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HomeMy WebLinkAboutCC Reso No 2006-077RESOLUTION NO. 2006-77 RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, TO INCUR BONDED INDEBTEDNESS IN THE AMOUNT NOT TO EXCEED $10,000,000 WITffiN TAE PROPOSED CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2006-4 (TRACTS 30698 & 32129) WHEREAS, the City Council (the "Council") of the City of Lake Elsinore (the "City") has heretofore adopted Resolution No. 2006-76, stating the Council's intention to form Community Facilities District No. 2006-4 (30698 & 32129) (the "CFD"), pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, (the "Act"), to finance the purchase, construction, expansion or rehabilitation of certain real and other tangible property with an estimated useful life of five years ar longer, including public infrastructure facilities and other governmental facilities, which are necessary to meet increased demands placed upon the City as a result of development or rehabilitation occurring within the proposed CFD (the "Facilities"); and WHEREAS, in order to finance the Facilities it is necessary to incur bonded indebtedness in the amounts not to exceed $10,000,000, the repayment of which is to be secured by special taxes levied in accordance with Section 53340 et seq. of the Act on all properiy within the CFD, other than those properties exempted from taxation as provided in the respective rate and method of apportionment attached as E~ibit A to Resolution No. 2006-77. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. The above recitals are true and correct. SECTION 2. It is necessary to incur bonded indebtedness within the proposed CFD in the amounts not to exceed $10,000,000 to finance the costs of the Facilities. SECTION 3. The indebtedness will be incurred far the purpose of financing the costs of designing, constructing and acquiring the Facilities, the acquisition of necessary equipment and property therefor and ful'filling contractual commitments CITY COUNCIL RESOLUTION NO. 2006-77 Page 2 of 3 and carrying out the powers and purposes of the CFD, including, but not limited to, the financing of the costs associated with the issuance of the bonds and all other costs necessary to finance the Facilities which are permitted to be financed pursuant to the Act. SECTION 4. It is the intent of the Council to autharize the sale of bonds in one or more series, in the maximum aggregate principal amounts not to exceed $10,000,000 at a maximum interest rate not in excess of 12 percent per annum or such rate not in excess of the maximum rate permitted by law at the time the bonds are issued. The term of the bonds shall be determined pursuant to a resolution of the Council authorizing the issuance of the bonds, but such term shall in no event exceed 40 years or such longer term as is then permitted by law. SECTION 5. A public hearing (the "Hearing") on the proposed debt issue shall be held July 25, 2006 at 7:00 p.m. or as soon thereafter as practicable, at the Lake Elsinore Cultural Center located at 183 North Main Street, Lake Elsinore, California 92530. SECTION 6. At the Hearing at the time and place set forth above, any interested persons, including all persons owning land within the proposed CFD, may appear and be heard at the Hearing. SECTION 7. The proposition to incur bonded indebtedness in the maximum aggregate principal amounts not to exceed $10,000,000 shall be submitted to the qualified electors of the CFD. A special community facilities district election shall be conducted on July 25, 2006. The special election shall be conducted by hand delivered or mailed ballot election. The ballots shall be returned to the office of the election officer no later than 11:00 o'clock p.m. on July 25, 2006. SECTION 8. The Clerk is hereby directed to publish a copy of this resolution, which shall serve as notice ("Notice") of the Hearing and the special bond election, pursuant to Section 6061 of the Government Code in a newspaper of general circulation in the proposed CFD. SECTION 9. The Clerk may send a copy of the Notice of the Hearing by first-class mail, postage prepaid, to each registered voter and to each landowner within the proposed CFD as shown on the last equalized assessment roll. SECTION 10. This Resolution shall take effect from and after the date of its passage and adoption. CITY COUNCIL RESOLUTION NO. 2006-77 Page 3 of 3 PASSED, APPROVED AND ADOPTED this 13th day of June, 2006. AYES: COiJNCILMEMBERS: Buckley, Hickman, Kelley, Schiffner, Magee NOES: COiJNCILMEMBERS: None ABSENT: COLJNCILMEMBERS: None ABSTAIN: COLJNCILMEMBERS: None ~ <_ ~ Robert E. Magee, City of Lake Elsi~ ATTEST: ~~~~~~~ v ~ Frederick Ray, Ci Clerk City of Lake Elsinore APPROVED AS TO FORM: bara Zeid Le old, City Attorney City of Lake Elsinore