Agenda packet — Beaumont City Council, March 3, 2026 (part 2 of 14)

"Proportionately" means for Taxable Property that is (i) Developed Property, that the ratio of the actual Special Tax levy to the Assigned Special Tax is the same for all Assessor's Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Assessor's Parcels of Approved Property, and (iii) Undeveloped Property, or Provisional Undeveloped Property, that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is the same for all Assessor's Parcels of Undeveloped Property, or Provisional Undeveloped Property, as applicable.
"Provisional Undeveloped Property" means all Assessor's Parcels of Taxable Property that would otherwise be classified as Exempt Property pursuant to the provisions of Section F, but cannot be classified as Exempt Property because to do so would be reduce the Acreage of all Taxable Property below the required minimum Acreage set forth in Section F. "Rate and Method of Apportionment" means this Rate and Method of Apportionment of Special Tax for CFD No. 2025-1.
"Residential Property" means all Assessor's Parcels of Developed Property for which a Building Permit has been issued for purposes of constructing one or more Residential Units. "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 CFD Administrator. An Accessory Dwelling Unit that shares an Assessor's Parcel with a Single Family Residential Property shall not be considered a Residential Unit for purposes of this Rate and Method of Apportionment.
"Single Family Residential Property" means all Assessor's Parcels of Residential Property other than Multifamily Property.
"Special Tax" or "Special Taxes" means any of the special taxes authorized to be levied within CFD No. 2025-1 pursuant to the Act to fund the Special Tax Requirement. "Special Tax Requirement " means the amount required in any Fiscal Year to pay: (i) the debt service or the periodic costs on all outstanding CFD No. 2025-1 Bonds due in the Calendar Year that commences in such Fiscal Year, (ii) Administrative Expenses, (iii) the costs associated with the release of funds from an escrow account, (iv) any amount required to replenish any reserve funds established in association with the CFD No. 2025-1 Bonds, (v) an amount equal to any anticipated shortfall due to Special Tax delinquencies, (vi) for debt service on CFD No. 2025-1 Bonds anticipated to be issued, and (vii) for the collection or accumulation of funds for the acquisition or construction of facilities authorized by CFD No. 2025-1, provided that the inclusion of such amount does not cause an increase in the levy of Special Tax on Approved Property or Undeveloped Property as set forth in Steps Two or Three of Section E., less (vii) any amounts available to pay debt service or other periodic costs on the CFD No. 2025-1 Bonds pursuant to the Indenture.
"Tax Zone(s)" means the geographical area(s) within CFD No. 2025-1 identified as Tax Zone 1, Tax Zone 2, or Tax Zone 3 as shown on the Boundary Map.
"Tax Zone 1" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 1.

City of Beaumont
Community Facilities District No. 2025-1 (FairvfaSige1 12lW 1772

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"Tax Zone 2" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 2.
"Tax Zone 3" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 3.
"Taxable Property" means all Assessor's Parcels within CFD No. 2025-1 which are not Exempt Property. "Taxable Unit" means either a Residential Unit or an Acre. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means all Assessor's Parcels of Taxable Property which are not Developed Property, Approved Property, or Provisional Undeveloped Property.

B. SPECIAL TAX
Commencing Fiscal Year 2026-2027 and for each subsequent Fiscal Year, the City Council shall levy Special Taxes on all Taxable Property, up to the applicable Maximum Special Tax, to fund the Special Tax Requirement.

C. ASSIGNMENT TO LAND USE CATEGORY FOR SPECIAL TAX
Each Fiscal Year, beginning with Fiscal Year 2026-2027, each Assessor's Parcel within CFD No. 2025-1 shall be classified as Taxable Property or Exempt Property. In addition, each Assessor's Parcel of Taxable Property shall be further classified as Developed Property, Approved Property, Undeveloped Property or Provisional Undeveloped Property. In addition, each Assessor's Parcel of Developed Property, Approved Property, Undeveloped Property or Provisional Undeveloped Property shall be further classified as being within Tax Zone 1, Tax Zone 2, or Tax Zone 3.

Assessor's Parcels of Developed Property shall further be classified as Residential Property or Non - Residential Property. Each Assessor's Parcel of Residential Property shall further be classified as Single Family Residential Property or Multifamily Property. Each Assessor's Parcel of Single Family Residential Property shall be further categorized into Land Use Categories based on its Building Square Footage and assigned to its appropriate Assigned Special Tax rate.

In the event that an Assessor's Parcel for which one or more Building Permits have been issued and the County has not yet assigned final Assessor's Parcel Number(s) to the Residential Unit(s) (in accordance with the Final Map or Condominium Plan) on such Assessor's Parcel, the amount of the Special Tax levy on such Assessor's Parcel for each Fiscal Year shall be determined as follows: (1) the CFD Administrator shall first determine an amount of the Maximum Special Tax levy for such Assessor's Parcel, based on the classification of such Assessor's Parcel as Undeveloped Property; (2) the amount of the Special Tax levy for the Residential Units on such Assessor's Parcel for which Building Permits have been issued shall be determined based on the Assigned Special Tax rates for Developed Property and shall be taxed as Developed Property in accordance with Step 1 of Section E below; and (3) the amount of the Special Tax levy on the Acreage of Taxable Property in such Assessor's Parcel not subject to the Special Tax levy in clause (2) shall be equal to: (A) the percentage of the Maximum Special Tax rate levied on all other Undeveloped Property multiplied by the total of the amount determined in clause (1), less the amount determined in clause (2).

City of Beaumont
Community Facilities District No. 2025-1 (FairvFaSigepy(3lgjf 1 772

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D. MAXIMUM SPECIAL TAX

1. Developed Property
The Maximum Special Tax for each Assessor's Parcel of Single Family Residential Property in any Fiscal Year shall be the greater of (i) the Assigned Special Tax or (ii) the Backup Special Tax.

The Maximum Special Tax for each Assessor's Parcel of Non -Residential or Multifamily Property shall be the applicable Assigned Special Tax described in Table 1, Table 2 or Table 3 of Section D. a. Assigned Special Tax
Each Fiscal Year, each Assessor's Parcel of Single Family Residential Property, Multifamily Property or Non -Residential shall be subject to an Assigned Special Tax. The Assigned Special Tax applicable to an Assessor's Parcel of Developed Property shall be determined pursuant to Table 1, Table 2, or Table 3 below.

TABLE 1

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 1
(FISCAL YEAR 2026-2027)
Land Use Category
Taxable
Unit
Building Square Footage
Assigned
Special Tax Per
Taxable Unit

1. Single Family Residential Property
RU
Less than 2,100 sq. ft
$576.00

2. Single Family Residential Property
RU
2,100 sq. ft to 2,300 sq. ft
$592.00

3. Single Family Residential Property
RU
Greater than 2,300 sq. ft
$617.00

4. Multifamily Property
Acre
N/A
$5,049.00

5. Non -Residential Property
Acre
N/A
$5,049.00
TABLE 2

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 2
(FISCAL YEAR 2026-2027)
Land Use Category
Taxable
Unit
Building Square Footage
Assigned
Special Tax Per
Taxable Unit

1. Single Family Residential Property
RU
Less than 2,000 sq. ft
$664.00

2. Single Family Residential Property
RU
Greater than 2,000 sq. ft
$674.00

3. Multifamily Property
Acre
N/A
$5,275.00

4. Non -Residential Property
Acre
N/A
$5,275.00
City of Beaumont
Community Facilities District No. 2025-1 (FairvFaSigepy'(c gjf 1 772

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TABLE 3

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 3
(FISCAL YEAR 2026-2027)
Land Use Category
Taxable
Unit
Building Square Footage
Assigned
Special Tax Per
Taxable Unit

1. Single Family Residential Property
RU
Less than 2,600 sq. ft
$603.00

2. Single Family Residential Property
RU
2,600 sq. ft to 3,000 sq. ft
$656.00

3. Single Family Residential Property
RU
Greater than 3,000 sq. ft
$682.00

4. Multifamily Property
Acre
N/A
$3,827.00

5. Non -Residential Property
Acre
N/A
$3,827.00
b. Multiple Land Use Categories
In some instances an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax for all Land Use Categories located on the Assessor's Parcel. The CFD Administrator's allocation to each type of property shall be final.
c. Backup S
aecial Tax
When a Final Map is recorded, the CFD Administrator shall determine which Tax Zone the Final Map area lies within and the Backup Special Tax for an Assessor's Parcel within the Final Map classified or to be classified as Single Family Property shall be calculated according to the following formula.

B = (U x A) / L
The terms above have the following meanings:

B = Backup Special Tax per per Assessor's Parcel within the Final Map U = Maximum Special Tax per Acre of Undeveloped Property per Section D.3 below A = Acreage of Single Family Residential Property expected to exist in such Final Map at the time of calculation, as determined by the CFD Administrator
L = Number of Residential Units expected to exist in such Final Map at the time of calculation, as determined by the CFD Administrator.

In the event any portion of the Final Map is changed or modified, the Backup Special Tax for all Assessor's Parcels within such changed or modified area shall be determined by Table 4 below:

City of Beaumont
Community Facilities District No. 2025-1 (FairvFaage1 ( lnjf 1772

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TABLE 4

MAXIMUM SPECIAL TAX PER ACRE
(FISCAL YEAR 2026-2027)
Tax Zone
Maximum Special Tax
per Acre
1 $5,049
2 $5,275
3 $3,827
In the event any superseding Final Map is recorded as a Final Map within the boundaries of the CFD, the Backup Special Tax for all Assessor's Parcels within such Final Map shall be on the rate per Acre shown in the table above. The Backup Special Tax shall not apply to Multifamily Residential Property or Non -Residential Property.

2. Approved Property
The Maximum Special Tax for each Assessor's Parcel of Approved Property expected to be classified as Single Family Property shall be the Backup Special Tax computed pursuant to Section D.1.c above.

The Maximum Special Tax for each Assessor's Parcel of Approved Property expected to be classified as Multifamily Property or Non -Residential Property shall be $5,049 per Acre for Tax Zone 1, $5,275 per Acre for Tax Zone 2, and $3,827 per Acre for Tax Zone 3.

3. Undeveloped Property and Provisional Undeveloped Property that is not Exempt Property pursuant to the provisions of Section F
The Maximum Special Tax for each Assessor's Parcel of Undeveloped Property and Provisional Undeveloped Property that is not Exempt Property shall be equal to the product of $5,049 per Acre for Tax Zone 1, $5,275 per Acre for Tax Zone 2, and $3,827 per Acre for Tax Zone 3, in each case multiplied by the Acreage of such Assessor's Parcel.

E. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing Fiscal Year 2026-2027 and for each subsequent Fiscal Year, the City Council shall levy Special Taxes on all Taxable Property in accordance with the following steps:

Step One:

Step Two:

Step Three:

The Special Tax shall be levied Proportionately on each Assessor's Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax rate to satisfy the Special Tax Requirement.

If additional moneys are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Approved Property at up to 100% of the Maximum Special Tax applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement.

If additional moneys are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property up to 100% of the Maximum Special Tax City of Beaumont
Community Facilities District No. 2025-1 (FairvfaSigepy(6lgjf 1 772

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applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement.

Step Four:

Step Five:

If additional moneys are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax levy on each Assessor's Parcel of Developed Property for which the Maximum Special Tax is the Backup Special Tax shall be increased Proportionately from the Assigned Special Tax up to 100% of the Backup Special Tax as needed to satisfy the Special Tax Requirement.

If additional moneys are needed to satisfy the Special Tax Requirement after the first four steps have been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Provisional Undeveloped Property up to 100% of the Maximum Special Tax applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement.

Notwithstanding the above, under no circumstances will the Special Taxes levied in any Fiscal Year against any Assessor's Parcel of Residential Property as a result of a delinquency in the payment of the Special Tax applicable to any other Assessor's Parcel be increased by more than ten percent (10%) above the amount that would have been levied in that Fiscal Year had there never been any such delinquency or default.

F. EXEMPTIONS
The City shall classify as Exempt Property, in the following order of priority, (i) Assessor's Parcels which are owned by, irrevocably offered for dedication, encumbered by or restricted in use by the State of California, Federal or other local governments, including school districts, (ii) Assessor's Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iii) Assessor's Parcels which are owned by, irrevocably offered for dedication, encumbered by or restricted in use by a homeowners' association, (iv) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, (v) Assessor's Parcels which are privately owned and are encumbered by or restricted solely for public uses, or (vi) Assessor's Parcels restricted to other types of public uses determined by the City Council, provided that no such classification would reduce the total Acreage of all Taxable Property to less than the amounts shown in Table 5 below.

TABLE 5

MINIMUM TAXABLE ACRES
Tax Zone
Acres
1 8.33
2 15.86
3 28.55
Notwithstanding the above, the City Council shall not classify an Assessor's Parcel as Exempt Property if such classification would reduce the total Acreage of all Taxable Property to less than the Acres shown in Table 5 per Tax Zone. Assessor's Parcels which cannot be classified as Exempt Property because such classification would reduce the Acreage of all Taxable Property to less than the Acres shown in Table 5 per Tax Zone will be classified as Provisional Undeveloped Property, and will be subject to Special Tax pursuant to Step Five in Section E.

City of Beaumont
Community Facilities District No. 2025-1 (FairvFaSigepnNjf 1 772

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G. PREPAYMENT OF SPECIAL TAX
The following additional definitions apply to this Section G:
"CFD Public Facilities" means $3,000,000 expressed in 2025 dollars, which shall increase by the Construction Inflation Index on July 1, 2026, and on each July 1 thereafter, or such lower amount (i) determined by the City Council as sufficient to provide the public facilities under the authorized bonding program for CFD No. 2025-1, or (ii) determined by the City Council concurrently with a covenant that it will not issue any more CFD No. 2025-1 Bonds to be supported by Special Tax levied under this Rate and Method of Apportionment.
"Construction Fund" means an account specifically identified in the Indenture or functionally equivalent to hold funds, which are currently available for expenditure to acquire or construct public facilities eligible to be financed by CFD No. 2025-1.
"Construction Inflation Index" means the annual percentage change in the Engineering News -Record Building Cost Index for the City of Los Angeles, measured as of the Calendar Year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the City that is reasonably comparable to the Engineering News - Record Building Cost Index for the City of Los Angeles. "Future Facilities Costs" means the CFD Public Facilities minus (i) public facility costs previously funded from the Construction Fund, (ii) public facility costs available to be funded through existing construction or escrow accounts funded by the Outstanding Bonds, and minus (iii) public facility costs funded by interest earnings on the Construction Fund actually earned prior to the date of prepayment, provided such amount shall not be less than zero.
"Outstanding Bonds" means all previously issued CFD No. 2025-1 Bonds issued and secured by the levy of Special Tax which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding CFD No. 2025-1 Bonds to be redeemed at a later date with the proceeds of prior prepayments of Special Tax.

1. Prepayment in FuII
The Maximum Special Tax obligation may be prepaid and permanently satisfied for (i) Assessor's Parcels of Developed Property, (ii) Assessor's Parcels of Approved Property or Undeveloped Property for which a Building Permit has been issued, (iii) Approved Property or Undeveloped Property for which a Building Permit has not been issued and (iv) Assessor's Parcels of Provisional Undeveloped Property that are not Exempt Property pursuant to Section F. The Maximum Special Tax obligation applicable to an Assessor's Parcel may be fully prepaid and the obligation to pay the Special Tax for such Assessor's Parcel permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Special Tax obligation for such Assessor's Parcel shall provide the CFD Administrator with written notice of intent to prepay, and within 5 business days of receipt of such notice, the CFD Administrator shall notify such owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by the CFD in calculating the Prepayment Amount (as defined below) for the Assessor's Parcel. Within 15 days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the Prepayment Amount for the Assessor's Parcel.

City of Beaumont
Community Facilities District No. 2025-1 (FairvRagE3102810f 1772

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Prepayment must be made not less than 60 days prior to the redemption date for any Outstanding Bonds to be redeemed with the proceeds of such prepaid Special Taxes.

The Prepayment Amount (defined below) shall be calculated as follows (capitalized terms are defined below):

Bond Redemption Amount
plus Redemption Premium
plus Future Facilities Amount
plus Defeasance Amount
plus Administrative Fees and Expenses
less Reserve Fund Credit
Equals: Prepayment Amount
The Prepayment Amount shall be determined as of the proposed prepayment date as follows:

1. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel.

2. For an Assessor's Parcel of Developed Property, compute the Maximum Special Tax for the Assessor's Parcel. For an Assessor's Parcel of Approved Property or Undeveloped Property for which a Building Permit has been issued, compute the Maximum Special Tax for the Assessor's Parcel as though it was already designated as Developed Property, based upon the Building Permit which has been issued for the Assessor's Parcel. For an Assessor's Parcel of Approved Property or Undeveloped Property for which a Building Permit has not been issued or Provisional Undeveloped Property to be prepaid compute the Maximum Special Tax for the Assessor's Parcel.

3. Divide the Maximum Special Tax derived pursuant to paragraph 2 by the total amount of Special Taxes that could be levied at the Maximum Special Tax at build out of all Assessor's Parcels of Taxable Property based on the applicable Maximum Special Tax for Assessor's Parcels of Developed Property not including any Assessor's Parcels for which the Special Tax obligation has been previously prepaid.

4. Multiply the quotient derived pursuant to paragraph 3 by the principal amount of the Outstanding Bonds to determine the amount of Outstanding Bonds to be redeemed with the Prepayment Amount (the "Bond Redemption Amount").

5. Multiply the Bond Redemption Amount by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium").

6. Determine the Future Facilities Costs.

7. Multiply the quotient derived pursuant to paragraph 3 by the amount determined pursuant to paragraph 6 to determine the amount of Future Facilities Costs for the Assessor's Parcel (the "Future Facilities Amount").

8. Determine the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds on which Outstanding Bonds can be redeemed from Special Tax prepayments.

City of Beaumont
Community Facilities District No. 2025-1 (FairvRagE31021910f 1772

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9. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid.

10. Determine the amount the CFD Administrator reasonably expects to derive from the investment of the Bond Redemption Amount and the Redemption Premium from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the Prepayment Amount.

11. Add the amounts derived pursuant to paragraphs 8 and 9 and subtract the amount derived pursuant to paragraph 10 (the "Defeasance Amount").

12. Verify the administrative fees and expenses of the CFD, including the cost of computation of the Prepayment Amount, the cost to invest the Prepayment Amount, the cost of redeeming the Outstanding Bonds, and the cost of recording notices to evidence the prepayment of the Maximum Special Tax obligation for the Assessor's Parcel and the redemption of Outstanding Bonds (the "Administrative Fees and Expenses").

13. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero.

14. The Prepayment Amount is equal to the sum of the Bond Redemption Amount, the Redemption Premium, the Future Facilities Amount, the Defeasance Amount and the Administrative Fees and Expenses, less the Reserve Fund Credit.

15. From the Prepayment Amount, the Bond Redemption Amount, the Redemption Premium, and Defeasance Amount shall be deposited into the appropriate fund as established under the Indenture and be used to redeem Outstanding Bonds or make debt service payments. The Future Facilities Amount shall be deposited into the Construction Fund. The Administrative Fees and Expenses shall be retained by CFD No. 2025-1.

The Prepayment Amount may be sufficient to redeem other than a $5,000 increment of Outstanding Bonds. In such event, the increment above $5,000 or an integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next redemption from other Special Tax prepayments of Outstanding Bonds or to make debt service payments.

As a result of the payment of the current Fiscal Year's Special Tax levy as determined pursuant to paragraph 9 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for the Assessor's Parcel from the County tax roll. With respect to any Assessor's Parcel for which the Maximum Special Tax obligation is prepaid, the City Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Maximum Special Tax obligation and the release of the Special Tax lien for the Assessor's Parcel, and the obligation to pay the Special Tax for such Assessor's Parcel shall cease.

Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of City of Beaumont
Community Facilities District No. 2025-1 (FairvRagE3103010f 1772

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Maximum Special Tax that may be levied each Fiscal Year on all Assessor's Parcels of Taxable Property after the proposed prepayment will be at least 1.1 times annual debt service for such Fiscal Year on the Outstanding Bonds that will remain outstanding after the prepayment plus the estimated annual Administrative Expenses.

Tenders of Outstanding Bonds in prepayment of the Maximum Special Tax obligation may be accepted upon the terms and conditions established by the City Council pursuant to the Act. However, the use of Outstanding Bond tenders shall only be allowed on a case -by -case basis as specifically approved by the City Council.

2. Prepayment in Part
The Maximum Special Tax obligation for an Assessor's Parcel of Developed Property, Approved Property or Undeveloped Property may be partially prepaid. For purposes of determining the partial prepayment amount, the provisions of Section G.1 shall be modified as provided by the following formula:

PP = ((PE — A) x F) + A
These terms have the following meaning:

PP = Partial Prepayment Amount
PE = the Prepayment Amount calculated according to Section G.1 F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Special Tax obligation
A = the Administrative Fees and Expenses determined pursuant to Section G.1 The owner of an Assessor's Parcel who desires to partially prepay the Maximum Special Tax obligation for the Assessor's Parcel shall notify the CFD Administrator of (i) such owner's intent to partially prepay the Maximum Special Tax obligation, (ii) the percentage of the Maximum Special Tax obligation such owner wishes to prepay, and (iii) the company or agency that will be acting as the escrow agent, if any. Within 5 days of receipt of such notice, the CFD Administrator shall notify such property owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by the CFD in calculating the amount of a partial prepayment. Within 15 business days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the amount of the Partial Prepayment Amount for the Assessor's Parcel. A Partial Prepayment Amount must be made not less than 60 days prior to the redemption date for the Outstanding Bonds to be redeemed with the proceeds of the Partial Prepayment Amount.

With respect to any Assessor's Parcel for which the Maximum Special Tax obligation is partially prepaid, the CFD Administrator shall (i) distribute the Partial Prepayment Amount as provided in Paragraph 15 of Section G.1, and (ii) indicate in the records of the CFD that there has been a Partial Prepayment for the Assessor's Parcel and that a portion of the Maximum Special Tax obligation equal to the remaining percentage (1.00 - F) of the Maximum Special Tax obligation will continue to be levied on the Assessor's Parcel pursuant to Section E.

H. TERMINATION OF SPECIAL TAX
For each Fiscal Year that any CFD No. 2025-1 Bonds are outstanding the Special Tax shall be levied on all Assessor's Parcels subject to the Special Tax. The Special Tax shall cease not later than the 2067-2068 City of Beaumont
Community Facilities District No. 2025-1 (FairvFalageplcaUjf 1 772

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Fiscal Year, however, Special Tax will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all the required interest and principal payments on the CFD No. 2025-1 Bonds have been paid; (ii) all authorized facilities of CFD No. 2025-1 have been acquired and all reimbursements to the developer have been paid, (iii) no delinquent Special Taxes remain uncollected and (iv) all other obligations of CFD No. 2025-1 have been satisfied.

I. MANNER OF COLLECTION
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2025-1 may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor's Parcels as permitted by the Act.

J. APPEALS OF SPECIAL TAXES
Any taxpayer may file a written appeal of the Special Taxes on his/her Assessor's Parcel(s) with the CFD Administrator, provided that the appellant is current in his/her payments of Special Taxes. During pendency of an appeal, all Special Taxes previously levied must be paid on or before the payment date established when the levy was made. The appeal must specify the reasons why the appellant claims the Special Tax is in error. The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination. If the CFD Administrator agrees with the appellant, the CFD Administrator shall grant a credit to eliminate or reduce future Special Taxes on the appellant's Assessor's Parcel(s). No refunds of previously paid Special Taxes shall be made.

The CFD Administrator shall interpret this Rate and Method of Apportionment and make determinations relative to the annual levy and administration of the Special Taxes and any taxpayer who appeals, as herein specified.

City of Beaumont
Community Facilities District No. 2025-1 (FairvRagE3103210f 1772

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Appendix B:

Proposed Boundary Map

Page 133 of 1772 ends

Ce'f

PROPOSED BOUNDARY MAP
COMMUNITY FACILITIES DISTRICT NO. 2025-1
(FAIRWAY CANYON 4C)

CITY OF BEAUMONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA

I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED
BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2025-1
(FAIRWAY CANYON 4C), CITY OF BEAUMONT, COUNTY OF

RIVERSIDE, STATE OF CALIFORNIA, WAS APPROVED BY THE CITY

COUNCIL OF THE CITY OF BEAUMONT AT A REGULAR MEETING
THEREOF, HELD ON .1°' DAY OF NIAAJ. 2025 BY
RESOLUTION NO. 2025-1a0
G ilast.

CITY CLERK a

CITY OF BEAUMONT

FILED IN THE OFFICE OF THE CITY CLERK, CITY OF BEAUMONT, THIS -I°' DAY OF n rn/. , 20 25 .

CITY CLERK

CITY OF BEAUMONT
60 CFD 2025-1

BEAUMONT
LJy
Lr'Lr-
T9
J
r
SPICER

CONSULTING GROUP
0 250 500
I 1 I 1 I
1,000 Feet
1 I I
SHEET 1 OF 1 SHEET
RECORDED THIS I2. DAY OF .J0u,2Mbe( , 20AS AT
THE HOUR OF 3:Is' O'CLOCK kM IN BOOK 98

PAGE OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA.

FEE: Atq NO.: -OaS-O35U 75a

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
BY: II
-
DEPUTY
LEGEND

CITY BOUNDARY

CFD BOUNDARY

TAX ZONE BOUNDARY

PARCEL LINE

XXX-XXX-XXX ASSESSOR PARCEL NUMBER
1 TAX ZONE

THIS BOUNDARY MAP CORRECTLY SHOWS THE LOT OR PARCEL OF LAND

INCLUDED WITHIN THE BOUNDARIES OF THE COMMUNITY FACILITIES DISTRICT

FOR DETAILS CONCERNING THE LINES AND DIMENSIONS OF LOTS OR PARCEL REFER TO THE COUNTY ASSESSOR MAPS FOR FISCAL YEAR 2025-26.

Page 134 of 1772 ends

Appendix C:

Resolution of Intention

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RESOLUTION NO. 2025-60

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

BEAUMONT, CALIFORNIA, DECLARING ITS INTENTION TO

ESTABLISH CITY OF BEAUMONT COMMUNITY FACILITIES
DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C), TO

AUTHORIZE THE LEVY OF A SPECIAL TAX TO PAY THE

COST OF ACQUIRING OR CONSTRUCTING CERTAIN PUBLIC

FACILITIES AND PAYING FOR CERTAIN INCIDENTAL

EXPENSES AND TO PAY DEBT SERVICE ON BONDED

INDEBTEDNESS
WHEREAS, the City of Beaumont (the "City") has received petitions from at least 10% of the owners of the territory described in Exhibit A attached hereto (the "Property"), requesting to establish City of Beaumont Community Facilities District No. 2025-1 (Fairway Canyon 4C) (the "Community Facilities District") therein to finance the purchase, construction, expansion, improvement or rehabilitation of the public facilities described in Exhibit B hereto (which exhibit is incorporated herein by this reference), including all furnishings, equipment and supplies related thereto (collectively, the "Facilities"), which Facilities have a useful life of five years or longer, and (2) the incidental expenses to be incurred in connection with financing the Facilities and forming the Community Facilities District and administering the Community Facilities District (the "Incidental Expenses"); and
WHEREAS, the City Council of the City (the "City Council") intends to approve an estimate of the costs of the Facilities and the Incidental Expenses for the Community Facilities District; and
WHEREAS, it is the intention of the City Council to consider financing the Facilities and the Incidental Expenses through the formation of the Community Facilities District, and the sale of bonds in an amount not to exceed Four Million Dollars ($4,000,000) (the "Bonds") and the levy of a special tax in the Community Facilities District to pay debt service on the Bonds, provided that the bond sale and special tax levy are approved at an election to be held for the Community Facilities District;

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY, DOES HEREBY RESOLVE, ORDER AND DETERMINE AS FOLLOWS:

SECTION 1. The City Council declares its intention to conduct proceedings pursuant to said Article 3.5 of 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") for the establishment of the Community Facilities District pursuant to Section 53350 of the Act and with boundaries coterminous with the Property. It is further proposed that the boundaries of the Community Facilities District shall be the legal boundaries as described in Exhibit A hereto which boundaries shall, upon recordation of the boundary map for the Community Facilities District, include the entirety of any parcel subject to taxation by the Community Facilities District, except where indicated on the boundary map, and as depicted on 4919-1377-3171v3/022599-0038

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the boundary map of the Community Facilities District which is on file with the City Clerk. The City Clerk is hereby directed to sign the original boundary map of the Community Facilities District 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 2. The name of the proposed Community Facilities District is "City of Beaumont Community Facilities District No. 2025-1 (Fairway Canyon 4C)".

SECTION 3. The Facilities proposed to be provided within the Community Facilities District are public facilities as defined in the Act. The City Council hereby finds and determines that the description of the Facilities and Incidental Expenses herein is sufficiently informative to allow taxpayers within the Community Facilities District to understand what the funds of the Community Facilities District may be used to finance. The Incidental Expenses expected to be incurred include the cost of planning and designing the Facilities and the costs of forming the Community Facilities District, issuing bonds, levying and collecting a special tax within the Community Facilities District and the annual administration costs of the Community Facilities District. The City Council hereby finds that the proposed Facilities are necessary to meet increased demands placed upon the City as a result of development occurring in the Community Facilities District. The Facilities may be acquired from one or more of the property owners as completed public facilities or may be constructed by or on behalf of the City and paid for with bond proceeds.

SECTION 4. 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 special tax within the Community Facilities District, secured by a continuing lien against all non-exempt real property sufficient to pay for the Facilities and Incidental Expenses and the principal and interest and other periodic costs on bonds or other indebtedness issued to finance the Facilities and Incidental Expenses, including the establishment and replenishment of any reserve funds deemed necessary by the City, and any remarketing, credit enhancement and liquidity facility fees (including such fees for instruments which serve as the basis of a reserve fund in lieu of cash) attributable to the Community Facilities District.

The rate and method of apportionment and manner of collection of the special tax are described in detail in Exhibit "C" attached hereto, which Exhibit "C" is incorporated herein by this reference. Exhibit "C" allows each landowner within the proposed Community Facilities District to estimate the maximum amount of the special tax that may be levied against each parcel. In the first year in which such special tax is levied in the Community Facilities District, the levy shall include an amount sufficient to repay to the Community Facilities District all amounts, if any, transferred to the Community Facilities District pursuant to Section 53314 of the Act and interest thereon.

If the special taxes are levied against any parcel used for private residential purposes, (i) the maximum special tax rate shall be specified as a dollar amount which shall be calculated and established not later than the date on which the parcel is first subject to the special tax because of its use for private residential purposes and shall not be increased over time, except to the extent permitted in the rate and method of apportionment of the special tax as set forth in Exhibit "C" 4919-1377-3171v3/022599-0038
2

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hereto, (ii) such special tax shall not be levied after fiscal year 2067-68, as described in Exhibit "C" hereto, and (iii) under no circumstances will the special tax levied in any fiscal year against any such parcel used for private residential uses be increased as a consequence of delinquency or default by the owner or owners of any other parcel or parcels within the Community Facilities District by more than ten percent (10%) above the amount that would have been levied in that fiscal year had there never been any such delinquencies or defaults.

The special tax is based on the cost of making the Facilities available to each parcel of real property within the Community Facilities District. The City Council hereby determines the rate and method of apportionment of the special tax for the Community Facilities District set forth in Exhibit "C" to be reasonable. The special tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act; and such special tax is not on or based upon the value or ownership of real property. In the event that a portion of the property within the Community Facilities District shall become for any reason exempt, wholly or partially, from the levy of the special tax specified on Exhibit "C", the City Council shall, on behalf of the Community Facilities District, cause the levy to be increased, subject to the limitation of the maximum special tax for a parcel as set forth in Exhibit "C" to the extent necessary upon the remaining property within the Community Facilities District which is not exempt in order to yield the special tax revenues required for the purposes described in this Section. The obligation to pay the special tax may be prepaid only as set forth in the rate and method of apportionment set forth in Exhibit "C" hereto.

SECTION 5. A combined public hearing (the "Hearing") on the establishment of the Community Facilities District, the proposed rate and method of apportionment of the special tax for Community Facilities District and the proposed issuance of bonds for the Community Facilities District to finance the Facilities and the Incidental Expenses shall be held at 6:00 p.m., or as soon thereafter as practicable, on December 16, 2025, at the City Council's Chambers, 550 East 6th Street, Beaumont, California. If the City Council determines to form the Community Facilities District, special elections will be held within the Community Facilities District to authorize the issuance of bonds for the Community Facilities District and the levy of a special tax in accordance with the procedures contained in Government Code Section 53326. If such elections are held, the proposed voting procedure at the elections will be a landowner vote with each landowner who is the owner of record of land within the Community Facilities District at the close of the Hearing, or the authorized representative thereof, having one vote for each acre or portion thereof owned within such proposed Community Facilities District. Ballots for the special elections may be distributed by mail or by personal service.

SECTION 6. At the time and place set forth above for the Hearing, the City Council will receive testimony as to whether the Community Facilities District therein shall be established and whether special taxes shall be levied in accordance with the proposed rate and method of apportionment of the special tax, and whether Obligations for the Community Facilities District shall be authorized to be issued to finance Facilities and Incidental Expenses of the Community Facilities District.

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 Community Facilities District, may appear and be heard.
3 4919-1377-3171v3/022599-0038

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SECTION 7. The City Clerk is hereby authorized and directed to publish a notice (the "Notice") of the Hearing pursuant to Section 6061 of the Government Code in a newspaper of general circulation published in the area of the Community Facilities District. The City Clerk is further authorized and directed to mail a copy of the Notice to each of the landowners or any registered voters within the boundaries of the Community Facilities District 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 Community Facilities District and a description of the proposed voting procedure for the elections required by the Act. Such publication shall be completed at least seven (7) days prior to the date of the Hearing.

SECTION 8. Each City officer who is or will be responsible for providing the Facilities, if it is established, is hereby directed to study the Community Facilities District and, at or before the time of the Hearing, file a report with the City Council containing a brief description of the public facilities by type which will in his or her opinion be required to meet adequately the needs of the Community Facilities District and an estimate of the cost of providing those public facilities.

SECTION 9. The City may accept advances of funds or work -in -kind from any source, including, but not limited to, private persons or private entities, for any authorized purpose, including, but not limited to, paying any cost incurred by the City in creating the Community Facilities District. The City may enter into an agreement with the person or entity advancing the funds or work -in -kind, to repay all or a portion of the funds advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work -in -kind, as determined by the City Council, with or without interest.

SECTION 10. The reasonably expected maximum principal amount of the bonded indebtedness to be incurred by the Community Facilities District for the Facilities and Incidental Expenses is Four Million Dollars ($4,000,000).

SECTION 11. Urban Futures, Inc. is hereby appointed to act as municipal advisor to the City and the Community Facilities District with respect to the formation of the Community Facilities District. Spicer Consulting Group, LLC, is hereby appointed to act as special tax consultant with respect to the formation of the Community Facilities District. Stradling Yocca Carlson & Rauth LLP, is hereby appointed to act as special counsel with respect to the formation of the Community Facilities District.

SECTION 12. Except to the extent limited in any bond resolution or trust indenture related to the issuance of bonds, the City Council hereby reserves to itself all rights and powers set forth in Section 53344.1 of the Act (relating to tenders in full or partial payment).

SECTION 13. This Resolution shall be effective upon its adoption. 4919-1377-3171v3/022599-0038
4

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MOVED, PASSED AND ADOPTED this 4th day of November 2025.

AYES: Fenn, Martinez, White, Voigt, Lara
NOES:

ABSTAIN:

ABSENT:
(SEAL)
ATTEST:
nsu
Elaine Morgan, ity Clerk
of the City of Beaumont
or o '"'e City of Beaumont
4919-1377-3171v3/022599-0038
5

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STATE OF CALIFORNIA )
) ss.

COUNTY OF RIVERSIDE )
I, Elaine Morgan, City Clerk of the City of Beaumont, do hereby certify that the foregoing resolution was duly adopted by the City Council of said City, at a regular meeting of said Board held on the 4th day of November, 2025, and that it was so adopted by the following vote:

AYES:

NOES:

ABSENT:
y1K, tAgvetivAeZt /31i ) 04. L Yca
Elaine Morgan, C ty Clerk
City of Beaumont
4919-1377-3171v3/022599-0038
6

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8£00-665ZZ0/£MMLi£-LL£1-616l
ZLL L 10 Z171, abed

I HEREBY CERTIFY THAT THE WITHIN M AP SHOWING PROPOSED
BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2025-1
(FAIRWAY CANYON 4C), CITY OF BEAUMONT, COUNTY OF

RIVER SID E, STATE OF CAUFORNIA, WA S A PPROVED BYTHE CITY

CO UN CIL OF THE CITY OF BEA UMON T AT A REGULAR MEETING THEREO F, HELD ON __ DAY OF 20_, BY
RESOLUTION NO.

CITY CLERK

CITY OF BEAUMONT

FILED IN THE OFFICE OF THE CITY CLERK, CITY OF BEAUMONT, THIS _ DAY OF 20 .

CITY CLERK

CITY OF BEAUMONT
7 CFD 2025.1 Zr'..

PROPOSED BOU NDARY MAP
C OM MUNITY FACILITIES DISTRI CT NO . 2025-1
(FAIRWAY CANYON 4C)

CITY OF BEAUM ONT,

C OUNTY OF RIVERSIDE, STATE OF CALIFORNI A
0 250 500
1,000 Fe et
✓r
SHEET 1 OF 1 SHEET
REC ORDED THIS DAY OF 20 AT
THE HOUR OF _ O' CLOCK _M IN B OOK _

PA GE OF MAPS OF ASSESSME NT AND C OMMUNITY

FACIUTIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA .

FEE: NO .:

PETER ALDANA, ASSESSOR . COUNTY CLERK . RECORDER
BY:

DEPUTY
LEGEND
oND AF F

DESCRIPTION OF THE PROPOSED C OMMUNIT Y FACILITIES DISTRICT V 1I$IHX1

EXHIBIT B

DESCRIPTION OF THE FACILITIES AND INCIDENTAL EXPENSES

TYPES OF FACILITIES
The proposed types of public facilities and expenses to be financed by the Community Facilities District include:

The construction, purchase, modification, expansion and/or improvement of roadway, bridge, sewer, domestic and reclaimed water, dry utilities, storm drain, curb and gutter, medians, traffic signals, parks, trails, police facilities, fire facilities, library facilities, public community facilities, and any other facilities permitted pursuant to the Act, and appurtenances and appurtenant work, and development impact fees that are used by the City to construct infrastructure including design, engineering and planning costs associated therewith.

TYPES OF INCIDENTAL EXPENSES
The Incidental Expenses to be paid from bond proceeds and/or special taxes include:
a. The cost of engineering, planning and designing the Facilities; b. All costs, including costs of the property owner petitioning to form the Community Facilities District, associated with the creation of the Community Facilities District, the issuance of the bonds, the determination of the amount of special taxes to be levied and costs otherwise incurred in order to carry out the authorized purposes of the Community Facilities District; and
c. Any other expenses incidental to the construction, acquisition, modification, rehabilitation, completion and inspection of the Facilities. 4919-1377-3171v3/022599-0038

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EXHIBIT C

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES FOR

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C) A Special Tax (all capitalized terms are defined in Section A, "Definitions", below) shall be applicable to each Assessor's Parcel of Taxable Property located within the boundaries Community Facilities District No. 2025-1 (Fairway Canyon 4C) of the City of Beaumont ("CFD No. 2025-1 "). The amount of Special Tax to be levied in each Fiscal Year on an Assessor's Parcel shall be determined by the City Council of the City of Beaumont, acting in its capacity as the legislative body of CFD No. 2025-1, by applying the appropriate Special Tax for Developed Property, Approved Property, Undeveloped Property, and Provisional Undeveloped Property that is not Exempt Property as set forth below. All of the real property, unless exempted by law or by the provisions hereof in Section F, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Accessory Dwelling Unit" means a residential unit of limited size including a smaller second unit that shares an Assessor's Parcel with Single Family Residential Property that has a stand- alone Residential Unit.
"Acre" or "Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable Final Map, parcel map, Condominium Plan, or other recorded County parcel map or instrument. The square footage of an Assessor's Parcel is equal to the Acreage multiplied by 43,560.
"Act" means the Mello -Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the Government Code of the State of California.
"Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2025-1: the costs of computing the Special Taxes and preparing the Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting Special Taxes to the Trustee; the costs of the Trustee (including legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2025-1 or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2025-1 or any designee thereof of complying with disclosure requirements of the City, CFD No. 2025-1 and any major property owner associated with applicable federal and state securities laws and the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2025-1 or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City's annual administration fees and third 4919-1377-3171v3/022599-0038
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party expenses. Administration Expenses shall also include amounts estimated by the CFD Administrator or advanced by the City or CFD No. 2025-1 for any other administrative purposes of CFD No. 2025-1, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Approved Property" means all Assessor's Parcels of Taxable Property: (i) that are included in a Final Map that was recorded prior to the January 1St preceding the Fiscal Year in which the Special Tax is being levied, (ii) that have an assigned Assessor's Parcel Number from the County shown on an Assessor's Parcel Map for the individual lot included on the Final Map, and (iii) that have not been issued a Building Permit on or before May Pt preceding the Fiscal Year in which the Special Tax is being levied.
"Assessor's Parcel" means a lot or parcel of land designated on an Assessor's Parcel Map with an assigned Assessor's Parcel Number.
"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 that number assigned to an Assessor's Parcel by the County for purposes of identification.
"Assigned Special Tax" means the Special Tax of that name described in Section D below. "Backup Special Tax" means the Special Tax of that name described in Section D below. "Boundary Map" means a recorded map of the CFD which indicates the boundaries of the CFD.
"Building Permit" means the first legal document issued by a local agency giving official permission for new construction. For purposes of this definition, "Building Permit" may or may not include any subsequent Building Permit document(s) authorizing new construction on an Assessor's Parcel that are issued or changed by the City after the first original issuance, as determined by the CFD Administrator as necessary to fairly allocate Special Tax to the Assessor's Parcel, provided that following such determination the Maximum Special Tax that may be levied in each Fiscal Year on all Assessor's Parcels of Taxable Property will be at least

1.1 times annual debt service on all outstanding CFD No. 2025-1 Bonds plus the estimated annual Administrative Expenses for such Fiscal Year.
"Building Square Footage" means the square footage of assessable internal living space, exclusive of garages or other structures not used as living space, as determined by the CFD Administrator by reference to the Building Permit for such Assessor's Parcel or other reliable information.
"Calendar Year" means the period commencing January 1 of any year and ending the following December 31.
"CFD" or "CFD No. 2025-1" means Community Facilities District No. 2025-1 (Fairway Canyon 4C) of the City of Beaumont established by the City under the Act. 4919-1377-3171v3/022599-0038
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"CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement, and providing for the levy and collection of the Special Taxes.
"CFD No. 2025-1 Bonds" means any obligation to repay a sum of money, including obligations in the form of bonds, notes, certificates of participation, long-term leases, loans from government agencies, or loans from banks, other financial institutions, private businesses, or individuals, or long-term contracts, or any refunding thereof, to which Special Tax of CFD No. 2025-1 have been pledged.
"City" means the City of Beaumont, State of California. "City Council" means the City Council of the City of Beaumont, acting as the Legislative Body of CFD No. 2025-1.
"Condominium Plan" means a Condominium Plan as set forth in California Civil Code, Section 4285.
"County" means the County of Riverside, State of California. "Developed Property" means all Assessor's Parcels: (i) that are included in a Final Map that was recorded prior to the January 1St preceding the Fiscal Year in which the Special Tax is being levied, (ii) that have an Assessor's Parcel Number from the County shown on an Assessor's Parcel Map for the individual lot included on the Final Map, and (iii) for which a Building Permit for new construction was issued on or before May 1St preceding the Fiscal Year in which the Special Tax is being levied.
"Exempt Property" means all Assessor's Parcels designated as being exempt from Special Taxes as provided for in Section F.
"Final Map" means a subdivision of property by recordation of a final map, parcel map, or lot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a Condominium Plan pursuant to California Civil Code Section 4285 that creates individual lots for which Building Permits may be issued without further subdivision.
"Fiscal Year" means the period commencing on July 1St of any year and ending the following June 30th
"Indenture" means the indenture, fiscal agent agreement, resolution or other instrument pursuant to which CFD No. 2025-1 Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Category" means any of the categories listed in Table 1, Table 2, and Table 3 of Section D.
4919-1377-3171v3/022599-0038
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"Maximum Special Tax" means for each Assessor's Parcel, the maximum Special Tax, determined in accordance with Section D below, that can be levied by CFD No. 2025-1 in any Fiscal Year on such Assessor's Parcel.
"Multifamily Property" means all Assessor's Parcels of Developed Property for which a Building Permit has been issued for the purpose of constructing a building or buildings comprised of attached Residential Units available for rental by the general public, not for sale to an end user, and under common management, as determined by the CFD Administrator. "Non -Residential Property" means all Assessor's Parcels of Developed Property for which a Building Permit(s) was issued or will be issued for a non-residential use. The CFD Administrator shall make the determination if an Assessor's Parcel is Non -Residential Property. "Partial Prepayment Amount" means the amount required to prepay a portion of the Special Tax obligation for an Assessor's Parcel, as described in Section G.2. "Prepayment Amount" means the amount required to prepay the Special Tax obligation in full for an Assessor's Parcel, as described in Section G.1.
"Proportionately" means for Taxable Property that is (i) Developed Property, that the ratio of the actual Special Tax levy to the Assigned Special Tax is the same for all Assessor's Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Assessor's Parcels of Approved Property, and (iii) Undeveloped Property, or Provisional Undeveloped Property, that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is the same for all Assessor's Parcels of Undeveloped Property, or Provisional Undeveloped Property, as applicable. "Provisional Undeveloped Property" means all Assessor's Parcels of Taxable Property that would otherwise be classified as Exempt Property pursuant to the provisions of Section F, but cannot be classified as Exempt Property because to do so would be reduce the Acreage of all Taxable Property below the required minimum Acreage set forth in Section F. "Rate and Method of Apportionment" means this Rate and Method of Apportionment of Special Tax for CFD No. 2025-1.
"Residential Property" means all Assessor's Parcels of Developed Property for which a Building Permit has been issued for purposes of constructing one or more Residential Units. "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 CFD Administrator. An Accessory Dwelling Unit that shares an Assessor's Parcel with a Single Family Residential Property shall not be considered a Residential Unit for purposes of this Rate and Method of Apportionment. "Single Family Residential Property" means all Assessor's Parcels of Residential Property other than Multifamily Property.
"Special Tax" or "Special Taxes" means any of the special taxes authorized to be levied within CFD No. 2025-1 pursuant to the Act to fund the Special Tax Requirement. 4919-1377-3171v3/022599-0038
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"Special Tax Requirement " means the amount required in any Fiscal Year to pay: (i) the debt service or the periodic costs on all outstanding CFD No. 2025-1 Bonds due in the Calendar Year that commences in such Fiscal Year, (ii) Administrative Expenses, (iii) the costs associated with the release of funds from an escrow account, (iv) any amount required to replenish any reserve funds established in association with the CFD No. 2025-1 Bonds, (v) an amount equal to any anticipated shortfall due to Special Tax delinquencies, (vi) for debt service on CFD No. 2025-1 Bonds anticipated to be issued, and (vii) for the collection or accumulation of funds for the acquisition or construction of facilities authorized by CFD No. 2025-1, provided that the inclusion of such amount does not cause an increase in the levy of Special Tax on Approved Property or Undeveloped Property as set forth in Steps Two or Three of Section E., less (vii) any amounts available to pay debt service or other periodic costs on the CFD No. 2025-1 Bonds pursuant to the Indenture.
"Tax Zone(s)" means the geographical area(s) within CFD No. 2025-1 identified as Tax Zone 1, Tax Zone 2, or Tax Zone 3 as shown on the Boundary Map. "Tax Zone 1" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 1.
"Tax Zone 2" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 2.
"Tax Zone 3" means all property located within CFD No. 2025-1 identified on the Boundary Map as Tax Zone 3.
"Taxable Property" means all Assessor's Parcels within CFD No. 2025-1 which are not Exempt Property.
"Taxable Unit" means either a Residential Unit or an Acre. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means all Assessor's Parcels of Taxable Property which are not Developed Property, Approved Property, or Provisional Undeveloped Property.

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each Assessor's Parcel of Developed Property, Approved Property, Undeveloped Property or Provisional Undeveloped Property shall be further classified as being within Tax Zone 1, Tax Zone 2, or Tax Zone 3.

Assessor's Parcels of Developed Property shall further be classified as Residential Property or Non -Residential Property. Each Assessor's Parcel of Residential Property shall further be classified as Single Family Residential Property or Multifamily Property. Each Assessor's Parcel of Single Family Residential Property shall be further categorized into Land Use Categories based on its Building Square Footage and assigned to its appropriate Assigned Special Tax rate.

D. MAXIMUM SPECIAL TAX

The Maximum Special Tax for each Assessor's Parcel of Non -Residential or Multifamily Property shall be the applicable Assigned Special Tax described in Table 1, Table 2 or Table 3 of Section D.
a. Assigned Special Tax
Each Fiscal Year, each Assessor's Parcel of Single Family Residential Property, Multifamily Property or Non -Residential shall be subject to an Assigned Special Tax. The Assigned Special Tax applicable to an Assessor's Parcel of Developed Property shall be determined pursuant to Table 1, Table 2, or Table 3 below.

TABLE 1

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 1
(FISCAL YEAR 2026-2027)
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Land Use Category
Taxable
_ Unit
Building Square
Footage
Assigned
Special Tax
Per Taxable
Unit

1. Single Family Residential Property
RU
Less than 2,100 sq. ft
$576.00

2. Single Family Residential Property
RU
2,100 sq. ft to 2,300 sq. ft
$592.00

3. Single Family Residential Property
RU
Greater than 2,300 sc . ft
$617.00

4. Multifamily Property
Acre
N/A
$5,049.00

5. Non -Residential Property
Acre
N/A
$5,049.00
TABLE 2

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 2
(FISCAL YEAR 2026-2027)
Land Use Category
Taxable
Unit
Building Square
Footage
Assigned
Special Tax
Per Taxable
Unit

1. Single Family Residential Property
RU
Less than 2,000 sq. ft
$664.00

2. Single Family Residential Property
RU
Greater than 2,000 sq. ft
$674.00

3. Multifamily Property
Acre
N/A
_ $5,275.00

4. Non -Residential Property
Acre
N/A
$5,275.00
TABLE 3

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
WITHIN TAX ZONE 3
(FISCAL YEAR 2026-2027)
Land Use Category
Taxable
Unit
Building Square
Footage
Assigned
Special Tax
Per Taxable
Unit

1. Single Family Residential Property
RU
Less than 2,600 se . ft
$603.00

2. Single Family Residential Property
RU
2,600 sq. ft to 3,000 sc. ft
$656.00

3. Single Family Residential Property
RU
Greater than 3,000 sq. ft
$682.00

4. Multifamily Property
Acre
N/A
$3,827.00

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c. Backup S aecial Tax
When a Final Map is recorded, the CFD Administrator shall determine which Tax Zone the Final Map area lies within and the Backup Special Tax for an Assessor's Parcel within the Final Map classified or to be classified as Single Family Property shall be calculated according to the following formula.

B = (U x A) / L
The terms above have the following meanings:

B = Backup Special Tax per per Assessor's Parcel within the Final Map U = Maximum Special Tax per Acre of Undeveloped Property per Section D.3 below A = Acreage of Single Family Residential Property expected to exist in such Final Map at the time of calculation, as determined by the CFD Administrator L = Number of Residential Units expected to exist in such Final Map at the time of calculation, as determined by the CFD Administrator.

In the event any portion of the Final Map is changed or modified, the Backup Special Tax for all Assessor's Parcels within such changed or modified area shall be determined by Table 4 below:

TABLE 4

MAXIMUM SPECIAL TAX PER ACRE
(FISCAL YEAR 2026-2027)
Tax Zone
Maximum Special
Tax per Acre
1 $5,049
2 $5,275
3 $3,827
In the event any superseding Final Map is recorded as a Final Map within the boundaries of the CFD, the Backup Special Tax for all Assessor's Parcels within such Final Map shall be on the rate per Acre shown in the table above. The Backup Special Tax shall not apply to Multifamily Residential Property or Non -Residential Property.

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Step One: The Special Tax shall be levied Proportionately on each Assessor's Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax rate to satisfy the Special Tax Requirement.

Step Two: If additional moneys are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Approved Property at up to 100% of the Maximum Special Tax applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement.

Step Three: If additional moneys are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property up to 100% of the Maximum Special Tax applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement.

Step Four: If additional moneys are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax levy on each Assessor's Parcel of Developed Property for which the Maximum Special Tax is the Backup Special Tax shall be increased Proportionately from the Assigned Special Tax up to 100% of the Backup Special Tax as needed to satisfy the Special Tax Requirement.

Step Five: If additional moneys are needed to satisfy the Special Tax Requirement after the first four steps have been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Provisional Undeveloped Property up to 100% of the Maximum Special Tax applicable to each such Assessor's Parcel as needed to satisfy the Special Tax Requirement. 4919-1377-3171v3/022599-0038
C-9

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TABLE 5

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"Construction Fund" means an account specifically identified in the Indenture or functionally equivalent to hold funds, which are currently available for expenditure to acquire or construct public facilities eligible to be financed by CFD No. 2025-1. "Construction Inflation Index" means the annual percentage change in the Engineering News - Record Building Cost Index for the City of Los Angeles, measured as of the Calendar Year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the City that is reasonably comparable to the Engineering News -Record Building Cost Index for the City of Los Angeles. "Future Facilities Costs" means the CFD Public Facilities minus (i) public facility costs previously funded from the Construction Fund, (ii) public facility costs available to be funded through existing construction or escrow accounts funded by the Outstanding Bonds, and minus (iii) public facility costs funded by interest earnings on the Construction Fund actually earned prior to the date of prepayment, provided such amount shall not be less than zero. "Outstanding Bonds" means all previously issued CFD No. 2025-1 Bonds issued and secured by the levy of Special Tax which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding CFD No. 2025-1 Bonds to be redeemed at a later date with the proceeds of prior prepayments of Special Tax.

1. Prepayment in Fu11
The Maximum Special Tax obligation may be prepaid and permanently satisfied for (i) Assessor's Parcels of Developed Property, (ii) Assessor's Parcels of Approved Property or Undeveloped Property for which a Building Permit has been issued, (iii) Approved Property or Undeveloped Property for which a Building Permit has not been issued and (iv) Assessor's Parcels of Provisional Undeveloped Property that are not Exempt Property pursuant to Section F. The Maximum Special Tax obligation applicable to an Assessor's Parcel may be fully prepaid and the obligation to pay the Special Tax for such Assessor's Parcel permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Special Tax obligation for such Assessor's Parcel shall provide the CFD Administrator with written notice of intent to prepay, and within 5 business days of receipt of such notice, the CFD Administrator shall notify such owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by the CFD in calculating the Prepayment Amount (as defined below) for the Assessor's Parcel. Within 15 days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the Prepayment Amount for the Assessor's Parcel. Prepayment must be made not less than 60 days prior to the redemption date for any Outstanding Bonds to be redeemed with the proceeds of such prepaid Special Taxes.

The Prepayment Amount (defined below) shall be calculated as follows (capitalized terms are defined below):
4919-1377-3171v3/022599-0038
C-11

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1. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel.

5. Multiply the Bond Redemption Amount by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium").

6. Determine the Future Facilities Costs.

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9. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid.

11. Add the amounts derived pursuant to paragraphs 8 and 9 and subtract the amount derived pursuant to paragraph 10 (the "Defeasance Amount").

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Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Special Tax that may be levied each Fiscal Year on all Assessor's Parcels of Taxable Property after the proposed prepayment will be at least 1.1 times annual debt service for such Fiscal Year on the Outstanding Bonds that will remain outstanding after the prepayment plus the estimated annual Administrative Expenses.

Tenders of Outstanding Bonds in prepayment of the Maximum Special Tax obligation may be accepted upon the terms and conditions established by the City Council pursuant to the Act.

However, the use of Outstanding Bond tenders shall only be allowed on a case -by -case basis as specifically approved by the City Council.

PP = ((PE — A) x F) + A
These terms have the following meaning:

PP = Partial Prepayment Amount
PE = the Prepayment Amount calculated according to Section G.1 F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Special Tax obligation
A = the Administrative Fees and Expenses determined pursuant to Section G.1 The owner of an Assessor's Parcel who desires to partially prepay the Maximum Special Tax obligation for the Assessor's Parcel shall notify the CFD Administrator of (i) such owner' s intent to partially prepay the Maximum Special Tax obligation, (ii) the percentage of the Maximum Special Tax obligation such owner wishes to prepay, and (iii) the company or agency that will be acting as the escrow agent, if any. Within 5 days of receipt of such notice, the CFD Administrator shall notify such property owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by the CFD in calculating the amount of a partial prepayment. Within 15 business days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the amount of the Partial Prepayment Amount for the Assessor's Parcel. A Partial Prepayment Amount must be made not less than 60 days prior to the redemption date for the Outstanding Bonds to be redeemed with the proceeds of the Partial Prepayment Amount.

H. TERMINATION OF SPECIAL TAX
4919-1377-3171v3/022599-0038
C-14

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For each Fiscal Year that any CFD No. 2025-1 Bonds are outstanding the Special Tax shall be levied on all Assessor's Parcels subject to the Special Tax. The Special Tax shall cease not later than the 2067-2068 Fiscal Year, however, Special Tax will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all the required interest and principal payments on the CFD No. 2025-1 Bonds have been paid; (ii) all authorized facilities of CFD No. 2025-1 have been acquired and all reimbursements to the developer have been paid, (iii) no delinquent Special Taxes remain uncollected and (iv) all other obligations of CFD No. 2025-1 have been satisfied.

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SPICER

CONSULTING GROUP
spicercg.com

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WAIVER OF CERTAIN ELECTION PROCEDURES

WITH RESPECT TO LANDOWNER ELECTION FOR
CITY OF BEAUMONT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C)
The undersigned, acting on behalf of Meritage Homes of California, Inc., a California corporation (the "Owner"), hereby certifies to the City of Beaumont (the "City"), with respect to the proposed formation of City of Beaumont Community Facilities District No. 2025-1 (Fairway Canyon 4C) (the "District"), as follows:

1. The undersigned has been duly authorized by the Owner and possesses all authority necessary to execute this Waiver on behalf of the Owner in connection with the election to be called by the City Council of the City with respect the District. The Owner hereby appoints Nick Emsiek to act as its authorized representative to vote in the election referred to herein and certifies that his true and exact signature is set forth below:

Signature of Nick Emsiek:

2. The Owner is the present owner of 97.387 acres of land located within the proposed boundaries of the District. To the actual knowledge of the undersigned, there are no registered voters residing within the territory owned by the Owner and have been none during the 90 -day period preceding December 16, 2025.

3. The Owner has received notice of the December 16, 2025 public hearing to be held by the City Council of the City regarding the levy of a special tax in the District and the incurring of bonded indebtedness by the District. The Owner agrees that it received adequate notice of the December 16, 2025 hearing.

4. The Owner has received from the City and the City has made available to the Owner necessary and relevant information regarding the proposed formation of the District and the imposition of the special tax and the issuance of bonded indebtedness, as set forth in Resolutions No. 2025-60 and 2025-61 adopted by the City Council on November 4, 2025 (together, the "Resolutions") to finance the facilities and the services as set forth in the Resolutions.

5. The undersigned understands that if the District is formed on or after December 16, 2025, an election will be held by the District on the propositions set forth in the sample ballot attached hereto as Exhibit "A" less than 90 days after the close of the December 16, 2025 public hearing as in accordance with Section 53326 of the Government Code, without the preparation of an impartial analysis, arguments or rebuttals concerning the election as provided for by Elections Code Sections 9160 to 9167, inclusive, and 9190 and without preparation of a tax rate statement as provided in Section 9401 of the Elections Code and without further notice of such election as required pursuant to the Elections Code or the Government Code. Having been fully advised with respect to the election, in accordance with the authority contained in Government Code Sections 53326 and 53327, the Owner waives compliance with the foregoing provisions of the Elections Code and Government Code, with any time limits or other procedural requirements pertaining to the conduct of the election which are not being complied with and consents to having the election on any date on or after the close of the December 16, 2025 public hearing and consents to the closing of the election as soon as all ballots are received by the City Clerk. 1 4935-9771-0457v41022599-0038

Page 160 of 1772 ends

6. The undersigned hereby represents that compliance with the procedural requirements for conducting the election, including the receipt of any ballot arguments and impartial analysis and the time limitations which apply in connection with scheduling, mailing and publishing notices for such an election, are unnecessary in light of the fact that the undersigned has received sufficient information regarding the imposition of the special tax and the issuance of bonded indebtedness as set forth in the Resolutions to allow it to properly complete the attached ballot. The Owner further waives its right to make any protest or complaint or undertake any legal action challenging the validity of the election, the validity of any bonded indebtedness issued by the District as approved at the election, or the validity of the authorization of the special tax to finance facilities and the services for the benefit of the District or to repay bonded indebtedness issued by the District in accordance with the rate and method of apportionment of special taxes provided in Resolution No. 2025-60 of the City Council of the City.

Dated: December , 2025

MERITAGE HOMES OF CALIFORNIA,
INC., a California corporation
By:

Name: Nick Emsiek
Title: Division President
2 4935-9771-0457v41022599-0038

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EXHIBIT A

SAMPLE BALLOT

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C)

SPECIAL TAX AND SPECIAL BOND ELECTION
December 16, 2025
PROPOSITION A: Shall City of Beaumont Community
Facilities No. 2025-1 (Fairway Canyon 4C) (the "District") incur an indebtedness and issue bonds in the maximum principal amount of $4,000,000 for the District with interest at a rate or rates not to exceed the maximum interest rate permitted by law, to fmance the Facilities and the Incidental Expenses described in Resolution No. 2025-60 of the City Council of the City of Beaumont?
PROPOSITION B: Shall special taxes with a rate and method of apportionment for the District as provided in Resolution No. 2025-60 of the City Council of the City of Beaumont be levied to pay for the Facilities, Services and Incidental Expenses and other purposes described in Resolution No. 2025-60, including the payment of the principal of and interest on bonds issued by the District to fmance the Facilities and Incidental Expenses? YES
NO _
YES
NO
PROPOSITION C: For each year commencing with Fiscal Year 2026-2027, shall the appropriations limit, as defined by YES subdivision (h) of Section 8 of Article XIII B of the California Constitution, for the District be an amount equal to $1,000,000? NO _ A-1
4935-9771-0457v41022599-0038

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—,
.
es.
?

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Presented by:

Jennifer Ustation - Finance Director
Brian Forbath- Stradling Yocca Carlson & Rauth LLP
Shane Spicer - Spicer Consulting Group LLC
BEAU o T Stradl ng

C A L I F O R N I A

S P I C E R

CONSULTING GROUP

Page 164 of 1772 ends

Background & Development History
Why CFDs are Requested for Fairway Canyon 4C
• 366 -lot residential project by Meritage Homes.
• Located west of Tukwet Canyon Pkwy, north of Oak Valley Pkwy. • Project originates from the SunCal Oak Valley Development Agreement (2003) which obligates the City to cooperate in CFD formation for financing required improvements. • Property subsequently transferred through bankruptcy proceedings and ultimately acquired by Meritage-related entities.
• Developer formally requested CFD formation for facilities, public safety, and maintenance services.

Page 165 of 1772 ends

Purpose of Tonight's Public Hearing
Required under the Mello -Roos Act
• Receive public input on:
• CFD 2025-1 (Facilities)
• CFD 2025-S (Public Services)
• CFD 2025-M (Maintenance Services)
• Consider formation of each CFD and authorization of special taxes. • Consider necessity to incur debt (CFD 2025-1 only).
• Conduct landowner elections (all CFDs).
• Consider introduction of ordinances levying special taxes following successful. elections.

Page 166 of 1772 ends

Project Boundaries
• Boundary Map included in
Resolutions of Intention
adopted Nov. 4, 2025.
• Notices mailed and published
consistent with the Act.

Page 167 of 1772 ends

CFD 2025-1 (Facilities) - Summary
Purpose: Finance the construction of public improvements and reimburse eligible developer costs. • Created under the Mello -Roos Community Facilities Act of 1982. • Estimated bond capacity: = $4 million secured solely by special. taxes. • Facilities to be financed: City road and sewer projects (—$2.6 M). • Special. Tax Structure: Three tax zones with assigned rates from $576 to $682 per lot. • Fiscal Safeguards: 2% Effective Tax Rate (ETR) cap consistent with City policy. • The 2% ETR takes into account the BUSD CFD 2022-1 Special Tax rate (ranges: $1,838 - $2,647 per unit) Action Requested: Adopt Resolutions of Intention to form CFD 2025-1 and authorize bond indebtedness.

Page 168 of 1772 ends

CFD 2025-1 (Facilities) — Actions Required Tonight
• Adopt Resolution of Formation.
• Adopt Resolution Determining Necessity to Incur Bonded Indebtedness. • Call and conduct the landowner election.
• Adopt Resolution Certifying Election Results.
• Introduce Ordinance Authorizing the Levy of Special. Taxes.

Page 169 of 1772 ends

CFD 2025-5 (Public Services) - Summary
Purpose: Provide funding for essential public safety services. • Establishes an initial district for Fairway Canyon 4C and a Potential. Annexation Area for future developments Citywide.
• Services Funded: Police protection, fire suppression, paramedic and emergency response services. • Tax Rates: $639 per Single -Family Residential Unit; $526 per Multi -Family Unit. • Escalation: Greater of CPI or 5% annually beginning FY 2026-27. • Includes Future Annexation Area

Page 170 of 1772 ends

CFD 2025-5 - Actions Required Tonight
• Adopt Resolution of Formation.
• Call and conduct the landowner election.
• Adopt Resolution Certifying Election Results.
• Introduce Ordinance Authorizing the Levy of Special Taxes.

Page 171 of 1772 ends

CFD 2025-M (Maintenance Services) - Summary
Purpose: Fund Maintenance & Operations for Public Improvements • Establishes initial district for Fairway Canyon 4C and a Potential Annexation Area for future projects. • Services Funded: Parks, trails, landscaping, street lighting, pavement management, storm drain and BMP facilities, graffiti abatement.
• Tax Rates:
• $438 per Residential Unit (Special Tax A - City Services) • $292 per Residential Unit (Special Tax B - Contingent POA Backup) • Escalation: CPI or 2% (whichever is greater).
• Includes Future Annexation Area

Page 172 of 1772 ends

CFD 2025-M - Actions Required Tonight
• Adopt Resolution of Formation.
• Call and conduct the landowner election.
• Adopt Resolution Certifying Election Results.
• Introduce Ordinance Authorizing the Levy of Special Taxes.

Page 173 of 1772 ends

Election Requirements
Landowner Election Required (No Registered Voters)
• Registrar of Voters certified 0 registered voters in each CFD boundary. • Under the Act, landowner receives 1 vote per acre or portion thereof. • Developer has executed consents and waivers to expedite election timelines.

Page 174 of 1772 ends

Recommended Actions (Consolidated for All CFDs)
• Adopt Resolution of Formation for CFD 2025-1, CFD 2025-S, CFD 2025-M. • Adopt Resolution Determining Necessity to Incur Bonded Indebtedness (CFD 2025-1 only). • Conduct landowner elections for each CFD.
• Adopt Resolutions Certifying Election Results.
• Introduce Ordinances Authorizing the Levy of Special Taxes.

Page 175 of 1772 ends

QUESTIONS
#ACITYELEVATED

CITY OF BEAUMONT
550 East 6th Street, Beaumont, CA 92223
951) 769-8520
BEAUM0NTCA.G0V
0 0

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THE PRESS -ENTERPRISE
KEEP YOUR EYES ON 'Ii I I 'PRISE
pe.com
3512 14 Street
Riverside, California 92501
(951) 368-9229
[email protected]
City of Beaumont
550 E. 6th Street
Beaumont, California 92223
Account Number:

Ad Order Number:

Customer's Reference/PO Number:

Publication:

Publication Dates:

Total Amount:

Payment Amount:

Amount Due:

Notice ID:

Invoice Text:
5209298
0011767129
The Press -Enterprise
11/29/2025
$1259.85
$0.00
$1259.85
0x9qTEeUtR5thVEQC1Az

NOTICE OF PUBLIC HEARING ON INTENTION TO FORM CITY OF BEAUMONT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C) TO LEVY

SPECIAL TAXES THEREIN AND TO AUTHORIZE BONDED INDEBTEDNESS NOTICE IS HEREBY GIVEN that on November 4, 2025, the City Council (the "City Council") of the City of Beaumont (the "City") adopted its Resolution No. 2025-60 (the "Resolution of Intention"), declaring its intention to form City of Beaumont Community Facilities District No. 2025-1 (Fairway Canyon 4C) ("CFD No. 2025-1" or the "District") pursuant to the Mello -Roos Community Facilities Act of 1982, as amended (the "Act") and to levy special taxes within the District for the purpose of financing certain Facilities and Incidental Expenses (as such terms are defined below). CFD No. 2025- 1 is proposed to have the boundaries depicted on the map therefor on file with the City Clerk. Also on November 4, 2025, the City Council adopted its Resolution No. 2025-61 declaring its intention to incur bonded indebtedness to be issued by CFD No. 2025-1 in the maximum principal amount of $4,000,000 for the District to finance the Facilities and Incidental Expenses. Capitalized terms that are not otherwise defined herein shall have the respective meanings ascribed to them in the Resolution of Intention and the exhibits thereto. The proposed Facilities include the construction, purchase, modification, rehabilitation, expansion and/or improvement of roadway, bridge, sewer, domestic and reclaimed water, dry utilities, storm drain, curb and gutter, medians, traffic signals and any other facilities permitted pursuant to the Act, parks, trails, police facilities, fire facilities, library facilities, public community facilities, and appurtenances and appurtenant work, and development impact fees that are

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CFD 2025-1 - Page 1 of 2

THE PRESS -ENTERPRISE

KEEP YOUR EYES ON THE
The Press -Enterprise
3512 14 Street
Riverside, California 92501
(951) 368-9229
City of Beaumont
550 E. 6th Street
Beaumont, California 92223
Publication: The Press -Enterprise

PROOF OF PUBLICATION OF
Ad Desc: 0011767129
FILE NO. 0011767129

PROOF OF PUBLICATION
I am a citizen of the United States. I
am over the age of eighteen years and
not party to or interested in the above -
entitled matter. I am an authorized
representative of THE PRESS -
ENTERPRISE, a newspaper of
general circulation, printed and
published daily in the County of
Riverside, and which newspaper has
been adjudicated a newspaper of
general circulation by the Superior
Court of the County of Riverside, State
of California, under date of April 25,
1952, Case Number 54446, under
date of March 29, 1957, Case Number
65673, under date of August 25, 1995,
Case Number 267864, and under date
of September 16, 2013, Case Number
RIC 1309013; that the notice, of which
the annexed is a printed copy, has
been published in said newspaper in
accordance with the instructions of the
person(s) requesting publication, and
not in any supplement thereof on the
following dates, to wit:
11129/2025
I certify (or declare) under the penalty
of perjury that the foregoing is true and
correct.

Date: November 29, 2025.

At: Riverside, California
Signature

NOTICE OF PUBLIC HEARING ON INTENTION TO FORM CITY OF
BEAUMONT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (FAIRWAY CANYON 4C) TO LEVY SPECIAL TAXES THEREIN AND TO AUTHORIZE

BONDED INDEBTEDNESS
NOTICE IS HEREBY GIVEN that on November 4, 2025, the City Council (the "City Council") of the City of Beaumont (the "City") adopted its Resolution No. 2025-60 (the "Resolution of Intention"), declaring Its intention to form City of Beaumont Community Facilities Dlstrlct No. 2025-1 (Fairway Canyon 4C) ("CFD No. 2025-1" or the "District") pursuant to the Mello -Roos Community Facilities Act of 1982, as amended (the "Act") and to levy special taxes wlthln the Dlstrlct for the purpose of financing certain Facilities cand Incidental Expenses (cis such terms are defined below). CFD No. 2025-1 is proposed to have the boundaries depicted on the map therefor on file with the City Clerk.

Also on November 4, 2025, the City Council adopted its Resolution No. 2025-61 declaring its intention to Incur bonded indebtedness to be issued by CFD No. 2025-1 in the m axlrnurn principal amount of $4,000,000 for the District to finance the Facilities and Incidental Expenses.

Capitalized terms that are not otherwise defined herein shall have the respective meanings ascribed to them in the Resolution of intention and the exhibits thereto.

The proposed Facilities include the construction, purchase, modification, rehabilitation, expansion and/or improvement of roadwciy, bridge, sewer, domestic and reclaimed water, dry utilities, storm drain, curb and gutter, medians, traffic signals and any other facilities permitted pursuant to the Act, parks, trolls, police facilities, fire facilities, library facilities, public community facilities, and appurtenances and appurtenant work and development impact fees that are used by the City to construct infrastructure including design, engineering and planning costs associated therewith (collectively, the "Facilities"). The Facilities listed herein are representative of the types of improvements authorized to be financed by CFD No. 2025-

1. Detailed scope and Iirnits of specific prolects will be determined as C7pproprlate, consistent with the standards of the City. Addition, deletion or modification of descriptions of the Facilities may be made consistent with the requirements of the City Council, CFD No. 2025-1 and the Act.

The Incidental Expenses to be paid from bond proceeds and/or special taxes include:

All costs, including (1) cost of engineering, planning and designing the Facilities; (2) costs of the property owner petitioning to form CFD No. 2025-1, associated with the creation of CFD No. 2025-1, the issuance of the bonds, the determination of the amount of special taxes to be levied and costs otherwise incurred In order to carry out the authorized purposes of CFD No. 2025-1; and (3) any other expenses incidental to the construction, acquisition, modification, rehabilitation, completion anti inspection of the Facilities.

The Resolution of intention specifies the Rate and Method of Apportionment of Special Taxes for the Dlstrlct (the "Rate and Method"). The Resolution of intention proposes a Maximum Special Tax within the District for Developed Property within the property depicted In the boundary map, which shalt be the greater of (1) the amount derived by application of the Assigned Special Tax cis set forth in the Rate and Method or (11) the amount derived by application of the Backup Special Tax. There are three zones described in the Rate ctnd Method. The Backup Special Tax per lot is calculated by reference to a per acre rate, which for the three zones ranges from $3,827 to $5,049 per acre in fiscal year 2026-27. The Assigned Special Tax rate for fiscal year 2026-27 for Non -Residential Property ranges from $3,827 to $5,049 per acre depending on the zone in which the property Is located. The Assigned Special Tax rates for residential property varies by zone anti by building square footage.

The Assigned Special Tax rates for fiscal year 2026-27 ranges from $576 to $682 per unit.

To satisfy the Special Tax Requlrement for the District, CFD No. 2025- 1 shall first levy the Special Tcix proportionately on each Assessor's Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax as needed. If additional moneys are needed to satisfy the Special Tax Requirement, the Special Tax shall he levied: second, proportionately on each Assessor's Parcel of Final Map Property at up to 100% of the Maximum Special Tax for Final Map Property; third, proportionately on each Assessor's Parcel of Undeveloped Property ut up to 100% of the Mcaxlmum Special Tax for Undeveloped Property; fourth, increased in equal percentages from the Assigned Special Tax up to the Maximum Special Tax for each Assessor's Parcel of Developed Property whose Maximum Special Tax is derived by the application of the Backup Special Tax; and, fifth, proportionately on each Assessor's Parcel of Provisional Undeveloped Property that is not Exempt Property, at up to 100% of the Maximum Special Tax. The Backup Special Tax for the District is to be determined In accordance with the Rate and Method based on the final mcap within the Dlstrlct.

The Resolution of intention proposes that for each year in which any Bonds issued by CFD No. 2025-1 for the Dlstrlct are outstanding the Specical Tax within the Dlstrlct shall be levied on all Assessor's Parcels sublect to the Special Tax within the District. If any delinquent Special Tax amounts remain uncollected prior to or after ail Bonds issued by CFD No. 2025-1 are retired, the Special Tax within

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CFD 2025-1 - Page 1 of 2

the District may be levied to the extent necessary to reimburse CFD No. 2025-1 for uncollected Special Tax amounts associated with the levy of such Special Tax within the District, but the Special Tax shall not be levied after 2067-2068 Fiscal Year.

The foregoing Is only a summary of the Resolution of Intention which is on fl le with the City Clerk. The full text of the Resolution of Intention should be referred to by any Interested party for greater detail.

PUBLIC HEARING

NOTICE IS HEREBY GIVEN THAT A PUBLIC HEARING WILL
BE HELD ON DECEMBER 16, 2025, AT THE HOUR OF 6.00 P.M.,

OR AS SOON THEREAFTER AS SUCH MATTER CAN BE HEARD,

AT A REGULAR MEETING OF THE CITY COUNCIL TO BE HELD
IN THE CITY COUNC I L CHAMBERS LOCATEDAT550 EAST6TH

STREET, BEAUMONT, CALIFORNIA, ATWHICHTIME THE CITY

COUNCIL WILL HEAR ALL EVIDENCE AND TESTIMONY BY

ALL INTERESTED PERSONS, PROPERTY OWNERS, VOTERS
AND TAXPAYERS FOR OR AGAINST (1) THE ESTABLISHMENT
OF CFD NO. 2025-1, (2) THE EXTENT OF CFD NO. 2025-1, (3) THE LEVY OF SPECIAL TAXES WITHIN THE DISTRICT, (4) THE
ACQUISITION AND CONSTRUCTION OF THE FACILITIES, (5)

THE AUTHORIZATION OF BONDED INDEBTEDNESS THE
DISTRICT, AND (6) ANY OTHER MATTERS AS SET FORTH IN
THE RESOLUTION OF INTENTION.

ALL PERSONS INTERESTED, INCLUDING PROPERTY

OWNERS, TAXPAYERS AND REGISTERED VOTERS, MAY

APPEAR AT THE HEARING AND PRESENT EVIDENCE AND

TESTIMONY ORALLY OR IN WRITING FOR OR AGAINST
ITEMS (1) THROUGH (6) ABOVE. EACH INDIVIDUAL WISHING

TO SPEAK WILL BE LIMITED TO A THREE MINUTE ORAL
PRESENTATION. ANY PROTEST PERTAINING TO THE

REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS

RELATING TO THE PROPOSED ISSUES DESCRIBED IN ITEMS
(1) THROUGH (6) ABOVE MUST BE IN WRITING AND SHALL

CLEARLY STATE THE IRREGULARITIES OR DEFECTS TO

WHICH OBJECTION IS MADE, AND SHALL BE FILED WITH

THE CITY CLERK ON OR BEFORE THE TIME SET FOR THE
HEARING. IF THE OWNERS OF ONE-HALF (1/2) OR MORE
OF THE AREA OF LAND WITHIN CFD NO. 2025-1 AND NOT

EXEMPT FROM THE SPECIAL TAX FILE WRITTEN PROTESTS
AGAINST ANY OF ITEMS (1) THROUGH (6) ABOVE, AND

PROTESTS ARE NOT WITHDRAWN SO AS TO REDUCE THE

VALUE OF THE PROTESTS TO LESS THAN A MAJORITY, THE

CITY COUNCIL SHALL ABANDON THAT PORTION OF THE

PROCEEDINGS PERTAINING TO SUCH ITEM(S) AND NO

FURTHER PROCEEDINGS WITH RESPECT TO SUCH ITEM(S)

SHALL BE TAKEN FOR A PERIOD OF ONE YEAR FROM THE
DATE OF THE DETERMINATION BY THE CITY COUNCIL. THE

CITY COUNCIL MAY MODIFY THE PROCEEDINGS IF SUCH

MAJORITY PROTESTS ARE ONLY AGAINST A SPECIFIED
ISSUE.

UNDER THE ACT, THE CITY COUNCIL MAY EITHER
CONCLUDE THE PUBLIC HEARING ON DECEMBER 16, 2025

OR MAY CONTINUE THE PUBLIC HEARING TO A LATER DATE

IF THE COMPLEXITY OF THE PROPOSED DISTRICT OR THE

NEED FOR PUBLIC PARTICIPATION REQUIRES ADDITIONAL
TIME. IF THE CITY COUNCIL DETERMINES TO SUBMIT

THE QUESTION OF LEVYING THE SPECIAL TAXES AND

AUTHORIZING BONDED INDEBTEDNESS, AN ELECTION WILL
BE HELD WITHIN CFD NO. 2025-1 TO APPROVE THE LEVY OF

THE SPECIAL TAXES THEREIN AND THE AUTHORIZATION
OF BONDED INDEBTEDNESS FOR CFD NO. 2025-1. AT SUCH AN

ELECTION, EACH LANDOWNER WITHIN THE DISTRICT AREA

SHALL BE ENTITLED TO CAST ONE VOTE FOR EACH ACRE

OR PORTION THEREOF OWNED WITHIN THE DISTRICT FOR

THE PROPOSITIONS TO BE ADOPTED, TWO-THIRDS OF THE

VOTES CAST ON EACH PROPOSITION AT THE ELECTION MUST
FAVOR PASSAGE.

INQUIRIES
The full text of the Resolution of Intention, which includes the proposed Rate and Method and the list of Facilities and Incidental Expenses to be financed, and a copy of the map of the proposed CF❑ No. 2025-1 may be obtained from the person specified below.

For any questions relating to the proceedings, or any particulars, please contact the following designated person:

Mr. Gustavo Rorno
Interim City Manager
City of Beaumont
550 East 6th Street
Beaumont, CA 92223
(951) 769-8520
/s/ Elaine Morgan

CITY CLERK OF THE

CITY OF BEAUMONT
The Press -Enterprise
Published: 11/29/25

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CFD 2025-1 - Page 2 of 2

BEAUMONT
-C A L I F O R N A -
Staff Report
TO: City Council
FROM: Gustavo Romo, Interim City Manager
BY: Lisa Leach, Interim Finance Director
DATE: March 3, 2026
SUBJECT: Levy of Special Tax of CFD No. 2025-M (Maintenance Services) Description: Second reading of ordinance authorizing the levy of special tax of CFD 2025-M (Maintenance Services).

Background and Analysis:

On December 16, 2025, the City adopted the resolution to form the Community Facilities District No. 2025- M (Maintenance Services), authorizing the Levy of Special Taxes. The developer, Meritage Homes of California, Inc., a California corporation (the "Developer"), owns property containing 366 proposed residential lots within the City.

The property is located in the northwestern part of the City, west of Tukwet Canyon Parkway, and north of Oak Valley Parkway. The Developer has requested that the City form a community facilities district ("CFD No. 2025-M") to encompass the property in accordance with the Mello -Roos Community Facilities Act of 1982, as amended (the "Act"), to finance the costs of certain public services through the levy of a special tax.

The District is planned to include approximately 366 residential units.

In 2003, the City entered into a Development Agreement (the "Development Agreement") with LB/L-SunCal Oak Valley, LLC ("SunCal Oak Valley"). The Development Agreement requires the City to, among other things, cooperate with the developer in taking all steps necessary to cause a community facilities district or other alternative financing mechanisms to provide public financing for the construction of public infrastructure improvements on the property subject to the SunCal Development Agreement. The project subject to the Development Agreement was originally called Oak Valley and is now known as Fairway Canyon.

SunCal Oak Valley was a subsidiary of a large land development company known as SunCal and was set up as a single -purpose entity to own and develop the Oak Valley project. Lehman Brothers provided financing to various SunCal subsidiaries for land development projects throughout California. In particular, SunCal Oak Valley received a loan from an affiliated entity of Lehman Brothers which was secured by a deed of trust

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against the Oak Valley project. Lehman Brothers also owned a 50% share of SunCal Oak Valley's equity.

Following the Lehman Brother's bankruptcy filing in 2008, SunCal Oak Valley entered bankruptcy as an involuntary debtor in California bankruptcy court as Lehman Brothers attempted to recover their investments in various SunCal projects by foreclosing on the various loans. In October 2011, following several years of litigation, Lehman Brothers and SunCal reached a settlement of their litigation pursuant to which, among other things, (1) SunCal would not object to the bankruptcy plan proposed by the bankruptcy trustee and (2) SunCal would have the option to purchase two projects from Lehman Brothers (one of which was the Oak Valley project) at an agreed price.

On January 6, 2012, the California bankruptcy court confirmed the final bankruptcy plan for SunCal Oak Valley and the other SunCal companies. The bankruptcy court's order provides that each of the various SunCal projects (including the Oak Valley project) were to be conveyed to the applicable Lehman Brothers affiliate, including all "right, title and interest in, to and under any development agreements, plans engineering reports, permits and community facilities district bonds." The final order from the bankruptcy court also specifically provided for the assumption of the Development Agreement by SunCal Oak Valley in the bankruptcy case and provided that any precondition to assignment or conveyance of any such contracts was deemed satisfied by the bankruptcy court's order. In particular, on March 27, 2012, the bankruptcy court entered a sale order conveying the Oak Valley project to LV Oak Valley Champions LLC pursuant to the final bankruptcy plan.

Pursuant to the settlement agreement between SunCal and Lehman Brothers, SDC Fairway Canyon LLC purchased the Oak Valley (now Fairway Canyon) project from LV Oak Valley Champions LLC. In July 2012, pursuant to Section 20.1 of the SunCal Development Agreement, the City consented to the assignment of the Development Agreement to SDC Fairway Canyon LLC.

The Act also authorizes the City to establish a CFD to finance certain public services through the levy of a special tax. The services that can be funded include the following:
• Police protection services, including, but not limited to, criminal justice (limited to providing services for jails, detention facilities, and juvenile halls). • Fire protection and suppression services, and ambulance and paramedic services.
• Recreation program services, library services, maintenance services for elementary and secondary school sites and structures, and the operation and maintenance of museums and cultural facilities

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• Maintenance and lighting of parks, parkways, streets, roads, and open spaces. • Flood and storm protection services, including, but not limited to, the operation and maintenance of storm drainage systems, plowing and removal of snow, and sandstorm protection systems.
• Maintenance and operation of any real property or other tangible property with an estimated useful life of five or more years that is owned by the local agency or by another local agency (by agreement).

Services eligible to be financed by CFD No. 2025-M include maintenance and lighting of parks, parkways, streets, roads and open space, maintenance and operation of water quality improvements, including storm draining and flood protection facilities, and public street sweeping.

The Developer has requested that the boundaries of CFD No. 2025-M include the area described in Attachment A of the Resolution of Intention to Establish CFD No. 2025-M adopted by the City Council on November 4, 2025 (the "Resolution of Intention"), and that special taxes be levied within the boundaries of the District in accordance with Rate and Method of Apportionment (the "RMA") described in Attachments C to the Resolution of Intention. CFD No. 2025-M will also include an area designated as a "Future Annexation Area", which could be annexed into the CFD No. 2025-M in the future, subject to certain requirements.

The Resolution of Intention called for a public hearing to be held on December 16, 2025. The purpose of the public hearing was for the City Council to formally consider the approval of the formation of CFD No. 2025-M and the approval of the levy of the special taxes within CFD No. 2025-M. Notice of the public hearing was published in the Press Enterprise and mailed to the property owners in accordance with the Act.

In connection with the public hearing, Spicer Consulting Group prepared a CFD Public Hearing Report, which describes and analyzes the services to be financed by CFD No. 2025-M and the estimated costs of such services. On December 15, 2025, the City Council adopted the Resolution of Formation, which approved the formation of CFD No. 2025-M, the levy of the special taxes the District in accordance with the RMA. The Resolution of Formation called for an election to submit to the qualified voters within CFD No. 2025-M ballot measures on the approval of the special taxes.

On file with the City Clerk is a Certificate of the Registrar of Voters of Riverside County certifying that there are no registered voters residing within the boundaries of CFD No. 2025-M. Accordingly, under the Act, only property owners owning land in CFD No. 2025-M are eligible to vote at the election for CFD No. 2025-M with the owner having one vote for each acre (or portion thereof) that they own within the District. The Property

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Owner has executed consents and waivers of certain election procedures with respect to the election, including certain timing requirements with respect to the election, in accordance with the Act. Accordingly, the City Council approved the Resolution of Formation allowing the City Clerk to conduct the election, certify the election results, record a notice of special tax lien on the property within the District. The City Council then approved the Ordinance authorizing the levy of the special tax within the District in accordance with the RMA.

Fiscal Impact:

The Developer has made deposits to pay for the costs of the formation proceedings, which may be reimbursed to the Developer from proceeds of a future bond issuance by the separate facilities CFD being formed in connection with the Fairway Canyon development. If established and subject to necessary City Council and voter approvals, CFD No. 2025-M will annually levy special taxes on all of the taxable property the District in accordance with the RMA (as attached to the Resolution of Intention). The property within the District is proposed to include CFD No. 2025-1 and CFD No. 2025-S and the District is currently included in an overlapping Beaumont Unified School District CFD.

The estimated cost to prepare this report is $1,500.

Recommended Action:

Approve the second reading by title only, "An Ordinance of the City Council of the City of Beaumont, California Acting in its Capacity as the Legislative Body of City of Beaumont Community Facilities District No 2025-M (Maintenance Services) Authorizing the Levy of a Special Tax within City of Beaumont Community Facilities District No. 2025-M (Maintenance Services)".

Attachments:

A. Resolution Establishing City of Beaumont CFD No. 2025-M B. Resolution Certifying Election Results
C. Ordinance Authorizing the Levy of Special Tax
D. Certificate of the Registrar of Voters
E. Public Hearing Report
F. Property Owner Waiver
G. Presentation
H. Notice of Public Hearing

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RESOLUTION NO.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

BEAUMONT, CALIFORNIA, ESTABLISHING CITY OF
BEAUMONT COMMUNITY FACILITIES DISTRICT NO.
2025-M (MAINTENANCE SERVICES), AUTHORIZING THE

LEVY OF A SPECIAL TAX THEREIN, CALLING AN

ELECTION AND APPROVING AND AUTHORIZING

CERTAIN ACTIONS RELATED THERETO
WHEREAS, the City Council (the "City Council") of the City of Beaumont (the "City") has heretofore adopted Resolution No. 2025-62 stating its intention to form City of Beaumont Community Facilities District No. 2025-M (Maintenance Services) ("Community Facilities District No. 2025-M (Maintenance Services)" or the "District") and a Potential Annexation Area therein (the "Potential Annexation Area") 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, a copy of Resolution No. 2025-62 setting forth a description of the proposed boundaries of Community Facilities District No. 2025-M (Maintenance Services), the proposed boundaries of the Potential Annexation Area, the services and incidental expenses to be financed by the District and the rate and method of apportionment of the special tax proposed to be levied within the District is on file with the City Clerk; and
WHEREAS, notice was published and mailed to all landowners of the land proposed to be included within the District as required by law relative to the intention of this City Council to form proposed Community Facilities District No. 2025-M (Maintenance Services), to designate the Potential Annexation Area proposed for annexation to the District in the future, and to levy a special tax therein to finance the services and incidental expenses described in Resolution No. 2025-62; and WHEREAS, on December 16, 2025, this City Council conducted a noticed public hearing as required by law relative to the proposed formation of Community Facilities District No. 2025-M (Maintenance Services), the designation of the Potential Annexation Area and the levy of the special tax therein; and
WHEREAS, at the December 16, 2025 public hearing there was filed with this City Council a report containing a description of the services necessary to meet the needs of the District and an estimate of the cost of such services as required by Section 53321.5 of the Act (the "Engineer's Report"); and
WHEREAS, at the December 16, 2025 public hearing all persons desiring to be heard on all matters pertaining to the formation of Community Facilities District No. 2025-M (Maintenance Services), the designation of the Potential Annexation Area and the levy of the special tax were heard and full and fair hearings were held; and
WHEREAS, following the public hearing, this City Council has determined to authorize the formation of the District to finance the types of services (the "Services") and the incidental expenses (the "Services Incidental Expenses") set forth in Attachment "B" hereto, which are described in more detail in the Engineer's Report; and
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WHEREAS, at the public hearing evidence was presented to this City Council on the matters before it and the proposed special tax to be levied within the District was not precluded by a majority protest of the type described in Section 53324 of the Act, and this City Council at the conclusion of the hearing was fully advised as to all matters relating to the formation of the District, the designation of the Potential Annexation Area and the levy of the special tax; and WHEREAS, this City Council has determined, based on a Certificate of Registrar of Voters of the County of Riverside on file in the office of the City Clerk, that no registered voters have been residing in the proposed boundaries of Community Facilities District No. 2025-M (Maintenance Services) for each of the 90 days prior to December 16, 2025 and that the qualified electors in Community Facilities District No. 2025-M (Maintenance Services) are the landowners within the District; and
WHEREAS, on the basis of all of the foregoing, this City Council has determined to proceed with the establishment of Community Facilities District No. 2025-M (Maintenance Services) and to call an 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 hereto, and (ii) the establishment of an appropriations limit for Community Facilities District No. 2025-M (Maintenance Services);
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Beaumont, California:

SECTION 1. Each of the above recitals is true and correct.

SECTION 2. A community facilities district to be designated "City of Beaumont Community Facilities District No. 2025-M (Maintenance Services)" is hereby established pursuant to the Act. The City Council hereby finds and determines that all prior proceedings taken with respect to the establishment of the District were valid and in conformity with the requirements of law, including the Act. This finding is made in accordance with the provisions of Section 53325.1(b) of the Act.

SECTION 3. The boundaries of Community Facilities District No. 2025-M (Maintenance Services) are established as shown on the map designated "Proposed Boundary Map City of Beaumont Community Facilities District No. 2025-M (Maintenance Services), County of Riverside, State of California," 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. 98 Page No. 9, on November 12, 2025 as Instrument No. 2025- 0354753.

In addition, the boundaries of the Potential Annexation Area are established and designated for future annexation to the District pursuant to Sections 53339.2 and 53339.3 of the Act in accordance with Resolution No. 2025-62, as shown on the map designated "Boundaries —Potential Annexation Area City of Beaumont Community Facilities District No. 2025-M (Maintenance Services), County of Riverside, State of California," 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 - 2 4901-0174-2969v4/022599-0038

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County Clerk -Recorder's office of the County of Riverside in Book No. No. 98 Page No. 10, on November 12, 2025 as Instrument No. 2025-0354754.

SECTION 4. The types of Services and Services Incidental Expenses authorized to be provided for Community Facilities District No. 2025-M (Maintenance Services) are those set forth in Attachment "B" attached hereto. The estimated cost of the Services and Services Incidental Expenses to be financed is set forth in the Engineer's Report.

SECTION 5. The City Council finds and determines that the proposed Services are necessary to meet the increased demand that will be placed upon local agencies and public infrastructure as a result of new development within the District and that the Services to be financed benefit residents of the City and the future residents of the District.

SECTION 6. Except where funds are otherwise available, it is the intention of this City Council, subject to the approval of the eligible voters of the District, to levy annually a special tax at the rates set forth in Attachment "A" hereto on all non-exempt property within the District sufficient to pay for the Services and the Services Incidental Expenses at the rates set forth in a unanimous written consent of a property owner within the Potential Annexation Area request annexation into the District. The District expects to incur, and in certain cases has already incurred, Services Incidental Expenses in connection with the creation of the District, the levying and collecting of the special tax, and the annual administration of the District. The rate and method of apportionment of the special tax is described in detail in Attachment "A" hereto and incorporated herein by this reference, and the City Council hereby finds that Attachment "A" contains sufficient detail to allow each landowner within the District to estimate the maximum amount that may be levied against each parcel. As described in greater detail in the Engineer's Report, which is incorporated by reference herein, the special tax is based on the expected demand that each parcel of real property within Community Facilities District No. 2025-M (Maintenance Services) will place on the Services and on the benefit that each parcel will derive from the right to access the Services and, accordingly, is hereby determined to be reasonable. The special tax shall be levied on each assessor's parcel so long as the Services are being provided within CFD No. 2025-M (Maintenance Services). The special tax is apportioned to each parcel on the foregoing bases pursuant to Section 53325.3 of the Act and such special tax is not on or based upon the ownership of real property or the assessed value of real property.

SECTION 7. The City Manager of the City of Beaumont, 550 East 6th Street, Beaumont, CA 92223, telephone number (951) 769-8520, will be responsible for preparing annually, or authorizing a designee to prepare, a current roll of special tax levy obligations by assessor's parcel number and will be responsible for estimating future special tax levies pursuant to Section 53340.2 of the Act.

SECTION 8. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the Streets and Highways Code, a continuing lien to secure each levy of the special tax shall attach to all non-exempt real property in the District and this lien shall continue in force and effect until the special tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law or until collection of the special tax by the District ceases.

SECTION 9. Consistent with Section 53325.6 of the Act, the City Council finds and determines that the land within Community Facilities District No. 2025-M (Maintenance Services), if any, devoted primarily to agricultural, timber or livestock uses and being used for the commercial 3 4901-0174-2969v4/022599-0038

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production of agricultural, timber or livestock products is contiguous to other land within Community Facilities District No. 2025-M (Maintenance Services) and will be benefited by the Services proposed to be provided within Community Facilities District No. 2025-M (Maintenance Services).

SECTION 10. It is hereby further determined that there is no ad valorem property tax currently being levied on property within proposed Community Facilities District No. 2025-M (Maintenance Services) for the exclusive purpose of paying for the same services to the territory of Community Facilities District No. 2025-M (Maintenance Services) as are proposed to be provided by the Services to be financed by Community Facilities District No. 2025-M (Maintenance Services).

SECTION 11. Written protests against the establishment of the District have not been filed by one-half or more of the registered voters within the boundaries of the District or by the property owners of one-half (1/2) or more of the area of land within the District. The City Council hereby finds that the proposed special tax has not been precluded by a majority protest pursuant to Section 53324 of the Act.

Written protests against the establishment of the Potential Annexation Area have not been filed by one-half or more of the registered voters within the boundaries of the Potential Annexation Area or by the property owners of one-half (1/2) or more of the area of land within the Potential Annexation Area. The City Council hereby finds that the proposed special tax has not been precluded by a majority protest pursuant to Section 53339.6 of the Act.

SECTION 12. An election is hereby called for Community Facilities District No. 2025-M (Maintenance Services) on the propositions of levying the special tax on the property within Community Facilities District No. 2025-M (Maintenance Services) and establishing an appropriations limit for the District pursuant to Section 53325.7 of the Act. The language of the propositions to be placed on the ballot is attached hereto as Attachment "C." SECTION 13. The date of the election for Community Facilities District No. 2025-M (Maintenance Services) on the propositions of authorizing the levy of the special tax and establishing an appropriations limit for the District shall be December 16, 2025, or such later date as is consented to by the City Clerk of the City of Beaumont; provided that, if the election is to take place sooner than 90 days after December 16, 2025, then the unanimous written consent of each qualified elector within the District to such election date must be obtained. The polls shall be open for said election immediately following the public hearing. The election shall be conducted by the City Clerk.

Except as otherwise provided by the Act, the election shall be conducted in accordance with the provisions of law regulating elections of the City of Beaumont insofar as such provisions are determined by the City Clerk to be applicable. The City Clerk is authorized to conduct the election following the adoption of this resolution, and all ballots shall be received by, and the City Clerk shall close the election by, 11:00 p.m. on the election day; provided the election shall be closed at such earlier time as all qualified electors have voted as provided in Section 53326(d) of the Act. Pursuant to Section 53326 of the Act, the ballots for the special election shall be distributed in person, or by mail with return postage prepaid, to the qualified electors within Community Facilities District No. 2025-M (Maintenance Services). The City Clerk has secured a certificate of the Certificate of Registrar of Voters of the County of Riverside certifying that there were no registered voters within the District. Accordingly, since there were fewer than 12 registered voters within the District during the 90 days preceding December 16, 2025, the qualified electors shall be the landowners within the District and each landowner, or the authorized representative thereof, shall have one vote for each 4 4901-0174-2969v4/022599-0038

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acre or portion thereof that such landowner owns within Community Facilities District No. 2025-M (Maintenance Services), as provided in Section 53326 of the Act. The landowners within the District have executed and delivered waivers of certain election law requirements and consenting to the holding of the election on December 16, 2025, which waivers are on file with the City Clerk.

SECTION 14. The preparation of the Engineer's Report is hereby ratified. The Engineer's Report, as submitted, is hereby approved and was made a part of the record of the public hearing regarding the formation of Community Facilities District No. 2025-M (Maintenance Services). The Engineer's Report is ordered to be kept on file with the transcript of these proceedings and open for public inspection.

SECTION 15. The District may accept advances of funds or work -in -kind from any source, including, but not limited to, private persons or private entities, for any authorized purpose, including, but not limited to, paying any cost incurred in creating Community Facilities District No. 2025-M. The District may enter into an agreement with the person or entity advancing the funds or work -in -kind, to repay all or a portion of the funds advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work -in -kind, as determined by the City Council, with or without interest.

SECTION 16. This Resolution shall be effective upon its adoption.

ADOPTED, SIGNED AND APPROVED this 16th day of December, 2025.

Mike Lara, Mayor of the City of Beaumont
(SEAL)
ATTEST:

Elaine Morgan, City Clerk
of the City of Beaumont
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STATE OF CALIFORNIA
) ss.

COUNTY OF RIVERSIDE
I, Elaine Morgan, City Clerk of the City of Beaumont, do hereby certify that the foregoing resolution was duly adopted by the City Council of said City, at a regular meeting of said Board held on the 16th day of December, 2025, and that it was so adopted by the following vote:

AYES:

NOES:

ABSENT:

Elaine Morgan, City Clerk
City of Beaumont
6 4901-0174-2969v4/022599-0038

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ATTACHMENT "A"

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES) A Special Tax (the "Special Tax") shall be levied on and collected from each Assessor's Parcel (defined below) in Community Facilities District No. 2025-M (Maintenance Services) (the "CFD No. 2025-M" or "CFD"; defined below), in each Fiscal Year on an Assessor's Parcel shall be determined by the City Council of the City of Beaumont, acting in its capacity as the legislative body of CFD No. 2025-M, by applying the rate and method of apportionment set forth below. All of the real property in CFD No. 2025-M, unless exempted by law or by the provisions herein, shall be taxed to the extent and in the manner provided herein.

A. DEFINITIONS
"Accessory Dwelling Unit" means a residential unit of limited size including smaller secondary unit(s) that shares an Assessor's Parcel with Single Family Residential Property that has a stand- alone Residential Unit.
"Acre" or "Acreage" means the land area of an Assessor's Parcel as shown on any Assessor's Parcel Map, or if the land area is not shown on the Assessor's Parcel Map, the land area as shown on the applicable Final Map, or if the area is not shown on the applicable Final Map, the land area shall be calculated by the Administrator.
"Administrative Expenses" means the actual or reasonably estimated costs directly related to the formation, annexation, and administration of CFD No. 2025-M 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. 2025- M, or any designee thereof associated with fulfilling the CFD No. 2025-M disclosure requirements; the costs associated with responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2025-M or any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees, collection expenses, including payment of a proportional share of City overhead and salaries and benefits of any City employees whose duties are related to the administration of CFD No. 2025-M and third party expenses related to CFD No. 2025-M. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2025-M for any other administrative purposes of CFD No. 2025-M, 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 Beaumont, or his or her designee. "Approved Property" means all Assessor's Parcels of Taxable Property that are included in a Final Map that was recorded prior to the January 1 preceding the Fiscal Year in which the Special Tax is being levied, and that have not been issued a Building Permit on or prior to the May 1 preceding the Fiscal year in which the Special Tax is being levied. "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.

A-1
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"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 that identification number assigned to a parcel by the County Assessor of the County.
"Building Permit" means the first legal document issued by the City giving official permission for new construction. For purposes of this definition, "Building Permit" may or may not include expired or cancelled Building Permits, or any subsequent Building Permit document(s) authorizing new construction on an Assessor's Parcel that are issued or changed by the City after the first original issuance, as determined by the Administrator. "Building Square Footage" or "BSF" means the floor area square footage reflected on the original construction Building Permit issued for construction of a building of Non -Residential Property and any Building Square Footage subsequently added to a building of such Non - Residential Property after issuance of a Building Permit for expansion or renovation of such building.
"Calendar Year" means the period commencing January 1 of any year and ending the following December 31.
"CFD" or "CFD No. 2025-M" means the Community Facilities District No. 2025-M (Maintenance Services) of the City of Beaumont.
"CFD Boundary Map" means a recorded map of the CFD that indicates by a boundary line the extent of the territory identified to be subject to the levy of Special Taxes. "City" means the City of Beaumont, State of California. "Contingent 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. 2025-M as set forth in the documents adopted by the City Council at the time the CFD was formed to be provided by the City in the event the Administrator makes a determination pursuant to Section C(2) that a Property Owners' Association fails to adequately provide such services. "County" means the County of Riverside, State of California. "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 May 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 G.
"Final Map" means a subdivision of property by recordation of a final map, parcel map, or lot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 6624 that creates individual lots for which Building Permits may be issued without further subdivision.

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"Fiscal Year" means the period from and including July 1St of any year to and including the following June 30th
"Land Use Category" or "LUC" means any of the categories contained in Section B hereof to which an Assessor's Parcel is assigned consistent with the land use approvals that have been received or proposed for the Assessor's Parcel as of May 1 preceding the Fiscal Year in which the Special Tax is being levied.
"Maintenance Services" means the services permitted under the Act including, without limitation, street sweeping, traffic signal maintenance, the maintenance of landscaping and lighting of publicly owned parks, parkways, streets, roads and open spaces, graffiti abatement, flood and storm protection services, and the operation of storm drainage systems contained within the boundaries of CFD No. 2025-M and the City as set forth in Appendix B. "Maintenance Services (Contingent)" means the Maintenance Services described above and permitted under the Act, contained within CFD No. 2025-M and the City, which are proposed to be maintained and paid for through the Property Owner Association, and all to which the City has been granted an easement allowing such maintenance in any Fiscal Year following a Failure to Perform as defined in Section C.2. hereof.
"Maximum Special Tax" means either Maximum Special Tax A and/or Maximum Special Tax B (Contingent), as applicable.
"Maximum Special Tax A" means for each Assessor's Parcel and each Fiscal Year, the maximum Special Tax A, as determined in accordance with Section C below that can be levied on such Assessor's Parcel in such Fiscal Year.
"Maximum Special Tax B (Contingent)" means for each Assessor's Parcel and each Fiscal Year, the maximum Special Tax B (Contingent), as determined in accordance with Section C below that can be levied on such Assessor's Parcel in such Fiscal Year. "Multi -Family Residential Property" or "MFR" means any Assessor's Parcel of Residential Property upon which a building or buildings comprised of attached Residential Units sharing at least one common wall with another unit are constructed or are intended to be constructed that share a single Assessor's Parcel Number, as determined by the Administrator. "Non -Residential Property" or "NR" means all Assessor's Parcels of Taxable Property for which a Building Permit(s) was issued for a non-residential use. The Administrator shall make the determination if an Assessor's Parcel is Non -Residential Property. "Property Owner's Association" or "POA" means the property owner's association or homeowner's association established to maintain certain Services within a Tax Zone. "Proportionately" means for Taxable Property that is: (i) Developed Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Approved Property, and (iii) Undeveloped Property that the ratio of the actual Special Tax levy per acre to the Maximum Special Tax per acre is the same for all Parcels of Undeveloped Property.

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"Rate and Method of Apportionment" or "RMA" means this Rate and Method of Apportionment of Special Taxes.
"Residential Property" means all Assessor's Parcels of Taxable Property upon which Residential Units have been constructed or are intended to be constructed or for which Building Permits have been or may be issued for purposes of constructing one or more Residential Units. "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. An Accessory Dwelling Unit that shares an Assessor's Parcel with an Assessor's Parcel classified as Single Family Residential Property shall not be considered a Residential Unit for purposes of levying the Special Tax pursuant to Section D.
"Service(s)" means services permitted under the Mello -Roos Community Facilities Act of 1982 including, without limitation, those services authorized to be funded by CFD No. 2025-M as set forth in the documents adopted by the City Council at the time the CFD was formed. "Single Family Residential Property" or "SFR" means any Residential Property other than Multi -Family Residential Property on an Assessor's Parcel as determined by the Administrator. "Special Tax(es)" means the Special Tax A or Special Tax B (Contingent) to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property. "Special Tax A" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax A Requirement. "Special Tax A Requirement" means for each Tax Zone that amount to be collected in any Fiscal Year to pay for certain costs as required to meet the needs of such Tax Zone within CFD No. 2025-M in both the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the (i) direct costs for Maintenance Services, (ii) fund an operating reserve for the costs of Maintenance Services as determined by the Administrator, and (iii) Administrative Expenses.

Under no circumstances shall the Special Tax A Requirement include funds for bonds or other forms of indebtedness.
"Special Tax B (Contingent)" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax B (Contingent) Requirement, if required.
"Special Tax B (Contingent) Requirement" means that amount required in any Fiscal Year to pay for certain costs as required to meet the needs of CFD No. 2025-M for Maintenance Services (Contingent) in both the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the (i) direct costs for Maintenance Services (Contingent), (ii) amount necessary to fund an operating reserve for the costs of Maintenance Services (Contingent) as determined by the Administrator, and (iii) Administrative Expenses applicable to the Special Tax B (Contingent).

Under no circumstances shall the Special Tax B (Contingent) Requirement include funds for bonds or other forms of indebtedness. The Special Tax B (Contingent) Requirement, if initiated, will be applied to all Assessor's Parcels in addition to, and not in lieu of, the Special Tax A Requirement.

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"Taxable Property" means all Assessor's Parcels within CFD No. 2025-M, which are not Exempt Property.
"Taxable Unit" means a Residential Unit, Building Square Footage, or an Acre. "Tax Zone" means a mutually exclusive geographic area, within which particular Special Tax rates may be levied following annexation of additional property to the CFD and pursuant to an amended Rate and Method of Apportionment of Special Tax. Appendix C identifies the Tax Zone Original included in CFD No. 2025-M at formation; additional Tax Zones may be created when property is annexed into the CFD.
"Tax Zone Original" means the specific geographic area identified on the CFD Boundary Map as Tax Zone Original included in Appendix C.
"Tract(s)" means an area of land: i) within a subdivision identified by a particular tract number on a Final Map, ii) identified within a Parcel Map; or iii) identified within lot line adjustment approved for subdivision.
"Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property.

Assessor's Parcels of Developed Property and Approved Property shall be classified as either Residential Property or Non -Residential Property. Residential Property shall be further classified as Single Family Residential Property or Multi -Family Residential Property and the number of Residential Units shall be determined by the Administrator.

C. MAXIMUM SPECIAL TAX RATES
For purposes of determining the applicable Maximum Special Tax for Assessor's Parcels of Developed Property and Approved Property which are classified as Residential Property, all such Assessor's Parcels shall be assigned the number of Residential Unit(s) constructed or to be constructed thereon as specified in or shown on the Building Permit(s) issued or Final Map as determined by the Administrator. Once a single family attached or multi -family building or buildings have been built on an Assessor's Parcel, the Administrator shall determine the actual number of Residential Units contained within the building or buildings, and the Special Tax A and Special Tax B (Contingent) levied against the Assessor's Parcel in the next Fiscal Year shall be calculated by multiplying the actual number of Residential Units by the Maximum Special Tax per Residential Unit for the Tax Zone below or as included in Appendix A as future annexations occur.

To determine the Maximum Special Tax for Non -Residential Developed and Approved Properties, the Administrator assigns each Assessor's Parcel a Building Square Footage or Acreage based on the Final Map. The Special Tax A and Special Tax B (Contingent) for the next Fiscal Year is calculated by multiplying this figure by the Maximum Special Tax per Taxable Unit for the applicable Tax Zone, as identified below or in Appendix A for future annexations.

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1. Special Tax A
a. Develo Ded Property
(i)
Maximum S
ecial Tax A
The Maximum Special Tax A for each Assessor's Parcel of Developed Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax A for Developed Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 1 below:

TABLE 1

MAXIMUM SPECIAL TAX A RATES

DEVELOPED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum
Special Tax A
Original
TR 31462-17, -
19, -27, -28 & -
29 Single Family Residential
Property
RU
$438
(ii) Increase in the Maximum Special Tax A
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Developed Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
(iii) Multiple Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax A that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax A that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final. b. Approved Property
The Maximum Special Tax A for each Assessor's Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax A for Approved Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 2 below:

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TABLE 2

MAXIMUM SPECIAL TAX A RATES

APPROVED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum
Special Tax A
Original
TR 31462-17, -
19, -27, -28 & -
29 Single Family Residential
Property
RU
$438
Multi -Family Residential Property
RU
$438
Non -Residential Property
Acre
$2,736
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Approved Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater. c. Undeveloped Property
The Maximum Special Tax A for each Assessor's Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax A for Undeveloped Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 3 below:

TABLE 3

MAXIMUM SPECIAL TAX A RATES

UNDEVELOPED PROPERTY
Tax Zone
Tracts
Taxable Unit
Maximum Special Tax A
Original
TR 31462-17, -
19, -27, -28 & -
29 Acre
$2,736
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino - Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

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a. the Property Owner Association files a voluntary petition in bankruptcy or the approval by a court of competent jurisdiction of a petition applicable to the Property Owner Association of any proceedings instituted under the Federal Bankruptcy Code, as amended;
b. the Property Owner Association is dissolved;
c. the Property Owner Association fails to levy annual assessments sufficient to fund (i) the maintenance for the then Property Owner Association owned and/or Property Owner Association maintained Maintenance Services (Contingent) or (ii) the replacement of such facilities related to the Maintenance Services (Contingent) in accordance with (A) the requirements of the then current reserve funding plan of the Property Owner Association performed pursuant to California Civil Code Section 5550 or (B) if California Civil Code 5550 is no longer applicable, the requirements of the then applicable law and/or regulations governing the Property Owner Association's requirements to budget for and finance such replacement; or d. the Property Owner Association fails to maintain the Maintenance Services (Contingent) at the same level as defined within the Property Owner Association maintenance specifications. In the event the Property Owner Association maintenance specifications do not meet the City maintenance requirements, the City Council will have sole discretion to determine the required level of maintenance required for purposes of this section.

In the event of the occurrence of a Failure to Perform described in "c." or "d." above, the City shall give the Property Owner Association written notice of such event. If such Failure to Perform is reasonably capable of being cured within sixty (60) days from the date of such notice, the Property Owner Association shall have such period of time to cure such Failure to Perform prior to the levy by the City Council of Special Tax B (Contingent). If such Failure to Perform is such that it is reasonably capable of being cured, but not within such sixty (60) day period and the Property Owner Association (i) initiates corrective action within such sixty (60) day period, and (ii) diligently, continually, and in good faith works to effect a cure of such Failure to Perform as soon as possible, then the Property Owner Association shall have such additional time, as is reasonably necessary, to cure such Failure to Perform prior to the levy by the City Council of Special Tax B (Contingent).

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When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 4 below:

TABLE 4

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

DEVELOPED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
Original
TR 31462-17, -19,
-27, -28 & -29
Single Family Residential
Property
RU
$357
Multi -Family Residential
Property
RU
$357
Non -Residential Property
Acre
$2,229
(ii) Increase in the Maximum Special Tax B (Contingent) On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Developed Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
(iii) Multiple Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax B (Contingent) that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax B (Contingent) that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final. b. Approved Property
The Maximum Special Tax B (Contingent) for each Assessor's Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 5 below:

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TABLE 5

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

APPROVED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
Original
TR 31462-17, -
19, -27, -28 & -
29 Single Family Residential
Property
RU
$357
Multi -Family Residential
Property
RU
$357
Non -Residential Property
Acre
$2,229
On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Approved Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater. c. Undeveloped Pro erty
The Maximum Special Tax B (Contingent) for each Assessor's Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 6 below:

TABLE 6

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

UNDEVELOPED PROPERTY
Tax Zone
Tracts
Taxable Unit
Maximum Special
Tax B (Contingent)
Original
TR 31462-17, -
19, -27, -28 & -
29 Acre
$2,229
On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX

1. Special Tax A
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Commencing with Fiscal Year 2025-26 and for each following Fiscal Year, the City Council shall determine the Special Tax A Requirement for each Tax Zone and shall levy the Special Tax A on all Assessor's Parcels of Taxable Property within such Tax Zone until the aggregate amount of Special Tax A equals the Special Tax A Requirement for such Tax Zone. The Special Tax A shall be levied for each Fiscal Year as follows:

First: The Special Tax A shall be levied Proportionately on all Assessor's Parcels of Developed Property up to 100% of the applicable Maximum Special Tax A to satisfy the Special Tax A Requirement;
Second: If additional moneys are needed to satisfy the Special Tax A Requirement after the first step has been completed, the Special Tax A shall be levied Proportionately on each Parcel of Approved Property at up to 100% of the Maximum Special Tax A for Approved Property; Third: If additional monies are needed to satisfy the Special Tax A Requirement after the first two steps has been completed, the Special Tax A shall be levied Proportionately on all Assessor's Parcels of Undeveloped Property up to 100% of the Maximum Special Tax A for Undeveloped Property.

2. Special Tax B (Contingent)
Commencing with the first Fiscal Year in which Special Tax B (Contingent) is authorized to be levied and for each following Fiscal Year, the City Council shall determine the Special Tax B (Contingent) Requirement for each Tax Zone, if any, and shall levy the Special Tax on all Assessor's Parcels of Taxable Property within such Tax Zone until the aggregate amount of Special Tax B (Contingent) equals the Special Tax B (Contingent) Requirement for such Tax Zone. The Special Tax B (Contingent) shall be levied for each Fiscal Year as follows:

First: The Special Tax B (Contingent) shall be levied Proportionately on all Assessor's Parcels of Developed Property up to 100% of the applicable Maximum Special Tax B (Contingent) to satisfy the Special Tax B (Contingent) Requirement; Second: If additional moneys are needed to satisfy the Special Tax B (Contingent) Requirement after the first step has been completed, the Special Tax B (Contingent) shall be levied Proportionately on each Parcel of Approved Property at up to 100% of the Maximum Special Tax B (Contingent) for Approved Property;
Third: If additional monies are needed to satisfy the Special Tax B (Contingent) Requirement after the first two steps has been completed, the Special Tax B (Contingent) shall be levied Proportionately on all Assessor's Parcels of Undeveloped Property up to 100% of the Maximum Special Tax B (Contingent) for Undeveloped Property.

E. FUTURE ANNEXATIONS
It is anticipated that additional properties will be annexed to CFD No. 2025-M from time to time.

As each annexation is proposed, an analysis will be prepared to determine the annual cost for providing Services to such properties. Based on this analysis, any properties to be annexed, pursuant to California Government Code section 53339 et seq. will be assigned the appropriate Maximum Special Tax rates for the Tax Zone when annexed and included in Appendix A.

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F. DURATION OF SPECIAL TAX
For each Fiscal Year, the Special Tax A shall be levied as long as the Maintenance Services are being provided.

For each Fiscal Year, the Special Tax B (Contingent) shall be levied as long as the Maintenance Services (Contingent) are being provided.

G. EXEMPTIONS
The City shall classify as Exempt Property within CFD No. 2025-M, all Assessor's Parcels; (i) which are owned by, irrevocably offered for dedication, encumbered by or restricted in use by any public entity; (ii) with public or utility easements making impractical their utilization for other than the purposes set forth in the easement; (iii) which are privately owned but are encumbered by or restricted solely for public uses; or (iv) which are in use in the performance of a public function as determined by the Administrator; (v) any Assessor's Parcel that qualifies for a welfare exemption under applicable state or local law; or (vi) any Assessor's Parcel that is owned by a property owner association and used for common area purposes.

H. 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. The Administrator of CFD No. 2025-M 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).

I. MANNER OF COLLECTION
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2025-M may collect the Special Tax at a different time or in a different manner if necessary to meet its financial obligations.

J. INTERPRETATION
Interpretations may be made by the Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.

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APPENDIX A

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

COST ESTIMATE
Special Tax A - The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2025-26. These services are being funded by the levy of Special Tax A for CFD No. 2025-M.

TAX ZONE ORIGINAL - MAINTENANCE SERVICES
TRACT NOS. 31462-17, -19, -27, -28 & -29
Item
Description
Estimated Cost
1 Landscaping
$0
2 Streetlights
$13,088
3 Traffic Signals
$0
4 Street & Pavement'
$49,279
5 Drainage
$7,882
6 Parks
$70,643
7 Trails
$0
8 Graffiti Abatement
$1,302
9 Reserves
$3,766
10 Administration
$14,355
Total
$160,315
(1) Street and Pavement maintenance services include basic services to preserve the integrity of the surface, such as repairing potholes and sinkholes and applying seals. Long-term replacement is not included in the estimated Costs.

Special Tax B (Contingent) — The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2025-26. These services are being funded by the levy of Special Tax B (Contingent) for CFD No. 2025-M.

TAX ZONE ORIGINAL - MAINTENANCE SERVICES (CONTINGENT)
TRACT NOS. 31462-17, -19, -27, -28 & -29
Item
Description
Estimated Cost
1 Streetlights
$12,318
2 Street & Pavement
$26,370
3 Drainage
$74,579
4 Trails
$181
5 Reserves
$11,345
6 Administration
$5,807
Total
$130,601

MAXIMUM SPECIAL TAXES ASSIGNED TO EACH TAX ZONE
Fiscal
No. of
Maximum
Maximum
Tax
Year
Taxable
Land Use
Taxable
Special Tax
Special Tax B
Zone
Included
Tract
Units
Category
Unit
A
(Contingent)
Subdivider
31462-17 -19, -27,
Meritage
Original
2025-26
-28 & -29
366
SFR
RU
$438
$357
Homes
A-13
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ESCALATION OF MAXIMUM SPECIAL TAXES
On each July 1, commencing on July 1, 2026 the Maximum Special Taxes for Developed Property, Approved Property, and Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (All Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

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APPENDIX B

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

DESCRIPTION OF AUTHORIZED SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2025-M, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and (b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and
(c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2025-M; as well as local roads within residential subdivisions located within CFD No. 2025-M; and any portions adjacent to the properties within CFD No. 2025-M; and In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment.

The above services may be financed by proceeds of the special tax of CFD No. 2025-M only to the extent that they are in addition to those provided in the territory of CFD No. 2025-M before CFD No. 2025-M was created or those provided in the territory annexed to CFD No. 2025-M before the territory was annexed, as applicable.

A-15
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4901-0174-2969v41022599-0038
ZLL 6 40 9OZ abed
rn

I H EREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED
BOUNDARIES OF CO MMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES). CITY OF BEAUMONT, COUNTY OF
RIVERSIDE. STA TE OF CALIFO RNIA , WAS APPROV ED BM THE CITY

COUNCIL OF THE CRY OF BEAUMONT AT A REGULAR MEETING
THEREOF, HELD ON DAY OF US . BY
RESOLUTION NO .

CITY CLERK

CITY OF BEAUM ONT

FILED IN THE O FFICE OF THE CITY CLERK, CITY OF BEAUMONT, THIS DAY OF 20 .

CITY CLERK

CITY OF BEAUM ONT
SPICER

C ONSULTING CROUP

PROPOSED B OU NDARY M AP
COMMUNITY F ACILITIES DISTRICT NO . 2025- M
(M AINTEN ANCE SERVICES)

CITY OF BEAU MONT,

C OUNTY OF RIVERSIDE, STATE OF C ALIFORNIA
250 500 1,00D Fee!
SHEET I OF 1 SHEET
REC ORDED THIS DAY OF 20 AT
THE HOUR OF O'CLOCK _M IN BOOK
PAGE _ OF MAPS OF ASSESSMENT AND CO MMUNITY

F ACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA .

FEE: NO.:

PETER AW ANA, ASSESSOR, CO UNTY CLERK, RECORDER
BY:

DEPUTY
LEGEND
❑o

PARCEL NIJ WEEP

4901-0174-2969v4/022599-0038
ZLL L 1O 90Z abed

BOUNDARIES - POTE NTIAL ANNEXATIO N AREA
CO MMUNITY FACILITIES DISTRICT NO. 2025-M
( MAINTENANCE SERVICES)

CITY OF BEAUMONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA

I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED

BOUNDARIES OF THE POTENTIAL ANNEXATION AREA OF
COMM UNITY FACILITIES DISTRICT NO. 2025.5 ( MAINTENANCE SERVICES), CITY OF BEAUMONT, COUNTY OF RIVERSIDE, .

STA TE OF CALIFORNIA, WAS APPROVED BY THE CITY OF

BEAUMONT AT A REGULAR MEETING THERE OF, HELD
ON DAY OF 20 , BY RESOLUTION
NO:

CITY CLERK

CITY OF BEAUM ONT

FILED IN THE OFFICE OF THE CITY CLERK,
CITY OF BEAUMO NT,, THIS DAY OF 2U .

CITY CLERK

CITY OF BEA UMO NT

SPICE R

CONSULTING GROUP
W+ E
SHEET 1 OF 1 SHEET
RECORDED THIS DAY OF 20 AT

THE HO UR OF O'CLOCK M IN BOOK

PAGE OF MAPS OF ASSESS MENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RI VERSIDE, STATE OF
C ALIFORNIA.

FEE: NO.:

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
RU
DEPUTY
LEGEND

NNF XATION RO UNDF

ATTACHMENT "B"

TYPES OF SERVICES

TO BE FINANCED BY
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

OF THE CITY OF BEAUMONT
The services which may be funded with proceeds of the special tax of CFD No. 2025-M, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and (b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and
(c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2025-M; as well as local roads within residential subdivisions located within CFD No. 2025-M; and any portions adjacent to the properties within CFD No. 2025-M; and In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment.

B-1
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ATTACHMENT "C"

BALLOT PROPOSITIONS
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

OF THE CITY OF BEAUMONT

SPECIAL TAX ELECTION
December 16, 2025
PROPOSITION A: Shall a special tax with a rate and
method of apportionment as provided in Resolution No.
2025-62 of the City Council of the City of Beaumont
establishing the District be levied to pay for the Services, YES Services Incidental Expenses and other purposes described in Resolution No. 2025-62? NO
PROPOSITION B: For each year commencing with Fiscal
Year 2025-2026, shall the appropriations limit, as defined YES by subdivision (h) of Section 8 of Article XIII B of the California Constitution, for Community Facilities District NO _ No. 2025-M (Maintenance Services) be an amount equal to $1,000,000,000?
C-1
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RESOLUTION NO.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

BEAUMONT, CALIFORNIA, ACTING IN ITS CAPACITY AS

THE LEGISLATIVE BODY OF CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES) CERTIFYING ELECTION

RESULTS
WHEREAS, the City Council (the "City Council") of the City of Beaumont called and duly held an election on December 16, 2025 within the boundaries of City of Beaumont Community Facilities District No. 2025-M (Maintenance Services) ("Community Facilities District No. 2025-M" or the "District") pursuant to Resolution No. for the purpose of presenting to the qualified electors within the District Propositions A and B attached hereto as Exhibit A; and WHEREAS, there has been presented to this City Council a certificate of the City Clerk canvassing the results of the election, a copy of which is attached hereto as Exhibit B; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Beaumont, California:

SECTION 1. Each of the above recitals is true and correct.

SECTION 2. Propositions A and B presented to the qualified electors of the District on December 16, 2025 were approved by two-thirds or more of the votes cast at said election and Propositions A and B each has carried. The City Council, acting as the legislative body of the District, is hereby authorized to levy on the land within the District the special tax described in Proposition A for the purposes described therein.

SECTION 3. The City Clerk is hereby directed to record in the Assessor -County Clerk - Recorder's office of the County of Riverside within fifteen days of the date hereof a notice of special tax lien with respect to the District which Bond Counsel to the District shall prepare in the form required by Streets and Highways Code Section 3114.5.

SECTION 4. This Resolution shall be effective upon its adoption. 4936-0811-5577v3/022599-0038

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ADOPTED, SIGNED AND APPROVED this 16th day of December, 2025.

Mike Lara, Mayor of the City of Beaumont
(SEAL)
ATTEST:

Elaine Morgan, City Clerk
of the City of Beaumont
2 4936-0811-5577v3/022599-0038

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STATE OF CALIFORNIA )
) ss.

COUNTY OF RIVERSIDE )
I, Elaine Morgan, City Clerk of the City of Beaumont, do hereby certify that the foregoing resolution was duly adopted by the City Council of said City, at a regular meeting of said Board held on the 16th day of December, 2025, and that it was so adopted by the following vote:

AYES:

NOES:

ABSENT:

Elaine Morgan, City Clerk
City of Beaumont
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EXHIBIT A

BALLOT PROPOSITIONS
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

OF THE CITY OF BEAUMONT

Page 212 of 1772 ends

EXHIBIT B

CERTIFICATE OF CITY CLERK

AS TO THE RESULTS OF THE CANVASS OF THE ELECTION RETURNS I, Cristal McDonald, City Clerk of the City of Beaumont, do hereby certify that I have examined the returns of the Special Tax Election for City of Beaumont Community Facilities District No. 2025-M (Maintenance Services). The election was held in the City of Beaumont Council Chambers, Beaumont Civic Center 550 E. Sixth St. Beaumont, California, on December 16, 2025. I caused to be delivered ballots to each qualified elector. One (1) ballot was returned.

I further certify that the results of said election and the number of votes cast for and against Propositions A and B are as follows:

PROPOSITION A
YES:

NO:

TOTAL:

Dated this 16th day of December, 2025.

PROPOSITION B
YES:

NO:

TOTAL:

ELAINE MORGAN, CITY CLERK
B-1
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ORDINANCE NO. 25 -

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

BEAUMONT, CALIFORNIA ACTING IN ITS CAPACITY AS

THE LEGISLATIVE BODY OF CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES) AUTHORIZING THE LEVY

OF A SPECIAL TAX WITHIN CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES)
WHEREAS, on November 4, 2025, the City Council (the "City Council") of the City of Beaumont (the "City") adopted Resolution No. 2025-62 declaring its intention to form City of Beaumont Community Facilities District No. 2025-M (Maintenance Services) (the "District") pursuant to the Mello -Roos Community Facilities Act of 1982, as amended, comprising 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 December 16, 2025, after providing all notice required by the Act, the City Council conducted a noticed public hearing required by the Act relative to the proposed formation of the District, the proposed levy of a special tax therein to finance certain maintenance services described in Resolution No. 2025-62; and
WHEREAS, at the December 16, 2025 public hearing, all persons desiring to be heard on all matters pertaining to the formation of the District, and the proposed levy of a special tax to finance the maintenance services described in Resolution No. 2025-62 were heard and a full and fair hearing was held; and
WHEREAS, on December 16, 2025, City Council adopted Resolution No. which formed the District and called a special election within the District on December 16, 2025 on two propositions relating to the levy of a special tax within the District and the establishment of an appropriations limit within the District; and
WHEREAS, on December 16, 2025, a special election was held within the District at which the qualified electors therein approved by more than a two-thirds vote Propositions A and B set forth in Attachment B to Resolution No. 2025- authorizing the levy of a special tax within the District for the purposes described in Resolution No. 2025- and establishing an appropriations limit for the District; and
NOW, THEREFORE, the City Council of the City of Beaumont, California does ordain as follows:

SECTION 1. The above recitals are all true and correct.

SECTION 2. By the passage of this Ordinance, City Council authorizes and levies a special tax within the District pursuant to Sections 53328 and 53340 of the Act at the rates and in accordance with the rate and method of apportionment set forth in Attachment C to Resolution No. which are incorporated by reference herein (the "Rate and Method"). The special tax is hereby levied commencing in the fiscal year specified in the Rate and Method and in each fiscal year thereafter so long as the services authorized to be financed by the District, and payment of all costs of administering the District.
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SECTION 3. Each of the Mayor, the City Manager, or their written designees (each, an "Authorized Officer"), acting alone, is hereby authorized and directed each fiscal year to determine the specific special tax rates and amounts to be levied in such fiscal year on each parcel of real property within the District, in the manner and as provided in the Rate and Method for the District.

The special tax rate levied on a parcel pursuant to the Rate and Method shall not exceed the maximum rate set forth in the Rate and Method for such parcel, but the special tax may be levied at a lower rate. Each Authorized Officer is hereby authorized and directed to provide all necessary information to the Treasurer -Tax Collector of the County of Riverside and to otherwise take all actions necessary in order to effect proper billing and collection of the special tax, so that the special tax shall be levied and collected in sufficient amounts and at times necessary to satisfy the financial obligations of the District in each fiscal year.

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 Section G of the Rate and Method. No other properties or entities are exempt from the special tax unless the properties or entities are expressly exempted in Resolution 2025- , or in a resolution of consideration to levy a new special tax or special taxes or to alter the rate or method of apportionment or an existing special tax as provided in Section 53334 of the Act.

SECTION 5. All of the collections of the special tax shall be used as provided for in the Act, the Rate and Method for the District and Resolution 2025 - SECTION 6. The special tax within the District 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 City Council from time to time.

SECTION 7. The Mayor of the City shall sign this Ordinance and the City Clerk or any Acting City Clerk (referred to herein as 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 The Press Enterprise, a newspaper of general circulation published and circulated in the City of Beaumont.

SECTION 8. The specific authorization for adoption of this Ordinance is pursuant to the provisions of Section 53340 of the Act.

SECTION 9. The City Clerk is hereby authorized to transmit a certified copy of this ordinance to the Treasurer -Tax Collector of the County of Riverside, 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.

SECTION 10. A full reading of this Ordinance is dispensed with prior to its final passage, a written or printed copy having been available to the City Council and the public a day prior to its final passage.

SECTION 11. This Ordinance shall take effect thirty days after its final passage. 2 4926-6859-1481v2/022599-0038

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PASSED, APPROVED and ADOPTED this day of , 2025.

Mike Lara, Mayor of the City of Beaumont
I, Elaine Morgan, City Clerk of the City of Beaumont, California, do hereby certify that the foregoing Ordinance was introduced at a regular meeting of the City Council of the City of Beaumont held on the 16th day of December, 2025, and was adopted at a regular meeting of the City Council of the City of Beaumont on the day of , 2025, by the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAINED:

Elaine Morgan, City Clerk
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ART TINOCO

REGISTRAR OF VOTERS

MATTHEW CEBALLOS

ASSISTANT REGISTRAR OF VOTERS
2724 GATEWAY DRIVE
RIVERSIDE, CA92507-0918
MAIN (951) 486-7200
FAX (951) 486-7335
CA RELAY SERVICE (DIAL 711)
VOTEINFO.NET
y orto,
*..

Registrar of Voters
RivCoi VOTE
Your Voice Every Vote Our Future
State of California )
) ss
County of Riverside )
I, Art Tinoco, Registrar of Voters of said County, hereby certify that:
(A) I have been furnished a map describing the proposed boundary of Community Facilities District No. 2025-M (Maintenance Services), to the City of Beaumont, of the County of Riverside, State of California. (B) On November 12, 2025, I conducted, or caused to be conducted, a review of the voter registration records of the County of Riverside for the purpose of determining the number of voters registered to vote within the proposed boundary of Community Facilities District No. 2025-M (Maintenance Services), to the City of Beaumont, of the County of Riverside.
(C) There are 0 registered voters residing within the proposed boundary of Community Facilities District No. 2025-M (Maintenance Services), to the City of Beaumont, of the County of Riverside.

IN WITNESS WHEREOF, I have executed this Certificate on this November 12, 2025
Art Tinoco
Registrar of Voters
By:

Alice Kim
Chief Deputy Registrar of Voters

Page 217 ends

RO CI

Ci SPICER

CONSULTING GROUP

CITY OF BEAUMONT
Public Hearing Report
Community Facilities District No. 2025-M
(Maintenance Services)
December 16, 2025
of 1772

Table of Contents
Sections
1 Introduction
2 Description of Services
3 Cost Estimate
4 Proposed Development
5 Rate and Method of Apportionment
6 Certifications
Tables
3-1 Cost Estimate — Special Tax A
3-2 Cost Estimate — Special Tax B (Contingent)
3-3 Maximum Special Taxes Assigned
Appendices
A Rate and Method of Apportionment
B Proposed Boundary Maps
C Resolution of Intention
1 2
3 5
6 7
3 4
4 SPICER

Page 219 of 1772 ends

CONSULTING GROUP

1 Introduction Page I 1
Background
On November 4, 2025, the City Council of the City of Beaumont (the "City"), adopted a Resolution of Intention to form Community Facilities District No. 2025-M (Maintenance Services) of the City of Beaumont (the "CFD No. 2025-M" or "District"), Resolution No. 2025-62, pursuant to the provisions of the "Mello -Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, (the "Act").

The CFD No. 2025-M is currently comprised of Tract Map Nos. 31462-17, -19, -27, -28, and -29 that includes five undeveloped parcels and approximately 97 gross acres with 59 planned for development. The proposed development includes 366 single family homes. The properties are generally located in the northwestern part of the City, west of Tukwet Canyon Parkway, and north of Oak Valley Parkway.

For a map showing the boundaries of CFD No. 2025-M please see Appendix B.

Purpose of Public Hearing Report
WHEREAS, this Community Facilities District Report ("Report") is being provided to the City Council and generally contains the following:

1. A general description of the services proposed to be financed from the levy of the special tax; and

2. A general cost estimate setting forth costs of providing such services; and

3. Further information regarding the implementation of the rate and method of apportionment of the special tax proposed to be levied within the District.

The Rate and Method of Apportionment of the Special Tax which was included in the Resolution of Intention and approved by the City Council.

For particulars, reference is made to the Resolution of Intention as previously approved and adopted and is included in Appendix C.

SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

2 Description of Services Page 12
NOW, THEREFORE, the undersigned, authorized representative of Spicer Consulting Group, LLC, the appointed responsible officer, or person directed to prepare the Public Hearing Report, does hereby submit the following data:

Description of the Services
The services which may be funded with proceeds of the special tax of CFD No. 2025-M, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and (b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and (c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2025-M; as well as local roads within residential subdivisions located within CFD No. 2025-M; and any portions adjacent to the properties within CFD No. 2025-M; and
Administrative Expenses
In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment.

The above services shall be limited to those provided within the boundaries of CFD No. 2025-M and the future Annexation Area of CFD No. 2025-M or for the benefit of the properties within the boundaries of CFD No. 2025-M and the future Annexation Area of CFD No. 2025-M, 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. 2025-M only to the extent that they are in addition to those provided in the territory of CFD No. 2025-M before CFD No. 2025-M was created.

SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

3 Cost Estimate

Page 13 ends

The estimate is based on the cost of actual services provided by the City of Beaumont. The estimated cost for Fiscal Year 2025-26 of providing such services, based upon current dollars, which is subject to escalation, is as follows:

Maintenance Services
The estimated annual cost of providing maintenance services at build -out for the subject properties are detailed below. The maintenance services funded by the special taxes of the CFD No. 2025-M, as outlined above, will be as follows:

Estimated Cost of Service
Special Tax A Services - The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2025-

26. These services are being funded by the levy of Special Tax A for Community Facilities District No. 2025-M.

Table 3-1
Cost Estimate — Special Tax A
Item
Description
Estimated Cost
1 Landscaping
$0
2 Streetlights
$13,088
3 Traffic Signals
$0
4 Street & Pavement
$49,279
5 Drainage
$7,882
6 Parks
$70,643
7 Trails
$0
8 Graffiti Abatement
$1,302
9 Reserves
$3,766
10 Administration
$14,355
Total
$160,315
Special Tax B (Contincent' Services — The estimated costs to be covered shall be the direct costs for maintenance services including but not limited to (i) maintenance and lighting of parks, parkways, streets, roads, and open space, (ii) maintenance and operation of water quality improvements, (iii) public street sweeping, (iv) fund an operating reserve for the costs of Services as determined by the Administrator, and (v) Administrative Expenses.

The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2025-26. These services are eligible to be funded by the levy of Special Tax B (Contingent) for Tax Zone Original for Community Facilities District No. 2025-M (Maintenance Services). Special Tax B (Contingent) may be levied, commencing in the first Fiscal Year following the occurrence of any of the following events (each such event, a "Failure to Perform"):
a. the Property Owner Association files a voluntary petition in bankruptcy or the approval by a court of competent jurisdiction of a petition applicable to the Property Owner Association of any proceedings instituted under the Federal Bankruptcy Code, as amended;
b. the Property Owner Association is dissolved;
c. the Property Owner Association fails to levy annual assessments sufficient to fund (i) the maintenance for the then Property Owner Association owned and/or Property Owner Association maintained Maintenance Services (Contingent) or (ii) the replacement of such facilities related to the Maintenance Services (Contingent) in accordance with (A) the requirements of the then current reserve funding plan of the Property Owner Association performed pursuant to California Civil Code Section 5550 or (B) if California Civil Code 5550 is no longer applicable, the requirements of the then applicable law and/or regulations governing the Property Owner Association's requirements to budget for and finance such replacement; or d. the Property Owner Association fails to maintain the Maintenance Services (Contingent) at the same level as defined within the Property Owner Association maintenance specifications. In the event the Property Owner Association maintenance SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

3 Cost Estimate

Page 14 ends

specifications do not meet the City maintenance requirements, the City Council will have sole discretion to determine the required level of maintenance required for purposes of this section.

Table 3-2
Cost Estimate — Special Tax B (Contingent)
Tax Zone Original
Item
Description
Estimated Cost
1 Landscaping
$0
2 Streetlighting
$12,318
3 Traffic Signals
$0
4 Street Maintenance
$26,370
5 Drainage
$74,579
6 Parks
$0
7 Trails
$0
8 Graffiti
$181
9 Reserves
$11,345
10 Administration
$5,807
Total
$130,600
Table 3-3
Maximum Special Taxes Assigned
Fiscal
No. of
Maximum
Maximum
Tax
Year
Taxable
Land Use
Taxable
Special
Special Tax B
Zone
Included
Tract
Units
Category
Unit
Tax A
(Contingent)
Subdivider
O
2025-26
TR 31462-17, -19,
-27, -28, & -29
366
SFR
RU
$438
$357
Meritage Homes
Escalation of Maximum Special Taxes
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Developed Property shall increase by i) the year - over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

Prnnnsed De"elnnrnent Page 15
The CFD No. 2025-M includes approximately 97 gross acres with 59 planned for development on five undeveloped parcels within Tract Map Nos. 31462-17, -19, -27, -28, and -29. The District The properties are generally located in the northwestern part of the City, west of Tukwet Canyon Parkway, and north of Oak Valley Parkway. As of Fiscal Year 2025-26 the proposed CFD No. 2025-M includes the following Assessor's Parcel Numbers:
413-790-075
413-790-076
413-790-077
413-790-078
413-790-079
The boundaries of CFD No. 2025-M are those properties and parcels where services are authorized to be provided and upon which special taxes may be levied in order to pay for the costs and expenses of said services. A map showing the boundaries of CFD No. 2025-M is included in Appendix B.

Additional properties that are within the boundaries of the annexation map may annex to CFD No. 2025-M subsequent to formation of CFD No. 2025-M. The owner of the property to be annexed shall submit a written consent for said annexation to CFD No. 2025-M and the Council, acting ex -officio as the legislative body of CFD No. 2025-M, shall call a special election as to the imposition of the special tax on said property as required by law. A general description of the boundaries of the territory within which any property may annex to CFD No. 2025-M and shown on that certain map entitled "Boundaries — Potential Annexation Area Community Facilities District No. 2025-M (Maintenance Services) of the City of Beaumont, County of Riverside, State of California," is attached as Appendix B.

SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

5 Rate and Method of Apportionment Page 16
The Rate and Method of Apportionment allows each property owner within CFD No. 2025-M to estimate the annual Special Tax amount that would be required for payment. The Rate and Method of Apportionment of the Special Tax established pursuant to these proceedings, is attached hereto as Appendix A (the "Rate and Method"). The Special Tax will be collected in the same manner and at the same time as ordinary ad valorem property taxes and shall be subject to the same penalties, the same procedure, sale and lien priority in the case of delinquency; provided, however, that the CFD Administrator may directly bill the Special Taxes, may collect Special Taxes at a different time or in a different manner if necessary to meet the financial obligations, and provided further that CFD No. 2025-M may covenant to foreclose and may actually foreclose on parcels having delinquent Special Taxes as permitted by the Act.

All of the property located within CFD No. 2025-M, unless exempted by law or by the Rate and Method proposed for CFD No. 2025-M, shall be taxed for the purpose of providing necessary services to serve the District. On each July 1, commencing on July 1, 2026 the Maximum Special Taxes for Developed Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater. The Boundary Map for CFD No. 2025-M is attached hereto as Appendix B.

Pursuant to Section 53325.3 of the Act, the tax imposed "is a Special Tax and not a special assessment, and there is no requirement that the tax be apportioned on the basis of benefit to any property." The Special Tax may be based on the benefit received by property, the cost of making facilities or authorized services available or other reasonable basis as determined by the City, although the Special Tax may not be apportioned on an ad valorem basis pursuant to Article XIIIA of the California Constitution.

For particulars as to the Rate and Method for CFD No. 2025-M, see the attached and incorporated in Appendix A.

SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

6 Certifications Page 17
Based on the information provided herein, it is my opinion that the described services herein are those that are necessary to meet increased demands placed upon the City of Beaumont as a result of development occurring within the CFD No. 2025-M and benefits the lands within said CFD No. 2025-M. Further, it is my opinion that the special tax rates and method of apportionment, as set forth herein, are fair and equitable, uniformly applied and not discriminating or arbitrary.

Date: December 16, 2025

SPICER CONSULTING GROUP, LLC
--SHANE-SPICER

SPECIAL TAX CONSULTANT FOR

CITY OF BEAUMONT

RIVERSIDE COUNTY

STATE OF CALIFORNIA
SPICER

CONSULTING GROUP

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City of Beaumont
CFD No. 2025-2 (Maintenance Services)
Public Hearing Report

Appendix A:

Rate and Method of Apportionment

Page 227 of 1772 ends

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

OF THE CITY OF BEAUMONT
A Special Tax (the "Special Tax") shall be levied on and collected from each Assessor's Parcel (defined below) in Community Facilities District No. 2025-M (Maintenance Services) (the "CFD No. 2025-M" or "CFD"; defined below), in each Fiscal Year on an Assessor's Parcel shall be determined by the City Council of the City of Beaumont, acting in its capacity as the legislative body of CFD No. 2025-M, by applying the rate and method of apportionment set forth below. All of the real property in CFD No. 2025-M, unless exempted by law or by the provisions herein, shall be taxed to the extent and in the manner provided herein.

A. DEFINITIONS
"Accessory Dwelling Unit" means a residential unit of limited size including smaller secondary unit(s) that shares an Assessor's Parcel with Single Family Residential Property that has a stand-alone Residential Unit.
"Acre" or "Acreage" means the land area of an Assessor's Parcel as shown on any Assessor's Parcel Map, or if the land area is not shown on the Assessor's Parcel Map, the land area as shown on the applicable Final Map, or if the area is not shown on the applicable Final Map, the land area shall be calculated by the Administrator.
"Administrative Expenses" means the actual or reasonably estimated costs directly related to the formation, annexation, and administration of CFD No. 2025-M 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. 2025-M, or any designee thereof associated with fulfilling the CFD No. 2025-M disclosure requirements; the costs associated with responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2025-M or any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees, collection expenses, including payment of a proportional share of City overhead and salaries and benefits of any City employees whose duties are related to the administration of CFD No. 2025-M and third party expenses related to CFD No. 2025-M. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2025-M for any other administrative purposes of CFD No. 2025-M, 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 Beaumont, or his or her designee. "Approved Property" means all Assessor's Parcels of Taxable Property that are included in a Final Map that was recorded prior to the January 1 preceding the Fiscal Year in which the Special Tax is being levied, and that have not been issued a Building Permit on or prior to the May 1 preceding the Fiscal year in which the Special Tax is being levied.
"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.

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"Assessor's Parcel Number" means that identification number assigned to a parcel by the County Assessor of the County.
"Building Permit" means the first legal document issued by the City giving official permission for new construction. For purposes of this definition, "Building Permit" may or may not include expired or cancelled Building Permits, or any subsequent Building Permit document(s) authorizing new construction on an Assessor's Parcel that are issued or changed by the City after the first original issuance, as determined by the Administrator.
"Building Square Footage" or "BSF" means the floor area square footage reflected on the original construction Building Permit issued for construction of a building of Non -Residential Property and any Building Square Footage subsequently added to a building of such Non -Residential Property after issuance of a Building Permit for expansion or renovation of such building. "Calendar Year" means the period commencing January 1 of any year and ending the following December 31.
"CFD" or "CFD No. 2025-M" means the Community Facilities District No. 2025-M (Maintenance Services) of the City of Beaumont.
"CFD Boundary Map" means a recorded map of the CFD that indicates by a boundary line the extent of the territory identified to be subject to the levy of Special Taxes. "City" means the City of Beaumont, State of California. "Contingent 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. 2025-M as set forth in the documents adopted by the City Council at the time the CFD was formed to be provided by the City in the event the Administrator makes a determination pursuant to Section C(2) that a Property Owners' Association fails to adequately provide such services. "County" means the County of Riverside, State of California. "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 May 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 G.
"Final Map" means a subdivision of property by recordation of a final map, parcel map, or lot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 6624 that creates individual lots for which Building Permits may be issued without further subdivision. "Fiscal Year" means the period from and including July 1st of any year to and including the following June 30th
"Land Use Category" or "LUC" means any of the categories contained in Section B hereof to which an Assessor's Parcel is assigned consistent with the land use approvals that have been received or City of Beaumont 2
Community Facilities District No. 2025-M Qte ac@fS4Was)

proposed for the Assessor's Parcel as of May 1 preceding the Fiscal Year in which the Special Tax is being levied.
"Maintenance Services" means the services permitted under the Act including, without limitation, street sweeping, traffic signal maintenance, the maintenance of landscaping and lighting of publicly owned parks, parkways, streets, roads and open spaces, graffiti abatement, flood and storm protection services, and the operation of storm drainage systems contained within the boundaries of CFD No. 2025-M and the City as set forth in Appendix B. "Maintenance Services (Contingent)" means the Maintenance Services described above and permitted under the Act, contained within CFD No. 2025-M and the City, which are proposed to be maintained and paid for through the Property Owner Association, and all to which the City has been granted an easement allowing such maintenance in any Fiscal Year following a Failure to Perform as defined in Section C.2. hereof.
"Maximum Special Tax" means either Maximum Special Tax A and/or Maximum Special Tax B (Contingent), as applicable.
"Maximum Special Tax A" means for each Assessor's Parcel and each Fiscal Year, the maximum Special Tax A, as determined in accordance with Section C below that can be levied on such Assessor's Parcel in such Fiscal Year.
"Maximum Special Tax B (Contingent)" means for each Assessor's Parcel and each Fiscal Year, the maximum Special Tax B (Contingent), as determined in accordance with Section C below that can be levied on such Assessor's Parcel in such Fiscal Year.
"Multi -Family Residential Property" or "MFR" means any Assessor's Parcel of Residential Property upon which a building or buildings comprised of attached Residential Units sharing at least one common wall with another unit are constructed or are intended to be constructed that share a single Assessor's Parcel Number, as determined by the Administrator. "Non -Residential Property" or "NR" means all Assessor's Parcels of Taxable Property for which a Building Permit(s) was issued for a non-residential use. The Administrator shall make the determination if an Assessor's Parcel is Non -Residential Property. "Property Owner's Association" or "POA" means the property owner's association or homeowner's association established to maintain certain Services within a Tax Zone. "Proportionately" means for Taxable Property that is: (i) Developed Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Approved Property, and (iii) Undeveloped Property that the ratio of the actual Special Tax levy per acre to the Maximum Special Tax per acre is the same for all Parcels of Undeveloped Property.
"Rate and Method of Apportionment" or "RMA" means this Rate and Method of Apportionment of Special Taxes.

City of Beaumont 3
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"Residential Property" means all Assessor's Parcels of Taxable Property upon which Residential Units have been constructed or are intended to be constructed or for which Building Permits have been or may be issued for purposes of constructing one or more Residential Units. "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. An Accessory Dwelling Unit that shares an Assessor's Parcel with an Assessor's Parcel classified as Single Family Residential Property shall not be considered a Residential Unit for purposes of levying the Special Tax pursuant to Section D. "Service(s)" means services permitted under the Mello -Roos Community Facilities Act of 1982 including, without limitation, those services authorized to be funded by CFD No. 2025-M as set forth in the documents adopted by the City Council at the time the CFD was formed. "Single Family Residential Property" or "SFR" means any Residential Property other than Multi - Family Residential Property on an Assessor's Parcel as determined by the Administrator. "Special Tax(es)" means the Special Tax A or Special Tax B (Contingent) to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property.
"Special Tax A" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax A Requirement. "Special Tax A Requirement" means for each Tax Zone that amount to be collected in any Fiscal Year to pay for certain costs as required to meet the needs of such Tax Zone within CFD No. 2025-M in both the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the (i) direct costs for Maintenance Services, (ii) fund an operating reserve for the costs of Maintenance Services as determined by the Administrator, and (iii) Administrative Expenses. Under no circumstances shall the Special Tax A Requirement include funds for bonds or other forms of indebtedness. "Special Tax B (Contingent)" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax B (Contingent) Requirement, if required. "Special Tax B (Contingent) Requirement" means that amount required in any Fiscal Year to pay for certain costs as required to meet the needs of CFD No. 2025-M for Maintenance Services (Contingent) in both the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the (i) direct costs for Maintenance Services (Contingent), (ii) amount necessary to fund an operating reserve for the costs of Maintenance Services (Contingent) as determined by the Administrator, and (iii) Administrative Expenses applicable to the Special Tax B (Contingent). Under no circumstances shall the Special Tax B (Contingent) Requirement include funds for bonds or other forms of indebtedness.

The Special Tax B (Contingent) Requirement, if initiated, will be applied to all Assessor's Parcels in addition to, and not in lieu of, the Special Tax A Requirement. "Taxable Property" means all Assessor's Parcels within CFD No. 2025-M, which are not Exempt Property.
"Taxable Unit" means a Residential Unit, Building Square Footage, or an Acre. "Tax Zone" means a mutually exclusive geographic area, within which particular Special Tax rates may be levied following annexation of additional property to the CFD and pursuant to an amended Rate and Method of Apportionment of Special Tax. Appendix C identifies the Tax Zone Original included in City of Beaumont 4
Community Facilities District No. 2025-M Qta3ric@fS4F7c2s)

CFD No. 2025-M at formation; additional Tax Zones may be created when property is annexed into the CFD.
"Tax Zone Original" means the specific geographic area identified on the CFD Boundary Map as Tax Zone Original included in Appendix C.
"Tract(s)" means an area of land: i) within a subdivision identified by a particular tract number on a Final Map, ii) identified within a Parcel Map; or iii) identified within lot line adjustment approved for subdivision.
"Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property.

B. ASSIGNMENT TO LAND USE CATEGORIES
For each Fiscal Year, all Assessor's Parcels of Taxable Property within CFD No. 2025-M shall be classified as Developed Property, Approved Property, or Undeveloped Property, and shall be subject to the levy of Special Taxes as determined pursuant to Sections C and D below. Assessor's Parcels of Developed Property and Approved Property shall be classified as either Residential Property or Non - Residential Property. Residential Property shall be further classified as Single Family Residential Property or Multi -Family Residential Property and the number of Residential Units shall be determined by the Administrator.

1. Special Tax A
a. Developed Property
(i) Maximum Special Tax A
The Maximum Special Tax A for each Assessor's Parcel of Developed Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax A for Developed Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 1 below:

City of Beaumont 5
Community Facilities District No. 2025-M Q1a132c@f54Was)

TABLE 1

MAXIMUM SPECIAL TAX A RATES

DEVELOPED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum
Special Tax A
Original
TR 31462-17, -19,
27 28 & 29
Single Family Residential Property
RU
$438
(ii) Increase in the Maximum Special Tax A
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Developed Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater. (iii) Multiple Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax A that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax A that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final.
b. Approved Property
The Maximum Special Tax A for each Assessor's Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax A for Approved Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 2 below:

TABLE 2

MAXIMUM SPECIAL TAX A RATES

APPROVED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum
Special Tax A
Original
TR 31462-17, -19,
-27, -28 & -29
Single Family Residential Property
RU
$438
Multi -Family Residential Property
RU
$438
Non -Residential Property
Acre
$2,736
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Approved Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino - Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for City of Beaumont
Community Facilities District No. 2025-M ita3ac@fS4Was) 6 the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
c. Undeveloped Property
The Maximum Special Tax A for each Assessor's Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax A for Undeveloped Property for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 3 below:

TABLE 3

MAXIMUM SPECIAL TAX A RATES

UNDEVELOPED PROPERTY
Tax Zone
Tracts
Taxable Unit
Maximum Special Tax A
Original
TR 31462-17, -19,
-27, -28 & -29
Acre
$2,736
On each July 1, commencing on July 1, 2026 the Maximum Special Tax A for Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

2. Special Tax B (Contingent)
The City Council may levy the Special Tax B (Contingent), applicable to all Zones, commencing in the first Fiscal Year following the occurrence of any of the following events (each such event, a "Failure to Perform"):
a. the Property Owner Association files a voluntary petition in bankruptcy or the approval by a court of competent jurisdiction of a petition applicable to the Property Owner Association of any proceedings instituted under the Federal Bankruptcy Code, as amended; b. the Property Owner Association is dissolved;
c. the Property Owner Association fails to levy annual assessments sufficient to fund (i) the maintenance for the then Property Owner Association owned and/or Property Owner Association maintained Maintenance Services (Contingent) or (ii) the replacement of such facilities related to the Maintenance Services (Contingent) in accordance with (A) the requirements of the then current reserve funding plan of the Property Owner Association performed pursuant to California Civil Code Section 5550 or (B) if California Civil Code 5550 is no longer applicable, the requirements of the then applicable law and/or regulations governing the Property Owner Association's requirements to budget for and finance such replacement; or
d. the Property Owner Association fails to maintain the Maintenance Services (Contingent) at the same level as defined within the Property Owner Association maintenance specifications.

City of Beaumont 7
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In the event the Property Owner Association maintenance specifications do not meet the City maintenance requirements, the City Council will have sole discretion to determine the required level of maintenance required for purposes of this section.

The City Council may suspend the levy of Special Tax B (Contingent) if the Property Owner Association has cured the Failure to Perform to the satisfaction of the City Council and the Property Owner Association has agreed to such conditions as the City Council may find necessary to minimize the occurrence of such Failure to Perform in the future. In the event the City Council initiates the Special Tax B (Contingent), it will apply to all Assessor's Parcels of Taxable Property in addition to, and not in lieu of, the Special Tax A.
a. Develo
(i)
Jed Property
Maximum Special Tax B (Contingent)
The Maximum Special Tax B (Contingent) for each Assessor's Parcel of Taxable Property is shown in Table 4 and shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 4 below:

TABLE 4

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

DEVELOPED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
Original
TR 31462-17, -19,
27 28 & 29
Single Family Residential Property
RU
$357
Multi -Family Residential Property
RU
$357
Non -Residential Property
Acre
$2,229
(ii) Increase in the Maximum S
Jecial Tax B (Contingent)
On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Developed Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside - San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

City of Beaumont
Community Facilities District No. 2025-M Q1a2)35c@fS4Was) 8 (iii) Multi ale Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax B (Contingent) that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax B (Contingent) that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final. b. Approved Property
The Maximum Special Tax B (Contingent) for each Assessor's Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025- M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 5 below:

TABLE 5

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

APPROVED PROPERTY
Tax
Zone
Tract
Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
Original
TR 31462-17, -19,
27 28 & 29
Single Family Residential Property
RU
$357
Multi -Family Residential Property
RU
$357
Non -Residential Property
Acre
$2,229
On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Approved Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
c. Undeveloped Property
The Maximum Special Tax B (Contingent) for each Assessor's Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2025-M, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone(s) annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2025-26 within Tax Zone Original is identified in Table 6 below:

City of Beaumont 9
Community Facilities District No. 2025-M Q1a2)36c@fS4Was)

TABLE 6

MAXIMUM SPECIAL TAX B (CONTINGENT) RATES

UNDEVELOPED PROPERTY
Tax Zone
Maximum Special
Tracts
Taxable Unit
Tax B (Contingent)
TR 31462-17, -19,
Original
-27, -28 & -29
Acre
$2,229
On each July 1, commencing on July 1, 2026 the Maximum Special Tax B (Contingent) for Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX

1. Special Tax A
Commencing with Fiscal Year 2025-26 and for each following Fiscal Year, the City Council shall determine the Special Tax A Requirement for each Tax Zone and shall levy the Special Tax A on all Assessor's Parcels of Taxable Property within such Tax Zone until the aggregate amount of Special Tax A equals the Special Tax A Requirement for such Tax Zone. The Special Tax A shall be levied for each Fiscal Year as follows:

Second: If additional moneys are needed to satisfy the Special Tax B (Contingent) Requirement after the first step has been completed, the Special Tax B (Contingent) shall be levied Proportionately on each Parcel of Approved Property at up to 100% of the Maximum Special Tax B (Contingent) for Approved Property;
Third: If additional monies are needed to satisfy the Special Tax B (Contingent) Requirement after the first two steps has been completed, the Special Tax B (Contingent) shall be levied Proportionately on all Assessor's Parcels of Undeveloped Property up to 100% of the Maximum Special Tax B (Contingent) for Undeveloped Property.

E. FUTURE ANNEXATIONS
It is anticipated that additional properties will be annexed to CFD No. 2025-M from time to time. As each annexation is proposed, an analysis will be prepared to determine the annual cost for providing Services to such properties. Based on this analysis, any properties to be annexed, pursuant to California Government Code section 53339 et seq. will be assigned the appropriate Maximum Special Tax rates for the Tax Zone when annexed and included in Appendix A.

F. DURATION OF SPECIAL TAX
For each Fiscal Year, the Special Tax A shall be levied as long as the Maintenance Services are being provided.

For each Fiscal Year, the Special Tax B (Contingent) shall be levied as long as the Maintenance Services (Contingent) are being provided.

City of Beaumont 11
Community Facilities District No. 2025-M Q1a2)3$c@fSalas)

J. INTERPRETATION
Interpretations may be made by the Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.

City of Beaumont 12
Community Facilities District No. 2025-M 6 a3ac@fS4Was)

APPENDIX A

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

TAX ZONE ORIGINAL - MAINTENANCE SERVICES
TRACT NOS. 31462-17, -19, -27, -28 & -29
Item
Description
Estimated Cost
1 Landscaping
$0
2 Streetlights
$13,088
3 Traffic Signals
$0
4 Street & Pavement(')
$49,279
5 Drainage
$7,882
6 Parks
$70,643
7 Trails
$0
8 Graffiti Abatement
$1,302
9 Reserves
$3,766
10 Administration
$14,355
Total
$160,315
(1) Street and Pavement maintenance services include basic services to preserve the integrity of the surface, such as repairing potholes and sinkholes and applying seals. Long-term replacement is not included in the estimated Costs.

MAXIMUM SPECIAL TAXES ASSIGNED TO EACH TAX ZONE
Fiscal
Maximum
Tax
Year
No. of
Land Use
Taxable
Maximum
Special Tax B
Zone
Included
Tract
Taxable Units
Category
Unit
Special Tax A
(Contingent)
Subdivider
Original
2025-26
31462-17, -19, -27,
28 & 29
366
SFR
RU
$438
$357
Meritage Homes

ESCALATION OF MAXIMUM SPECIAL TAXES
On each July 1, commencing on July 1, 2026 the Maximum Special Taxes for Developed Property, Approved Property, and Undeveloped Property shall increase by i) the year -over -year percentage increase for the month of March in the Consumer Price Index (AII Items) for all Urban Consumers for the Riverside - City of Beaumont
Community Facilities District No. 2025-M tite34Qc@fS1Was) 13 San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

City of Beaumont 14
Community Facilities District No. 2025-M Eta ric@fS4Was)

APPENDIX B

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

DESCRIPTION OF AUTHORIZED SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2025-M, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and (b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and (c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2025-M; as well as local roads within residential subdivisions located within CFD No. 2025-M; and any portions adjacent to the properties within CFD No. 2025-M; and In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment.

City of Beaumont 15
Community Facilities District No. 2025-M Q a c@fS4Was)

APPENDIX C

CITY OF BEAUMONT
COMMUNITY FACILITIES DISTRICT NO. 2025-M (MAINTENANCE SERVICES)

PROPOSED BOUNDARIES AND POTENTIAL ANNEXATION AREA BOUNDARIES City of Beaumont 16
Community Facilities District No. 2025-M Kle3lac@f51r7vlas)

Appendix B:

Proposed Boundary Map

Page 244 of 1772 ends

Coe\

I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED
BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES), CITY OF BEAUMONT, COUNTY OF

RIVERSIDE, STATE OF CALIFORNIA, WAS APPROVED BY THE CITY

COUNCIL OF THE CITY OF BEAUMONT AT A REGULAR MEETING
THEREOF, HELD ON 44 DAY OF kW. 2015 BY
RESOLUTION NO. 2Ozs-!teZ
CITY C ERKOII.QO.ft

CITY OF BEAUMONT

FILED IN THE OFFICE OF THE CITY CLERK, CITY OF BEAUMONT, THIS -)°' DAY OF OW. 2025 .
on qui
CITY CLERK a

CITY OF BEAUMONT
SPICER

CONSULTING GROUP

PROPOSED BOUNDARY MAP
COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES)

CITY OF BEAUMONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
0 250 500
I I
1,000 Feet
SHEET 1 OF 1 SHEET
RECORDED THIS IP. DAY OF Natethef , 20,AS AT
THE HOUR OF 3;IS O'CLOCK RM IN BOOK 99
PAGE 9 OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA.

FEE: V.° NO.: o'ZoaS-035 4753

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
BY:

DEPUTY
LEGEND

CITY BOUNDARY

CFD BOUNDARY

PARCEL LINE

XXX-XXX-XXX ASSESSOR PARCEL NUMBER
O

TAX ZONE - ORIGINAL

THIS BOUNDARY MAP CORRECTLY SHOWS THE LOT OR PARCEL OF LAND

INCLUDED WITHIN THE BOUNDARIES OF THE COMMUNITY FACILITIES DISTRICT

FOR DETAILS CONCERNING THE LINES AND DIMENSIONS OF LOTS OR PARCEL REFER TO THE COUNTY ASSESSOR MAPS FOR FISCAL YEAR 2025-26.

Page 245 of 1772 ends

76 colas
%/

I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED

BOUNDARIES OF THE POTENTIAL ANNEXATION AREA OF
COMMUNITY FACILITIES DISTRICT NO. 2025-S (MAINTENANCE

SERVICES), CITY OF BEAUMONT, COUNTY OF RIVERSIDE,

STATE OF CALIFORNIA, WAS APPROVED BY THE CITY OF

BEAUMONT AT A REGULAR MEETING THEREOF, HELD
ON ib DAY OF fklotl, 2025 BY RESOLUTION
NO. 2025 - (02 -

CITY CLERK

CITY OF BEAUMONT

FILED IN THE OFFICE OF THE CITY CLERK,
CITY OF BEAUMONT, THIS 414' DAY OF tjov. 2025 .

CA IQ a1U
CITY CLERK o

CITY OF BEAUMONT
60 CITY OF

BEAUMONT
SPICER

CONSULTING GROUP
W+E
60 BOUNDARIES - POTENTIAL ANNEXATION AREA
COMMUNITY FACILITIES DISTRICT NO. 2025-M
(MAINTENANCE SERVICES)

CITY OF BEAUMONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
79 SHEET 1 OF 1 SHEET
RECORDED THIS /a DAY OF N4J.O..14,- 2025 AT
THE HOUR OF .31s O'CLOCK .EM IN BOOK 98

PAGE IC) OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA.

FEE: 4° NO.: a.0,15-035 7Sq

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
BY: (/mil q,/
DEPUTY
LEGEND

ANNEXATION BOUNDARY
Page24-6 of 1772

Appendix C:

Resolution of Intention

Page 247 of 1772 ends

RESOLUTION NO. 2025-62

A RESOLUTION OF CITY COUNCIL OF THE CITY OF

BEAUMONT DECLARING ITS INTENTION TO

ESTABLISH CITY OF BEAUMONT COMMUNITY
FACILITIES DISTRICT NO. 2025-M (MAINTENANCE

SERVICES), TO AUTHORIZE THE LEVY OF A SPECIAL

TAX ON PROPERTY WITHIN THE DISTRICT TO PAY

THE COSTS OF PROVIDING PUBLIC MAINTENANCE

SERVICES
WHEREAS, the City of Beaumont (the "City") has received a petition (the "Petition") signed by the owner of more than ten percent of the land within the boundaries of which is proposed for inclusion in a proposed community facilities district which meets the requirements of Sections 53318 and 53319 of the Government Code of the State of California (the "Government Code"); and
WHEREAS, the City Council of the City (the "City Council") desires to adopt this resolution of intention as provided in Section 53321 of the Government Code to establish a community facilities district consisting of the territory described in Attachment "A" hereto and incorporated herein by this reference, which the City Council hereby determines shall be known as "City of Beaumont Community Facilities District No. 2025-M (Maintenance Services)" ("Community Facilities District No. 2025-M" or the "District") pursuant to the Mello -Roos Community Facilities Act of 1982, as amended, commencing with Section 53311 of the Government Code (the "Act") to (1) finance the services described in Attachment "B" hereto and incorporated herein by this reference (the "Services"), and (2) finance the incidental expenses to be incurred in connection with forming and administering the District and financing the Services (the "Services Incidental Expenses"); and
WHEREAS, the City Council proposes to designate the property described in Attachment "B" hereto and incorporated herein by this references as territory proposed for annexation to Community Facilities District No. 2025-M in the future (the "Potential Annexation Area"), with the condition that a parcel or parcels within such territory shall be annexed and subjected to the special tax of Community Facilities District No. 2025-M pursuant to the procedures set forth in Section 53339 et seq. of the Act or in compliance with other procedures established by the Act; and
WHEREAS, the City Council further intends to approve an estimate of the costs of the Services and the Services Incidental Expenses for Community Facilities District No. 2025-M; and
WHEREAS, it is the intention of the City Council to consider financing the Services and the Services Incidental Expenses through the formation of Community Facilities District No. 2025-M and the levy of a special tax to pay for such Services and Services Incidental Expenses;

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY, DOES HEREBY RESOLVE, ORDER AND DETERMINE AS FOLLOWS:
4911-9851-2755v3/022599-0038

Page 248 of 1772 ends

Section 1. The above recitals are true and correct.

Section 2. A community facilities district is proposed to be established under the terms of the Act. It is further proposed that the legal boundaries of Community Facilities District No. 2025-M shall be those described in Attachment "A" hereto, which boundaries shall, upon recordation of the boundary map for proposed Community Facilities District No. 2025-M, include the entirety of any parcel subject to taxation by the District. The City Council further proposes to designate the Potential Annexation Area described in Attachment "A" hereto as property proposed for annexation into the District in the future, as approved by the City Council acting as the legislative body of the District.

The proposed boundaries of the District and the Potential Annexation Area are depicted on the map of the proposed Community Facilities District No. 2025-M, which is included in Attachment "A" hereto. The City Clerk is hereby directed to sign the original map of the proposed boundaries 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 3. The name of the proposed community facilities district shall be "City of Beaumont Community Facilities District No. 2025-M (Maintenance Services)." Section 4. The Services proposed to be provided for the benefit of Community Facilities District No. 2025-M are public services as defined in the Act, and this City Council finds and determines that the Services to be financed are in addition to those provided in the territory of the District, including the Potential Annexation Area, at the present time and do not supplant services already available within the territory of the District at the present time. The City Council hereby finds and determines that the description of the Services herein is sufficiently informative to allow taxpayers within the proposed District, including the Potential Annexation Area, to understand what the funds of the District may be used to finance. The Services Incidental Expenses expected to be incurred include the costs of planning the Services, the costs of forming the District, the cost of levying and collecting a special tax within the proposed District and the cost of administration.

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 District, sufficient to pay for the Services and the Services Incidental Expenses.

Notwithstanding the foregoing, the District shall not record a special tax lien on property within the Potential Annexation Area until the owner or owners of the parcel or parcels thereof have given their unanimous approval of the parcel's or parcels' annexation to the District. The rate and method of apportionment and manner of collection of the special taxes are described in detail in Attachment "C" attached hereto, which Attachment "C" is incorporated herein by this reference. Attachment "C" allows each landowner within the District to estimate the maximum amount that may be levied against each parcel.

On each July 1, commencing on July 1, 2026 the special tax shall increase by (i) the year - over -year percentage increase for the month of March in the Consumer Price Index (All Items) 2 4911-9851-2755v3/022599-0038

Page 249 of 1772 ends

for all Urban Consumers for the Riverside -San Bernardino -Ontario California Standard Metropolitan Statistical Area, or a comparable replacement index for the area if this index is no longer published, since the beginning of the preceding Fiscal Year, or (ii) by two percent (2.0%), whichever is greater, 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 "C" hereto.

The special taxes are based on the expected demand that each parcel of real property within proposed Community Facilities District No. 2025-M 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 services in the City as a result of the development of the land proposed for inclusion in the District. The City Council hereby determines the rate and method of apportionment of the special taxes set forth in Attachment "C" to be reasonable.

The special tax is apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 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 establishment of the proposed Community Facilities District No. 2025-M, the proposed rate and method of apportionment of the special taxes to finance the Services and the Services Incidental Expenses shall be held 6:00 p.m., or as soon thereafter as practicable, on December 16, 2025, at the City Council's Chambers, 550 East 6th Street, Beaumont, California. Should the City Council determine to form the District, a special election will be held to authorize the levy of the special taxes in accordance with the procedures contained in Government Code Section 53326. 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 District (excluding the Potential Annexation Area) at the close of the Hearing, or the authorized representative thereof, having one vote for each acre or portion thereof owned within the proposed District. 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 proposed Community Facilities District No. 2025-M and in the Potential Annexation Area, may appear and be heard.

Section 9. Each City officer who is or will be responsible for administering the proposed Community Facilities District No. 2025-M, if it is established, is hereby directed to study the proposed District and, at or before the time of the above -mentioned Hearing, file a report with the City Council containing a brief description of services by type which will in his or her opinion be required to meet adequately the needs of Community Facilities District No. 2025-M and an estimate of the cost of providing those services, and an estimate of the fair and reasonable cost of Services Incidental Expenses to be incurred.

Section 10. The District may accept advances of funds or work -in -kind from any source, including, but not limited to, private persons or private entities, for any authorized 3 4911-9851-2755v3/022599-0038

Page 250 of 1772 ends

purpose, including, but not limited to, paying any cost incurred in creating Community Facilities District No. 2025-M. The District may enter into an agreement with the person or entity advancing the funds or work -in -kind, to repay all or a portion of the funds advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work -in -kind, as determined by the City Council, with or without interest.

Section 11. The City Clerk is hereby directed to publish a notice (the "Notice") of the Hearing pursuant to Section 6061 of the Government Code in a newspaper of general circulation published in the area of proposed Community Facilities District No. 2025-M. The City Clerk is further directed to mail a copy of the Notice to each landowner within the boundaries of the District 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 12. This Resolution shall be effective upon its adoption.

MOVED, PASSED AND ADOPTED this 4th day of November 2025.

AYES: Fenn, Martinez, White, Voigt, Lara
NOES:

ABSTAIN:

ABSENT:
(SEAL)
ATTEST:
f'
Elaine Morgan, Cif' Clerk
of the City of Beaumont
Mike . ra, T or of the City of Beaumont
4 4911-9851-2755v3/022599-0038

Page 251 of 1772 ends

8E00-669ZZ0/£A99LZ-4986-4 4617
ZLL L 40 Z9Z abed

I HEREBY CERTIFY THAT THE WITHIN M AP SHOWING PROPOSED
BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2025-M
(M AINTENANCE SERVICES). CITY OF BEAUMONT, COUNTY OF
RIVERSIDE, STATE OF CALIFORNIA. WAS APPROVED BY THE CITY

COUNCIL OF T HE OP/ OF BEAUMONT AT A REGULAR MEETING
THEREOF. HELD ON__ D AY OF 20__, BY
RESOLUTION NO.

CITY CLERK

CITY OF BEAUM ONT
FILED IN TH E OFFICE OF THE CITY CLERK, CITY OF BEAUMONT.

THIS _ DAY OF 20_

CITY CLERK

CITY OF BEA UMONT
t ON6ty E
VLlO U

PROPOSED BOUNDAR Y MAP
COMMUNITY FACILITIES DISTRICT NO. 2026- M
(MAINTENAN CE SERVICES)

CITY OF BE AUMONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
0 250 500 1, 000 Fe et
SHEET 1 OF 1 SHEET
RECORDED THIS DAY OF ,20 AT
THE HOUR OF _ O'CLOCK _M IN B OOK
P AGE _ OF MAPS OF ASSESS MENT AND COM MUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIF ORNIA.

FEE: NO.:

PETER ALDANA, ASSESS OR, COUNTY CLERK. RECORDER
BY:

DEPUTY
LEGEND
O
ens-tt_ M1E
eo
0 171

es)•
y

4911-9851-2755v3/022599-0038
ZLLI.4o £9Z abed

I HEREBY CERTIFY THAT THE WITHIN MAP SH OWING PROPOSED

BOUNDARIES OF THE POTENTIAL ANNEXATION AREA OF
COM MUNITY FACILITIES DISTRICT NO. 2025-5 (MAINTENANCE

SERVICES), CITY OF BEAUMONT, COUNTY OF RIVERSIDE,

STATE OF CALIFORNIA, WAS APPROVED BY THE CITY OF

BEA UMON T AT A REGULAR MEETING THEREOF , HELD
ON DAY OF 2Q , BY RESOLUTION
NO.

CITY CLERK

CITY OF BEAUMONT

FILED IN THE OFFICE OF THE CITY CLERK,
OTY OF BEAUMONT, THIS _ DAY OF 20_.

CITY CLERK

CITY OF BEAUMONT
5 SPICER

CONSU LTIN G GROUP
W+E

BOUNDARIES - POTENTIAL ANNEXATION A RE A
C OMMUNITY FACILITIES DISTRICT NO . 2025- M
(MAINTEN ANCE SERVICES)

CITY OF BEAU MONT,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
SHEET 1 OF 1 SHEET
RECORDED THIS DAY OF ,20 AT
THE HOUR OF _ O'CLOCK _M IN BOOK

PAGE OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE C OUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA .

FEE: NO .:

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
BY:

DEPUTY
LEGEND

ANNEXATION BOUNDARY

ATTACHMENT B
Types of Services
to be Financed by
City of Beaumont Community Facilities District No. 2025-M (Maintenance Services) The services which may be funded with proceeds of the special tax of CFD No. 2025-M, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and
(b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities.

Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and (c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2025-M; as well as local roads within residential subdivisions located within CFD No. 2025- M; and any portions adjacent to the properties within CFD No. 2025-M; and In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment.

B-1
4911-9851-2755v3/022599-0038

Page 254 of 1772 ends

ATTACHMENT C

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR

All of the real property in CFD No. 2025-M, unless exempted by law or by the provisions herein, shall be taxed to the extent and in the manner provided herein.

A. DEFINITIONS
"Accessory Dwelling Unit" means a residential unit of limited size including smaller secondary unit(s) that shares an Assessor's Parcel with Single Family Residential Property that has a stand-alone Residential Unit.
"Acre" or "Acreage" means the land area of an Assessor's Parcel as shown on any Assessor's Parcel Map, or if the land area is not shown on the Assessor's Parcel Map, the land area as shown on the applicable Final Map, or if the area is not shown on the applicable Final Map, the land area shall be calculated by the Administrator. "Administrative Expenses" means the actual or reasonably estimated costs directly related to the formation, annexation, and administration of CFD No. 2025-M 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. 2025-M, or any designee thereof associated with fulfilling the CFD No. 2025-M disclosure requirements; the costs associated with responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2025-M or any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees, collection expenses, including payment of a proportional share of City overhead and salaries and benefits of any City employees whose duties are related to the administration of CFD No. 2025-M and third party expenses related to CFD No. 2025-M. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2025-M for any other administrative purposes of CFD No. 2025-M, 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 Beaumont, or his or her designee. "Approved Property" means all Assessor's Parcels of Taxable Property that are included in a Final Map that was recorded prior to the January 1 preceding the Fiscal Year in which the Special Tax is being levied, and that have not been issued a Building Permit on or prior to the May 1 preceding the Fiscal year in which the Special Tax is being levied.

C-1
4911-9851-2755v3/022599-0038

Page 255 of 1772 ends

"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 that identification number assigned to a parcel by the County Assessor of the County.
"Building Permit" means the first legal document issued by the City giving official permission for new construction. For purposes of this definition, "Building Permit" may or may not include expired or cancelled Building Permits, or any subsequent Building Permit document(s) authorizing new construction on an Assessor's Parcel that are issued or changed by the City after the first original issuance, as determined by the Administrator. "Building Square Footage" or "BSF" means the floor area square footage reflected on the original construction Building Permit issued for construction of a building of Non - Residential Property and any Building Square Footage subsequently added to a building of such Non -Residential Property after issuance of a Building Permit for expansion or renovation of such building.
"Calendar Year" means the period commencing January 1 of any year and ending the following December 31.
"CFD" or "CFD No. 2025-M" means the Community Facilities District No. 2025-M (Maintenance Services) of the City of Beaumont.
"CFD Boundary Map" means a recorded map of the CFD that indicates by a boundary line the extent of the territory identified to be subject to the levy of Special Taxes. "City" means the City of Beaumont, State of California. "Contingent 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. 2025-M as set forth in the documents adopted by the City Council at the time the CFD was formed to be provided by the City in the event the Administrator makes a determination pursuant to Section C(2) that a Property Owners' Association fails to adequately provide such services.
"County" means the County of Riverside, State of California. "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 May 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 G.

C-2
4911-9851-2755v3/022599-0038

Page 256 of 1772 ends

Beaumont City CouncilMarch 3, 2026

Beaumont City Council
March 3, 2026