HomeMy WebLinkAboutCC Reso No 2005-064
RESOLUTION NO. 2005- 64
RESOLUTION OF INTENTION OF THE CITY COUNCIL OF
THE CITY OF LAKE ELSINORE TO ESTABLISH CITY OF
LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO.
2005-4 (LAKE VIEW VILLAS)
WHEREAS, the City Council (the "Council") of the City of Lake Elsinore
(the "City") has received a petition (the "Petition") requesting the institution of
proceedings for (i) formation of a community facilities district (the "CFD")
pursuant to the Mello-Roos Community Facilities Act of 1982, as amended (the
"Act"), (ii) authorization of issuance of bonds for the CFD, and (iv) establishment
of an appropriations limit for the CFD; and
WHEREAS, the Council has determined that the Petition complies with the
requirements of Government Code Section 53318(c) and now intends to initiate
such proceedings; and
WHEREAS, it is the intention of the Council to finance parks, open space
and storm drains maintenance services that are in addition to those provided in the
territory within the CFD prior to the formation of the CFD and do not supplant
services already available within the territory proposed to be included in the CFD
through the formation of the CFD subject to the levy of a special tax to pay for
such services, being approved at an election to be held within the boundaries of the
CFD; and
WHEREAS, it is also the intention of the Council to finance the acquisition
and construction of the Facilities (as defined below) or any combination thereof
through the formation of the CFD, subject to the authorization of bonds and the
levy of a special tax to pay lease payments, installment purchase payments or other
payments, or principal and interest on bonds, being approved at an election to be
held within the boundaries of the CFD;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE
ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS
FOLLOWS:
Section 1. The Council hereby determines to institute proceedings for the
formation of a community facilities district under the terms of the Act. The
exterior boundaries of the CFD are hereby specified and described to be as shown
on that certain map now on file in the office of the Clerk entitled "Proposed
45632565.1
Boundary of Community Facilities District No. 2005-4 of the City of Lake
Elsinore (Lakeview Villas)," which map indicates by a boundary line the extent of
the territory included in the proposed community facilities district and shall govern
for all details as to the extent of the CFD. On the original and one copy of the map
of such CFD on file in the City Clerk's office, the City Clerk shall endorse the
certificate evidencing the date and adoption of this resolution. The City Clerk shall
file the original of such map in her office and, within fifteen (15) days after the
adoption of this Resolution, the City Clerk shall file a copy of such map so
endorsed in the records of the County Recorder, County of Riverside, State of
California.
Section 2. The name of the proposed CFD shall be "City of Lake Elsinore
Community Facilities District No. 2005-4 (Lakeview Villas)."
Section 3. Except where funds are otherwise available, it is the intention
of the Council to levy annually in accordance with procedures contained in the Act
a special tax (the "Services Special Tax") sufficient to finance a portion of the cost
of providing parks, open space and storm drains maintenance services (the
"Services") that are in addition to those provided in the territory within the CFD
prior to the formation of the CFD and do not supplant services already available
within the territory proposed to be included in the CFD, the costs of administering
the levy and collection of the Services Special Tax and all other costs of the levy of
the Services Special Tax, including any foreclosure proceedings, legal, fiscal, and
financial consultant fees, election costs, and all other administrative costs of the tax
levy. The Services Special Tax will be secured by recordation of a continuing lien
against all non-exempt real property in the CFD. The schedule of the rate and
method of apportionment and manner of collection of the Services Special Tax is
described in detail in Exhibit A attached hereto and by this reference incorporated
herein.
The Services Special Tax is apportioned to each parcel on the foregoing
basis pursuant to Section 53325.3 of the Act.
Section 4. The facilities proposed to be financed by the CFD are public
infrastructure facilities and other governmental facilities with an estimated useful
life of five years or longer, which the CFD is authorized by law to construct, own
or operate and that are necessary to meet increased demands placed upon the City
as a result of development or rehabilitation occurring within the proposed CFD,
including but not limited to City and EVMWD Capital Facilities Fees, public storm
drain system improvements, EVMWD sewer and water facilities, and related costs
including designs, inspections, professional fees, annexation fees, connection fees
45632565.1
2
and acquisition costs (the "Facilities"). Such Facilities need not be physically
located within the CFD.
Section 5. Except where funds are otherwise available, it is the intention
of the Council to levy annually in accordance with procedures contained in the Act
a special tax (the "Special Tax") sufficient to pay for the costs of financing the
acquisition and/or construction of the Facilities, including the principal of and
interest on the bonds proposed to be issued to finance the Facilities and other
periodic costs, the establishment and replenishment of reserve funds, the
remarketing, credit enhancement and liquidity fees, the costs of administering the
levy and collection of the Special Tax and all other costs of the levy of the Special
Tax and issuance of the bonds, including any foreclosure proceedings,
architectural, engineering, inspection, legal, fiscal, and financial consultant fees,
discount fees, interest on bonds due and payable prior to the expiration of one year
from the date of completion of facilities (but not to exceed two years), election
costs and all costs of issuance of the bonds, including, but not limited to, fees for
bond counsel, disclosure counsel, financing consultants and printing costs, and all
other administrative costs of the tax levy and bond issue. The Special Tax will be
secured by recordation of a continuing lien against all non-exempt real property in
the CFD. In the first year in which such a Special Tax is levied, the levy shall
include a sum sufficient to repay to the City all amounts, if any, transferred to the
CFD pursuant to Section 53314 of the Act and interest thereon. The schedule of
the rate and method of apportionment and manner of collection of the Special Tax
is described in detail in Exhibit A attached hereto and by this reference
incorporated herein. The Special Tax is based upon the cost of financing the
Facilities in the CFD, the demand that each parcel will place on the Facilities and
the benefit (direct and/or indirect) received by each parcel from the Facilities.
The Special Tax is apportioned to each parcel on the foregoing basis
pursuant to Section 53325.3 of the Act. In the event that a portion of the property
within the CFD shall become for any reason exempt, wholly or partially, from the
levy of the Special Tax, the Council shall, on behalf of the CFD, increase the levy
to the extent necessary upon the remaining property within the CFD which is not
delinquent or exempt in order to yield the required payments, subject to the
maximum tax. Under no circumstances, however, shall the Special Tax levied
against any parcel used for private residential purposes be increased as a
consequence of delinquency or default by the owner of any other parcel or parcels
within the CFD by more than 10 percent. Furthermore, the maximum special tax
authorized to be levied against any parcel used for private residential purposes
shall not be increased over time in excess of 2 percent per year.
45632565.1
3
Section 6. The Council hereby finds that the proposed Facilities are
necessary to meet increased demands put upon the City as a result of the new
development or rehabilitation within the proposed CFD.
Section 7. A public hearing (the "Hearing") on the establishment of the
CFD and the proposed rate and method of apportionment of the Services Special
Tax and the Special Tax shall be held on August 23, 2005, at 7:00 p.m., or as soon
thereafter as practicable, at the chambers of the Council, 130 S. Main Street, Lake
Elsinore, California 92530.
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 proposed CFD, may appear and be heard.
Section 9. Each City officer who is or will be responsible for the Services
and the Facilities to be financed by the CFD, if it is established, is hereby directed
to study the proposed CFD and, at or before the time of the above-mentioned
Hearing, file a report with the Council, and which is to be made a part of the record
of the Hearing, containing a brief description of the Services and the Facilities by
type which will in his or her opinion be required to adequately meet the needs of
the CFD and his or her estimate of the cost of providing the Services and the
Facilities. The City Manager is directed to estimate the fair and reasonable cost of
all incidental expenses, including the cost of planning and designing the Facilities
to be financed pursuant to the Act, including the cost of environmental evaluations
of such facilities, all costs associated with the creation of the CFD, issuance of
bonds, determination of the amount of any special taxes, collection of any special
taxes, or costs otherwise incurred in order to carry out the authorized purposes of
the City with respect to the CFD, and any other expenses incidental to the
construction, completion and inspection of the authorized work to be paid through
the proposed financing.
Section 10. The City may accept advances of funds from any sources,
including private persons or private entities, and is authorized and directed to use
such funds for any authorized purpose, including any cost incurred by the City in
creating the CFD. The City may enter into an agreement to repay all of such funds
as are not expended or committed for any authorized purpose at the time of the
election on the levy of the Services Special Tax and the Special Tax, if the
proposal to levy such tax should fail, and to repay all of such funds advanced if the
levy of the Services Special Tax and the Special Tax shall be approved by the
qualified electors of the CFD.
45632565.1
4
Section 11. The City Clerk is hereby directed to publish a notice ("Notice")
of the Hearing pursuant to Section 6061 of the Government Code in a newspaper
of general circulation published in the area of the proposed CFD. Such Notice
shall contain information set forth in Section 53322 of the Act. Such publication
shall be completed at least 7 days prior to the date of the Hearing.
Section 12. The Clerk may send a copy of the Notice by first-class mail,
postage prepaid, to each registered voter and to each landowner within proposed
CFD as shown on the last equalized assessment roll. Said mailing shall be
completed not less than fifteen (15) days prior to the date of the Hearing.
Section 13. Pursuant to Section 53344.1 of the Act, the Council hereby
reserves to itself, in its sole discretion, the right and authority by subsequent
resolution to allow any owner of property within the CFD, subject to the provisions
of Section 53344.1 of the Act and those conditions as it may impose, and any
applicable prepayment penalties as prescribed in the bond indenture or comparable
instrument or document, to tender to the CFD treasurer in full payment or part
payment of any installment of the special taxes or the interest or penalties thereon
which may be due or delinquent, but for which a bill has been received, any bond
or other obligation secured thereby, the bond or other obligation to be taken at par
and credit to be given for the accrued interest shown thereby computed to the date
of tender.
Section 14. The voting procedure with respect to the establishment of the
CFD and the imposition of the special tax shall be by hand delivered or mailed
ballot election.
45632565.1
5
PASSED, APPROVED AND ADOPTED this 12
JULY ,2005.
::TY OFLAKE?l
Title:
ATTEST:
/
D lerk
e City of Lake Elsinore
APPROVED AS TO FORM:
Barbara ~ltmeY p
45632565.1
6
day of
STATE OF CALIFORNIA )
) ss.
COUNTY OF RIVERSIDE )
I, FREDERICK RAY, City Clerk of the City of Lake Elsinore, do hereby certify
that the foregoing Resolution was duly adopted by the City Council of said City at
a regular meeting thereof held on the 12 day of JUL Y , 2005, and
that it was so adopted by the following vote:
AYES: HI CKMAN, KELLEY,
SCHIFFNER, MAGEE
NOES: NONE
ABSENT: BUCKLEY
By:
K
ABSTAIN: NONE
45632565.1
EXHIBIT A
RATE AND METHOD OF APPORTIONMENT
45632565.1