ITEM 5. 1
CITY MANAGER' S REPORT
DUNE 12, 2023 REGULAR CITY COUNCIL MEETING
ITEM: PUBLIC HEARING ( PUBLISHED NOTICE) TO
FORM COMMUNITY FACILITIES DISTRICT
2023- 1 ( RIVER ISLANDS PUBLIC SERVICES
AND FACILITIES # 2)
RECOMMENDATION: Council to Consider the Following:
1. Hold a Public Hearing; and
2. Adopt a Resolution of Formation of
the Community Facilities District
2023- 1 ( River Islands Public Services
and Facilities # 2); and
3. Adopt a Resolution Calling Special
Election for the Community Facilities
District No. 2023- 1 ( River Islands
Public Services and Facilities # 2); and
4. Adopt a Resolution Declaring Results
of Special Election and Direct
Recording of Notice of Special Tax
Lien for the Community Facilities
District No. 2023- 1 ( River Islands
Public Services and Facilities # 2); and
S. Introduce Ordinance Levying Special
Taxes Within Community Facilities
District No. 2013- 1 ( River Islands
Public Services and Facilities # 2).
SUMMARY:
As part of their development agreement requirements, master developers are required to submit to the City a fiscal impact analysis. The purpose of a fiscal impact analysis is to estimate the overall financial impacts a development will have on the City. This analysis enables the City to estimate the difference between the costs of providing services to a new development and the revenue the new development will generate.
CITY MANAGER' S REPORT PAGE 2
JUNE 12, 2023 REGULAR CITY COUNCIL MEETING
COMMUNITY FACILITIES DISTRICT NO. 2023- 1 FORMATION
In 2013, River Islands completed a fiscal impact analysis for their project. The fiscal impact analysis projected that the River Islands ( Developer) development would produce a shortfall to the City' s General Fund. In order for the City to ensure that development continued to pay its own way, Community Facilities District ( CFD) No. 2013- 1 ( River Islands Public Services and Facilities) was formed to cover the shortfalls. Since that time, River Islands and the City have reviewed project revenues and expenses annually to ensure the project continues to perform as projected.
In January 2023, the City and San Joaquin County ( SJC) amended their property tax sharing agreement for the West Lathrop Specific Plan ( WLSP), which includes the River Islands Development. The amended agreement will revise the property tax formula for new development within the River Islands tax area from a 90%- County/ 10%- City tax split to a 60%- County/ 40%- City tax split. While this agreement has no immediate effect on property tax revenue received, it may generate more property tax revenue than previously anticipated in the future development area.
As a result of the change in the property tax revenue, a new CFD will need to be created for all future development in River Islands to allow the City flexibility to adjust the assessment if or when the shortfall is reduced. The new CFD will apply to future development and will not impact current residents. Currently, the future development area is owned by the developer.
Staff recommends Council authorize the attached three Resolutions and Ordinance to complete the CFD formation process and to legally authorize the future levy of a special tax to finance the costs of certain public facilities and services of benefit to the properties within the CFD.
BACKGROUND:
City Staff, the Financing Team and the Developer have had several discussions to help formulate the proposed District and the special tax to be levied, which has been approved by the developer and will be calculated and levied as set forth in the Rate and Method of Apportionment of Special Tax ( attached to the Resolution of Formation Attachment A)).
The District will initially include three ( 3) parcels and is setup with the contemplation that additional land areas ( the " Future Annexation Area") will be annexed into the District in the future upon the consent of the then owner/ developer as the area develops.
The District will have a single tax rate formula, for the levy of the " Special Tax", for the purpose of funding services, and will convert to the purpose of funding facilities in the future.
CITY MANAGER' S REPORT PAGE 3
JUNE 12, 2023 REGULAR CITY COUNCIL MEETING
COMMUNITY FACILITIES DISTRICT NO. 2023- 1 FORMATION
The description of the services authorized to be paid for by the Special Tax, as well as the facilities/ public improvements are described in the " List of Services and Facilities" Exhibit A of Attachment A). The services shall include:
Services
Police Protection Services
Maintenance of open space; including irrigation and vegetation control Maintenance of roads and roadways; including street sweeping, street repair, street striping and repair and repainting of sound walls Storm protection; including operation and maintenance of storm drainage system
Landscaping of public areas; including irrigation, tree trimming and vegetation maintenance and control
Facilities
Roadway and related
Bradshaw' s Crossing
Water Infrastructure
Sewer Infrastructure
improvements
Bridge improvements
Public Landscaping and Recreational Features
The City Council has four documents for consideration:
1. The Resolution of Formation of the District;
2. The Resolution Calling Special Landowner Election;
3. The Resolution Declaring Results of Special Landowner Election;
4. The Ordinance to levy Special Taxes.
The Resolution of Formation ( Attachment A) - This officially forms the CFD, authorizes the Special Tax to be collected and establishes an appropriations limit for the CFD ( under Article XIIIB of the Constitution). The exhibits to this resolution show the Services to be financed and the formula by which the Special Tax will be levied in the CFD. This includes the List of Services and Facilities ( Exhibit A of Attachment A) listing the services and projects that are authorized to be funded from special tax revenues generated within the District and the Rate & Method of the Special Tax Exhibit B of Attachment A) providing for the security for the funding of the District and showing how the revenues from the District are to be collected and also sets forth the purpose and level of the taxes from the various different types of properties.
CITY MANAGER' S REPORT PAGE 4
TUNE 12, 2023 REGULAR CITY COUNCIL MEETING
COMMUNITY FACILITIES DISTRICT NO. 2023- 1 FORMATION
The Resolution Calling Special Landowner Election ( Attachment B) - This sets the election for the same Council meeting and provides the form of the special ballot to be used by the landowner -voter. The election may be held at the same meeting because the property owner -voters have all asked for it. Ballots have been previously mailed and are to be returned directly the City Clerk by the meeting time.
The Resolution Declaring Results of Special Landowner Election ( Attachment C) - This is for adoption by the Council after the vote is announced by the City Clerk.
It confirms the outcome of the property owner election for the CFD. Attached to it is a copy of the official Canvass and Statement of Result of Election to be completed by the Clerk after the vote is announced. This resolution also directs the filing of the Notice of Special Tax Lien against the lands in the CFD to allow collection of the special tax on each property.
Ordinance Levying Special Taxes ( Attachment D) - Under the law, the Council must levy the special taxes by an ordinance. Under this ordinance, the levy is made once by the introduction and adoption of this ordinance, and, in each year hereafter, the process of determining the special taxes and processing the collection is done by the City' s financial official ( or a consultant) and no further Council action is needed.
Today' s resolution sets the public hearing date at which time the City Council will hear a presentation on the proposed District. At the same time the election of the property owners is expected to be completed. The election results will unanimously favor the District formation, as the Developer, as the only property owner within the District boundaries, will be voting. It is expected that the Developer will waive a number of noticing and election procedures that make it possible for the proposed district to be formed in a relatively short period of time.
In the future, additional properties are authorized to be added to the CFD upon consent of the landowners of parcels to be added, and will be similarly taxed.
If the above actions are completed, the City will be authorized to record with the County Recorder a Notice of Special Tax Lien pertaining to each of the parcels in the CFD subject to a special tax.
REASON FOR RECOMMENDATION:
Staff has worked with River Islands to complete a fiscal impact analysis for their project. The fiscal impact analysis has determined that the River Islands development will produce a shortfall to the City' s General Fund. In order for the City to ensure that development continues to pay its own way, a Community Facilities District ( CFD) needs to be formed to cover the shortfalls. River Islands and the City has committed to an annual review of project revenues and expenses to ensure the project continues to cover its fiscal expenses.
CITY MANAGER' S REPORT PAGE 5
JUNE 12, 2023 REGULAR CITY COUNCIL MEETING
COMMUNITY FACILITIES DISTRICT NO. 2023- 1 FORMATION
FISCAL IMPACT:
City Staff time and all formation costs have been funded by River Islands.
The proposed CFD will fund General Fund shortfalls anticipated by the development ATTACHMENTS:
A. Resolution of Formation of Community Facilities District Exhibits to Attachment A:
A. Description of Authorized Services and Facilities
B. Rate and Method of Apportionment of Special Tax
B. Resolution Calling Special Landowner Election
C. Resolution Declaring Results of Special Landowner Election D. Ordinance Levying Special Taxes Within the Community Facilities District
CITY MANAGER' S REPORT
3UNE 12, 2023 REGULAR CITY COUNCIL MEETING
COMMUNITY FACILITIES DISTRICT NO. 2023- 1 FORMATION
APPROVALS:
Cari lam
Director UFinance
Brad Taylor
City Engineer
Salvador Navarrete
City Attorney
Stephe rT Salvatore
City Manager
Date
PAGE 6
5/ I 5 / u 7 3
Date
2. 0 t- 3
Date
1- 23
Date
RESOLUTION NO. 23-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP OF
FORMATION OF COMMUNITY FACILITIES DISTRICT
CITY OF LATHROP
Community Facilities District No. 2023- 1
River Islands Public Services and Facilities # 2)
WHEREAS, on April 10, 2023, this City Council adopted a resolution entitled Resolution of Intention to Establish Community Facilities District" ( the " Resolution of Intention"), stating its intention to form " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2)" ( the " CFD"), of the City and a CFD Future Annexation Area ( the " Future Annexation Area"), pursuant to the Mello -Roos Community Facilities Act of 1982, as amended, Chapter 2. 5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code ( the " Act"); and
WHEREAS, the Resolution of Intention, incorporating a map of the proposed boundaries of the CFD and the Future Annexation Area and stating the services and facilities to be provided ( as set forth in the list attached hereto as Exhibit A), the cost of providing such services and facilities, and the rate and method of apportionment of the special tax to be levied within the CFD, is on file with the City Clerk and the provisions thereof are incorporated herein by this reference as if fully set forth herein; and
WHEREAS, on this date, this City Council held a noticed public hearing as required by the Act and the Resolution of Intention relative to the proposed formation of the CFD and the Future Annexation Area; and
WHEREAS, at the hearing all interested persons desiring to be heard on all matters pertaining to the formation of the CFD and the Future Annexation Area, the services and facilities to be provided therein and the levy of said special tax were heard and a full and fair hearing was held; and
WHEREAS, at the hearing evidence was presented to this City Council on said matters before it, including a report caused to be prepared by the Finance Director the "' Report") as to the services and facilities to be provided through the CFD and the costs thereof, a copy of which is on file with the City Clerk, and this City Council at the conclusion of said hearing is fully advised in the premises; and WHEREAS, written protests with respect to the formation of the CFD, the furnishing of specified types of services and facilities and the rate and method of apportionment of the special taxes have not been filed with the City Clerk by fifty percent ( 50%) or more of the registered voters residing within the territory of the CFD or property owners of one- half ( 1/ 2) or more of the area of land within the CFD and not exempt from the proposed special tax; and
Attachment " A"
WHEREAS, the special tax proposed to be levied in the CFD to pay for the proposed services and facilities to be provided therein, as set forth in Exhibit B hereto, has not been eliminated by protest by fifty percent ( 50%) or more of the registered voters residing within the territory of the CFD or the owners of one- half ( 1/ 2) or more of the area of land within the CFD and not exempt from the special tax; and WHEREAS, prior to the time fixed for the hearing, written protests had not been filed with the City Clerk against the proposed annexation of the Future Annexation Area to the CFD by ( i) 50% of more of the registered voters, or six registered voters, whichever is more, residing in the proposed boundaries of the CFD, or ( ii) 50% or more of the registered voters, or six registered voters, whichever is more, residing in the Future Annexation Area, ( iii) owners of one- half or more of the area of land in the proposed CFD or ( iv) owners of one- half or more of the area of land in the Future Annexation Area.
NOW, THEREFORE, IT IS HEREBY RESOLVED as follows:
1. Recitals Correct. The foregoing recitals are true and correct.
2. No Majority Protest. The proposed special tax to be levied within the CFD has not been precluded by majority protest pursuant to section 53324 of the Act.
3. Prior Proceedings Valid. All prior proceedings taken by this City Council in connection with the establishment of the CFD and the Future Annexation Area and the levy of the special tax have been duly considered and are hereby found and determined to be valid and in conformity with the Act.
4. Name of CFD. The community facilities district designated " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2)" and the future annexation area designated " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) ( Future Annexation Area)" are hereby established pursuant to the Act.
5. Boundaries of CFD. The boundaries of the CFD and the Future Annexation Area, as set forth in the map of the CFD heretofore recorded in the San Joaquin County Recorder' s Office on April 19, 2023, in Book 7, Page 55, as Document No. 2023- 030264 of Maps of Assessment and Community Facilities Districts, are hereby approved, are incorporated herein by reference and shall be the boundaries of the CFD and the Future Annexation Area.
Parcels within the Future Annexation Area shall be annexed to the CFD only with the unanimous approval ( each, a " Unanimous Approval") of the owner or owners of each parcel or parcels at the time that parcel or those parcels are annexed, without any requirement for further public hearings or additional proceedings.
6. Description of Services and Facilities. The type of public services and facilities proposed to be financed by the CFD and pursuant to the Act shall consist of those items listed as services and facilities in Exhibit A hereto and by this reference incorporated herein ( the " Services and Facilities").
7. Special Tax.
a. Except to the extent that funds are otherwise available to the CFD to pay for the Services and Facilities, a special tax ( the " Special Tax") sufficient to pay the costs thereof, secured by the recordation of a continuing lien against all non- exempt real property in the CFD, is intended to be levied annually within the CFD, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as may be prescribed by this City Council.
b. The proposed rate and method of apportionment of the Special Tax among the parcels of real property within the CFD, in sufficient detail to allow each landowner within the proposed CFD to estimate the maximum amount such owner will have to pay, are shown in Exhibit B attached hereto and hereby incorporated herein.
C. Territory in the Future Annexation Area will be annexed into the CFD and a special tax will be levied on such territory only with the Unanimous Approval of the owner or owners of each parcel or parcels at the time that parcel or those parcels are annexed into the CFD. Except to the extent that funds are otherwise available to the CFD to pay for the Services and Facilities, a special tax sufficient to pay the costs thereof, secured by the recordation of a continuing lien against all non- exempt real property in the Future Annexation Area, is intended to be levied annually within the Future Annexation Area, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as may be prescribed by this City Council. As required by Section 53339. 3( d) of the Act, the City Council hereby determines that the special tax proposed to pay for one or more Services and Facilities to be supplied within the Future Annexation Area will be equal to the special taxes levied to pay for the same services and facilities in the original area of the CFD.
8. Increased Demands. It is hereby found and determined that the Services and Facilities are necessary to meet increased demands placed upon local agencies as the result of development occurring in the CFD.
9. Responsible Official. The Finance Director of the City of Lathrop, 390 Towne Centre Drive, Lathrop, CA 95330, 209- 941- 7200, is the officer of the City who will be responsible for preparing annually a current roll of special tax levy obligations by assessor' s parcel number and who will be responsible for estimating future special tax levies pursuant to the Act.
10. Tax Lien. Upon recordation of a notice of special tax lien pursuant to Section 3114. 5 of the Streets and Highways Code of California, a continuing lien to
secure each levy of the special tax shall attach to all nonexempt real property in the CFD and this lien shall continue in force and effect until the special tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law or until collection of the tax by the City ceases.
11. Appropriations Limit. In accordance with the Act, the annual appropriations limit, as defined by subdivision ( h) of Section 8 of Article XIII 6 of the California Constitution, of the CFD is hereby preliminarily established at $ 3, 000, 000, and said appropriations limit shall be submitted to the voters of the CFD as hereafter provided. The proposition establishing said annual appropriations limit shall become effective if approved by the qualified electors voting thereon and shall be adjusted in accordance with the applicable provisions of the Act.
12. Election. Pursuant to the provisions of the Act, the proposition of the levy of the special tax and the proposition of the establishment of the appropriations limit specified above shall be submitted to the qualified electors of the CFD at an election. The time, place and conditions of the election shall be as specified by a separate resolution of this City Council.
13. Effective Date. This resolution shall take effect upon its adoption.
I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of Lathrop at a meeting held on the 12th day of June, 2023, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
ATTEST:
Teresa Vargas, City Clerk
Sonny Dhaliwal, Mayor
APPROVED AS TO FORM:
Salvador Navarrete, City Attorney
EXHIBIT A
CITY OF LATHROP
COMMUNITY FACILITIES DISTRICT NO. 2023- 1
RIVER ISLANDS PUBLIC SERVICES AND FACILITIES # 2)
DESCRIPTION OF AUTHORIZED SERVICES AND FACILITIES
Services
The services to be funded, in whole or in part, by the community facilities district CFD) include all direct and incidental costs related to providing public services and maintenance of public infrastructure within the River Islands area including the area initially included in the CFD, as well as any future annexation area of the CFD and areas adjacent to the foregoing. More specifically, the services shall include, but not be limited to: ( i) police protection services, ( ii) maintenance of open space, including trails and habitat areas, with services to include, but not be limited to, irrigation and vegetation control; ( iii) maintenance of roads and roadways, with services to include, but not be limited to, regularly scheduled street sweeping, repair of public streets, striping of streets and repair and repainting of sound walls and other appurtenances; iv) storm protection services, including, but not limited to, the operation and maintenance of storm drainage systems, ( v) landscaping in public areas and in the public right of way along public streets, including, but not limited to, irrigation, tree trimming and vegetation maintenance and control; and ( vi) any other public services authorized to be funded under Section 53313 of the California Government Code that are not already funded by another community facilities district on the property within the CFD.
The CFD may fund any of the following related to the services described in the preceding paragraph: obtaining, constructing, furnishing, operating and maintaining equipment, apparatus or facilities related to providing the services and/ or equipment, apparatus, facilities or fixtures in areas to be maintained, paying the salaries and benefits of personnel necessary or convenient to provide the services, payment of insurance costs and other related expenses and the provision of reserves for repairs and replacements and for the future provision of services. The services to be financed by the CFD are in addition to those provided in the territory of the CFD before the date of formation of the CFD and will not supplant services already available within that territory when the District is created.
Facilities
The CFD may also fund all or any portion of the costs of the following facilities to be located within or in the vicinity of the CFD:
Roadway and related improvements, including, but not limited to, construction of the roadways currently identified on Vesting Tentative Map No. 3694 as Stewart Road, Golden Valley Parkway, South River Islands Parkway, North River Islands Parkway, Broad Street, Commercial Street, 38 Street, B5 Street, B6 Street and Cl Street, as well as other backbone and arterial streets, including, but not limited to, grading, fill, pavement section, curb gutter and sidewalk, joint trench, water, sewer, reclaimed water, storm drainage, and other utility improvements necessary for, or incidental
to, road construction. Roadway improvements may also include landscaping, street lights and signage, and traffic signals and striping.
Bradshaw' s Crossing Bridge improvements, including, but not limited to, design, construction, utility connections, mitigation payments, right- of-way acquisition, and other improvements required for, or incidental to, construction of the bridge.
Water infrastructure, including, but not limited to, tanks, pump stations, distribution lines, and other improvements necessary for, or incidental to, the delivery of potable or reclaimed water.
Sewer infrastructure, including, but not limited to, treatment facilities, sanitary sewer collection lines and force mains, effluent holding and storage, pump stations, lift stations, and other improvements necessary for, or incidental to, the delivery of sanitary sewer service.
Public landscaping and recreational features along rivers, lakes, within parks, and along and including pathways.
Offsite public infrastructure, including, but not limited to, the extension of sanitary sewer lines and payment of license fees ( e. g., to Caltrans or UPRR) and any other incidental fees or exactions.
The facilities authorized to be funded by the CFD shall include the costs of design, engineering, surveys, reports, environmental mitigation, soils testing, permits, plan check, inspection fees, impact fees, insurance, construction management, and any other costs or appurtenances related to any of the foregoing.
Administrative Expenses
The administrative expenses to be funded by the CFD include the direct and indirect expenses incurred by the City of Lathrop ( City) in carrying out its duties with respect to the CFD including, but not limited to, the levy and collection of the special taxes, the fees and expenses of attorneys, any fees of the County of San Joaquin related to the CFD or the collection of special taxes, an allocable share of the salaries of any City staff directly related thereto and a proportionate amount of the City' s general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the CFD or the services authorized to be financed by the CFD, and expenses incurred by the City in undertaking action to foreclose on properties for which the payment of special taxes is delinquent, and all other costs and expenses of the City in any way related to the CFD.
Other
The incidental expenses that may be funded by the CFD include, in addition to the administrative
expenses identified above, the payment or reimbursement to the CFD of all costs associated with the establishment and ongoing administration of the CFD.
EXHIBIT B
CITY OF LATHROP
COMMUNITY FACILITIES DISTRICT No. 2023- 1
RIVER ISLANDS PUBLIC SERVICES AND FACILITIES # 2)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
Special Taxes applicable to each Assessor' s Parcel in the City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) shall be levied and collected according to the tax liability determined by the City or its designee, through the application of the appropriate amount or rate for Taxable Property, as described below. All of the property in the CFD, unless exempted by law or by the provisions of Section F below, shall be taxed for the purposes, to the extent, and in the manner herein provided, including property subsequently annexed to the CFD unless a separate rate and method of apportionment of Special Tax is adopted for the annexation area.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
Accessory Unit" means a second residential unit of limited size ( e. g., granny cottage, second unit) that shares a Parcel with a single- family detached unit.
Act" means the Mello -Roos Community Facilities Act of 1982, as amended, being Chapter 2. 5 commencing with Section 53311), Part 1, Division 2, of Title 5 ofthe Government Code ofthe State of California.
Administrative Expenses" means any or all of the following: expenses of the City in carrying out its duties with respect to the CFD, including, but not limited to, the levy and collection of Special Taxes, the fees and expenses of its legal counsel, costs related to annexing property into the CFD, charges levied by the County in connection with the levy and collection of Special Taxes, costs related to property owner inquiries regarding the Special Taxes, costs associated with appeals or requests for interpretation associated with the Special Taxes and this RMA, costs associated with foreclosure and collection ofdelinquent Special Taxes and all other costs and expenses ofthe City and County in any way related to the establishment or administration of the CFD.
Administrator" means the person or firm designated by the City to administer the Special Taxes according to this RMA.
Assessor' s Parcel" or " Parcel" means a lot or parcel shown on a County Assessor' s Parcel map with an assigned County Assessor' s Parcel number.
Authorized Facilities" means the public facilities authorized to be financed, in whole or in part, by Facilities Special Taxes collected within the CFD, pursuant to the documents adopted by the City Council at CFD Formation.
City ofLathrop CFD No. 2023- 1 1 March 2, 2023
Authorized Services" means those services that are authorized to be funded by Services Special Taxes collected within the CFD, pursuant to the documents adopted by the City Council at CFD Formation.
CFD" means the City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2).
CFD Formation" means the date on which the Resolution of Formation to form the CFD was adopted by the City Council.
City" means the City of Lathrop.
City Council" means the City Council of the City of Lathrop.
County" means the County of San Joaquin.
Developed Property" means, in any Fiscal Year, the following:
for Single Family Detached Property, all Parcels of Taxable Property for which a Final Map was recorded on or prior to June 30 of the preceding Fiscal Year for Multi -Family Property and Single Family Attached Property, all Parcels of Taxable Property for which a building permit for new construction of a residential structure was issued on or prior to June 30 ofthe preceding Fiscal Year for Non -Residential Property, all Parcels of Taxable Property for which a building permit for new construction of a structure was issued on or prior to June 30 of the preceding Fiscal Year.
Development Agreement" means the 2003 Amended and Restated Development Agreement dated February 4, 2003 and recorded on March 31, 2003 in the San Joaquin County Recorder' s Office as Document No. 2003- 069319, as has been amended and as may be amended in the future.
Escalation Factor" means, in any Fiscal Year, the lesser of (i) the increase from the prior Fiscal Year, if any, in the Local Consumer Price Index ( CPI) for the San Francisco -Oakland -San Jose Area for All Urban Consumers, or (ii) four percent (4%). The CPI used shall be as determined by the Bureau of Labor Statistics from April to April beginning with the period from April 2022 to April 2023.
Facilities Special Tax" means a special tax levied in any Fiscal Year after the Trigger Event has taken place to pay the Facilities Special Tax Requirement.
Facilities Special Tax Requirement" means the amount necessary in any Fiscal Year after the Trigger Event to pay the costs ofAuthorized Facilities to be funded directly from Facilities Special Tax proceeds.
City ofLathrop CFD No. 2023- 1 2 March 2, 2023
Final Map" means a final map, or portion thereof, approved by the City and recorded by the County pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq) that creates SFD Lots. The term " Final Map" shall not include any large lot subdivision map, Assessor' s Parcel Map, or subdivision map or portion thereof, that does not create SFD Lots, including Assessor' s Parcels that are designated as remainder parcels.
Fiscal Review Process" means the River Islands Annual Fiscal Review Process, which is required pursuant to the Development Agreement, and which process is described in detail in Exhibit B of the Development Agreement.
Fiscal Year" means the period starting July 1 and ending on the following June 30.
Maximum Facilities Special Tax" means the greatest amount of Facilities Special Tax that can be levied on a Parcel in any Fiscal Year after the Trigger Event, as determined in accordance with Section C below.
Maximum Services Special Tax" means the greatest amount of Services Special Tax that can be levied on a Parcel in any Fiscal Year, as determined in accordance with Section C below.
Maximum Special Taxes" means, collectively, the Maximum Facilities Special Tax and the Maximum Services Special Tax that can be levied on a Parcel in any Fiscal Year.
Multi -Family Property" means, in any Fiscal Year, all Parcels of Taxable Property for which a building permit or use permit has been issued or is expected to be issued for construction of a residential structure with five or more Units that share a single Assessor' s Parcel number, are offered for rent to the general public, and cannot be purchased by individual homebuyers.
Non -Residential Property" means all Assessor' s Parcels of Taxable Property for which a building permit was or is expected to be issued for an office, commercial, retail, industrial or mixed -use building, as determined by the City.
Non -Residential Square Footage" means the net leasable square footage used by or designated for non-residential uses within a building as reflected on the condominium plan, site plan, building permit for new construction, or other such document. If a structure on a Parcel of Non -Residential Property includes Units, such Units shall be categorized and taxed as Residential Property, and the square footage of such Units shall not be counted as Non -Residential Square Footage for purposes of determining the Maximum Special Taxes pursuant to Section C below.
Proportionately" means, for the Services Special Tax, that the ratio of the actual Services Special Tax levied in any Fiscal Year to the Maximum Services Special Tax authorized to be levied in that Fiscal Year is equal for all Assessor' s Parcels of Developed Property. For the Facilities Special Tax, " Proportionately" means that the ratio of the actual Facilities Special Tax levied in any Fiscal Year to the Maximum Facilities Special Tax authorized to be levied in that Fiscal Year is equal for all Assessor' s Parcels of Developed Property.
City ofLathrop CFD No. 2023- 1 3 March 2, 2023
Public Property" means any property within the boundaries of the CFD that is owned by or irrevocably offered for dedication to the federal government, State of California, County, City, or other local governments or public agencies.
Residential Property" means, collectively, Single Family Detached Property, Single Family Attached Property, and Multi -Family Property. If a building includes both Units and Non - Residential Square Footage, the Units within the building shall be categorized as Residential Property for purposes of this RMA.
RMA" means this Rate and Method of Apportionment of Special Tax.
Services Special Tax" means a special tax levied in any Fiscal Year to pay the Services Special Tax Requirement.
Services Special Tax Requirement" means the amount of revenue needed in any Fiscal Year to pay for: ( i) Authorized Services, ( ii) Administrative Expenses, and ( iii) amounts needed to cure any delinquencies in the payment of Services Special Taxes which have occurred or (based on delinquency rates in prior years) may be expected to occur in the Fiscal Year in which the tax will be collected. In any Fiscal Year, the Services Special Tax Requirement shall be reduced by surplus amounts available ( as determined by the City) from the levy of the Services Special Tax in prior Fiscal Years, including revenues from the collection of delinquent Services Special Taxes and associated penalties and interest.
SFD Lot" means an individual residential lot, identified and numbered on a recorded Final Map, on which a building permit was or is permitted to be issued for construction of a single family detached unit without further subdivision ofthe lot and for which no further subdivision ofthe lot is anticipated pursuant to an approved tentative map.
Single Family Attached Property" means, in any Fiscal Year, all Parcels of Taxable Property for which a building permit was or is expected to be issued for construction of a residential structure consisting oftwo or more Units that share common walls, have separate Assessor' s Parcel numbers assigned to them ( except for a duplex unit, which may share an Assessor' s Parcel with another duplex unit), and may be purchased by individual homebuyers ( which shall still be the case even if the Units are purchased and subsequently offered for rent by the owner of the unit), including such residential structures that meet the statutory definition of a condominium contained in Civil Code Section 4125.
Single Family Detached Property" means, in any Fiscal Year, all Parcels of Taxable Property for which a building permit was or is expected to be issued for construction of a Unit that does not share a common wall with another Unit. An Accessory Unit that shares a Parcel with a singlefamily detached unit shall not be considered a separate Unit for purposes of this RMA.
Special Taxes" means, collectively, the Facilities Special Tax and the Services Special Tax.
Taxable Property" means all of the Assessor' s Parcels within the boundaries ofthe CFD which are not exempt from the Special Taxes pursuant to law or Section F below.
City of Lathrop CFD No. 2023- 1 4 March 2, 2023
Tax Zone" means a mutually exclusive geographic area within which Special Taxes may be levied pursuant to this RMA. All ofthe property within the CFD at the time of CFD Formation is within Tax Zone 1. Additional Tax Zones may be created when property is annexed to the CFD, and separate Maximum Special Taxes shall be identified for property within the new Tax Zone at the time of such annexation. The Assessor' s Parcels included within a new Tax Zone established when such Parcels are annexed to the CFD shall be identified by Assessor' s Parcel number in the Unanimous Approval Form that is signed by the owner( s) ofthe Parcels at the time of annexation.
Unanimous Approval Form" means that form executed by the record owner of fee title to a Parcel or Parcels annexed into the CFD that constitutes the property owner' s approval and unanimous vote in favor of annexing into the CFD and the levy of Special Taxes against his/her Parcel or Parcels pursuant to this RMA.
Trigger Event" will be deemed to have occurred in any Fiscal Year if, on or before June 30 of the prior Fiscal Year, the City has made a finding that, for the third year in a row, the Fiscal Review Process has demonstrated that fiscal surpluses will be generated to the City' s general fund from development within the River Islands Master Plan area, and, as part of the Fiscal Review Process in each of the prior three years, the Services Special Tax revenue factored into the fiscal analysis was based on the Services Special Tax being levied at only 47.43% of the Maximum Services Special Tax that could have been levied in each of those three years. Once the Trigger Event has occurred, the reduced Services Special Taxes and the Facilities Special Taxes determined for each Tax Zone pursuant to Section C shall be the applicable Maximum Special Taxes in all future Fiscal Years regardless of the results of future Fiscal Review Processes.
Unit" means a single family detached unit or an individual unit within a duplex, triplex, halfplex, fourplex, condominium, townhome, live/ work, or apartment structure.
B. DATA FOR ADMINISTRATION OF SPECIAL TAXES
On or about July 1 of each Fiscal Year, the Administrator shall identify the current Assessor' s Parcel numbers for all Parcels of Developed Property within the CFD. The Administrator shall also determine: ( i) within which Tax Zone each Parcel is located; ( ii) which Parcels of Developed Property are Residential Property and Non -Residential Property; ( ii) the Non -Residential Square Footage of buildings on each Parcel ofNon -Residential Property; (iii) for Single Family Detached Property, the square footage of each SFD Lot, (iv) by reference to the condominium plan, site plan, or other document, the number of Units on each Parcel of Single Family Attached Property and Multi -Family Property; ( v) whether the Trigger Event has occurred; and ( vi) the Services Special Tax Requirement and, ifthe Trigger Event has occurred, the Facilities Special Tax Requirement for the Fiscal Year. To determine the square footage of each Parcel of Single Family Detached Property, the Administrator shall reference Assessor' s Parcel Maps or, ifthe square footage is not yet designated on such maps, the small lot subdivision map recorded to create the individual lots.
In any Fiscal Year, ifit is determined that: ( i) a parcel map for property in the CFD was recorded after January 1 of the prior Fiscal Year ( or any other date after which the Assessor will not incorporate the newly -created parcels into the then current tax roll), (ii) because of the date the parcel map was recorded, the Assessor does not yet recognize the new parcels created by the parcel City of Lathrop CFD No. 2023- 1 5 March 2, 2023
map, and ( iii) a building permit was issued on or prior to June 30 of the prior Fiscal Year for development on one or more of the newly -created parcels, the Administrator shall calculate the Special Taxes for Units and/ or Non -Residential Square Footage within the subdivided area and levy such Special Taxes on the master Parcel that was subdivided by recordation of the parcel map.
C. MAXIMUM SPECIAL TAXES
Services Special Tax, Tax Zone I
Table 1 below identifies the Maximum Services Special Tax for Developed Property within Tax Zone 1, both before and after the Trigger Event. A different Maximum Services Special Tax may be identified for property that annexes into the CFD and is part of a separate Tax Zone.
TABLE 1
MAXIMUM SERVICES SPECIAL TAX
TAX ZONE 1
Type of Property Lot Size
Maximum Services
Special Tax
in Tax Zone 1
Prior to
the Trigger Event
Fiscal Year 2022- 23 *
Maximum Services
Special Tax
in Tax Zone 1
After the
Trigger Event
Fiscal Year 2022- 23 *
Residential Property:
Single Family Detached Property Greater than 7,000 SgFt 432. 29 per SFD Lot 205. 02 per SFD Lot Single Family Detached Property 5, 801 to 7, 000 SgFt 349. 02 per SFD Lot 165. 53 per SFD Lot Single Family Detached Property 4, 801 to 5, 800 SgFt 320. 21 per SFD Lot 151. 87 per SFD Lot Single Family Detached Property 4, 000 to 4, 800 SgFt 272. 18 per SFD Lot 129. 09 per SFD Lot Single Family Detached Property Less than 4, 000 SgFt 252. 96 per SFD Lot 119. 97 per SFD Lot Single Family Attached Property Not Applicable 0. 00 per Unit 0. 00 per Unit Multi -Family Property Not Applicable 0. 00 per Unit 0. 00 per Unit
0. 00 per 0. 00 per
Non -Residential Property Not Applicable Non -Residential Non -Residential Square Foot Square Foot
On July 1, 2023 and on each July 1 thereafter, all figures shown in Table 1 above shall be increased by the Escalation Factor.
City of Lathrop CFD No. 2023- 1 6 March 2, 2023
2. Facilities Special Tax, Tax Zone 1
Table 2 below identifies the Maximum Facilities Special Tax for Developed Property within Tax Zone 1 both before and after the Trigger Event; a different Maximum Facilities Special Tax may be identified for property that annexes into the CFD and is part of a separate Tax Zone.
TABLE 2
MAXIMUM FACILITIES SPECIAL TAX
TAX ZONE 1
Type of Property Lot Size
Maximum Facilities
Special Tax
in Tax Zone 1
Prior to
the Trigger Event
Fiscal Year 2022- 23 *
Maximum Facilities
Special Tax
in Tax Zone 1
After the
Trigger Event
Fiscal Year 2022- 23 *
Residential Property:
Single Family Detached Property Greater than 7, 000 SgFt 0. 00 per SFD Lot 227. 27 per SFD Lot Single Family Detached Property 5, 801 to 7, 000 SgFt 0. 00 per SFD Lot 183. 49 1per SFD Lot Single Family Detached Property 4,801 to 5, 800 SgFt 0. 00 per SFD Lot 168. 34 per SFD Lot Single Family Detached Property 4, 000 to 4, 800 SgFt 0. 00 per SFD Lot 143. 09 per SFD Lot Single Family Detached Property Less than 4, 000 SgFt 0. 00 per SFD Lot 132. 99 per SFD Lot Single Family Attached Property Not Applicable 0. 00 per Unit 0. 00 per Unit Multi -Family Property Not Applicable 0. 00 per Unit 0. 00 per Unit
0. 00 per 0. 00 per
Non -Residential Property Not Applicable Non -Residential Non -Residential Square Foot Square Foot
On July 1, 2023 and on each July 1 thereafter until the first Fiscal Year after the Trigger Event, all figures shown in Table 2 above shall be increased by the Escalation Factor. On July 1 of the first Fiscal Year after the Trigger Event, and on each July 1 thereafter, the Maximum Facilities Special Taxes shall increase by two percent (2%) of the amount in effect in the prior Fiscal Year.
3. Maximum Special Taxes for Mixed -Use Buildings
If, in any Fiscal Year, the Administrator determines that a Parcel of Developed Property is built or proposed to be built with both Units and Non -Residential Square Footage, the Maximum Special Taxes for the Parcel shall be the sum of (i) the aggregate Maximum Special Taxes for all Units on the Parcel, and ( ii) the Maximum Special Taxes determined for all ofthe Non -Residential Square Footage on the Parcel.
4. Reduction ofthe Maximum Special Taxes
If, in any Fiscal Year, the City determines pursuant to the Fiscal Review Process that the Maximum Special Taxes within one or more Tax Zones should be reduced, the Maximum Special Taxes within the Tax Zones may be reduced without a vote of the qualified CFD electors. An Amended Notice of Special Tax Lien reflecting the reduced Maximum Special Taxes shall be recorded against the Parcels within such Tax Zones.
City of Lathrop CFD No. 2023- 1 7 March 2, 2023
D. METHOD OF LEVY OF THE SPECIAL TAXES
Services Special Tax
Each Fiscal Year, the Administrator shall determine the Services Special Tax Requirement for the Fiscal Year, and the Services Special Tax shall be levied on each Parcel of Developed Property within the CFD in the amount of either ( i) the Maximum Services Special Tax, or ( ii) the Proportionately determined percentage of the Maximum Services Special Tax required to generate the Services Special Tax Requirement, whichever is less.
2. Facilities Special Tax
Each Fiscal Year after the Trigger Event, the Administrator shall determine the Facilities Special Tax Requirement for the Fiscal Year, and the Facilities Special Tax shall be levied on each Parcel of Developed Property within the CFD in the amount of either ( i) the Maximum Facilities Special Tax, or ( ii) the Proportionately determined percentage of the Maximum Facilities Special Tax required to generate the Facilities Special Tax Requirement, whichever is less.
E. MANNER OF COLLECTION OF SPECIAL TAXES
The Special Taxes shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that the City may directly bill, collect at a different time or in a different manner, and/ or collect delinquent Special Taxes through foreclosure or other available methods.
The Facilities Special Tax shall be levied for thirty ( 30) Fiscal Years, beginning the first Fiscal Year after the Trigger Event has taken place. Under no circumstances may the Facilities Special Tax on a Parcel in residential use be increased in any Fiscal Year as a consequence of delinquency or default in payment of the Facilities Special Tax levied on another Parcel or Parcels by more than ten percent ( 10%) above the amount that would have been levied in that Fiscal Year had there never been any such delinquencies or defaults. The Services Special Tax may be levied and collected in perpetuity.
F. EXEMPTIONS
No Special Taxes shall be levied on Public Property or any other Parcels in the CFD that are not Residential Property or Non -Residential Property, as defined herein.
G. INTERPRETATION OF SPECIAL TAX FORMULA
The City may interpret, clarify, and/ or revise this RMA to correct any inconsistency, vagueness or ambiguity as it relates to the Special Tax rates, the method of apportionment, the classification of properties or any definition applicable to the CFD, by resolution or ordinance. The City, upon the request of an owner of land within the CFD which is not Developed Property, may also amend this RMA in any manner acceptable to the City, by resolution or ordinance following a public hearing, upon the affirmative vote of such owner to such amendment and without the vote of owners of any other land within the CFD, provided such amendment only affects such owner' s land.
City ofLathrop CFD No. 2023-1 8 March 2, 2023
RESOLUTION NO. 23-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP CALLING
SPECIAL ELECTION
CITY OF LATHROP
Community Facilities District No. 2023- 1
River Islands Public Services and Facilities # 2)
WHEREAS, this City Council has adopted a resolution entitled " Resolution of Formation of Community Facilities District" ( the " Resolution of Formation"), ordering the formation of the " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2)" ( the " CFD") and a future annexation area, authorizing the levy of a special tax on property within the CFD and preliminarily establishing an appropriations limit for the CFD, all pursuant to the Mello - Roos Community Facilities Act of 1982, Chapter 2. 5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code ( the " Act"); and
WHEREAS, pursuant to the provisions of the Resolution of Formation, the propositions of the levy of the special tax and the establishment of the appropriations limit shall be submitted to the qualified electors of the CFD as required by the provisions of the Act;
NOW, THEREFORE, IT IS HEREBY RESOLVED, as follows:
1. Issues Submitted. Pursuant to Sections 53326, 53351 and 53325. 7 of the Act, the issues of the levy of the special tax and the establishment of the appropriations limit shall be submitted to the qualified electors ( as defined below) of the CFD at an election called therefor as provided below.
2. Qualified Electors. This Council hereby finds that fewer than 12 persons have been registered to vote within the territory of the CFD for each of the 90 days preceding the close of the public hearings heretofore conducted and concluded by this Council for the purposes of these proceedings. Accordingly, and pursuant to Section 53326 of the Act, this Council finds that, for these proceedings, the qualified electors are the landowners within the CFD and that the vote shall be by such landowners or their authorized representatives, each having one vote for each acre or portion thereof such landowner owns in the CFD as of the close of the public hearings.
3. Conduct of Election. This Council hereby calls a special election to consider the measures described in section 1 above, which election shall be held on June 12, 2023 and the results thereof canvassed at the meeting of this Council on June 12, 2023. The City Clerk is hereby designated as the official to conduct the election and to receive all ballots until 7: 00 p. m. on the election date. It is hereby acknowledged that the City Clerk has on file the Resolution of Formation, a certified Attachment " B"
map of the boundaries of the CFD, and a sufficient description to allow the City Clerk to determine the electors of the CFD. Pursuant to Section 53327 of the Act, the election shall be conducted by messenger or mail -delivered ballot pursuant to Section 4000 of the California Elections Code. This Council hereby finds that paragraphs ( a), ( b), ( c) ( 1) and ( c)( 3) of Section 4000 are applicable to this special election.
4. Ballot. As authorized by Section 53353. 5 of the Act, the two propositions described in section 1 above shall be combined into a single ballot measure, substantially in the form attached hereto as Exhibit " A", which is hereby approved and by this reference incorporated herein. The City Clerk is hereby authorized and directed to cause a ballot, in substantially the form of Exhibit " A," to be delivered to each of the qualified electors of the CFD. Each ballot shall indicate the number of votes to be voted by the respective landowner to which the ballot pertains. Each ballot shall be accompanied by all supplies and written instructions necessary for the use and return of the ballot as appropriate under the Act.
5. Waivers. This Council hereby further finds that the provisions of Section 53326 of the Act requiring a minimum of 90 days following the adoption of the Resolution of Formation to elapse before the special election are for the protection of the qualified electors of the CFD. There is on file with the City Clerk a written waiver executed by all of the qualified electors of the CFD allowing for a shortening of the time for the special election to expedite the process of formation of the CFD and waiving any requirement for notice, analysis and arguments in connection with the election. Accordingly, this Council finds and determines that the qualified electors have been fully apprised of and have agreed to the shortened time for the election and waiver of analysis and arguments, and have thereby been fully protected in these proceedings. This Council also finds and determines that the City Clerk has concurred in the shortened time for the election. Analysis and arguments with respect to the ballot measures are hereby waived, as provided in Section 53327 of the Act.
6. Accountability. Under Sections 50075. 1 and 53410 of the Government Code, the following accountability provisions shall apply to the special taxes: ( a) the providing of Services and/ or the construction and/ or acquisition of the Facilities and the incidental costs thereof including any bonds, all as defined in the Resolution of Formation, shall constitute the specific single purpose; ( b) the proceeds shall be applied only to the specific purposes identified in ( a) above; ( c) there shall be created special account( s) or funds( s) into which the proceeds shall be deposited; and ( d) there shall be caused to be prepared an annual report as required by Sections 50075. 3 of the Government Code.
7. Effective Date. This Resolution shall take effect upon its adoption.
I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of Lathrop at a meeting held on the 121h day of June, 2023, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
ATTEST:
Sonny Dhaliwal, Mayor
APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney
EXHIBIT A
CITY OF LATHROP
Community Facilities District No. 2023- 1
River Islands Public Services and Facilities #2)
OFFICIAL BALLOT
SPECIAL TAX ELECTION
This ballot is for a special, landowner election for a community facilities district. You must return this ballot in the enclosed postage paid envelope to the office of the City Clerk of the City of Lathrop no later than the hour of 7:00 p. m. on June 12, 2023, either by mail or in person. The City Clerk's office is located at 390 Towne Centre Drive, Lathrop, CA 95330.
To vote, mark a cross ( X) on the voting line after the word " YES" or after the word " NO".
All marks otherwise made are forbidden. All distinguishing marks are forbidden and make the ballot void. If you wrongly mark, tear, or deface this ballot, return it to the City Clerk of the City of Lathrop and obtain another.
The rate, purpose and duration of the special tax is as set forth in the " Rate and Method of Apportionment of Special Tax" for the CFD as set forth in Resolution No. 23- 5259 of the City Council adopted April 10, 2023.
Shall the measure to adopt a special tax payable solely from lands within the City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) ( the CFD"), be annually levied by the City of Lathrop, on behalf of the CFD, commencing in the City' s fiscal year 2023- 24, upon lands within the CFD to pay for municipal services, the costs of the City in administering the CFD, and to pay for the costs of acquiring and/ or constructing certain facilities; and shall the annual appropriations limit of the CFD be established in the amount of 3, 000, 000 be adopted?
YES:
NO:
By execution in the space provided below, you also indicate your waiver of (i) the time limit pertaining to the conduct of the election, ( ii) any requirement for analysis and arguments with respect to the ballot measure, and ( iii) any irregularity in the proceedings that may be claimed as a result of the application of such waivers.
Number of Votes:
Property Owner:
A- 1
RESOLUTION NO. 23-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP
DECLARING RESULTS OF SPECIAL ELECTION AND DIRECTING RECORDING
OF NOTICE OF SPECIAL TAX LIEN
CITY OF LATHROP
Community Facilities District No. 2023- 1
River Islands Public Services and Facilities # 2)
WHEREAS, this City Council has adopted a resolution entitled " Resolution of Formation of Community Facilities District" ( the " Resolution of Formation"), ordering the formation of the " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2)" ( the " CFD"), including a future annexation area, authorizing the levy of a special tax on property within the CFD and preliminarily establishing an appropriations limit for the CFD, all pursuant to the Mello -Roos Community Facilities Act of 1982, Chapter 2. 5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code ( the Act"); and
WHEREAS, under the provisions of the Resolution of Formation and pursuant to a " Resolution Calling Special Election" ( the " Election Resolution") heretofore adopted by this City Council the propositions of the levy of the special tax and the establishment of the appropriations limit were submitted to the qualified electors of the CFD as required by the provisions of the Act; and
WHEREAS, pursuant to the terms of the Election Resolution, which are by this reference incorporated herein, the special election has been held and the City Clerk has on file a Canvass and Statement of Results of Election, ( the " Canvass") a copy of which is attached hereto as Exhibit A; and
WHEREAS, this City Council has reviewed the Canvass, finds it appropriate and wishes to complete its proceedings for the CFD.
NOW, THEREFORE, IT IS HEREBY RESOLVED as follows:
1. Recitals. The foregoing recitals are all true and correct.
2. Issues Presented. The issues presented at the special election were the levy of a special tax within the CFD and the approval of an annual appropriations limit of not to exceed $ 3, 000, 000, all pursuant to the Resolution of Formation and the Resolution of Necessity.
3. Canvass and Issues Approved. The Council hereby approves the Canvass and finds that it shall be a permanent part of the record of its proceedings for the CFD. Pursuant to the Canvass, the issues presented at the special election Attachment " C"
were approved by the qualified electors of the CFD by more than two- thirds ( 2/ 3) of the votes cast at the special election.
4. Proceedings Approved. Pursuant to the voter approval, the CFD is hereby declared to be fully formed with the authority to levy the special taxes and to have the established appropriations limit, all as heretofore provided in these proceedings and in the Act. It is hereby found that all prior proceedings and actions taken by this City Council with respect to the CFD were valid and in conformity with the Act.
5. Notice of Tax Lien. The City Clerk is hereby directed to complete, execute and cause to be recorded in the office of the County Recorder of the County of San Joaquin a notice of special tax lien in the form required by the Act, such recording to occur no later than fifteen ( 15) days following adoption by the Council of this resolution.
6. Effective Date. This Resolution shall take effect upon its adoption.
I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of Lathrop at a meeting held on the 12t" day of June, 2023, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
ATTEST:
Sonny Dhaliwal, Mayor
APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney
CANVASS AND STATEMENT OF RESULT OF ELECTION
CITY OF LATHROP
Community Facilities District No. 2023- 1
River Islands Public Services and Facilities # 2)
I hereby certify that on June 12, 2023 1 canvassed the returns of the election held on June 12, 2023 in the City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) and the total number of ballots cast in said District and the total number of votes cast for and against the measure are as follows and the totals as shown for and against the measure are full, true and correct:
Qualified
Landowner Votes
Votes Cast YES NO
Shall the measure to adopt a special tax payable solely from lands within the City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) ( the " CFD"), be annually levied by the City of Lathrop, on behalf of the CFD, commencing in the City' s fiscal year 2023- 24, upon lands within the CFD to pay for municipal services, the costs of the City in administering the CFD, and to pay for the costs of acquiring and/or constructing certain facilities; and shall the annual appropriations limit of the CFD be established in the amount of 3, 000, 000 be adopted?
IN WITNESS WHEREOF, I HAVE HEREUNTO SET MY HAND this day of 2023.
By:
City Clerk
EXHIBIT A
ORDINANCE NO. 23-
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LATHROP LEVYING
SPECIAL TAXES WITHIN CITY OF LATHROP COMMUNITY FACILITIES DISTRICT NO. 2023- 1 ( River Islands Public Services and Facilities # 2) WHEREAS, on April 10, 2023 this City Council ( the " City Council") of the City of Lathrop ( the " City"), adopted a resolution entitled " Resolution of Intention to Establish Community Facilities District " stating its intention to establish " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2)" ( the " CFD"), including a " City of Lathrop Community Facilities District No. 2023- 1 ( River Islands Public Services and Facilities # 2) ( Future Annexation Area), pursuant to the Mello -Roos Community Facilities Act of 1982, as amended, sections 53311, et. seq., of the California Government Code ( the " Act"), to finance certain services and the acquisition and construction of certain facilities; WHEREAS, notice was published as required by the Act relative to the intention of this City Council to form the CFD and to provide for certain Services and Facilities # 2;
WHEREAS, this City Council has held noticed public hearings as required by the Act relative to ( i) the determination to proceed with the formation of the CFD and the rate and method of apportionment of the special tax to be levied within the CFD to finance the authorized Services and Facilities # 2 for the CFD; WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to the formation of the CFD and the levy of said special taxes were heard, substantial evidence was presented and considered by this City Council and a full and fair hearing was held;
WHEREAS, subsequent to the hearing, this City Council adopted resolutions entitled " Resolution of Formation of Community Facilities District" ( the " Resolution of Formation") and " Resolution Calling Special Election", which resolutions defined the public Services and Facilities # 2 to be financed by the CFD ( the " Services and Facilities # 2"), established the CFD, authorized the levy of a special tax with the CFD and called an election within the CFD on the propositions of levying a special tax, and establishing an appropriations limit within the CFD, respectively; and WHEREAS, on June 12, 2023 a special election was held within the CFD at which the eligible landowner -electors approved such propositions by the two- thirds vote required by the Act.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LATHROP, as follows:
Attachment T"
Section 1. By the passage of this Ordinance this City Council hereby authorizes and levies special taxes within the CFD pursuant to the Act, at the rate and in accordance with the formula ( the " Rate and Method") set forth in the Resolution of Formation, which Resolution of Formation is by this reference incorporated herein. The special taxes are hereby levied commencing in fiscal year 2023- 24 and in each fiscal year for the period provided in the Rate and Method, as contemplated by the Resolution of Formation, and all costs of administering the CFD.
Section 2. The Finance Director of the City is hereby authorized and directed each fiscal year to determine the specific special tax rate and amount to be levied for the next ensuing fiscal year for each parcel of real property within the CFD, in the manner and as provided in the Resolution of Formation.
Section 3. Properties or entities of the State, federal or local governments shall be exempt from any levy of the special taxes. In no event shall the special taxes be levied on any parcel within the CFD in excess of the maximum tax specified in the Resolution of Formation.
Section 4. All of the collections of the special tax shall be used as provided for in the Act and in the Resolution of Formation including, but not limited to, the payment of the costs of the Services and Facilities # 2, the payment of the costs of the City in administering the CFD, and the costs of collecting and administering the special tax.
Section S. The special taxes shall be collected in the same manner as ordinary ad valorem taxes are collected and shall have the same lien priority, and be subject to the same penalties and the same procedure and sale in cases of delinquency as provided for ad valorem taxes; provided, however, that this City Council may provide for other appropriate methods of collection by resolutions of this City Council. In addition, the provisions of Section 53356. 1 of the Act shall apply to delinquent special tax payments. The Finance Director of the City is hereby authorized and directed to provide all necessary information to the auditor/ tax collector of the County of San Joaquin in order to effect proper billing and collection of the special tax, so that the special tax shall be included on the secured property tax roll of the County of Solano for fiscal year 2023- 14 and for each fiscal year thereafter for the period of time provided in the Rate and Method.
Section 6. If for any reason any portion of this Ordinance is found to be invalid, or if the special tax is found inapplicable to any particular parcel within the CFD, by a court of competent jurisdiction, the balance of this Ordinance and the application of the special tax to the remaining parcels within the CFD shall not be affected.
Section 7. The Mayor shall sign this Ordinance and the City Clerk shall cause the same to be published within fifteen ( 15) days after its passage at least once in a newspaper of general circulation published and circulated in the City.
Section S. This Ordinance shall take effect 30 days from the date of final passage.
THIS ORDINANCE was introduced at a regular meeting of the City Council of the City of Lathrop on the 12th day of June 2023, and was PASSED AND ADOPTED at a regular meeting of the City Council of the City of Lathrop on the day of , 2023, by the following vote, to wit:
AYES:
NOES:
ABSTAIN:
ABSENT:
Sonny Dhaliwal, Mayor
ATTEST: APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney
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