HomeMy WebLinkAboutItem No. 06 Second Reading Ordinance CFD No. 2006-6 TesseraCity Council Agenda Report
City of Lake Elsinore 130 South Main Street
Lake Elsinore, CA 92530
www.lake-elsinore.org
File Number: TMP 21-007
Agenda Date: 1/26/2021 Status: Approval FinalVersion: 1
File Type: Council Consent
Calendar
In Control: City Council / Successor Agency
Agenda Number: 6)
Second Reading of Ordinance Regarding Community Facilities District No. 2006-6 (Tessera)
Adopt by title only and waive further reading of AN ORDINANCE OF THE CITY COUNCIL OF CITY OF
LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF CITY OF LAKE
ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-6 (TESSERA) AUTHORIZING THE LEVY
OF A SPECIAL TAX WITHIN SUCH DISTRICT.
Page 1 City of Lake Elsinore Printed on 1/21/2021
REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Candice Alvarez, MMC, City Clerk
Date: January 26, 2021
Subject: Second Reading of Ordinance Regarding Community Facilities
District No. 2006-6 (Tessera)
Recommendation
Adopt by title only and waive further reading of AN ORDINANCE OF THE CITY COUNCIL
OF CITY OF LAKE ELSINORE, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY
OF CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006 -6
(TESSERA) AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN SUCH DISTRICT.
Background
At its Regular meeting on January 12, 2021, the City Council introduced by title only and
waived further reading of the Ordinance.
Exhibit
Exhibit A – Ordinance
ORDINANCE NO. 2021-1445
AN ORDINANCE OF THE CITY COUNCIL OF CITY OF LAKE ELSINORE,
CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF CITY OF LAKE
ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-6 (TESSERA)
AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN SUCH DISTRICT
Whereas, on June 27, 2006, the City Council of the City of Lake Elsinore (the “City
Council”) adopted Resolution No. 2006-95 stating its intention to form City of Lake Elsinore
Community Facilities District No. 2006-6 (Tessera) (“Community Facilities District No. 2006-6” 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 June 27, 2006, the City Council also adopted Resolution No. 2006-096
stating its intention to incur bonded indebtedness within the District in the amount not to exceed
$5,000,000 to finance the facilities and improvements identified in Resolution No. 2006-133
(collectively, the “Improvements”); and the incidental expenses to be incurred in financing the
Improvements and forming and administering the District (the “Incidental Expenses”); and,
Whereas, pursuant to Resolution No. 2006-95, the City Council also stated its intention to
finance parks, open space and storm drain maintenance services (the “Services”) within the
District through the levy of a services special tax in accordance with the Rate and Method (as
defined below); and,
Whereas, a notice calling a public hearing on August 8, 2006, was published as required
by law relative to the intention of the City Council to establish Community Facilities District
No. 2006-6 and to incur bonded indebtedness within Community Facilities District No. 2006-6;
and,
Whereas, on August 8, 2006, the City Council conducted a noticed public hearing to
determine whether it should proceed with the establishment of Community Facilities District
No. 2006-6, issue bonds for the benefit of Community Facilities District No. 2006-6 to pay for the
Improvements and Incidental Expenses and authorize the rate and method of apportionment of
the special taxes in the form attached as Exhibit A to the Resolution of Formation (as defined
below) (the “Rate and Method”) to be levied within Community Facilities District No. 2006-6 for
the purposes described in the Resolution of Formation; and,
Whereas, at the August 8, 2006, public hearing all persons desiring to be heard on all
matters pertaining to the establishment of Community Facilities District No. 2006-6, the levy of
the special taxes in accordance with the Rate and Method and the issuance of bonds within
Community Facilities District No. 2006-6 to pay for the cost of the proposed Improvements and
Incidental Expenses were heard and a full and fair hearing was held; and,
Whereas, after the public hearing, on August 8, 2006, the City Council adopted Resolution
Nos. 2006-133 (the “Resolution of Formation”) and 2006-134 (the “Resolution to Incur Bonded
Indebtedness”) which formed the District and called a special election on August 8, 2006, within
the District on propositions relating to the levying of the special taxes, the incurring of bonded
indebtedness and the establishment of an appropriations limit for the District, which were
approved by more than two-thirds vote by the qualified electors on August 8, 2006; and,
CC Res. No. 2021-1445
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Whereas, pursuant to Resolution No. 2006-135, adopted on August 8, 2006, the City
Council, acting as the legislative body of Community Facilities District No. 2006-6, declared the
results of the special election and directed the recording of notices of special tax liens within
Community Facilities District No. 2006-6; and,
Whereas, the District received a petition signed by JLJ, L.P., a California limited
partnership (the “Owner”), which owns all of the land within Community Facilities District No. 2006-
6, which petition meets the requirements of Section 53332 of the Act, requesting that the District
initiate proceedings to approve the new rate and method of apportionment for Community
Facilities District No. 2006-6, attached to the Resolution of Intention (as defined below) as
Attachment “B” (the “First Amended and Restated Rate and Method”); and; and,
Whereas, on December 8, 2020, the City Council, acting as the legislative body of
Community Facilities District No. 2006-6, adopted Resolution No. 2020-99 (the “Resolution of
Intention”), stating its intention to consider the approval of the First Amended and Restated Rate
and Method; and,
Whereas, a notice calling a public hearing on January 12, 2021, was published as
required by law relative to the intention of the City Council to consider the approval the First
Amended and Restated Rate and Method; and,
Whereas, on January 12, 2021, this City Council conducted a noticed public hearing to
determine whether it should proceed with the approval of the First Amended and Restated Rate
and Method; and,
Whereas, at the January 12, 2021, public hearing all persons desiring to be heard on all
matters pertaining to the approval of the First Amended and Restated Rate and Method were
heard and a full and fair hearing was held; and,
Whereas, on January 12, 2021, following the close of the public hearing, the City Council
adopted Resolution No. _____ (the “Change Resolution”), which called a special election on
January 12, 2021 within Community Facilities District No. 2006-6 on the approval of the First
Amended and Restated Rate and Method; and,
Whereas, on January 12, 2021, a special election was held within Community Facilities
District No. 2006-6 at which the qualified electors approved by more than a two-thirds vote,
Proposition A, approving the First Amended and Restated Rate and Method for Community
Facilities District No. 2006-6.
NOW, THEREFORE, THE CITY COUNCIL, ACTING AS THE LEGISLATIVE BODY OF
CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-6 (TESSERA),
ORDAINS AS FOLLOWS:
Section 1. The above recitals are all true and correct.
Section 2. By the passage of this Ordinance, the City Council authorizes the levy of a
special tax within Community Facilities District No. 2006-6 at the maximum rates and in
accordance with the First Amended and Restated Rate and Method.
Section 3. The City Council is hereby further authorized to determine in each
subsequent fiscal year, by ordinance, or by resolution if permitted by then applicable law, on or
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before August 10 of each year, or such later date as is permitted by law, the specific special tax
rate and amount to be levied on each parcel of land in the District pursuant to the First Amended
and Restated Rate and Method. The special tax rates to be levied pursuant to the First Amended
and Restated Rate and Method shall not exceed the applicable maximum rates set forth therein,
but the special tax may be levied at a lower rate.
Section 4. Properties or entities of the state, federal or other local governments shall
be exempt from the special tax, except as otherwise provided in Sections 53317.3 and 53317.5
of the Act and the First Amended and Restated Rate and Method. No other properties or entities
are exempt from the special tax unless the properties or entities are expressly exempted in the
Resolution of Formation and the Change Resolution, or in a resolution of consideration to levy a
new special tax or special taxes or to alter the rate or method of apportionment of an existing
special tax as provided in Section 53334 of the Act.
Section 5. All of the collections of the special tax pursuant to the First Amended and
Restated Rate and Method shall be used as provided for in the Act, the Resolution of Formation
and the Change Resolution. The special tax shall be levied within the District only so long as
needed for the purposes described in the Resolution of Formation and in the Change Resolution.
Section 6. The special tax levied pursuant to the First Amended and Restated Rate
and Method 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 (which such procedures include the
exercise of all rights and remedies permitted by law to make corrections, including, but not limited
to, the issuance of amended or supplemental tax bills), as such procedure may be modified by
law or by this Council from time to time.
Section 7. As a cumulative remedy, if any amount levied as a special tax for payment
of the interest or principal of any bonded indebtedness of the District, together with any penalties
and other charges accruing under this Ordinance, are not paid when due, the City Council may,
not later than four years after the due date of the last installment of principal on the Bonds, order
that the same be collected by an action brought in the superior court to foreclose the lien of such
special tax.
Section 8. The Mayor shall sign this Ordinance and the City Clerk shall attest to the
Mayor’s signature and then cause the same to be published within fifteen (15) days after its
passage at least once in a newspaper of general circulation published and circulated in the City
of Lake Elsinore.
Section 9. This Ordinance relating to the levy of the special tax within the District shall
take effect 30 days following its final passage, and the specific authorization for adoption is
pursuant to the provisions of Section 53340 of the Act. Upon effectiveness, this Ordinance shall
supersede Ordinance No. 1189 previously approved by the City with respect to the levy of special
taxes of the District.
Section 10. The City Clerk is hereby authorized to transmit a certified copy of this
ordinance to the Riverside County Assessor and Treasurer-Tax Collector, and to perform all other
acts which are required by the Act, this Ordinance or by law in order to accomplish the purpose
of this Ordinance.
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PASSED, APPROVED, AND ADOPTED at a regular meeting of the City Council of the
City of Lake Elsinore, California, on this 26th day of January 2021.
Robert E. Magee
Mayor
Attest:
Candice Alvarez, MMC
City Clerk
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF LAKE ELSINORE )
I, Candice Alvarez, MMC, City Clerk of the City of Lake Elsinore, California, do hereby certify that
Ordinance No. 2020-1445 was introduced by the City Council of the City of Lake Elsinore,
California, at the Regular meeting of January 12, 2021 and adopted at the Regular meeting of
January 26, 2021 and that the same was adopted by the following vote:
AYES: Council Members Tisdale, Johnson, and Manos; Mayor Pro-Tem Sheridan; and
Mayor Magee
NOES: None
ABSENT: None
ABSTAIN: None
Candice Alvarez, MMC
City Clerk