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HomeMy WebLinkAbout00-016 - Resolutions RESOLUTION NO. 00-016 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA ESTABLISHING CITY OF RANCHO CUCAMONGA COMMUNITY FACILITIES DISTRICT NO. 99-1 (CENTRAL PARK), ESTABLISHING AN APPROPRIATIONS LIMIT, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN SUCH DISTRICT, AND CALLING A SPECIAL ELECTION RECITALS. WHEREAS, the CITY COUNCIL (the "City Council") of the City of RANCHO CUCAMONGA, CALIFORNIA(the"City"), has previously adopted Resolution No. 99-164 stating its intention to conduct proceedings to form City of Rancho Cucamonga Community Facilities District No. 99-1 (Central Park) (the"District")pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, commencing with Section 53311 of the California Government Code (the "Act") to finance certain public facilities and services; and WHEREAS, a copy of Resolution No. 99-164 setting forth a description of the proposed boundaries of the District,the facilities and services to be financed by the District and the rate and method of apportionment of the special tax proposed to be levied within the District is on file in the office of the City Clerk of the City and is incorporated herein by reference; and WHEREAS,the City Council has previously adopted Resolution No. 99-165 stating the City Council's intention, acting as the legislative body of the District, to authorize the issuance and sale of bonds to finance the cost of designing and constructing such public facilities; and WHEREAS, Resolution Nos. 99-164 and 99-165 set September 1, 1999 as the date of a public hearing on the establishment of the District, the furnishing of specified types of public facilities and services within the District, the proposed rate and method of apportionment of the special tax, and the proposed debt issue; and WHEREAS,on September 1, 1999,the City Council opened the public hearings and continued them until February 2, 2000, finding that the complexity of the District and the need for public participation required additional time; and WHEREAS, at the public hearing there was filed with the City Council a report(the "Report") containing a description of the facilities and services necessary to adequately meet the needs of the District and an estimate of the cost of financing such facilities and services as required by Section 53321.5 of the Act; and WHEREAS, at the public hearing all persons desiring to be heard on all matters pertaining to the establishment of the District,the furnishing of specified types of public facilities and services within the District,the proposed rate and method of apportionment of the special tax, and the proposed debt issue were heard and a full and fair hearing was held; and Resolution No. 00-016 Page 2 of 15 WHEREAS,at the public hearing evidence was presented to the City Council on the matters before it and the City Council at the conclusion of the hearing is fully advised as to all matters relating to the formation of the District, the levy of the special tax and the issuance of bonded indebtedness therein; and WHEREAS,the City Council desires to proceed with the establishment of the District and to proceed to make the necessary findings to incur the bonded indebtedness; and WHEREAS,the City Council desires to hold a special election in the District at which time there will be submitted to the qualified electors of the District certain propositions relating to the authorization to levy a special tax, the establishment of an appropriations limit for the District, and the incurring of a bonded indebtedness to pay for certain facilities to serve the District. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. Finding of Validity. Pursuant to Section 53325.1(b) of the Act, the City Council finds and determines that all of the proceedings prior hereto were valid and taken in conformity with the requirements of the law, and specifically the provisions of the Act. SECTION 2. Name of District. The City Council hereby establishes and declares the formation of a community facilities district pursuant to the Act to be designated "City of Rancho Cucamonga Community Facilities District No. 99-1 (Central Park) (the "District")". SECTION 3. Boundaries of District. The description and map of the boundaries of the District on file in the City Clerk's Office and as described in said Resolution No. 99- 164 and incorporated herein by reference, shall be the boundaries of the District. The map of the proposed boundaries of the District has been recorded in the Office of the County Recorder of the County of San Bernardino, California at Page 66 of Book 72 of Maps of Assessments and Community Facilities Districts as Document No. 19990327417. SECTION 4. Facilities and Services. The facilities and services proposed to be financed by the District under the Act shall consist of those facilities and services set forth on Exhibit 'A," attached hereto and incorporated herein by reference (the "Facilities and Services"). Resolution No. 00-016 Page 3 of 15 "The City Council hereby approves a technical modification to Exhibit 'A," as such exhibit was adopted by Resolution No. 99-164. Such change does not modify the proposed facilities and services, but merely adds detail to the general description of the proposed park facility." SECTION 5. No MalioritV Protest. Written protests against the establishment of the District, or against the furnishing of a specified type or types of services or facilities within the District, or against the levying of a specified special tax within the District, have not been filed by fifty percent (50%) or more of the registered voters residing within the territory proposed to be included in the District or by the owners of one-half(1/2) or more of the area of the land in the territory proposed to be included in the District and not exempt from the special tax. The City Council finds and declares that the proposed special tax to be levied in the District has not been precluded by majority protest pursuant to Section 53324 of the Act. SECTION 6. Special Tax. Except where funds are otherwise available, a special tax (the "Special Tax"), is hereby authorized, subject to voter approval, to be levied annually within the boundaries of the District sufficient to pay for the Facilities and Services, including principal of and interest on the bonds proposed to be issued to finance the Facilities and other periodic costs, including establishment and replenishment of reserve funds, remarketing, credit enhancement and liquidity and activity fees, and all costs of issuance of the bonds, including, but not limited to, fees for bond counsel, disclosure counsel and printing costs, discount fees,and interest on bonds due and payable prior to the expiration of one year from the date of completion of the Facilities (but not to exceed two years); the costs of administering the levy and collection of the Special Tax and bond issue; and all other costs of the levy of the Special Tax, including any foreclosure proceedings, architectural, engineering, inspection, and legal, fiscal, and financial consultant fees and election costs. The Special Tax will be collected in the same manner as ordinary ad valorem property taxes and shall be subject to the same penalties, procedure, sale and Resolution No. 00-016 Page 4 of 15 lien in any case of delinquency as applicable for ad valorem property taxes. In the first year in which such a Special Tax is levied, the levy shall include a sum sufficient to repay to the City all amounts, if any, transferred to the District pursuant to Section 53314 of the Act and interest thereon. The proposed rate and method of apportionment of the Special Tax among parcels of real property in the District, in sufficient detail to allow each resident or landowner within the proposed District to estimate the maximum amount such resident or owner will have to pay, are shown in Exhibit "B", attached hereto and incorporated herein by reference. The City Council hereby approves a number of technical modifications to Exhibit 'B", as such exhibit was adopted by Resolution No. 99-164. Such changes do not affect the rate or method of apportionment of the Special Tax, but merely clarify the definitions used in the Exhibit. The Special Tax is based upon the cost of making the Facilities and Services available to each parcel in the District. The Special Tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act and such Special Tax is not on or based upon the ownership of real property. In the case of any Special Tax to pay for the Facilities to be levied against any parcel used for private residential purposes: (i) the maximum Special Tax shall be specified as a dollar amount which shall be calculated and thereby established not later than the date on which the parcel is first subject to the tax because of its use for private residential purposes and which amount shall not be increased over time over two percent per year; (ii)the tax year after which no further Special Tax subject to this sentence shall be levied or collected shall be as set forth in Exhibit "B" hereto; and (iii) under no circumstances will the Special Tax levied against any parcel subject to this sentence be increased as a consequence of delinquency or default by the owner of any other parcel within the District by more than 10 percent. For the purposes hereof, a parcel is used for"private residential purposes"not later than the date on which an occupancy permit for private residential use is issued. Subject to the limitations set forth in the previous paragraph, in the event that a portion of the property within the District shall become exempt for any Resolution No. 00-016 Page 5 of 15 reason,wholly or partially,from the levy of the Special Tax, or delinquent in payment of the Special Tax, the City Council shall, on behalf of the District, cause the levy to be increased, subject to the limitation of the maximum Special Tax for a parcel as set forth in Exhibit "B" to the extent necessary upon the remaining property within the District which is not delinquent or exempt in order to yield the Special Tax revenues required for the purposes described herein. SECTION 7. Notice of Special Tax Lien. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the Streets and Highways Code, a continuing lien to secure each levy of the Special Tax shall attach to all nonexempt 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 lien canceled in accordance with law or until collection of the Special Tax by the City Council ceases. SECTION 8. Appropriations Limit. An appropriations limit for the District is hereby established, subject to voter approval, as an amount equal to all the proceeds of the Special Tax collected annually and as defined by Article XIIIB of the California Constitution,as adjusted for changes in the cost of living and changes in population. SECTION 9. Agricultural, Timber or Livestock Uses. The City Council hereby finds and declares that lands within the District, if any, being devoted primarily to agricultural, timber or livestock uses and being used for the commercial production of agricultural, timber or livestock products is contiguous to other land which is included within the District and that such lands will be benefitted by the Facilities and Services to be provided within the District. SECTION 10. Preparation of Annual Roll. The Special District Supervisor of the Special District Division of the City of Rancho Cucamonga, P.O. Box 807, Rancho Cucamonga, California,91729,telephone(909)477- 2700, is designated to be responsible for preparing Resolution No. 00-016 Page 6 of 15 annually, or authorizing a designee to prepare, a current roll of Special Tax levy obligations by assessor's parcel number and for estimating future Special Tax levies pursuant to Section 53340.1 of the Act. SECTION 11. Report. The Report is hereby approved and is made a part of the record of the public hearing regarding the formation of the District and is ordered to be kept on file in the office of the City Clerk and open for public inspection. SECTION 12. Election. The City Council herewith submits the establishment of the appropriations limit for the District and the levy of the Special Tax to the qualified electors of the District, such electors being the registered voters residing within the District,with each voter having one vote. There is hereby called and ordered to be held in the District on May 9, 2000, a special election for the purpose of submitting such propositions to the voters. The City Council hereby further directs that the ballot proposition relating to the levy of the Special Tax,the proposition relating to the establishment of the appropriations limit and the proposition relating to the incurring of a bonded indebtedness be combined into one ballot proposition. SECTION 13. Transmittal to Election Official. The City Clerk is hereby authorized and directed,within three business days following adoption of this Resolution,to transmit to the Election Official a certified copy of this Resolution and a certified copy of the boundary map described in Section 3 hereof and a sufficient description to allow the Election Official to determine the boundaries of the District. Please See the Next Page for Formal Adoption,Certification and Signatures Resolution No. 00-016 Page 7 of 15 PASSED, APPROVED, AND ADOPTED this 2nd day of February 2000. AYES: Alexander, Biane, Curatalo, Dutton, Williams NOES: None ABSENT: None ABSTAINED: None Ir -Z William J. xander, Maydr ATTEST: Lhk,& ZU�� Debra J. Ada s, MC, 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,ata regular meeting of said City Council held on the 2nd day of February 2000. Executed this 3`d day of February 2000, at Rancho Cucamonga, California. 4414A Q- zi'f2aa Debra J. Adam MC, City Clerk Resolution No. 00-016 Page 8 of 15 EXHIBIT "A" DESCRIPTION OF FACILITIES AND SERVICES The facilities and services described below are proposed to be financed by City of Rancho Cucamonga Community Facilities District No. 99-1 (Central Park) (the"District"). The facilities and services shall include the attributable costs of engineering, design, planning and coordination, together with the expenses related to the issuance and sale of any special tax bonds, including underwriter's discount, appraisals, reserve fund, capitalized interest, bond counsel, special tax consultant, bond and official statement printing and all other expenses incidental thereto. The facilities will be constructed pursuant to plans and specifications approved by the City and the officials thereof. FACILITIES The facilities include the purchase,construction, expansion, improvement or rehabilitation of certain real or other tangible property described below, to serve the area located within the District, including all furnishings, equipment and supplies related thereto(collectively,the"Facilities"),which Facilities have a useful life of five years or longer and which the City Council is authorized by law to contribute revenue to or construct, own or operate: A general description of the improvements is as follows: ♦ The park includes lakes, arboretum, group picnic areas, entertainment pavilion,trails, an off-leash dog area, and play areas. ♦ The aquatic complex features opportunities for family recreational and competitive swimming, including pools with spectator seating, changing facilities and shaded picnic areas, as well as offices for personnel and storage facilities for pool and maintenance equipment. ♦ The tennis complex provides an opportunity to play tennis, take lessons, watch tournaments and exhibitions and includes lighted tennis courts, training alleys, a center court with terraced seating and an area for temporary grandstands, racquetball courts, a pro shop with offices and repair shop, and a courtyard for concession sites. ♦ The grounds maintenance facility will also be included to provide a location for equipment storage, offices and work areas for maintenance personnel. ♦ Finally, if funding allows, the gymnasium will include court facilities, lockers and showers, areas for concessions,as well as, offices for personnel and storage for maintenance equipment. Resolution No. 00-016 Page 9 of 15 SERVICES The services include recreation program services and maintenance of parks, parkways and open space (collectively, the AServices). Also included are services with respect to removal or remedial action for the cleanup of hazardous substances, if any, released or threatened to be released into the environment, provided that a remedial action plan, if required, has been approved. The cost of the Services shall include the performance by employees of all functions, including operation, maintenance and repair activities. Resolution No. 00-016 Page 10 of 15 EXHIBIT "B" CITY OF RANCHO CUCAMONGA COMMUNITY FACILITIES DISTRICT NO. 99-1 (CENTRAL PARK) RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX A Special Tax applicable to each assessor's parcel or portion thereof in CFD No. 99-1 shall be levied and collected according to the tax liability determined by the Governing Board, through the application of the rate and method of apportionment of the Special Tax set forth below. All of the property in CFD No. 99-1, 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. "Administrative Fees or Expenses" means the following actual or reasonably estimated costs: The costs of computing the Special Taxes and preparing the annual Special Tax Collection Schedule (whether by the City, a designee thereof or both);the costs of collecting the Special Taxes(whether by the County or otherwise); the costs of remitting the Special Taxes to the Fiscal Agent; the costs of the Fiscal Agent (including its legal counsel) in the discharge of the duties required of it under the Fiscal Agent Agreement;the costs to the City, CFD No. 99-1 or any designee of either thereof of complying with arbitrage rebate requirements;the costs of the City, CFD No. 99-1 or any designee or either thereof of complying with City, CFD No. 99-1 or obligated persons disclosure requirements;the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 99-1 or any designee of either thereof related to an appeal of the Special Tax; and the City's annual administration fee and third parry expenses. Administrative Fees or Expenses shall also include amounts estimated or advanced by the City or CFD No. 99-1 for any other administrative purposes of CFD No.99-1, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. Resolution No. 00-016 Page 11 of 15 "Annual Costs"for any Fiscal Year, equals the sum of(i)amounts required to pay for the Facilities and related Incidental Expenses,(ii) Debt Service for such Fiscal Year;(iii) Related Administrative Fees or Expenses for such Fiscal Year; (iv) the amount, if any, necessary to replenish the Reserve Fund for the Bonds, plus an amount equal to delinquencies in the payment of Special Tax levied in the previous Fiscal Year [subject to the limitations of Government Code Section 53321(d)]; and (iv) any other payment required under the Fiscal Agent Agreement and any supplement or amendment thereto for such Fiscal Year. "Bond Fund" means the fund of that name created under the Fiscal Agent Agreement. "Bonds" means the City of Rancho Cucamonga Community Facilities District No. 99-1 (Central Park)Special Tax Bonds. "CFD No. 99-1" means the City of Rancho Cucamonga Community Facilities District No. 99-1 (Central Park). "g!y" means the City of Rancho Cucamonga, California. "Coun " means the County of San Bernardino, California. "Debt Service" for each Fiscal Year, means the total annual principal and interest payable on the Bonds during the calendar year commencing on January 1 of such Fiscal Year, less investment earnings on the Reserve Fund not required to be set aside pursuant to the Fiscal Agent Agreement for purposes of rebate pursuant to the Internal Revenue Code of 1986, and less any capitalized interest and any other amounts remaining in the Bond Fund held under the Fiscal Agent Agreement from the previous Fiscal Year. "Facilities" means the purchase, construction, expansion, improvement or rehabilitation of certain real or other tangible property described below,to serve the area located within the District, including all furnishings, equipment and supplies related thereto, which facilities have a useful life of five years or longer and which the City Council of the City is authorized by law to contribute revenue to or construct, own or operate. Facilities include a park, including lakes,an arboretum,group picnic areas, entertainment pavilions,trails and play areas;an aquatic complex, including pools with spectator seating, changing facilities and shaded picnic areas,as well as offices for personnel and storage facilities for pool and maintenance Resolution No. 00-016 Page 12 of 15 equipment;a tennis complex, including lighted tennis courts, training alleys, a center court with terraced seating and an area for temporary grandstands, racquetball courts, a pro shop with offices and a repair shop, a courtyard for concession sites, and an off-leash dog area; a grounds maintenance facility, including a location for equipment storage, offices, and work areas for maintenance personnel; and, if funding allows,a gymnasium, including court facilities, lockers and showers, areas for concessions, offices for personnel and storage for maintenance equipment. "Finance Director" means the Finance Director of the City or his or her designee. "Fiscal Agent" means the fiscal agent or trustee under the Fiscal Agent Agreement. "Fiscal Agent Agreement" means any agreement by and between the City and the Fiscal Agent approved pursuant to the Resolution of Issuance. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Governing Board" means the City Council of the City acting as the legislative body for CFD No. 99-1. "Incidental Expenses"means the attributable costs of engineering, design, planning and coordination, together with the expenses related to the issuance and sale of any special tax bonds, including underwriter's discount, appraisals, reserve fund, capitalized interest, bond counsel, special tax consultant, bond and official statement printing and all other expenses incidental thereto. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section III below,that can be levied in any Fiscal Year on any Parcel. "Original Parcel" means a Parcel as it existed at the time of the adoption of the Resolution of Formation by the City Council of the City and as described in the map of Proposed Boundaries for CFD No. 99-1 and by this reference made a part hereof. "Parcel" means any County of San Bernardino assessor's parcel that is within the boundaries of CFD No. 99-1, based on the equalized tax rolls of the County of San Bernardino as of January 1 in the prior Fiscal Year and includes Original Parcels and Successor Parcels. i Resolution No. 00-016 Page 13 of 15 "Proportionally" means for each Taxable Parcel that the ratio of the actual Special Tax levy to the Maximum Special Tax is equal for all Taxable Parcels within CFD No. 99-1. "Reserve Fund" means the fund of that name created under the Fiscal Agent Agreement. "Resolution of Formation" means the resolution of the City Council of the City adopted under the Act to establish CFD No. 99-1. "Resolution of Issuance" means the resolution of the City Council of the City adopted under the Act authorizing the issuance of Bonds by CFD No. 99-1. "Services" means the costs of recreation program services; the costs of maintenance of parks (including and aquatic complex,a tennis complex,and a gymnasium),parkways and open space, including the performance by employees of all functions, including operation, maintenance and repair activities; and related Incidental Expenses and Administrative Fees or Expenses. Also included are services with respect to removal or remedial action for the clean up of hazardous substances, if any, released or threatened to be released into the environment, provided that a remedial action plan, if required, has been approved. "_Special Tax" means any tax levied within CFD No. 99-1 pursuant to the Act and this Rate and Method of Apportionment of Special Tax. "Special Tax Collection Schedule" means the document prepared by the Finance Director and sent to the County Auditor for use in collecting the Special Tax each Fiscal Year. "Special Tax Requirement"means,for any Fiscal Year,the sum of, listed by priority, (i)Annual Costs and (ii) Services. "Successor Parcel" means a Parcel created by subdivision, lot line adjustment or parcel map from an Original Parcel. "Taxable Parcel" means any Parcel that is not a Tax-Exempt Parcel. "Tax-Exempt Parcel"means, as of January 1 st 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 Resolution No. 00-016 Page 14 of 15 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 San Bernardino County Assessor. 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 Governing Board shall cause each Parcel to be classified as a Tax-Exempt Parcel or a Taxable Parcel. III. MAXIMUM SPECIAL TAX RATE The Maximum Special Tax for each Taxable Parcel shall equal $129.00. 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 Governing Board 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 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 Special Tax; provided that, the Governing Board may levy an amount in excess of the Special Tax Requirement if all authorized CFD No. 99-1 Bonds have not already been issued. Resolution No. 00-016 Page 15 of 15 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 Fiscal Agent Agreement 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. TERM OF "SPECIAL TAX" The Special Tax shall be collected only so long as required to pay the Annual Costs and/or the Services. No Special Tax to pay for Annual Costs shall be levied or collected after the 2035-2036 fiscal year. The Special Tax to pay for Services may continue to be levied and collected so long as required to pay for Services. VII. REVIEW/APPEAL COMMITTEE The Governing Board shall establish as part of the proceedings and administration of CFD No.99-1 a Special 3-member Review/Appeal Committee. Any landowner or resident who feels that the amount of the Special Tax levied on their Taxable Parcel is in error may file a notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Parcel. The Review/Appeal Committee shall interpret this 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 Review/Appeal Committee shall be final and binding on all persons. VIII. TENDER OF BONDS The City Council, as the Governing Board, reserves to itself the right and authority to allow any interested owner of property with CFD No. 99-1,subject to the provisions of Section 53344.1 of the Act and to those conditions it may impose, and any applicable prepayment penalties as prescribed in the Fiscal Agent Agreement or comparable instrument or document,to tender to the CFD No.99- 1 treasurer in full payment or part payment of any installment of the Special 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. The CFD No. 99-1 treasurer shall thereupon cancel the Bond debt and shall cause proper credit therefor to be entered on the records of CFD No. 99-1 and in the office of the auditor and tax collector. In addition, provided the City Council, as the Governing Board, permits Bonds or debt to be tendered for Special Taxes and the penalties and interest thereon, if the highest bid for a lot or Parcel sold pursuant to a judgment of foreclosure and order of sale exceeds five thousand dollars ($5,000) and the highest bidder elects to treat the sale as a credit transaction pursuant to Section 701.590(c)of the Code of Civil Procedure,the balance due as provided in that Section may be paid in full or in part by tender of Bonds or debt, provided, however, that Bonds or debt may not be tendered for costs of foreclosure, including attorney's fees and administrative charges incurred by the City with respect to removing the Special Taxes from the rolls of the treasurer or tax collector,or other administrative charges.