HomeMy WebLinkAbout00-190 - Resolutions RESOLUTION NO. 00-190
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
CUCAMONGA, CALIFORNIA, FORMING AND ESTABLISHING
COMMUNITY FACILITIES DISTRICT NO. 2000-03 (RANCHO
SUMMIT)AND AUTHORIZING SUBMITTAL OF LEVY OF SPECIAL
TAXES TO THE QUALIFIED ELECTORS
WHEREAS, the CITY COUNCIL of the CITY OF RANCHO CUCAMONGA,
CALIFORNIA(the"City Council"), has previously declared its intention and ordered the preparation
of a Community Facilities District Report relating to the initiation of proceedings to create 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"). This Community Facilities District shall hereinafter be referred to as
COMMUNITY FACILITIES DISTRICT NO. 2000-03 (RANCHO SUMMIT) (the "District"); and,
WHEREAS, notice of a public hearing relating to the establishment of the District,the
extent of the District, the financing of the acquisition of certain public facilities and the provision of
certain public services and all other related matters has been given, and a Community Facilities
District Report, as ordered by this City Council, has been presented to this City Council and has
been made a part of the record of the hearing on the Resolution of Intention to establish such
District; and,
WHEREAS, all communications relating to the establishment of the District, the
proposed public facilities and public services and the proposed rate and method of apportionment of
special tax have been presented, and it has further been determined that a majority protest as
defined by law has not been received against these proceedings; and,
WHEREAS, inasmuch as there have been less than twelve (12) registered voters
residing within the territory of the District for at least the preceding ninety(90)days,the authorization
to levy special taxes within the District shall be submitted to the landowners of the District, such
landowners being the qualified electors as authorized by law.
NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS:
SECTION 1: Recitals. The above recitals are all true and correct.
SECTION 2: Determinations. It is hereby determined by this City Council
that:
A. All prior proceedings pertaining to the formation of
the District were valid and taken in conformity with
the requirements of the law, and specifically the
provisions of the Act, and that this finding and
determination is made pursuant to the provisions
of Government Code Section 53325.1.
Resolution No. 00-190
Page 2 of 17
B. No written protests to the formation of the District
or the levy of the special taxes have been
received and, therefore, the special taxes
proposed to be levied within the District have not
been precluded by majority protest pursuant to
Section 53324 of the Government Code of the
State of California.
C. The District as proposed conforms with the City's
goals and policies regarding the establishment of
community facilities districts.
D. Less than twelve (12) registered voters have
resided within the territory of the District for each
of the ninety(90)days preceding the close of the
public hearing, therefore, pursuant to the Act the
qualified electors of the District shall be the
landowners of the District as such term is defined
in Government Code Section 53317(f) and each
landowner who is the owner of record as of the
close of the public hearing, or the authorized
representative thereof, shall have one vote for
each acre or portion of an acre of land that she or
he owns within the District.
E. The time limit specified by the Act for conducting
an election to submit the levy of the special taxes
to the qualified electors of the District and the
requirements for impartial analysis and ballot
arguments have been waived with the unanimous
consent of the qualified electors of the District.
F. The City Clerk, acting as the election official, has
consented to conducting any required election on
a date which is less than 125 days following the
adoption of any resolution forming and
establishing the District.
SECTION 3: Community Facilities District Report. The Community
Facilities District Reportfor the District(the"Report"), as now
submitted by Willdan/MuniFinancial, Special Tax Consultant,
shall stand as the report as required pursuant to Government
Code Section 53321.5 for all future proceedings and all terms
and contents are approved as set forth therein.
SECTION 4: Name of District. The City Council does hereby establish
and declare the formation of the District known and
designated as "COMMUNITY FACILITIES DISTRICT NO.
2000-03 (RANCHO SUMMIT)."
Resolution No. 00-190
Page 3 of 17
SECTION 5: Boundaries of District.The boundaries and parcels of land
in which the public facilities are to be provided and on which
special taxes will be levied in order to pay the costs and
expenses to provide the authorized public services and to
acquire the authorized public facilities are generally described
as follows:
All property within the boundaries of COMMUNITY
FACILITIES DISTRICT NO. 2000-03 (RANCHO SUMMIT),
as shown on a boundary map as previously approved by this
legislative body, such map designated by the name of this
District, a copy of which is on file in the Office of the City
Clerk. The boundary map of the proposed District has been
filed pursuant to Sections 3111 and 3113 of the Streets and
Highways Code of the State of California in the Office of the
County Recorder of the County of San Bernardino,at Page(s)
43/44 of Book 73 of the Book of Maps of Assessment and
Community Facilities Districts for such County.
SECTION 6: Description of Facilities and Services. A general
description of public services and the public facilities which
are to be financed under these proceedings, are generally
described in Exhibit A attached hereto and incorporated
herein by this reference.
The facilities are facilities which the City Council is authorized
by law to contribute revenue to or to construct, own or
operate. It is hereby further determined that the proposed
facilities and services are necessary to meet increased
demands and needs placed upon the City as a result of
proposed development within the District, and the costs and
expenses charged to this District represent the fair share
costs of the facilities and services attributable to this District.
For a full and complete description of such facilities and
services, reference is made to the Community Facilities
District Report, a copy of which is on file in the Office of the
City Clerk. In addition to financing the authorized facilities and
services, the financing of those incidental expenses
described in the Community Facilities District Report are also
approved and authorized.
SECTION 7: Special Tax. Except where funds are otherwise available a
special tax, secured by recordation of a continuing lien
against all non-exempt real property in the proposed District,
is hereby authorized, subject to voter approval, to be levied
within the boundaries of such District. For particulars as to
the rate and method of apportionment of the proposed
special tax, reference is made to the attached and
Resolution No. 00-190
Page 4 of 17
incorporated Exhibit "B" (the "Special Tax Formula"), which
sets forth in sufficient detail the method of apportionment to
allow each landownerorresidentwithin the proposed District
to estimate the maximum amount that such person will have
to pay. Such special tax shall be utilized to pay directly for
the facilities and services, to pay debt service on authorized
bonds to assist in financing the acquisition of such facilities,
to replenish any reserve fund established for such bonds,and
to pay the cots of administering the bonds and the District.
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; provided, however, the District may
utilize a direct billing procedure for any special taxes that
cannot be collected on the County tax roll or may, by
resolution, elect to collect the special taxes at a different time
or in a different manner if necessary to meet its financial
obligations.
Under no circumstances will the special tax to be levied
against any parcel used for private residential purposes be
increased as a consequence of delinquency or default by the
owner of any other parcel or parcels within the District by
more than 10 percent.
This legislative body further authorizes that special taxes may
be prepaid and satisfied by payment of the prepayment
amount calculated pursuant to the Special Tax Formula.
Upon recordation of a Notice of Special Tax Lien pursuant to
Section 3114.5 of the Streets and Highways Code of the
State of California, a continuing lien to secure each levy of
the special tax shall attach to all non-exempt real property in
the District and this lien shall continue in force and effect until
the special tax obligation is prepaid and permanently satisfied
and the lien canceled in accordance with law or until
collection of the tax by the legislative body ceases.
SECTION 8: Preparation of Annual Tax Roll. The name, address and
telephone number of the office, department or bureau which
will be responsible for preparing annually a current roll of
special tax levy obligations by Assessor's parcel number and
which shall be responsible for estimating future special tax
levies pursuant to Section 53340.1 of the Government Code
of the State of California, are as follows:
GIS/Special Districts Supervisor
City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga,CA 91729
(909)477-2700,Ext 2567
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Page 5 of 17
SECTION 9: Substitution Facilities. The description of the public
facilities, as set forth above, is general in its nature. The final
nature and location of such facilities will be determined upon
the preparation of final plans and specifications therefor.
Such final plans may show substitutes in lieu of, or
modification to, the facilities described in Exhibit A and any
such substitution shall not be a change or modification in the
proceedings as long as the facilities serve a function
substantially similar to the facilities described in Exhibit A.
SECTION 10: Appeals and Interpretation Procedure. Any landowner or
resident who feels that the amount or formula of the special
tax is in error may file a notice with the Agency appealing the
levy of the special tax. An appeals panel of 3 members, as
appointed by the Agency,will then meet and promptly review
the appeal, and if necessary, meet with the applicant. If the
findings of the appeals panel verify that the special tax should
be modified or changed, a recommendation at that time will
be made to the City Council and, as appropriate, the special
tax levy shall be corrected, and if applicable in any case, a
refund shall be granted.
Interpretations may be made by the City Council by
Resolution for purposes of clarifying any vagueness or
ambiguity as it relates to any category,zone, rate or definition
contained in the Special Tax Formula.
SECTION 11: Election. This City Council herewith submits the levy of the
special tax to the qualified electors of the District, such
electors being the landowners in the District, with each
landowner having one (1) voter for each acre or portion
thereof of land which he or she owns within the District.
This legislative body hereby further directs that the ballot
proposition relating to the levy of the special tax be combined
and consolidated with the proposition relating to the incurring
of a, bonded indebtedness. This Resolution shall not
constitute the notice of the election, and the Resolution
declaring the necessity to incur the bonded indebtedness
shall constitute the notice of the election relating to the
combined proposition on the authorization to incur a bonded
indebtedness and authorization for the special tax levy and
the proposition to establish an appropriations limit for the
District.
Resolution No. 00-190
Page 6 of 17
PASSED, APPROVED, AND ADOPTED this 201h day of September 2000.
AYES: Alexander, Biane, Curatalo, Dutton, Williams
NOES: None
ABSENT: None
ABSTAINED: None
William J. Alexa er, ayor
ATTEST:
&'r 2=, -
De a J. Adam MC, City Clerk
I, DEBRAJ.ADAMS,CITY CLERKof the Cityof 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 201h day of September 2000.
Executed this 21"day of September, at Rancho Cucamonga, California.
De ra J. Adarn&aIMC, City Clerk
Resolution No. 00-190
Page 7 of 17
Exhibit "A"
Description of Public Facilities and Public Services
The types of public facilities proposed to be financed by the District shall include:
Park improvements to three (3) parks to be located within the District
including cleaning and grading of such park sites, park hardscape and
restrooms; street improvements; and parkway hardscape.
The types of public services proposed to be financed by the District shall include:
The operation and maintenance of certain parks and parkways within
the District
ry
A-1
Resolution No. 00-190
Page 8 of 17
Exhibit "B"
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
CITY OF RANCHO CUCAMONGA
COMMUNITY FACILITIES DISTRICT NO. 2000-03
(Rancho Summit)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
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, paying agents, fiscal
agents, and trustees; the costs of collecting installments of the Special Taxes; 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.
"Allocated Share" means, as applicable, the greater of the Assigned Facilities
Special Tax for a Parcel divided by the Assigned Facilities Special Tax Revenue or
the Backup Facilities Special Tax for a Parcel divided by the Backup Facilities
Special Tax Revenue.
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"Assessor" means the Assessor of the County.
"Assigned Facilities Special Tax" means the Special Tax for each Land Use
Class of Developed Property as determined in Section III, Table 1.
"Assigned Facilities Special Tax Revenue" means the sum of the Assigned
Facilities Special Tax for all Developed Property projected at buildout of the CFD, as
determined in accordance with Section III, Table 1.
"Backup Facilities Special Tax" means the Backup Facilities Special Tax applicable to
each Assessor's Parcel of Developed Property, as determined in accordance with Section
III below.
"Backup Facilities Special Tax Revenue" means the sum of the Backup Facilities Special
Tax for all Developed Property projected at buildout of the CFD, as determined in
accordance with Section III below.
"Bonds" mean any bonds issued by the CFD or other debt as defined in Section
53317 (d) of the Act incurred by CFD 2000-03.
"Bond Share" means the share of Bonds assigned to a Developed Parcel
calculated pursuant to Section VI.
"CFD" means the City of Rancho Cucamonga Community Facilities District No.
2000-03 (Rancho Summit).
"City" means the City of Rancho Cucamonga, California.
"Council" means the City Council of the City of Rancho Cucamonga acting as the
legislative body of the CFD pursuant to the Act.
"County" means the County of San Bernardino, California.
"Debt Service" means for each calendar year, the total scheduled amount of the
principal of and the interest payable on any Outstanding Bonds during the calendar
year commencing on January 1 of such Fiscal Year.
"Developed Property" means for each Fiscal Year, all Taxable Property,for which
a building permit for new construction was issued after March 1, 2000 and prior to
March 1 of the prior Fiscal Year.
"Facilities Special Tax Requirement" means for any Fiscal Year, the total of(i)
Debt Service for such Fiscal Year; (ii) related Administrative Expenses for such
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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 any credit from earnings on the bond
reserve fund.
"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.
"Maintenance Special Tax" means the amount of Special Tax, determined in
accordance with Section III, which may be levied for maintenance in any Fiscal Year
on Developed Property.
"Maintenance Special Tax Requirement" means for any Fiscal Year the total of i)
the amount necessary to maintain the authorized facilities as determined by the City
Engineer or his/her designee, ii) the amount necessary to pay for the annual costs
of administering the maintenance services and the levy and collection of the
Maintenance Special Tax, and, iii) an amount necessary to fund an operating
reserve for maintenance, unanticipated increases in the cost of providing such
maintenance services and unanticipated expenditures.
"Maximum Facilities Special Tax" means the greater of the Assigned Facilities
Special Tax or the Backup Facilities Special Tax, determined in accordance with
Section III, which can be levied in any Fiscal Year on any Parcel.
"Maximum Special Tax" means the combination of the Maximum Facilities Special Tax,
as determined in accordance with Section III, and the Maintenance Special Tax , as
determined in accordance with Section III.
"Non Residential Property" means any Developed Property which is not assigned to
Land Use Classes 1 through 5, inclusive.
"Outstanding Bonds" means the total principal amount of Bonds that have been
issued and not retired or defeased.
"Parcel" means any County assessor's parcel that is within the boundaries of the
CFD, based on the equalized tax rolls of the County as of January 1 of the prior
Fiscal Year.
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"Parcel's Allocated Share" means the Maximum Facilities Special Tax for a Parcel
divided by the aggregate Maximum Facilities Special Tax for all Parcels.
"Payoff Parcel" means any Developed Parcel for which a prepayment of the Facilities
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 Requirement" shall have the meaning given such tern in the Indenture.
"Reserve Fund Share" means the total Reserve Fund amount multiplied by the Parcel's
Allocated Share.
"Residential Floor Area" means, :For a Parcel of Developed Property assigned to one of
Land Use Classes 1 through 5, all of the square footage of living area within the perimeter
of a residential structure, not including any carport, walkway, garage, overhang, patio,
enclosed patio, or similar area. The determination of Residential Floor Area for a Parcel
shall be made by reference to the building permit(s) issued for such Parcel.
"Special Tax" means the special tax to be levied pursuant to the Act and this Rate
and Method of Apportionment of Special Tax in each Fiscal Year on each Parcel of
Developed Property or Undeveloped Property within the CFD to fund the Facilities
Special Tax Requirement and Maintenance Special Tax Requirement.
"Special Tax Obligation" means the total obligation of a Taxable Parcel to pay the
Facilities Special Tax or the Maintenance Special Tax, as applicable, for the remaining
term of the Facilities Special'Tax or the remaining life of the CFD in the case of the
Maintenance Special Tax.
"Subdivided Undeveloped Property" means lots created by the recordation of a
Tract Map and assigned an individual Assessor Parcel number by the Assessor.
"Taxable Parcel" means any Parcel that is not a Tax-Exempt Parcel.
"Tax-Exempt Property" means not to exceed 27.5 acres of land presently
designated on the land use entitlements approved by the City for development
within the CFD for public use as parkways, parks and trails. Should any of these
areas become subject to private development, they shall become subject to the
Special Tax described in Section III, from the time the appropriate public agency
acts to permit the property to become available for private development.
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"Tract Map" means a final subdivision map or parcel map approved by the City to create
lots which may be developed in accordance with the approved land use entitlements
applicable to such lots.
"Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified
as Developed Property.
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 Developed Property, Subdivided Undeveloped
Property, Tax-Exempt Property or Undeveloped Property and each such Parcel
shall be subject to the levy of Special Taxes in accordance with the Section III
below.
111. MAXIMUM SPECIAL TAX RATES
Facilities Special Tax
Developed Property
Each Parcel's Maximum Facilities Special Tax shall be calculated by using the
greater of the Assigned Facilities Special Tax or the Backup Facilities Special Tax.
Each Parcel of Developed Property which involves residential development shall
be assigned to Land Use Classes I through 5 as listed in Table 1 below based on
the Residential Floor Area Footage allocated to the dwelling unit constructed or
permitted to be constructed on such Parcel. Non Residential Property shall be
assigned to Land Use Class 6.
TABLE 1
Land Use Residential Assigned Facilities
Class Floor Area Special Tax
1 <2,500 Sq. Ft $243.00 per unit
2 2,500-2,999 Sq. Ft 300.00 per unit
3 3,000-3,499 Sq. Ft 566.00 per unit
4 3,500-3,999 Sq. Ft 998.00 per unit
5 4,000 Sq. Ft and above 1,259.00 per unit
6 Non-Residential $2,591.00 per Acre
Pro e
n
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On each July 1, commencing on July 1, 2002, the Assigned Facilities Special Tax
shall be increased by two percent (2%) of the amount in effect for the previous
Fiscal Year.
Backup Facilities Special Tax
Taxes may exceed the levels set forth in Table 1 if the Backup Facilities Special
Tax is greater than the Assigned Facilities Special Tax. For Fiscal Year 2001/02
the Backup Facilities Special Tax for Developed Property is $0.063 per Square
Foot of lot space. On each July 1, commencing on July 1, 2002, the Backup
Facilities Special Tax shall be increased by two percent (2%) of the amount in
effect for the previous Fiscal Year.
Undeveloped Property
The Fiscal Year 2001/02 Maximum Facilities Special Tax for Undeveloped
Property shall be $2,979 per Acre or $600 per subdivided lot. On each July 1,
commencing on July 1, 2002, the Maximum Facilities Special Tax for
Undeveloped Property shall be increased by two percent (2%) of the amount in
effect for the previous Fiscal Year.
B. Maintenance Special Tax
In addition, each parcel shall be subject to a Maintenance Special Tax as described in
Table II
TABLE II
LAND USE CLASS MAINTENANCE
SPECIAL TAX
Developed Property Classes 1-5 $900.00 per unit
Non-Residential Property 4,462.50 per Acre
Subdivided Undeveloped Property 900.00 per Parcel
Undeveloped Property 4,462.50 per Acre
The Maintenance Special Tax shall be levied beginning in Fiscal Year 2001/02. On each
July 1, commencing July 1, 2002, the Maintenance Special Tax shall be increased by two
percent (2%) of the amount in effect for the previous Fiscal Year.
IV. APPORTIONMENT OF SPECIAL TAX
A. Facilities Special Tax
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Commencing with Fiscal Year 2001/02 and for each following Fiscal Year, the
Council shall determine the Facilities Special Tax Requirement and levy the
Facilities Special Tax until the amount of Facilities Special Taxes levied equals the
Facilities Special Tax Requirement. The Facilities Special Taxes shall be levied
each Fiscal Year as follows:
First: The Facilities Special Tax shall be levied on Developed Property in an
amount up to 100% of the applicable Assigned Facilities Special Tax;
Second: If additional monies are needed to satisfy the Facilities Special Tax
Requirement after the first step has been completed, the Facilities Special Tax shall
be levied Proportionately on each Parcel of Undeveloped Property up to 100% of
the Maximum Facilities Special Tax for Undeveloped Property;
Third: If additional monies are needed to satisfy the Facilities Special Tax Requirement
after the first two steps have been completed, then the levy of the Facilities Special Tax on
each Parcel of Developed Property whose Maximum Facilities Special Tax is determined
through the application of the Backup Facilities Special Tax shall be increased
Proportionately from the Assigned Facilities Special Tax up to the Maximum Facilities
Special Tax for each such Parcel.
B. Maintenance Special Tax
First: The Maintenance Special Tax shall be levied on Developed Property in an
amount up to 100% of the Maintenance Special Tax;
Second: If additional monies are needed to satisfy the Maintenance Special Tax
Requirement after the first step has been completed, the Maintenance Special Tax
shall be levied Proportionately on each Parcel of Subdivided Undeveloped Property
up to 100% of the Maximum Facilities Special Tax for Subdivided Undeveloped
Property;
Third: If additional monies are needed to satisfy the Maintenance Special Tax
Requirement after the first two steps have been completed, the Maintenance
Special Tax shall be levied Proportionately on each Parcel of Undeveloped Property
up to 100% of the Maximum Facilities Special Tax for Undeveloped Property;
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V. MANNER OF COLLECTION
Collection of the Maintenance Special Tax and the Facilities Special Tax shall be by
the County of San Bernardino in-the same manner as ordinary ad valorem property
taxes. 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
CFD may provide 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 SPECIAL TAX OBLIGATION
Property owners may prepay and permanently satisfy the Special Tax Obligation for the Facilities Special
Tax on Developed Property (`Facilities Special Tax Prepayment") by a cash settlement with the CFD as
permitted under Government Code Section 53344. Prepayment is permitted only under the following
conditions:
• The CFD determines that the prepayment of the Facilities Special Tax Obligation
does not jeopardize its ability to make timely payments of Debt Service on
Outstanding Bonds and any authorized but unissued Bonds. No Facilities Special
Tax prepayment shall be allowed unless the Maximum Facilities Special Tax that
may be levied on all Taxable Property other than the Parcel for which the Special
Tax Obligation is being prepaid is at least 110% of the maximum annual Debt
Service on the Outstanding Bonds and any authorized but unissued Bonds.
• Any property owner prepaying the Special Tax Obligation for the Facilities Special
Tax must pay any and all delinquent Special Taxes and penalties for the Payoff
Parcel prior to prepayment.
PREPAYMENT AMOUNT FOR FACILITIES SPECIAL TAX
The amount of the Facilities Special Tax Prepayment shall be established by the
following steps:
Step A.1: Determine the Assigned Facilities Special Tax and the Backup Facilities
Special Tax for the Payoff Parcel based on the assignment of the
Maximum Facilities Special Tax described in Section III above.
Step A.2: Divide the Assigned Facilities Special Tax for the Payoff Parcel from Step
A.1 by the Assigned Facilities Special Tax Revenue. Divide the Backup
Facilities Special Tax for the Payoff Parcel by the Backup Facilities
Special Tax Revenue. The greater amount calculated in this Step shall be
the Payoff Parcel's Allocated Share.
a ..
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Step A.3: Determine the Bond Share for the Payoff Parcel by multiplying the
Parcel's Allocated Share from Step 2 by the total amount of Outstanding
Bonds issued by the CFD plus the total amount of all authorized but
unissued Bonds.
Step A.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
Reserve Requirement or existing monies in the Reserve Fund, if any, for
the Outstanding Bonds multiplied by the Allocated Share.
Step A.5: Calculate the amount needed to pay interest on the Parcel's Allocated
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 Facilities Special Tax Prepayment.
Subtract from this amount, the amount of interest that is reasonably
expected to be earned from the reinvestment of the Parcel's Allocated
Share from such first Bond interest and/or principal payment date
following the current Fiscal Year until such redemption date for the
Bonds.
Step A.6: Determine the total Facilities Special Tax 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 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 Facilities Special Tax Prepayment.
Prepayment Amount for the Facilities and Maintenance Special Tax
a) Determine the amount to prepay and permanently satisfy the Facilities
Special Tax by computing Steps 1.A through A.6 as described above.
b) Add the present value of the Parcel's remaining Maintenance Special
Tax payments at the average yield on Bonds issued for the CFD. This
shall be calculated by using the current maximum Maintenance
Special Tax determined pursuant to Section IH.B. increased by 2%
annually for 100 years to determine remaining payments.
VI. TERM OF SPECIAL TAX
Subject to prepayment of the Special Tax Obligation for a Parcel pursuant to Section
V, the term of the levy of the Special Tax shall be as set forth below.
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Resolution No. 00-190
Page 17 of 17
The Facilities 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 2036-2037.
Taxable Property in the CFD shall remain subject to the Maintenance Special Tax in
perpetuity.
B-10