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HomeMy WebLinkAbout01/13/2004 CC Item 6~` CITY OF LAKE ELSINORE REPORT TO THE CITY COUNCIL TO: MAYOR AND CITY COUNCIL FROM: DICK WATENPAUGH, CITY MANAGER DATE: JANUARY 13, 2004 SUBJECT: RESOLUTION OF INTENTION TO ANNEX PROPERTY INTO COMMUNITY FACILITIES DISTRICT N0.2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO. 5 (LA LAGUNA PHASE II) AND ANNEXATION AREA NO. 6 (VILLA MARTINIQUE) BACKGROUND On August 12, 2003 the City Council approved Resolution 2003-37 establishing Community Facilities District No. 2003-1 (Law Enforcement, Fire, and paramedic Services). The district levies a special tax for public safety costs above what already exist in the district. The City is ,.~ requiring undeveloped parcels within the City that are developed with more than four residential dwelling units to be annexed into the service district. As a condition of approval, the City has required the La Laguna development and the Villa Martinique development be annexed into the Community Facilities District No. 2003-1. DISCUSSION A special tax is levied annually in the amount of $300 per single family dwelling (SFD) unit and $150 per multifamily unit. The amount of the special tax assessment maximum increases two percent annually. La Laguna Phase II will add 116 units to the exiting boundary and generate about $34,800 annually. Villa Martinique will add 84 multifamily dwelling units (town homes) to the exiting district boundary and generate about $12,600. The map of the proposed boundaries are attached. FISCAL IMPACT The cost of law enforcement and fire services is approximately $750 per single family dwelling unit. For each SFD unit, only about $100 to $150 of property tax dollars will be generated from ~ these developments for public safety as illustrated in the table below: A~idDA ITEM NO...~Q.__.,, PAGE, I OF, a ,~._ Report to the City Council CFD 2003-1 Annexation No. 5 and No. 6 January 13, 2004 Page 2 of 3 Low Hi b Home price 275,000.00 400,000.00 Annual Property Tax (1%) 2,750.00 4,000.00 General Funds share of 1 % (Average of 11 %) 302.50 440.00 General Fund Public Safety Bud et (34%) 102.85 149.60 Rounded Totals 100.00 150.00 By subtracting $150 for General Fund property tax revenue and the $300 of special tax levy from the $750 cost of public safety, that would leave $350 to $300 remaining, which would be paid for from other revenue the City's General Fund receives such as sales tax as illustrated below: Per SFD Property Tax available for public safety $ 150 CFD 2003-1 special tax lev 300 Subtotal 450 Cost of ublic safety per sin le family dwelling unit 750 Covered by other General Fund revenue (Sales Tax) 300 The illustrations clearly demonstrate that the revenue generated from property tax is not sufficient to fund the cost of public safety services and that the CFD 2003-1 special tax levy is needed. PROCESS The annexation into the district requires a specific process as outlined in the attached resolution. The City Council will need to hold a public hearing on the annexation into CFD 2003-1 and the participating property owner will have the opportunity to vote. The public hearing can be scheduled for February 24, 2004. AGENDA ITEM NO. ~ PAGE ~ OF~.,,L ~ Report to the City Council CFD 2003-1 Annexation No. 5 and No. 6 January 13, 2004 Page 3 of 3 RECOMMENDATION It is recommended that City Council: 1. Adopt the Resolution of intention to Annex Property from Annexation Area No. 5 into the CFD 2003-1 2. Adopt the Resolution of intention to Annex Property from Annexation Area No. 6 into the CFD 2003-1 3. Schedule the public hearing on Annexation Area No. 5 and Annexation Area No. 6 for February 24, 2004 PREPARED BY: ,.-~ Matt N. Pressey, Director of~dministrative Services APPROVED FOR AGENDA LISTING: Dick Watenpaugh, AflEiVDA ITEM NQ. PAGE ~ OF.. °? ~ -. PROPOSED BOUNDARY OF . ANNEXATION N0. 5 TO COMMUNITY FACILITIES DISTRICT No. 2003-1 OF THE CITY OF LAKE ELSINORE (LAW ENFORCEMENT. FIRE, AND PARAMEDIC SERVICES) COUNTY OF RIVERSIDE! STATE OF CALIFORNIA SCALE: /'=400' PROJECT SITE dSTR1Cr BOIRIDARY ~unav ""°.xYat n.~ • ~g~A I "A*ru~Tly c f s. r~d,LOD~x t e. ru•u• L~/7597' ~ ''e'rx+ nr ~,u. I ~J. 3lTP% ad.Op• I } n I SS° = nErac ~' SCALE: ,'.loo' FRED IN TT/E OFFIQ of THE Orr 0.ERIL OF THE att OF LAKE ELSINDRE IRIS DAr OF _2003. qTr CLERK tK 7HE Cltt OF LAKE ELSeLORE I NERERY CERTIFY TNA! THE WHIN YAP SHOTKNG 111E PROPOSED 80UNDARIES OF ANNEITADON NQ S lb INE pTY OF LAKE EL9NORE COMMUNItt fApU71E5 OKTRICi NO. 20D3-1 ptt OF LAKE ELSINORE, COUNtt OF RIVER510E, STALE OF GUFORNIA NAS APPROVED BY THE Gtt COUNpL OF iNE ptt OF LANE EL9NORE: Ai A REGULARLY SCHEDULED NEE-NG THEREOF, HELD ON THE _ DAY OF 2003. BY 1T5 RESOLURON Nw - GTY PERK THE GTY OF U ELSRLOR FILED 7HI5 _ DAr OF -2007. AT 1HE HOUR OF O'0.0GIL_.M. RL BOpI_ OF IAAPS OF ASSESSMENT AND COMMUNttt FACILITIES DLSTRICTS PAGE NOS_7HROUGIt_ AS OtSTRUMENT N0. IN 1NE OFTTGE OF IRE CONNtt RECORDER Ri 1NE COUNtt OF RIVERSIDE, STA IE OF CALIFORNIA COUNTY RE R OF THE COUNtt OF RIVERSIDE TEE • REFERENCE lilE M1rER5iDE COUNtt ASSESSOR'S MAPS FOR A DETAAEO DESCRIPTION OF PARCEL LNIES ANO dMEN90N5 (~ O ~ PROPOSED BOUNDARY MAP Z ~ Annenation No. 5 b ~ Community Fscilities District No. 2003-2 W of the Cily of Lake 6lsinorc i HARRIS & ASSOCIATES (Lw Enrorcement, Fire, snd Paramedic Sevices) >. Em.Dr. r.e. 9uIN LSD couNTY or RrvsRBros, cwuroRNU NMy G !2611 t ¢C (919) 695-NOD • rAx (9M) 699-1915 Shest 1 Oi I ^ Li+ ¢w.u..~owaoV..wT wwew-.~..as.! VICINITY MAP NO SCALE LE~IEtlP ~~ PROPOSED BOUNDARY OF _ ANNEXATION N0. 6 TO COMMUNITY FACILITIES DISTRICT No. 2003-1 OF THE CITY OF LAKE ELSINORE (LAW ENFORCEMENT. FIREF AND PARAMEDIC SERVICES) COUNTY OF RIVERSIDE. STATE OF CALIFORNIA ,ti ~.. SCALE: Yat00' PROJECT SITE -~ ~~ \ RAI ~ _ 1._ CAI c~9 °y L 9~ ~~ t ~~ ~ ~9 VICINITY MAP ND SCALE d57RICT BONNDARY FILED IN THE OFFICE OF THE ptt CLERK OF THE ptt OF LAKE 0.5wORE IMS DAY OF 1003. ptt CLERK OF' ME ptt OF LAKE ELSINOR I HEREBY CERTIFY THAI THE N1THtlf YAP SHOVING THE PROPOSED BOUNDARIES OF ANNEKA l10N NQ 6 i0 THE ptt DF LAKE 0.51NORE COMMUNItt FACIU7L5 DISTRICT NO. 1003-i ptt OF LAKE 0.5MORE, COUNTY OF RIVERSIDE, STALE OF OAUFORNIA WAS APPROVED BY 7HE UiY COIRTCtI OF 7HE tltt OF LANE ELSINORE: AT A RE4VLARLY SCHEDULED MEEIWO THEREOF. 71ELD ON THE _ pwY OF 1003. BY 1/S RESOLUTION Na tltt CLERK OF THE ptt OF LAKE 0.51NORE FLED TNIS _ DAY OF 1003 AT THE HOUR OF O'CIOCK_,N. 1N BOOK_ OF MAPS OF ASSESSLIENi AND COMMUNItt FACNIIES gSTRICTS PACE NOS._1HR000N_ AS W51RlN1ENT NR IN 7HE OFFICE OF THE COUNtt RECORDER RT IFIE COUNTY OF RIVERSIDE, SUTE OF CALIFTRWA COUNTY RECORDER Di (.'DUN OF RIVERSIDE fEE ! REFERENCE THE RIVERSIDE COUItTY ASSESSOR's MAPS Fp+ A DETAILED DESCRWnpV OF PARCEL UNES AND OOrENS10NS Z) g W W i /W lFF 4 RESOLUTION N0.2004-~_ RESOLUTION OF INTENTION OF THE CYTY COUNCIL OF THE CITY OF LAKE ELSINORE TO ANNEX PROPERTY INTO COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO. 5 (LA LAGUNA PHASE II) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has established City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) (the "District") pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, commencing with Section 53311 of the Government Code of the State of California (the "Act"); and WHEREAS, the District will finance law enforcement, fire and paramedic services that are in addition to those provided in the territory within the District prior to the formation of the District and do not supplant services already available within the territory proposed to be included in the District through the formation of the District subject to the levy of a special tax to pay for such services, being approved at an election to be held within the boundaries of the District; and WHEREAS, the Council has provided for the annexation in the future of territory (the "Future Annexation Area") to the District pursuant to the terms and provisions of the Act. WHEREAS, the City has received a Consent and Waiver from La Laguna Estates, requesting annexation of property owned by La Laguna Estates, which constitutes a portion of the Future Annexation Area, into the District; and NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. The Council hereby determines to institute proceedings for the annexation of Annexation Area No. S (La Laguna Phase II) into the District under the terms of the Act. The exterior boundaries of the area to be annexed (Annexation Area No. S (La Laguna Phase II)) are hereby specified and described to be as shown on that certain map now on file in the office of the City Clerk entitled "Proposed Boundaries, City of Lake Elsinore, Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services), Annexation Area No. S (La Laguna Phase II)," which map indicates by a boundary line the extent of the temtory included in Annexation Area No. S (La Laguna Phase II} and shall govern for all details as to the extent of Annexation Area No. 5 (La Laguna Phase II). On the original and one copy of the map of such Annexation Area No. S (La Laguna Phase II) on file in the City Clerk's office, the City Clerk shall endorse the certificate evidencing the date and adoption of this Resolution. The City Clerk shall file the original of such map in her office and, within fifteen (1S) days after the adoption of this Resolution, the City Clerk shall file a copy of such map so endorsed in the records of the County Recorder, County of Riverside, State of California. ,~~,, AGENDA ITEM NO.._.~Q,,,~, ~ PI~GE.~ QF a /'` Section 2. The map showing Annexation Area No. 5 (La Laguna Phase II), which area is to be subject to a special tax to be levied, is hereby approved and adopted. A certificate shall be endorsed on the original and on at least one copy of the map of Annexation Area No. 5 (La Laguna Phase II), evidencing the date and adoption of this resolution. The City Clerk shall file the original of such map in her office and, within fifteen (15) days after the adoption of this Resolution, the city Clerk shall file a copy of such map so endorsed in the records of the County Recorder, County of Riverside, State of California. Section 3. The name of the proposed annexation area shall be "City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services), Annexation Area No. 5 (La Laguna Phase II)." Section 4. Except where funds are otherwise available, it is the intention of the City Council to levy annually in accordance with procedures contained in the Act a special tax (the "Special Tax") sufficient to finance law enforcement, fire and paramedic services that are in addition to those provided in the territory within Annexation Area No. 5 (La Laguna Phase II) prior to the annexation of Annexation Area No. 5 (La Laguna Phase II) into the District and do not supplant services already available within the territory proposed to be included in the District, the costs of administering the levy and collection of the Special Tax and all other costs of the levy of the Special Tax, including any foreclosure proceedings, legal, fiscal, and financial consultant fees, election costs, and all other administrative costs of the tax levy. The Special Tax will be secured by recordation of a continuing lien against all non-exempt real property in ~ the proposed Annexation Area No. 5 (La Laguna Phase II). 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 annexation of Annexation Area No. 5 (La Laguna Phase II) will not result in any change to the special tax rates levied in the District prior to such annexation. The Special Tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act and such Special Tax is not on or based upon the ownership of real property. The maximum Special Tax applicable to a parcel to be used for private residential purposes, as set forth in Exhibit A, is specified as a dollar amount which shall be calculated and established not later than the date on which the parcel is first subject to tax because of its use for private residential purposes, and such amount shall not be increased over time by an amount in excess of 2 percent per year. Under no circumstances will the Special Tax to be levied against any parcel used for private residential purposes be increased as a consequence of delinquency or default by the owner of any other parcel or parcels within the proposed Annexation Area No. S (La Laguna Phase II) by more than 10 percent. As specified by the Act, for purposes of this paragraph, a parcel shall be considered "used for private residential purposes" not later than the date on which an occupancy permit for private residential use is issued. Section S. A public hearing (the "Hearing") on the annexation of Annexation Area No. 5 (La Laguna Phase II) and the proposed rate and method of apportionment of the Special Tax shall be held on February 24, 2004, at 7:00 o'clock p.m., or as soon thereafter as practicable, ~'' at the chambers of the City Council of the City of Lake Elsinore, 183 North Main Street, Lake Elsinore, California 92530. ~4GElUDA ITEM NO. `~., RAGE ? OF~ Section 6. At the time and place set forth above for the hearing, any interested person, including all persons owning lands or registered to vote within the proposed Annexation ,,,,~,r Area No. 5 (La Laguna Phase II), may appear and be heard. Section 7. Each City officer who is or will be responsible for the District, if it is established, is hereby directed to study the proposed Annexation Area No. 5 (La Laguna Phase II) and, at or before the time of the above-mentioned Hearing, file a report with the City Council, and which is to be made a part of the record of the Hearing, containing a brief description of Annexation Area No. 5 (La Laguna Phase II) and his or her estimate of the cost of providing additional law enforcement, fire and paramedic services within the boundary of Annexation Area No. 5 (La Laguna Phase II). The City Manager is directed to estimate the fair and reasonable cost of all incidental expenses, including all costs associated with the annexation of Annexation Area No. 5 (La Laguna Phase II), determination of the amount of any special taxes, collection of any special taxes, or costs otherwise incurred in order to carry out the authorized purposes of the City with respect to the District. Section 8. The City may accept advances of funds from any sources, including private persons or private entities, and is authorized and directed to use such funds for any authorized purpose, including any cost incurred by the City in annexing the proposed Annexation Area No. 5 (La Laguna Phase II). The City may enter into an agreement to repay all of such funds as are not expended or committed for any authorized purpose at the time of the election on the levy of the Special Tax, if the proposal to levy such tax should fail, and to repay all of such funds advanced if the levy of the Special Tax shall be approved by the qualified electors of Annexation Area No. 5 (La Laguna Phase II). ~, Section 9. The City Clerk is hereby directed to publish a notice ("Notice") of the Hearing pursuant to Section 6061 of the Government Code in a newspaper of general circulation published in the area of the proposed Annexation Area No. 5 (La Laguna Phase II). Such Notice shall contain the text of this Resolution, state the time and place of the Hearing, a statement that the testimony of all interested persons or taxpayers will be heard, a description of the protest rights of the registered voters and landowners in the proposed Annexation Area No. 5 (La Laguna Phase II) as provided in Section 5339.5 of the Act and a description of the proposed voting procedure for the election required by the Act. Such publication shall be completed at least 7 days prior to the date of the Hearing. Section 10. The voting procedure with respect to the establishment of the District and the imposition of the special tax shall be by mailed ballot election. AL~ENDA ITEM `NO. ~ PASSED, APPROVED AND ADOPTED this day of , 2004. CITY OF LAKE ELSINORE Thomas Buckley, Mayor ATTEST: Vicki Kasad, City Clerk of the City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney AGE~~IDA ITEM NO. PAGE OF~ STATE OF CALIFORNIA ) ss. COUNTY OF RIVERSIDE ) I, ,City Clerk of the City of Lake Elsinore, do hereby certify that the foregoing Resolution was duly adopted by the City Council of said City at a meeting thereof held on the day of the following vote: AYES: NOES: ABSENT: ABSTAIN: 2004, and that it was so adopted by By: Vicki Kasad, City Clerk of the City of Lake Elsinore `.rr ~.r• AGENDA ITEM NO. ___,~o_„ ~` P~-GE~ pE ~ , EXHIBIT A RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX A~3EtVDA ITEM NO. ~ P~4GE_ -._; ~~ City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) Rate and Method of Apportionment of Special Tax Introduction Special taxes shall be annually levied on all Developed Residential Property and Developed Multi-Family Property (as hereinafter defined) in the City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) (the "District"), in accordance with the rate and method of apportionment of special taxes hereinafter set forth. All of the property within the District that is not Developed Residential or Developed Multi-Family Residential Property shall be exempt from the Maximum Annual Special Taxes of the District. Definitions Assessor's Parcel. A parcel of land in the District designated and assigned a discrete identifying number on a map of the County Assessor of the County of Riverside. City. City of Lake Elsinore, California. ..i+r Developed Multi-Family Property. Assessor's Parcels in the District for which a building permit has been issued by the City on or prior to March 1 preceding the Fiscal Year for the construction of a Unit that is located or shall be located within a building in which each individual Units has or shall have at least one common wall with another Unit. Developed Residential Property. All other Assessor's Parcels in the District for which a building permit has been issued by the City on or prior to March 1 preceding any Fiscal Year for the construction of a Unit that is not Developed Multi-family Property. Fiscal Year. The period beginning on July 1 and ending on the following June 30. Maximum Annual Special Taxes. The maximum annual special taxes levied within the District for any Fiscal Year. Unit. Each separate residential dwelling unit, which comprises an independent facility capable of conveyance or use separate from adjacent dwelling units. Rate and Method of Apportionment of Maximum Annual Special Taxes As of July 1 of each Fiscal Year, commencing July 1, 2003, the City shall determine which of the Assessor's Parcels within the District constitute Developed Residential Property or Developed Multi-Family Property. Beginning in Fiscal Year 2003-04, and all subsequent Fiscal Years, the City shall levy the Maximum Annual Special Taxes on each Assessor's Parcel of Developed Residential ~, Property in the amount of $300 and on each Assessor's Parcel of Developed Multi-Family Property AGENDA ITEM NO. P~+GE ~ ~ OF~ ~ in the amount of $150 per Unit. The amount of Maximum Annual Special Taxes shall be increased annually by 2%, commencing in Fiscal Year 2004-05, and each Fiscal Year thereafter. Duration of the Maximum Annual Special Taxes The Maximum Annual Special Taxes shall be levied in perpetuity so long as Law Enforcement, Fire and Paramedic Services are being provided within the District. The Maximum Annual Special Taxes levied in each Fiscal Year shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the same penalties and the same procedure, sale, and lien priority in case of delinquency as is provided for ad valorem taxes. The Maximum Annual Special taxes when levied shall be secured by the lien imposed pursuant to Section 3115.5 of the Streets and Highways Code. This lien shall be a continuing lien and shall secure each levy of Maximum Annual Special Taxes. The lien of Maximum Annual Special Taxes shall continue in force and effect until the Special Tax ceases to be levied in the manner provided by Section 53330.5 of the Government Code. AS~ENDA ITEM NO. PAGE ~ ~~ RESOLUTION N0.2004 - RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE TO ANNEX PROPERTY INTO COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO. 6 (VILLA MARTINIQUE) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has established City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) (the "District") pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, commencing with Section 53311 of the Government Code of the State of California (the "Act"); and WHEREAS, the District will finance law enforcement, fire and paramedic services that are in addition to those provided in the territory within the District prior to the formation of the District and do not supplant services already available within the territory proposed to be included in the District through the formation of the District subject to the levy of a special tax to pay for such services, being approved at an election to be held within the boundaries of the District; and WHEREAS, the Council has provided for the annexation in the future of territory (the "Future Annexation Area") to the District pursuant to the terms and provisions of the Act. WHEREAS, the City has received a Consent and Waiver from Daigle Homes LLC, requesting annexation of property owned by Daigle Homes LLC, which constitutes a portion of the Future Annexation Area, into the District; and NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. The Council hereby determines to institute proceedings for the annexation of Annexation Area No. 6 (Villa Martinique) into the District under the terms of the Act. The exterior boundaries of the area to be annexed (Annexation Area No. 6 (Villa Martinique}) are hereby specified and described to be as shown on that certain map now on file in the office of the City Clerk entitled "Proposed Boundaries, City of Lake Elsinore, Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services), Annexation Area No. 6 (Villa Martinique)," which map indicates by a boundary line the extent of the territory included in Annexation Area No. 6 (Villa Martinique) and shall govern for all details as to the extent of Annexation Area No. 6 (Villa Martinique). On the original and one copy of the map of such Annexation Area No. 6 (Villa Martinique) on file in the City Clerk's office, the City Clerk shall endorse the certificate evidencing the date and adoption of this Resolution. The City Clerk shall file the original of such map in her office and, within fifteen (15) days after the adoption of this Resolution, the City Clerk shall file a copy of such map so endorsed in the records of the County Recorder, County of Riverside, State of California. ~ AGENDA ITEM NO. ~.~L~---- PfiGE ..r~- OF ''~ Section 2. The map showing Annexation Area No. 6 (Villa Martinique), which area is to be subject to a special tax to be levied, is hereby approved and adopted. A certificate shall be endorsed on the original and on at least one copy of the map of Annexation Area No. 6 (Villa Martinique), evidencing the date and adoption of this resolution. The City Clerk shall file the original of such map in her office and, within fifteen (15) days after the adoption of this Resolution, the city Clerk shall file a copy of such map so endorsed in the records of the County Recorder, County of Riverside, State of California. Section 3. The name of the proposed annexation area shall be "City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services), Annexation Area No. 6 (Villa Martinique)." Section 4. Except where funds are otherwise available, it is the intention of the City Council to levy annually in accordance with procedures contained in the Act a special tax (the "Special Tax") sufficient to finance law enforcement, fire and paramedic services that are in addition to those provided in the territory within Annexation Area No. 5 (Daigle Homes) prior to the annexation of Annexation Area No. 6 (Villa Martinique) into the District and do not supplant services already available within the territory proposed to be included in the District, the costs of administering the levy and collection of the Special Tax and all other costs of the levy of the Special Tax, including any foreclosure proceedings, legal, fiscal, and financial consultant fees, election costs, and all other administrative costs of the tax levy. The Special Tax will be secured by recordation of a continuing lien against all non-exempt real property in the proposed i-. Annexation Area No. 6 (Villa Martinique). 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 annexation of Annexation Area No. 6 (Villa Martinique) will not result in any change to the special tax rates levied in the District prior to such annexation. The Special Tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act and such Special Tax is not on or based upon the ownership of real property. The maximum Special Tax applicable to a parcel to be used for private residential purposes, as set forth in Exhibit A, is specified as a dollar amount which shall be calculated and established not later than the date on which the parcel is first subject to tax because of its use for private residential purposes, and such amount shall not be increased over time by an amount in excess of 2 percent per year. Under no circumstances will the Special Tax to be levied against any parcel used for private residential purposes be increased as a consequence of delinquency or default by the owner of any other parcel or parcels within the proposed Annexation Area No. 6 (Villa Martinique) by more than 10 percent. As specified by the Act, for purposes of this paragraph, a parcel shall be considered "used for private residential purposes" not later than the date on which an occupancy permit for private residential use is issued. Section 5. A public hearing (the "Hearing") on the annexation of Annexation Area No. 6 (Villa Martinique) and the proposed rate and method of apportionment of the Special Tax shall be held on February 24, 2004, at 7:00 o'clock p.m., or as soon thereafter as practicable, at `~ the chambers of the City Council of the City of Lake Elsinore, 183 North Main Street, Lake Elsinore, California 92530. A3ENDA ITEM NQ. ~1~. PHGE,~`~ 01=x, Section 6. At the time and place set forth above for the hearing, any interested person, including all persons owning lands or registered to vote within the proposed Annexation Area No. 6 (Villa Martinique}, may appear and be heard. Section 7. Each City officer who is or will be responsible for the District, if it is established, is hereby directed to study the proposed Annexation Area No. 6 (Villa Martinique) and, at or before the time of the above-mentioned Hearing, file a report with the City Council, and which is to be made a part of the record of the Hearing, containing a brief description of Annexation Area No. 6 (Villa Martinique) and his or her estimate of the cost of providing additional law enforcement, fire and paramedic services within the boundary of Annexation Area No. 6 (Villa Martinique). The City Manager is directed to estimate the fair and reasonable cost of all incidental expenses, including all costs associated with the annexation of Annexation Area No. 6 (Villa Martinique), determination of the amount of any special taxes, collection of any special taxes, or costs otherwise incurred in order to carry out the authorized purposes of the City with respect to -the District. Section 8. The City may accept advances of funds from any sources, including private persons or private entities, and is authorized and directed to use such funds for any authorized purpose, including any cost incurred by the City in annexing the proposed Annexation Area No. 6 (Villa Martinique). The City may enter into an agreement to repay all of such funds as are not expended or committed for any authorized purpose at the time of the election on the levy of the Special Tax., if the proposal to levy such tax should fail, and to repay all of such funds advanced if the levy of the Special Tax shall be approved by the qualified electors of Annexation Area No. 6 (Villa Martinique). Section 9. The City Clerk is hereby directed to publish a notice ("Notice") of the Hearing pursuant to Section 6061 of the Government Code in a newspaper of general circulation published in the area of the proposed Annexation Area No. 6 (Villa Martinique). Such Notice shall contain the text of this Resolution, state the time and place of the Hearing, a statement that the testimony of all interested persons or taxpayers will be heard, a description of the protest rights of the registered voters and landowners in the proposed Annexation Area No. 6 (Villa Martinique) as provided in Section 5339.5 of the Act and a description of the proposed voting procedure for the election required by the Act. Such publication shall be completed at least 7 days prior to the date of the Hearing. Section 10. The voting procedure with respect to the establishment of the District and the imposition of the special tax shall be by mailed ballot election. AQE'VDA iTENE NO. ~, ~' PAGE 4E a' 1 r`' PASSED, APPROVED AND ADOPTED this day of , 2004. CITY OF LAKE ELSINORE Thomas Buckley, Mayor ATTEST: Vicki Kasad, City Clerk of the City of Lake Elsinore APPROVED AS TO FORM: Barbara Zeid Leibold, City Attorney A£~ENpA ITEM NO. PAGE ~ 1 OF STATE OF CALIFORNIA COUNTY OF RNERSIDE I, the foregoing Resolution was meeting thereof held on the the following vote: AYES: NOES: ABSENT: ' ABSTAIN: ss. City Clerk of the City of Lake Elsinore, do hereby certify that duly adopted by the City Council of said City at a day of , 2004, and that it was so adopted by By: Vicki Kasad, City Clerk of the City of Lake Elsinore ,,.i+` A3EiVDA fTEM NO.~ PAGE ~ ~ EXHIBIT A RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX AQEi~A ITEM NO.~1~---- P~1GE 4 ~-=--i-" City of Lake Elsinore Community Facilities District No. 2003.1 (Law Enforcement, Fire and Paramedic Services) Rate and Method of Apportionment of Special Tax Introduction Special taxes shall be annually levied on all Developed Residential Property and Developed Multi-Family Property (as hereinafter defined) in the City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) (the "District"), in accordance with the rate and method of apportionment of special taxes hereinafter set forth. All of the property within the District that is not Developed Residential or Developed Multi-Family Residential Property shall be exempt from the Maximum Annual Special Taxes of the District. Definitions Assessor's Parcel. A parcel of land in the District designated and assigned a discrete identifying number on a map of the County Assessor of the County of Riverside. City. City of Lake Elsinore, California. Developed Multi-Family Property. Assessor's Parcels in the District for which a building permit has been issued by the City on or prior to March 1 preceding the Fiscal Year for the construction of a Unit that is located or shall be located within a building in which each individual Units has or shall have at least one common wall with another Unit. Developed Residential Property. All other Assessor's Parcels in the District for which a building permit has been issued by the City on or prior to March 1 preceding any Fiscal Year for the construction of a Unit that is not Developed Multi-family Property. Fiscal Year. The period beginning on July 1 and ending on the following June 30. Maximum Annual Special Taxes. The maximum annual special taxes levied within the District for any Fiscal Year. Unit. Each separate residential dwelling unit, which comprises an independent facility capable of conveyance or use separate from adjacent dwelling units. Rate and Method of Apportionment of Maximum Annual Special Taxes ~-` As of July 1 of each Fiscal Year, commencing July 1, 2003, the City shall determine which of the Assessor's Parcels within the District constitute Developed Residential Property or Developed Multi-Family Property. Beginning in Fiscal Year 2003-04, and all subsequent Fiscal Years, the City shall levy the Maximum Annual Special Taxes on each Assessor's Parcel of Developed Residential Property in the amount of $300 and on each Assessor's Parcel of Developed Multi-Family Property EiVDA ITEM NO. A~ ~"~ in the amount of $150 per Unit. The amount of Maximum Annual Special Taxes shall be increased annually by 2%, commencing in Fiscal Year 2004-05, and each Fiscal Year thereafter. Duration of the Maximum Annual Special Taxes The Maximum Annual Special Taxes shall be levied in perpetuity so Iong as Law Enforcement, Fire and Paramedic Services are being provided within the District. The Maximum Annual Special Taxes levied in each Fiscal Year shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the same penalties and the same procedure, sale, and lien priority in case of delinquency as is provided for ad valorem taxes. The Maximum Annual Special taxes when levied shall be secured by the lien imposed pursuant to Section 3115.5 of the Streets and Highways Code. This lien shall be a continuing lien and shall secure each levy of Maximum Annual Special Taxes. The lien of Maximum Annual Special Taxes shall continue in force and effect until the Special Tax ceases to be levied in the manner provided by Section 53330.5 of the Government Code. A(3EcyDA ITEM NO.~_ Pt~G~~.,e~ ~ OF~_