HomeMy WebLinkAboutCC Reso No 2016-033 CC Reso CFD 2003-2 Canyon Hills Determining Necessity of Incurring Bonded Indebtedness IA E Calling ElectionRESOLUTION NO. 2016 -033
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE
ELSINORE, CALIFORNIA, ACTING IN ITS CAPACITY AS THE
LEGISLATIVE BODY OF CITY OF LAKE ELSINORE COMMUNITY
FACILITIES DISTRICT NO. 2003 -2 (CANYON HILLS) DETERMINING THE
NECESSITY OF INCURRING BONDED INDEBTEDNESS IN AN AMOUNT
NOT TO EXCEED $3,000,000 WITHIN IMPROVEMENT AREA E OF CITY OF
LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2003 -2
(CANYON HILLS) AND CALLING AN ELECTION THEREIN
WHEREAS, the City of Lake Elsinore the (the "City ") has previously formed City of Lake
Elsinore Community Facilities District No. 2003 -2 (Canyon Hills) ("Community Facilities District
No. 2003 -2" or the "District ") pursuant to the Mello -Roos Community Facilities Act of 1982, as
amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code of the
State of California (the "Act "); and,
WHEREAS, on March 8, 2016, the City Council of the City (the "Council') adopted
Resolution No. 2016 -021 stating its intention to (i) annex territory to the District to be designated
as Improvement Area E of the District ( "Improvement Area E ") pursuant to the Act; and (ii) to
incur bonded indebtedness in the amount of up to $3,000,000 within proposed Improvement
Area E to finance (1) the purchase, construction, modification, expansion, improvement or
rehabilitation of public facilities identified in Attachment "B" to Resolution No. 2016 -021, and (2)
the incidental expenses to be incurred in financing such public facilities and services and
forming and administering the District, as identified in Attachment "C" to Resolution No. 2016-
021; and,
WHEREAS, notice was published as required by law relative to the intention of the
Council to form proposed Community Facilities District No. 2003 -2 and to incur bonded
indebtedness in the amount of up to $3,000,000 within the boundaries of proposed
Improvement Area E; and,
WHEREAS, on April 12, 2016, this Council conducted a noticed public hearing to
determine whether it should proceed with the annexation of Improvement Area E, issue bonds
to pay for the facilities and incidental expenses described in Resolution No. 2016 -021 and
authorize the rate and method of apportionment of a special tax to be levied within Improvement
Area E for the purposes described in Resolution No. 2016 -021; and,
WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to
the annexation of Improvement Area E, the levy of a special tax and the issuance of bonds to
pay for the cost of the proposed facilities and incidental expenses were heard and a full and fair
hearing was held; and,
WHEREAS, the Council subsequent to such hearing adopted Resolution No. 2016 -021
establishing Community Facilities District No. 2003 -2 (the "Resolution of Formation ") and
authorizing the financing of the public facilities (the "Facilities ") and the incidental expenses (the
"Incidental Expenses ") described in Attachment "B" thereto; and,
WHEREAS, the Council desires to make the necessary findings to incur bonded
indebtedness within the District, to declare the purpose for said debt, and to authorize the
CITY COUNCIL RESOLUTION NO. 2016 -033
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submittal of a proposition to issue bonded indebtedness to the voters of Improvement Area E,
being the landowners within the proposed Improvement Area E, all as authorized and required
by law.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE
HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS:
Section 1. It is necessary to incur bonded indebtedness in a maximum aggregate
principal amount not to exceed $3,000,000 within Improvement Area E.
Section 2. The indebtedness is to be incurred for the purpose of financing the costs
of purchasing, constructing, modifying, expanding, improving, or rehabilitating the Facilities and
financing the Incidental Expenses, as described in the Resolution of Formation, and carrying out
the powers and purposes of Community Facilities District No. 2003 -2 for Improvement Area E,
including, but not limited to, financing the costs of selling the bonds, establishing and
replenishing bond reserve funds and paying remarketing, credit enhancement and liquidity
facility fees and other expenses of the type authorized by Section 53345.3 of the Act.
Section 3. The whole of the property within Improvement Area E, other than property
exempted from the special tax pursuant to the provisions of the rate and method of
apportionment attached to the Resolution of Formation as Attachment "A," shall pay for the
bonded indebtedness pursuant to the levy of the special tax authorized by the Resolution of
Formation.
Section 4. The maximum term of the bonds to be issued shall in no event exceed
forty (40) years.
Section 5. The bonds shall bear interest at the rate or rates not to exceed the
maximum interest rate permitted by law, payable annually or semiannually, or in part annually
and in part semiannually, except the first interest payment may be for a period of less than six
months, with the actual rate or rates and times of payment to be determined at the time or times
of sale thereof.
Section 6. The bonds may bear a variable or fixed interest rate, provided that such
variable rate or fixed rate shall not exceed the maximum rate permitted by Section 53531 of the
Act, or any other applicable provision of law limiting the maximum interest rate on the bonds.
Section 7. Pursuant to Section 53351 of the Act, a special election is hereby called
for Community Facilities District No. 2003 -2 with respect to Improvement Area E on the
proposition of incurring the bonded indebtedness. The proposition relative to incurring bonded
indebtedness in the maximum aggregate principal amount of $3,000,000 shall be in the form of
Proposition A set forth in Attachment "A" hereto. In accordance with Sections 53351(h) and
53353.5 of the Act, the election shall be consolidated with the special election called on the
proposition of levying a special tax within Improvement Area E as described in the Resolution of
Formation, which proposition shall be in the form of Proposition B set forth in Attachment "A."
CITY COUNCIL RESOLUTION NO. 2016 -033
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Section 8. The date of the special election for Community Facilities District No.
2003 -2 with respect to Improvement Area E on the propositions of incurring the bonded
indebtedness and authorizing the levy of the special tax shall be April 12, 2016, or such later
date as is consented to by the City Clerk of the City; provided that, if the election is to take place
sooner than 90 days after April 12, 2016, then the unanimous written consent of each qualified
elector within Improvement Area E to such election date must be obtained. The polls shall be
open for said election immediately following the close of the public hearing on April 12, 2016.
The election shall be conducted by the City Clerk. Except as otherwise provided by the Act, the
election shall be conducted in accordance with the provisions of law regulating elections of the
City of Lake Elsinore insofar as such provisions are determined by the City Clerk to be
applicable. The City Clerk is authorized to conduct the election following the adoption of the
Resolution of Formation, and this resolution and all ballots shall be received by and the City
Clerk shall close the election by 11:00 p.m. on the election day; provided the election shall be
closed at such earlier time as all qualified electors have voted as provided in Section 53326(d)
of the Act. Pursuant to Section 53326 of the Act, the ballots for the special election shall be
distributed in person, or by mail with return postage prepaid, to the qualified electors within
Improvement Area E. The City Clerk has secured a certificate of the Registrar of Voters of the
County of Riverside certifying that there were no registered voters within Improvement Area E
as of March 8, 2016. Accordingly, since there were fewer than 12 registered voters within
Improvement Area E for each of the 90 days preceding April 12, 2016, the qualified electors
shall be the landowners within Improvement Area E and each landowner, or the authorized
representative thereof, shall have one vote for each acre or portion thereof that such landowner
owns within Improvement Area E, as provided in Section 53326 of the Act. The sole landowner
within Improvement Area E has executed and delivered a waiver of certain election law
requirements and consenting to the holding of the election on April 12, 2016, which waiver is on
file with the City Clerk.
Section 9. This Resolution shall be effective upon its adoption.
PASSED, APPROVED, AND ADOPTED at a regular meeting of the City Council of the
City of Lake Elsinore, California, this 12th day of April, 2016.
ATTEST:
usan M. Domen, MMC, City Clerk
Brian Tisdale, Mayor'
CITY COUNCIL RESOLUTION NO. 2016 -033
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STATE OF CALIFORNIA
COUNTY OF RIVERSIDE SS
CITY OF LAKE ELSINORE
I, Susan M. Domen, MMC, City Clerk of the City of Lake Elsinore, California, hereby
certify that Resolution No. 2016 -033 was adopted by the City Council of the City of Lake
Elsinore at a regular meeting held on the 12th day of April, 2016 by the following vote:
AYES: Council Members Manos, Johnson and Hickman, Mayor Pro Tern Magee,
and Mayor Tisdale
NOES: None
ABSTAIN: None
ABSENT: None
Susan M. Domen, M C, City Clerk
ATTACHMENT A
BALLOT PROPOSITIONS
THE CITY OF LAKE ELSINORE
COMMUNITY FACILITIES DISTRICT NO. 2003 -2
(CANYON HILLS)
SPECIAL TAX AND SPECIAL BOND ELECTION
April 12, 2016
PROPOSITION A: Shall City of Lake Elsinore
Community Facilities District No. 2003 -2 (Canyon Hills)
(the "District ") incur an indebtedness and issue bonds for
Improvement Area E in the maximum principal amount of YES
$3,000,000, with interest at a rate or rates not to exceed
the maximum interest rate permitted by law, to finance NO_
the Facilities and the Incidental Expenses described in
Resolution No. 2016 -021 of the City Council of the City
of Lake Elsinore annexing Improvement Area E to the
District?
YES
PROPOSITION B: Shall a special tax with a rate and
method of apportionment as provided in Resolution No. NO_
2016 -021 of the City Council of the City of Lake Elsinore
annexing Improvement Area E to the District be levied to
pay for the Facilities, Incidental Expenses and other
purposes described in Resolution No. 2016 -021,
including the payment of the principal of and interest on
bonds issued to finance the Facilities and Incidental
Expenses?