Community Facilities District Committee
AGENDA
Tuesday December 12, 2023
2:00 PM
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. PUBLIC COMMENT:
At this time anyone can comment on items not listed on the agenda. Each person is limited to 4 minutes.
4. MINUTES OF NOVEMBER 9, 2023
Recommendation: By motion approve the Minutes of November 9, 2023.
5. SUMMARY OF CFD REVENUES AND EXPENSES
Recommendation: For information only.
6. RECOMMENDATION TO THE CITY COUNCIL REGARDING CFD TAXES FOR POLICE AND FIRE SERVICES.
Recommendation options for consideration:
A. Resolution presented by former CFD committee member Kip Garvey. This Resolution reduces the amount currently being paid to be on par with other parcels in Castle Oaks and Wildflower. (Also included as an attachment are Mr. Garvey’s questions to Chief Mackey regarding fire services.)
B. Maintain current levels while continuing to limit the inflationary adjustment factor. (status quo)
C. Restore inflationary adjustment factor.
7. MEMBER REPORTS
8. ADJOURNMENT
Table 3. Summary of 202302024 Operating Budget by Department and Fund. 1111 - GF Reserves
Operating
1222 GF
1333 GF Capital
Reserves 4111-Pool 4311 - Arena 2111 - Gas Tax 3111 - WWTP 3131 - Tertiary 8221 - CFD
LL&D
9670 - CFD
Restricted PD
9675 - CFD
Restricted Fire 9613 - Measure M
2023
Projected Balance July 1
$ 1,966,124 $ - $ 808,963 $ 1,507,550 $ (936,687) $ 118,135 $ 703,475 $ 763,713 $ 797,818 Projected Revenue $ 3,745,388 $ 187,269 $ 262,177 $ 397,133 $ 946,000 $ 195,000 $ 85,000 $ 230,000 $ 124,134 $ 699,217 Reserves (5%)
Move to Operating
187,269 $ TBD TBD TBD
(7%)
Move to Capital Reserves
262,177 $ TBD TBD TBD
Code
Dept
TOTAL
DEPARTMENTAL
BUDGET 1111 - GF Reserves
Operating
1222 GF
1333 GF Capital
Reserves 4111-Pool 4311 - Arena 2111 - Gas Tax 3111 - WWTP 3131 - Tertiary 8221 - CFD
LL&D
9670 - CFD
Restricted PD
9675 - CFD
Restricted Fire 9613 - Measure M
60 Employee Services
City Council
14,483 $ 14,483 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 28,000 $ 28,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
42,483 $ 42,483 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
62 Employee Services
City Clerk
26,400 $ 26,400 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 383 $ 383 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
26,783 $ 26,783 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
64 Employee Services
City Treasurer
2,897 $ 2,897 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
2,897 $ 2,897 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
65 Employee Services
Admin
695,033 $ 571,114 $ - $ - $ 17,313 $ 95,301 $ - $ - $ 6,484 $ 4,821 $ - $ Operating 406,036 $ 160,850 $ - $ 14,357 $ 15,585 $ 199,159 $ - $ - $ 8,043 $ 8,043 $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
1,101,069 $ 731,964 $ - $ 14,357 $ 32,898 $ 294,460 $ - $ - $ 14,526 $ 12,863 $ - $ 68 Employee Services
Legal
- $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 95,000 $ 50,000 $ - $ - $ - $ 45,000 $ - $ - $ - $ - $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
95,000 $ 50,000 $ - $ - $ - $ 45,000 $ - $ - $ - $ - $ - $ 70 Employee Services
Police
1,224,573 $ 1,055,668 $ - $ - $ - $ - $ - $ - $ 168,905 $ - $ - $ Operating 302,141 $ 166,178 $ - $ - $ - $ - $ - $ - $ 135,963 $ - $ - $ Capital 7,500 $ 5,000 $ - $ - $ - $ - $ - $ - $ 2,500 $ - $ - $ 1,534,214 $ 1,226,846 $ - $ - $ - $ - $ - $ - $ 307,368 $ - $ - $ 75 Employee Services
Fire
669,631 $ 31,090 $ - $ - $ - $ - $ - $ - $ - $ 204,821 $ 433,719 $ Operating 171,830 $ 103,098 $ - $ - $ - $ - $ - $ - $ - $ 34,366 $ 34,366 $ Capital 66,000 $ 39,600 $ - $ - $ - $ - $ - $ - $ - $ 13,200 $ 13,200 $ 907,461 $ 173,788 $ - $ - $ - $ - $ - $ - $ - $ 252,387 $ 481,285 $ New Policy
Table 3. Summary of 202302024 Operating Budget by Department and Fund. 1111 - GF Reserves
Operating
1222 GF
1333 GF Capital
Reserves 4111-Pool 4311 - Arena 2111 - Gas Tax 3111 - WWTP 3131 - Tertiary 8221 - CFD
LL&D
9670 - CFD
Restricted PD
9675 - CFD
Restricted Fire 9613 - Measure M
80 Employee Services
Planning
241 $ 241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 57,500 $ 57,500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
57,741 $ 57,741 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
85 Employee Services
Building
236,419 $ 226,866 $ - $ - $ - $ 9,553 $ - $ - $ - $ - $ - $ Operating 27,000 $ 27,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Capital - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
263,419 $ 253,866 $ - $ - $ - $ 9,553 $ - $ - $ - $ - $ - $ 90 Employee Services
Engineering
- $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 160,000 $ 90,000 $ - $ - $ 25,000 $ 30,000 $ 15,000 $ - $ - $ - $ - $ Capital 204,800 $ - $ - $ - $ - $ - $ 204,800 $ - $ - $ - $ - $ 364,800 $ 90,000 $ - $ - $ 25,000 $ 30,000 $ 219,800 $ - $ - $ - $ - $ 92 Employee Services
PW
446,179 $ 323,354 $ 21,144 $ 6,577 $ 75,325 $ 19,779 $ - $ - $ - $ - $ - $ Operating 963,850 $ 199,650 $ 21,000 $ 4,700 $ 27,650 $ 393,250 $ 267,600 $ 50,000 $ - $ - $ - $ Capital 531,306 $ 21,500 $ - $ 26,277 $ 20,500 $ 463,029 $ - $ - $ - $ - $ - $ 1,941,335 $ 544,504 $ 42,144 $ 37,554 $ 123,475 $ 876,058 $ 267,600 $ 50,000 $ - $ - $ - $ 94 Employee Services
Citywide Services
60,000 $ 60,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $
Operating 403,445 $ 337,324 $ - $ - $ - $ 66,121 $ - $ - $ - $ - $ - $ Capital 2,500 $ 2,500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 465,945 $ 399,824 $ - $ - $ - $ 66,121 $ - $ - $ - $ - $ - $ Employee Services 2,312,114 $ 21,144 $ 6,577 $ 92,639 $ 124,634 $ - $ - $ 175,388 $ 209,642 $ 433,719 $ Operating 1,219,982 $ 21,000 $ 19,057 $ 68,235 $ 733,530 $ 282,600 $ 50,000 $ 144,006 $ 42,409 $ 34,366 $ Capital 68,600 $ - $ 26,277 $ 20,500 $ 463,029 $ 204,800 $ - $ 2,500 $ 13,200 $ 13,200 $ TOTAL EXPENSES 3,600,696 $ 42,144 $ 51,911 $ 181,374 $ 1,321,192 $ 487,400 $ 50,000 $ 321,894 $ 265,250 $ 481,285 $ reserves
Balance without moving to
Projected June 30, 2024
2,110,816 $ 187,269 $ 262,177 $ 1,024,722 $ 1,132,358 $ (1,229,087) $ 153,135 $ 611,581 $ 622,597 $ 1,015,750 $ for operating reserves
Projected Balance after 5%
1,923,546 $
for capital reserves
Projected Balance after 7%
1,661,369 $
Rev over Exp 144,692 $ 215,759 $ (375,192) $ (292,400) $ 35,000 $ (91,894) $ (141,116) $ 217,932 $ Less Pool 102,548 $
Less Arena 50,637 $
Police Dept Budget
Revenues 2019-20 2020-21 21-22 22-23 23-24 Estimated Fund Balance June 2024 General Fund 1111-46-4658 1,075,043 $ 1,062,577 $ 1,153,880 $ 1,133,170 $ 1,301,728 $ CFD 9670-40-4655 183,276 $ 211,623 $ 235,526 $ 288,001 $ 230,000 $ 611,581 $ 1,258,319 $ 1,274,200 $ 1,389,406 $ 1,421,171 $ 1,531,728 $ Budget
Expenditures 2019-20 2020-21 21-22 22-23 23-24
Salary 1,056,440 $ 1,018,928 $ 1,084,482 $ 1,214,117 $ 1,224,587 $ Operations 180,433 $ 204,599 $ 237,936 $ 207,054 $ 302,141 $ Capital 21,446 $ 50,673 $ 66,988 $ - $ 5,000 $
Totals 1,258,319 $ 1,274,200 $ 1,389,406 $ 1,421,171 $ 1,531,728 $ Fire Dept Budget
Revenues 2019-20 2020-21 21-22 22-23 23-24
General Fund 1111-46-4671 3,376 $ 99,389 $ 61,065 $ 99,389 $ 100,000 $ Measure M 9613-41-4135 393,166 $ 460,713 $ 607,298 $ 550,190 $ 600,000 $ CFD 9675-40-4665 91,501 $ 106,155 $ 116,734 $ 143,784 $ 116,734 $ 622,597 $ 488,043 $ 666,257 $ 785,097 $ 793,363 $ 816,734 $
Budget
Expenditures 2019-20 2020-21 21-22 22-23 23-24
Salary 399,584 $ 464,536 $ 550,459 $ 531,689 $ 663,400 $ Operations 65,423 $ 79,096 $ 77,291 $ 115,859 $ 171,830 $ Capital - $ - $ 48,410 $ 23,724 $ 66,000 $
Totals 465,007 $ 543,632 $ 676,160 $ 671,271 $ 901,230 $
PUBLIC SAFETY BUDGETS
Actuals
Actuals
Actuals
Actuals
A resolution for presentation and action at the November 2, 2023 Special Districts Committee Meeting.
Whereas on or about September 2020, several City residents petitioned the City Council in a “Request for Reconsideration and Remedies for Relief from Special Tax B in Castle Oaks Improvement Area No. 3” to relieve a perceived imbalance regarding a Special Services tax burden.
Whereas the City Council responded by creating by ordinance No. 527, October 5, 2020 an advisory standing committee, later named the Special Districts Committee, to investigate this and other matters concerning all Community Facilities Districts in the City.
Whereas the work of the Special Districts Committee includes:
1. Determining the number, name, and nature of the City's Community Facilities Districts (CFDs).
2. Determining which of these include a Special Services levy paid by residential unit owners, the funds of which are restricted and allocated to Police services, Fire/Rescue services, and Maintenance services.
3. Review associated RMA (Rate and Method of Apportionment) documents associated with each respective CFD.
4. Compile information regarding specific Special Services levies imposed on each CFD for comparison purposes and examine the equitable nature of the levy.
5. Investigate the language of the various CFD formation documents to understand the origination of the levy, any restrictions to the use of the funds, and the characteristics of the Special Services levy, also referred to as Special Tax B in the formation documents.
6. Interview David Tausig Associates, the administrator of the various City CFDs' to better understand how and when the Special Services levy was developed and implemented in the various CFDs and understand the chronology of changes to the Castle Oaks CFDs that impacted the Special Services levy.
7. Interview the City Police Chief regarding current and future Police service needs.
8. Interview the City Fire/Rescue Chief regarding the various CFDs' current and future Fire/Rescue needs.
9. Working with and through the City Manager and the City Finance Manager to acquire and analyze the various City accounting records relative to the scope of this investigation.
10. Study what impact various changes to the Special Sevices tax structure may have on the ability of the City to meet current and future costs associated with Police and Fire/Rescue services, with a specific goal of assuring that any anticipated changes will not negatively impact the Police and Fire Departments from providing these needed services to the community.
11. Understand whether or not the City has authority under the various CFD formation documents to allocate and/or reallocate the restricted funds among the three services departments as needed from time to time.
Whereas the Special Districts Committee concludes that:
1. Referencing the last sentence of the last paragraph on page 20 of the “Amended and Restated Rate and Apportionment for Improvement Area No. 3 of Community Facilities District No. 2005-2 of the City of Ione (Edgebrook and Castle Oaks Phase II)”, the City Council has authority to modify or terminate Special Tax B (the Special Services Levy) at their sole discretion.
2. Recommended changes herein apply to CFD 2005-2, Improvement Area No. 3.
3. Individual residential units throughout all CFDs in the City share the same Police and Fire/Rescue services provided by the City.
4. There is a readily discernable imbalance in the dollar amount of Special Services levy charged to those certain units in CDF 2005-2 Improvement Area No. 3 compared to the other CFDs in the City that are also charged a Special Services levy. See Exhibit A.
5. Establishing parity among the various CFDs regarding the amounts paid for the Special Services levy is a desirable goal.
6. Fairness and parity in the amounts paid for the Special Services becomes more significant should the City’s Fire/Rescue services be incorporated into the Amador County Fire District, which may leave City residents within the CFDs paying into County resources rather than City resources, the resulting loss of control by the City in the use of these funds, and challengable legal grounds should the City Council unilaterally alter terms specific to the Special Services levy.
7. The anticipated fiscal year June 2024 combined restricted fund balances may exceed $1.28 million, the Special Services levies appear larger than necessary to fulfill the intended needs of providing for the ‘additional’ Police and Fire/Rescue services as outlined and specified in the CFD 2005-2 formation RMA document (definition of Authorized Police and Fire Protection Services, page 2.)
8. Reducing and reestablishing the base amount of the Special Services levy in Castle Oaks CFD 2005 Improvement Area No. 3 (currently $857.20 annually) to that of Castle Oaks CFD 2005-2 Improvement Area No. 1 (currently $447.00 annually) brings the amount of this levy into balance across all Improvement Areas in CFD 2005-2 as wells as the Wildflower CFD 2006-1, which currently pays $436 as a Special Services levy (within $11.) See Exhibit B.
9. Applying this recommended change results in the generation of adequate funds to fulfill the required contractual need of mitigating ‘additional’ costs of Police, Fire/Rescue, and Maintenance costs that result from the expansion of residential units included in the various CFDs Citywide. See Exhibit C.
Therefore, be it resolved to bring a much-needed degree of fairness and equity to the sharing of additional costs associated with Police and Fire services in the City, beginning in the fiscal year 2024-2025, the base amounts for Special Services Tax B be reset as follows:
All those residential units contained in Castle Oaks CFD 2005-2 Improvement Area No. 2 and CFD 2005-2 Improvement Area No. 3, and any units yet to be completed within these areas, pay an amended base Special Services Tax B of $447, or for future units an amount as calculated from this base amount of $447 per residential unit beginning in the fiscal year 2024-2025 (but not for undeveloped acreage within these Improvement Areas as stated in the RMA for these CFDs) subject to the existing annual incremental increases as outlined in the respective ‘RATE AND METHOD OF APPORTIONMENT’ document as relates to their individual CFD formation documents.
Furthermore, be it resolved that the current rate and methods for developing any similar Special Services levy in the Wildflower CFD 2006-1 be set at a base amount of $436 and that any contractual annual increments be generated from this base amount.
CITY OF IONE
FIRE DEPARTMENT
Special District Committee
Questions Request from Kip Garvey
1) 4 Full time paid personnel
1 Fire Chief Stipend
1 Fire Marshal Stipend
8 Volunteer Fire Officers Stipend
25 Volunteer Fire Fighters / Engineers Stipend
Total fire suppression personnel: 39
2) Our paid program started in 2011 and is paid for under the County wide Measure M based on call volume and population- and is a fragile revenue source due to sales tax and several key businesses.
3) Salary & Benefits =
Hiring process 3,000
Uniforms 1,500 continuous replacement
Safety Fire gear 3,500 2nd set by second year -on standby during cleaning or repairs wild land safety 900 2nd set by second year
4)
Hiring process 3,000
Uniforms 1,500 continuous replacement
Safety Fire gear 3,500 2nd set by second year -on standby during cleaning or repairs wild land safety 900 2nd set by second year
Volunteer Personnel:
Application process: 1,000
Safety Fire Gear 3000
wild land 900
Basic Training 60 hrs mandatory
1 year probationary status
Drivers training starts after 30 days
Pump and aerial operations starts at 6 months
5) Yes, it is the nationally recognized standard that if a community can support it, that 1 paid fire fighter be hired for every 1,000 residence as a minimum standard, which also recognizes that 5 volunteers equal 1 full time fire fighter . ** prior to this request it was in our budget for an additional fire fighter in this years budget for a total of 5 full time.
Status Quo Status Quo with Buildout
Current Current Current At Buildout
Units Taxed tax rate
2023-2024 Revenue
Estimate Buildout tax rate Difference Current Amt
There are 570 taxable units at buildout
Reduce CFD 2005-2 Area 3 to $447.00
332 857.00 $ 284,524 $ 238 857 203,966 $ 488,490.00 $
Total of CFD 2005-2 Area 2 at buildout 154 units 154 447.00 $ 68,838 $ 0 447 - $ 68,838.00 $ Total of CFD 2005-2 Area 1 at buildout 151 units 151 447.00 $ 67,497 $ 0 447 - $ 67,497.00 $ Total of CFD 2006-1 at buildout 276 units 204 436.00 $ 88,944 $ 72 436 31,392 $ 120,336.00 $ 841 509,803 $ 310 235,358 $ 745,161.00 $
Resolution presented by former member Kip Garvey Resolution presented by former member Kip Garvey Units Taxed tax rate
2023-2024 Revenue
Estimate Buildout
Proposed Tax
Rate Proposed Difference Annual
There are 570 taxable units at buildout
Reduce CFD 2005-2 Area 3 to $447.00
332 447.00 $ 148,404 $ 238 447.00 $ 106,386.00 $ 254,790.00 $ Total of CFD 2005-2 Area 2 at buildout 154 units 154 447.00 $ 68,838 $ 0 447.00 $ - $ 68,838.00 $ Total of CFD 2005-2 Area 1 at buildout 151 units 151 447.00 $ 67,497 $ 0 447.00 $ - $ 67,497.00 $ Total of CFD 2006-1 at buildout 276 units 204 436.00 $ 88,944 $ 72 436.00 $ 31,392.00 $ 120,336.00 $ 841 373,683 $ 310 137,778.00 $ 511,461.00 $
Proposed and status Quo
Difference between
(136,120) $ Quo
Proposed and status
Difference between
(233,700.00) $
Castle Oaks
Breakdown of Special Tax to Services
Castle Oaks Wildflower
857 $ 447 $ 436 $
Police 488.49 $ 254.79 292.12 $
Fire 239.96 $ 125.16 143.88 $
Maintenance 137.12 $ 71.52 $ - $