Agenda packet — Fontana City Council, July 22, 2025 (part 2 of 5)

SECTION 5. The above authorized Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall have the same lien and priority in the case of delinquency as is provided for ad valorem taxes.

SECTION 6. All monies above collected shall be paid into the designated fund for each community facilities district.

SECTION 7. The City Clerk is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected, the installment of the Special Tax as set forth in the documents on file with the City Clerk.

SECTION 8. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

I, Germaine Key, City Clerk of the City of Fontana, and Ex-Officio Clerk of the City Council, do hereby certify that the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular meeting on the 22nd day of July, 2025, by the following vote to wit:

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
188
Type & Number # parcels Rates Total Type & Number # parcels Rates Total CFD # 2* 3,724 14.82$ 85,127.48 CFD # 51M* 107 696.80 74,557.60 CFD # 6 962 441.87 425,078.94 CFD # 53M 16 567.53 9,080.48 CFD # 6-1* 402 520.16 209,104.32 CFD # 54M* 39 725.12 28,279.68 CFD # 6-2 183 512.94 93,868.02 CFD # 55M 9 813.70 7,323.30 CFD # 6-3a 476 480.00 228,480.00 CFD # 56M 62 280.00 26,040.00 CFD # 8* 274 297.00 81,378.00 CFD # 57M* 17 997.04 16,949.68 CFD # 9M* 376 various 184,405.12 CFD # 58M 14 315.00 4,410.00 CFD # 10M* 10 various 42,607.89 CFD # 59M 1 400.00 2,400.00 CFD # 13M* 933 various 558,769.83 CFD # 60M 16 808.55 12,936.80 CFD # 14M* 790 various 480,356.69 CFD # 61M 77 621.09 55,277.01 CFD # 15M* 738 449.69 331,871.22 CFD # 62M 8 697.00 5,576.00 CFD # 16M* 101 481.53 48,634.53 CFD # 63M 95 575.00 54,625.00 CFD # 18M 16 438.27 7,012.32 CFD # 64M 1 633.45 5,067.60 CFD # 20M* 64 594.83 38,069.12 CFD # 65M 33 618.00 20,394.00 CFD # 21M 74 552.08 40,853.92 CFD # 67M 74 587.10 43,445.40 CFD # 23M* 26 322.91 8,395.66 CFD # 68M 38 664.35 25,245.30 CFD # 24M 102 450.11 45,911.22 CFD # 69M* 332 535.34 177,732.88 CFD # 25M* 175 526.85 92,198.75 CFD # 72M* 19 640.15 12,162.85 CFD # 27M* 85 778.64 66,184.40 CFD # 73M 117 576.80 67,485.60 CFD # 28M* 355 461.13 163,701.15 CFD # 75M 27 545.90 14,739.30 CFD # 29M* 57 524.69 29,907.33 CFD # 76M* 53 713.79 37,830.87 CFD # 30M 485 496.46 240,783.10 CFD # 77M 20 664.35 13,287.00 CFD # 32M 50 366.68 18,334.00 CFD # 78M* 205 402.22 79,055.50 CFD # 33M* 37 176.75 46,699.09 CFD # 79M 1 N/A 21,500.00 CFD # 34M 168 various 21,135.12 CFD # 82M 110 267.80 29,458.00 CFD # 35M* 649 929.49 603,239.01 CFD # 83M 96 664.35 63,777.60 CFD # 36M* 62 402.22 24,937.64 CFD # 84M 30 650.00 19,500.00 CFD # 38M 363 499.55 181,336.65 CFD # 91M 8 760.00 6,080.00 CFD # 39M* 48 504.19 24,201.12 CFD # 92M 19 906.40 17,221.60 CFD # 40M 27 390.00 10,530.00 CFD # 93M* 15 849.75 12,746.25 CFD # 41M 22 705.55 15,522.10 CFD # 94M 6 350.00 2,100.00 CFD # 42M* 88 560.84 49,353.92 CFD # 96M* 11 1,030.20 11,332.20 CFD # 44M* 18 560.84 10,095.12 CFD # 97M 13 400.00 5,200.00 CFD # 45M* 168 674.14 113,255.52 CFD # 98M 9 670.00 6,030.00 CFD # 46M 70 712.76 49,893.20 CFD # 101M 12 655.00 7,860.00 CFD # 47M* 17 763.64 12,981.88 CFD # 102M 6 835.00 5,010.00 CFD # 48M 90 844.60 76,014.00 CFD # 103M 5 880.00 4,400.00 CFD # 49M* 17 849.75 14,445.75 CFD # 104M 13 1,060.00 13,780.00 CFD # 50M* 96 419.21 40,244.16 CFD # 105M 96 495.43 47,561.28 CFD # 110M 18 968.00 17,424.00
CFD # 114M** 85 648.00 55,080.00
CFD # 115M** 8 2,138.55 426,000.00
CFD # 116M** 127 527.00 66,929.00
Totals 14,466 6,447,809.07
*2025-2026 rate for this district has been increased as allowed in the Rate and Method of Apportionment. **First year of special tax levy.

Exhibit A

CITY OF FONTANA
Special Assessments Maintenance Districts
Fiscal Year 2025-2026
189
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0384 Agenda Date: 7/22/2025
Agenda #: P. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 1 (Southridge Village) for Fiscal Year 2025- 2026.

RECOMMENDATION:

Adopt Resolution No. 2025-051, Authorizing the Levy of a Special Tax in Community Facilities District No. 1 (Southridge) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

To mitigate the fiscal impact of Southridge Village, the City Council adopted Resolution 84-13 establishing Community Facilities District No. 1 (Southridge). The District was established to fund and provide the following services:
· Police Services
· Fire protection, suppression, ambulance and paramedic services · Operation and maintenance of parks and parkways
Pursuant to the Special Tax Rate and Method of Apportionment, adopted by the City Council on November 15, 1983, the special tax rate in the District may annually increase by an amount which is the lesser of (1) the annual increase in the consumer price index (CPI) as determined by the U.S.

Department of Labor Statistics or (2) five percent (5%) of the maximum special tax rate.

The proposed Fiscal Year 2025-2026 maximum special tax rate for the District is $1,126.71 per equivalent dwelling unit. This reflects a 3.4% ($37.05) increase over the prior fiscal year as the annual increase in CPI was 3.4%. The actual tax will increase by 10% ($79.80) to $877.82.

As recommended, the 10% increase proposed doesn’tfully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

The City's special taxes for this District have been reviewed in light of the passage of Proposition City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0384 Agenda Date: 7/22/2025
Agenda #: P. Category: Consent Calendar
218. The recommended actions comply with the provisions of this proposition.

A listing of the parcels and the related specific tax for each parcel is available for viewing in the City Clerk's office.

FISCAL IMPACT:

The proposed actual tax of $877.82 per dwelling unit will generate approximately $6.51 million to fund police services, fire protection, and landscape maintenance for the District. It is projected that the proposed actual rate will generate sufficient revenues to cover the costs of providing these services to the District. Fully funding expenses without the use of fund balance would require a 27% increase to the maintenance assessment. The 10% increase will require the utilization of $908,957 or 100% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCI L OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LE VY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 1 (S OUTHRIDGE VILLAGE) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of t he City of Fontana, (the “City Council”) has initiated proceedings, held a public heari ng, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the St ate of California (the “Act”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITI ES DISTRICT NO. 1; and

WHEREAS, the City Council, by Or dinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the maximum spec ial tax and the actual rate of the special tax to be collected for Fiscal Year 2025-2026; and

WHEREAS, funds of the City are not available to pay for the police protection, fire protection, and the operation and maint enance of parks and parkways in the District during Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. In a manner of apportionment as authorized by Resolution No. 84- 13, as amended in Resolution No. 84-57, and as approved by the qualified electors, the specific rate and amount of the special tax to be collect ed to pay for the costs and expenses for Fiscal Year 2025-2026 for the re ferenced District are hereby determined and established as follows:

a. For each single or mult i-family residential dwellin g unit within the District, whether attached, detached or a condom inium, as defined by Civil Code Section 783, located within each County Assessor’s parcel for which a building permit has been issued, the ma ximum rate of said special tax shall be one thousand one hundred twent y-six and forty two ($1,126.42) for Fiscal Year 2025-2026. The actual tax amount increased by 10% over the prior fiscal year to $877.82.
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Resolution No. 2025-

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b. For property within each County Assessor’s parcel in the District developed for any non-residential use of a commercial or other business nature for which a building permit or use permit has been issued, same rate as provided in subparagraph (a), with the limitations and qualifications as contained therein, and shall be determined on the basis of five (5) residential dwelling un its per acre or portion t hereof for such commercial development upon any such parcel, as herein above set forth; provided that the applicable maximum rate of the special tax for a particular fiscal year for any commercially zoned and developed parcel or condominium ownership unit developed for a commercial use and which comprises a separate County Assessor’s parcel shall not be less than the maximum rate of the special tax wh ich otherwise could have been levied in full on a single or multi-family residential dw elling unit or c ondominium unit with a County Assessor’s parcel in accordance with Paragraph 2(a) hereof.

SECTION 3. The rate as set forth above does not exceed the amount previously authorized by Ordinance of the City Council, and is not in excess of that as previously approved by the qualified electors of the District.

SECTION 4. The proceeds of the Special Tax s hall be used to pay, in whole or in part, the costs of the following:

a. Police protection
b. Fire protection
c. Operation and mainte nance of parks and parkways
d. Repayment of City advances and loans, if appropriate.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s fund.

SECTION 7. The City Manager is hereby direct ed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxe s will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation.

SECTION 8. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed repor t showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what pr operty collected, and also pr ovide a statement of any percentages retained for the expense of making any such collection.

193
Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

I, Germaine Key, City Clerk of the City of Fontana, and Ex-Officio Clerk of the City Council, do hereby certify th at the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular m eeting on the 22 nd day of July
2025, by the following vote to wit:

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
194
Services Authorized Total % Per Unit
Police Services 1,843,303$ 28% 248.73$
Fire Protection 1,129,719 17% 152.44
Landscaping 3,875,956 60% 523.02
Delinquency Allowance 130,106 2% 17.56
Funded from Other Sources (473,780) -7% (63.93)
Total Levy 6,505,305$ 100.00% $877.82
Fiscal Year 2025-2026
Exhibit A
City of Fontana
Community Facilities District No. 1
Southridge Village
Special Tax Allocation - Costs to be Allocated
195
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0385 Agenda Date: 7/22/2025
Agenda #: Q. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 7 (Country Club Estates) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-052, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 7 (Country Club Estates) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 7 (Country Club Estates) was established by Resolution No. 98-08 on January 20, 1998, to finance public facilities and to pay annual landscape and lighting maintenance costs within the District. On February 25, 1998, the District issued $4 million in Special Tax Bonds to finance certain public improvements within the District. The bonds were refunded in 2005 and again in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1235 approved and adopted by the City Council on February 3, 1998.

The portion of the special tax rate necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized incidental expenses is comprised of available cash balance, debt service payments, and administration costs (Exhibit A, Schedule 1).

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are outlined in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and Fiscal City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0385 Agenda Date: 7/22/2025
Agenda #: Q. Category: Consent Calendar
A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rate A (bond) is the same as prior year and special tax rate B (maintenance) will increase by 10% ($31.52) per parcel.

As recommended, the 10% increase for Special Tax B doesn’tfully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

The District was established after the adoption of Proposition 218 and complies with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax A rates are the same as the prior year while special tax B rates will increase by 10%. This will generate approximately $395,051; $268,159 for debt service expenses and $126,892 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require an 125% increase to the maintenance assessment. The 10% increase will require the utilization of $111,220 or 54% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 7 (COUNTRY CLUB
ESTATES) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 7; and

WHEREAS, on February 25, 1998, Community Facilities District No. 7 (Country Club Estates) Special Tax Bonds were issued to finance certain public improvements within the district; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “B” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “B” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

198
Resolution No. 2025-

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SECTION 4. The proceeds of Special Tax A shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of Special Tax A needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 5. The proceeds of Special Tax B shall be used to pay the costs of park, parkways and open space maintenance of the District and for the payment of administrative expenses incurred in connection with the levy and collection of said Special Tax B.

SECTION 6. The above authorized Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall have the same lien and priority in the case of delinquency as is provided for ad valorem taxes.

SECTION 7. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 8. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

SECTION 9. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

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Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
200
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 210,000$ Bond Service Funds Available 259,004$ Interest Payment 09/2025 17,600 Proposed Special Tax Levy 268,159 Administration Costs (2025) 24,613 Allowance for Delinquencies (8,045) Interest Payment 03/2026 13,400
Principal Payment 09/2026 215,000
Interest Payment 09/2026 13,400
Administration Costs (2026) 25,105
Total Costs 519,118$ Available Funds 519,118$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate Small (less than 7,200 sq ft) 667.23$ 346.70$ 1,013.93$ Medium (7,200 to 9,999 sq ft) 765.60 346.70 1,112.30
Large (10,000 sq ft or larger) 864.73 346.70 1,211.43
Total Proposed Levy 268,159$ 126,892$ 395,051$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
Small (less than 7,200 sq ft) 183,711$ 982.41$ 189,605$ 1,013.93$ 3% Medium (7,200 to 9,999 sq ft) 124,290 1,080.78 127,915 1,112.30 3% Large (10,000 sq ft or larger) 75,514 1,179.91 77,532 1,211.43 3% 383,515$ 395,051$
Exhibit "A"
City of Fontana
Community Facilities District No. 7
Country Club Estates Tr. 13332
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
201
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 7
(COUNTRY CLUB ESTATES)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

The Resolution of Annual Levy refers to this Exhibit for an explanation of the rate and method of apportionment of the special tax so as to allow each landowner or resident within the district to estimate the annual amount that would be required for payment.

A Special Tax shall be levied on and collected in City of Fontana Community Facilities District No. 7 (Country Club Estates) (“CFD No. 7”) each Fiscal Year in an amount determined by the City Council of the City of Fontana through the application of the provisions described herein. All of the real property in CFD No. 7, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Taxing Classification Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

Small (less than 7,200 sq ft) Unit $ 875.00 $ 667.23 $ 124,772 Medium (7,200 sq ft to 9,999 sq ft) Unit 1,004.00 765.60 88,044 Large (10,000 sq ft or larger) Unit 1,134.00 864.73 55,343

$ 268,159

The Levy of Special Tax A

1. Assignment to Land Use Classes

Each Fiscal Year, each Parcel shall be classified as Public Property or Taxable Property. Each parcel of Taxable Property shall be classified as Large Lot, Medium Lot, or Small Lot. The classification of Parcels each Fiscal Year shall be made based on the status of each Parcel as of January 1 of the previous Fiscal Year.
202
B-2

2. The Special Tax Requirement

The Special Tax Requirement for any Fiscal Year shall be an amount equal to (A) the sum of the following: (1) debt service and other periodic costs (including deposits to any sinking funds) on the Bonds due in the calendar year commencing in such Fiscal Year, (2) Administration Expenses to be incurred in the Fiscal Year or incurred in any previous Fiscal Year and not paid by CFD No. 7, (3) any amount required to replenish any reserve fund established for any Bonds, (4) an amount equal to the estimated delinquencies expected in the payment of Special Tax A for the Fiscal Year, and (5) the costs of remarketing, credit enhancement and liquidity facility fees (including such fees for instruments that serve as the basis of a reserve fund for any Bonds in lieu of cash), minus (B) any credit pursuant to the indenture, such as investment earnings on account balances.

3. Levy of Special Tax A

Commencing with the 1998-99 Fiscal year and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement for the applicable Fiscal Year and shall levy Special Tax A proportionately on each Parcel of Taxable Property up to the Maximum Annual Special Tax A for each Parcel until the aggregate amount of the levy equals the Special Tax Requirement for such Fiscal Year.

Pursuant to Section 53321 of the Act, under no circumstances shall the Special Tax A levied against any Parcel be increased by more than ten percent as a consequence of a delinquency or default in the payment of Special Tax A by the owner of any other Parcel. An increase of ten percent or more shall be determined by comparison of the levy of Special Tax A to the levy if there were no delinquencies or defaults.

Termination of Special Tax A

Except for any delinquencies in Special Tax A and related penalties and interest, Special Tax A used to pay for either or both the acquisition and construction of any public facilities for CFD No. 7 (through the issuance of Bonds or otherwise) and levied on any Parcel shall not be levied after Fiscal Year 2027-28. After such Fiscal Year, and the collection of any delinquencies in Special Tax A, penalties, and interest, the City shall cause a document substantially in the form required by the Act evidencing such termination of the levy and collection to be recorded in the office of the Recorder of the County.

203
B-3
II. SPECIAL TAXES FOR MAINTENANCE OF PARKS, PARKWAYS, AND

OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Taxing Classification Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

Taxable Property Unit $ 663.98 $ 346.70 $ 126,892

“Maximum Annual Special Tax B” for each Parcel of Taxable Property shall be $389 for the 1998-1999 Fiscal Year, and shall increase by two percent each Fiscal Year thereafter.

The Levy of Special Tax B

1. The Special Tax Requirement

The Special Tax Requirement for any Fiscal Year shall be an amount equal to (A) the sum of the following: (1) the estimated Park, Parkways, and Open Space Maintenance Cost for such Fiscal Year, (2) Administrative Expenses to be incurred in the Fiscal Year or incurred in any previous Fiscal Year and not paid by CFD No. 7, and (3) an amount equal to the estimated delinquencies expected in the payment of Special Tax B for the Fiscal Year.

2. Levy of Special Tax B

Commencing with the 1998-99 Fiscal Year and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement for the applicable Fiscal Year and shall levy Special Tax B proportionately on each parcel of Taxable Property up to the Maximum Annual Special Tax B for each Parcel until the aggregate amount of the levy equals the Special Tax Requirement for such Fiscal Year.

Pursuant to Section 53321 of the Act, under no circumstances shall the Special Tax B levied against any Parcel be increased by more than ten percent as a consequence of a delinquency or default in the payment of Special Tax B by the owner of any other Parcel. An increase of ten percent or more shall be determined by comparison of the levy of Special Tax B to the levy if there were no delinquencies or defaults.

204

205
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0386 Agenda Date: 7/22/2025
Agenda #: R. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 11 (Heritage West End) for Fiscal Year 2025-2026
RECOMMENDATION:

Adopt Resolution No. 2025-053, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 11 (Heritage West End) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 11 was established by Resolution No. 98-110 on December 1, 1998.

On January 28, 1999, the District issued $15.5 million in Special Tax Refunding Bonds, 1999 Series A, to prepay a portion of the special tax levied on the property within the District by the Community Facilities District No. 2 and to refund certain indebtedness secured by such special tax, namely the City of Fontana Community Facilities District No. 2 (Village of Heritage) Sub-Subordinate Special Tax Refunding Bonds, 1998 Series C. The bonds were refunded in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1271 approved and adopted by the City Council on December 15, 1998.

A comparison of the special tax levy and rates for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 2. Fiscal Year 2025-2026 rates have decreased by 3% over the prior year for residential parcels and 2% on non-residential parcels.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0386 Agenda Date: 7/22/2025
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Method of Apportionment (Exhibit B).

The District was established after the adoption of Proposition 218, and complies with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are 2% lower on non-residential parcels and 3% lower on residential parcels. The proposed levy will generate approximately $543,294 for debt service expenses.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 11 (HERITAGE WEST END) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 11; and

WHEREAS, on January 28, 1999, Community Facilities District No. 11 (Heritage West End) Special Tax Refunding Bonds were issued to prepay a portion of the special tax levied on the property within the District by the Community Facilities District No. 2 and to refund certain indebtedness secured by such special tax, namely the City of Fontana Community Facilities District No. 2 (Village of Heritage) Sub-Subordinate Special Tax Refunding Bonds, 1998 Series C; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

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APPROVED AND ADOPTED this 22nd day of July 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
210
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 430,000$ Bond Service Funds Available 524,213$ Interest Payment 09/2025 36,300 Proposed Special Tax Levy 543,294 Administration Costs (2025) 41,836 Allowance for Delinquencies (16,299) Interest Payment 03/2026 27,700
Principal Payment 09/2026 445,000
Interest Payment 09/2026 27,700
Administration Costs (2026) 42,672
Total Costs 1,051,208$ Available Funds 1,051,208$
Schedule 2
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1 - R 3,500 sq ft 32,182$ 510.82$ 31,246$ 495.97$ -3%
2 - R 3,280-3,499 sq ft 10,095 480.71 9,802 466.74 -3%
3 - R 3,000-3,279 sq ft 31,131 471.68 30,226 457.97 -3% 4 - R 2,781-2,999 sq ft 27,576 417.82 26,774 405.67 -3% 5 - R 2,601-2,780 sq ft 5,681 405.78 5,516 393.98 -3%
6 - R 2,601-2,780 sq ft 24,832 382.03 24,110 370.92 -3% 7 - R 2,401-2,600 sq ft 367 366.97 356 356.30 -3%
8 - R 2,281-2,400 sq ft 30,685 337.20 29,793 327.40 -3% 9 - R 2,050 sq ft 29,788 307.09 28,922 298.17 -3%
10 - Non-residential (sq ft) 9,186 0.23 9,005 0.2288 -2% 11 - Non-residential (acre) 3,933 3,025.35 3,856 2,966.47 -2% 12 - Commercial 314,811 29,284.82 321,107 29,870.51 2%
13 - Commercial 23,028 2,990.75 22,580 2,932.54 -2%
14 - Undeveloped 0 0.00 0 0.00
543,294$ 543,294$
Exhibit "A"
City of Fontana
Community Facilities District No. 11
Heritage West End Tr. 11551
Assessed
Percent Rate
Change
FY 2024 - 2025 FY 2025 - 2026
211
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 11
(HERITAGE WEST END)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 11 (Heritage West End) (“CFD No. 11”) and collected each Tax Period and/or Fiscal Year commencing in the Initial Tax Period, in an amount determined by the City Council through the application of the appropriate Special Tax for “Developed Property”, “Taxable Property Owner Association Property”, “Taxable Public Property”, and “Undeveloped Property”, as described below. All of the real property in CFD No. 11, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Tax Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026 1 R 3,500 sq ft Unit $ 1,997.63 $ 495.97 $ 31,246 2 R 3,280-3,499 sq ft Unit 1,879.90 466.74 9,802 3 R 3,000-3,279 sq ft Unit 1,844.57 457.97 30,226 4 R 2,781-2,999 sq ft Unit 1,633.95 405.67 26,774 5 R 2,601-2,780 sq ft Unit 1,586.86 393.98 5,516 6 R 2,401-2,600 sq ft Unit 1,493.97 370.92 24,110 7 R 2,281-2,400 sq ft Unit 1,435.11 356.30 356 8 R 2,051-2,280 sq ft Unit 1,318.67 327.40 29,793 9 R 2,050 sq ft Unit 1,200.94 298.17 28,922 10 Non-Residential Sq Ft 0.9217 0.2288 9,005 11 Non-Residential Acre 11,948.21 2,966.47 3,856 12 Commercial Acre 29,870.51 29,870.51 321,107 13 Commercial Acre 11,811.55 2,932.54 22,580 14 Undeveloped Acre 17,774.68 0.00 0

$ 543,294

212
B-2
Method of Apportionment of the Special Tax

1. Initial Tax Period

The amount of Special Taxes to be levied in the Initial Tax Period shall be the Maximum Special Tax for each Assessor’s Parcel in Tax Class 1, 2, and 3, multiplied by the quotient derived from dividing the number of months in the Initial Tax Period by twelve (12).

2. After the Initial Tax Period

Commencing with Fiscal year 1999-2000 and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows:

First: The Special Tax shall be levied proportionately on each Assessor’s Parcel of Tax Class 1 Property at up to 100% of the applicable Maximum Special Tax.

For Fiscal Years which contain the Second and Third Tax Periods, the Maximum Special Tax for the Fiscal Year shall be the sum of the amounts determined by multiplying the Maximum Special Tax for each Tax Period by the quotient of the number of months of such Tax Period in the Fiscal Year for which the special tax is being levied divided by twelve;

Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel in Tax Class 2 up to 100% of the applicable Maximum Special Tax and on each Assessor’s Parcel of Developed Property in Tax Class 3 at up to 100% of the applicable Assigned Special Tax;

Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel of Undeveloped Property in Tax Class 3 at up to 100% of the Maximum Special Tax for Undeveloped Property;

Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the levy of the Special Tax on each Assessor’s Parcel of Development Property in Tax Class 3 whose Maximum Special Tax is determined through the application of the Backup Special Tax shall be increased proportionately from the Assigned Special Tax up to the Maximum Special Tax for each such Assessor’s Parcel;

Fifth: If additional monies are needed to satisfy the Special Tax Requirement after the first four steps have been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel of Taxable Property Owner Association Property and Taxable Public Property at up to the Maximum Special 213
B-3
Tax for Taxable Property Owner Association Property and Taxable Public Property.

Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor’s Parcel of Residential Property for which an occupancy permit for private residential use has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within the CFD.

Term of Special Tax

The Special Tax shall be levied commencing in the Initial Tax Period to the extent necessary to meet the Special Tax Requirement for a period not to exceed forty years on each Assessor’s Parcel.
214

215
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0387 Agenda Date: 7/22/2025
Agenda #: S. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 12 (Sierra Lakes) for Fiscal Year 2025- 2026.

RECOMMENDATION:

Adopt Resolution No. 2025-054, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 12 (Sierra Lakes) for Fiscal Year 2025- 2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 12 was established by Resolution No. 99-09 on January 19, 1999, to finance public facilities and to pay annual landscape and lighting maintenance costs for the district.

On November 24, 1999, the District issued $25.4 million in Special Tax Bonds, Series 1999, to finance certain public improvements within the District. The bonds were refunded in 2005 and again in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Resolution No. 99-09 approved and adopted by the City Council on January 19, 1999, and later amended by Resolution No. 99-99 on October 5, 1999.

The portion of the special tax rate above necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized incidental expenses is comprised of available cash balance, debt service payments, and administration costs (Exhibit A, Schedule 1).

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0387 Agenda Date: 7/22/2025
Agenda #: S. Category: Consent Calendar
outlined in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). The rate for the special tax A (bond) and will remain the same as prior year while special tax rate B (maintenance) will increase by 10% ($46.35) per residential parcel.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 bond special tax rates and the maintenance special tax rate will increase 10%. The levy will generate approximately $2.5 million; $1.47 million for debt service expenses and $1.03 million for park, parkways and open space maintenance costs. Fully funding expenses without the use of fund balance would require a 83% increase to the maintenance assessment. The 10% increase will require the utilization of $186,390 or 22% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 12 (SIERRA LAKES) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 12; and

WHEREAS, on November 24, 1999, Community Facilities District No. 12 (Sierra Lakes) Special Tax Bonds, Series 1999, were issued to finance certain public improvements within the district; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “B” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

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SECTION 4. The proceeds of Special Tax A shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of Special Tax A needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 7. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 8. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

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Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
220
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 1,060,000$ Bond Service Funds Available 1,379,608$ Interest Payment 09/2025 140,800 Proposed Special Tax Levy 1,469,399 Administration Costs (2025) 128,676 Allowance for Delinquencies (44,082) Interest Payment 03/2026 119,600
Principal Payment 09/2026 1,105,000
Interest Payment 09/2026 119,600
Administration Costs (2026) 131,249
Total Costs 2,804,925$ Available Funds 2,804,925$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Land Use Category Special Tax A Special Tax B Tax Rate
Greater than 2,700 sq ft 866.96$ 509.85$ 1,376.81$
2,601 - 2,700 sq ft 768.67 509.85 1,278.52
2,501 - 2,600 sq ft 715.11 509.85 1,224.96
2,401 - 2,500 sq ft 675.08 509.85 1,184.93
2,301 - 2,400 sq ft 635.06 509.85 1,144.91
2,201 - 2,300 sq ft 590.33 509.85 1,100.18
2,101 - 2,200 sq ft 545.60 509.85 1,055.45
2,001 - 2,101 sq ft 519.11 509.85 1,028.96
1,901 - 2,000 sq ft 492.04 509.85 1,001.89
1,900 sq ft or less 474.38 509.85 984.23
Non-residential property 2,281.28 858.81 3,140.09
Golf Course property 233.07 222.07 455.14
Golf Course structures (sq ft) 0.27 0.00 0.27
Undeveloped - residential 0.00 0.00 0.00
Undeveloped - non-residential 0.00 0.00 0.00
Total Proposed Levy 1,469,399$ 1,033,068$ 2,502,467$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
Greater than 2,700 sq ft 915,353 1,330.46$ 947,242$ 1,376.81$ 3% 2,601 - 2,700 sq ft 107,198 1,232.17 111,231 1,278.52 4% 2,501 - 2,600 sq ft 41,251 1,178.61 42,873 1,224.96 4%
2,401 - 2,500 sq ft 121,828 1,138.58 126,787 1,184.93 4% 2,301 - 2,400 sq ft 107,659 1,098.56 112,201 1,144.91 4% 2,201 - 2,300 sq ft 126,460 1,053.83 132,022 1,100.18 4% 2,101 - 2,200 sq ft 79,719 1,009.10 83,380 1,055.45 5%
2,001 - 2,101 sq ft 206,349 982.61 216,082 1,028.96 5%
1,901 - 2,000 sq ft 95,554 955.54 100,189 1,001.89 5%
1,900 sq ft or less 278,552 937.88 292,317 984.23 5%
Non-residential property 257,335 3,062.02 263,896 3,140.09 3% Golf Course property 63,570 434.95 66,520 455.14 5%
Golf Course structures (sq ft) 7,724 0.27 7,724 0.27 0% Undeveloped - residential 0 0.00 0 0.00
Undeveloped - non-residential 0 0.00 0 0.00
2,408,552$ 2,502,467$
Exhibit "A"
City of Fontana
Community Facilities District No. 12
Sierra Lakes
Assessed
Percent Rate
Change
FY 2024 - 2025 FY 2025 - 2026
221
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 12
(SIERRA LAKES)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 12 (“CFD No. 12”) and collected each Fiscal year commencing in Fiscal year 1999-2000, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” “Golf Course Property,” “Taxable Property Owner Association Property,” “Taxable Public Property,” “Undeveloped Non-Residential Property,” and “Undeveloped Residential Property.” All of the real property in CFD No. 12, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

R - greater than 2,700 sq ft Unit $ 1,473.00 $ 866.96 $ 596,466 R - 2,601 - 2,700 sq ft Unit 1,306.00 768.67 66,874 R - 2,501 - 2,600 sq ft Unit 1,215.00 715.11 25,029 R - 2,401 - 2,500 sq ft Unit 1,147.00 675.08 72,234 R - 2,301 - 2,400 sq ft Unit 1,079.00 635.06 62,236 R - 2,201 - 2,300 sq ft Unit 1,003.00 590.33 70,840 R - 2,101 - 2,200 sq ft Unit 927.00 545.60 43,102
R - 2,001 - 2,101 sq ft Unit 882.00 519.11 109,014 R - 1,901 - 2,000 sq ft Unit 836.00 492.04 49,204
R - 1,900 sq ft or less Unit 806.00 474.38 140,892 Non-residential property Acre 3,876.00 2,281.28 191,721 Golf course property Acre 396.00 233.07 34,064
Golf course structures (per sq ft) Sq Foot 0.46 0.27 7,724 Undeveloped - residential Acre 8,617.00 0.00 0
Undeveloped - non-residential Acre 3,876.00 0.00 0

$ 1,469,399
222
B-2
The maximum Special Tax Rate of $3,876 per Acre for Non-Residential Property presented above applies only to the first 65.14 Acres assigned to Land Use Class 11 (Non-residential property). In the event the total amount of Developed Non-Residential Property exceeds 65.14 acres, the additional Acres will be subject to a Maximum Special Tax Rate of $8,617 per Acre. The CFD Administrator shall determine which Developed Non-Residential Acres will be subject to the Maximum Special Tax Rates of $8,617 per Acre in inverse chronological order as to when the property was assigned as Land Use Class 11 as Developed Non-Residential Property.

Method of Apportionment of Special Tax A

Commencing with Fiscal year 1999-2000 and for each following Fiscal Year, the Council shall determine the Special Tax A Requirement and shall levy Special Tax A until the amount of Special Taxes equals the Special Tax A Requirement.

Special Tax A shall be levied each Fiscal Year as follows:

First: Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax A, and Golf Course Property at up to 100% of its applicable Maximum Special Tax A to satisfy the Special Tax A Requirement;

Second: If additional monies are needed to satisfy the Special Tax A Requirement after the first step has been completed, then Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Non- Residential Property and Undeveloped Residential Property at up to 100% of the Maximum Special Tax A for Undeveloped Non-Residential Property and Undeveloped Residential Property;

Third: If additional monies are needed to satisfy the Special Tax A Requirement after the first two steps have been completed, then the levy of Special Tax A on each Assessor’s Parcel of Developed Property whose Maximum Special Tax is determined through the application of the Backup Tax A shall be increased Proportionately from the Assigned Special Tax A up to the Maximum Special Tax A for each such Assessor’s Parcel;

Fourth: If additional monies are needed to satisfy the Special Tax A Requirement after the first three steps have been completed, then Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Taxable Property Owner Association Property or Taxable Public Property at up to the Maximum Special Tax A for Taxable Property Owner Association Property or Taxable Public Property.

Notwithstanding the above, under no circumstances will the amount of Special Tax A levied against any Assessor’s Parcel of Residential Property for which an occupancy permit for private residential use has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within the CFD.
223
B-3
“Special Tax A Requirement” means that amount required in any Fiscal Year for CFD No. 12 to: (i) pay debt service on all Outstanding Bonds; (ii) pay periodic costs on the bonds, including but not limited to, credit enhancement and arbitrage and other rebate payments on the bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds; (v) pay for reasonably anticipated Special Tax A delinquencies based on the delinquency rate for Special Taxes levied in the previous Fiscal year; (vi) pay directly for the acquisition or construction of authorized facilities; less (vii) available funds as directed under the Indenture.

II. SPECIAL TAXES FOR MAINTENANCE OF PARK, PARKWAYS, AND

OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

Residential property Unit $ 917.03 $ 509.85 $ 928,436 Non-residential property Acre 1,544.56 858.81 72,175 Golf course property Acre 398.27 222.07 32,456
Undeveloped property Acre 6,128.15 0.00 0

$ 1,033,068

Commencing July 1, 2000, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, Non-Residential Property, and Golf Course Property shall be increased by two percent (2%).

The Maximum Special Tax B for Undeveloped Property shall be $1,905 per Acre for Fiscal Year 1999-2000; $2,860 per Acre for Fiscal Year 2000-2001; and $3,810 per Acre for Fiscal Year 2001-2002. Commencing July 1, 2002, and each July 1 thereafter, the Maximum Special Tax B for Undeveloped Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 1999-2000 and for each following Fiscal Year, the Council shall determine the Special Tax B Requirement and shall levy Special Tax B until the amount of Special Taxes equals the Special Tax B Requirement.

Special Tax B shall be levied each Fiscal Year as follows:

First: Special Tax B shall be levied Proportionately on each Assessor’s Parcel of Residential Property classified as Developed Property at up to $510 per dwelling unit, on each Assessor’s Parcel of Non-Residential Property classified as Developed Property at up to $859 per Acre, and on each Assessor’s Parcel of 224
B-4
Golf Course Property at up to $222 per Acre to satisfy the Special Tax B Requirement;

Second: If additional monies are needed to satisfy the Special Tax B Requirement after the first step has been completed, then Special Tax B shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Non- Residential Property and Undeveloped Residential Property at up to 100% of the Maximum Special Tax B rate for Undeveloped Non-Residential Property and Undeveloped Residential Property;

Third: If additional monies are needed to satisfy the Special Tax B Requirement after the first two steps have been completed, then Special Tax B shall be levied Proportionately on each Assessor’s parcel of Residential Property that is Developed Property, Non-Residential Property, and Golf Course Property at up to 100% of the applicable Maximum Special Tax B rate;

Fourth: If additional monies are needed to satisfy the Special Tax B Requirement after the first three steps have been completed, then Special Tax B shall be levied proportionately on each Assessor’s parcel of Taxable Property Owner or Taxable Public Property at up to the Maximum Special Tax B for Taxable Property Owner Association Property or Taxable Public Property.

Notwithstanding the above, under no circumstances will the amount of Special Tax B levied against any Assessor’s Parcel of Residential Property for which an occupancy permit for private residential use has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within the CFD.

225

226
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0388 Agenda Date: 7/22/2025
Agenda #: T. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 22 (Sierra Hills South) for Fiscal Year 2025- 2026
RECOMMENDATION:

Adopt Resolution No. 2025-055, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 22 (Sierra Hills South) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 22 (Sierra Hills South) was established by Resolution No. 2003-38 on April 15, 2003. On August 26, 2004, the District issued $37,365,000 in Special Tax Bonds to refund CFD #90-3 (Empire Center) Special Tax Bonds which were used to finance the construction, installation and acquisition of certain major capital facilities (infrastructure) to serve properties located within the District. On May 29, 2014, the District issued $31 million in Special Tax Refunding Bonds to refinance the 2004 bonds.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance 1426, approved and adopted by the City Council on August 6, 2003.

The special tax levied on each assessable parcel within the District is necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized administrative expenses (Exhibit A, Schedule 1).

A comparison of the special tax levy and rates for Fiscal year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 2.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as the prior year.

The City’sspecial taxes for this District have been reviewed in light of the passage of Proposition City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0388 Agenda Date: 7/22/2025
Agenda #: T. Category: Consent Calendar
The City’sspecial taxes for this District have been reviewed in light of the passage of Proposition 218. The recommended actions comply with the provisions of this proposition.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are the same as the prior year and will generate approximately $2.7 million for debt service expenses.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 22 (SIERRA HILLS SOUTH) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 22; and

WHEREAS, on or about August 18, 2004, Community Facilities District No. 22 (Sierra Hills South) Special Tax Bonds were issued to refund the outstanding Community Facilities District No. 90-3 (Empire Center) Special Tax Bonds, Series A, which were used to finance the construction, installation and acquisition of certain major capital facilities (infrastructure) to serve properties located within Community Facilities District. On May 29, 2014, the District issued $31 million in Special Tax Refunding Bonds to refinance the 2004 bonds; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

229
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

230
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
231
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 1,640,000$ Bond Service Funds Available 2,255,335$ Interest Payment 09/2025 469,000 Proposed Special Tax Levy 2,695,627 Administration Costs (2025) 89,155 Allowance for Delinquencies (80,869) Interest Payment 03/2026 428,000
Principal Payment 09/2026 1,725,000
Interest Payment 09/2026 428,000
Administration Costs (2026) 90,938
Total Costs 4,870,093$ Available Funds 4,870,093$
Schedule 2
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1 - Non-residential 645,964$ 10,402.00$ 645,964$ 10,402.00$ 0% 2 - Non-residential 967,617 4,623.11 967,617 4,623.11 0% 2 - Hotel Property 4,161 4,623.11 4,161 4,623.11 0%
3 - Residential 440,450 1,150.00 440,450 1,150.00 0%
4 - Residential 455,400 1,150.00 455,400 1,150.00 0%
5 - Non-residential 182,035 10,402.00 182,035 10,402.00 0% 2,695,627$ 2,695,627$
Exhibit A
City of Fontana
Community Facilities District No. 22
Sierra Hills South
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
232
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 22
(SIERRA HILLS SOUTH)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

Special Taxes shall be levied on all Parcels located within the boundaries of City of Fontana Community Facilities District No. 22 (Sierra Hills South) (hereinafter “CFD No. 22”). The amount of Special Tax to be levied on a Parcel in any fiscal year shall be determined by the City Council of the City of Fontana (hereinafter the “Council” and the “City”), in accordance with the rate and method of apportionment of the Special Taxes described below. All of the property in CFD No. 22, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner provided herein.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Tax Rate Zone / Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

Tax Rate Zone 1 – Non residential Acre $ 13,913.82 $ 10,402.00 $ 645,964 Tax Rate Zone 2 – Non residential Acre 6,183.92 4,623.11 967,617 Tax Rate Zone 2 – Hotel Acre 6,183.92 4,623.11 4,161 Tax Rate Zone 3 – Residential Unit 1,538.25 1,150.00 440,450 Tax Rate Zone 4 – Residential Unit 1,538.25 1,150.00 455,400 Tax Rate Zone 5 – Non residential Acre 13,913.82 10,402.00 182,035

$ 2,695,627

Maximum Special Tax Rates escalate at 2% per year commencing July 1, 2004.

Tax Rate Zone 3 may only be taxed until the earlier of Fiscal Year 2029-2030 or when no Bonds are outstanding. All other tax rate zones may be taxed until the earlier of Fiscal Year 2041-2042 or when no Bonds are outstanding.

233
B-2

Method of Apportionment of the Special Tax

No earlier than the fiscal year in which CFD No. 90-3 is dissolved pursuant to Section 5338.5 of the Act and for each subsequent fiscal year, the Council shall determine the Special Tax Requirement and levy the Special Taxes until the amount of Special Taxes equals the Special Tax Requirement.

Step 1: The Special Tax shall be levied proportionately on each Parcel of Single Family Residential Property, Hotel Property and Non-Residential Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement.

Step 2: If additional monies are needed to satisfy the Special Tax Requirement after Step 1 has been completed, then the Special Tax shall be levied proportionately on each Parcel of Property Owner Association Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement.

Step 3: If additional monies are needed to satisfy the Special Tax Requirement after Step 1 and Step 2 have been completed, then the Special Tax shall be levied proportionately on each Parcel of Public Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement.

“Special Tax Requirement” means, for a fiscal year, that amount required in such fiscal year for CFD No. 22 to: (i) pay debt service on all Outstanding Bonds; (ii) pay periodic costs on the bonds, including but not limited to, credit enhancement and rebate payments on the bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for the Bonds; and (v) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous fiscal year, except for the first fiscal year in which the Special Taxes are levied, for which the delinquency rate will be three percent (3%), taking into account any available funds, as determined by the CFD Administrator.

234

CFD # 22
Sierra Hills South
235
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0389 Agenda Date: 7/22/2025
Agenda #: U. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 31 (Citrus Heights North) for Fiscal Year 2025-2026
RECOMMENDATION:

Adopt Resolution No. 2025-056, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 31 (Citrus Heights North) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 31 (Citrus Heights North) was established by Resolution No. 2005- 59 on June 7, 2005, to finance public facilities and to pay the annual landscape and lighting maintenance costs for the district. On December 21, 2006, the District issued $26,815,000 in Special Tax Bonds, Series 2006, to finance the acquisition and construction of certain capital facilities (infrastructure). On July 11, 2018, the District issued $18.5 million in Special Tax Refunding Bonds to refinance the 2006 bonds; refinancing the bonds allowed the District to take advantage of interest rate savings and to finance the acquisition and construction of additional capital facilities.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Resolution No. 2005-59 approved and adopted by the City Council on June 7, 2005.

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0389 Agenda Date: 7/22/2025
Agenda #: U. Category: Consent Calendar
The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are outlined in Exhibit A, Schedule 2. A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). The rates for all categories are the same as the prior year.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are the same as the prior year and will generate approximately $3.0 million; $2.6 million for debt service expenses and $480,225 for park, parkways and open space costs.

MOTION:

Approve staff recommendation.

City of Fontana Printed on 7/15/2025Page 2 of 2
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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 31 (CITRUS HEIGHTS
NORTH) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 31; and

WHEREAS, on December 21, 2006 Community Facilities District No. 31 (Citrus Heights North) Special Tax Bonds, Series 2006, were issued to finance certain public improvements within the district; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

238
Resolution No. 2025-

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SECTION 4. The proceeds of Special Tax A shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of Special Tax A needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 7. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

239
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
240
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 1,390,000$ Bond Service Funds Available 1,737,239$ Interest Payment 09/2025 444,225 Proposed Special Tax Levy 2,567,257 Administration Costs (2025) 57,130 Allowance for Delinquencies (77,018) Interest Payment 03/2026 416,425
Principal Payment 09/2026 1,445,000
Interest Payment 09/2026 416,425
Administration Costs (2026) 58,273
Total Costs 4,227,478$ Available Funds 4,227,478$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Land Use Category Special Tax A Special Tax B Tax Rate
1 Greater than 4,275 sq ft 3,764.00$ 475.00$ 4,239.00$
2 4,075 - 4,274 sq ft 3,595.00 475.00 4,070.00
3 3,875 - 4,074 sq ft 3,490.00 475.00 3,965.00
4 3,675 - 3,874 sq ft 3,409.00 475.00 3,884.00
5 3,475 - 3,674 sq ft 3,344.00 475.00 3,819.00
6 3,275 - 3,474 sq ft 3,223.00 475.00 3,698.00
7 3,075 - 3,274 sq ft 3,130.00 475.00 3,605.00
8 2,875 - 3,074 sq ft 3,037.00 475.00 3,512.00
9 2,675 - 2,874 sq ft 2,916.00 475.00 3,391.00
10 2,475 - 2,674 sq ft 2,795.00 475.00 3,270.00
11 2,275 - 2,474 sq ft 2,795.00 475.00 3,270.00
12 2,075 - 2,274 sq ft 2,674.00 475.00 3,149.00
13 1,875 - 2,074 sq ft 2,108.00 475.00 2,583.00
14 1,675 - 1,874 sq ft 1,882.00 475.00 2,357.00
15 1,475 - 1,674 sq ft 1,664.00 475.00 2,139.00
16 1,275 - 1,474 sq ft 1,503.00 475.00 1,978.00
17 Less than 1,275 sq ft 1,180.00 475.00 1,655.00
18 Non-residential 32,233.00 2,040.00 34,273.00
Final Mapped Property - Zone 1 - - -
Final Mapped Property - Zone 2 - - -
Final Mapped Property - Zone 3 - - -
Undeveloped Zone 1 property - - -
Undeveloped Zone 2 property - - -
Undeveloped Zone 3 property - - -
Total Proposed Levy 2,567,257$ 480,225$ 3,047,482$
Exhibit "A"
City of Fontana
Community Facilities District No. 31
Citrus Heights North
241
Schedule 3
Comparison of Total Special Tax Levy and Rates for 2024-2025 and 2025-2026 (Special Tax A and Special Tax B)
Land Use Category Special Tax Rate Special Tax Rate
1 Greater than 4,275 sq ft 42,390.00$ 4,239.00$ 42,390.00$ 4,239.00$ 0% 2 4,075 - 4,274 sq ft 240,130.00 4,070.00 240,130.00 4,070.00 0% 3 3,875 - 4,074 sq ft 27,755.00 3,965.00 27,755.00 3,965.00 0% 4 3,675 - 3,874 sq ft 229,156.00 3,884.00 229,156.00 3,884.00 0% 5 3,475 - 3,674 sq ft 171,855.00 3,819.00 171,855.00 3,819.00 0% 6 3,275 - 3,474 sq ft 218,182.00 3,698.00 218,182.00 3,698.00 0% 7 3,075 - 3,274 sq ft 108,150.00 3,605.00 108,150.00 3,605.00 0% 8 2,875 - 3,074 sq ft 147,504.00 3,512.00 147,504.00 3,512.00 0% 9 2,675 - 2,874 sq ft 98,339.00 3,391.00 98,339.00 3,391.00 0% 10 2,475 - 2,674 sq ft 137,340.00 3,270.00 137,340.00 3,270.00 0% 11 2,275 - 2,474 sq ft 415,290.00 3,270.00 415,290.00 3,270.00 0% 12 2,075 - 2,274 sq ft 107,066.00 3,149.00 107,066.00 3,149.00 0% 13 1,875 - 2,074 sq ft 506,268.00 2,583.00 506,268.00 2,583.00 0% 14 1,675 - 1,874 sq ft 219,201.00 2,357.00 219,201.00 2,357.00 0% 15 1,475 - 1,674 sq ft 329,406.00 2,139.00 329,406.00 2,139.00 0% 16 1,275 - 1,474 sq ft 49,450.00 1,978.00 49,450.00 1,978.00 0% 17 Less than 1,275 sq ft - 1,655.00 - 1,655.00 0%
18 Non-residential - 34,273.00 - 34,273.00 0%
Final Mapped Property - Zone 1 - - - - 0%
Final Mapped Property - Zone 2 - - - - 0%
Final Mapped Property - Zone 3 - - - - 0%
Undeveloped Zone 1 property - - - - 0%
Undeveloped Zone 2 property - - - - 0%
Undeveloped Zone 3 property - - - - 0%
3,047,482$ 3,047,482$
Community Facilities District No. 31
Citrus Heights North
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
City of Fontana
Exhibit "A"
242
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 31
(CITRUS HEIGHTS NORTH)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 31 (“CFD No. 31”) and collected each Fiscal year commencing in Fiscal year 2006-2007, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” “Taxable Property Owner Association Property,” “Taxable Public Property,” “Undeveloped Non-Residential Property,” and “Undeveloped Residential Property.” All of the real property in CFD No. 31, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual
Annual Tax Rate Tax Rate Tax Amount
Land Use Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - Greater than 4,275 sq ft Unit $ 3,764.00 $ 3,764.00 $ 37,640 2 - 4,075 - 4,274 sq ft Unit 3,595.00 3,595.00 212,105 3 - 3,875 - 4,074 sq ft Unit 3,490.00 3,490.00 24,430 4 - 3,675 - 3,874 sq ft Unit 3,409.00 3,409.00 201,131 5 - 3,475 - 3,674 sq ft Unit 3,344.00 3,344.00 150,480 6 - 3,275 - 3,474 sq ft Unit 3,223.00 3,223.00 190,157 7 - 3,075 - 3,274 sq ft Unit 3,130.00 3,130.00 93,900 8 - 2,875 - 3,074 sq ft Unit 3,037.00 3,037.00 127,554 9 - 2,675 - 2,874 sq ft Unit 2,916.00 2,916.00 84,564 10 – 2,475 - 2,674 sq ft Unit 2,795.00 2,795.00 117,390 11 - 2,275 - 2,474 sq ft Unit 2,795.00 2,795.00 354,965 12 - 2,075 - 2,274 sq ft Unit 2,674.00 2,674.00 90,916 13 - 1,875 - 2,074 sq ft Unit 2,108.00 2,108.00 413,168 14 - 1,675 - 1,874 sq ft Unit 1,882.00 1,882.00 175,026 15 - 1,475 - 1,674 sq ft Unit 1,664.00 1,664.00 256,256 16 - 1,275 - 1,474 sq ft Unit 1,503.00 1,503.00 37,575 17 - 1,274 sq ft or less Unit 1,180.00 1,180.00 0
18 - Non-residential property Acre 32,233.00 32,233.00 0 Mapped Property – Zone 1 Acre 17,806.00 0.00 0
243
B-2
Mapped Property – Zone 2 Acre 26,894.00 0.00 0
Mapped Property – Zone 3 Acre 32,233.00 0.00 0
Undeveloped – Zone 1 Property Acre 17,806.00 0.00 0 Undeveloped – Zone 2 Property Acre 26,894.00 0.00 0 Undeveloped – Zone 3 Property Acre 32,233.00 0.00 0

$ 2,567,257

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2005-2006 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Facilities and shall levy Special Tax A until the total Special Tax A equals the Special Tax Requirement for Facilities. Special Tax A shall be levied each Fiscal Year as follows:

First: Special Tax A shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Special Tax A;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Final Mapped Property in Zone 1, Zone 2, and Zone 3 at up to 100% of the applicable Initial Maximum Special Tax A;

Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the second step has been completed, the Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Property in Zone 1, Zone 2, and Zone 3 at up to 100% of the applicable Initial Maximum Special Tax A;

Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then the levy of the Special Tax A on each Assessor’s Parcel of Final Mapped Property and Undeveloped Property in Zone1, Zone 2, and Zone 3 shall be increased in equal percentages from the applicable Initial Maximum Special Tax A for such Zone up to 100% of the applicable Maximum Special Tax A for Final Mapped Property and Undeveloped Property;

Fifth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first four steps have been completed, then the levy of the Special Tax A on each Assessor’s Parcel of Developed Property in Zone 1, Zone 2, and Zone 3 whose Maximum Special Tax A is determined through the application of the Backup Special Tax A shall be increased in equal percentages from the Assigned Special Tax A up to the Maximum Special Tax A for each such Assessor’s Parcel;

Sixth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first five steps have bee completed, then the Special Tax A 244
B-3
shall be levied Proportionately on each Assessor’s Parcel of Taxable Property Owner Association at up to the Maximum Special Tax A for Taxable Property Owner Association Property;

Seventh: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first six steps have been completed, then the Special Tax A shall be levied proportionately on each Assessor’s Parcel of Taxable Public Property at up to the Maximum Special Tax A for Taxable Public Property.

Notwithstanding the above the Council may, in any Fiscal Year, levy Proportionately less than 100% of the Assigned Special Tax A in step one (above), when (i) the Council is no longer required to levy the Special Tax A pursuant to steps two through seven above in order to meet the Special Tax Requirement for Facilities, and (ii) all authorized Bonds have already been issued or the Council has covenanted that it will not issue any additional Bonds (except refunding bonds) to be supported by the Special Tax A.

Further notwithstanding the above, under no circumstances will the Special Tax A be levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 31.

II. SPECIAL TAXES FOR MAINTENANCE OF PARK, PARKWAYS, AND

OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

Residential property Unit $ 988.16 $ 475.00 $ 480,225 Developed Non-Residential Property Acre 4,249.81 0.00 0

$ 480,225

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2005-2006 and for each following Fiscal Year, the Council shall levy the Special Tax B until the total Special Tax B levy equals the Special Tax Requirement for Services. The Special Tax B shall be levied each Fiscal Year as follows;

First: The Special Tax B shall be levied proportionately on each Assessor’s Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax B for such Assessor’s Parcel;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Services after the first step has been completed, then the levy of the Special 245
B-4
Tax B on each Assessor’s Parcel of Developed Property shall be increased in equal percentages from the Assigned Special Tax B up to the Maximum Special Tax B for each such Assessor’s Parcel.

246
247
248
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0390 Agenda Date: 7/22/2025
Agenda #: V. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 37 (Montelago) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-057, of the City Council of the City of Fontana, California, authorizing the Levy of Special Tax in Community Facilities District No. 37 (Montelago) for Fiscal Year 2025- 2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 37 (Montelago) was established by Resolution No. 2005-63 on June 7, 2005, to finance public facilities and to pay annual landscape and lighting maintenance costs for the district. On September 1, 2005, the District issued $4,590,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District. The bonds were refunded in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1480 approved and adopted by the City Council on June 21, 2005.

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and Fiscal City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0390 Agenda Date: 7/22/2025
Agenda #: V. Category: Consent Calendar
Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rates A (bond) will remain the same as the prior year and special tax rate B (maintenance) will increase by 10% ($62.52) per parcel.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax A rates are the same as the prior year while special tax B rates will increase by 10%. This will generate approximately $335,656; $237,311 for debt service expenses and $98,345 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 134% increase to the maintenance assessment. The 10% increase will require the utilization of $56,099 or 100% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 37 (MONTELAGO) FOR
FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 37; and

WHEREAS, on September 1, 2005, Community Facilities District No. 37 (Montelago) Special Tax Bonds, Series 2005, were issued to acquire the improvements in Tract 16678; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

251
Resolution No. 2025-

Page 2 of 3 ends

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

252
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
253
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 135,000$ Bond Service Funds Available 211,323$ Interest Payment 09/2025 35,400 Proposed Special Tax Levy 237,311 Administration Costs (2025) 35,007 Allowance for Delinquencies (7,119) Interest Payment 03/2026 32,700
Principal Payment 09/2026 135,000
Interest Payment 09/2026 32,700
Administration Costs (2026) 35,708
Total Costs 441,515$ Available Funds 441,515$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate 1- Greater than 3,700 sq ft 1,892.46$ 687.73$ 2,580.19$ 2- 34,50 to 3,699 sq ft 1,670.01 687.73 2,357.74
3- 3,200 to 3,449 sq ft 1,553.27 687.73 2,241.00
4- Less than 3,200 sq ft 1,386.59 687.73 2,074.32
Total Proposed Levy 237,311$ 98,345$ 335,656$
Schedule 3
Comparison of Special Tax Levy and Rates for 2024-2025 and 2025-2026 (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- Greater than 3,700 sq ft 110,777$ 2,517.67$ 113,528$ 2,580.19$ 2% 2- 34,50 to 3,699 sq ft 87,218 2,295.22 89,594 2,357.74 3% 3- 3,200 to 3,449 sq ft 78,425 2,178.48 80,676 2,241.00 3% 4- Less than 3,200 sq ft 50,295 2,011.80 51,858 2,074.32 3% 326,716$ 335,656$
Exhibit "A"
City of Fontana
Community Facilities District No. 37
Montelago
Assessed
Percent Rate
Change
FY 2024 - 2025 FY 2025 - 2026
254
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 37
(MONTELAGO)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 37 (“CFD No. 37”) and collected each fiscal year commencing in Fiscal Year 2005-2006, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” and “Non-Residential Property.” All of the real property in CFD No. 37, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual Tax
Annual Tax Rate Tax Rate Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - Greater than 3,700 sq ft Unit $ 2,918.00 $ 1,892.46 $ 83,268 2 - 3,450 - 3,699 sq ft Unit 2,575.00 1,670.01 63,460 3 - 3,200 - 3,449 sq ft Unit 2,395.00 1,553.27 55,918 4 – Less than 3,200 sq ft Unit 2,138.00 1,386.59 34,665

$ 237,311

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2005-2006 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Facilities and shall levy Special Tax A until the total Special Tax A levy equals the Special Tax Requirement for Facilities. The Special Tax A shall be levied each Fiscal Year as follows:

255
B-2
First: Special Tax A shall be levied proportionately on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Special Tax A;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Property at up to 100% of the Maximum Special Tax A for Undeveloped Property;

Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of Special Tax A on each Assessor’s Parcel of Developed Property whose Maximum Special Tax is determined through the application of the Backup Tax A shall be increased in equal percentages from the Assigned Special Tax A up to the Maximum Special Tax A for each such Assessor’s Parcel;

Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Taxable Property Owner Association Property at up to the Maximum Special Tax A for Taxable Property Owner Association Property;

Fifth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first four steps have been completed, then Special Tax A shall be levied Proportionately on each Assessor’s Parcel of Taxable Public Property at up to the Maximum Special Tax A for Taxable Public Property;

Notwithstanding the above the Council may, in any Fiscal year, levy Proportionately less than 100% of the Assigned Special Tax A in step one (above), when (i) the Council is no longer required to levy the Special Tax A pursuant to steps two through five above in order to meet the Special Tax Requirement for Facilities, and (ii) all authorized Bonds have already been issued or the Council has covenanted that it will not issue any additional Bonds (except refunding bonds) to be supported by the Special Tax A.

Further notwithstanding the above, under no circumstances will the Special Tax A levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 37.

256
B-3
II. SPECIAL TAXES FOR MAINTENANCE OF PARK, PARKWAYS, AND

OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,263.06 $ 687.73 $ 98,345 5 – Non-Residential Property Acre 5,431.14 0.00 0

$ 98,345

Commencing July 1, 2006, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2005-2006 and for each following Fiscal Year, the Council shall levy Special Tax B until the total Special Tax B levy equals the Special Tax Requirement for Services. Special Tax B shall be levied each Fiscal Year as follows:

First: Special Tax B shall be levied proportionately on each Assessor’s Parcel of Developed Property at up to 100% of the applicable Assigned Special Tax B for such Assessor’s Parcel;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Services after the first step has been completed, then the levy of the Special Tax B on each Assessor’s Parcel of Developed Property shall be increased in equal percentages from the Assigned Special Tax B up to the Maximum Special Ta B for each such Assessor’s parcel.

257

CFD # 37
143 residential lots
City Council Meeting
Location Map

258
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0391 Agenda Date: 7/22/2025
Agenda #: W. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 70 (Avellino) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-058, of the City Council of the City of Fontana, California, authorizing the Levy of Special Tax in Community Facilities District No. 70 (Avellino) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 70 (Avellino) was established by Resolution No. 2012-90 on September 25, 2012, to finance public facilities and to pay annual landscape and lighting maintenance costs for the district. On July 24, 2013, the District issued $2,750,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District. The bonds were refunded in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1670 approved and adopted by the City Council on October 9, 2012.

The special tax levied on each assessable parcel within the District is necessary to pay principal and interest on the outstanding bonded indebtedness and authorized administrative expenses (Facilities Special Tax A); and the annual landscape and lighting maintenance costs of the District (Services Special Tax B). The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as the prior year for special tax A (bond) and are the same as the prior year special tax B (maintenance).

As recommended, the proposed special tax rates for Special Tax B doesn’t fully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0391 Agenda Date: 7/22/2025
Agenda #: W. Category: Consent Calendar
will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A and special tax rate B are the same as prior year. This will generate approximately $249,105; $168,889 for debt service expenses and $80,216 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 18% increase to the maintenance assessment. The proposed special tax rates will require the utilization of $14,580 or 7% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 70 (AVELLINO) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 70; and

WHEREAS, on September 25, 2012, Community Facilities District No. 70 (Avellino) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18824; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

261
Resolution No. 2025-

Page 2 of 3 ends

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

262
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
263
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 70,000$ Bond Service Funds Available 143,568$ Interest Payment 09/2025 35,800 Proposed Special Tax Levy 168,889 Administration Costs (2025) 31,084 Allowance for Delinquencies (5,067) Interest Payment 03/2026 34,400
Principal Payment 09/2026 70,000
Interest Payment 09/2026 34,400
Administration Costs (2026) 31,706
Total Costs 307,390$ Available Funds 307,390$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate 1- >3,850 sq ft 1,846.42$ 679.80$ 2,526.22$
2- 3,450 to 3,850 sq ft 1,675.01 679.80 2,354.81
3- 3,050 to 3,450 sq ft 1,503.59 679.80 2,183.39
4- 2,650 to 3,050 sq ft 1,429.42 679.80 2,109.22
5- 2,250 to 2,650 sq ft 1,292.29 679.80 1,972.09
6- 1,850 to 2,250 sq ft 1,146.76 679.80 1,826.56
7- <1,850 sq ft 1,001.23 679.80 1,681.03
8- Non-Residential 8,493.97 3,983.01 12,476.98
Total Proposed Levy 168,889$ 80,216$ 249,105$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- >3,850 sq ft -$ 2,481.19$ -$ 2,526.22$ 2%
2- 3,450 to 3,850 sq ft 46,279 2,313.95 47,096 2,354.81 2% 3- 3,050 to 3,450 sq ft 62,255 2,146.71 63,318 2,183.39 2% 4- 2,650 to 3,050 sq ft 72,603 2,074.36 73,823 2,109.22 2% 5- 2,250 to 2,650 sq ft 40,752 1,940.57 41,414 1,972.09 2% 6- 1,850 to 2,250 sq ft 19,784 1,798.59 20,092 1,826.56 2% 7- <1,850 sq ft 3,313 1,656.60 3,362 1,681.03 1%
8- Non-Residential - 12,269.81 - 12,476.98 2%
244,986$ 249,105$
Exhibit "A"
City of Fontana
Community Facilities District No. 70
Avellino
Assessed
Percent Rate
Change
FY 2024 - 2025 FY 2025 - 2026
264
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 70
(AVELLINO)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 70 (“CFD No. 70”) and collected each fiscal year commencing in Fiscal Year 2013-2014, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” and “Non-Residential Property.” All of the real property in CFD No. 70, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual Tax
Annual Tax Rate Tax Rate Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - greater than 3,850 sq ft Unit $ 2,639.00 $ -- $ -- 2 - 3,450 - 3,850 sq ft Unit 2,394.00 1,675.01 33,500 3 - 3,050 - 3,450sq ft Unit 2,149.00 1,503.59 43,604 4 - 2,650 - 3,050sq ft Unit 2,043.00 1,429.42 50,030 5 2,250 – 2,650 sq ft Unit 1,847.00 1,292.29 27,138 6- 1,850 – 2,250 sq ft Unit 1,639.00 1,146.76 12,614 7- less than 1,850 sq ft Unit 1,431.00 1,001.23 2,002 8- Non-residential Acre 12,140.00 -- -- 9- Undeveloped

Acre 13,486.00 -- --

$ 168,889

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2018-2019 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Facilities 265
B-2
and shall provide for the levy of the Facilities Special Tax each Fiscal Year as follows:

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Facilities Special Tax shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Property at up to 100% of the Maximum Facilities Special Tax for Undeveloped Property;

Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of the Facilities Special Tax on each Assessor’s Parcel of Developed Property whose Maximum Special Tax is determined through the application of the Backup Facilities Special Tax shall be increased in equal percentages from the Assigned Facilities Special Tax up to the Maximum Facilities Special Tax for each such Assessor’s Parcel;

Fourth: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first three steps have been completed, then the Facilities Special Tax shall be levied Proportionately on each Assessor’s Parcel of Taxable Public Property at up to 100% the Maximum Facilities Special Tax A for Taxable Public Property, as needed to satisfy the Special Tax Requirement for Facilities;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 70 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 70 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 70 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

266
B-3

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,195.29 $ 679.80 $ 80,216 5 – Non-Residential Property Acre 7,003.59 0.00 0

$ 80,216

Commencing July 1, 2013, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2013-2014 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Services and shall provide for the levy of the Services Special Tax until the total Services Special Tax levy equals the Special Tax Requirement for Services. The Services Special Tax shall be levied each Fiscal Year as follows:

First: The Services Special Tax shall be levied Proportionately each Fiscal Year on each Assessor’s Parcel of Developed Property at up to 100% of the applicable Assigned Services Special Tax as needed to satisfy the Special Tax Requirement for Services;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Services after the first step has been completed, then the levy of the Services Special Tax on each Assessor’s Parcel of Developed Property shall be increased in equal percentages from the Assigned Services Special Tax up to the Maximum Services Special Tax for each such Assessor’s parcel.

267

268
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0392 Agenda Date: 7/22/2025
Agenda #: X. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 71 (Sierra Crest) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-059, Authorizing the Levy of Special Tax in Community Facilities District No. 71 (Sierra Crest) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 71 (Sierra Crest) was established by Resolution No. 2014-020 on April 8, 2014, to finance public facilities and to pay annual landscape and lighting maintenance costs for the district. On July 20, 2016, the District issued $5,915,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds and/or direct payment for the acquisition or construction of authorized facilities. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1692 approved and adopted by the City Council on April 8, 2014.

A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2024-2025 and fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) as amended in April 2016.

As recommended, the 10% increase for Special Tax B doesn’tfully fund the maintenance expenses City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0392 Agenda Date: 7/22/2025
Agenda #: X. Category: Consent Calendar
As recommended, the 10% increase for Special Tax B doesn’tfully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A is the same as the prior year while special tax rate B will increase by 10%. This will generate approximately $493,095; $360,464 for debt service and $132,632 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 49% increase to the maintenance assessment. The 10% increase will require the utilization of $16,690 or 5% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 71 (SIERRA CREST) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 71; and

WHEREAS, on April 8, 2014, Community Facilities District No. 71 (Sierra Crest) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18820; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

271
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

272
Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
273
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 165,000$ Bond Service Funds Available 253,655$ Interest Payment 09/2025 72,084 Proposed Special Tax Levy 360,464 Administration Costs (2025) 29,877 Allowance for Delinquencies (10,814) Interest Payment 03/2026 70,434
Principal Payment 09/2026 165,000
Interest Payment 09/2026 70,434
Administration Costs (2026) 30,475
Total Costs 603,305$ Available Funds 603,305$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate 1- >3,450 sq ft 2,240.14$ 709.26$ 2,949.40$
2- 3,250 to 3,450 sq ft 2,153.35 709.26 2,862.61
3- 3,050 to 3,250 sq ft 2,021.36 709.26 2,730.62
4- 2,850 to 3,050 sq ft 1,980.38 709.26 2,689.64
5- 2,650 to 2,850 sq ft 1,900.22 709.26 2,609.48
6- 2,450 to 2,650 sq ft 1,859.76 709.26 2,569.02
7- 2,250 to 2,450 sq ft 1,782.70 709.26 2,491.96
8- 2,050 to 2,250 sq ft 1,737.49 709.26 2,446.75
9- 1,850 to 2,050 sq ft 1,655.53 709.26 2,364.79
10- <1,850 sq ft 1,627.21 709.26 2,336.47
Total Proposed Levy 360,464$ 132,632$ 493,095$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- >3,450 sq ft 54,813$ 2,884.92$ 56,039$ 2,949.40$ 2%
2- 3,250 to 3,450 sq ft 61,559 2,798.13 62,977 2,862.61 2% 3- 3,050 to 3,250 sq ft 63,987 2,666.14 65,535 2,730.62 2% 4- 2,850 to 3,050 sq ft 47,253 2,625.16 48,414 2,689.64 2% 5- 2,650 to 2,850 sq ft 91,620 2,545.00 93,941 2,609.48 3% 6- 2,450 to 2,650 sq ft - 2,504.54 - 2,569.02 3%
7- 2,250 to 2,450 sq ft 55,832 2,427.48 57,315 2,491.96 3% 8- 2,050 to 2,250 sq ft 71,468 2,382.27 73,403 2,446.75 3% 9- 1,850 to 2,050 sq ft 34,505 2,300.31 35,472 2,364.79 3% 10- <1,850 sq ft - 2,271.99 - 2,336.47 3%
481,037$ 493,095$
Exhibit "A"
City of Fontana
Community Facilities District No. 71
Sierra Crest
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
274
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 71
(SIERRA CREST)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 71 (“CFD No. 71”) and collected each fiscal year commencing in Fiscal Year 2014-2015, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” and “Non-Residential Property.” All of the real property in CFD No. 71, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual Tax
Annual Tax Rate Tax Rate Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - greater than 3,450 sq ft Unit $ 2,333.48 $ 2,240.14 $ 42,563 2 - 3,250 -- < 3,450 sq ft Unit 2,243.08 2,153.35 47,374 3 - 3,050 -- < 3,250 sq ft Unit 2,105.59 2,021.36 48,513 4 - 2,850 -- < 3,050 sq ft Unit 2,062.90 1,980.38 35,647 5 - 2,650 – < 2,850 sq ft Unit 1,979.40 1,900.22 68,408 6 - 2,450 – < 2,650 sq ft Unit 1,937.25 1,859.76 0 7 - 2,250 -- < 2,450 sq ft Unit 1,856.98 1,782.70 41,002 8 - 2,050 -- < 2,250 sq ft Unit 1,809.89 1,737.49 52,125 9 - 1,850 -- < 2,050 sq ft Unit 1,724.51 1,655.53 24,833 10 - less than 1,850 sq ft Unit 1,695.01 1,627.21 0 11 - Non-Residential

Acre 19,074.00 19,074.00 0

$ 360,464

*As amended. Notice of Special Tax Lien with amended rates recorded May 24, 2017. 275
B-2

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2014-2015 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Facilities and shall provide for the levy of the Facilities Special Tax each Fiscal Year as follows:

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 71 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 71 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 71 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any 276
B-3
such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,112.25 $ 709.26 $ 132,632 5 – Non-Residential Property Acre 9,523.23 0.00 0

$ 132,632

Commencing July 1, 2014, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2014-2015 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Services and shall provide for the levy of the Services Special Tax until the total Services Special Tax levy equals the Special Tax Requirement for Services. The Services Special Tax shall be levied each Fiscal Year as follows:

277

Location Map
CFD 71

CFD 71
Tract 18820
187 lots

278
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0393 Agenda Date: 7/22/2025
Agenda #: Y. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 74B and 74M (Citrus/Summit) for Fiscal Year 2025-2026
RECOMMENDATION:

1. Adopt Resolution No. 2025-060, Authorizing the Levy of a Special Tax in Community Facilities District No. 74B (Citrus/Summit) for Fiscal Year 2025-2026.

2. Adopt Resolution No. 2025-061, Authorizing the Levy of a Special Tax in Community Facilities District No. 74M (Citrus/Summit) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 74B (Citrus/Summit) was established by Resolution No. 2016-002 on January 12, 2016, to finance public facilities for the district. On January 12, 2016 the District issued $4,045,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1738 approved and adopted by the City Council on January 26, 2016.

Community Facilities District No. 74M was established by Resolution No. 2014-053 on June 24, 2014 to finance the maintenance and operation of street lights, landscaping, parks, parkways, storm drains, and open space facilities. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1697 approved and adopted by the City Council on July 8, 2014.

The special tax for CFD 74B is levied on each assessable parcel within the Districts is necessary to pay for the cost of providing public facilities and authorized administrative expenses (Facilities Special Tax). The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). The proposed Fiscal Year 2025-2026 special tax City of Fontana Printed on 7/15/2025Page 1 of 2
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279
File #: 25-0393 Agenda Date: 7/22/2025
Agenda #: Y. Category: Consent Calendar
rates are shown in Exhibit A, Schedule 2. The rate for CFD 74B is the same as the prior year.

The special tax for CFD 74M is levied on each assessable parcel within the Districts is necessary to pay for the cost of providing maintenance and operation of street lights, landscaping, parks, parkways, storm drains, and open space facilities. The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit C). The proposed Fiscal Year 2024-2025 special tax rates are shown in Exhibit A, Schedule 2. The rate for CFD 74M is the same as the prior year.

The Districts were established after the adoption of Proposition 218 and comply with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates for CFD 74B are the same as the prior year and will generate approximately $367,297 for debt service expenses. The special tax rate for CFD 74M is the same as the prior year and will generate $84,645 for maintenance expenses.

MOTION:

Approve staff recommendation.

City of Fontana Printed on 7/15/2025Page 2 of 2
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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 74B (CITRUS/SUMMIT) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 74B; and

WHEREAS, on January 12, 2016, Community Facilities District No. 74B (Citrus/Summit) Special Tax Bonds, were approved for the acquisition of the improvements in Tracts 18825 and 18915; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

281
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

282
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
283

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 74M FOR FISCAL YEAR
2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 74M; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 4. The proceeds of the Special Tax shall be used to pay the costs of maintenance of the District and for payment of administrative expenses incurred in connection with the levy and collection of said Special Taxes.

SECTION 6. All monies above collected shall be paid into the Community Facilities District fund.
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Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
285
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 90,000$ Bond Service Funds Available 140,853$ Interest Payment 09/2025 75,213 Proposed Special Tax Levy 367,297 Administration Costs (2025) 45,046 Allowance for Delinquencies (11,019) Interest Payment 03/2026 72,963
Principal Payment 09/2026 95,000
Interest Payment 09/2026 72,963
Administration Costs (2026) 45,947
Total Costs 497,131$ Available Funds 497,131$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax 74B and Special Tax 74M)
Residential Lot Size
(Square Feet)
Special Tax
74B
Special Tax
74M
Total Combined
Tax Rate
1- 2,700 or Greater 2,419.00$ 495.00$ 2,914.00$
2- 2,450 to less than 2,700 2,263.00 495.00 2,758.00
3- 2,200 to less than 2,450 2,160.00 495.00 2,655.00
4- 1,950 to less than 2,200 1,983.00 495.00 2,478.00
5- 1,700 to less than 1,950 1,811.00 495.00 2,306.00
6- Less than 1,700 1,726.00 495.00 2,221.00
7- Non-Residential 21,775.00 - 21,775.00
Undeveloped Mapped - - 0.00
Total Proposed Levy 367,297$ 84,645$ 451,942$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax 74B and Special Tax 74M)
Tax Classification
(Land Use) Special Tax Combined Rate Special Tax Combined Rate 1- 2,700 or Greater 81,592$ 2,914.00$ 81,592$ 2,914.00$ 0% 2- 2,450 to less than 2,700 143,416 2,758.00 143,416 2,758.00 0% 3- 2,200 to less than 2,450 116,820 2,655.00 116,820 2,655.00 0% 4- 1,950 to less than 2,200 39,648 2,478.00 39,648 2,478.00 0% 5- 1,700 to less than 1,950 43,814 2,306.00 43,814 2,306.00 0% 6- Less than 1,700 26,652 2,221.00 26,652 2,221.00 0%
7- Non-Residential - 21,775.00 - 21,775.00 0%
Undeveloped Mapped - - - - 0%
451,942$ 451,942$
Exhibit "A"
City of Fontana
Community Facilities District No. 74B and 74M
Citrus/Summit
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
286
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 74B
(Citrus/Summit)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 74B (“CFD No. 74B”) and collected each fiscal year commencing in Fiscal Year 2016-2017, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 74B, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (Square Feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - Greater than 2,700 Unit $ 2,419.00 $ 2,419.00 $ 67,732 2 - 2,450 to less than 2,700 Unit 2,263.00 2,263.00 117,676 3 - 2,200 to less than 2,450 Unit 2,160.00 2,160.00 95,040 4 - 1,950 to less than 2,200 Unit 1,983.00 1,983.00 31,728 5 1,700 to less than 1,950 Unit 1,811.00 1,811.00 34,409 6- Less than 1,700 Unit 1,726.00 1,726.00 20,712
7- Non-Residential Property Acre 21,775.00 21,775.00 0 Undeveloped Mapped Acre 25,617.00 25,617.00 0

$ 367,297

287
B-2
Method of Apportionment of Special Tax

Commencing with Fiscal year 2016-2017 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Facilities and shall provide for the levy of the Facilities Special Tax each Fiscal Year as follows:

First: The Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Second: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Property at up to 100% of the Maximum Facilities Special Tax for Undeveloped Property;

Third: If additional monies are needed to satisfy the Special Tax Requirement for Facilities after the first two steps have been completed, then the levy of the Special Tax on each Assessor’s Parcel of Developed Property whose Maximum Special Tax is determined through the application of the Backup Special Tax shall be increased in equal percentages from the Assigned Special Tax up to the Maximum Special Tax for each such Assessor’s Parcel;

Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Taxable Public Property and Taxable Property Owner Association Property at up to 100% the Maximum Special Tax A for Taxable Public Property and Taxable Property Owner Association Property, as needed to satisfy the Special Tax Requirement;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 74B Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 74B Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Special Tax levied against any Assessor’s Parcel of Residential Property for which a occupancy permit for private residential use has been issued (in accordance with Section 53321(d)(3) of the California Government Code), be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 74B by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Special Tax on Residential Property is limited by the provision in the previous sentence, the levy 288
B-3
of the Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Special Tax.

289

EXHIBIT “C”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 74M
(Citrus/Summit)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 74M (“CFD No. 74M”) and collected each fiscal year commencing in Fiscal Year 2014-2015, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 74M, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK, PARKWAYS,

AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 864.15 $ 495.00 $ 84,645

$ 84,645

Commencing July 1, 2014, and each July 1 thereafter, the Maximum Special Tax rates for the Special Tax for Residential Property shall be increased by two percent (2%).

290

D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX

Commencing with Fiscal Year 2014-15 and for each following Fiscal Year, and prior to the final date on which the County Auditor will accept the levy for inclusion on the ad valorem real property tax roll for such Fiscal Year, the City Manager shall determine the Special Tax Requirement to be collected from Taxable Property in CFD No. 74M in such Fiscal Year. The Special Tax shall be levied as follows until the amount of the levy equals the Special Tax Requirement.

First: The Special Tax shall be levied in equal percentages on each Assessor’s Parcel of Developed Property up to 100% of the applicable Assigned Special Tax for such Assessor’s Parcel;

Second: If additional funds are needed to satisfy the Special Tax Requirement after the first step has been completed, then the Special Tax shall be levied on each Assessor’s Parcel of Undeveloped Property up to 100% of the Assigned Special tax for such Assessor’s Parcel;

Third: If additional funds are needed to satisfy the Special Tax Requirement after the first and second steps have been completed, then the Special Tax shall be levied on each assessor’s Parcel of Developed Property in equal percentages from the Assigned Special Tax up to the Maximum Special Tax for each such Assessor’s Parcel;

Fourth: If additional funds are needed to satisfy the Special Tax Requirement after the first, second, and third steps have been completed, then the Special Tax shall be levied on each Assessor’s Parcel of Undeveloped Property in equal percentages from the Assigned Special Tax up to the Maximum Special Tax for each such Assessor’s Parcel.

291
292
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0394 Agenda Date: 7/22/2025
Agenda #: Z. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 80 (Bella Strada) for Fiscal Year 2025-2026 RECOMMENDATION:

Adopt Resolution No. 2025-062, Authorizing the Levy of Special Tax in Community Facilities District No. 80 (Bella Strada) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 80 (Bella Strada) was established by Resolution No. 2015-021 on April 14, 2015, to finance public facilities and to pay annual landscape and lighting costs for the district. On August 15, 2017 the District issued $11,125,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1726 approved and adopted by the City Council on April 14, 2015.

The special tax levied on each assessable parcel within the District is necessary to pay for the cost of providing public facilities and authorized administrative expenses (Facilities Special Tax A); and the annual landscape and lighting maintenance costs of the District (Services Special Tax B). The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment. Special tax rate A (bond) will remain the same as the prior year and special tax rate B (maintenance) will increase 10% ($58.20) per parcel.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A is the same as prior year while special tax rate B will increase by 10%. This will generate approximately $1,043,765; $803,068 for public facility expenses and $240,696 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 14% increase to the maintenance assessment. The 10% increase will require the utilization of $8,110 or 2% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 80 (BELLA STRADA) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 80; and

WHEREAS, on April 14, 2015, Community Facilities District No. 80 (Bella Strada) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18859; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

295
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

296
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
297
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 285,000$ Bond Service Funds Available 505,946$ Interest Payment 09/2025 207,959 Proposed Special Tax Levy 803,068 Administration Costs (2025) 45,947 Allowance for Delinquencies (24,092) Interest Payment 03/2026 204,575
Principal Payment 09/2026 290,000
Interest Payment 09/2026 204,575
Administration Costs (2026) 46,866
Total Costs 1,284,923$ Available Funds 1,284,923$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate 1- >3,300 sq ft 2,522.26$ 640.15$ 3,162.41$
2- 3,100 to 3,300 sq ft 2,472.42 640.15 3,112.57
3- 2,900 to 3,100 sq ft 2,408.34 640.15 3,048.49
4- 2,700 to 2,900 sq ft 2,401.22 640.15 3,041.37
5- 2,500 to 2,700 sq ft 2,295.31 640.15 2,935.46
6- 2,300 to 2,500 sq ft 2,152.91 640.15 2,793.06
7- 2,100 to 2,300 sq ft 2,068.36 640.15 2,708.51
8- 1,900 to 2,100 sq ft 2,011.40 640.15 2,651.55
9- 1,700 to 1,900 sq ft 1,904.60 640.15 2,544.75
10- <1,700 sq ft 1,834.29 640.15 2,474.44
Total Proposed Levy 803,068$ 240,696$ 1,043,765$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- >3,300 sq ft -$ 3,104.21$ -$ 3,162.41$ 2%
2- 3,100 to 3,300 sq ft 85,522 3,054.37 87,152 3,112.57 2% 3- 2,900 to 3,100 sq ft - 2,990.29 - 3,048.49 2%
4- 2,700 to 2,900 sq ft 146,175 2,983.17 149,027 3,041.37 2% 5- 2,500 to 2,700 sq ft 71,932 2,877.26 73,387 2,935.46 2% 6- 2,300 to 2,500 sq ft 265,281 2,734.86 270,927 2,793.06 2% 7- 2,100 to 2,300 sq ft 66,258 2,650.31 67,713 2,708.51 2% 8- 1,900 to 2,100 sq ft 212,655 2,593.35 217,427 2,651.55 2% 9- 1,700 to 1,900 sq ft 174,059 2,486.55 178,133 2,544.75 2% 10- <1,700 sq ft - 2,416.24 - 2,474.44 2%
1,021,882$ 1,043,765$
Exhibit "A"
City of Fontana
Community Facilities District No. 80
Bella Strada
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
298
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 80
(Bella Strada)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 80 (“CFD No. 80”) and collected each fiscal year commencing in Fiscal Year 2015-2016, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the appropriate Special Tax for “Developed Property,” and “Non-Residential Property.” All of the real property in CFD No. 80, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual Tax
Annual Tax Rate Tax Rate Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - greater than 3,300 sq ft Unit $ 2,834.00 $ 2,522.26 $ 0 2 - 3,100 -- <3,300 sq ft Unit 2,778.00 2,472.42 69,228 3 - 2,900 -- <3,100 sq ft Unit 2,708.00 2,408.34 0
4 - 2,700 -- <2,900 sq ft Unit 2,698.00 2,401.22 117,660 5 2,500 – <2,700 sq ft Unit 2,579.00 2,295.31 57,383 6- 2,300 – <2,500 sq ft Unit 2,419.00 2,152.91 208,832 7- 2,100 -- <2,300 sq ft Unit 2,324.00 2,068.36 51,709 8- 1,900 -- <2,100 sq ft Unit 2,260.00 2,011.40 164,935 9- 1,700 -- <1,900 sq ft Unit 2,140.00 1,904.60 133,322 10- less than 1,700 sq ft Unit 2,061.00 1,834.29 0 11- Non-Residential

Acre 25,620.00 25,620.00 0

$ 803,068

299
B-2

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2015-2016 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Facilities and shall provide for the levy of the Facilities Special Tax each Fiscal Year as follows:

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 80 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 80 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 80 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities 300
B-3
Special Tax on Residential Property is limited by the provision in the previous sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 963.01 $ 640.15 $ 240,696 5 – Non-Residential Property Acre 10,111.56 0.00 0

$ 240,696

Commencing July 1, 2015, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2015-2016 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Services and shall provide for the levy of the Services Special Tax until the total Services Special Tax levy equals the Special Tax Requirement for Services. The Services Special Tax shall be levied each Fiscal Year as follows:

301
CITY CLERK'S CERTIFICATE_________________________________________________________________ ________________________________________________________________________________

RECORDER'S CERTIFICATE
___________________________________________

SAN BERNARDINO COUNTY

BASIS OF BEARING
PROPOSED BOUNDARIES:

PROPOSED BOUNDARIES OF CITY OF FONTANA
1 OF 1
COMMUNITY FACILITIES DISTRICT NO. 80 (BELLA STRADA)
PROPOSED BOUNDARIES OF CITY OF FONTANA COMMUNITY FACILITIES DISTRICTNO. 80 (BELLA STRADA), COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA 302
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0395 Agenda Date: 7/22/2025
Agenda #: AA. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 81 (Gabriella) for Fiscal Year 2025-2026 RECOMMENDATION:

Adopt Resolution No. 2025-063, Authorizing the Levy of Special Tax in Community Facilities District No. 81 (Gabriella) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 81 (Gabriella) was established by Resolution No. 2016-022 on March 22, 2016, to finance public facilities and to pay annual landscape and lighting costs for the district. On March 6, 2018 the District issued $7,180,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1743 approved and adopted by the City Council on March 22, 2016.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rate A (bond) will remain the same as prior year and special tax rate B (maintenance) will increase 10% ($56.14) per parcel.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A is the same as the prior year while special tax rate B will increase 10%. This will generate approximately $604,744; $481,246 for public facility expenses and $123,498 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 36% increase to the maintenance assessment. The 3% increase will require the utilization of $29,650 or 77% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 81 (GABRIELLA) FOR
FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 81; and

WHEREAS, on March 22, 2016, Community Facilities District No. 81 (Gabriella) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18939; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

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Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

306
Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
307
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 170,000$ Bond Service Funds Available 332,558$ Interest Payment 09/2025 122,784 Proposed Special Tax Levy 481,246 Administration Costs (2025) 45,947 Allowance for Delinquencies (14,437) Interest Payment 03/2026 119,384
Principal Payment 09/2026 175,000
Interest Payment 09/2026 119,384
Administration Costs (2026) 46,866
Total Costs 799,366$ Available Funds 799,366$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate 1- >2,950 sq ft 2,923.15$ 617.49$ 3,540.64$
2- 2,750 to 2,950 sq ft 2,837.65 617.49 3,455.14
3- 2,550 to 2,750 sq ft 2,752.15 617.49 3,369.64
4- 2,350 to 2,550 sq ft 2,549.80 617.49 3,167.29
5- 2,150 to 2,350 sq ft 2,398.75 617.49 3,016.24
6- 1,950 to 2,150 sq ft 2,247.70 617.49 2,865.19
7- <1,950 sq ft 2,175.50 617.49 2,792.99
8 - Non-Residential 24,312.40 5,868.94 30,181.34
Total Proposed Levy 481,246$ 123,498$ 604,744$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- >2,950 sq ft -$ 3,484.50$ -$ 3,540.64$ 2%
2- 2,750 to 2,950 sq ft - 3,399.00 - 3,455.14 2%
3- 2,550 to 2,750 sq ft 132,540 3,313.50 134,786 3,369.64 2% 4- 2,350 to 2,550 sq ft 108,890 3,111.15 110,855 3,167.29 2% 5- 2,150 to 2,350 sq ft 103,604 2,960.10 105,568 3,016.24 2% 6- 1,950 to 2,150 sq ft 84,272 2,809.05 85,956 2,865.19 2% 7- <1,950 sq ft 164,211 2,736.85 167,579 2,792.99 2%
8 - Non-Residential - 29,647.80 - 30,181.34 2%
593,516$ 604,744$
Exhibit "A"
City of Fontana
Community Facilities District No. 81
Gabriella
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
308
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 81
(Gabriella)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 81 (Gabriella) (“CFD No. 81”) and collected each fiscal year commencing in Fiscal Year 2016-2017, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 81, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Actual Tax
Annual Tax Rate Tax Rate Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 - greater than 2,950 sq ft Unit $ 3,077.00 $ 2,923.15 $ 0 2 - 2,750 -- <2,950 sq ft Unit 2,987.00 2,837.65 0
3 - 2,550 -- <2,750 sq ft Unit 2,897.00 2,752.15 110,086 4 - 2,350 -- <2,550 sq ft Unit 2,684.00 2,549.80 89,243 5 2,150 – <2,350 sq ft Unit 2,525.00 2,398.75 83,956 6- 1,950 – <2,150 sq ft Unit 2,366.00 2,247.70 67,431 7- less than 1,950 sq ft Unit 2,290.00 2,175.50 130,530 8- Non-Residential

Acre 25,592.00 24,312.40 0

$ 481,246

309
B-2
Method of Apportionment of Special Tax A

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 81 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 81 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 81 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous 310
B-3
sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 908.27 $ 617.49 $ 123,498 5 – Non-Residential Property Acre 8,630.96 0.00 0

$ 123,498

Commencing July 1, 2017, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

311
312
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0396 Agenda Date: 7/22/2025
Agenda #: AB. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 85 (The Meadows) for Fiscal Year 2025- 2026.

RECOMMENDATION:

Adopt Resolution No. 2025-064, Authorizing the Levy of Special Tax in Community Facilities District No. 85 (The Meadows) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 85 (The Meadows) was established by Resolution No. 2018-089 on October 23, 2018, to finance public facilities and to pay annual landscape and lighting costs for the district. On October 22, 2020, the District issued $22,640,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1782 approved and adopted by the City Council on November 13, 2018.

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (Special Tax A and Special Tax B) for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0396 Agenda Date: 7/22/2025
Agenda #: AB. Category: Consent Calendar
The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as the prior year for special tax A (bond) and special tax B (maintenance).

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A and special tax rate B is the same as the prior year. This will generate approximately $1,923,585; $1,492,762 for public facility expenses and $430,823 for landscape and lighting maintenance costs.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 85 (THE MEADOWS) FOR
FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 85; and

WHEREAS, on October 23, 2018, Community Facilities District No. 85 (The Meadows) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 19960; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

315
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

316
Resolution No. 2025-

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APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
317
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 480,000$ Bond Service Funds Available 865,947$ Interest Payment 09/2025 414,600 Proposed Special Tax Levy 1,492,762 Administration Costs (2025) 54,122 Allowance for Delinquencies (44,783) Interest Payment 03/2026 405,000
Principal Payment 09/2026 500,000
Interest Payment 09/2026 405,000
Administration Costs (2026) 55,204
Total Costs 2,313,926$ Available Funds 2,313,926$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size (sq ft) Special Tax A Special Tax B Tax Rate 1- 3,651 or Greater 3,055.00$ 736.45$ 3,791.45$
2- 3,451 to less than 3,651 3,005.00 736.45 3,741.45
3- 3,251 to less than 3,451 2,954.00 736.45 3,690.45
4- 3,051 to less than 3,251 2,903.00 736.45 3,639.45
5- 2,851 to less than 3,251 2,784.00 736.45 3,520.45
6- 2,651 to less than 2,851 2,700.00 736.45 3,436.45
7- 2,451 to less than 2,651 2,632.00 736.45 3,368.45
8- 2,251 to less than 2,451 2,531.00 736.45 3,267.45
9- 2,051 to less than 2,251 2,450.00 736.45 3,186.45
10- 1,851 to less than 2,051 2,314.00 736.45 3,050.45
11- 1,651 to less than 1,851 2,192.00 736.45 2,928.45
12- 1,451 to less than 1,651 2,087.00 736.45 2,823.45
13- Less than 1,451 2,036.00 736.45 2,772.45
14- Non-Residential Property 21,320.00 6,118.20 27,438.20 Total Proposed Levy 1,492,762$ 430,823$ 1,923,585$
Schedule 3
Comparison of Special Tax Levy and Rates for Fiscal Years 2024-2025 and 2025-2026 (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- 3,651 or Greater 223,696 3,791.45$ 223,696 3,791.45$ 0% 2- 3,451 to less than 3,651 - 3,741.45 - 3,741.45 0%
3- 3,251 to less than 3,451 - 3,690.45 - 3,690.45 0%
4- 3,051 to less than 3,251 123,741 3,639.45 123,741 3,639.45 0% 5- 2,851 to less than 3,251 176,023 3,520.45 176,023 3,520.45 0% 6- 2,651 to less than 2,851 175,259 3,436.45 175,259 3,436.45 0% 7- 2,451 to less than 2,651 185,265 3,368.45 185,265 3,368.45 0% 8- 2,251 to less than 2,451 316,943 3,267.45 316,943 3,267.45 0% 9- 2,051 to less than 2,251 98,780 3,186.45 98,780 3,186.45 0% 10- 1,851 to less than 2,051 369,104 3,050.45 369,104 3,050.45 0% 11- 1,651 to less than 1,851 254,775 2,928.45 254,775 2,928.45 0% 12- 1,451 to less than 1,651 - 2,823.45 - 2,823.45 0%
13- Less than 1,451 - 2,772.45 - 2,772.45 0%
14- Non-Residential Property - 27,438.20 - 27,438.20 0% 1,923,585$ 1,923,585$
Exhibit "A"
City of Fontana
Community Facilities District No. 85
The Meadows
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
318
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 85
(The Meadows)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 85 (The Meadows) (“CFD No. 85”) and collected each fiscal year commencing in Fiscal Year 2019-2020, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 85, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (square feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – 3,651 or Greater Unit $ 3,055.00 $ 3,055.00 $ 180,245 2 – 3,451 to less than 3,651 Unit 3,005.00 3,005.00 0 3 – 3,251 to less than 3,451 Unit 2,954.00 2,954.00 0 4 – 3,051 to less than 3,251 Unit 2,903.00 2,903.00 98,702 5 – 2,851 to less than 3,051 Unit 2,784.00 2,784.00 139,200 6 – 2,651 to less than 2,851 Unit 2,700.00 2,700.00 137,700 7 – 2,451 to less than 2,651 Unit 2,632.00 2,632.00 144,760 8 – 2,251 to less than 2,451 Unit 2,531.00 2,531.00 245,507 9 – 2,051 to less than 2,251 Unit 2,450.00 2,450.00 75,950 10 – 1,851 to less than 2,051 Unit 2,314.00 2,314.00 279,994 11 – 1,651 to less than 1,851 Unit 2,192.00 2,192.00 190,704 12 – 1,451 to less than 1,651 Unit 2,087.00 2,087.00 0 13 – Less than 1,451 Unit 2,036.00 2,036.00 0
14 – Non-Residential Property Acre 21,320.00 21,320.00 0

$ 1,492,762
319
B-2

Method of Apportionment of Special Tax A

Commencing with Fiscal year 2019-2020 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Facilities and shall provide for the levy of the Facilities Special Tax each Fiscal Year as follows:

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 85 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 85 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 85 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities 320
B-3
Special Tax on Residential Property is limited by the provision in the previous sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,148.69 $ 736.45 $ 430,823 2 – Non-Residential Property Acre 9,545.58 0.00 0

$ 430,823

Commencing July 1, 2019, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

Commencing with Fiscal Year 2019-2020 and for each following Fiscal Year, the CFD Administrator shall determine the Special Tax Requirement for Services and shall provide for the levy of the Services Special Tax until the total Services Special Tax levy equals the Special Tax Requirement for Services. The Services Special Tax shall be levied each Fiscal Year as follows:

321
322
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0397 Agenda Date: 7/22/2025
Agenda #: AC. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 86 (Etiwanda Ridge) for Fiscal Year 2025- 2026
RECOMMENDATION:

Adopt Resolution No. 2025-065, Authorizing the Levy of Special Tax in Community Facilities District No. 86 (Etiwanda Ridge) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 86 (Etiwanda Ridge) was established by Resolution No. 2018-034 on June 12, 2018, to finance public facilities and to pay annual landscape and lighting costs for the district. On February 20, 2020, the District issued $5,025,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1776 approved and adopted by the City Council on June 26, 2018.

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (Special Tax A and Special Tax B) for Fiscal Year 2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

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File #: 25-0397 Agenda Date: 7/22/2025
Agenda #: AC. Category: Consent Calendar
The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rate A (bond) will remain the same as prior year and special tax rate B (maintenance) will increase 3% ($19.31) per parcel.

As recommended, the 3% increase for Special Tax B doesn’tfully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A is the same as the prior year while special tax rate B will increase 3%. This will generate approximately $410,587; $342,955 for public facility expenses and $67,632 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 22% increase to the maintenance assessment. The 3% increase will require the utilization of $14,680 or 7% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 86 (ETIWANDA RIDGE) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 86; and

WHEREAS, on June 12, 2018, Community Facilities District No. 86 (Etiwanda Ridge) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18987; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

325
Resolution No. 2025-

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SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

326
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
327
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 115,000$ Bond Service Funds Available 237,908$ Interest Payment 09/2025 83,272 Proposed Special Tax Levy 342,955 Administration Costs (2025) 44,163 Allowance for Delinquencies (10,289) Interest Payment 03/2026 81,547
Principal Payment 09/2026 120,000
Interest Payment 09/2026 81,547
Administration Costs (2026) 45,046
Total Costs 570,575$ Available Funds 570,575$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size (sq ft) Special Tax A Special Tax B Tax Rate 1- 2,900 or Greater 3,706.56$ 663.06$ 4,369.62$
2- 2,700 to less than 2,900 3,582.72 663.06 4,245.78
3- 2,500 to less than 2,700 3,527.04 663.06 4,190.10
4- 2,300 to less than 2,500 3,382.08 663.06 4,045.14
5- 2,100 to less than 2,300 3,287.04 663.06 3,950.10
6- 1,900 to less than 2,100 3,159.36 663.06 3,822.42
7- 1,700 to less than 1,900 2,961.60 663.06 3,624.66
8- Less than 1,700 2,899.20 663.06 3,562.26
9- Non-Residential Property 26,572.80 - 26,572.80
Total Proposed Levy 342,955$ 67,632$ 410,587$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1- 2,900 or Greater -$ 4,350.31$ -$ 4,369.62$ 0%
2- 2,700 to less than 2,900 - 4,226.47 - 4,245.78 0%
3- 2,500 to less than 2,700 137,636 4,170.79 138,273 4,190.10 0% 4- 2,300 to less than 2,500 108,697 4,025.83 109,219 4,045.14 0% 5- 2,100 to less than 2,300 78,616 3,930.79 79,002 3,950.10 0% 6- 1,900 to less than 2,100 83,668 3,803.11 84,093 3,822.42 1% 7- 1,700 to less than 1,900 - 3,605.35 - 3,624.66 1%
8- Less than 1,700 - 3,542.95 - 3,562.26 1%
9- Non-Residential Property - 26,572.80 - 26,572.80 0%
408,618$ 410,587$
Exhibit "A"
City of Fontana
Community Facilities District No. 86
Etiwanda Ridge
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
328
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 86
(Etiwanda Ridge)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 86 (Etiwanda Ridge) (“CFD No. 86”) and collected each fiscal year commencing in Fiscal Year 2019-2020, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 86, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (square feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – 2,900 or Greater Unit $ 3,861.00 $ 3,706.56 $ 0 2 – 2,700 to less than 2,900 Unit 3,732.00 3,582.72 0 3 – 3,251 to less than 2,700 Unit 3,674.00 3,527.04 116,392 4 – 3,051 to less than 2,500 Unit 3,523.00 3,382.08 91,316 5 – 2,851 to less than 2,300 Unit 3,424.00 3,287.04 65,741 6 – 2,651 to less than 2,100 Unit 3,291.00 3,159.36 69,506 7 – 2,451 to less than 1,900 Unit 3,085.00 2,961.60 0 8 – Less than 1,700 Unit 3,020.00 2,899.20 0
9 – Non-Residential Property Acre 27,678.00 26,572.80 0

$ 342,955

329
B-2
Method of Apportionment of Special Tax A

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 86 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 86 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 86 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous 330
B-3
sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,005.10 $ 663.06 $ 67,632 2 – Non-Residential Property Acre 7,983.37 0.00 0

$ 67,632

Commencing July 1, 2019, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

331
332
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0398 Agenda Date: 7/22/2025
Agenda #: AD. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 87 (El Paseo) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-066, Authorizing the Levy of Special Tax in Community Facilities District No. 87 (El Paseo) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 87 (El Paseo) was established by Resolution No. 2019-011 on January 22, 2019, to finance public facilities and to pay annual landscape and lighting costs for the district. The District will issue a maximum (not to exceed) of $6,200,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1790 approved and adopted by the City Council on February 12, 2019.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). The rates for special tax A (bond) are the same as the prior year while the rates for special tax B have increased 2% ($6.28) per parcel.

As recommended, the 2% increase for Special Tax B doesn’tfully fund the maintenance expenses for the District and use of fund balance is required. The City is conducting a citywide comprehensive analysis and review of its community facility districts. Following this, the City will present recommendations to the Council for a long-term funding plan to ensure that services are fully funded, City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0398 Agenda Date: 7/22/2025
Agenda #: AD. Category: Consent Calendar
recommendations to the Council for a long-term funding plan to ensure that services are fully funded, and districts remain sustainable.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rate A is the same as the prior year while special tax rate B will increase 2%. This will generate approximately $599,185; $521,961 for public facility expenses and $77,224 for landscape and lighting maintenance costs. Fully funding expenses without the use of fund balance would require a 21% increase to the maintenance assessment. The 2% increase will require the utilization of $14,680 or 7% of current estimated fund balance.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 87 (EL PASEO) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 87; and

WHEREAS, on January 22, 2019, Community Facilities District No. 87 (El Paseo) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 20082; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

335
Resolution No. 2025-

Page 2 of 3 ends

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

336
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
337
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 115,000$ Bond Service Funds Available 105,143$ Interest Payment 09/2025 100,100 Proposed Special Tax Levy 521,961 Administration Costs (2025) 42,448 Allowance for Delinquencies (15,659) Interest Payment 03/2026 97,800
Principal Payment 09/2026 115,000
Interest Payment 09/2026 97,800
Administration Costs (2026) 43,297
Total Costs 611,446$ Available Funds 611,446$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size (sq ft) Special Tax A Special Tax B Tax Rate 1 – Detached - 2,550 or Greater 2,553.00$ 320.43$ 2,873.43$ 2 – Detached - 2,350 to <2,550 2,499.00 320.43 2,819.43 3 – Detached - 2,150 to <2,350 2,407.00 320.43 2,727.43 4 – Detached - 1,950 to <2,150 2,374.00 320.43 2,694.43 5 – Detached - 1,750 to <1,950 2,316.00 320.43 2,636.43 6 – Detached - Less than 1,750 2,260.00 320.43 2,580.43 7 – Attached - 1,750 or Greater 2,083.00 320.43 2,403.43 8 – Attached - 1,600 to <1,750 2,032.00 320.43 2,352.43 9 – Attached - 1,450 to <1,600 1,968.00 320.43 2,288.43 10 – Attached - Less than 1,450 1,854.00 320.43 2,174.43 11- Non-Residential Property 55,260.00 8,184.17 63,444.17 Total Proposed Levy 521,961$ 77,224$ 599,185$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1 – Detached - 2,550 or Greater -$ 2,867.15$ -$ 2,873.43$ 0% 2 – Detached - 2,350 to <2,550 75,955 2,813.15 76,125 2,819.43 0% 3 – Detached - 2,150 to <2,350 59,865 2,721.15 60,003 2,727.43 0% 4 – Detached - 1,950 to <2,150 129,031 2,688.15 129,333 2,694.43 0% 5 – Detached - 1,750 to <1,950 34,192 2,630.15 34,274 2,636.43 0% 6 – Detached - Less than 1,750 - 2,574.15 - 2,580.43 0% 7 – Attached - 1,750 or Greater - 2,397.15 - 2,403.43 0% 8 – Attached - 1,600 to <1,750 117,308 2,346.15 117,622 2,352.43 0% 9 – Attached - 1,450 to <1,600 114,108 2,282.15 114,422 2,288.43 0% 10 – Attached - Less than 1,450 67,213 2,168.15 67,407 2,174.43 0% 11- Non-Residential Property - 63,283.70 - 63,444.17 0% 597,671$ 599,185
Exhibit "A"
City of Fontana
Community Facilities District No. 87
El Paseo
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
338
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 87
(EL PASEO)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 87 (El Paseo) (“CFD No. 87”) and collected each fiscal year commencing in Fiscal Year 2019-2020, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 87, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (square feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Detached - 2,550 or Greater Unit $ 2,553.00 $ 2,553.00 $ 0 2 – Detached - 2,350 to <2,550 Unit 2,499.00 2,499.00 67,473 3 – Detached - 2,150 to <2,350 Unit 2,407.00 2,407.00 52,954 4 – Detached - 1,950 to <2,150 Unit 2,374.00 2,374.00 113,952 5 – Detached - 1,750 to <1,950 Unit 2,316.00 2,316.00 30,108 6 – Detached - Less than 1,750 Unit 2,260.00 2,260.00 0 7 – Attached - 1,750 or Greater Unit 2,083.00 2,083.00 0 8 – Attached - 1,600 to <1,750 Unit 2,032.00 2,032.00 101,600 9 – Attached - 1,450 to <1,600 Unit 1,968.00 1,968.00 98,400 10 – Attached - Less than 1,450 Unit 1,854.00 1,854.00 57,474 11 – Non-Residential Property Acre 55,260.00 55,260.00 0 Undeveloped Property Acre 65,010.00 65,010.00 0

$ 521,961

339
B-2
Method of Apportionment of Special Tax A

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 87 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 87 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 87 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous 340
B-3
sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 484.25 $ 320.43 $ 77,224 2 – Non-Residential Property Acre 12,365.26 0.00 0

$ 77,224

Commencing July 1, 2019, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

341
342
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0399 Agenda Date: 7/22/2025
Agenda #: AE. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 88 (Sierra Crest II) for Fiscal Year 2025- 2026
RECOMMENDATION:

Adopt Resolution No. 2025-067, Authorizing the Levy of Special Tax in Community Facilities District No. 88 (Sierra Crest II) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 88 (Sierra Crest II) was established by Resolution No. 2019-087 on June 25, 2019, to finance public facilities and to pay annual landscape and lighting costs for the district. On October 29, 2020, the District issued $6,510,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1805 approved and adopted by the City Council on July 9, 2019.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rate A (bond) and special tax rate B (maintenance) will remain the same as the prior year.

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343
File #: 25-0399 Agenda Date: 7/22/2025
Agenda #: AE. Category: Consent Calendar
FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are the same a prior year and will generate approximately $581,710; $468,045 for public facility expenses and $113,665 for landscape and lighting maintenance costs.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 88 (SIERRA CREST II) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 88; and

WHEREAS, on June 25, 2019, Community Facilities District No. 88 (Sierra Crest II) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18944; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

345
Resolution No. 2025-

Page 2 of 3 ends

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

346
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
347
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 140,000$ Bond Service Funds Available 278,342$ Interest Payment 09/2025 122,400 Proposed Special Tax Levy 468,045 Administration Costs (2025) 42,448 Allowance for Delinquencies (14,041) Interest Payment 03/2026 119,600
Principal Payment 09/2026 145,000
Interest Payment 09/2026 119,600
Administration Costs (2026) 43,297
Total Costs 732,346$ Available Funds 732,346$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size (sq ft) Special Tax A Special Tax B Tax Rate 1 – 3,000 or Greater 2,894.00$ 635.00$ 3,529.00$
2 – 2,800 to less than 3,000 2,814.00 635.00 3,449.00
3 – 2,600 to less than 2,800 2,755.00 635.00 3,390.00
4 – 2,400 to less than 2,600 2,657.00 635.00 3,292.00
5 – 2,200 to less than 2,400 2,562.00 635.00 3,197.00
6 – 2,000 to less than 2,200 2,419.00 635.00 3,054.00
7 – Less than 2,000 2,368.00 635.00 3,003.00
8 – Non-Residential Property 26,060.00 6,140.00 32,200.00 Total Proposed Levy 468,045$ 113,665$ 581,710$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1 – 3,000 or Greater -$ 3,529.00$ -$ 3,529.00$ 0%
2 – 2,800 to less than 3,000 117,266 3,449.00 117,266 3,449.00 0% 3 – 2,600 to less than 2,800 111,870 3,390.00 111,870 3,390.00 0% 4 – 2,400 to less than 2,600 82,300 3,292.00 82,300 3,292.00 0% 5 – 2,200 to less than 2,400 102,304 3,197.00 102,304 3,197.00 0% 6 – 2,000 to less than 2,200 167,970 3,054.00 167,970 3,054.00 0% 7 – Less than 2,000 - 3,003.00 - 3,003.00 0%
8 – Non-Residential Property - 32,200.00 - 32,200.00 0% 581,710$ 581,710$
Exhibit "A"
City of Fontana
Community Facilities District No. 88
Sierra Crest II
FY 2024 - 2025 FY 2025 - 2026 Percent Rate
Change
348
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 88
(SIERRA CREST II)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 88 (Sierra Crest II) (“CFD No. 88”) and collected each fiscal year commencing in Fiscal Year 2019-2020, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 88, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (square feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – 3,000 or Greater Unit $ 2,894.00 $ 2,894.00 $ 0 2 – 2,800 to less than 3,000 Unit 2,814.00 2,814.00 95,676 3 – 2,600 to less than 2,800 Unit 2,755.00 2,755.00 90,915 4 – 2,400 to less than 2,600 Unit 2,657.00 2,657.00 66,425 5 – 2,200 to less than 2,400 Unit 2,562.00 2,562.00 81,984 6 – 2,000 to less than 2,200 Unit 2,419.00 2,419.00 133,045 7 – Less than 2,000 Unit 2,368.00 2,368.00 0 8 – Non-Residential Property Acre 26,060.00 26,060.00 0

$ 468,045

349
B-2
Method of Apportionment of Special Tax A

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 88 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 88 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 88 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous 350
B-3
sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 1,002.28 $ 635.00 $ 113,665 2 – Non-Residential Property Acre 9,685.00 0.00 0

$ 113,665

Commencing July 1, 2019, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

351
352
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0400 Agenda Date: 7/22/2025
Agenda #: AF. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 89 (Belrose) for Fiscal Year 2025-2026.

RECOMMENDATION:

Adopt Resolution No. 2025-068, Authorizing the Levy of Special Tax in Community Facilities District No. 89 (Belrose) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 89 (Belrose) was established by Resolution No. 2019-004 on January 8, 2019, to finance public facilities and to pay annual landscape and lighting costs for the district. On November 19, 2020, the District issued $5,725,000 of Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1787 approved and adopted by the City Council on January 22, 2019.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as prior year.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are the same as the prior year and will City of Fontana Printed on 7/15/2025Page 1 of 2
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353
File #: 25-0400 Agenda Date: 7/22/2025
Agenda #: AF. Category: Consent Calendar
The proposed Fiscal Year 2025-2026 special tax rates are the same as the prior year and will generate approximately $467,393: $406,493 for public facility expenses and $60,900 for landscape and lighting maintenance costs.

MOTION:

Approve staff recommendation.

City of Fontana Printed on 7/15/2025Page 2 of 2
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RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 89 (BELROSE) FOR FISCAL YEAR 2025-2026.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and 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”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 89; and

WHEREAS, on January 8, 2019, Community Facilities District No. 89 (Belrose) Special Tax Bonds, were approved for the acquisition of the improvements in Tract 18981; and

WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council desires to establish the specific rate of the special tax to be collected for Fiscal Year 2025-2026.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2025-2026 for the referenced District is hereby determined and established as set forth in Exhibit “A” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “A” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

355
Resolution No. 2025-

Page 2 of 3 ends

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:

(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;

(b) Necessary replenishment of bond reserve funds or other reserve funds;

(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2025-2026 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “A” or as adjusted pursuant to the provisions of Section 2 above.

356
Resolution No. 2025-

Page 3 of 3 ends

APPROVED AND ADOPTED this 22nd day of July, 2025.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana

Mayor of the City of Fontana

ATTEST:

City Clerk
357
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2025-2026
Principal Payment 09/2025 120,000$ Bond Service Funds Available 245,362$ Interest Payment 09/2025 104,000 Proposed Special Tax Levy 406,493 Administration Costs (2025) 43,297 Allowance for Delinquencies (12,195) Interest Payment 03/2026 101,600
Principal Payment 09/2026 125,000
Interest Payment 09/2026 101,600
Administration Costs (2026) 44,163
Total Costs 639,661$ Available Funds 639,661$
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2025-2026
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size (sq ft) Special Tax A Special Tax B Tax Rate 1 – 3,100 or Greater 4,185.00$ 580.00$ 4,765.00$
2 – 2,900 to less than 3,100 4,021.00 580.00 4,601.00
3 – 2,700 to less than 2,900 3,957.00 580.00 4,537.00
4 – 2,500 to less than 2,700 3,778.00 580.00 4,358.00
5 – 2,300 to less than 2,500 3,726.00 580.00 4,306.00
6 – 2,100 to less than 2,300 3,534.00 580.00 4,114.00
7 – 1,900 to less than 2,100 3,452.00 580.00 4,032.00
8 – Less than 1,900 3,296.00 580.00 3,876.00
9 – Non-Residential Property 22,904.00 3,470.00 26,374.00 Total Proposed Levy 406,493$ 60,900$ 467,393$
Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification Percent
(Land Use) Special Tax Rate Special Tax Rate Change
1- 3,100 or Greater 142,950$ 4,765.00$ 142,950$ 4,765.00$ 0% 2- 2,900 to less than 3,100 - 4,601.00 - 4,601.00 0%
3- 2,700 to less than 2,900 131,573 4,537.00 131,573 4,537.00 0% 4- 2,500 to less than 2,700 - 4,358.00 - 4,358.00 0%
5- 2,300 to less than 2,500 116,262 4,306.00 116,262 4,306.00 0% 6- 2,100 to less than 2,300 - 4,114.00 - 4,114.00 0%
7- 1,900 to less than 2,100 76,608 4,032.00 76,608 4,032.00 0% 8- Less than 1,900 - 3,876.00 - 3,876.00 0%
9- Non-Residential Property - 26,374.00 - 26,374.00 0%
467,393$ 467,393$
Exhibit "A"
City of Fontana
Community Facilities District No. 89
Belrose Tr. 18981
FY 2024 - 2025 FY 2025 - 2026
358
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 89
(BELROSE)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division)

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 89 (Belrose) (“CFD No. 89”) and collected each fiscal year commencing in Fiscal Year 2019-2020, in an amount determined by the City Council of the City of Fontana (the “Council”) through the application of the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 89, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2025-2026 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Assigned Actual Tax
Special Tax Tax Rate Amount
Land Use Class (square feet) Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – 3,100 or Greater Unit $ 4,185.00 $ 4,185.00 $ 125,550 2 – 2,900 to less than 3,100 Unit 4,021.00 4,021.00 0 3 – 2,700 to less than 2,900 Unit 3,957.00 3,957.00 114,753 4 – 2,500 to less than 2,700 Unit 3,778.00 3,778.00 0 5 – 2,300 to less than 2,500 Unit 3,726.00 3,726.00 100,602 6 – 2,100 to less than 2,300 Unit 3,534.00 3,534.00 0 7 – 1,900 to less than 2,100 Unit 3,452.00 3,452.00 65,588 8 – Less than 1,900 Unit 3,296.00 3,296.00 0
9 – Non-Residential Property Acre 22,904.00 22,904.00 0

$ 406,493

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Method of Apportionment of Special Tax A

First: The Facilities Special Tax shall be levied on each Assessor’s Parcel of Developed Property in an amount equal to 100% of the applicable Assigned Facilities Special Tax;

Notwithstanding the above the CFD Administrator shall, in any Fiscal Year, calculate a levy Proportionately less than 100% of the Assigned Facilities Special Tax in step one (above), when (i) the CFD Administrator is no longer required to provide for the levy of the Facilities Special Tax pursuant to steps two through four above in order to meet the Special Tax Requirement for Facilities; and (ii) all authorized CFD No. 89 Bonds have already been issued or the Council has covenanted that it shall not issue any additional CFD No. 89 Bonds (except refunding bonds) to be supported by the Facilities Special Tax.

Further notwithstanding the above, under no circumstances shall the Facilities Special Tax levied against any Assessor’s Parcel of Residential Property for which a Certificate of Occupancy has been issued for private residential use be increased as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 89 by more than ten percent above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. To the extent that the levy of the Facilities Special Tax on Residential Property is limited by the provision in the previous 360
B-3
sentence, the levy of the Facilities Special Tax on each Assessor’s Parcel of Non-Residential Property shall continue in equal percentages up to 100% of the applicable Maximum Facilities Special Tax.

II. SERVICES SPECIAL TAXES FOR MAINTENANCE OF PARK,

PARKWAYS, AND OPEN SPACE

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Land Use Class Unit FY 2025-2026 FY 2025-2026 FY 2025-2026

1 – Final Residential Subdivision Unit $ 917.82 $ 580.00 $ 60,900 2 – Non-Residential Property Acre 5,461.89 0.00 0

$ 60,900

Commencing July 1, 2019, and each July 1 thereafter, the Maximum Special Tax rates for Special Tax B for Residential Property, and Non-Residential Property shall be increased by two percent (2%).

Method of Apportionment of Special Tax B

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362
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0401 Agenda Date: 7/22/2025
Agenda #: AG. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 90 (Summit at Rosena Phase One) for Fiscal Year 2025-2026
RECOMMENDATION:

Adopt Resolution No. 2025-069, Authorizing the Levy of Special Tax in Community Facilities District No. 90 (Summit @ Rosena Phase 1) for Fiscal Year 2025-2026.

COUNCIL GOALS:
· Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No 90 (Summit @ Rosena Phase 1) was established by Resolution No. 2019-051 on April 23, 2019, to finance public facilities and to pay annual landscape and lighting costs for the district. The District will issue a maximum (not to exceed) of $20,000,000 in Special Tax Bonds to finance the acquisition of certain major capital facilities (infrastructure) to serve properties within the District.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the cost of providing public facilities, services, and incidental expenses. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1803 approved and adopted by the City Council on May 14, 2019.

The proposed Fiscal Year 2025-2026 special tax rates (Special Tax A and Special Tax B) are shown in Exhibit A, Schedule 2.

A comparison of the total special tax levy and rates (Special Tax A and Special Tax B) for Fiscal Year City of Fontana Printed on 7/15/2025Page 1 of 2
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File #: 25-0401 Agenda Date: 7/22/2025
Agenda #: AG. Category: Consent Calendar
2024-2025 and Fiscal Year 2025-2026 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2025-2026 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as the prior year.

FISCAL IMPACT:

The proposed Fiscal Year 2025-2026 special tax rates are the same as the prior year and will generate approximately $1,829,549; $1,466,948 for public facility expenses and $362,601 for landscape and lighting maintenance costs.

MOTION:

Approve staff recommendation.

City of Fontana Printed on 7/15/2025Page 2 of 2
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Fontana City CouncilJuly 22, 2025

Fontana City Council
July 22, 2025