irrevocably offered for dedication to a public agency, or (c) is designated with specific boundaries
and acreage on a final subdivision map as property which will be owned by a public agency. For
purposes of this definition, a public agency includes the federal government, the State of California,
the County, the City, or any other public agency.
Resolution No. 18-016 - Page 5 of 8
"Residential Dwelling Unit" means any residential dwelling unit constructed or to be constructed
for habitable living purposes located on an Assessor's Parcel as indicated in the records of the
County Assessor, or, if not indicated, as otherwise determined by the CFD Administrator based on
available official information, including building permit(s) issued.
"Residential Property" means all Assessor's Parcels of Developed Property within the boundaries
of the North Etiwanda CFD for which a building permit(s) has been issued for purposes of
constructing one or more Residential Dwelling Units.
"Services" means the maintenance of public trails and trailhead improvements, landscaped areas,
parkways, medians and parks and recreation improvements throughout the North Etiwanda CFD
and public right-of-ways, including, but not limited to, street trees, fencing, irrigation systems,
sidewalks, drainage systems, signs, monuments, graffiti removal, replacement, repair or
rehabilitation of playground equipment, sports fields, parking lots, restrooms, sport field lighting,
street lighting and other improvements placed in parks, trails, medians, landscaped areas, or public
right-of-ways, furnishing of water, electric current or energy, gas, or other illuminating agent for the
operation of any improvement within the North Etiwanda CFD. The maintenance and servicing of
streetlights, traffic signals and appurtenant facilities, including but not limited to furnishing of electric
current, materials, contracted services, and the necessary maintenance, replacement, and repair
required to keep the improvements in operational and satisfactory condition.
"Special Tax" means the special tax to be levied in each Fiscal Year on each Assessor's Parcel of
Taxable Property to fund the Special Tax Requirement.
"Special Tax Requirement" means that amount of Special Tax revenue required in any Fiscal
Year for the North Etiwanda CFD to: (i) pay for the costs of operation, maintenance and servicing of
the Services; (ii) pay Administrative Expenses; (iii) pay any amounts required to establish or
replenish any repair and contingency funds, capital improvement funds, or reserve funds for the
North Etiwanda CFD; and (iv) pay for reasonably anticipated delinquent Special Taxes based on
the delinquency rate for Special Taxes levied in the previous Fiscal Year; less a credit for funds
available to reduce the annual Special Tax levy, as determined by the CFD Administrator.
"State" means the State of California.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of the North
Etiwanda CFD that are not exempt from the Special Tax pursuant to law or Section E below.
"Undeveloped Property" means each Assessor's Parcel of Taxable Property within the
boundaries of the North Etiwanda CFD that is not classified as Developed Property.
B. ASSIGNMENT TO LAND USE CATEGORIES
On, or around, July 1 of each Fiscal Year, the CFD Administrator shall determine the valid
Assessor's Parcel numbers for the current Fiscal Year for all property within the North Etiwanda
CFD. Each Assessor's Parcel of Taxable Property within the North Etiwanda CFD shall be
classified as Residential Property, Non-Residential Property or Undeveloped Property, and shall be
subject to the levy of annual Special Taxes determined pursuant to Section C below.
Resolution No. 18-016 - Page 6 of 8
C. MAXIMUM ANNUAL SPECIAL TAX
The Maximum Annual Special Tax for each Assessor's Parcel of Taxable Property shall be
assigned according to the table below:
Fiscal Year 2018/19
Property Land Use Maximum Annual Special Tax
Residential Property $871.77 per Residential Dwelling Unit
Non-Residential Property $0.00 per Acre
Undeveloped Property $2,117.76 per Acre
On July 1 of each Fiscal Year, commencing on July 1, 2019, the Maximum Annual Special Tax set
forth in the table above shall be increased by a minimum of two percent (2%) to a maximum annual
increase of six percent (6%), determined on an annual basis as needed to satisfy the Special Tax
Requirement.
D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2018/19, and for each subsequent Fiscal Year, the CFD
Administrator shall determine the Special Tax Requirement and shall levy the Special Tax on each
Assessor's Parcel of Taxable Property until the amount of Special Taxes equals the Special Tax
Requirement. The Special Taxes shall be levied each Fiscal Year as follows
First: The Special Tax shall be levied Proportionately on each Assessor's Parcel of Residential
Property at a rate of up to 100% of the applicable Maximum Annual Special Tax as needed to
satisfy the Special Tax Requirement.
Second: If additional moneys are needed to satisfy the Special Tax Requirement after the first step
has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of
Undeveloped Property at a rate of up to 100% of the applicable Maximum Annual Special Tax to
satisfy the Special Tax Requirement.
Notwithstanding the above, under no circumstances will the Special Tax levied against any
Assessor's Parcel of Residential Property be increased as a result of delinquencies by owners of
other Assessor's Parcels by more than ten percent (10%) above what the Assessor's Parcel of
Residential Property would have been levied had there been no delinquencies.
E. EXEMPTIONS
The CFD Administrator shall classify the following Assessor's Parcels as Exempt Property: (i)
Public Property, (ii) Homeowner Association Property, and (iii) and Assessor's Parcels with public
or utility easements making impractical their utilization for any use other than the purposes set forth
in the easement.
If the use of an Assessor's Parcel of Exempt Property changes so that such Assessor's Parcel is no
longer classified as one of the uses set forth above that would make such Assessor's Parcel
Resolution No. 18-016 - Page 7 of 8
eligible to be classified as Exempt Property, such Assessor's Parcel shall cease to be classified as
Exempt Property and shall be deemed to be Taxable Property.
F. REVIEW/APPEAL
Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's
Parcel is in error shall first consult with the CFD Administrator regarding such error. If, following
such consultation, the CFD Administrator determines that an error has occurred, the CFD
Administrator may amend the amount of the Special Tax levied on such Assessor's Parcel. If,
following such consultation and action (if any by the CFD Administrator), the landowner or resident
believes such error still exists, such person may file a written notice with the City appealing the
amount of the Special Tax levied on such Assessor's Parcel. The City may establish such
procedures, as it deems necessary, to undertake the review of any such appeal. The City shall
interpret this Amended Rate and Method of Apportionment and make determinations relative to the
annual administration of the Special Tax and any landowner or resident appeals, as herein
specified. The decision of the City shall be final and binding as to all persons.
G. MANNER OF COLLECTION
The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad
valorem property taxes; provided, however, that the North Etiwanda CFD, may directly bill the
Special Tax, and may collect Special Taxes at a different time or in a different manner as
necessary to meet its financial obligations.
H. PREPAYMENT OF SPECIAL TAX
The Special Tax may not be prepaid.
I. TERM OF SPECIAL TAX
The Special Tax shall be levied, commencing in Fiscal Year 2018/19, as long as necessary to
satisfy the Special Tax Requirement.
Resolution No. 18-016 - Page 8 of 8