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Home My WebLink About04/25/2006 CC Reports , . " < ~'~ , ROBERT E. ~BOB" MAGEE,Mt\~O" 'W~., '.,' ,ROBERT'" ,,- OTlM , '.~,'<'>.}:. " ;~:=:==WL_" ._t<JJUSY;____ ~=-, .,.,':,. .:=" .,.,.".,~,. ~':''" ROBIRT,A.BRADY. (ITY MANAGIR, , ~,jIj-"~~, ,**.**'if**.*~~,.*1l':*****...**.*"*******"*.****.."***.. ,- - -, - '. --. , "-; ) .' . "'. '", "-': " . -.' , ' q you tire ~: this C:JfYCo.ci1 'Jl~gpl~ LottJ#rosstlte) Stre!dfromthe 'CIdf",.41Center. , , ", ' ) .' limiting ,theimptJCt 'ofilUtetirJp: qJ', t"e.l)oMtnttlwi(flfSi-.s': " 1'h"'i"youlo,,..iir~pertltionl' "".,,' " ," '.', ' / . ' ,~ , b. Regular Gity CouncilMeetingM~h 2a, .2006. ... c., '. ,,' _ . ".' " . _ '. '. t- 'Warrant::Li$t~ April.I3, 2006~. RECOMMENDATION: .. , - .' 3. Donadetl"f0r:H.,O~P~E. . : -',';"j 'RECOMMENDAU()N: Ratify ~ Adopt Resoluti()n;No~ 2(}' .. approving Joint.facilitieS8 .' and a funding; cOtJstm~tion an acquisi~on . agreement. Adopt 'Reso1tltio.t No. 2006-52, approVing the formfJtiol\ofthe District. ; , , " " . Adopt ResollJtit1Ji){O'i.' 29Q&.:S3;tQ ; incur bonden ~dehtedDes.sand calling a speci~l etecti~n. '... . , AdQpt,Resolution No. 2006.54; ordering canvassing of the election results. 22. 31. 'Comm~ial Design Review Ne,,:ioos~~.lIOli.Ylnn Expres~ Hotel. 32., Al1thorizationto pte~CB Pliui :Anlendme1'i.; ~,"'. '.'~' . Terita~veTract Mq.No. 3434~ ," " Condominium Complex (AlfL~eE . '. , -,. " ",-. -. - .' . ,:'.::~thoti~tbeCityManagerto . ':, '.apPr6v(tanaaree.~~twithHDR . , '., . 'tQ prepare' comPliance . entsin the~utitof$91,679. 33. Second Reading -,Ordinance No.1114:~ Gran~sa:N()n~Exclusive Franchise toptovidepable~ceto:,VeriZtm.CtIirottiia. ..RECOMMENDATION- . , . " RE COMMEND.AU.... ON: - ' ..- -" -- . . .PageS";,, City,C..ejI~enda - April 25, ~006 34. Se~ond :Reading - Or9inance No~ 1175 - Approviug Zone Chilftge (Pre-zOne) No~'200~-()9 - Annexation No. 75. , ' c- -"", _,-", _ "c. ,,- "-;,,, . Adopt.Ordinance,No..1175,upOn , second reading by titl~()nly. . 35. . Secod.R;~'-Ordinance No.1 176 ...,. relating to the mell1~rship, appointment and term of office ofthePublicSafety"Advi$Ot1.' '. Cortrinis~don. ' . PJIBLICC~:-l'\,ON~~Q_~'~~~ -3 MOOIW;',,' ~ (please tead&~p1eteaSPeaker's Form atlhe POdium, prior'tothfrStdrt , of the City COtutcllMeeting) '. . Adopt OrdD1ance No. 1176, upon second reading by title only. . REcoMMENDATION: , , _ ,,';C ;_',.-._',"_ ,'" _ _ - AGENDA ITEM NO. h " PAGE' OF \ r '" AGENDA ITEM NO. PAGE \ ,....... MINUTES JOINT CITY COUNCILIREDEVELOPMENT AGENCY STUDY SESSION CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, MARCH 28, 2006 ************************************************************* CALL TO ORDER Mayor Magee called the Joint Study Session to order at 4:00 p.m. ROLL CALL PRESENT: COUNCILMEMBERS: KELLEY, SCHIFFNER, MAGEE ,,-, ABSENT: COUNCILMEMBERS: HICKMAN, BUCKLEY (Councilmember Buckley arrived at 4:25 p.m.) Also present were: City Manager Brady, City Attorney Leibold, Administrative Services Director Pressey, Information/Communications Manager Dennis, Community Services Director Sapp, Lake & Aquatic Resources Director Kilroy, Community Development Director Preisendanz, City Engineer Seumalo, Building and Safety Manager Chipman, Public Works Manager Payne, Associate Planner Coury, City Treasurer Weber and Deputy City Clerk Soto. DISCUSSION ITEMS Mayor Magee gave an overview of the presentations; and confirmed that the awardees would be present at the 7 :00 p.m. meeting. ,....... AOEN~:~:EMI !lO.~ PAGE 2 STUDY SESSION MINUTES - MARCH 28, 2006 PUBLIC COMMENTS '--' No comments. CONSENT CALENDAR 1. Minutes. Bill Tiitto, 32296 Machado Street, commented on Item No.7 from the February 28,2006 Joint City CouncillRedevelopment Agency Study Session. He inquired if the contractor for the draft tubes had a prototype to test which water levels that the draft tubes were able to work in. Mayor Magee directed Mr. Tiitto to Lake & Aquatic Resources Director Kilroy to obtain further clarification. Mr. Tiitto commented on Item No. 13 from the February 28, 2006 Joint City CouncillRedevelopment Agency Study Session. He stated that staffhad commented that there were no plans for constructing a crosswalk at that time. He indicated that City Engineer Seumalo stated that the crosswalk would not be constructed due to lack of traffic control. He inquired why the crosswalk would not be constructed. """'" Mayor Magee indicated that at the February 28th Study Session he remembered directing Mr. Tiitto to City Engineer SeumaIo to get his questions answered. He indicated that City Engineer Seumalo indicated that staff would not be in support of a crosswalk at that location because there was no signalized intersection. Mr. Tiitto commented on the utility work that Verizon was conducting. He inquired when the work would be completed. Mayor Magee directed Mr. Tiitto to City Engineer Seumalo to receive further clarification on the matter. 2. Warrant List - March 15,2006. No comments. ....., Agenda Item No. \ ()... Page~Of \~ PAGE 3 STUDY SESSION MINUTES - MARCH 28, 2006 r--- 3. Investment Report - January 2006. No comments. 4. Resolution requesting Grant Funding from the Department of Boating and Waterways. Mayor Magee inquired on the status of where Pyramid Enterprises was in the process. Lake & Aquatic Resources Director Kilroy indicated that it was his understanding that they were very near to securing their financing to proceed with phase 1. He noted that their financing would consist of investors to come up with a down payment or a large loan. Mayor Magee stated that he would like Mr. Kilroy to make contact with them to provide Council with an update letter in regard to their status on the project. r--- Lake & Aquatic Resources Director Kilroy stated that he would contact Pyramid Enterprises. City Treasurer Weber inquired if the estimated $5.2 million included grant money. Lake & Aquatic Resources Director indicated that the $5.2 million was the total project amount. He noted that the Item before Council was a request to the California Department of Boating and Waterways for supplemental funding to complete the project. 5. Exception to Bid Procedures for the purchase of engineered sign poles and brackets for shoreline zone identification. Mayor Magee inquired if the Lake Maintenance Fund could be used to pay for the engineered sign poles and brackets. City Manager Brady indicated that he would need to confirm whether or not the Lake Maintenance Fund could be used. He noted that the Item had been ".-. budgeted for. Agenda Item No. \ (). Page~Of~ PAGE 4 STUDY SESSION MINUTES - MARCH 28, 2006 Mayor Magee stated that at the last Water District meeting, they had planned to spend $40 thousand to examine aquatic life. He noted that they made a motion that they would be coming to the City to seek funding from the Lake Maintenance Fund for that project. '-"" Mayor Magee inquired if that matter could be put on the joint meeting list. City Manager Brady indicated that it could be put on the joint meeting list. Lake & Aquatic Resources Director Kilroy stated that the Lake Maintenance Fund was primarily related to supplemental water for the lake. 6. License Agreement for Floating Food Vendor. Mayor Magee inquired on Item No.3 in the Contract, under "Premises", where the Contract proposed that the selling of goods should be restricted to the area between the slow/no wake buoy line and no selling on the City's beaches. He requested clarification for the rationale behind those restrictions. Lake & Aquatic Resources Director Kilroy indicated that he would like for the vendor to sell between the slow/no wake zone and the shoreline because that was less than 5 mph and out of the way of boating traffic. He noted the City had a Concession Agreement with Pyramid Enterprises on Elm Grove beach and a food vending concessionaire at the Sea Port Boat Launch. He noted that in terms of fishing beaches, it would be an annoyance to shoreline fisherman to have the floating food vendor. '-"" Mayor Magee noted 2 typographical errors on page 20. First, he noted that Item No. 14 should include the year that the contract was starting. Second, he noted that the City Manager needed to be capitalized. Shawn Hill, Food Frenzy, stated that he had reviewed the contract and that he agreed with it. 7. Request for approval to sell alcohol on levy. Mayor Pro Tern Schiffner inquired on the dates of the event. '-"" Agenda Item No. \ (). Page L\ Of \ '5 -- PAGE 5 STUDY SESSION MINUTES - MARCH 28, 2006 .",...... Mayor Magee indicated that the event would be for 2 days. He noted that the dates were for the 3rd and 4th of June. Mayor Magee stated that he would like to make sure, if there was going to be music, that the operators of the event be advised that the City does not want any mosh pit activity. 8. 2005 Public Safety Advisory Commission Annual Report. Councilmember Kelley indicated that she appreciated receiving the report and all that the PSAC had accomplished. Mayor Pro Tern Schiffner inquired if it was possible for the Commission to make a presentation during the 7 p.m. meeting. Mayor Magee inquired ifPSAC Chairman Hewison would be available to give a presentation. ",...... PSAC Chairman Hewison confirmed that he would be available to give a presentati on. 9. Resolution of Intention to annex property into Community Facilities District No. 2003-1 and to authorize the levy of a Special Tax within Annexation Area No. 18. No comments. 10. Resolution of Intention to form Community Facilities District No. 2006-5 and to authorize the levy of a Special Tax. Administrative Services Director Pressey indicated that Item No. 10 was a particular Resolution of Intention. He noted that it was a formation of a new district within the City. He noted that this was the first development that had been conditioned to come forward. He noted that since the area did not have a Facility CFD, he was having them form one. He further noted that any future developments with 4 or more units would annex into this district. ",...... Agenda Item NO.~ Page 5 Of \5 -- PAGE 6 STUDY SESSION MINUTES - MARCH 28, 2006 11. Personal & Professional Service Contract for the Interim Planning Manager. ~ Mayor Magee inquired if recruitment status for this particular position would cease or if the individual was to fill in the interim while the City continued to recruit. City Manager Brady indicated that the City had gone through the recruiting process. He noted that someone had been hired. He indicated that he would like to have the Interim Planning Manager continue on since they had been assisting with the General Plan update and some other major projects. He gave a brief background on the individual currently working as the Interim Planning Manager. He noted that he would like to keep the Interim Planning Manager on until the newly hired Planning Manager had time to adjust. Mayor Magee inquired on page 4 of the staff report. He inquired if the Interim Planning Manager would be paid for the their travel time or mileage. Community Development Director Preisendanz indicated that the Interim Planning Manager would be compensated for their commuting time. He noted that it was felt that the Planning Department was in need of an Interim Planning Manager. He noted that the current Interim Planning Manager came highly recommended. He noted that because it would be a short term contract, he felt that compensating the Interim Planning Manager's time would be worth it. ......" Mayor Magee noted that he did not want to make it a habit to pay employees for their commuting time. Mayor Pro Tern Schiffner stated that employees were usually given City vehicles when commuting was an issue for them. 12. Planning Division Personal & Professional Service Contract. Councilmember Kelley stated that when the MSHCP was first adopted, one of the questions was the personnel that the cities would need to add in order to oversee the entire program. She noted that there was a lot of debate on how that was all going to be done. She further noted that the County had ......" Agenda Item No. \ C>-- Page~Of \5 PAGE 7 STUDY SESSION MINUTES - MARCH 28, 2006 ~ volunteered and said that they would be side by side helping the City out. She inquired if that had happened. Community Development Director Preisendanz indicated that the County had helped out to a certain degree. He stated that they had not helped out to the extent that the City needed them to. He noted that he found it necessary to have someone on staff to look at CEQA and to process the LEAP applications. Councilmember Kelley inquired how that whole process was going. Community Development Director Preisendanz indicated that the process was going okay. He noted that the reason he was proposing the position was to move the LEAPS faster. Mayor Pro Tern Schiffuer noted that the program was a work in progress. He noted that the City needed someone on staff who was educated with the whole process. ~ Mayor Magee noted that the County had made the City 3 promises. He indicated that none of the promises that the County had made have been kept. PUBLIC HEARINGS 21. Formation ofCFD 2006-2 (Viscaya). Mayor Magee noted that the Item would be continued. 22. Formation ofCFD 2006-3 (La Strada). Mayor Magee noted that the Item would be continued. 23. 2006 Justice Assistance Grant. No comments. BUSINESS ITEMS ,,-- Agenda Item No. \()... PagelOf \S PAGE 8 STUDY SESSION MINUTES - MARCH 28, 2006 31. Adoption of Ordinance granting a Non-Exclusive Franchise to provide cable service to Verizon California, Inc. .....,,; City Manager Brady stated that Item No. 31 was a Public Hearing Item which would need to be placed under the Public Hearing portion. He noted that there would be a mini study session at the end of the 4 p.m. study session. The consensus of the Council agreed to take Item No. 31 last. 32. Commercial Design Review No. 2005-09 known as Viscaya Village Center. Councilmember Buckley inquired if the building across from the entrance would match. City Manager Brady indicated that the buildings would match. Councilmember Buckley inquired on the type of restaurant to be placed in the shopping center. Community Development Director Preisendanz indicated that he currently did not have anyone to occupy the restaurant. He noted that it was the intention of the restaurant to be a sit-down restaurant instead of a fast-food restaurant. .....,,; Associate Planner Coury stated the applicant's intention was for it to be a sit- down restaurant. 33. Branding recommendations and consideration of a new City Logo and Slogan. Councilmember Buckley inquired on the budget breakdown on pages 7 and 8 of 33. He further inquired how much of the $243 thousand could come out of capital. He inquired if all of the "optional items" could come out of capital. Information/Communications Manager Dennis indicated that it was felt that 80- 90% of the requested budget money would ultimately be capital. Councilmember Buckley inquired if the Council needed to pick between option A and B for the logo. "'" Agenda Item No. \ 0 page~ Of \5 PAGE 9 STUDY SESSION MINUTES - MARCH 28, 2006 ,,-... Information/Communications Manager Dennis indicated that a final decision regarding the logo needed to be made. He noted that a final decision would allow for the process to carry forward. 34. Public Safety Advisory Commission Recruitment and Appointment process. Mayor Magee encouraged current Commissioners to reapply. He had inquired if Councilmember Kelley and Councilmember Buckley would serve on the subcommittee. Both Councilmember Kelley and Councilmember Buckley agreed to serve on the subcommittee. ;-. City Attorney Leibold stated that Chairman Hewison had raised a question. She noted that at the Policy Study Session the Council had indicated that they wanted the Policy to reflect the 4-year term and accordingly revise the City Code and the Ordinance governing the PSAC. She noted that she was prepared to bring an Ordinance for Council's consideration to make that amendment to the code. She stated that it needed to be determined if the 4-year term would commence with the new appointed Commissioners. Mayor Magee commented on continuing the item for 2 weeks to allow staff to bring back a recommendation to Council. Mayor Pro Tern Schiffuer requested that the City Attorney prepare an Ordinance that she felt would be best in regard to the Commissioner's terms in office. City Attorney Leibold inquired if the Council would like for her to prepare the Ordinance the way that she thought the system would work best. Mayor Pro Tern Schiffner stated that City Attorney Leibold should provide the Ordinance as she thought the system would work best. VERIZON PRESENTATION ,,-... Agenda Item No. \ ()., Page~Of \5 PAGE 10 STUDY SESSION MINUTES - MARCH 28, 2006 31. City Manager Brady stated that Verizon was present to make a presentation to the Council. He noted that it was the intention to provide an opportunity to the Council to have more than just an agenda review. He noted that it was felt that it might be a good way to address some of the questions, issues and concerns that the Council may have. City Manger Brady deferred to Administrative Services Director Pressey. '--' Administrative Services Director Pressey stated the main terms of the agreement and how it benefited the City and the residents of the City. He noted that construction had already begun. Administrative Services Director Pressey deferred to Tommy Curb for the presentation from Verizon. Tommy Curb, Verizon, thanked the City staff for their diligence. He noted that Verizon was installing their FTTP (Fiber To The Premise) Network as a common carrier pursuant to Title 2 of the Communications Act under State jurisdiction granted by the California Public Utilities Commission. Mr. Curb presented the various services that Verizon offered. He introduced how FiOS Television worked. He indicated that there would be less interference with the reception as compared to satellite television. '--' Mr. Curb presented a video on what FiOS Television would look like. Mr. Curb noted the different packages for consumers. He noted that Verizon would bring competitive pricing. Mr. Curb stated that he encouraged Council to follow the recommendation of staff and move forward with giving residents a competitive offering. He thanked the Council for their time. Councilmember Kelley inquired how the monthly charges would compare with Comcast for basic service. Mr. Curb stated that he was not certain what Comcast currently charged for their basic service. He noted that the package for their basic channel service was $12.99 a month. He noted that their extended basic offering package began ---' Agenda Item No. \ ().. Page 10 Of \5 PAGE 11 STUDY SESSION MINUTES - MARCH 28, 2006 ,.-. at $39.95 which included an upward of300 channels. He noted that Verizon would have to be competitive with whatever Com cast was doing in the market. Mayor Pro Tern Schiffner stated that there had been complaints with the City's current cable company. He noted that in the past people had complained about not being able to hear anything on the channel for public broadcasting. He stated that he had hoped that the 2 cable companies could work together to provide service to residents for public broadcasting. Mr. Curb noted that he appreciated Mayor Pro Tern Schiffner's concern. He stated that Verizon was committed to working with Com cast and with the City to provide quality PEG programming to the residents. Mayor Magee stated that at the last I-year extension of Comcast, the volume issue was brought to their attention. He noted that Comcast met with staff and fixed the issue. He noted that he had not received any complaints since they had done the upgrade. ,.-. City Manager Brady indicated that Comcast had came in and made some adjustments to the system. Mayor Pro Tern Schiffner stated that he would like for the volume to be satisfactory with the broadcasting of the Council meeting. Administrative Services Director Pressey indicated that the volume problem had been remedied. Councilmember Buckley inquired how much Verizon would charge for the internet if it was bundled with the cable service. Mr. Curb indicated that he was not familiar with Verizon's internet pricing. He noted that he had thought when those 2 services were bundled together, that there was a $5 discount allowed. He noted that there were different prices for the various internet speeds that were offered. Councilmember Buckley inquired if a resident had to have phone service with Verizon to subscribe to the cable and internet service. ,.-. Agenda Item No. \a Page~Of \5 PAGE 12 STUDY SESSION MINUTES - MARCH 28, 2006 Mr. Curb indicated that a resident did not need to have phone service with Verizon and that they could subscribe solely to the video and data services. ~ Councilmember Buckley noted that there had been an issue with interconnect with Comcast. He inquired if Verizon would be able to set up their cameras at Council meetings to broadcast. Mr. Curb noted that they had addressed that issue. He noted that it did not make sense to duplicate equipment that was already provided by another provider. He indicated that Verizon had successfully interconnected with other cable providers in the past. He stated that Verizon had not successfully negotiated an interconnection agreement with Comcast. He noted that if Verizon was unable to reach an Interconnection Agreement with Comcast, then their agreement with the City cared for the ability for Verizon to provide a direct connect from City Hall so that they can broadcast the government channel on their network without that interconnection agreement. Councilmember Buckley inquired how many customers Verizon was expecting. Mr. Curb noted that it was his understanding that the City had an estimated 5,000 cable subscribers. He further noted that they expect 20% of those subscribers. .~ Councilmember Buckley inquired if the rates for V erizon' s service was long term or an introductory rate. Mr. Curb indicated that it was a combination of both. Councilmember Buckley inquired if there would be a local office located within the City. Mr. Curb indicated that they do not have a local office within the City. Councilmember Buckley inquired ifVerizon would be carrying local broadcast channel KZSW. Mr. Curb indicated that Verizon had reached a Retransmission Consent Agreement with KZSW. ~ Agenda Item No. \ a PageKOf \5 PAGE 13 STUDY SESSION MINUTES - MARCH 28, 2006 ,....... Mayor Magee indicated that he would like to see the carrying ofKZSW made part ofVerizon's contract. He noted that both Comcast and Verizon needed to be asked to carry KZSW so that it was guaranteed that residents could access the local channel. Mr. Curb noted that the agreement before the Council was a Franchise Agreement with Verizon. He noted that the relationship between Verizon and KZSW was a content arrangement. He further noted that Verizon's Franchise Agreement was not the proper place to address V erizon' s content arrangements with KZSW. He stated that Verizon had reached an agreement with KZSW. Mayor Magee stated that the Item needed to be continued until that information was presented to the Council. He indicated that he felt that the matter was significant enough to include KZSW or to continue the Item until the Council had a level of insurance that both Verizon and Comcast would be able to carry the channel. Mayor Magee indicated that Comcast had maintained a local office in the ~ community. He noted that a local office was very important to the residents. He indicated that he was disappointed that Verizon was not contemplating the same investment in the City. Mayor Magee noted that an agreement with Comcast and Verizon regarding the transmission of the Council meetings and other PEG programs was critical. He noted that an agreement between the 2 cable companies should be executed before the agreement with the City went forward. Mayor Magee indicated that written notification had been received from the Southwest EDC recommending approval of the item. He noted that nothing had been received from Comcast. He indicated that Administrative Services Director Pressey stated that Comcast had agreed to work with Verizon on the broadcast of the Council meetings. He noted that agreement needed to be in writing between now and June. He stated that he would like to continue the matter in order to get those assurances. REDEVELOPMENT AGENCY ~ CONSENT CALENDAR Agenda Item No. \CR PageROf \5 PAGE 14 STUDY SESSION MINUTES - MARCH 28, 2006 1. Minutes. ....." No comments. 2. Warrant List-March 15,2006. No comments. BUSINESS ITEM 3. Extension of Exclusive Negotiating Agreement with JIC-CP Diamond Development, LLC. No comments. 4. Commercial Design Review No. 2005-09 known as Viscaya Village Center. No comments. ADJOURNMENT ....." THE JOINT CITY COUNCILIREDEVELOPMENT AGENCY STUDY SESSION WAS ADJOURNED AT 5:18 P.M. ROBERT E. MAGEE, MAYOR CITY OF LAKE ELSINORE GENIE KELLEY, CHAIRWOMAN REDEVELOPMENT AGENCY ....." Agenda Item No. \ Coc page~Of \5 r---. PAGE 15 STUDY SESSION MINUTES - MARCH 28, 2006 Respectfully submitted, MICHELLE SOTO, DEPUTY CITY CLERK ATTEST: FREDERICK RAY, CITY CLERK ",...... r---. Agenda Item No. \ ().., Page~Of \:> ~ MINUTES CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, MARCH 28, 2006 ****************************************************************** CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Magee at 5 :00 p.m. ROLL CALL PRESENT: COUNCILMEMBERS: BUCKLEY, KELLEY, SCHIFFNER, MAGEE .-..- ABSENT: COUNCILMEMBERS: HICKMAN Also present were: City Manager Brady, City Attorney Leibold, Administrative Services Director Pressey, Community Development Director Preisendanz, Community Services Director Sapp, Lake & Aquatic Resources Director Kilroy, Information/Communications Manager Dennis, Building & Safety Manager Chipman, Recreation/Tourism Manager Fazzio, Police Chief Fetherolf, City Treasurer Weber and City Clerk Ray. CLOSED SESSION THE REGULAR CITY COUNCIL MEETING WAS RECESSED INTO CLOSED SESSION AT 5:00 P.M. RECONVENE IN PUBLIC SESSION (7:00 P.M.) PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Engineer Seumalo. r'. Agenda Item No. \ b Page~ Of.22> Page 2 - City Council Meeting Minutes - March 28, 2006 INVOCA TION - MOMENT OF SILENT PRAYER ....". Mayor Magee led the meeting in a moment of silent prayer. ROLL CALL PRESENT: COUNCILMEMBERS: BUCKLEY, KELLEY, SCHIFFNER, MAGEE ABSENT: COUNCILMEMBERS: HICKMAN Also present were: City Manager Brady, City Attorney Leibold, Administrative Services Director Pressey, Community Development Director Preisendanz, Community Services Director Sapp, Lake & Aquatic Resources Director Kilroy, Information/Communications Manager Dennis, Building & Safety Manager Chipman, Recreation/Tourism Manager Fazzio, Police Chief Fetherolf, City Treasurer Weber and City Clerk Ray. CLOSED SESSION ...." A. CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Gov't Code 9 54956.8): Property: A.P.N. 377-040-023, 024 and 025 Negotiating parties: City of Lake Elsinore and MPJ 76, Inc Under negotiation: price and terms of payment B. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Gov't Code 954957): City Attorney CLOSED SESSION REPORT City Attorney Leibold announced the Closed Session discussion items as listed above. She noted that items a and b were discussed and there was no reportable action. ..." Agenda Item NO.~ 2 .'I~ Page_of~ Page 3 - City Council Meeting Minutes - March 28, 2006 r- PRESENT A TION/CEREMONIALS A. Retirement Recognition - Senior Code Enforcement Officer Carol Gordon Mayor Magee called Ms. Gordon forward. Mayor Magee commented that Carol had been in the community for more than 20 years. He commented on Carol's compassion for animals and her kind hearted nature. He commented that Carol started her career as an Animal Control Officer. He reiterated that Carol had served the Elsinore Valley for more than 20 years. Mayor Magee presented Senior Code Enforcement Officer Carol Gordon with a gift from Council and staff. ~. Carol commented on her service to the community. CarpI reflected upon the hard work the Council did for the community to ensure affordable housing and competitive wages for people like her who want to live and work in the City. She commented that the City had grown so big and strong that Lake Elsinore could finally hold its head up next to the neighboring cities. She thanked the Council for her 20 plus years as a City employee. B. Certificate of Recognition - Elsinore High School Wrestling Team Mayor Magee called Mr. Jeff Hickok forward to receive the Certificate. Mr. Hickok commended the team on their achievement and thanked the City Council for the recognition. C. Proclamation - Boys & Girls Club Week Councilmember Kelley called Lake Elsinore Boys & Girls Club Director Angela Fox forward to receive the Proclamation. Councilmember Kelley noted some of the supporters of the Boy & Girls Club. Councilmember Kelley read and presented the proclamation to Mrs. Fox. Mrs. Fox thanked Councilmember Kelley and the Council for the proclamation. She commented that they were looking forward to beginning their operation in the City. r- Agenda Item No' b page~ of ~ Page 4 - City Council Meeting Minutes - March 28, 2006 D. Chamber of Commerce Update """""" Chamber President Cousins gave an update on the chamber. He noted the significant increase in requests for relocation packages from both businesses and individuals looking to relocate to the City. He commented that the Chamber was co-sponsoring legislation with Assemblyman John Benoit to address the transportation issues specifically in the surrounding area. He noted the 11 Oth anniversary of the chamber building would be held on Saturday, April 1st. He commented that it was community event with numerous activities. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE Pete Dawson, 18010 Grand Avenue, commented that he was speaking on behalf of Lake Elsinore Marine Search and Rescue. He commented that there would be speed racers on the lake this weekend and that they would be assisting the police department. Donna Franson, LE Citizen Committee, commented that the committee would be holding its' 2nd quarterly meeting at 7 p.m. on April 13th at the Tuscany Hills Recreation Center. She noted that Chamber President Kim Cousins would be the guest speaker. ""-" David Chaney, Vice President of the Lake Elsinore NAACP, invited everyone to attend the scholarship banquet from 4 p.m. to 6 p.m. on April 8th at the Diamond Club. He noted that there would be a silent auction. He also noted that the NAACP Regional Director was the guest speaker. Phil Williams, EVMWD, announced that the Federal Energy Regulatory Commission (FERC) would be holding an Environmental Impact Scoping meeting at 4 p.m. on April 5th at the Lake Elsinore Cultural Center. He indicated all citizens were invited to voice their opinion and could also submit comments online at www.evmwd.com. Viet Tran, Southern California Edison Regional Manager, commented that he was the new regional manager and looked forward to working with City staff and the community. ...." Agenda Item NO.\ b Page 4- of 23 Page 5 - City Council Meeting Minutes - March 28, 2006 r- CONSENT CALENDAR ITEMS MOVED BY BUCKLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO PULL ITEM NO.8 AND APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: a. Regular City Council Meeting - January 24, 2006. b. Special City Council Meeting - February 9, 2006. c. City Council Study Session - February 23, 2006. d. Joint City Council/Redevelopment Agency Study Session - February 28, 2006. 2. Ratified Warrant List for March 15,2006. 3. Received and filed Investment Report for January 2006. ~ 4. Adopted Resolution No. 2006-39, approving the request for grant funding. 5. Approved the exception to bid procedures and authorized staff to proceed with the purchase of engineered sign poles and brackets for shoreline zone identification. 6. Approved the license agreement for Floating Food Vendor. 7. Approved the request by the Western States Cup/Pacific Coast Entertainment to sell alcohol on the levy during the Lake Elsinore Action Sports Fest. 9. Adopted Resolution No. 2006-40 to annex property into CFD No. 2003-1 and authorized the levy of a Special Tax within Annexation Area No. 18. Scheduled the public hearing for May 9, 2006. 10. Adopted Resolution No. 2006-41 establishing CFD No. 2006-5 and authorized the levy of a Special Tax within said District. Scheduled the public hearing for May 9, 2006. r- Agenda Item No. \ ~ pageS of 2- Page 6 - City Council Meeting Minutes - March 28, 2006 11. Authorized the City Manager to execute a Personal & Professional service ....." contract with the Interim Planning Manager. 12. Authorized the City Manager to execute a Personal & Professional service contract with the Planning Division contract staff. ITEM PULLED FROM THE CONSENT CALENDAR 8. 2005 Public Safety Advisory Commission Annual Report. City Manager Brady gave an overview of the item and deferred to PSAC Chairman Hewison. Chairman Hewison gave a brief overview of the report presented to Council. He commented that the Commission was attempting to be focused. He commented that the web page was completed and they regularly received comments from the residents. He noted that there were brochures available to the public. He commented on shoreline safety. He noted that the levy shoreline was the next element. He noted that the PSAC had attended 3 .~ neighborhood meetings over the past 9 months varying in topics. He commented on the Emergency Preparedness Study Session held in October 2005. He noted that they were currently working on a large party ordinance. He commented on PSAC terms of office. Mayor Magee commended the PSAC for their work and thanked staff; including Police Chief Fetherolf and Fire Chief Gallegos for the time they provide to the Commission. MOVED BY KELLEY, SECONDED BY BUCKLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO RECEIVE AND FILE THE PSAC ANNUAL REPORT. PUBLIC HEARINGS 21. Formation ofCFD 2006-2 (Viscaya). Mayor Magee introduced the item. ...., Agenda Item No.1 D pageW of :2 -3 Page 7 - City Council Meeting Minutes - March 28, 2006 ~ City Manager Brady noted the recommendation. Mayor Magee opened the public hearing at 7 :29 p.m. MOVED BY BUCKLEY, SECONDED BY SCHIFFNER AND CARRIED BY A UNANIMOUS VOTE OF THOSE PRESENT TO CONTINUE THE PUBLIC HEARING TO APRIL 25, 2006 22. Formation on CFD 2006-3 (La Strada). Mayor Magee introduced the item. City Manager Brady noted the recommendation. Mayor Magee opened the public hearing at 7:30 p.m. MOVED BY BUCKLEY, SECONDED BY SCHIFFNER AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO CONTINUE THE PUBLIC HEARING TO JUNE 13,2006. "....... 23. 2006 Justice Assistance Grant. Mayor Magee introduced the item. City Manager Brady gave a overview of the item. Administrative Services Director Pressey gave an in-depth overview of the item. Mr. Pressey commented that it was a public safety grant. Mayor Magee noted that the grant was for over $15,000 to fund holiday enforcement programs, City enhancement and safety programs; and off road vehicle enforcement programs. MOVED BY BUCKLEY, SECONDED BY SCHIFFNER AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE USE OF THE 2006 JUSTICE ASSISTANCE GRANT. ~ City Manager Brady noted that Business Item No. 31 was being moved to Public Hearing Items as Item No. 24. Agenda Item No. \ V Page -~ Of-23 Page 8 - City Council Meeting Minutes - March 28, 2006 24. Adoption of Ordinance granting a Non-Exclusive Franchise to provide cable ..., service to Verizon California, Inc. City Manager Brady gave an overview of the item and deferred to Administrative Services Director Pressey. Administrative Services Director Pressey commented that it was a Franchise Agreement that would allow Verizon to provide a fiber optic network within the City to provide data service, phone service and a new product of home cable service to residents. He commented that it would provide a significant increase of competition within the City. He commented that staff s recommendation was to continue the Item until the issues discussed at the 4 p.m. study session had been resolved. Mayor Magee opened the public hearing at 7 :34 p.m. David Chaney, Lake Elsinore, commented that competition drove the cost of products down. He noted Comcast had never lowered their prices because they never had to. He commented that as Lake Elsinore grew, it would need moderate equipment and service; and Verizon would be able to provide that equipment and service. ..., Diane Sessions, Economic Development Corp. of Southwest California read and submitted a letter from the EDC Board of Directors addressed to the Lake Elsinore City Council. She noted that the Board strongly supported business environments that offered competitive pricing of goods and services. She commented that competition was needed. She commented that the EDC strongly believed that competition would improve services in Lake Elsinore. She noted the EDC respectfully requested that the Council approve the agreement. Kim Cousins, Lake Elsinore Valley Chamber of Commerce, commented that the Chamber Board of Directors was in support of the Verizon agreement. He noted that competition drove the technology. He commented that it provided residents with a choice. Del Heintz, Com cast/Time Warner, commented that their franchise with the City had been extended to June 14, 2006. He commented that they were looking forward to meeting with staff and Council to provide their thoughts '--' Agenda Item NO.\ .b pageS of 23 Page 9 - City Council Meeting Minutes - March 28, 2006 r- in regard to the Verizon deal. He noted that competition had been in the area since 1994. He noted that they also provided digital telephone service. He indicated that their renewal with the City would try to mirror V erizon' s deal. Councilmember Buckley inquired about the connection speed on Comcast high speed. Mr. Heintz commented that it was currently as high as 10 megabytes. He noted that they could go much higher. He noted that they had raised the speed without the price being raised. Herman Galiudo, 15140 Teakwood Street, commented that he was a Verizon employee. He commented that he dealt with consumers on a daily basis and he had been asked "when the technology would be available as it was in the surrounding cities". He commented that he was in support as an employee and a resident. ,,--. Jonathan Fleischmann, 29108 Sunswept Drive, commented that he was a Verizon employee. He commented that he was in support of the Verizon agreement. He commented that customers wanted Verizon in the community. He noted that competition was important. He noted that they were offering fiber optic, not cable. Mayor Magee noted staff s recommendation and that the item would be brought back at the April 11 th meeting. He noted he had heard 3 areas of concern at the 4 p.m. study session. He noted the areas of concern were the inclusion of local station KZSW, a provision to provide a local service office and an execution of an agreement with Comcast to provide public education and government programming. MOVED BY KELLEY, SECONDED BY BUCKLEY TO CONTINUE THE ITEM TO APRIL 11TH. Councilmember Buckley noted that he hoped the issue of local channels would be addressed with Comcast during the negotiation of their Franchise Agreement. He commented that he was in favor of competition. ~ Agenda Item No.' b page~ of..22::> Page 10 - City Council Meeting Minutes - March 28,2006 Mayor Magee noted that Mr. Heintz had commented that Comcast would ~ provide the same agreement if the City approved a contract with Verizon. Mayor Pro Tern Schiffuer noted that competition was good for the community. Mayor Magee noted the EDC statement and the Chamber of Commerce statements. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT. BUSINESS ITEMS 31. Commercial Design Review No. 2005-09 known as Viscaya Village Center. Mayor introduced the item and deferred to Community Development Director Preisendanz. Community Development Director Preisendanz gave an in-depth overview ~ of the item. He noted the location of the project. He indicated that the Planning Commission had recommended approval of the item. Councilmember Buckley commented that it was a good design. MOVED BY BUCKLEY, SECONDED BY KELLEY TO ADOPT RESOLUTION NO. 2006-42 APPROVING COMMERCIAL DESIGN REVIEW NO. 2005-09. Mayor Magee commented that Corman Leigh had been an excellent economic partner and a good neighbor. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT. ~ Agenda Item NO.l.b Page.lQ.. of 23 Page 11 - City Council Meeting Minutes - March 28, 2006 /"'" CONDITIONS OF APPROVAL GENERAL 1. The applicant shall defend (with counsel acceptable to the City), indemnify, and hold harmless the City, its Official, Officers, Employees, and Agents from any claim, action, or proceeding against the City, its Official, Officers, Employees, or Agents to attach, set aside, void, or annul an approval of the City, its advisory agencies, appeal boards, or legislative body concerning the subject project known as the Viscaya Village Center located the southeast comer of Lakeshore Drive and Viscaya Street, which action is bought within the time period provided for in California Government Code Sections 65009 and/or 66499.37, and Public Resources Code Section 21167. The City will promptly notify the Applicant of any such claim, action, or proceeding against the City and will cooperate fully with the defense. If the City fails to promptly notify the Applicant of any such claim, or proceeding, the Applicant shall not, thereafter, be responsible to defend, indemnify, or hold harmless the City. 2. The applicant shall comply with all mitigations at the described milestones contained in the Mitigation Monitoring Plan contained within Mitigated Negative Declaration No. 2003-03, which was prepared for the Lakeshore Village Specific Plan. ,.-... DESIGN REVIEW FOR COMMERCIAL PROJECT NO 2005-09 3. The Design Review approval located at the southeast comer of Lakeshore Drive and Viscaya Street shall lapse and become void two (2) years following the date on which the Design Review became effective, unless prior to the expiration of two (2) years, a building permit related to the Design Review is issued and construction commenced and diligently pursued toward completion. The Design Review granted herein shall run with the land for this two (2) year period and shall continue to be valid upon a change of ownership of the site. 4. Conditions of Approval shall be reproduced on page one of building plans submitted to the Building Division Plan Check. All Conditions of Approval shall be met prior to the issuance of a Certificate of Occupancy and release of utilities. 5. Prior to the certificate of occupancy of the first building, the entire site parking lot, entry driveways, perimeter and internal landscaping shall be completed as indicated on the approved plans attached hereto, or a construction/site improvement phasing plan as otherwise approved by the Community Development Director. /"'" 6. All site improvements approved with this request shall be constructed as indicated on the approved site plan and elevations. Revisions to approved site plans or building elevations shall be subject to the review of the Community Development Director. All plans submitted for Building Division Plan Check shall conform to the submitted plans as modified by Conditions of Approval, or the Planning Commission/City Council through subsequent action. Agenda Item NO\ b pagelL of:l3 Page 12 - City Council Meeting Minutes - March 28, 2006 7. Any alteration or expansion of this Design Review approval shall be reviewed according....., to the provisions of Chapter 17.82 (Design Review) of the Lake Elsinore Municipal Code. 8. Materials and colors depicted on the plans and materials board shall be used unless modified by the Community Development Director or designee. 9. The Planning Division shall approve the location of any construction trailers utilized during construction. All construction trailers shall require a cash bond in the amount of $1,000.00 to be processed through the Planning Division. 10. All roof mounted or ground support air conditioning units or other mechanical equipment incidental to development shall be architecturally screened or shielded by landscaping so that they are not visible from neighboring property or public streets. This may require increased parapet height. 11. All exterior on-site lighting shall be shielded and directed on-site so as not to create glare onto neighboring property and streets or allow illumination above the horizontal plane of the fixture. All light fixtures shall match the architectural style of the building. A photometric Plan illustrating this condition shall be required subject to the review and approval by the Community Development Director or designee 12. All exterior downspouts shall be concealed or architecturally screened and painted to ...., match the exterior color of the building as approved by the Community Development Director or Designee. 13. All cornice elements and back sides of parapets exposed to public view shall be architecturally enhanced, subject to the review and approval of the Community Development Director or Designee. 14. All building signage shall comply with Uniform Sign Program No. 2005-02. 15. All drive aisles and loading areas shall be kept and maintained free and clear of any materials/merchandise so as not to obstruct on-site circulation and deliveries. 16. Parking stalls shall be double-striped with four-inch (4") lines two feet (2') apart. 17. Provide a 12-inch concrete paver along the side of parking stalls that are adjacent to planters (paver to include curb width). 18. On-site landscaping shall be enhanced at all entry areas and major intersections and shall be subject to the review and approval of the Community Development Director or Designee. 19. Applicant shall meet ADA (Americans with Disabilities Act) requirements. --' Agenda Item No.ill Page\2 of 23 Page 13 - City Council Meeting Minutes - March 28, 2006 ".-- 20. Trash enclosures shall be constructed per City standards as approved by the Community Development Director or Designee. 21. No exterior roof ladders shall be permitted. 22. All service and loading doors shall be painted to match the building. 23. On-site surface drainage shall not cross sidewalks. PRIOR TO BUILDING/GRADING PERMITS 24. Prior to issuance of any grading permit or building permits, the applicant shall sign and complete an "Acknowledgement of Conditions" form and shall return the executed original to the Planning Division for inclusion in the case records. 25. Three (3) sets of the Final Landscaping/Irrigation Detail Plan shall be submitted, reviewed and approved by the City's Landscape Architect Consultant and the Community Development Director or designee, prior to issuance of building permit. A Landscape Plan Check & Inspection Fee will be charged prior to final landscape approval based on the Consultant's fee plus forty percent (40%) City fee. ".-- . All planting areas shall have permanent and automatic sprinkler system with 1 00% plant and grass coverage using a combination of drip and conventional irrigation methods. . Applicant shall plant street trees selected from the City's Street Tree List, a maximum of thirty feet (30') apart and at least twenty-four-inch (24") box in size. . All planting areas shall be separated from paved areas with a six inch (6") high and six inch (6") wide concrete curb. . Planting within fifteen feet (15') of ingress/egress points shall be no higher than thirty-six inches (36"). . Landscape planters shall be planted with an appropriate parking lot shade tree pursuant to the LEMC and Landscape Design Guidelines. . Any transformers and mechanical or electrical equipment shall be indicated on landscape plan and screened as part of the landscaping plan. ;>--. . The landscape plan shall provide for ground cover, shrubs, and trees and meet all requirements of the City's adopted Landscape Guidelines. Special attention to the use of Xeriscape or drought resistant plantings with combination drip irrigation system to be used to prevent excessive watering. Agenda Item NO.) b Pagei 30f 23 -- Page 14 - City Council Meeting Minutes - March 28,2006 · All landscape improvements shall be bonded 100% for material and labor for two ~ years from installation sign-off by the City. Release of the landscaping bond shall be requested by the applicant at the end of the required two years with approval/acceptance by the Landscape Consultant and Community Development Director or Designee. · All landscaping and irrigation shall be installed within affected portion of any phase at the time a Certificate of Occupancy is requested for any building. All planting areas shall include plantings in the Xeriscape concept, drought tolerant grasses and plants. · Final landscape plan must be consistent with approved site plan. · Final landscape plans to include planting and irrigation details. 26. Applicant shall comply with the requirements of the Elsinore Valley Municipal Water District. Proof shall be presented to the Chief Building Official prior to issuance of building permits and final approval. 27. Prior to issuance of building permits, applicant shall provide assurance that all required fees to the Lake Elsinore Unified School District have been paid. 28. Prior to issuance of building permits, applicant shall provide assurance that all ~ requirements of the Riverside County Fire Department have been met. 29. Prior to issuance of building permits, applicant shall pay park-in-lieu fee in effect at time of building permit issuance. CONDITIONAL USE PERMIT NO. 2005-20 30. The Conditional Use Permit approved herein shall lapse and shall become void two (2) years following the date on which the use permit became effective, unless prior to the expiration of two (2) years a building permit is issued and construction commenced and diligendy pursued toward completion on the site. 31. The Conditional Use Permit shall comply with the all applicable requirements of the Lake Elsinore Municipal Code, Tide 17 unless modified by approved Conditions of Approval. 32. The Conditional Use Permit granted herein shall run with the land and shall continue to be valid upon a change of ownership of the site or structure which was the subject of this approval. ~ Agenda Item No, \ b pagetl of.23 Page 15 - City Council Meeting Minutes - March 28,2006 ,-- 33. Prior to final certificate of occupancy of the Conditional Use Permit, the improvements specified herein and approved by the Planning Commission and the City Council shall be installed, or agreements for said improvements, shall be submitted to the City for approval by the City Engineer, and all other stated conditions shall be complied with. All uncompleted improvements must be bonded for as part of the agreements. 34. The hours of operation for the project shall be limited to the hours of operation expressed within the Business Plan submitted. 35. The applicant shall at all times comply with Section 17.78 (Noise Control) of the Lake Elsinore Municipal Code. 36. No outdoor food vending shall be permitted with the proposed project. 37. Security lighting shall be required. All exterior on-site lighting shall be shielded and directed on-site so as not to create glare onto neighboring property and streets or allow illumination above the horizontal plane of the fixture. The light fixture proposed is to match the architecture of the building. DESIGN REVIEW FOR UNIFORM SIGN PROGRAM NO. 2005-02 r- 38. The decision of the Commission shall be final ten (10) days from the date of the decision unless an appeal has been filed with the City Council pursuant to the provisions of Chapter 17.80. 39. The applicant shall apply for a sign permit and pay appropriate fee for any sign installed at the project site. 40. The location, size, style, and color for all signs shall comply with the Sign Program (Approved herein). Any additions or revisions to the Sign Program shall require Planning Division review and approval. 41. The Design Review approval for Sign Program No 2005-02 for the project known as the Viscaya Village Center shall lapse and become void one (1) year following the date on which the Design Review became effective, unless prior to the expiration of one year, a building permit related to the Design Review is issued and construction commenced and diligently pursued toward completion. The Design Review granted herein shall run with the land for this one (l) year period and shall continue to be valid upon a change of ownership of the site. 42. Any alteration or expansion of this Design Review approval shall be reviewed according to the provisions of Chapter 17.82 (Design Review) of the Lake Elsinore Municipal Code. ,,-.... 43. All exterior sign lighting shall be reviewed and approved by the Community Development Director. Agenda Item No.jb - 'J pagJS of .:2:-") Page 16 - City Council Meeting Minutes - March 28, 2006 ENGINEERING ~ 44. All drive entrances shall be clear of parking stalls and drive aisles for a distance of forty (40) feet. 45. Applicant shall comply with the mitigation and conditions of approval identified in Mitigation Negative Declaration No. 2003-03, Tract Map No. 32008 and the Lakeshore Village Specific Plan.. 46. All signage and landscaping shall be located so as to not obstruct the sight distance of vehicles entering or exiting the development. 47. Applicant shall pay City TIF and County TUMF fees as applicable. 48. Provide for compliance with the Santa Ana Regional Clean Water Run-off Permit. 49. All Public Works requirements shall be complied with as a condition of development as specified in the Lake Elsinore Municipal Code (LEMC) prior to final map approval. 50. All street improvements, including traffic signals, shall be installed and functioning prior to first certificate of occupancy. 51. Pay all Capital Improvement and Plan Check fees (LEMC 16.34, Resolution 85-26), ~ mitigation fees, area drainage fee, traffic impact fee (TIF), traffic uniform mitigation fees, encroachment permit fees as applicable along with inspection fees associated with the project and its development. 52. Submit a "Will Serve" letter to the City Engineering Division from the applicable water agency stating that water and sewer arrangements have been made for this project. Submit this letter prior to final map approval. The letter provided to the underlying developer may be substituted as long as this parcel is identified in the document. 53. Construct all public works improvements per approved street plans (LEMC 12.04). Plans must be approved and signed by the City Engineer prior to final map approval (LEMC 16.34). 54. Street improvement plans and specifications shall be prepared by a California Registered Civil Engineer. Improvements shall be designed and constructed to Riverside County Road Department Standards, latest edition, and City Codes (LEMC 12.04 and 16.34). 55. All compaction reports, grade certifications, monument certifications (with tie notes delineated on 8 W' x 11" Mylar) shall be submitted to the Engineering Division before final inspection of public works improvements will be scheduled and approved. ~ Agenda Item No. \ b PagetD of 23 Page 17 - City Council Meeting Minutes - March 28, 2006 ~ 56. Applicant shall obtain all necessary off-site easements for off-site grading or construction from the adjacent property owners if applicable. 57. Provide fire protection facilities as required in writing by the Riverside County Fire Department. 58. Provide street lighting and show lighting improvements as part of street improvement plans as required by the City Engineer. Prior approvals through the underlying developer may be used to satisfy the condition. 59. All improvement plans shall be digitized. At Certificate of Occupancy applicant shall submit tapes and/or disks which are compatible with City's ARC Info/GIS or developer to pay $300 per sheet for City digitizing. 60. Apply and obtain a grading permit with appropriate security prior to building permit issuance. A grading plan signed and stamped by a California Registered Civil Engineer shall be required if the grading exceeds 50 cubic yards or the existing flow pattern is substantially modified as determined by the City Engineer. If the grading is less than 50 cubic yards and a grading plan is not required, a grading permit shall still be obtained so that a cursory drainage and flow pattern inspection can be conducted before grading begins. "..-.... 61. Provide soils, geology and seismic report including street design recommendations. Provide final soils report showing compliance with recommendations. 62. An Alquis-Priolo study shall be performed on the site to identify any hidden earthquake faults and/or liquefaction zones present on-site unless previously provided by the underlying developer. 63. All grading shall be done under the supervision of a geotechnical engineer and he shall certify all slopes steeper than 2 to 1 for stability and proper erosion control. All manufactured slopes greater than 30 ft. in height shall be contoured. 64. Individual lot drainage shall be conveyed to a public facility or accepted by adjacent property owners by a letter of drainage acceptance or conveyed to a drainage easement. 65. All natural drainage traversing site shall be conveyed through the site, or shall be collected and conveyed by a method approved by the City Engineer. 66. Meet all requirements ofLEMC 15.64 regarding flood hazard regulations. 67. Meet all requirements ofLEMC 15.68 regarding flood plain management. ~ Agenda Item No. \ b Pag~ 1- of23 Page 18 - City Council Meeting Minutes - March 28, 2006 68. Submit Hydrology and Hydraulic Reports for review and approval by City Engineer and ~ the Riverside County Flood Control District prior to issuance of a building permit. Developer shall mitigate any flooding and/or erosion caused by development of site and diversion of drainage. 69. Applicant will be required to install BMP's using the best available technology to mitigate any urban pollutants from entering the watershed. 70. Applicant shall obtain approval from Santa Ana Regional Water Quality Control Board for their stormwater pollution prevention plan including approval of erosion control for the grading plan prior to issuance of grading permits. The applicant shall provide a SWPPP for post construction which describes BMP's that will be implemented for the development and including maintenance responsibilities. 71. Education guidelines and Best Management Practices (BMP) shall be provided to management of the development in the use of herbicides, pesticides, fertilizers as well as other environmental awareness education materials on good housekeeping practices that contribute to protection of stormwater quality and meet the goals of the BMP in Supplement "A" in the Riverside County NPDES Drainage Area Management Plan. 72. Applicant shall provide first flush BMP's using the best available technology that will reduce storm water pollutants from parking areas and driveways. ~ 73. Existing access easements over property must be addressed to the satisfaction of the easement owners prior to the issuance of a building permit. 74. All waste material, debris, vegetation and other rubbish generated during cleaning, demolition, clear and grubbing or other phases of the construction must be disposed of at appropriate recycling centers. The applicant shall contract with CR&R, Inc., in accordance with the City's Franchise Agreement. RIVERSIDE COUNTY FIRE DEPARTMENT 75. The applicant shall comply with all comments and conditions of approval from the Riverside County Fire Department. COMMUNITY SERVICES DEPARTMENT 76. Applicant shall pay park-in-lieu fees for all proposed commercial buildings. 77. Applicant to maintain all on-site landscaping. 78. Applicant to comply with all City Ordinances regarding construction debris and removal (Chapter 8.16 LEMC). 79. Applicant to comply with all NPDES regulations. ~ Agenda Item No.1 b PagJ8 0;16 Page 19 - City Council Meeting Minutes - March 28,2006 ,-.. 32. Branding recommendations and consideration of a new City Logo and Slogan. Mayor Magee introduced the item and deferred to Information/ Communications Manager Dennis. Information/Communications Manager Dennis gave some background on the item. Mr. Dennis introduced Mr. George Bloomfield the project consultant. Mr. Bloomfield noted the study session held on February 23, 2006. He noted the basis for logo selection. He commended the advisory panel for their work on the project. Mr. Bloomfield deferred to Mr. Kim Cousins. Mr. Cousins requested that the advisory panel stand and be recognized. He noted that they spent over 30 hours working on the item. He commended the panel on their hard work and efforts. ",..-- Mr. Bloomfield thanked the panel. He noted the items for Council's consideration. He presented the logo options to the community. He indicated that the panel was recommending Option A. Gary Knapp, Lake Elsinore Soaring Club, invited the Council and City Manager to a no-charge silent flight over Lake Elsinore. He indicated that the Soaring Club was part of the extreme sports. He indicated that they would like to be made aware of any issues taking place with the airport. He noted his support of the new logo. Mayor Magee directed Mr. Knapp to speak with Community Development Director Preisendanz to receive the status of the airport. Councilrnernber Buckley commented that Option B had a bolder presence. He commented on the budget and noted it would be a small amount of general fund dollars to redo the current logo around the City. MOVED BY BUCKLEY TO ADOPT OPTION B. ,-- Mayor Pro Tern Schiffner noted that he also liked Option B. He questioned why the advisory panel selected Option A. Agenda Item No. \ b Page \C\of :2 '3 Page 20 - City Council Meeting Minutes - March 28, 2006 Mr. Bloomfield noted that Option B would work somewhat better with other ....." text, but as a stand alone it competed with the lake and mountains. Councilmember Kelley thanked the panel. She commented that she liked the "Dream Extreme" and the mountains and water, but was not fond of the style of the "E". She indicated that she could go with A or B. Councilmember Buckley noted Option A was softer and Option B was a stronger image. He asked Mr. Bloomfield to offer the option he would choose. Mr. Bloomfield noted that he would choose Option A. MOVED BY SCHIFFNER, SECONDED BY KELLEY TO SELECT OPTION A AND AUTHORIZE THE CITY MANAGER TO ENTER INTO AGREEMENT WITH A QUAIFIED CONSULTANT TO CONDUCT A PROFESSIONAL TRADEMARK SEARCH, SUCH AGREEMENT TO BE APPROVED AS TO FORM BY THE CITY ATTORNEY AND NOT TO EXCEED $25,000 AND AUTHORIZE THE CITY ATTORNEY TO COMMENCE PRELIMINARY TRADEMARK APPLICATION TO PROTECT THE LOGO AND SLOGAN BRAND ASSETS ON BEHALF OF THE CITY IN ACCORD WITH THE TRADEMARK SEARCH. ....." Mayor Magee commended Mr. Bloomfield, the advisory panel and staff for their hard work. The first motion died for lack of a second. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT. 33. Public Safety Advisory Commission Recruitment and Appointment process. Mayor Magee introduced the item and deferred to City Manager Brady. City Manager Brady gave an overview of the item. He noted that staff was recommending to continue the item to the April 11 th meeting. '--' Agenda Item No. \ b PageLO of 23 Page 21 - City Council Meeting Minutes - March 28, 2006 ~ MOVED BY BUCKLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO CONTINUE THE ITEM TO THE APRIL 11TH MEETING AND DIRECT STAFF TO BRING BACK AN ORDINANCE TO MODIFY THE MUNICIPAL CODE TO CHANGE THE LENGTH OF THE TERMS OF THE PUBLIC SAFETY ADVISORY COMMITTEE AND COUNCIL TO CONSIDER EXTENDING THE TERMS OF THE EXISTING MEMBERS WHOSE TERM END THIS YEAR. PUBLIC COMMENTS Linda Villalobos, 207 Prospect Avenue, commented that Prospect A venue was deteriorating and there were empty lots not being maintained by the property owners. She requested assistance from Council to help her neighborhood. Mayor Magee stated that he had spoken with the City Manager about the conditions of the streets in that area. He deferred to City Manager Brady. ~ City Manager Brady noted that he had spoken with Mrs. Villalobos and the issues would be taken care of. He stated that EVMWD would be repaving Prospect Avenue. He stated that there was a fire hydrant covered with plastic and that it would be inspected. He indicated that Code Enforcement would be enforcing the area. Eddie Villalobos Sr., 207 Prospect A venue, commented on the unsafe pedestrian crossing due to parked vehicle in front of Gearhart Garage. He noted that the business parked cars on the streets and sidewalks. He noted the left view was obstructed. He noted that Main Street was going to be very busy with the construction scheduled to take place on Railroad Canyon Road. Mayor Magee thanked Mr. Villalobos for his comments and noted the issue would be addressed with Code Enforcement. ~. Agenda Item No. \ b PagelL of 23 Page 22 - City Council Meeting Minutes - March 28, 2006 CITY MANAGER COMMENTS ..."" 1) Announced the following upcoming events: April 1 st April 1 st April 1 st & 2nd Planet Youth Career Job Fair Household hazardous waste collection National Water-ski Racing Association scheduled races Lake Elsinore Storm's first game of the season Lake Elsinore opening day for the lake Lake Elsinore Children's Fair April 6th April 8th April 15th CITY ATTORNEY COMMENTS No comments. COMMITTEE REPORTS None. ,...." CITY TREASURER COMMENTS No comments. CITY COUNCIL COMMENTS Councilmember Kelley commented on the following: I) The Boys & Girls Club's first fundraiser would be at Diamond Stadium, May 20th, beginning at 6 p.m. Mayor Pro Tern Schiffner commented on the following: I) Thanked everyone for coming. Councilmember Buckley commented on the following: I) Thanked everyone for coming. ,...." Agenda Item No. \ b page~f 23 Page 23 - City Council Meeting Minutes - March 28, 2006 ~ Mayor Magee commented on the following: 1) Thanked Mr. Knapp for the generous offer of a free ride. He requested to donate the offer to Trauma Intervention Program (TIP) of Southwest Riverside County at the next silent offer. Mr. Knapp, Lake Elsinore Soaring Club, agreed. 2) He indicated that the Special meeting scheduled for March 30th, was cancelled. He indicated that the WIN Committee and the Chamber of Commerce declined to participate in the meeting. The Regular City Council Meeting was adjourned at 8:30 p.m. ROBERT E. MAGEE, MAYOR CITY OF LAKE ELSINORE "..-. ATTEST: FREDERICK RAY, CITY CLERK CITY OF LAKE ELSINORE ~ Agenda Item No. \ b pag23of23 APRIL 13. 2006 CITY OF LAKE ELSINORE WARRANT SUMMARY ",-- FUND# FUND DFSCRIPTION TOTAL 100 GENERAL FUND $ 1,111,194.30 104 TRAFFIC OFFENDER FUND 16,920.00 105 MISCELLANEOUS GENERAL PROJECT FUND 23,493.24 112 TRANSPORTATION/MEASURE A FUND 7,223.24 130 LIGHTING/LANDSCAPE MAINTENANCE FUND 47,792.68 135 L.L.M.D. NO.1 FUND 250.00 150 C.D.B.G. FUND 135.72 204 SIGNAL C.I.P. FUND 475.02 205 TRAFFIC IMPACT FEE FUND 2,163.47 231 LIBRARY C.I.P. FUND 164.60 254 89-1 RAILROAD CANYON IMPROVEMENT FUND 6,121.31 357 C.F.D. 2003-02 DEBT SERVICE FUND 772.20 358 C.F.D. 91-2 DEBT SERVICE FUND 1,098.00 362 C.F.D. 95-1 (1996-E) DEBT SERVICE FUND 450.00 363 C.F.D. 88-3 (III 1997-A) DEBT SERVICE FUND 2,068.20 366 C.F.D. 2005-6 CITY CENTER DEBT SERVICE FUND 13,100.00 369 C.F.D. 2004-3 ROSETTA CANYON DEBT SERVICE FUND 675.00 371 C.F.D. 2005-1 SERENITY DEBT SERVICE FUND 450.00 604 ENDOWMENT TRUST FUND 1,000.00 608 TRUST DEPOSIT AND PRE-PAID EXPENSE FUND 1,000.97 620 COST RECOVERY SYSTEM 109,984.18 650 C.F.D. 2003-1 LAW & FIRE SERVICE FUND 250.00 ",--. GRAND TOTAL $ 1,346,782.13 ",--. 4/17/2006 Warrant 041306 1 of 1 AGENDA ITEM No.2 PAGE I OF -.5 APRIL 13. 2006 CITY OF LAKE ELSINORE WARRANT LIST CHECK# VENDOR N.AM:E AMOUNT 85276 CALIFORNIA P.E.R.S. $ 37,719.68 """"" 85307 VOID (CUTTING EDGE SUPPLY) (2,625.00) 85336 VOID (MAJED HADDADEN) (25.00) 85373 VOID (OFF RAMP CAFE) (25.00) 85382 VOID (PRESSING FAITH MINISTRIES) (25.00) 85399 VOID (ROBERTS MONEY SAVERS THRIFT) (25.00) 85445 L1UNA LOCAL 777 1,099.00 85446 STATE COMPENSATION INSURANCE FUND 14,574.30 85447 AL TURA CREDIT UNION 1,150.00 85448 ICMA RETIREMENT TRUST 4,944.00 85449 CALIFORNIA P.E.R.S. 69,145.32 85450 PRE-PAID LEGAL SERVICES, INC. 103.60 85451 ASSURANT EMPLOYEE BENEFITS 9,407.48 85452 V.S.P. VISION SERVICE PLAN 1,198.23 85453 STANDARD INSURANCE COMPANY 2,077.60 85454 STANDARD INSURANCE COMPANY 288.42 85455 CALIFORNIA P.E.R.S. 3,551.81 85456 E.V.C.AP. 320.00 85458-85459 VOID 0.00 85461 VOID 0.00 85463 VOID 0.00 85464-85466 A & A JANITORIAL SERVICE 4,435.70 85467 ALBERT GROVER & ASSOCIATES 16,920.00 85468 ALL PHASE REFRIGERATION & AIR CONDITIONING, INC. 1,331.44 85469 GARY ALLEN 4,963.92 85470 AMERICAN FORENSIC NURSES 467.00 85471 ERICA ANDERSEN 523.50 '-' 85472 ANDREW'S MOBIL 25.00 85473 ANIMAL FRIENDS OF THE VALLEY 7,500.00 85474 ANNIE'S CAFE 25.00 85475 APPLE ONE EMPLOYMENT SERVICES 2,336.55 85476 ARCOA INDUSTRIES 471.19 85477 ARTISAN GOLDSMITHS & AWARDS 122.84 85478 RAFAEL AYALO 500.00 85479 B & C TRUCKING 1,674.00 85480 THE BAG LADY SANDBAGS 720.00 85481 BANK OF AMERICA, CITY MANAGER'S OFFICE 179.89 85482 BANK OF AMERICA, T. BUCKLEY, CITY COUNCIL 37.00 85483 BANK OF AMERICA, FIRE STATION #10 375.74 85484 BANK OF AMERICA, FIRE STATION #94 603.26 85485-85486 BANK OF AMERICA, COMMUNITY SERVICES DEPARTMENT 2,127.32 85487 CATHERYNEBARROZO 252.47 85488 RITA BARRY 350.00 85489 BIO- TOX LABORATORIES 2,368.92 85490 JIM BIZZELL 1,351.50 85491 CYNTHIA BLOOD-WILSON 204.50 85492 BUNDY CANYON TURF SUPPL Y 67.29 85493 MICHAEL SCOTT BURNS 143.47 85494 BUY ON LINE NOW.COM 124.64 85495 CA DEBT & INVEST ADVISOR COMMISSION 125.00 85496 CMS BUSINESS FORMS, INC. 242.73 85497 COMPUTER ALERT SYSTEMS, INC. 971.95 85498 CORONA CLAY COMPANY, INC. 4,284.50 '-' .-- -- ----_...~------~ AGENDA ITEM NO. 2- 4/17/2006 Warranl041306 1 OF 4 PAGE 0<.. OF 5 APRIL 13, 2006 CITY OF LAKE ELSINORE VENDOR NAME /"""CHECK# 85499 KIRT A. COURY 85500 CRAFCO, INC. 85501-85502 CUTTING EDGE STAFFING,INC. 85503 D & SELECTRIC 85504 MARK DENNIS 85505 DFM ASSOCIATES 85506 DIEBOLD, INC. 85507 DL T SOLUTIONS, INC. 85508 DO IT CENTER 85509 CAROLE K. DONAHOE, A.I.C.P. 85510 DOWNS COMMERCIAL FUELING, INC. 85511-85514 ELSINORE VALLEY MUNICIPAL WATER DISTRICT 85515 ELSINORE ELECTRICAL SUPPLY, INC. 85516 ELSINORE VALLEY SELF STORAGE 85517 EXCEL LANDSCAPE, INC. 85518 EXPRESS TIRE 85519 FEDERAL EXPRESS CORPORATION 85520 FILARSKY & WATT, L.L.P. 86521 ISADORE GARCIA 85522 GEORGE MEARS REALTY 85523 GRAINGER INDUSTRIAL SUPPLY 85524 THE GRAPHICS COMPANY 85525-85528 GREENSCAPE LANDSCAPE, INC. 85529 GTSI CORPORATION /"""Q5530 ARLINE GULBRANSEN 05531 LORENA HANCOCK 85532 HARDY & HARPER, INC. 85533-85534 HARRIS & ASSOCIATES, INC. 85535 HARRIS & ASSOCIATES, INC. 85536 HARRIS REALTY APPRAISAL 85537 HAULAWAY STORAGE CONTAINERS,INC. 85538 HDR ENGINEERING, INC. 85539 HEMET FENCE COMPANY 85540 HI-POINT ENGINEERING 85541 HI-WAY SAFETY, INC. 85542 INLAND EMPIRE LOCK & KEY 85543 INYOKERN GOLF COURSE CORPORATION 85544 J. MARK HOLLAND & ASSOCIATES 85545 JEFF HAUSER MOBILE WELDING 85546 JEFF HOWIE 85547 RON AND DANA JIRON 85548 JOHN DEERE LANDSCAPES 85549 JON' FLAGS & POLES, INC. 85550 KANE GEO TECH, INC. 85551 KIRSTEN KING 85552 THE L.I.U. OF N.A. NATIONAL PENSION FUND 85553 LAKE CHEVROLET 85554 LAKE ELSINORE TIRE & AUTO, INC. 85555 LASERLOCK SPECIALTIES, INC. /,,",,85556 LEMON GROVE RV STORAGE l5557 LIBRARY SYSTEMS & SERVICES, L.L.C. 85558 L1NKLlNE COMMUNICATIONS, INC. WARRANT liST AMOUNT 5,970.00 1,589.55 9,645.00 2,537.00 273.38 50.37 203.34 5,747.39 496.47 4,184.30 6,639.97 3,975.67 94.55 77.00 17,478.00 1,417.94 216.79 495.00 700.00 748.25 85.21 654.77 14,899.00 25.97 274.78 7,693.20 7,108.00 9,440.00 568.75 12,650.00 201.60 1,098.00 395.00 3,077.50 2,351.55 652.14 1,990.00 5,000.00 300.00 290.00 7,773.00 1,026.38 1,310.24 4,100.00 577.50 2,406.54 835.65 100.00 517.20 __1,247.9~ 164.60 47.28 4/17/2006 Warrant 041306 20F4 AGENDA ITEM NO.2- PAGE 3 OF S APRIL 13, 2006 CITY OF LAKE ELSINORE WARRANT liST CHECK# VENDOR NAME 85559 NICOLE LLERENA 85560 LOWE'S HOME CENTERS, INC. 85561 SANDRA MASSA-LAVITT 85562 MATTHEW FAGAN CONSULTING SERVICES 85563 MAYHALL PRINT SHOP 85564 MCMASTER-CARR 85565 SALVADOR MENDOZA 85566 LINDA M. MILLER 85567 MK ENTERPRISES 85568 MORROW PLUMBING, INC. 85569 MROZ FLAG POLE INSTALL 85570 MYERS TIRE SUPPLY 85571 NELSON PAVING, INC. 85572 NOBLE CONSULTANTS, INC. 85573 NORTH COUNTY TIMES 85574 NUMARA SOFTWARE, INC. 85575 O'REILLY PUBLIC RELATIONS 85576 OCB REPROGRAPHICS 85577-85578 DENNIS A. PETERSEN D.O., INC. 85579 PETTY CASH 85580 POLICE EXPLORERS POST 881 85581 PREMIUM PALOMAR MT. SPRING WATER 85582 THE PRESS ENTERPRISE 85583 PRODUCTION VIDEO 85584-85585 PRUDENTIAL OVERALL SUPPLY 85586 QUILL CORPORATION 85587 QWEST COMMUNICATIONS 85588 RAGAN COMMUNICATIONS, INC. 85589 RIGHTW A Y 85590 RIVERSIDE COUNTY RECORDER 85591 RIVERSIDE COUNTY SHERIFF 85592 RIVERSIDE COUNTY SHERIFF 85593 RIVERSIDE COUNTY SHERIFF'S DEPARTMENT TECHNICAL SERVICES BUREAU 85594 RIVERSIDE COUNTY DEPARTMENT OF INFORMATION TECHNOLOGY 85595 ROBBINS PEST MANAGEMENT, INC. 85596 ROCK STRUCTURES-RIP RAP 85597 JESUS ROQUE 85598 ROTARY CLUB OF LAKE ELSINORE 85599 SADDLEBACK MATERIALS COMPANY, INC. 85600 SAFETY-KLEEN SERVICES, INC. 85601 SHERWIN-WILLIAMS COMPANY 85602 KATHLEEN R. SMITH 85603 DAVID S. SOLOMON 85604-85606 SOUTHERN CALIFORNIA EDISON COMPANY 85607 SOUTHERN CALIFORNIA GAS COMPANY 85608 STAUFFER'S LAWN EQUIPMENT 85609 BOB STOVER, INC. 85610 SUAREZ'S AUTO UPHOLSTERY 85611 TARGET SPECIALTY PRODUCTS 85612 TEAM AUTOAID, INC. 85613 TEMECULA COPIERS 85614 TOP-LINE INDUSTRIAL, INC. 85615 TOPPER INDUSTRIES, INC. AMOUNT 500.00 '-' 893.54 5,153.49 2,467.55 172 .40 216.27 2,927.40 3,712.50 360.00 1,650.93 365.00 86.38 1,210.85 23,309.89 226.13 75.00 4,423.75 183.73 1,345.00 440.14 100.00 205.50 1,527.75 150.00 206.14 726.67 ......, 1,357.53 28.88 1,699.48 85.00 6,734.40 550,423.86 58,442.00 5,274.95 420.00 1,659.86 120.00 115.00 606.77 438.42 713.58 195.00 3,800.16 31,373.30 392.30 229.39 4,931.10 350.19 1,998.76 427.36 920.21 98.95 388.47 "-'" 4/17/2006 Warrant 041306 3 OF4 AGENDA ITEM NO. 2 # PAGE 'f OF S APRIL 13. 2006 CITY OF LAKE ELSINORE WARRANT LIST "'-'''"RECK# VENDOR NAME d5616 TRUMARK COMPANIES 85617 UNITED PARCEL SERVICE 85618 UNITED RENTALS 85619 VENUS PRINTING 85620-85623 VERIZON CALIFORNIA, INC. 85624 VERIZON ONLINE 85625 TOM VO, JR. 85626 MARK WADE 85627 WAXIE SANITARY SUPPLY 85628 WEST COAST WINDOW CLEANING 85629 WEST GROUP 85630 WESTERN BANK OF CHINOOK 85631 WESTERN FARM SERVICE, INC. 85632 WOODWARD INTERESTS 85633 WOODWARD INTERESTS 85634 WOODWARD INTERESTS 85635 WYNDHAM PALM SPRINGS HOTEL 85636 Z-BEST PAINT AMOUNT 18,000.00 137.08 625.93 112.91 3,297.58 165.05 960.00 25.00 1,839.81 450.00 311.00 2,607.49 522.84 42,366.86 21,774.65 5,500.00 588.93 1,440.54 TOTAL PIE DATE: $ 1,176,669.13 PAYROLL TAXES PAYROLL TAXES PAYROLL CASH PAYROLL CASH 44,326.73 8,294.76 105,156.10 12,335.41 03/31/06 03/31/06 /"""<l3/31 106 3/31106 $ 1,346,782.13 GRAND TOTAL r- 4/17/2006 Warrant 041306 40F4 AGENDA ITEM NO.2- PAGE S OF <) ,- CITY OF LAKE ELSINORE REPORT TO CITY COUNCIL TO: MAYOR AND CITY COUNCIL FROM: ROBERT A. BRADY, CITY MANAGER DA TE: APRIL 25, 2006 SUBJECT: DONA TION FOR H.O.P.E. BACKGROUND In October of 2004, H.O.P.E. (Helping Our People of Elsinore) came before the City Council to request a $5,000 donation to assist in the operational cost associated with their food give-away program. /" DISCUSSION As part of the 2005-2006 FY Budget, approximately $5,000 was allocated for H.O.P.E. as part of the City Council's Community Promotion Account. H.O.P.E. has requested that an additional donation be provided by the City to assist them in their operations for the balance of the fiscal year. FISCAL IMPACT An additional $5,000 is being requested as an increase to the City Council Community Promotions Budget Account 100-4110-413-20-02 for FY 2005-2006. This budgetary increase would come from unallocated revenue. In accordance with Council Policy 300-9, item 5, the balance of the unallocated revenue is currently $2,983,500. There have been 6 budget adjustment approved by Council this fiscal year that have netted a drawn down from unallocated revenue totaling $159,600. /" ACENDA ITEM NO. 3 PAC'E~Of_if REPORT TO CITY COUNCIL APRIL 25, 2006 PAGE 2 ...."., RECOMMENDA TION It is staff s recommendation that the Mayor and City Council approve the request by H.O.P.E. for $5,000 and approve a budget adjustment in account 100-4110-413-20-02 for $5,000. PREPARED BY: C ....."., APPROVED FOR AGENDA BY: ~ AGENDA ITEM NO.~__ .. . PACE ~ _OF~ ,,-. H.O.P.E., INC. HELPINGOURPEOPLEINELSINORE,INC. 29885 Second St., Unit R *Lake Elsinore, CA 92532 (951) 245-7510 * Fax (951) 245-7405 April 11, 2006 Mr. David Sapp, Community Services Director, City of Lake Elsinore, 130 Main Street, Lake Elsinore, CA 92530 Dear Dave, In October 2004 we approached the City, via your offices, and requested consideration of a donation of $5,000, to H.O.P .E., to assist in our Holiday Programs. This followed a fairly significant reduction that year in our CDBO funding from the Cmmty - the reductions, at the County level, continued into the current fiscal year, 2005-2006, and our County CDBO funding was reduced by 50%. "....... We are hopeful that funding for the 2006-2007 year will be somewhat restored, though, we haven't yet heard from the County. As the CDBO funding was reduced for the current year we have already fully utilized the grant and need to continue operations for the final quarter (April, May and June) with no available grant funds to cover our operating costs of rent, utilities, etc. We are writing to ask if it would be possible for the City to consider making a donation of $5,000 to H.O.P.E. to assist us in maintaining operations through to the start of the new grant year (1 July, 2006). Anything the City can do to help us continue to help others will be truly appreciated. Sincerely, ~, ,."..... 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Q i ~ in~ 5'~ r ~g~ n::sm onr- c=!! ::J Z e. 0 - ;u ~ m a. lD . - . .,.. ..... ..... o ~ AGENDA ITEM NG-_8 PAC<c--1--< - .t1 ,--. CITY OF LAKE ELSINORE REPORT TO CITY COUNCIL TO: MA YOR AND CITY COUNCIL FROM: ROBERT A. BRADY, CITY MANAGER DA TE: APRIL 25, 2006 SUBJECT: WAIVER OF FEES/SPONSORSHIP - LAKE ELSINORE ROD RUN AND KULTURE SHOW BACKGROUND ,--. The Lake Elsin.ore Valley Chamber of Commerce and the Downtown Merchants Association are working together to bring the Rod Run event to Lake Elsinore on June 24, 2006. The Chamber and the DMA are working with a local promoter, Shawn Eddy, from FXE Designs, to help organize the event. DISCUSSION The event will take place on Saturday, June 24th from 2:00 to 7:00 p.m. Main St. will be closed from Franklin to Lakeshore Dr. including all side streets to the alley. Cars and motorcycles will be located on Main St. with vendors on the side streets and special displays at City Park. Registration for participants and vendors will be handled on-line through the LEVCC website and the DMA will be promoting the event by asking local businesses to participate. ,--. The LEVCC and the DMA are asking the City of Lake Elsinore to co-sponsor the event and waive all fees associated with the event. City staff would be responsible for pre-signing all of the street closures 72 hours in advance of the event, performing and monitoring the street closures on the day of the event and coordinating cleaning and trash removal during and after the event. The City would also supply the liability insurance through the JPIA program and waive all special event fees. The breakdown of the requested waiver of fees is as follows: t-iGENDA ITEM NO. L\- PAC.;;: f OF 3 . ;:.. ..."..F ....." REPORT TO CITY COUNCIL APRIL 25 PAGE 2 Insurance Placement of Signage/Street Closure and Clean-Up Special Event Fees ($200 Processing Fee - $1,000 Refundable Deposit) $ 536.56 $2,200.00 $1,200.00 TOTAL EXPENSES $3,936.56 FISCAL IMPACT Waiver of all fees associated with the event will result in a $3,936.56 expense to the City. The road closure/clean-up expenses will be absorbed in the Public Works budget and the insurance cost will be absorbed by the Community Services Administration budget. RECOMMENDA TION ....." City Council approve the request for co-sponsorship/waiver of fees from the Lake Elsinore V alley Chamber of Commerce and the Downtown Merchants Association for the Lake Elsinore Rod Run and Kulture Show on June 24, 2006. PREPARED BY: rJ~~/-1f-' TERI FAZZIO,imtREATIO OURISM MANAGER APPROVED BY: APPROVED FOR AGENDA BY: ....." AGENDA ITEM NO. L{ PACE J OF ] ,-.... Despite the article in The Californian recently, the Lake Elsinore Rod Run and Kulture Show is coming to town on Saturday, June 24, from 2:00 p.m. to 7:00 p.m. A copy of the article announcing the return of the Rod Run is enclosed in the event you missed the second article. The sponsors of the show are: City of Lake Elsinore Downtown Merchants Association Lake Elsinore Valley Chamber of Commerce This event is being planned as a hometown activity with our local businesses participating and we will be using the City's new theme, "Dream Extreme" in our promotions. One of our locals, Shawn Eddy, owner of FXE Designs, will be organizing the event. Our plans are to have Main Street closed from Franklin to Lakeshore Drive. There will be cars and motorcycles on Main Street, vendors on the side streets, special displays at City Park, and other events. This will be an event the City can take ownership of and begin the process of "theming" certain events as Lake Elsinore specific. For this reason, we would appreciate the City Council waiving all the fees involved as described below (Including the cost of insurance of $536.56). The registration will be handled online through the LEVCC web site and the ~ DMA will be promoting the function by asking our local businesses to participate. Sincerely, Kim Joseph Cousins President/CEO Lake Elsinore Valley Chamber of Commerce Ruth Atkins President Lake Elsinore Historic Downtown Merchants Association Waiver of Fees Requested: Sign age for Street Closure up 72 Hours before the event Street closure from Franklin to Lakeshore on Main Street and all side streets between Main Street and Spring Street from 10:00 a.m. to 11 :00 p.m. Use of City Park for Special Interest Vehicles Clean-up during and after the event ,-.... Special Event Fees AGEtlDI\HEM tlO.~~ PAGE .3 OF_------^ ,......... CITY OF LAKE ELSINORE RE}lORT TO CITY COUNCIL TO: MAYOR AND CITY COUNCIL FROM: ROBERT A. BRADY, CITY MANAGER DATE: APRIL 25, 2006 SUBJECT: PUBLIC HEARING - APPROVING A JOINT COMMUNITY FACILITIES AGREEMENT AND A FUNDING, CONSTRUCTION AND ACQUISITION AGREEMENT, APPROVING THE FORMATION OF CFD 2006-2 (VISCAYA); CALLING A SPECIAL ELECTION; CANVASING ELECTION RESULTS; AUTHORIZING LEVY OF SPECIAL TAXES ",-... BACKGROUND On February 9,2006, the City adopted a resolution of intention to form Community Facilities District (CFD) 2006-2 (Viscaya) and a resolution of intention to incur bonded indebtedness to finance the facilities. DISCUSSION The developer plans to build 168 single family homes. Build out is projected in the tax spread analysis in 2006-2007. Joint Community Facilities Agreement A Joint Community Facilities Agreement ("JCF A") will be entered into between the City, EVMWD and Cormen Leight-Tozai due to the inclusion of EVMWD facilities." and fees. The JCFA was approved by EVMWD on April 13, 2006. Funding Construction and Acquisition Agreement This agreement has typically been approved by City Council as part of approving the bond issue, but now will be included as part of the Formation Public Hearing. /""" AGENDA ITElI/II~u.2\ PAGE-L-OF 15.~_ REPORT TO CITY COUNCIL APRIL 25, 2006 PAGE 2 ....", This is a standard agreement developed by the Finance team to identify and agree on the funding and what will be constructed and acquired with the funding. Special Tax The average residential special tax in the CFD is estimated at $2,648, with the highest tax at $2,908. The non-residential special tax in the CFD is estimated at $29,060 per acre. The annual CFD tax amounts, when combined with all other property taxes applicable to the project, are estimated to be approximately 1.9%, which is within the 2% City CFD guidelines. The 2% maximum tax rate includes estimates for the Parks, Open Space, and Storm Drains CFD. Parks, Open Space and Storm Drains Operation and Maintenance Built into the rate and method of apportionment (RMA), as a special tax for ....", services, is a component to cover a portion of increased cost of maintaining parks, open space and storm drains as a result of the new development. The Mello-Roos Community Facilities Act of 1982 ("the Mello-Roos Act") was specifically drafted to assist agencies with the impacts of new developments. In addition to providing a mechanism to fund the construction of public infrastructure, the Mello-Roos Act allows an agency to fund the incremental increase in cost of services due to the new development. These services include police, fire (including paramedic), maintenance of parks, open space and storm drains. An open space and storm drains maintenance component of the RMA is proposed and will be recommended for all new facilities CFD's as a part of the RMA. For FY 2006-07, residential property in Improvement Area No.1, 2, and 3 will be assessed $246.84 per single family unit and $123.42 per multifamily unit. Bond Issue In order to finance the facilities it is necessary to incur bonded indebtedness. The not to exceed amount is $7,500,000. ....", AGENDA ITEM NO. 2:.\ PAGE 2 oFj53_ ... ~ REPORT TO CITY COUNCIL APRIL 25, 2006 PAGE 3 FISCAL IMPACT The administrative cost of forming the district incurred by the City will be paid by a deposit made by the developer. Repayment of the bonds are secured by the special taxes levied on all property within the district, other than those properties that are exempt as provided in the respective rate and method of apportionment. The City will, however, be faced with a long-term obligation going forward to maintain the City public facilities constructed as part of the development. RECOMMENDATION ~ This is an advertised Public Hearing. The following is recommended to the City Council: 1. Open the Public Hearing and call for testimony 2. Close the Public Hearing 3. Adopt Resolution No. 2006 - 5" I approving the joint facilities agreement and a funding, construction and acquisition agreement 4. Adopt Resolution No. 2006 - 52 approving the formation of the District 5. Adopt Resolution No. 2006 - ,S-J to incur bonded indebtedness and calling a special election 6. Direct the City Clerk to open sealed ballot(s), tally vote(s), announce the vote tally and state whether 2/3 of the voters are in favor 7. Adopt Resolution No. 2006 - St.j ordering canvassing of the election results 8. Conduct first reading of the Ordinance No. /177 authorizing the levy of special tax "...- AGENDA ITEM NO. ?- \ PAGE_3 OF /53_ REPORT TO CITY COUNCIL APRIL 25, 2006 PAGE 4 '-" PREPARED BY: INISTRATIVE SERVICES APPROVED FOR AGENDA BY: '-" ...." AGENDA ITEM NO. '2l PACE t.{ OF '5?_ ,-... PROPOSED BOUNDARY OF COMMUNITY FACILITIES DISTRICT No. 2006-2 OF THE CITY OF LAKE ELSINORE (V1SCA YA) COUNTY OF RIVERSIDE, STATE OF CALIFORNIA UNB II LENGTH lJ :JIl"Il8111 11 10U.60 UI ll3'0ll'1 II M.ll4 . LIJ 3Il"ll3'llJ" 11 L4 _ ~ II" 7ll.00' Ul :JIl"Il8llJ If 1011.00 LIJ ll3'0ll'111 lBO.Ol L7 3Il"ll3 61 11 1011.00 LIJ ll3"Oll~lI" BOll.oo LII N:JIl"Il8llJ 11 40.00 0 _'1 II" 1 ll4 lJl N _'61" Jr I13.H lJS _ 01/ eo.oo APN 379-2>>-04 lJ3 N_llJ 11 ./JIJ 379-230-06 lJ4 N ll3"Oll111" 447.00' 379-2>>-08 lJ6 3ll"ll3'63" 8B8.311 379-2>>-09 lJ/I _'SII" BBO.77' lJ7 /S3"04'34 " 837.66 CURVE RADlVS DJrLT. LENGTH CJ 60.00 34'30 811 3O.U c.e 60.00 34'3B OJ 30..14 ClJ 630.00 C4 ll30.oo 03"61/811 3/1.111 ,-... ell ll30.00 00"llII 03 8.116 C8 470.00 07"511111 86.ll3 C7 100.00 4ll"61JBII 71.48 C8 48.00 84'00 07 BO.U CII 48.00 1 CJO 4./1.00 .H THE BOUNDARY OF THE DISTRICT COINCIDES \\ITH THE BOUNDARY OF TRACT 3200/1 EXa.uDlNG LOTS 169.170,....A.... Y AND Z. SCALE: '"=200' nLED IN THE OFnCE OF THE CITY CLERK OF THE CITY OF LAKE EI.SlHORE THIS ----1)A Y OF ----.JDD6. CITY CLERK OF THE CITY OF LAKE ELSINORE I HEREBY CERTIfY THAT THE \\ITHIN llAP SHDl\IHG THE PROPOSED BOUNDARIES OF COIIIIUNITY FAClUl1ES DISTRICT NO. 2006-2 (V1SCAYA), CITY OF LAKE ELSINORE. COUNTY OF Rf\IERSIDE. STAlE OF CAUf"DRNlA WAS AI'PROYEIl BY THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE: AT A REGULARLY SCHEOULED llEEllNG THEREOF, HElD ON THE _ DAY OF 2006. BY ITS RESOLUnOH No. CITY CLERK OF THE CITY OF LAKE ELSINORE nLED THIS _ DAY OF ~ 200/1. AT THE HOUR OF D'CLDCK......,Il. IN IlOOK-. OF llAPS or ASSESSllENT AND COI/IIUNlTY FAClUl1ES DISTRICTS PACE NOS._THROUGIL- AS INSTRUlIENT No.~ IN THE OFnCE OF THE COUNTY RECORDER IN THE COUNTY OF Rf\IERSlDE. STAlE OF CAUf"DRNIA. COUNTY RECORDER OF THE COUNTY OF Rf\IERSlDE FEE L-- REITRENCE THE Rf\IERSlDE COUNTY ASSESSOR'S llAPS FOR A DETAILED DESCRJPllDN or PARCEL UNES AND DlllENSlONS ,-... PROPOSED BOUNDARY MAP VICINITY MAP NO SCALE LfWfD. DtSlRlCT BOUNDAAY _HARRIS & ASSOCIATES 3~ ExICUIIvt Pari. Suit. 150 _Irvin., CA 92614 (g..) 655-39oo . fAX (g.g) 655-3995 Community Facilitle. Dilltrict No. 2008-2 of the City of Lake Elsinore (Vi.caya) count~~OAj,T~MfRt. PACE_ '-'" JOINT COMMUNITY FACILITIES AGREEMENT by and among CITY OF LAKE ELSINORE, ELSINORE VALLEY MUNICIPAL WATER DISTRICT AND CORMAN LEIGH- TOZAI ELSINORE, LLC ....." RELATING TO COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCAYA) OF THE CITY OF LAKE ELSINORE Dated as of April 28, 2006 ~ 45726747.2 AGENDA ITEM NO. PACE to '2-1 OF J 5~ - /"" JOINT COMMUNITY FACILITIES AGREEMENT BY AND AMONG CITY OF LAKE ELSINORE, ELSINORE VALLEY MUNICIPAL WATER DISTRICT AND CORMAN LEIGH- TOZAI ELSINORE, LLC (Community Facilities District No. 2006-2 (Viscaya) of the City of Lake Elsinore) THIS JOINT COMMUNITY FACILITIES AGREEMENT ("Agreement") is made and entered into as of the 28th day of April, 2006, by and among the ELSINORE VALLEY MUNICIPAL WATER DISTRICT, County of Riverside, St~te of California, a municipal water district ("EVMWD") organized and operating pursuant to the Municipal Water District Law of 1911 as set forth in the California Water Code, the CITY OF LAKE ELSINORE, a municipal corporation ("City"), and CORMAN LEIGH-TOZAI ELSINORE, LLC, a California limited liability company ("Property Owner"), with respect to Community Facilities District No. 2006-2 (Viscaya) of the City (the "CFD"). /"" R E C ! TAL ~: A. Property Owner is the owner of certain real property located within the boundaries of EVMWD and the City and depicted in Exhibit "A" hereto (the "Property"). The Property consists of approximately _ net developable acres within Tentative Tract Map No. B. Property Owner intends to develop the Property for residential purposes and has obtained or intends to obtain the necessary development approvals to construct approximately single family detached residential units. Development of the Property shall be referred to as the "Project." C. The Project will require the payment, pursuant to the rules and regulations of EVMWD, as amended from time to time ("EVMWD Rules and Regulations"), of certain EVMWD Charges (defined below). An amount equal to all or a portion of the EVMWD Charges may be paid directly to EVMWD from time to time out of Bond Proceeds (defined below) pursuant to this Agreement. D. The Project will also benefit, in whole or in part, from the construction of certain Acquisition Facilities (defined below and described on Exhibit "B" attached hereto). EVMWD and the Property Owner agree that any Acquisition Facilities to be constructed by Property Owner or constructed prior to the date hereof shall be eligible for acquisition by EVMWD and /"'"" 45726747.2 AOENDA ITEM NO. PAGE 7 2\ OF /tJ.7 the costs thereof shall be eligible for reimbursement out of Bond Proceeds pursuant to this Agreement. ...." E. In conjunction with the recording of the final subdivision map for the Project, the issuance of building permits for the construction of homes within the Project and/or receipt of water meters for such homes, it may be necessary for Property Owner, or its successors or assigns, to provide a security deposit for EVMWD Charges to EVMWD (the "Deposits") before any Bond Proceeds are available to pay for EVMWD Charges. In such case, Property Owner shall be entitled to (i) reimbursement of such Deposits and (ii) credit for payments made to EVMWD from Bond Proceeds for EVMWD Charges which would otherwise be due to EVMWD in conjunction with the Project, all as further described herein. F. The Project will also require certain public improvements to be owned, operated or maintained by the City, or to which the City contributes revenue (the "City Improvements"), which will also be eligible for financing through the CFD. G. Pursuant to the request of the Property Owner, the City Council of the City intends to form the CFD pursuant to the Act (defined below) to provide financing of the EVMWD Charges, Acquisition Facilities, and City Improvements through the levy of special taxes and issuance of bonds. H. City and EVMWD are authorized by Section 53313.5 of the Act to pay for or finance, by means of the CFD, the EVMWD Charges, Acquisition Facilities and City Improvements. This Agreement constitutes a "joint community facilities agreement" within the meaning of Section 53316.2 of the Act by and among EVMWD, the City and Property Owner, '"-'" pursuant to which the CFD, when formed, will be authorized to finance the City Improvements, EVMWD Charges, and to finance the construction and acquisition of Acquisition Facilities. As provided by Section 53316.6 of the Act, responsibility for providing and operating the Acquisition Facilities is delegated to EVMWD to the extent set forth herein and responsibility for constructing, providing and operating the City Improvements is delegated to the City. I. The provision of the City Improvements, Acquisition Facilities and EVMWD Charges is necessitated by the Project, and the parties hereto find and determine that the residents of the City and EVMWD will be benefited by the payment of EVMWD Charges and construction and acquisition of the Acquisition Facilities and the City Improvements and that this Agreement is beneficial to the interests of such residents. ARTICLE I GENERAL PROVISIONS Section 1.1 Recitals. The above recitals are true and correct and are hereby incorporated by this reference. Section 1.2 Definitions. Unless the context clearly otherwise requires, the terms defined in this Section shall, for all purposes of this Agreement, have the meanings herein specified. '-" 2 AGENDA ITEM NO. 2. \ PAOE_ <0 OF~?3- ~. (a) "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, commencing with California Government Code Section 53311, et seq. (b) "Acquisition Facility or Facilities" means those sewer and water facilities listed on Exhibit "B" hereto, which are eligible to be constructed by the Property Owner or have been constructed prior to the date hereof by the Property Owner, acquired by EVMWD and paid for with Bond Proceeds. ( c) "Acquisition Price" means the amount to be paid out of Bond Proceeds for an Acquisition Facility. (d) "Actual Costs" with respect to an Acquisition Facility includes: (i) the actual hard construction costs including labor, materials and equipment costs, (ii) the costs incurred in design, engineering and preparation of plans (iii) the fees paid to consultants and government agencies in connection with and for obtaining permits, licenses or other required governmental approvals, (iv) a construction management fee of 5% of the costs described in clause (i) above, (v) professional costs such as engineering, legal, accounting, inspection construction staking, materials testing and similar professional services, (vi) costs of payment, performance of maintenance bonds, and insurance costs (including the costs of any title insurance) and (vii) the value of any real property or interests therein that (1) are required for the construction or operation of the Acquisition Facility such as pump station and reservoir sites, temporary construction easements, haul roads, etc. and (2) are required to be conveyed with such Acquisition Facility in an amount equal to the fair market value of such real property or interests ~, therein. ( e) "Agreement" means this Joint Community Facilities Agreement. (f) "Bond Proceeds" or "Proceeds of the Bonds" shall mean those net funds generated by the sale of the Bonds. (g) "Bond Resolution" means that Resolution, Resolution Supplement, Fiscal Agent Agreement, Indenture of Trust or other equivalent document(s) providing for the issuance of the Bonds. (h) "Bonds" shall mean those bonds, or other securities, issued by, or on behalf ofthe CFD, as authorized by the qualified electors within the CFD. (i) "CFD" means Community Facilities District No. 2006-2 (Viscaya) of the City of Lake Elsinore. (j) "Deposits" means a deposit of EVMWD Charges made by the Property Owner prior to the disbursement of Bond Proceeds to EVMWD for EVMWD Charges (k) "Engineer" means the engineering firm or in-house personnel used by EVMWD to determine the value of an Acquisition Facility to be acquired with Bond Proceeds. ~ (1) "EVMWD Charges" means water connection fees, sewer connection fees, annexation fees, sewer treatment capacity charges and all components thereof of EVMWD 3 AGENDA ITEM NO. ~l PAGE " OF 11~ imposed upon the Project to pay for the provision of water and sewer services to and the construction ofEVMWD water and sewer facilities required to serve the Project. .....", (m) "EVMWD Facilities Fund" means the fund, account or sub-account of the CFD (regardless of its designation within the Bond Resolution) into which a portion of the Bond Proceeds may be deposited in accordance with the Bond Resolution and Funding Agreement to finance the construction and acquisition of the Acquisition Facilities and to pay EVMWD Charges. Designee. (n) "EVMWD Representative" means the EVMWD Chief Engineer or his (0) "Facilities" means the City Improvements, Acquisition Facilities and EVMWD Charges. (p) "Field Engineer" shall have the meaning ascribed to the term in Section 3. (q) "Funding Agreement" shall mean the Funding, Construction and Acquisition Agreement between City and Property Owner relating to the CFD, as it may be amended from time to time. (r) "Party" or "Parties" shall mean anyone or aU of the parties to this Agreement, including the CFD which, upon its formation, shall be considered to be a party to this Agreement and bound by its provisions. (s) "Plans and Specifications" shall mean the plans and specifications for the design and construction of an Acquisition Facility as approved by EVMWD, which approval shall not be unreasonably withheld. '-' (t) "Rate and Method" means the Rate and Method of Apportionment of the Special Tax authorizing the levy and collection of special taxes pursuant to proceedings undertaken for the formation of the CFD pursuant to the Act. (u) "State" means the State of California. (v) "Special Taxes" means the special taxes authorized to be levied and collected pursuant to the Rate and Method. (w) "Substantially Complete" or "Substantial Completion" with respect to an Acquisition Facility means that such Acquisition Facility is substantially complete in accordance with its Plans and Specifications and is available for use by the public for its intended purpose, notwithstanding any final "punch list" items still required to be completed, unless such items are required for the safe operation of such Acquisition Facility, and shall be based upon approval of EVMWD's inspectors, which shall not be unreasonably withheld. '-' 4 ACENDA 'TEM NO. PAGE 10 2t OF J Cy 3 ARTICLE II FORMATION OF CFD AND ISSUANCE OF BONDS /'""' Section 2.1 Proposed Formation of the CFD. The City, pursuant to the written request of the Property Owner, has initiated proceedings pursuant to the Act for the formation of the CFD, the authorization of the Special Taxes and the authorization of Bonds on behalf of the CFD. Nothing contained herein shall be deemed to limit the discretion of the City in that regard and the City shall have no liability to EVMWD if the CFD is not formed or if the Special Taxes and Bonds are not authorized by the qualified electors. Section 2.2 Issuance and Sale of Bonds. In the event the CFD is formed and the Special Taxes and Bonds are authorized, the City Council of the City, acting as the legislative body of the CFD, may, in accordance with its adopted policies and the Funding Agreement, adopt the Bond Resolution and issue the Bonds to finance the Facilities. Section 2.3 Bond Proceeds. Upon the issuance and sale of each series of Bonds, and receipt of the Bond Proceeds, the City and Property Owner shall determine the amount of the Bond Proceeds allocable to finance construction and acquisition of Acquisition Facilities and to pay EVMWD Charges in accordance with the Funding Agreement, and shall deposit such amount in the EVMWD Facilities Fund. /'""' In conjunction with the recording of the final subdivision maps for the Property, the issuance of building permits for the construction of homes within the Property and/or receipt of water meters for such homes, it may be necessary for Property Owner, or its successors or assigns, to make Deposits before Bonds are issued or Bond Proceeds are disbursed to EVMWD. Upon and following the issuance and sale of the Bonds, Property Owner may execute and submit a payment request to the CFD in the format and meeting the requirements as set forth in the Funding Agreement requesting disbursement of an amount equal to all Deposits from the EVMWD Facilities Fund. Within thirty (30) days after EVMWD's receipt of funds pursuant to such disbursement request, EVMWD shall return the Deposits to Property Owner and credit Property Owner for EVMWD Charges in an amount equal to such disbursement. In the event Bonds are not issued and sold within twelve (12) months after the date of any Deposit to EVMWD, any such Deposit may at the written direction of EVMWD be applied to pay EVMWD Charges and, if so applied, shall not be reflected as a Deposit on the accounts of EVMWD. From time to time following the issuance and sale of the Bonds, Property Owner shall authorize EVMWD in writing to request a disbursement from the EVMWD Facilities Fund to fund EVMWD Charges. Upon such notice and EVMWD's receipt of such disbursement, Property Owner shall be deemed to have satisfied the applicable EVMWD Charges with respect to the number of dwelling units or lots for which the EVMWD Charges would otherwise have /'""' been required in an amount equal to such disbursement. 5 AOENOA ITEM NO. 2-\ PACE--1L-OF I S ~ - - Section 2.4 Resvonsibilitv for EVMWD Char2es and Acquisition Facilities. (a) The Parties hereto acknowledge and agree that the final responsibility for the payment of the EVMWD Charges and the design, construction and dedication of Acquisition Facilities to be constructed by Property Owner lies with the Property Owner. ~ (b) If the amounts derived from Bond Proceeds deposited in the EVMWD Facilities Fund, including investment earnings thereon, if any, are not sufficient to fund the total cost of the EVMWD Charges and Acquisition Facilities to be constructed by Property Owner, the parties hereto agree that all responsibility and liability for the amount of such shortfall shall be and remain with the Property Owner and shall not lie with the City, CFD or EVMWD. ( c) In addition to financing the EVMWD Charges described above, the Parties acknowledge that EVMWD may require the Property Owner, pursuant to the EVMWD Rules and Regulations, to design, construct and dedicate to EVMWD Acquisition Facilities as a condition to providing water and sewer service to the Property., The Parties also agree and acknowledge that all responsibility and obligation for the design, construction and dedication of such Acquisition Facilities to EVMWD, in accordance with all applicable statutes and the EVMWD Rules and Regulations, shall be and remain the responsibility of the Property Owner. (d) EVMWD agrees to utilize or apply funds provided to it by the CFD, in accordance with the Act and other applicable law, and as set forth herein, for the EVMWD Charges and Acquisition Facilities to be constructed by Property Owner. (e) Property Owner shall indemnify, defend, and hold harmless, the City, CFD, and ~ EVMWD, their respective officers, employees and agents, and each and every one of them from and against all actions, damages, claims, losses or expenses of every type and description to which they may be subjected or put, caused by Property Owner's design, engineering, construction, and transfer of ownership to EVMWD of the Acquisition Facilities. Property Owner, or Contractor, shall provide a bond to guarantee the repair of any defect or damage to any Acquisition Facility for 1 year after the acceptance by EVMWD. (f) EVMWD shall indemnify, defend, and hold harmless, the City, CFD and Property Owner, their respective officers, employees and agents, and each and every one of them from and against all actions, damages, claims, losses or expenses of every type and description to which they may be subjected or put, caused by EVMWD's design, engineering, construction, and acquisition of facilities constructed with the proceeds ofthe EVMWD Charges. Section 2.5 Resvonsibilitv for Debt Service or Svecial Taxes. EVMWD shall have no obligation, responsibility, or authority with respect to the issuance and sale of the Bonds, the Bond Proceeds available to finance the construction and acquisition of the Acquisition Facilities and to pay EVMWD Charges, the payment of the principal and interest on the Bonds, or for the levy of the Special Taxes to provide for the payment of principal and interest thereon. The CFD shall have the sole authority and responsibility for all such matters. '-' 6 AGENDA ITEM NO. 2-l PACE \ '2 OF --1 ? ~ ,-... The Parties hereto specifically agree that the liabilities of the CFD, including liabilities, if any, of the CFD pursuant to the documents providing for the issuance of Bonds, including the Bond Resolution, shall not be or become liabilities ofEVMWD. Section 2.6 Administration of the CFD. The City shall have the power and duty to provide for the administration of the CFD once it is formed, subject to the terms hereof and the Funding Agreement, including employing and compensating all consultants and providing for the various other administration duties set forth in this Agreement. It is understood and agreed by Parties hereto that EVMWD will not be considered a participant in the proceedings relative to formation of the CFD or the issuance of the Bonds, other than as a Party to this Agreement. ARTICLE III CONSTRUCTION AND ACQUISITION OF ACQUISITION FACILITIES Section 3.1 Construction of Acquisition Facilities bv Property Owner. The following provisions of this Article ill shall apply solely with respect to those Acquisition Facilities to be constructed by the Property Owner and acquired by EVMWD with Bond Proceeds: ,-... (a) The Property Owner will complete the Plans and Specifications for such Acquisition Facilities. The Plans and Specifications shall include EVMWD's standard specifications and shall be subject to EVMWD approval, which shall not be unreasonably withheld. EVMWD agrees to process any Plans and Specifications for approval with reasonable diligence and in a timely manner. The Property Owner may proceed with the construction of any such Acquisition Facilities in accordance with the provisions of Section 3.2 hereof. A qualified engineering firm (the "Field Engineer") shall be employed by Property Owner to provide all field engineering surveys determined to be reasonably necessary by the EVMWD inspection personnel. The Field Engineer shall promptly furnish to EVMWD a complete set of grade sheets listing all locations, offsets, etc., in accordance with good engineering practices, and attendant data and reports resulting from the Field Engineer's engineering surveys and/or proposed facility design changes. EVMWD shall have the right, but not the obligation, to review, evaluate and analyze whether such results comply with applicable specifications. (b) A full-time soils testing firm, reasonably approved by EVMWD, shall be employed by Property Owner to conduct soil compaction testing and certification. Property Owner shall promptly furnish results of all such compaction testing to EVMWD for its review, evaluation and decision as to compliance with applicable specifications. In the event the compaction is not in accordance or compliance with applicable specifications, Property Owner shall be fully liable and responsible therefor. A final report shall be required fully certifying trench compaction efforts prior to acceptance of each of the Acquisition Facilities. ~ 7 AGENDA ITEM NO, PAGE I 3 2-' OF 173 (c) The cost of all surveying, compaction testing and report costs associated with such Acquisition Facilities furnished and constructed by any contractors or sub- contractors (collectively, "Contractors") shall be paid for by the Property Owner and the costs of such work shall be eligible to be reimbursed from the EVMWD Facilities Fund. ,..." (d) EVMWD shall not be responsible for conducting any environmental, archaeological, biological, or cultural studies or any mitigation requirements related to the Acquisition Facilities to be constructed by Property Owner that may be requested by appropriate Federal, State, and/or local agencies. Any such work shall be paid for and such work shall be conducted by, or on behalf of Property Owner and the costs of such work shall be eligible to be reimbursed from the EVMWD Facilities Fund. Section 3.2 Public Works Requirements. In order to insure that the Acquisition Facilities to be constructed by the Property Owner, completed after formation of the CFD and acquired with Bond Proceeds will be constructed as if they had been constructed under the direction and supervision, or under the authority of, EVMWD, so that they may be acquired by EVMWD pursuant to Government Code Section 53313.5, the Property Owner shall comply with all of the following requirements: (a) The Property Owner shall obtain bids for the construction of such Acquisition Facilities in conformance with the standard procedures and requirements of EVMWD with respect to its public works projects or in a manner which is approved by the EVMWD Representative. ~ (b) The contract or contracts for the construction of such Acquisition Facilities shall be awarded to the responsible bidder(s) submitting the lowest responsive bides) for the construction of such Acquisition Facilities. (c) The Property Owner shall require, and the specifications and bid and contract documents shall require all such Contractors to pay prevailing wages and to otherwise comply with applicable provisions of the Labor Code, the Government Code and the Public Contract Code relating to public works projects and as required by the procedures and standards ofEVMWD with respect to the construction of its public works projects. (d) Said Contractors shall be required to furnish labor and material payment bonds and contract performance bonds in an amount equal to 100 percent of the contract price naming the Property Owner and EVMWD as obligees and issued by insurance or surety companies approved by the EVMWD Representative. All such bonds shall be in a form approved by the EVMWD Representative. Rather than requiring its Contractors to provide such bonds, the Property Owner may elect to provide the same for the benefit of its Contractors. Furthermore, Property Owner or Contractor shall post a bond pursuant to Section 2A(e) and 3.8 hereof. ( e) All such Contractors shall be required to provide proof of insurance coverage throughout the term of the construction of such Acquisition Facilities which they will construct in conformance with EVMWD's standard procedures and requirements. ....", 8 AGENDA ITEM NO._?-J PACE-1L-OF I&?? /"'.. (f) The Property Owner and all such Contractors shall comply with such other requirements relating to the construction of such Acquisition Facilities which EVMWD may reasonably impose by written notification delivered to the Property Owner and each such Contractor at any time either prior to the receipt of bids by the Property Owner for the construction of such Acquisition Facilities or, to the extent required as a result of changes in applicable laws, during the progress of construction thereof. In accordance with this Section 3.2, the Property Owner shall be deemed the awarding body and shall be solely responsible for compliance and enforcement of the provisions of the Labor Code, Government Code, and Public Contract Code of the State of California. The Property Owner shall provide proof to EVMWD, at such intervals and in such form as the EVMWD Representative may require, that the foregoing requirements have been satisfied as to all of the Acquisition Facilities constructed by Property Owner, acquired by EVMWD and paid for with Bond Proceeds. If any Acquisition Facility is constructed by Owner and completed prior to the formation of the CFD, EVMWD may accept such Acquisition Facilities, provided, however, that Property Owner shall indemnify and hold harmless EVMWD and the City for any investigation or inquiry by the Department of Industrial Relations and shall defend any action by the Department of Industrial Relations with respect to the construction of the Acquisition Facilities. Furthermore, the Property Owner shall indemnify and hold harmless EVMWD and the City from and against all damages, claims, losses or expenses of every type arising out of such investigation or inquiry and any action brought by a Contractor in connection therewith. ".-.. Section 3.3 Inspection; Completion of Construction. EVMWD shall have primary responsibility for providing inspection of the construction of the Acquisition Facilities constructed by the Property Owner to insure that the construction is accomplished in accordance with the Plans and Specifications. EVMWD's personnel shall have access to the site of the work at all reasonable times for the purpose of accomplishing such inspection. Upon Substantial Completion of the construction of such Acquisition Facilities by Property Owner, the Property Owner shall notify the EVMWD Representative in writing that the construction of such Acquisition Facilities has been Substantially Completed. Upon receiving such written notification from the Property Owner, and upon receipt of written notification from its inspectors that construction of any of the Acquisition Facilities by Property Owner has been Substantially Completed, EVMWD shall in a timely manner notify the Property Owner in writing that the construction of such Acquisition Facilities has been satisfactorily completed. Upon receiving such notification, the Property Owner shall forthwith file with the County Recorder of the County of Riverside a Notice of Completion pursuant to the provisions of Section 3093 of the Civil Code. The Property Owner shall furnish to the EVMWD Representative a duplicate copy of each such Notice of Completion showing thereon the date of filing with the County Recorder. Any actual costs reasonably incurred by EVMWD in inspecting and approving the construction of any Acquisition Facilities by Property Owner not previously paid by the Property Owner shall be eligible to be reimbursed from the EVMWD Facilities Fund. ".-.. 9 AGENDA ITE:M :\\O_.?,J PAGE \5 OF.J 52_ Section 3.4 Liens. Upon the expiration of the time for the recording of claim of liens as prescribed by Sections 3115 an.d 3116 of the Civil Code, the Property Owner shall provide to the EVMWD Representative such eVIdence or proof as EVMWD shall require that all persons, firms and corporations supplying work, labor, materials, supplies and equipment on behalf of Property Owner for the construction of any Acquisition Facilities have been paid, and that no claims of liens have been recorded by or on behalf of any such person, firm or corporation. Rather than await the expiration of the said time for the recording of claims of liens, the Property Owner may elect to provide to EVMWD a title insurance policy or other security acceptable to the EVMWD Representative guaranteeing that no such claims of liens will be recorded or become a lien upon the Property with priority over the lien of the special taxes to be levied thereon in the proceedings for the formation of the CFD. ...., Section 3.5 Acquisition. Acquisition Price: Source of Funds. Provided the Property Owner has complied with the requirements of this Agreement, EVMWD agrees to acquire the Acquisition Facilities from the Property Owner. The price to be paid by the CFD for the acquisition of such Acquisition Facilities by EVMWD (the "Acquisition Price") shall be the lesser of (i) the value of the Acquisition Facilities or (ii) the total of the Actual Costs of the Acquisition Facilities. The Property Owner shall transfer ownership of the Acquisition Facilities to EVMWD by grant deed, bill of sale or such other documentation as the EVMWD Representative may require. Upon the transfer of ownership of the Acquisition Facilities or any portion thereof from the Property Owner to EVMWD, EVMWD shall be responsible for the maintenance of the Acquisition Facilities or the portion transferred. ~ For purposes of determining the Acquisition Price to be paid by the CFD for the acquisition of the Acquisition Facilities by EVMWD, the value of such improvements shall be the amount determined by the engineering firm retained by EVMWD for such purpose (the "Engineer"), to be the value of the Acquisition Facilities based on the Actual Costs submitted by the Property Owner, as hereinbefore specified; provided, however, that if the Engineer reasonably determines that such Actual Costs, or any of them, are excessive and that the value of the Acquisition Facilities is less than the total amount of such Actual Costs, the Acquisition Price to be paid by the CFD for the acquisition of the Acquisition Facilities shall be the value thereof as determined by the Engineer. Upon completion of the construction of any Acquisition Facilities by Property Owner, the Property Owner shall deliver to EVMWD copies of the contract(s) with the Contractor(s) who have constructed the Acquisition Facilities or other relevant documentation with regard to the payments made to such Contractor(s) for the construction of such Acquisition Facilities, and shall also provide to EVMWD copies of all invoices and purchase orders with respect to all supplies and materials purchased for the construction of such Acquisition Facilities. EVMWD shall require the Engineer to complete its determination of the value of the Acquisition Facilities as promptly as is reasonably possible. The Acquisition Price of any Acquisition Facilities may be determined and paid out of the EVMWD Facilities Fund prior to transfer of ownership of the Acquisition Facilities to EVMWD upon a determination of Substantial Completion of such Acquisition Facility. Property Owner shall submit a payment request form to the CFD in the format and with the information """ 10 AGENDA ITEM NO. .?-\ ~ . PAOE-l \r> OF I?~ ~ ,...... required by the Funding Agreement, which must also contain therewith approval of EVMWD, which approval shall not be unreasonably withheld. Some of the Acquisition Facilities anticipated to be constructed are included in EVMWD Charges. Property Owner shall be entitled to full credit against all applicable EVMWD Charge(s) based upon Property Owner's construction of such Acquisition Facilities whether or not the Acquisition Price of such Acquisition Facilities is funded out of the EVMWD Facilities Fund. Notwithstanding the preceding provisions of this section, the sole source of funds for the acquisition by EVMWD of the Acquisition Facilities or any portion thereof shall be the Bond Proceeds made available by the CFD pursuant to Section 2.3 above and the City reserves the right to make an independent and final determination of the Acquisition Price of each Acquisition Facility in accordance with the Funding Agreement. If for any reason beyond EVMWD's control, the proceedings for the formation of the CFD are not completed or the Bonds are not sold, EVMWD shall not be required to acquire any Acquisition Facilities from the Property Owner. In such event, the Property Owner shall complete the design and construction and offer to EVMWD ownership of . such portions of Acquisition Facilities as are required to be constructed by the Property Owner as a condition to recordation of subdivision maps for the Property or any other agreement between Property Owner and EVMWD, but need not construct any portion of the Acquisition Facilities which it is not so required to construct. ,...-. Section 3.6 Easements. The Property Owner shall, at the time EVMWD acquires the Acquisition Facilities as provided in Section 3.2 hereof, grant to EVMWD, by appropriate instruments prescribed by EVMWD, all easements on private property or fee title to private property which may be reasonably necessary for the proper operation and maintenance of such Acquisition Facilities, or any part thereof. Section 3.7 Maintenance. Prior to the transfer of ownership of an Acquisition Facility by the Property Owner to EVMWD, as provided in Section 3.5 hereof, the Property Owner shall be responsible for the maintenance thereof and shall maintain and transfer such Acquisition Facility to EVMWD in as good condition as the Acquisition Facility was in at the time the Property Owner notified the EVMWD Representative that construction of same had been completed in accordance with the Plans and Specifications. The Parties agree that the construction and acquisition of the Acquisition Facilities to be constructed by Property Owner is a matter between Property Owner and EVMWD only, and that the City and the CFD shall have no responsibility for on-site inspection or monitoring or for certifying that the provisions of Article III of this Agreement be satisfied. r-. Property Owner or Contractor shall provide a bond to guarantee the repair of (i) any damage to the Acquisition Facility caused as a result of such party's actions prior to or after acceptance by 11 AGENDA IT~M NO. '2\ PACE-11-.0F 153 EVMWD and (ii) any defect in the Acquisition Facility, for one (1) year after the acceptance by EVMWD. """" ARTICLE IV TERM AND TERMINATION Section 4.1 Effective Date. This Agreement shall become effective and of full force and effect as of the date set forth in the first paragraph of this Agreement ("Effective Date") provided it is approved by the Property Owner, the City Council of the City and governing board of EVMWD, to be confirmed by the execution hereof by the authorized representatives of the Parties hereto. Section 4.2 Termination. If the CFD is unable to complete the sale of the first series of Bonds prior to July 1, 2010, this Agreement shall thereafter automatically terminate and be of no further force or effect, unless extended by mutual agreement of the Parties. ARTICLE V ADDITIONAL GENERAL PROVISIONS Section 5.1 Recordkeepin2: Inspection of Records. EVMWD hereby agrees to keep and maintain full and accurate records of all amounts, and investment earnings, if any, paid to EVMWD for the EVMWD Charges and the City hereby agrees to keep and maintain full and accurate records of all amounts, and investment earnings, if any, expended from the EVMWD Facilities Fund. Each Party further agrees to make such records available to any other Party hereto, including Property Owner, during normal business hours upon reasonable prior notice. All such records shall be kept and maintained by the appropriate Party as provided by applicable law and their respective policies. Each of EVMWD and Property Owner agree that they will cooperate with the CFD and the City in providing documentation, reports or other data reasonably required and requested by the City or the CFD in meeting the reporting requirements of the CFD under California Senate Bill (SB) No. 165, Chapter 535 of the Statutes of2000. ......., Section 5.2 Disclosure of Special Tax: Calculation of Special Tax Requirement. (a) Deliverv of Notice. From and after the date of this Agreement, Property Owner and its successors and assigns shall give a "Notice of Special Tax" (as defined in Section 5 .2(b) below) to each prospective purchaser of a parcel in the CFD and shall deliver a fully executed copy of each notice to EVMWD. Property Owner and its successor and assigns shall (i) maintain records of each Notice of Special Tax for a period of five (5) years, and (ii) shall provide copies of each notice to EVMWD promptly following the close of escrow for the sale of each parcel for which such notice was given. Property Owner and its successors and assigns shall include the Notice of Special Tax in all Property Owner's and its successors and assigns' applications for Final Subdivision Reports required by the Department of Real Estate ("DRE") which are filed after the formation ofthe CFD. ~ 12 AGENDA ITEM NO. 2-\ PAGE~~ OF l53 /""" ,....... ,....... Property Owner and its successors and assigns shall require, as a condition precedent to close an escrow for the sale of real property to a developer acquiring lots (a "Residential Developer") that such Residential Developer shall (i) maintain records of each Notice of Special Tax for a period of five (5) years, (ii) provide copies of each notice to EVMWD promptly following the close of escrow for the sale of each parcel for which such notice was given, and (iii) include the Notice of Special Tax in all of such Residential Developer's applications for Final Subdivision Reports required by DRE. (b) Notice of Special Tax. With respect to any parcel, the term ''Notice of Special Tax" means a notice in the form prescribed by California Government Code Section 53341.5 which is calculated to disclose to the purchaser thereof (i) that the property being purchased is subject to the special tax of the CFD, (ii) the land use classification of such property; (iii) the maximum annual amount of the special tax and the number of years for which it will be levied; (iv) if available at the time such notice is delivered, an indication of the amount of special tax to be levied on such property for the following fiscal year; and (v) the types of facilities or services to be paid for or with the proceeds of the special tax. (c) Notice to Subsequent Purchasers. Upon formation of the CFD it is expected that the City will file with the Riverside County Recorder a notice of special tax lien that gives notice of the existence of the CFD and the levy of the special tax on property within the CFD for the benefit of subsequent property owners, pursuant to requirements of Section 3114.5 of the Streets and Highways Code. (d) Information Sheet and Sample Property Tax Bill. Property Owner and its successors and assigns shall provide each purchaser of property with a sample property tax bill in a form approved by EVMWD. Property Owner and its successors and assigns shall provide prospective purchasers of homes an information sheet in the sales office in the form set forth in Exhibit C attached hereto and incorporated herein by this reference. Section 5.3 Partial Invalidity. If any part of this Agreement is held to be illegal or unenforceable by a court of competent jurisdiction, the remainder of this Agreement shall be given effect to the fullest extent reasonably possible. Section 5.4 Successors and Assiens. Property Owner may assign its rights pursuant to this Agreement to a purchaser of the Property, or any portion thereof, who shall be the owner of any Acquisition Facilities or payer of any EVMWD Charges or Deposits and to whom Property Owner shall assign the right to receive payment of the Acquisition Price for such Acquisition Facilities or other rights under this Agreement with respect to EVMWD Charges. Such a purchaser and assignee shall enter into an assignment agreement with EVMWD and the City, in a form acceptable to EVMWD and the City, whereby such purchaser agrees, except as may be otherwise specifically provided therein, to assume the obligations of Property Owner pursuant to this Agreement and to be bound thereby and whereby Property Owner shall be released from such obligations. This Agreement shall be binding upon and inure to the benefit of the successors and assigns of the Parties hereto. 13 AOENDA ITEM NO. ~\ PAO.E~OF 15~- - Section 5.5 Notice. . Any notice, payment or instrument required or permitted by this Agreement to be given or delIvered to any Party or other person shall be deemed to have been received when personally delivered or three (3) business days after deposit of the same in the United States Post Office registered or certified, postage prepaid, or by overnight delivery addressed as follows: ~ City: City of Lake Elsinore 130 S. Main Street Lake Elsinore, CA 92530 Attention: City Manager EVMWD: Elsinore Valley Municipal Water District 31315 Chaney Street Lake Elsinore, CA 92530 Attention: General Manager Property Owner: Corman Leigh- Tozai Elsinore, LLC 32823 Highway 79 South Temecula, CA 92592 Attention: Pete Ayala Each Party can change its address for delivery of notice by delivering written notice of such change or address to the other parties within ten (10) calendar days prior to such change. ......, Section 5.6 Captions. The captions to Sections used herein are for convenience purposes only and are not part of this Agreement. Section 5.7 Governine Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of California applicable to contracts made and performed in such State. Section 5.8 Entire Aereement. This Agreement contains the entire agreement between the parties with respect to the matters provided for herein and supersedes all prior agreements and negotiations between the Parties with respect to the subject matter of this Agreement. Section 5.9 Amendments. This Agreement may be amended or modified only in writing executed by the authorized representative(s) of each ofthe Parties hereto. ......, 14 AGENDA ITEM NO. 2J PACE 20 OF~~~ ~ Section 5.10 Waiver. The failure of any Party hereto to insist on compliance within any of the terms, covenants or conditions of this Agreement by any other Party hereto, shall not be deemed a waiver of such terms, covenants or conditions of this Agreement by such other Party, nor shall any waiver constitute a relinquishment of any other right or power for all or any other times. Section 5.11 Cooperation and Execution of Documents. The Parties hereto agree to complete and execute any further or additional documents which may be necessary to complete or further the terms of this Agreement. Section 5.12 Attornevs' Fees. In the event of the bringing of any action or suit by any Party against any other Party arising out of this Agreement, the Party in whose favor final judgment shall be entered shall be entitled to recover from the losing Party all costs and expenses of suit, including reasonable attorneys' fees. Section 5.13 Exhibits. The following exhibits attached hereto are incorporated into this Agreement by reference. "A" "B" "e" Description CFD Boundary Map Acquisition Facilites Description Form of Home buyer CFD Information Sheet Exhibit ~ Section 5.14 Si2:natories. The signatories hereto represent that they have been appropriately authorized to enter into this Agreement on behalf of the party for whom they sign. Section 5.15 Execution in Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original. [Remainder of this page is blank] ~ 15 AGENDA ITEM NO~ PACE 2 \ . OF /53 - IN WITNESS WHEREOF, the parties hereto have executed this Joint Community Facilities Agreement as of the day and year written alongside their signature below. "-' Date: APPROVED AS TO FORM VAN BLARCOM, LEffiOLD, MCCLENDON & MANN, P.C. By: Barbara Leibold Date: CITY OF LAKE ELSINORE By: Its: City Manager ATTEST: By: City Clerk ELSINORE V ALLEY MUNICIP AL WATER DISTRICT By: General Manager of the Elsinore Valley Municipal Water District ......." CORMAN LEIGH- TOZAI ELSINORE, LLC, a California limited liability company By: Corman Leigh Communities, a California corporation Its: Managing Member By: '-' 16 0l AGENDA ITEM NO. OF I 5 ~ PACE 2-1- - ~ ,;--. ,,-.. EXHIBIT" A" PROPERTY DESCRIPTION 45726747.2 AOENDA ITEM NO. 2. ( PACE..23 of--1S7 = EXHIBIT "B" ACQUISITION FACILITIES DESCRIPTION ,.." ,.." '-" 45726747.2 AOENOA ITEM NO. 2. \ PAGE~OF /5 ~ - EXHIBIT "C" /'" FORM OF HOMEBUYER CFD INFORMATION SHEET COMMUNITY FACILITIES DISTRICT NO. 2006-2 CITY OF LAKE ELSINORE 1. WHAT IS COMMUNITY FACILITIES DISTRICT (CFD) NO. 2006-2? CFD No. 2006-2 was formed pursuant to the "Mello-Roos Community Facilities Act of 1982" to finance 2. WHO IS RESPONSIBLE TO PAY THE SPECIAL TAX AND HOW IS IT BILLED? The Property owner is responsible for paying the CFD No. 2006-2 special tax, which will appear as a separate line item on your property tax bill along with your regular property taxes. r' 3. HOW MUCH WILL MY SPECIAL TAX BE? The maximum special tax applicable to your lot is the greater of the assigned special tax or backup special tax. The assigned and backup special taxes for CFD No. 2006-2 for the 2006-07 Fiscal Year are summarized below. It is expected that the actual special tax levied each year will be the assigned special tax and the backup special tax would only be levied where there has been very signifcant delinquencies or changes in the development. Classification Home Size Assiened Special Tax 1 $ Idwelling unit 2 $ Idwelling unit 3 $ Idwelling unit 4 $ Idwelling unit 4. HOW LONG WILL I HAVE TO PAY THE CFD NO. 2006-2 SPECIAL TAX? The CFD No. 2006-2 special tax will not be collected after calendar year 20_. 5. CAN THE SPECIAL TAXES BE PREPAID? Homeowners have the option of prepaying their CFD No. 2006-2 special tax anytime. For prepayment information please contact the City. 6. WHERE CAN I GET MORE INFORMATION? For more information in regards to CFD No. 2006-2, contact the City of Lake Elsinore at ,....-. 45726747.2 AOENDA ITEM NO. 2.\ PACE J.-S OF J?~ FUNDING, CONSTRUCTION AND ACQUISITION AGREEMENT ......." THIS FUNDING, CONSTRUCTION AND ACQUISITION AGREEMENT, dated as of , 2006 for identification purposes only (this "Agreement"), is by and between the City of Lake Elsinore, California (the "City"), acting on behalf of City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "District"), and Corman Leigh- Tozai Elsinore, LLC, a California limited liability company (the "Owner"). RECITALS WHEREAS, the City has undertaken proceedings to form the City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "District"), authorize the levy of special taxes within the District, and authorize the issuance of Bonds secured by such special taxes levied within the District pursuant to The Mello-Roos Community Facilities Act of 1982 (the "Act") to fund the acquisition and construction of the Public Facilities (as defined below) and related costs and the payment of Fees (as defined below). The City will use the proceeds of the Bonds to, among other things, finance the payment of Fees and the Purchase Price of the Public Facilities. WHEREAS, the Public Facilities are within the vicinity of or of benefit to the City, and the City and the Owner will benefit from a coordinated plan of financing, designing, engineering and construction of the Public Facilities. WHEREAS, the Owner and the City wish to finance the acquisition and construction of the Public Facilities and the payment therefor by entering into this Agreement for the acquisition of the Public Facilities and payment for Discrete Components thereof as shown in Exhibit A-I and/or Exhibit A-2 hereto (as it may be amended and supplemented) with funds in the Acquisition and Construction Fund. ......." WHEREAS, the City and the other Receiving Agencies have determined that they will obtain no advantage from undertaking the construction of the Public Facilities, and that the provisions of this Agreement require that the Public Facilities constructed by the Owner and completed after formation of the District be constructed as if they had been constructed under the direction and supervision of the Receiving Agency. Notwithstanding the foregoing, upon mutual agreement of the City, the Owner and the Receiving Agency, the City or its designee or Receiving Agency or its designee may construct any of the Public Facilities, financed in whole or in part with funds in the Acquisition and Construction Fund as set forth in Section 4.6 below. WHEREAS, in consideration of the mutual promises and covenants set forth herein, and for other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the City and the Owner agree that the foregoing recitals, as applicable to each, are true and correct and further make the agreements set forth herein. NOW, THEREFORE, for and in consideration of the mutual promises and covenants herein contained, the parties hereto agree as follows: .....". 45729964. I 1 ACENDA ITEM NO. ?-l PACE )(p OF 1153 - .". ,-... ARTICLE I DEFINITIONS Section 1.1 Definitions. The following terms shall have the meanings ascribed to them in this Section 1.1 for purposes of this Agreement. Unless otherwise indicated, any other terms, capitalized or not, when used herein shall have the meanings ascribed to them in the Fiscal Agent Agreement (as hereinafter defined). "Acceptance Date" means the date the City approves a Payment Request. "Acceptable Title" means title to land or interest therein, in form acceptable to the Receiving Agency, free and clear of all liens, taxes, assessments, leases, easements and encumbrances, whether or not recorded, other than exceptions that do not materially interfere with the actual or intended use of the land or interest therein or as shall have otherwise been approved by the Receiving Agency. "Acquisition and Construction Fund" means the Acquisition and Construction Fund, and any accounts established therein, established by a Fiscal Agent Agreement relating to the issuance of a series of the Bonds, from which the Purchase Price of the Public Facilities or Discrete Component thereof and Fees shall be paid and from which Actual Costs of the Public ,-... Facilities or discrete Component thereof may be financed in accordance with the Construction Election. "Act" means The Mello-Roos Community Facilities Act of 1982, being Chapter 2.5 of Part 1 of Division 2 of Title 5 (commencing with Section 53311) of the California Government Code. "Actual Cost" means the cost of a Public Facility or a Discrete Component, which cost may include: (i) the actual hard costs for the construction of such Public Facility or Discrete Component, including labor, materials and equipment costs, (ii) the costs incurred in preparing the Plans for such Public Facility or Discrete Component and the related costs of environmental evaluations of the Public Facility or Discrete Component, (iii) the fees paid to governmental agencies for, and other costs incurred in connection with, obtaining permits, licenses or other governmental approvals for such Public Facility or Discrete Component, (iv) professional costs associated with such Public Facility or Discrete Component, such as engineering, legal, accounting, inspection, construction staking, materials testing and similar professional services; (v) costs directly related to the construction and/or acquisition of a Public Facility or Discrete Component, such as costs of payment, performance and/or maintenance bonds, and insurance costs (including costs of any title insurance required hereunder); (vi) costs of construction management and supervision equal to five percent (5%) of the amount set forth in (i) above for a Public Facility or Discrete Component; and (vii) the value of any real property or interests therein ("Real Estate") that (1) are required for the development of any Public Facility such as temporary construction easements, haul roads, etc., or (2) are required to be conveyed with the Public Facility, in an amount equal to the actual cost of the Real Estate purchased from an ~. 45729964.1 2 AGENDA ITEM NO. 2\ PACE II OF~ '5? - independent third party. The City shall not purchase such Real Estate from the Owner. Actual Cost shall not include any internal or overhead costs of the Owner other than the amount for construction management and supervision set forth in clause (vi) above. ....." "Affiliate" means any entity owned, controlled or under common ownership or control by or with, as applicable, the Owner and includes all general partners of any entity which is a partnership. Control shall mean ownership of more than fifty percent (50%) of the voting power of or ownership interest in the respective entity. "Agreement" means this Funding, Construction and Acquisition Agreement, together with any Supplement hereto. "Bonds" means the bonds, notes or other indebtedness of the District issued to generate proceeds for the Acquisition and Construction Fund. "Caltrans" means the State of California Department of Transportation. "City" means the City of Lake Elsinore, California. "City Facilities" means one or more of the Public Facilities or Discrete Components thereof described in Exhibit A-I and/or Exhibit A-2 hereto, as it may be amended or supplemented, to be owned, operated, and maintained by the City which are eligible to be financed out of the Acquisition and Construction Fund. "Construction Election" shall have the meaning set forth in Section 3.6 below. '-' "County" means the County of Riverside, California. "Director" means the Director of Community Development of the City, or his or her designee acting as such under this Agreement. "Discrete Component" means (i) a component of a Public Facility that the City and the Receiving Agencies have agreed can be separately identified, inspected and completed, and can be the subject of a Payment Request hereunder, and (ii) categories of costs relating to each Public Facility as generally described in Exhibit A-I and/or Exhibit A-2 hereto. "District" means City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya), a community facilities district organized and existing under the laws of the State of California. "District Representative" means the City Manager or his designee. "EVMWD" means Elsinore V alley Municipal Water District. "EVMWD Facilities" means one or more of the water and sewer improvements described in Exhibit A-I and/or Exhibit A-2 hereto and the EVMWD JCFA, as either may be amended or supplemented, to be owned, operated or maintained by EVMWD which are eligible to be financed out of the Acquisition and Construction Fund. '-' 45729964.1 3 AGENDA ITEM NO. 2\ PACE ~C6 OF.J Ij~ ",-... "EVMWD JCF A" means that certain Joint Community Facilities Agreement by and among the City, Elsinore Valley Municipal Water District and the Owner dated as of 2006, as it may be amended. "Fees" means development impact fees, environmental mitigation fees or other capital improvement fees or charges imposed or collected by the City or EVMWD relating to the Proj ect. "Fiscal Agent" means the fiscal agent identified in a Fiscal Agent Agreement, or any successor thereto acting as fiscal agent under the Fiscal Agent Agreement. "Fiscal Agent Agreement" means a fiscal agent agreement between the City and the Fiscal Agent, providing for, among other matters, the issuance of the Bonds and the establishment of an Acquisition and Construction Fund, as it may be amended or supplemented from time to time. "Improvement Agreement" shall have the meaning set forth in Section 2.3 below. "Owner" means Corman Leigh-Tozai Elsinore, LLC, a California limited liability company, and its successors and assigns. "Party" means either the City or the Owner; "Parties" mean the Owner and the City. ..----.. "Payment Request" means a document, substantially in the form of Exhibit B-1 hereto, to be used in requesting a payment of a Purchase Price, and a document, substantially in the form of Exhibit B-2 hereto, to be used in requesting payment of Fees. "Plans" means the plans, specifications, schedules and related construction contracts for the Public Facilities and/or any Discrete Components thereof approved pursuant to applicable standards of the applicable Receiving Agency, inclusive of all change orders, if any. As of the date of this Agreement, the City standards for construction are incorporated in the City of Lake Elsinore Standard Plan and are supplemented from time to time by standards set forth in the Green Book, CALTRANS Standard Plan and Specification, Standard Specifications for Public Works Construction (SSPWC), of the Southern California Chapter of the American Public Works Association and the Southern California Districts of the Associated General Contractors of California. "Project" means the development within the District commonly known as "Viscaya." "Public Facility" or "Public Facilities" means one or more of the public facilities described in Exhibit A-I and/or Exhibit A-2 hereto, as it may be amended or supplemented, which are to be owned, operated, and maintained by any Receiving Agency and are eligible to be financed out of the Acquisition and Construction Fund. "Purchase Price" means the amount paid by the District for a Public Facility and/or any Discrete Components thereof in an amount equal to the lesser of the Actual Cost or the value of ~, such Public Facility or Discrete Component, as determined in Section 4.4. 45729964,1 4 AGENDA ITEM NO. P.4GE 1 C{ 2-\ OF J 53 "Rate and Method" means the rate and method of apportionment of special taxes approved for the District. .....", "Receiving Agency" means, as applicable, the City, EVMWD or other governmental entity that will own, operate and maintain a Public Facility when completed and acquired. "Supplement" means a written document amending, supplementing or otherwise modifying this Agreement and any exhibit hereto, including any amendments to the list of Public Facilities and Discrete Components in Exhibit A-I and/or Exhibit A-2, and/or the addition to Exhibit A-I and/or Exhibit A-2 of additional Public Facilities (and Discrete Components) to be financed with the proceeds of the Bonds deposited in the Acquisition and Construction Fund. ARTICLE II FUNDING Section 2.1 Proceedings. The City shall conduct all necessary proceedings under the Act for the issuance, sale and delivery of each series of Bonds. Bonds may not be issued unless and until the City receives an executed notice from the Owner requesting such issuance. Upon the City's receipt of such issuance notice, the Owner and the City staff will meet regarding the amount, timing and other material aspects of each series of the Bonds, but the legal proceedings and the series, principal amounts, rates, terms and conditions and timing of the sale of the Bonds shall in all respects be solely determined by the City Council of the City, acting as the governing body of the District. Subject to the foregoing discretion of the governing body of the District, the District may issue one or more series of Bonds with a term of not less than 30 years in """"" coordination with the Owner's timing of development within the District and subject to sound municipal finance practices and then current industry standards. The District agrees that each series of Bonds shall be sized, to the extent reasonably allowable based on debt service coverage of not more than 110% (based upon the aggregate assigned special taxes authorized to be levied upon buildout ofthe District in accordance with the Rate and Method) and a "value-to-lien" ratio of 3: 1. For purposes of determining the value-to-lien ratio, the value of the District shall include the value of the Public Facilities and Fees to be financed with the proceeds of the Bonds and not included in an escrow fund or account and the lien shall not include the portion of the Bonds included in an escrow fund or account established in connection with the issuance of the Bonds. The District agrees that an escrow structure may be used at the Owner's request in order to comply with the 3:1 value-to-lien ratio requirement. Upon the City Manager's request, the Owner shall deposit funds with the City to pay for reasonable costs to be incurred by the City related to the issuance of such Bonds including, without limitation, appraisal, market absorption study, special tax consultant, bond and issuer's counsel, and city attorney and staff costs. Any funds deposited by the Owner and expended by the City shall be subject to reimbursement solely out of the proceeds of the applicable Bonds. Any unexpended funds deposited by the Owner with the City pursuant to this Section 2.1 and remaining on deposit with the City following the issuance of the applicable series of Bonds or the abandonment of efforts to issue such Bonds shall be returned to the Owner. Section 2.2 Bond Proceeds and Special Taxes. The City shall not be obligated to pay Fees and the Purchase Price of any Public Facility or any Discrete Components thereof, ....." 45729964. ] 5 ACENDA ITEM NO.~ PACE 30 _OF~ ~. ~ except from amounts on deposit in the Acquisition and Construction Fund(s). The City makes no warranty, express or implied, that the proceeds of the Bonds deposited and held in the Acquisition and Construction Fund( s), and any investment earnings thereon, will be sufficient to pay the Purchase Price of all of the Public Facilities and Fees. To the extent allowed under the Rate and Method, the City agrees that special taxes shall be levied on property in the District to pay directly for Public Facilities, or any Discrete Components thereof, and Fees if Bonds have not previously been issued secured by such special taxes. Such special taxes levied and collected by the City and any prepayment of special taxes collected prior to the issuance of Bonds shall be held by the City and disbursed to pay the Purchase Price of Public Facilities, or any Discrete Component thereof, and Fees and, upon the issuance of Bonds, such special taxes still held by the City shall be deposited in the Acquisition and Construction Fund. Section 2.3 Proceeds. The proceeds of each series of Bonds shall be deposited, held, invested, reinvested and disbursed as provided in the Fiscal Agent Agreement. A portion of the proceeds ofthe Bonds will be set aside in the Acquisition and Construction Fund. Moneys in the Acquisition and Construction Fund shall be deposited, held, invested, reinvested and disbursed therefrom in accordance with the provisions of the Fiscal Agent Agreement and the applicable provisions hereof for payment of all or a portion of the Purchase Price of the Public Facilities and Fees (including payment of the Purchase Price of Discrete Components thereof), all as herein provided. The Acquisition and Construction Fund may include two accounts - a "City Facilities Account" (for payment of Fees imposed by the City and City Facilities) and a "Non-City Facilities Account" (for payment of Fees and Public Facilities other than Fees imposed by the City and City Facilities). Upon the issuance of each series of Bonds, proceeds available to be deposited in the Acquisition and Construction Fund shall be initially allocated to the City Facilities Account and Non-City Facilities Account, as set forth in a written request from the Owner. Transfers shall be made between the two accounts upon the written request of the Owner and the written approval of the City. Unless otherwise requested in writing by the Owner prior to issuance of each series of Bonds, earnings on amounts in each Account of the Acquisition and Construction Fund shall be retained in the Account and available to pay the Purchase Price of Public Facilities and Fees until either (i) all Public Facilities and Fees have been financed, as evidenced by a certificate provided by the Owner, or (ii) the Owner provides a certificate to the District indicating that the funds on deposit in the Account are sufficient to finance the remaining Public Facilities and Fees for which the Owner expects to submit a Payment Request, at which time any earnings shall be transferred to pay debt service on the Bonds. Earnings on amounts in the reserve fund(s) created under the Fiscal Agent Agreements, shall be deposited as set forth in the Fiscal Agent Agreements. For Bonds issued on or prior to May 30, the District agrees to include capitalized interest to cover debt service due in September of the same year. For Bonds issued after May 30, the District agrees to include capitalized interest to cover debt service for all payments due up to and including September of the following year. The Owner acknowledges that any lack of availability of amounts in the Acquisition and ,-, Construction Fund to pay the Purchase Price of the Public Facilities, or any Discrete Components thereof, and Fees shall in no way diminish any obligation of the Owner with respect 45729964.1 6 AOENDA ITEM NO. :2--\ PACe~OF IS 3 ~ -~ to the construction of or contributions for public facilities and mitigation measures required in connection with the Project by any development or other agreement to which the Owner is a party, or any governmental approval to which the Owner is subject (collectively, the "Improvement Agreements"). "'-"" The Owner may provide a written notice to District indicating that it shall not request the issuance of Bonds. Upon receipt of such notice and the Owner's advance ofthe City's costs of preparing and recording a notice of cancellation of special taxes and extinguishment of lien ("Notice of Cancellation") with respect to all property within the District, the District shall record the Notice of Cancellation terminating the authority to levy special taxes in the District pursuant to the Rate and Method. Section 2.4 Continuing Disclosure Agreement. The Owner agrees to provide to the City, and to require each transferee or assignee to provide to the City all information regarding the development within the District, including the financing plan for such development, which is necessary to ensure that the City complies with its continuing disclosure obligations under the Fiscal Agent Agreement and all other applicable f<?deral and state securities laws. ARTICLE III CONSTRUCTION OF PUBLIC FACILITIES Section 3.1 Plans. To the extent and at the time required by the Improvement Agreements, the Owner shall cause Plans to be prepared for the Public Facilities. The Owner shall obtain the written approval of the Plans in accordance with applicable ordinances and .....", regulations of the applicable Receiving Agencies. Section 3.2 Construction. This Agreement shall not expand, limit or otherwise affect any obligation of the Owner under any Improvement Agreements. All Public Facilities shall be constructed in accordance with the Improvement Agreements and the approved Plans. The terms and conditions related to acquisition or construction of the EVMWD Facilities, including but not limited to, the design, bidding, contract award, construction, inspection, acceptance, warranty, indemnification, insurance and payment, shall be governed by the EVMWDJCFA. Section 3.3 Relationship to Public Works. This Agreement is for the acquisition of and payment for the Public Facilities and Discrete Components thereof by the Receiving Agency from moneys in the Acquisition and Construction Fund and is not intended to be a public works contract. The City and the Owner agree that the Owner shall award all contracts for the construction of the Public Facilities and the Discrete Components thereof to be constructed by the Owner, and that this Agreement is necessary to assure the timely and satisfactory completion of such Public Facilities and the Discrete Components thereof. From time to time at the request of the District Representative or the Owner, the Owner and the District Representative shall meet and confer regarding matters arising hereunder with respect to the Public Facilities, Discrete Components and the progress in constructing and acquiring the same, and as to any other matter related to the Public Facilities or this Agreement. ,....." 45729964.1 7 AGENDA ITEM NO. 2 l PACE 3:2- OF 15-=5 /"'"' Section 3.4 Contractor. In performing this Agreement, the Owner is an independent contractor and not an agent or employee of the City. The City shall not be responsible for making any payments to any contractor, subcontractor, agent, consultant, employee or supplier of the Owner. Section 3.5 Contracts and Change Orders. The Owner shall be responsible for entering into all contracts and any supplemental agreements (commonly referred to as "change orders") required for the construction of the Public Facilities, or any Discrete Components thereof, to be constructed by the Owner, and all such contracts and supplemental agreements shall be submitted to the Director. The Owner shall be required to show evidence that the Owner solicited, or caused to be solicited, at least three (3) bids for the construction of each City Facility for which the Owner submits a Payment Request and that the contract for the construction of each such City Facility was awarded to the lowest responsible bidder for such City Facility. Bidding, contracts and change orders with respect to City Facilities shall comply with the requirements set forth in Exhibit "D" of this Agreement. Section 3.6 Construction Election. The Owner and the City, or the Owner and a Receiving Agency, may mutually elect (the "Construction Election") to cause any or all of the applicable Public Facilities or a Discrete Component thereof to be constructed by the City or Receiving Agency, if applicable, and financed out of the Acquisition and Construction Fund in accordance with the terms and conditions described in this Section 3.6 and the Improvement Agreements and subject to the availability of sufficient funds, including the proceeds of the Bonds. /"'" If the Owner and the City, or the Owner and a Receiving Agency, make the Construction Election with respect to a Public Facility, or any Discrete Component thereof, the Owner shall transfer Acceptable Title to the land or right-of-ways then owned by the Owner on and over such real property on which the Public Facility, or Discrete Component thereof, is to be constructed. Upon completion of a City Facility or Discrete Component thereof for which a Construction Election has been made, payment shall be made pursuant to Article IV below for the Purchase Price thereof incurred by the Owner prior to the Construction Election. Upon completion of one or more EVMWD Facilities for which a Construction Election has been made, payment shall be made pursuant to Article IV below and the EVMWD JCF A, for any costs thereof incurred by the Owner, prior to the Construction Election, which are authorized to be paid with Bond proceeds. Section 3.7 Notice of Completion and Lien Releases. Upon completion of the construction of a Public Facility, the Owner shall notify the Director in writing of such completion and shall prepare and execute a Notice of Completion for such Public Facility in the form prescribed by Section 3093 of the California Civil Code and shall record such notice in the Official Records of the County of Riverside. The Owner shall cause its contractors to provide unconditional lien releases for such Public Facility or all Discrete Components in accordance with Section 3262 of the Civil Code. ,--.. 45729964.1 8 AGENDA ITEM NO._ L l PAG~~~ -OF..L53 - - ARTICLE IV -.",; ACQUISITION AND PAYMENT Section 4.1 Inspection. No payment hereunder shall be made by the City to the Owner for a Public Facility or Discrete Component thereof until the Public Facility or Discrete Component thereof, if applicable, has been inspected by the City or the other applicable Receiving Agency that will be acquiring the same. Unless otherwise provided in a Supplement, the City shall make or cause to be made regular on-going site inspections of the Public Facilities to be acquired hereunder. For Public Facilities or Discrete Components to be acquired by other Receiving Agencies, the Owner shall be responsible for obtaining such inspections and providing written evidence thereof to the Director. Section 4.2 Agreement to Sell and Purchase Public Facilities. The Owner hereby agrees to sell to the City, and the City hereby agrees to purchase from the Owner, the Public Facilities, including the Discrete Components thereof, constructed by the Owner for their respective Purchase Prices, subject to the terms and conditions hereof. Th~ City shall not be obligated to purchase any Public Facility until the Public Facility is completed and the acceptance by the Receiving Agency for such Public Facility has occurred; provided that the City has agreed hereunder to make payments to the Owner for Discrete Components of Public Facilities prior to the completion of such Public Facilities. The Owner acknowledges that the Discrete Components have been identified for payment purposes only, and that the City shall not accept a City Facility of which a Discrete Component is a part until the entire City Facility has been completed. The City acknowledges that the Discrete Components do not have to be accepted by the applicable Receiving Agency as a condition precedent to the payment of the Purchase Price therefor, but any such payment shall not be made until the Discrete Component has been completed in accordance with the Plans therefor, and such completion is acknowledged in writing by the Receiving Agency. 'WII' The Parties hereto acknowledge that certain Public Facilities, as generally described in Exhibit A-2 attached hereto, may have been completed prior to the formation of the District. If any Public Facility or Discrete Component thereof is constructed by the Owner and completed prior to the formation of the District, such Public Facilities shall be eligible to be acquired with funds available in the Acquisition and Construction Fund, pursuant to the provisions of this Agreement; provided, however, that the Owner shall indemnify and hold harmless City for any investigation or inquiry by the Department of Industrial Relations and shall defend any action by the Department of Industrial Relations with respect to the construction of Public Facilities. Furthermore, the Owner shall indemnify and hold harmless the City from and against all damages, claims, losses or expenses of every type arising out of such investigation or inquiry and any action brought by a contractor or subcontractor in connection therewith. The City makes no representation as to whether of not the Public Facilities constructed by the Owner and completed prior to the formation of the District constitute a public work. Section 4.3 Requests. In order to receive the Purchase Price for a completed Public Facility or Discrete Component, inspection thereof under Section 4.1, if applicable, shall have been made and the Owner shall deliver to the District Representative and the Director: (i) a Payment Request in the form of Exhibit B-1 hereto for such Public Facility or Discrete .~ 45729964. ] 9 AGENDA ITEM NO. PAGE 3 L.{ 2J OF I S '3 ",-.. ,--. ",-.., Component, and (ii) if payment is requested for a completed Public Facility, (a) if the property on which the Public Facility is located is not owned by the Receiving Agency at the time of the request, a copy of the recorded documents conveying to the Receiving Agency Acceptable Title to the real property on, in or over which such Public Facility is located, as described in Section 6.1 hereof, (b) a copy of the recorded notice of completion of such Public Facility (if applicable), and (c) an assignment of the warranties and guaranties for such Public Facility, as described in Section 5.5 hereof. Section 4.4 Determination of Value for a Public Facility. The value of a Public Facility shall be equal to the Actual Cost of construction of such Public Facility, less such portion of such cost of construction which the Director has, in his or her reasonable professional opinion, determined would not have been incurred had such Public Facility been constructed pursuant to a public works contract awarded by the City. As a non-exclusive example, if the Owner pays overtime to complete the construction of street improvements to provide access to a parcel by a date certain as required by the Owner's lease obligations to a tenant occupying such parcel, the cost of such overtime will be deducted from the overall cost of construction of such Public Facility to determine the value of such Public Facility. Disputes by the Owner related to the determination of value shall be presented to and resolved by the City Manager, and the City Manager's decision in the matter shall be final. Section 4.5 Payment Requests. Upon receipt of a Payment Request (and all accompanying documentation), the Director shall conduct a review in order to confirm that such request is complete, that such Discrete Component or Public Facility identified therein was constructed substantially in accordance with the Plans therefor, and to verify and approve the Purchase Price of such Discrete Component or Public Facility specified in such Payment Request. The Director shall conduct each such review in an expeditious manner and the Owner agrees to reasonably cooperate with the Director in conducting each such review and to provide the Director with such additional information and documentation as is reasonably necessary for the Director to conclude each such review. For any Public Facilities to be acquired by another Receiving Agency, the Owner shall provide evidence reasonably acceptable to the Director that such Public Facilities are acceptable to such Receiving Agency. Within ten (10) business days of receipt of any Payment Request, the Director shall notify the Owner whether such Payment Request is complete, and, if not, what additional documentation must be provided. If such Payment Request is complete, the Director will provide a written approval or denial of the request within twenty-one (21) business days of its submittal. If the Director disapproves any Payment Request, the Director shall provide written notice of disapproval to the Owner within such twenty-one (21) business day period stating in reasonable detail the reasons for such disapproval and the changes to the Payment Request necessary to obtain the Director's approval. The Director's review of any Payment Request shall be made on a Public Facility and/or Discrete Component basis such that the Director shall approve for payment any Public Facilities and/or Discrete Components covered by a Payment Request that comply with the requirements of this Agreement even if the Director disapproves other Public Facilities and Discrete Components included as part of the same Payment Request. If the Director disputes the Actual Cost of any Public Facility or Discrete Component covered by the Payment Request, the Director shall approve for payment a Purchase Price in an amount the Director determines is appropriate (which shall not be less than the amounts of contracts and change orders previously approved by the Director) and shall deliver notice of disapproval of the remaining amount. If the Director 45729964.1 10 AGENDA ITEM NO. PACE 35 '2\ OF_I 53 disapproves any revised Payment Request, the Director will provide a written notice of approval or denial to the Owner within ten (10) business days after receipt of the revised Payment ......., Request, which notice shall describe in reasonable detail the reason for the denial, if applicable. The Director shall only be entitled to withhold approval for payment of a Discrete Component (other than the final Discrete Component of any Public Facility) to be owned by the City that is the subject of a Payment Request if (i) the Owner has not provided conditional lien releases for labor and materials provided in connection with such Discrete Components (provided that this basis for disapproval shall not apply if the Owner has provided payment bonds to the City or the applicable Receiving Agency in connection with the Improvement Agreements or has provided bonds protecting the Receiving Agency from mechanics' liens by parties that have not provided lien releases in a form satisfactory to the Director), (ii) the Discrete Component has not been constructed substantially in accordance with the Plans, (iii) the Director disputes the Actual Cost of the Discrete Component stated in the Payment Request or (iv) the Owner is delinquent in paying its special taxes. The Director shall only be entitled to withhold approval for payment of any Public Facility to be owned by the City (or the final Discrete Component of any such Public Facility) if (i) a notice of completion executed in the form described in California Civil Code Section 3093 has not been recorded for the Public Facility and final conditional lien releases for labor and materials provided in connection with such Public Facilities have not been submitted to the Director (provided that this requirement shall not apply if the Owner has provided to the City a payment bond in connection with the Improvement Agreements or provides a bond protecting the City from mechanics' liens made by parties that have not provided such lien releases in a form acceptable to the Director), (ii) the Public Facility has not been constructed substantially in accordance with the Plans, (iii) the Director disputes the Actual Cost of any Public Facility or Discrete Component stated in the Payment Request or (iv) the Owner is delinquent in paying its special taxes. ......., The City shall only be entitled to withhold payment for any Public Facilities to be owned by a Receiving Agency other than the City if the Owner does not provide the Director with evidence that the Receiving Agency has accepted the Public Facility. Nothing in this Agreement shall be deemed to prohibit the Owner from contesting in good faith the validity or amount of any mechanics' or materialman's lien nor limit the remedies available to the Owner with respect thereto so long as such delay in performance shall not subject the Public Facilities or any Discrete Component thereof to foreclosure, forfeiture or sale. In the event that any such lien is contested, the Owner shall only be required to post or cause the delivery of a bond in an amount equal to the amount in dispute with respect to any such contested lien, so long as such bond is drawn on an obligor and is otherwise in a form acceptable to the Director. Section 4.6 Payment. Upon approval of the Payment Request (or any portion thereof) by the Director, the Director shall sign the Payment Request and forward the same to the District Representative. Upon receipt of the approved Payment Request, the District Representative shall, within five (5) business days of receipt of the approved Payment Request, cause the same to be paid, to the extent of funds then on deposit in the Acquisition and Construction Fund .....", 45729964.1 11 AGENDA ITEM NO. PACE 3 \tJ ?-\ OF /53 -- /"'"'. however, the Purchase Price for any Public Facility shall not be paid earlier than thirty-five (35) days after the recording of a Notice of Completion for such Public Facility. Any approved Payment Request not paid due to an insufficiency of funds in the Acquisition and Construction Fund shall be paid promptly following the deposit into the Acquisition and Construction Fund of additional proceeds of the Bonds, earnings on the Acquisition and Construction Fund or other funds transferred pursuant to the Fiscal Agent Agreement. The Purchase Price paid hereunder for any Public Facility or Discrete Component shall constitute payment in full for such Public Facility or Discrete Component, including, without limitation, payment for all labor, materials, equipment, tools and services used or incorporated in the work, supervision, administration, overhead, expenses and any and all other things required, furnished or incurred for completion of such Public Facility or Discrete Component, as specified in the Plans. Section 4.7 Restrictions on Payments. Notwithstanding any other provisions of this Agreement, the following restrictions shall apply to any payments made to the Owner under Section 4.5 hereof: ~ A. Amounts of Payments. Payments for each Discrete Component or Public Facility will be made only in the amount of the Purchase Price for the respective Discrete Component or Public Facility. The City agrees that the Actual Cost of a Discrete Component or Public Facility may fluctuate from the budgeted amounts. The City agrees that the Owner has the latitude to increase or decrease the reimbursement of a Discrete Component or Public Facility, as the Purchase Price is determined. In no case will the total Purchase Price paid exceed the total amount of funds available in the Acquisition and Construction Fund. Nothing herein shall require the City in any event (i) to pay more than the Purchase Price of a Public Facility or Discrete Component; or (ii) to make any payment beyond the available funds in the Acquisition and Construction Fund for such Public Facilities or Discrete Components. The Parties hereto acknowledge and agree that all payments to the Owner for the Purchase Prices of Public Facilities or Discrete Components are intended to be reimbursed to the Owner for services provided or costs incurred by the Owner or moneys already expended or incurred by the Owner to third parties in respect of such Public Facilities and/or Discrete Components. B. Frequency. No more than one Payment Request shall be submitted in any calendar month although a Payment Request may relate to more than one Public Facility or Discrete Component. Section 4.8 Defective or Nonconforming Work. If any of the work done or materials furnished for a Public Facility or Discrete Component are found by the Director to be defective or not in substantial accordance with the applicable Plans: (i) if such finding is made prior to payment for the Purchase Price of such Public Facility or Discrete Component hereunder, the Director may withhold payment therefor until such defect or nonconformance is corrected, or (ii) if such finding is made after payment of the Purchase Price of such Public Facility or Discrete Component, the Receiving Agency and the Owner shall act in accordance with the applicable Improvement Agreement, if any. /"'"' 45729964.1 12 AGENDA ITEM NO. PACE 37 2.\ OF /53 _ Section 4.9 Modification of Discrete Components. Upon written request of the Owner, the Director shall consider modification of the description of any Discrete Component. Any such modification shall be subject to the written approval of the Director, which approval the Director may withhold in his sole discretion, and shall not diminish the overall Public Facilities to be provided pursuant to the Improvement Agreements. ......." Section 4.10 Funding of Fees. The City may requisition from the City Facilities Account or the Non-City Facilities Account, in the manner specified in the Fiscal Agent Agreement and this Agreement, an amount which is sufficient to pay all or a portion of the Fees payable by the Owner or its successors and assigns upon receipt of a Payment Request in the form attached hereto as Exhibit B-2. To the extent Fees payable by the Owner or its successors and assigns constitute City Fees, the City may requisition from the City Facilities Account, or if such account is not established from the Acquisition and Construction Fund, an amount which is sufficient to such Fees without having first received a Payment Request in the form attached hereto as Exhibit B-2. The City shall provide a credit against the applicable Fees to the Owner or its successors and assigns equal to the amount of the moneys disbursed pursuant to the Payment Request. In the event the Owner is required to pay Fees to the City prior to the issuance and sale of the Bonds, the Owner or its successors and assigns shall deposit with the City the amount due in immediately available funds (a "Deposit") and such Deposit shall be reimbursed to the Owner when funds subsequently deposited in the City Facilities Account are disbursed to the City in an equal amount for the payment of such Fees. In addition, in the event that the amount in the City Facilities Account is insufficient to pay the total amount of Fees requested in a Payment Request, the Owner or its successors and assigns shall make a Deposit equal to the amount due and such Deposit shall be reimbursed to the Owner when funds subsequently deposited in the City Facilities Account are disbursed to the City in an equal amount for the payment of such Fees. In the event Bonds are not issued within twelve (12) months of the date of any such Deposit, such Deposit may at the written direction of the Director be applied to pay Fees and shall no longer be reflected as a Deposit on the accounts ofthe City. ......." Some of the Public Facilities anticipated to be constructed are included in the City development impact fee or other financing programs. The Owner shall be entitled to full credit against all applicable Fees imposed or collected by the City based upon the Owner's construction of such Public Facilities whether or not the Purchase Price of such Public Facilities is funded out of the Acquisition and Construction Fund. EVMWD Charges and Advances (as defined in the EVMWD JCFA) may be financed with the disbursement of funds from the applicable account of the Acquisition and Construction Fund upon the City's receipt of a Payment Request in the form attached hereto as Exhibit B-2. Section 4.11 EVMWD Facilities. Notwithstanding anything herein to the contrary, the provisions of the EVMWD JCF A shall control with respect to the bidding, contracting and inspection of EVMWD Facilities that are acquired with funds in the Acquisition and Construction Fund. ......."e 45729964.1 13 AGENDA ITEM NO. 2-\ PACE 3~ OF 153 ,.--.. ARTICLE V OWNERSHIP AND TRANSFER OF PUBLIC FACILITIES Section 5.1 Conveyance of Land and Easements for Receiving Agency. Acceptable Title to all property on, in or over which each Public Facility to be acquired by the Receiving Agency will be located, shall be conveyed to the Receiving Agency by way of grant deed, quitclaim, or dedication or irrevocable offer of dedication of such property, or easement thereon, in accordance with the applicable Improvement Agreement, if any. The Owner agrees to provide the Receiving Agency such documents as are required to obtain Acceptable Title with respect to these Public Facilities funded pursuant to this Agreement. Completion of the transfer of title to land shall be accomplished prior to the payment of the Purchase Price for a Public Facility (or the last Discrete Component thereof) and shall be evidenced by recordation of the acceptance thereof by the Receiving Agency. ,,-., Section 5.2 Evidence and Insurance. Within fifteen (15) calendar days following the request of the City, the Owner shall furnish to the City a preliminary title report for such land not previously dedicated or otherwise conveyed to the City, for review and approval prior to .the transfer of Acceptable Title to a Public Facility to the City. Within ten (10) calendar days thereafter, the Director shall approve the preliminary title report unless it reveals a matter which, in the judgment of the Director, could materially affect the City's use of any part of the property or easement covered by the preliminary title report for the purpose for which such property or easement is being conveyed. In the event the Director does not approve the preliminary title report, the City shall not be obligated to accept title to such Public Facility or pay the Purchase Price for such Public Facility (or the last Discrete Component thereof) until such objections to title have been cured to the satisfaction of the Director. The failure of the Director to provide written approval to the Owner shall be deemed to be a disapproval. Section 5.3 Facilities Constructed on Private Lands. If any Public Facilities to be acquired are located on privately-owned land, the owner thereof shall retain title to the land and the completed Public Facilities until acquisition of the Public Facilities under Article V hereof. Pending the completion of such transfer and where the Owner has received any payment for any such Public Facility or a Discrete Component thereof, the Owner shall be responsible for maintaining the land and any Public Facilities or Discrete Components in good and safe condition. Notwithstanding the foregoing, subject to the terms of the applicable Improvement Agreement, upon written request of the Receiving Agency before payment for the last Discrete Component of such a Public Facility, the Owner shall conveyor cause to be conveyed Acceptable Title thereto in the manner described in Section 5.1 hereof. Section 5.4 Facilities Constructed on City Land. If the Public Facilities to be acquired are on land owned by the City, the City hereby grants to the Owner a license to enter upon such land for purposes related to the construction (and maintenance pending acquisition) of the Public Facilities. The provisions for inspection and acceptance of such Public Facilities otherwise provided herein shall apply. ,.--.. Section 5.5 Maintenance and Warranties. The Owner shall maintain each Discrete Component of any Public Facility constructed by the Owner in good and safe condition until the 45729964.1 14 ACiENDA ITEM NO. PAGE 39 2l OF I 53 Acceptance Date of the Public Facility of which such Discrete Component is a part. Prior to the Acceptance Date, the Owner shall be responsible for performing any required maintenance on ..""" any completed Discrete Component or Public Facility constructed by the Owner. On or before the Acceptance Date of the Public Facility, the Owner shall assign to the Receiving Agency, to the extent assignable, all of the Owner's rights in any warranties, guarantees, maintenance obligations or other evidence of contingent obligations of third persons with respect to such Public Facility. After the Acceptance Date, the Owner shall not be responsible for maintaining such Public Facility. Any warranties, guarantees or other evidences of contingent obligations of third parties with respect to the Public Facilities to be acquired by the City shall be delivered to the Director as part of the transfer of title. ARTICLE VI INSURANCE Section 6.1 Requirements. The Owner shall, at all times prior to the final Acceptance Date of all Public Facilities, maintain, deliver to the City evidence of and keep in full force and effect, or cause to be maintained, delivered to the City evidence of and kept in full force and effect, the insurance policies required pursuant to the Improvement Agreements. All of the Owner's insurance policies shall contain an endorsement providing that written notice shall be given to the City at least 30 calendar days prior to termination, cancellation, or reduction of coverage in the policy and an endorsement extending coverage to the City and its agents as an additional insured, in the same manner as the named insured as respects liabilities arising out of the performance of any work related to the Public Facilities. Such insurance shall be primary insurance as respects the interest of the City, and any other insurance maintained by the City shall be excess and not contributing insurance with the insurance required hereunder. ..""" The foregoing requirements as to the insurance coverage to be maintained by the Owner are not intended to and shall not in any manner limit or qualify the liabilities and obligations assumed by the Owner under this Agreement. Section 6.2 Evidence of Insurance. The Owner shall furnish to the City, from time to time upon request, a certificate of insurance regarding each insurance policy required to be maintained by the Owner hereunder. ARTICLE VII REPRESENT ATIONS, WARRANTIES AND COVENANTS Section 7.1 Covenants and Warranties of the Owner. The Owner represents and warrants for the benefit ofthe City as follows: A. Organization. Corman Leigh- Tozai Elsinore, LLC, a California limited liability company, is in compliance in all material respects with the laws of the State of California, and has the limited liability company power and authority to own its property and assets and to carry on its business as now being conducted and as now contemplated. ......" 45729964.1 15 AGENDA ITEM NO. PAGE~O .2\ OF }53 ,.,.-- B. Authority. The Owner has the power and authority to enter into this Agreement, and has taken all action necessary to cause this Agreement to be executed and delivered, and this Agreement has been duly and validly executed and delivered by the Owner. C. Binding Obligation. This Agreement is a legal, valid and binding obligation ofthe Owner, enforceable against the Owner in accordance with its terms. D. Financial Records. Until one year after the final acceptance of all the Public Facilities, the Owner covenants to maintain proper books of record and account for the construction of the Public Facilities and all costs related thereto. Such accounting books shall be maintained in accordance with generally accepted accounting principles, and shall be available for inspection by the City or its agent at any reasonable time during regular business hours on reasonable notice. E. Plans. The Owner represents that it has obtained or will obtain approval of the Plans for the Public Facilities constructed by the Owner from all appropriate departments of the City and from any other public entity or public utility from which such approval must be obtained. The Owner further agrees that the Public Facilities constructed by the Owner have been or will be constructed in compliance with such approved Plans and any supplemental agreements (change orders) thereto, as approved in the same manner. Section 7.2 Indemnification and Hold Harmless. The Owner shall assume the defense of, indemnify, and hold harmless the City, its officers, directors, employees and agents ,.,.-- and each of them, from and against all actions, damages, claims, losses or expenses of every type and description to which they may be subjected or put, by reason of, or resulting from the Owner's non-payment under contracts between the Owner and its consultants, engineers, advisors, contractors, subcontractors and suppliers in the provision of the Public Facilities, or any claims of persons employed by the Owner or its agents to construct the Public Facilities. Notwithstanding the foregoing, no indemnification is given hereunder for any action, damage, claim, loss or expense directly attributable to the intentional acts or gross negligence ofthe City, or its officers, directors, employees or agents hereunder or otherwise with respect to the Public Facilities or payment therefor. No provision of this Agreement shall in any way limit the Owner's responsibility for payment of damages resulting from the operations of the Owner and its agents, employees or contractors. ARTICLE VIII DEFAULT AND REMEDIES Section 8.1 Default Remedies. Failure by either Party to perform any action or covenant required by this Agreement within the time periods provided herein following Notice and failure to cure as described hereafter, constitutes a "Default" under this Agreement. A Party claiming a Default shall give written Notice of Default to the other Party specifying such Default. Except as otherwise expressly provided in this Agreement, the claimant shall not institute any proceeding against any other Party, and the other Party shall not be in Default if ",-.. 45729964.1 16 AGENDA 'TEM NO. PAGE L11 2-l Of.J 5'3 t such party within thirty (30) days from receipt of such Notice immediately, with due diligence, commences to cure, correct or jremedy such failure or delay and shall complete such cure, correction or remedy with diligence. ~ Section 8.2 Institution of Legal Actions. The Parties shall be entitled to seek any remedy available at law and in equity for the other Party's Default. All legal actions must be instituted in the Superior Court of the County of Riverside, State of California, or in the United States District Court for District of California in which Riverside County is located. Section 8.3 Acceptance of Service of Process. In the event that any legal action is commenced by the Owner against the City, service of process on the City shall be made by personal service upon the City Clerk or in such other manner as may be provided by law. In the event that any legal action is commenced by the City against the Owner, service of process on the Owner shall be made in such manner as may be provided by law. Section 8.4 Rights and Remedies Are Cumulative. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are cumulative, and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same Default or any other Default by the other Party. Section 8.5 Inaction Not a Waiver of Default. Any failures or delays by either Party in asserting any of its rights and remedies as to any Default shall not operate as a waiver of any Default or of any such rights or remedies, or deprive either such Party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce ....." any such rights or remedies. Section 8.6 Applicable Law. The laws of the State of California shall govern the interpretation and enforcement of this Agreement. Section 8.7 Attorneys' Fees. In any action between the Parties to interpret, enforce, reform, modify, rescind or otherwise in connection with any of the terms or provisions of this Agreement, the prevailing party in the action or other proceeding shall be entitled, in addition to damages, injunctive relief or any other relief to which it might be entitled, reasonable costs and expenses including, without limitation, litigation costs, expert witness fees and reasonable attorneys' fees. ARTICLE IX GENERAL Section 9.1 Mutual Consent. This Agreement may be terminated by the mutual written consent of the City and the Owner, and all or any portion of the moneys in the Acquisition and Construction Fund may be used to pay for same, and the Owner shall have no claim or right to any further payments for the Purchase Price of Public Facilities or Discrete Components hereunder, except as otherwise may be provided in such written consent. ......" 45729964. ] 17 ACENDA 'TEM NO. :2 \ PAOE 42 OF /5) ,....... Section 9.2 Audit. The City shall have the right, during normal business hours and upon the giving of five (5) business days' prior written notice to the Owner, to review all books and records of the Owner pertaining to costs and expenses incurred by the Owner in relation to any of the Public Facilities, and any bids taken or received for the construction thereof or materials therefor. Section 9.3 Notices, Demands and Communications Between the Parties. Any notices, requests, demands, documents, approvals or disapprovals given or sent under this Agreement from one Party to another (collectively, ''Notices'') may be personally delivered, transmitted by facsimile (FAX) transmission, deposited with the United States Postal Service for mailing, postage prepaid, or sent by overnight delivery to the address of the other Party as stated in this Section, and shall be deemed to have been given or sent at the time of personal delivery or FAX transmission or, if mailed, on the third day following the date of deposit in the course of transmission with the United States Postal Service or if sent by overnight delivery, on the day following its deposit with the overnight carrier. Notices shall be sent as follows: If to the City: /"""'" City of Lake Elsinore Attn: City Manager 130 S. Main Street Lake Elsinore, CA 92530 Facsimile No. (909) 674-2392 With copies to: Van Blarcom, Leibold, McClendon & Mann, P.C. Attn: Barbara Zeid Leibold, City Attorney 23422 Mill Creek Drive, Suite 105 Laguna Hills, CA 92653 Facsimile No. (949) 457-6305 If to the Owner: Corman Leigh Communities Attn: Pete Ayala 32823 Highway 79 South Temecula, CA 92592 Facsimile No. (951) 296-5071 r' Section 9.4 Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the successors and assigns of the Parties hereto. The Owner may assign its rights pursuant to this Agreement to a purchaser (an "Assignee") of a portion or portions of the property which is/are located within the District (the "Property"). The Owner may assign to the Assignee the responsibility for the construction of all or a portion of the Public Facilities or Discrete Components thereof which remain to be constructed and the right to receive payment of the Purchase Price for Public Facilities and Discrete Components thereof previously completed 45729964.1 18 ACENDA ITEM NO. ~ ~ PAOe~Of I 53 by the Owner. The Owner and Assignee shall provide to the City such reasonable proof as the City may require that such Assignee is the purchaser of the Property within the District. Such ~ Assignee shall, as a condition to receiving payment of a Purchase Price, enter into an assignment and assumption agreement with the City and the Owner, in the form attached hereto as Exhibit C, whereby such Assignee agrees, except as may be otherwise specifically provided therein, to assume the obligations of the Owner pursuant to this Agreement with respect to such Public Facilities, or Discrete Components thereof, and to be bound thereby and whereby the Owner shall be released with respect to such obligations. In addition, the Owner may assign to an Assignee, without the City's consent or the Assignee's execution of an assignment and assumption agreement, the rights and obligations under this Agreement relating to the funding of Fees, provided that the Owner gives the City written notice of the identity of the Assignee, the specific Fees covered by the assignment and the Property to be owned by such Assignee. Section 9.S Relationship Between the City and the Owner. It is hereby acknowledged by the Owner that the relationship between the City and the Owner is not that of a partnership or joint venture and that the City and the Owner shall not be deemed or construed for any purpose to be .the agent of the other. Accordingly, except as expressly provided herein or in the Attachments hereto, the City shall have no rights, powers, duties or obligations with respect to the development, operation, maintenance or management of the Project. The Owner agrees to indemnify, hold harmless and defend the City from any claim made against the City arising from a claimed relationship of partnership or joint venture between the City and the Owner with respect to the development, operation, maintenance or management of the property within the District. Section 9.6 No Third Party Rights. The Parties intend that no rights or remedies be granted to any third party as a beneficiary of this Agreement or of any covenant, duty, obligation or undertaking established herein. ~ Section 9.7 Counterparts. This Agreement may be signed in multiple counterparts which, when signed by all Parties, shall constitute a binding agreement. This Agreement is executed in five (5) originals, each of which is deemed to be an original. Section 9.8 Other Agreements. The obligations of the Owner hereunder shall be that of a Party hereto. Nothing herein shall be construed as affecting the City's or the Owner's rights, or duties to perform their respective obligations, under Improvement Agreements, other agreements, use regulations or subdivision requirements relating to the development of the property within the District. This Agreement shall not confer any additional rights, or waive any rights given, by either Party hereto under any development or other agreement to which they are a party. Section 9.9 Titles and Captions. Titles and captions are for convenience of reference only and do not define, describe or limit the scope or the intent of this Agreement or of any of its terms. References to section numbers are to sections in this Agreement, unless expressly stated otherwise. Section 9.10 Interpretation. As used in this Agreement, masculine, feminine or neuter gender and the singular or plural number shall each be deemed to include the others where and ......, 45729964.1 19 AGENDA ITEM NO. :2-\ PAOE~OF 153 ",,-. when the context so dictates. The word "including" shall be construed as if followed by the words "without limitation." This Agreement shall be interpreted as though prepared jointly by both Parties. Section 9.11 No Waiver. A waiver by either Party of a breach of any of the covenants, conditions or agreements under this Agreement to be performed by the other Party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Agreement. Section 9.12 Modifications. Any alteration, change or modification of or to this Agreement, in order to become effective, shall be made in writing and in each instance signed on behalf of each Party. Section 9.13 Severability. If any term, provIsIon, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law. Section 9.14 Computation of Time. The time in which any act is to be done under this Agreement is computed by excluding the first day (such as the day escrow opens), and including the last day, unless the last day is a holiday or Saturday or Sunday, and then that day is also ",,-. excluded. The term "holiday" shall mean all holidays as specified in Section 6700 and 6701 of the California Government Code. If any act is to be done by a particular time during a day, that time shall be Pacific Time Zone time. Section 9.15 Legal Advice. Each Party represents and warrants to the other the following: it has carefully read this Agreement, and in signing this Agreement it does so with full knowledge of any right which it may have; it has received independent legal advice from its respective legal counsel as to the matter set forth in this Agreement, or have knowingly chosen not to consult legal counsel as to the matters set forth in this Agreement; and, it has freely signed this Agreement without any reliance upon any agreement, promise, statement or representation by or on behalf of the other Party, or its respective agents, employees, or attorneys, except as specifically set forth in this Agreement, and without duress or coercion, whether economic or otherwise. Section 9.16 Cooperation. Each Party agrees to cooperate with the other in this transaction and, in that regard, to sign any and all documents which may be reasonably necessary, helpful, or appropriate to carry out the purposes and intent of this Agreement including, but not limited to, releases or additional agreements. Section 9.17 Conflicts of Interest. No member, official or employee of the City shall have any personal interest, direct or indirect, in this Agreement, nor shall any such member, official or employee participate in any decision relating to the Agreement which affects his personal interests or the interests of any corporation, partnership or association in which he is directly or indirectly interested. ",,-. 45729964.1 20 ACENDA fTEM 10. PAGE ~F) '2\ OF IS 3 Section 9.18 Non-Liability of Officials and Employees of the City. No member, official or employee of the City shall be personally liable to the Owner, or any successor in "'" interest, in the event of any Default or breach by the City or for any amount which may become due to the Owner or its successors, or on any obligations under the terms of this Agreement. The Owner hereby waives and releases any claim it may have against the members, officials or employees of the City with respect to any Default or breach by the City under this Agreement or for any amount under this Agreement which may become due to the Owner or its successors, or on any obligations under the terms of this Agreement. Section 9.19 Notice of Special Tax. The Owner, or the successor or assigns of the Owner, shall prepare and provide written notice to all potential purchasers or lessees, if the special taxes are to be passed through to such lessees, of lots in the form prescribed by California Government Code Section 53341.5 advising the potential owner or lessee, as applicable, of the fact of the proposed or confirmed District, with said document being executed by the potential purchaser or lessee, as applicable. Such notice shall be provided to the potential purchaser or lessee, as applicable, before the potential purchaser becomes contractually committed to purchase the lot or the lessee enters into the lease of the lot so that the potential purchaser or lessee, as applicable, may knowingly consider the impact of the special tax in the decision to purchase or lease the lot. "'" "'" 45729964.1 21 AGENDA ITEM NO. 2 \ PACe Y!c OF /53 . ",.-. IN WITNESS WHEREOF, the Parties have executed this Agreement as of the respective dates set forth below. "CITY" CITY OF LAKE ELSINORE, a municipal corporation Dated: , 2006 By: Mayor ATTEST: FREDERICK RAY, CITY CLERK By: City Clerk APPROVED AS TO FORM: /'"""' VAN BLARCOM, LEIBOLD, McCLENDON & MANN, P.C. City Attorney By: Barbara Leibold "OWNER" CORMAN LEIGH- TOZAI ELSINORE, LLC, a California limited liability company By: Corman Leigh Communities, a California corporation Its: Managing Member Dated: ,2006 By: Title: /'"""' 45729964.1 22 AGENDA ITEM NO. ~ l PACE '-17 _OF_J 53 - EXHIBIT A-I (1) ELIGIBLE PUBLIC FACILITIES LIST ......" ELSINORE VALLEY MWD WATER DISTRICT WATER AND SEWER FEES WATER CONNECTION FEES $ 890,356 SEWER CONNECTION FEES 796,220 LANDSCAPE IRRIGATION METERS - 2" 47,958 LANDSCAPE IRRIGATION METERS - 1" 43,050 SUBTOTAL WATER AND SEWER FEES = $ 1,777,584 Estimated Cost CITY OF LAKE ELSINORE DEVELOPMENT IMPACT FEES(2) LIBRARY FEES $ 18,300 MASTER PLAN OF DRAINAGE 101,023 PARK IN-LIEU FEES 195,200 TRAFFIC IMP ACT FEES 167,018 TRANSPORTATION UNIFORM MITIGATION FEES 884,256 MULITPLE SPECIES HABITAT CONSERVATION PLAN FEES 201,422 PUBLIC BUILDING IMP ACT FEES 302,682 SUBTOTAL DEVELOPMENT IMPACT FEES = $ 1,869,901 Estimated Cost ......" CITY OF LAKE ELSINORE TRAFFIC SIGNAL IMPROVEMENTS 2" SCHEDULE 80 PVC CONDUIT $ 3" SCHEDULE 80 PVC CONDUIT 3-1/2" SCHEDULE 80 PVC CONDUIT 4" SCHEDULE 80 PVC CONDUIT PULL BOX 3'X9' PILE FOUNDATION 2'X3' PILE FOUNDATION #17-3-129 POLE & SIGNAL GEAR #26-4-129 POLE & SIGNAL GEAR #29-5-129 POLE & SIGNAL GEAR #lA 10' POLE & SIGNAL GEAR CONTROLLER WI TYPE 'P' CABINET TYPE III CF SERVICE TYPE 'E' LOOP DETECTOR SIGNAL CONDUCTORS APPLY THERMOPLASTIC STRIPING & MARKINGS INSTALL REFLECTIVE PAVEMENT MARKERS INST ALL/RELOCATE ROADSIDE SIGNS REMOVE CONFLICTING STRIPING SUBTOTAL TRAFFIC SIGNAL IMPROVEMENTS = $ Estimated Cost ......" 45729964.1 Al-l AOENOA ITEM NO. 2.. \ PAOE~OF t s:~ ,..-.- The following cost categories are eligible for reimbursement/acquisition as Discrete Components of a Public Facility. 1. 2. ",,-- 3. 4. 5. 6. ",.-- 45729964.1 Real Estate Acquisition or Dedication including, without limitation: Professional Fees Survey Plats Easement Acquisition Costs Escrow Fees Condemnation Expenses including Severance Damages Title and Recording Fees Appraisals/Legal Fees Street Surface Improvements. This cost category item includes, without limitation: Power Pole Relocations Street Improvement Plans or other required plans or studies Survey & Staking Fine Grade & Base Paving Curb/Gutter Sidewalk Median Landscaping Aqueduct Crossing Structures Monumentation in compliance with Section 8771 & 8772 of the California Business & Professions Code Pavement Marking/Striping Aqueduct Pipe Reinforcement Loop Detectors & Conduits Culverts & Bridges Medians/K-Railing Sound Attenuation Walls Header Board Fencing & Gates Guardrailing Street Lights Street Signage & Striping Traffic Signals. This cost category item includes, without limitation: Traffic Signal Plans or other required plans or studies Traffic Signal Interconnection Traffic Signal Controllers Traffic Signal Removal/Replacement Traffic Detours, Barriers & Traffic Control Sewer & Reclaimed and Potable Water Improvements. This cost category item includes, without limitation: Sewer or Water Improvement Plans or other required plans or studies Trenching Pipelines & Mains Manholes/Cleanouts Al-2 AGENDA ITEM NO. PAGE 4 q 2.\ Of /53 Valves & Blow-offs Hot Taps Meters/Laterals Backflow Preventer Demo & Disposal Vacuum Assembly Inspection Vault Concrete Encasement Fire Hydrants Force Mains Thrust Blocks Laterals Pressure Testing & Sterilization Construction Water Special Structures Cathodic Protection Pressure Reduction Stations Pump stations including pumpslbuildings/electrical Trench Backfill Remove & Relocate Water Main Storm Drain Improvements. This cost category item includes, without limitation: Storm Drain Improvement Plans or other required plans or studies Trenching Storm Drain Pipes Manholes & Inlet Structures Outlets & Energy Dissipaters Box Culverts Rip Rap Special Structures Headwalls C.M.P. Arches Trench Backfill 8. Publicly-Owned Dry Utility Improvements. This cost category item includes, without limitation:: ....., 7. "'""" Non-Refundable Deposits Trenching Conduit Transformers Underground Vaults & Manholes Special Structures Piping, Gas Distribution, Valves Cathodic Protection Stationing Pull Boxes """" 45729964. ] Al-3 AGENDA 'TEM NO. PAGE ~D 21 OF 153 - r- Trench Backfill Retaining Walls/Structures Poletrower Relocation Meters & Laterals Conversion to Underground Engineering & Fees ROUGH GRADING: Rough grading shall only be reimbursed at the time the Public Facility or Discrete Component for which the rough grading pertains to has been accepted by the Receiving Agency and a payment request for such Public Facility or Discrete Component has been made by the Owner. A. Rough Grading (For rough grading encompassing both private tract areas and public street improvements, the reimbursable portion for the public street improvements will be calculated using a 1: 1 slope prism from the edge of the public Right-of- Way.) This cost category item includes, without limitation: r-. Grading Plans or other required plans or studies Wet and Dry Utility Trenching Street Undercut Earthwork Import/Export Clear and Grub Move on/Move off Rip Rap & Rock Slope Protection Utility Relocation/Conversion Brow Ditch Terrace Drain Alluvium Removal/Recompaction Buttress & Stabilization Drill & Shoot Blasting Insurance Wall & Trench Backfill Rock Crushing/Removal Remedial Grading Rock Facing Treatment Construction Water Over-excavation Concrete Cutting Pavement Demo and Disposal Special Handling/Rock Crushing Retaining Walls and Crib Walls Canyon Sub-Drains/De-watering H ydroseeding/lrrigation Bid Package Preparation/Advertisement Erosion Control Measures r-- 45729964.1 AI-4 AGENDA ITEM NO. 2-\ PAGI...5.L-Of.J 5'~ (1) This description of the eligible Public Facilities is preliminary, general and subject to change. The actual Public Facilities eligible to be financed through the District shall be based upon the fmal approved Plans and ....." shall include the Public Facilities required by the City, and EVMWD to be constructed in connection with development of the land within the District. Estimated costs are subject to change. (2) The description of the City of Lake Elsinore Fees is subject to change. The actual City of Lake Elsinore Fees to be fmanced through the District may include additional Fees not listed in the above description provided such Fees are for the construction and/or acquisition of public infrastructure and/or other governmental facilities with an estimated useful life offive years or longer. Estimated costs are subject to change. ......" ....." 45729964.1 Al-5 AGENDA IWA NO. 2- ~ PAGE 52 OF.J53 '" EXHIBIT A_2(1) /"" ELIGIBLE PRE-CFD FORMATION CAPITAL FACILITIES CITY OF LAKE ELSINORE STROM DRAIN IMPROVEMENTS Estimated Cost ~ RIPRAP $ 1,250 18" HDPE 22,200 24" HDPE 36,800 30" HDPE 3,015 36" HDPE 22,050 42" HDPE 68,820 24" RCP D-2000 32,400 3K BA YSA VER SEP ARA TION SYSTEM 32,000 60" STORM DRAIN MANHOLE, EVMWD S-5 41,600 CB 108 TYPE 'X' INLET 5,200 CONCRETE COLLAR 1,200 JUNCTION #2 - JS227 1,200 JUNCTION #4 - JS229 3,400 CB 1 00 CATCH BASIN 78,400 LOCAL DEPRESSION ON 'CB' 20,800 RAISE MANHOLES TO GRADE (ONCE) 4,500 HEADWALL WI CUT-OFF WALL 19,500 CHANGE ORDER NO.1 18" HCPE (pRICE INCREASE: CHANGED TO 6'D 1,800 24" HDPE (PRICE INCREASE: CHANGED TO 8'D) 4,800 36" HDPE (PRICE INCREASE: CHANGED TO 7'0) 900 42" HDPE (PRICE INCREASE: CHANGED TO 10'D) 1,860 24" RCP D-2000 (PRICE INCREASE: CHANGED TO 10'0) 400 24" RCP D-2000 STREET X-ING & REMOVAL 12,520 60" STORM DRAIN MANHOLE, EVMWD S-5 (PRICE INCREASE) 1,300 CB 1 08 TYPE 'X' INLET (PRICE INCREASE: CHANGED TO 9'0) 200 CONCRETE COLLAR 1,200 BA YSA VER SEPARATION SYSTEM - 17'D (PRICE INCREASE: CHANGED TO 19'D) 1,000 CBI00 CATCH BASIN (PRICE INCREASE: CHANGED TO 8'D) 6,400 CHANGE ORDER NO.2 PULL OUT, REGRADE & RELAY PIPE 2,629 CHANGE ORDER NO.3 ADDITIONAL POTHOLING 1,876 SLURRY BACKFILL 4,312 ADDITIONAL MATERIAL 1,570 SUBTOTAL STORM DRAIN IMPROVEMENTS = $ 437,102 "...- 45729964.\ A2-1 AGENDA ITEM NO. 2. t PAOE &) 3 OF /53 ... CITY OF LAKE ELSINORE STREET IMPROVEMENTS '-' REMOVE ASPHALT $ 15,538 ADJUST MANHOLES 1,186 3.75" A.C./l1" CL IT 114,570 0.10 AC CAP (incl swp & cln) 22,313 6" CURB & GUTTER SID 200 11 ,343 8" CROSS GUTTER SID 209 8,019 SIDEWALK SID 401 15,014 A.C. SIDEWALK 5,310 HANDICAP RAMPS (scoring only) 410 DEPRESSION STD 311 343 TRAFFIC CONTROL 8,515 SUBTOTAL STREET IMPROVEMENTS = $ 202,561 Estimated Cost ELSINORE VALLEY MWD SANITARY SEWER IMPROVEMENTS 8" PVC SD435 $ 153,816 48" MANHOLE 31,500 60" MANHOLE S-5 74,800 4" PVC LATERAL - NO CLEANOUT 79,800 4" SEWER CLEANOUT & BACKWATER VALVE 10,695 CONNECT NEW 6" LATERALS TO EXISTING 15" VCP 13,800 CONNECT TO EXISTING 15" VCP WI NEW SMH 5,000 BYPASS FOR 5MB #1 4,600 16" CASING WI SPACERS & SAND FILLED 11,550 VIDEOTAPE SEWER LINES 12,818 RAISE MANHOLES TO GRADE (ONCE) 11,100 CHANGE ORDER NO.1 8" PVC SD435 (PRICE INCREASE: CHANGED TO 12") 1,748 4" SEWER CLEANOUT & BACKWATER VALVE (10,695) 16" CASING WI SPACERS & SAND FILLED (PRICE INCREASE: CHANGED TO 20") 15,540 SUBTOTAL SANITARY SEWER IMPROVEMENTS = $ 416,072 Estimated Cost ...." ELSINORE VALLEY MWD WATER IMPROVEMENTS 8" PVC CLl50, C-900 OFFSITE $ 105,800 24"XI2" HOT TAP CONNECTION 15,500 REMOVE 1 0" GV & INSTALL BLIND FLANGE 3,800 CUT IN 6" TEE WI VALVES 7,900 12" CL-350 DI PIPE - OFF SITE 225,600 6" GATE VALVE 2,400 8" GATE VALVE 19,950 12" GATE VALVE 110,000 6" FIRE HYDRANT - COMMERCIAL 18,900 Estimated Cost '-' 4572 9964.I A2-2 ACENDAITEMNO.2\ PAOE..s:L-OF 15 ~ - ,-... ,,--. ,,--. 6" FIRE HYDRANT - RESIDENTIAL 82,600 BLOW OFF ASSEMBLY 4,800 1" SAMPLING POINT STATION 1,400 1" AIR VAC & AIR RELEASE 17,050 2" IRRIGATION SERVICE - NO METER OF BLACKFLOW 6,000 3/4" WATER SERVICE - NO METER 92,400 3/4" WATER SERVICE - REPLACE EXISTING 3,250 1" IRRIGATION SRVC WI BACKFLOW - NO METER 5,250 RAISE VALVES (ONCE) 13,200 CHANGE ORDER NO.1 8" PVC CLl50, C-900 OFFSITE (PRICE INCREASE: CHANGED TO TR FLEX) 2,848 6" GATE VALVE 2,400 1" IRRIGATION SRVC WI BACKFLOW - NO METER 1,050 2" BACKFLOW PREVENTOR 1,700 RAISE VALVE GRADEl ONCE) , 600 CHANGE ORDER NO.2 TIE-INS 12,000 2" WATER SERVICE (LOT N) 1,500 SUBTOTAL WATER IMPROVEMENTS = $ 757,898 (1) The eligible cost of the aforementioned facilities shall include rough grading for the public street improvements calculated using a 1:1 slope prism from the edge of the public Right-of-Way. 45729964.1 A2-3 AGENDA ITEM NO. 2 \ PAOE 5~ OFJ 53 EXHIBIT B-1 PAYMENT REQUEST NO._ ....", The undersigned (the "Owner") hereby requests payment in the total amount of $ for the Public Facilities or Discrete Components (each as defined in the Funding, Construction and Acquisition Agreement, dated as of , 2006 (the "Agreement"), by and between the City of Lake Elsinore (the "City") and Corman Leigh- Tozai Elsinore, LLC, a California limited liability comopany, and described in Exhibit A-lIA-2 to that Agreement), all as more fully described in Attachment 1 hereto. In connection with this Payment Request, the undersigned hereby represents and warrants to the City and the District as follows (all capitalized terms used but not otherwise defined herein shall have the respective meanings ascribed to such terms in the Agreement): 1. He/She is a duly authorized officer of the Owner, qualified to execute this Payment Request for payment on behalf of the Owner and is knowledgeable as to the matters set forth herein. 2. To the extent that this Payment Request is with respect to a completed Public Facility or Discrete Component, the Owner has submitted or submits herewith to the City, if applicable, as-built drawings or similar plans and specifications for the items to be paid for as listed in Attachment 1 hereto with respect to any such Public Facility or discrete Component, and such drawings or plans and specifications, as applicable, are true, correct and complete. ~ 3. All costs of the Public Facilities or Discrete Component for which payment is requested hereby are Actual Costs (as defined in the Agreement referenced above) and have not been inflated in any respect. The items for which payment is requested have not been the subject of any prior payment request submitted to the City. 4. Supporting documentation (such as third party invoices, lien releases and cancelled checks) is attached with respect to each cost for which payment is requested. 5. The Public Facilities or Discrete Components for which payment is requested was constructed in accordance with the requirements of the Agreement and in compliance with any applicable prevailing wage requirements. 6. The Owner is in compliance with the terms and provisions of the Agreement and no portion of the amount being requested to be paid was previously paid. 7. The Purchase Price for the Public Facilities or Discrete Components (a detailed calculation of which is shown in Attachment I hereto for each Public Facility or Discrete Component) has been calculated in conformance with the terms of Section 4.4 of the Agreement. ~ 45729964.1 Bl-l AGENDA ITEM NO. PACE ~{p ?A OF_15-=3 . ".- ".- r" I hereby declare under penalty of perjury that the above representations and warranties are true and correct. OWNER: CITY: Payment Request Approved for Submission to Fiscal Agent By: Authorized Representative of Owner By: Director of Community Development Date: Amount Approved: $ Date: 45729964.1 Bl-2 ACENDA ITEM NO. PAGE 57 2~ OF~163 -- 1\0. ATTACHMENT 1 SUMMARY OF PUBLIC FACILITIES AND DISCRETE COMPONENTS TO BE ACQUIRED AS PART OF PAYMENT REQUEST NO._ ,.." Ref. No. Public Facility/Discrete Component Actual Cost Disbursement Requested [List here all Public Facilities or Discrete Components for which payment is requested, and attach support documentation] ....., ,.." 45729964. ] Bl-3 AGENDA ITEM NO. v:1\ PAGE 5?? OFJ5~ / ------ --- EXHIBIT B-2 PAYMENT REQUEST NO. The undersigned (the "Owner") hereby requests payment in the total amount of $ for the Fees (as defined in the Funding, Construction and Acquisition Agreement, dated as of , 2006 (the "Agreement"), by and between the City of Lake Elsinore (the "City") and , [type of entity], and described in Exhibit A-lIA-2 to that Agreement), all as more fully described in Attachment 1 hereto. In connection with this Payment Request, the undersigned hereby represents and warrants to the City and the District as follows (all capitalized terms used but not otherwise defined herein shall have the respective meanings ascribed to such terms in the Agreement): 1. He/She is a duly authorized officer of the Owner, qualified to execute this Payment Request for payment on behalf of the Owner and is knowledgeable as to the matters set forth herein. 2. The items for which payment is requested have not been the subject of any prior payment request submitted to the City. 3. The Owner is in compliance with the terms and provisions of the Agreement and no portion of the amount being requested to be paid was previously paid. ",....... I hereby declare under penalty of perjury that the above representations and warranties are true and correct. OWNER: CITY: Payment Request Approved for Submission to Fiscal Agent By: Authorized Representative of Owner By: Director of Community Development Date: Amount Approved: $ Date: /""' 45729964.1 B2-1 AGENDA ITEM NO. 2.\ PACE~OF /53 - - 45729964.1 ATTACHMENT 1 SUMMARY OF PUBLIC FACILITIES AND DISCRETE COMPONENTS TO BE ACQUIRED AS PART OF PAYMENT REQUEST NO._ ...."" Fee Category No. and Description of Lot sID Us for Amount Requested which Fees Requested ....., ....., B2-2 ACENDA ITEM NO. 2- \ PACE (PO OF' 53~ /""'" EXHIBIT C FORM OF ASSIGNMENT AND ASSUMPTION AGREEMENT Pursuant to a Funding, Construction and Acquisition Agreement dated as of 1, 200_ (the "Agreement") by and between the City of Lake Elsinore ("City") and , [type of entity] (the "Owner"), which Agreement is hereby incorporated herein by this reference, and for good and valuable consideration, receipt of which is hereby acknowledged, the undersigned agree as follows: 1. The assignment and assumption provided for under this Assignment and Assumption Agreement ("Assignment") is made together with the sale, transfer or assignment of all or a part of the property subject to the Agreement. The property sold, transferred or assigned together with this Assignment is included within the District and described in "Attachment 1" attached hereto and incorporated herein by this reference (the "Subject Property"). 2. , as the assignor hereof (the "Assignor") hereby grants, sells, transfers, conveys assigns and delegates to ("Assignee"), all of Assignor's rights, title, interest, benefits, privileges, duties and obligations arising under or from the Agreement with respect to the Subject Property and the Public Facilities or Discrete Components authorized to be funded with respect to the District except for the following: 3. Assignee hereby accepts the foregoing assignment and unconditionally assumes /"""'- and agrees to perform all of the duties and obligations of Assignor arising under or from the Agreement as owner of the Subject Property and the Assignor shall be released with respect to such obligations. 4. The sale, transfer or assignment of the Subject Property and the assignment and assumption provided for under this Assignment are the subject of additional agreements between Assignor and Assignee. Notwithstanding any term, condition or provision of such additional agreements, the rights of the City arising under or from the Agreement and this Assignment shall not be affected, diminished or defeated in any way, except upon the express written agreement of the City. 5. Assignor and Assignee execute this Assignment pursuant to Section 9.4 of the Agreement, and the City evidences its consent to this Assignment by signing below. /""'" 45729964. ) C-l AOENDA ITEM NO. ~ \ PAOE.JeL.OF j ~ -=3 ~.r IN WITNESS WHEREOF, the parties have executed this Assignment on ....." ASSIGNOR: By: Name: Title: ASSIGNEE: By: Name: Title: CITY: ..~ CITY OF LAKE ELSINORE By: Its: City Manager '""""" 45729964.1 C-2 ACENDA ITEM NO. 'J- \ PAGE ~2 OF 1'53 "...... "...... "...... ATTACHMENT 1 DESCRIPTION OF SUBJECT PROPERTY 45729964.1 C-3 AGENDA ITtM NO. 2-\ PACiE 0 ~ OFJ S'=? ~ EXHIBIT "D" DESIGN, BID AND CONTRACT REQUIREMENTS FOR CITY IMPROVEMENTS 'wIf/II Deshm Phase A. Only design costs directly related to the Public Facility to be acquired are eligible for inclusion. Biddin2 Phase A. Bidding Documents. Unless otheIWise noted, the bidding documents shall conform to the following minimum requirements: 1. Unless impractical due to the nature ofthe Public Facility, the bid proposal shall be unit priced rather than lump sum or time and materials. A.C. pavement, base and sub-base. shall be bid on a square foot per inch thickness basis. 2. It is recommended that the bidding documents require the bidder/contractor to provide the following bonds: a. Bid Bond - 10% of the amount of the bid. 3. The bidding documents shall require the successful bidder to provide evidence of comprehensive public liability insurance in the amount of at least $1,000,000 prior to the award of the contract. ~ 4. contractor. The bidding documents shall provide for monthly progress payments to the 5. The contractor shall be required to pay prevailing wages. 6. The bidding documents must clearly state the time, date, and place where bids are to be submitted and opened. 7. The bidding documents shall clearly state the amount of time to complete the work. The time allowed must be reasonable for the amount of work. Accelerated construction time allowances must be supplementally bid, and are not eligible for public finance unless previously approved by the City. B. Owner shall keep a log of all persons obtaining bidding documents, and their mailing address. C. Addenda shall be mailed by first class mail to all bidding document holders and the Director. 'wIf/II D-l AGENDA ITEM NO. 0- ~ .w- PAOE..ll-OF 15 ~ ~ /'""" D. Submitted bids shall be in sealed envelopes. E. Bids shall not be accepted after the stated time for submission. F. Bid opening shall be conducted by the Owner at the Owner's place of business or other site mutually acceptable to the Owner and Director. G. Sealed bids shall be opened and read aloud immediately following the submission time. A City representative shall be invited to attend the bid opening. H. Conditioned bids, unless the bid proposal lists them for all to bid on, shall not be accepted. 1. The arithmetic of the two lowest bid proposals received shall immediately be checked for errors. J. A tabulation of all bids received shall be provided to the Director. K. Award shall be made to the lowest responsible bidder within a reasonable period of time. /'""" L. A preconstruction meeting shall be held with the contractor prior to beginning the work. A City representative shall be invited to attend the meeting. M. The Notice to Proceed shall be issued within a reasonable period of time following the contract execution. Construction Phase A. The Director shall be provided a copy of the construction schedule. B. Owner shall require the contractor to conduct weekly construction status meetings to which a City representative shall be invited. C. Any additional costs incurred for the benefit of the Owner, such as accelerating the construction schedule, shall not be eligible for public financing unless previously approved by the City. D. Any additional construction costs incurred due solely to delays caused by the Owner shall not be eligible for public financing. E. All contracts and construction related records shall be available to the City as and when required for the final determination of eligible costs for the public financing. /'""" General D-2 AO~DA ITEM NO. 0 \ PAGE In C; OF {5-=S L The above rules shall be applied to all City Facilities proposed to be acquired through the Community Facilities District. Any deviation from the rules must be approved by the Director. ~ ,...." '-'" D-3 AOENDA ITEM NO. ,2. \ . .. PACE_to (p OF I'? 3.. Community Facilities District Report for the City of lake Elsinore Community Facilities District No. 2006-2 (Viscaya) Prepared by: . Harris & Assodates April 17, 2006 ACENOA 'TEM No.2l PAGE ~7 _OF-1?~ - City of lake Elsinore CFD No. 2006.2 (Viscaya) April 17, 2006 COMMUNITY FACILlTITES DISTRICT REPORT Table of Contents Page I. Introduction........... ............................. ........ .......... ......... .............. 1 II. Project Description................. ........... ................ ....... ......... ......... 2 III. Description of Facilities..... ............ .................. ........... ............ .... 3 IV. Cost Estimate. .............. .... ......... .................... ......... ..................... 4 V. Bonded Indebtedness and Incidental Expenses.......................... 5 VI. Rate & Method of Apportionment of the Special Tax ............... 6 VII. Boundaries of CFD No. 2006-2.................................................. 9 VIII. General Terms and Conditions ................................................. 10 IX. Certification..... ............ ............... ............................ .................. 11 Exhibit A - Boundary Map Exhibit B - Rate and Method of Apportionment Exhibit C - Property Owner List Exhibit D - Effective Tax Rate Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITat NO. 2- \ PACE (08 OF.-J 53 J J J City of Lake Elsinore CFD No. 2006-2 (Viscaya) April 17, 2006 Page 1 /""""-. COMMUNITY FACILITIES DISTRICT REPORT I. Introduction WHEREAS, the City Council of the City of Lake Elsinore (hereinafter referred to as the "Council"), pursuant to the provisions of the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part I, Division 2, Title 5 of the Government Code of the State of California (hereinafter referred to as the "Act") did establish its intentions to form a community facilities district, consisting of the territory described in Exhibit A, and did expressly order the filing of a written "Report" with the Board for the proposed community facilities district. This community facilities district shall hereinafter be referred to as Community Facilities District No. 2006-2 of the City of Lake Elsinore (Viscaya) (hereinafter referred to as CFD No. 2006-2); and WHEREAS, the Resolution of Intention of the City Council of the City of Lake Elsinore to establish Community Facilities District No. 2006-2 of the City of Lake Elsinore (Viscaya), to authorize the levy of a Special Tax to pay the costs of acquiring, constructing, or maintaining certain facilities and expenses of CFD No. 2006-2 and to pay debt service on bonded indebtedness, did direct that said Report generally contain the following: a. A brief description of the public facilities, by type, which will be required to adequately meet the needs ofCFD No. 2006-2; and b. An estimate of the cost of providing those public facilities, including the cost of environmental /""""- evaluations of such facilities, and an estimate of the fair and reasonable cost of any incidental expenses to be incurred. NOW, THEREFORE, I, Dennis A. Anderson, authorized representative of Harris & Associates, pursuant to the provisions of the Act, do hereby submit the following report. /""""- Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. '2J PAGE.-1S-0FJ~3 - City of lake Elsinore CFD No. 2006.2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17 , 2006 Page 2 II. Project Description ......, Pursuant to land use entitlements approved by the City of Lake Elsinore (the "City") and Corman Leigh Tozai Lakeshore (the "Developer"), the Developer plans to construct approximately 168 single-family detached dwelling units, known as Viscaya. The City has proposed to form one community facilities district for the purpose of financing certain infrastructure and public facilities and maintenance for the benefit ofViscaya. CFD No. 2006-2 encompasses approximately 25.05 gross acres ofland. Ofthis acreage, 15.58 acres are expected to be developed for residential uses. CFD No. 2006-2 will be formed to finance the acquisition and/or construction of street, streetscape, and flood control improvements, City fees, and fees and improvements of the Elsinore Valley Municipal Water District. See Section III for a list of facilities to be acquired and maintenance services to be funded. ......, ..., Q:\ELSINOREICFD 2006-2 Viscaya (Corman Leigh)\reportlCFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. PACE 70 2-\ OF-L5=3 ~ City of Lake Elsinore CFD No. 2006-2 (Viscaya) April 17 , 2006 Page 3 ----- COMMUNITY FACILITIES DISTRICT REPORT III. Description of Facilities & Services Facilities A community facilities district may provide for the purchase, construction, expansion or rehabilitation of any real or other tangible property with an estimated useful life of five (5) years or longer which is necessary to meet increased demands placed upon local agencies as a result of development occurring within a community facilities district. In addition, a community facilities district may provide for the on-going costs for services and infrastructure maintenance for police, fire, parks, open space, parkways and storm drain facilities, as long as those services are in addition to services already received by the property within the district. The facilities described in the Report are all facilities which the City is authorized, pursuant to an agreement meeting the requirements of Section 53316.2 of the Act or otherwise (the "Joint Community Facilities Agreement") to own, construct, or finance, and which are required to adequately meet the needs of CFD No. 2006-2. The actual facilities described herein are those currently expected to be required to adequately meet, in part, the needs of CFD No. 2006-2. Because the actual needs of CFD No. 2006-2 arising as development progresses therein may differ from those currently anticipated, the City reserves the right to modify the actual facilities proposed herein to the extent the City deems necessary, in its sole discretion, to meet those needs. The proposed facilities for CFD No. 2006-2 include all or a portion of design, construction, indirect costs and administration relating to the following improvements associated with Tract Map 32008: r' 1. Traffic Signal Improvements 2. Lakeshore Drive Improvements 3. Storm Drain Improvements 4. Sewer Improvements 5. Water Improvements CFD No. 2006-2 will also be authorized to finance City capital improvement fees imposed pursuant to City fee programs and fees and improvements of the Elsinore Valley Municipal Water District. In addition to the improvements above, the CFD is anticipated to cover the on-going costs for maintenance of the public parks, open space and storm drain improvements. ----- Q:\ELSINORE\CFD 2006-2 Viscaya {Connan Leigh)\report\CFD Report 2006-2 {Viscaya).doc ACENDA ITEM NO. 2. \ PAGE-L-OF /53 - City of lake Elsinore CFD No. 2006-2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17, 2006 Page 4 IV. Cost Estimate ....." The cost estimate for the facilities described in Section III is set forth below. The actual facilities to be financed will ultimately be determined in accordance with the Funding, Construction and Acquisition Agreement between the City and Developer. Community Facilities District No. 2006-2 (Viscaya) Estimated Facilities Costs Facilities Cost Estimate City Improvements Traffic Signal $ 177,000 Lakeshore Drive $ 203,000 Storm Drain $ 439,000 City Impact Fees $ 1,969,901 Library Fee $ 18,300 Master Plan of Drainage $ 101,023 Park In-Lieu Fee $ 195,200 ....." Traffic Impact Fee $ 167,018 Transportation Uniform Mitigation Fee $ 884,256 MSHCP Fee $ 201,422 Public Building Impact Fee $ 302,682 EVMWD Improvements Sewer $ 417,000 Water $ 759,000 EVMWD Impact Fees $ 1,959,746 Water Fees $ 979,244 Sewer Fees $ 883,140 Landscape Irrigation Meters - 2" $ 50,402 Landscape Irrigation Meters - 1" $ 45,960 Total Estimated Cost $ 5,921,647 It should be noted that the facilities cost estimates include all indirect costs such as project management, design engineering, right-of-way engineering, soils engineering and testing, plan checking, permits, fees, advertisement and award costs and inspections. Actual costs may differ from the amounts shown, which are. estimates only and are not intended to be maximum limits in what may be expended. ....." Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc ACiENDA ITEM NO. PACE 72.. !2-l OF I 5 =3 _ City of Lake Elsinore CFD No. 2006.2 (Viscaya) April 17 , 2006 Page 5 r'"' COMMUNITY FACILITIES DISTRICT REPORT V. Bonded Indebtedness and Incidental Expenses A. Projected Bond Sales The maximum authorized bonded indebtedness for CFD No. 2006-2 is $7,500,000. B. Incidental Bond Issuance Expenses to be included in the Proposed Bonded Indebtedness Pursuant to Section 53345.3 of the Act, bonded indebtedness may include all costs and estimated costs incidental to, or connected with, the accomplishment of the purpose for which the proposed debt is to be incurred, including, but not limited to, the costs of legal, fiscal, and financial consultant fees; bond and other reserve funds; discount fees; interest on any bonds of the district due and payable prior to the expiration of one year from the date of completion of the facilities, not to exceed two years; election costs; and all cost of issuance of the bonds, including, but not limited to, fees for bond counsel, costs of obtaining credit ratings, bond insurance premiums, fees for letters of credit, and other credit enhancement costs, and printing costs. For the bonds proposed to be issued by CFD No. 2006-2, capitalized interest is estimated for 12 months, the reserve fund is equal to the highest debt service payment in any year, and all other incidental bond issuance expenses at approximately 5.0 percent of the face amount ofthe bonds. C. Incidental Expenses to be Included in the Annual Levy of Special Taxes I""' Pursuant to Section 53340 of the Act, the proceeds of any special tax may only be used to pay, in whole or part, the cost of providing public facilities, services and incidental expenses. As defined by the Act, incidental expenses include, but are not limited to, the cost of planning and designing public facilities to be financed, including the cost of environmental evaluations of those facilities; the costs associated with the creation of the district, issuance of bonds, determination of the amount of taxes, collection of taxes, payment of taxes, or costs otherwise incurred in order to carry out the authorized purposes of the district; any other expenses incidental to the construction, completion, and inspection of the authorized work; and the retirement of existing bonded indebtedness. While the actual cost of administering CFD No. 2006-2 may vary, it is anticipated that the amount of special taxes which can be collected will be sufficient to fund at least $25,000 in annual administrative expenses. I""' Q:\ELSINORE\CFD 2006-2 Viscaya (Connan Leigh)\report\CFD Report 2006-2 (Viscaya).doc ACiENDA ITEM NO. PAGE 73 2J OF t 53 City of Lake Elsinore CFD No. 2006.2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17 , 2006 Page 6 VI. Rate and Method of Apportionment of the Special Tax ...., All of the property located within CFD No. 2006-2, unless exempted by law or by the Rate and Method of Apportionment, shall be taxed for the purpose of providing necessary facilities to serve CFD No. 2006-2. Pursuant to Section 53325.3 of the Act, the tax imposed "is a Special Tax and not a special assessment, and there is no requirement that the tax be apportioned on the basis of benefit to any property." The Special Tax "may be based on benefit received by parcels of real property, the cost of making facilities or authorized services available to each parcel or other reasonable basis as determined by the legislative body," although the Special Tax may not be apportioned on an ad valorem basis pursuant to Article XllIA of the California Constitution. As shown in Exhibit B, the Rate and Method of Apportionment approved in the Resolution of Intention provides information sufficient to allow each property owner within CFD No. 2006-2 to estimate the maximum annual Special Tax he or she will be required to pay. Sections A through C, below, provide additional information on the Rate and Method of Apportionment of the Special Tax for CFD No. 2006-2, as is proposed to be adopted in the Resolution of Formation for CFD No. 2006- 2. Please note that all capitalized terms used herein, unless otherwise indicated, shall have the meanings defined in the Rate and Method of Apportionment. A. Explanation for Special Tax Apportionment When a community facilities district (a "CFD") is formed, a special tax may be levied on each parcel of taxable property within the CFD to pay for the construction, acquisition and rehabilitation of public facilities, to pay for authorized services or to repay bonded indebtedness or other related expenses incurred by the CFD. This special tax must be apportioned in a reasonable manner; however, the tax may not be apportioned on an ad valorem basis. ....., When more than one type of land use is present within a CFD, several criteria may be considered when apportioning the special tax. Generally, criteria based on building square footage, acreage, and land use are selected, and categories based on such criteria are established to differentiate between parcels of property. These categories are a direct result of the projected product mix, and are reflective of the proposed land use types within that CFD. Specific special tax levels are assigned to each land use class, with all parcels within a land use class assigned the same special tax rate. The facilities to be funded by CFD No. 2006-2 are generally in-tract infrastructure improvements. These improvements are required for the orderly development of the property within CFD No. 2006-2. Each property will benefit from the improvements in several ways: I) traffic circulation, 2) site access, 3) recreational amenities, 4) access to utilities, and 5) overall quality of life enhancement. The special tax can be apportioned using several different factors related to each property, including density, land area, traffic generation, and building square footage. Five Land Use Classes have been established for Developed Property, as shown in Table I below. The Special Tax for a single family residential property will vary directly with the amount of residential floor area on each parcel. The Special Tax for non-residential property will be determined based on the acreage of the parcel(s). The Special Tax for Taxable Property Owner Association Property, Taxable Public Property and Undeveloped Property will be determined by the acreage of the property. ...., Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. 2 t PAOE~OF 153 City of Lake Elsinore CFD No. 2006.2 (Viscaya) April 17, 2006 Page 7 ~ COMMUNITY FACILITIES DISTRICT REPORT Based on the types of public facilities that are proposed for CFD No. 2006-2 and the factors described above, the Special Taxes assigned to specific land uses are generally proportionate to the relative benefits received by them, and, accordingly, the Special Taxes in CFD No. 2006-2 can be considered fair and reasonable. In addition, a maintenance special tax (Special Tax for Services) has been established to cover the on-going costs of maintenance of the parks, open space and public storm drain system required from new development. The Special Tax for single family residential property will be based on a per unit basis. The area of the property will determine the Special Tax for Non- Residential Property. B. Maximum Special Tax Rates Special Tax for Facilities Table 1, on the following page, lists the Assigned Special Tax rates for fiscal year 2005-06 that are proposed to be levied against Developed Property within CFD No. 2006-2. The Maximum Special Taxes for developed property cannot exceed the rates shown in Table I for fiscal year 2005-06, except when the Backup Special Tax is used as discussed in Section C below. The Maximum Special Tax that may be levied against Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property cannot exceed $30,602 per Acre for fiscal year 2005-06. The Assigned Special Taxes and Maximum Special Taxes will increase at a rate of two percent per year. ~ Each year, the City Council shall levy the Special Tax, subject to the methodology and Maximum Special Taxes set forth in the Rate and Method of Apportionment, in an amount sufficient to meet the Special Tax Requirement. Special Tax for Services Table 2, on the following page, lists the Maximum Special Tax rates for fiscal year 2005-06 that are proposed to be levied against property within CFD No. 2006-2. c. Backup Special Tax for Facilities Pursuant to the Rate and Method of Apportionment, the Maximum Special Tax for Facilities for each Assessor's Parcel classified as Developed Property shall be the greater of (i) the amount derived by application of the Assigned Special Tax for Facilities or (ii) the amount derived by application of the Backup Special Tax for Facilities. D. Accuracy of Information r-, In order to establish the Assigned Special Tax rates, the Backup Special Tax and the Maximum Special Tax rate for Developed Property, Taxable Property Owner Association Property, Taxable Public Property, or Undeveloped Property as set forth in the Rate and Method of Apportionment for CFD 2006-2, the Special Tax Consultant has relied on information including, but not limited to, absorption, land use types, building square footage, and net taxable acreage which were provided to the Special Tax Consultant by others. The Special Tax Consultant did not independently verify such data and disclaims responsibility for the impact of inaccurate data provided by others, if any, on the Rate and Method of Apportionment for CFD No. 2006-2, including the inability to meet the financial obligations ofCFD No. 2006-2. AGENDA ITEM ND.P J5' - PACE_7,) _OF - Q:\ELSINORE\CFD 2006-2 Viscaya (Connan Leigh)\report\CFD Report 2006-2 (Viscaya).doc City of Lake Elsinore CFD No. 2006.2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17, 2006 Page 8 TABLE 1 ......" Assigned Special Tax for Facilities for Developed Property Community Facilities District No. 2006-2 Fiscal Year 2005-2006 Residential Property More than 2,349 sq. ft. $2,908 per unit 2 Residential Property 1,950 - 2,349 sq. ft. $2,711 per unit 3 Residential Property 1,550-1,949sq. ft. $2,577 per unit 4 Residential Property Less than 1,550 sq. ft. $2,398 per unit 5 Non-Residential Property NA $29,060 per Acre TABLE 2 Maximum Special Tax for Services for Developed Property Community Facilities District No. 2006-2 Fiscal Year 2005-2006 '-' 2 Residential Property N on- Residential Property $242 per unit $545 per Acre E. Increase in the Maximum Special Tax and the Assigned Special Tax On each July 1, commencing July 1, 2006, the Maximum Special Tax and Assigned Special Tax rates for Developed Property, Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year. ~ Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. ~ \ PA,;;E 7fy. _OF I '53 ~ ,- ,,-- ,,-- City of Lake Elsinore CFD No. 2006.2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17 , 2006 Page 9 VII. Boundaries of CFD No. 2006-2 The boundaries ofCFD No. 2006-2 include all land on which special taxes may be levied. A copy of the Boundary Map for CFD No. 2006-2 is included as Exhibit A. Q:\ELSINORE\CFD 2006-2 Viscaya (Connan Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. 2- l PAGE-11-0F 153 City of Lake Elsinore CFD No. 2006-2 (Viscaya) COMMUNITY FACILITIES DISTRICT REPORT April 17, 2006 Page 10 VIII. General Terms and Conditions ~ A. Substitution Facilities The description of the public facilities, as set forth herein, are general in their nature. The final nature and location of improvements and facilities will be determined upon the preparation of final plans and specifications. The final plans may show substitutes, in lieu or modifications to the proposed work in order to accomplish the work of improvement, and any such substitution shall not be a change or modification in the proceedings as long as the facilities provide a service and are of a type substantially similar to that as set forth in this Report. ~ """-" Q:\ELSINORE\CFD 2006-2 Viscaya (Connan Leigh)\report\CFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. 1- \ PAGE 7"6 OF) 5~ City of lake Elsinore CFD No. 2006.2 (Viscaya) April 17 , 2006 Page 11 ,-.... COMMUNITY FACILITIES DISTRICT REPORT IX. Certification Based on the information provided herein, it is my opinion that the facilities and services described herein are necessary to meet increased demands placed upon the County as a result of development occurring within the boundaries of CFD No. 2006-2 and benefit the lands within said CFD No. 2006- 2. Further, it is my opinion that the special tax rates and method of apportionment, as set forth herein, are fair and equitable, uniformly applied and not discriminating or arbitrary. Dated: April I?, 2006 Harris & Associates Dennis A. Anderson Associate / Project Manager .--' ~ Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AaENOA 'TEM NO. 2 ( PACE_7Q =OF I 5 ~ - - City of Lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "A" Boundary Map April 17 , 2006 Page A-1 '-' PROPOSED BOUNDARY OF COMMUNITY FACILITIES DISTRICT No. 2006-2 OF THE CITY OF LAKE ELSINORE (V1SCAYA) COUNTY OF RIVERSIDE. STATE OF CALIFORNIA -....If SCAlE: '"-200' 1H[ _ OF 1H[ _, COINOOES RIm 1H[ _ 01' IIIACT 3.1OCI8 DlaJJClNO LOtS yo. '7Q,A..M. T MlJ .z. an a.DIIC (If'" 1H[ CUY OF LAKE' EI.SINOfIE ram " 1tfE CFP'JrCE r:I lHE an CUJI( rs 1M[ aN fJ/F lAICE D..$INOR[ JHfS -----PAy IF -2t)OI. · HDIOIY COIYFY lHAT 1HE' .,.. fUJIt ~ lItE PfKJPOSO) 8ClUNDMID tJF CCMAlMTY FACIU'JIES Df51RICT NO. 2IX>>-2 (\tSCAYA). em' CT t..M([ ~ COUNTY OF MUt$ID[. STA~ OF CAl.RlRNtA WAS APfI'RO\ED .., lHf aN aJIJNCI. " DIf' aTY OF LNC[" ~ AT It IEGUL.AIft. y SOBILUD MEE'1IIC lHEMtF. Hf1D ON 11ft _ DAY OF __ 2CI08. aT ItS JItSOWTJOH Ne. _ aN Q.[RK or 1HE arr OF LN([ I1.SWOftE CDUHJY MCGIODt OF 1Hf c:ouHJY OF II'f'DrSI)( P'I.fD lHS _ DAY tIT ----... 2ClC* AT H HOUIIt OF _ O'~". II BOa<.- Of' WAPS 01' __, _ CCIIIIUIIIlY FACILI1lES ~ PAI1l ______ AS "0_' ""'---- .. 1H[ cma: OF THE COUIIlY _ If 1HE COUIIlY 01' _ srA" 01' CAUnlRMA. ... L-- IlE1UIfJfC( 1H[ .._ COUII1Y ASSESSllR'S IlAPS fllfI A ll(TAlLfIl Il(SClIIP1Q OF PNICQ. _0 ..., 0lIlEJISl(lHS \/IQNITY MAP NO SCAlL l.f.GWQ 1IS1IIIC,_ _HARRIS II: ASSOCIATES J6 f...... "'" :MI 150 _.....tA tHU "41) us-_ .'A1 (toMJ 1$S-Jtt5 PROPOSED BOUNDARY MAP Communll7 PaclUU... DUtrict 110. 200l1-2 01 the Clt7 of tako BluDore (Vloco.yo) CDunt, of R1Yenlde. CoIIforula IIaeet 1 or 1 '-' Q:IELSINOREICFD 2006-2 Viscaya (Corman Leigh)lreportlCFD Report 2006-2 (Viscaya).doc AGENDA ITEM NO. PAOE ~O OF l tJ3_ City of Lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page B-1 r- Rate and Method of Apportionment RATE AND METHOD OF APPORTIONMENT FOR CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT No. 2006-2 (VISCAYA) A Special Tax shall be levied on all Assessor's Parcels in City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) ("CFD No. 2006-2") and collected each Fiscal Year commencing in Fiscal Year 2005-2006, in an amount determined through the application of this Rate and Method of Apportionment as described below. All of the real property in CFD No. 2006-2, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's 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 recorded County parcel map. "Act" means the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part 1, Division 2 of Title 5 of the California Government Code. r- "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2006-2: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with disclosure requirements of the City, CFD No. 2006-2 or obligated persons associated with applicable federal and state securities laws and the Act; 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. 2006-2 or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City's annual administration fees and third party expenses. Administrative Expenses shall also include amounts estimated by the CFD Administrator or advanced by the City or CFD No. 2006-2 for any other administrative purposes of CFD No. 2006-2, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's Parcel number. ~ "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30,2006 Page 1 i]... \ _ AGENDA ITEM NO._ . -;g p~ <61 _OF_l -. City of lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-2 Rate and Method of Apportionment "Assigned Special Tax for Facilities" means the Special Tax for Facilities for each Land Use Class of Developed Property, as determined in accordance with Section C.1.(b) below. ....." "Authorized Facilities" means those authorized improvements, as listed in an exhibit to the Resolution of Formation. "Backup Special Tax for Facilities" means the Special Tax for Facilities applicable to each Assessor's Parcel of Developed Property, as determined in accordance with Section C.1.(c) below. "Certificate of Occupancy" means a certificate issued by the City that authorizes the actual occupancy of a dwelling unit for habitation by one or more residents. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement for Facilities, the Special Tax Requirement for Services as determined in accordance with Section I below, and providing for the levy and collection of the Special Taxes. "CFD No. 2006-2" means City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya). "CFD No. 2006-2 Bonds" means any bonds or other debt (as defined in Section 533 17(d) of the Act), whether in one or more series, issued by CFD No. 2006-2 and secured solely by the Special Tax for Facilities levy on property within the boundaries of CFD No. 2006-2 under ....." the Act. "City" means the City of Lake Elsinore. "Council" means the City Council of the City of Lake Elsinore, acting as the legislative body ofCFD No. 2006-2. "County" means the County of Riverside. "Developed Property" means, with respect to the Special Tax for Facilities, for each Fiscal Year, all Taxable Property, exclusive of Taxable Public Property and Taxable Property Owner Association Property, for which the Final Subdivision was recorded on or before January 1 of the prior Fisca] Year and a building permit for new construction was issued on or before May 1 of the Fiscal Year preceding the Fiscal Year for which the Special Tax for Facilities is being levied. "Final Subdivision" means (i) a final map, or portion thereof, approved by the City pursuant to the Subdivision Map Act (Ca]ifornia Government Code Section 66410 et seq.) that creates individual lots for which building permits may be issued, or (ii) for condominiums, a final map, or portion thereof, approved by the City and a condominium plan recorded pursuant to California Civil Code Section 1352 that creates individual lots for which building permits may be issued. "Fiscal Year" means the period starting July] and ending on the following June 30. ....." City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 Page 2 AGENDA ITEM NO. 2. \ D^,"~ Q. ') __ I ~~ - City of Lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "B" January 30, 2006 Page B-3 ~ Rate and Method of Apportionment "Indenture" means the indenture, fiscal agent agreement, resolution or other instrument pursuant to which CFD No. 2006-2 Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Table 1 below. "Maximum Special Tax for Facilities" means the maximum Special Tax for Facilities, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor's Parcel. "Non-Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction of one or more non-residential units or facilities has been issued by the City. "Outstanding Bonds" means all CFD No. 2006-2 Bonds which are deemed to be outstanding under the Indenture. "Property Owner Association Property" means, for each Fiscal Year, any property within . the boundaries of CFD No. 2006-2 that was owned by a property owner association, including any master or sub-association, as of January 1 of the prior Fiscal Year. ~ "Pr:oportionately" means for Developed Property that the ratio of the actual Special Tax for Facilities levy to the Assigned Special Tax for Facilities is equal for all Assessor's Parcels of Developed Property. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax for Facilities levy per Acre to the Maximum Special Tax for Facilities per Acre is equal for all Assessor's Parcels of Undeveloped Property. The term "Proportionately" may similarly be applied to other categories of Taxable Property as listed in Section D below. "Public Property" means property within the boundaries of CFD No. 2006-2 owned by, irrevocably offered or dedicated to, or over, through or under which an easement for purposes of public right-of-way has been granted, to the federal government, the State, the County, the City, or any local government or other public agency, provided that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified according to its use. "Residential Floor Area" means 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 an Assessor's Parcel shall be made by reference to the building permit(s) issued for such Assessor's Parcel. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction thereon of one or more residential dwelling units has been issued by the City. "Resolution of Formation" means the resolution of formation for CFD No. 2006-2. ~ "Special Tax" means any of the special taxes authorized to be levied by CFD No. 2006-2 pursuant to the Act. City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 Page 3 2- I ACiE.NM na<< ~c I. ___ ~"'*"/t; ..tl.. ';l. ~ ... i'>'~. \. S ~ l--Ll-"~L~~7~ .1.. .. City of lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-4 Rate and Method of Apportionment "Special Tax for Facilities" means the special tax to be levied in each Fiscal Year on each Assessor's Parcel of Developed Property, Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property to fund the Special Tax Requirement for Facilities. "Special Tax Requirement for Facilities" means that amount required in any Fiscal Year for CFD No. 2006-2 to: (i) pay debt service on an Outstanding Bonds due in the calendar year commencing in such Fiscal Year; (ii) pay periodic costs on the CFD No. 2006-2 Bonds, including but not limited to, credit enhancement and rebate payments on the CFD No. 2006-2 Bonds due in the calendar year commencing in such Fiscal Year; (iii) pay a proportionate share of Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for an Outstanding Bonds; (v) pay for reasonably anticipated Special Tax for Facilities delinquencies based on the delinquency rate for the Special Tax for Facilities levy in the previous Fiscal Year; (vi) pay directly for acquisition or construction of Authorized Facilities to the extent that the inclusion of such amount does not increase the Special Tax for Facilities levy on Undeveloped Property; less (vii) a credit for funds available to reduce the annual Special Tax for Facilities levy, as determined by the CFD Administrator pursuant to the Indenture. "State" means the State ofCalifomia. "Taxable Property" means an of the Assessor's Parcels within the boundaries of CFD No. 2006-2 which are not exempt from the Special Tax for Facilities pursuant to law or Section E below. "Taxable Property Owner Association Property" means an Assessor's Parcels of Property Owner Association Property that are not exempt pursuant to Section E below. "Taxable Public Property" means all Assessor's Parcels of Public Property that are not exempt pursuant to Section E below. "Trustee" means the trustee or fiscal agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, an Taxable Property not classified as Developed Property, Taxable Property Owner Association Property, or Taxable Public Property . B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, an Taxable Property within CFD No. 2006-2 shall be classified as Developed Property, Taxable Public Property, Taxable Property Owner Association Property, or Undeveloped Property, and shan be subject to Special Taxes in accordance with this Rate and Method of Apportionment determined pursuant to Sections C and D below. Residential Property shall be assigned to Land Use Classes I through 4 as listed in Table I below based on the Residential Floor Area for each unit. Non-Residential Property shan be assigned to Land Use Class 5. With respect to Residential Property, the Residential Floor Area shan be determined from the most recent building permit issued prior to the issuance of a Certificate of Occupancy for such Assessor's Parcel. City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 AGENDA ITEM NO. Page 4 P~OF l53 ~ ~ ~ 'J-t City of Lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-5 r- Rate and Method of Apportionment C. MAXIMUM SPECIAL TAX FOR FACILITIES Prior to the issuance of CFD No. 2006-2 Bonds, the Assigned Special Tax for Facilities on Developed Property (set forth in Table 1), and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced in accordance with, and subject to the conditions set forth in this paragraph. If it is reasonably determined by the CFD Administrator that the overlapping debt burden (as defined in the Statement of Goals and Policies for the Use of the Mello-Roos Community Facilities Act of 1982 adopted by the Council, the "Goals and Policies") calculated pursuant to the Goals and Policies exceeds the City's maximum level objective set forth in such document, the Assigned Special Tax for Facilities on Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced to the amount necessary to satisfy the City's objective with respect to the maximum overlapping debt burden level with the written consent of the CFD Administrator. The reductions permitted pursuant to this paragraph shall be reflected in an amended Notice of Special Tax Lien which the City shall cause to be recorded by executing a certificate in substantially the form attached hereto as Exhibit "A". 1. Developed Property (a) Maximum Special Tax for Facilities ~ The Maximum Special Tax for Facilities for each Assessor's Parcel classified as Developed Property shall be the greater of (i) the amount derived by application of the Assigned Special Tax for Facilities or (ii) the amount derived by application of the Backup Special Tax for Facilities. (b) Assigned Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities for each Land Use Class is shown below in Table 1. TABLE 1 Assigned Special Tax for Facilities for Developed Property Community Facilities District No. 2006-2 Fiscal Year 2005-2006 ~ 1 Residential Property 2 Residential Property 3 Residential Property 4 Residential Property 5 Non-Residential Property More than 2,349 sq. ft. $2,908 per unit 1,950 - 2,349 sq. ft. 1,550 - 1,949 sq. ft. NA $2,711 per unit $2,577 per unit $2,398 per unit $29,060 per Acre Less than 1,550 sq. ft. City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30,2006 2....( AGENDA ITEM NO. Page 5 PAGE ~'5 OFJ 5.2_ City of lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "8" January 30, 2006 Page 8-6 Rate and Method of Apportionment (c) Backup Special Tax for Facilities -....JII The Fiscal Year 2005-2006 Backup Special Tax for Facilities attributable to a Final Subdivision will equal $30,575 multiplied by the Acreage of all Taxable Property, exclusive of any Taxable Property Owner Association Property and Taxable Public Property, therein. The Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed by dividing the Backup Special Tax for Facilities attributable to the applicable Final Subdivision by the number of Assessor's Parcels for which building permits for residential construction have or may be issued (i.e., the number or residential lots). The Backup Special Tax for Facilities for each Assessor's Parcel of Non-Residential Property therein shall equal $30,575 multiplied by the Acreage of such Assessor's Parcel. If a Final Subdivision includes Assessor's Parcels of Taxable Property for which building permits for both residential and non-residential construction may be issued, exclusive of Taxable Property Owner Association Property and Taxable Public Property, then the Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed exclusive of the Acreage and Assessor's Parcels of property for which building permits for non-residential construction may be issued. Notwithstanding the foregoing, if all or any portion of the Final Subdivision(s) described in the preceding paragraphs is subsequently changed or modified by recordation of a lot line adjustment or similar instrument, and only if the CFD -....JII Administrator determines that such change or modification results in a decrease in the number of Assessor's Parcels of Taxable Property for which building permits for residential construction have or may be issued within such Final Subdivision, then the Backup Special Tax for Facilities for each Assessor's Parcel of Developed Property that is part of the lot line adjustment or similar instrument for such Final Subdivision shall be a rate per Acre as calculated below. The Backup Special Tax for Facilities previously determined for an Assessor's Parcel of Developed Property that is not a part of the lot line adjustment or similar instrument for such Final Subdivision shall not be recalculated. 1. Determine the total Backup Special Tax for Facilities anticipated to apply to the changed or modified portion of the Final Subdivision area prior to the change or modification. 2. The result of paragraph 1 above shall be divided by the Acreage of Taxable Property which is ultimately expected to exist in such changed or modified portion of the Final Subdivision area, as reasonably determined by the CFD Administrator. 3. The result of paragraph 2 above shall be the Backup Special Tax for Facilities per Acre which shall be applicable to Assessor's Parcels of Developed Property in such changed or modified portion of the Final Subdivision area for all remaining Fiscal Years in which the Special Tax for Facilities may be levied. -....JII City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 '0 I Page 6 AGENDA ITEM NO.~ PACE <D lo OF ~ 5 -=3 City of Lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page B-7 /'" Rate and Method of Apportionment (d) Increase in the Assigned Special Tax for Facilities and Backup Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities, identified in Table I above, and Backup Special Tax for Facilities shall increase thereafter, commencing on July 1,2006 and on July I of each Fiscal Year thereafter, by an amount equal to two percent (2%) of the amount in effect for the previous Fiscal Year. (e) Multiple Land Use Classes In some instances an Assessor's Parcel of Developed Property may contain more than one Land Use Class. The Maximum Special Tax for Facilities levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax for Facilities for all Land Use Classes located on that Assessor's Parcel. The CFD Administrator's allocation to each type of property shall be final. 2. Taxable Property Owner Association Property. Taxable Public Property. and Undeveloped Property /"""" The Fiscal Year 2005-2006 Maximum Special Tax for Facilities for Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property shall be $30,602 per Acre and shall increase thereafter, commencing on July 1,2006 and on July I of each Fiscal Year thereafter, by an amount equal to two percent (2%) of the Maximum Special Tax for Facilities in effect for the previous Fiscal Year. D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX FOR FACILITIES Commencing with Fiscal Year 2005-2006 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Facilities and levy the Special Tax for Facilities until the amount of Special Tax for Facilities levy equals the Special Tax Requirement for Facilities. The Special Tax for Facilities shall be levied each Fiscal Year as follows: First: The Special Tax for Facilities shall be levied on each Assessor's Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Special Tax for Facilities; Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax for Facilities shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property at up to 100% of the Maximum Special Tax for Facilities for Undeveloped Property; /'" Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of the Special Tax for Facilities on each Assessor's Parcel of Developed Property whose Maximum Special Tax for Facilities is determined through the application of the Backup Special Tax for Facilities shall be increased in equal percentages from the Assigned Special Tax for Facilities up to the Maximum Special Tax for Facilities for each such Assessor's Parcel; City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) AOENOA ITEM NO. PAGE f6 7 January 30, 2006 2J Page 7 OF.J~ - City of Lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-8 Rate and Method of Apportionment Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then the Special Tax for Facilities shall be levied Proportionately on each Assessor's Parcel of Taxable Property Owner Association Property and Taxable Public Property at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. .....", Notwithstanding the above, the Council may, in any Fiscal Year, levy Proportionately less than 100% of the Assigned Special Tax for Facilities in step one (above), when (i) the Council is no longer required to levy the Special Tax for Facilities pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; (ii) all authorized CFD No. 2006-2 Bonds have already been issued or the Council has covenanted that it will not issue any additional CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities; and (iii) all Authorized Facilities have been constructed and/or acquired. Further notwithstanding the above, under no circumstances will the Special Tax for Facilities levied against any Assessor's Parcel of Residential Property for which a Certificate of Occupancy has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor's Parcel within CFD No. 2006-2. E. EXEMPTIONS No Special Tax for Facilities shall be levied on up to 8.1 Acres of Property Owner Association Property and/or Public Property in CFD No. 2006-2. Tax-exempt status will be ......, assigned by the CFD Administrator in the chronological order in which property becomes Property Owner Association Property or Public Property. However, should an Assessor's Parcel no longer be classified as Property Owner Association Property or Public Property, its tax-exempt status will be revoked. Property Owner Association Property or Public Property that is not exempt from Special Tax for Facilities under this section shall be subject to the levy of the Special Tax for Facilities and shall be taxed Proportionately as part of the fourth step in Section D above, at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. F. MANNER OF COLLECTION The Special Tax for Facilities shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2006-2 may directly bill the Special Tax for Facilities, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor's Parcels as permitted by the Act. G. PREPAYMENT OF SPECIAL TAX FOR FACILITIES The following additional definitions apply to this Section G: "Buildout" means, for CFD No. 2006-2, that all expected building permits have been issued. "'" City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) ACENDA ITEM NO. 2-' PACE 9:J 1:; OF -.J 5 -.3 - January 30, 2006 Page 8 City of lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page B-9 "..-. Rate and Method of Apportionment "CFD Public Facilities" means either $5,650,000 in 2005 dollars, which shall increase by the Construction Inflation Index on July 1, 2006, and on each July 1 thereafter, or such lower number as (i) shall be determined by the CFD Administrator as sufficient to provide the public facilities to be provided by CFD No. 2006-2 under the authorized bonding program for CFD No. 2006-2, or (ii) shall be determined by the Council concurrently with a covenant that it will not issue any more CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities levy under this Rate and Method of Apportionment as described in Section D above. "Construction Inflation Index" means the annual percentage change in the Engineering News Record Building Cost Index for the City of Los Angeles, measured as of the calendar year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the CFD Administrator that is reasonably comparable to the Engineering News Record Building Cost Index for the City of Los Angeles. "Future Facilities Costs" means the CFD Public Facilities minus (i) public facility costs previously paid from the Improvement Fund, (ii) moneys currently on deposit in the Improvement Fund, and (iii) moneys currently on deposit in an escrow fund that are expected to be available to finance the cost of CFD Public Facilities. /"'" "Improvement Fund" means an account specifically identified in the Indenture to hold funds which are currently available for expenditure to acquire or construct CFD Public Facilities eligible under the Act. "Previously Issued Bonds" means, for any Fiscal Year, all Outstanding Bonds that are deemed to be outstanding under the Indenture after the first interest and/or principal payment date following the current Fiscal Year. 1. Prepayment in Full Only an Assessor's Parcel of Developed Property, or Undeveloped Property for which a building permit has been issued, may be prepaid. The obligation of the Assessor's Parcel to pay the Special Tax for Facilities may be permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor's Parcel only ifthere are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Special Tax for Facilities obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notifY such owner of the prepayment amount for such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this service. Prepayment must be made not less than 45 days prior to the next occurring date that notice of redemption of CFD No. 2006-2 Bonds from the proceeds of such prepayment may be given by the Trustee pursuant to the Indenture. --, The Special Tax for Facilities Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) ACiS\lOA 'TeA NO'~~o~2 t=~~_=" PAVE 1q ~,,_ Of~J2?. -_ January 30, 2006 Page 9 City of lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "8" January 30, 2006 Page 8-10 Rate and Method of Apportionment Bond Redemption Amount ,...." plus plus plus plus less less Total: equals Redemption Premium Future Facilities Amount Defeasance Amount Administrative Fees and Expenses Reserve Fund Credit Capitalized Interest Credit Special Tax for Facilities Prepayment Amount As of the proposed date of prepayment, the Special Tax for Facilities Prepayment Amount shaH be calculated as foHows: Parae:raDh No.: 1. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 2. For Assessor's Parcels of Developed Property, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities. For Assessor's Parcels of Undeveloped Property for which a building permit has been issued, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. 3. (a) Divide the Assigned Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Assigned Special Tax for Facilities for the entire CFD No. 2006-2 based on the Developed Property Special Tax for Facilities which could be levied in the current Fiscal Year on aH expected development through Buildout of CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid, and ....,. (b) Divide the Backup Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Backup Special Tax for Facilities at Buildout for the entire CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid. 4. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the Previously Issued Bonds to compute the amount of Previously Issued Bonds to be retired and prepaid (the "Bond Redemption Amount"). 5. Multiply the Bond Redemption Amount computed pursuant to paragraph 4 by the applicable redemption premium (e.g., the redemption price-1 00%), if any, on the Previously Issued Bonds to be redeemed (the "Redemption Premium"). 6. Compute the current Future Facilities Costs. 7. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the amount determined pursuant to paragraph 6 to compute the amount of Future Facilities Costs to be prepaid (the "Future Facilities Amount"). 8. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Previously Issued Bonds. ....." City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) AGENDA ITEM NO. PACE eta January 30, 2006 ~J Page 10 OF 153 Exhibit "B" January 30, 2006 Page 8-11 City of Lake Elsinore CFD No. 2006-2 (Viscaya) ,-.. Rate and Method of Apportionment 9. ,.".-, ,-.. Determine the Special Tax for Facilities levied on the Assessor's Parcel in the current Fiscal Year which has not yet been paid. 10. Compute the minimum amount the CFD Administrator reasonably expects to derive from the reinvestment of the Special Tax for Facilities Prepayment Amount less the Future Facilities Amount and the Administrative Fees and Expenses (defined below) from the date of prepayment until the redemption date for the Previously Issued Bonds to be redeemed with the prepayment 11. Add the amounts computed pursuant to paragraphs 8 and 9 and subtract the amount computed pursuant to paragraph 10 (the "Defeasance Amount"). 12. The administrative fees and expenses of CFD No. 2006-2 are as calculated by the CFD Administrator and include the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming CFD No. 2006-2 Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 13. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Previously Issued Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Previously Issued Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. No Reserve Fund Credit shall be granted if the amount then on deposit in the reserve fund for the Previously Issued Bonds is below 100% of the reserve requirement (as defined in the Indenture). 14. If any capitalized interest for the Previously Issued Bonds will not have been expended as of the date immediately following the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the expected balance in the capitalized interest fund or account under the Indenture after such first interest and/or principal payment (the "Capitalized Interest Credit"). 15. The Special Tax for Facilities prepayment is equal to the sum of the amounts computed pursuant to paragraphs 4, 5, 7, 11 and 12, less the amounts computed pursuant to paragraphs 13 and 14 (the "Special Taxfor Facilities Prepayment Amount"). From the Special Tax for Facilities Prepayment Amount, the amounts computed pursuant to paragraphs 4, 5, 11, 13 and 14 shall be deposited into the appropriate fund as established under the Indenture and be used to retire CFD No. 2006-2 Bonds or make debt service payments. The amount computed pursuant to paragraph 7 shall be deposited into the Improvement Fund. The amount computed pursuant to paragraph 12 shall be retained by CFD No. 2006-2. The Special Tax for Facilities Prepayment Amount may be insufficient to redeem a full $5,000 increment of CFD No. 2006-2 Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of CFD No. 2006-2 Bonds or to make debt service payments. City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 Page 11 AGENDA ITEM NO. PA<iE 9l 2( OFJ 53 City of lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-12 Rate and Method of Apportionment As a result of the payment of the current Fiscal Year's Special Tax for Facilities levy as determined under paragraph 9 (above), the CFD Administrator shall remove the current Fiscal Year's Special Tax for Facilities levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax for Facilities and the release of the Special Tax for Facilities lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax for Facilities shall cease. ~ Notwithstanding the foregoing, no Special Tax for Facilities prepayment shall be allowed unless, at the time of such proposed prepayment, the amount of Maximum Special Tax for Facilities that may be levied on Taxable Property within CFD No. 2006-2 (after excluding 8. I Acres of Property Owner Association Property and/or Public Property in CFD No. 2006- 2 as set forth in Section E) both prior to and after the proposed prepayment is at least equal to the sum of (i) the Administrative Expenses, as defined in Section A above, and (ii) 1.10 times maximum annual debt service, in each remaining Fiscal Year on the o.utstanding Bonds. 2. Prepayment in Part The Special Tax for Facilities on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section G.I; except that a partial prepayment shall be calculated according to the following formula: PP = C(PE - A) x F] + A """" These terms have the following meaning: PP = the partial prepayment. PE = the Special Tax for Facilities Prepayment Amount calculated according to Section G.1. F = the percentage, expressed as a decimal, by which the owner of the Assessor's Parcel is partially prepaying the Special Tax for Facilities. A = the Administrative Fees and Expenses calculated according to Section G.I. The owner of any Assessor's Parcel who desires such prepayment shall notify the CFD Administrator of such owner's intent to partially prepay the Special Tax for Facilities and the percentage by which the Special Tax for Facilities shall be prepaid. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax for Facilities for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the Council shall (i) distribute the funds remitted to it according to Section G.l, and (ii) indicate in the records of CFD No. 2006-2 that there has been a partial prepayment of the Special Tax for Facilities and that a portion of the Special Tax for Facilities with respect to such Assessor's Parcel, equal to the outstanding percentage (1.00 _ F) of the remaining Maximum Special Tax for Facilities, shall continue to be levied on such Assessor's Parcel pursuant to Section D above. """"" City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) AGENDA ITEM NO. 2-\ PAai~OFJCJ~ - January 30, 2006 Page 12 City of Lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-13 ~. Rate and Method of Apportionment H. TERM OF SPECIAL TAX FOR FACILITIES The Special Tax for Facilities shall be levied for a period not to exceed forty years commencing with Fiscal Year 2005-2006, provided however that the Special Tax for Facilities will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all required interest and principal payments on the CFD No. 2006-2 Bonds have been paid; (ii) all Authorized Facilities have been acquired and all reimbursements to the developer have been paid; and (iii) all other obligations of CFD No. 2006-2 have been satisfied. I. SPECIAL TAX FOR SERVICES The following additional definitions apply to this Section I: "Developed Multifamily Unit" means a residential dwelling unit within a building in which each of the individual dwelling units has or shall have at least one common wall with another dwelling unit and a building permit has been issued by the City for such dwelling unit on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. ~ "Developed Single Family Unit" means a residential dwelling unit other than a Developed Multifamily Unit on an Assessor's Parcel for which a building permit has been issued by the City on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. "Maximum Special Tax for Services" means the maximum Special Tax for Services that can be levied by CFD No. 2006-2 in any Fiscal Year on any Assessor's Parcel. "Operating Fund" means a fund that shall be maintained for CFD No. 2006-2 for any Fiscal Year to pay for the actual costs of maintenance related to the Service Area, and the applicable Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Service Area" means parks, open space, and storm drains. "Special Tax for Services" means any of the special taxes authorized to be levied within CFD No. 2006-2 pursuant to the Act to fund the Special Tax Requirement for Services. ~ "Special Tax Requirement for Services" means the amount determined in any Fiscal Year for CFD No. 2006-2 equal to (i) the budgeted costs directly related to the Service Area, including maintenance, repair and replacement of certain components of the Service Area which have been accepted and maintained or are reasonably expected to be accepted and maintained during the current Fiscal Year, (ii) pay a proportionate share of Administrative Expenses, and (iii) anticipated Special Tax for Services delinquencies based on the delinquency rate for the Special Tax for Services levy in CFD No. 2006-2 for the previous Fiscal Year, less (iv) the Operating Fund Balance, as determined by the CFD Administrator. City of Lake Elsinore January 30, 2006 Community Facilities District No. 2006-2 (Viseaya) AGENDA ITEM NO. ~ _ Page 13 PAOE...ii.:OP . 5 ~ City of Lake Elsinore CFD No. 2006.2 (Viscaya) Exhibit "B" January 30, 2006 Page 8-14 Rate and Method of Apportionment 1. Rate and Method of Apportionment of the Special Tax for Services -.....II' Commencing with Fiscal Year 2005-2006 and for each subsequent Fiscal Year, the Council shall levy the Special Tax for Services on (i) all Assessor's Parcels containing a Developed Single Family Unit or Developed Multifamily Unit and (ii) all Assessor's Parcels of Non- Residential Property, up to the applicable Maximum Special Tax for Services to fund the Special Tax Requirement for Services. The Maximum Special Tax for Services for Fiscal Year 2005-2006 shall be $242 per Developed Single Family Unit, $121 per Developed Multifamily Unit, and $545 per Acre for each Assessor's Parcel of Non-Residential Property. On each July I, commencing July I, 2006, the Maximum Special Tax for Services shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year. 2. Duration of the Special Tax for Services The Special Tax for Services shall be levied in perpetuity to fund the Special Tax Requirement for Services, unless no longer required as determined at the sole discretion of the Council. 3. Collection of the Special Tax for Services The Special Tax for Services shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2006-2 may collect the Special Tax for Services at a different time or in a different manner if necessary to meet its funding requirements. -.....II' J. APPEALS AND INTERPRETATIONS Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may submit a written appeal to CFD No. 2006-2. The CFD Administrator shall review the appeal and if the CFD Administrator concurs, the amount of the Special Tax levied shall be appropriately modified. The Council may interpret this Rate and Method of Apportionment for purposes of clarifying any ambiguity and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals. Any decision of the Council shall be final and binding as to all persons. ""'" City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) January 30, 2006 AGENDA fTat NO. 2- ~ Page 14 PIG..iL:.OF j 5:3 w ,....... ,....... r-- City of Lake Elsinore CFD No. 2006-2 (Viscaya) Exhibit "B" January 30, 2006 Page B-15 Rate and Method of Apportionment EXHIBIT A CERTIFICATE TO AMEND SPECIAL TAX FOR FACILITIES January 30, 2006 Page 15 City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) AGENDA ITEM NO. ~ \ PAOE ~f OF J5~ r City of Lake Elsinore CFD No. 2006.2 (Viseaya) Exhibit "B" January 30, 2006 Page 8-16 Rate and Method of Apportionment ......, CITY OF LAKE ELSINORE AND CFD No. 2006-2 CERTIFICATE 1. Pursuant to Section C of the Rate and Method of Apportionment, the City of Lake Elsinore ("City") and City of Lake Elsinore Community Facilities District No. 2006-2 ("CFD No. 2006-2") hereby agree to a reduction in the Assigned Special Tax for Facilities for Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2: (a) The information in Table 1 relating to the Assigned Special Tax for Facilities for Developed Property within CFD No. 2006-2 shall be modified as follows: Residential Property More than 2,349 sq. ft. $_ per unit 2 Residential Property 1,950 - 2,349 sq. ft. $_ per unit 3 Residential Property 1,550 - 1,949 sq. ft. $_ per unit 4 Residential Property Less than 1,550 sq. ft. $_ per unit 5 Non-Residential Property NA $_ per Acre (b) The Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2, as stated in Section C.l.(c), shall be reduced from $30,575 per Acre to $_ per Acre. ......, 2. The Special Tax for Facilities may only be modified prior to the first issuance ofCFD No. 2006- 2 Bonds. 3. Upon execution of the Certificate by the City and CFD No. 2006-2, the City shall cause an amended notice of Special Tax lien for CFD No. 2006-2 to be recorded reflecting the modifications set forth herein. By execution hereof, the undersigned acknowledges, on behalf of the City and CFD No. 2006-2, receipt of this Certificate and modification of the Rate and Method of Apportionment as set forth in this Certificate. CITY OF LAKE ELSINORE By: Date: CFD Administrator COMMUNITY FACILITIES DISTRICT NO. 2006-2 OF THE CITY OF LAKE ELSINORE By: Date: ......, City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) AGENDA ITSI NO. 2.\ PAGE~OF January 30, 2006 Page 16 /53 City of Lake Elsinore CFD No. 2006-2 (Viscaya) ",-, EXHIBIT "e" Property Owner List April 17 , 2006 Page C-1 APN 379-230-004 379-230-006 379-230-008 379-230-009 ~ ~ City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) Property Owner List Owner CORMAN LEIGH TOZAI LAKE SHORE CORMAN LEIGH TOZAI LAKE SHORE CORMAN LEIGH TOZAI LAKESHORE CORMAN LEIGH TOZAI LAKESHORE Grand Total Acreage 5.40 9.08 1.08 10.80 26.36 ~Ql\ITCMNO~) ....1:LOF I '5 ~: Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc City of lake Elsinore CFD No. 2006-2 (Viscaya) EXHIBIT "0" April 17, 2006 Page 0-1 Effective Tax Rate City of Lake Elsinore Community Facilities District 2006-2 (Viscaya) Product Mix and Special Taxes [1] Fiscal Year 2005-06 ....." Land Use Land Use Land Use Land Use Home Special Tax Category Class 1 Class 2 Class 3 Class 4 Home Square Footage = > 2350 sf 1950-2349 sf 1550-1949 sf < 1550 sf Lowest Home Price $ 396,000 $ 374,000 $ 359,000 $ 339,000 Number of Units 53 53 35 27 Base Property Tax (1.0000%) $ 3,960.00 $ 3,740.00 $ 3,590.00 $ 3,390.00 Taxes of all Agencies Metro Water West 1302999 (0.0052%) $ 20.59 $ 19.45 $ 18.67 $ 17.63 N. W. Mosquito & Vector Control District $ 10.60 $ 10.60 $ 10.60 $ 10.60 Flood Control & Stormwater / Cleanwater $ 3.75 $ 3.75 $ 3.75 $ 3.75 CSA 152 - Lake Elsinore Stormwater $ 6.64 $ 6.64 $ 6.64 $ 6.64 City of Lake Elsinore Citywide LLMD $ 24.90 $ 24.90 $ 24.90 $ 24.90 City of Lake Elsinore LLMD No. I NA NA NA NA MWD Water Standby West Charge $ 9.22 $ 9.22 $ 9.22 $ 9.22 Flood Zone 3 Benefit Assessment District $ 25.50 $ 25.50 $ 25.50 $ 25.50 City of Lake Elsinore CFD No. 2003-1 $ 312.12 $ 312. 12 $ 312.12 $ 312.12 Proposed CFD No. 2006-2 Special Tax for Services $ 242.00 $ 242.00 $ 242.00 $ 242.00 Proposed CFD No. 2006-2 Special Tax for Facilities $ 2,908.00 $ 2,711.00 .$ 2,577. 00 $ 2,398.00 Total Property Taxes $ 7,523.32 $ 7,105.18 $ 6,820.40 $ 6,440.36 Annual Home Tax Rate (%) 1.90% 1.90% 1.90% 1. 90% Gross Acreage 25.05 acres Public Street Acreage (Not in CFD) 1.4 5 acres Exempt Acreage (Public & Association Property) 8. 02 acres Net Taxable Acreage 15.58 acres Undeveloped Special Tax Rate $30,602 /acre Max Tax Rate Greater of Assigned Tax Rate or $30, 575/acre ....." [1] Based on Projected Special Tax and Bonded Indebtedness, prepared by David Taussig & Associates, dated December 2, 2005 ......, Q:\ELSINORE\CFD 2006-2 Viscaya (Corman Leigh)\report\CFD Report 2006-2 (Viscaya).doc AOENDA I1EM NO~ 21 PACE_ q~ OF 153 ,,-.... RESOLUTION NO. 2006- 51 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE APPROVING A JOINT COMMUNITY FACILITIES AGREEMENT AND A FUNDING, CONSTRUCTION AND ACQUISITION AGREEMENT RELATING TO THE CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCA Y A) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has heretofore adopted Resolution No. 2006-20 ("Resolution of Intention") stating its intention to form City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD") pursuant to the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"); and WHEREAS, Section 53316.2 of the Act states that a community facilities district may finance facilities to be owned or operated by an entity other than the agency that created the district only pursuant to a joint community facilities agreement or a joint exercise of powers agreement; and ,,-.... WHEREAS, certain facilities and capital fees to be financed by the CFD include those facilities and capital fees to be owned or operated by the Elsinore Valley Municipal Water District. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. The City Council hereby approves the Joint Community Facilities Agreement in substantially the form presented to the City Council at this meeting. The Mayor, the City Manager and the Director of Administrative Services are hereby authorized to execute the Joint Community Facilities Agreement with such revisions, amendments and completions as shall be approved by the officer executing the same, such approval to be conclusively evidenced by the execution and delivery thereof. SECTION 2. The City Council hereby approves the Funding, Construction and Acquisition Agreement in substantially the form presented to the City Council at this meeting. The Mayor, the City Manager and the Director of Administrative Services are hereby authorized to execute the Funding, Construction and Acquisition Agreement with such revisions, amendments and completions as shall be approved by the officer executing the same, such approval to be conclusively evidenced by the execution and delivery thereof. ,,-.... 45726755.1 AtiENOA ITEM NO. 2- ( q'i -~~-----~- p~ . Of~L5 ~~.. "".--- ._- -.,. --- CITY COUNCIL RESOLUTION NO. 2006- Page 2 of2 SECTION 3. This Resolution shall take effect from and after the date of its passage and adoption. ....", PASSED, APPROVED AND ADOPTED this 25th day of April, 2006, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ....", ATTEST: Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ....., 45726755.1 AGENDA ITEM NO. 2-\ PAGE~OF \ 53 /""'"' RESOLUTION NO. 2006-),.1 RESOLUTION OF FORMATION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DETERMINING THE VALIDITY OF PRIOR PROCEEDINGS AND ESTABLISHING CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCAYA) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has heretofore adopted Resolution No. 2006-20 ("Resolution of Intention") stating its intention to form City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD") pursuant to the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"); and WHEREAS, a copy of the Resolution of Intention is on file with the City Clerk and incorporated herein by reference; and WHEREAS, pursuant to the Act and in accordance with applicable laws, this Council held a public hearing on the formation of the CFD and the incurring of bonded indebtedness with respect to the CFD; and ,,-.. WHEREAS, at said hearing all persons not exempt from the Services Special Tax and the Special Tax desiring to be heard on all matters pertaining to the formation of the CFD were heard and a full and fair hearing was held; and WHEREAS, at said hearing evidence was presented to the Council on said matters before it, and this Council at the conclusion of said hearing is fully advised in the premIses. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. Pursuant to Section 53325.1(b) of the Government Code, the Council finds and determines that the proceedings prior hereto were valid and in conformity with the requirements of the Act. SECTION 2. A community facilities district to be designated "City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya)" is hereby established pursuant to the Act. SECTION 3. The description and map of the boundaries of the CFD on file in the /""'"' Clerk's office and as described in the Resolution of Intention and incorporated herein by 45726758.\ AGENDA ITEM NO. 2\ - PACE..JQ.L-OF I?~ - CITY COUNCIL RESOLUTION NO. 2006- Page 2 of5 ....", reference, shall be the boundaries of the CFD. The map of the proposed boundaries of the CFD has been recorded in the Office of the County Recorder of Riverside County, California (Book 65 of Maps of Assessment and Community Facilities District at page 86 and as Instrument No. 2006-0122205). SECTION 4. Except where funds are otherwise available, it is the intention of the Council to levy annually in accordance with procedures contained in the Act a special tax (the "Services Special Tax") sufficient to finance a portion of the cost of providing parks, open space and storm drains maintenance services (the "Services") that are in addition to those provided in the territory within the CFD prior to the formation of the CFD and do not supplant services already available within the territory proposed to be included in the CFD, the costs of administering the levy and collection of the Services Special Tax and all other costs of the levy of the Services Special Tax, including any foreclosure proceedings, legal, fiscal and financial consultant fees, election costs, and all other administrative costs of the tax levy. The Services Special Tax will be secured by recordation of a continuing lien against all real property in the CFD. The schedule of the rate and method of apportionment and manner of collection of the Services Special Tax is described in detail in Exhibit A attached hereto and by this reference incorporated herein. The Services are more fully described in the report presented to this Council at the public....", hearing (the "Report"). The Services Special Tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act. SECTION 5. The facilities proposed to be financed by the CFD are public infrastructure facilities and other governmental facilities with an estimated useful life of five years or longer, which the CFD is authorized by law to construct, own or operate and that are necessary to meet increased demands placed upon the City as a result of development or rehabilitation occurring within the proposed CFD, including but not limited to City street and storm drain improvements, City Capital Facilities Fees, EVMWD Water and Sewer facilities, EVMWD Water and Sewer Capital Facilities Fees, and related costs including designs, inspections, professional fees, annexation fees, connection fees and acquisition costs (the "Facilities"). Such Facilities need not be physically located within the CFD. SECTION 6. Except where funds are otherwise available, it is the intention of the Council to levy annually in accordance with procedures contained in the Act a special tax (the "Special Tax") sufficient to pay for the costs of financing the acquisition and/or construction of the Facilities, including the principal of and interest on the bonds 45726758.1 ~ ACENDA ITEM NO. 2-\ PACE-302 OF /53 "......... CITY COUNCIL RESOLUTION NO. 2006- Page 3 of5 proposed to be issued to finance the Facilities and other periodic costs, the establishment and replenishment of reserve funds, the remarketing, credit enhancement and liquidity fees, the costs of administering the levy and collection of the Special Tax and all other costs of the levy of the Special Tax and issuance of the bonds, including any foreclosure proceedings, architectural, engineering, inspection, legal, fiscal, and financial consultant fees, discount fees, interest on bonds due and payable prior to the expiration of one year from the date of completion of facilities (but not to exceed two years), election costs and all costs of issuance of the bonds, including, but not limited to, fees for bond counsel, disclosure counsel, financing consultants and printing costs, and all other administrative costs of the tax levy and bond issue. The Special Tax will be secured by recordation of a continuing lien against all real property in the CFD. 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 CFD pursuant to Section 53314 of the Act and interest thereon. The schedule of the rate and method of apportionment and manner of collection of the Special Tax is described in detail in Exhibit A attached hereto and by this reference incorporated herein. The Special Tax is based upon the cost of financing the Facilities in the CFD, the demand that each parcel will place on the Facilities and the benefit (direct and/or indirect) received by each parcel from the Facilities. "......... The Special Tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act. In the event that a portion of the property within the CFD shall become for any reason exempt, wholly or partially, from the levy of the Special Tax, the Council shall, on behalf of the CFD, increase the levy to the extent necessary upon the remaining property within the CFD which is not delinquent or exempt in order to yield the required payments, subject to the maximum tax. Under no circumstances, however, shall the Special Tax 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 CFD by more than 10 percent. Furthermore, the maximum special tax authorized to be levied against any parcel used for private residential purposes shall not be increased over time in excess of 2 percent per year. The Facilities are more fully described in the Report. SECTION 7. 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 Services Special Tax and the Special Tax shall attach to all real property in the CFD, and the lien with respect to the Special Tax shall continue in force and effect until the Special Tax obligation is prepaid or otherwise permanently satisfied and the lien canceled in accordance with law, and the lien with respect to the Services Special Tax "......... 45726758.1 AGENDAITEMNO.~ PAGE_' b j OF I 5 -:s CITY COUNCIL RESOLUTION NO. 2006- Page 4 of5 ~ and the Special Tax shall continue in force and effect until collection of the Services Special Tax and the Special Tax by the CFD ceases. SECTION 8. Neither the proposed Services Special Tax nor the Special Tax to be levied in the CFD has been precluded by protests by owners of one-half or more of the land in the territory included in the CFD pursuant to Government Code Section 53324. SECTION 9. Pursuant to and in compliance with the provisions of Government Code Section 50075.1, the Council hereby establishes the following accountability measures pertaining to the levy by the CFD of the Services Special Tax and the Special Tax: (a) Such Services SpeCial Tax and the Special Tax shall be levied for the specific purposes set forth herein. (b) The proceeds of the levy of such Services Special Tax and the Special Tax shall be applied only to the specific purposes set forth herein. (c) The CFD shall establish an account or accounts into which the proceeds of such Services Special Tax and the Special Tax shall be deposited. ~ (d) The City Manager, or his or here designee, acting for and on behalf of the CFD, shall annually file a report with the Council as required pursuant to Government Code Section 50075.3. SECTION 10. The City Manager, 130 S. Main Street, Lake Elsinore, California 92530, (951) 674-3124, or his designee, is designated to be responsible for preparing or causing to be prepared annually a current roll of Services Special Tax and the Special Tax levy obligations by assessor's parcel number and for estimating future Services Special Tax and the Special Tax levies pursuant to Section 53340.1 of the Government Code. SECTION 11. The voting procedure with respect to the imposition of the Services Special Tax and the Special Tax, incurring bonded indebtedness and establishing an appropriations limit of the CFD shall be by hand delivered or mailed ballot election. SECTION 12. The City Clerk is directed to certify and attest to this Resolution and to take any and all necessary acts to call, hold, canvass and certify an election or 45726758.1 ......, AGENDA ITEM NO. 2-- \ PAGEJDV OF I 53 ~. CITY COUNCIL RESOLUTION NO. 2006- Page S ofS elections on the incurring bonded indebtedness, the levy of the Special Tax, and the establishment of the appropriation limit. SECTION 13. This Resolution shall take effect from and after the date of its passage and adoption. PASSED, APPROVED AND ADOPTED this 25th day of April, 2006, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ~. Robert E. Magee, Mayor City of Lake Elsinore ATTEST: Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore r--. 45726758. ] ACENDA ITEM NO. ? 1- PAOE~OF IS3 EXHIBIT A ...."" RATE AND METHOD OF APPORTIONMENT ...."" ....., 45726758.1 AGENDA ITEM NO. ~ \ PAGE /D(P OF /5"1 - ".--. RATE AND METHOD OF APPORTIONMENT FOR CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT No. 2006-2 (VISCAYA) A Special Tax shall be levied on all Assessor's Parcels in City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) ("CFD No. 2006-2") and collected each Fiscal Year commencing in Fiscal Year 2005-2006, in an amount determined through the application of this Rate and Method of Apportionment as described below. All of the real property in CFD No. 2006-2, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's 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 recorded County parcel map. "Act" means the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part 1, Division 2 of Title 5 ofthe California Government Code. .--.-. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2006-2: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with disclosure requirements of the City, CFD No. 2006-2 or obligated persons associated with applicable federal and state securities laws and the Act; 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. 2006-2 or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City's annual administration fees and third party expenses. Administrative Expenses shall also include amounts estimated by the CFD Administrator or advanced by the City or CFD No. 2006-2 for any other administrative purposes of CFD No. 2006-2, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's Parcel number. ".-- "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. 1 AGENDA ITEM NO. 2- \ PACE )07 OF /53 "Assigned Special Tax for Facilities" means the Special Tax for Facilities for each Land Use Class of Developed Property, as determined in accordance with Section C.l.(b) below. ....." "Authorized Facilities" means those authorized improvements, as listed in an exhibit to the Resolution of Formation. "Backup Special Tax for Facilities" means the Special Tax for Facilities applicable to each Assessor's Parcel of Developed Property, as determined in accordance with Section C.l.( c) below. "Certificate of Occupancy" means a certificate issued by the City that authorizes the actual occupancy of a dwelling unit for habitation by one or more residents. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement for Facilities, the Special Tax Requirement for Services as determined in accordance with Section I below, and providing for the levy and collection ofthe Special Taxes. "CFD No. 2006-2" means City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya). . "CFD No. 2006-2 Bonds" means any bonds or other debt (as defined in Section 53317( d) of the Act), whether in one or more series, issued by CFD No. 2006-2 and secured solely by the Special Tax for Facilities levy on property within the boundaries of CFD No. 2006-2 under the Act. ....." "City" means the City of Lake Elsinore. "Council" means the City Council of the City of Lake Elsinore, acting as the legislative body ofCFD No. 2006-2. "County" means the County of Riverside. "Developed Property" means, with respect to the Special Tax for Facilities, for each Fiscal Year, all Taxable Property, exclusive of Taxable Public Property and Taxable Property Owner Association Property, for which the Final Subdivision was recorded on or before January 1 of the prior Fiscal Year and a building permit for new construction was issued on or before May 1 of the Fiscal Year preceding the Fiscal Year for which the Special Tax for Facilities is being levied. "Final Subdivision" means (i) a final map, or portion thereof, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) that creates individual lots for which building permits may be issued, or (ii) for condominiums, a final map, or portion thereof, approved by the City and a condominium plan recorded pursuant to California Civil Code Section 1352 that creates individual lots for which building permits may be issued. "Fiscal Year" means the period starting July 1 and ending on the following June 30. ....." 2 AGENDA ITEM NO. 2-.\ PACE I D~ OF II)~ r'- "Indenture" means the indenture, fiscal agent agreement, resolution or other instrument pursuant to which CFD No. 2006-2 Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any ofthe classes listed in Table I below. "Maximum Special Tax for Facilities" means the maximum Special Tax for Facilities, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor's Parcel. "Non-Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction of one or more non-residential units or facilities has been issued by the City. "Outstanding Bonds" means all CFD No. 2006-2 Bonds which are deemed to be outstanding under the Indenture. "Property Owner Association Property" means, for each Fiscal Year, any property within the boundaries of CFD No. 2006-2 that was owned by a property owner association, including any master or sub-association, as of January 1 of the prior Fiscal Year. r' "Proportionately" means for Developed Property that the ratio of the actual Special Tax for Facilities levy to the Assigned Special Tax for Facilities is equal for all Assessor's Parcels of Developed Property. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax for Facilities levy per Acre to the Maximum Special Tax for Facilities per Acre is equal for all Assessor's Parcels of Undeveloped Property. The term "Proportionately" may similarly be applied to other categories of Taxable Property as listed in Section D below. "Public Property" means property within the boundaries of CFD No. 2006-2 owned by, irrevocably offered or dedicated to, or over, through or under which an easement for purposes of public right-of-way has been granted, to the federal government, the State, the County, the City, or any local government or other public agency, provided that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified according to its use. "Residential Floor Area" means all of the square footage ofliving 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 an Assessor's Parcel shall be made by reference to the building permit( s) issued for such Assessor's Parcel. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction thereon of one or more residential dwelling units has been issued by the City. "Resolution of Formation" means the resolution of formation for CFD No. 2006-2. r' "Special Tax" means any of the special taxes authorized to be levied by CFD No. 2006-2 pursuant to the Act. 3 AGENDA ITEM NO. 7 ~ PAOE.J.2LOF I 5 ~ 4J "Special Tax for Facilities" means the special tax to be levied in each Fiscal Year on each Assessor's Parcel of Developed Property, Taxable Property Owner Association Property, .." Taxable Public Property, and Undeveloped Property to fund the Special Tax Requirement for Facilities. "Special Tax Requirement for Facilities" means that amount required in any Fiscal Year for CFD No. 2006-2 to: (i) pay debt service on all Outstanding Bonds due in the calendar year commencing in such Fiscal Year; (ii) pay periodic costs on the CFD No. 2006-2 Bonds, including but not limited to, credit enhancement and rebate payments on the CFD No. 2006-2 Bonds due in the calendar year commencing in such Fiscal Year; (iii) pay a proportionate share of Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds; (v) pay for reasonably anticipated Special Tax for Facilities delinquencies based on the delinquency rate for the Special Tax for Facilities levy in the previous Fiscal Year; (vi) pay directly for acquisition or construction of Authorized Facilities to the extent that the inclusion of such amount does not increase the Special Tax for Facilities levy on Undeveloped Property; less (vii) a credit for funds available to reduce the annual Special Tax for Facilities levy, as determined by the CFD Administrator pursuant to the Indenture. "State" means the State of California. "Taxable Property" means .all of the Assessor's Parcels within the boundaries of CFD No. 2006-2 which are not exempt from the Special Tax for Facilities pursuant to law or Section E below. "Taxable Property Owner Association Property" means all Assessor's Parcels of Property Owner Association Property that are not exempt pursuant to Section E below. ......, "Taxable Public Property" means all Assessor's Parcels of Public Property that are not exempt pursuant to Section E below. "Trustee" means the trustee or fiscal agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property, Taxable Property Owner Association Property, or Taxable Public Property. B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2006-2 shall be classified as Developed Property, Taxable Public Property, Taxable Property Owner Association Property, or Undeveloped Property, and shall be subject to Special Taxes in accordance with this Rate and Method of Apportionment determined pursuant to Sections C and D below. Residential Property shall be assigned to Land Use Classes 1 through 4 as listed in Table 1 below based on the Residential Floor Area for each unit. Non-Residential Property shall be assigned to Land Use Class 5. With respect to Residential Property, the Residential Floor Area shall be determined from the most recent building permit issued prior to the issuance of a Certificate of Occupancy for such Assessor's Parcel. ......, 4 ACENDA 'TEM NO. 2. \ P~Of 15"3- "..... C. MAXIMUM SPECIAL TAX FOR FACILITIES Prior to the issuance of CFD No. 2006-2 Bonds, the Assigned Special Tax for Facilities on Developed Property (set forth in Table 1), and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced in accordance with, and subject to the conditions set forth in this paragraph. If it is reasonably determined by the CFD Administrator that the overlapping debt burden (as defined in the Statement of Goals and Policies for the Use of the Mello-Roos Community Facilities Act of 1982 adopted by the Council, the "Goals and Policies") calculated pursuant to the Goals and Policies exceeds the City's maximum level objective set forth in such document, the Assigned Special Tax for Facilities on Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced to the amount necessary to satisfy the City's objective with respect to the maximum overlapping debt burden level with the written consent of the CFD Administrator. The reductions permitted pursuant to this paragraph shall be reflected in an amended Notice of Special Tax Lien which the City shall cause to be recorded by executing a certificate in substantially the form attached hereto as Exhibit "A". 1. Developed Property (a) Maximum Special Tax for Facilities ~ The Maximum Special Tax for Facilities for each Assessor's Parcel classified as Developed Property shall be the greater of (i) the amount derived by application of the Assigned Special Tax for Facilities or (ii) the amount derived by application of the Backup Special Tax for Facilities. (b) Assigned Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities for each Land Use Class is shown below in Table 1. TABLE 1 Assigned Special Tax for Facilities for Developed Property Community Facilities District No. 2006-2 Fiscal Year 2005-2006 1 Residential Property More than 2,349 sq. ft. $2,908 per unit 2 Residential Property 1,950 - 2,349 sq. ft. $2,711 per unit 3 Residential Property 1,550 - 1,949 sq. ft. $2,577 per unit 4 Residential Property Less than 1,550 sq. ft. $2,398 per unit ,-.. 5 Non-Residential Property NA $29,060 per Acre 5 AGENDA.lEU NO. 2.l PAOE--11L-OF I 53 - (c) Backup Special Tax for Facilities The Fiscal Year 2005-2006 Backup Special Tax for Facilities attributable to a Final Subdivision will equal $30,575 multiplied by the Acreage of all Taxable Property, exclusive of any Taxable Property Owner Association Property and Taxable Public Property, therein. The Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed by dividing the Backup Special Tax for Facilities attributable to the applicable Final Subdivision by the number of Assessor's Parcels for which building permits for residential construction have or may be issued (i.e., the number or residential lots). The Backup Special Tax for Facilities for each Assessor's Parcel of Non-Residential Property therein shall equal $30,575 multiplied by the Acreage of such Assessor's Parcel. If a Final Subdivision includes Assessor's Parcels of Taxable Property for which building permits for both residential and non-residential construction may be issued, exclusive of Taxable Property Owner Association Property and Taxable Public Property, then the Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed exclusive of the Acreage and Assessor's Parcels of property for which building permits for non-residential construction may be issued. Notwithstanding the foregoing, if all or any portion of the Final Subdivision(s) described in the preceding paragraphs is subsequently changed or modified by recordation of a lot line adjustment or similar instrument, and only if the CFD Administrator determines that such change or modification results in a decrease in the number of Assessor's Parcels of Taxable Property for which building permits for residential construction have or may be issued within such Final Subdivision, then the Backup Special Tax for Facilities for each Assessor's Parcel of Developed Property that is part of the lot line adjustment or similar instrument for such Final Subdivision shall be a rate per Acre as calculated below. The Backup Special Tax for Facilities previously determined for an Assessor's Parcel of Developed Property that is not a part of the lot line adjustment or similar instrument for such Final Subdivision shall not be recalculated. 1. Determine the total Backup Special Tax for Facilities anticipated to apply to the changed or modified portion of the Final Subdivision area prior to the change or modification. 2. The result of paragraph 1 above shall be divided by the Acreage of Taxable Property which is ultimately expected to exist in such changed or modified portion of the Final Subdivision area, as reasonably determined by the CFD Administrator. 3. The result of paragraph 2 above shall be the Backup Special Tax for Facilities per Acre which shall be applicable to Assessor's Parcels of Developed Property in such changed or modified portion of the Final Subdivision area for all remaining Fiscal Years in which the Special Tax for Facilities may be levied. 6 AOENDAITEMNO. ~J _. PACE--1..L2::-OF is 3 ~ ~ ~ /"'"" (d) Increase in the Assigned Special Tax for Facilities and Backup Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities, identified in Table 1 above, and Backup Special Tax for Facilities shall increase thereafter, commencing on July 1,2006 and on July 1 of each Fiscal Year thereafter, by an amount equal to two percent (2%) of the amount in effect for the previous Fiscal Year. (e) Multiple Land Use Classes In some instances an Assessor's Parcel of Developed Property may contain more than one Land Use Class. The Maximum Special Tax for Facilities levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax for Facilities for all Land Use Classes located on that Assessor's Parcel. The CFD Administrator's allocation to each type of property shall be final. 2. Taxable Property Owner Association Property. Taxable Public Property. and Undeveloped Property ~. The Fiscal Year 2005-2006 Maximum Special Tax for Facilities for Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property shall be $30,602 per Acre and shall increase thereafter, commencing on July 1,2006 and on July 1 of each Fiscal Year thereafter, by an amount equal to two percent (2%) ofthe Maximum Special Tax for Facilities in effect for the previous Fiscal Year. D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX FOR FACILITIES Commencing with Fiscal Year 2005-2006 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Facilities and levy the Special Tax for Facilities until the amount of Special Tax for Facilities levy equals the Special Tax Requirement for Facilities. The Special Tax for Facilities shall be levied each Fiscal Year as follows: First: The Special Tax for Facilities shall be levied on each Assessor's Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Special Tax for Facilities; Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax for Facilities shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property at up to 100% of the Maximum Special Tax for Facilities for Undeveloped Property; ,;- Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of the Special Tax for Facilities on each Assessor's Parcel of Developed Property whose Maximum Special Tax for Facilities is determined through the application of the Backup Special Tax for Facilities shall be increased in equal percentages from the Assigned Special Tax for Facilities up to the Maximum Special Tax for Facilities for each such Assessor's Parcel; 7 AGENDA ITEM NO. 2...-\ PAOE.ll.3-0F J '?~ Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then the Special Tax for Facilities shall be levied Proportionately on each Assessor's Parcel of Taxable Property Owner Association Property and Taxable Public Property at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. .....", Notwithstanding the above, the Council may, in any Fiscal Year, levy Proportionately less than 100% of the Assigned Special Tax for Facilities in step one (above), when (i) the Council is no longer required to levy the Special Tax for Facilities pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; (ii) all authorized CFD No. 2006-2 Bonds have already been issued or the Council has covenanted that it will not issue any additional CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities; and (iii) all Authorized Facilities have been constructed and/or acquired. Further notwithstanding the above, under no circumstances will the Special Tax for Facilities levied against any Assessor's Parcel of Residential Property for which a Certificate of Occupancy has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor's Parcel within CFD No. 2006-2. E. EXEMPTIONS No Special Tax for Facilities shall be levied on up to 8.1 Acres of Property Owner Association Property and/or Public Property in CFD No. 2006-2. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes Property Owner Association Property or Public Property. However, should an Assessor's Parcel no longer be classified as Property Owner Association Property or Public Property, its tax-exempt status will be revoked. .....", Property Owner Association Property or Public Property that is not exempt from Special Tax for Facilities under this section shall be subject to the levy of the Special Tax for Facilities and shall be taxed Proportionately as part of the fourth step in Section D above, at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. F. MANNER OF COLLECTION The Special Tax for Facilities shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2006-2 may directly bill the Special Tax for Facilities, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor's Parcels as permitted by the Act. G. PREPAYMENT OF SPECIAL TAX FOR FACILITIES The following additional definitions apply to this Section G: "Buildout" means, for CFD No. 2006-2, that all expected building permits have been issued. .....", 8 ACENDA ITEM NO.~ PACe-11.i.=OF /53 ",.-. "CFD Public Facilities" means either $5,650,000 in 2005 dollars, which shall increase by the Construction Inflation Index on July 1, 2006, and on each July 1 thereafter, or such lower number as (i) shall be determined by the CFD Administrator as sufficient to provide the public facilities to be provided by CFD No. 2006-2 under the authorized bonding program for CFD No. 2006-2, or (ii) shall be determined by the Council concurrently with a covenant that it will not issue any more CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities levy under this Rate and Method of Apportionment as described in Section D above. "Construction Inflation Index" means the annual percentage change in the Engineering News Record Building Cost Index for the City of Los Angeles, measured as of the calendar year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the CFD Administrator that is reasonably comparable to the Engineering News Record Building Cost Index for the City of Los Angeles. "Future Facilities Costs" means the CFD Public Facilities minus (i) public facility costs previously paid from the Improvement Fund, (ii) moneys currently on deposit in the Improvement Fund, and (iii) moneys currently on deposit in an escrow fund that are expected to be available to finance the cost of CFD Public Facilities. ",.-. "Improvement Fund" means an account specifically identified in the Indenture to hold funds which are currently available for expenditure to acquire or construct CFD Public Facilities eligible under the Act. "Previously Issued Bonds" means, for any Fiscal Year, all Outstanding Bonds that are deemed to be outstanding under the Indenture after the first interest and/or principal payment date following the current Fiscal Year. 1. Prepayment in Full Only an Assessor's Parcel of Developed Property, or Undeveloped Property for which a building permit has been issued, may be prepaid. The obligation of the Assessor's Parcel to pay the Special Tax for Facilities may be permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor's Parcel only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Special Tax for Facilities obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount for such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this service. Prepayment must be made not less than 45 days prior to the next occurring date that notice of redemption of CFD No. 2006-2 Bonds from the proceeds of such prepayment may be given by the Trustee pursuant to the Indenture. The Special Tax for Facilities Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): ",.-. AGENDA ITEM NO. PAOE.J.L? 2l OF /53 9 Bond Redemption Amount plus plus plus plus less less Total: equals Redemption Premium Future Facilities Amount Defeasance Amount Administrative Fees and Expenses Reserve Fund Credit Capitalized Interest Credit Special Tax for Facilities Prepayment Amount """"'" As of the proposed date of prepayment, the Special Tax for Facilities Prepayment Amount shall be calculated as follows: Paral!:raoh No.: 1. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 2. For Assessor's Parcels of Developed Property, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities. For Assessor's Parcels of Undeveloped Property for which a building permit has been issued, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. 3. (a) Divide the Assigned Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Assigned Special Tax for Facilities for the entire CFD No. 2006-2 based on the Developed Property Special Tax for Facilities which could be levied in the current Fiscal Year on all expected development through Buildout of CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid, and """"'" (b) Divide the Backup Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Backup Special Tax for Facilities at Buildout for the entire CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid. 4. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the Previously Issued Bonds to compute the amount of Previously Issued Bonds to be retired and prepaid (the "Bond Redemption Amount"). 5. Multiply the Bond Redemption Amount computed pursuant to paragraph 4 by the applicable redemption premium (e.g., the redemption price-lOO%), if any, on the Previously Issued Bonds to be redeemed (the "Redemption Premium"). 6. Compute the current Future Facilities Costs. 7. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the amount determined pursuant to paragraph 6 to compute the amount of Future Facilities Costs to be prepaid (the "Future Facilities Amount"). 8. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Previously Issued Bonds. ...." 10 AGENDA ITEM. NO~." . ~OF--EI:. ~ 9. Determine the Special Tax for Facilities levied on the Assessor's Parcel in the current Fiscal Year which has not yet been paid. 10. Compute the minimum amount the CFD Administrator reasonably expects to derive from the reinvestment of the Special Tax for Facilities Prepayment Amount less the Future Facilities Amount and the Administrative Fees and Expenses (defined below) from the date of prepayment until the redemption date for the Previously Issued Bonds to be redeemed with the prepayment. 11. Add the amounts computed pursuant to paragraphs 8 and 9 and subtract the amount computed pursuant to paragraph 10 (the "Defeasance Amount"). 12. The administrative fees and expenses of CFD No. 2006-2 are as calculated by the CFD Administrator and include the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming CFD No. 2006-2 Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 13. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Previously Issued Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Previously Issued Bonds as a result of the prepayment from the balance in the reserve fund" on the prepayment date, but in no event shall such amount be less than zero. No Reserve Fund Credit shall be granted if the amount then on deposit in the reserve fund for the Previously Issued Bonds is below 100% of the reserve requirement (as defined in the Indenture). ",.- 14. If any capitalized interest for the Previously Issued Bonds will not have been expended as of the date immediately following the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the expected balance in the capitalized interest fund or account under the Indenture after such first interest and/or principal payment (the "Capitalized Interest Credit"). 15. The Special Tax for Facilities prepayment is equal to the sum of the amounts computed pursuant to paragraphs 4, 5, 7, 11 and 12, less the amounts computed pursuant to paragraphs 13 and 14 (the "Special Taxfor Facilities Prepayment Amount"). From the Special Tax for Facilities Prepayment Amount, the amounts computed pursuant to paragraphs 4, 5, 11, 13 and 14 shall be deposited into the appropriate fund as established under the Indenture and be used to retire CFD No. 2006-2 Bonds or make debt service payments. The amount computed pursuant to paragraph 7 shall be deposited into the Improvement Fund. The amount computed pursuant to paragraph 12 shall be retained by CFD No. 2006-2. ~ The Special Tax for Facilities Prepayment Amount may be insufficient to redeem a full $5,000 increment of CFD No. 2006-2 Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of CFD No. 2006-2 Bonds or to make debt service payments. 11 AllENDAITEMNO.~5? . PAOE-1.tl-Of - As a result of the payment of the current Fiscal Year's Special Tax for Facilities levy as determined under paragraph 9 ( above), the CFD Administrator shall remove the current ...",. Fiscal Year's Special Tax for Facilities levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax for Facilities and the release of the Special Tax for Facilities lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax for Facilities shall cease. Notwithstanding the foregoing, no Special Tax for Facilities prepayment shall be allowed unless, at the time of such proposed prepayment, the amount of Maximum Special Tax for Facilities that may be levied on Taxable Property within CFD No. 2006-2 (after excluding 8.1 Acres of Property Owner Association Property and/or Public Property in CFD No. 2006- 2 as set forth in Section E) both prior to and after the proposed prepayment is at least equal to the sum of (i) the Administrative Expenses, as defined in Section A above, and (ii) 1.10 times maximum annual debt service, in each remaining Fiscal Year on the Outstanding Bonds. 2. Prepayment iB Part The Special Tax for Facilities on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section G.l; except that a partial prepayment shall be calculated according to the following formula: PP = [(PE - A) x F] + A ...., These terms have the following meaning: PP = the partial prepayment. PE = the Special Tax for Facilities Prepayment Amount calculated according to Section G .1. F = the percentage, expressed as a decimal, by which the owner of the Assessor's Parcel is partially prepaying the Special Tax for Facilities. A = the Administrative Fees and Expenses calculated according to Section G.1. The owner of any Assessor's Parcel who desires such prepayment shall notify the CFD Administrator of such owner's intent to partially prepay the Special Tax for Facilities and the percentage by which the Special Tax for Facilities shall be prepaid. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax for Facilities for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the Council shall (i) distribute the funds remitted to it according to Section G.l, and (ii) indicate in the records ofCFD No. 2006-2 that there has been a partial prepayment of the Special Tax for Facilities and that a portion of the Special Tax for Facilities with respect to such Assessor's Parcel, equal to the outstanding percentage (1.00 - F) of the remaining Maximum Special Tax for Facilities, shall continue to be levied on such Assessor's Parcel pursuant to Section D above. ....., 12 AOENDA ITEM NO.~ PAOE.l1..L-OF /53 T ,-. H. TERM OF SPECIAL TAX FOR FACILITIES The Special Tax for Facilities shall be levied for a period not to exceed forty years commencing with Fiscal Year 2005-2006, provided however that the Special Tax for Facilities will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all required interest and principal payments on the CFD No. 2006-2 Bonds have been paid; (ii) all Authorized Facilities have been acquired and all reimbursements to the developer have been paid; and (iii) all other obligations of CFD No. 2006-2 have been satisfied. I. SPECIAL TAX FOR SERVICES The following additional definitions apply to this Section I: "Developed Multifamily Unit" means a residential dwelling unit within a building in which each of the individual dwelling units has or shall have at least one common wall with another dwelling unit and a building permit has been issued by the City for such dwelling unit on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. ---- "Developed Single Family Unit" means a residential dwelling unit other than a Developed Multifamily Unit on an Assessor's Parcel for which a building permit has been issued by the City on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. "Maximum Special Tax for Services" means the maximum Special Tax for Services that can be levied by CFD No. 2006-2 in any Fiscal Year on any Assessor's Parcel. "Operating Fund" means a fund that shall be maintained for CFD No. 2006-2 for any Fiscal Year to pay for the actual costs of maintenance related to the Service Area, and the applicable Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Service Area" means parks, open space, and storm drains. "Special Tax for Services" means any of the special taxes authorized to be levied within CFD No. 2006-2 pursuant to the Act to fund the Special Tax Requirement for Services. /"'"" "Special Tax Requirement for Services" means the amount determined in any Fiscal Year for CFD No. 2006-2 equal to (i) the budgeted costs directly related to the Service Area, including maintenance, repair and replacement of certain components of the Service Area which have been accepted and maintained or are reasonably expected to be accepted and maintained during the current Fiscal Year, (ii) pay a proportionate share of Administrative Expenses, and (iii) anticipated Special Tax for Services delinquencies based on the delinquency rate for the Special Tax for Services levy in CFD No. 2006-2 for the previous Fiscal Year, less (iv) the Operating Fund Balance, as determined by the CFD Administrator. 13 AGENDA ITEM NO. 2-\ PAOE..Jli-OF I '7 '3 - 1. Rate and Method of Apportionment of the Special Tax for Services Commencing with Fiscal Year 2005-2006 and for each subsequent Fiscal Year, the Council shall levy the Special Tax for Services on (i) all Assessor's Parcels containing a Developed Single Family Unit or Developed Multifamily Unit and (ii) all Assessor's Parcels of Non- Residential Property, up to the applicable Maximum Special Tax for Services to fund the Special Tax Requirement for Services. ......, The Maximum Special Tax for Services for Fiscal Year 2005-2006 shall be $242 per Developed Single Family Unit, $121 per Developed Multifamily Unit, and $545 per Acre for each Assessor's Parcel of Non-Residential Property. On each July 1, commencing July 1, 2006, the Maximum Special Tax for Services shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year. 2. Duration of the Special Tax for Services The Special Tax for Services shall be levied in perpetuity to fund the Special Tax Requirement for Services, unless no longer required as determined at the sole discretion of the Council. 3. Collection of the Special Tax for Services The Special Tax for Services shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2006-2 may collect the ...." Special Tax . for Services at a different time or in a different manner if necessary to meet its funding requirements. J. APPEALS AND INTERPRETATIONS Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may submit a written appeal to CFD No. 2006-2. The CFD Administrator shall review the appeal and if the CFD Administrator concurs, the amount of the Special Tax levied shall be appropriately modified. The Council may interpret this Rate and Method of Apportionment for purposes of clarifying any ambiguity and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals. Any decision of the Council shall be final and binding as to all persons. ......, 14 AGENDA ITEM NO.2- \ PACe 12DoF~-~ -"."-,.-~ /"""" EXHIBIT A CERTIFICATE TO AMEND SPECIAL TAX FOR FACILITIES ~ /"""" 15 AGENDA ITEM No.2) PAOE-1l:LoF 53 CITY OF LAKE ELSINORE AND CFD No. 2006-2 CERTIFICATE 1. Pursuant to Section C of the Rate and Method of Apportionment, the City of Lake Elsinore ("City") '"-'" and City of Lake Elsinore Community Facilities District No. 2006-2 ("CFD No. 2006-2") hereby agree to a reduction in the Assigned Special Tax for Facilities for Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2: (a) The information in Table 1 relating to the Assigned Special Tax for Facilities for Developed Property within CFD No. 2006-2 shall be modified as follows: 1 Residential Property More than 2,349 sq. ft. $_ per unit 2 Residential Property 1,950 - 2,349 sq. ft. $ _ per unit 3 Residential Property 1,550 - 1,949 sq. ft. $ _ per unit 4 Residential Property Less than 1,550 sq. ft. $ ~ per unit 5 Non-Residential Property NA $_ per Acre (b) The Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2, as stated in Section C.1.(c), shall be reduced from $30,575 per Acre to $_ per Acre. 2. The Special Tax for Facilities may only be modified prior to the first issuance of CFD No. 2006- 2 Bonds. ~ 3. Upon execution of the Certificate by the City and CFD No. 2006-2, the City shall cause an amended notice of Special Tax lien for CFD No. 2006-2 to be recorded reflecting the modifications set forth herein. By execution hereof, the undersigned acknowledges, on behalf of the City and CFD No. 2006-2, receipt of this Certificate and modification of the Rate and Method of Apportionment as set forth in this Certificate. CITY OF LAKE ELSINORE By: Date: CFD Administrator COMMUNITY FACILITIES DISTRICT NO. 2006-2 OF THE CITY OF LAKE ELSINORE By: Date: """-'" 16 ACENDA ITEM NO. 2-\ PACEJ z..Z- OF J 53 /""" RESOLUTION NO. 2006-53 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE TO INCUR BONDED INDEBTEDNESS IN THE AMOUNT NOT TO EXCEED $7,500,000 WITHIN THE CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCA Y A) AND CALLING A SPECIAL ELECTION WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has heretofore adopted Resolution No. 2006-_ (the "Resolution of Formation"), which formed the City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD"), pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, (the "Act"), to finance a portion of the cost of providing parks, open space and storm drains maintenance services (the "Services") that are in addition to those provided in the territory within the CFD pFior to the formation of the CFD, and to finance the purchase, construction, expansion or rehabilitation of certain real and other tangible property with an estimated useful life of five years or longer, including public infrastructure facilities and other governmental facilities, which the City is authorized by law to construct, own or operate (the "Facilities"); and /"'" WHEREAS, a copy of the Resolution of Formation is on file with the City Clerk and incorporated herein by reference; and WHEREAS, in order to finance the Facilities it is necessary to incur bonded indebtedness in the amount not to exceed $7,500,000, the repayment of which is to be secured by special taxes levied in accordance with Section 53340 et seq. of the Act on certain properties within the CFD. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. The above recitals are true and correct. SECTION 2. It is necessary to incur bonded indebtedness in the amount not to exceed $7,500,000 to finance the costs of the Facilities. SECTION 3. The indebtedness will be incurred for the purpose of financing the costs of acquiring the Facilities, the financing of the costs associated with the issuance of the bonds and all other costs necessary to finance the Facilities which are permitted to be financed pursuant to the Act. ,;---. 45726759.1 AGENDA ITEM NO.~ PAGEJ2..? OF /53 CITY COUNCIL RESOLUTION NO. 2006- Page 2 of 4 """-' SECTION 4. The bonds shall be issued in one or more series at a maximum interest rate not to exceed 12 percent per annum or such rate not in excess of the maximum rate permitted by law at the time the bonds are issued, and payable annually or semiannually as determined by the Council. The term of the bonds shall be determined pursuant to a resolution of the Council authorizing the issuance of the bonds, but such term shall in no event exceed 40 years or such longer term as is then permitted by law. SECTION 5. Pursuant to and in compliance with the provisions of Article 1.5 (commencing with Section 53410) of Chapter 3 of Part 1 of Division 2 of Title 5 of the Government Code, the Council hereby establishes the following accountability measures pertaining to any bonded indebtedness incurred by or on behalf of the City: (a) Such bonded indebtedness shall be incurred for the specific purposes set forth in Section 3 above. (b) The proceeds of any such bonded indebtedness shall be applied only to the specific purposes identified in Section 3 above. ( c ) The document or documents establishing the terms and conditions for the issuance of any such bonded indebtedness shall provide for the creation of an account or accounts into which the proceeds of such bonded indebtedness shall be deposited. ......" (d) The City Manager, or his or her designee, acting for and on behalf of the City, shall annually file a report with the Council as required by Government Code Section 53411. SECTION 6. Pursuant to Government Code Section 53326, the Council hereby determines to submit to the qualified electors of the CFD a proposition (the "Services Proposition") to levy special taxes on property within the CFD in accordance with the rate and method of apportionment specified in the Resolution of Formation. The form of the Services Proposition is attached as Exhibit "A." SECTION 7. Pursuant to Government Code Section 53353.5, the Council hereby determines to submit to the qualified electors of the CFD a combined proposition (the "Facilities Proposition") to: (1) levy special taxes on property within the CFD in accordance with the rate and method of apportionment of special tax specified in the Resolution of Formation; (2) incur bonded indebtedness in the amount not to exceed $7,500,000; and (3) establish an appropriations limit as defined by subdivision (h) of 45718818.1 """-' AGENDA ITEM NO. 2-\ PACE_\lt\ OF 153 /"" CITY COUNCIL RESOLUTION NO. 2006- Page 3 of 4 Section 8 of Article XIIIB of the California Constitution, for the CFD. Said appropriations limit shall equal the maximum amount of bonded indebtedness authorized to be incurred for the CFD. The form of the Facilities Proposition is attached as Exhibit "B." SECTION 8. A special election is hereby called for the CFD on the Services Proposition set forth in Section 6 above. SECTION 9. A special election is hereby called for the CFD on the Facilities Proposition set forth in Section 7 above. "......... SECTION 10. The time for notice having been waived by the qualified electors, the date of the special election for the CFD on the Services Proposition and for the CFD on the Facilities Proposition shall be on the 25th day of April, 2006. There being no registered voters residing within the territory of the CFD at the time of the protest hearing and ninety (90) days prior thereto, there being only two landowners in the CFD, and the requirements of Section 53326 of the Government Code having been waived by the landowners, the ballot for the special election shall be hand delivered to the landowners within the CFD. The voter ballot shall be returned to the City Clerk at 130 S. Main Street, Lake Elsinore, California 92530, no later than 11 :00 o'clock p.m. on April 25, 2006. However, the election may be closed within the concurrence of the City Clerk, as soon as the ballot is returned. SECTION 11. Notice of said election and written argument for or against the measure have been waived by the landowners. SECTION 12. The CFD shall constitute a single election precinct for the purpose of holding said special election. SECTION 13. The Council hereby directs that the special election be conducted by the City Clerk, as the elections official. SECTION 14. This Resolution shall take effect from and after the date of its passage and adoption. "......... 45718818.1 ACENDA ITEM NO. :2 \ PACEj2.5 OF 153- CITY COUNCIL RESOLUTION NO. 2006- Page 4 of 4 "'-"'" PASSED, APPROVED AND ADOPTED this 25th day of April, 2006, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: ~ Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore 45718818.1 ..."",. ACENDA ITEM NO. 2\ PACE_\ 1.tp OF J 53 ;-- EXHIBIT A OFFICIAL BALLOT CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCA Y A) SERVICES SPECIAL TAX ELECTION April 25, 2006 To vote, mark an "X" in the voting square after the word "YES" or after the word "NO." All marks otherwise made are forbidden. This ballot is provided to , as owner or authorized representative of such owner of land within City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) and represents _ vote(s). If you wrongly mark, tear, or deface this ballot, return it to the City Clerk of the City of Lake Elsinore at 130 S. Main Street, Lake Elsinore, California 92530. ",.-. PROPOSITION: Shall City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya), subject to the accountability measures provided for in the Resolution of Formation adopted on April 25, 2006 (the "Resolution of Formation"), be authorized to levy special taxes pursuant to the rate and method of apportionment of special taxes (the "Special Tax Formula") set forth in Exhibit A of the Resolution of Formation to finance the authorized services and administrative expenses as provided for in the Resolution of Formation? YES NO ,--. 45726759.1 A-I ACENDA ITEM NO. .;2\ PACE..lD-OF /53 EXHIBIT B ~ OFFICIAL BALLOT CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCA Y A) SPECIAL TAX ELECTION April 25, 2006 To vote, mark an "X" in the voting square after the word "YES" or after the word "NO." All marks otherwise made are forbidden. This ballot is provided to , as owner or authorized representative of such owner of land within City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) and represents _ vote(s). If you wrongly mark, tear, or deface this ballot, return it to the City Clerk of the City of Lake Elsinore at 130 S. Main Street, Lake Elsinore, California 92530.. PROPOSITION: Shall the City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD"), subject to the accountability measures provided for in the Resolution Calling a Special Election adopted on April 25, 2006 ("Resolution Calling Special Election"), incur an indebtedness and be authorized to issue bonds in an amount not to exceed $7,500,000 with interest at a rate or rates established at such time as the bonds are sold in one or more series at fixed or variable interest rates, however not to exceed any applicable statutory rate for such bonds, the proceeds of which will be used to finance the certain public facilities (the "Facilities") as described in the Resolution of Formation adopted on April 25, 2006 ("Resolution of Formation"); and, subject to the accountability measures provided for in the Resolution of Formation, shall a special tax be levied to pay the principal of and interest on such indebtedness and bonds and to otherwise finance the Facilities; and shall an appropriations limit be established for the CFD pursuant to Article XIIIB of the California Constitution, said appropriations limit to be equal to the maximum amount of bonded indebtedness authorized to be incurred for the CFD? ......., YES NO '-' 45726759.1 B-1 AGENDA ITEM NO. 12- \ PACE~OF 153 r- RESOLUTION NO. 2006- 5 if RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE CANVASSING THE RESULTS OF THE SPECIAL ELECTIONS HELD WITmN THE CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-2 (VISCAYA) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has previously conducted proceedings pertaining to the formation of the City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD"), the rate and method of apportionment for the levy and collection of special taxes (the "Services Special Tax") to finance a portion of the cost of providing parks, open space and storm drains maintenance services, the authorization of indebtedness in the amount not to exceed $7,500,000 within the CFD, the rate and method of apportionment for the levy and collection of special taxes (the "Special Tax") to pay the principal and interest on bonds issued or other debt, and the establishment of an appropriations limit, and the calling of an election in regard to the foregoing; and r- WHEREAS, on April 25, 2006, special elections were held within the CFD relative to the rate and method of .apportionment of Services Special Tax, the authorization of not to exceed $7,500,000 of indebtedness within the CFD, the rate and method of apportionment of the Special Tax, and the establishment of an appropriations limit; and WHEREAS, at such special elections the proposals for the rate and method of apportionment and manner of collection of the Services Special Tax, incurring the bonded indebtedness, the rate and method of apportionment and manner of collection of the Special Tax and establishing an appropriations limit for the CFD were approved by the requisite 2/3 of the votes cast by qualified electors of the CFD. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. It is hereby determined that the special elections conducted within the CFD were duly and validly conducted. SECTION 2. The Council, acting as the legislative body of the CFD, is authorized to levy the services special tax on behalf of the CFD, as specified in resolution No. 2006- (the "Resolution of Formation") adopted by the Council on April 25, 2006. r- 45726762. ] AGENDA ITEM NO. '2-\ PAOe..J.lLoF t 5:S CITY COUNCIL RESOLUTION NO. 2006- Page 2 of3 SECTION 3. The Council, acting as the legislative body of the CFD, is ,..""" authorized to levy the special tax on behalf of the CFD, as specified in the Resolution of Formation. SECTION 4. The Council is authorized to incur indebtedness on behalf of the CFD in the maximum amount of $7,500,000. SECTION 5. The City is authorized to establish an appropriations limit for the CFD. SECTION 6. The City Clerk is hereby directed and authorized to record notice of the special tax of the CFD by recording a Notice of Special Tax Lien of the CFD pursuant to Section 3117.5 of the California Streets and Highways Code. SECTION 7. This Resolution shall take effect from and after the date of its passage and adoption. ,.."" 45726762.1 AGENDA JTEM NO. 2-. \ PAOE_I~D OF.J5:S "'" CITY COUNCIL RESOLUTION NO. 2006- Page 3 of 3 ,,-. PASSED, APPROVED AND ADOPTED this 25th day of April, 2006, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: ~. Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ,,-.. 45726762.1 AGENDA ITEM NO.21",< PAGE-L2Lo~ ~l53 .-== ORDINANCE NO. /177 -.J ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE AUTHORIZING THE LEVY OF A SERVICES SPECIAL TAX AND A SPECIAL TAX WHEREAS, on February 9,2006, the City Council (the "Council") of the City of Lake Elsinore (the "City") adopted Resolution No. 2006-20 stating its intention to form the City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) (the "CFD") pursuant to the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"), to finance a portion of the cost of providing parks, open space and storm drains maintenance services (the "Services") that are in addition to those provided in the territory within the CFD prior to the formation of the CFD, and to finance the purchase, construction, expansion or rehabilitation of certain real and other tangible property with an estimated useful life of five years or longer, including public infrastructure facilities and other governmental facilities, which the City is authorized by law to construct, own or operate (the "Facilities"); and WHEREAS, on February 9, 2006, the Council also adopted Resolution No. 2006- 21 stating its intention and the necessity to incur bonded indebtedness in the amount not to exceed $7,500,000 to be issued for the purpose of financing the purchase, construction, expansion or rehabilitation of the Facilities; and -.J WHEREAS, notice was published as required by law relative to the intention of the Council to form the CFD and to incur bonded indebtedness in the amount not to exceed $7,500,000 within the boundaries of the CFD; and WHEREAS, on March 28, 2006, and continuing on April 25, 2006, this Council held a noticed public hearing as required by law relative to the determination to proceed with the formation of the CFD, the rate and method of apportionment and manner of collection of the special tax to be levied within the CFD to pay for the Services and the rate and method of apportionment and manner of collection of the special tax to be levied within the CFD to pay the principal and interest on the proposed bonded indebtedness of the CFD, and relative to the necessity for authorizing the bonds, the purpose for which the bonds are to be issued, the amount of the proposed debt, the maximum term of the bonds and the maximum annual rate of interest to be paid; and WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to the formation of the CFD and the incurring of bonded indebtedness by the CFD were heard and a full and fair hearing was held; and WHEREAS, the Council subsequent to said hearing adopted Resolution No. 2006- ~;( determining the validity of prior proceedings and established the CFD; and -.J AGENOA'TEM NO, '2 ( PAGE I ~ 2- OF I 5 ~ CITY COUNCIL ORDINANCE NO. Page 2 of 4 ,,-..-. WHEREAS, the Council subsequent to said hearing adopted Resolution No. 2006- S 3 which called an election within the CFD for April 25, 2006 on the proposition of incurring bonded indebtedness, levying a special tax and setting an appropriations limit; and WHEREAS, on April 25, 2006, an election was held within the CFD in which the eligible electors approved by more than two-thirds vote the proposition of incurring bonded indebtedness, levying a special tax, and setting an appropriations limit. THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES ORDAIN AS FOLLOWS: SECTION 1. A special tax (the "Services Special Tax") is levied within the boundaries of the CFD pursuant to the formula set forth in Exhibit "A" attached hereto and incorporated by reference in an amount necessary to pay all of the costs of providing the Services, periodic costs, and costs of the tax levy and collection, and all other costs. SECTION 2. A special tax (the "Special Tax") is levied within the boundaries of the CFD pursuant to the formulas set forth in Exhibit "A" attached hereto and incorporated by reference in an amount necessary to pay all of the costs of providing the ,,-..-. Facilities, periodic costs, and costs of the tax levy and collection, and all other costs including amounts payable with respect to the bonded indebtedness. SECTION 3. This legislative body is hereby further authorized each year, by resolution adopted as provided in section 53340 of the Act, to determine the specific special tax rate and amount to be levied for the then current or future tax years, except that the special tax rate to be levied shall not exceed the maximum rate set forth in Exhibit "A". SECTION 4. All of the collections of the Services Special Tax and Special Tax shall be used as provided for in the Act and Resolution No. 2006- (Resolution of Formation). SECTION 5. The above authorized Services Special Tax and the Special Tax shall be collected in the same manner as ordinary ad valorem taxes are collected and shall be subject to the same penalties and the same procedure and sale in cases of delinquency and provided for ad valorem taxes; provided, however, the CFD may collect the Services Special Tax and the Special Tax at a different time or in a different manner if necessary to meet its financial obligations. SECTION 6. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, such invalidity ,,-..-. 45726764. ] AOENDAITEM NO.2L- PAGE I ~? OF J '7 '3 CITY COUNCIL ORDINANCE NO. Page 3 of 4 shall not affect the other provisions of this Ordinance and are hereby declared to be ....., severable. SECTION 7. The Mayor shall sign this ordinance and the City Clerk shall attest to such signature. The City Clerk is directed to cause the title and summary or text of the this ordinance, together with the vote thereon, to be published within fifteen (15) days after its passage at least once in a newspaper of general circulation published and circulated within the territorial jurisdiction of the City, and to post at the main office of the City a certified copy of the full text of the adopted ordinance along with the names of the council Members voting for and against the ordinance. SECTION 8. This ordinance relating to the levy of the Services Special Tax and the Special Tax takes effect and shall be in force from and after 30 days from the date of final passage. A copy of this ordinance shall be transmitted to the Clerk of the Board of Supervisors of Riverside County, the Assessor and the Treasurer-Tax Collector of Riverside County. INTRODUCED AND APPROVED UPON FIRST READING this 25th day of April, 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: -..,., NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: 45726764.1 AOENDA ITEM NO. 2l PAGE.J.2LOF-,5 ~ ......, CITY COUNCIL ORDINANCE NO. Page 4 of 4 /"" PASSED, APPROVED AND ADOPTED UPON SECOND READING this_ day of , 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert Magee, Mayor City of Lake Elsinore ATTEST: /'""' Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore r'. 45726764.1 ACENDA ITEM NO. 2...\ PACE 17') OF 1'S? EXHIBIT "A" ......" RATE AND METHOD OF APPORTIONMENT ......" ,..., AOENDA ITEM NO. ~ t PAGE 13ft, OF I ?~-"" ~ RATE AND METHOD OF APPORTIONMENT FOR CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT No. 2006-2 (VISCA Y A) A Special Tax shall be levied on all Assessor's Parcels in City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya) ("CFD No. 2006-2") and collected each Fiscal Year commencing in Fiscal Year 2005-2006, in an amount determined through the application of this Rate and Method of Apportionment as described below. All of the real property in CFD No. 2006-2, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or ifthe 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 recorded County parcel map. "Act" means the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part I, Division 2 of Title 5 of the California Government Code. /'"" "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2006-2: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2006-2 or any designee thereof of complying with disclosure requirements of the City, CFD No. 2006-2 or obligated persons associated with applicable federal and state securities laws and the Act; 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. 2006-2 or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City's annual administration fees and third party expenses. Administrative Expenses shall also include amounts estimated by the CFD Administrator or advanced by the City or CFD No. 2006-2 for any other administrative purposes of CFD No. 2006-2, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's Parcel number. /'""- "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. 1 AGENDA ITEM NO. 2-\ PAOE.J31 OF--' 5~ "Assigned Special Tax for Facilities" means the Special Tax for Facilities for each Land Use Class of Developed Property, as determined in accordance with Section C.l.(b) below. ,..,., "Authorized Facilities" means those authorized improvements, as listed in an exhibit to the Resolution of Formation. "Backup Special Tax for Facilities" means the Special Tax for Facilities applicable to each Assessor's Parcel of Developed Property, as determined in accordance with Section C.l.( c) below. "Certificate of Occupancy" means a certificate issued by the City that authorizes the actual occupancy of a dwelling unit for habitation by one or more residents. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement for Facilities, the Special Tax Requirement for Services as determined in accordance with Section I below, and providing for the levy and collection of the Special Taxes. "CFD No. 2006-2" means City of Lake Elsinore Community Facilities District No. 2006-2 (Viscaya). "CFD No. 2006-2 Bonds" means any bonds or other debt (as defined in Section 53317(d) of the Act), whether in one or more series, issued by CFD No. 2006-2 and secured solely by the Special Tax for Facilities levy on property within the boundaries of CFD No. 2006-2 under the Act. ,..,., "City" means the City of Lake Elsinore. "Council" means the City Council of the City of Lake Elsinore, acting as the legislative body ofCFD No. 2006-2. "County" means the County of Riverside. "Developed Property" means, with respect to the Special Tax for Facilities, for each Fiscal Year, all Taxable Property, exclusive of Taxable Public Property and Taxable Property Owner Association Property, for which the Final Subdivision was recorded on or before January 1 of the prior Fiscal Year and a building permit for new construction was issued on or before May 1 of the Fiscal Year preceding the Fiscal Year for which the Special Tax for Facilities is being levied. "Final Subdivision" means (i) a final map, or portion thereof, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) that creates individual lots for which building permits may be issued, or (ii) for condominiums, a final map, or portion thereof, approved by the City and a condominium plan recorded pursuant to California Civil Code Section 1352 that creates individual lots for which building permits may be issued. "Fiscal Year" means the period starting July 1 and ending on the following June 30. '--" 2 AGENDA ITEM NO. PACE \ 31> 2-\ OF--153 ~ "Indenture" means the indenture, fiscal agent agreement, resolution or other instrument pursuant to which CFD No. 2006-2 Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Table 1 below. "Maximum Special Tax for Facilities" means the maximum Special Tax for Facilities, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor's Parcel. "Non-Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction of one or more non-residential units or facilities has been issued by the City. "Outstanding Bonds" means all CFD No. 2006-2 Bonds which are deemed to be outstanding under the Indenture. "Property Owner Association Property" means, for each Fiscal Year, any property within the boundaries of CFD No. 2006-2 that was owned by. a property owner association, including any master or sub-association, as of January 1 of the prior Fiscal Year. ~ "Proportionately" means for Developed Property that the ratio of the actual Special Tax for Facilities levy to the Assigned Special Tax for Facilities is equal for all Assessor's Parcels of Developed Property. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax for Facilities levy per Acre to the Maximum Special Tax for Facilities per Acre is equal for all Assessor's Parcels of Undeveloped Property. The term "Proportionately" may similarly be applied to other categories of Taxable Property as listed in Section D below. "Public Property" means property within the boundaries of CFD No. 2006-2 owned by, irrevocably offered or dedicated to, or over, through or under which an easement for purposes of public right-of-way has been granted, to the federal government, the State, the County, the City, or any local government or other public agency, provided that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified according to its use. "Residential Floor Area" means 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 an Assessor's Parcel shall be made by reference to the building permit(s) issued for such Assessor's Parcel. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit permitting the construction thereon of one or more residential dwelling units has been issued by the City. "Resolution of Formation" means the resolution offormation for CFD No. 2006-2. ~ "Special Tax" means any of the special taxes authorized to be levied by CFD No. 2006-2 pursuant to the Act. 3 AGENDA ITEM NO. 2\ PAOE.l.ll-OF--, 5? - "Special Tax for Facilities" means the special tax to be levied in each Fiscal Year on each Assessor's Parcel of Developed Property, Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property to fund the Special Tax Requirement for Facilities. ....." "Special Tax Requirement for Facilities" means that amount required in any Fiscal Year for CFD No. 2006-2 to: (i) pay debt service on all Outstanding Bonds due in the calendar year commencing in such Fiscal Year; (ii) pay periodic costs on the CFD No. 2006-2 Bonds, including but not limited to, credit enhancement and rebate payments on the CFD No. 2006-2 Bonds due in the calendar year commencing in such Fiscal Year; (iii) pay a proportionate share of Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds; (v) pay for reasonably anticipated Special Tax for Facilities delinquencies based on the delinquency rate for the Special Tax for Facilities levy in the previous Fiscal Year; (vi) pay directly for acquisition or construction of Authorized Facilities to the extent that the inclusion of such amount does not increase the Special Tax for Facilities levy on Undeveloped Property; less (vii) a credit for funds available to reduce the annual Special Tax for Facilities levy, as determined by the CFD Administrator pursuant to the Indenture. "State" means the State ofCalifomia. "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2006-2 which are not exempt from the Special Tax for Facilities pursuant to law or Section E below. "Taxable Property Owner Association Property" means all Assessor's Parcels of Property Owner Association Property that are not exempt pursuant to Section E below. ....." "Taxable Public Property" means all Assessor's Parcels of Public Property that are not exempt pursuant to Section E below. "Trustee" means the trustee or fiscal agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property, Taxable Property Owner Association Property, or Taxable Public Property. B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2006-2 shall be classified as Developed Property, Taxable Public Property, Taxable Property Owner Association Property, or Undeveloped Property, and shall be subject to Special Taxes in accordance with this Rate and Method of Apportionment determined pursuant to Sections C and D below. Residential Property shall be assigned to Land Use Classes 1 through 4 as listed in Table 1 below based on the Residential Floor Area for each unit. Non-Residential Property shall be assigned to Land Use Class 5. With respect to Residential Property, the Residential Floor Area shall be determined from the most recent building permit issued prior to the issuance of a Certificate of Occupancy for such Assessor's Parcel. 4 AGENDA ITEM NO. 2 \ PAOE~OF-.1, 5~'''- ....." ",.-- ,.,-.. ",.-- C. MAXIMUM SPECIAL TAX FOR FACILITIES Prior to the issuance of CFD No. 2006-2 Bonds, the Assigned Special Tax for Facilities on Developed Property (set forth in Table 1), and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced in accordance with, and subject to the conditions set forth in this paragraph. If it is reasonably determined by the CFD Administrator that the overlapping debt burden (as defined in the Statement of Goals and Policies for the Use of the Mello-Roos Community Facilities Act of 1982 adopted by the Council, the "Goals and Policies") calculated pursuant to the Goals and Policies exceeds the City's maximum level objective set forth in such document, the Assigned Special Tax for Facilities on Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision, may be reduced to the amount necessary to satisfy the City's objective with respect to the maximum overlapping debt burden level with the written consent of the CFD Administrator. The reductions permitted pursuant to this paragraph shall be reflected in an amended Notice of Special Tax Lien which the City shall cause to be recorded by executing a certificate in substantially the form attached hereto as Exhibit "A". 1. Developed Property (a) Maximum Special Tax for Facilities The Maximum Special Tax for Facilities for each Assessor's Parcel classified as Developed Property shall be the greater of (i) the amount derived by application of the Assigned Special Tax for Facilities or (ii) the amount derived by application of the Backup Special Tax for Facilities. (b) Assigned Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities for each Land Use Class is shown below in Table 1. TABLE 1 Assigned Special Tax for Facilities for Developed Property Community Facilities District No. 2006-2 Fiscal Year 2005-2006 1 Residential Property More than 2,349 sq. ft. $2,908 per unit 2 1,950 - 2,349 sq. ft. 1,550 - 1,949 sq. ft. $2,711 per unit $2,577 per unit $2,398 per unit $29,060 per Acre Residential Property 3 Residential Property 4 Less than 1,550 sq. ft. Residential Property Non-Residential Property NA 5 5 AOENDA ITEM NO. ~ \ . .. PACE~oFJ5~ ... (c) Backup Special Tax for Facilities The Fiscal Year 2005-2006 Backup Special Tax for Facilities attributable to a Final Subdivision will equal $30,575 multiplied by the Acreage of all Taxable Property, exclusive of any Taxable Property Owner Association Property and Taxable Public Property, therein. The Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed by dividing the Backup Special Tax for Facilities attributable to the applicable Final Subdivision by the number of Assessor's Parcels for which building permits for residential construction have or may be issued (i.e., the number or residential lots). The Backup Special Tax for Facilities for each Assessor's Parcel of Non-Residential Property therein shall equal $30,575 multiplied by the Acreage of such Assessor's Parcel. If a Final Subdivision includes Assessor's Parcels of Taxable Property for which building permits for both residential and non-residential construction may be issued, exclusive of Taxable Property Owner Association Property and Taxable Public Property, then the Backup Special Tax for Facilities for each Assessor's Parcel of Residential Property shall be computed exclusive of the Acreage and Assessor's Parcels of property for which building permits for non-residential construction may be issued. Notwithstanding the foregoing, if all or any portion of the Final Subdivision(s) described in the preceding paragraphs is subsequently changed or modified by recordation of a lot line adjustment or similar instrument, and only if the CFD Administrator determines that such change or modification results in a decrease in the number of Assessor's Parcels of Taxable Property for which building permits for residential construction have or may be issued within such Final Subdivision, then the Backup Special Tax for Facilities for each Assessor's Parcel of Developed Property that is part of the lot line adjustment or similar instrument for such Final Subdivision shall be a rate per Acre as calculated below. The Backup Special Tax for Facilities previously determined for an Assessor's Parcel of Developed Property that is not a part of the lot line adjustment or similar instrument for such Final Subdivision shall not be recalculated. 1. Determine the total Backup Special Tax for Facilities anticipated to apply to the changed or modified portion of the Final Subdivision area prior to the change or modification. 2. The result of paragraph 1 above shall be divided by the Acreage of Taxable Property which is ultimately expected to exist in such changed or modified portion of the Final Subdivision area, as reasonably determined by the CFD Administrator. 3. The result of paragraph 2 above shall be the Backup Special Tax for Facilities per Acre which shall be applicable to Assessor's Parcels of Developed Property in such changed or modified portion of the Final Subdivision area for all remaining Fiscal Years in which the Special Tax for Facilities may be levied. ~. ....." ...." 6 AGENDAITfM NO.~_ PACiE~OF 153- ~ (d) Increase in the Assigned Special Tax for Facilities and Backup Special Tax for Facilities The Fiscal Year 2005-2006 Assigned Special Tax for Facilities, identified in Table 1 above, and Backup Special Tax for Facilities shall increase thereafter, commencing on July 1, 2006 and on July 1 of each Fiscal Year thereafter, by an amount equal to two percent (2%) of the amount in effect for the previous Fiscal Year. (e) Multiple Land Use Classes In some instances an Assessor's Parcel of Developed Property may contain more than one Land Use Class. The Maximum Special Tax for Facilities levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax for Facilities for all Land Use Classes located on that Assessor's Parcel. The CFD Administrator's allocation to each type of property shall be final. 2. Taxable Property Owner Association Property. Taxable Public Property. and Undeveloped Property /'"'"' The Fiscal Year 2005-2006 Maximum Special Tax for Facilities for Taxable Property Owner Association Property, Taxable Public Property, and Undeveloped Property shall be $30,602 per Acre and shall increase thereafter, commencing on July 1,2006 and on July I of each Fiscal Year thereafter, by an amount equal to two percent (2%) ofthe Maximum Special Tax for Facilities in effect for the previous Fiscal Year. D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX FOR FACILITIES Commencing with Fiscal Year 2005-2006 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Facilities and levy the Special Tax for Facilities until the amount of Special Tax for Facilities levy equals the Special Tax Requirement for Facilities. The Special Tax for Facilities shall be levied each Fiscal Year as follows: First: The Special Tax for Facilities shall be levied on each Assessor's Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Special Tax for Facilities; Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax for Facilities shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property at up to 100% of the Maximum Special Tax for Facilities for Undeveloped Property; ~ Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of the Special Tax for Facilities on each Assessor's Parcel of Developed Property whose Maximum Special Tax for Facilities is determined through the application of the Backup Special Tax for Facilities shall be increased in equal percentages from the Assigned Special Tax for Facilities up to the Maximum Special Tax for Facilities for each such Assessor's Parcel; 7 ACENDA ITEM No..2J PAOE..ill.2-0P 152.. - Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then the Special Tax for Facilities shall be ....., levied Proportionately on each Assessor's Parcel of Taxable Property Owner Association Property and Taxable Public Property at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. Notwithstanding the above, the Council may, in any Fiscal Year, levy Proportionately less than 100% of the Assigned Special Tax for Facilities in step one (above), when (i) the Council is no longer required to levy the Special Tax for Facilities pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; (ii) all authorized CFD No. 2006-2 Bonds have already been issued or the Council has covenanted that it will not issue any additional CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities; and (iii) all Authorized Facilities have been constructed and/or acquired. Further notwithstanding the above, under no circumstances will the Special Tax for Facilities levied against any Assessor's Parcel of Residential Property for which a Certificate of Occupancy has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor's Parcel within CFD No. 2006-2. E. EXEMPTIONS No Special Tax for Facilities shall be levied on up to 8.1 Acres of Property Owner Association Property and/or Public Property in CFD No. 2006-2. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes Property Owner Association Property or Public Property. However, should an Assessor's Parcel no longer be classified as Property Owner Association Property or Public Property, its tax-exempt status will be revoked. ...., Property Owner Association Property or Public Property that is not exempt from Special Tax for Facilities under this section shall be subject to the levy of the Special Tax for Facilities and shall be taxed Proportionately as part of the fourth step in Section D above, at up to 100% of the Maximum Special Tax for Facilities for Taxable Property Owner Association Property or Taxable Public Property. F. MANNER OF COLLECTION The Special Tax for Facilities shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2006-2 may directly bill the Special Tax for Facilities, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor's Parcels as permitted by the Act. G. PREPAYMENT OF SPECIAL TAX FOR FACILITIES The following additional definitions apply to this Section G: "Buildout" means, for CFD No. 2006-2, that all expected building permits have been issued. ...., 8 AGENDA ITEM NO._ :7 \ PAGE J ~ ~ _OF J 5=5-""= /'""""' "CFD Public Facilities" means either $5,650,000 in 2005 dollars, which shall increase by the Construction Inflation Index on July 1,2006, and on each July 1 thereafter, or such lower number as (i) shall be determined by the CFD Administrator as sufficient to provide the public facilities to be provided by CFD No. 2006-2 under the authorized bonding program for CFD No. 2006-2, or (ii) shall be determined by the Council concurrently with a covenant that it will not issue any more CFD No. 2006-2 Bonds (except refunding bonds) to be supported by the Special Tax for Facilities levy under this Rate and Method of Apportionment as described in Section D above. "Construction Inflation Index" means the annual percentage change in the Engineering News Record Building Cost Index for the City of Los Angeles, measured as of the calendar year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the CFD Administrator that is reasonably comparable to the Engineering News Record Building Cost Index for the City of Los Angeles. "Future Facilities Costs" means the CFD Public Facilities minus (i) public facility costs previously paid from the Improvement Fund, (ii) moneys currently on deposit in the Improvement Fund, and (iii) moneys currently on deposit in an escrow fund that are expected to be available to finance the cost of CFD Public Facilities. ....--., "Improvement Fund" means an account specifically identified in the Indenture to hold funds which are currently available for expenditure to acquire or construct CFD Public Facilities eligible under the Act. "Previously Issued Bonds" means, for any Fiscal Year, all Outstanding Bonds that are deemed to be outstanding under the Indenture after the first interest and/or principal payment date following the current Fiscal Year. 1. Prepayment in Full Only an Assessor's Parcel of Developed Property, or Undeveloped Property for which a building permit has been issued, may be prepaid. The obligation of the Assessor's Parcel to pay the Special Tax for Facilities may be permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor's Parcel only ifthere are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Special Tax for Facilities obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount for such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this service. Prepayment must be made not less than 45 days prior to the next occurring date that notice of redemption of CFD No. 2006-2 Bonds from the proceeds of such prepayment may be given by the Trustee pursuant to the Indenture. /'""""' The Special Tax for Facilities Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): 9 AGENDAJlEM NO. r:L. \ PAGE-1.!5-0F I 53 -...,., Bond Redemption Amount plus plus plus plus less less Total: equals Redemption Premium Future Facilities Amount Defeasance Amount Administrative Fees and Expenses Reserve Fund Credit Capitalized Interest Credit Special Tax for Facilities Prepayment Amount ....., As of the proposed date of prepayment, the Special Tax for Facilities Prepayment Amount shall be calculated as follows: Paraeraoh No.: 1. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 2. For Assessor's Parcels of Developed Property, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities. For Assessor's Parcels of Undeveloped Property for which a building permit has been issued, compute the Assigned Special Tax for Facilities and Backup Special Tax for Facilities for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. 3. (a) Divide the Assigned Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Assigned Special Tax for Facilities for the entire CFD No. 2006-2 based on the Developed Property Special Tax for Facilities which could be levied in the current Fiscal Year on all expected development through Buildout of CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid, and ....., (b) Divide the Backup Special Tax for Facilities computed pursuant to paragraph 2 by the total estimated Backup Special Tax for Facilities at Buildout for the entire CFD No. 2006-2, excluding any Assessor's Parcels which have been prepaid. 4. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the Previously Issued Bonds to compute the amount of Previously Issued Bonds to be retired and prepaid (the "Bond Redemption Amount"). 5. Multiply the Bond Redemption Amount computed pursuant to paragraph 4 by the applicable redemption premium (e.g., the redemption price-lOO%), if any, on the Previously Issued Bonds to be redeemed (the "Redemption Premium"). 6. Compute the current Future Facilities Costs. 7. Multiply the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the amount determined pursuant to paragraph 6 to compute the amount of Future Facilities Costs to be prepaid (the "Future Facilities Amount"). 8. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Previously Issued Bonds. ....., 10 AGENDA ITEM NO. 2- \ PAOE.J;lJLOF J 53 -- /""'"'" 9. Determine the Special Tax for Facilities levied on the Assessor's Parcel in the current Fiscal Year which has not yet been paid. 10. Compute the minimum amount the CFD Administrator reasonably expects to derive from the reinvestment of the Special Tax for Facilities Prepayment Amount less the Future Facilities Amount and the Administrative Fees and Expenses (defined below) from the date of prepayment until the redemption date for the Previously Issued Bonds to be redeemed with the prepayment. 11. Add the amounts computed pursuant to paragraphs 8 and 9 and subtract the amount computed pursuant to paragraph 10 (the "Defeasance Amount"). 12. The administrative fees and expenses of CFD No. 2006-2 are as calculated by the CFD Administrator and include the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming CFD No. 2006-2 Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 13. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Previously Issued Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Previously Issued Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. No Reserve Fund Credit shall be granted if the amount then on deposit in the reserve fund for the Previously Issued Bonds is below 100% of the reserve requirement (as defined in the Indenture). ~ 14. If any capitalized interest for the Previously Issued Bonds will not have been expended as of the date immediately following the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the larger quotient computed pursuant to paragraph 3(a) or 3(b) by the expected balance in the capitalized interest fund or account under the Indenture after such first interest and/or principal payment (the "Capitalized Interest Credit"). 15. The Special Tax for Facilities prepayment is equal to the sum of the amounts computed pursuant to paragraphs 4, 5, 7, 11 and 12, less the amounts computed pursuant to paragraphs 13 and 14 (the "Special Taxfor Facilities Prepayment Amount"). From the Special Tax for Facilities Prepayment Amount, the amounts computed pursuant to paragraphs 4,5, 11, 13 and 14 shall be deposited into the appropriate fund as established under the Indenture and be used to retire CFD No. 2006-2 Bonds or make debt service payments. The amount computed pursuant to paragraph 7 shall be deposited into the Improvement Fund. The amount computed pursuant to paragraph 12 shall be retained by CFD No. 2006-2. ~ The Special Tax for Facilities Prepayment Amount may be insufficient to redeem a full $5,000 increment of CFD No. 2006-2 Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of CFD No. 2006-2 Bonds or to make debt service payments. 11 ACENDAITEM NO.~ PAGE '~7 _OF~ As a result of the payment of the current Fiscal Year's Special Tax for Facilities levy as determined under paragraph 9 (above), the CFD Administrator shall remove the current ~ Fiscal Year's Special Tax for Facilities levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax for Facilities and the release of the Special Tax for Facilities lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax for Facilities shall cease. Notwithstanding the foregoing, no Special Tax for Facilities prepayment shall be allowed unless, at the time of such proposed prepayment, the amount of Maximum Special Tax for Facilities that may be levied on Taxable Property within CFD No. 2006-2 (after excluding 8.1 Acres of Property Owner Association Property and/or Public Property in CFD No. 2006- 2 as set forth in Section E) both prior to and after the proposed prepayment is at least equal to the sum of (i) the Administrative Expenses, as defined in Section A above, and (ii) 1.10 times maximum annual debt service, in each remaining Fiscal Year on the Outstanding Bonds. 2. Prepayment in Part The Special Tax for Facilities on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section G.l; except that a partial prepayment shall be calculated according to the following formula: PP = [(PE - A) x F] + A ~ These terms have the following meaning: PP = the partial prepayment. PE = the Special Tax for Facilities Prepayment Amount calculated according to Section G.1. F = the percentage, expressed as a decimal, by which the owner of the Assessor's Parcel is partially prepaying the Special Tax for Facilities. A = the Administrative Fees and Expenses calculated according to Section G.I. The owner of any Assessor's Parcel who desires such prepayment shall notifY the CFD Administrator of such owner's intent to partially prepay the Special Tax for Facilities and the percentage by which the Special Tax for Facilities shall be prepaid. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax for Facilities for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the Council shall (i) distribute the funds remitted to it according to Section G.l, and (ii) indicate in the records of CFD No. 2006-2 that there has been a partial prepayment of the Special Tax for Facilities and that a portion of the Special Tax for Facilities with respect to such Assessor's Parcel, equal to the outstanding percentage (1.00 - F) of the remaining Maximum Special Tax for Facilities, shall continue to be levied on such Assessor's Parcel pursuant to Section D above. ......" 12 MENDA ITEM NO. 2.J PAOE~OF...15" .~ ,,--. H. TERM OF SPECIAL TAX FOR FACILITIES The Special Tax for Facilities shall be levied for a period not to exceed forty years commencing with Fiscal Year 2005-2006, provided however that the Special Tax for Facilities will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all required interest and principal payments on the CFD No. 2006-2 Bonds have been paid; (ii) all Authorized Facilities have been acquired and all reimbursements to the developer have been paid; and (iii) all other obligations of CFD No. 2006-2 have been satisfied. I. SPECIAL TAX FOR SERVICES The following additional definitions apply to this Section I: "Developed Multifamily Unit" means a residential dwelling unit within a building in which each of the individual dwelling units has or shall have at least one common wall with another dwelling unit and a building permit has been issued by the City for such dwelling unit on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. ..--' "Developed Single Family Unit" means a residential dwelling unit other than a Developed Multifamily Unit on an Assessor's Parcel for which a building permit has been issued by the City on or prior to May 1 preceding the Fiscal Year in which the Special Tax for Services is being levied. "Maximum Special Tax for Services" means the maximum Special Tax for Services that can be levied by CFD No. 2006-2 in any Fiscal Year on any Assessor's Parcel. "Operating Fund" means a fund that shall be maintained for CFD No. 2006-2 for any Fiscal Year to pay for the actual costs of maintenance related to the Service Area, and the applicable Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Service Area" means parks, open space, and storm drains. "Special Tax for Services" means any of the special taxes authorized to be levied within CFD No. 2006-2 pursuant to the Act to fund the Special Tax Requirement for Services. ..-- "Special Tax Requirement for Services" means the amount determined in any Fiscal Year for CFD No. 2006-2 equal to (i) the budgeted costs directly related to the Service Area, including maintenance, repair and replacement of certain components of the Service Area which have been accepted and maintained or are reasonably expected to be accepted and maintained during the current Fiscal Year, (ii) pay a proportionate share of Administrative Expenses, and (iii) anticipated Special Tax for Services delinquencies based on the delinquency rate for the Special Tax for Services levy in CFD No. 2006-2 for the previous Fiscal Year, less (iv) the Operating Fund Balance, as determined by the CFD Administrator. 13 AOENDA ITEM NO. "2 \ PAOE~OF 153_ 1. Rate and Method of Apportionment of the Special Tax for Services ....." Commencing with Fiscal Year 2005-2006 and for each subsequent Fiscal Year, the Council shall levy the Special Tax for Services on (i) all Assessor's Parcels containing a Developed Single Family Unit or Developed Multifamily Unit and (ii) all Assessor's Parcels of Non- Residential Property, up to the applicable Maximum Special Tax for Services to fund the Special Tax Requirement for Services. The Maximum Special Tax for Services for Fiscal Year 2005-2006 shall be $242 per Developed Single Family Unit, $121 per Developed Multifamily Unit, and $545 per Acre for each Assessor's Parcel of Non-Residential Property. On each July I, commencing July 1, 2006, the Maximum Special Tax for Services shall be increased by two percent (2.00%) ofthe amount in effect in the prior Fiscal Year. 2. Duration of the Special Tax for Services The Special Tax for Services shall be levied in perpetuity to fund the Special Tax Requirement for Services, unless no longer required as determined at the sole discretion of the Council. 3. Collection of the Special Tax for Services The Special Tax for Services shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2006-2 may collect the....." Special Tax for Services at a different time or in a different manner if necessary to meet its funding requirements. J. APPEALS AND INTERPRETATIONS Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may submit a written appeal to CFD No. 2006-2. The CFD Administrator shall review the appeal and if the CFD Administrator concurs, the amount of the Special Tax levied shall be appropriately modified. The Council may interpret this Rate and Method of Apportionment for purposes of clarifying any ambiguity and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals. Any decision of the Council shall be final and binding as to all persons. AGENDA ITEM NO. 21 PAOEJ5V OF 153_ ....." 14 ",..- , EXHIBIT A CERTIFICATE TO AMEND SPECIAL TAX FOR FACILITIES ",...-- ",...-- AOENDAITEM NO.~ PAOE.J2LOF~ 15 CITY OF LAKE ELSINORE AND CFD No. 2006-2 CERTIFICATE 1. Pursuant to Section C of the Rate and Method of Apportionment, the City of Lake Elsinore ("City") and City of Lake Elsinore Community Facilities District No. 2006-2 ("CFD No. 2006-2") hereby agree to a reduction in the Assigned Special Tax for Facilities for Developed Property, and the Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2: ~ (a) The information in Table 1 relating to the Assigned Special Tax for Facilities for Developed Property within CFD No. 2006-2 shall be modified as follows: 1 Residential Property More than 2,349 sq. ft. $ _ per unit 2 Residential Property 1,950 - 2,349 sq. ft. $_ per unit 3 Residential Property 1,550 - 1,949 sq. ft. $ _ per unit 4 Residential Property Less than 1,550 sq. ft. $ _ per unit 5 Non-Residential Property NA $_ per Acre (b) The Backup Special Tax for Facilities attributable to a Final Subdivision within CFD No. 2006-2, as stated in Section C.1.(c), shall be reduced from $30,575 per Acre to $_ per Acre. ...., 2. The Special Tax for Facilities may only be modified prior to the first issuance of CFD No. 2006- 2 Bonds. 3. Upon execution of the Certificate by the City and CFD No. 2006-2, the City shall cause an amended notice of Special Tax lien for CFD No. 2006-2 to be recorded reflecting the modifications set forth herein. By execution hereof, the undersigned acknowledges, on behalf of the City and CFD No. 2006-2, receipt of this Certificate and modification of the Rate and Method of Apportionment as set forth in this Certificate. CITY OF LAKE ELSINORE By: Date: CFD Administrator COMMUNITY FACILITIES DISTRICT NO. 2006-2 OF THE CITY OF LAKE ELSINORE By: Date: ~ 16 AGENDA ITEM NO. 2l PAOE~'5l. OF J ~ ~ /'" PROPOSED BOUNDARY OF COMMUNITY FACiliTIES DISTRICT No. 2006-2 OF THE CITY OF LAKE ELSINORE (V1SCA Y A) COUNTY OF RIVERSIDE, STATE OF CALIFORNIA LlNB DBL1. LENGTH U 3/l"IS8'6J. If J014.00 12 68'06'J9" 62.64 ' LS 86"68'61" If U 68"06'19" 76.00' L6 S6"68 6J If J06.00 LII 63"0619" UIO.OJ L7 86"6S ISl If J06.00 LII 68"06'19" 2OIl.00 L9 N 86"6S 61 40.00 0 6S'06'19" 1/Jll.64 Ul N lJ6"6S'6J" If 9S./J/J WI 68"06 09 60.00 APN 379-2JO-04 U8 N lJ6"6S 61 If 9S./JS 379--230-06 U4 N 68"06'19 447.00 379-230-08 U6 86"6S'68" /J.!/8.S6' 379-230-09 U/J 68"06'29 /J.!/O.77' U7 IlS"04 '84" 287.66 CURVE RADlUS DBL1. LENGTH 0 60.00 84'80 2/J 80.11 c:e 60.00 84"Sf1:OJ 80.14 CS 680.00 29.1 ~ C4 680.00 0S"tl9 2/J S/J.91 C6 680.00 00'68 OS 8.96 C/J 470.00 07'69 J9 /Jll.68 C7 100.00 4O'6/J 29 n.48 C/J 48.00 U 07 20.11 C9 48.00 1 00 48.00 84 .8/J lHE BOlINOARY Of 1HE DISTRICT COfNOOES lIIlH lHE BOUNOARY Of TRACT 32008 EXClUDING LOTS 169,170,A.AA.Y ANO Z. SCALE: 1"=200' /""""' F1LED IN 1HE ornCE Of 1HE OTY CLERK Of lHE OTY Of LAKE ELSINORE lHlS ~AY Of ~008. OTY CLERK Of lHE OTY Of LAKE ELSINORE I HEREBY CERllFY lHA T 1HE lIITHIN MAP SHOlllNG lHE PROPOSED BOUNOARIES Of COMMUNITY F AClUllES DISTRICT NO. 2006-2 (IIISCAYA), CITY Of LAKE ELSINORE. COUNTY Of RI\IERSlDE. STAlE Of CAUFORNIA WAS AI'PRO\ofD BY THE CITY COUNOL OF lHE CITY OF LAKE ElSINORE: AT It. REGUlARLY SOiEDUlED WEEllNG lHEREa:"~ HELO ON lHE _ DAY OF 2005. BY ITS RESOlUTION No. OTY CLERK Of 1HE OTY Of LAKE ELSINORE FILED THIS _ DAY Of ~ 2006. AT lHE HOUR Of O'ClClClL.,M. IN BOOK....- Of MAPS Of ASSESSMENT AND COMMUNITY FAClUnES DISTRICTS PAGE NOS....-THROU_ AS INSTRUlAENT NO~ IN 1HE ornCE Of lHE COUNTY RECORDER IN THE COUNTY Of RIVERSIDE. STAlE Of CAUFORNIA. COUNTY RECORDER OF THE COUNTY Of RIVERSIDE FEE L-- RU[RENCE lHE RIVERSIDE COUNTY ASSESSOR'S MAPS FOR A DETAILED DESCRlPnON Of PARCEL UNES AND DIMENSIONS PROPOSED BOUNDARY MAP VICINITY MAP NO SCALE ~ DISTRICT BOUNDARY _HARRIS & ASSOCIATES 3" E..cuh Part. SIIfte ISO _lrvIn..CA92til-' (9") 655-3900 . lAX (9<9) 655-3995 "".-- CITY OF LAKE ELSINORE REPORT TO CITY COUNCIL TO: MAYOR AND CITY COUNCIL FROM: ROBERT A. BRADY, CITY MANAGER DATE: APRIL 25, 2006 SUBJECT: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA AMENDING SECTION 16.83.030 AND SECTION 16.83.040, SUBPART A, OF THE LAKE ELSINORE MUNICIPAL CODE REGARDING ADOPTION OF THE FEES FOR THE TRANSPORTATION UN:IFORM MITIGATION FEE PROGRAM BACKGROUND ./'"' The Transportation Uniform Mitigation Fee ("TUMF") is levied and collected from new residential and non-residential development for the purpose of financing the construction of regional road improvements and transportation programs identified in the TUMF Program Network. Once collected, TUMF monies are transferred to the TUMF Program Administrator (the Western Riverside Council of Governments, "WRCOG") for allocation and expenditure. The City Council established the TUMF Program on April 22, 2003 and last updated the fee structured in 2004. DISCUSSION ./'"' The TUMF Program contemplates periodic adjustments to the TUMF based on construction costs or other variables that could affect the dollar value to construct the facilities identified in the TUMF Program. Construction costs are directly attributable to delivering the projects identified in the TUMF Program and the adjustments serve to maintain pace with inflation. Developer credits and reimbursements provided for qualified road improvements are also adjusted proportionately. AGENDA ITEM NO. 2.. YJ.- PAoe-LOF 8 REPORT TO CITY COUNCIL APRIL 25, 2006 PAGE 2 ~ The WRCOG Executive Committee adopted a new schedule ofTUMF fees based on their latest study and have issued a 2006 fee update phase-in schedule which is set forth in Section 2 of the attached ordinance. Additionally, WRCOG has added certain defined terms related to newly established fee categories. These are set forth in Section 1 of the attached ordinance. WRCOG has requested that the City incorporate the revised fee structure into the existing TUMF Program ordinance in order to begin collecting the revised fees for fiscal year 2006-2007. FISCAL IMPACT There is no fiscal impact to the City. The increased TUMF will be levied on new development upon the effective date of the ordinance. RECOMMENDATION Approve the first reading of the attached Ordinance No.1 /11) amending the schedule of fees in the TUMF Program ordinance. ~ PREPARED BY: Ken Seumalo, City Engineer ~ APPROVED FOR AGENDA BY: '-' AfJEH)A ITEM NO.~"""" '" PAOE 2... Of. 8 . ORDINANCE NO. .ll11.- "..- AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA AMENDING SECTION 16.83.030 AND SECTION 16.83.040, SUBPART A, OF THE LAKE ELSINORE MUNICIPAL CODE REGARDING ADOPTION OF THE FEES FOR THE TRANSPORTATION UNIFORM MITIGATION FEE PROGRAM WHEREAS, Section 16.83.040C provides for periodic adjustment of the fee schedule pertaining to Chapter 16.83. WHEREAS, WRCOG with the assistance of its member agencies have now prepared an updated "Western Riverside County Transportation Fee Nexus Study" ("Nexus Study") pursuant to California Government Code Section 66000 et seq., the Mitigation Fee Act for the purpose of updating the fees imposed by Chapter 16.83; and WHEREAS, the City Council finds that future development within Western Riverside County and the cities therein will result in traffic volumes exceeding the capacity ofthe Regional System as it presently exists; and WHEREAS, the City Council finds that if the capacity of the Regional System is not enlarged, the result will be substantial traffic congestion in all parts of Western ~ Riverside County and the City, with unacceptable Levels of Service throughout Western Riverside County by 2030; and WHEREAS, the City Council finds that funding, in addition to those fees currently set under Chapter 16.83 will be inadequate to fund construction of the Regional System. Absent an update of the "Transportation Uniform Mitigation Fee" ("TUMF") based on the Nexus Study, existing and known future funding sources will be inadequate to provide necessary improvements to the Regional System, resulting in an unacceptably high level of traffic congestion within and around Western Riverside County and the City; and WHEREAS, the City Council finds that future development within the County and City will substantially adversely affect the Regional System, and that unless such development contributes to the cost of improving the Regional System, the Regional System will operate at unacceptable Levels of Service; and WHEREAS, the City Council finds that the failure to mitigate growing traffic impacts on the Regional System within Western Riverside County and the City will substantially impair the ability of public safety services (police and fire) to respond. The failure to mitigate impacts on the Regional System will adversely affect the public health, safety and welfare; and "..- WHEREAS, the City Council finds that there is a reasonable and rational relationship between the use of the TUMF and the type of development projects on which AGeNDA ITEM Nn :2 ~ ~. V~~~""'....a:.~ " . PACE 3 OF J___ CITY COUNCIL ORDINANCE NO. Page 2 of6 the fees are imposed because the fees will be used to construct the transportation improvements that are necessary for the safety, health and welfare of the residential and non-residential users of the development projects on which the TUMF will be levied; and ...., WHEREAS, the City Council finds that there is a reasonable and rational relationship between the need for the improvements to the Regional System and the type of development projects on which the TUMF is imposed because it will be necessary for the residential and non-residential users of such projects to have access to the Regional System. Such development will benefit from the Regional System improvements and the burden of such development will be mitigated in part by the payment of the TUMF; and WHEREAS, the City Council finds that the cost estimates set forth in the Nexus Study are reasonable cost estimates for constructing the Regional System improvements, and that the amount of the TUMF expected to be generated by new development will not exceed the total fair share cost to such development; and WHEREAS, the City Council finds that the cost estimates set forth in the Nexus Study are reasonable cost estimates for the facilities that comprise the Regional System; and that TUMF program revenues to be generated by new development will not exceed the total fair share of these costs; and WHEREAS, the fees collected pursuant to this Ordinance shall be used to help pay for the construction and acquisition of the Regional System improvements identified in the Nexus Study. The need for the improvements is related to new development because such development results in additional traffic thus creating the demand for the improvements; and ,.."" WHEREAS, by notice duly given and published, the City Council set the time and place for a public hearing on the Nexus Study and the fee proposed thereunder, and at least ten days prior to the hearing, the City made the Nexus Study available to the public; and WHEREAS, at the time and place set for the hearing, the City Council duly considered that data and information provided by the public relative to the cost of the services for which the fees are proposed and all other comments, whether written or oral, submitted prior to the conclusion of the hearing; and WHEREAS, the City Council finds that the Nexus Study proposes a fair and equitable method for distributing a portion of the unfunded costs of improvements to the Regional System; and WHEREAS, the City Council hereby adopts the Nexus Study, which Study is on file with the office of the City Clerk. ,.."" AGENDA ITEM NO. 2 2- PAGE 4- OF B CITY COUNCIL ORDINANCE NO. Page 3 of6 ,.,...... THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES ORDAIN AS FOLLOWS: SECTION 1. That Section 16.83.030 of the Lake Elsinore Municipal Code is hereby amended to add the following: ~ K. "Class 'A' Office" means an office building that is typically characterized by high quality design, use of high end building materials, state of the art technology for voice and data, on site support services/maintenance, and often includes full service ancillary uses such as, but not limited to a bank, restaurant/office coffee shop, health club, printing shop, and reserved parking. The minimum requirements of an office building classified as Class 'A" Office shall be as follows: (i) minimum of three stories; (ii) minimum of 15,000 square feet per floor; (iii) steel frame construction; (iv) central, interior lobby; and (v) access to suites shall be from inside the building unless the building is located in a central business district with major foot traffic, in which case the first floor may be accessed from the street to provide entrances/ exits for commercial uses within the building. L. "Class 'B' Office" means an office building that is typically characterized by high quality design, use of high end building materials, state of the art technology for voice and data, on site support services/maintenance, and often includes full service ancillary uses such as, but not limited to a bank, restaurant/office coffee shop, health club, printing shop, and reserved parking. The minimum requirements of an office building classified as Class 'B" Office shall be as follows: (i) minimum of two stories; (ii) minimum of 20,000 square feet per floor; (iii) steel frame, concrete or masonry shell construction; (iv) central, interior lobby; and (v) access to suites shall be from inside the building unless the building is located in a central business district with major foot traffic, in which case the first floor may be accessed from the street to provide entrances/exits for commercial uses within the building. M. "Habitable Structure" means any structure or part thereof where persons reside, congregate or work and which is legally occupied in whole or part in accordance with applicable building codes, and state and local laws. SECTION 2. That 16.83.040, Part A, of the Lake Elsinore Municipal Code is hereby amended and restated as follows: A. Adoption. Subject to the exemptions set forth in Section 16.83.040F and the phase-in periods set forth herein, there is hereby adopted the following schedule of fees: /""'"'. AGENDA ITEM No..2 ~.=~ PAGE S- OF __ ~__~~ CITY COUNCIL ORDINANCE NO. Page 4 of6 (i) TUMF fee schedule: $9,693.00 per single family residential unit $6,806.00 per multi-family residential unit $2.27 per square foot of an industrial project $12.49 per square foot of a retail commercial project $6.33 per square foot of a service commercial project $2.11 per square foot of a Class A Office project until June 30, 2007 plus any Construction Cost Index adjustments that may occur $2.11 per square foot of a Class B Office project until June 30, 2007 plus any Construction Cost Index adjustments that may occur (ii) For non-residential projects, the fees set forth in Section 16.83.040F(i) shall be phased in as follows: From July 1,2006 to June 30, 2007, the fee schedule shall be as follows: $1.58 per square foot ofan industrial project $8.51 per square foot of a retail commercial project $5.28 per square foot of a service commercial project $2.11 per square foot of a Class A Office project and Class B Office project until June 30, 2007 plus any Construction Cost Index adjustments that may occur From July 1, 2007 to June 30, 2008, the fee schedule shall be as follows: $1.81 per square foot of an industrial project $9.83 per square foot of a retail commercial project $5.63 per square foot of a service commercial project From July 1,2008 to June 30, 2009, the fee schedule shall be as follows: $2.04 per square foot of an industrial project $11.16 per square foot of a retail commercial proj ect "'" ...., .....tfIJf AGENDA ITEM NO. 2. 2- PAGE b OF & CITY COUNCIL ORDINANCE NO. Page 5of6 r' $5.98 per square foot ofa service commercial project From July 1,2009, the fee schedule shall be as follows: $2.27 per square foot of an industrial project $12.49 per square foot of a retail commercial project $6.33 per square foot ofa service commercial project SECTION 3. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance and are hereby declared to be severable. SECTION 4. This Ordinance shall take effect sixty (60) days after the date of its final passage. The City Clerk shall certifY as to adoption of this Ordinance and cause this Ordinance to be published and posted in the manner required by law. ,........ of INTRODUCED AND APPROVED UPON FIRST READING this , 2006, upon the following roll call vote: day AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: r' AGENDA ITEM NO.~ PAGE 2--. OF _ B -- CITY COUNCIL ORDINANCE NO. Page 6 of6 PASSED, APPROVED AND ADOPTED UPON SECOND READING this """"" day of , 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: Frederick Ray, City Clerk City of Lake Elsinore ....., APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ......, 2-~ AGENDA ITEM NO. ..,....,,.,-&L.'..b= PAGE f3 OF B. ,--.. CITY OF LAKE ELSINORE JOINT REPORT TO CITY COUNCIL AND REDEVELOPMENT AGENCY TO: MAYOR AND CITY COUNCIL CHAIRMAN AND REDEVELOPMENT AGENCY FROM: ROBERT A. BRADY, CITY MANAGER DA TE: APRIL 25, 2006 SUBJECT: RECONSIDERATION OF COMMERCIAL DESIGN REVIEW NO. 2005-06 FOR THE PROJECT KNOWN AS "HOLIDAY INN EXPRESS HOTEL." APPLICANT: SHIV A MANAGEMENT (ATTN: MR. SA CHIN TRIVEDI) P. O. BOX 369, CLAREMONT, CA 91711 LOCA TION: The project lies within Area D of Redevelopment Project Area No. 2, more specifically on the west side of Canyon Estates Drive and north of Summerhill Drive (APNs 363-670-006 & 007). ,,-... REQUEST The applicant requests approval of: · Commercial Design Review No. 2005-06. The applicant is requesting Design Review consideration for the design and construction of a three- story, 73-room Holiday Inn Express Hotel facility on a 1.47 acre site, pursuant to the applicable chapters of the Canyon Creek "Summerhill" Specific Plan and Lake Elsinore Municipal Code (LEMC). BACKGROUND At a regularly scheduled meeting of November 15,2005, the Planning Commission adopted Resolution No. 2005-141 approving a Conditional Use Permit allowing hotels as a conditionally permitted use and to allow for the establishment and operation of the hotel facility in its proposed location. In addition, the Commission adopted Resolution No. 2005-142 approving a Conditional Use Permit for a Floor Area Ratio and Maximum Building Height increase. Finally, the Commission adopted Resolution No. ,,-. ACENDA ITEM NO. PACE ~ I 31 OF b S REPORT TO THE CITY COUNCIL APRIL 25, 2006 PAGE20F5 ~ 2005-143 recommending to the City Council approval of Commercial Design Review No. 2005-06 to design and construct the proposed hotel facility. On December 16,2005, the City Council considered Commercial Design Review No. 2005-06. After receiving extensive testimony on the proposed project, the City Council denied the design review application. Subsequent to the denial, the project applicant held outreach meetings with the residents in the vicinity of the project site in order to better assess and mitigate potential impacts and issues identified by the residents. On March 14, 2006, the City Council considered the applicant's "request for reconsideration" and directed staff to bring the Commercial Design Review application back to the City Council at a public meeting on April 25, 2006 for reconsideration. As a result of the outreach meetings, several additional conditions of approval (See Attachment No.2) have now been proposed by the applicant. The additional conditions of approval include: . A condition requiring that any guest who pays for accommodations at the hotel with cash be required to also pay a refundable three hundred dollar ($300.00) cash deposit upon checking into the hotel. '"'-'" . A condition prohibiting semi-truck and recreational vehicle parking on the project site with necessary signage. . A condition requiring developer to create and provide a guest handout explaining vehicular parking and access rules. . A condition requiring applicant to hire a nighttime security guard to patrol the hotel property and surrounding residential neighborhood to enforce parking restrictions and the performance of this condition is to be secured by a Performance Bond or other such security as approved by the Community Development Director and the City Attorney. . A condition requiring applicant to make an annual tax contribution toward the existing Summerhill Community Services District. . A requirement that the applicant provide an emergency "hot line" number to the City and adjacent residents. ~ AOENDA ITEM NO. PAGE 2 '31 OF '" ~ ,,--. REPORT TO THE CITY COUNCIL APRIL 25, 2006 PAGE30F5 · The possible allowance for reciprocal access and parking between the project site and the future medical building development adjacent and to the south of the Hotel project. DISCUSSION Cash Deposit In an effort to assist in crime prevention, the applicant has agreed to require a refundable three hundred dollar ($300.00) cash deposit from any customer who pays for hotel accommodations in cash. Truck Parking Prohibition In an effort to address residents' concerns about truck parking in the area, the applicant has agreed to erect signs at the hotel site entrance stating that both semi-trucks and recreational vehicles are prohibited from parking onsite at any time. (See Attachment No.2) ~ Guest Handout Upon checking into the hotel, each guest shall receive from the hotel operator a handout which encourages the use of Summerhill Drive for ingress and egress purposes, prohibits guest parking on adjacent residential streets and which discourages excessive noise in the parking lot. Security Guard In an effort to address security concerns, the applicant has agreed to hire a security guard. The guard will be on duty for a continuous five hour period during nighttime hours (7:00 p.m. - 6:00 a.m.) seven days a week. The hotel operator will decide when the five hour period will commence and cease based on daily guest activity. Moreover, performance of this condition shall be secured by a $22,000 Performance Bond or other such security as deemed appropriate by the Community Development Director and the City Attorney to ensure employment of a nighttime security guard. Finally, the applicant has agreed to provide and maintain a video surveillance of the proposed site. ,"- ACENDA ITEM NO. PACE 3 31 OF b~ REPORT TO THE CITY COUNCIL APRIL 25, 2006 PAGE40F5 ~ Community Facilities District Contribution The applicant has agreed to participate in Community Facilities District (CFD) 98-1 (Summerhill) currently associated with the residential neighborhood located to the east of the project site. A tax payment shall be made annually by the applicant until such time that the bond is satisfied in September 2030. Reciprocal Parking The applicant is currently negotiating a potential joint access and parking agreement with the developer of a future medical office building directly south of the hotel project site. The peak operating hours of the hotel are opposite from the peak operating hours of the medical building allowing for the shared parking arrangement. Emergency Hotline The applicant has agreed to provide a 24-hour emergency "hot line" to both the City and all adjacent residents within Tract No. 20705. ......, ENVIRONMENTAL An Initial Study was prepared for the hotel. Significant Environmental Impacts were identified however; the effects have been adequately mitigated to a level of insignificance after imposing the attached conditions of approval and mitigation measures. Moreover, staff has determined that the potential environmental impacts associated with the construction of the hotel facility have all been previously addressed in the Mitigated Negative Declaration for the Canyon Creek "Summerhill" Specific Plan Amendment No.1. In accordance with Section 15162 of Title 14, California Code of Regulations (CEQA Guidelines) it has been determined that: I) No substantial project changes are proposed that would require major revisions to the Mitigated Negative Declaration; 2) No substantial changes will occur with respect to the circumstances under which the project is undertaken, and 3) No new information of substantial importance has been identified since the previous Mitigated Negative Declaration was certified which would necessitate further environmental review. Therefore, no subsequent environmental review is necessary pursuant to CEQA Guidelines. ~ ACENDA ITEM NO. .PAGE tf 3/ OF h 8 /"""' . REPORT TO THE CITY COUNCIL APRIL 25, 2006 PAGE50F5 FISCAL IMPACT The anticipated TOT (bed tax) for the proposed 73-room hotel will generate approximately $211,000.00 annually. Other government revenues such as property tax will directly and indirectly increase as a result of the new hotel as well. RECOMMENDATION The Planning Commission recommends that the City Council and the Agency Board respectively adopt the following resolutions: 1. City Council Resolution No. 2006-_ approving Commercial Design Review No. 2005-06. 2. Staff recommends that the Agency Board concur with the City Council adoption of Resolution No. 2006-_ referenced above. ~. PREPARED BY: Matthew C. Harris, Senior Planner REVIEWED BY: Rolfe Preisendanz, Director Community Development. APPROVED FOR AGENDA BY: ATTACHMENTS 1. Vicinity Map. 2. List of Additional Conditions of Approval Proposed by Applicant 3. City Council Conditions of Approval 4 City Council Resolution No. 2006-_, Approving Commercial Design Review No. 2005-06. 5. Planning Commission Staff Report, Resolutions, Conditions of Approval, and Exhibits from the November 15,2005 Meeting. 6. Minutes from November 15,2005 Planning Commission Meeting. 7. Full Size Plans. ~ AGENDA ITEM NO. PACE ? 31 OF ~ ~ VICINITY MAP COMMERCIAL DESIGN REVIEW NO. 2005-06 ~ 1fiJfl1fff~ CITY COUNCIL APRIL 25, 2006 ....". AGENDA ITEM NO. 31 PAGE & OF ~f~ /"'" RESOLUTION NO. 2006- 55 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING COMMERCIAL DESIGN REVIEW NO. 2005-06 FOR A HOLIDAY INN EXPRESS HOTEL FACILITY LOCATED AT APN 363-670-006, 007. WHEREAS, Shiva Management has initiated proceedings for Commercial Design Review No. 2005-06 for the construction of a Holiday Inn Express Hotel facility and related improvements located at 363-670-006, 007; and WHEREAS, the Planning Commission of the City of Lake Elsinore at a regular meeting held on November 15, 2005, supported the proposed project by adopting Planning Commission Resolution No. 2005-143 recommending that the City Council approve Commercial Design Review No. 2005-06; and WHEREAS, the City Council has considered evidence presented by the Community Development Department and other interested parties. /"'" NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. The City Council has considered the proposed Commercial Design Review prior to making a decision to approve the proposed project. The City Council finds and determines that the proposed project is consistent with the previously certified Mitigated Negative Declaration for Canyon Creek "Summerhill" Specific Plan Amendment No. 1 and that no further environmental review is necessary pursuant to Title 14 of the California Code of Regulations Section 15162 (CEQA Guidelines). SECTION 2. That in accordance with State Planning and Zoning Law and the City of Lake Elsinore Municipal Code, the City Council makes the following findings for the approval of Commercial Design Review No. 2005-06: 1. The project, as approved, will comply with the goals and objectives of the General Plan, Specific Plan and the Zoning District in which the project is located. /"'" The proposed Commercial Design Review located at Assessor Parcel Numbers 363-670-006, 007 complies with the goals and objectives of the ACENDA ITEM NO. PACE 7 31 OF t:, ~ CITY COUNCIL RESOLUTION NO. 2006-_ PAGE 2 OF 3 General Plan and Canyon Creek "Summerhill" Specific Plan in that the approval of this commercial hotel project will assist in achieving, the development of a well-balanced and functional mix of residential, commercial, industrial, open space, recreational and institutional land uses as well as encouraging commercial, hospitality and tourism-based land uses to diversify Lake Elsinore's economic base. ,......, 2. The project complies with the design directives contained in the Canyon Creek "Summerhill" Specific Plan, Section 17.82.060 and all other applicable provisions of the Municipal Code. The proposed Commercial Design Review located at Assessor Parcel Numbers 363-670-006, 007 is appropriate to the site and surrounding development because the commercial project has been designed to accommodate the size and shape of the property. Moreover, the architectural design and staggered roof peaks create interest and varying vistas as a person moves along the street and looks at the building. Further, the project will compliment the quality of existing development and will create a visually pleasing, non-detractive relationship with the surrounding existing uses given the hotel's architectural design, color palette, quality of materials and site design. ~ 3. Subject to the attached Conditions of Approval, the proposed project is not anticipated to result in any significant adverse environmental impacts. Pursuant to the CEQA Guidelines, the proposed Commercial Design Review located at Assessor Parcel Number 363-670-006, 007, as reviewed and conditioned by all applicable city divisions, departments and agencies has been adequately mitigated by way of conditions of approval and mitigation measures and will not have a significant effect on the environment pursuant to Section 15162 of Title 14 of the California Code of Regulations. 4. Conditions and safeguards pursuant to Chapter 17.82.070 of the Zoning Code, including guarantees and evidence of compliance with conditions, have been incorporated into the approval of the subject project to ensure development of the property in accordance with the objectives of Chapter 17.82. On November 15, 2005, the Lake Elsinore Planning Commission reviewed the Commercial Design Review and examined the elements of the project ~ AGENDA ITEM NO. PAGE 6 31 OF " f( CITY COUNCIL RESOLUTION NO. 2006 -_ PAGE30F3 ,--. design as in accordance with LEMC Section 17.82.070. After reviewing the proposal and commenting on its design, the Planning Commission recommended approval of the Design Review to the City Council. The project as reviewed by the Planning Commission together with the additional conditions and design features agreed to by the applicant to mitigate potential impacts on surrounding properties satisfy the requirements of the Municipal Code in accordance with this finding. SECTION 3. This Resolution shall take effect from and after the date of its passage and adoption. PASSED, APPROVED AND ADOPTED this _ day of 2006, by the following vote: AYES: NOES: COUNCILMEMBERS: COUNCILMEMBERS: ,--. ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ,--. AGENDA ITEM NO. PAGE 0, 3/ OF f.o g ADDITIONAL CONDITIONS OF APPROVAL PROPOSED BY APPLICANT Holiday Inn Express Hotel Project ....", PLEASE NOTE: The numbering ofthe items in this document corresponds to the actual numbers given to each of the conditions as set forth in the Final City Council Conditions of Approval for the Holiday Inn Express Hotel contained herein as Attachment No.3. We have extracted these provisions to assist and expedite your review ofthe additional conditions. Cash Deposit Condition 21. The applicant shall require a refundable three hundred dollar ($300.00) cash deposit from any guest who pays for accommodations in cash. Parking Condition(s) 30. The applicant shall not permit Semi-Trucks or Recreational Vehicles (RVs), as such terms are defined within the California Vehicle Code, to park in the Holiday Inn Express Hotel (hereinafter the "Hotel") parking lot which is located at 31573 Canyon Hills Estates Drive (APNs 363-670-006 and 007). 31. Prior to issuance of a certificate of occupancy, the applicant shall cause to be posted in a conspicuous place at each entrance to the on-site parking lot, and 100 feet before the entrance to the on-site parking lot in both directions along Ridgecrest, Saddle Ridge, and Boulder Vista Streets, a notice not less than 17 by 22 inches in size with lettering not less than one inch in height, to the effect that Semi-Trucks and RVs are prohibited from parking in the Hotel parking lot. ...., 32. Prior to issuance of a Certificate of Occupancy, applicant shall obtain Director of Community Development approval of a handout, to be provided to each Hotel guest upon registration, which includes: (1) encouraging the use of Summerhill Drive for ingress and egress, (2) prohibiting Hotel Guest parking on adjacent residential streets, and (3) discouraging excessive noise in the hotel parking lot. Security Guard Conditions 28. A Performance Bond, in the amount of $22,000.00, or other security approved by the Director of Community Development and the City Attorney securing perpetual performance of the security patrol in accordance with Condition of Approval No.32, shall be executed and secured by the applicant prior to the issuance of a Building Permit. 29. Prior to the issuance of a Building Permit the applicant shall provide an emergency "Hot Line" phone number to the City of Lake Elsinore Community Development Department and to all the existing residents located within Tract Map No. 20705, adjacent to the project site. '-' AGENDA ITEM NO. :5 I PAGE I 0 OF (p B ADDITIONAL CONDITIONS OF APPROVAL PAGE20F2 ,.--. 33. Applicant shall employ a nighttime security guard to patrol the Hotel property, the Hotel parking lot, and surrounding neighborhood streets within an 800 foot radius of the Hotel property for a continuous period of at least five (5) hours per night seven (7) days a week. It shall be within the discretion of the applicant, or applicant's successor in interest, to schedule the exact hours of patrol for the security guard so long as the security guard's shift falls within nighttime hours as defined in this condition of approval. The applicant shall provide and maintain a video surveillance of the proposed site. Prior to issuance of the first certificate of occupancy for the Hotel project, and thereafter upon request by the City, applicant shall provide the Community Development Department with written documentation verifying the employment of the nighttime security guard. The term "night" or "nighttime" as used in this condition of approval shall mean the hours between 7:00 p.m. and 6:00 a.m. CFD Condition ,--... 27. The developer shall participate in Community Facilities District ("CFD") 98-1 ("Summerhill") through the creation of a new improvement area within the CFD. Prior to issuance of a building permit, applicant shall make a fifteen thousand dollar ($15,000) non-refundable deposit into CFD 98-1 for the formation of the improvement area. Following successful formation of the improvement area, applicant shall pay an annual tax payment into CFD 98-1, which payment amount shall be determined by the Community Finance Department and shall be paid annually until such time that the bond is satisfied in September 2030. Reciprocal Access and Parking Agreement Condition(s) 20. The property owners of APNs 363-670-006 and 007 ("Hotel Property") and the property owners of APN 363-670-005 (collectively, the "Parties") are currently negotiating a Reciprocal Access and Parking Agreement ("Agreement") wherein the property owner of APN 363-670-005 (Medical Property) agrees to remove and relinquish two (2) parking spaces in the parking lot which services the Medical Property and in place of the two parking spaces erect a driveway swale which would the parking lot for the Medical Property to the parking lot which services the abutting Hotel Property. Given the alternate peak hours of operation for each use, the parking lot for the Medical Property will serve as overflow parking for the Hotel Property during the Hotel's peak hours of operation; likewise, the Hotel parking lot will serve as overflow parking for the Medical Property during the Medical Property's peak hours of operation. Should the Parties formally execute an Agreement, the Parties shall cause a copy of the Agreement to be delivered to the Community Development Department for review and comment prior to recordation. ,.-- Notwithstanding the foregoing, this condition of approval shall not delay, interfere with, or otherwise obstruct the Parties' right to secure building permits or certificates of occupancy should the Parties decide not to enter into and execute an Agreement. ACENDA ITEM NO. PACE II 3/ OF 6 B ""'" PLANNING GENERAL CONDITIONS 1. The applicant shall defend (with counsel acceptable to the Gty}t indenmifyt and hold harmless the Gtyt its Officialt Officerst Employeest and Agents from any cl~ actiont or proceeding against the Gtyt its Officialt Officerst Employeest or Agents to attacht set aside, voidt or annul an approval of the Gtyt its advisory agenciest appeal boards, or legislative body concerning the connnercial projectt which action is bought within the time period provided for in California Government Code Sections 65009 and/or 66499.37t and Public Resources Code Section 21167. The Gtywill promptly notify the Applicant of any such c~ actiont or proceeding against the Gty and will cooperate fully with the defense. . If the Gty fails to promptly notify the Applicant of any such c~ or proceedingt the Applicant shall nott thereaftert be responsible to defendt indenmifyt or hold harmless the Gty. 2. Approval for Conditional Use Pemnt No(s). 2005-15 and 2005-22 Commercial Design Review No. C 2004-06 will lapse and be void unless building pemnts are issued within one (1) year following the date of approval. An extension of timet up to one year per extensiont may be granted by the Community Development Director prior to the expiration or the initial Design Review approval upon application by the developer one (1) month prior to expiration. '" 3. Any alteration or expansion of a project for which there has been a "Design Review" approval as well as all applications for modification or other change in the conditions of approval of a "Design Review" shall be reviewed according to the provisions of Olapter 17.82 in a similar manner as a new application. 4. No structure which has received a "Design Review" or "Minor Design Review" approval shall be occupied or used in any manner or receive a Certificate of Occupancy until the Director of Community Development has detennined that all Conditions of Approval have been complied with. 5. Conditions of Approval shall be reproduced on page one of building plans submitted to the Building Division Plan Cbeck All Conditions of Approval shall be met prior to the issuance of a Certificate of Occupancy and release of utilities. 6. All site improvements approved with this request shall be constructed as indicated on the approved site plan and elevations. Revisions to approved site plans or building elevations shall be subject to the review of the Community Development Director. 7. The onsite public meeting room shall only be used between the hours of 9:00 a.m and 7:00p.m Monday thru Friday. 8. Plan Oleck shall conform to the submitted plans as modified by Conditions of Approvalt or the Planning Commission! Gty Council through subsequent action. ....., AGENDA ITEM NO. "3 I PAGE I 2- OF G, B CONDITIONS OF APPROVAL Page 2 ofs /""' HOLIDAY INN EXPRESS HOTEL 9. All roof mounted or ground support air conditioning units or other mechanical equipment incidental to development shall be architecturally screened or shielded by landscaping so that they are not visible from neighboring property or public streets. Any material covering the roof equipment shall match the primary wall color. 10. All exterior on-site lighting shall be shielded and directed on-site so as not to create glare onto neighboring property and streets or allow illumination above the horizontal plane of the fixture. All light fixtures shall match the architectural style of the building. 11. Applicant shall meet ADA (Americans with Disabilities Act) requirements. 12. Trash enclosures shall be constructed per Gty standards as approved by the Community Development Director or Designee prior to issuance of Certificate of Occupancy. 13. No exterior roof ladders shall be pennitted. 14. All exterior downspouts shall be concealed within the building. 15. The Planning Division shall approve the location of any construction trailers utilized during construction. All construction trailers shall require a cash bond processed through the Planning Division. ~, 16. Materials and colors depicted on the plans and materials board shall be used unless modified by the Community Development Director or designee. 17. On-site surface drainage shall not cross sidewalks. 18. Parking stalls shall be double-striped with four-inch (4") lines two feet (2') apart. 19. All exposed slopes in excess of three feet (3') in height shall have a permanent irrigation system and erosion control vegetation installed, approved by the Planning Division. 20. The property owners of APNs 363-670-006 and 007 ("Hotel Property") and the property owners of APN 363-670-005 (collectively, the "Parties") are currently negotiating a Reciprocal Access and Parking Agreement ("Agreement") wherein the property owner of APN 363-670-005 (Medical PropeI't}1 agrees to remove and relinquish two (2) parking spaces in the parking lot which seIVices the Medical Property and in place of the two parking spaces erect a driveway swale which would join the parking lot for the Medical Property to the parking lot which setvices the abutting Hotel Property. Given the alternate peak hours of operation for each use, the parking lot for the Medical Property will seIVe as overflow parking for the Hotel Property during the Hotel's peak hours of operation; likewise, the Hotel parking lot will seIVe as overflow parking for the Medical Property during the Medical Property's peak hours of operation. /""' Should the Parties formally execute an Agreement, the Parties shall cause a copy of the Agreement to be delivered to the Community Development Department for review and comment prior to recordation. AGENDA ITEM NO. ,i 1 PACE I 3 OF h g CONDITIONS OF APPROV AI. Page 3 ofs HOLIDAY INN EXPRESS HOTEL ....,. Notwithstanding the foregoing, this condition of approval shall not delay, interlere with, or otherwise obstruct the Parties' right to secure building pennits or certificates of occupancy should the Parties decide not to enter into and execute an Agreement. (Added per City Council Reconsideration of Design Review No. 2005-06 on 4-25-06) 21. The applicant shall require a refundable three hundred dollar ($300.00) cash deposit from any guest who pays for accommodations in cash. (Added per City Council Reconsideration of Design Review No. 2005-06 on 4-25-06) PRIOR TO BUlLDING/ GRADING PERMITS 22. Prior to issuance of any grading pennit or building pennits, the applicant shall sign and complete an "Acknowledgement of Conditions" form and shall return the executed original to the Planning Division for inclusion in the case records. 23. Three (3) sets of the Final Landscaping/Irrigation Detail Plan shall be submitted, reviewed and approved by the Gty's Landscape Architect Consultant and the Community Development Director or designee, prior to issuance of building pennit. A Landscape Plan Check & Inspection Fee will be charged prior to final landscape approval. a) All planting areas shall have permanent and automatic sprinkler system with 100% plant and grass coverage using a combination of drip and conventional irrigation methods. ......, b) Applicant shall plant street trees, selected from the Gty's Street Tree List, a maximum of thirty-feet (30) apart and at least twenty-four-inch (24") box in size. c) All planting areas shall be separated from paved areas with a six inch (6") high and six inch (6") wide concrete curb. d) Planting within fifteen feet (15' of ingress/ egress points shall be no higher than thirty- six inches (36"). e) Any transformers and mechanical or electrical equipment shall be indicated on landscape plan and screened as part of the landscaping plan. f) The landscape plan shall provide for ground cover, shrubs, and trees and meet all requirements of the Gty's adopted Landscape Guidelines. Special attention to the use of Xeriscape or drought resistant plantings with combination drip irrigation system to be used to prevent excessive watering. g) All landscape improvements shall be bonded 100% for material and labor for two years from installation sign-off by the Gty. Release of the landscaping bond shall be requested by the applicant at the end of the required two years with approval! acceptance by the Landscape Consultant and Community Development Director or Designee. '-'" ACENDA ITEM NO. 3 I PACE Ic.f OF b 8 CONDITIONS OF APPROVAL Page 40fs .~ HOLIDAY INN EXPRESS HOTEL h) All landscaping and irrigation shall be installed within affected portion of any phase at the time a Certificate of Occupancy is requested for any building. All planting areas shall include plantings in the Xeriscape concept, drought tolerant grasses and plants. ~ Final landscape plan must be consistent with approved site plan. j) Final landscape plans to include planting and irrigation details. 24. Applicant shall comply with the requirements of the Elsinore Valley Municipal Water District. Proof shall be presented to the Chief Building Official prior to issuance of building permits and final approval. 25. Prior to issuance of building permits, applicant shall provide assurance that all required fees to the Lake Elsinore Unified School District have been paid. 26. Prior.tc~ issuance of building permits, applicant shall paypark-in-lieu fee in effect at time of building pemnt ISsuance. ~ 27. The developer shall participate in Community Facilities District ("CFD") 98-1 ("Summerhill") through the creation of a new improvement area within the a<D. Prior to issuance of a building permit, applicant shall make a fifteen thousand dollar ($15,000) non-refundable deposit into a<D 98-1 for the formation of the improvement area. Following successful formation of the improvement area, applicant shall pay an annual tax payment into a<D 98-1, which payment amount shall be determined by the Community Finance Department and shall be paid annually until such time that the bond is satisfied in September 2030. (Added per Oty Council Reconsideration of Design Review No. 2005-06 on 4-25-06) 28. A Performance Bond, in the amount of $22,000.00, or other security approved by the Director of Community Development and the Gty Anomey, securing perpetual performance of the security patrol in accordance with Condition of Approval No.32, shall be executed and secured by the applicant prior to the issuance of a Building Permit. (Added per City Council Reconsideration of Design Review No. 2005-06 on 4-25-06) 29. Prior to the issuance of a Building Permit, the applicant shall provide an emergency "Hot Line" phone number to the Gty of Lake Elsinore Community Development Department and to all the existing residents within Tract Map No. 20705, adjacent to the project site. (Added per City Council Reconsideration of Design Review No. 2005-06 on 4-25-06) PRIOR TO ISSUANCE OF CERTIFICATE OF OCCUPANCY 30. The applicant shall not permit Semi-Trucks or Recreational Vehicles (RVs), as such terms are defined within the California Vehicle Code, to park upon the Holiday Inn Express Hotel (hereinafter the "Hotel") parking lot which is located at 31573 Canyon Hills Estates Drive (APNs 363-670-006 and 007). (Added per Oty Council Reconsideration of Design Review No. 2005- ~ 06 on 4-25-06). AGENDA ITEM NO. j i PAGE '5" OF '=- ~ CONDITIONS OF APPROVAL Page 5 of8 HOLIDAY INN EXPRESS HOTEL ~ 31. Prior to issuance of a certificate of occupancy, the applicant shall cause to be posted in a conspicuous place at each entrance to the on-site parking lot, and 100 feet before the entrance to the on-site parking lot in both directions along Ridgecrest, Saddle Ridge, and Boulder Vista Streets, a notice not less than 17 by 22 inches in size with lettering not less than one inch in height, to the effect that Semi-Trucks and RVs are prohibited from parking in the Hotel parking lot. (Added per City Gmncil Reconsideration of Design Review No. 2005-06 on 4-25-06) 32. Prior to issuance of a Certificate of Occupancy, the applicant shall obtain Director of Community Development approval of a handout, to be provided to each Hotel guest upon registration, which includes: (1) encouraging the use of Summerhill Drive for ingress and egress, (2) prohibiting Hotel guest parking on adjacent streets, and (3) discouraging excessive noise in the hotel parking lot. (Added per City Council Reconsideration of Design Review No. 2005-06) 33. Applicant shall employ a nighttime security guard to patrol the Hotel property, the Hotel parking lot, and surrounding neighborhood streets within an 800 foot radius of the Hotel property for a continuous period of at least five (5) hours per night seven (7) days a week It shall be within the discretion of the applicant, or applicant's successor in interest, to schedule the exact hours of patrol for the security guard so long as the security guard's shift falls within nighttime hours as defined in this condition of approval. The applicant shall provide and maintain a video surveillance of the proposed site. Prior to issuance of the first certificate of occupancy for the Hotel project, and thereafter upon request by the Gty, applicant shall provide the Community Development Department with written documentation verifying the employment of the nighttime security guard. The term "night" or "nighttime" as used in this condition of approval shall mean the hours between 7:00 p.rn. and 6:00 a.rn. (Added per City Council Reconsideration of Design Review No. 2005-06) ENGINEERING ~ GENERAL CONDITIONS 34. All Public Works requirements shall be complied with as a condition of development as specified in the Lake Elsinore Municipal Code (LEMq prior to final map approval. 35. Commercial project 2005-06 shall be subject to all applicable conditions of approval for Parcel Map 30832 at the appropriate development phase. The Railroad Canyon Road fee is $40,336.00 as provided in Conditions of Approval for Parcel Map 30832. 36. Pay all Capital Improvement and Plan Check fees (LEMC 16.34, Resolution 85-26). 37. Submit a "Will SeIVe" letter to the Gty Engineering Division from the applicable water agency stating that water and sewer arrangements have been made for this project and specify the technical data for the water seIVice at the location, such as water pressure and volume etc. Submit this letter prior to applying for a building permit. 38. Arrangements for relocation of utility company facilities (power poles, vaults, etc.) out of the roadway shall be the responsibility of the property owner or his agent. . ACENDA ITEM NO. S I PAGE I (0 OF '=' B .--, CONDITIONS OF APPROV AI.. Page 6 of 8 ~ HOLIDAY INN EXPRESS HOTEL 39. Provide, in writing, approval of fire protection access and facilities as required by Riverside County Fire Department. 40. Pay all fees and meet requirements of encroachment pennit issued by the Gty of Lake Elsinore Engineering Division for construction of public works improvements (LEMC 12.08 and Resolution 83-78). 41. All compaction reports, grade certifications (with tie notes delineated on 8 1/2" xll Mylar) shall be submitted to the Engineering Division before final inspection of public works improvements will be scheduled and approved. 42. All utilities except electrical over 12 kv shall be placed underground, as approved by the selVing utility. GRADING: 43. Developer shall obtain all necessary off-site easements for off-site grading from the adjacent property owners prior to final map approval. ;'"' 44. Apply and obtain a grading pennit with appropriate security prior to any grading activity. 45. A grading plan stamped/signed by a California Registered Ovil Engineer is required since the grading exceeds 50 cubic yards and the existing flow pattern is substantially modified as determined by the Gty Engineer. The grading plan shall show volumes of cut and fill, adequate counters and/or spot elevations of the existing ground as sUlVeyed by a licensed SUlVeyor or civil engineer. Contours shall extend to minimum of 15 feet beyond property lines to indicate existing drainage pattern. Apply and obtain a grading pennit with appropriate security prior to grading permit ISsuance. 46. Provide soils, geology and seismic report, as part of this report address the requirement of the Alquist-Priolo Earthquake Fault Zoning Act. Provide final soils report showing compliance with recommendations . 47. In accordance with the Oty's Franchise Agreement for waste disposal & recycling, the applicant shall be required to contract with CR&R Inc. for removal and disposal of all waste material, debris, vegetation and other rubbish generated during cleaning, demolition, clear and grubbing or all other phases of construction. 48. Applicant to provide erosion control measures as part of their grading plan. The applicant shall contribute to protection of storm water quality and meet the goals of the BMP in Supplement "A" in the Riverside County NPDES Drainage Area Management Plan. "..- 49. All grading shall be done under the supelVision of a geotechnical engineer and he shall certify all slopes steeper than 2 to 1 for stability and proper erosion control. AGENDA ITEM NO. "3 I PACE r { OF h 8 CONDITIONS OF APPROV AI.. Page 70fS HOLIDAY INN EXPRESS HOTEL ,..." DRAINAGE 50. All natural drainage traversing site shall be conveyed through the site, or shall be collected and conveyed by a method approved by the Gty Engineer. 51. Submit Hydrology and Hydraulic Reports per Riverside County Flood Control District for review and approval by Gty Engineer. Developer shall mitigate any flooding and! or erosion caused by development of site and diversion of drainage. 52. All drainage facilities in this project shall be constructed according to Riverside County Flood Control District Standards. 53. Storm drain inlet facilities shall be appropriately stenciled to prevent illegally dumping in the drain system, the wording and stencil shall be approved by the Gty Engineer. 54. A drainage acceptance letter will be necessary from the downstream property owners for out-letting the proposed storm water run-off on private property. 55. Applicant .shall provide the city with proof of his having filed a Notice of Intent with the Regional Water Quality Control Board for the National Pollutant Discharge Elimination System (NPDES) program with a storm water pollution prevention plan prior to issuance of grading permits. The applicant shall provide a SWPPP for construction period and a project-specific WQ:MP for post construction including its maintenance implementation. The project-specific WQ:MP shall demonstrate that discharge flow rates, velocities, duration, and volume, for the post construction condition, from a -2-year and 10-year, 24-hour rainfall event will not cause significant adverse impacts on downstream erosion and receiving waters, or measures are implemented to mitigate significant adverse impacts to downstream public facilities and water bodies. ......, 56. Developer shall use Site Design B:MPs such as minimizing impervious areas, maxuruzmg permeability, minimizing directly connected impervious areas, creating reduced or "zero discharge areas, and conserving natural areas, and allow runoff to sheet-flow through landscaped swales or natural drainage channels. 57. Developer shall provide first flush B:MP's using the best available technology that will reduce storm water pollutants from internal local and collector streets prior to entering into outside street drainage facilities (MS4). 58. The project-specific WQ:MP shall provide measures to minimize the impact from the Pollutants of Concern and Hydrologic Conditions of Concern identified for the Project. Where Pollutants of Concern include pollutants that are listed as causing or contributing to impairments of Receiving Waters, B:MPs must be selected so that the project does not cause or contribute to an exceedance of water quality objectives. The WQ:MP shall incorporate the applicable Source Control, and treatment Control B:MPs as described in the Santa Ana River Region WQ:MP and provide information regarding design considerations, and the long-term operation and maintenance requirements for B:MPs requiring long-term maintenance, as well as the mechanism for funding the long-term operation and maintenance of the B:MPs requiring long-term maintenance. 31 AGENDA ITEM NO. PAGE. I 6 OF f,8_ ,..." CONDITIONS OF APPROVAL Page 8 of 8 r" HOLIDAY INN EXPRESS HOTEL 59. Prior to issuance of any building or grading permits, the property owner shall record a "Covenant and Agreement" with the County-Oerk Recorder to inform future property owners of the requirement to implement the approved project-specific WQMP. The project applicant shall cause the approved final project-specific WQMP to be incorporated by reference or attached to the project's Storm Water Pollution Prevention Plan as the Post-Construction Management Plan. 60. Education guidelines for Water Quality Management Practices (WQMP) shall be provided to the tenants, operators and owners of the businesses of the development, regarding the environmental awareness on good housekeeping practices that contribute to protection of storm water quality and meet the goals of the WQMP in the Riverside County NPDES Drainage Area Management Plan. 61. Prior to building permit close-out or the issuance of a certificate of occupancy or certificate of use, the applicant shall: A- Demonstrate that all structural BMPs described in the project-specific WQMP have been constructed and installed in conformance with approved plans and specifications; B- Demonstrate that applicant is prepared to implement all non-structural BMPs described in the approved project-specific WQMP; and r" C- Demonstrate that an adequate number of copies of the approved project-specific WQMP are available for the future owners/occupants. 62. Developer shall pay Master Planned Drainage fees of $3,330.00 per gross acre of the lots. FEES 63. Pay all Capital Improvement and Plan Check fees (LEMC 16.34). Pay Parkland, Master Drainage, TIF and TUMF and Kangaroo Rat Fee fees prior to issuance of building permit. The Parkland is $0.10 per square feet of enclosed space; Master Drainage Plan Fee for San Jacinto No.2 District is ($2,265.00 per acre x 1.47 acre) $~,330.oo. The TIF amount is $3.84per square foot of building; 11JMF amount is $3.52 per square foot of building; Kangaroo Rat Fee is ($500.00 per acre x 1.47 acre) $735.00; RIVERSIDE COUNTY FIRE DEPARTMENT 64. The applicant shall comply with all Riverside County Fire Department conditions and standards (see ,....... attached conditions from Fire Department). AGENDA ITEM NO. 3/ PACE J q OF C; B -:- 4__ ,-.- " _, __, MINUTES PLANNING COMMISSION MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN-sTREET--- LAKE ELSINORE, CA 92530 ~ TUESDAY, NOVEMBER 15,2005 CALL TO ORDER: Chairman LaPere called the Regular Planning Commission Meeting to order at 6:00 PM. PLEDGE OF ALLEGIANCE: Chairman LaPere led the Pledge Of Allegiance. ROLL CALL ~ PRESENT: COMMISSIONERS: LAPERE, O'NEAL, GONZALES, FRANCIA, LARIMER ABSENT: COMMISSIONERS: Also present were: Community Development Director Preisendanz, Deputy City Attorney ~ Miles, Engineering Manager Seumalo, Senior Planner Harris and Office Specialist Alexen. PUBLIC COMMENTS (Non-Aeendized items) NONE CONSENT CALENDAR Office Specialist Alexen noted clerical corrections to the minutes on page 11 of 12. 1. Minutes a. Regular Planning Commission Minutes of November 1,2005 Agenda Item No. "1' Page z.. 0 of _ G 8 ~ PAGE 2 - PLANNING mMMISSION :MINUTES - NOVEMBER 15, 2005 ".- MOVED BY LARIMER, SECONDED BY GONZALES AND PASSED BY A VOTE OF 5-0, TO APPROVE THE CONSENT CALENDAR WITH NOTED CORRECTIONS TO THE MINUTES. PUBLIC HEARING ITEMS 2. Minor Desil!n Review for two (2) detached Sinl!le Familv Residences located at 16380 & 16382 Lakeshore Avenue and Variance No. 2005-06 to deviate from front and rear setback requirements at APN Nos. 378-312-004. 005 Chairman LaPere opened the Public Hearing at 6:01 p.m. Community Development Director Preisendanz provided a brief overview of the project and requested Senior Planner Harris review it with the Commission and answer questions. . r-- Senior Planner Harris noted the location of the proposed project and provided description of the floor plan and architecture. He noted an additional condition to address the east elevation of the house on the corner lot to include additional ornamentation. He addressed the landscaping and noted the decorative masonry wall to be constructed along Clement St. He stated that in order to achieve the two houses, a variance would be required to deviate from the front and rear yard setbacks from 20 feet to 15 feet, 6 inches. He stated that the Engineering Department required a dedication and right-of-way on the front and rear of the property, which would significantly reduce the size of the lot. Hector Zubieta, 253 Peck St., Lake Elsinore, noted the additional windows on the corner of the house for added ornamentation. He stated that he agreed with the staff report and Conditions of Approval. Commissioner Gonzales noted his concern with the future widening of Lakeshore Drive and clarified that the house would be 20 feet from the curb after the road is widened. Mr. Zubieta confirmed and noted that the access was from the alley at the rear of the property. Commissioner Gonzales stated that he had no problem with the project. Commissioner Francia clarified if staff concurred with the future street improvement to include curb, gutter and sidewalk. Engineering Manager Seumalo confirmed and noted that the anticipated need for a change of the right-of-way on Lakeshore Dr. ".- Agenda Item No. 3 I Page Z t of b 8 PAGE 3 - PLANNING COMMISSION MINUfES - NOVE1vIBER 15, 2005 Vice Chairman O'Neal concurred with staffs recommendation. '-' Commissioner Larimer requested to view the new east elevation including the additional windows. She stated her concern with the noise potential at the site location. Mr. Zubieta stated that Lakeshore was becoming a busy street and nothing could be done about the noise. He stated that a six foot high fence in the front of the house for noise control was not allowed. Senior Planner Harris noted that the building was attenuated to achieve noise control inside the house. Chairman LaPere agreed with staff and the Commissioners. Deputy City Attorney Miles noted a correction to the Resolution Finding No.2 to include".. .do not apply. . ." There being no further business, Chairman LaPere closed the Public Hearing at 6:12 p.m. MOVED BY LARIMER, SECONDED BY O'NEAL AND PASSED BY A VOTE OF 5-0 APPROVING AMENDED RESOLUTION NO. 2005-139, A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING A MINOR DESIGN REVIEW OF TWO SINGLE FAMILY RESIDENCES LOCATED AT 16380 AND 16382 LAKESHORE AVENUE, ASSESSOR PARCEL NUMBER(S) 378-312-004 & -005. ...." MOVED BY LARIMER, SECONDED BY FRANCIA AND PASSED BY A VOTE OF 5-0 APPROVING RESOLUTION NO. 2005-140, A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING VARIANCE NO. 2005-06 FOR A REDUCTION IN FRONT AND REAR YARD SETBACK REQUIREMENTS FOR TWO DETACHED SINGLE FAMILY RESIDENCES LOCATED AT 16380 AND 16382 LAKE SHORE AVENUE, ASSESSOR PARCEL NUMBER(S) 378-312-004 & -005. Agenda Item No. ? I Page Z L of "l; ...." PAGE 4 - PLANNING CDMMISSION MINUIES - NOVEMBER 15, 2005 -,.,-.... 3. Conditional Use Permit No(s). 2005-15 & 2005-22 & Commercial Desil!n Review No. 2005-06. Chairman LaPere opened the Public Hearing at 6: 15 p.m. Community Development Director Preisendanz provided a brief overview of the project and requested Senior Planner Harris review it with the Commission and answer questions. ,,-.- Senior Planner Harris provided an overview of the proposed project. He noted that the project consisted of a three story Holiday Inn Express hotel with 76 rooms on 1.42 acres located on the' west side of Canyon Estates Drive, referred to in the staff report as Site One. He noted that the property owner requested that various development standards be modified on a site directly to the north of the project site to allow for the possible future development of a hotel. He noted that the property owner and applicant were seeking improvements to sites one and two. He provided a description of the improvements requested. He noted staff s support for the hotel use on the subject property. He addressed the FAR (Floor Area Ratio) increase of 30% to achieve a specific number of hotel rooms in order to make the project viable. He stated that this increase would not impact the surrounding properties. He stated that the increase in the building height would allow for non-habitable architectural elements to be incorporated into the design, thereby enhancing the esthetics of the facility. He noted that the Conditions of Approval for Site One would ensure that the site' operates in an appropriate manner and would not result in any incompatibility issues. He stated that the hotel was a limited service facility with three stories, 73 rooms, a public meeting room and an indoor pool. He addressed parking to accommodate the rooms and employees. He indicated that in order to accommodate parking for the meeting room, staff recommended a condition to state that the meeting room would be used between the hours of 9:00 a.m. and 7:00 p.m., Monday through Friday. He detailed the architectural style to include a fountain and decorative arts. He requested a modification to Condition No. 26 to read The Railroad Canyon Roadfee is $40,336.00 as approved in Conditions of Approval for Parcel Map 30832. He further requested deleting Condition No. 54. Sachin Trivedi, agreed with the staff report and the Conditions of Approval as amended. Lon Bike, 23975 Clinton Keith Rd. #114, Murrieta, stated that he represented the architectural firm for the project and he was available to answer questions. Tim Fleming 17970 Lakeshore Dr., Lake Elsinore stated that the date on the Public Hearing sign was incorrect. He noted his support for more hotels in the area. He further noted his concern for the location of the proposed project due to traffic and access issues. He stated that the proposed project had no parking to accommodate recreational vehicles and semi trucks. Jason Leinen, 31520 Sagecrest Dr. Lake Elsinore, stated his opposition to the project and noted that the Public Hearing sign on the project site had the wrong meeting date posted. He indicated that the proposed project would obstruct his view. He stated that the project would diminish the Agenda Item No. 31 Page 2.3 of b & ,.,-... PAGE 5 - PLANNING CDMMISSION MINUTES - NOVEMBER 15, 2005 residential atmosphere of the immediate area. He requested that the size of the hotel remain ~ limited. David Moon, 31605 Ridgecrest Dr., Lake Elsinore, stated that he lived across the street from the proposed project and noted his concern with overflow parking impacting his residence. He stated his concern for additional traffic in the area. He stated his concern with the project negatively affect~ng the value of his property. Thomas Saltarelli, Abbacy Holding Co., 4695 MacArthur Ct. #310, Newport Beach, stated that he represented the owner of the property. He stated that he was proud that the hotel was seeking the area to develop. He stated that the project would not attract large trucks due to the lack of a restaurant and it would minimize traffic in the area. He stated that the staff report was very well done. Sachin Trivedi stated that he was the lead of the project and provided a brief background of his experience and development team. He provided an overview of the hotel facility and the clientele it would attract. He stated that the peak hours of the hotel were 7:00 a.m. to 9:00 p.m. which would mitigate traffic. He addressed parking and stated that the ratio of car per room is less than one. He noted the security of the property. He further noted his desire to enter the community with a high quality facility. David Wilensky, 37777 Sky High Dr., Murrieta, stated his support for the development team and the high standards of Intercontinental Hotels. ~ Commissioner Francia noted his concern with traffic circulation in the surrounding project area. He noted the parking issues with Washington Mutual employees parking across the street from the bank due to limited parking availability. He noted his concerns with traffic, parking and the additional residents on Franklin St. from a future residential project. He stated that emergency vehicles would not have the ability to access a situation in the area because of the traffic issues. He addressed his concerns with the proposed variances. He confirmed that if the Commission did not approve the proposed increase in the floor area ratio, the project would not have enough room. Mr. Trivedi confirmed that the project would not be feasible without the variance. Commissioner Francia confirmed that there would be enough parking spaces to allow one parking space per room and approximately eight employees. He noted the additional people using a conference room and stated that parking for the additional people would be inadequate. He requested an explanation as to the method the developer proposed to avoid disrupting the surrounding residents with the additional parking needs. Agenda Item No. 3 I Page L + of b ~ ......" PAGE 6 - PLANNING COMMISSION MINUTES - NOVEMBER 15, 2005 ~ Mr. Trivedi stated that the parking lot occupancy would be minimal during the day which would allow for the employee parking and meeting room parking. He stated that the meeting room capacity would be 25 people. Commissioner Francia addressed the additional height request for 10 feet. Mr. Bike noted that the additional height request was for architectural towers, which were non habitable space. He stated that the main roofline was within the current zoning requirements. Commissioner Francia addressed parking accommodations for truckers. Mr. Bike stated that the intent of the business to accommodate family and business guests and that there was no room for large trucks. Mr. Wolinsky stated that it was not realistic for truckers to seek accommodations in the hotel because it was too expensive. He invited the Committee to visit the Temecula facility to observe the parking lot. Commissioner Francia addressed the floor space and parking provisions for the hotels m Victorville and San Diego. ~ Mr. Trivedi stated that they were more or less the same. Commissioner Gonzales stated his concern with parking for recreational vehicles and boats. He noted his support for the variance for the increased height. Commissioner Larimer stated her support for the project. She stated that the staff report was well done. She noted the issues the residents presented and thanked them for attending the meeting. She stated her support for the project design and the addition to the area. Vice Chairman O'Neal stated that he had no problem with the hotel in that area. He noted concerns with traffic and building placement with respect to the I-IS CalTrans off ramp. Engineering Manager Seumalo detailed the interim improvements to the interchange slated for next week. He indicated that the ultimate improvements were scheduled some time in the future. He stated that there would be significant traffic until the ultimate improvements were made. Vice Chairman O'Neal addressed the possibility ofa hook ramp. ;...- Engineering Manager Seumalo confirmed that possibility and noted that staff supported a variation of the hook ramp. He noted that the ultimate decision regarding the improvements would be with CalTrans and Federal Highway Administration. Vice Chairman O'Neal noted the impact it could have on the businesses in the immediate area. Agenda Item No. .3 / Page 25 of (;;, S PAGE 7 - PLANNING mMMISSION MINUIES - NOVEMBER 15, 2005 ~ Chairman LaPere addressed ownership of the hotel. Mr. Trivedi stated that the hotel was a franchise. He stated that his development team had done several studies to address the impacts the hotel would have on the area. He stated that the project would benefit the City and the residents. Chairman LaPere noted his support for the design of the project. He addressed the traffic generated from usage of the meeting room. He indicated that he had not experienced truckers utilizing the Holiday Inn Express, and if there were trucks parked in the area Code Enforcement would take care of it. He acknowledged the concerns of the residents and stated that the zone was Commercial, which allowed the proposed use. He stated that the project would be an asset to the community. Commissioner Gonzales addressed the pillars and asked if they were intended for the sign. Mr. Bike stated that they were for the sign. Chairman LaPere reiterated that the action taken by the Commission was for Site 1 only, not to include Site 2. There being no further business, Chairman LaPere closed the Public Hearing at 7:02 p.m. """""" Community Development Director Preisendanz requested a ten minute recess. Chairman LaPere recessed the meeting at 7:03 p.m. Chairman LaPere reconvened the meeting at 7:13 p.m. MOVED BY O'NEAL, SECONDED BY LAPERE AND PASSED BY A VOTE OF 3-2, WITH FRANCIA AND GONZALES VOTING AGAINST, APPROVING RESOLUTION NO. 2005-141, A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. 2005-15 FOR THE ALLOWANCE OF HOTELS AS A CONDITIONALLY PERMITTED USE ON TWO PARCELS AND TO ESTABLISH AND OPERATE A HOTEL FACILITY ON ONE PARCEL WITHIN THE NEIGHBORHOOD COMMERCIAL (C-lISP) ZONING DISTRICT OF THE CANYON CREEK "SUMMERHILL" SPECIFIC PLAN. MOVED BY O'NEAL, SECONDED BY LARIMER AND Agenda Item No. Page 2- ~ 31 of (p 8 ~ PAGE 8 - PLANNING COMMISSION MINUTES - NOVEMBER 15, 2005 ,--. PASSED BY A VOTE OF 3-2, WITH FRANCIA AND GONZALES VOTING AGAINST, APPROVING RESOLUTION NO. 2005-142, A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. 2005-22 TO INCREASE THE MAXIMUM ALLOWABLE FLOOR AREA RATIO AND THE MAXIMUM BUILDING HEIGHT ON TWO SITES WITHIN THE NEIGHBORHOOD COMMERCIAL (C-lISP) ZONING DISTRICT OF THE CANYON CREEK "SUMMERHILL" SPECIFIC PLAN. ,-. MOVED BY O'NEAL, SECONDED BY LARIMER AND PASSED BY A VOTE OF 3-2, WITH FRANCIA AND GONZALES VOTING AGAINST, APPROVING RESOLUTION NO. 2005-143, A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, RECOMMENDING TO THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE APPROVAL OF COMMERCIAL DESIGN REVIEW NO. 2005-06 FOR A HOLIDAY INN EXPRESS HOTEL FACILITY LOCATED AT 31573 CANYON ESTATES DRIVE WITHIN THE CANYON CREEK "SUMMERHILL" SPECIFIC PLAN, APN's 363-670-006,007. BUSINESS ITEMS None INFORMATIONAL NONE STAFF COMMENTS Community Development Director Preisendanz announced the Joint Study Session with the City Council, Planning Commission and Mooney Jones & Stokes to present the land use plan alternatives for the General Plan Update. He indicated that the discussion would include the proposed land use and traffic analysis. He stated that a Notice of Preparation was sent to various agencies announcing the General Plan Update. ,--. Agenda Item No.3' Page '2 -:; of ~ g PAGE 9 - PLANNING COMMISSION MINUTES - NOVEMBER 15, 2005 PLANNING COMMISSIONER COMMENTS ...., Commissioner Francia commented on the following: · Commended the graffiti removal team for their expeditious removal of graffiti on Canyon Estates Drive; · Thanked staff for their efforts. Commissioner Larimer commented on the following: · Wished everyone a Happy Thanksgiving; · Stated that she was proud to be a member of a diverse Planning Commission. Commissioner Gonzales commented on the following: · Stated that he liked the Hotel, and acknowledged the issues Vice Chairman O'Neal commented on the following: · No comment. Chairman LaPere commented on the following: ...., · Thanked staff for their efforts · Wished everyone a Happy Thanksgiving. ADJOURNMENT THERE BEING NO FURTHER BUSINESS, CH IRMAN LAPERE ADJOURNED THE MEETING AT 7:25 PM ON NOVEMBER ,2 05. Respectfully Submitted, LJ;-tltO Co r211~ Lisa C. Alexen Office Specialist III Agenda Item No. 3 f Page_ Z. g _of~ 8 ...., .~. /"'" /"'" PAGE 10 - PLANNING CDMMISSION :MINlITES - NOVEMBER 15, 2005 ATTEST: ~ Rolfe Preisendanz, Director of Community Development Agenda Item No. 31- Page L- q of (0 & City cfLake Elsinore Planning Divis ion 130 S. Mail Streel Like Elsno~ CA 92530 (909) 674-3124 (909) 471-1419 fax PLANNING COMMISSION STAFF REPORT ....." I I DATE: ~ovember15,2005 TO: Otainnan and Members of the Planning Commission FROM: Rolfe Preisendanz, Director CorilIIlUnity Development PREPARED BY: Matthew C Harris, Senior Planner PROJECT TITLE: Conditional Use Permit ~o(s). 2005-15 & 2005-22 & Commercial Design Review No. 2005-06. APPLICANT: Sachin Trivedi, Shiva Management; P.O. Box 369; Oaremont, CA 91711 """""" PROJECT REQUEST: The Planning Commission is being requested to review and approve or recommend approval of the following applications to the Gty Council: 1. Approve a Conditional Use Permit allowing hotel facilities to be included as a conditionally permitted use on two separate sites (Site 1: APNs 363-670-006,007 & Site 2: APNs 363- 550-013, 014) and to allow the establishment and operation of a 41,680 square foot hotel facility on a 1.42 acre site (APNs 363-670-006 & 007) within the Neighborhood Commercial (G liSP) zoning district of the Canyon Creek "Summerhill" Specific Plan. 2. Approve a Conditional Use Permit to modify Section 120 of the Neighborhood Commercial (G liSP) zoning ordinance of the Canyon Creek "Summerhill" Specific Plan to allow for a 30% increase of the maximum allowable Floor Area Ratio (FAR) and to allow for a ten foot maximum building height increase on two separate sites (Site 1: APNs 363-670-006,007 & Site 2: APNs 363-550-013,014). 3. Recommend that the Gty Council approve Commercial Design Review No. 2005-06 to construct a 41,680 square foot, three-story hotel facility and associated parking facilities on a 1.42 acre site at (APNs 363-670-006,007). '-"". AGENDA ITEM NO. 3 J PAGE 3> 0 OF "'~ ENVIRONMENTAL SETTING /"'"' SITE 1 EXISTING LAND USE ZONING GENERAL PLAN SITE VACANT C1!SP SPEOFICPLAN NORTH VACANT IRES. C1!SP&:RES. SPEOFICPLAN SOUTH VACANT C1!SP SPEOFICPLAN EAST VACANT I BANK C1!SP SPEOFIC PLAN WEST VACANT/l-ts C1!SP SPEOFICPLAN SITE 2 EXISTING LAND USE ZONING GENERAL. PLAN SITE VACANT C1!SP SPEOFIC PLAN NORTH VACANT IRES. RESIDENTIAL SPEOFIC PLAN SOUTH VACANT C1!SP SPEOFIC PLAN EAST RESIDENTIAL RESIDENTIAL SPEOFICPLAN WEST 1-15 - PROJECT LOCATION: Site 1 Site No.1 is located on the west side of Canyon Estates Drive and north of Summerhill Drive (APNs 363-670-006 &007). Site 2 ",--. Site No.2 is located on the west side of Canyon Estates Drive and north of Summerhill Drive (APNs 363-550-013 & 014). PROJECT DESCRIPTION: The applicant is currendyproposing a three-story hotel facility on Site 1: APNs 363-670-006,007. In addition, the applicant is requesting that various development standards be modified to allow for a possible future hotel facility on Site 2: APNs 363-550-013,014 (see attached vicinity map). Both sites are located within the Neighborhood O>mmercial (G1/SP) zoning district of the Canyon Oeek "Summerhill" Specific Plan. Hotel facilities are not currendy allowed as either a pennitted or conditional use within this zoning district. The applicant is requesting that the Planning O>mmission find hotel facilities to be in accord with and similar to other conditional uses currendy allowed within the zoning district and thereby be allowed as a conditional use at both locations. In addition, the applicant is requesting that the Planning O>mmission consider a ten foot (10) building height increase (35' to 45') on the two (2) separate sites within the G1!SP zone facilitating the development of the hotels. The applicant is also requesting that that the Neighborhood O>mmercial (G 1) development standards of the Canyon Oeek "Summerhill" Specific Plan be amended to increase the maximum allowable Floor Area Ratio (FAR) from 40% to 70% on two separate sites. In addition, a O>nditional Use Pennit is being requested to establish and operate a 41,680 square foot three-story hotel facility at APNs 363-670-006, 007 and a O>mmercial Design Review is sought to allow for the construction of the hotel facility. DISCUSSION: ",--. CONDITIONAL USE PERMIT 2 AGENDA ITEM NO. '" PAGE .3 L OF.i' ~ 31 Land Use Consistency Section 030.N. of the Neighborhood Commercial (G1/SP) Zoning Ordinance allows the Planning Commission to approve additional land uses that are not currently listed in the Zoning Ordinance as a conditional use if the Commission finds that the use is consistent with the pmpose of the Neighborhood Commercial zoning district and has characteristics similar to those uses listed in Section 030. Section 010 of the Neighborhood Commercial (G liSP) zoning district states: "The pmpose of the G liSP District is to provide opportunities for administrative and professional offices as well as ancillary uses and those additional uses which through appearance and operation are harmonious with the character of an office environment and provide locations for general retail uses which offer the sale of goods and services to the general public and which, through the characteristic of their operation, serve primarily the day-to-day shopping needs of local residents. Whereas, the "G liSP" Zone is located in close proximity to a residential area, the "G liSP" District is not intended for those uses which because of size or nature of operation generate vehicular or truck traffic beyond that nonnallyassociated with a neighborhood use." ...." Staff believes the proposed hotel use is indeed consistent with the pmpose of the G1/SP zoning district given that hotels are ancillary to both administrative and professional office uses which are encouraged in the zoning district. In addition, the appearance and operation of hotels are harmonious with the office environment given their enhanced architectural appearance and because the peak use of the hotels will occur when most offices uses are closed. In addition, the residential characteristics of a hotel use are consistent and compatible with other uses currently allowed in the G liSP zoning district including restaurants, barber shops, pharmacies and food stores which can serve hotel occupants. Finally, it is recognized that certain uses have operational characteristics that, depending upon the ...." location and design of the use, may have the potential to negatively impact adjoining properties, businesses and residents. Staff believes that hotel facilities may have impacts related to noise, aesthetics and traffic. Consequently, staff feels hotel uses require a greater level of review and should only be allowed as a conditionally pennitted use within the G liSP zoning district. Floor Area Ratio Increase Section 120 of the Neighborhood Commercial (G liSP) Zoning Ordinance of the Canyon Oeek Specific Plan requires a maximum allowable Floor Area Ratio (FAR) of forty percent (40%). The applicant is requesting that the maximum allowable FAR be increased to seventy percent (70%) and applied to the two separate sites only (Site 1: APNs 363-670-006,007 & Site 2: APNs 363-550- 013,014). Floor Area Ratio specifies the building intensity of a non-residential land use and is the ratio between a structures total floor area and the total land area upon which it is constructed. Hotel facilities often require higher floor area ratios in order to allow for a specific number of rooms necessary to make the facility economically viable while maintaining a relatively small site. Staff believes the other development standards currently required onsite will serve to ensure that the proposed FAR increase will not result in incompatibility issues. Building Height Increase Neighborhood Commercial (G liSP) Zoning Ordinance Section 060 allows for a maximum building height within the (G liSP) zone of thirty-five (35) feet. However, Section 030.L also allows .....,." 3 f..CENDA ITEM NO. Of / _ PACE_3 2_0F~e the Planning Commission to approve structures that exceed the 35-foot maximum height subject to the issuance of a Conditional Use Pennit. The applicant is requesting that a forty-five (45) foot maximum building height be allowed on both sites 1 and 2 to allow for the use of non-habitable /" architectural tower elements in the building designs. It is important to note that the project site and surrounding area have not been designated as a Scenic Resource. In addition, while portions of the three-story building would be visible from the 1-15 corridor, the California Department of Transportation has not designated this portion of 1-15 as a Scenic Highway. Therefore, staff believes the proposed ten foot building height increase will not result in an adverse affect to surrounding properties in the vicinity of the project sites. Moreover, the height increase will serve to improve the aesthetics of the hotel buildings by allowing architectural elements and ornamentation which otherwise could not be applied to the buildings. Establishment of Hotel Facili1;y The applicant is requesting a Conditional Use Pennit to establish and operate a 73 room, three-story Holiday Inn Express hotel facility on a 1.42 acre site located at APN's 363-670-006,007. Assuming the Commission approves the Conditional Use Pennit discussed above, hotel facilities are now allowed in the G1/SP Neighborhood Commercial zoning district subject to the acquisition of a Conditional Use Pennit. Staff believes the proposed hotel facility and potential impacts associated with the use, including noise, aesthetics and traffic will be substantially addressed through implementation of building design guidelines and op~rational restrictions ensuring an aesthetically pleasing structure and compatibility with surrounding land uses. COMMEROAL DESIGN REVIEW /'""' The hotel facility will be a limited service hotel with no onsite restaurant. A '"coffee room", serving continental breakfast, will be provided for guests. Each room will be equipped with a flat screen television, microwave oven, refrigerator, coffee maker and high-speed internet and wireless services. There will also be a business center with computers, internet and printers accessible from the hotel lobby. A 750 square foot public meeting room will also be provided within the hotel which can be used by local civic organizations and clubs. Site Design The proposed hotel facility is sited in the center of the subject property. Ingress and egress is achieved via one driveway off a private loop road that connects to Canyon Estates Drive at two (2) locations. A 28-foot wide drive aisle circles around all four sides of the hotel building allowing parking spaces to be provided at the front, rear and sides of the property. A separate 16-foot wide "check-in" driveway is provided at the main entrance of the hotel. An approximately 18-foot high retaining wall will be erected along the western and southern property lines which will match and connect to the existing offsite retaining wall to the south. Other retaining walls will be erected on other property lines to retain higher offsite grades. Onsite Parking LEMC Section 17.66.030.0.11., requires that one parking space be provided onsite in association with each hotel room or suite plus one space per every three employees on the largest work shift. In addition, one space is required for each three persons allowed under the maximum capacity for the public meeting room. Seventy-three (73) hotel rooms are proposed along with a peak employee shift of 8 persons occurring between the hours of 7:00 a.m. and 3:00 p.m.. In addition, a 750 square-foot r-- 4 ACENOA ITEM NO. "1 I PACE "3 3... OF -.kg- public meeting room is proposed within the facility. The maximum occupancy of the meeting room is 50 persons in accordance with the Uniform Building Code. Therefore, a total of 17 spaces are required onsite in association with the meeting roorn. Seventy-six (76) parking spaces have been provided onsite. These spaces will address the parking ....." requirements for the hotel rooms and employees. However, no spaces are provided onsite for the proposed public meeting roorn. The hotel's operational statement indicates that the peak traffic hours and use of the hotel occurs between the hours of 7:00 p.rn. and 9:00 a.rn. Much of the parking lot will be empty the rest of the day. In order to ensure that adequate parking exists onsite, staff recommends that the use of the public meeting room be limited to the hours between 9:00 a.rn. and 7:00 p.rn. Mondaythru Friday. This has been made a recommended condition of approval. A rchita:tural Desigp Staff has worked with the project architect to achieve the following architectural enhancements: 1) A decorative window element on the west elevation; 2) Rounded balconies on tall parapet elements; 3) Decorative arches above some third floor windows; 4) An enhanced main entrance with formalized plantings, enhanced veneer, decorative lighting and paving treatments and a water feature; and 5) Lighter paint colors more in keeping with the proposed architectural style. The applicant is proposing a Mediterranean architectural style for the hotel. The building is primarily stucco with ornamental wrought iron false balconies. A flat roof is utilized which is hidden behind parapet walls and a decorative cornice treatment along the roofline of all four elevations. Decorative tower elements are provided consisting of a blended clay tile roof and exposed rafter tails. The towers will provide areas for wall mounted signage. A decorative porte-cochere with arched openings, tile roof and sand stone base serves to formalize the building entrance. The entrance is further enhanced with a sand stone base applied at each side of the entry door. The height of the buildings roof line is varied which creates interest. In addition, each elevation is well articulated with insets and pop outs ranging from two to fourteen feet serving to create depth and shadow along the elevations. Moreover, a variety of ornamental elements have been incorporated into the design including arches over windows, heavy wood beam trellises and decorative light fixtures which compliment and enhance the architectural style. ~ Oiars am Materials Finish materials for the building exterior include color treatments as well as score lines to create horizontal and vertical visual interest. Specific colors and materials include: Building Location Material Color Building Walls Building Walls Wood Elements Roofing Wmdow Frames Stucco Stucco Wood Mission Oay Tue Dunn Edwards #DEC753 -Almnl Dunn Edwards # DEW383 - Oxi Dererrher Dunn Edwards # DEC755 - Gmt Blended Color Dark Grey Larxlscaping The applicant is proposing to develop the site with 11,209 square feet of landscaping which constitutes 18 percent of the site. Landscaping at the front entry drive will consist of a 24" box Cajeput tree on ~ 5 ACENDA iTEM NO. 3 I PACE 3 L{- _OFk '8 each side of the drive along with decorative shrubbery and annUal color. Two irregular shaped planters flank each side of the main building entrance. An architectural trellis with Bougainvillea vines will be erected in each planter along with decorative shrubbery including, but not limited to Agapanthus, Day ,-- Lilly, Bronz Flax, Drawrf Eoumymus and Red1eaf Photina. Foundation plantings will be provided at building comers and insets and consist of 24" box Queen Palms and Italian Cypress along with decorative shrubbery; Cajeput trees will also be planted within parking lot finger planters and decorative shrubberywill be planted around the perimeter of the site. In order to break-up and soften the eighteen foot tall retaining wall along with the west side of the property, vines will be planted at both the top and bottom of the wall. ANALYSIS: 1. Land Use Consistency: Gty Planning and Engineering staffs have reviewed the Conditional Use Permit to allow hotel facilities as a conditionally permitted use on two sites within the G liSP zoning district of the Canyon Creek Specific Plan. Staff has no significant concerns regarding the proposed land use, given that hotels are ancillary to the office uses promoted in the zoning district which has characteristics consistent and compatible with other uses currendy allowed in the zone. Moreover, a hotel facility generates significandy less vehicle trips during peak hours than other allowed uses within the zoning district including retail commercial and office uses. In addition, as a conditional use, all necessary conditions of approval will be applied to the developments to ensure their compatibility with surrounding land uses. ,-- 2. Floor Area Ratio Increase: Gty Planning staff has reviewed the proposed Floor Area Ratio increase for two sites within the G liSP zoning District of the Canyon Creek Specific Plan. Staff has no significant concerns with the FAR increase request given that hotels facilities often require higher FAR's to enable a requisite number of hotel units necessary to make the project viable. In addition, staff believes the other development standards currendy required for the project site will ensure that the increased FAR does not result in incompatibility issues with surrounding properties in the vicinity. 3. Building Height Increase: Staff has reviewed the proposed building height increase for two sites within the G liSP zoning district of the Canyon Creek Specific Plan. Staff has no significant concerns with the height increase given that the project site and surrounding area have not been designated as Scenic Resources. In addition, the height increase will enable non-habitable architectural towers and ornamentation to be incOIporated into the hotel building designs thereby serving to enhance the aesthetics of the facilities. 4. Hotel Conditional Use Permit: Staff believes that the proposed hotel facility has been conditioned to ensure that the proposed operation of the facility will not result in incompatibility issues with surrounding properties. In addition, potential impacts including noise and traffic will be reduced to less than significant levels. 5. Commercial Design Review: Staff has determined that the proposed hotel facility is in conformance with all applicable standards of the Lake Elsinore Municipal Code (LEMq, in that the project's siting, circulation and parking space layout, landscaping, floor area ratio, architecture, materials and colors have been appropriately designed to provide a safe project as ,-- 6 AGENDA ITEM No.__31 _.. PAGE ~ S; OF bog _ well as enhancing the visual interest of the area. ENVIRONMENT AI.. DETERMINATION: An Initial Studywas prepared for the hotel. No significant environmental effects have been found in ....., association with the project. Moreover, staff has detennined that the potential environmental impacts associated with the proposed conditionally allowed use, height increase and construction of the hotel facility have all been previously addressed in the Environmental Impact Report for the Canyon Creek "Summerhill" Specific Plan Amendment No. 1. In addition, 1) No substantial project changes are proposed that would require major revisions to the EIR; 2) No substantial changes will occur with respect to the circumstances under which the project is undertaken and 3) No new information of substantial importance has been identified since the petvious EIR was certified. Therefore, no subsequent EIR is necessary pursuant to Section 15162 of the California Environmental Quality Act (CEQA). STAFF'S RECOMMENDATION: It is recommended that the Planning Commission adopt the following resolutions: 1. Resolution No. 2005-_, approving Conditional Use Permit No. 2005-15 allowing hotel facilities as a conditionally permitted use on two separate sites (Site 1 APNs 363-670-006,007 & Site 2 APNs 363-550-013,014) and to allow the establishment and operation of a 41,680 square foot hotel facility on a 1.42 acre site within the Neighborhood Commercial (G liSP) zoning district of the Canyon Creek "Summerhill" Specific Plan based on the following Findings, Exhibits and proposed Conditions of Approval. 2. Resolution No. 2005-_, approving Conditional Use Permit No. 2005-22 to modify Section 120 of the Neighborhood Commercial (Gl/SP) zoning ordinance of the Canyon Creek Specific Plan to allow for a 30% increase of the maximum allowable Floor Area Ratio (FAR) and to allow for a 10-foot maximum building height increase on two separate sites (Site 1: APN's 363- 670-006,007 & Site 2: APNs 363-550-013,014) based on the following Findings, Exhibits and proposed Conditions of Approval. ..."", 3. Resolution No. 2005- , which recommends that the Gty Council approve Commercial Design Review No. 2005-06 to construct a 73-unit, three-story hotel facility on a 1.42 acre site (APNs 363-670-006,007) based on the following Findings, Exhibits and proposed Conditions of Approval. FINDINGS Gmditional Use Permit (Land Use Gmsistency & Hotel Facility) 1. The proposed hotel use on two separate sites, and the establishment and operation of a hotel facility on one site, on its own merits and within the context of the settings, is in accord with the objectives of the General Plan, Canyon Creek Specific Plan and the pmpose of the planning district in which the site is located. In order to adiete a 7fli1 Wlanad am furx:tinrnl rrix if midentia1, cormFrCial, inlustrial, cpen space, reaattimal am institutimalland uses, staff has tharatiJly euduata:i the land use rorrpatihiJiJ:y, mise, traffic and ether emirunnrrrtal hazards rrlaurl to the -prcpaed Ccn1itimaJ Use Penrit far the allmmnce if haels as a ....., 7 AGENDA iTEM NO. ,~I PAGE 3 ~ OF ~.. f r-- r-- crnlitWmlly pemitted use ani far the establishmnt ani q;eration if a 41,680 square fax hdel facility Wthin the Neiwbarlxxxl Ormm:ial (Cl/SP) zooing district if the Gt~ C'Yf'Rk "SumrEthilJ" Speajic Plan A a:ardirrJy, the ~ed !ani use is in an:urreJ'rE Wth the dJjocti:U5 if the Gerrral Plan, ~ C'Yf'Rk "S umrEthilJ" S peajic Plan ani the pupae if the planning, district in 7ihUh the site is la:ated 2. The proposed hotel uses on two separate sites and establishment and operation of a hotel facility on one site, will not be detrimental to the general health, safety, comfort, or general welfare of persons residing or working within the neighborhood of the proposed use or the Gty, or injurious to property or improvements in the neighborhood or the Gty. In aa:ord Wth the pupaes if the 0Japter 17.74 (0nIitimal Use Pemits) if the Lake Elsimre Munitipal Oxk; the City realized that the ~ed 0nIitimal Use Pemit for the alkmarKl! if hdel facilities ani the establishmnt ani q;eration if a 41,680 square fin hdel facility Wthin the Neiwbarlxxxl Ormm:ial (C l/SP) zooing district if the Gt~ C'Yf'Rk "SumrEthilJ' Speajic Plan mty haw a paential to n;g.ttiuiy inpaa the 'llI'ifare if perscn residing or 'llDrkirg Wthin the mwbarlxxxl or the Cit;t Considering this, staff has substantiatal that all applicahle City DepartrrEnts and Agnies haw been affarrkd the q;portunity far a tharatgJ reriew if the use ani haw in:orporatal all applicahle a>>m1!l1ts ardl or anlitians rrlata1 to the use 3. The site for the intended use is adequate in size and shape to accommodate the use, and for all the yards, setbacks, walls, fences, landscaping, buffers and other features required by the Municipal Code. The ~ed 0nIitimal Use Pemit far the establishrrm if a hdel facility la:ated at APN 363-670-006,007 has been desigrxd in amsideration if the size ani shape if the prrperty, thereby st:rer1f!!hening and enharxing the irma:Iiate c:amFrcial arfZl. Fun:her, the prrject as ~ed W11 anplerrrnt the quality if existirg deuiqmrnt in the Winity. 4. The site for the proposed use relates to streets and highways with proper design both as to width and type of pavement to carry the type and quantity of traffic generated by the subject use. The ~ed 0nIitimal Use Pemit for the establishmnt if a hdel facility la-ated at APN's 363-670- 006,007, has been recieuRd as to its relation to the Wdth ani type if pa7El11!11t rm1ed to carry the type ani quality if traffr ~atal, in that the City has adequately ewluated the paential i17fkU1s assaiated Wth the ~ed use and haw carr1itUnr1 the prrject aa:ardirrJy. 5. That in approving the subject use at the specific location, there will be no adverse effect on abutting property or the pennitted and nonnal use thereof. The ~ed use has been tharatgJly redeued ani carr1itUnr1 by all applicahle City DepartrrEnts ani Ottside Agnies, elininating the paential for any and all adr.me effixts 00 abuttingprrperties. 6. Adequate conditions and safeguards pursuant to Section 17.74.50 of the LEMC have been incorporated into the approval of the Conditional Use Pennit. Pursuant to Soction 17.74.050 (A aWn if the Planning, Cnmiss~ if the Lake E lsimre M unitipal Oxle (LEMC), the ~ed 0nIitimal Use Pemit for the alkmarKl! ifhdel facilities as a anIitimaIly pemitted use has been sdxdukrl far amsideration and appruud if the Planning, Camissim. Conditional Use Permit (Floor Area Ratio & Building Height Increase) 1. The proposed floor area ratio and maximum building height increase on two separate sites, on its own merits and within the context of the settings, is in accord with the objectives of the General Plan, Canyon Oeek Specific Plan and the purpose of the planning district in which the /'""" site is located. 8 AGENDA ITEUtNO._-.1! PAGE2-9-- _OF h & In arder to adiece a uell WlarmJ arrJ jierK:tional nix if residential, ~ inlustrial, cpen spt:Ke, m:reatiooal arxi institutimaJ larxl USf5, stajfhas ~ eu:duated the lam use ccnpatibility, rxise, traffic arrJ ether emirrnrmtaJ hazards reIata1 to the prrpaed 0n1itimal Use Pemit far a jlror aml ratio am mtXUrum building hei[/Jt irrrease 00 too sites (APN's 363-670-006,007 & APN's 363-550-013,014) Wthin the NeiiJborIxxxl CammiaJ (C l/SF) zaring distriJ.t if the ~ Cm:k "SumrEfhilt:' SJXX:ifr Plan """ A a:nrdinJy, the prrpaed jlror area ratio arrJ building hei[/Jt irrrease are in an:urrerce Wth the d:Jjeai:res if the Gerrral Plan, ~ Cm:k SJXX:ifr Plan arrJ the ~e if the p/anning distriJ.t in WiJ.J the site is kx:ated 2. The proposed floor area ratio and maximum building height increase on two separate sites will not be detrimental to the general healtht safetyt comfortt or general welfare of persons residing or working within the neighborhood of the proposed use or the Gtyt or injurious to property or improvements in the neighborhood or the Gty. In aax>>d Wth the ~f5 if the 0Japter 17.74 (0n1itimal Use Pemits) if the Lake Elsimre MunUipal 0Je, the City mtlized that the prrpaed 0n1itimal Use Pemit far the jlror area ratio am building hei[/Jt irrrease 00 too site (APN's 363-670-006,007 & APN's 363-550-013,014) Wthin the NeiiJborIxxxl CammiaJ (C1/SF) zaring distriJ.t if the Gt~ Crrek "Su:rr17l!1'bil1" SJXX:ifr Plan mry haw a paentitJ to ~ inpaa the uelfare if persoos residing or umking Wthin the niiJbarIxxxl or the City. Omsidering this, stajf has suhtantiatHl that all applicahle City Depart1rEnts am A wries haw lw-l affO'l'dwi the qJJX>>tUnity far a tharr:uiJ reciewif the ilrrease am haw irwrporatai all applicahle comrEJ1lS arxl/ or anlitions. 3. The sites on which the increased floor area ratio and building height increase will occur are adequate in size and shape to accommodate the proposed increases. The prrpaed 0n1itimal Use Pemit far a jlror area ratio am mtXUrum building heitx irrrease on too sites (APN's 363-670-006,007 & 363-550-013,014) Wthin the NeiiJborIxxxl CammiaJ (C1/SF) zaring distriJ.t if the ~ Cm:k "Su:rr17l!1'bil1" SJXX:ifr Plan has lw-l euduatid in consideration if the size am shape if the prrpert:y, thereby s~ arxi erb:m::int, the inmxIiate amtrErCiaJ area. Further, the ilrreased jlror aml ratio am building hei[/Jt, as prrpa<<4 Wll emp!errrnt the quality if EXisting deuJqmmt am Wll create a 'lisually plmsin& rm-detraair.e relatitnship b:t7am the prrpaed am EXistingprqocts. ....." 4. Adequate conditions and safeguards pursuant to Section 17.74.50 of the LEMC have been incorporated into the approval of the Conditional Use Permit to insure that the increased floor area ratio will be compatible with surrounding land uses. Pursuant to Stttim 17. 74.050 (A aim if the Planning Comnissim) if the Lake E lsimre M unUipal Cafe (LEMq, the prrpaed 0n1itimal Use Pemit far the jlror area ratio arxi building heitx irrrease has lw-l sdxJulaJlor consideration am appruud if the Planning CmnissUn Commercial Desi~n Review 1. The projectt as approvedt will comply with the goals and objectives of the General Plant Specific Plan and the Zoning District in which the project is located. The prrpaed CammiaJ Design Redezq la:ated at APN's 363-670-006,007, emplies Wth the [p1Is am d:Jjocti.'leS if the Gerrral Plan am ~ Cm:k"Su:rr17l!1'bil1" SJXX:ifr Plan in that the appruud if this aJIr811!rCial prqea Wll assist in aOieting the deuJqmmt if a uell-WlarmJ am jierK:tional nix if residential, ~ industrial, cpen spt:Ke, m:reatiooal arxi institutimallam USf5 as uell as ermuagjng industriallarxl USf5 to dirersify Lake E lsimre's ~ Me 2. The project complies with the design directives contained in the Canyon Oeek "Sumrnerhilrt Specific Plant Section 17.82.060 and all other applicable provisions of and the Municipal Code. The prrpaed CammiaJ Design Redezq la:ated at APN's 363-670-006,007, is appropriate to the site am surramdirrg derekprrmts in that the c:om1'FYCial prqoct has lm1. dtsigm:l in consideration if the size and shape if the prrpert:y, thereby crr?ating interest and wrying 'listas as a person 11VlJ5 along the strret. Further the prqoct as ....." 9 AGENDA ITEM NO. 31 PAGE3_~OFy.g_ ~ ~ ~. prrpafrl W1l a>>rplenmt the quality if exis~ r:IeuJqmmt am W1l create a 'lisually pkasin& rx>>detractiu? rekaia1ship betwm the prrpafrl arr1 exis~ prrjedS in tlxtt the arrhitatural desigp, cdor, mtterials ani site desigp prrpafrl eUdenre a CXJrXEn'l for quality am arigjnality. 3. Subject to the attached Conditions of Approval~ the proposed project is not anticipated to result in any significant adverse environmental impacts. Carmm:ial DesigpReriewNa 2005-06 kxatRd at ASSlSSor Parrel Nwrkrs 363-670-006,007, as recieuRd am an1iticnxl by all applimble City Di'lisioos arrJ DepartrrEnts arrJ A [pries, W1l m haw a signi/imnt if.fa:t en the emirrnrrmt Pursuant w the Gtlifomia E ~ Qtality A ct (CE Q4). The paerrtidJ inpacts assaiatai Wth the prrjea do m result in substantial ~ w the ~ly certified Gt11)O'Z Cnx:k "SwmrrhilJ>> SJXrific Plan Emirrmrrmtal Itrpact Report. Therrfore, m additional enci:rrJntrmtal reriew is rm'Ssaryfor the prrpafrl prrjeapursuant wSeitUn 15162; (SubsfYjtlet1l EIR's am N~ Dedaratims). 4. Conditions and safeguards pursuant to Chapter 17.82.070 of the Zoning Code~ including guarantees and evidence of compliance with conditions~ have been inco1porated into the approval of the subject project to ensure development of the property in accordance with the objectives of Chapter 17.82. Pursuant w SeitUn 17.82.070 (Actim if the PIa111'1irYt, Cormiss~ if the Lake ElsinJre Municipal 0xJe (LEMC), the prrpafrl Carmm:ial Desigp Reriew krated at APN's 363-670-006,007, has been schaiukd for ronsideration arrJ appruud if the PIa111'1irYt, CnmissWn. Prepared by: Matthew C. Hams, Senior Planner Approved by: /Vf1/I---- Rolfe M. Preisendanz, QmuTIunity Development Director ATT Aa-IMENTS: 1. Vicinity Map 2. Planning Cormnission Resolutions 3. Conditions of Approval 4. Reduced Exhibits 5. Full Size Exhibits 10 ACENDA m:r~i 1\1('l 3 / PACEY (_OF~8_ RESOLUTION NO. 2005-141 A RESOLUTION OF THE PLANNING COMMISSION OF THE OTY OF LAKE ELSINORE, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. 2005-15 FOR THE ALLOWANCE OF HOTELS AS A CONDITIONALLY PERMITTED USE ON TWO PARCELS AND TO ESTABLISH AND OPERATE A HOTEL FAOLITY ON ONE PARCEL WITHIN THE NEIGHBORHOOD COMMEROAL (GlISP) ZONING DISTRICf OF THE CANYON CREEK "SUMMERHILL" SPEOFIC PLAN. ~ WHEREAS, Sachin Trivedi, Shiva Management., has initiated proceedings to request the approval of Conditional Use Pennit No. 2005-15 for the allowance of hotel facilities as a conditionally permitted use on twO sites and to establish and operate a hotel facility on one parcel within the Neighborhood Commercial (G1/SP) zoning district of the Canyon Creek "Summerhill" 'Specific Plan located at APNs 363-670-006,007 &363-550-013,014; and WHEREAS, the Planning Commission of the Gty of Lake Elsinore has been delegated with the responsibility of approving Conditional Use Permits; and WHEREAS, public notice of said application has been given, and the Planning Commission has considered evidence presented by the Community Development Department and other interested parties at a public hearing held with respect to this item on November 15, 2005. ~ NOW 1HEREFORE, the Planning Commission of the Gty of Lake Elsinore DOES HEREBY RESOLVE as follows: SECfION 1. The Planning Commission has considered the proposed Conditional Use Permit 2005-15 prior to approval. The Planning Commission [mds and determines that this project is consistent with the previously certified Environmental Impact Report for the Canyon Creek "Summerhill" Specific Plan Amendment No. 1 and that no further environmental review is necessary pursuant to the California Environmental Quality Act (CEQA), Section 15162. SECfION 2. That in accordance with State Planning and Zoning law and the Gtyof Lake Elsinore the following findings for the approval of Conditional Use Permit No. 2005-15 have been made as follows: 1. The proposed hotel use on two separate sites, and the establishment and operation of a hotel facility on one site, on its own merits and within the context of the settings, is in accord with the objectives of the General Plan, Canyon Creek Specific Plan and the purpose of the planning district in which the site is located. In order to cuhiere a uell h:Jarx:ed and jim:t.ianal rrix if residential, comrrrr:ial, inlustrid, cpen sp:ue, mreational and institutional land uses, staff has tharatgJiyeuduated the land use ronpatibility, noise, traffic and aher emiramrmtal hazards related to the ~ed 0nIiti0nal Use Pemit far the aIlmmrre if hae1s as a corx:Iiti.onally perrrittRd use and far the estahlishnrnt and operation if a 41,680 square fcrt had faclity Wthin ~ l"",":>'--1; "~"C": \\'~"'\ :3 ) .".~:Q_"'--l_l-~= ",....... ",....... ",....... PLANNING COMMISSION RESOLUTION FOR CONDITIONAL USE PERMIT 2005-15 Page 2 of3 the Nei~barJxxx1 Cnmrrria1 (C 1/SP) z~ distria if the Gt~ Craie <<SumrErbi1l" Speajic Plan A a:urdinJy, the propaed lam use is in an:urrerKI! Wth the dJje1.1iu?s if the Gemral Plan, Gm)az Craie "SumrErbi1l" Speajic Plan arx:l the ~e if the planrriJw, distria in wmh the site is la:atRd 2. The proposed hotel uses on two separate sites and establishment and operation of a hotel facility on one site, will not be detrimental to the general health, safety, comfon, or general welfare of persons residing or working within the neighborhood of the proposed use or the Gty, or injurious to property or improvements in the neighborhood or the Gty. In aa:urd Wth the ~es if the Oxtpter 17.74 (Onlitimal Use Pernits) if the Lake Elsimre Muniapal ~ the Cixy realized that the propaed Onlitimal Use Pemit far the allmmrKl! if had faclities am the estahlishrrm arx:l cperatim. if a 41,680 square fixx had faclixy Wthin the Nei~batfxxxi Cnmrrria1 (C 1/SP) z~ distria if the Gt~ Creek <<SumrErbi1l' Speajic Plan rrny haw a paential to ~ inpaa the 'lll'ifare if persoos residing ar 'lWl'kirg Wthin the rri~barJxxx1 ar the City. Gnsidering, this, staff has substantiat<<l that all applimhle Cixy Departrrrnts am Awrie> haw 00?n afforded the cppartunity far a t:harr:ugJ miew if the use am haw inaJrparaud all applimhle crJl1'TfrFJ1/S arxl/ ar an1itions reIatJxl txJ the use 3. The site for the intended use is adequate in size and shape to accommodate the use, and for all the yards, setbacks, walls, fences, landscaping, buffers and other features required by the Municipal Code. The propa<<i Onlitimal Use Pemit far the establisbnrnt if a had faclixy la:atal at APN 363-670-006,007 has 00?n dRsign:d in ronsideratim if the size am shape if the prrpert:y, thereby strerl{1hening am enhaning the immxIiate amrmial area. Ftnther, the prqu:t as propaed W1l wrrplerrmt the qua/ixy if EXisting cIer.e1qmrnt in the Ucinity. 4. The site for the proposed use relates to streets and highways with proper design both as to width and type of pavement to carry the type and quantity of traffic generated by the subject use. The propa<<i Onlitimal Use Pemit far the establisbnrnt if a had faclixy la:atRd at APN's 363-670- 006,007, has 00?n mier.ud as to its relatim to the Wdth am type if pawrmt rm:l8i to carry the type am qua/ixy if traffic wrratal, in that the Cixy has adiquatdy eutluaud the paential inpaas associated Wth the propaed use am haw anIitUnrl the prqu:t aa:ardin[jy. 5. That in approving the subject use at the specific location, there will be no adverse effect on abutting property or the permitted and normal use thereof. The propa<<i use has 00?n t:harr:ugJly mier.ud am anIitUnrl by all applimhle Cixy Departm:nts am Ottside Awrie>, elimmting the paential far any am all adr.erse ejJirts on abuttirrg,prcpertiRs. 6. Adequate conditions and safeguards pursuant to Section 17.74.50 of the LEMC have been incOlporated into the approval of the Conditional Use Permit. Pursuant txJ Set:tion 17.74.050 (Action if the Planning OJmrissWn) if the Lake Elsimre Muniapal 0xIe (LEMC), the propa<<i Onlitimal Use Pemit far the allmmrKl! if had faclities as a crn:1itWna1ly pemi1:t<<l use has 00?n sdxrJuled far ronsideratim. am apprmnl if the Planning OJmrissWn. AGENDA ITEM No.__l/ PACE_ t.f I _OF ~&_ PLANNING COMMISSION RESOLUTION FOR CONDITIONAL USE PERMIT 2005-15 Page 3 of 3 """" NOW, 1HEREFORE, based on the above findings, the Planning Commission of the Gty of Lake Elsinore DOES HEREBY APPROVE Conditional Use Permit No. 2005-15. Ron LaPere, Chainnan Lake Elsinore Planning Commission I hereby certify that the preceding resolution was adopted by the Planning Commission at a meeting thereof conducted on November 15, 2005 by the following vote: AYES: Commissioners: LAPERE, O'NEAL, LARIMER FRANOA, GONZALES NOES: Commissioners: ABSENT: Commissioners: ABSTAIN: Commissioners: ATTEST: Rolfe M Preisendanz, Secretary to the Planning Commission """" .~ ACENDA ITEM NO. 31 ... PAGEL{ 2- OF ~ _ ,....... RESOLUTION NO. 2005-142 A RESOLUTION OF THE PLANNING COMMISSION OF THE OTY OF LAKE ELSINORE, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. 2005-22 TO INCREASE THE MAXIMUM ALLOWABLE FLOOR AREA RATIO AND THE MAXIMUM BUILDING HEIGHT ON TWO SITES WITHIN THE NEIGHBORHOOD COMMEROAL (C1/SP) ZONING DISTRICT OF THE CANYON CREEK "SUMMERHILL" SPEOFIC PLAN. WHEREAS, Sachin Trivedi, Shiva Management., has initiated proceedings to request the approval of Conditional Use Pennit No. 2005-22 to increase the maximum allowable floor area ratio and building height on two sites within the Neighborhood Connnercial (C1/SP) zoning district of the Canyon Creek "Sunnnerhill" Specific Plan APN's 363-670-006,007 & 363-550-013,014. WHEREAS, the Planning Commission of the Gty of Lake Elsinore has been delegated with the responsibility of approving Conditional Use Pennits; and WHEREAS, public notice of said application has been given, and the Planning Commission has considered evidence presented by the Community Development Department and other interested parties at a public hearing held with respect to this item on November 15, 2005. /'"' NOW 1HEREFORE, the Planning Commission of the Gty of Lake Elsinore DOES HEREBY RESOLVE as follows: SECTION 1. The Planning Commission has considered the proposed Conditional Use Pennit 2005-22 prior to approval. The Planning Commission finds and detennines that this project is consistent with the previously certified Environmental Impact Report for the Canyon Creek "Sunnnerhill" Specific Plan Amendment No. 1 and that no further environmental review is necessary pursuant to the California Environmental Quality Act (CEQA), Section 15162. SECTION 2. That in accordance with State Planning and Zoning law and the Gty of Lake Elsinore the following findings for the approval of Conditional Use Pennit No. 2005-22 have been made as follows: 1. The proposed floor area ratio and maximum building height increase on two separate sites, on its own merits and within the context of the settings, is in accord with the objectives of the General Plan, Canyon Creek Specific Plan and the purpose of the planning district in which the site is located. ,....... In order to adieU! a uell ldarnr1 and.funtimal rrix if residential, carorrrr:ial, inlustrial, cpen spr;ue, m:reatWnal and institutimalland uses, st4J has ~ly euduated the land use canpatibility, rKise, tra:/fr and a:her emirr.wrmtal hazards related to the prrpaed 0n1itima1 Use Pernit for a flmr awa ratio and mlXinum building heign in:rease on t:l.W sites (APN's 363-670-006,007 & APN's 363-550-013,014) Wthin the NeifiJbarIxxxl 0Jmm?rcial (e1/SF) zoning district if the Canpz Crrek "SU11'l1EYhi11" SpeOfic Plan A ccardirrJy, the prrpaed flmr awa ratio and building heifiJt in:rease are in CUI1CUrreJ'X:e Wth the dJjeai'llS if the GeJrral Plan, Canpz Crrek SpeOfic Plan and the purpae if the planning district in uhich the site is la:ated AGENDA ITEM NO.J -- PAGE 'W-3_0F~ B _ PLANNING COMMISSION RESOLUTION FOR CONDITIONAL USE PERMIT 2005-22 Page 2 of 3 ~ 2. The proposed floor area ratio and maximum building height increase on two separate sites will not be detrimental to the general health, safety, comfort, or general welfare of persons residing or working within the neighborhood of the proposed use or the Gty, or injurious to property or improvements in the neighborhood or the Gty. In aaurd Wth the purfJaes if the 0Japter 17.74 (0nIitimal Use Pemits) if the Lake Elsimre Municipal Oxk the CiEy redized that the ~ed 0nIitimal Use Pemit for the floor area ratio am buildi17g, heif# irrrease 00 t'UO site (APN's 363-670-006,007 & APN's 363-550-013,014) Wthin the Neig,borhax1 Cnnrrrrcial (C1/SP) zooing district if the Ot1Z)m Oak "SurmrrhiJJ>> Spexifr Plan mry haw a paential to ~ irrpaa the'llEifare if persms residing or wnking Wthin the rxig,borhaxl or the City Cmsidering this, st4f has substarrtiattrl that all applicable City Depart:m!nts am A [pries haw been 4forded the cpportunity far a ~ miewif the irrrease am haw in:orporated all applicable wrnrnts arr1/ or conditions. 2. The sites on which the increased floor area ratio and building height increase will occur are adequate in size and shape to accommodate the proposed increases. The ~ed 0nIitimal Use Pemit for a floor area ratio am mlXirnrm buildi17g, heif# irrrease 00 t'UO sites (APN's 363-670-006,007 & 363-550-013,014) Wthin the Neig,borhaxl Cnnrrrrcial (C1/SP) zcning district if the Ot1Z)m Crrek "SurmrrhiJl" Spexifr Plan has been ewluated in cmsideration if the size am shape if the prrperty, thereby stren{Jhening am enharKing, the irnrrRIiate comJrFrCia1 amt. Further, the irrreased floor area ratio am buildi17g, heijJt, as ~ed, W1l ronp!enmt the qualiEy if EXisting deu:Jqmmt am W1l create a Usually plmsinr9 mmletraaiw rrlatimship betuPen the ~ed arxi EXistingprrjats. 3. Adequate conditions and safeguards pursuant to Section 17.74.50 of the LEMC have been incorporated into the approval of the Conditional Use Pennit to insure that the increased floor area ratio and building height will be compatible with surrounding land uses. Pursuant to Soctim 17.74.050 (Ac:tim if the Plannirrg, Omnissu>>y if the Lake Elsimre Municipal 0xIe (LEMC), the ~ed 0nIitimal Use Pemit far the floor area ratio arxi buildi17g, heif# irrrease has been schedukd for cmsideration arxi ttppruuJl if the Plannirrg, Omnission. ~ NOW, TIIEREFORE, based on the above findings, the Planning Commission of the Gty of Lake Elsinore DOES HEREBY APPROVE Conditional Use Pennit No. 2005-22. Ron LaPere, Chairman Lake Elsinore Planning Commission I hereby certify that the preceding resolution was adopted by the Planning Commission at a meeting thereof conducted on November 15 2005 by the following vote: ......, AGENDA iTEM NO.3Lg PAGE_ "+4 _OF Y - ~ /""' /""'- PLANNING COMMISSION RESOLUtION FOR CONDITIONAL USE PERMIT 2005-22 Page 3 of3 AYES: Commissioners: LAPERE, O'NEAL, LARIMER NOES: Commissioners: ABSENT: Commissioners: FRANClA, GONZALES ABSTAIN: Commissioners: ATTEST: Rolfe M. Preisendanz, Secretary to the Planning Commission ACENDA ITEM NO. 3 J PACE Cf ~ OF jp <6 - RESOLUTION NO. 2005-143 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, RECOMMENDING TO THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE APPROVAL OF COMMERCIAL DESIGN REVIEW NO. 2005-06 FOR A HOLIDAY INN EXPRESS HOTEL FACILITY LOCATED AT 31573 CANYON ESTATES DRIVE WITHIN THE CANYON CREEK "SUMMERHILL" SPECIFIC PLAN, APN's 363-670-006,007. ...", WHEREAS, Sachin Trivedi, Shiva Management. has initiated proceedings for Commercial Design Review No. 2005-06 for the construction of a Holiday Inn Express hotel facility with related improvements located at 31573 Canyon Estates Drive, APN 363-670- 006,007; and WHEREAS, the Planning Commission of the City of Lake Elsinore has been delegated with the responsibility of making recommendations to the City Council for Design Reviews; and WHEREAS, public notice of said application has been given, and the Planning Commission has considered evidence presented by the Community Development Department and other interested parties at a public hearing held with respect to this item on November 15, 2005. ....." NOW THEREFORE, the Planning Commission of the City of Lake Elsinore DOES HEREBY RESOLVE as follows: SECTION 1. The Planning Commission has considered Commercial Design Review No. 2005-06 prior to making a decision to recommend that the City Council approve the proposed Holiday Inn Express hotel facility. The Planning Commission finds and determines that the project is consistent with the previously certified Environmental Impact Report for Canyon Creek "Summerhill" Specific Plan Amendment No. I and that no further environmental review is necessary pursuant to the California Environmental Quality Act (CEQA), Section 15162. SECTION 2. That in accordance with State Planning and Zoning law and the City of Lake Elsinore, the following findings for the approval of Commercial Design Review No. 2005- 06 have been made as follows: 1. The project, as approved, will comply with the goals and objectives of the General Plan, Specific Plan and the Zoning District in which the project is located. The proposed Commercial Design Review, located at 31573 Canyon Estates Drive, APN 363-670-006,007, complies with the goals and objectives of the General Plan and Canyon Creek "Summerhill" Specific Plan in that the approval of this commercial project will assist in achieving the development of a well-balanced and functional mix of """'" ACENDA ITEM NO. 31 PACE If k, OF ~& /""""" ,/""' /""""" PLANNING COMMISION RESOLUfION DESIGN REVIEW NO. 2005-06 Page 2 of3 residential, commercial, industrial, open space, recreational and institutional land uses as well as encouraging industrial land uses to diversify Lake Elsinore's economic base. 2. The project complies with the design directives contained in the Canyon Creek Specific Plan, Section 17.82.060 and all other applicable provisions of and the Municipal Code. The proposed Commercial Design Review, located at 31573 Canyon Estates Drive, APN's 363-670-006,007, is appropriate to the site and surrounding developments in that the commercial project has been designed in consideration of the size and shape of the property, thereby creating interest and varying vistas as a person moves along the street. Further the project as proposed will complement the quality of existing development and will create a visually pleasing, non-detractive relationship between the proposed and existing projects in that the architectural design, color, materials and site design proposed evidence a concern for quality and originality. 3. Subject to the attached Conditions of Approval, the proposed project is not anticipated to result in any significant adverse environmental impacts. Pursuant to the California Environmental Quality Act (CEQA), the proposed Commercial Design Review located at Assessor Parcel Numbers 363-760-006,007, as reviewed and conditioned by all applicable City Divisions and Departments and Agencies, will not have a significant effect on the environment pursuant to Section 15162; (Subsequent EIR's and Negative Declarations). 4. Conditions and safeguards pursuant to Chapter 17.82.070 of the Zoning Code, including guarantees and evidence of compliance with conditions, have been incorporated into the approval of the subject project to ensure development of the property in accordance with the objectives of Chapter 17.82. Pursuant to Section 17.82.070 (Action of the Planning Commission) of the Lake Elsinore Municipal Code (LEMC), the proposed Commercial Design Review located at 31573 Canyon Estates Drive, APN 363-760-006,007, has been scheduledfor consideration and approval of the Planning Commission. NOW, THEREFORE, based on the above findings, the Planning Commission of the City of Lake Elsinore DOES HEREBY RECOMMEND that the City Council of the City of Lake Elsinore approve Commercial Design Review No. 2005-06; Ron LaPere, Chairman Lake Elsinore Planning Commission AGENDA ITEM NO. 31- - PAGE '-f '} OF (; e PLANNING COMMISION RESOLUfION DESIGN REVIEW NO. 2005-06 Page 3 of3 ...., I hereby certify that the preceding resolution was adopted by the Planning Commission at a meeting thereof conducted on November 15, 2005 by the following vote: AYES: Commissioners: LAPERE, O'NEAL, LARIMER NOES: Commissioners: ABSENT: Commissioners: FRANOA, GONZALES ABSTAIN: Commissioners: ATTEST: Rolfe M. Preisendanz, Secretary to the Planning Commission ......" ......" ACENDA \TEl:i No.3L- PACEY 8 ....-OF _ to 8 _ r" PLANNING GENERAL CONDITIONS 1. The applicant shall defend (with counsel acceptable to the Gt}7, indemnify; and hold hannless the Gty, its Official, Officers, Employees, and Agents from any claim, action, or proceeding against the Gty, its Official, Officers, Employees, or Agents to attach, set aside, void, or annul an approval of the Gty, its advisory agencies, appeal boards, or legislative body concerning the commercial project, which action is bought within the time period provided for in California Government Code Sections 65009 and! or 66499.37, and Public Resources Code Section 21167. The Gty will prompdy notify the Applicant of any such claim, action, or proceeding against the Gty and will cooperate fully with the defense. If the Gty fails to prompdy notify the Applicant of any such claim, or proceeding, the Applicant shall not, thereafter, be responsible to defend, indemnify, or hold hannless the Gty. 2. Approval for Conditional Use Permit No(s). 2005-15 and 2005-22 Commercial Design Review No. C 2004-06 will lapse and be void unless building permits are issued within one (1) year following the date of approval. An extension of time, up to one year per extension, may be granted by the Community Development Director prior to the expiration or the initial Design Review approval upon application by the developer one (1) month prior to expiration. ",--.. 3. Any alteration or expansion of a project for which there has been a "Design Review" approval as well as all applications for modification or other change in the conditions of approval of a "Design Review" shall be reviewed according to the provisions of Chapter 17.82 in a similar manner as a new application. 4. No structure which has received a "Design Review" or "Minor Design Review" approval shall be occupied or used in any manner or receive a Certificate of Occupancy until the Director of Community Development has determined that all Conditions of Approval have been complied with. 5. Conditions of Approval shall be reproduced on page one of building plans submitted to the Building Division Plan Check All Conditions of Approval shall be met prior to the issuance of a Certificate of Occupancy and release of utilities. 6. All site improvements approved with this request shall be constructed as indicated on the approved site plan and elevations. Revisions to approved site plans or building elevations shall be subject to the review of the Community Development Director. 7. The onsite public meeting room shall only be used between the hours of 9:00 a.m and 7:00p.m Mondaythru Friday. /'"' 8. Plan Check shall conform to the submitted plans as modified by Conditions of Approval, or the Planning Commission! Gty Council through subsequent action. ACENDA ITEM N9. "3 I PACE tf q OF~g CONDITIONS OF AFPROV AI.. Page 2 of7 HOLIDAY INN EXPRESS HOTEL 9. All roof mounted or ground support air conditioning units or other mechanical equipment incidental to development shall be architecturally screened or shielded by landscaping so that they are not visible from neighboring property or public streets. Any material covering the roof equipment shall match the primary wall color. .....", 10. All exterior on-site lighting shall be shielded and directed on-site so as not to create glare onto neighboring property and streets or allow illumination above the horizontal plane of the fixture. All light fixtures shall match the architectural style of the building. 11. Applicant shall meet ADA (Americans with Disabilities Act) requirements. 12. Trash enclosures shall be constructed per Gty standards as approved by the Community Development Director or Designee prior to issuance of Certificate of Occupancy. 13. No exterior roof ladders shall be permitted. 14. All exterior downspouts shall be concealed within the building. 15. The Planning Division shall approve the location of any construction trailers utilized during construction. All construction trailers shall require a cash bond processed through the Planning Division. 16. Materials and colors depicted on the plans and materials board shall be used unless modified by the .....", Community Development Director or designee. 17. On-site surface drainage shall not cross sidewalks. 18. Parking stalls shall be double-striped with four-inch (4") lines two feet (2') apart. 19. All exposed slopes in excess of three feet (3') in height shall have a permanent irrigation system and erosion control vegetation installed, approved by the Planning Division. PRIOR TO BUILDING/GRADING PERMI1S 20. Prior to issuance of any grading permit or building permits, the applicant shall sign and complete an "Acknowledgement of Conditions" form and shall return the executed original to the Planning Division for inclusion in the case records. 21. Three (3) sets of the Final Landscaping/Irrigation Detail Plan shall be submitted, reviewed and approved by the Gty's Landscape Architect Consultant and the Community Development Director or designee, prior to issuance of building permit. A Landscape Plan dJ.eck & Inspection Fee will be charged prior to final landscape approval. a) All planting areas shall have permanent and automatic sprinkler system with 100% plant and grass coverage using a combination of drip and conventional irrigation methods. ....., U: \mharris \Holiday Inn Express \PCConditionsofApproval1.doc AGENDA ITE~,1 NO.-3~ _ PAGE t; 0 OF ~ fJ ~, CONDITIONS OF APPROVAL Page 3of7 HOLIDAY INN EXPRESS HOTEL b) Applicant shall plant street trees, selected from the Oty's Street Tree List, a maximum of thirty-feet (30) apart and at least twenty-four-inch (24") box in size. c) All planting areas shall be separated from paved areas with a six inch (6") high and six inch (6") wide concrete curb. d) Planting within fifteen feet (15' of ingress/egress points shall be no higher than thirty- six inches (36"). e) Any transformers and mechanical or electrical equipment shall be indicated on landscape plan and screened as part of the landscaping plan. f) The landscape plan shall provide for ground cover, shrubs, and trees and meet all requirements of the Oty's adopted Landscape Guidelines. Special attention to the use of Xeriscape or drought resistant plantings with combination drip irrigation system to be used to prevent excessive watering. g) All landscape improvements shall be bonded 100% for material and labor for two years from installation sign-off by the Oty. Release of the landscaping bond shall be requested by the applicant at the end of the required two years with approval! acceptance by the Landscape Consultant and Community Development Director or Designee. ~. h) All landscaping and irrigation shall be installed within affected portion of any phase at the time a Certificate of Occupancy is requested for any building. All planting areas shall include plantings in the Xeriscape concept, drought tolerant grasses and plants. ~ Final landscape plan must be consistent with approved site plan. j) Final landscape plans to include planting and irrigation details. 22. Applicant shall comply with the requirements of the Elsinore Valley Municipal Water District. Proof shall be presented to the Chief Building Official prior to issuance of building permits and final approval. 23. Prior to issuance of building permits, applicant shall provide assurance that all required fees to the Lake Elsinore Unified School District have been paid. 24. Prior to issuance of building permits, applicant shall pay park-in-lieu fee in effect at time of building pernut ISsuance. ENGINEERING General: "..- U: \mharris \Holiday Inn Express \PCConditionsofApproval1.doc I-__~. 1\'0 "7. I AGENDA 11:1>'1 i~ .~- - PACE_l!i ,) OF _lP ~_ CONDITIONS OF APPROVAL Page 4of7 HOLIDAY INN EXPRESS HOTEL 25. All Public Works requirements shall be complied with as a condition of development as specified in '-'" the Lake Elsinore Municipal Code (LEMq prior to final map approval. 26. Commercial project 2005-06 shall be subject to all applicable conditions of approval for Parcel Map 30832 at the appropriate development phase. The Railroad Canyon Road fee is $40,336.00 as provided in Conditions of Approval for Parcel Map 30832. 27. Pay all Capital Improvement and Plan O1eck fees (LEMC 16.34, Resolution 85-26). 28. Submit a "Will Serve" letter to the Gty Engineering Division from the applicable water agency stating that water and sewer arrangements have been made for this project and specify the technical data for the water service at the location, such as water pressure and volume etc. Submit this letter prior to applying for a building permit. 29. Arrangements for relocation of utility company facilities (power poles, vaults, etc.) out of the roadway shall be the responsibility of the property owner or his agent. 30. Provide, in writing, approval of fire protection access and facilities as required by Riverside County Fire Department. 31. Pay all fees and meet requirements of encroachment permit issued by the Gty of Lake Elsinore Engineering Division for construction of public works improvements (LEMC 12.08 and Resolution 83-78). '-" 32. All compaction reports, grade certifications (with tie notes delineated on 8 1/2" xll Mylar) shall be submitted to the Engineering Division before final inspection of public works improvements will be scheduled and approved. 33. All utilities except electrical over 12 kv shall be placed underground, as approved by the serving utility. Grading: 34. Developer shall obtain all necessary off-site easements for off-site grading from the adjacent property owners prior to final map approval. 35. Apply and obtain a grading permit with appropriate security prior to any grading activity. 36. A grading plan stamped! signed by a California Registered Civil Engineer is required since the grading exceeds 50 cubic yards and the existing flow pattern is substantially modified as determined by the Gty Engineer. The grading plan shall show volumes of cut and fill, adequate counters and! or spot elevations of the existing ground as surveyed by a licensed surveyor or civil engineer. Contours shall extend to minimum of 15 feet beyond property lines to indicate existing drainage pattern. Apply and obtain a grading permit with appropriate security prior to grading permit ISsuance. U:\mharris \Holiday Inn Express \PCConditionsofApproval1.doc ....., ACENDA \TEM NO. 31 PACE 7L_OF~ @- CONDITIONS OF APPROVAL Page 5of7 "" HOLIDAY INN EXPRESS HOTEL 37. Provide soils, geology and seismic report, as part of this report address the requirement of the Alquist-Priolo Earthquake Fault Zoning Act. Provide final soils report showing compliance with recommendations. 38. In accordance with the Oty's Franchise Agreement for waste disposal & recycling, the applicant shall be required to contract with CR&R. Inc. for removal and disposal of all waste material, debris, vegetation and other rubbish generated during cleaning, demolition, clear and grubbing or all other phases of construction. 39. Applicant to provide erosion control measures as part of their grading plan. The applicant shall contribute to protection of storm water quality and meet the goals of the BMP in Supplement" A" in the Riverside County NPDES Drainage Area Management Plan. 40. All grading shall be done under the supervision of a geotechnical engineer and he shall certify all slopes steeper than 2 to 1 for stability and proper erosion control. Drainage: 41. All natural drainage traversing site shall be conveyed through the site, or shall be collected and conveyed by a method approved by the Gty Engineer. /'""' 42. Submit Hydrology and Hydraulic Reports per Riverside County Flood Control District for review and approval by Gty Engineer. Developer shall mitigate any flooding and! or erosion caused by development of site and diversion of drainage. 43. All drainage facilities in this project shall be constructed according to Riverside County Flood Control District Standards. 44. Storm drain inlet facilities shall be appropriately stenciled to prevent illegally dumping in the drain system, the wording and stencil shall be approved by the Gty Engineer. 45. A drainage acceptance letter will be necessary from the downstream property owners for out-letting the proposed storm water run-off on private property. 46. Applicant shall provide the city with proof of his having filed a Notice of Intent with the Regional Water Quality Control Board for the National Pollutant Discharge Elimination System (NPDES) program with a storm water pollution prevention plan prior to issuance of grading permits. The applicant shall provide a SWPPP for construction period and a project-specific WQMP for post construction including its maintenance implementation. The project-specific WQMP shall demonstrate that discharge flow rates, velocities, duration, and volume, for the post construction condition, from a -2-year and lo-year, 24-hour rainfall event will not cause significant adverse impacts on downstream erosion and receiving waters, or measures are implemented to mitigate significant adverse impacts to downstream public facilities and water bodies. /'"', 47. Developer shall use Site Design BMPs such as rni.nirnizi.ng impervious areas, max1IIl1Z1l1g permeability, rni.nirnizi.ng directly connected impervious areas, creating reduced or "zero discharge U: \mharris \Holiday Inn Express \PCConditionsofApproval1.doc AGENDA ITEM NO. 31 PACE S3.. OF_ fo~ CONDITIONS OF APPROV AI. Page 6of7 HOLIDAY INN EXPRESS HOTEL areas, and conserving natural areas, and allow runoff to sheet-flow through landscaped swales or ~ natural drainage channels. 48. Developer shall provide first flush BMP's using the best available technology that will reduce storm water pollutants from intemallocal and collector streets prior to entering into outside street drainage facilities (MS4).. 49. The project-specific WQMP shall provide measures to minimize the impact from the Pollutants of Concern and Hydrologic Conditions of Concern identified for the Project. Where Pollutants of Concern include pollutants that are listed as causing or contributing to impairments of Receiving Waters, BMPs must be selected so that the project does not cause or contribute to an exceedance of water quality objectives. The WQMP shall incorporate the applicable Source Control, and treatment Control BMPs as described in the Santa Ana River Region WQMP and provide information regarding design considerations, and the long-term operation and maintenance requirements for BMPs requiring long-term maintenance, as well as the mechanism for funding the long-term operation and rpaintenance of the BMPs requiring long-term maintenance. 50. Prior to issuance of any building or grading permits, the property owner shall record a "Covenant and Agreement" with the County-Oerk Recorder to inform future property owners of the requirement to implement the approved project-specific WQMP. The project applicant shall cause the approved final project-specific WQMP to be incorporated by reference or attached to the project's Storm Water Pollution Prevention Plan as the Post-Construction Management Plan. 51. Education guidelines for Water Quality Management Practices (WQMP) shall be provided to the tenants, operators and owners of the businesses of the development, regarding the environmental awareness on good housekeeping practices that contribute to protection of storm water quality and meet the goals of the WQMP in the Riverside County NPDES Drainage Area Management Plan. ....,. 52. Prior to building permit close-out or the issuance of a certificate of occupancy or certificate of use, the applicant shall: A- Demonstrate that all structural BMPs described in the project-specific WQMP have been constructed and installed in conformance with approved plans and specifications; B- Demonstrate that applicant is prepared to implement all non-structural BMPs described in the approved project-specific WQMP; and ~ Demonstrate that an adequate number of copies of the approved project-specific WQMP are available for the future owners/occupants. 53. Developer shall pay Master Planned Drainage fees of $3,330.00 per gross acre of the lots. FEES: 54. Pay all Capital Improvement and Plan Check fees (LEMC 16.34). Pay Parkland, Master Drainage, TIF and TIJMF and Kangaroo Rat Fee fees prior to issuance of building permit. U: \mharris \Holiday Inn Express \PCConditionsofApproval1.doc '-' AGENDA \1EM NO. <,1 PACE_5lf _OF'-y 8_ CONDITIONS OF APPROVAL Page 7of7 ~. HOLIDAY INN EXPRESS HOTEL The Parkland is $0.10 per square feet of enclosed space; Master Drainage Plan Fee for San Jacinto No.2 District is ($2,265.00 per acre x 1.47 acre) $3,330.00. The TIF amount is $3.84per square foot of building; 1UMF amount is $3.52 per square foot of building; Kangaroo Rat Fee is ($500.00 per acre x 1.47 acre) $735.00; RIVERSIDE COUNTY FIRE DEPARTMENT 55. The applicant shall comply with all Riverside County Fire Department conditions and standards (see attached conditions from Fire Department). r' r' U: \mharris \Holiday Inn Express \PCConditionsofApproval1.doc 3' 5 5'r:.~; ~ ~- [~;i::~C.S:=..",.,..."",,#_:_,~--~....,,,~; ~ ---- .----./ .~...............~. 10/27/05 05:22 Riverside County LMS CONDITIONS OF APPROVAL Library conditions 10. GENERAL CONDITIONS FIRE DEPARTMENT p..,~ ~~ \ CASE - CITY CASE STATEMENT 10.FIRE.999 With respeot to the conditions of approval for the referenced projeot, the Fire Department recommends the following fire protection measures be provided in accordance with Riverside County Ordinances and/or recognized fire protection standards: 10.FIRE.999 USE-#50-BLUE POT REFLECTOR Blue retroreflective pavement markers shall be mounted on private street, public streets and driveways to indicate location of fire hydrants. Priar to installation, placement of markers must be approved by the Riverside County Fire Department. lO.FIRE.999 USE*-#23-MIN REQ FIRE FLOW Minimum required fire flow shall be ~~GPM for a ~ hour duration at 20 PSI residual operating pressure, which must be available before any combustible material is placed on the job site. Fire flow is based on type '\T , Hl<.. construction per the 2001 CBC and Building(s) having a fire sprinkler system. 10.FIRE.999 USE-#19-0N/OFP. LOOPED HYD A combination of on-site and otf-site super fire hydrants, on a loopect system (61:x;4"x2 1/2"X2 1/2"), will be located not less than 25 feet or more than 165 feet from any portion of the building as meas~red along approved vehicular travel ways. The required fire flow shall be available from any adjaoent hydrants(s) in the system. 80. PRIOR TO BLDG PRMT ISSUANCE FlRE DEPARTMENT 80.FIREl.999 USE-#17A-BLDG PLAN CHECK $ Building Plan check deposit base fee of $1,056.00, shall be paid in a check or money order to the Riverside County Fire Page: 1 ...., DRAFT DRAFT DRAF1 ......, DRAFT DRAFT ....., ---. '?-"'~ -,10 "< I _ ^rC'\,lf\/I II.tAII.U.~. g ,..vs;. HJ"" . . {, r,r: '" _ PAGE2 -"'- 1'>' ...-" ',,--,' 10/27/05 0.5 :22 Riverside County LMS CONDITIONS OF APPROVAL Page: 2 ~ . Elry Conditions 80. PRIOR TO BLDG PRMT ISSUANCE 80.FIRE.999 .USE-#17A-BLDG PLAN CHECK $ (cant.) DRAFT Dep~rtment. after plans have be~n approved by our office. 80.FIRE.999 USE-#4-WATER PLANS DRAFT The applicant .or developer shall separately submit two copies of the water system plans to the Fire Department for review and app~oval. Calculated velocities shall not exceed 10 feet per second. Plausshall contorm to the fire hydrant types, location and spacing, and the system shall meet the fir~ flow requirements. Plans shall be signed and app~oved by a registered civil engineer and the local water company with the tollowing certification: "I certify that the design of the water system is in accordance with the requirements prescribed by the Riverside County Fire Department." 90. PRIOR TO BLDG FINAL !NSPECTION FIRE DEPARTMENT ,.-- 90.FIRE.999 USE~#45~FIRE ~~ES DRAFT The applicant ~hall prepare and submit to the Fire Department for approval, .a site plan designating required fire lanes with appropriate lane painting and/or signs. 90.FIRE.999 USE-#12-SPR!NKLER SYSTEM DRAFT . l '=', ~ ~\S e S ~r:;\(."'"') Install a complete fire sprinkler system per NFPA 13 1999 e.dition (13D and 131< system ,p:e not: allowed) in all buildings requiring a fire flow of 1500 GPM or greater. Sprinkler system(s) with pipe sizes in excess of 4" in diamter will require the project structural engineer to certify (wet signature) the stapility of the building system for seismic and gravity loads to support the sprinkler system. All fire sprinkler risers shall.be p~otected from any' physical damage. The post indicator valve and fire departm$nt connection shall b~ located to the front, within 50 feet of a hydrant, and a minimum of 25 feet from the building(s). A statement that the building(s) will be automatically fi~e sprinkled must be included on the title page of the bUilding plans. (current sprinkler plan check deposit base fee is $614.00 per riser) . )- ACENDA ITEM NO. )J PACE,,-.~ 5"', ~ OF ~ 8 . .... ..-. .......... "''''''' I. V'"'1 '~-/' ,--,,' 10/27/05 16:54 Riverside County LMS CONDITIONS OF APPROVAL Page; 3 Library Conditions I~ 90. PRIOR TO BLDG FINAL INSPECTION 90.FIRE.999 USE-#12-SPRINKLER SYSTEM (cont.) , DRAFT pplicant or developer shall be responsible to inst~ll a .L. Central Station Monitored Fire Alarm System. Monitoring system shall mQnitor the fire sprinkler system(s) water flow, P.I.V. 's and all control valves. Plans must be submitted to the Fire Department for approval prior to installation. Contact 'fire department for guideline handout (current monitoring plan check deposit base fee is $192.00) 90.FIRE.999 USE-#35-VOICE FIRE ALARM, ( \\ i~ ~~ St:' S:'1S.\.e. N""'\ ') DRAFT Applicant or develope~ ahall be responsible to install a manual and automatic pre-recorded VOICE Fire Alarm System. Plans must be submit.ted to the Fire Department for approval prior to installation. (current plan check deposit base fee is $627.00) 90.FIRE.999 USE-#37~LOW LEVEL EXIT SIGN DRAFT ., loor - Level exit signs,~.,"e,:kit mark~'rs: and exit path marking shall be installed per the California Building Code. ~ 90.FIRE.999 USE-:#2?-EXTINGUISHERS DRAFT Install portable fire extingu1shers with a minimum rating ~f 2A-10BC and signage.Fire Extinguishers located in public areas shall be in recessed cabinets mounted 48" (inches) to center above floor level with maximum 4" projection' from the wall. Contact Fire Department for proper placement of equipment prior to inst,a.llation. 90.FIRE.999 USE-#36-HOOD DUCTS DRAFT A U.L. 300 hood duct fire ext'inguishing system must::. be installed over the' cooking equipment'. Wet chemical extinguishing system must provide automatic shutdown of all electrical componets and outlets unQer the hood upon activation, System must be installed by a licensed C-16 contractor. Plans must pe submit::.ted with current . fee,to the'F~re pepartment for review and approv~l prior to 1nstallat1on. >>OTE: A dedicated ~larm system is not required to be installed for the exclusive purpose of monitoring this suppression system. However, a new or pre-existing alarm system must be connected to the AGENDA ITEM NO. 3/ l' ~ PAGE 28 _ OF fo g ___ ~ f ............-... '--.. 10/27/05 16:54 Riverside County LMS CONDITIONS OF AVPROVAL Page: 4 rA-.. try Conditions 90. PRIOR TO BLDG FINAL INSPECTION 90.FIRE.999 USE-#36-HOOD DUCTS (cont.) DRAFT extinguiahing system. (* separate fire alarm plans must be submitted for connection) (current plan check deposit base fee is $215.00) fr~ c: "-- \: 5 ~"-- '\'\ ~o~, r \ J '-"': \- " ~ \ '-I ( ( ., ~ \ 1:' "\ tD,-,,\, [)\'~CLf'~e. 7~/I.;:lC\-\\,\~ \::.~s~ ~\C:,",-~<:J~S J ~, ~ AGENDA ITEM NO.-1J.-- PAGE~5'"LoF_ & ~- ~ -1. ~~ 5m :~r ,~ en - -l m 1) r )> .ff z I ~\ '~o@~QfE ~ !Illlif! .. \ llJI<II. 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I i , I I I h'AhNDAfTEM NO.~ PAGE~ ( _OF~ ""~ "UI ;;00 mr r- -0 s:)> z-< )>- ;;02 -<2 m rX )>-0 Z;o Om roC/) OC/) )> "U m "U r )> Z ~ ~ o ~ Z -t V .~ "-' "~ ^ m m r en -- 2 o ;0 m ~ () )> ~~i~~ I ( li~ ( . Ul pc ~ ( a ( II ~ ~f ~~ U ~I ~s ~ ~ g b ~I 21 !! ~i ~ ~ ~ ~I ~IIPp ~I ~ ~ ~;i I i>> ~ !~ >' ~ ~ !ill ~ i~ ~" l"'Ul ~-Ir . i3i ~ . ~iR)> ,..5j 0 ?!illZ Ul ",.::D,. 0 ~ '<D' " (J) ~ i l:~ ~~ ll~ ii~ 13 ~ "~~ ~~ ~! ~~ I~ ~ ~ II~I.~ ~ I i Ii II" ~ hl. illlllm~ I m I"I.~ ffi il E~ (i) I! Z " ~liUIII~1111 ~ ~ Ii ~ i I; ~ 0 ~~I;I Rlf it ~ i I~ ~ ! E ~ ~! 13 ~R!l n l.:... ~~" I ~ ~l m II j! ~i 111 a;;p gif ~ llG> II ~. . rJm 11"0" tlWrrll; .1 :i~ !f1) I ~ ~ I ~ ~ f-~ ~ ( . ~ c '" m ~ ~ . ~ ~ m ~ ~ ~ ~ ~ m 3. !Ii ACENDA ITEM NO. 1 m f.,g o PAGE- .(,~-Of , , c ~ ~ !! g J~ .. D _ . -------.. -, . , ~ ~_5 ;ozc mZO ~ ?< r~. " h(1l~", g -fj~Gl;!; m h~ ~ ~ ~ . rJI!;l!~" ".0 t.. I ~ ". rt ~ . 1~1 ~ ~ N ~~. ,,--. ~Q. 'I. ~r ~m < m r "J1 r 0 ~--'-- 0 )). 1) r I~ ~ (J\ /"" - - ------B ---0 ----0 ---B -~ --8 ---0 ----0 ----@ ----0 ---:--~ ----@ ----@ ----@ ~.I :-,", I\) ~ AGENDA ITE~.n~o.---? ( "----- 0-0 PACE - /'.3 . OF -k f6....... -.nIA'L'IlI&=r.r=I....'la...,llI,I:IIIlUnr.uIl4\1lft'11111l1l&1101,.Ila.IllIIft_IoI'l'111i_'lrU'..UI'IlIII~....._'_.......r='IIU1rA::\ll'_ . ;n!: 1"1"0 I I ilJ!i ~ 0 ~~ I 1',"1';; . nIl d _ ~~ . 'ili~ (;I I I I I I I I I I I I I I I I I o ---~ ----@ -----@ /""'" I I I I I I I o I I , I I I I I I I I I I I , I , o . _1lnu._IlIU.ILI"llr.'::n.'llLa'7IIllII1lUmLlU_.....'U.'III&I\'lI.._.tII..-nl'lIIIIllII....'IUilMIlIMDJI___,I.'IlIAII'INoI'..'&ll\..u._ ~n !!"D' 1]!'~'mJ.D I~ III~ II ~Il; . ~n~ . ~ ~~ it 'r ~m < m r "11 r o o &--- :D " r I~ ft \ . ~ ~ {J (\ .. l- ----G - ----8 ----0 ---G ---8 ---8 ----G ----0 - ----{0 -----0 ---~ ----@ ----@ ----@ ------@ ----@ -----@ ENDA ITEM NO. i-PAGE {,V ~~ ......, .....,; 31 OF ~& , ...- - - .....,; "...-.. 0 ~ I' II .. i 0 I' I i 0 PI It I 0 N II h ~~ ~~ I I ~o p. 0 ~z ~JJ ~-t ~ It m I m x X -t i -t m 0 m JJ "...-.., JJ - II - 0 0 JJ C C JJ I m m r 0 r m m ~ II ::::: II I 0 II s i 0 II II II ~ ~~ ~ .7 r' AGENDA ITEM No.3 - .- PAGE it; '7- -Of~ L . ~[];-.!7:'!'D'-'-'~--"--'---Ql---rJ~U\iii: D lfj Ig I "1111,' ~;~J~. . VI ! 4) II ~ ~ !~ ~a. 11 ~r ~m < m r TI r o o (g}---- JI "tl r I~ t . I I I I I I I I I I I I I I I I o ~I . il i'~r-'1Q--~'----I.rIII'Il'I'~'I"""'lI_.IIIlIIlIIoY&.wu.nt\1 ~rfti If] ~~l 111111 ... ; . · l~! I~ ----@ ----@ ----@ NDA ITEM No.--3...L____ .'" ~AGE G:,Cp . OF~~ _ -..J D r-- 0 ~ ~\ <, ~ % ~ X q ~";; t ~. H II 'I '( '>";;'1' II U ~ ~ ~ . . j; i . . . 0 II I i 0 n n I VI -J>. 0 i~ ~~ II . h I .G> --n I h: L-l ~--l ~m 0 m x II x --l I --l m i m JJ - JJ 0 0 - JJ ~ 0 II JJ m C f m r J m r :( m 0 :( II It i 0 II t j ., 0 II II II ~ .../ -ACENDA ITEM NO. 3\ - - . PACE ftJ 9- _OF -(p ~- - .~lli{~:r'-'r-u--~'---1---'4-"lir~ D ....."" -\ '~ (Jl 0> ~g ~~ Hi) '10 ~~ ~Z 0 ~Gl 2 0 )) )> 0 r (J) m (J) s: (J) r 0 Q 2 Gl 0 ~ (J) Z m ~ 0 z I IIlI.Sf 'fa' "UU '1Ul fll'lll'IUIII n'luut 'U~ 5 5sni un II InUl' III! nilll!!tfiJIIUil mliUUt IIlliilll'ilU ~ M,'; 'if It i'lir!!1 !iJJf~!~1 =b llll Iq, I IJ i ~ II J II I .~ ~ .., I I 'I I I I ' i ... UJU , F !~,'!i ji I JI~ ~I Iii S i," 'I"' . .' '-3', . , . I J ~ " 0;.i~!.D''''''''''~--I' .:u..-a,-......"UIWVI....ftIIlIl!I'...'..'IIIUtNII&1 !11!I~rii 0' I~ l 1/ 1/1 ; Il!:I . . .. ~J.J~ , ;;~ 00)>1 ~I 0> 31 OF fa ~ . ------- .- AGENDA ITEM NO. ~PACE h 8 - .""" /"" CITY OF LAKE ELSINORE REPORT TO CITY COUNCIL TO: MAYOR AND CITY COUNCIL FROM: ROBERT A. BRADY, CITY MANAGER DATE: APRIL 25, 2006 SUBJECT: AUTHORIZATION TO PREPARE CEQA COMPLIANCE DOCUMENTS FOR SPECIFIC PLAN AMENDMENT, RESIDENTIAL DESIGN REVIEW NO. R-2005-27. TENTATIVE TRACT MAP 34346 AND CONDITIONAL USE PERMIT 2005-26 FOR MISSION TRAIL CONDOMINIUM COMPLEX (ARI LAKE ELSINORE LLC). /"" BACKGROUND The City of Lake Elsinore serves as the lead agency to evaluate the environmental impacts of development projects proposed within the City. The Community Development Department is responsible for the preparation of the necessary information and, depending on the scope and size of the project, will either prepare the environmental documents in-house or have a consultant prepare the documents and studies. The cost of preparing the environmental analysis is paid for by the project applicant through the application fee process. The project is known as Specific Plan Amendment, Residential Design Review No. R-2005-27, Tentative Tract Map 34346 and Conditional Use Permit 2005-26 for ARI Lake Elsinore LLC. DISCUSSION Due to the scope of this project, staff has requested that HDR Engineering Inc. prepare the CEQA documents (Initial Study and Supplemental Environmental Impact Report) for the project known as SPA, R-2005-27, /"" ACENDA ITEM NO. 3:J.. PACE I OF I g ~ REPORT TO CITY COUNCIL April 25, 2006 Page 2 of2 TTM 34346 and CUP 2005-26. The proposed cost of preparing the environmental documents is estimated at $91,679.00. ....." FISCAL IMPACT The cost of preparing the environmental review will be paid by the applicant's fees through the City's cost recovery program. All staff administrative time and consultant costs are paid from the applicant's fees. There is no cost to the City. RECOMMENDATION Staff recommends that the City Council authorize the City Manager to approve an agreement with HDR Engineering Inc. to prepare the CEQA compliance documents for Specific Plan Amendment, Residential Design Review No. R- 2005-27, Tentative Parcel Map 34346 and CUP 2005-26 in the amount of$91,679.00. PREPARED BY: ~ APPROVED BY: ATTACHMENTS 1. Vicinity Map 2. Copy ofHDR Engineering Inc. Scope of Work Agreement 3. Copy of ARI Lake Elsinore LLC Authorization to Proceed Letter ....." ACENDA ITEM NO. 3J PAGE:J- OF J~ ~ ,..-.... LAKE ELSINORE I - 15 FREEWAY -1? ~ ,po ~o SEDCO HILLS I - 15 F'fEI::WA Y /"'"' VICINITY MAP PROJECT VICINITY MAP NOT TO SCALE ~;,......,.~"".""'. -""""""""" -'--"--'l"~~"~~,:;<_-c ., ,--.. ~ NO SCALE 40ENDA ITE~O. ;r~ PAGE.:.J OF - April 12, 2006 Mr. Matt Harris, Senior Planner City of Lake Elsinore Community Development Department/Planning Division 130 South Main Street Lake Elsinore, CA 92530 RE: Proposal for Preparation of California Environmental Quality Act (CEQA) Compliance Documentation Services - Initial Study and Supplemental EIR East Lake Specific Plan Amendment for Mission Trails Condominiums - City of Lake Elsinore Dear Matt: HDR appreciates the opportunity to prepare this proposal for the preparation of California Environmental Quality Act (CEQA) documentation services for the City of Lake Elsinore, Community Development Department, Planning Division. HDR is familiar with City of Lake Elsinore CEQA procedures and requirements, and has prepared numerous residential project CEQA documents, including projects within the East Lake Specific Plan area. Ms. Sophia Habl Mitchell would be the HDR project manager for the Mission Trails Condominium CEQA effort. This project would require a Specific Plan Amendment with the CEQA documentation anticipated to be an Initial Study and Supplemental EIR (SEIR). Sophia has been involved with complex environmental documentation efforts for multiple projects in the City of Lake Elsinore and throughout southern California. ......., Pursuant to your request, the attached scope of work and cost proposal outlines the CEQA documentation requirements for the preparation of an Initial Study and SEIR for the Missions Trails Condominium project in the East Lake Specific Plan area. Please review the attached scope of work/fee proposal and contact the undersigned should you have any questions or require further information or clarification. HDR is prepared to begin work immediately on the CEQA documentation effort upon receipt of notice to proceed from the City of Lake Elsinore. Please contact Sophia Habl Mitchell at 858.712.8328 if you have any questions or comments. Sincerely, &v~~~ /d!i-t2z Betty Dehoney E&RM Progrom anag" Sophia Habl Mitchell Environmental Project Manager Attachments: Scope of Work I Cost Proposal Standard Hourly Rates Terms and Conditions HDR Engineering,lne. 8690 Balboa Avenue Suite 200 San Diego, CA 92123 858-712-8400 858.712-8333 (fax) .....", AGENDA ITEM NO. PAGE 4 3J- OF / '6 - ,,- Scope of Work April 12, 2006 Supplemental Environmental Impact Report - East Lake Specific Plan Amendment For Mission Trails Condominium Project ARI Lake Elsinore LLC City of Lake Elsinore, California ,...-... This scope of work for preparation and processing of an Initial Study and Supplemental Environmental Impact Report (SEIR) has been developed based upon information provided by the City of Lake Elsinore, Community Development Department, Planning Division, State California Environmental Quality Act (CEQA) Statute (Public Resource Code Sections 21000- 21177), the CEQA Guidelines (Sections 15000-15387) and City of Lake Elsinore, California Enviromriental Quality Act (CEQA) implementing procedures and requirements AND upon information still to be provided by ARI Lake Elsinore LLC (Applicant). The purpose of an Initial Study (IS) is to provide the City, as the Lead Agency, with information to use as the basis for deciding whether to prepare an MND or Environmental Impact Report (EIR). Although project proponents may not anticipate unavoidable adverse impacts to result from the proposed project, a determination on the appropriate type of CEQA document will be made by the Lead Agency upon completion of the IS. Based upon HDR's past experience on other projects within the East Lake Specific Plan area, and for the purposes of this scope of work, this proposal and cost estimate assumes that an SEIR will be the document necessary for the Lead Agency to approve the proposed project per CEQA. Project Understanding It is our understanding that ARI Lake Elsinore LLC has submitted a request to the City of Lake Elsinore Planning Division for approval of 222 residential units consisting of townhomes and condominiums on a 19.5 acre site, located off Mission Trail in the East Lake Specific Plan area. The Applicant is requesting a Specific Plan Amendment, Tentative Tract Map, Residential Design Review, and a Conditional Use Permit. An Initial Study and an SEIR will be prepared in accordance with CEQA and the CEQA Guidelines, and will include impact analysis on environmental factors where appropriate. HDR also understands that time is of the essence and that the Applicant has an aggressive CEQA document preparation and processing schedule. For cost estimate purposes, it is assumed that the following technical studies and related information will be prepared and provided on behalf of the Applicant, and provided to HDR for use in preparing the Initial Study and SEIR (must be available in both hardcopy and electronic formats): ,...-... . Project Description (must include all project features, site access, lighting plan, cut/fill amounts, signage, retaining walls, etc.) . All Discretionary ActionlEntitlement Documentation · Site Plan and Related Design Information ID:l April 12, 2006 ACENDA ITEM NO. PACE 5 o;j~ · Landscape Conceptual Plan · Utility Plan · "Will-serve letters" for water, wastewater, fire, police, and schools · Architectural Elevations and Artist Renderings · Geotechnical Report · Grading Plan · Hydrology StudylDrainage Concept Plan · Water Quality Management Plan (must include all structural and non-structural BMPs, BATs, and BCTs) · Traffic Impacts Analysis · Air Quality Analysis · All Biological Studies (including permits needed, all mitigation, and a full discussion of the MSHCP and MSHCP consistency determination) · Phase 1 Environmental Site Assessment · Site Photographs (needed for project descriptions and for visual impacts/viewshed analysis; should include a photo index showing "to/from" direction of each photo) · Fiscal Analysis, if applicable. '-' In order to meet the accelerated schedule, HDR would need all of the above information (as applicable) in a timely manner. If these studies are not available at the time of contract authorization for the SEIR, there could be a delay in completion of the SEIR. Task 1 - Project Initiation and Coordination All project initiation and coordination activities will occur under this task. HDR will coordinate with the Applicant to gather the necessary data to most efficiently prepare the SEIR. The initial coordination will include the following components: · Coordination with the Applicant to gather all necessary data and information; · Development of an appropriate ''table of contents" and format for the document; · Discussion with regulatory agencies, as appropriate, to identify the SEIR approach to resource protection in this area; and, · Identification of additional data needsl. ,..., Task 2 - Initial Study and Notice of Preparation HDR will prepare an Initial Study pursuant to Section 15060-15065 of the CEQA Guidelines to assist in determining the appropriate type of CEQA document required for proposed project. If the City can determine that an SEIR will clearly be required for the proposed project, the Initial Study is not required but may still be desirable. The Initial Study will include the following components: · Project Description including all phases of project planning, implementation, and operation; · An identification of the Environmental Setting; · An examination of whether the proposed project would be consistent with existing zoning, plans, and other applicable land use controls, including consistency with the 1 Although not anticipated, HDR is aware that changed site conditions or regulations occasionally result in the need to amend the contract scope and costs. HDR would coordinate any additional needs with both the City and Applicant for approval. ID~ '-' 2 April 12, 2006 .AGENDA ITEM NO. 'It PACE h OF 'j ,r-, Western Riverside Multi Species Habitat Conservation Plan (MSHCP) per information provided by the Applicant; . Determination of level of impacts to onsite environmental resources; . A discussion of the ways to mitigate the significant effects identified, if any, to a level of less-than-significant; . CEQA mandatory findings; and, . The name of the person or persons who prepared or participated in the Initial Study. HDR will prepare/distribute the Notice Preparation (NOP) for a Draft SEIR for submittal to the State Clearinghouse/Office of Planning and Research. In addition, the NOP will contain a discussion of the project description, CEQA requirements, and a detailed project chronology. HDR will submit up to six (6) copies of the Initial Study for City and Applicant review. This scope of work assumes that HDR will prepare and distribute the NOP, including the Initial Study (up to 50 copies), if needed. The NOP will be circulated for a 30-day public/agency review to solicit comments regarding the scope of the Draft SEIR. All NOP response issues received during the public review period will be evaluated in the Draft SEIR ",--. Task 3 - Supplemental Environmental Impact Report Sub-Task 3A: Draft Supplemental Environmental Impact Report The Draft SEIR will be prepared in accordance with Section 15162 of the CEQA Guidelines. HDR will prepare a Screencheck Draft SEIR for review by the City of Lake Elsinore Planning Division. The Draft SEIR will be prepared in accordance with the provisions of the amended CEQA Guidelines and will include all CEQA and City required sections based on the previously circulated NOP. Each environmental factor will be evaluated for existing conditions, project impacts, level of significance of project impacts, cumulative impacts, level of significance of cumulative impacts, mitigation measures, and level of significance with mitigation measures incorporated. The following provides a brief discussion of the work to be undertaken for each of the key areas in the Draft SEIR: Section 1.0 - Introduction and Summary: The introduction will be based on the information included in previous documentation and include information regarding the purpose of an SEIR and procedural information. This section is also intended to provide a quick understanding of the proposed project's predicted impacts and mitigation measures. It will identify, in an overview fashion, the proposed project under consideration and its objectives including any design features that will be implemented. This section will briefly discuss the environmental impacts associated with project implementation (whether beneficial or adverse, significant as well as less than significant), and will contain discussions of impact areas determined to be less than signifincant (from the Initial Study, if appropriate) and therefore not elaborated on in the Impacts Analysis (Section 4.0). Section 2.0 - Proiect Description: The project description will be based on information provided by the applicant and City, and will include the project location and setting, site characteristics, project objectives, and the characteristics of the proposed project, including technical studies done describing impact areas determined to be less than significant. This section will also include the requested permits and approvals. Transmittal of all entitlement documentation to HDR in a timely manner is crucial to meeting established environmental document preparation and processing schedules. "..-., ID~ 3 April 12, 2006 AGENDA ITEM NO. 32 PAGE I OF I err Section 3.0 - General Environmental Setting: This section will provide an overview of the environmental and jurisdictional setting for the proposed project. An analysis of the major environmental characteristics and surrounding land uses will be presented, along with a discussion of the past, present, and reasonably foreseeable future projects and activities in the surrounding areas that will serve as the basis for the cumulative impact analysis. Section 4.0 - Environmental Impact Analysis: For each potentially significant issue identified in the NOPlInitial Study, this section of the SEIR will include an updated discussion of the environmental setting, significance thresholds, project impacts, mitigation measures, cumulative impacts, and the level of significance after mitigation. The assessment of impacts will be consistent with CEQA requirements and will utilize defined threshold of significance to determine the impacts of the proposed project. It is assumed that each of the environmental issue areas will be discussed based upon information from a technical study provided by the Applicant. If any of the technical analysis is missing critical components, it is assumed that the Applicant's engineer will address these issues, or HDR will complete this work under a separate authorization. The following is an overview of the approach to the key environmental issues: ......, Aesthetics and Visual Resources - Existing onsite and surrounding area viewsheds will be photographed by the Applicant, and described in this section. Any significantly altered viewsheds will be described and mitigation measures developed to reduce any impacts to less than significant. Should visual simulations be warranted, these would be prepared under a separate authorization. It should also be noted that to reduce aesthetic impacts, all projects must adhere to the City of Lake Elsinore architectural and design standards. Early coordination by the Applicant with the City Planning staff may avoid the need for design changes. Air Quality - HDR incorporate the findings of the air quality impacts technical report. It is assumed that this report will utilize a technical air quality evaluation pursuant to SCAQMD CEQA guideline requirements. The existing air basin will be described and county, state and federal mandated significance thresholds will be documented. Project-related emissions (construction, operational and special event) will be documented for each proposed land use and a CO hot spot analysis will be run. Mitigation measures will be proposed in response to conclusions of significant project impacts. Biological Resources / Jurisdictional Waters - HDR will incorporate the biological survey results into the Draft SEIR. Sensitive species database assessments will be initiated prior to any site fieldwork. The SEIR will include a discussion of existing onsite biological resources, including threatened and endangered species, sensitive habitat, and state and federal regulatory agency resources. The potential impacts to biological resources as a result of the proposed project will be documented. Potential impacts will also be discussed in the context of the Western Riverside County Multiple Species Habitat Conservation Plan, as provided in the biological technical report. Mitigation measures will be proposed in response to conclusions of significant project impacts. It is important to mention that any project in the back basin area must avoid the 770 acres conserved as part of the prior agreement between the City and the resource agencies. Cultural Resources - HDR will incorporate the results of the cultural resource technical study prepared under Task 5 of this scope of work. The SEIR will include the summary of the cultural resource records search and investigations and findings. Project-related impacts to cultural resources will be evaluated .and mitigation measures discussed. This task does not assume tribal coordination pursuant to SB 18. ......, liI~ ....., 4 April 12, 2006 AGENDA ITE~O. PACE () 3::2-- OF I 'i) ~ Geology and Soils / Hazards / Mineral Resources - Onsite soils and geotechnical conditions will be evaluated and any related hazards will be documented, as provided in a geotechnical report provided for the proposed project by others. Features to be documented include unstable soils/slopes, historical landslides, earthquake faults and seismic safety zones, and onsite soil types. Any subsurface work as part of this analysis will be included in the discussion. Soils and geologic features will be graphically depicted. Project-related impacts to geotechnical resources will be evaluated and mitigation measures included, if required. Hazardous Materials - Analysis will include review of historical aerial photographs, county records and a site analysis, all which should be part of a Phase t ESA prepared by others for the proposed project. Mitigation measures will be included for any identified contaminated areas. Hydrology/Water Quality - Onsite hydrologic conditions will be summarized and will be based on the hydrology report prepared by the Applicant's civil engineer. The HydrologylHydraulic Report must identify the following features: evaluation of tOO year flood plains, dam inundation areas, existing Qxx runoff volumes, post development hydrology conditions, and any required mitigation measures. All projects within the back basin area must be elevated to avoid all potential hazards related to flooding. Depending on the extent of information, this section may be split into separate sections for Hydrology and Water Quality. Water quality information will include Best Management Practices, Best Available Technology, and Best Conventional Technology. ~. Land Use - Existing onsite and surrounding land uses, as well as General Plan and zoning designations, will be documented. Potential inconsistencies with existing general plan and zoning designations will be documented and any necessary mitigation measures will be formulated. Compatibility with adjacent land uses will also be evaluated. Noise - The noise analysis, prepared by the Applicant, shall address the acoustical environment on and surrounding the proposed project site and county, state and federal mandated significance thresholds will be documented. Project-related noise generation will be documented and graphically depicted. Mitigation measures will be included to mitigate any significant adverse impacts to less than significant levels. Paleontological Resources - The SEIR will include the summary of the paleontological resource records search and investigations and findings. This SEIR will rely upon previous studies in the area to the extent practicable. Project-related impacts to paleontological resources will be evaluated and mitigation measures developed, if required. Public Services and Utilities - Existing public services and facilities which would serve the project will be documented, including water, wastewater treatment, solid waste, recycling, electricity, natural gas, education, police protection, fire protection, recreation, and library services. Based on previous experience on projects within the back basin area, the City may determine that construction of an additional school and/or fire substation is necessary to approve the proposed project. Project-related impacts to each public service and utility will be documented, and appropriate mitigation measures will be included to reduce impact to less than significant levels. ,.- Transportation/Traffic - HDR will incorporate findings from a traffic report that will document existing traffic and circulation conditions in the vicinity of the proposed project and project-related traffic/circulation impacts. The traflic report will be prepared to address City concerns regarding substandard traffic and circulation conditions, and lD~ 5 April 12, 2006 AGENDA ITEM NO. PACE cr 3.?- OF I 'if must be approved by the City Traffic Engineer prior to incorporation into the Draft SEIR. The traffic report must be consistent with other studies prepared in the back basin area, and must be consistent with the General Plan Update. Project impacts and mitigation measures will be proposed in response to reduce traffic impacts to less than significant levels. Section 5.0 - Project Alternatives: Alternatives will be established in discussions among HDR, the City, and the Applicant. For the purposes of this proposal, a total of two alternatives in addition to the mandatory no project alternative will be considered in this section of the SEIR. It is assumed that that the alternatives will include redesign or reduction of density to address potentially significant issues. For each alternative, a description of the alternative, consideration of the alternative's feasibility in relation to the proposed project's basic objectives, and a comparative qualitative analysis of the environmental impacts attributable to the alternative versus those associated with the proposed project for each of the environmental categories discussed above will be provided. Consideration of any further alternatives which may be required will require modifications to the project budget. Section 6.0 - Growth-Inducin~ Impacts: HDR will prepare the CEQA-required analysis section, if needed, depending upon changes in density and land uses. Section 7.0 - Inventory of Unavoidable Adverse Impacts: HDR will prepare the CEQA-required analysis section. Section 8.0 - Mitigation Monitoring Program: HDR will prepare the CEQA-required analysis section containing a compilation of mitigation measures presented in the SEIR. Section 9.0 - Persons and Organizations Consulted/References: HDR will prepare this section of the SEIR to document all persons and sources that contributed to the environmental analysis. ....., Screencheck Draft SEIR HDR will submit up to six (6) copies of the Screencheck Draft SEIR for City and Applicant reVIew. ....." Following City and Applicant review of the Screencheck Draft SEIR, HDR will prepare the Draft SEIR that incorporates final changes as approved by the City. HDR assumes that changes will be minimal due to early consultation with the City, and previous approval of technical reports by City personnel. HDR assumes that 50 copies of the Draft SEIR and technical appendices will be provided for distribution. HDR will prepare the Notice of Completion to be distributed along with public circulation of the Draft SEIR and will assist in transmitting the required copies to the State Clearinghouse. Sub- Task 3B: Preparation of Response to Comments/Final SEIR Near the conclusion of the public review period, HDR will work with the City of to obtain all comments received on the Draft SEIR. After consultation with City and the Applicant, HDR will prepare the Administrative Final SEIR. An Administrative Final SEIR containing proposed responses to comments and revisions to the Draft SEIR identified from review comments will be prepared once all comments are received. It is difficult to predict public reaction to the Draft SEIR. For the purposes of this proposal, it is assumed that public reaction to the document will be typical and will include a maximum of six (6) comment letters. In the event that the public comments on the Draft SEIR are greater than expected, HDR would meet with the City to develop adjustments to the work program as necessary. In addition, this scope does not include revisions to the Draft SEIR text. Revisions to text will be addressed in a "Corrections and ....." lD:t 6 April 12, 2006 AGENDA ITEM NO. PAGE )0 . 32:; OF Z /""'- Additions" section of the Final SEIR. Up to six (6) copies of the Administrative Final SEIR will be submitted to the City and Applicant for review. Upon incorporation of comments on the Administrative Final SEIR. HDR will prepare the Final SEIR, Mitigation Monitoring Reporting Program (MMRP), and CEQA Findings for submittal to the City. These documents (Final SEIR, MMRP, and CEQA Findings) will be presented at the City Planning Commission and the City Council meetings. HDR will submit 20 copies each of these final documents to the City. Sub-Task 3C: Mitigation Monitoring Reporting Program As stated above, HDR will prepare a MMRP for submittal with the Final SEIR. The MMRP will contain a compilation of mitigation measures presented in the SEIR. These mitigation measures and the established MMRP will be fully consistent with City policies and programs and will meet the requirements of Section 21081.6(a) of the Public Resources Code. If requested, the MMRP will be included in the Final SEIR as a technical appendix. Sub- Task 3D: CEQA Findings As stated above, HDR will prepare requisite CEQA findings and if required, a Statement of Overriding Consideration, for presentation at the Planning Commission and City Council meetings. Task 4 - Attendance at Meetings, Public Meetings, and Hearings "..-- This scope of work includes an allowance for a total of up to 16 hours (Project Manager) of meetings related to the proposed project. This includes the following: one Planning Commission public hearing, and one City Council public hearing. HDR will attend any additional required meetings beyond this allowance, if requested, and will invoice in accordance with the fee schedules in effect at that time, following receipt of written authorization to proceed. Task 5 - Cultural Resources Technical Study Under this task, a cultural resources reconnaissance survey will be prepared for the project area by HDR's subconsultant, Harris Archaeological. The study would include a literature and records search at the Eastern Information Center located University of California, Riverside, and cultural resources survey of the Project area where access is available. Site specific historic research will also be conducted if required. The report will meet CEQA standards assessing the sensitivity of the areas for cultural resources, and will offer further recommendations. The cost includes recordation of one newly identified archaeological sites or update of previously recorded site. If a Phase II study is necessary, this would occur under a separate contract at the City/Applicant's cost. The scope and cost for this task does not assume Native American notification or coordination pursuant to SB 18. "..-- l-D~ 7 April 12, 2006 ACENDA ITEM NO. PAGE II 3~ OF v: Schedule HDR understands that time is of the essence and the CEQA environmental documents will be prepared in an efficient manner. The following schedule depicts the SEIR preparation and review process schedule and includes the major project CEQA milestones: ......, TASK 1: Project Initiation and Coordination 2: Initial Study and Notice of Preparation Prepare Initial Study City / Applicant Review Finalize/Distribute Initial Study/NOP Initial Study Review Period 3: SEIR Preparation 3A: Draft SEIR Prepare Screencheck Draft SEIR City / Applicant Review Prepare Draft SEIR for distribution (includes distribution to the State Clearinghouse and other public entities) Draft SEIR Public Review Period 3B: Final SEIRlPreparation of Response to Comments Prepare Administrative Final SEIR City / Applicant Review Prepare Final SEIR 3C: Mitigation Monitoring and Reporting Plan 3D: CEQA Findings and Statement of Overriding Considerations Submit Final SEIR to City for Certification 4: Attendance at Meetings, Public Meetings and Hearings 5: Cultural Resources Study Estimated Project Duration DURATION 2 Weeks 8 weeks 2 weeks 1 week a 1 week 4 weeks 12 weeks 4 weeks 1 week a 1 week 6 weeks 4 weeks 2 weeks 1 week a 1 week 1 week 1 week 1 week ......, Ongoing 2 weeks b 28 weeks C a This review period is just an estimate, dependent on City of Lake Elsinore schedule. In addition, the City may request a second review prior to release of documents for public review. b Preparation of the cultural resources report will occur concurrent with Tasks 1 and 2. C This estimated schedule can be reduced if all technical studies and supporting information are adequate per CEQA and provided in a timely manner. lD~ 8 ......, April 12. 2006 ACENDA ITEM NO. 3 'J.. PACE } d- OF J% Cost Estimate /"". The following cost estimate has been prepared to outline costs to complete the above outlined scope of work tasks. Reimbursable expenses, including travel and technology charges, etc. will be invoiced in accordance with HDR standard rate schedule. Document reproduction is an estimate only and a detailed estimate will be obtained prior to document production. Costs are based upon the HDR standard hourly rate sheet (Attachment A). TASK 1: Project Initiation and Coordination COST Task 1 Subtotal $ 10,258 2: Initial Study and Notice of Preparation Task 2 Subtotal $ 12,781 3: SEIR Preparation 3A: Draft SEIR 3B: Final SEIRIResponse to Comments and Errata 3C: Mitigation Monitoring and Reporting Program 3D: CEQA Findings $ 33,055 $ 10,352 $ 2,844 $ 4,662 Task 3 Subtotal $ 50,913 /"" 4: Attendance at Meetings, Public Meetings, and Hearings Task 4 Subtotal $ 2,167 5: Cultural Resources Technical Study Task 5 Subtotal $ 2,000 Document Reproduction/Reimbursables Initial Study City Review and Public Review Copies (6 + 50) Screencheck Draft SEIR (6) Draft SEIR (50) Administrative Final SEIR Documents (6 eac) Final Documents - Responses, Errata, MMRP, Findings (20) Reprint of Draft SEIRfor Planning Commission and City Council Meetings (20) Postage/Mailing Mileage $ 2,400 $ 300 $ 4,000 $ 300 $ 3,560 $ 1,000 $ 1,600 $ 400 RJR Subtotal $ 13,560 TOTAL - Tasks 1, 2, 3, 4 and Reproduction/Reimbursables $ 91,679 r--- * Document printing costs can be eliminated if the Applicant prefers to use a direct bill reproduction account. liI~ 9 April 12, 2006 ACENDA ITEM NO. PACE (3 31- OF I K Should the need arise for additional professional services beyond those set forth in the scope of services due to revisions to the project, the regulatory environment, requirements exceeding our specified budget allowances, HDR will only undertake such additional services upon receipt of authorization by The City of Lake Elsinore. ~ Authorization By signing below, the parties are accepting the Terms and Conditions (Attachment B), and are authorizing HDR to proceed with the proposed scope of work. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the 12th day of April 2006. "AGENCY" - City of Lake Elsinore BY: NAME: TITLE: 130 South Main Street Lake Elsinore, CA 92530 ~ ADDRESS: HDR ENGINEERING, INC. "ENGINEERIP':r:~R" BY: ~7 NAME: Betty Dehoney TITLE: E&RM Program Manager ADDRESS: 8690 Balboa Avenue Suite 200 San Diego, CA 92123 H)~ ~ to April 12, 2006 3 /) AGENDA ITEM NO. d"-- PACE~OF l<( ~.Hl, ONE COMPANY Many Solutions'II Attachement A - 2006 Schedule of Charges for Professional Services LABOR Engineers Senior Company Officer Senior Principal Engineer Senior Engineer Section Manager Senior Project Manager Senior Engineer Project Manager Task Manager Project Engineer Associate Engineer Staff Engineer Junior Engineer Engineering Intern Architects Arch. Senior Project Manager Arch. Project Manager Specification Writer Project Architect/Senior Designer Project Designer Assistant Project Designer Architectural Intern $226 $210 $190 $185 $165 $135 $127 $115 $100 $82 $71 $50 $150 $130 $110 $110 $170 $80 $50 ~ .scientists and Environmental Planners Environmental Director $216 Regional Director $200 Environ. Senior Project Manager $170 Environ. Project Manager $140 Senior Scientist/Planner $125 Project Scientist/Planner $110 Associate Scientist/Planner $105 Staff Scientist/Planner/Field Monitor $95 Junior Scientist/Planner/Field Monitor $80 Environ. Intern $55 Technicians Senior Technician $115 Project Technician $105 Staff Technician $85 GIS GIS Manager GIS Operator GIS Staff Operator Administrative Personnel Contracts Manager Project Coordinator Word Processor Clerk ~ $115 $110 $105 $109 $85 $75 $45 OTHER DIRECT COSTS In-House Exoenses . Vehicle Mileage (Per Mile) . Photocopies (per copy) . Plotting (per square foot) Mylars Vellums Color Bluelines $0.485 $0.10 $3.00 $1.00 $2.00 $1.00 Outside Exoenses (reimbursed at 15% markuo) . Contract Services - Subconsultants, typing services, printing, etc. . Miscellaneous Supplies - Equipment rental, project-specific supplies, etc. . Task Order related travel expenses - lodging, airfare, meals, car rentals, etc. . Mailing - postage, courier, overnight delivery, etc. . Communication - long distance telephone, fax, etc. AGENDA ITEM NO. ~ PAGE (5 OF pt HDR ENGINEERING, INC. Attachment B - General Terms and Conditions 1. STANDARD OF PERFORMANCE The standard of care for all professional engineering, consulting and related services performed or fumished by CONSULTANT and its employees under this Agreement will be the care and skill ordinarily used by members of CONSULTANT's profession practicing under the same or similar circumstances at the same time and in the same locality . CONSULTANT makes no warranties, express or implied, under this Agreement or otherwise, in connection with CONSULTANT's services. 2. INSURANCE CONSULTANT agrees to procure and maintain, at its expense, Workers' Compensation insurance as required by staMe; Employer's Liability of $250,000; Automobile Liability insurance of $1,000,000 combined single limit for bodily injury and property damage covering all vehicles, including hired vehicles, owned and non-owned vehicles; Commercial General Liability insurance of $1,000,000 combined single limit for personal injury and property damage; and Professional Liability insurance of $1,000,000 per claim for protection against claims arising out of the performance of services under this Agreement caused by negligent acts, errors, or omissions for which CONSULTANT is legally liable. Upon request, OWNER shall be made an additional insured on Commercial General and Automobile Liability insurance policies and certificates of insurance will be furnished to the OWNER. CONSULTANT agrees to indemnify OWNER for the claims covered by CONSULTANT's insurance. 3. This section not used. 4. This section not used. 5. CONTROLLING LAW This Agreement is to be governed by the law of the state where CONSULTANT's services are performed. 6. OWNER-PROVIDED SERVICES AND INFORMATION OWNER will provide all criteria and information pertaining to the project in OWNER's possession, and any requirements or budgetary limitations. The OWNER agrees to bear full responsibility for the technical accuracy and content of OWNER- furnished documents, information and services. In performing professional services hereunder, it is understood by OWNER that CONSULTANT is not engaged in rendering any type of legal, insurance or accounting services, opinions or advice. Further, it is the OWNER's sole responsibility to obtain the advice of an attorney, insurance counselor or accountant to protect the OWNER's legal and financial interests. 7. SUCCESSORS AND ASSIGNS OWNER and CONSULTANT, respectively, bind themselves, their partners, successors, assigns, and legal representatives to the covenants of this Agreement. Neither OWNER nor CONSULTANT will assign, sublet, or transfer any interest in this Agreement without the written consent of the other. 8. RE-USE OF DOCUMENTS None of the documents, including all reports, drawings, specifications, computer software or other items prepared or furnished by CONSULTANT pursuant to this Agreement, are intended or represented to be suitable for reuse by OWNER or others on extensions of the project or on any other project. Any ......, reuse without written verification or adaptation by CONSULTANT for the specific purpose intended will be at OWNER's sole risk and without liability or legal exposure to CONSULTANT, and OWNER will defend. indemnify and hold harmless CONSULTANT from all claims, damages, losses and expenses, including attorney's fees, arising or resulting therefrom. Any such verification or adaptation will entitle CONSULTANT to further compensation at rates to be agreed upon by OWNER and CONSULTANT. 9. TERMINATION OF AGREEMENT OWNER or CONSULTANT may terminate the Agreement, in whole or in part, by giving seven (7) days written notice, if the other party substantially fails to fulfill its obligations under the Agreement through no fault of the terminating party. Where the method of payment is "lump sum," or cost reimbursement, the final invoice will include all services and expenses associated with the project up to the effective date of termination. An equitable adjustment shall also be made to provide for termination settlement costs CONSULTANT incurs as a result of commitments that had become firm before termination, and for a reasonable profit for services performed. 10. SEVERABILITY If any provision of this agreement is held invalid or unenforceable, the remaining provisions shall be valid and binding upon the parties. One or more waivers by either-party of any provision, term or condition shall not be construed by the other party as a waiver of any subsequent breach of the same provision, term or condition. ......, 11. INVOICES CONSULTANT will submit monthly invoices for services rendered and OWNER will make prompt payments in response to CONSULTANT's invoices. CONSULTANT will retain receipts for reimbursable expenses in general accordance with Internal Revenue Service rules pertaining to the support of expenditures for income tax purposes. Receipts will be available for inspection by OWNER's auditors upon request. If OWNER disputes any items in CONSULTANT's invoice for any reason, including the lack of supporting documentation, OWNER may temporarily delete the disputed item and pay the remaining amount of the invoice. OWNER will promptly notify CONSULTANT of the dispute and request clarification and/or correction. After any dispute has been settled, CONSULTANT will include the disputed item on a subsequent, regularly scheduled invoice, or on a special invoice for the disputed item only. OWNER recognizes that late payment of invoices results in extra expenses for CONSULTANT. CONSULTANT retains the right to assess OWNER interest at the rate of one percent (1%) per month, but not to exceed the maximum rate allowed by law, on invoices which are not paid within forty-five (45) days from the date of the invoice. In the event undisputed portions of CONSULTANT's invoices are not paid when due, CONSULTANT also reserves the right, after seven (7) days prior written notice, to suspend the performance of its services under this Agreement until all past due amounts have been paid in full. 12. CHANGES ......., (9/2004) 'J/) AGENDA lTEi ~O. ~ PAGE i? OF I~ ~ /""'. The parties agree that no change or modification to this Agreement, or any attachments hereto, shall have any force or effect unless the change is reduced to writing, dated, and made part of this Agreement. The execution of the change shall be authorized and signed in the same manner as this Agreement. Adjustments in the period of services and in compensation shall be in accordance with applicable paragraphs and sections of this Agreement. Any proposed fees by CONSULTANT are estimates to perfonn the services required to complete the project as CONSULTANT understands it to be defined. For those projects invoMng conceptual or process development services, actMties often are not fully definable in the initial planning. In any event, as the project progresses, the facts developed may dictate a change in the services to be performed, which may alter the scope. CONSULTANT will infonn OWNER of such situations so that changes in scope and adjustments to the time of perfonnance and compensation can be made as required. If such change, additional services, or suspension of services results in an increase or decrease in the cost of or time required for performance of the services, an equitable adjustment shall be made, and the Agreement modified accordingly. 13. CONTROLLING AGREEMENT These T enns and Conditions shall take precedence over any inconsistent or contradictory provisions contained in any proposal, purchase order, requisition, notice-to-proceed, or like document. In resolving inconsistent or contradictory provisions between this Agreement and the Task Order pertaining to a specific project, the terms of the Task Order shall control. 14. EQUAL EMPLOYMENT AND NONDISCRIMINATION In connection with the services under this Agreement, CONSULTANT agrees to comply with the applicable provisions of federal and state Equal Employment Opportunity, and other employment, statutes and regulations. ,--. 15. HAZARDOUS MATERIALS OWNER represents that, to the best of its knowledge and belief, it has disclosed to CONSULTANT the existence of known hazardous materials, including but not limited to asbestos, PCB's, petroleum, hazardous waste, biohazards or radioactive material located at or near the project site, including type, quantity and location of such hazardous materials. OWNER acknowledges that CONSULTANT is not and shall not be considered (i) the owner of hazardous materials, substances, or wastes in performing services for the project; (iI) the operator of a waste management facility; (iii) the generator, storer, or disposer of hazardous or solid waste; or (iv) to have arranged for the transportation or disposal of any wastes, pollutants, or contaminants by virtue of the perfonnance of CONSULTANT's services under this Agreement or anything contained herein, as those tenns are used in the Resource Conservation and Recovery Act ("RCRA"), as amended, the Comprehensive Environmental Response, Compensation and Uability Act (CERCLA"), as amended, or any other federal, state statute or regulation governing the treatment, transportation, storage, or disposal of substances, materials or wastes. If CONSULTANT's services hereunder cannot be performed because of the existence of undisclosed hazardous materials, CONSULTANT shall be entitled to tenninate this Agreement for cause on 7 days written notice. To the fullest extent permitted by law, OWNER shall indemnify and hold harmless CONSULTANT, its officers, directors, partners, employees, and subconsultants from and against all costs, losses, and damages (including but not limited to all fees and charges of CONSULTANTs, architects, attorneys, and other professionals, and all court or arbitration or other dispute resolution costs) caused by, alleged to be caused by, arising out of or resulting from such materials, provided that (i) any such cost, loss, or damage is attributable to bodily injury, sickness, disease. or death, or injury to or destruction of tangible property (other than completed Work), including the loss of use resulting therefrom, and (ii) nothing in HDR Engineering. Inc. General Terms & Conditions for Engineering and Environmental Services r' this paragraph shall obligate OWNER to indemnify any individual or entity from and against the consequences of that individual's or entity's sole negligence or willful misconduct. 16. EXECUTION This Agreement, including the exhibits and schedules made part hereof, constitute the entire Agreement between CONSULTANT and OWNER, supersedes and controls over all prior written or oral understandings. This Agreement may be amended, supplemented or modified only by a written instrument duly executed by the parties. 17. LIMITATION OF LIABILITY CONSULTANTs and its employees' total liability to OWNER for any loss or damage, including but not limited to special and consequential damages arising out of or in connection with the perfonnance of services or any other cause, including CONSULTANT's and its employees' professional negligent acts, errors, or omissions, shall not exceed the lesser of $50,000 or the total compensation received by CONSULTANT hereunder, except as otherwise provided under this Agreement, and OWNER hereby releases and holds hannless CONSULTANT and its employees from any liability above such amount. 18. LITIGATION SUPPORT In the event CONSULTANT is required to respond to a subpoena, government inquiry or other legal process related to the services in connection with a legal or dispute resolution proceeding to which CONSULTANT is not a party, OWNER shall reimburse CONSULTANT for reasonable costs in responding and compensate CONSULTANT at its then standard rates for reasonable time incurred in gathering information and documents and attending depositions, hearings, and trial. 19. This section not used. (9/2004) 2 ACENDA ITEM NO. ~ g PAGE II OF { ApIil14,2006 Matthew C. Harris Senior Plmmer City of Lake Elsinore 130 South Main Street Lake Elsinore, Ca. 92530 ARI Lake Elsinore LLC 16661 VeTltura Blvd., Suite 711 Encino, Ca. 91436 Phone: 818-325-8841 Fax: 818-906-9859 Re: Condominium Complex @ Mission Trails (CUP 2005-26, R-2005-27, TIM 34346) / Proposal for CEQA Compliance Documentation Services Dear Matt: This will confIrm that ARl Lake Elsinore LLC hereby accepts HDR's Proposal for Prepm.ation of California Environmental Quality Act (CEQA) Compliance DoclUllentatioll Services - Initial Study and Supplemental EIR dated April 12, 2006. Please feel free to call with any questions. Thank you for YOll! help, and best personal regards. Cc: Jason Kal11m Wendy Worthey Sincerely, ~~ Peter Bachmann ACENDA ITEM NO. 3 ~ <t PACE /7 OF ~ ~ I j I ORDINANCE NO. 1174 /"'"' AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA GRANTING A NON- EXCLUSIVE FRANCHISE TO PROVIDE CABLE SERVICE TO VERlZON CALIFORNIA INC. WHEREAS, t he City of Lake Elsinore is a "Franchising Authority" as defined by Title VI of the Communications Act (see 47 V.S.C. S 522(10)) and is authorized to grant one or more nonexclusive cable franchises pursuant to California Government Code Section 53066 and Chapter 5.40 of the City of Lake Elsinore Municipal Code; and WHEREAS, Verizon California Inc. ("Franchisee") is in the process of planning and installing a Fiber to the Premise Telecommunications Network ("FTTP Network") that will occupy the Public Rights-of-Way within the City of Lake Elsinore for the transmission of non-cable services pursuant to its status as a telecommunications carrier as set forth in Title II of the Communications Act and under authority granted by the State of California; and WHEREAS, the FTTP Network, once installed, will enable the provision of r-, cable service to the residents of Lake Elsinore; and WHEREAS, negotiations between the Franchising Authority and the Franchisee have resulted in a franchise agreement, which agreement comports with the requirements of applicable law; and WHEREAS, notice of public hearing before the City Council to consider the proposed cable franchise agreement was properly published in The Press- Enterprise on March 13, 2006 and March 20, 2006 in accordance with California Government Code Sections 6066 and 53066.3(a); and WHEREAS, the Franchising Authority has reviewed the legal, technical and financial qualifications of the Franchisee to operate and provide cable service within the City and Franchising Authority's staff has prepared a Staff Report and attached Executive Summary and Analysis dated March 28, 2006 and April 11, 2006 (collectively, the "Staff Report") setting forth those qualifications, the future cable-related needs and interest of the City of Lake Elsinore and its residents, and examining each of the requirements and criteria set forth by federal, state and local law with respect to granting an additional cable television franchise, as well as any applicable provisions in existing franchises; and r-, AGENDA ITEM NO. "3 "3 PAGE , OF 'f CITY COUNCIL ORDINANCE NO. 1174 PAGE20F4 WHEREAS, after receiving the comments of interested parties at a public hearing affording due process to all parties, in deliberation of the entire record regarding this matter before it, including other pertinent information, and specifically considering each of the requirements and criteria enumerated in California Government Code Section 53066.3(a), 47 V.S.C. Section 54I(a), and all other applicable provisions of law, as well as any applicable provisions in existing franchises, the Franchising Authority determines that is in the public interest to approve the proposed cable television franchise agreement and authorize and direct the execution of the proposed Franchise Agreement. ,..""", THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES ORDAIN AS FOLLOWS: SECTION 1. The City Council concludes that the cable-related needs and interests of the City of Lake Elsinore and the Franchisee's legal, technical, and financial qualifications to operate and provide cable service within the City are accurately identified by the attached Staff Report. The Staff Report, as well as the supporting evidence presented at the public hearing on March 28, 2006 and April 11, 2006, is hereby adopted by the Franchising Authority in its entirety as its ascertainment of the cable-related needs and interests of the City, the Franchisee's ....., qualifications to operate and provide cable service within the City, and the Franchisee's qualifications to operate and provide cable service within the City. The Staff Report and evidence also supports the Franchising Authority's consideration of each of the requirements and criteria enumerated in Government Code Section 53066.3(a), 47 V.S.C. Section 541(a), all other applicable provisions of law, as well as any applicable provision in existing franchises. SECTION 2. The Franchising Authority determines that it is in the public interest to grant a nonexclusive franchise to operate and provide cable service to Verizon California Inc. As evidence of its consideration of each of the factors enumerated in Government Code Section 53066.3(a), 47 V.S.C. Section 54I(a)(3), all other applicable provisions of law, as well as any applicable provisions in existing franchises, the Franchising Authority hereby adopts the Staff Report attached Findings of Fact in support of this determination. SECTION 3. The Franchising Authority authorizes the grant of a nonexclusive franchise to the Franchisee to operate and provide cable service within the City. This authorization is made in accordance with the applicable .,..""", . ,"-....."~ (l l:TI'::.'ii! NO "3? .Y~~~~~n' ~ C~rZ..~4~u . . .~.. ~Aae" _ a-.. OF.::Lcun CITY COUNCIL ORDINANCE NO. 1174 PAGE 3 OF 4 /""""'. provisions of California Government Code Section 53066.3 and Title VI of the Communications Act. A copy of the Franchise Agreement in the form set forth and presented at the public hearings on March 28, 2006 and April 11, 2006, is directed to be retained in the office of the City Clerk for the purpose of public inspection. SECTION 4. That certain Franchise Agreement in the form set forth and presented to the City Council at this public hearing is approved, and the Mayor is authorized and directed to execute that agreement on behalf of the Franchising Authority following its execution by the Franchisee. SECTION 5. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, suc~ invalidity shall not affect the other provisions of this Ordinance and are hereby declared to be severable. /"'" SECTION 6. This Ordinance shall take effect thirty (30) days after the date of its final passage. The City Clerk shall certify as to adoption of this Ordinance and cause this Ordinance to be published and posted in the manner required by law. INTRODUCED AND APPROVED UPON FIRST READING this 11th day of April, 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: BUCKLEY, IDCKMAN, KELLEY, SCIDFFNER, MAGEE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE /""""' :i- \"";" h.r" ~'-' .."~~~z.:::,' ,,,"~. _,..:v.,~? c.31~,-c7' ,~Lf~,z~..,.,". CITY COUNCIL ORDINANCE NO. 1174 PAGE40F4 PASSED, APPROVED AND ADOPTED UPON SECOND READING this 25th day of April, 2006, upon the following roll call vote: ......, AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: ......, Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ~ AQENOA ITEM NO. 33 PAGE 4 OF ..:t...::. /'"'" ORDINANCE NO. 1175 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING ZONE CHANGE (pRE-ZONE) NO. 2005-09 TO CHANGE THE ZONING DESIGNATION OF THE PARCELS SPECIFICALLY DESCRIBED AS APN(S) 365-220-026, 365-230-001, 005" 006, 007, 009, 010, 011, 012, AND 013 TO SP SPECIFIC PLAN SUBJECT TO COMPLETION OF THE ANNEXATION NO. 75 WHEREAS, Vicki Mata, Trumark Companies, has filed an application to change the Zoning Designation of the parcels known as Assessor Parcel Number(s) 365-220-026, 365-230-001,005,006,007, 009,010,011,012, AND 013 to SP Specific Plan subject to the completion of Annexation No. 75; and WHEREAS, the Planning Commission of the City of Lake Elsinore at a regular meeting held on February 21, 2006 made its report upon the desirability of the proposed project, however, the Planning Commission's split-decision vote did not result in a recommendation to the City Council for Zone Change No. 2005-09; and /""'. WHEREAS, public notice of said application has been given, and the City Council has considered evidence presented by the Community Development Department and other interested parties at a public hearing held with respect to this item on April 11, 2006. THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES ORDAIN AS FOLLOWS: SECTION 1. The City Council has considered the proposed Zone Change (Pre- Zone) No. 2005-09, prior to making a decision to approve the proposed amendment to the Land Use Map and establish a Zoning Designation. The City Council finds and determines that Negative Declaration No. 2006-02 is adequate and prepared in accordance with the requirements of the California Environmental Quality Act (CEQA) which analyzes environmental effects of ends City Council certification, based upon the following findings and determinations. SECTION 2. That in accordance with State Planning and Zoning law and the City of Lake Elsinore, the following findings for the approval of Zone Change (Pre-Zone) No. 2005-09 have been made as follows: SECTION 3. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance and are hereby declared to be severable. /'"'" AGiENOA ~TEM No,3 LL~. _ ~ ',," ~_'-' =!!r;--."......., . '.",,~. .....~;,. '. '" PAGE_I.. Of -.1....,__ CITY COUNCIL ORDINANCE NO. 1175 Page 2 of3 SECTION 4. This Ordinance shall take effect thirty (30) days after the date of """"'" its final passage. The City Clerk shall certify as to adoption of this Ordinance and cause this Ordinance to be published and posted in the manner required by law. INTRODUCED AND APPROVED UPON FIRST READING this 11th day of April 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: BUCKLEY, HICKMAN, SCHIFFNER, MAGEE NOES: COUNCILMEMBERS: KELLEY ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE PASSED, APPROVED AND ADOPTED UPON SECOND READING this 25th day of April, 2006; upon the following roll call vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ---' Robert E. Magee, Mayor City of Lake Elsinore ~ y {'.'il',',_".! 3 . .... CT.'.-",,,.:':' "'F'~'... ~~{; @?:.. '. ~;~? '..~. IU"'~',"~'. . . ,';,.,.-, ;.~:> t)',h;..~n-I!.~~ j'~.:r."'>'-'-' ~ ~ /"""'"'" CITY COUNCIL ORDINANCE NO.117S Page 3 of3 ATTEST: Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore AQENOA ITEM NO. "< 'f PAGE 3.... OF.' ]. ORDINANCE NO. 1176 ,,-. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, AMENDING SECTIONS 2.46.030 THROUGH 2.46.050 OF THE LAKE ELSINORE MUNICIPAL CODE RELATING TO THE MEMBERSHIP, APPOINTMENT AND TERM OF OFFICE OF THE PUBLIC SAFETY COMMISSION WHEREAS, the City of Lake Elsinore first established a Public Safety Commission in 1984; and WHEREAS, on March 23, 2004 the Lake Elsinore City Council adopted Ordinance No. 1116 revising Section 2.46 of the Lake Elsinore Municipal Code and thereby reactivating the Public Safety Advisory Commission; and WHEREAS, the City Council desires to clarify the membership and appointment provisions of Section 2.46 and to change the term of office of members of the Public Safety Advisory Commission. THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES ORDAIN AS FOLLOWS: ,,-. SECTION 1. Section 2.46.030 of the Lake Elsinore Municipal Code is hereby amended in its entirety to read as follows: 2.46.030 Membership. The Public Safety Advisory Commission shall consist of five members who shall not be officials or employees ofthe City. Members of the Public Safety Advisory Commission shall: (1) reside within the City of Lake Elsinore; or (2) be an owner ofa business that is established and currently licensed inside the City of Lake Elsinore. Members shall be subject to a routine background check to be administered by the Police Department. SECTION 2. Section 2.46.040 of the Lake Elsinore Municipal Code is hereby amended in its entirety to read as follows: 2.46.040 Appointment - Removal. The members of the Public Safety Advisory Commission shall be appointed by the Mayor with the approval of a majority of the City Council and may be removed by the Mayor at his/her pleasure, but subject to the approval by the majority of the members of the City Council. ,,-. 3!) t:.1.ENDA !rEi'lA ~h,"~"'""c== i!">.' n.~' ll"',~ 3 14 ;..i','+..J'i:....~~ v" ~.'7'..?q -lllV CITY COUNCIL ORDINANCE NO. 1176 Page 2 of3 SECTION 3. Section 2.46.050 of the Lake Elsinore Municipal Code is hereby amended in its entirety to read as follows: ....." 2.46.050. Term of office. Except as provided herein, the members of the Public Safety Advisory Commission shall be appointed for a term of four years. Each term shall commence on July 1 of the respective year in which appointed. A member's term that would otherwise expire on June 30, 2006 shall serve until June 30, 2009. A member's term that commenced on July 1, 2005 shall serve out such existing term until June 30, 2007. Thereafter, all appointments shall be for a four-year term. SECTION 4. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance and are hereby declared to be severable. SECTION 5. If any provision, clause, sentence or paragraph of this Ordinance or the application thereof to any person or circumstance shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance and are hereby declared to be severable. ....." SECTION 6. This Ordinance shall take effect thirty (30) days after the date of its final passage. The City Clerk shall certify as to adoption of this Ordinance and cause this Ordinance to be published and posted in the manner required by law. INTRODUCED AND APPROVED UPON FIRST READING this 11 th day of April, 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: BUCKLEY, HICKMAN, KELLEY, SCHIFFNER, MAGEE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE ~ 35 ,.....-.--'/- --~.' -.,: ....~';.:..;,.,~ -..J__ __~._~___...._ - _iii"'] ''''-:''y".'-'."<.,-..- ?- ,,-~,..,;:/;":O': ..~ CITY COUNCIL ORDINANCE NO. 1176 Page 3 of3 ,--.. PASSED, APPROVED AND ADOPTED UPON SECOND READING this 25th day of April, 2006, upon the following roll call vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: Robert E. Magee, Mayor City of Lake Elsinore ATTEST: r--- Frederick Ray, City Clerk City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney City of Lake Elsinore ,--. r!~f fk~ir\i: ~1,5:.~,.,. ",.3=~ 3