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HomeMy WebLinkAboutItem # 9 Annual Continuining Disclosure Reports -Exhibit H Summerly CFD 2006-1 IA B 2015ATable of Contents City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 Sections 1. District Profile 1 2. Property Ownership 2 3. Payment History 3 4. Bond Funds 4 5. Listed Events 5 Tables Table 2-1 Property Breakdown by Development Status 2 Table 3-1 Delinquency Summary 3 Table 4-1 Fund Balances 4 Appendices Appendix A – Debt Service Schedule Appendix B – California Debt and Investment Advisory Commission Appendix C – Boundary Map City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 City of Lake Elsinore Community Facilities District No. 2006-1 IA B Local Agency Revenue Bonds, 2015 Series A (CUSIP 509632) Maturity Date September 1 Principal Interest Rate CUSIP Suffix 2016 30,000 2.000 LL7 2017 35,000 2.000 LM5 2018 40,000 2.000 LN3 2019 40,000 2.000 LP8 2020 45,000 2.000 LQ6 2021 50,000 2.125 LR4 2022 55,000 2.250 LS2 2023 60,000 2.500 LT0 2024 65,000 3.000 LU7 2025 70,000 3.000 LV5 2026 75,000 3.000 LW3 2027 80,000 3.125 LX1 2028 85,000 3.125 LY9 2029 90,000 3.250 LZ6 2030 100,000 3.250 MA0 2031 105,000 3.375 MB8 2032 110,000 3.375 MC6 2033 120,000 3.500 MD4 2034 125,000 3.500 ME2 2035 135,000 3.500 MF9 2044 1,685,000 3.625 MG7 This Annual Continuing Disclosure Report (“Report”) for Community Facilities District No. 2006-1 IA B Local Agency Revenue Bonds, 2015 Series A of the City of Lake Elsinore (the “District” or “CFD No. 2006-1 IA B”), has been prepared by Spicer Consulting Group, LLC. using data as of June 30, 2016 unless noted otherwise. The information referenced by parenthesis complies with the various sections required from the Form of Continuing Disclosure Agreement for the Bonds. If you have any questions regarding the information provided in this report, please contact the City’s Special Tax Consultant, Spicer Consulting Group at (866) 504-2067. 1. District Profile Page City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 Community Facilities District No. 2006-1 Improvement Area B (Summerly) Local Agency Revenue Bonds 2015 Series A Project Description The District was formed in 2006 and initially consisted of three Improvement Areas (Improvement Area Nos. 1 through 3); in 2011, the City reconfigured the District into six Improvement Areas (Improvement Areas A, B, CC through FF), and one remainder Improvement Area (Improvement Area 1). The net proceedings of the Bonds, along with other available funds will be used to finance a portion of certain public facilities eligible to be financed by Improvement Area B, to pay the cost of issuing the bonds, to fund capitalized interest on the Bonds through September 1, 2015, and to fund the Reserve Account established under the Indenture. Location The boundaries of the District are included within the development generally known as Summerly. The primary entrance to the District is located at the intersection of Village Parkway with Diamond Drive approximately 0.8 miles from the I-15 freeway. Although not in the District, the Links at Summerly, a par 72 golf course, is part of the greater Summerly development. The Lake Elsinore Diamond Stadium is located adjacent to the Summerly development across Diamond Drive. 2015 Series A Bonds (Section 4a) The 2015 Series A Bonds (the “Bonds”) in the amount of $3,200,000 were issued February 18, 2015, with interest rates ranging from 2.000% to 3.625%. Interest is payable semi-annually on March 1 and September 1. The date for the final maturity of the Bonds is September 1, 2044. The principal amount of the Bonds Outstanding as of September 30, 2016 was $3,170,000. Debt Service Schedule (Section 4f) A current Debt Service Schedule is included with this Report see Appendix A. Rate and Method of Apportionment There were no changes to the Rate and Method of Apportionment during Fiscal Year 2015-16. 2. Property Ownership Page City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 The following table presents certain property data and the development status of the District. Table 2-1 Property Breakdown by Development Status (Section 4e) Development Status Parcels Total Special Tax FY 2016-17 % of Total Special Tax Land Value Structure Value Total Assessed Value % of Total AV Developed 182 $165,971.42 100.00% $13,735,804.00 $43,189,566.00 $56,925,370.00 100.00% Total 182 $165,971.42 100.00% $13,735,804.00 $43,189,566.00 $56,925,370.00 100.00% As of September 30, 2016 CFD No. 2006-1 IA B is completely developed. Prepayments (Section 4h) No property prepaid their Special Tax Obligation for the District for the preceding Fiscal Year. 3. Payment History Page City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 Delinquencies are calculated through October 2016. The delinquency summary tables below provide an overview of delinquency rates for previous years. Table 3-1 Delinquency Summary (Section 4c) Fiscal Year Levied Delinquent Parcels Special Tax Parcels Amount Del. Rate 2015-16 182 $157,055.10 0 $0.00 0.00% Foreclosure Covenant (Section 4d) The District will review the public records of the County in connection with the collection of the Special Tax not later than July 31 of each year to determine the amount of Special Tax collected in the prior Fiscal Year; and with respect to individual delinquencies, the District will send or cause to be sent a notice of delinquency and a demand for immediate payment thereof to the property owner within 45 days of such determination, and if the District determines that any single property owner subject to the Special Tax is delinquent in the payment of Special Taxes in the aggregate of $10,000 or more or delinquent in the payment of three consecutive installments of Special Tax or that the delinquent Special Taxes represent more than 5% of the aggregate Special Taxes levied within Improvement Area B of the District or if there have been a draw on the Funds on deposit in the Reserve Account established under the Indenture and if the delinquency remains uncured, the District will cause judicial foreclosure proceedings to be filed in the superior court against all properties for which the Special Taxes remain delinquent. Prior to commencement of any judicial foreclosure proceedings, the District shall continue with its efforts to collect the delinquent Special Taxes by sending subsequent notice of delinquency and a demand for immediate payment thereof. The District may treat any delinquent Special Tax sold to an independent third-party or to any funds of the City for at least 100% of the delinquent amount as having been paid. Proceeds of any such sale up to 100% of the delinquent amount shall be deposited in the Special Tax Fund. There are no foreclosure actions at this time. 5. Bond Funds Page City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 Reserve Account (Section 4b) The Reserve Fund must be maintained at the Reserve Requirement which is defined, as of any date of calculation, as an amount equal to the least of (a) 10% of the proceeds of the Bonds, (b) 125% of average Annual Debt Service on the Outstanding Bonds, or (c) Maximum Annual Debt Service on the Outstanding Bonds. In the event that special tax revenue is insufficient to pay debt service, money may be transferred from this Fund to the appropriate account of the Bond Fund. The Reserve Fund will then be replenished by increasing the next year’s special tax levy to the extent permitted by law. As of September 30, 2016, the balance in the Reserve Fund was $230,160.37 and the Reserve Requirement was $230,147.83 Cash Flow Management Fund (Section 4b) The Cash Flow Management Fund Requirement is, as of any calculation date, an amount equal to 15% of the Maximum Annual Debt Service. Delinquency Management Fund (Section 4b) The Delinquency Management Fund Requirement is, as of any calculation date, an amount equal to 15% of the maximum Annual Debt Service. On the Closing Date, there will not be any amounts deposited in or on deposit in the Delinquency Management Fund. On September 2 of each year, commencing September 2, 2015, the Fiscal Agent will transfer any amounts remaining in the Special Tax Fund following disbursement to the Interest Account and the Principal Account to the Delinquency Management Fund. Table 4-1 Fund Balances Account Requirement September 30, 2016 Balance Reserve Fund $230,147.83 $230,160.37 Cash Flow Management Fund $36,527.81 $38,234.39 Delinquency Management Fund $36,527.81 $1,300.22 Total $269,694.98 As of September 30, 2016 the balance in the Delinquency Management Fund was under the requirement. Financial Statements (Section 4) PLEASE NOTE: The City of Lake Elsinore Fiscal Year ending June 30, 2016 Comprehensive Annual Financial Report (CAFR) is submitted to the Municipal Securities Rulemaking Board using EMMA (Electronic Municipal Market Access) under separate cover and is incorporated herein by reference. 6. Listed Events Page City of Lake Elsinore Annual Continuing Disclosure Report CFD No. 2006-1 IA B Fiscal Year Ending June 30, 2016 The following events as set forth in Rule 15c2-12 promulgated by the Securities and Exchange Commission are considered material by the District. (Section 5) 1. principal or interest payment delinquencies; Not Applicable 2. non-payment related defaults, if material; Not Applicable 3. modifications to the rights of the Bond Owner, if material; Not Applicable 4. optional, contingent or unscheduled calls, if material, and tender offers; Not Applicable 5. defeasances; Not Applicable 6. rating changes; Not Applicable 7. adverse tax opinions or the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the Bonds or other material events affecting the tax status of the Bonds; Not Applicable 8. unscheduled draws on the debt service reserves reflecting financial difficulties; Not Applicable 9. unscheduled draws on the credit enhancements reflecting financial difficulties; Not Applicable 10. substitution of the credit or liquidity providers or their failure to perform; Not Applicable 11. release, substitution or sale of property securing repayment of the Bonds, if material; Not Applicable 12. bankruptcy, insolvency, receivership or similar proceedings of the Authority, which shall occur as described below; Not Applicable 13. appointment of a successor or additional trustee or the change of name of a trustee, if material, or; Not Applicable 14. the consummation of a merger, consolidation, or acquisition involving the Authority or the sale of all or substantially all of the assets of the Authority other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material. Not Applicable Notice for events described in Section 5(a), subsections 4 and 5 of the Disclosure Certificate need not be given under this sub- section any earlier than the notice (if any) of the underlying event given to holders of affected Bonds pursuant to the Fiscal Agent Agreement. Appendix A Debt Service Schedule Appendix B California Debt and Investment Advisory Commission Appendix C Boundary Map BOUNDARY MAPCOMMUNITY FACILITIES DISTRICT NO. 2006-1 IMPROVEMENT AREA B (SUMMERLY)