RESOLUTION R2023-XX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MANTECA, STATE OF CALIFORNIA, DEEMING IT NECESSARY TO INCUR BONDED INDEBTEDNESS IN AND FOR CITY OF MANTECA COMMUNITY FACILITIES DISTRICT NO. 2023-1 (VILLA TICINO WEST FACILITIES) IN AN AMOUNT NOT TO EXCEED $24,000,000 TO FINANCE THE ACQUISITION AND CONSTRUCTION OF CERTAIN PUBLIC FACILITIES WHEREAS, the City Council (the “City Council”) of the City of Manteca (the “City”) on May 16, 2023, adopted a resolution of intention titled “Resolution of Intention of the City Council of the City of Manteca to Form City of Manteca Community Facilities District No. 2023-1 (Villa Ticino West Facilities), Designate an Initial Improvement Area Therein and Establish a Future Annexation Area, and to Levy Special Taxes Therein to Finance the Acquisition and Construction of Certain Public Facilities” (the “Resolution of Intention”), stating its intention to (i) form “City of Manteca Community Facilities District No. 2023-1 (Villa Ticino West Facilities)” (the “CFD”) of the City, (ii) designate therein “Improvement Area No. 1 of the City of Manteca Community Facilities District No. 2023-1 (Villa Ticino West Facilities)” (“Improvement Area No. 1”), and (iii) establish “City of Manteca Community Facilities District No. 2023-1 (Villa Ticino West Facilities) (Future Annexation Area)” (the “Future Annexation Area”), all 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, also in the Resolution of Intention, this City Council determined that it may be necessary to designate additional improvement areas in the CFD as a result of the annexation of territory from the Future Annexation Area (each, a “Future Improvement Area”) and to incur bonded indebtedness within the boundaries of the Future Improvement Area; and WHEREAS, the City Council has also adopted on May 16, 2023, a resolution titled “Resolution of the City Council of the City of Manteca, State of California, Declaring Its Intention to Incur a Bonded Indebtedness in and for City of Manteca Community Facilities District No. 20231 (Villa Ticino West Facilities) in an Amount Not to Exceed $24,000,000 to Finance the Acquisition and Construction of Certain Public Facilities” (the “Resolution of Intention to Incur Indebtedness”), stating its intention to incur bonded indebtedness and other debt (as defined in the Act) for the purpose of financing the costs of certain facilities specified in the Resolution of Intention; and WHEREAS, the City Council has held a noticed public hearing as required by the Act about the determination to proceed with the formation of the CFD, Improvement Area No. 1, and the Future Annexation Area, the provision of certain public facilities by the CFD and the respective rate and method of apportionment of the special tax to be levied within Improvement Area No. 1, to pay the cost of the facilities, the principal and interest on the proposed bonded indebtedness in Improvement Area No. 1, and the administrative costs of the City relative to the CFD; and WHEREAS, subsequent to the public hearing, the City Council adopted on June 20, 2023, a resolution titled “Resolution of the City Council of the City of Manteca to Form City of Manteca Community Facilities District No. 2023-1 (Villa Ticino West Facilities), Designate Improvement Area No. 1 Therein and Establish a Future Annexation Area, and to Authorize the Levy of Special Taxes Therein to Finance the Acquisition and Construction of Certain Public Facilities” (the “Resolution of Formation”); and WHEREAS, the City Council has also held a noticed public hearing as required by the Act relative to the matters material to the questions set forth in the Resolution of Intention to Incur Indebtedness; and WHEREAS, No written protests with respect to the matters material to the questions set forth in the Resolution of Intention to Incur Indebtedness have been filed with the City Clerk; and WHEREAS, the City Council has considered all information related to this matter, as presented at the public meetings of the City Council identified herein, including any supporting reports by City Staff, and any information provided during public meetings.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MANTECA, AS FOLLOWS:
The City Council hereby finds that the facts set forth in the recitals to this Resolution are true and correct, and establish the factual basis for the City Council’s adoption of this Resolution.
2. The City Council deems it necessary to incur bonded indebtedness for the CFD in an amount not to exceed $24,000,000 (the “Authorization”), initially allocated as follows: (i) for Improvement Area No. 1, the bonded indebtedness limit is $6,500,000 and (ii) for the portion of the CFD that is not currently in Improvement Area No. 1, the bonded indebtedness limit is not to exceed $17,500,000 (the “Future Improvement Area Indebtedness Limit”). Indebtedness subject to the Authorization shall only include indebtedness evidenced by bonds or notes and shall not include bonds described in Section 53364.2(e) of the Act.
Upon designation of a parcel or parcels annexed into the CFD from the Future Annexation Area as a Future Improvement Area, the Unanimous Consent shall include an authorization to incur bonded indebtedness for such Future Improvement Area in a maximum amount which does not exceed the Future Improvement Area Indebtedness Limit, net of the amount or amounts of the Future Improvement Area Indebtedness Limit previously established in connection with a prior annexation from the Future Annexation Area, which limit shall be set forth in a Unanimous Consent. Such allocation may be made without any requirement for further public hearings, City Council action or other additional proceedings, and the City shall include the Unanimous Consent in the records for the CFD.
3. The whole of Improvement Area No. 1 shall pay for the bonded indebtedness and other debt issued by the City for Improvement Area No. 1 through the levy of the special tax. The tax shall be apportioned in accordance with the formula set forth in Exhibit “B” to the Resolution of Formation R2023-__. The whole of each Future Improvement Area shall pay for the bonded indebtedness and other debt issued by the City for such Future Improvement Area through the levy of the special tax. The tax shall be apportioned in accordance with the formula approved via unanimous approval of parcel(s) annexing into such Future Improvement Area from the Future Annexation Area.
4. Indebtedness in the maximum amount set forth in Section 2 of this Resolution is hereby authorized for Improvement Area No. 1, subject to voter approval. The bonds and other debt may be issued in one or more series and mature and bear interest at such rate or rates, payable semiannually or in such other manner, all as this City Council or its designee shall determine, at the time or times of sale of such bonds and other debt; provided, however, that the interest rate or rates shall not to exceed the maximum interest rate permitted by applicable law at the time of sale of the bonds and other debt, and the bonds and other debt or any series thereof shall have a maximum term of not to exceed 40 years.
Indebtedness in the maximum amount set forth in Section 2 of this Resolution is hereby authorized for the Future Improvement Areas, subject to voter approval evidenced by the applicable unanimous approval form(s). The bonds and other debt may be issued in one or more series and mature and bear interest at such rate or rates, payable semiannually or in such other manner, all as this City Council or its designee shall determine, at the time or times of sale of such bonds and other debt; provided, however, that the interest rate or rates shall not to exceed the maximum interest rate permitted by applicable law at the time of sale of the bonds and other debt, and the bonds and other debt or any series thereof shall have a maximum term of not to exceed 40 years.
5. The proposition of the City incurring the bonded indebtedness and other debt for Improvement Area No. 1 herein authorized shall be submitted to the respective qualified electors of Improvement Area No. 1, and shall be consolidated with elections on the proposition of levying special taxes within Improvement Area No. 1 and the establishment of an appropriations limit for Improvement Area No. 1 pursuant to Section 53353.5 of the Act. The time, place and further particulars and conditions of such election shall be as specified by separate resolution of this City Council. In accordance with Section 53350 of the Act, approval of the limit for the incurrence of bonded indebtedness and other debt for any Future Improvement Area shall be submitted by the owner or owner(s) of parcels in such Future Improvement Area and specified in the applicable unanimous approval form(s), without any other proceedings or hearings required.
6. This Resolution shall take effect immediately upon its adoption.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Manteca at a public meeting of said City Council held on the 20th day of June, 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
MAYOR:
GARY SINGH
Mayor
ATTEST:
CASSANDRA CANDINI-TILTON
City Clerk
R2023-XX Page 4 of 4 June 20, 2023
R2023-__ Page 7 of 5 May 16, 2023
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