HomeMy WebLinkAboutCFD90-2 is Paid in Full - City staff is removing the current Tax Levy from the RollsFrom:Jason Simpson
To:City Council
Cc:Barbara Leibold CC; Shannon Buckley; Forbath, Brian; Shane Spicer
Subject:CFD90-2 is Paid in Full - City staff is removing the current Tax Levy from the Rolls
Date:Thursday, November 21, 2024 9:31:00 AM
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Good morning, Mayor Manos and City Council Members -
The City pulled the Community Facilities District (CFD) 90-2 (Tuscany Hills) tax levies from
residents' property tax bills.
The original CFD90-2 levy covered 1,021 parcels, assessed per Category V of the Rate
and Method of Apportionment (RMA), specifying a 25-year maturity period starting from the
issuance of building permits for the parcels. The bonds were paid off last month and there
was sufficient funds to pay debt service.
Initially, the bonds were issued at a 9.25% interest rate, later refunded at 4.50%, allowing
for accelerated debt repayment (shorter duration). The rate and method of apportionment
RMA) indicated that the levy would extend through FY2031-32 for at least one remaining
property owner. However, the last debt service payment was made about a month ago.
The early payoff provides relief ahead of schedule. The table below shows the number of
parcels with remaining years under the RMA that have benefited from the bond refunding
and early redemptions.
As such, the City has coordinated with the Riverside County Tax Collector, who will
promptly remove the 90-2 levy from the tax roll and issue revised property tax bills to the
424 property owners. There were only 4 parcels that were paid, and those will be issued
refunds.
The City Council, as the Successor Agency to the Redevelopment Agency, is required by
the County of Riverside to provide a certified Resolution to the County each year to confirm
special taxes for the property tax roll for CFD No. 90-2 (this year June 25, 2024). Since it is
the original Ordinance that provides for the authorization of the levy and adjustments, no
further action is required from the City Council/Successor Agency Board.
Ordinance No. RDA 1 entitled "An Ordinance of the Governing Board of the
Redevelopment Agency of the City of Lake Elsinore Levying Special Taxes Within the
Redevelopment Agency of the City of Lake Elsinore Community Facilities District No. 90-2
Tuscany Hills Public Improvements)", was adopted on December 11, 1990.
Sincerely,
Jason Simpson
City Manager
PH:951-674-3124 x204