Agenda packet — Menifee City Council, September 21, 2022 (part 7 of 18)

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The investments that Black Bear, LLC has made to date include, but are not limited to:
•Adding a new outdoor enhanced patio
•Updated landscaping
•Updated parking slurry
•Enhanced façade to match Black Bear Diners required theme •Adding a parapet for signage and architectural transitions on the roof and cover roof equipment
•Updating electrical and cabling from the 1980’s, and
•Updating the grease trap beyond what was existing previously and what is typically required of EMWD
To help support this business in mitigating these unforeseen costs, the development team presented the restaurant concept to the Economic Development Ad-Hoc Committee on August 23, 2022. The Committee expressed unanimous support for utilizing the incentive program to assist SB Diner, LLC in moving forward with completion of the required improvements for the operation a new location in Menifee at Bradley Road and McCall Boulevard site.

The following is a list of agreement terms with SB Diner, LLC:
•A $50,000 incentive, paid at 50% of the sales tax generated annually, up to three years or whichever occurs first;
•No Quality-of-Life Measure DD funds are to be utilized; •Employ local residents to the best of their ability, to the extent of the law; and •Planned opening by the end of 2022
•SB Diner, LLC, would indemnify the City on all liabilities Based on the completed performance analysis, Black Bear Diner is projected to generate an estimated $30,000 annually in sales tax revenue to the General Fund, and an additional $30,000 annually for Quality-of-Life Measure DD (1% sales and use tax for critical city services), for a total $60,000 annually (excluding property tax). In total, during the proposed life of the agreement with SB Diner, LLC, the City would receive over $241,000 in sales tax revenue to provide vital city services.

Black Bear Diner would hire over 15 full-time and 25 part-time employees. The restaurant has projected they would start to generate a profit in their third year of operation after considering all expenses associated with starting the restaurant, tenant improvements, and façade improvements. An Incentive Operating Agreement is needed to bridge the financial gap for the new location in Menifee.

STRATEGIC PLAN OBJECTIVE
Livable and Economically Prosperous Community: Encouraging the development of amenities that residents desire in the city.

The addition of a Black Bear Diner will provide sales tax generation opportunities for the City, while also revitalizing the Sun City area creating positive economic activity and impeding Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 2
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City of Menifee Staff Report
Economic Development Operating Agreement with SB Diner LLC September 21, 2022

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unwanted crime in the area. Restaurant amenities in the city provide new opportunities for visitors and regional residents to stop and spend money in Menifee, thereby contributing to the City's ability to provide vital and enhanced services for businesses and residents.

FISCAL IMPACT
Per the Agreement, funding for this item would be derived from fifty percent (50%) of the annual sales tax revenue from SB Diner, LLC paid to the City in a not-to-exceed aggregate amount of $50,000 dollars, or three years, whichever comes first.

Based on SB Diner, LLC performance projections, below is a projected payment schedule:
*Not including property tax projections
There is no requested budget increase for the current fiscal year’s Business Incentive Program to fund this Agreement. In future years, this item would be included as part of the annual operating budget submitted for adoption by the City Council.

ATTACHMENTS

1. Agreement with SB Diner LLC

2. Subsidy Report
$50,000 PAYMENTS
50% IncentiveSales Tax City Retains, plus propertyDD City Retains TOTAL CITY Cumulative Total Year 1 15,000$ 15,000$ 30,000$ 45,000$ 60,000$ Year 2 17,500$ 20,662$ 35,000$ 55,662$ 73,162$ Year 3 17,500$ 20,500$ 38,000$ 58,500$ 76,000$ Year 4 -$ 41,000$ 41,000$ 82,000$ 82,000$ TOTAL 50,000$ 97,162$ 144,000$ 241,162$ 291,162$ Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 3
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AGREEMENT TO ENTER INTO COVENANT TO

OPERATE AND TO SHARE SALES TAX REVENUE
This AGREEMENT TO ENTER INTO COVENANT TO OPERATE AND TO SHARE SALES TAX REVENUE (the “Agreement”) is entered into this September 21, 2022, by and between the CITY OF MENIFEE, a California municipal corporation (“City”), and SB DINER LLC a California corporation (“Developer”) (individually a “Party” and collectively the “Parties”).

R E C I T A L S
A. Developer has entered or intends to enter into a ground lease with Cetus Enterprises Incorporated (the “Owner”), which is the fee owner of the real property and buildings thereon located at 27990 Bradley Road, in Menifee, California consisting of approximately 6,476 square feet which is more particularly described in the legal description attached hereto and incorporated herein as Exhibit 1 (the “Site”).

B. If Developer obtains the necessary governmental permits and approvals from all governmental agencies with jurisdiction, including City, Developer intends to construct certain tenant improvements at the Site and open and operate a Black Bear Diner restaurant thereon (the “Restaurant”).

C. In consideration for Developer’s execution of the Covenants, Conditions, and Restrictions Affecting Real Property substantially in the form attached hereto and incorporated herein as Exhibit 2 (the “Covenant”), City has agreed to make certain periodic payments to Developer to assist Developer in the continued operation of the Restaurant, in an amount equal to a portion of the sales tax generated by the operation of the Restaurant (the “Sales Tax”), subject to and in accordance with the other terms and conditions set forth in this Agreement and the Covenant. The Covenant shall become effective only if the terms and conditions set forth herein as a condition to its effectiveness are satisfied.

D. By its approval of this Agreement, the City Council of City has found and determined as follows: (i) that, notwithstanding any other provision set forth in this Agreement or the Covenant which may appear to be to the contrary, City’s approval and execution of this Agreement shall not constitute a prejudgment or precommitment by City with respect to any of the discretionary City permits and approvals that may be required for the Site, including without limitation any Specific Plan Amendment (“SPA”), Planned Community (“PC”) Development Plan text amendment, and use permit, and the environmental reviews and approvals in conjunction with the foregoing that are required to accommodate the Restaurant on the Site, and City reserves its full and unfettered discretion with respect thereto to the same extent it would have such discretion in the absence of this Agreement; (ii) subject to the foregoing, City recognizes that the City payments provided for in the Covenant are necessary in order to make locating the Restaurant financially feasible; (iii) the value to City of Developer’s performance of its Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 4
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obligations set forth in the Covenant in each fiscal year during which City payments are to be made (in terms of economic revitalization, generation of additional local tax revenues that will help to fund vital public services, provision of expanded and more accessible full-service, sit-down dining opportunities for the residents of City, and job growth and retention) will be not less than the amount of such payments; and (iv) that the imposition of the covenants and use restrictions upon the Site pursuant to the Covenant in exchange for the payments to be made by City constitutes a valid public purpose.

C O V E N A N T S
Based upon the foregoing Recitals, which are incorporated herein by this reference, and for other good and valuable consideration, the receipt and sufficiency of which is acknowledged by both Parties, City and Developer hereby agree as follows:

1. Defined Terms. Any capitalized terms contained in this Agreement, which are not defined in this Agreement, shall have the meanings ascribed to such terms in the Covenant.

2. Execution and Recordation of Covenant. Within ten (10) days after the latest to occur of the following events (collectively, the “Covenant Conditions”), City and Developer shall fill in the blanks, date, and execute the Covenant in recordable form and Developer shall record the Covenant against the Site and provide a copy of the recorded Covenant to City: (i) the date City issues its final approval of all discretionary land use permits and approvals required to accommodate the Restaurant on the Site including, without limitation, any GPA, PC Development Plan text amendment, use permit (if applicable), and environmental reviews and approvals in conjunction therewith, but specifically excluding Developer’s performance of any conditions of approval imposed on any such discretionary permit; (ii) the date City and any other applicable government agency issues all building use and operation permits necessary for Developer to develop and operate the Restaurant other than those which by their nature cannot be issued without the progress or completion of construction including, without limitation, any demolition permit, grading permit, encroachment permit for work or improvements to occur within public rights-of-way, foundation permit, building permit, and similar ministerial or administrative permits; (iii) the date Developer enters into a ground lease with the Owner for the lease of the Site, which Ground Lease has been reviewed and approved by the City Attorney of City, in his or her reasonable discretion; and (iv) the expiration of any periods for challenge of, or appeal from, all of the foregoing and the absence of any such challenge, appeal or the successful resolution thereof. These conditions are for the benefit of both City and Developer. City agrees to cooperate in the recordation of the Covenant against the Site at no cost to City, and the City Manager or his designee is hereby authorized on behalf of City to execute all documents and take all actions necessary or appropriate to implement this Agreement; provided, however, that in no event shall such date of recordation be later than the date the Restaurant opens for business.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 5
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3. Termination of Agreement. If the Covenant Conditions are not satisfied on or before November 1, 2027, or such later deadline as may be mutually approved in writing prior to that date by City and Developer, this Agreement shall automatically terminate and be of no further force or effect at such time without the requirement of any further notice or action by either Party, and thereafter neither Party shall have any further rights or obligations hereunder.

4. Covenant. Upon recordation of the Covenant, to the extent there are conflicts between this Agreement and the Covenant, the provisions of the Covenant shall prevail.

5. Assignment. The rights and benefits of this Agreement are personal to Developer. Developer shall not assign, hypothecate, encumber, or otherwise transfer, voluntarily, involuntarily, or by operation of law, any of its rights and/or obligations set forth in this Agreement to any other person or entity without City’s prior written consent, which consent City may grant or withhold in its sole and absolute discretion.

6. Cooperation in the Event of Legal Challenge; Validation Action. In the event any third party files an action seeking to invalidate this Agreement or the Covenant or seeking any equitable remedy that would prevent the full performance hereof or thereof, City and Developer agree to cooperate in the defense of such action. Developer shall pay all of City’s costs and expenses (including attorneys’ fees), shall indemnify City as provided in Section 7 of this Agreement, and City shall have the sole right to select its legal counsel; provided, however, that such obligation to indemnify and pay costs and expenses shall terminate if Developer elects in a written notice delivered to City to terminate the Covenant rather than to oppose such challenge. Such cooperation shall include, without limitation: (i) an agreement by each Party to not default or allow a compromise of said action without the prior written consent of the other Party; (ii) an agreement by each Party to make available to the other Party all non-privileged information necessary or appropriate to conduct the defense of the action; and (iii) an agreement by each Party to make available to the other Party, without charge, any witnesses within the control of the first Party upon reasonable notice who may be called upon to execute declarations or testify in said action.

In addition to the foregoing, if Developer delivers a written request for such action to City (c/o the City Manager and the City Attorney) not later than five (5) days after the date the City Council of City approves this Agreement at a public meeting, City shall file an action in Riverside County Superior Court pursuant to California Code of Civil Procedure Section 860 et seq. to validate this Agreement and the Covenant and each and every one of its and their provisions. In such event, City and Developer shall reasonably cooperate in drafting the complaint, briefs, the proposed judgment of validation, and such other pleadings, documents, and filings as may be required or desirable in connection with the validation action. City and its legal counsel shall file and prosecute the validation action but shall reasonably coordinate and cooperate with Developer concerning the drafting of pleadings and other documents and with regard to the litigation strategy to be employed. Developer shall reimburse City within fifteen (15) days after written demand therefor for all costs (“Costs”) of the validation action. Costs Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 6
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include, without limitation, attorney’s fees, filing fees and court reporter fees (if any), costs of publication and to effectuate service of process, reasonable photocopying and other reproduction charges, travel time and mileage expenses, and other costs and expenses reasonably incurred by City. In the event of an appeal of such action, the Parties shall cooperate with respect to the appeal to the same extent as at the Superior Court level of the proceedings.

Upon the entry of a final non-appealable judgment of any court with jurisdiction invalidating or enjoining the performance of any material covenant set forth in this Agreement or the Covenant, this Agreement and the Covenant shall automatically terminate without the need of further notice or action by either Party, except that any reimbursement obligations of Developer shall survive such termination.

7. Indemnification of City. Developer shall defend, indemnify, assume all responsibility for, and hold City, and City’s representatives, volunteers, officers, members, employees and agents, harmless from any and all claims, demands, damages, defense costs or liability of any kind (including attorneys’ fees and costs), that arise from this Agreement (other than those damages caused by the breach of the Agreement by City or by the gross negligence or willful misconduct of City, City’s representatives, volunteers, officers, members, employees and agents) including, but not limited to, Developer’s failure to pay, if required, prevailing wages on the construction and development of the Restaurant; provided, however, that such obligation shall lapse as provided in Section 6 of this Agreement if Developer elects not to oppose a challenge to the Covenant.

Developer shall be solely responsible for determining and effectuating compliance with prevailing wage laws, and City makes no representation as to the applicability or non- applicability of any of such laws to the development and construction of the Restaurant or any part thereof. Developer hereby expressly acknowledges and agrees that City has not previously affirmatively represented to Developer or its contractor(s), in writing or otherwise, in a call for bids or otherwise, that the development or construction of a Restaurant is not a “public work,” as defined in Section 1720 of the Labor Code.

8. Compliance with Laws. During the entire “Operating Period” (as that term is defined in the Covenant), Developer shall operate the Restaurant on the Site in conformity with all applicable federal, state (including without limitation the California Civil Code, the California Government Code, the California Health & Safety Code, the California Labor Code, the California Public Resources Code, and the California Revenue & Taxation Code), and local laws, ordinances, and regulations, provided that Developer does not waive its right to challenge the validity or applicability thereof to Developer or the Site. The operation of the Restaurant shall be in compliance with the requirements of any and all discretionary permits issued by City for the Restaurant, including, without limitation, all of the conditions of approval issued in connection therewith.

9. Representation and Warranty Regarding Restaurant. Developer represents and warrants to City that (i) it possesses the necessary rights to develop and operate the Restaurant as a Savage Chef Bar and Grill restaurant; and (ii) Developer is not in default of any of its obligations under any other agreements Developer has entered into to operate the Restaurant; and (iii) there are no existing conditions or occurrences Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 7
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that, with the passage of time, would constitute a default under any other agreements Developer has entered into to operate the Restaurant.

10. Integration and Amendment. This Agreement and the Covenant attached hereto constitute the entire Agreement by and between the Parties pertaining to the subject matter hereof, and supersede all prior agreements and understandings of the Parties with respect thereto. This Agreement may not be modified, amended, or otherwise changed except by a writing executed by both Parties.

11. Notices. Notices to be given by City or Developer hereunder may be delivered personally or may be delivered by certified mail or by reputable overnight delivery service providing a delivery confirmation receipt, with mailed notices to be addressed to the appropriate address(es) hereinafter set forth or to such other address(es) that a Party may hereafter designate by written notice. If served by overnight delivery service or certified mail, service will be considered completed and binding on the Party served on the date set forth in the confirmation or certification receipt.

If notice is to City: City of Menifee
29844 Haun Road
Menifee, California 92586
Attention: City Manager
with a copy to: City Attorney
City of Menifee
29844 Haun Road
Menifee, California 92586
Attention: Jeffrey T. Melching, City Attorney
If notice is to Developer: Black Bear Diner
27990 Bradley Road,
Menifee, CA 92584
Attention: Parth Mehta

12. Counterparts. This Agreement may be executed in counterparts which, when taken together, shall constitute one fully executed Agreement.

13. Authority to Execute. The person(s) executing this Agreement on behalf of each of the Parties hereto represent and warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said Party, (iii) by so executing this Agreement, such Party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which such Party is bound.

14. Legal Actions. This Agreement shall be governed by and construed in accordance with the internal laws of the State of California without regard to conflict of law principles.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 8
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In the event of any litigation between the Parties hereto, the prevailing Party shall be entitled to receive, in addition to the relief granted, its reasonable attorney’s fees and costs and such other costs incurred in investigating the action and prosecuting the same, including costs for expert witnesses, costs on appeal, and for discovery.

15. Nonliability of City Officials. No member, official or employee of City shall be personally liable to Developer, or any successor in interest, in the event of any Default or breach by City or for any amount which may become due to Developer or its successors, or on any obligations under the terms of this Agreement or the Covenant. [End – Signature page follows]
Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 9
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IN WITNESS WHEREOF, City and Developer have executed this Agreement to be effective as of the date first set forth above.

CITY:

CITY OF MENIFEE, a California municipal
corporation
___________________________
Armando G. Villa, City Manager
ATTEST:
_______________________
Stephanie Roseen, Acting City Clerk
APPROVED AS TO FORM:

RUTAN & TUCKER, LLP
____________________________
Jeffrey T. Melching, City Attorney
“Developer”
SB DINER, LLC., a California corporation
By: ______________________
Parth Mehta
Its: ______________________
Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 10
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EXHIBIT 1

LEGAL DESCRIPTION OF SITE

THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF SUN CITY, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS:

PARCEL A:

PARCEL 1 IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 14, PAGE 5 OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; EXCEPTING THEREFROM THAT PORTION CONVEYED BY DEED RECORDED NOVEMBER 9, 1978 AS INSTRUMENT NO. 237273, OFFICIAL RECORDS DESCRIBED AS FOLLOWS:

BEGINNING ON THE NORTHEASTERLY LINE OF SAID PARCEL 1, NORTH 26° 30’ 50” WEST,

95.00 FEET FROM THE MOST EASTERLY CORNER THEREOF;
THENCE SOUTH 26° 30’ 50” EAST 95.00 FEET ON SAID NORTHEASTERLY LINE TO SAID MOST EASTERLY CORNER;
THENCE SOUTH 26° 30’ 50” EAST 95.00 FEET ON SAID NORTHEASTERLY LINE TO SAID MOST EASTERLY CORNER;
THENCE SOUTH 69° 44’ 14” WEST, 362.59 FEET ON THE SOUTHEAST LINE OF SAID PARCEL 1 TO THE SOUTHWEST CORNER THEREOF, AND THE BEGINNING OF A NONTANGENT CURVE, CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 556.00 FEET, A RADIAL TO SAID BEGINNING BEARS SOUTH 36° 47’ 45” WEST; THENCE NORTHWEST 60.00 FEET ON SAID CURE AND THE SOUTHWESTERLY LINE OF SAID PARCEL 1 THROUGH A CENTRAL ANGLE OF 06° 10’ 59”;
THENCE, LEAVING SAID SOUTHWESTERLY LINE, NORTH 69° 44’ 14” EAST, 108.85 FEET, PARALLEL WITH SAID SOUTHEAST LINE;
THENCE NORTH 20° 15’ 46” WEST, 97.99 FEET;
THENCE NORTH 69° 44’ 14” EAST, 246.35 FEET, PARALLEL WITH SAID SOUTHEAST LINE OF PARCEL 1 TO A POINT ON SAID NORTHEASTERLY LINE THEREOF, SAID POINT BEING NORTH 46° 05’ 41” WEST 61.73 FEET FROM THE POINT OF BEGINNING; THENCE SOUTH 46° 05’ 41” EAST, 61.73 FEET ON SAID NORTHEASTERLY LINE TO THE POINT OF BEGINNING.

EXCEPT FIFTY-TWO PERCENT OF THE ONE-HUNDRED PERCENT OF ALL OIL AND

MINERALS, RIGHTS IN, ON AND UNDER THE HEREIN DESCRIBED PROPERTY WITHOUT ANY RIGHTS OF INGRESS OR EGRESS AS RESERVED IN DEED FROM GEORGE D.

NEWPORT AND DOROTHEA K. NEWPORT, HUSBAND AND WIFE, RECORDED NOVEMBER 29, 1957 IN BOOK 2185, PAGE 189 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

PARCEL B:

A NON-EXCLUSIVE EASEMENT FOR INGRESS, EGRESS AND PARKING PURPOSES AS RESERVED BY THE MARRIOTT CORPORATION IN THE DEED RECORDED NOVEMBER 9, 1978 AS INSTRUMENT NO. 237273 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 11
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EXHIBIT 2

COVENANTS, CONDITIONS, AND RESTRICTIONS

AFFECTING REAL PROPERTY
[See following document]
Item Title: 11.2
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PLEASE RECORD AND WHEN RECORDED
RETURN TO:

CITY OF MENIFEE
29844 Haun Road
Menifee, CA 92586
Attn: City Clerk
[Space above this line for Recorder’s use only]
[Recorded for the benefit of the City of Menifee
and exempt from recording fees pursuant to
Government Code Section 27383]

COVENANTS, CONDITIONS, AND RESTRICTIONS

AFFECTING INTERESTS IN REAL PROPERTY
This COVENANTS, CONDITIONS, AND RESTRICTIONS AFFECTING
INTERESTS IN REAL PROPERTY (the “Covenant”) is entered into as of this September 21, 2022, by and between the CITY OF MENIFEE, a California municipal corporation (“City”), and SB DINER LLC., a California corporation (“Developer”) (individually a “Party” and collectively the “Parties”).

R E C I T A L S
A. Developer has a leasehold interest in that certain real property consisting of approximately six thousand, four hundred seventy-six (6,476 sf), at 27990 Bradley Road, in the City of Menifee, County of Riverside, State of California, which is more particularly described in the legal description attached hereto as Exhibit “A” and incorporated herein by this reference (the “Site”).

B. On or about September 21, 2022, City and Developer entered into that certain unrecorded agreement captioned “Agreement to Enter into Covenant to Operate and to Share Sales Tax Revenue” (the “Agreement”) authorizing the recordation of this Covenant against the Site upon the timely satisfaction of the “Covenant Conditions” identified therein.

C. Subject to the terms and conditions hereof and of the “Entitlements” (as that term is defined below), Developer has agreed to construct certain tenant improvements and the Site and open and operate thereon a Savage Chef Bar and Grill restaurant (the “Restaurant”).

D. In consideration for Developer’s encumbrance of the Site by this Covenant and Developer’s performance of its obligations hereunder, City has agreed to make certain payments to Developer, the amount of which are measured by the “Sales Taxes Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 13
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From the Site” (as that term is defined below) generated by the operation of the Restaurant on the Site. City and Developer have agreed that the portion of Sales Taxes From the Site required to be paid by City to Developer hereunder during each “Fiscal Year” of the “Operating Period” (as those terms are defined below) provided for herein is a fair exchange for the consideration to be furnished by Developer to City in that Fiscal Year.

C O V E N A N T S
Based upon the foregoing Recitals, which are incorporated herein by this reference and are acknowledged by the Parties as true and correct, and for other good and valuable consideration, the receipt and sufficiency of which is acknowledged by both Parties, City and Developer hereby agree as follows:

1. DEFINED TERMS.

The following terms when used in this Covenant shall have the meanings set forth below:

The term “Agreement” shall have the meaning ascribed in Recital B of this Covenant.

The term “Commencement Date” shall mean the first day of the first month following the date City issues to Developer a Certificate of Occupancy for the Restaurant.

The term “Covenant Payments” shall mean the amounts to be paid by City to Developer with respect to each Fiscal Year of the Operating Period.

The term “Covenant Payments Cap Amount” shall have the meaning ascribed in Section 4.1.1(b) of this Covenant.

The term “Default” shall have the meaning ascribed in Section 5.1 of this Covenant.

The term “Entitlements” shall mean those discretionary City land use permits and approvals (including all conditions of approval therein) required to authorize development and operation of the Restaurant on the Site, as the same may be amended from time to time.

The term “Fiscal Year” shall mean City’s fiscal year, which commences on July 1 and ends on the next succeeding June 30.

The term “Holder” shall have the meaning ascribed in Section 5.1(b) of this Covenant.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 14
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The term “Maintenance Standards” shall have the meaning ascribed in Section

3.3 of this Covenant.

The term “Quality of Life Measure DD Tax” shall mean the sales and use taxes received by City as a result of Ballot Measure DD, which was approved in the November 2016 election and authorizes City to impose a sales tax of one percent (1%) to fund general City services.

The term “Municipal Code” shall mean the Menifee Municipal Code.

The term “Operating Period” refers to the period between the Commencement Date and the Termination Date.

The term “Restaurant” shall have the meaning described in Recital C.

The term “Site” shall have the meaning ascribed in Recital A of this Covenant.

The term “Sales Taxes From the Site” means the amount equal to the sales and use taxes that are generated from sales occurring on the Site on which sales or use taxes are imposed pursuant to applicable California law in each Fiscal Year during the Operating Period which are actually received by City from the State Department of Tax and Fee Administration, but excluding any Measure DD Tax. In connection therewith:
(i) Developer shall timely report, and shall cause its
tenants (if any) to report, all sales and use taxes from the Site to the State Department of Tax and Fee Administration in accordance with the laws, rules, and regulations applicable to such reporting.
(ii) Sales Taxes from the Site shall be deemed to have
been paid by the State Department of Tax and Fee Administration to City if and to the extent the State Department of Tax and Fee Administration elects to offset the payment of any such Sales Taxes From the Site against any other obligation of City. (iii) Developer acknowledges that the State Department of Tax and Fee Administration makes payments to City based on both actual and anticipated sales and use tax revenues and that the State Department of Tax and Fee Administration makes periodic reconciliations. The determination of Sales Taxes From the Site for any annual, quarterly, or other period shall be subject to the timing and reconciliation process related to the processing by the State Department of Tax and Fee Administration of payments of such Sales Taxes From the Site to City. Any adjustments resulting from any interim or estimated determination of Sales Taxes From the Site for any annual, quarterly, or other period shall be reconciled by the Parties as soon as practicable without inclusion of, or any obligation to pay, interest.
(iv) Sales Taxes From the Site shall be determined based on actual amounts received by City based only on City’s share of the State sales and use tax applicable to the Site (which, as of the Effective Date, is 1% of the taxable amount).

Sales Taxes From the Site shall not include (a) amounts paid to City by the State Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 15
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Department of Tax and Fee Administration derived from any sales tax overrides or special tax amounts received by City, such as Quality of Life Measure DD Tax, or property taxes, or (b) any administrative fees or charges imposed by the State Department of Tax and Fee Administration that reduce the actual amounts of sales and use taxes received by City.
(v) Developer shall, and shall cause its tenants (if any) to, keep full and accurate books of account, records, and other pertinent data showing all gross income earned upon the Site that is reportable for California sales and use tax purposes, including all documents required to be maintained by the State of California for sales and use tax purposes.
(vi) Developer shall furnish, and shall cause its tenants (if any) to furnish, to City true and correct photocopies of its quarterly California sales and use tax returns at the time each is filed with the State of California, together with a copy of all checks or wire transfers or other forms of transfer of funds sent for such payment of sales and use taxes.

The term “Termination Date” shall mean the date that is the earliest of (i) the date that is three (3) years following the Commencement Date, (ii) the date that the Covenant Payments Cap Amount is paid in full; or (iii) the date on which this Covenant is terminated pursuant to Sections 5.2 or 5.3 of this Covenant, as applicable.

2. CONDITION TO DEVELOPER’S RIGHT TO RECEIVE COVENANT
PAYMENTS.

2.1 Outside Dates. Notwithstanding any other provision set forth in this Covenant, and subject to extension for events of force majeure as provided in Section 6.6 of this Covenant, (i) if the Commencement Date does not occur before the date that is twelve (12) months after the date of this Covenant, or (ii) if a building permit is not issued for the Restaurant within thirty (30) days after the Effective Date, either Developer or City may terminate this Covenant by delivery of written notice of termination to the other Party and, in such event, neither Party shall have any further rights against or obligations to the other Party arising out of this Covenant.

2.2 Opening Date. As a condition precedent to Developer’s right to receive the Covenant Payments, Developer shall be required to develop the Restaurant in accordance with the development plan set forth in Exhibit “B”, which is attached hereto and incorporated herein by this reference, and commence operations and open the Restaurant to members of the public within thirty (30) days after the Commencement Date.

2.3 Operating Condition. If Developer, or any assignee permitted by this Covenant, ceases to operate a Restaurant on the Site other than by reason of any closure that is permitted by this Covenant, then this Agreement shall terminate as of the date such operation is discontinued (other than by reason of a closure that is permitted by this Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 16
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Covenant) and no further payments shall be due under Section 4.1 below by reference to Sales Taxes From the Site generated in any calendar quarters after such date.

3. DEVELOPER’S OBLIGATIONS.

3.1 Continuous Operation. During the Operating Period, Developer covenants and agrees to continuously operate the Restaurant on the Site, serving, at a minimum, lunch and dinner, seven (7) days a week (subject to temporary interruptions for casualty losses, repairs, labor unrest, and the like, provided, however, that no such interruptions shall continue for more than five (5) days without City’s prior written consent, which consent may be withheld in City’s sole and absolute discretion during the entire Operating Period).

3.2 Use Restriction. During the entire Operating Period, the Site shall not be put to any use other than the operation of the Restaurant and uses ancillary thereto.

3.3 Maintenance and Repair of Site; Landscaping. During the entire Operating Period, Developer, at its sole cost and expense, shall keep and maintain the Site and the improvements thereon and all facilities appurtenant thereto in first class condition and repair, consistent with Developer's other restaurants in Temecula, such as Zoro’s Mediterranean, and free from accumulations of debris, weeds, graffiti, and waste materials, with landscaping in a healthy condition, and shall otherwise fully comply with the Site’s maintenance standards established in the Entitlements (collectively, the “Maintenance Standards”). During such period, Developer shall not abandon any portion of the Site or leave the Site unguarded or unprotected, and shall not otherwise act or fail to act in such a way as to unreasonably increase the risk of any damage to the Site or of any other impairment of City’s interest set forth in this Covenant. During the entire Operating Period, Developer, at its sole cost and expense shall maintain the landscaping on the Site in compliance with the approved landscape plans.

3.4 Failure to Maintain Site and Restaurant. In the event Developer does not maintain the Site or the Restaurant in the manner set forth herein and in accordance with the Maintenance Standards, City shall have the right, but not the obligation, to maintain such private and/or public improvements, or to contract for the correction of such deficiencies, in accordance with the provisions of this Section 3.4. City shall notify Developer in writing if the condition of said improvements do not meet with the Maintenance Standards and to specify the deficiencies and the actions required to be taken by Developer to cure the deficiencies. Subject to the following sentence, upon notification of any maintenance deficiency, Developer shall have thirty (30) days within which to correct, remedy or cure the deficiency. If the written notification states the problem is urgent relating to the public health and safety of City, then Developer shall have forty-eight (48) hours to correct, remedy, or cure the problem.

In the event Developer or any person or entity acting on behalf of Developer fails to correct, remedy, or cure after notification and after the period of correction has lapsed Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 17
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(or, for deficiencies that cannot reasonably be corrected, remedied, or cured within such period, if Developer or any person or entity acting on behalf of Developer has not commenced correcting, remedying or curing such maintenance deficiency within such period and diligently pursued such correction, remedy or cure to completion), then City shall have the right to maintain such improvements. Developer agrees to pay City such charges and costs. Until so paid, City shall have a lien on the Site for the amount of such charges or costs, which lien shall be perfected by the recordation of a “Notice of Claim of Lien” against the Site. Upon recordation of a Notice of a Claim of Lien against the Site, such lien shall constitute a lien on the fee estate in and to the Site prior and superior to all other monetary liens except: (i) all taxes, bonds, assessments, and other levies which, by law, would be superior thereto; (ii) the lien or charge of any mortgage, deed of trust, or other security interest then of record made in good faith and for value, it being understood that the priority of any such lien for costs incurred to comply with this Covenant shall date from the date of the recordation of the Notice of Claim of Lien. Any lien in favor of City created or claimed hereunder is expressly made subject and subordinate to the lien of any mortgage or deed of trust made in good faith and for value, recorded as of the date of the recordation of the Notice of Claim of Lien describing such lien as aforesaid, and no such lien shall in any way defeat, invalidate, or impair the obligation or priority of any such mortgage or deed of trust, unless the mortgage or beneficiary thereunder expressly subordinates his interest, of record, to such lien. Upon foreclosure of any mortgage or deed of trust made in good faith and for value and recorded prior to the recordation of any unsatisfied Notice of Claim of Lien, the foreclosure-purchaser shall take title to the Site free of any lien imposed by City that has accrued up to the time of the foreclosure sale, and upon taking title to the Site, such foreclosure-purchaser shall only be obligated to pay costs associated with this Covenant accruing after the foreclosure-purchaser acquires title to the Site. Developer acknowledges and agrees City may also pursue any and all other remedies available in law or equity. Developer shall be liable for any and all attorneys’ fees, and other legal costs or fees incurred in collecting said maintenance costs.

3.5 Continued Operation of Restaurant. During the entire Operating Period, Developer shall operate the Dine- in area of the Restaurant. Developer shall also use its best efforts to review and hire Restaurant employees from Menifee or the local area, to the extent legally permissible.

3.6 Compliance with Laws. During the entire Operating Period, Developer shall construct and operate the Restaurant on the Site in conformity with all applicable federal, state (including without limitation the California Civil Code, the California Government Code, the California Health & Safety Code, the California Labor Code, the California Public Resources Code, and the California Revenue & Taxation Code), and local laws, ordinances, and regulations (including without limitation City standards relating to the placement of storage containers), provided that Developer does not waive its right to challenge the validity or applicability thereof to Developer or the Site. The operation of the Restaurant shall be in compliance with all of the requirements of any permits issued by City for the Restaurant, including, without limitation, all of the conditions of approval issued in connection therewith.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 18
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Nothing herein constitutes a representation or warranty by City that the construction of the Restaurant is not a “public work” or otherwise subject to California Health and Safety Code Sections 33423 through 33426, or Chapter 1 of Part 7 of the California Labor Code (commencing with section 1720), and all applicable statutory and regulatory provisions related thereto, and Developer expressly waives any right of reimbursement for any “increased costs” under California Labor Code Section 1781 or otherwise with respect to the Restaurant or Developer’s development thereof. Developer shall indemnify, defend, and hold City and City’s representatives, volunteers, officers, officials, members, employees, and agents harmless, including, but not limited to, litigation costs, expert witness fees, and reasonable attorneys’ fees, from and against any and all claims pertaining to the payment of wages in connection with Developer’s development of the Restaurant on the Site or failure to comply with federal or state labor laws, regulations, or standards.

3.7 Non-Discrimination. In the development, opening, and operation of the Restaurant, Developer agrees not to violate applicable laws that prohibit discrimination against any person or class of persons by reason of gender, sexual orientation, marital status, race, color, creed, mental or physical disability, religion, age, ancestry, or national origin.

3.8 Indemnification of City. Developer shall defend, indemnify, assume all responsibility for, and hold City, and City’s representatives, volunteers, officers, employees and agents, harmless from any and all claims, demands, damages, defense costs or liability of any kind (including attorneys’ fees and costs), that arise from Developer’s operation of the Site or which may be caused by any acts or omissions of the Developer under this Covenant, whether such activities or performance thereof be by Developer or by anyone directly or indirectly employed or contracted with by Developer and whether such damage shall accrue or be discovered before or after termination of this Covenant including, but not limited to, Developer’s failure to pay, if required, prevailing wages on the construction and development of the Restaurant. Developer shall be solely responsible for determining and effectuating compliance with prevailing wage laws, and the City makes no representation as to the applicability or non-applicability of any of such laws to the development and construction of the Restaurant or any part thereof. Developer hereby expressly acknowledges and agrees that City has not previously affirmatively represented to Developer or its contractor(s), in writing or otherwise, in a call for bids or otherwise, that the development or construction of the Restaurant is not a “public work,” as defined in Section 1720 of the Labor Code.

4. OBLIGATIONS OF CITY.

4.1 Covenant Payments to Developer.

4.1.1 Amount of Covenant Payments; Cap. In consideration for Developer’s undertakings pursuant to this Covenant and the encumbrance of Developer’s interest in the Site pursuant to this Covenant, City shall make the following Covenant Payments to Developer after the end of each Fiscal Year (or part thereof) during the Operating Period:

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 19
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(a) Subject to subparagraph (b) below, the Covenant Payments with respect to each Fiscal Year shall be in an amount equal to fifty percent (50%) of the Sales Taxes From the Site for that Fiscal Year (excluding Quality of Life Measure DD sales and Use tax and property tax) except that in the Fiscal Year during which the Termination Date occurs, the Covenant Payments shall be prorated such that City shall only pay to Developer 50% of the Sales Taxes From the Site. (b) Notwithstanding any other provision set forth in this Covenant to the contrary, in no event shall the total amount of Covenant Payments made by City to Developer exceed the sum of Fifty Thousand Dollars ($50,000) (the “Covenant Payments Cap Amount”). In this regard, it is understood and agreed that the Covenant Payments are in consideration of Developer’s performance during each Fiscal Year of the Operating Period and are not repayments of a loan.
(c) Notwithstanding any other provision set forth in this Covenant to the contrary, even in the event the Covenant Payments Cap Amount has not been reached at the end of the Operating Period, City shall have no further obligation after that time to make additional Covenant Payments.

4.1.2 Source of Payments. The Covenant Payments shall be payable from any source of funds legally available to City, including City’s general fund. In this regard, it is understood and agreed that the Sales Taxes From the Site are being used merely as a measure of the amount of the Covenant Payments that are periodically owing by City to Developer, and that City is not pledging any portion of the actual Sales Taxes From the Site to Developer.

4.1.3 Payment Procedure. Not later than one hundred twenty (120) days after the end of each Fiscal Year during the Operating Period, City shall pay the Covenant Payment for said Fiscal Year, or portion thereof, to Developer. Each such Covenant Payment shall be accompanied by a statement identifying (i) the amount of Sales Taxes From the Site upon which the Covenant Payment was calculated, and (ii) a cumulative total comparing how the Covenant Payment in question, together with all prior Covenant Payments, relate to the Covenant Payments Cap Amount..

4.1.4 Books and Records. Upon the written request of either Party, the other Party shall make available for inspection (at City Hall in the event of a review of City records and at Developer’s place of business in Menifee in the event of a review of Developer’s records) such of its books and records as the requesting Party may reasonably determine must be reviewed in order determine whether the correct amount of Covenant Payments have been made or are being made hereunder. Notwithstanding the foregoing, City shall not be required to produce any books or records that it is prohibited from producing by law and Developer shall not be required to produce information that violates the statutorily prescribed privacy rights of individual customers.

4.1.5 No Acceleration; Prepayment Permitted. It is acknowledged by the Parties that any payments by City provided for in this Covenant are in consideration for the performance by Developer during the time period(s) for which payments are due.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 20
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Therefore, City’s failure to timely make any payments or City’s failure to perform any of its other obligations hereunder shall not cause the acceleration of any anticipated future Covenant Payments by City to Developer. The City shall be permitted to prepay any of the Covenant Payments at any time without penalty.

4.2 Additional Condition Precedent to City’s Obligations. In addition to the provisions set forth in Section 2 of this Covenant, City’s obligation to make the Covenant Payments pursuant to Section 4.1 of this Covenant for any Fiscal Year during the Operating Period shall be contingent and conditional upon Developer’s performance of its obligations set forth in Section 3 of this Covenant during such Fiscal Year.

5. DEFAULTS AND REMEDIES.

5.1 Defaults.
(a) Subject to Force Majeure (Section 6.6 of this Covenant), the occurrence of any of the following shall constitute a “Default”:
(i) the failure by either Party to perform any obligation of such Party for the payment of money under this Covenant if such failure is not cured within fifteen (15) calendar days after the nonperforming Party’s receipt of written notice from the other Party that such obligation was not performed when due; or (ii) the failure by either Party to perform any of its
obligations (other than obligations described in clause (i) of this Section 5.1) set forth in this Covenant, if such failure is not cured within thirty (30) days after the nonperforming Party’s receipt of written notice from the other Party or, if such failure is of a nature that cannot reasonably be cured within thirty (30) days, the failure by such Party to commence such cure within thirty (30) days and thereafter diligently and continuously prosecutes such cure to completion; or
(iii) any representation or warranty by a Party set forth in this Covenant proves to have been incorrect in any material respect when made; or (iv) Developer fails to meet any Development Milestone, attached hereto as Exhibit “B”; or
(v) Developer closes the Restaurant; or
(vi) the Restaurant is materially damaged or destroyed by fire or other casualty during the Operating Period and Developer fails to commence restoration of the improvements within six (6) months or thereafter fails to diligently and continuously proceed to complete such restoration in accordance with this Covenant; or (vii) Developer makes any total or partial sale, transfer, conveyance, assignment, subdivision, or lease of the whole or any part of any of the Site, the Restaurant, the Agreement, and/or this Covenant without City’s prior written consent, which consent City may grant or withhold in its sole and absolute discretion, or if any Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 21
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voluntary or involuntary successor-in-interest of Developer acquires any rights or powers under the Agreement and/or this Covenant without City’s prior written consent, which consent City may grant or withhold in its sole and absolute discretion; or (viii) the ownership and/or control of Developer changes without the prior written consent of City; or
(ix) Developer refinances any existing construction,
permanent, or other loans encumbering the Site without the City’s prior written consent, which consent City may grant or withhold in its sole and absolute discretion; or (x) Developer, or any constituent member of Developer,
(1) is the subject of an order for relief for a bankruptcy court, or is unable or admits its inability to pay its debts as they mature, or makes an assignment for the benefit of creditors; (2) applies for or consents to the appointment of any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar officer for it or any part of its property; or (3) institutes or consents to any bankruptcy, insolvency, reorganization, arrangement, readjustment of debt, dissolution, custodianship, conservatorship, liquidation, rehabilitation or similar proceeding relating to it or any part of its property, or any similar proceeding is instituted without the consent of Developer and continues undismissed or unstayed for ninety (90) days; or
(xi) any receiver, trustee, custodian, conservator,
liquidator, rehabilitator or similar officer is appointed without the application or consent of Developer, and the appointment continues undischarged or unstayed for ninety (90) days; or any judgment, writ, warrant of attachment or execution, or similar process is issued or levied against the Site and is not released, vacated, or fully bonded within ninety (90) days after its issue or levy; or
(xii) Developer is enjoined or otherwise prohibited by any governmental agency from occupying the Site at any time during the Operating Period and such injunction or prohibition continues unstayed for ninety (90) days or more for any reason.
(b) In the event Developer fails to perform any of its obligations under this Covenant and City sends a notice of such failure to Developer, concurrently therewith City shall send a copy of such notice to any mortgagee or deed of trust holder with respect to the Site (herein the “Holder”) (the name and address of which Holder shall be furnished by Developer or such Holder to City) and the Holder shall have the same period of time as is available to Developer to remedy such breach or failure under this Covenant. City shall accept any proper cure of a breach or failure tendered by the Holder.

5.2 City’s Remedies Upon Default by Developer. Upon the occurrence of any Default by Developer, and after Developer’s receipt of written notice of default and expiration of the time for Developer to cure such Default as provided in Section 5.1 of this Covenant, City may at its option:

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 22
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(i)suspend the payment of Covenant Payments
otherwise due and payable to Developer hereunder for the period that Developer remains in Default. If City has so suspended its payments in accordance with the terms of this clause (i), then upon Developer’s cure of such Default, City shall resume its payment obligations, but shall have no obligation to make payments for any Fiscal Year or portion thereof during which City’s obligation to make payments was so suspended; or (ii)if the Default continues uninterrupted for a period of six (6) months, City may terminate this Covenant, in which case City’s obligation to make payments to Developer for any period of time after the occurrence of the Default shall be finally terminated and discharged.

In no event, however, shall City have the right (i) to specifically enforce Developer’s covenants set forth in Section 3 of this Covenant, (ii) to seek damages other than by offset of future Covenant Payments otherwise due hereunder, (iii) to prevent Developer’s conversion of the Site to another lawful use (even if such use would be inconsistent with this Covenant), or (iv) to sue Developer or to recover from Developer any amount that is actually or allegedly attributable to loss of anticipated Sales Taxes From the Site or other revenues, whether because the amount of Sales Taxes From the Site is less than projected by Developer or City, or because Developer does not operate the Restaurant on the Site for the entire Operating Period, or otherwise.

5.3 Developer’s Remedies Upon Default by City. Upon the occurrence of any Default by City, and after City’s receipt of written notice of Default from Developer and expiration of the time for City to cure such Default as provided in Section 5.1 of this Covenant, Developer may terminate this Covenant by written notice to City and/or seek whatever legal or equitable remedies may be available to Developer, subject to the provisions of Section 4.1.5 and Section 5.5 of this Covenant.

5.4 Cumulative Remedies; No Waiver. Except as expressly provided herein, the non-defaulting Party’s rights and remedies hereunder are cumulative and in addition to all rights and remedies provided by law from time to time and the exercise by the non- defaulting Party of any right or remedy shall not prejudice such Party in the exercise of any other right or remedy. None of the provisions of this Covenant shall be considered waived by either Party except when such waiver is delivered in writing. No waiver of any Default shall be implied from any omission by City to take action on account of such Default if such Default persists or is repeated. No waiver of any Default shall affect any Default other than the Default expressly waived, and any such waiver shall be operative only for the time and to the extent stated. No waiver of any provision of this Covenant shall be construed as a waiver of any subsequent breach of the same provision. A Party’s consent to or approval of any act by the other Party requiring further consent or approval shall not be deemed to waive or render unnecessary the consenting Party’s consent to or approval of any subsequent act. A Party’s acceptance of the late performance of any obligation shall not constitute a waiver by such Party of the right to require prompt performance of all further obligations. A Party’s acceptance of any performance following the sending or filing of any notice of Default shall not constitute a waiver of that Party’s right to proceed with the exercise of its remedies for any unfulfilled obligations. A Party’s Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 23
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acceptance of any partial performance shall not constitute a waiver by that Party of any rights relating to the unfulfilled portion of the applicable obligation.

5.5 Limitations on City’s Liability. Developer acknowledges and agrees that: (i) this Covenant shall not be deemed or construed as creating a partnership, joint venture, or similar association between Developer and City, the relationship between Developer and City pursuant to this Covenant is and shall remain solely that of contracting Parties, that the development and operation of the Restaurant is a private undertaking and is not a public work, and City neither undertakes nor assumes any responsibility pursuant to this Covenant to review, inspect, supervise, approve, or inform Developer of any matter in connection with the development or operation of the Restaurant on the Site other than as expressly provided for herein, including matters relating to architects, designers, suppliers, or the materials used by any of them; and Developer shall rely entirely on its own judgment with respect to such matters; (ii) by virtue of this Agreement and/or Covenant, City shall not be directly or indirectly liable or responsible for any loss or injury of any kind to any person or property resulting from any construction on, or occupancy or use of, the Site, whether arising from: (a) any defect in any building, grading, landscaping, or other onsite or offsite improvement; (b) any act or omission of Developer or any of Developer’s agents, employees, independent contractors, licensees, lessees, or invitees; or (c) any accident on the Site or any fire or other casualty or hazard thereon; and (iii) by accepting or approving anything required to be performed or given to City under this Covenant, including any certificate, survey, appraisal, or insurance policy, City shall not be deemed to have warranted or represented the sufficiency or legal effect of the same, and no such acceptance or approval shall constitute a warranty or representation by City to anyone.

6. GENERAL PROVISIONS.

6.1 Integration and Amendment. This Covenant and the Agreement constitute the entire agreement by and between the Parties pertaining to the subject matter hereof, and supersede all prior agreements and understandings of the Parties with respect thereto. This Covenant may not be modified, amended, supplemented, or otherwise changed except by a writing executed by both Parties.

6.2 Captions. Section headings used in this Covenant are for convenience of reference only and shall not affect the construction of any provisions of this Covenant.

6.3 Binding Effect; Successors and Assigns; Assignments. This Covenant shall run with the land and shall be binding upon and inure to the benefit of, the Parties and their respective successors and assigns, as limited by this Section 6.3. Except as such assignment relates to Holder, the Developer shall not assign, hypothecate, encumber or otherwise transfer, either voluntarily, involuntarily or by operation of law, its rights or obligations as set forth in this Covenant without first obtaining the City’s written consent, which may be given or denied or conditioned in the City’s sole and absolute discretion.

Developer may assign its right to receive the Covenant Payments to any Holder for security purposes or to any lessee or business owning and operating the Restaurant on the Site. In the event of an assignment for security purposes to a Holder, City agrees that Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 24
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this Covenant shall be subordinated to the lien of said Holder’s deed of trust or mortgage and City agrees to cooperate with Developer in executing an appropriate subordination agreement.

In the event of any assignment that is consented to in writing by the City, the references in this Covenant to “Developer” shall be deemed to refer to the assignee.

6.4 Counterparts. This Covenant may be executed in two or more counterparts, each of which when so executed and delivered shall be deemed an original and all of which, when taken together, shall constitute one and the same instrument.

6.5 Governing Law. This Covenant shall be governed by and construed in accordance with the internal laws of the State of California without regard to conflict of law principles.

6.6 Force Majeure. Notwithstanding any other provision set forth in this Covenant to the contrary, in no event shall a Party be deemed to be in Default of its obligations set forth herein where delays or failures to perform are caused by circumstances without the fault and beyond the reasonable control of such Party, which circumstances shall include, without limitation, fire/casualty losses; strikes; litigation; unusually severe weather; inability to secure necessary labor, materials, or tools; delays of any contractor, subcontractor, or supplier; unjustified acts or failure to act by City or other governmental agency in the processing or approval of plans or permits or inspection or approval of the construction of the Restaurant; litigation by third Parties challenging the validity or enforceability of the Agreement or this Covenant or the Entitlements; and acts of God (collectively, “force majeure”). Adverse market conditions or Developer’s inability to obtain financing or approval to operate the Restaurant shall not constitute events of force majeure. In the event of an event of force majeure, the Party so delayed shall notify the other Party of the circumstances and cause of the delay within a reasonable time period after commencement of the delay, it shall keep the other Party informed at reasonable intervals upon request regarding the status of its efforts to overcome said delay, and it shall exercise commercially reasonable diligence to perform as soon as practicable thereafter.

6.7 Notices. Notices to be given by City or Developer hereunder may be delivered personally or may be delivered by certified mail or by reputable overnight delivery service providing a delivery conformation receipt, with mailed notices to be addressed to the appropriate address(es) hereinafter set forth or to such other address(es) that a Party may hereafter designate by written notice. If served by overnight delivery service or certified mail, service will be considered completed and binding on the Party served on the date set forth in the confirmation or certification receipt.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 25
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If notice is to City:

City Manager
c/o Economic Development Director
City of Menifee
29844 Haun Road
Menifee, California 92586
with a copy to: City Attorney
City of Menifee
29844 Haun Road
Menifee, California 92586
Attention: Jeffrey T. Melching, City Attorney
If notice is to Developer: SB DINER, LLC
27990 Bradley Road, in Menifee
Menifee, CA 92584
Attention: Parth Mehta

6.8 Further Acts. Each Party agrees to take such further actions and to execute such other documents as may be reasonable and necessary in the performance of its obligations hereunder; reserving to City, however, its lawful discretionary and police power authority. Without limiting the generality of the foregoing, upon the expiration or termination of the Operating Period, City will execute and deliver such instruments as may be prepared by Developer at Developer’s expense to release the cloud upon title to the Site created by this Covenant; provided, however, that any such document shall be in a form reasonably acceptable to the City Attorney of City.

6.9 Third Party Beneficiaries. With the exception of the specific provisions set forth in this Covenant for the benefit of Holder, there are no intended third party beneficiaries under this Covenant and no such other third parties shall have any rights or obligations hereunder.

6.10 Attorney’s Fees. The prevailing party shall be entitled to recover its reasonable attorney’s fees and costs, including without limitation expert witness fees, in connection with any breach or default by the other party under this Agreement. [End – Signature page follows]
Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 26
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IN WITNESS WHEREOF, the Parties have executed this Covenant to be effective as of the Effective Date.

CITY:

CITY OF MENIFEE, a California municipal
corporation
___________________________
Armando G. Villa, City Manager
ATTEST:
_______________________
Stephanie Roseen, Acting City Clerk
APPROVED AS TO FORM:

RUTAN & TUCKER, LLP
____________________________
Jeffrey T. Melching, City Attorney
“Developer”
SB DINER LLC., a California corporation
By: ______________________
Parth Mehta
Its: ______________________
Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 27
Menifee

Mayor

and

City

Council

September

21,
2022
Page
911 of 2787

882/031858-0003
17698595.3 a09/15/22
EXHIBIT “A”

LEGAL DESCRIPTION

THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF SUN CITY, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS:

PARCEL A:

BEGINNING ON THE NORTHEASTERLY LINE OF SAID PARCEL 1, NORTH 26° 30’ 50” WEST,

EXCEPT FIFTY-TWO PERCENT OF THE ONE-HUNDRED PERCENT OF ALL OIL AND

MINERALS, RIGHTS IN, ON AND UNDER THE HEREIN DESCRIBED PROPERTY WITHOUT ANY RIGHTS OF INGRESS OR EGRESS AS RESERVED IN DEED FROM GEORGE D.

NEWPORT AND DOROTHEA K. NEWPORT, HUSBAND AND WIFE, RECORDED NOVEMBER 29, 1957 IN BOOK 2185, PAGE 189 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

PARCEL B:

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 28
Menifee

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City

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September

21,
2022
Page
912 of 2787

882/031858-0003
17698595.3 a09/15/22 -2-
EXHIBIT “B”
SITE Plan
Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 29
Menifee

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September

21,
2022
Page
913 of 2787

4 4
8 1
3 NOTICE OF PUBLIC HEARING FOR AN OPERATING COVENANT

AGREEMENT BY AND BETWEEN THE CITY OF MENIFEE AND SB
Diner, LLC
NOTICE IS HEREBY GIVEN that the City Council of the City of Menifee will hold a public hearing on September 21, 2022, held in the City Council Chambers located at 29844 Haun Road, Menifee, California at 6:00 P.M., or as soon as thereafter as such matter can be heard.

Pursuant to Government Code Section 53083, this is notice of a public hearing, and to provide all of the following information to the public in written form, regarding a proposed economic development subsidy to be provided by the City pursuant to a sales tax incentive program agreement by and between the City of Menifee and SB Diner, LLC (“Agreement”).

1. The name and address of all corporations or any other business entities, except for sole proprietorships, that are the beneficiary of the economic development incentive:

The proposed agreement for operation of a restaurant (the “Agreement”) is with the City of Menifee and SB Diner, LLC. dba Black Bear Diner, with headquarters located at 27990 Bradley Road, Menifee, CA 92586

2. The start and end dates and schedule, if applicable, for the economic development incentive.

The subsidy reimbursement amount of $50,000 for the operation of the restaurant is paid or payment starts once the certificate of occupancy is given, inspected and approved by the City of Menifee. The term of the agreement ends when five years is reached or the total reimbursement cost of $50,000 has been reached for the operation of the restaurant, whichever comes first.

3. A description of the economic development incentive, including estimated total amount of the expenditure of public funds by, or revenue lost, the local agency as a result of the economic development incentive.

SB Diner, LLC is planning to lease space to complete tenant improvements, outdoor patio, and run an indoor, sit down restaurant. Additionally, Black Bear Diner will provide 15 Fulltime and 25 Part- time jobs to the area, making façade improvements, and hire locally when possible.

This Agreement would obligate SB Diner, LLC to: (1) Use best efforts to review and hire employees from menifee or the local area; (2) to operate a sit-down restaurant which will be reimbursed at 50 percent of the future annual sales tax revenue (one percent (1%); excluding Measure DD funds) generated up to a three-year period for up to $50,000 dollars, whichever comes first.

The Agreement would obligate SB Diner, LLC to report and remit sales/use and transaction/use taxes to the City to the California Department of Tax and Fee Administration annually. Over the term of the Agreement, it is estimated that Savage Chef Bar and Grill will generate $291,162 gross sales tax revenue (sales tax, measure DD), excluding property tax to the City. Under the Agreement, the City of Menifee would rebate 50% of only the one percent (1%) future sales tax revenue, and not property or Quality of Life Measure DD for approximately $50,000 for the operation of the restaurant, retaining over $241,000 annually in sales tax generation.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 30
Menifee

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City

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4 4
8 1
3 4. A statement of the public purposes for the economic development incentive.

In accordance with the City of Menifee City Council approved Ordinance No. 2013-130, creating the Menifee Business Incentive Program to encourage economic growth within the City of Menifee. The intent of the program is to incentivize and attract new quality business developments in an effort to improve the overall Menifee economy, make available amenities that residents and businesses have requested, provide jobs, and generate long term revenues to support City services. Savage Chef and Co. is a sales tax producing business for the City of Menifee and would afford the City to contribute to the services needs of the City, as well as create a healthy high-quality dining and entertainment use for residents and visitors and assist with an infill vacancy issue in the neighborhood center in the City removing blight.

5. The Projected tax revenue to the local agency as a result of the economic development subsidy.

As described above, the Agreement projects that the City would generate at least $3,000,000 in gross new sales revenue from the operation during each of the three year periods.

Of that, $291,000 in gross sales tax revenue-$50,000 Savage Chef and Co. reimbursement = $241,000 in estimated net taxable revenue to be collected by the City over the term of the Agreement.

6. The estimated number of jobs created by the economic development incentive, broken down by full-time, part-time and temporary positions.

The Agreement obligates SB Diner LLC to use their best efforts to review and hire local residents at their best, as a requirement. It is estimated this project will create approximately XX positions in the City of Menifee, Black Bear Diner is fully operational and staffed.

Item Title: 11.2
Economic Development Operating Agreement with SB Diner, LLC Item Page Number: 31
Menifee

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and

City

Council

September

21,
2022
Page
915 of 2787

CITY OF MENIFEE
SUBJECT: Ordinance Introduction and Annexation No. 10 to Community Facilities District 2017-1 (Maintenance Services), Harvest Glen Marketplace, by Briggs & 74, LLC
MEETING DATE: September 21, 2022
TO: Mayor and City Council
PREPARED BY: Kristen Jensen, Financial Analyst
REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Adopt a resolution calling an election to annex territory included in Tentative Parcel Map (TPM) 37380, located at the northwest corner of the intersection of Highway 74 and Briggs Road, into City of Menifee Community Facilities District No. 2017-1 (Maintenance Services) ("CFD No. 2017-1" or "CFD"); and

2. Hold a special landowner election and canvass the election; and

3. Adopt the resolution declaring results of special landowner election; and

4. Introduce an ordinance, amending the Ordinance No. 2017-231 and levying and apportioning the special tax in CFD 2017-1.

DISCUSSION
On August 17, 2022, the City Council adopted Resolution No. 22-1191, declaring its intent to annex territory to CFD No. 2017-1 and commence the annexation proceedings for the territory to be annexed, also known as Annexation No. 10. The next step in the annexation proceedings is to hold a public hearing on September 21, 2022, to conduct an election for the landowners and to declare the results of that election.

The area within Annexation No. 10 is included in TPM 37380 and is approximately 5.04 gross acres of commercial property within the City. The property is located at the northwest corner of the intersection of Highway 74 and Briggs Road, as shown in the attached Project Map. The Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 1
Menifee

Mayor

and

City

Council

September

21,
2022
Page
916 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 10 - Harvest Glen
September 21, 2022

Page 2 of 3 ends

1 1
0 2
proposed maintenance services would include items such as landscaping, lighting, street maintenance, and drainage. Per the request of Briggs & 74, LLC (“Owner”), the City would establish a rate and method of apportionment and authorize the levy of special taxes on the taxable property within Annexation Area No. 10 to pay for those services. Annexation Area No. 10 would have a maximum annual tax of $5,234 per acre. This tax rate includes a Maximum Special Tax A of $3,588 per acre per year for maintenance services of public facilities and a Maximum Annual Special Tax B (Contingent) of $1,646 per acre per year and would be included in CFD No. 2017-1 as “Tax Zone 10.” The maximum annual tax rate is proposed to escalate each year at the greater of Consumer Price Index (CPI) or 2%. The Owner has agreed to initiate and conduct the CFD annexation proceedings pursuant to the Mello-Roos Act of 1982.

The Owner submitted a "Consent and Waiver" form on file in the City Clerk's Office to:
•to hold the election and declare election results; and •consent to the shortening of election time requirements; and •waive analysis and arguments; and
•waive all notice requirements relating to the conduct of the election immediately following the public hearing.

A boundary map entitled "Annexation Map No. 10, Community Facilities District No. 2017-1 (Maintenance Services)" a copy of which was previously recorded, on August 23, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 49, in the office of the Riverside County Recorder. Annexing the parcel into CFD No. 2017-1 would cover the costs of maintenance of certain public improvements associated with the development

STRATEGIC PLAN OBJECTIVE
Responsive and Transparent Community Government

FISCAL IMPACT
The individual property owners in the CFD would be responsible for annual payments of special taxes. It is estimated, upon full completion of the development that there would be an annual collection of Special Tax A revenues of approximately $12,988, not including Contingent Tax B, to be used to pay for maintenance costs. In the event that the City must take over the privately maintained drainage facilities, Contingent Tax B could be levied for a total of approximately $5,960 to cover the additional maintenance costs. The special tax rates are calculated on 3.62 taxable net acres.

On June 1 of each year, every taxable parcel for which a building permit has been issued within the boundaries of the CFD, will be subject to the special tax for the ensuing fiscal year. If the anticipated costs of maintaining the facilities in any given fiscal year, prior to buildout of the project, exceeds the special tax revenues available from parcels for which building permits have been issued, then the special tax may also be applied to property within recorded final subdivision maps, as well as other undeveloped property within the boundaries of the CFD.

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 2
Menifee

Mayor

and

City

Council

September

21,
2022
Page
917 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 10 - Harvest Glen
September 21, 2022

Page 3 of 3 ends

1 1
0 2
would be financed through special taxes levied on the parcels within CFD No. 2017-1 and not through the City’s General Fund.

ATTACHMENTS

1. Project Map

2. Resolution Calling the Election

3. Resolution Declaring Election Results

4. Certificate of Registered Voters

5. Ordinance

6. Signed Petition, Waiver and Consent for Annexation
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 3
Menifee

Mayor

and

City

Council

September

21,
2022
Page
918 of 2787

MALAGA
RD

EMPEROR
RD

VARELA LN
BRIGGS
RD
·|}þ74
^_

CH AMBERS AVE

ROUSE R D

WATSON RD

MCCALL BLVD

SHERMAN RD

PALOMA WAY

PACKARD ST

MATTHEWS
RD

EVANS RD
§¨¦215
·|}þ74
CFD NO. 2017-1 (MAINTENANCE SERVICES)
ANNEXATION NO. 10

PROJECT MAP
Item Title: 11.3
Ordinance Introduction and Annexation No. 10 to Community Facilities District 2017-1 (Maintenance Services), Harvest Glen Marketplace, by Briggs & 74, LLC Item Page Number: 4
Menifee Mayor and City Council
September 21, 2022
Page
919 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

CALLING AN ELECTION TO SUBMIT TO THE QUALIFIED ELECTORS THE

QUESTION OF LEVYING A SPECIAL TAX WITHIN THE AREA PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 10), TPM 37380
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 ( “Act”), on December 6, 2017, the City Council ( “City Council”) of the City of Menifee (the “City”) approved Resolution No. 17- 658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California ( “CFD No. 2017-1”) for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services ( “Services”) which are necessary to meet increas ed demands placed upon the City as a result of the development of said parcels; and
WHEREAS, the City Cou ncil called a special election for December 6, 2017, at which the questions of levying a special tax and establishing an appropriations limit with respect to CFD No. 2017- 1 were submitted to the qualified electors within CFD No. 2017-1; and WHEREAS, at a special election held on December 6, 2017, more than two-thirds (⅔) of all votes cast were cast in favor of the levy of a special tax and the establishment of an appropriations limit, as determined by the City Council in Resolution No. 17-658, which was duly adopted on December 6, 2017; and
. WHEREAS, the City Council is authorized by Article 3.5 (commencing with Section 53339) of Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code to annex territory into an existing community facilities district by complying with the procedures set forth in said Article 3.5; and WHEREAS, the City Council on August 17, 2022 duly adopted Resolut ion No. 22 -1191 (“Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 201 7-1 and to levy a special tax within that territory to pay for certain services and setting a time and place for the public hearing on the proposed annexation for September 21, 2022; and WHEREAS, the territory proposed to be annexed is identified in a map entitled “Annexation Map No. 10, Community Facilities District No. 2017-1 (Maintenance Services)” a copy of which was recorded, on August 23, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 49, in the office of the Riverside County Recorder; and
WHEREAS, pursuant to the Act and the Resolution of Intention, a noticed public hearing was convened by the City Council on September 21, 2022, not earlier than the hour of 6:00 p.m. at the City Hall located at 29844 Haun Road, Menifee, California 92586, at which hearing all interested persons were given the opportunity to appear and be heard on the proposed annexation of said territory to the CFD No. 2017-1 and the levy of special taxes within said territory proposed to be annexed. If and to the extent participation in the September 21, 2022 meeting must occur by teleconference, videoconference, or other electronic means authorized by the Ralph M. Brown Act or an Executive Order of the Governor of California, the means and methods for participating the meeting shall be posted on the Agenda for said meeting, which shall be posted at least 72 hours prior to the meeting on the City of Menifee (www.cityofmenifee.us), and outside of City Hall at 29844 Haun Road, Menifee, California 92586. A copy of the Agenda will be made available upon request to the Menifee City Clerk's office at 951- 723-3471; and
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 5
Menifee

Mayor

and

City

Council

September

21,
2022
Page
920 of 2787

Resolution Calling an Election Annex 10

2 WHEREAS, written protests have not been filed by fifty percent (50%) or more of the registered voters residing within the CFD No. 2017-1, or by fifty percent (50%) or more of the registered voters residing within the territory proposed to be annexed, or by the owners of one-half (½) or more of the area within the CFD No. 2017- 1, or by the owners of one -half (½) or more of the territory proposed to be annexed; and
WHEREAS, the City Council has determined that there are fewer than twelve (12) registered voters residing in the territory proposed to be annexed to the CFD No. 2017- 1 and that the qualified electors in such territory are the landowners; and
WHEREAS, on the basis of all of the foregoing, the City Council has determined at this time to call an election to authorize the annexation of territory to the CFD No. 2017-1 and the levying of a special tax as described in Exhibit A attached hereto; and
WHEREAS, the City Council has received a written instrument from each landowner in the territory proposed to be annexed to the CFD No. 2017- 1 consenting to the shortening of election time requirements, waiving analysis and arguments, and waiving all notice requirem ents relating to the conduct of the election; and
WHEREAS, the City Clerk has concurred with the election date set forth herein.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Menifee, California acting as the legislative body of Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, determine and order as follows:

Section 1. Recitals. The foregoing recitals are true and correct.

Section 2. Confirmation of Finding in Resolution of Intention. The City Council reconfirms all of its findings and determinations as set forth in the Resolution of Intention.

Section 3. Findings Regarding Protests. The City Council finds and determines that written protests to the proposed annexation of territory to the CFD No. 2017-1 and the levy of the special tax within such territory are insufficient in number and in amount under the Act, and the City Council hereby further orders and determines that all such protests are hereby overruled.

Section 4. Findings Regarding Prior Proceedings . The City Council finds and determines that all prior proceedings had and taken by the City Council with respect to the annexation of territory to the CFD No. 2017-1 are valid and in conformity with the requirements of the Act.

Section 5. Levy of Special Tax . As stated in the Resolution of Intention, except where funds are otherwise available, subject to the approval of the qualified electors of territory proposed to be annexed to the CFD No. 2017- 1, a special tax sufficient to pay the costs of the Services (including incidental expenses as described in the Resolution of Intention), secured by recordation of a continuing lien against all nonexempt real property in CFD No. 2017-1, will be levied annually in CFD No. 2017-1. The rate and method of apportionment, and manner of collection of the special tax are specified in Exhibit A hereto.

Section 6. Apportionment of Tax. The special tax as apportioned to each parcel is based on the cost of making the Services available to each par cel, or other reasonable basis, and is not based on or upon the ownership of real property.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 6
Menifee

Mayor

and

City

Council

September

21,
2022
Page
921 of 2787

Resolution Calling an Election Annex 10

3 Section 7. Tax Roll Preparation. The office of the Public Works Director, 29844 Haun Road, Menifee, California 92586, is hereby designated as the office that will be responsible for annually preparing a current roll of special tax levy obligations by assessor’s parcel number and that will be responsible for estimating future special tax lev ies pursuant to Government Code section 53340.2. The Public Works Director ma y cause these functions to be performed by his or her deputies, assistants, or other designated agents.

Section 8. Accountability Measures. Pursuant to Government Code section 50075.1, the City shall create a separate account into which special tax proceeds will be deposited; and the Public Works Director annually shall prepare and file a report with the City Council that will state (a) the amount of funds collected and expended and (b ) the status of the Services financed in the CFD No. 2017-1.

Section 9. Special Election; Voting Procedures . The City Council hereby submits the question of levying the special tax within the territory proposed to be annexed to the qualified electors of the territory proposed to be annexed, in accordance with and pursuant to the Act. The special election shall be held on September 21, 2022, and shall be conducted as follows:
(A). Qualified Electors . The City Council hereby determines that the Services are necessary to meet increased demands placed upon the City as a result of development occurring within the boundaries of the territory proposed to be annexed into CFD No. 2017-

1. Because fewer than twelve registered voters reside within the terr itory proposed to be annexed to the CFD No. 2017-1 on July 27, 2022 (a date within the 90 days preceding the close of the public hearing on the territory proposed to be annexed to the CFD No. 2017- 1), the qualified electors shall be the landowners within t he territory proposed to be annexed to the CFD No. 2017-1, and each landowner who was the owner of record at the close of the hearing shall have one vote for each acre or portion of an acre of land that such landowner owns within the territory proposed to be annexed to the CFD No. 2017-1. (B). Consolidation of Elections; Combination of Propositions on Ballot. The election on the question of levying the special tax and establishing an appropriations limit for the CFD No. 2017-1 shall be consolidated, and the two propositions shall be combined into a single ballot proposition for submission to the voters, as authorized by Government Code Section 53353.5.
(C). Mail Ballot Election. Pursuant to Government Code section 53327.5, the election shall be conducted as a mail ballot election. The City Council hereby ratifies the City Clerk’s delivery of a ballot to each landowner within the territory proposed to be annexed to the CFD No. 2017-1. The City Council hereby ratifies the form of the ballot, which is attached hereto as Exhibit B.
(D). Return of Ballots. The City Clerk shall accept the ballots of the landowners up to 6:00 p.m. on September 21, 2022. The City Clerk shall have available ballots that may be marked at the City Clerk’s office on the election day by voters. Once all qualified electors have voted, the City Clerk may close the election.
(E). Canvass of Election. The City Clerk shall commence the canvass of the returns of the special election as soon as the election is closed (on September 21, 2022, or when all qualified electors have voted) at the City Clerk’s office. At the conclusion of the canvass, the City Clerk shall declare the results of the election.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 7
Menifee

Mayor

and

City

Council

September

21,
2022
Page
922 of 2787

Resolution Calling an Election Annex 10

4 (F). Declaration of Results . The City Council shall declare the results of the special election following the co mpletion of the canvass of the returns and shall cause to be inserted into its minutes a statement of the results of the special election as ascertained by the canvass of the returns.

Section 10. General Authorization with Respect to the Election. The officers, employees, and agents of the City are hereby authorized and directed to take all actions and do all things which they, or any of them, may deem necessary or desirable to accomplish the purposes of this Resolution and not inconsistent with the provisions hereof. All actions heretofore taken by the officers, employees, and agents of the City that are in conformity with the purposes and intent of this Resolution are hereby ratified, confirmed, and approved in all respects.

Section 11. Filing of Resolution and Map with City Clerk . The City Council hereby directs the Cit y Clerk to file a copy of this R esolution and the annexation map of the boundaries of CFD No. 2017-1 in his/her office.

Section 12. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor

Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 8
Menifee

Mayor

and

City

Council

September

21,
2022
Page
923 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 1 RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) OF THE CITY OF MENIFEE

A Special Tax (the “Special Tax”) shall be levied on and collected from each Assessor’s Parcel (defined below) in Community Facilities District No. 2017‐1 (Maintenance Services) (the “CFD No. 2017‐1” or “CFD”; defined below), in each
Fiscal Year, (defined below), commencing in the Fiscal Year beginning July 1, 2018, in an amount determined by the City Council of the City of Menifee, acting in its capacity as the legislative body of CFD No. 2017‐1, by applying the rate and method of apportionment set forth below. All of the real property in CFD No. 2017‐1, unless exempted by law or by the provisions herein, shall be taxed to the extent and in the manner provided herein.

A. DEFINITIONS

“Acre” or “Acreage” means the land area of an Assessor’s Parcel as shown on any Assessor’s Parcel Map, or if the land area is not shown on the Assessor’s Parcel Map, the land area as shown on the applicable Final Map, or if the area is not shown on the applicable Final Map, the land area shall be calculated by the Administrator.

“Administrative Expenses” means the actual
or reasonably estimated costs directly related to the formation, annexation, and administration of CFD No. 2017‐1 including, but not limited to: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs to the City, CFD No. 2017‐1, or any designee thereof associated with fulfilling the CFD No. 2017‐1 disclosure requirements; the costs associated with responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2017‐1 or any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees including payment of a proportional share of City overhead and salaries and benefits of any City employees whose duties are related to the administration of CFD No. 2017‐1 and third party expenses related to CFD No. 2017‐1. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2017‐1 for any other administrative purposes of CFD No. 2017‐1, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes.

“Administrator” means the City Manager of the City of
Menifee, or his or her designee.

“Approved Property” means all Assessor’s Parcels of Taxable Property that are included in a Final Map that was recorded prior to the March 1 preceding the Fiscal Year in which the Special Tax is being levied, and that have not been issued a building permit
on or prior to the June 1 preceding the Fiscal year in
which the special tax is being levied.

“Assessor’s Parcel” means a lot or parcel of land that is identifiable by an Assessor’s Parcel Number by the County Assessor of the County of Riverside.

“Assessor’s Parcel Map” means an
official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.

“Assessor’s Parcel Number” means that identification number assigned to a parcel by the County Assessor of the County.

“Building Square Footage” or “BSF” means the floor area square footage reflected on the original Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 9
Menifee

Mayor

and

City

Council

September

21,
2022
Page
924 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 2 construction building permit issued for construction of a building of Non‐Residential Property and any Building Square Footage subsequently added to a building of such Non‐Residential Property after issuance of a building permit for expansion or renovation of such building.

“Calendar Year” means the period commencing January 1 of any year and ending the following
December 31.

“CFD” or “CFD No. 2017‐1” means the City of Menifee Community Facilities District No. 2017‐1 (Maintenance Services).

“City” means the City of Menifee.

“Contingent Services” means services permitted under the Mello‐Roos Community Facilities Act of 1982 including, without limitation,
those services authorized to be funded by CFD No. 2017‐1 as set forth in the documents adopted by the City Council at the time the CFD was formed to be provided by the City in the event the Administrator makes a determination pursuant to Section C(2) that a Property Owners’ Association fails to adequately provide such services.

“County” means the County of Riverside.

“Developed Property” means all Assessor’s Parcels of Taxable Property for which a building permit for new construction has been issued on or prior to June 1 preceding the Fiscal Year in which the Special Tax is being
levied.

“Exempt Property” means all Assessors’ Parcels designated as being exempt from the Special Tax as provided for in Section G.

“Final Map” means a subdivision of property by recordation of a final map, parcel map, or lot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or
recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which building permits may be issued without further subdivision.

“Fiscal Year” means the period from and including July 1 st of any year to and including the following June
30th.

“Land Use Category” or “LUC” means any of the categories contained in Section B hereof to which an Assessor’s Parcel is assigned consistent with the land use approvals that have been received or proposed for the Assessor’s Parcel as of June 1 preceding the Fiscal Year in which the Special Tax is being levied.

“Maximum Special Tax” means either Maximum Special Tax A and/or Maximum Special Tax B (Contingent), as applicable.

“Maximum Special Tax A” means for each Assessor’s Parcel and each Fiscal Year, the maximum Special Tax A, as determined in accordance with Section C below that can be levied on such Assessor’s Parcel in
such Fiscal Year.

“Maximum Special Tax B (Contingent)” means for each Assessor’s Parcel and each Fiscal Year, the maximum Special Tax B (Contingent), as determined in accordance with Section C below that can be levied on such Assessor’s Parcel in such Fiscal Year.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 10
Menifee

Mayor

and

City

Council

September

21,
2022
Page
925 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 3 “Multi‐Family Residential Property” or “MFR” means any Assessor’s Parcel of Residential Property upon which a building or buildings comprised of attached Residential Units sharing at least one common wall with another unit are constructed or are intended to be constructed.

“Non‐Residential Property” or “NR” means all Assessor's Parcels of Taxable Property for which a building
permit(s) was issued for a non‐residential use. The Administrator shall make the determination if an Assessor’s Parcel is Non‐Residential Property.

“Property Owner’s Association” or “POA” means the property owner’s association or homeowner’s association established to maintain certain landscaping within a Tax Zone.

“Proportionately” means for Taxable Property that is: (i) Developed Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Approved Property, and (iii) Undeveloped Property that the ratio of the actual Special Tax levy per acre to the Maximum Special Tax per acre is the same for all Parcels of Undeveloped Property.

“Residential Unit” or "RU" means a residential unit that is used or intended to be used as a domicile by
one or more persons, as determined by the Administrator.

“Residential Property” means all Assessor’s Parcels of Taxable Property upon which Residential Units have been constructed or are intended to be constructed or for which building permits have been or may be issued for purposes of constructing one or more Residential Units.

“Service(s)” means services permitted under the Mello‐Roos Community Facilities Act of 1982 including, without limitation, those services authorized to be funded by CFD No. 2017‐1 as set forth in the documents adopted by the City Council at the time the CFD was formed.

“Single Family Residential Property” or “SFR” means any Residential Property other than Multi‐Family Residential Property on an Assessor’s Parcel.

“Special Tax(es)” means the Special Tax A or Special Tax B (Contingent) to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable
Property.

“Special Tax A” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax A Requirement.

"Special Tax A Requirement" means for each Tax Zone that amount to be collected in any Fiscal Year to pay
for certain costs as required to meet the needs of such Tax Zone within CFD No. 2017‐1 in both the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the direct costs for maintenance services including but not limited to (i) maintenance and lighting of parks, parkways, streets, roads and open space, (ii) maintenance and operation of water quality improvements, (iii) public street sweeping, (iv) fund an operating reserve for the costs of Services as determined by the Administrator, and (v) Administrative Expenses. Under no circumstances shall the Special Tax A Requirement include funds for Bonds.
“Special Tax B (Contingent)” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax B (Contingent) Requirement, if required.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 11
Menifee

Mayor

and

City

Council

September

21,
2022
Page
926 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 4 “Special Tax B (Contingent) Requirement” means that amount required in any Fiscal Year, if the POA is unable to maintain the Contingent Service(s) to: (i) pay the costs of Contingent Services incurred or otherwise payable in the Calendar Year commencing in such Fiscal Year; (ii) fund an operating reserve for the costs of Contingent Services as determined by the Administrator; less a credit for funds available to reduce the annual Special Tax B (Contingent) levy as determined by the Administrator.

"Taxable Property" means all Assessor’s Parcels within CFD No. 2017‐1, which are not Exempt Property.

“Taxable Unit” means a Residential
Unit, Building Square Footage, or an Acre.
"Tax Zone" means a mutually exclusive geographic area, within which particular Special Tax rates may be levied pursuant to this Rate and Method of Apportionment of Special Tax. Appendix C identifies the Tax Zone in CFD No. 2017‐1 at formation; additional Tax Zones may be created when property is annexed into the CFD.

"Tax Zone 1" means the specific geographic area identified on the CFD Boundary Map as Tax Zone 1.

"Tract(s)" means an area of land; i) within a subdivision identified by a particular tract number on a Final Map, ii)
identified within a Parcel Map; or iii) identified within lot line adjustment approved for subdivision.

“Undeveloped Property” means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property.

B. ASSIGNMENT TO LAND USE CATEGORIES
For each Fiscal Year, all Assessor’s Parcels of Taxable Property within CFD No. 2017‐1 shall be classified
as Developed Property, Approved Property, or Undeveloped Property, and shall be subject to the levy of Special Taxes as determined pursuant to Sections C and D below. Assessor’s Parcels of Developed Property and Approved Property shall be classified as either Residential Property or Non‐Residential Property. Residential Property shall be further classified as Single Family Residential Property or Multi‐ Family Residential Property and the number of Residential Units shall be determined by the Administrator.

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

For purposes of determining the applicable Maximum Special Tax for Assessor’s Parcels of Developed Property and Approved Property which are classified as Non‐Residential Property, all such Assessor’s Parcels shall be assigned the number of Building Square Footage or Acres as shown on the Final Map as determined by the Administrator. Once the Administrator determines the actual number of Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 12
Menifee

Mayor

and

City

Council

September

21,
2022
Page
927 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 5 Building Square Footage or Acres for the Assessor’s Parcels, the Special Tax A levied against the Assessor’s Parcel in the next Fiscal Year shall be calculated by multiplying the number of Building Square Footage or Acres by the Maximum Special Tax per Taxable Unit identified for the applicable Tax Zone below or as included in Appendix A as each annexation occurs.

1. Special Tax A
a. Developed Property
(i) Maximum Special Tax A
The Maximum Special Tax A for each Assessor’s Parcel of Developed Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax A for Developed Property for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 1 below:

TABLE 1
MAXIMUM SPECIAL TAX A RATES
DEVELOPED PROPERTY

Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum
Special Tax A
1 TR 36299‐1
& PM 9504
Single Family Residential Property RU $158
Multi‐Family Residential Property RU $158
Non‐Residential Property Acre $1,714

(ii) Increase in the Maximum Special Tax A
On each July 1, commencing on July 1, 2019 the Maximum Special Tax A for Developed Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

(iii) Multiple Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax A that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax A that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final.

b. Approved Property
The Maximum Special Tax A for each Assessor’s Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone annexed and included in Appendix A. The Maximum Special Tax A for Approved Property for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 2 below:

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 13
Menifee

Mayor

and

City

Council

September

21,
2022
Page
928 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 6 TABLE 2
MAXIMUM SPECIAL TAX A RATES
APPROVED PROPERTY

On each July 1, commencing on July 1, 2019 the Maximum Special Tax A for Approved Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

c. Undeveloped Property
The Maximum Special Tax A for each Assessor’s Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for the Tax Zone annexed and included in Appendix A. The Maximum Special Tax A for Undeveloped Property for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 3 below:

TABLE 3
MAXIMUM SPECIAL TAX A RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit Maximum Special Tax A
1 TR 36299‐1
& PM 9504 Acre $1,515

On each July 1, commencing on July 1, 2019 the Maximum Special Tax A for Undeveloped Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

2. Special Tax B (Contingent)
The City Council shall levy Special Tax B (Contingent) only in the event the POA defaults in its obligation to maintain the Contingent Services, which default shall be deemed to have occurred, as determined by the Administrator, in each of the following circumstances:
(a) The POA files for bankruptcy;
(b) The POA is dissolved;
(c) The POA ceases to levy annual assessments for the Contingent Services; or (d) The POA fails to provide the Contingent Services at the same level as the City provides similar services and maintains similar improvements throughout the City and within ninety (90) days after written notice from the City, or such longer period permitted by the City Manager, fails to remedy the deficiency to the reasonable satisfaction of the City Council.

a. Developed Property
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 14
Menifee

Mayor

and

City

Council

September

21,
2022
Page
929 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 7 (i) Maximum Special Tax B (Contingent)
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Taxable Property is shown in Table 4 and shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 4 below:

TABLE 4
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
DEVELOPED PROPERTY

Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum
Special Tax B
(Contingent)
1 TR 36299‐1
& PM 9504
Single Family Residential Property RU $0
Multi‐Family Residential Property RU $0
Non‐Residential Property Acre $0

(ii) Increase in the Maximum Special Tax B (Contingent) On each July 1, commencing on July 1, 2019 the Maximum Special Tax B (Contingent) for Developed Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

(iii) Multiple Land Use Categories
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax B (Contingent) that can be levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax B (Contingent) that can be levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based on the amount of Acreage designated for each land use as determined by reference to the site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of property shall be final.

b. Approved Property
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Approved Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐ 1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 5 below:

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 15
Menifee

Mayor

and

City

Council

September

21,
2022
Page
930 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 8 TABLE 5
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
APPROVED PROPERTY

On each July 1, commencing on July 1, 2019 the Maximum Special Tax B (Contingent) for Approved Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

c. Undeveloped Property
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Undeveloped Property shall be specific to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2017‐ 1, the rate and method adopted for the annexed property shall reflect the Maximum Special Tax B (Contingent) for the Tax Zone annexed and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2018‐19 within Tax Zone 1 is identified in Table 6 below:

TABLE 6
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit
Maximum Special
Tax B (Contingent)
1 TR 36299‐1
& PM 9504 Acre $0

On each July 1, commencing on July 1, 2019 the Maximum Special Tax B (Contingent) for Undeveloped Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX

1. Special Tax A
Commencing with Fiscal Year 2018‐19 and for each following Fiscal Year, the City Council shall determine the Special Tax A Requirement for each Tax Zone and shall levy the Special Tax A on all Assessor’s Parcels of Taxable Property within such Tax Zone until the aggregate amount of Special Tax A equals the Special Tax A Requirement for such Tax Zone. The Special Tax A shall be levied for each Fiscal Year as follows:

First: The Special Tax A
shall be levied Proportionately on all Assessor’s Parcels of Developed Property up to 100% of the applicable Maximum Special Tax A to satisfy the Special Tax A Requirement;

Second: If additional moneys are needed to satisfy the Special Tax A Requirement after the first step has been completed, the Special Tax A shall be levied Proportionately on each Parcel of Approved Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 16
Menifee

Mayor

and

City

Council

September

21,
2022
Page
931 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 9 Property at up to 100% of the Maximum Special Tax A for Approved Property;

Third: If additional monies are needed to satisfy the Special Tax A Requirement after the first two steps has been completed, the Special Tax A shall be levied Proportionately on all Assessor’s Parcels of Undeveloped Property up to 100% of the Maximum Special Tax A for Undeveloped Property.

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

First: The Special Tax shall be levied Proportionately on all Assessor’s Parcels of Developed Property up to 100% of the applicable Maximum Special Tax B (Contingent) to satisfy the Special Tax B (Contingent) Requirement;

Second: If additional moneys are needed to satisfy the Special Tax B (Contingent) Requirement after the first step has been completed, the Special Tax B (Contingent) shall be levied Proportionately on each Parcel of Approved Property at up to 100% of the Maximum Special Tax B (Contingent) for Approved Property;

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

E. FUTURE ANNEXATIONS
It is anticipated that additional properties will be annexed to CFD No. 2017‐1 from time to time. As each
annexation is proposed, an analysis will be prepared to determine the annual cost for providing Services to such properties. Based on this analysis, any properties to be annexed, pursuant to California Government Code section 53339 et seq. will be assigned the appropriate Maximum Special Tax rates for the Tax Zone when annexed and included in Appendix A.

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

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

G. EXEMPTIONS
The City shall classify as Exempt Property within CFD No. 2017‐1, all Assessor’s; (i) which are owned by, irrevocably offered for dedication, encumbered by or restricted in use by any public entity; (ii) with public or utility easements making impractical their utilization for other than the purposes set forth in the easement; (iii) which are privately owned but are encumbered by or restricted solely for public uses; or (iv) which are in use in the performance of a public function as determined by the Administrator.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 17
Menifee

Mayor

and

City

Council

September

21,
2022
Page
932 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 10 H. APPEALS
Any property owner claiming that the amount or application of the Special Taxes are not correct may file a written notice of appeal with the City not later than twelve months after having paid the first installment of the Special Tax that is disputed. The Administrator of CFD No. 2017‐1 shall promptly review the appeal, and if necessary, meet with the property owner, consider written and oral evidence regarding the amount of the Special Tax, and rule on the appeal. If the Administrator’s decision requires that the Special Tax for an Assessor’s Parcel be modified or changed in favor of the property owner, a cash refund shall not be made, but an adjustment shall be made to the Special Tax on that Assessor’s Parcel in the subsequent Fiscal Year(s).

I. MANNER OF COLLECTION
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2017‐1 may collect the Special Tax at a different time or in a different manner if necessary to meet its financial obligations.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 18
Menifee

Mayor

and

City

Council

September

21,
2022
Page
933 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 11 APPENDIX A
CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES)

COST ESTIMATE
Special Tax A Services ‐ The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2022‐23. These services are being funded by the levy of Special Tax A for Community Facilities District No. 2017‐1 Tax Zone 10.

TAX ZONE 10 (SERVICES)
TPM 37380
Item Description Estimated Cost
1 Landscaping $7,671
2 Lighting $923
3 Streets $1,882
4 Drainage $362
5 Reserves $931
6 Administration $1,219
Total $12,988
Special Tax B Contingent Services – The estimate breaks down the costs of providing one year’s contingent maintenance services for Fiscal Year 2022‐23. If necessary, these services will be funded by the levy of Special Tax B (Contingent) for Community Facilities District No. 2017‐1 Tax Zone 10.

TAX ZONE 10 (CONTINGENT SERVICES)
TPM 37380
Item Description Estimated Cost
1 Drainage $4,614
2 Reserves $461
3 Administration $885
Total $5,960
TAX ZONE 10
FY 2022‐23 MAXIMUM SPECIAL TAX RATES
Land Use
Category
Taxable
Unit
Maximum
Special Tax A
Maximum
Special Tax B
Developed Acre $3,588 $1,646
Approved Acre $3,588 $1,646
Undeveloped Acre $3,588 $1,646

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 19
Menifee

Mayor

and

City

Council

September

21,
2022
Page
934 of 2787

CityofMenifee
CommunityFacilitiesDistrictNo.2017Ͳ1(MaintenanceServices) 12
MAXIMUMSPECIALTAXESASSIGNEDTOEACHTAXZONE
Tax
Zone
Fiscal
Year
Included Tract
No.of
Taxable
Units
LandUse
Category
Taxable
Unit
Maximum
SpecialTax
A
Maximum
SpecialTaxB
(Contingent) Subdivider
1 2018Ͳ19 36299Ͳ1&
PM9504
426 SFR RU $158 $0 StarkMenifeeLand,LLC
548 MFR RU $158 $0 StarkMenifeeLand,LLC&
MenifeeMultifamily,LLC

27.68 NR Acre $1,714 $0 Several
2 2020Ͳ21 TR37576 65 SFR RU $539 $43 MeritageHomes 3 2020Ͳ21 TR28859 161 SFR RU $727 $0 WoodsideO5S 4 2020Ͳ21 TTM31098 258 SFR RU $878 $0 LennarHomesof California,Inc.
5 2020Ͳ21 TTM36852 68 SFR RU $755 $151 StrataHolland,LLC 6 2021Ͳ22 TTM37668 175 SFR RU $765 $295 MeritageHomesof California,Inc.
7 2022Ͳ23 TTM31456 176 SFR RU $996 $0 RCFCInvestments,LLC 8 2021Ͳ22 TR32102&
TR32102Ͳ1 256 SFR RU $674 $0
DiamondBrotherFive
Partnership,LPandPulte
HomeCompany,LLC
9 2021Ͳ22 TTM37400 174 SFR RU $703 $0 D.R.HortonLosAngeles HoldingCompany,Inc.
10 2022Ͳ23 TPM37380 3.62 NR Acre $3,588 $1,646 Briggs&74,LLC 11 ToBeDetermined
12 2022Ͳ23 TR37408&
TR37409 1,022 SFR RU $963 $5 BLCFlemingLLC
13 2022Ͳ23 TR36803 80 SFR RU $556 $171 FPGSunMenifee80LLC 14 2022Ͳ23 TR32628 303 SFR RU $281 $45 FPGTriconMenifee PropertyLLC
15 2022Ͳ23 PLN20Ͳ01678.43 MFR/NR Acre $3,865 $2,375 BouldersMenifeeLLC 16 2022Ͳ23 LLA17Ͳ007 12.48 MFR Acre $3,273 $2,119 JeffersonMenifee,LLC

ESCALATIONOFMAXIMUMSPECIALTAXES
On each July 1, commencing on July 1, 2019 the Maximum Special Tax shall increase by i) the percentageincreaseintheConsumerPriceIndex(AllItems)forLosAngelesͲRiversideͲOrangeCounty (1982Ͳ84=100)sincethebeginningoftheprecedingFiscalYear,orii)bytwopercent(2.0%),whichever isgreater.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 20
Menifee

Mayor

and

City

Council

September

21,
2022
Page
935 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 13 APPENDIX B

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) DESCRIPTION OF AUTHORIZED SERVICES

The services which may be funded with proceeds of the special tax of CFD No. 2017‐1, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (may include reserves for replacement) in public street right‐of‐way, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and

(b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but is not limited to the repair, removal or replacement of all or part of any of the water quality improvements, fossil fuel filters within the public right‐of‐way including the removal of petroleum hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance and servicing of the water quality basin improvements within flood control channel improvements; and

(c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2017‐1; as well as local roads within residential subdivisions located within CFD No. 2017‐1; and any portions adjacent to the properties within CFD
No. 2017‐1; and

In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay “Administrative Expenses,” as said term is defined in the Rate and Method of Apportionment.

The above services may be financed by proceeds of
the special tax of CFD No. 2017‐1 only to the extent that they are in addition to those provided in the territory of CFD No. 2017‐1 before CFD No. 2017‐1 was created or those provided in the territory annexed to CFD No. 2017‐1 before the territory was annexed, as applicable.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 21
Menifee

Mayor

and

City

Council

September

21,
2022
Page
936 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 14 APPENDIX C

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) PROPOSED BOUNDARIES
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 22
Menifee

Mayor

and

City

Council

September

21,
2022
Page
937 of 2787

Item Title: 11.3 Ordinance Introduction and Annexation No. 10 to Community Facilities District 2017-1 (Maintenance Services), Harvest Glen Marketplace, by Briggs & 74, LLC Item Page Number: 23
Menifee Mayor and City Council                                                                               September 21, 2022 Page 938 of 2787

Item Title: 11.3 Ordinance Introduction and Annexation No. 10 to Community Facilities District 2017-1 (Maintenance Services), Harvest Glen Marketplace, by Briggs & 74, LLC Item Page Number: 24
Menifee Mayor and City Council                                                                               September 21, 2022 Page 939 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 10

(September 21, 2022)
This ballot is for the use of the authorized representative of the following owner of land within Community Facilities District No. 2017-1 (Maintenance Services) (“CFD No. 2017-1”) of the City of Menifee:

Name of Landowne
r Number of Acres Owned Total Votes
Briggs & 74, LLC 5.04 6

According to the provisions of the Mello-Roos Community Facilities Act of 1982, and resolutions of the City Council (the “Council”) of the City of Menifee (the “City”), the above-named landowner is entitled to cast the number of votes shown above under the heading “Total Votes,” representing the total votes for the property owned by said landowner. The City has sent the enclosed ballot to you so that you may vote on whether or not to approve the special tax.

This special tax ballot is for the use of the property owner of the parcels identified below, which parcels are located within the territory proposed to be annexed to the CFD No. 2017-1, City of Menifee, County of Riverside, State of California. Please advise the Acting City Clerk, at (951) 672-6777 if the name set forth below is incorrect or if you are no longer one of the owners of these parcels. This special tax ballot may be used to express either support for or opposition to the proposed special tax. To be counted, this special tax ballot must be signed below by the owner or, if the owner is not an individual, by an authorized representative of the owner. The ballot must then be delivered to the Acting City Clerk, either by mail or in person, as follows:

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the Acting City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 25
Menifee

Mayor

and

City

Council

September

21,
2022
Page
940 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT
Name & Address of Property Owner: Assessor’s Parcel Number(s):

Briggs & 74, LLC
Attn: Daniel L. Stephenson
41391 Kalmia Street, Suite 200
Murrieta, CA 92562
327-320-028

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:

Shall the City Council of the City of Menifee be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit C to the Resolution Declaring its Intention to Annex territory to Community Facilities Distric t No. 2017-1 (Maintenance Services) adopted by the City Council on August 17, 2022 (the “Resolution”), which is inc orporated herein by this reference, within the territory identified on the map entitled “Annexation Map No. 10 of Community Fac ilities District No. 2017-1 (Maintenance Serv ices) City of Menifee” to finance certain services as set forth in Section 5 to the Resolution (including incidental expenses), and shall an appropriation limit be es tablished for the Community Facilities District No. 2017-1 (Maintenance Services) in the amount of spec ial taxes collected? YES _________
NO _________
Certification for Special Election Ballot
The undersigned is an authorized representative of the above-named landowner and is the person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and cor
rect, and that this declaration is executed on ____________, 20__.

Briggs & 74, LLC
Daniel L. Stephenson
Manager
Signature
Print Name

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 26
Menifee

Mayor

and

City

Council

September

21,
2022
Page
941 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

DECLARING ELECTION RESULTS OF THE SPECIAL ELECTION HELD ON SEPTEMBER 21 , 2022 AND ORDERING THE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 10), TPM 37380
WHEREAS, the City Council (the “City Council”) of the City of Menifee (the “City”) has heretofore conducted proceedings, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), for the area proposed to be annexed to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the “CFD No. 2017-1”), including conducting a public hearing pursuant to the Act; and
WHEREAS, at the conclusion of said public hearing, the City Council adopted a resolution calling a special election for September 21 , 2022 , and submitting to th e qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 the question of levying special taxes on parcels of taxable property therein for the purpose of providing certain services which are necessary to meet increased demands placed upon the City as a result of the development of said real property, as provided in the form of the special election ballot attached thereto as Exhibit B; and WHEREAS, the special election was held on September 21, 2022, and the City Clerk (or, in the absence of the City Clerk, the Acting City Clerk – in either case, the “Clerk”) has duly canvassed the returns of the special election and has filed with the City Council a Certificate of Election Results, dated September 21, 2022, executed by the Clerk, certifying that a completed ballot has been returned to the Clerk for each landowner-voter(s) eligible to cast a ballot in said special election, with all votes cast as “Yes” votes in favor of the ballot measure, and further certifying on said basis that the special mailed - ballot election was closed. .

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Menifee, California:

Section 1. Recitals. The City Council finds and determines that the foregoing recitals are true and correct.

Section 2. Approval of Canvass. The City Council has received, reviewed, and hereby accepts the Clerk’s Certificate of Election Results, a copy of which is attached hereto as Exhibit A, and hereby ratifies, confirms, and approves said Certificate of Election Results.

Section 3. Ballot Measure. The City Council hereby finds, determines, and declares that more than two-thirds (⅔) of all the votes cast at the special election on the ballot measure were in favor of the ballot measure, the ballot measure passed, and the ballot measure was approved by the qualified electors in accordance with the Act.

Section 4. Validity of Procedures . The City Council hereby finds and determines that all prior proceedings and actions taken by the City Council pursuant to the Act were and are valid and in conformity with the Act.

Section 5. Annexation. The City Council hereby finds, determines, and declares that pursuant to Government Code section 53339.8, the territory proposed to be annexed is added to and part of the CFD No. 2017- 1 with full legal effect, and the City Council is also authorized, pursuant to said Section 53339.8, to annually levy special taxes within the annexed territory to pay the costs of the services to be provided by the CFD No. 2017-1 as specified in Resolution No. 22-1191 adopted by the City Council on August 17, 2022 . The Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 27
Menifee

Mayor

and

City

Council

September

21,
2022
Page
942 of 2787

Resolution Declaring Election Results Annex 10
2 boundaries of the annexed territory are shown on the map entitled, “Annexation Map No. 10 Community Facilities District No. 2017-1 (Maintenance Services)” a copy of which was recorded, on August 23 , 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 49, in the office of the Riverside County Recorder.

Section 6. Notice of Special Tax Lien. Pursuant to Government Code section 53339.8 and Streets and Highways Code sections 3114.5 and 3117.5, within fifteen (15) days of the adoption of this Resolution, the City Clerk shall cause to be filed with the County Recorder of the County of Riverside an amendment to the notice of special tax lien and a map of the amended boundaries of the CFD No. 2017-1 including the annexed territory.

Section 7. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor
Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 28
Menifee

Mayor

and

City

Council

September

21,
2022
Page
943 of 2787

EXHIBIT A

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 10

CERTIFICATE OF ELECTION RESULTS

I, the undersigned, being the City Clerk or the Acting City Clerk, as the case may be, hereby certify:

In connection with the special mailed-ballot election called by the City Council (the “City Council”) of the City of Menifee (the “City”) on this same date in the proceedings of the City Council for the above -entitled community facilities district, I personally received (a) signed and dated waiver and consent form s and (b) signed, dated and marked election ballot s on behalf of the property owners, the entities named as the sole landowners of the lands within the boundary of the above-entitled community facilities district in the Certificate Regarding Registered Voters and Landowners, dated July 27, 202 2 and on file in the office of the City Clerk of the City in connection with the City Council actions on that date. Copies of the completed waiver and consent form and the completed ballot received by me and on file in my office are attached hereto.

Following such receipt, I have personally, and in the presence of all persons present, reviewed the ballot to confirm that it is properly marked and signed, and I hereby certify the result of that count to be that the ballot was cast in favor of the measure.

Based upon the foregoing, all votes that were cast having been cast “Yes”, in favor of the ballot measure, the measure has therefore passed.

Qualified
Landowner Votes Votes Cast YES NO
6 6

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct and that this declaration is executed on September 21, 2022.

Stephanie Roseen
Acting City Clerk
City of Menifee

By:

(Attach completed copies of Waiver/Consent and Ballot)
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 29
Menifee

Mayor

and

City

Council

September

21,
2022
Page
944 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 10

Name of Landowne
r Number of Acres Owned Total Votes
Briggs & 74, LLC 5.04 6

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the Acting City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 30
Menifee

Mayor

and

City

Council

September

21,
2022
Page
945 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT
Name & Address of Property Owner: Assessor’s Parcel Number(s):

Briggs & 74, LLC
Attn: Daniel L. Stephenson
41391 Kalmia Street, Suite 200
Murrieta, CA 92562
327-320-028

CITY OF MENIFEE

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and cor
rect, and that this declaration is executed on ____________, 20__.

Briggs & 74, LLC
Daniel L. Stephenson
Manager
Signature
Print Name

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 31
Menifee

Mayor

and

City

Council

September

21,
2022
Page
946 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 32
Menifee

Mayor

and

City

Council

September

21,
2022
Page
947 of 2787

ORDINANCE NO. 22-

AN ORDINANCE OF THE CITY OF MENIFEE, CALIFORNIA, AMENDING ORDINANCE NO. 2017-231 AND LEVYING SPECIAL TAXES TO BE
COLLECTED DURING FISCAL YEAR 2022-23 TO PAY THE ANNUAL COSTS

OF THE MAINTENANCE AND SERVICING OF STREET LIGHTS, PARKS,

PARKWAYS, STREETS, ROADS, AND OPEN SPACE, THE OPERATION AND

MAINTENANCE OF STORM DRAINAGE SYSTEMS, A RESERVE FUND FOR

CAPITAL REPLACEMENT, AND ADMINISTRATIVE EXPENSES WITH
RESPECT TO CITY OF MENIFEE COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)(ANNEXATION NO. 10)
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), on December 6, 2017, the City Council (the “City Council”) of the City of Menifee (the “City”) adopted Resolution No. 17-658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the "CFD No. 2017-1") for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services (the “Services”), which are necessary to meet increased demands placed upon the City and are described in Exhibit A attached hereto; and
WHEREAS, on December 20, 2017, the City Council adopted Ordinance No. 2017-231 entitled, “An Ordinance Levying Special Taxes to be Collected During Fiscal Year 2018-19 to Pay the Annual Costs of the Maintenance and Servicing of Street Lights, Parks, Parkways, Streets, Roads, and Open Space, the Operation and Maintenance of Storm Drainage Systems, a Reserve Fund for Capital Replacement, and Administrative Expenses with Respect to City of Menifee Community Facilities District No. 2017-1 (Maintenance Services)” (“Ordinance No. 2017-231”), pursuant to which the City Council levied special taxes with the CFD No. 2017-1; and
WHEREAS, on August 17, 2022, the City Council adopted Resolution No. 22-1191 entitled “A Resolution of the City Council of the City of Menifee Declaring Its Intention to Annex Territory to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, Adopting a Map of the Area to be Proposed to be Annexed (Annexation No. 10) and Authorizing the Levy of a Special Taxes Therein” (the “Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 2017-1 and to levy special taxes within that territory to provide the Services as described in the Resolution of Intention and setting a special public hearing on the proposed annexation for September 21, 2022; and WHEREAS, notice was published as required by the Act relative to the intention of the City Council to annex certain territory to the CFD No. 2017-1, to levy special taxes therein to provide the Services, and to set the time and place of said public hearing; and
WHEREAS, on September 21, 2022, at the time and place specified in said published notice, the City Council opened and held a public hearing as required by the Act relative to the annexation of territory in to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services by the CFD No. 2017-1; and
WHEREAS, at said public hearing all persons desiring to be heard on all matters pertaining to the annexation of territory to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services therein were heard, and a full and fair hearing was held; and WHEREAS, subsequent to said public hearing, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Calling an Election to Submit to the Qualified Electors the Question of Levying a Special Tax Within the Area Proposed to be Annexed to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 10)” (the “Resolution Calling the Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 33
Menifee

Mayor

and

City

Council

September

21,
2022
Page
948 of 2787

4 5
4 2
7 Election”) on September 21, 2022, wherein the City Council submitted the question of levying a special tax in territory proposed to be annexed to the CFD No. 2017-1 at the rate and according to the method of apportionment described therein; and
WHEREAS, at said special election on September 21, 2022, the qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 approved said propositions as described in the Resolution Calling the Special Election by more than the two-thirds vote required by the Act; and WHEREAS, subsequent to said special election, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Declaring the Results of the Special Election Held on September 21, 2022, and Ordering the Annexation of Territory to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 10)” wherein the City Council determined that the territory proposed to be annexed was added to the CFD No. 2017-1 (such territory being referred to herein as “Annexation No. 10”).

NOW, THEREFORE, the City Council of the City of Menifee, California does ordain as follows:

Section 1.Recitals. The foregoing recitals are true and correct.

Section 2.Amendment to Exhibit B of Ordinance No. 2017-231. Exhibit B of Ordinance No. 2017-231 is hereby amended by deleting it in its entirety and replacing it with Revised Exhibit B attached hereto.

Section 3.Amendment to Section 2 of Ordinance No. 2017-231. Section 2 of Ordinance No. 2017-231 is hereby amended by deleting it in its entirety and replacing it with the following:

Section 2.Levy of Special Taxes. Special taxes
shall be and are hereby levied for the Fiscal Year 2022- 23, and each Fiscal Year thereafter, on all parcels of real property within the Community Facilities District which are subject to taxation, which are identified in Revised Exhibit B attached hereto, and in the amount set forth for each such parcel in said Revised Exhibit B. Pursuant to said Section 53340, such special taxes shall be collected in the same manner as ordinary ad valorem property taxes
are collected and shall be subject to the same penalties and the same procedure, sale, and lien priority in case of delinquency as is provided for ad valorem taxes.

Section 4.Amendment to Section 2 of Ordinance No. 2017-231. Section 2 of Ordinance No. 2017-231 is hereby
Section 5. Severability. If any section, subsection, sentence, clause, or phrase of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance, and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional, without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional.

Section 6.Effective Date. This ordinance shall take effect thirty (30) days from the date of its adoption.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 34
Menifee

Mayor

and

City

Council

September

21,
2022
Page
949 of 2787

4 5
4 2
7 Section 7.Notice of Adoption. The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause to be published within fifteen (15) days after its passage in a newspaper of general circulation and circulated within the City in accordance with Government Code Section 36933(a) or, cause this Ordinance to be published in a manner required by law using the alternative summary and posting procedure authorized under Government Code Section 36933 (c).

This Ordinance was introduced and read on the 21st day of September, 2022 and APPROVED AND ADOPTED this 5th day of OCTOBER, 2022.
___________________________
Bill Zimmerman, Mayor
Attest:
___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:
___________________________
Jeffrey T. Melching, City Attorney
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 35
Menifee

Mayor

and

City

Council

September

21,
2022
Page
950 of 2787

4 5
4 2
7 EXHIBIT A

DESCRIPTION OF SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2017-1, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (and may include reserves for replacement) in public street right-of- ways, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use. These services include the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to street lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities; maintenance of public signage; graffiti removal from and maintenance and repair of public structures situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or recreation program equipment or facilities situated on any park; and
(b) maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration basins, flood control channels, fossil fuel filters, and similar facilities.

Maintenance services may include, but are not limited to, the repair, removal or replacement of all or part of any of the water quality improvements; fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other pollutants from water runoff or appurtenant facilities; clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance, servicing, or both of the water quality basin improvements within flood control channel improvements; and (c) public street sweeping, on the segments of the arterials within the boundaries of CFD No. 2017-1; as well as local roads within residential subdivisions located within CFD No. 2017- 1; and any portions adjacent to the properties within CFD No. 2017-1.

In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay “Administrative Expenses,” as said term is defined in Exhibit B to this Resolution of Intention.

The above services shall be limited to those provided within the boundaries of CFD No. 2017-1 or for the benefit of the properties within the boundaries of CFD No. 2017-1, as the boundary is expanded from time to time by anticipated annexations, and said services may be financed by proceeds of the special tax of CFD No. 2017-1 only to the extent that they are in addition to those provided in the territory of CFD No. 2017-1 before CFD No. 2017-1 was created.

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 36
Menifee

Mayor

and

City

Council

September

21,
2022
Page
951 of 2787

5 REVISED EXHIBIT B
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) SPECIAL TAX FISCAL YEAR 2022-23
(Effective as of October 5, 2022)

ASSESSOR'S PARCEL NUMBERS
Annexation Owner Assessor's Parcel Numbers
Stark Menifee Land, LLC
Stark Menifee Land, LLC & Menifee
Multifamily, LLC Original Formation
Several
See Next Page
1 MLC Holdings 360-210-001
2 Woodside O5S See Next Page
3 To Be Determined
4 Lennar Homes of California, Inc. See Next Page
5 Forester Real Estate Group Inc. 372-040-043, -044
6 Meritage Homes of California, Inc. 372-160-006, -007, -008, -013 and 372-190-003
7 RCFC Investments, LLC 339-020-004, -005, -006, -007, -008, -040, -041, -042, -043 and 339-030-022
8 Pulte Home Company, LLC and
Diamond Brother Five Partnership, LP 340-050-034 and 340-050-032 9 D.R.Horton Los Angeles Holding
Company, Inc. See Next Page
10 Briggs & 74, LLC 327-320-028
11 To Be Determined
12 BLC Fleming, LLC 333-020-011 and 333-020-019
13 FPG Sun Menifee 80 LLC 360-150-019
14 FPG Tricon Menifee Property LLC 372-050-037, -038, -039, -040, -041, - 042
15 Boulders Menifee LLC 339-200-080
16 Jefferson Menifee LLC 364-070-051
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 37
Menifee

Mayor

and

City

Council

September

21,
2022
Page
952 of 2787

Ordinance Annex 10

Page 6 of 10 ends

6 REVISED EXHIBIT B (cont.)
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)

ORIGINAL FORMATION

ASSESSOR'S PARCEL NUMBERS

APN APN APN APN APN
360850024 360861031 360862008 360862050 360870030
360850029 360861032 360862009 360862051 360870031
360850030 360861033 360862010 360862052 360870032
360850031 360861034 360862011 360862053 360870033
360850032 360861035 360862012 360862054 360870034
360860001 360861036 360862013 360862055 360870035
360860017 360861038 360862014 360862056 360870036
360860026 360861039 360862016 360862057 360870037
360860027 360861040 360862017 360862058 360870038
360860028 360861041 360862018 360862059 360870039
360860041 360861042 360862019 360870001 360870040
360861001 360861043 360862020 360870002 360870041
360861002 360861044 360862021 360870003 360870042
360861003 360861045 360862022 360870004 360870043
360861004 360861046 360862023 360870005 360870044
360861005 360861047 360862024 360870006 360870045
360861006 360861048 360862025 360870007 360870046
360861007 360861049 360862026 360870008 360870047
360861008 360861050 360862027 360870009 360870048
360861009 360861051 360862028 360870010 360870049
360861010 360861053 360862029 360870011 360870050
360861012 360861054 360862031 360870012 360870051
360861013 360861055 360862032 360870013 360870052
360861014 360861056 360862033 360870014 360870053
360861015 360861057 360862034 360870015 360870054
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 38
Menifee

Mayor

and

City

Council

September

21,
2022
Page
953 of 2787

Ordinance Annex 10

Page 7 of 10 ends

7 APN APN APN APN APN
360861016 360861058 360862035 360870016 360870055
360861017 360861059 360862036 360870017 360870056
360861018 360861060 360862037 360870018 360870057
360861019 360861061 360862038 360870019 360870058
360861020 360861062 360862039 360870020 360870059
360861021 360861063 360862040 360870021 360870060
360861022 360861064 360862041 360870022 360870061
360861023 360862001 360862042 360870023 360870062
360861025 360862002 360862043 360870024 360870063
360861026 360862003 360862044 360870025 360870064
360861027 360862004 360862046 360870026 360870065
360861028 360862005 360862047 360870027 360870066
360861029 360862006 360862048 360870028 360880001
360861030 360862007 360862049 360870029 360880002
360880003 360880042 360971003 360972002 360980014
360880004 360880043 360971004 360972003 360980015
360880005 360880044 360971005 360972004 360980016
360880006 360880045 360971006 360972005 360980017
360880007 360880046 360971007 360972006 360980018
360880008 360880047 360971008 360973001 360980019
360880009 360880048 360971009 360973002 360980020
360880010 360880049 360971010 360973003 360980021
360880011 360880050 360971011 360973004 360980022
360880012 360880051 360971012 360973005 360980023
360880013 360880052 360971013 360973006 360980024
360880014 360880053 360971014 360973007 360980025
360880015 360880054 360971015 360973008 360980026
360880016 360880055 360971016 360973009 360980027
360880017 360880056 360971017 360973010 360980028
360880018 360880057 360971018 360973011 360980029
360880019 360880058 360971019 360973012 360980030
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 39
Menifee

Mayor

and

City

Council

September

21,
2022
Page
954 of 2787

Ordinance Annex 10

Page 8 of 10 ends

8 APN APN APN APN APN
360880020 360880059 360971020 360974001 360980031
360880021 360970001 360971021 360974002 360980032
360880022 360970002 360971022 360974003 360980033
360880023 360970003 360971023 360974004 360980034
360880024 360970004 360971024 360974005 360980035
360880025 360970005 360971025 360974006 360980036
360880026 360970006 360971026 360974007 360980037
360880027 360970007 360971027 360974008 360980038
360880028 360970008 360971028 360974009 360981001
360880029 360970009 360971029 360980001 360981002
360880030 360970010 360971030 360980002 360981003
360880031 360970011 360971031 360980003 360981004
360880032 360970012 360971032 360980004 360982001
360880033 360970013 360971033 360980005 360982002
360880034 360970014 360971034 360980006 360982003
360880035 360970015 360971035 360980007 360982004
360880036 360970016 360971036 360980008 360982005
360880037 360970017 360971037 360980009 360982006
360880038 360970018 360971038 360980010 360982007
360880039 360970019 360971039 360980011 360982008
360880040 360971001 360971040 360980012 360982009
360880041 360971002 360972001 360980013 360982010
360982011 364411001 364420019 364422018 364430013
360982012 364411002 364420020 364422019 364430014
360983001 364411003 364420021 364422020 364430015
360983002 364411004 364420022 364422021 364430016
360983003 364411005 364420023 364422022 364431001
360983004 364411006 364420024 364423001 364431002
360983005 364411007 364421001 364423002 364431003
360983006 364411008 364421002 364423003 364431004
360983007 364411009 364421003 364423004 364431005
Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 40
Menifee

Mayor

and

City

Council

September

21,
2022
Page
955 of 2787

Ordinance Annex 10

Page 9 of 10 ends

9 APN APN APN APN APN
360983008 364411010 364421004 364423005 364431006
360983009 364411011 364421005 364423006 364431007
360983010 364411012 364421006 364423007 364431008
360983011 364411013 364421007 364423008 364431009
360983012 364411014 364421008 364423009 364431010
364410001 364411015 364421009 364423010 364431011
364410002 364411016 364421010 364423011 364431012
364410003 364411017 364421011 364424001 364431013
364410004 364411018 364422001 364424002 364431014
364410005 364420003 364422002 364424003 364431015
364410006 364420004 364422003 364424004 364431016
364410007 364420005 364422004 364424005 364431017
364410008 364420006 364422005 364424006 364432001
364410009 364420007 364422006 364430001 364432002
364410010 364420008 364422007 364430002 364432003
364410011 364420009 364422008 364430003 364432004
364410012 364420010 364422009 364430004 364432005
364410013 364420011 364422010 364430005 364432006
364410014 364420012 364422011 364430006 364432007
364410015 364420013 364422012 364430007 364432008
364410016 364420014 364422013 364430008 364433001
364410017 364420015 364422014 364430009 364433002
364410018 364420016 364422015 364430010 364433003
364410019 364420017 364422016 364430011 364433004
364410020 364420018 364422017 364430012
ANNEXATION NO. 2

ASSESSOR'S PARCEL NUMBERS
Assessor's Parcel Numbers
339020039 339362020 339362021 339362022 339362023 339362024 339362025 339362026 339362027 Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 41
Menifee

Mayor

and

City

Council

September

21,
2022
Page
956 of 2787

Ordinance Annex 10

Page 10 of 10 ends

10 339500001 339500002 339500003 339500004 339500005 339500006 339500007 339500008 339500009 339500010 339500011 339500012 339500013 339500014 339500015 339500016 339500017 339500018 339500019 339500020 339500021 339500022 339500023 339500024 339500025 339500026 339500027 339500028 339501001 339501002 339501003 339501004 339501005 339502001 339502002 339502003 339502004 339502005 339502006 339510001 339510002 339510003 339510004 339510005 339510006 339510007 339510008 339510009 339510010 339510011 339510012 339511001 339511002 339511003 339511004 339511005 339511006 339511007 339511008 339511009 339511010 339511011 339511012 339511013 339511014 339511015 339511016 339511017 339511018 339511019 339511020 339511021 339511022 339511023 339511024 339511025 339511026 339511027 339511028 339511029 339511030 339511031 339512001 339512002 339512003 339512004 339512005 339512006 339512007 339512008 339512009 339512010 339512011 339512012 339512013 339512014 339520001 339520002 339520003 339520004 339520005 339520006 339520007 339520008 339520009 339520010 339520011 339520012 339520013 339520014 339520015 339520016 339520017 339520018 339520019 339521001 339521002 339521003 339521004 339521005 339521006 339521007 339521008 339521009 339521010 339521011 339521012 339522001 339522002 339522003 339522004 339522005 339522006 339522007 339522008 339522009 339522010 339522011 339522012 339522013 339522014 339522015 339522016 339522017 339522018 339522019 339522020 339522021 339522022 339522023 339522024 339522025 339522026 339522027 339522028 339522029
ANNEXATION NO. 4

ASSESSOR'S PARCEL NUMBERS
Assessor's Parcel Numbers
333070069 333070070 333070071 333070075 333070080 333070081 333070082 ANNEXATION NO. 9

ASSESSOR'S PARCEL NUMBERS
Assessor's Parcel Numbers
331080005 331080006 331080007 331080008 331080009 331080010 331080011 331080012 331080018 331080019 331080020 331080021 331080024 331080025 331080027 331080028 Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 42
Menifee

Mayor

and

City

Council

September

21,
2022
Page
957 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 43
Menifee

Mayor

and

City

Council

September

21,
2022
Page
958 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 44
Menifee

Mayor

and

City

Council

September

21,
2022
Page
959 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 45
Menifee

Mayor

and

City

Council

September

21,
2022
Page
960 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 46
Menifee

Mayor

and

City

Council

September

21,
2022
Page
961 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 47
Menifee

Mayor

and

City

Council

September

21,
2022
Page
962 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 48
Menifee

Mayor

and

City

Council

September

21,
2022
Page
963 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 49
Menifee

Mayor

and

City

Council

September

21,
2022
Page
964 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 50
Menifee

Mayor

and

City

Council

September

21,
2022
Page
965 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 51
Menifee

Mayor

and

City

Council

September

21,
2022
Page
966 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 52
Menifee

Mayor

and

City

Council

September

21,
2022
Page
967 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 53
Menifee

Mayor

and

City

Council

September

21,
2022
Page
968 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 54
Menifee

Mayor

and

City

Council

September

21,
2022
Page
969 of 2787

Item Title: 11.3
Ordinance

Introduction

and

Annexation

No.

10 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Harvest
Glen Marketplace, by Briggs & 74, LLC
Item Page Number: 55
Menifee

Mayor

and

City

Council

September

21,
2022
Page
970 of 2787

CITY OF MENIFEE
SUBJECT: Ordinance Introduction and Annexation No. 13 to Community Facilities District 2017-1 (Maintenance Services), Estrella, by FPG Sun Menifee 80, LLC
MEETING DATE: September 21, 2022
TO: Mayor and City Council
PREPARED BY: Kristen Jensen, Financial Analyst
REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Adopt a resolution calling an election to annex territory included in Tract Map No. 36803, located at the southeast corner of the intersection of Holland Road and Evans Road, into City of Menifee Community Facilities District No. 2017-1 (Maintenance Services) ("CFD No. 2017- 1" or "CFD"); and

2. Hold a special landowner election and canvass the election, and

3. Adopt a resolution declaring results of special landowner election; and

4. Introduce an ordinance, amending the Ordinance No. 2017-231 and levying and apportioning the special tax in CFD 2017-1.

DISCUSSION
On August 3, 2022, the City Council adopted Resolution No. 22-1183, declaring its intent to annex territory to CFD No. 2017-1 and commence the annexation proceedings for the territory to be annexed, also known as Annexation No. 13. The next step in the annexation proceedings is to hold a public hearing on September 21, 2022, to conduct an election for the landowners and to declare the results of that election.

The area within Annexation No. 13 is included in TR 36803 and is approximately 29.29 gross acres of residential property within the City. The property is located west of I-215 at the southeast corner of the intersection of Holland Road and Evans Road, as shown in the attached Project Map. The proposed maintenance services would include items such as landscaping, lighting, street maintenance, drainage, parks, trails, and graffiti abatement. Per the request of FPG Sun Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 1
Menifee

Mayor

and

City

Council

September

21,
2022
Page
971 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 13 - Estrella
September 21, 2022

Page 2 of 3 ends

1 1
0 4
Menifee 80 LLC (“Owner”), the City would establish a rate and method of apportionment and authorize the levy of special taxes on the taxable property within Annexation Area No. 13 to pay for those services. Annexation Area No. 13 would have a maximum annual tax of $727 per unit.

This tax rate includes a Maximum Special Tax A of $556 per unit per year for maintenance services of public facilities and a Maximum Annual Special Tax B (Contingent) of $171 per unit per year and would be included in CFD No. 2017-1 as “Tax Zone 13.” The maximum annual tax rate is proposed to escalate each year at the greater of Consumer Price Index (CPI) or 2%. The Owner has agreed to initiate and conduct the CFD annexation proceedings pursuant to the Mello- Roos Act of 1982.

A boundary map entitled "Annexation Map No. 13, Community Facilities District No. 2017-1 (Maintenance Services)" a copy of which was previously recorded, on August 9, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 41, in the office of the Riverside County Recorder. Annexing the parcel into CFD No. 2017-1 would cover the costs of maintenance of certain public improvements associated with the development.

STRATEGIC PLAN OBJECTIVE
Responsive and Transparent Community Government

FISCAL IMPACT
The individual property owners in the CFD would be responsible for annual payments of special taxes. It is estimated, upon full completion of the tract development that there would be an annual collection of Special Tax A revenues of approximately $44,510, not including Contingent Tax B, to be used to pay for maintenance costs. In the event that the City must take over the privately maintained drainage facilities, Contingent Tax B could be levied for a total of approximately $13,641 to cover the additional maintenance costs. The special tax rates are calculated on 80 taxable residential units.

On June 1 of each year, every taxable unit for which a building permit has been issued within the boundaries of the CFD, would be subject to the special tax for the ensuing fiscal year. If the anticipated costs of maintaining the facilities in any given fiscal year, prior to buildout of the project, exceeds the special tax revenues available from parcels for which building permits have been issued, then the special tax may also be applied to property within recorded final subdivision maps, as well as other undeveloped property within the boundaries of the CFD.

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 2
Menifee

Mayor

and

City

Council

September

21,
2022
Page
972 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 13 - Estrella
September 21, 2022

Page 3 of 3 ends

1 1
0 4
would be financed through special taxes levied on the parcels within CFD No. 2017-1 and not through the City’s General Fund.

ATTACHMENTS

1. Project Map

2. Resolution Calling the Election

3. Resolution Declaring Election Results

4. Certificate of Registered Voters

5. Ordinance

6.Signed Petition, Waiver and Consent for Annexation
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 3
Menifee

Mayor

and

City

Council

September

21,
2022
Page
973 of 2787

HOLLAND RD

ALTAMIRA ST

CORSON AVE
M

URRIETA
RD
EVANS
RD
MURPHY
LN

BRADLEY
RD

CRAIG AVE

PLEASANT
VALLEY
AVE
^_

EVANSRD

SCOTT RD

GARBANI RD

NEWPORT RD

MURRIETA
RD

MENIFEE
RD

BRADLEY RD

AUDIE MURPHY RD
§¨¦215
CFD NO. 2017-1 (MAINTENANCE SERVICES)
ANNEXATION NO. 13

PROJECT MAP
Item Title: 11.4
Ordinance Introduction and Annexation No. 13 to Community Facilities District 2017-1 (Maintenance Services), Estrella, by FPG Sun Menifee 80, LLC Item Page Number: 4
Menifee Mayor and City Council
September 21, 2022
Page
974 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

CALLING AN ELECTION TO SUBMIT TO THE QUALIFIED ELECTORS THE

QUESTION OF LEVYING A SPECIAL TAX WITHIN THE AREA PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 13), TR 36803
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 ( “Act”), on December 6, 2017, the City Council ( “City Council”) of the City of Menifee (the “City”) approved Resolution No. 17- 658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California ( “CFD No. 2017-1”) for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services ( “Services”) which are necessary to meet increas ed demands placed upon the City as a result of the development of said parcels; and
WHEREAS, the City Cou ncil called a special election for December 6, 2017, at which the questions of levying a special tax and establishing an appropriations limit with respect to CFD No. 2017- 1 were submitted to the qualified electors within CFD No. 2017-1; and WHEREAS, at a special election held on December 6, 2017, more than two-thirds (⅔) of all votes cast were cast in favor of the levy of a special tax and the establishment of an appropriations limit, as determined by the City Council in Resolution No. 17-658, which was duly adopted on December 6, 2017; and
. WHEREAS, the City Council is authorized by Article 3.5 (commencing with Section 53339) of Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code to annex territory into an existing community facilities district by complying with the procedures set forth in said Article 3.5; and WHEREAS, the City Council on August 3, 2022 duly adopted Resolut ion No. 22- 1183 (“Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 2017 -1 and to levy a special tax within that territory to pay for certain services and setting a time and place for the public hearing on the proposed annexation for September 21, 2022; and WHEREAS, the territory proposed to be annexed is identified in a map entitled “Annexation Map No. 13, Community Facilities District No. 2017-1 (Maintenance Services)” a copy of which was recorded, on August 9, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 41, in the office of the Riverside County Recorder; and
WHEREAS, pursuant to the Act and the Resolution of Intention, a noticed public hearing was convened by the City Council on September 21, 2022, not earlier than the hour of 6:00 p.m. at the City Hall located at 29844 Haun Road, Menifee, California 92586, at which hearing all interested persons were given the opportunity to appear and be heard on the proposed annexation of said territory to the CFD No. 2017-1 and the levy of special taxes within said territory proposed to be annexed. If and to the extent participation in the September 21, 2022 meeting must occur by teleconference, videoconference, or other electronic means authorized by the Ralph M. Brown Act or an Executive Order of the Governor of California, the means and methods for participating the meeting shall be posted on the Agenda for said meeting, which shall be posted at least 72 hours prior to the meeting on the City of Menifee (www.cityofmenifee.us), and outside of City Hall at 29844 Haun Road, Menifee, California 92586. A copy of the Agenda will be made available upon request to the Menifee City Clerk's office at 951- 723-3471; and
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 5
Menifee

Mayor

and

City

Council

September

21,
2022
Page
975 of 2787

Resolution Calling an Election Annex 13
2 WHEREAS, written protests have not been filed by fifty percent (50%) or more of the registered voters residing within the CFD No. 2017-1, or by fifty percent (50%) or more of the registered voters residing within the territory proposed to be annexed, or by the owners of one-half (½) or more of the area within the CFD No. 2017- 1, or by the owners of one -half (½) or more of the territory proposed to be annexed; and
WHEREAS, the City Council has determined that there are fewer than twelve (12) registered voters residing in the territory proposed to be annexed to the CFD No. 2017- 1 and that the qualified electors in such territory are the landowners; and
WHEREAS, on the basis of all of the foregoing, the City Council has determined at this time to call an election to authorize the annexation of territory to the CFD No. 2017-1 and the levying of a special tax as described in Exhibit A attached hereto; and
WHEREAS, the City Counci l has received a written instrument from each landowner in the territory proposed to be annexed to the CFD No. 2017- 1 consenting to the shortening of election time requirements, waiving analysis and arguments, and waiving all notice requirements relating t o the conduct of the election; and
WHEREAS, the City Clerk has concurred with the election date set forth herein.

Section 1. Recitals. The foregoing recitals are true and correct.

Section 2. Confirmation of Finding in Resolution of Intention. The City Council reconfirms all of its findings and determinations as set forth in the Resolution of Intention.

Section 5. Levy of Special Tax . As stated in the Resolution of Intention, except where funds are otherwise available, subject to the approval of the qualified electors of territory proposed to be annexed to the CFD No. 2017- 1, a special tax sufficient to pay the c osts of the Services (including incidental expenses as described in the Resolution of Intention), secured by recordation of a continuing lien against all nonexempt real property in CFD No. 2017-1, will be levied annually in CFD No. 2017-1. The rate and method of apportionment, and manner of collection of the special tax are specified in Exhibit A hereto.

Section 6. Apportionment of Tax. The special tax as apportioned to each parcel is based on the cost of making the Services available to each parcel, or ot her reasonable basis, and is not based on or upon the ownership of real property.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 6
Menifee

Mayor

and

City

Council

September

21,
2022
Page
976 of 2787

Resolution Calling an Election Annex 13
3 Section 7. Tax Roll Preparation. The office of the Public Works Director, 29844 Haun Road, Menifee, California 92586, is hereby designated as the office that will be respons ible for annually preparing a current roll of special tax levy obligations by assessor’s parcel number and that will be responsible for estimating future special tax lev ies pursuant to Government Code section 53340.2. The Public Works Director may cause these functions to be performed by his or her deputies, assistants, or other designated agents.

1. Because fewer than twelve registered voters reside within the territory proposed to be annexed to the CFD No. 2017-1 on September 21, 2022 (a date within the 90 days preceding the close of the public hearing on the territory proposed to be annexed to the CFD No. 2017- 1), the qualified electors shall be the landowners within the territory proposed to be annexed to the CFD No. 2017-1, and each landowner who was the owner of record at the close of the hearing shall have one vote for each acre or portion of an acre of land that such landowner owns within the territory proposed to be annexed to the CFD No. 2017-1.
(B). Consolidation of Elections; Combination of Propositions on Ballot. The election on the question of levying the special tax and establishing an appropriations limit for the CFD No. 2017-1 shall be consolidated, and the two propositions shall be combined into a single ballot proposition for submission to the voters, as authorized by Government Code Section 53353.5.
(C). Mail Ballot Election. Pursuant to Government Code section 53327.5, the election shall be conducted as a mail ballot election. The City Council hereby ratifies the City Clerk’s delivery of a ballot to each landowner within the territory proposed to be annexed to the CFD No. 2017-1. The City Council hereby ratifies the form of the ballot, which is attached hereto as Exhibit B.
(D). Return of Ballots. The City Clerk shall accept the ballots of the landowners up to 6:00 p.m. on September 21, 2022. The City Clerk shall have available ballots that may be marked at the City Clerk’s office on the election day by voters. Once all qualified electors have voted, the City Clerk may close the election.
(E). Canvass of Election. The City Clerk shall commence the canvass of the returns of the special election as soon as the election is closed (on September 21, 2022, or when all qualified electors have voted) at the City Clerk’s office. At the conclusion of the canvass, the City Clerk shall declare the results of the election.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 7
Menifee

Mayor

and

City

Council

September

21,
2022
Page
977 of 2787

Resolution Calling an Election Annex 13
4 (F). Declaration of Results . The City Council shall declare the results of the special election following the completion of the canvass of the returns and shall cause to be inserted into its minutes a statem ent of the results of the special election as ascertained by the canvass of the returns.

Section 12. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor

Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 8
Menifee

Mayor

and

City

Council

September

21,
2022
Page
978 of 2787

A. DEFINITIONS

“Administrator” means the City Manager of the City of
Menifee, or his or her designee.

“Assessor’s Parcel” means a lot or parcel of land that is identifiable by an Assessor’s Parcel Number by the County Assessor of the County of Riverside.

“Assessor’s Parcel Map” means an
official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.

“Assessor’s Parcel Number” means that identification number assigned to a parcel by the County Assessor of the County.

“Building Square Footage” or “BSF” means the floor area square footage reflected on the original Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 9
Menifee

Mayor

and

City

Council

September

21,
2022
Page
979 of 2787

“Calendar Year” means the period commencing January 1 of any year and ending the following
December 31.

“CFD” or “CFD No. 2017‐1” means the City of Menifee Community Facilities District No. 2017‐1 (Maintenance Services).

“City” means the City of Menifee.

“County” means the County of Riverside.

“Exempt Property” means all Assessors’ Parcels designated as being exempt from the Special Tax as provided for in Section G.

“Fiscal Year” means the period from and including July 1 st of any year to and including the following June
30th.

“Maximum Special Tax” means either Maximum Special Tax A and/or Maximum Special Tax B (Contingent), as applicable.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 10
Menifee

Mayor

and

City

Council

September

21,
2022
Page
980 of 2787

“Property Owner’s Association” or “POA” means the property owner’s association or homeowner’s association established to maintain certain landscaping within a Tax Zone.

“Residential Unit” or "RU" means a residential unit that is used or intended to be used as a domicile by
one or more persons, as determined by the Administrator.

“Single Family Residential Property” or “SFR” means any Residential Property other than Multi‐Family Residential Property on an Assessor’s Parcel.

“Special Tax(es)” means the Special Tax A or Special Tax B (Contingent) to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable
Property.

“Special Tax A” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax A Requirement.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 11
Menifee

Mayor

and

City

Council

September

21,
2022
Page
981 of 2787

"Taxable Property" means all Assessor’s Parcels within CFD No. 2017‐1, which are not Exempt Property.

"Tax Zone 1" means the specific geographic area identified on the CFD Boundary Map as Tax Zone 1.

“Undeveloped Property” means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property.

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 12
Menifee

Mayor

and

City

Council

September

21,
2022
Page
982 of 2787

TABLE 1
MAXIMUM SPECIAL TAX A RATES
DEVELOPED PROPERTY

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 13
Menifee

Mayor

and

City

Council

September

21,
2022
Page
983 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 6 TABLE 2
MAXIMUM SPECIAL TAX A RATES
APPROVED PROPERTY

TABLE 3
MAXIMUM SPECIAL TAX A RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit Maximum Special Tax A
1 TR 36299‐1
& PM 9504 Acre $1,515

a. Developed Property
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 14
Menifee

Mayor

and

City

Council

September

21,
2022
Page
984 of 2787

TABLE 4
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
DEVELOPED PROPERTY

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 15
Menifee

Mayor

and

City

Council

September

21,
2022
Page
985 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 8 TABLE 5
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
APPROVED PROPERTY

TABLE 6
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit
Maximum Special
Tax B (Contingent)
1 TR 36299‐1
& PM 9504 Acre $0

D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX

First: The Special Tax A
shall be levied Proportionately on all Assessor’s Parcels of Developed Property up to 100% of the applicable Maximum Special Tax A to satisfy the Special Tax A Requirement;

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 16
Menifee

Mayor

and

City

Council

September

21,
2022
Page
986 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 9 Property at up to 100% of the Maximum Special Tax A for Approved Property;

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

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

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 17
Menifee

Mayor

and

City

Council

September

21,
2022
Page
987 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 18
Menifee

Mayor

and

City

Council

September

21,
2022
Page
988 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 11 APPENDIX A
CITY OF M
ENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) COST ESTIMATE
Special Tax A Services ‐
The estimate breaks down the costs of providing one year's maintenance services for Fiscal Year 2022‐23. These services are being funded by the levy of Special Tax A for Community Facilities District No. 2017‐1 Tax Zone 13.

TAX ZONE 13 (SERVICES)
TR 36803
Item Description Estimated Cost
1 Landscaping $9,799
2 Lighting $2,768
3 Streets $8,139
4 Drainage $632
5 Parks $17,445
6 Trails $1,664
7 Graffiti $263
8 Reserves $1,629
9 Administration $2,171
Total $44,510
Special Tax B Contingent Services – The estimate breaks down the costs of providing one year’s contingent maintenance services for Fiscal Year 2022‐23. If necessary, these services will be funded by the levy of Special Tax B (Contingent) for Community Facilities District No. 2017‐1 Tax Zone 13.

TAX ZONE 13 (CONTINGENT SERVICES)
TR 36803
Item Description Estimated Cost
1 Drainage $11,596
2 Reserves $1,160
3 Administration $885
Total $13,641
TAX ZONE 13
FY 2022‐23 MAXIMUM SPECIAL TAX RATES
Land Use
Category
Taxable
Unit
Maximum
Special Tax A
Maximum
Special Tax B
Developed RU $556 $171
Approved RU $556 $171
Undeveloped Acre $2,463 $755
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 19
Menifee

Mayor

and

City

Council

September

21,
2022
Page
989 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 12 MAXIMUM SPECIAL TAXES ASSIGNED TO EACH TAX ZONE
Tax
Zone
Fiscal
Year
Included Tract
No. of
Taxable
Units
Land Use
Category
Taxable
Unit
Maximum
Special Tax
A
Maximum
Special Tax B
(Contingent) Subdivider
1 2018‐19 36299‐1 &
PM 9504
426 SFR RU $158 $0 Stark Menifee Land, LLC
548 MFR RU $158 $0 Stark Menifee Land, LLC &
Menifee Multifamily, LLC

27.68 NR Acre $1,714 $0 Several
2 2020‐21 TR 37576 65 SFR RU $539 $43 Meritage Homes 3 2020‐21 TR 28859 161 SFR RU $727 $0 Woodside O5S 4 2020‐21 TTM 31098 258 SFR RU $878 $0 Lennar Homes of California, Inc.
5 2020‐21 TTM 36852 68 SFR RU $755 $151 Strata Holland, LLC 6 2021‐22 TTM 37668 175 SFR RU $765 $295 Meritage Homes of California, Inc.
7 2022‐23 TTM 31456 176 SFR RU $996 $0 RCFC Investments, LLC 8 2021‐22 TR 32102 &
TR 32102‐1 256 SFR RU $674 $0
Diamond Brother Five
Partnership, LP and Pulte
Home Company, LLC
9 2021‐22 TTM 37400 174 SFR RU $703 $0 D.R. Horton Los Angeles Holding Company, Inc.
10 2022‐23 TPM 37380 3.62 NR Acre $3,588 $1,646 Briggs & 74, LLC 11 To Be Determined
12 2022‐23 TR 37408 &
TR 37409 1,022 SFR RU $963 $5 BLC Fleming LLC
13 2022‐23 TR 36803 80 SFR RU $556 $171 FPG Sun Menifee 80 LLC 14 2022‐23 TR 32628 303 SFR RU $281 $45 FPG Tricon Menifee Property LLC
15 2022‐23 PLN 20‐0167 8.43 MFR/NR Acre $3,865 $2,375 Boulders Menifee LLC 16 2022‐23 LLA 17‐007 12.48 MFR Acre $3,273 $2,119 Jefferson Menifee, LLC ESCALATION OF MAXIMUM SPECIAL TA
XES
On each July 1, commencing on July 1, 2019 the Maximum Special Tax shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 20
Menifee

Mayor

and

City

Council

September

21,
2022
Page
990 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 13 APPENDIX B

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) DESCRIPTION OF AUTHORIZED SERVICES

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 21
Menifee

Mayor

and

City

Council

September

21,
2022
Page
991 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 14 APPENDIX C

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) PROPOSED BOUNDARIES
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 22
Menifee

Mayor

and

City

Council

September

21,
2022
Page
992 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 23
Menifee

Mayor

and

City

Council

September

21,
2022
Page
993 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 24
Menifee

Mayor

and

City

Council

September

21,
2022
Page
994 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 13

Name of Landowne
r Number of Acres Owned Total Votes
FPG Sun Menifee 80 LLC 29.29 30

This special tax ballot may be used to express either support for or opposition to the proposed special tax. To be counted, this special tax ballot must be signed below by the owner or, if the owner is not an individual, by an authorized representative of the owner. The ballot must then be delivered to the City Clerk, either by mail or in person, as follows:

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 25
Menifee

Mayor

and

City

Council

September

21,
2022
Page
995 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT

Name & Address of Property Owner: Assessor’s Parcel Number(s):

FPG Sun Menifee 80 LLC
Attn: Bill Raffoul
27271 Las Ramblas, Suite 100
Mission Viejo, CA 92691
360‐150‐019

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)

AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT

SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:

Shall the City Council of the City of Menifee be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit C to the Resolution Declaring its Intention to Annex territory to Community Facilities District No. 2017-1 (Maintenance Services) adopted by the City Council on August 3, 2022 (the “Resolution”), which is incorporated herein by this reference, within the territory identified on the map entitled “Annexation Map No. 13 of Community Facilities District No. 2017-1 (Maintenance Services) City of Menifee” to finance certain services as set forth in Section 5 to the Resolution (including incidental expenses), and shall an appropriation limit be established for the Community Facilities District No. 2017-1 (Maintenance Services) in the amount of special taxes collected?
YES _________

NO _________

Certification for Special Election Ballot

The undersigned is an authorized representative of the above-named landowner and is the person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, and that this declaration is executed on ____________, 20__.

Bill Raffoul
SVP Development Strategy

Signature

Print Name

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 26
Menifee

Mayor

and

City

Council

September

21,
2022
Page
996 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

DECLARING ELECTION RESULTS OF THE SPECIAL ELECTION HELD ON SEPTEMBER 21 , 2022 AND ORDERING THE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 13), TR 36803
WHEREAS, the City Council (the “City Council”) of the City of Menifee (the “City”) has heretofore conducted proceedings, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), for the area proposed to be annexed to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the “CFD No. 2017-1”), including conducting a public hearing pursuant to the Act; and
WHEREAS, at the conclusion of said public hearing, the City Council adopted a resolution calling a special election for September 21 , 2022 , and submitting to th e qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 the question of levying special taxes on parcels of taxable property therein for the purpose of providing certain services which are necessary to meet increased demands placed upon the City as a result of the development of said real property, as provided in the form of the special election ballot attached thereto as Exhibit B; and WHEREAS, the special election was held on September 21, 2022, and the City Clerk (or, in the absence of the City Clerk, the Acting City Clerk – in either case, the “Clerk”) has duly canvassed the returns of the special election and has filed with the City Council a Certificate of Election Results, dated September 21, 2022, executed by the Clerk, certifying that a completed ballot has been returned to the Clerk for each landowner-voter(s) eligible to cast a ballot in said special election, with all votes cast as “Yes” votes in favor of the ballot measure, and further certifying on said basis that the special mailed - ballot election was closed. .

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Menifee, California:

Section 1. Recitals. The City Council finds and determines that the foregoing recitals are true and correct.

Section 5. Annexation. The City Council hereby finds, determines, and declares that pursuant to Government Code section 53339.8, the territory proposed to be annexed is added to and part of the CFD No. 2017- 1 with full legal effect, and the City Council is also authorized, pursuant to said Section 53339.8, to annually levy special taxes within the annexed territory to pay the costs of the services to be provided by the CFD No. 2017-1 as specified in Resolution No. 22-1183 adopted by the City Council on August 3, 2022. The boundaries Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 27
Menifee

Mayor

and

City

Council

September

21,
2022
Page
997 of 2787

Resolution Declaring Election Results Annex 13
2 of the annexed territory are shown on the map entitled, “Annexation Map No. 1 3 Community Facilities District No. 2017 -1 (Maintenance Services)” a copy of which was recorded, on August 9, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 41, in the office of the Riverside County Recorder.

Section 7. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor
Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 28
Menifee

Mayor

and

City

Council

September

21,
2022
Page
998 of 2787

EXHIBIT A

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 13

CERTIFICATE OF ELECTION RESULTS

I, the undersigned, being the City Clerk or the Acting City Clerk, as the case may be, hereby certify:

Based upon the foregoing, all votes that were cast having been cast “Yes”, in favor of the ballot measure, the measure has therefore passed.

Qualified
Landowner Votes Votes Cast YES NO
30 30

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct and that this declaration is executed on September 21, 2022.

Stephanie Roseen
Acting City Clerk
City of Menifee

By:

(Attach completed copies of Waiver/Consent and Ballot)
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 29
Menifee

Mayor

and

City

Council

September

21,
2022
Page
999 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 13

Name of Landowne
r Number of Acres Owned Total Votes
FPG Sun Menifee 80 LLC 29.29 30

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 30
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1000 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT

Name & Address of Property Owner: Assessor’s Parcel Number(s):

FPG Sun Menifee 80 LLC
Attn: Bill Raffoul
27271 Las Ramblas, Suite 100
Mission Viejo, CA 92691
360‐150‐019

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)

AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT

SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:

Shall the City Council of the City of Menifee be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit C to the Resolution Declaring its Intention to Annex territory to Community Facilities District No. 2017-1 (Maintenance Services) adopted by the City Council on August 3, 2022 (the “Resolution”), which is incorporated herein by this reference, within the territory identified on the map entitled “Annexation Map No. 13 of Community Facilities District No. 2017-1 (Maintenance Services) City of Menifee” to finance certain services as set forth in Section 5 to the Resolution (including incidental expenses), and shall an appropriation limit be established for the Community Facilities District No. 2017-1 (Maintenance Services) in the amount of special taxes collected?
YES _________

NO _________

Certification for Special Election Ballot

The undersigned is an authorized representative of the above-named landowner and is the person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, and that this declaration is executed on ____________, 20__.

Bill Raffoul
SVP Development Strategy

Signature

Print Name

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 31
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1001 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 32
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1002 of 2787

1 ORDINANCE NO. 2022-

AN ORDINANCE OF THE CITY OF MENIFEE, CALIFORNIA, AMENDING ORDINANCE NO. 2017-231 AND LEVYING SPECIAL TAXES TO BE COLLECTED DURING FISCAL YEAR 2022-23 TO PAY THE ANNUAL COSTS OF THE MAINTENANCE AND

SERVICING OF STREET LIGHTS, PARKS, PARKWAYS, STREETS, ROADS, AND

OPEN SPACE, THE OPERATION AND MAINTENANCE OF STORM DRAINAGE

SYSTEMS, A RESERVE FUND FOR CAPITAL REPLACEMENT, AND

ADMINISTRATIVE EXPENSES WITH RESPECT TO CITY OF MENIFEE COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)(ANNEXATION NO. 13)
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), on December 6, 2017, the City Council (the “City Council”) of the City of Menifee (the “City”) adopted Resolution No. 17-658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the "CFD No. 2017-1") for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services (the “Services”), which are necessary to meet increased demands placed upon the City and are described in Exhibit A attached hereto; and
WHEREAS, on December 20, 2017, the City Council adopted Ordinance No. 2017-231 entitled, “An Ordinance Levying Special Taxes to be Collected During Fiscal Year 2018-19 to Pay the Annual Costs of the Maintenance and Servicing of Street Lights, Parks, Parkways, Streets, Roads, and Open Space, the Operation and Maintenance of Storm Drainage Systems, a Reserve Fund for Capital Replacement, and Administrative Expenses with Respect to City of Menifee Community Facilities District No. 2017-1 (Maintenance Services)” (“Ordinance No. 2017-231”), pursuant to which the City Council levied special taxes with the CFD No. 2017-1; and
WHEREAS, on August 3, 2022, the City Council adopted Resolution No. 22-1183 entitled “A Resolution of the City Council of the City of Menifee Declaring Its Intention to Annex Territory to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, Adopting a Map of the Area to be Proposed to be Annexed (Annexation No. 13) and Authorizing the Levy of a Special Taxes Therein” (the “Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 2017-1 and to levy special taxes within that territory to provide the Services as described in the Resolution of Intention and setting a special public hearing on the proposed annexation for September 21, 2022; and
WHEREAS, notice was published as required by the Act relative to the intention of the City Council to annex certain territory to the CFD No. 2017-1, to levy special taxes therein to provide the Services, and to set the time and place of said public hearing; and WHEREAS, on September 21, 2022, at the time and place specified in said published notice, the City Council opened and held a public hearing as required by the Act relative to the annexation of territory in to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services by the CFD No. 2017-1; and
WHEREAS, at said public hearing all persons desiring to be heard on all matters pertaining to the annexation of territory to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services therein were heard, and a full and fair hearing was held; and WHEREAS, subsequent to said public hearing, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Calling an Election to Submit to the Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 33
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1003 of 2787

Ordinance Annex 13

Page 2 of 3 ends

2 4
5 4
3 2
Qualified Electors the Question of Levying a Special Tax Within the Area Proposed to be Annexed to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 13)” (the “Resolution Calling the Election”) on September 21, 2022, wherein the City Council submitted the question of levying a special tax in territory proposed to be annexed to the CFD No. 2017-1 at the rate and according to the method of apportionment described therein; and
WHEREAS, at said special election on September 21, 2022, the qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 approved said propositions as described in the Resolution Calling the Special Election by more than the two-thirds vote required by the Act; and WHEREAS, subsequent to said special election, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Declaring the Results of the Special Election Held on September 21, 2022, and Ordering the Annexation of Territory to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 13)” wherein the City Council determined that the territory proposed to be annexed was added to the CFD No. 2017-1 (such territory being referred to herein as “Annexation No. 13”).

NOW, THEREFORE, the City Council of the City of Menifee, California does ordain as follows:

Section 1.Recitals. The foregoing recitals are true and correct.

Section 3.Amendment to Section 2 of Ordinance No. 2017-231. Section 2 of Ordinance No. 2017-231 is hereby amended by deleting it in its entirety and replacing it with the following:

Section 2.Levy of Special Taxes. Special taxes shall
be and are hereby levied for the Fiscal Year 2022-23, and each Fiscal Year thereafter, on all parcels of real property within the Community Facilities District which are subject to taxation, which are identified in Revised Exhibit B attached hereto, and in the amount set forth for each such parcel in said Revised Exhibit B. Pursuant to said Section 53340, such special taxes shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the same penalties and the same procedure, sale, and lien priority in case of delinquency as is provided for ad valorem taxes.

Section 6.Effective Date. This ordinance shall take effect thirty (30) days from the date of its adoption.

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 34
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1004 of 2787

Ordinance Annex 13

Page 3 of 3 ends

3 4
5 4
3 2
Section 7.Notice of Adoption. The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause to be published within fifteen (15) days after its passage in a newspaper of general circulation and circulated within the City in accordance with Government Code Section 36933(a) or, cause this Ordinance to be published in a manner required by law using the alternative summary and posting procedure authorized under Government Code Section 36933 (c).

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 35
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1005 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 36
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1006 of 2787

Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 37
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1007 of 2787

INSERT EXHIBIT A: LEGAL DESCRIPTION

Real property in the City of Menifee, County of Riverside, State of California, described as follows:

THE WEST 30 ACRES OF THE NORTHWEST QUARTER OF THE NORTHEAST QUARTER OF SECTION 9, TOWNSHIP 6 SOUTH, RANGE 3 WEST, SAN BERNARDINO BASE AND MERIDIAN, AS SHOWN BY UNITED STATES GOVERNMENT SURVEY.

APN: 360-150-019
Item Title: 11.4
Ordinance

Introduction

and

Annexation

No.

13 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Estrella,
by FPG Sun Menifee 80, LLC
Item Page Number: 38
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1008 of 2787

Item Title: 11.4 Ordinance Introduction and Annexation No. 13 to Community Facilities District 2017-1 (Maintenance Services), Estrella, by FPG Sun Menifee 80, LLC Item Page Number: 39
Menifee Mayor and City Council                                                                               September 21, 2022 Page 1009 of 2787

CITY OF MENIFEE
SUBJECT: Ordinance Introduction and Annexation No. 14 to Community Facilities District 2017-1 (Maintenance Services), Adler Ranch, by FPG Tricon Menifee Property, LLC
MEETING DATE: September 21, 2022
TO: Mayor and City Council
PREPARED BY: Kristen Jensen, Financial Analyst
REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Adopt a resolution calling an election to annex territory included in Tract Map No. 32628, located at the southeast intersection of Antelope Road and Craig Avenue, into City of Menifee Community Facilities District No. 2017-1 (Maintenance Services) ("CFD No. 2017-1" or "CFD"); and

2. Hold a special landowner election and canvass the election; and

3. Adopt a resolution declaring results of special landowner election; and

4. Introduce an ordinance, amending the Ordinance No. 2017-231 and levying and apportioning the special tax in CFD 2017-1.

DISCUSSION
On August 17, 2022, the City Council adopted Resolution No. 22-1192, declaring its intent to annex territory to CFD No. 2017-1 and commence the annexation proceedings for the territory to be annexed, also known as Annexation No. 14. The next step in the annexation proceedings is to hold a public hearing on September 21, 2022, to conduct an election for the landowners and to declare the results of that election.

The area within Annexation No. 14 is included in TR 32628 and is approximately 28.40 gross acres of residential property within the City. The property is located at the southeast intersection of Antelope Road and Craig Avenue, as shown in the attached Project Map. The proposed maintenance services would include items such as landscaping, lighting, street maintenance, drainage, parks, and graffiti abatement. Per the request of FPG Tricon Menifee Property, LLC Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1010 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 14 - Adler Ranch
September 21, 2022

Page 2 of 3 ends

1 1
0 5
(“Owner”), the City would establish a rate and method of apportionment and authorize the levy of special taxes on the taxable property within Annexation Area No. 14 to pay for those services.

Annexation Area No. 14 would have a maximum annual tax of $326 per unit. This tax rate includes a Maximum Special Tax A of $281 per unit per year for maintenance services of public facilities and a Maximum Annual Special Tax B (Contingent) of $45 per unit per year and would be included in CFD No. 2017-1 as “Tax Zone 14.” The maximum annual tax rate is proposed to escalate each year at the greater of Consumer Price Index (CPI) or 2%. The Owner has agreed to initiate and conduct the CFD annexation proceedings pursuant to the Mello-Roos Act of 1982.

A boundary map entitled "Annexation Map No. 14, Community Facilities District No. 2017-1 (Maintenance Services)" a copy of which was previously recorded, on August 23, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 50, in the office of the Riverside County Recorder. Annexing the parcel into CFD No. 2017-1 would cover the costs of maintenance of certain public improvements associated with the development.

STRATEGIC PLAN OBJECTIVE
Responsive and Transparent Community Government

FISCAL IMPACT
The individual property owners in the CFD would be responsible for annual payments of special taxes. It is estimated, upon full completion of the tract development, that there would be an annual collection of Special Tax A revenues of approximately $85,084, not including Contingent Tax B, to be used to pay for maintenance costs. In the event that the City must take over the privately maintained drainage facilities, Contingent Tax B could be levied for a total of approximately $13,588 to cover the additional maintenance costs. The special tax rates are calculated on 303 taxable residential units.

On June 1 of each year, every taxable unit for which a building permit has been issued within the boundaries of the CFD, would be subject to the special tax for the ensuing Fiscal Year. If the anticipated costs of maintaining the facilities in any given Fiscal Year, prior to buildout of the project, exceeds the special tax revenues available from parcels for which building permits have been issued, then the special tax may also be applied to property within recorded final subdivision maps, as well as other undeveloped property within the boundaries of the CFD.

All costs associated with annexation into the CFD have been borne by the Developer. By annexing into the CFD, the costs of maintaining improvements located within the development would be financed through special taxes levied on the parcels within CFD No. 2017-1 and not through the City’s General Fund.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1011 of 2787

City of Menifee Staff Report
CFD 2017-1 Annex No. 14 - Adler Ranch
September 21, 2022

Page 3 of 3 ends

1 1
0 5

ATTACHMENTS

1. Project Map

2. Resolution Calling the Election

3. Resolution Declaring Election Results

4. Certificate of Registered Voters

5. Ordinance

6. Signed Petition, Waiver and Consent for Annexation
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1012 of 2787

WILLOWOOD
WAY

TWILIGHTVISTADR
ROUGE
LN

GARBANI RD

HALEBLIAN
RD

ANTELOPE
RD

MISSION DR M
ENIFEE
RDHAUN
RD

CRAIG AVEPLEASANT
VALLEY
AVE
§¨¦
215
^_

EVANSRD

SCOTT RD

GARBANI RD

NEWPORT RD

MURRIETA
RD

MENIFEE
RD

BRADLEY RD

AUDIE MURPHY RD
§¨¦215
CFD NO. 2017-1 (MAINTENANCE SERVICES)
ANNEXATION NO. 14

PROJECT MAP
Item Title: 11.5
Ordinance Introduction and Annexation No. 14 to Community Facilities District 2017-1 (Maintenance Services), Adler Ranch, by FPG Tricon Menifee Property, LLC Menifee Mayor and City Council
September 21, 2022
Page
1013 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

CALLING AN ELECTION TO SUBMIT TO THE QUALIFIED ELECTORS THE

QUESTION OF LEVYING A SPECIAL TAX WITHIN THE AREA PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 14), TR 32628
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 ( “Act”), on December 6, 2017, the City Council ( “City Council”) of the City of Menifee (the “City”) approved Resolution No. 17- 658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California ( “CFD No. 2017-1”) for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services ( “Services”) which are necessary to meet increas ed demands placed upon the City as a result of the development of said parcels; and
WHEREAS, the City Cou ncil called a special election for December 6, 2017, at which the questions of levying a special tax and establishing an appropriations limit with respect to CFD No. 2017- 1 were submitted to the qualified electors within CFD No. 2017-1; and WHEREAS, at a special election held on December 6, 2017, more than two-thirds (⅔) of all votes cast were cast in favor of the levy of a special tax and the establishment of an appropriations limit, as determined by the City Council in Resolution No. 17-658, which was duly adopted on December 6, 2017; and
. WHEREAS, the City Council is authorized by Article 3.5 (commencing with Section 53339) of Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code to annex territory into an existing community facilities district by complying with the procedures set forth in said Article 3.5; and WHEREAS, the City Council on August 17, 2022 duly adopted Resolut ion No. 22 -1192 (“Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 201 7-1 and to levy a special tax within that territory to pay for certain services and setting a time and place for the public hearing on the proposed annexation for September 21, 2022; and WHEREAS, the territory proposed to be annexed is identified in a map entitled “Annexation Map No. 14, Community Facilities District No. 2017-1 (Maintenance Services)” a copy of which was recorded, on August 23, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 50, in the office of the Riverside County Recorder; and
WHEREAS, pursuant to the Act and the Resolution of Intention, a noticed public hearing was convened by the City Council on September 21, 2022, not earlier than the hour of 6:00 p.m. at the City Hall located at 29844 Haun Road, Menifee, California 92586, at which hearing all interested persons were given the opportunity to appear and be heard on the proposed annexation of said territory to the CFD No. 2017-1 and the levy of special taxes within said territory proposed to be annexed. If and to the extent participation in the September 21, 2022 meeting must occur by teleconference, videoconference, or other electronic means authorized by the Ralph M. Brown Act or an Executive Order of the Governor of California, the means and methods for participating the meeting shall be posted on the Agenda for said meeting, which shall be posted at least 72 hours prior to the meeting on the City of Menifee (www.cityofmenifee.us), and outside of City Hall at 29844 Haun Road, Menifee, California 92586. A copy of the Agenda will be made available upon request to the Menifee City Clerk's office at 951- 723-3471; and
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1014 of 2787

Resolution Calling an Election Annex 14
2 WHEREAS, written protests have not been filed by fifty percent (50%) or more of the registered voters residing within the CFD No. 2017-1, or by fifty percent (50%) or more of the registered voters residing within the territory proposed to be annexed, or by the owners of one-half (½) or more of the area within the CFD No. 2017- 1, or by the owners of one -half (½) or more of the territory proposed to be annexed; and
WHEREAS, the City Council has determined that there are fewer than twelve (12) registered voters residing in the territory proposed to be annexed to the CFD No. 2017- 1 and that the qualified electors in such territory are the landowners; and
WHEREAS, on the basis of all of the foregoing, the City Council has determined at this time to call an election to authorize the annexation of territory to the CFD No. 2017-1 and the levying of a special tax as described in Exhibit A attached hereto; and
WHEREAS, the City Council has received a written instrument from each landowner in the territory proposed to be annexed to the CFD No. 2017- 1 consenting to the shortening of election time requirements, waiving analysis and arguments, and waiving all notice requirem ents relating to the conduct of the election; and
WHEREAS, the City Clerk has concurred with the election date set forth herein.

Section 1. Recitals. The foregoing recitals are true and correct.

Section 2. Confirmation of Finding in Resolution of Intention. The City Council reconfirms all of its findings and determinations as set forth in the Resolution of Intention.

Section 6. Apportionment of Tax. The special tax as apportioned to each parcel is based on the cost of making the Services available to each parcel, or other reasonable basis, and is not based on or upon the ownership of real property.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1015 of 2787

Resolution Calling an Election Annex 14
3 Section 7. Tax Roll Preparation. The office of the Public Works Director, 29844 Haun Road, Menifee, California 92586, is hereby designated as the office that will be responsible for annually preparing a current roll of special tax levy obligations by assessor’s parcel number and that will be responsible for estimating future special tax lev ies pursuant to Government Code section 53340.2. The Public Works Director may c ause these functions to be performed by his or her deputies, assistants, or other designated agents.

Section 8. Accountability Measures. Pursuant to Government Code section 50075.1, the City shall create a separate account into which special tax proceeds will be deposited; and the Public Works Director annually shall prepare and file a report with the City Council that will state (a) the amount of funds collected and expended and (b) the status of the Services financed in the CFD No. 2017-1.

1. Because fewer than twelve registered voters reside within the territory proposed to be annexed to the CFD No. 2017-1 on July 27, 2022 (a date within the 90 days preceding the close of the public hearing on the territory proposed to be annexed to the CFD No. 2017- 1), the qualified electors shall be the landowners within the territory proposed to be annexed to the CFD No. 2017-1, and each landowner who was the owner of record at the close of the hearing shall have one vote for each acre or portion of an acre of land that such landowner owns within the territory proposed to be annexed to the CFD No. 2017-1. (B). Consolidation of Elections; Combination of Propositions on Ballot. The election on the question of levying the special tax and establishing an appropriations limit for the CFD No. 2017-1 shall be consolidated, and the two propositions shall be combined into a single ballot proposition for submission to the voters, as authorized by Government Code Section 53353.5.
(C). Mail Ballot Election. Pursuant to Government Code section 53327.5, the election shall be conducted as a mail ballot election. The City Council hereby ratifies the City Clerk’s delivery of a ballot to each landowner within the territory proposed to be annexed to the CFD No. 2017-1. The City Council hereby ratifies the form of the ballot, which is attached hereto as Exhibit B.
(D). Return of Ballots. The City Clerk shall accept the ballots of the landowners up to 6:00 p.m. on September 21, 2022. The City Clerk shall have available ballots that may be marked at the City Clerk’s office on the election day by voters. Once all qualified electors have voted, the City Clerk may close the election.
(E). Canvass of Election. The City Clerk shall commence the canvass of the returns of the special election as soon as the election is closed (on September 21, 2022, or when all qualified electors have voted) at the City Clerk’s office. At the conclusion of the canvass, the City Clerk shall declare the results of the election.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1016 of 2787

Resolution Calling an Election Annex 14
4 (F). Declaration of Results . The City Council shall declare the results of the special election following the completion of the canvass of the returns and shall cause to be inserted into its minutes a statement of the results of the speci al election as ascertained by the canvass of the returns.

Section 12. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor

Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1017 of 2787

A. DEFINITIONS

“Administrator” means the City Manager of the City of
Menifee, or his or her designee.

“Assessor’s Parcel” means a lot or parcel of land that is identifiable by an Assessor’s Parcel Number by the County Assessor of the County of Riverside.

“Assessor’s Parcel Map” means an
official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.

“Assessor’s Parcel Number” means that identification number assigned to a parcel by the County Assessor of the County.

“Building Square Footage” or “BSF” means the floor area square footage reflected on the original Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1018 of 2787

“Calendar Year” means the period commencing January 1 of any year and ending the following
December 31.

“CFD” or “CFD No. 2017‐1” means the City of Menifee Community Facilities District No. 2017‐1 (Maintenance Services).

“City” means the City of Menifee.

“County” means the County of Riverside.

“Exempt Property” means all Assessors’ Parcels designated as being exempt from the Special Tax as provided for in Section G.

“Fiscal Year” means the period from and including July 1 st of any year to and including the following June
30th.

“Maximum Special Tax” means either Maximum Special Tax A and/or Maximum Special Tax B (Contingent), as applicable.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1019 of 2787

“Property Owner’s Association” or “POA” means the property owner’s association or homeowner’s association established to maintain certain landscaping within a Tax Zone.

“Residential Unit” or "RU" means a residential unit that is used or intended to be used as a domicile by
one or more persons, as determined by the Administrator.

“Single Family Residential Property” or “SFR” means any Residential Property other than Multi‐Family Residential Property on an Assessor’s Parcel.

“Special Tax(es)” means the Special Tax A or Special Tax B (Contingent) to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable
Property.

“Special Tax A” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax A Requirement.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1020 of 2787

"Taxable Property" means all Assessor’s Parcels within CFD No. 2017‐1, which are not Exempt Property.

"Tax Zone 1" means the specific geographic area identified on the CFD Boundary Map as Tax Zone 1.

“Undeveloped Property” means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property.

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1021 of 2787

TABLE 1
MAXIMUM SPECIAL TAX A RATES
DEVELOPED PROPERTY

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1022 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 6 TABLE 2
MAXIMUM SPECIAL TAX A RATES
APPROVED PROPERTY

TABLE 3
MAXIMUM SPECIAL TAX A RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit Maximum Special Tax A
1 TR 36299‐1
& PM 9504 Acre $1,515

a. Developed Property
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1023 of 2787

TABLE 4
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
DEVELOPED PROPERTY

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1024 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 8 TABLE 5
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
APPROVED PROPERTY

TABLE 6
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
UNDEVELOPED PROPERTY

Tax Zone Tracts Taxable Unit
Maximum Special
Tax B (Contingent)
1 TR 36299‐1
& PM 9504 Acre $0

D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX

First: The Special Tax A
shall be levied Proportionately on all Assessor’s Parcels of Developed Property up to 100% of the applicable Maximum Special Tax A to satisfy the Special Tax A Requirement;

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1025 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 9 Property at up to 100% of the Maximum Special Tax A for Approved Property;

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

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

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1026 of 2787

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1027 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 11 APPENDIX A
CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES)

TAX ZONE 14 (SERVICES)
TR 32628
Item Description Estimated Cost
1 Landscaping $4,724
2 Lighting $1,661
3 Streets $6,060
4 Drainage $560
5 Parks $66,074
6 Graffiti $996
7 Reserves $870
8 Administration $4,139
Total $85,084
Special Tax B Contingent Services – The estimate breaks down the costs of providing one year’s contingent maintenance services for Fiscal Year 2022‐23. If necessary, these services will be funded by the levy of Special Tax B (Contingent) for Community Facilities District No. 2017‐1 Tax Zone 14.

TAX ZONE 14 (CONTINGENT SERVICES)
TR 32628
Item Description Estimated Cost
1 Drainage $11,548
2 Reserves $1,155
3 Administration $885
Total $13,588
TAX ZONE 14
FY 2022‐23 MAXIMUM SPECIAL TAX RATES
Land Use
Category
Taxable
Unit
Maximum
Special Tax A
Maximum
Special Tax B
Developed RU $281 $45
Approved RU $281 $45
Undeveloped Acre $2,996 $478

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1028 of 2787

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1029 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 13 APPENDIX B

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) DESCRIPTION OF AUTHORIZED SERVICES

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1030 of 2787

City of Menifee
Community Facilities District No. 2017‐1 (Maintenance Services) 14 APPENDIX C

CITY OF MENIFEE
COMMUNITY FACILITIES DISTRICT NO. 2017‐1 (MAINTENANCE SERVICES) PROPOSED BOUNDARIES
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1031 of 2787

Item Title: 11.5 Ordinance Introduction and Annexation No. 14 to Community Facilities District 2017-1 (Maintenance Services), Adler Ranch, by FPG Tricon Menifee Property, LLC  
Item Page Number: 23
Menifee Mayor and City Council                                                                               September 21, 2022 Page 1032 of 2787

Item Title: 11.5 Ordinance Introduction and Annexation No. 14 to Community Facilities District 2017-1 (Maintenance Services), Adler Ranch, by FPG Tricon Menifee Property, LLC  
Item Page Number: 24
Menifee Mayor and City Council                                                                               September 21, 2022 Page 1033 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 14

Name of Landowne
r Number of Acres Owned Total Votes
FPG Tricon Menifee Property LLC 28.40 29

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the Acting City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1034 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT

Name & Address of Property Owner: Assessor’s Parcel Number(s):

FPG Tricon Menifee Property LLC
Attn: Bing Chen
27271 Las Ramblas, Suite 100
Mission Viejo, CA 92691
372‐050‐037, 372‐050‐038, 372‐050‐039,
372‐050‐040, 372‐050‐041, 372‐050‐042

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)

AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT

SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:

Shall the City Council of the City of Menifee be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit C to the Resolution Declaring its Intention to Annex territory to Community Facilities District No. 2017-1 (Maintenance Services) adopted by the City Council on August 17, 2022 (the “Resolution”), which is incorporated herein by this reference, within the territory identified on the map entitled “Annexation Map No. 14 of Community Facilities District No. 2017-1 (Maintenance Services) City of Menifee” to finance certain services as set forth in Section 5 to the Resolution (including incidental expenses), and shall an appropriation limit be established for the Community Facilities District No. 2017-1 (Maintenance Services) in the amount of special taxes collected?
YES _________

NO _________

Certification for Special Election Ballot

The undersigned is an authorized representative of the above-named landowner and is the person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, and that this declaration is executed on ____________, 20__.

Bing Chen
Authorized Signer

Signature

Print Name

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1035 of 2787

1 RESOLUTION NO. 22-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA ,

DECLARING ELECTION RESULTS OF THE SPECIAL ELECTION HELD ON SEPTEMBER 21 , 2022 AND ORDERING THE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 2017 -1 (MAINTENANCE SERVICES) (ANNEXATION NO. 14), TR 32628
WHEREAS, the City Council (the “City Council”) of the City of Menifee (the “City”) has heretofore conducted proceedings, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), for the area proposed to be annexed to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the “CFD No. 2017-1”), including conducting a public hearing pursuant to the Act; and
WHEREAS, at the conclusion of said public hearing, the City Council adopted a resolution calling a special election for September 21 , 2022 , and submitting to th e qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 the question of levying special taxes on parcels of taxable property therein for the purpose of providing certain services which are necessary to meet increased demands placed upon the City as a result of the development of said real property, as provided in the form of the special election ballot attached thereto as Exhibit B; and WHEREAS, the special election was held on September 21, 2022, and the City Clerk (or, in the absence of the City Clerk, the Acting City Clerk – in either case, the “Clerk”) has duly canvassed the returns of the special election and has filed with the City Council a Certificate of Election Results, dated September 21, 2022, executed by the Clerk, certifying that a completed ballot has been returned to the Clerk for each landowner-voter(s) eligible to cast a ballot in said special election, with all votes cast as “Yes” votes in favor of the ballot measure, and further certifying on said basis that the special mailed - ballot election was closed. .

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Menifee, California:

Section 1. Recitals. The City Council finds and determines that the foregoing recitals are true and correct.

Section 5. Annexation. The City Council hereby finds, determines, and declares that pursuant to Government Code section 53339.8, the territory proposed to be annexed is added to and part of the CFD No. 2017- 1 with full legal effect, and the City Council is also authorized, pursuant to said Section 53339.8, to annually levy special taxes within the annexed territory to pay the costs of the services to be provided by the CFD No. 2017-1 as specified in Resolution No. 22-1192 adopted by the City Council on August 17, 2022 . The Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1036 of 2787

Resolution Declaring Election Results Annex 14
2 boundaries of the annexed territory are shown on the map entitled, “Annexation Map No. 14 Community Facilities District No. 2017-1 (Maintenance Services)” a copy of which was recorded, on August 23, 2022, in Book 89 of Maps of Assessment and Community Facilities Districts at Page 50, in the office of the Riverside County Recorder.

Section 7. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED AND ADOPTED this 21st day of September, 2022

___________________________
Bill Zimmerman, Mayor
Attest:

___________________________
Stephanie Roseen, Acting City Clerk
Approved as to form:

___________________________
Jeffrey T. Melching, City Attorney

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1037 of 2787

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) ANNEXATION NO. 14

Name of Landowne
r Number of Acres Owned Total Votes
FPG Tricon Menifee Property LLC 28.40 29

Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than September 7, 2022, two calendar weeks prior to the date set for the election.

Mailing later than this deadline creates the risk that the special tax ballot may not be received in time to be counted.

Personal
Delivery: If in person, deliver to the Acting City Clerk at any time up to 5:00 p.m. on September 21, 2022, at the Clerk’s office at 29844 Haun Road, City of Menifee, CA 92586.

However delivered, this ballot must be received by the Clerk prior to the close of the public meeting on September 21, 2022.

Very truly yours,

Stephanie Roseen
Acting City Clerk
City of Menifee
Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1038 of 2787

TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.

OFFICIAL SPECIAL TAX BALLOT

Name & Address of Property Owner: Assessor’s Parcel Number(s):

CITY OF MENIFEE

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)

AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT

SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:

Shall the City Council of the City of Menifee be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit C to the Resolution Declaring its Intention to Annex territory to Community Facilities District No. 2017-1 (Maintenance Services) adopted by the City Council on August 17, 2022 (the “Resolution”), which is incorporated herein by this reference, within the territory identified on the map entitled “Annexation Map No. 14 of Community Facilities District No. 2017-1 (Maintenance Services) City of Menifee” to finance certain services as set forth in Section 5 to the Resolution (including incidental expenses), and shall an appropriation limit be established for the Community Facilities District No. 2017-1 (Maintenance Services) in the amount of special taxes collected?
YES _________

NO _________

Certification for Special Election Ballot

The undersigned is an authorized representative of the above-named landowner and is the person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, and that this declaration is executed on ____________, 20__.

Bing Chen
Authorized Signer

Signature

Print Name

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1039 of 2787

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1040 of 2787

ORDINANCE NO. 22-

AN ORDINANCE OF THE CITY OF MENIFEE, CALIFORNIA, AMENDING ORDINANCE NO. 2017-231 AND LEVYING SPECIAL TAXES TO BE
COLLECTED DURING FISCAL YEAR 2022-23 TO PAY THE ANNUAL COSTS

OF THE MAINTENANCE AND SERVICING OF STREET LIGHTS, PARKS,

PARKWAYS, STREETS, ROADS, AND OPEN SPACE, THE OPERATION AND

MAINTENANCE OF STORM DRAINAGE SYSTEMS, A RESERVE FUND FOR

CAPITAL REPLACEMENT, AND ADMINISTRATIVE EXPENSES WITH
RESPECT TO CITY OF MENIFEE COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES)(ANNEXATION NO. 14)
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), on December 6, 2017, the City Council (the “City Council”) of the City of Menifee (the “City”) adopted Resolution No. 17-658 establishing Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, County of Riverside, State of California (the "CFD No. 2017-1") for the purpose of levying special taxes on parcels of taxable property therein for the purpose of providing certain services (the “Services”), which are necessary to meet increased demands placed upon the City and are described in Exhibit A attached hereto; and
WHEREAS, on December 20, 2017, the City Council adopted Ordinance No. 2017-231 entitled, “An Ordinance Levying Special Taxes to be Collected During Fiscal Year 2018-19 to Pay the Annual Costs of the Maintenance and Servicing of Street Lights, Parks, Parkways, Streets, Roads, and Open Space, the Operation and Maintenance of Storm Drainage Systems, a Reserve Fund for Capital Replacement, and Administrative Expenses with Respect to City of Menifee Community Facilities District No. 2017-1 (Maintenance Services)” (“Ordinance No. 2017-231”), pursuant to which the City Council levied special taxes with the CFD No. 2017-1; and
WHEREAS, on August 17, 2022, the City Council adopted Resolution No. 22-1192 entitled “A Resolution of the City Council of the City of Menifee Declaring Its Intention to Annex Territory to Community Facilities District No. 2017-1 (Maintenance Services) of the City of Menifee, Adopting a Map of the Area to be Proposed to be Annexed (Annexation No. 14) and Authorizing the Levy of a Special Taxes Therein” (the “Resolution of Intention”) declaring its intention to annex certain territory to the CFD No. 2017-1 and to levy special taxes within that territory to provide the Services as described in the Resolution of Intention and setting a special public hearing on the proposed annexation for September 21, 2022; and WHEREAS, notice was published as required by the Act relative to the intention of the City Council to annex certain territory to the CFD No. 2017-1, to levy special taxes therein to provide the Services, and to set the time and place of said public hearing; and
WHEREAS, on September 21, 2022, at the time and place specified in said published notice, the City Council opened and held a public hearing as required by the Act relative to the annexation of territory in to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services by the CFD No. 2017-1; and
WHEREAS, at said public hearing all persons desiring to be heard on all matters pertaining to the annexation of territory to the CFD No. 2017-1, the levy of the special taxes therein, and the provision of Services therein were heard, and a full and fair hearing was held; and WHEREAS, subsequent to said public hearing, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Calling an Election to Submit to the Qualified Electors the Question of Levying a Special Tax Within the Area Proposed to be Annexed to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 14)” (the “Resolution Calling the Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1041 of 2787

4 5
4 5
7 Election”) on September 21, 2022, wherein the City Council submitted the question of levying a special tax in territory proposed to be annexed to the CFD No. 2017-1 at the rate and according to the method of apportionment described therein; and
WHEREAS, at said special election on September 21, 2022, the qualified electors of the territory proposed to be annexed to the CFD No. 2017-1 approved said propositions as described in the Resolution Calling the Special Election by more than the two-thirds vote required by the Act; and WHEREAS, subsequent to said special election, the City Council adopted Resolution No. 22-___ entitled “A Resolution of the City Council of the City of Menifee Declaring the Results of the Special Election Held on September 21, 2022, and Ordering the Annexation of Territory to Community Facilities District No. 2017-1 (Maintenance Services) (Annexation No. 14)” wherein the City Council determined that the territory proposed to be annexed was added to the CFD No. 2017-1 (such territory being referred to herein as “Annexation No. 14”).

NOW, THEREFORE, the City Council of the City of Menifee, California does ordain as follows:

Section 1.Recitals. The foregoing recitals are true and correct.

Section 3.Amendment to Section 2 of Ordinance No. 2017-231. Section 2 of Ordinance No. 2017-231 is hereby amended by deleting it in its entirety and replacing it with the following:

Section 6.Effective Date. This ordinance shall take effect thirty (30) days from the date of its adoption.

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1042 of 2787

4 5
4 5
7 Section 7.Notice of Adoption. The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause to be published within fifteen (15) days after its passage in a newspaper of general circulation and circulated within the City in accordance with Government Code Section 36933(a) or, cause this Ordinance to be published in a manner required by law using the alternative summary and posting procedure authorized under Government Code Section 36933 (c).

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1043 of 2787

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4 5
7 EXHIBIT A

Item Title: 11.5
Ordinance

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1044 of 2787

5 REVISED EXHIBIT B
COMMUNITY FACILITIES DISTRICT NO. 2017-1 (MAINTENANCE SERVICES) SPECIAL TAX FISCAL YEAR 2022-23
(Effective as of October 5, 2022)

Introduction

and

Annexation

No.

14 to

Community

Facilities

District

2017-1

(Maintenance

Services),

Adler
Ranch, by FPG Tricon Menifee Property, LLC
Menifee

Mayor

and

City

Council

September

21,
2022
Page
1045 of 2787

Ordinance Annex 14

Page 6 of 10 ends

Menifee City CouncilSeptember 21, 2022

Menifee City Council
September 21, 2022