HomeMy WebLinkAbout2021-023 CFD 2015-1 Safety Services Annexation No. 9 Intention
RESOLUTION NO. 2021-23
ARESOLUTION 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),DECLARING ITS INTENTION TO CONSIDER
ANNEXING TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2015-1
OF THE CITY OF LAKE ELSINORE (SAFETY SERVICES)
Whereas, on March 8, 2016, the City Council (the “City Council”) of the City of Lake
Elsinore adopted Resolution No. 2016-022 (the “Resolution of Intention”), 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 Title5
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 of Intention (the “Original Rate and Method”), and (ii) the establishment of an
appropriations limit for Community Facilities District No. 2015-1; and,
Whereas, the City Council has received a signed petition from SPT-AREP III Tuscany
Associates,LLC, aDelaware limited liability company(the “Owner”), requesting (i) the annexation
of the territory within the boundaries set forth in Attachment “A,” hereto (the “Annexation Territory”)
to the District; (ii) the levy of the special tax within the Annexation Territory in accordance with the
Rate and Method of Apportionment of Special Tax attached as Attachment “B,” hereto (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 toreflect prior annexations to the District and theannexation described herein
and (iii) the waiving certain election requirements.
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:
.Each of the above recitals is true and correct.
Section 1
Section 2.The City Council declares its intention to conduct proceedings pursuant to
the Act for the annexation to the District of the Annexation Territory.
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 No. 45-46, on March 14, 2016 as Instrument No.
2016-00978338.
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The boundaries of the Annexation Territory proposed to be annexed to the District and be
made subject to taxation are as shown on the annexation map set forth in Attachment “A” hereto
(the “Boundary Map”). The City Clerk is hereby directed to sign the Boundary Map and record it
with all proper endorsements thereon with the County Recorder of the County of Riverside within
15 days after the adoption of this resolution, all as required by Section 3111 of the Streets and
Highways Code of the State of California.
Section 4.The Services (as defined in the Rate and Method) proposed to be provided
for the benefit of the Annexation Territory are public services as defined in the Act, and this City
Council finds and determines that the Services to be financed, upon annexation to the District,
will be in addition to those provided in the territory the Annexation Territory, and do not supplant
services already available within the Annexation Territory. The City Council hereby finds and
determines that the description of the Services herein is sufficiently informative to allow taxpayers
within the Annexation Territory, to understand what the funds of the District may be used to
finance. The Administrative Expenses (as defined in the Rate and Method) expected to be
incurred within the Annexation Territory are set forth in the Rate and Method. The amount and
termof the special tax to be levied by the District within the Annexation Territory and the Services
to be provided by the District within the Annexation Territory shall be identical to those within the
original boundaries of the District.
Section 5.Except where funds are otherwise available, it is the intention of the City
Council to levy annually in accordance with the procedures contained in the Act a separate special
tax, secured by recordation of a continuing lien against all nonexempt real property in the
Annexation Territory, sufficient to pay for the Services and the Administrative Expenses. The rate
and method of apportionment and manner of collection of the special taxes set forth in
Attachment“A” allows each landowner within the Annexation Territory to estimate the maximum
amount that may be levied against each parcel.
The special taxes for Services may be increased based on the consumer price index by an
amount not to exceed four percent (4%) per year to the extent permitted in the Rate and Method.
The special tax for Services may be levied for such period as the Services are needed, as further
described in Attachment “B” hereto.
The special taxes are based on the expected demand that each parcel of real property within the
Annexation Territory will place on the Services. The City Council hereby determines that the
proposed Services are necessary to meet the increased demand placed upon the City and the
existing police, fire, rescue and paramedic services in the City as a result of the developmentof
the land proposed for annexation to the District. The City Council hereby determines the rate and
method of apportionment of the special taxes set forth in Attachment “B” to be reasonable. The
special tax is apportioned to each parcel on the foregoing basis pursuant to Section53325.3 of
the Act and such special taxes are not on or based upon the value or ownership of real property.
Section 6.A public hearing (the “Hearing”) on the annexation of the Annexation
Territory to the District, the levy of the special tax within the Annexation Territory in accordance
with the Rate and Method to finance the Services shall be held at 7:00p.m., or as soon thereafter
as practicable, on April 27, 2021, at the City Cultural Center, 183 North Main Street, Lake Elsinore,
California. Notwithstanding the foregoing, consistent with the Governor of the State of California’s
Executive Order N-29-20 or other applicable directives, the Hearing may be held remotely with
public participation via methods to be set forth in the City Council’s agenda. Should the City
Council determine to annex the Annexation Territory to the District, a special election will be held
to authorize the levy of the special taxes in accordance with the procedures contained in
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Government Code Section53326. If held, the proposed voting procedure at the election will be
a landowner vote with each landowner who is the owner of record of land within the Annexation
Territory at the close of the Hearing, or the authorized representative thereof, having onevote for
each acre or portion thereof owned within the Annexation Territory. Ballots for the special election
may be distributed by mail or by personal service.
Section 7.The City Council does not intend to make any adjustment in property
taxation pursuant to Sections 53313.6 and 53313.7 of the Act.
Section 8.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 Annexation Territory,
may appear and be heard.
Section 9.The City Clerk is hereby directed to publish a notice (the “Notice”) of the
Hearing pursuant to Section6061 of the Government Code in a newspaper of general circulation
published in the area of the Annexation Territory. The City Clerk is further directed to mail a copy
of the Notice to each landowner within the Annexation Territory at least 15 days prior to the
Hearing. The Notice shall contain the text or a summary of this Resolution, 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 district
and a description of the proposed voting procedure for the election required by the Act. Such
publication shall be completed at least seven (7) days prior to the date of the Hearing.
Section 10.This Resolution shall be effective upon its adoption.
Passed and Adoptedat a regular meeting of the City Council of the City of Lake Elsinore,
rd
California,this 23day of March 2021.
Robert E. Magee
Mayor
Attest:
Candice Alvarez, MMC
City Clerk
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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
Resolution No. 2021-24was adopted by the City Council of the City of Lake Elsinore, California,
at the Regular meeting of March 23, 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
1
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A
ATTACHMENT “A”
BOUNDARY MAP OF ANNEXATION TERRITORY
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ATTACHMENT “B”
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR
COMMUNITY FACILITIES DISTRICT NO. 2015-1 (SAFETY SERVICES)
OF THE CITY OF LAKE ELSINORE
A Special Tax (the “Special Tax”) shall be levied on and collected from each Assessor’s Parcel
(defined below) inCommunity Facilities District No. 2015-1 (Safety Services) (the “CFD No. 2015-
1” or “CFD”; defined below), in each Fiscal Year, (defined below), commencing in the Fiscal Year
beginning July 1, 2016, in an amount determined by the City Council of the City of Lake Elsinore,
acting in its capacity as the legislative body of CFD No. 2015-1, by applying the rate and method
of apportionment set forth below. All of the real property in CFD No. 2015-1, unless exempted by
law or by the provisions herein, shall be taxed to the extent and in the manner provided herein.
A.DEFINITIONS
“Administrative Expenses” means the actual or reasonably estimated costs directly related
to the formation, annexation, and administration of CFD No. 2015-1 including, but not limited
to:the costs of computing the Special Taxes and preparing the annual Special Tax collection
schedules (whether by the City or designee thereof or both); the costs to the City, CFD No.
2015-1, or any designee thereof associated with fulfilling the CFD No. 2015-1 reporting
requirements; the costs associated with responding to public inquiries regarding the Special
Taxes; the costs of the City, CFD No. 2015-1 or any designee thereof related to an appeal of
the Special Tax; and the City's annual administration fees and third party expenses.
Administrative Expenses shall also include amounts estimated or advanced by the City or
CFD No. 2015-1 for any other administrative purposes of CFD No. 2015-1, including attorney's
fees and other costs related to commencing and pursuing to completion any foreclosure of
delinquent Special Taxes.
“Administrator”means the City Manager of the City of Lake Elsinore, or his or her designee.
“Assessor’s Parcel”means a lot or parcel of land that is identifiable by an Assessor’s Parcel
Number by the County Assessor of the County of Riverside.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating
parcels by Assessor’s Parcel Number.
“Assessor’s Parcel Number” means the identification number assignedto a parcel by the
County Assessor of the County of Riverside.
“CFD” or“CFD No. 2015-1”means the City of Lake Elsinore Community Facilities District
No. 2015-1 (Safety Services).
“City”means the City of Lake Elsinore.
“County” meansthe County of Riverside.
“Developed Property” means all Assessor’s Parcels of Taxable Property for which a building
permit for new construction has been issued on or prior to March 1 preceding the Fiscal Year
in which the Special Tax is being levied.
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“Developed Multi-Family Property” means all Assessor's Parcels of Developed Property
for which a building permit or use permit for the construction of a residential structure with two
or more Residential Units that share a single Assessor's Parcel Number, as determined by
the Administrator, has been issued prior to March 1 preceding the Fiscal Year in which the
Special Tax is being levied.
“Developed Single Family Property” means any residential property other than a
Developed Multi-Family Property on an Assessor’s Parcel for which a building permit for new
construction has been issued by the City on or prior to March 1 preceding the Fiscal Year in
which the Special Tax is being levied.
“Exempt Property” means all Assessors’ Parcels designated as being exempt from the
Special Tax as provided for in Section E.
st
“Fiscal Year” means the period from and including July 1of any year to and including the
th
following June 30.
“Maximum Special Tax”means the Maximum Special Tax, as applicable, levied within the
CFD for any Fiscal Year.
“Future Annexation Area”means any area included inside the boundaries of the proposed
boundary map included in Appendix C.
“Proportionately”means for Taxable Property, that the ratio of the actual Special Tax levy
to the Maximum Special Tax is the same for all Assessor’s Parcels.
“Residential Unit” or "RU"means a residential unit that is used or intended to be used as a
domicile by one or more persons, as determined by the Administrator.
“Residential Property” means all Assessor’s Parcels of Taxable Property upon which
completed Residential Units have been constructed or for which building permits have been
or may be issued for purposes of constructing one or more Residential Units.
“Services” means services permitted under the Mello-Roos Community Facilities Act of 1982
including, without limitation, those services authorized to be funded by CFD No. 2015-1 as set
forth in Appendix B.
“Special Tax” means the Special Tax to be levied in each Fiscal Year on each Assessor’s
Parcel of Taxable Property.
"Special Tax Requirement" means the amount to be collected in any Fiscal Year to pay for
certain costs as required to meet the public safety needs of CFD No. 2015-1in both the current
Fiscal Year and the next Fiscal Year. The costs to be covered shall be the direct costs for (i)
police protection services, (ii) fire protection and suppression services, (iii) paramedic
services, (iv) fund an operating reserve for thecosts of Services as determined by the
Administrator, and (v) Administrative Expenses. Under no circumstances shall the Special
Tax Requirement include funds for bonds.
"Taxable Property"means all Assessor’s Parcels within CFD No. 2015-1, which are not
Exempt Property.
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“Taxable Unit”means a Residential Unit.
B.RATE AND METHOD OF APPORTIONMENT OF MAXIMUM SPECIAL TAX RATES
As of July 1 of each Fiscal Year, commencing July 1, 2016, the Council shall determine the
Special Tax Requirement and shall levy theSpecial Tax upon each of the Assessor’s Parcels
within the CFD which constitute a Developed Single Family Property or a Developed Multi-
Family Property until the aggregate amount of Special Tax equals the Special Tax
Requirement. The Special Tax shall be levied Proportionately on all Assessor’s Parcels of
Developed Property up to 100% of the applicable Maximum Special Tax to satisfy the Special
Tax Requirement.
The Maximum Special Tax for Fiscal Year 2016-2017 for a Developed Single Family Property
and aDeveloped Multi-Family Property are shown below in Table 1.
TABLE 1
MAXIMUM SPECIAL TAX RATES
FISCAL YEAR 2016-2017
TaxableMaximum
DescriptionUnitSpecial Tax
Developed Single Family
PropertyRU$685
Developed Multi-Family PropertyRU$419
Increase in the Maximum Special Tax
On each July 1, commencing on July 1, 2017 the Maximum Special Tax for Developed
Property shall increase by i) the percentage increase in the Consumer Price Index (All Items)
for Los Angeles -Riverside -Orange County (1982-84 = 100) since the beginning of the
preceding Fiscal Year, or ii) by four percent (4.0%), whichever is greater.
No Special Tax shall be levied on property which, at the time of adoption of the Resolution of
Formation for CFD No. 2015-1 is an ExemptProperty.
C.FUTURE ANNEXATIONS
It is anticipated that additional properties will be annexed to CFD No. 2015-1 from time to time.
Pursuant to California Government Code section 53339 et seq., the rate and method adopted
for the annexed property shall reflect the Maximum Special Tax rateat the then current year’s
Maximum Special Tax rate as set forth in Appendix A.
D.TERM OF SPECIAL TAX
For each Fiscal Year, the Maximum Special Taxes shall be levied as long as the Services are
being provided within the boundaries of CFD No. 2015-1.
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E.EXEMPTIONS
The City shall classify as Exempt Property within CFD No. 2015-1, any Assessor’s Parcel in
any of the following categories; (i) Assessor’s Parcels which are owned by, irrevocably offered
for dedication, encumbered by or restricted in use by any public entity; (ii) Assessor’s Parcels
with public or utility easements making impractical their utilization for other than the purposes
set forth in the easement; (iii) Assessor’s Parcels which are privately owned but are
encumbered by or restricted solely for public uses; (iv) any Assessor’s Parcel which is in use
in the performance of a public function as determined by the Administrator; or (v) any
Assessor’s Parcel which is not a Developed Single Family Property or a Developed Multi-
Family Property.
F.APPEALS
Any property owner claiming that the amount or application of the Special Taxes are not
correct may file a written notice of appeal with the City not later than twelve months after
having paid the first installment of the Special Tax that is disputed. TheAdministrator shall
promptly review the appeal, and if necessary, meet with the property owner, consider written
and oral evidence regarding the amount of the Special Tax, and rule on the appeal. If the
Administrator’s decision requires that the Special Tax for an Assessor’s Parcel be modified or
changed in favor of the property owner, a cash refund shall not be made, but an adjustment
shall be made to the Special Tax on that Assessor’s Parcel in the subsequent Fiscal Year(s).
G.MANNER OF COLLECTION
The Maximum 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 delinquencyas is provided for ad
valorem taxes. However, the District may collect the Special Tax at a different time or in a
different manner if necessary to meet its financial obligations.
The Maximum 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 Special Taxes. The lien of Maximum 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.
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APPENDIX A
CITY OF LAKE ELSINORE
COMMUNITY FACILITIES DISTRICT NO. 2015-1
(SAFETY SERVICES)
ANNEXATION SUMMARY
Safety Services-It is estimated that the cost of providing police, fire protection, and paramedic
services being funded by the Special Tax for the Community Facilities District No. 2015-1 (Safety
Services) will be as follows for the Fiscal Year 2016-2017:
$685 per residential unit for Developed Single Family Residential Property
$419 per residential unit for Developed Multi-Family Residential Property
Annual Escalation-On each July 1, commencing on July 1, 2017 the Maximum Special Tax for
Developed Property shall increase by i) the percentage increase in the Consumer Price Index (All
Items) for Los Angeles -Riverside -Orange County (1982-84 = 100) since the beginning of the
preceding Fiscal Year, or ii) by four percent (4.0%), whichever is greater.
No. of Maximum
TaxabSpecial
AnneFiscalDevelopmenLand UseTax at
le
x. #YearTractt NameUnitsCategory Annex. Subdivider
Terracina
Developed
Origin2016-Investors, LLC &
36557Terracina452Single Family $685.00
al17C/O Spectrum
Property
Communities
Developed
Origin2016-
36682Senterra74Single Family $685.00Pardee Homes
al17
Property
Developed
2016-Makenna
13348681Single Family $685.00SAM-McKenna
17Court
Property
28214Skypointe at Developed
2016-
2-6,-7,Alberhill 82Single Family $685.00KB Homes
17
-8RanchProperty
Developed
2018-Running SAM-Running
33195796Single Family $740.90
19DeerDeer
Property
37381Developed
2018-Wasson
4&272Single Family $740.90Ava Karras
19Canyon II
37382Property
Developed
2019-
533267Westlake163Single Family $770.53Pardee Homes
20
Property
Developed
2019-Nichols SingleNichols RD
637305168$770.53
20RanchFamily Partners, LLC
Property
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Developed Three Strands
30698
2020-SingleProperties &
7&Rosetta Hills178$801.35
21Family Spectrum
32129
PropertyCommunities
Developed
2021-Single
833370Tessera90$833.41JLJ, LP
22Family
Property
Developed
33725Tuscany SPT-AREP III
2021-Single
9&Valley/335$833.41Tuscany
22Family
25475CrestAssociates
Property
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APPENDIX B
CITY OF LAKE ELSINORE
COMMUNITY FACILITIES DISTRICT NO. 2015-1
(SAFETY SERVICES)
DESCRIPTION OF AUTHORIZED SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2015-1, as
provided by Section 53313 of the Act, will include some or all of the costs attributable to public
safety.
These services include police protection services (including but not limited to criminal justice
services), fire protection and suppression services, and paramedic services.
In addition to payment of the cost and expense of the forgoing services, proceeds of the special
tax may be expended to pay “AdministrativeExpenses” as said term is defined in the Rate and
Method of Apportionment and to establish an operating reserve for the costs of services as
determined by the Administrator.
The above services shall be limited to those provided within the boundaries of CFD No. 2015-1
and the Future Annexation Area of CFD No. 2015-1 or for the benefit of the properties within the
boundaries of CFD No. 2015-1 and the Future Annexation Area of CFD No. 2015-1, as the
boundary is expanded from time to time by anticipated annexations, and said services may be
financed by proceeds of the special tax of CFD No. 2015-1 only to the extent that they are in
addition to those provided in the territory of CFD No. 2015-1 before CFD No. 2015-1 was created.
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APPENDIX C
CITY OF LAKE ELSINORE
COMMUNITY FACILITIES DISTRICT NO. 2015-1 (SAFETY SERVICES)
PROPOSED BOUNDARIES AND BOUNDARIES -FUTURE ANNEXATION AREA
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