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HomeMy WebLinkAboutItem No. 26 PH and Election for Annex CFD No. 2015-1 Safety ServicesVV c. ini- Agenda Date: 6/23/2020 City of Lake Elsinore City Council Agenda Report File Number: ID# 19 -640 Version: 1 130 South Main Street Lake Elsinore, CA 92530 www.lake - elsinore.org Status: Approval Final In Control: City Council / Successor Aqency File Type: Council Public Hearing Agenda Number: 26) Public Hearina and Election for Annexation Proceedinas for Communitv Facilities District CFD) No. 2015 -1 (Safety Services 1. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), ANNEXING TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), AND CALLING ELECTIONS THEREIN; and 2. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) CERTIFYING THE RESULTS OF THE JUNE 23, 2020 ANNEXATION AND SPECIAL TAX ELECTIONS. City of Lake Elsinore Page 1 Printed on 611812020 CITY OF LADE LSIIE , DREAM EXTREME TN REPORT TO CITY COUNCIL To: Honorable Mayor and Members of the City Council From: Grant Yates, City Manager Prepared by: Jason Simpson, Assistant City Manager Date: June 23, 2020 Subject: Public Hearing and Election for Annexation Proceedings for Community Facilities District (CFD) No. 2015 -1 (Safety Services) Recommendation Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), ANNEXING TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), AND CALLING ELECTIONS THEREIN; and 2. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) CERTIFYING THE RESULTS OF THE JUNE 23, 2020 ANNEXATION AND SPECIAL TAX ELECTIONS. Background The City of Lake Elsinore (the "City ") formed the City of Lake Elsinore Community Facilities District No. 2006 -4 (Rosetta Hills) (the "District ") in 2006 pursuant to the Mello -Roos Community Facilities District Act of 1982. The District is located north of Rosetta Canyon Drive, to the east of the Rosetta Canyon Sports Park and south of Highway 74. The land within the District is owned by the Donald S. Clurman Separate Property Trust, Three Strands Properties and Spectrum Communities LLC (collectively, the "Developer "). The development within the District is expected to include approximately 178 single family homes at build -out. While the District was formed in 2006, homebuilding has not yet commenced. Due to revisions in the proposed product mix within the District, the Developer has requested that the District undertake proceedings to, among other changes, amend the current rate and method of apportionment of special taxes with the Amended Rate and Method of Apportionment of Special Taxes. In connection therewith, the Developer has agreed to annex its property into CFD 2015 -1 (Safety Services) (the "Annexation "). The property is currently in City of Lake Elsinore Annexation of CFD 2006 -4 to CFD 2015 -1 Page 2 of 2 Community Facilities District No. 2003 -1 (Law Enforcement, Fire and Paramedic Services) ( "CFD 2003 -1 "). In connection with the Annexation, the City will cancel the existing special tax lien of CFD 2003 -1 on the property within the District. On May 12, 2020, the City Council, acting as the legislative body of CFD 2015 -1, adopted a resolution declaring its intention to annex the District into CFD 2015 -1. The proceedings to undertaken at this meeting will complete the proposed Annexation of property to CFD 2015 -1. Documents to be Approved Following the public hearing to be held, approval of the first resolution will call for an election to be held with respect to the Annexation. The City has received a certificate of the Registrar of Voters certifying that there are less than 12 Registered Voters residing with the District during the 90 days prior to the time of the public hearing. Accordingly, the election to be held will be a landowner election pursuant to which the landowners are the sole eligible voters within the District. The landowners within the District described above have executed consents and waivers to certain election law requirements and to allow the election to be conducted immediately following the public hearing. Following the holding of the election, the City Council will be asked to certify the election results and assuming the passage of the propositions, the property within the District will be annexed to CFD 2015 -1 and the City Clerk will be instructed to record a notice of special tax lien of CFD 2015 -1 on the property within the District. The property within the District will thereafter be subject to the special tax levy of CFD 2015 -1. Fiscal Impact The Developer has made a deposit to pay for the costs of the Annexation. CFD 2015 -1 will annually levy special taxes on all of the taxable property within the District in accordance with the Rate and Method of Apportionment in order to pay for the costs of services and administration of CFD 2015 -1. Exhibits A - Resolution Annexing Property B - Resolution Certifying Election Results C — Landowner Waivers (Tax Zone A) C1 - Landowner Waivers (Tax Zone B) D - Certificate of Registrar of Voters RESOLUTION NO. 2020 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), ANNEXING TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES), AND CALLING ELECTIONS THEREIN Whereas, on March 8, 2016, the City Council (the "City Council ") of the City of Lake Elsinore adopted Resolution No. 2016 -022, declaring its intention to establish Community Facilities District No. 2015 -1 of the City of Lake Elsinore (Safety Services) ( "Community Facilities District No. 2015 -1" 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, after a duly noticed public hearing, the City Council adopted Resolution No. 2016 -035 (the "Resolution of Formation ") establishing Community Facilities District No. 2015 -1 and calling a special election therein to authorize (i) the levy of special taxes pursuant to the rate and method of apportionment of the special tax, as set forth in Attachment "A" attached to the Resolution No. 2016 -022 (the "Original Rate and Method "), and (ii) the establishment of an appropriations limit for Community Facilities District No. 2015 -1; and, Whereas, pursuant to a petition signed by The Donald S. Clurman Separate Property Trust, Three Strands Properties, LLC a California limited liability company and Spectrum Communities, LLC, a California limited liability company (together, the "Owner "), on May 12, 2020, the City Council adopted Resolution No. 2020 -46 (the "Resolution of Intention "), stating its intention to annex the territory described in Attachment "A" to the Resolution of Intention (the "Annexation Territory ") to the District; and, Whereas, a notice of a public hearing to be held on June 23, 2020 was published and mailed to all landowners of the land proposed to be included within the Annexation Territory as required by law relative to the intention of the City Council to annex the Annexation Territory to the District and to levy a special tax in accordance with the Rate and Method (as defined below); and, Whereas, on June 23, 2020, this City Council held a noticed public hearing as required by law relative to the proposed annexation of the Annexation Territory, the levy of special taxes therein in accordance with the attached as Attachment "B" to the Resolution of Intention (the "Rate and Method "), which Rate and Method is identical to the Original Rate and Method in all respects except that Appendix A thereto has been updated in accordance with the terms of the Original Rate and Method to reflect prior annexations to the District and the annexation described herein; and, Whereas, at the June 23, 2020 public hearing all persons desiring to be heard on all matters pertaining to the proposed annexation of the Annexation Territory to the District and the levy of the special taxes within the Annexation Territory in accordance with the Rate and Method were heard and a full and fair hearing was held; and, Whereas, the Annexation Territory is currently located within City of Lake Elsinore Community Facilities District No. 2003 -1 (Law Enforcement, Fire and Paramedic Services) ( "CFD No. 2003- CC Res. No. 2020 - Page 2 of 6 1 ") and the Owner and the District desire to cancel the special tax lien of CFD No. 2003 -1 on the Annexation Territory upon its annexation to the District; and, Whereas, at the public hearing, evidence was presented to the City Council on the matters before it, and the proposed annexation of the Annexation Territory to the District and the levy of special taxes within the Annexation Territory in accordance with the Rate and Method was not precluded by a majority protest of the type described in Section 53339.6 of the Act, and this City Council at the conclusion of the hearing is fully advised as to all matters relating to the annexation of the Annexation Territory and the levy of the special taxes in accordance with the Rate and Method; and, Whereas, the City Council has determined that there have been fewer than twelve registered voters residing in the Annexation Territory for the period of 90 days prior to June 23, 2020 and that the qualified electors in Annexation Territory are the landowners therein; and, Whereas, on the basis of all of the foregoing, the City Council has determined at this time to proceed with the annexation of the Annexation Territory to the District and to call an election within the Annexation Territory to authorize the levy of special taxes pursuant to the Rate and Method. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, ACTING HAS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 (SAFETY SERVICES) OF THE CITY OF LAKE ELSINORE, DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. Each of the above recitals is true and correct. Section 2. The City Council hereby finds and determines that all prior proceedings taken with respect to the establishment of the District and the proposed annexation of the Annexation Territory to the District were valid and in conformity with the requirements of law, including the Act. Section 3. The map showing the original boundaries of the District designated as "Map of Proposed Boundaries of Community Facilities District No. 2015 -1 of the City of Lake Elsinore (Safety Services)," which map is on file in the office of the City Clerk and was recorded pursuant to Sections 3111 and 3113 of the Streets and Highways Code in the City of County Book of Maps of Assessment and Community Facilities Districts in the Assessor - County Clerk - Recorder's office of the County of Riverside in Book No. 79 Page Nos. 45 -46, on March 14, 2016 as Instrument No. 2016 - 00978338. The map showing the Annexation Territory proposed to be annexed to the District and be made subject to taxation are as shown which map is on file in the office of the City Clerk and was recorded pursuant to Sections 3111 and 3113 of the Streets and Highways Code in the City of County Book of Maps of Assessment and Community Facilities Districts in the Assessor - County Clerk- Recorder's office of the County of Riverside in Book No. 85 Page Nos. 17 -18, on May 20, 2020 as Instrument No. 2020 - 0214924. Section 4. The City Council hereby adopts the Rate and Method attached as Attachment "A" to the Resolution of Intention as the applicable rate and method for the Annexation Territory. Except where funds are otherwise available, it is the intention of the City Council, subject to the approval of the eligible voters within the Annexation Territory, to levy the proposed special taxes CC Res. No. 2020 - Page 3 of 6 at the rates within the Annexation Territory set forth in the Rate and Method on all non - exempt property within the Annexation Territory sufficient to pay for (i) the Services (as defined in the Rate and Method), (ii) fund an operating reserve for the costs of Services as determined by the City, and (v) Administrative Expenses (as defined in the Rate and Method). The District expects to incur, and in certain cases has already incurred, Administrative Expenses in connection with the annexation of the Annexation Territory to the District. The rate and method of apportionment of the special tax applicable to the Annexation Territory is described in detail in Attachment "A" to the Resolution of Intention which is incorporated herein by this reference, and the City Council hereby finds that Attachment "A" to the Resolution of Intention contains sufficient detail to allow each landowner within the Annexation Territory to estimate the maximum amount that may be levied against each parcel. The special tax is apportioned to each parcel on the foregoing bases pursuant to Section 53325.3 of the Act and such special tax is not on or based upon the ownership of real property. Section 5. The City's Assistant City Manager will be responsible for preparing annually, or authorizing a designee to prepare, a current roll of special tax levy obligations by assessor's parcel number and will be responsible for estimating future special tax levies pursuant to Section 53340.2 of the Act. The special tax may be levied for such period as the Services are needed, as further described in Attachment "B" to the Resolution of Intention. Section 6. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the Streets and Highways Code, a continuing lien to secure each levy of the special tax shall attach to all non - exempt real property in the Annexation Territory and this lien shall continue in force and effect until the levy of the special tax by the District ceases in accordance with the Rate and Method. Section 7. Consistent with Section 53325.6 of the Act, the City Council finds and determines that the land within the Annexation Territory, if any, devoted primarily to agricultural, timber or livestock uses and being used for the commercial production of agricultural, timber or livestock products is contiguous to other land within the Annexation Territory and will be benefited by the Services proposed to be provided within Community Facilities District No. 2015 -1 and the Annexation Territory. Section 8. It is hereby further determined that there is no ad valorem property tax currently being levied on property within the Annexation Territory for the exclusive purpose of paying for the same services as are proposed to be provided by Community Facilities District No. 2015 -1. Section 9. Written protests against the annexation of the Annexation Territory to the District and the levy of the special tax therein have not been filed by one -half or more of the registered voters within the boundaries of the Annexation Territory or by the property owners of one -half or more of the area of land within the boundaries of the Annexation Territory or the District. The City Council hereby finds that the proposed special tax for the Annexation Territory has not been precluded by a majority protest pursuant to Section 53324 of the Act. Section 10. An election is hereby called for the Annexation Territory on the propositions of annexation to the District and the levying the special tax on the property within such Annexation Territory, pursuant to Section 53339.7 of the Act. The propositions to be placed on the ballot for the Annexation Territory are attached hereto as Attachments "A." Following certification of a landowner vote in favor of the annexation of the Annexation Territory to the District and the levy of the special tax therein, the District shall record a notice of cancellation of special tax lien with respect to CFD No. 2003 -1 for the Annexation Territory. CC Res. No. 2020 - Page 4 of 6 Section 11. The date of the foregoing election for the proposed Annexation Territory shall be June 23, 2020, or such later date as is consented to by the City Clerk and the landowners within the Annexation Territory. The City Clerk shall conduct the elections. Except as otherwise provided by the Act, the elections shall be conducted by personally delivered or mailed ballot and, except as otherwise provided by the Act, the elections shall be conducted in accordance with the provisions of law regulating elections of the City insofar as such provisions are determined by the City Clerk to be applicable. Section 12. It is hereby found that there are not more than twelve registered voters within the territory of the Annexation Territory, and, pursuant to Section 53339.7 of the Act, each landowner who is the owner of record on the date hereof, or the authorized representative thereof, shall have one vote for each acre or portion thereof that he or she owns within the Annexation Territory. Section 13. This Resolution shall be effective upon its adoption Passed and Adopted on this 23 d day of June, 2020. Brian Tisdale, Mayor Attest: Candace Alvarez, MMC City Clerk CC Res. No. 2020 - Page 5 of 6 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF LAKE ELSINORE ) I, Candace Alvarez, MMC, City Clerk of the City of Lake Elsinore, California, do hereby certify that Resolution No. 2020- was adopted by the City Council of the City of Lake Elsinore, California, at the Regular meeting of June 23, 2020 and that the same was adopted by the following vote: AYES: NOES: ABSENT: ABSTAIN: Candace Alvarez, MMC City Clerk ATTACHMENT "A" SAMPLE BALLOT COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF CITY OF LAKE ELSINORE (SAFETY SERVICES) ANNEXATION AND SPECIAL TAX ELECTION June 23, 2020 This ballot represents votes. To vote, write or stamp a cross ( " +" or "X ") in the voting square after the word "YES" or after the word "NO ". All marks otherwise made are forbidden. All distinguishing marks are forbidden and make the ballot void. If you wrongly mark, tear or deface this ballot, return it to the City Clerk of City of Lake Elsinore and obtain another. PROPOSITION A: Shall the territory described in Attachment "A" of Resolution No. 2020 -46 of the City Council of the City of Lake Elsinore be annexed to Community Facilities District No. 2015 -1 of the City of Lake YES Elsinore (Safety Services)? NO PROPOSITION B: Shall a special tax with a rate and method of apportionment as provided in Attachment "B" to Resolution No. 2020 -46 of YES the City Council of the City of Lake Elsinore be levied to pay for the Services and other purposes described in Resolution No. 2016 -035? NO ATTACHMENT A RESOLUTION NO. 2020- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) CERTIFYING THE RESULTS OF THE JUNE 23, 2020 ANNEXATION AND SPECIAL TAX ELECTIONS Whereas, the City Council (the "City Council ") of City of Lake Elsinore (the "City ") called and duly held consolidated elections on June 23, 2020 within the boundaries of certain territory (the "Annexation Territory") described in Attachment "A" to Resolution No. 2020 -46 adopted by the City Council on May 12, 2020, which territory is to be annexed to Community Facilities District No. 2015 -1 (Safety Services) of the City of Lake Elsinore ( "Community Facilities District No. 2015 -1" or the "District ") pursuant to Resolution No. for the purpose of presenting to the qualified electors within the Annexation Territory the propositions attached hereto as Attachment A; and, Whereas, there has been presented to this City Council a certificate of the City Clerk canvassing the results of the election, a copy of which is attached hereto as Attachment B. NOW, THEREFORE, THE CITY COUNCIL OF CITY OF LAKE ELSINORE, ACTING HAS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS: Section 1. Each of the above recitals is true and correct and is adopted by the legislative body of the District. Section 2. Propositions A and B presented to the qualified electors of the Annexation Territory on June 23, 2020 were approved by more than two - thirds of the votes cast at the election held for the Annexation Territory and Propositions A and B each has carried. The City Council, acting as the legislative body of the District, is hereby authorized to levy on the land within the Annexation Territory, which is hereby annexed to the District in accordance with Proposition A, the special tax described in Proposition B for the purposes described therein. Section 4. The City Council, acting as the legislative body of the District, is hereby authorized to take the necessary steps to levy the special tax authorized by Proposition B in accordance with Ordinance No. 2016 -1356 approved by the City Council, acting as the legislative body of the District. Section 5. The City Clerk is hereby directed to record in the Office of the County Recorder within fifteen days of the date hereof a notice of special tax lien for the Annexation Territory which Bond Counsel to the District shall prepare in the form required by Streets and Highways Code Section 3114.5. Annexation CFD 2006 -4 to CFD 2015 -1 June 23, 2020 Page 2of4 Passed and Adopted on this 2311 day of June, 2020. Attest: Candace Alvarez, MMC City Clerk STATE OF CALIFORNIA COUNTY OF RIVERSIDE CITY OF LAKE ELSINORE I, Candace Alvarez, MMC, that Resolution No. 2020 - California, at the Regular following vote: AYES: NOES: ABSENT: ABSTAIN: Brian Tisdale, Mayor ) ss. City Clerk of the City of Lake Elsinore, California, do hereby certify was adopted by the City Council of the City of Lake Elsinore, neeting of June 23, 2020 and that the same was adopted by the Candace Alvarez, MMC City Clerk 2 ATTACHMENT "A" SAMPLE BALLOT COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF CITY OF LAKE ELSINORE (SAFETY SERVICES) ANNEXATION AND SPECIAL TAX ELECTION June 23, 2020 This ballot represents votes. To vote, write or stamp a cross ( " +" or "X ") in the voting square after the word "YES" or after the word "NO ". All marks otherwise made are forbidden. All distinguishing marks are forbidden and make the ballot void. If you wrongly mark, tear or deface this ballot, return it to the City Clerk of City of Lake Elsinore and obtain another. PROPOSITION A: Shall the territory described in Attachment "A" of Resolution No. 2020 -46 of the City Council of the City of Lake Elsinore be annexed to Community Facilities District No. 2015 -1 of the City of Lake YES Elsinore (Safety Services)? NO PROPOSITION B: Shall a special tax with a rate and method of apportionment as provided in Attachment "B" to Resolution No. 2020 -46 of YES the City Council of the City of Lake Elsinore be levied to pay for the Services and other purposes described in Resolution No. 2016 -035? NO ATTACHMENT A ATTACHMENT B CERTIFICATE OF CITY CLERK AS TO THE RESULTS OF THE CANVASS OF THE ELECTION RETURNS I, Candace Alvarez, MMC, City Clerk of the City of Lake Elsinore, do hereby certify that I have examined the returns of the Annexation and Special Tax Election for City of Lake Elsinore Community Facilities District No. 2015 -1 (Safety Services) (the "District "). The election was held in the Lake Elsinore Cultural Center at 183 North Main Street, Lake Elsinore, California, on June 23, 2020. 1 caused to be delivered ballots to each qualified elector. (_) ballots were returned. I further certify that the results of said election and the number of votes cast for and against Propositions A and B are as follows: PROPOSITION A PROPOSITION B YES: YES: NO: NO: TOTAL: TOTAL: Dated this 23rd day of "June, 2020. Candace Alvarez, MMC Candace Alvarez, MMC, City Clerk City of Lake Elsinore ATTACHMENT B WAIVER OF CERTAIN ELECTION PROCEDURES WITH RESPECT TO LANDOWNER ELECTION FOR COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) The undersigned, Don Clurman, acting on behalf of THE DONALD S. CLURMAN SEPARATE PROPERTY TRUST (the "Owner "), hereby certifies to the City of Lake Elsinore (the "City "), with respect to the proposed annexation of territory to Community Facilities District No. 2015 -1 of the City of Lake Elsinore (Safety Services) (the "District "), as follows: 1. The undersigned has been duly authorized by the Owner and possesses all authority necessary to execute this Waiver on behalf of the Owner in connection with the election to be called by the City Council of the City with respect to the District. The Owner hereby appoints Don Clurman to act as its authorized representative to vote in the election referred to herein and certifies that his true and exact signature is set forth below: Signature of Don Clurman: 2. The Owner is the present owner of 49.1 acres of land as described in Exhibit "A" hereto (the "Annexation Territory "). There are no registered voters residing within the Annexation Territory owned by the Owner and have been none during the 90 -day period preceding June 23, 2020. 3. The Owner has received notice of the June 23, 2020 public hearing to be held by the City Council of the City regarding the approval of (i) annexation of the Annexation Territory to the District and (ii) the levy of special taxes within the Annexation Territory in accordance with the rate and method for the District. The Owner agrees that it received adequate notice of the June 23, 2020 hearing. 4. The Owner has received from the City and the City has made available to the Owner necessary and relevant information regarding the proposed annexation and levy of the special tax, as set forth in Resolution No. 2020 -46 adopted by the City Council on May 12, 2020 (the "Resolution "). 5. The undersigned understands that if the proceedings for the annexation of the Annexation Territory to the District are undertaken on or after June 23, 2020, an election will be held by the District on the propositions set forth in the sample ballot attached hereto as Exhibit "B" less than 90 days after the close of the June 23, 2020 public hearing as in accordance with Section 53339.7 of the Government Code, without the preparation of an impartial analysis, arguments or rebuttals concerning the election as provided for by Elections Code Sections 9160 to 9167, inclusive, and 9190 and without preparation of a tax rate statement as provided in Section 9401 of the Elections Code and without further notice of such election as required pursuant to the Elections Code or the Government Code. Having been fully advised with respect to the election, in accordance with the authority contained in Government Code Section 53339.7, the Owner waives compliance with the foregoing provisions of the Elections Code and Government Code, with any time limits or other procedural requirements pertaining to the conduct of the election which are not being complied with and consents to having the election on any date on or after the close of the June 23, 2020 public hearing and consents to the closing of the election as soon as all ballots are received by the City Clerk. 6. The undersigned hereby represents that compliance with the procedural requirements for conducting the election, including the receipt of any ballot arguments and impartial analysis and the time limitations which apply in connection with scheduling, mailing and publishing notices for such an election, are unnecessary in light of the fact that the undersigned has received sufficient information regarding the annexation of the Annexation Territory to the District and imposition of the special tax as set forth in the Resolution to allow it to properly complete the attached ballot. The Owner further waives its right to make any protest or complaint or undertake any legal action challenging the validity of the election or the levy of the special tax to finance services for the benefit of the Annexation Territory. Dated: June , 2020 THE DONALD S. CLURMAN SEPARATE PROPERTY TRUST 2 Don Clurman, Trustee ATTACHMENT "A" DESCRIPTION OF PROPERTY LOTS 1 THROUGH 158, INCLUSIVE AND LETTERED LOTS K THROUGH P, SHOWN ON THE MAP ENTITLED TRACT NO. 30698 FILED OCTOBER 19, 411 OF TRACT MAPS, AT PAGES 42 -50, AMENDED BY CERTIFICATE OF RECORDED NOVEMBER 18, 2015 AS INSTRUMENT NO. 2015 - 0506634 I N LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA RECORDS. A -1 INCLUSIVE, AS 2006 IN BOOK CORRECTION THE CITY OF COUNTY OF ATTACHMENT "B" SAMPLE BALLOT COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF CITY OF LAKE ELSINORE (SAFETY SERVICES) ANNEXATION AND SPECIAL TAX ELECTION June 23, 2020 This ballot represents votes. To vote, write or stamp a cross ( " +" or "X ") in the voting square after the word "YES" or after the word "NO ". All marks otherwise made are forbidden. All distinguishing marks are forbidden and make the ballot void. If you wrongly mark, tear or deface this ballot, return it to the City Clerk of City of Lake Elsinore and obtain another. PROPOSITION A: Shall the territory described in Attachment "A" of Resolution No. 2020 -46 of the City Council of the City of Lake Elsinore be annexed to Community Facilities District No. 2015 -1 of the City of Lake YES Elsinore (Safety Services)? NO PROPOSITION B: Shall a special tax with a rate and method of apportionment as provided in Attachment "B" to Resolution No. 2020 -46 of YES the City Council of the City of Lake Elsinore be levied to pay for the Services and other purposes described in Resolution No. 2016 -035? NO B -1 WAIVER OF CERTAIN ELECTION PROCEDURES WITH RESPECT TO LANDOWNER ELECTION FOR COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES) The undersigned, acting on behalf of THREE STRANDS PROPERTIES, LLC, a California limited liability company and SPECTRUM COMMUNITIES, LLC, a California limited liability company (together, the "Owner "), hereby certifies to the City of Lake Elsinore (the "City "), with respect to the proposed annexation of territory to Community Facilities District No. 2015 -1 of the City of Lake Elsinore (Safety Services) (the "District "), as follows: 1. The undersigned has been duly authorized by the Owner and possesses all authority necessary to execute this Waiver on behalf of the Owner in connection with the election to be called by the City Council of the City with respect to the District. The Owner hereby appoints Don Clurman to act as its authorized representative to vote in the election referred to herein and certifies that his true and exact signature is set forth below: Signature of Don Clurman: 2. The Owner is the present owner of 10.6 acres of land as described in Exhibit "A" hereto (the "Annexation Territory"). There are no registered voters residing within the Annexation Territory owned by the Owner and have been none during the 90 -day period preceding June 23, 2020. 3. The Owner has received notice of the June 23, 2020 public hearing to be held by the City Council of the City regarding the approval of (i) annexation of the Annexation Territory to the District and (ii) the levy of special taxes within the Annexation Territory in accordance with the rate and method for the District. The Owner agrees that it received adequate notice of the June 23, 2020 hearing. 4. The Owner has received from the City and the City has made available to the Owner necessary and relevant information regarding the proposed annexation and levy of the special tax, as set forth in Resolution No. 2020 -46 adopted by the City Council on May 12, 2020 (the "Resolution "). 5. The undersigned understands that if the proceedings for the annexation of the Annexation Territory to the District are undertaken on or after June 23, 2020, an election will be held by the District on the propositions set forth in the sample ballot attached hereto as Exhibit "B" less than 90 days after the close of the June 23, 2020 public hearing as in accordance with Section 53339.7 of the Government Code, without the preparation of an impartial analysis, arguments or rebuttals concerning the election as provided for by Elections Code Sections 9160 to 9167, inclusive, and 9190 and without preparation of a tax rate statement as provided in Section 9401 of the Elections Code and without further notice of such election as required pursuant to the Elections Code or the Government Code. Having been fully advised with respect to the election, in accordance with the authority contained in Government Code Section 53339.7, the Owner waives compliance with the foregoing provisions of the Elections Code and Government Code, with any time limits or other procedural requirements pertaining to the conduct of the election which are not being complied with and consents to having the election on any date on or after the close of the June 23, 2020 public hearing and consents to the closing of the election as soon as all ballots are received by the City Clerk. 6. The undersigned hereby represents that compliance with the procedural requirements for conducting the election, including the receipt of any ballot arguments and impartial analysis and the time limitations which apply in connection with scheduling, mailing and publishing notices for such an election, are unnecessary in light of the fact that the undersigned has received sufficient information regarding the annexation of the Annexation Territory to the District and imposition of the special tax as set forth in the Resolution to allow it to properly complete the attached ballot. The Owner further waives its right to make any protest or complaint or undertake any legal action challenging the validity of the election or the levy of the special tax to finance services for the benefit of the Annexation Territory. Dated: June , 2020 THREE STRANDS PROPERTIES, LLC, a California limited liability company By: Name: Title: SPECTRUM COMMUNITIES, LLC, a California limited liability company By: Name: Title: 2 ATTACHMENT "A" DESCRIPTION OF PROPERTY THE NORTHWEST ONE - QUARTER OF THE NORTHWEST ONE - QUARTER OF THE SOUTHEAST ONE - QUARTER OF SECTION 29, TOWNSHIP 5 SOUTH, RANGE 4 WEST, SAN BERNARDINO MERIDIAN, IN THE CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF. AND LOT P OF TRACT NO. 30698, IN THE CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, FILED IN BOOK 411, OF MAPS, PAGES 42 THROUGH 50, INCLUSIVE, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. A -1 ATTACHMENT "B" SAMPLE BALLOT COMMUNITY FACILITIES DISTRICT NO. 2015 -1 OF CITY OF LAKE ELSINORE (SAFETY SERVICES) ANNEXATION AND SPECIAL TAX ELECTION June 23, 2020 This ballot represents votes. To vote, write or stamp a cross ( " +" or "X ") in the voting square after the word "YES" or after the word "NO ". All marks otherwise made are forbidden. All distinguishing marks are forbidden and make the ballot void. If you wrongly mark, tear or deface this ballot, return it to the City Clerk of City of Lake Elsinore and obtain another. PROPOSITION A: Shall the territory described in Attachment "A" of Resolution No. 2020 -46 of the City Council of the City of Lake Elsinore be annexed to Community Facilities District No. 2015 -1 of the City of Lake YES Elsinore (Safety Services)? NO PROPOSITION B: Shall a special tax with a rate and method of apportionment as provided in Attachment "B" to Resolution No. 2020 -46 of YES the City Council of the City of Lake Elsinore be levied to pay for the Services and other purposes described in Resolution No. 2016 -035? NO B -1 REBECCA SPENCER Registrar of Voters State of California s o* *fl i 9 AY9,1$ q REGISTRAR OF VOTERS COUNTY OF RIVERSIDE CERTIFICATE OF REGISTRAR OF VOTERS ) ss County of Riverside ) ART TINOCO Assistant Registrar of Voters I, Rebecca Spencer, Registrar of Voters of said County, hereby certify that: (A) I have been furnished a map describing the proposed boundary of Community Facilities District No. 2015 -1 (Safety Services), Annexation No. 7 of the City of Lake Elsinore, of the County of Riverside, State of California; (B) On April 30, 2020, 1 conducted, or caused to be conducted, a review of the voter registration records of the County of Riverside forthe purpose of determining the number of voters registered to vote within the proposed boundary of Community Facilities District No. 2015 -1 (Safety Services), Annexation No. 7 of the City of Lake Elsinore, of the County of Riverside. (C) There are 0 registered voters residing within the proposed boundary of Community Facilities District No. 2015 -1 (Safety Services), Annexation No. 7 of the City of Lake Elsinore, of the County of Riverside. IN WITNESS WHEREOF, I have executed this Certificate on this 301h day of April 2020. Rebecca Spencer Registrar of Voters 'X By: —� �1 Art Tinoco Assistant Registrar of Voters 2720 Gateway Drive I Riverside, CA 92507 -0921 Mailing address: 2724 Gateway Drive 1 Riverside, CA 92507 -0918 (951) 486 -7200 1 TTY (951) 697 -8966 1 FAX (951) 486 -7272 www.voteinfo.net