Agenda packet — Finance Committee, September 26, 2023

City Council Chambers
29844 Haun Road
Menifee, CA 92586
Lesa Sobek, District 3
Dean Deines, District
4 AGENDA
Finance Committee
Regular Meeting Agenda
Tuesday, September 26, 2023
1:30 PM Regular Meeting
Rochelle Clayton, Asst. City Manager
Sarah Manwaring, City Clerk
REGULAR MEETING (1:30 PM)

1. CALL TO ORDER

2. ROLL CALL

3. PRESENTATIONS NONE

4. PUBLIC COMMENTS (NONAGENDA ITEMS)
This is the time for members of the public to address the Committee Members about items which are NOT listed on the agenda. The Ralph M. Brown Act limits the Committee’s ability to respon d to comments on nonagendized matters at the time such comments are made. Each speaker will be limited to three minutes on any single item.

5. APPROVAL OF MINUTES

5.1 May 11, 2023 Finance Committee Minutes

6. DISCUSSION ITEMS

6.1 City of Menifee Investment Portfolio Overview
RECOMMENDED ACTION

1. Receive and file presentations on City of Menifee’s Investment Portfolio.

6.2 Annual Investment Policy for Fiscal Year 2023/2024
RECOMMENDED ACTION

1. Review and provide comments on the Draft Fiscal Year 2023/2024 Investment Policy and recommend submittal to the City Council for approval at a future City Council meeting.

6.3 Proposed Formation of Community Facilities District No. 20233, Banner Park II, by Pulte Homes
RECOMMENDED ACTION

1. Review the proposed Community Facilities District No. 20233, Banner Park II, by Pulte Homes to finance certain costs of public improvements within the 182 home singlefamily residential development.

6.4 Proposed Change to Community Facilities District No. 20232 Improvement Area 2, Cimarron Ridge by Pulte Homes
RECOMMENDED ACTION

1. Review the changes proposed for Community Facilities District No. 20232 Improvement Area 2, Cimarron Ridge by Pulte Homes to amend the financing plan for certain public improvements within the proposed 756unit residential development and recommend submittal to the City Council for consideration.

7. STAFF COMMENTS

8. COMMITTEE MEMBER UPDATES AND COMMENTS

9. ADJOURNMENT
Decorum Policy Notes
The Committee anticipates and encourages public participation at its meetings, both on agenda items and during the public comments period. Please turn your cell phones off, refrain from talking in the audience or outbursts that may be disruptive. We encourage participation and ask for a mutual respect for the proceedings.

Staff Reports
Materials related to an item on this agenda, including those submitted to the Committee after distribution of the agenda packet, are available for public inspection by contacting the City Clerk Department, at (951) 6726777, or by coming into City Hall located at 29844 Haun Road, Menifee, CA, 92586 during normal business hours.

Compliance with the Americans with Disabilities Act
If you need special assistance to participate in this meeting, you should contact the City Clerk Department at (951) 6726777, or by coming into City Hall located at 29844 Haun Road, Menifee, CA, 92586 during normal business hours. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting.

Menifee Finance Committee
September 26, 2023

Page 1 of 86 ends

1. CALL TO ORDER

2. ROLL CALL

3. PRESENTATIONS NONE

5. APPROVAL OF MINUTES

5.1 May 11, 2023 Finance Committee Minutes

6. DISCUSSION ITEMS

6.1 City of Menifee Investment Portfolio Overview
RECOMMENDED ACTION

1. Receive and file presentations on City of Menifee’s Investment Portfolio.

6.2 Annual Investment Policy for Fiscal Year 2023/2024
RECOMMENDED ACTION

1. Review and provide comments on the Draft Fiscal Year 2023/2024 Investment Policy and recommend submittal to the City Council for approval at a future City Council meeting.

6.3 Proposed Formation of Community Facilities District No. 20233, Banner Park II, by Pulte Homes
RECOMMENDED ACTION

6.4 Proposed Change to Community Facilities District No. 20232 Improvement Area 2, Cimarron Ridge by Pulte Homes
RECOMMENDED ACTION

7. STAFF COMMENTS

8. COMMITTEE MEMBER UPDATES AND COMMENTS

Menifee Finance Committee
September 26, 2023

Page 2 of 86 ends

1 City Council Chambers
29844 Haun Road
Menifee, CA 92586
Lesa Sobek, Committee Member
Dean Deines, Committee Member
City of Menifee
Finance Committee
Meeting Minutes
Tuesday, May 11, 2023
3:30 PM Regular Meeting

MINUTES

1. CALL TO ORDER
The meeting was called to order at 3:33 p.m.

2. ROLL CALL
Committee Members Deines and Sobek were present.

3. PRESENTATIONS - NONE

4. PUBLIC COMMENTS - NONE

5. APPROVAL OF MEETING MINUTES
The minutes from December 13, 2022, and March 13, 2023, Finance Committee meeting were approved (2-0).

6. DISCUSSION ITEMS

6.1 Proposed Bond Issue for Community Facilities District No. 2021-2 (Sumac Ridge)
Acting Chief Financial Officer Margarita Cornejo introduced the item and Shane Spicer provided a presentation.

Actions

1. Reviewed the proposed bond issue request for Community Facilities District No. 2021-2 (Sumac Ridge) by Meritage Homes to finance the costs of certain public improvements for the development of a residential tract containing 175 units within the City; and

2. Recommended the finance team to proceed with preparation of the Official Statement and other legal documents related to the transaction for presentation to the City Council at a future City Council meeting.

Approved 2-0

6.2 Proposed Series 2 Bond Issue for Community Facilities District No. 2021-1 (Banner Park)
Acting Chief Financial Officer Margarita Cornejo introduced the item and Shane Spicer provided a presentation.

2 Actions

1. Reviewed the proposed bond issue request for Community Facilities District No 2021-1 by Pulte Home Company to finance the costs of certain public improvements for the development of a residential tract containing 256 units within the City; and

Approved 2-0

7. STAFF COMMENTS - NONE

8. COMMITTEE REPORTS/COMMENTS ON COMMITTEE ACTIVITIES – NONE

9. FUTURE AGENDA ITEMS
Committee Member Deines requested to bring back a review of the CFD and Debt Management Policies regarding future refinancing.

10. ADJOURNMENT
The Meeting was adjourned at 4:07 p.m.

CITY OF MENIFEE
SUBJECT: City of Menifee Investment Portfolio Overview
MEETING DATE: September 26, 2023
TO: Finance Committee
PREPARED BY: Margarita Cornejo, Acting Chief Financial Officer REVIEWED BY: Margarita Cornejo, Acting Chief Financial Officer APPROVED BY: Rochelle Clayton, Assistant City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Receive and file presentations on City of Menifee’s Investment Portfolio.

DISCUSSION
The City of Menifee’s Investment Policy, CC-11, was created in 2008 to establish guidelines for investment operations of the city. Pursuant to the Policy, the City of Menifee will foster a prudent and systematic investment program designed to seek the City of Menifee’s objectives of safety, liquidity, and return through a diversified investment portfolio.

The City’s investment operations are under the direction of the City Treasurer, currently designated at the Assistant City Manager. Regular reporting in the form of a Treasurer’s Report is presented via a regular staff item included the regular City Council meetings throughout the year. The City’s investment composition includes investment in the Local Agency Investment Fund (LAIF), and engagement of Chandler Asset Management and Piper Sandler & Co. for the other investments.

A presentation on the City’s investment performance for the preceding 12-months, through August 30, 2023, has been prepared by Chandler Asset Management and Piper Sandler & Co. and is presented to the Finance Committee for receive and file.

FISCAL IMPACT
There is no fiscal impact associated with the recommended action.

ATTACHMENTS
None.

CITY OF MENIFEE
SUBJECT: Annual Investment Policy for Fiscal Year 2023/2024 MEETING DATE: September 26, 2023
TO: Finance Committee
PREPARED BY: Ann-Marie Etienne, Finance Manager
REVIEWED BY: Margarita Cornejo, Acting Chief Financial Officer APPROVED BY: Rochelle Clayton, Assistant City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Review and provide comments on the Draft Fiscal Year 2023/2024 Investment Policy and recommend submittal to the City Council for approval at a future City Council meeting.

DISCUSSION
In accordance with the Investment Policy, this policy shall be reviewed and adopted at least once a year within 120 days of the end of the fiscal year, to ensure its consistency with the overall objectives of preservation of principal, liquidity and return, and its relevance to current law and financial and economic trends.

The investment policy was last endorsed and adopted by the Menifee City Council and became effective on May 5, 2021 (Policy Number CC-11) with the most recent annual update on September 21, 2022.

The purpose of the investment policy is to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City of Menifee’s objectives of safety, liquidity and return on investment through a diversified investment portfolio. This policy also serves to organize and formalize the City of Menifee’s investment-related activities, while complying with all applicable statutes governing the investment of public funds. This policy is written to incorporate industry best practices and recommendations from sources such as the Government Finance Officers Association (GFOA), California Municipal Treasurers Association (CMTA), California Debt and Investment Advisory Commission (CDIAC) and the Association of Public Treasurers (APT).

On July 5, 2022, the CMTA Investment Policy Certification was granted to the City of Menifee.

This Investment Policy Certification recognizes that CMTA has validated that the City of

City of Menifee Staff Report
Fiscal Year 2023/2024 Annual Investment Policy Adoption September 26, 2023

Page 2 of 2 ends

1 8
0 8
Menifee’s Investment Policy adheres with the State of California Government Code and meets specific requirements deemed to be best practices for municipal agency investment policies. Per CMTA recommendation, The City will seek to certify our Investment Policy every 2 – 3 years or whenever a major update occurs.

Any recommended modifications or amendments shall be presented by staff to the governing body for their consideration and adoption. The draft fiscal year 2023/2024 investment policy revisions consist of:
•Investments are prohibited to have a forward settlement > 45 days from the date of investment.
•Specify the term to maturity is measured from the settlement date. •Changing the monthly and quarterly transaction reports (Treasurer) due to the governing body from 60 days to 45 days. This change would ensure compliance with the policy to allow sufficient time to close month end, to reconcile bank/trust accounts, to prepare and review the report(s), to approve staff reports, and to allow for Holidays.

Although minor changes have occurred with the state government code, we are recommending that we leave the City of Menifee’s Policy maximums unchanged.

The overall goal of this policy is to ensure that the City’s investments are managed with the degree of professionalism worthy of the public trust, with preservation and protection of the City’s assets being the guiding philosophy.

STRATEGIC PLAN OBJECTIVE
Responsive and Transparent Government

FISCAL IMPACT
There is no fiscal impact associated with the recommended action.

ATTACHMENTS

1. Revised Investment Policy FY 2023/2024
4 7
3 8
4 CITY OF MENIFEE
Finance Policy Policy Number: CC-11
Approving Authority:

City Council
Effective Date: 10/1/2008
Last Modified: 3/06/1909-21-22
Subject
Investment Policy (FY 2020-2021 2022-2023-
2024)

Page 1 of 21 ends

CITY OF MENIFEE

INVESTMENT POLICY
ADOPTED MAY 5, 2021 TBD

CONTENTS
I. INTRODUCTION............................................................................................................................................................1 II. SCOPE...................................................................................................................................................................1 III. PRUDENCE.....................................................................................................................................................................1 IV. OBJECTIVES ..................................................................................................................................................................2 V. DELEGATION OF AUTHORITY .......................................................................................................................2 VI. ETHICS AND CONFLICTS OF INTEREST.......................................................................................................3 VII. INTERNAL CONTROLS .....................................................................................................................................3 VIII.AUTHORIZED FINANCIAL INSTITUTIONS, DEPOSITORIES, AND BROKER/DEALERS..........................4 IX. AUTHORIZED INVESTMENTS..................................................................................................................................5 X.PROHIBITED INVESTMENT VEHICLES AND PRACTICES..........................................................9 XI. INVESTMENT POOLS/MUTUAL FUNDS ...................................................................................................10 XII. COLLATERALIZATION............................................................................................................................................10 XIII. DELIVERY, SAFEKEEPING AND CUSTODY..............................................................................................11 XIV. MAXIMUM MATURITY .........................................................................................................................................11 XV.RISK MANAGEMENT AND DIVERSIFICATION......................................................................11 XVI. REVIEW OF INVESTMENT PORTFOLIO .....................................................................................................13 XVII. PERFORMANCE EVALUATION ...........................................................................................................................13 XVIII. REPORTING.................................................................................................................................................................13 XIX. REVIEW OF INVESTMENT POLICY.............................................................................................................14 XX. APPENDIX A: PERMITTED INVESTMENTS.......................................................................................................15 XXI. GLOSSARY OF INVESTMENT TERMS .........................................................................................................17 1 INTRODUCTION
The purpose of this investment policy is to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City of Menifee’s objectives of safety, liquidity and return on investment through a diversified investment portfolio. This policy also serves to organize and formalize the City of Menifee’s investment-related activities, while complying with all applicable statutes governing the investment of public funds. This policy is written to incorporate industry best practices and recommendations from sources such as the Government Finance Officers Association (GFOA), California Municipal Treasurers Association (CMTA), California Debt and Investment Advisory Commission (CDIAC) and the Association of Public Treasurers (APT).

This investment policy was endorsed and adopted by the City of Menifee’s Governing BodyCity Council and is effective as of the TBD 5th day of May, 2021, and replaces any previous versions.

I. SCOPE
This policy covers all funds and investment activities under the direct authority of the City of Menifee, as set forth in the State Government Code, Sections 53600 et seq., with the following exceptions:
•Proceeds of debt issuance shall be invested in accordance with the City of Menifee’s general investment philosophy as set forth in this policy; however, such proceeds are to be invested pursuant to the permitted investment provisions of their specific bond indentures.
•Any other funds specifically exempted by the Governing BodyCity Council.

POOLING OF FUNDS
Except for cash in certain restricted and special funds, the City of Menifee will consolidate cash and reserve balances from all funds to maximize investment earnings and to increase efficiencies with regard to investment pricing, safekeeping and administration. Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles.

II. PRUDENCE
Pursuant to California Government Code, Section 53600.3, all persons authorized to make investment decisions on behalf of the City of Menifee are trustees and therefore fiduciaries subject to the Prudent Investor Standard:
“…all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard. When investing, reinvesting, purchasing, acquiring, exchanging, selling, 2 or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the City of Menifee, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the City of Menifee. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law.”
The Treasurer and other authorized persons responsible for managing City of Menifee funds acting in accordance with written procedures and this investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security’s credit risk or market price changes provided that the Treasurer or other authorized persons acted in good faith. Deviations from expectations of a security’s credit or market risk should be reported to the governing body in a timely fashion and appropriate action should be taken to control adverse developments.

III. OBJECTIVES
The City of Menifee’s overall investment program shall be designed and managed with a degree of professionalism worthy of the public trust. The overriding objectives of the program are to preserve principal, provide sufficient liquidity, and manage investment risks, while seeking a market-rate of return.
•SAFETY. Safety of principal is the foremost objective of the investment program.

Investments will be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. To attain this objective, the City of Menifee will diversify its investments by investing funds among a variety of securities with independent returns.
•LIQUIDITY. The investment portfolio will remain sufficiently liquid to meet all operating requirements that may be reasonably anticipated. •RETURN ON INVESTMENTS. The investment portfolio will be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the investment risk constraints for safety and liquidity needs.

IV. DELEGATION OF AUTHORITY
Authority to manage the City of Menifee’s investment program is derived from California Government Code, Sections 41006 and 53600 et seq.

The Governing Body is responsible for the management of the City of Menifee’s funds, including the administration of this investment policy. Management responsibility for the cash management of the City of Menifee’s funds is hereby delegated to the Treasurer. 3 The Treasurer will be responsible for all transactions undertaken and will establish a system of procedures and controls to regulate the activities of subordinate officials and employees.

Such procedures will include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the Treasurer.

The City of Menifee may engage the services of one or more external investment advisers, who are registered under the Investment Advisers Act of 1940, to assist in the management of the City of Menifee’s investment portfolio in a manner consistent with the City of Menifee’s objectives. External investment advisers may be granted discretion to purchase and sell investment securities in accordance with this investment policy.

The City of Menifee's overall investment program shall be designed and managed with a degree of professionalism that is worthy of the public trust. The City of Menifee recognizes that in a diversified portfolio, occasional measured losses may be inevitable and must be considered within the context of the overall portfolio’s return and the cash flow requirements of the City of Menifee.

V. ETHICS AND CONFLICTS OF INTEREST
All participants in the investment process shall act as custodians of the public trust.

Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. Thus employees and officials involved in the investment process shall refrain from personal business activity that could create a conflict of interest or the appearance of a conflict with proper execution of the investment program, or which could impair their ability to make impartial investment decisions.

Employees and investment officials shall disclose to the City Manager any material interests in financial institutions with which they conduct business, and they shall further disclose any large personal financial/investment positions that could be related to the performance of the investment portfolio. Employees and officers shall refrain from undertaking any personal investment transactions with the same individual with whom business is conducted on behalf of the City of Menifee.

VI. INTERNAL CONTROLS
The Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management.

Periodically, as deemed appropriate by the City of Menifee and/or the Governing Body, an independent analysis by an external auditor shall be conducted to review internal controls, account activity and compliance with policies and procedures. 4 VII. AUTHORIZED FINANCIAL INSTITUTIONS, DEPOSITORIES, AND BROKER/DEALERS To the extent practicable, the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. The City of Menifee’s Treasurer will determine which financial institutions are authorized to provide investment services to the City of Menifee. It shall be the City of Menifee’s policy to purchase securities only from authorized institutions and firms.

The Treasurer shall maintain procedures for establishing a list of authorized broker/dealers and financial institutions which are approved for investment purposes that are selected through a process of due diligence as determined by the City of Menifee. Due inquiry shall determine whether such authorized broker/dealers, and the individuals covering the City of Menifee are reputable and trustworthy, knowledgeable and experienced in Public City of MenifeeAgency investing and able to meet all of their financial obligations. These institutions may include "primary" dealers or regional dealers that qualify under Securities and Exchange Commission (SEC) Rule 15c3-1 (uniform net capital rule).

In accordance with Section 53601.5, institutions eligible to transact investment business with the City of Menifee include:
•Primary government dealers as designated by the Federal Reserve Bank and non- primary government dealers.
•Nationally or state-chartered banks.
•The Federal Reserve Bank.
•Direct issuers of securities eligible for purchase.

Selection of financial institutions and broker/dealers authorized to engage in transactions will be at the sole discretion of the City of Menifee, except where the City of Menifee utilizes an external investment adviser in which case the City of Menifee may rely on the adviser for selection.

All financial institutions which desire to become qualified bidders for investment transactions (and which are not dealing only with the investment adviser) must supply the Treasurer with audited financials and a statement certifying that the institution has reviewed the California Government Code, Section 53600 et seq. and the City of Menifee’s investment policy. The Treasurer will conduct an annual review of the financial condition and registrations of such qualified bidders.

Public deposits will be made only in qualified public depositories as established by State law. Deposits will be insured by the Federal Deposit Insurance Corporation, or, to the extent the amount exceeds the insured maximum, will be collateralized in accordance with State law.

Selection of broker/dealers used by an external investment adviser retained by the City of Menifee will be at the sole discretion of the adviser. Where possible, transactions with broker/dealers shall be selected on a competitive basis and their bid or offering prices shall be recorded. If there is no other readily available competitive offering, best efforts will be made to document quotations for comparable or alternative securities. When purchasing 5 original issue instrumentality securities, no competitive offerings will be required as all dealers in the selling group offer those securities at the same original issue price.

VIII. AUTHORIZED INVESTMENTS
The City of Menifee’s investments are governed by California Government Code, Sections 53600 et seq. Within the investments permitted by the Code, the City of Menifee seeks to further restrict eligible investments to the guidelines listed below. In the event a discrepancy is found between this policy and the Code, the more restrictive parameters will take precedence. Percentage holding limits listed in this section apply at the time the security is purchased.

Any investment currently held at the time the policy is adopted which does not meet the new policy guidelines can be held until maturity, and shall be exempt from the current policy. At the time of the investment’s maturity or liquidation, such funds shall be reinvested only as provided in the current policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual issuers.

1. MUNICIPAL SECURITIES include obligations of the City of Menifee, the State of California and any local City of MenifeeAagency within the State of California, provided that:
•The securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”). •No more than 5% of the portfolio may be invested in any single issuer. •No more than 30% of the portfolio may be in Municipal Securities. •The maximum maturity does not exceed five (5) years.

2. MUNICIPAL SECURITIES (REGISTERED TREASURY NOTES OR BONDS) of any of the other 49 states in addition to California, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by a state or by a department, board, City of MenifeeAagency, or authority of any of the other 49 states, in addition to California.
•The securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”). •No more than 5% of the portfolio may be invested in any single issuer. •No more than 30% of the portfolio may be in Municipal Securities. •The maximum maturity does not exceed five (5) years.

3. U.S. TREASURIES and other government obligations for which the full faith and credit of the United States are pledged for the payment of principal and interest. There are no limits on the dollar amount or percentage that the City of Menifee may invest in U.S.

Treasuries, provided that:
6 •The maximum maturity is five (5) years.

4. FEDERAL AGENCIES or United States Government-Sponsored Enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government-sponsored enterprises. There are no limits on the dollar amount or percentage that the City of Menifee may invest in Federal City of Menifee or Government-Sponsored Enterprises (GSEs), provided that:
•No more than 25% of the portfolio may be invested in any single City of MenifeeAgency/GSE issuer.
•The maximum maturity does not exceed five (5) years.
•The maximum percent of City of Menifee Aagency callable securities in the portfolio will be 20%.

5. BANKER’S ACCEPTANCES, provided that:
•They are issued by institutions which have short-term debt obligations rated “A-1” or its equivalent or better by at least one NRSRO; or long-term debt obligations which are rated in a rating category of “A” or its equivalent or better by at least one NRSRO.
•No more than 40% of the portfolio may be invested in Banker’s Acceptances. •No more than 5% of the portfolio may be invested in any single issuer. •The maximum maturity does not exceed 180 days.

6. COMMERCIAL PAPER, provided that:
•The issuer is a corporation organized and operating in the United States with assets in excess of $500 million.
•The securities are rated “A-1” or its equivalent or better by at least one NRSRO. •They are issued by corporations which have long-term obligations rated in a rating category of “A” or its equivalent or better by at least one NRSRO. •City of Menifee may purchase no more than 10% of the outstanding commercial paper of any single issuer.
•No more than 25% of the portfolio may be invested in Commercial Paper. Under a provision sunsetting on January 1, 2026, no more than 40% of the portfolio may be invested in Commercial Paper if the Agency’s investment assets under management are greater than $100,000,000.
•No more than 5% of the portfolio may be invested in any single issuer. •The maximum maturity does not exceed 270 days.

7. NEGOTIABLE CERTIFICATES OF DEPOSIT (NCDS), issued by a nationally or state- chartered bank, a savings association or a federal association, a state or federal credit union, or by a federally licensed or state-licensed branch of a foreign bank, provided that:
•The amount of the NCD insured up to the FDIC limit does not require any credit ratings.
•Any amount above the FDIC insured limit must be issued by institutions which Commented [AS1]: CAM recommends adding
language on CP to be in line with the passing of SB
998 (2020)
7 have short-term debt obligations rated “A-1” or its equivalent or better by at least 8 one NRSRO; or long-term obligations rated in a rating category of “A” or its equivalent or better by at least one NRSRO.
•No more than 30% of the total portfolio may be invested in NCDs (combined with CDARS).
•No more than 5% of the portfolio may be invested in any single issuer. •The maximum maturity does not exceed five (5) years.

8. FEDERALLY INSURED TIME DEPOSITS (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions, provided that:
•The amount per institution is limited to the maximum covered under federal insurance.
•No more than 20% of the portfolio will be invested in a combination of federally insured and collateralized time deposits.
•The maximum maturity does not exceed five (5) years.

9. COLLATERALIZED TIME DEPOSITS (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions in excess of insured amounts which are fully collateralized with securities in accordance with California law, provided that:
•No more than 20% of the portfolio will be invested in a combination of federally insured and collateralized time deposits.
•The maximum maturity does not exceed five (5) years.

10. CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS), provided that:
•No more than 30% of the total portfolio may be invested in a combination of Certificates of Deposit, including CDARS.
•The maximum maturity does not exceed five (5) years.

11. COLLATERALIZED BANK DEPOSITS. City of Menifee’s deposits with financial institutions will be collateralized with pledged securities per California Government Code, Section 53651. There are no limits on the dollar amount or percentage that the City of Menifee may invest in collateralized bank deposits.

12. REPURCHASE AGREEMENTS collateralized with securities authorized under California Government Code, maintained at a level of at least 102% of the market value of the Repurchase Agreement. There are no limits on the dollar amount or percentage that the City of Menifee may invest, provided that:
•Securities used as collateral for Repurchase Agreements will be delivered to an acceptable third party custodian.
•Repurchase Agreements are subject to a Master Repurchase Agreement between the City of Menifee and the provider of the repurchase agreement. The Master Repurchase Agreement will be substantially in the form developed by the Securities Industry and Financial Markets Association (SIFMA).
•The maximum maturity does not exceed one (1) year.
9 13. STATE OF CALIFORNIA LOCAL CITY OF MENIFEEAGENCY INVESTMENT FUND (LAIF), provided that:
•The City of Menifee may invest up to the maximum amount permitted by LAIF. •LAIF’s investments in instruments prohibited by or not specified in the City of Menifee’s policy do not exclude the investment in LAIF itself from the City of Menifee’s list of allowable investments, provided LAIF’s reports allow the Treasurer to adequately judge the risk inherent in LAIF’s portfolio.

14. LOCAL GOVERNMENT INVESTMENT POOLS
•Other LGIPs permitted by client.
•There is no issuer limitation for Local Government Investment Pools

15. CORPORATE MEDIUM TERM NOTES (MTNS), provided that:
•The issuer is a corporation organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States.
•The securities are rated in a rating category of “A” or its equivalent or better by at least one NRSRO.
•No more than 30% of the total portfolio may be invested in MTNs. •No more than 5% of the portfolio may be invested in any single issuer. •The maximum maturity does not exceed five (5) years.

16. ASSET-BACKED, MORTGAGE-BACKED, MORTGAGE PASS-THROUGH SECURITIES,

AND COLLATERALIZED MORTGAGE OBLIGATIONS FROM ISSUERS NOT DEFINED IN SECTIONS 3 AND 4 OF THE AUTHORIZED INVESTMENTS SECTION OF THIS POLICY, provided that:
•The securities are rated in a rating category of “AA” or its equivalent or better by a NRSRO.
•No more than 20% of the total portfolio may be invested in these securities. •No more than 5% of the portfolio may be invested in any single Asset-Backed or Commercial Mortgage security issuer.
•The maximum legal final maturity does not exceed five (5) years.

17. MUTUAL FUNDS AND MONEY MARKET MUTUAL FUNDS that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that:
a.MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:
(i) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
10 (ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
•No more than 10% of the total portfolio may be invested in shares of any one mutual fund.
b.MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:
(i) Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
(ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million.
•No more than 20% of the total portfolio may be invested in the shares of any one Money Market Mutual Fund.
c. No more than 20% of the total portfolio may be invested in these securities.

18. SUPRANATIONALS, provided that:
•Issues are US dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter-American Development Bank.
•The securities are rated in a rating category of “AA” or its equivalent or better by a NRSRO.
•No more than 30% of the total portfolio may be invested in these securities. •No more than 10% of the portfolio may be invested in any single issuer. •The maximum maturity does not exceed five (5) years.

IX. PROHIBITED INVESTMENT VEHICLES AND PRACTICES
•State law notwithstanding, any investments not specifically described herein are prohibited, including, but not limited to futures and options. •In accordance with Government Code, Section 53601.6, investment in inverse floaters, range notes, or mortgage derived interest-only strips is prohibited. •Investment in any security that could result in a zero-interest accrual if held to maturity is prohibited.
•Trading securities for the sole purpose of speculating on the future direction of interest rates is prohibited.
11 •Purchasing or selling securities on margin is prohibited. •The use of reverse repurchase agreements, securities lending or any other form of borrowing or leverage is prohibited.
•The purchase of foreign currency denominated securities is prohibited. •The purchase of a security with a forward settlement date exceeding 45 days from the time of the investment is prohibited.

X. INVESTMENT POOLS/MUTUAL FUNDS
The City of Menifee shall conduct a thorough investigation of any pool or mutual fund prior to making an investment, and on a continual basis thereafter. The Treasurer shall develop a questionnaire which will answer the following general questions:
•A description of eligible investment securities, and a written statement of investment policy and objectives.
•A description of interest calculations and how it is distributed, and how gains and losses are treated.
•A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited. •A description of who may invest in the program, how often, what size deposit and withdrawal are allowed.
•A schedule for receiving statements and portfolio listings. •Are reserves, retained earnings, etc. utilized by the pool/fund? •A fee schedule, and when and how is it assessed.
•Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds? XI. COLLATERALIZATION
CERTIFICATES OF DEPOSIT (CDS). The City of Menifee shall require any commercial bank or savings and loan association to deposit eligible securities with an City of MenifeeAagency of a depository approved by the State Banking Department to secure any uninsured portion of a Non-Negotiable Certificate of Deposit. The value of eligible securities as defined pursuant to California Government Code, Section 53651, pledged against a Certificate of Deposit shall be equal to 150% of the face value of the CD if the securities are classified as mortgages and 110% of the face value of the CD for all other classes of security.

COLLATERALIZATION OF BANK DEPOSITS. This is the process by which a bank or financial institution pledges securities, or other deposits for the purpose of securing repayment of deposited funds. The City of Menifee shall require any bank or financial institution to comply with the collateralization criteria defined in California Government Code, Section 53651.

REPURCHASE AGREEMENTS. The City of Menifee requires that Repurchase Agreements be collateralized only by securities authorized in accordance with California Government Code:
•The securities which collateralize the repurchase agreement shall be priced at Commented [AS2]: SB 1489 (effective
01/01/2023)
12 Market Value, including any Accrued Interest plus a margin. The Market Value of 13 the securities that underlie a repurchase agreement shall be valued at 102% or greater of the funds borrowed against those securities. •Financial institutions shall mark the value of the collateral to market at least monthly and increase or decrease the collateral to satisfy the ratio requirement described above.
•The City of Menifee shall receive monthly statements of collateral.

XII. DELIVERY, SAFEKEEPING AND CUSTODY
DELIVERY-VERSUS-PAYMENT (DVP). All investment transactions shall be conducted on a delivery-versus-payment basis.

SAFEKEEPING AND CUSTODY. To protect against potential losses due to failure of individual securities dealers, and to enhance access to securities, interest payments and maturity proceeds, all cash and securities in the City of Menifee’s portfolio shall be held in safekeeping in the City of Menifee’s name by a third party custodian, acting as agent for the City of Menifee under the terms of a custody agreement executed by the bank and the City of Menifee. All investment transactions will require a safekeeping receipt or acknowledgment generated from the trade. A monthly report will be received by the City of Menifee from the custodian listing all securities held in safekeeping with current market data and other information.

The only exceptions to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) money mutual funds, since the purchased securities are not deliverable.

XIII. MAXIMUM MATURITY
To the extent possible, investments shall be matched with anticipated cash flow requirements and known future liabilities.

The City of Menifee will not invest in securities maturing more than five (5) years from the date of trade settlement, unless the Governing Body has by resolution granted authority to make such an investment.

XIV. RISK MANAGEMENT AND DIVERSIFICATION

MITIGATING CREDIT RISK IN THE PORTFOLIO
Credit risk is the risk that a security or a portfolio will lose some or all its value due to a real or perceived change in the ability of the issuer to repay its debt. The City of Menifee will mitigate credit risk by adopting the following strategies:
•The diversification requirements included in the “Authorized Investments” section of this policy are designed to mitigate credit risk in the portfolio. 14 •No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy. •The City of Menifee may elect to sell a security prior to its maturity and record a capital gain or loss in order to manage the quality, liquidity or yield of the portfolio in response to market conditions or City of Menifee’s risk preferences. •If the credit ratings of any security owned by the City of Menifee are downgraded to a level below the quality required by this investment policy, it will be the City of Menifee’s policy to review the credit situation and make a determination as to whether to sell or retain such securities in the portfolio.
•If a security is downgraded, the Treasurer will use discretion in determining whether to sell or hold the security based on its current maturity, the economic outlook for the issuer, and other relevant factors.
•If a decision is made to retain a downgraded security in the portfolio, its presence in the portfolio will be monitored and reported monthly to the Governing Body.

MITIGATING MARKET RISK IN THE PORTFOLIO
Market risk is the risk that the portfolio value will fluctuate due to changes in the general level of interest rates. The City of Menifee recognizes that, over time, longer-term portfolios have the potential to achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City of Menifee will mitigate market risk by providing adequate liquidity for short-term cash needs, and by making longer-term investments only with funds that are not needed for current cash flow purposes.

The City of Menifee further recognizes that certain types of securities, including variable rate securities, securities with principal paydowns prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City of Menifee, therefore, adopts the following strategies to control and mitigate its exposure to market risk:
•The City of Menifee will maintain a minimum of six months of budgeted operating expenditures in short term investments to provide sufficient liquidity for expected disbursements.
•The maximum stated final maturity of individual securities in the portfolio will be five (5) years, except as otherwise stated in this policy.
•The duration of the portfolio will generally be approximately equal to the duration (typically, plus or minus 20%) of a Market Benchmark, an index selected by the City of Menifee based on the City of Menifee’s investment objectives, constraints and risk tolerances.
15 XV. REVIEW OF INVESTMENT PORTFOLIO
The Treasurer shall periodically, but no less than quarterly, review the portfolio to identify investments that do not comply with this investment policy and establish protocols for reporting major and critical incidences of noncompliance to the Governing Body.

XVI. PERFORMANCE EVALUATION
The investment portfolio shall be designed to attain a market-average rate of return throughout budgetary and economic cycles, taking into account the City of Menifee’s risk constraints, the cash flow characteristics of the portfolio, and state and local laws, ordinances or resolutions that restrict investments.

The Treasurer shall monitor and evaluate the portfolio’s performance relative to the chosen market benchmark(s), which will be included in the Treasurer’s quarterly report. The Treasurer shall select an appropriate, readily available index to use as a market benchmark.

XVII. REPORTING

MONTHLY REPORTS
Monthly transaction reports will be submitted by the Treasurer to the Governing Body within 30 4560 days of the end of the reporting period in accordance with California Government Code Section 53607.

QUARTERLY REPORTS
The Treasurer will submit a quarterly investment report to the Governing Body which provides full disclosure of the City of Menifee’s investment activities within 30 60 45 days after the end of the quarter. These reports will disclose, at a minimum, the following information about the City of Menifee’s portfolio:

1. An asset listing showing par value, cost and independent third-party fair market value of each security as of the date of the report, the source of the valuation, type of investment, issuer, maturity date and interest rate.

2. Transactions for the period.

3. A description of the funds, investments and programs (including lending programs) managed by contracted parties (i.e. LAIF; investment pools, outside money managers and securities lending agents)

4. A one-page summary report that shows:
a. Average maturity of the portfolio and modified duration of the portfolio; b. Maturity distribution of the portfolio;
c. Percentage of the portfolio represented by each investment category; d. Average portfolio credit quality; and,
Commented [AS3]: SB 1489 (effective
01/01/2023): Code extended the number of days from
30 to 45 days.
16 e. Time-weighted total rate of return for the portfolio for the prior one month, three months, twelve months and since inception compared to the City of Menifee’s market benchmark returns for the same periods;

5. A statement of compliance with investment policy, including a schedule of any transactions or holdings which do not comply with this policy or with the California Government Code, including a justification for their presence in the portfolio and a timetable for resolution.

6. A statement that the City of Menifee has adequate funds to meet its cash flow requirements for the next six months.

ANNUAL REPORTS
A comprehensive annual report will be presented to the Governing Board. This report will include comparisons of the City of Menifee’s return to the market benchmark return, suggest policies and improvements that might enhance the investment program, and will include an investment plan for the coming year.

XVIII. REVIEW OF INVESTMENT POLICY
The investment policy will be reviewed and adopted at least annually within 120 days of the end of the fiscal year, to ensure its consistency with the overall objectives of preservation of principal, liquidity and return, and its relevance to current law and financial and economic trends.

Any recommended modifications or amendments shall be presented by Staff to the Governing Body for their consideration and adoption.
17 APPENDIX A

PERMITTED INVESTMENTS

ALLOWABLE INVESTMENT INSTRUMENTS PER STATE GOVERNMENT CODE (AS OF JANUARY 1, 2021 2022)A APPLICABLE TO ALL LOCAL AGENCIESB See "Table of Notes" on the next page for footnotes related to this table.

INVESTMENT TYPE

MAXIMUM

REMAINING

MATURITY

MAXIMUM SPECIFIED
% OF PORTFOLIO
City of Menifee Policy
Maximums

MINIMUM QUALITY

REQUIREMENTS

GOVERNMENT

CODE SECTIONS
Local Agency Bonds 5 years None None None 53601(a)
U.S. Treasury Obligations 5 years None None None 53601(b) State Obligations: CA and Others 5 years None None None 53601(c) 53601(d)
CA Local Agency Obligations 5 years None None None 53601(e) U.S. Agency Obligations 5 years None None None 53601(f) Bankers' Acceptance 180 days 40%E 40%E None 53601(g)
Commercial Paper: Non-pooled FundsF
(under $100,000,000 of investments) 270 days or less25% of the agency's moneyG
25% of the agency's
moneyG
Highest letter and number
rating by an NRSROH 53601(h)(2)(c)
Commercial Paper: Non-pooled FundsF
(min. $100,000,000 of investments) 270 days or less40% of the agency's moneyG
25% of the agency's
moneyG
Highest letter and number
rating by an NRSROH 53601(h)(2)(c)
Commercial Paper: Pooled FundsI 270 days or less40% of the agency's moneyG
25% of the agency's
moneyG
Highest letter and number
rating by an NRSROH 53635(a)(1)
Negotiable Certificates of Deposit 5 years 30%J 20%J None 53601(i) Non-negotiable Certificates of Deposit5 years None None None 53630 et seq.

Placement Service Deposits 5 years 30 50%K 30%K None 53601.8 and 53635.8
Placement Service Certificates of Deposit5 years 30 50%K 30%K None 53601.8 and 53635.8
Repurchase Agreements 1 year None None None 53601(j)
Reverse Repurchase Agreements and
Securities Lending Agreements 92 daysL 20% of the base value of the portfolio
20% of the base value
of the portfolio NoneM 53601(j)
Medium Term NotesN 5 years or less 30% 30% "A" rating category or its equivalent or better 53601(k)
Mutual Funds and Money Market Mutual
Funds N/A 20%O 20%O MultipleP,Q 53601(l) and
53601.6(b)
Collateralized Bank DepositsR 5 years None 20% None 53630 et seq. and 53601(n)
Mortgage Pass-through and Asset-Backed
Securities 5 years or less 20% 20% "AA" rating category or its equivalent or better 53601(o)
County Pooled Investment Funds N/A None None None 27133 Joint Powers Authority Pool N/A None None MultipleS 53601(p) Local Agency Investment Fund (LAIF) N/A None None None 16429.1 Voluntary Investment Program FundT N/A None None None 16340 Supranational ObligationsU 5 years or less 30% 30% "AA" rating category or its equivalent or better 53601(q)
Public Bank Obligations 5 years None None None 53601(r), 53635(c), and 57603
18 TABLE OF NOTES FOR APPENDIX A
A Sources: Sections 16340, 16429.1, 27133, 53601, 53601.6, 53601.8, 53630 et L Reverse repurchase agreements or securities lending agreements may exceed the seq., 53635, 53635.8, and 57603. 92-day term if the agreement includes a written codicil guaranteeing a minimum earning or spread for the entire period between the sale of a security using a reverse B Municipal Utilities Districts have the authority under the Public Utilities Code repurchase agreement or securities lending agreement and the final maturity dates Section 12871 to invest in certain securities not addressed here. of the same security.

C Section 53601 provides that the maximum term of any investment authorizedM Reverse repurchase agreements must be made with primary dealers of the Federal under this section, unless otherwise stated, is five years. However, the legislative Reserve Bank of New York or with a nationally or state-chartered bank that has a body may grant express authority to make investments either specifically or as a significant relationship with the local agency. The local agency must have held the part of an investment program approved by the legislative body that exceeds this securities used for the agreements for at least 30 days. five-year remaining maturity limit. Such approval must be issued no less than three months prior to the purchase of any security exceeding the five-year maturity limit. N “Medium-term notes” are defined in Section 53601as “all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, D Percentages apply to all portfolio investments regardless of source of funds. For issued by corporations organized and operating within the United States or by instance, cash from a reverse repur-chase agreement would be subject to the depository institutions licensed by the United States or any state and operating restrictions. within the United States.”
E No more than 30 percent of the agency’s money may be in bankers’ acceptances of O No more than 10 percent invested in any one mutual fund. This limitation does not any one commercial bank. apply to money market mutual funds.

F Includes agencies defined as a city, a district, or other local agency that do not pool P A mutual fund must receive the highest ranking by not less than two nationally money in deposits or investment with other local agencies, other than local recognized rating agencies, or the fund must retain an investment advisor who is agencies that have the same governing body. registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least
five years' experience investing in instruments authorized by Sections 53601 and 53635.

G Local agencies, other than counties or a city and county, may purchase no more Q A money market mutual fund must receive the highest ranking by not less than two than 10 percent of the outstanding commercial paper and medium-term notes of nationally recognized statistical rating organizations or retain an investment advisor any single issuer. registered with the SEC or exempt from registration and who has not less than five years' experience investing in money market instruments with assets under H Issuing corporation must be organized and operating within the U.S., have assets in management in excess of $500 million. excess of $500million, and debt other than commercial paper must be in a rating category of "A" or its equivalent or higher by a nationally recognized statisticalR Investments in notes, bonds, or other obligations under Section 53601(n) require rating organization, or the issuing corporation must be organized within the U.S. as that collateral be placed into the custody of a trust company or the trust department a special purpose corporation, trust, or LLC, have program wide credit of a bank that is not affiliated with the issuer of the secured obligation, among other enhancements, and have commercial paper that is rated “A-1” or higher, or the specific collateral requirements. equivalent, by a nationally recognized statistical rating agency.

S A joint powers authority pool must retain an investment advisor who is registered I Includes agencies defined as a county, a city and county, or other local agency that with the SEC (or exempt from registration), has assets under management in excess pools money in deposits or investments with other local agencies, including local of $500 million, and has at least five years' experience investing in instruments agencies that have the same governing body. Local agencies that pool exclusively authorized by Section 53601, subdivisions (a) to (o). with other local agencies that have the same governing body must adhere to the limits set forth in Section 53601(h)(2)(C). T Local entities can deposit between $200 million and $10 billion into the Voluntary Investment Program Fund, upon approval by their governing bodies. Deposits in J No more than 30 percent of the agency’s money may be in negotiable certificates the fund will be invested in the Pooled Money Investment Account. of deposit that are authorized under Section 53601(i).

U Only those obligations issued or unconditionally guaranteed by the International K Effective January 1, 2020, no more than 50 percent of the agency’s money may be Bank for Reconstruction and Development (IBRD), International Finance invested in deposits, including certificates of deposit, through a placement service Corporation (IFC), and Inter- as authorized under 53601.8 (excludes negotiable certificates of deposit authorized American Development Bank (IADB), with a maximum remaining maturity of five under Section 53601(i)). On January 1, 2026, the maximum percentage of the years or less. portfolio reverts back to 30 percent. Investments made pursuant to 53635.8 remain subject to a maximum of 30 percent of the portfolio.
19 XXI. GLOSSARY OF INVESTMENT TERMS
AGENCIES. Shorthand market terminology for any obligation issued by a government-sponsored entity (GSE), or a federally related institution. Most obligations of GSEs are not guaranteed by the full faith and credit of the US government. Examples are:

FFCB. The Federal Farm Credit Bank System provides credit and liquidity in the agricultural industry. FFCB issues discount notes and bonds.FHLB. The Federal Home Loan Bank provides credit and liquidity in the housing market.

FHLB issues discount notes and bonds.

FHLMC. Like FHLB, the Federal Home Loan Mortgage Corporation provides credit and liquidity in the housing market. FHLMC, also called “FreddieMac” issues discount notes, bonds and mortgage pass-through securities.

FNMA. Like FHLB and FreddieMac, the Federal National Mortgage Association was established to provide credit and liquidity in the housing market. FNMA, also known as “FannieMae,” issues discount notes, bonds and mortgage pass-through securities.

GNMA. The Government National Mortgage Association, known as “GinnieMae,” issues mortgage pass-through securities, which are guaranteed by the full faith and credit of the US Government.

PEFCO. The Private Export Funding Corporation assists exporters. Obligations of PEFCO are not guaranteed by the full faith and credit of the US government.

TVA. The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

ASSET BACKED SECURITIES. Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

AVERAGE LIFE. In mortgage-related investments, including CMOs, the average time to expected receipt of principal payments, weighted by the amount of principal expected.

BANKER’S ACCEPTANCE. A money market instrument created to facilitate international trade transactions. It is highly liquid and safe because the risk of the trade transaction is transferred to the bank which “accepts” the obligation to pay the investor.

BENCHMARK. A comparison security or portfolio. A performance benchmark is a partial market index, which reflects the mix of securities allowed under a specific investment policy.

BROKER. A broker brings buyers and sellers together for a transaction for which the broker receives a commission. A broker does not sell securities from his own position.

CALLABLE. A callable security gives the issuer the option to call it from the investor prior to its maturity. The main cause of a call is a decline in interest rates. If interest rates decline, the issuer will likely call its current securities and reissue them at a lower rate of interest.

CERTIFICATE OF DEPOSIT (CD). A time deposit with a specific maturity evidenced by a certificate.

CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SYSTEM (CDARS). A private placement service that allows local agencies to purchase more than $250,000 in CDs from a single financial institution (must be a participating institution of CDARS) while still maintaining FDIC insurance coverage. CDARS is currently the only entity providing this service. CDARS facilitates the trading of deposits between the California institution and other participating institutions in amounts that are less than $250,000 each, so that FDIC coverage ismaintained.

COLLATERAL. Securities or cash pledged by a borrower to secure repayment of a loan or repurchase agreement. Also, securities pledged by a financial institution to secure deposits of public monies.
20 COLLATERALIZED BANK DEPOSIT. A bank deposit that is collateralized at least 100% (principal plus interest to maturity). The deposit is collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.

COLLATERALIZED MORTGAGE OBLIGATIONS (CMO). Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COLLATERALIZED TIME DEPOSIT. Time deposits that are collateralized at least 100% (principal plus interest to maturity). These instruments are collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.COMMERCIAL PAPER. The short-term unsecured debt of corporations.

COUPON. The rate of return at which interest is paid on a bond.

CREDIT RISK. The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

DEALER. A dealer acts as a principal in security transactions, selling securities from and buying securities for his own position.DEBENTURE. A bond secured only by the general credit of the issuer.

DELIVERY VS. PAYMENT (DVP). A securities industry procedure whereby payment for a security must be made at the time the security is delivered to the purchaser’s agent.

DERIVATIVE. Any security that has principal and/or interest payments which are subject to uncertainty (but not for reasons of default or credit risk) as to timing and/or amount, or any security which represents a component of another security which has been separated from other components (“Stripped” coupons and principal). A derivative is also defined as a financial instrument the value of which is totally or partially derived from the value of another instrument, interest rate, or index.

DISCOUNT. The difference between the par value of a bond and the cost of the bond, when the cost is below par. Some short-term securities, such as T-bills and banker’s acceptances, are known as discount securities. They sell at a discount from par and return the par value to the investor at maturity without additional interest. Other securities, which have fixed coupons, trade at a discount when the coupon rate is lower than the current market rate for securities of that maturity and/or quality.

DIVERSIFICATION. Dividing investment funds among a variety of investments to avoid excessive exposure to any one source of risk.

DURATION. The weighted average time to maturity of a bond where the weights are the present values of the future cash flows. Duration measures the price sensitivity of a security to changes interest rates.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC). The Federal Deposit Insurance Corporation (FDIC) is an independent federal City of MenifeeaAgency insuring deposits in U.S. banks and thrifts in the event of bank failures. The FDIC was created in 1933 to maintain public confidence and encourage stability in the financial system through the promotion of sound banking practices.

FEDERALLY INSURED TIME DEPOSIT. A time deposit is an interest-bearing bank deposit account that has a specified date of maturity, such as a certificate of deposit (CD). These deposits are limited to funds insured in accordance with FDIC insurance deposit limits.

LEVERAGE. Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.LIQUIDITY. The speed and ease with which an asset can be converted to cash.

LOCAL CITY OF MENIFEEAGENCY INVESTMENT FUND (LAIF). A voluntary investment fund open to government entities and certain non-profit organizations in California that is managed by the State Treasurer’s Office.

LOCAL GOVERNMENT INVESTMENT POOL. Investment pools that range from the State Treasurer’s Office Local City of MenifeeAgency Investment Fund (LAIF) to county pools, to Joint Powers
21 Authorities (JPAs). These funds are not subject to the same SEC rules applicable to money market mutual funds.

MAKE WHOLE CALL. A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."
MARGIN. The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK. The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.MARKET VALUE. The price at which a security can be traded.

MATURITY. The final date upon which the principal of a security becomes due and payable. The investment’s term or remaining maturity is measured from the settlement date to final maturity.

MEDIUM TERM NOTES. Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis.

MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION. The percent change in price for a 100-basis point change in yields. Modified duration is the best single measure of a portfolio’s or security’s exposure to market risk.

MONEY MARKET. The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker’s acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND. A mutual fund that invests exclusively in short-term securities.

Examples of investments in money market funds are certificates of deposit and U.S.

Treasury securities. Money market funds attempt to keep their net asset values at $1 per share.

MORTGAGE PASS-THROUGH SECURITIES. A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES. Securities issued by state and local agencies to finance capital and operating expenses.

MUTUAL FUND. An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund’s prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund’s prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO).

A credit rating City of MenifeeAagency that the Securities and Exchange Commission in the United States uses for regulatory purposes. Credit rating agencies provide assessments of an investment's risk. The issuers of investments, especially debt securities, pay credit rating agencies to provide them with ratings. The three most prominent NRSROs are Fitch, S&P, and Moody's.

NEGOTIABLE CERTIFICATE OF DEPOSIT (CD). A short-term debt instrument that pays interest and is issued by a bank, savings or federal association, state or federal credit union, or state- licensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor).

PRIMARY DEALER. A financial institution (1) that is a trading counterparty with the Federal Reserve in its execution of market operations to carry out U.S. monetary policy, and (2) that participates for statistical reporting purposes in compiling data on activity in the U.S.

Government securities market.

PRUDENT PERSON (PRUDENT INVESTOR) RULE. A standard of responsibility which applies to fiduciaries. In California, the rule is stated as “Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent Commented [AS4]: SB 1489 (Effective 1/1/2023)
Clarifies maturity based on settlement date rather than generally understood trading date.
22 person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes.” REPURCHASE AGREEMENT. Short-term purchases of securities with a simultaneous agreement to sell the securities back at a higher price. From the seller’s point of view, the same transaction is a reverse repurchase agreement.

SAFEKEEPING. A service to bank customers whereby securities are held by the bank in the customer’s name.

SECURITIES AND EXCHANGE COMMISSION (SEC). The U.S. Securities and Exchange Commission (SEC) is an independent federal government City of MenifeeAagency responsible for protecting investors, maintaining fair and orderly functioning of securities markets and facilitating capital formation. It was created by Congress in 1934 as the first federal regulator of securities markets. The SEC promotes full public disclosure, protects investors against fraudulent and manipulative practices in the market, and monitors corporate takeover actions in the United States.SECURITIES AND EXCHANGE COMMISSION SEC) RULE 15C3-1.An SEC rule setting capital requirements for brokers and dealers. Under Rule 15c3-1, a broker or dealer must have sufficient liquidity in order to cover the most pressing obligations. This is defined as having a certain amount of liquidity as a percentage of the broker/dealer's total obligations. If the percentage falls below a certain point, the broker or dealer may not be allowed to take on new clients and may have restrictions placed on dealings with current client.

STRUCTURED NOTE. A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten- year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

SUPRANATIONAL. A Supranational is a multi-national organization whereby member states transcend national boundaries or interests to share in the decision making to promote economic development in the member countries.

TOTAL RATE OF RETURN. A measure of a portfolio’s performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

U.S. TREASURY OBLIGATIONS. Securities issued by the U.S. Treasury and backed by the full faith and credit of the United States. Treasuries are considered to have no credit risk and are the benchmark for interest rates on all other securities in the US and overseas. The Treasury issues both discounted securities and fixed coupon notes and bonds.

TREASURY BILLS. All securities issued with initial maturities of one year or less are issued as discounted instruments and are called Treasury bills. The Treasury currently issues three- and six-month T-bills at regular weekly auctions. It also issues “cash management” bills as needed to smooth out cash flows.

TREASURY NOTES. All securities issued with initial maturities of two to ten years are called Treasury notes and pay interest semi-annually.

TREASURY BONDS. All securities issued with initial maturities greater than ten years are called Treasury bonds. Like Treasury notes, they pay interest semi-annually.

YIELD TO MATURITY. The annualized internal rate of return on an investment which equates the expected cash flows from the investment to its cost.

Revision History
Revision No.Date ApprovedApproved By:Comments
0 10/01/2008City Council2008-2009 Investment Policy; Resolution No. 08-18 1 08/04/2009City Council2009-2010 Investment Policy; Resolution No. 09-110 2 11/15/2011City Council2011-2012 Investment Policy; Resolution No. 11-240 3 12/04/2012City Council2012-2013 Investment Policy; Resolution No. 12-299 4 11/06/2013City Council2013-2014 Investment Policy; Resolution No. 13-345 5 03/06/2019City Council2018-2019 Investment Policy; Resolution No. 19-775 6 05/05/2021City Council2020-2021 Investment Policy; Resolution No. 21-1018 7 09/21/2022 City Council 2022-2023 Investment Policy; Resolution No. 22-1201

CITY OF MENIFEE
SUBJECT: Proposed Formation of Community Facilities District No. 2023-3, Banner Park II, by Pulte Homes
MEETING DATE: September 26, 2023
TO: Finance Committee
PREPARED BY: Lauri Lockwood, Financial Analyst
REVIEWED BY: Margarita Cornejo, Acting Chief Financial Officer APPROVED BY: Rochelle Clayton, Assistant City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Review the proposed Community Facilities District No. 2023-3, Banner Park II, by Pulte Homes to finance certain costs of public improvements within the 182-home single-family residential development.

DISCUSSION
The developer, Pulte Homes, owns a residential tract containing 182 lots within the City of Menifee. Pulte Homes has requested that the City form Community Facilities District No. 2023-3, Banner Park II, in accordance with the Mello-Roos Community Facilities Act of 1982, as amended.

The cost of certain public improvements within the development would be financed by the levy of a special tax and the issuance of bonds in the approximate amount of $9,320,000.

This item is to review the proposed CFD No. 2023-3, Banner Park II.

ATTACHMENTS

1. CFD 2023-3 Proforma Summary

2. CFD 2023-3 Project Map

3. CFD 2023-3 Proforma

4. CFD 2023-3 Boundary Map

5. CFD 2017-1 Annexation 23 Cost Estimate

6. CFD 2017-1 Annexation 23 Maintenance Exhibit

7. Pulte Banner Park II - Facilities CFD Application

CFD 2023‐3 (Banner Park II)
Proforma Summary Sheet
Applicant: Pulte Homes
Project Description
Acreage Gross: 80.58; Net: 31.30
Development Description Detached Single Family Residential Number of Units (50 min) 182 Units
Estimated Home Size Range 2,191 SF to 3,237 SF
Average Home Size 2,667 SF
Average Estimated Home Price $596,336
Total Effective Tax Rate (2.00% Max) 1.95%
CFD Tax Rate Range $2,703 to $3,407
Escalation (2.00% Max) Yes, 2.00%
Maintenance CFD Proposed, CFD 2017‐1 Tax Zone 23
Maintenance CFD Rate $1,200/Unit
Bond Sizing Assumptions
Average Coupon 5.00%
Priority Administration $30,000
Cost of Issuance $250,000
Capitalized Interest Period 6‐months
Special Tax Escalation 2%
Bond Term 30 Years
Underwriter Discount 2.00%
Total Special Tax Revenues $550,890
Estimated Sources and Uses
Sources
Par Bond Amount $9,320,000
Uses
Reserve Fund $813,896
Capitalized Interest $209,700
Underwriter Discount $163,100
Cost of Issuance $250,000
Improvement Fund $7,883,304
Allocation of Improvement Fund
Description Total Eligible Bond Proceeds Remaining
City Fees $885,612 $885,612 $0
City Facilities $5,653,657 $5,653,657 $0
City Additional Facilities (20%) $177,122 $177,122 $0 Eastern Municipal Water District $3,243,968 $1,166,913 $2,077,055 Dry Utilities $467,250 $0 $467,250
Total $10,427,609 $7,883,304 $2,544,305

Proposed Schedule
Finance Committee September 26, 2023
Resolution of Intention December 6, 2023
Public Hearing January 17, 2024
2nd Reading Ordinance February 7, 2024

LINDENBERGER
RD

DOMENIGONI PKWY

VIAAMANTE
BRIGGS
RD
CALLE

POMPEII

MENIFEE
RD

NEWPORT RD

ME ANDERING
CIR

OISE DR

COTTONWOOD COVE DR

VIA MARSALA
^_
§¨¦215

MENIFEE RD

NEWPORT RD

MC C ALL BLVD

HOLLAND RD

GRAND AVE
SETAST
LEON
RD

HADDOCK ST

PALOMAR RD

SIMPSON RD

LA PIEDRA RD

MEAD CT

REDWOOD ST

RIO VISTA DR

EUCALYPTUS RD

MATTHEWS RD
HAUN

RD ROCKPORT RD

OLIVE AVE

ANTELOPERD

LA VENTANA RD

MALAGA RD
CFD NO. 2023-3 (BANNER PARK II)

PROJECT MAP

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Calculation of Bond Sizing and Total Tax Rates
I. Home Prices and Combined Tax Rates:

Plan 1 2 3 4 5 6 7 CFD TOTAL
Range of Home Sizes in Square Feet per RMA Under
2,200
2,200 to
2,400
2,401 to
2,600
2,601 to
2,800
2,801 to
3,000
3,001 to
3,200
Over
3,200
Estimated Home Size
Estimated Home Price
2,191 2,311 2,462 2,654 2,824 3,047 3,237 2,667
$553,990 $566,990 $585,990 $588,990 $603,990 $634,990 $645,990 $596,336 Ad‐Valorem Tax Rate (1.00%)
Metro Water West (0.00350%)
Menifee School (0.06319%)
Perris Union HS (0.08859%)
Mt. San Jacinto Jr. College (0.01320%)
EMWD ID U‐35 (0.01129%)
EMWD ID U‐36 (0.01129%)
$5,539.90
$19.39
$347.74
$456.71
$73.13
$5,669.90
$19.84
$355.90
$467.43
$74.84
$5,859.90
$20.51
$367.83
$483.09
$77.35
$5,889.90
$20.61
$369.71
$485.56
$77.75
$6,039.90
$21.14
$379.12
$497.93
$79.73
$6,349.90
$22.22
$398.58
$523.49
$83.82
$6,459.90
$22.61
$405.49
$532.55
$85.27
$5,963.36
$20.87
$374.32
$491.62
$78.72
$62.55
$62.55
$64.01
$64.01
$66.16
$66.16
$66.50
$66.50
$68.19
$68.19
$71.69
$71.69
$72.93
$72.93
$67.33
$67.33
Subtotal GO Bond Debt $6,561.96 $6,715.94 $6,940.99 $6,976.53 $7,154.20 $7,521.39 $7,651.69 $7,063.54 Flood Control Stormwater / Cleanwater / Santa Ana
Valley Wide LMD 88‐1 Parks
Valley Wide Regional Fac LMD 88‐1
EMWD Standby
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$3.78
$311.00
$5.54
$11.00 $11.00 $11.00 $11.00 $11.00 $11.00 $11.00 $11.00 MWD Standby charge $6.94 $6.94 $6.94 $6.94 $6.94 $6.94 $6.94 $6.94 Proposed CFD No. 2017‐1 ‐ Maintenance Services*
Proposed CFD No. 2023‐3 ‐ Facilities Special Tax**
$1,200.00
$2,703.00
$1,200.00
$2,802.00
$4,340.26
$1,200.00
$2,948.00
$4,486.26
$1,200.00
$2,971.00
$4,509.26
$1,200.00
$3,085.00
$4,623.26
$1,200.00
$3,323.00
$4,861.26
$1,200.00
$3,407.00
$4,945.26
$1,200.00
$3,026.87
$4,565.13Subtotal Special Assessments and Taxes $4,241.26 Total Annual Property Taxes $10,803.22 $11,056.20 $11,427.25 $11,485.79 $11,777.46 $12,382.65 $12,596.95 $11,628.67 Annual Prop. Tax Rates as % of Home Price
Unit Mix

1.95%
20 1.95%
38 1.95%
22 1.95%
18 1.95%
38 1.95%
23 1.95%
23 1.95%
182
(1)Total CFD ‐ Annual Tax Collections
(2)Administration
$54,060 $106,476 $64,856 $53,478 $117,230 $76,429 $78,361 $550,890 $30,000
Total Annual Special Taxes for Bonding
((1)Total Special Taxes ‐ (2)Admin. / 110% Coverage)
II. Total Estimated Home Square Footage:
* Escalates at greater of 2% or CPI
$46,469
43,820
$91,525
87,818
$55,749
54,164
$45,969
47,772
$100,769
107,312
$65,697
70,081
$67,358
74,451
$473,536
485,418
** Includes a 2% annual escalator for debt service
III. CFD Bond Sizing & Construction Proceeds:
2024 Bond Amount (5.00% Interest, 30 Year Term, 29 Year Amortization) $9,320,000 Underwriter Discount (1.75%)
Reserve Fund (Maximum Annual Debt Service)
Capitalized Interest (6 mos.)
$163,100
$813,896
$209,700
$250,000Incidental Costs (Estimate)
Total Discount, Reserve Fund, Capitalized Interest and Incidental Costs Net Bond Proceeds
$1,436,696
$7,883,304

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Summary of Acreage, Undeveloped Property
And Backup Special Tax Rates
Tract Nos. 37671
182 Lots
(Banner Park II)
I. Calculation of Net Taxable Acres:

Gross Acreage 80.58
Less: Exempt Acres 49.28

31.30Net Taxable Acres
II. Calculation of Undeveloped Property Tax Rate:

Total Developed Property Revenues
Net Taxable Acres
$550,890

31.30 Less: Contingency Factor (10%) 3.13
Net Taxable Acres (Adjusted) 28.17
Undeveloped Property Tax Rate per Acre $19,556
Total Exempt Acreage 52.41
III. Calculation of Backup Special Tax Rate:

A. Backup Special Tax Rate per Unit
Total Taxable Acres 41.12
$19,556
182
Undeveloped Property Tax Rate per Acre
Total Units
Backup Special Tax per Unit $4,418
B. Backup Special Tax Rate per Lot Square Foot
Total Developed Property Revenues
Total Net Acres (Square Feet)
$550,890
1,227,083
$0.4489Backup Special Tax Rate per Lot Square Foot

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Calculation of Bond Sizing and Total Tax Rates
Debt Service
Tax Rate
No. of
Units
Total Annual
Collectable TaxRange of Home Sizes
Less than 2,200
Max Tax Rates
$2,703
$2,802
$2,948
$2,971
$3,085
$3,323
$3,407
$19,556
$4,418
$0.4489
20 38
22 18
38 23
23 $54,060
$106,476
$64,856
$53,478
$117,230
$76,429
$78,361
$88,367
$167,898
$97,204
2,200
2,401
2,601
2,801
3,001
to
to
to
to
to
2,400
2,600
2,800
3,000
3,200
3,200
$79,531
$167,898
$101,622
$101,622Greater than
Non‐residential Property
Backup Tax Rate per Unit
Backup Tax Rate per S.F.
182 $550,890 $804,143
Tax Rate for Bonding
Sizing at Max tax rate
Future Facilities (rounded up)
$703,766
$13,000,000
$11,000,000

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Use of Bond Proceeds
CFD 2023‐3 Tract Nos. 37671
182 Lots
FUNDING REQUIREMENTS Per Lot (Banner Park II)
City Fees
Law Enforcement
Fire Facilities
$925
$647
$168,350
$117,754
$1,291,654
($1,219,764)
$214,032
$313,586
$885,612
Circulation $7,097
($6,702)
$1,176
$1,723
$4,866
$973
Circulation Credit (Briggs Full Width Credit ‐ Domenigoni to Angler) General Govt
Parks ‐ Land
Subtotal City Fees
City Premium (20%)
Total City Fees
$177,122
$1,062,734$5,839
City Facilities
Park Site (Banner Park I)
Traffic Signal (Briggs & Newport)
Briggs Road
$5,495
$1,878
$1,000,000
$341,870
$1,843,083
$1,227,545
$1,020,529
$220,630
$10,127
$6,745
$5,607
$1,212
$31,064
Storm Drain
In‐Tract Street Improvements
Design, Planning & Engineering
Total City Facilities $5,653,657
Total City Facilities and Fees $36,903 $6,716,391
EMWD Fees
Sewer Financial Participation Charge
Sewer Treatment Plant Capacity Charge
Water Financial Participation Charge
Water Supply Development Fee
Meter Fee
$3,391
$6,428
$7,235
$393
$617,162
$1,169,896
$1,316,770
$71,526
$377 $68,614
Total EMWD Fees $17,824 $3,243,968
Total EMWD Facilities and Fees
Dry Utilities
$17,824
$2,567
$3,243,968
$467,250
Total Cost $57,295 $10,427,609
$7,883,304Potential Project Funds Available
ALLOCATION OF PROCEEDS % Per Lot Total
City Facilities
City Fees
City Premium
72%
11%
2%
$31,064
$9,852
$973
$5,653,657
$885,612
$177,122
Other Agency
Total Funded by Bond Proceeds
15%
100%
$6,412
$48,301
$1,166,913
$7,883,304

UNFUNDED REQUIREMENTS
Net Bond Proceeds Deficit
Unfunded Requirement
Total Fees to be Funded by Developer
$0
$2,544,305
$2,544,305

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Revenue Coverage ‐ Assigned Tax Rate
Debt
Period
Ending
Gross
Revenues
Priority
Admin
Net Debt
Service
Service
CoverageYear Principal
$15,000
Coupon

5.00%
Interest
$466,0001 9/1/2024
9/1/2025
9/1/2026
9/1/2027
9/1/2028
9/1/2029
9/1/2030
9/1/2031
9/1/2032
9/1/2033
9/1/2034
9/1/2035
9/1/2036
9/1/2037
9/1/2038
9/1/2039
9/1/2040
9/1/2041
9/1/2042
9/1/2043
9/1/2044
9/1/2045
9/1/2046
9/1/2047
9/1/2048
9/1/2049
9/1/2050
9/1/2051
9/1/2052
9/1/2053
$561,908 $30,000 $481,000 110.58%
110.67%
110.90%
110.19%
110.78%
110.44%
110.32%
110.39%
110.65%
110.12%
110.79%
110.69%
110.82%
110.27%
110.88%
110.82%
110.18%
110.67%
110.58%
110.78%
110.47%
110.48%
110.05%
110.69%
110.18%
110.04%
110.26%
110.15%
110.41%
110.38%
2 3
4 5
6 7
8 9
$573,146
$584,609
$596,301
$608,227
$620,392
$632,799
$645,455
$658,365
$671,532
$684,962
$698,662
$712,635
$726,888
$741,425
$756,254
$771,379
$786,807
$802,543
$818,594
$834,965
$851,665
$868,698
$886,072
$903,793
$921,869
$940,307
$959,113
$978,295
$997,861
$30,600
$31,212
$31,836
$32,473
$33,122
$33,785
$34,461
$35,150
$35,853
$36,570
$37,301
$38,047
$38,808
$39,584
$40,376
$41,184
$42,007
$42,847
$43,704
$44,578
$45,470
$46,379
$47,307
$48,253
$49,218
$50,203
$51,207
$52,231
$53,275
$25,000
$35,000
$50,000
$60,000
$75,000

5.00%

5.00%
$465,250
$464,000
$462,250
$459,750
$456,750
$453,000
$448,500
$443,250
$437,250
$430,250
$422,500
$413,750
$404,000
$393,000
$381,000
$367,750
$353,000
$337,000
$319,500
$300,500
$279,750
$257,250
$232,750
$206,500
$178,000
$147,250
$114,250
$78,750
$490,250
$499,000
$512,250
$519,750
$531,750
$543,000
$553,500
$563,250
$577,250
$585,250
$597,500
$608,750
$624,000
$633,000
$646,000
$662,750
$673,000
$687,000
$699,500
$715,500
$729,750
$747,250
$757,750
$776,500
$793,000
$807,250
$824,250
$838,750
$855,750
$90,000
$105,000
$120,000
$140,000
$155,000
$175,000
$195,000
$220,000
$240,000
$265,000
$295,000
$320,000
$350,000
$380,000
$415,000
$450,000
$490,000
$525,000
$570,000
$615,000
$660,000
$710,000
$760,000
$815,000
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 $40,750
Total $22,795,520 $1,217,042 $9,320,000 $10,213,500 $19,533,500 110.47%

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐3
(Banner Park II)
Tract Nos. 37671
Lot Summary
TR 37671‐1 TR 37671‐2
Acreage Lot
TR 37671‐F
Lot SF
7,925
Acreage

0.18 0.18

0.15 0.15

0.18 0.15

0.14 0.14

0.15 0.17

0.18 0.16

0.14 0.17

0.17 0.14

0.14 0.14

0.16 0.17

0.15 0.15

0.20 0.21

0.16 0.15

0.15 0.15

0.15 0.15
Lot SF Acreage

0.15 0.15

0.15 0.24

0.15 0.17

0.17 0.16

0.20 Lot SF SF Acreage

0.17 Lot SF Acreage

0.16 Lot SF Acreage

0.14 0.16

0.17 0.16

0.17 0.17

0.17 0.14

0.14 0.14

0.14 1
2 3
4 5
6 7
8 9
41 42
43 44
45 46
47 48
49 50
51 6,440
6,405
6,369
6,333
6,391
10,574
6,638
7,398
7,253
6,867
8,617
1 2
3 4
5 6
7 8
9 6,787
6,754
6,721
6,688
6,655
6,622
7,126
9,879
7,988
8,369
14,895
10,138
12,280
6,768
6,243
6,621
5,994
8,326
16,816
8,254
8,303
7,926
8,283
7,985
8,125
7,938
7,129
7,458
7,082
6,738
6,630
6,777
6,199
6,078
6,000
6,000
6,067
6,315
6,147
6,765

0.16 0.16

0.15 0.15

0.16 0.23

0.18 0.19

0.34 0.23

0.28 0.16

0.14 0.15

0.14 0.19

0.39 0.19

0.19 0.18

0.16 0.17

0.16 0.15

0.15 0.16

0.14 0.14

0.14 0.16
41 42
43 44
45 46
47 48
49 50
51 52
53 54
55 56
57 58
59 60
61 62
63 64
65 66
67 68
69 70
71 72
73 74
75 76
77 78
7,520
6,337
6,392
6,875
6,800
7,019
6,050
5,993
6,900
6,375
6,829
7,333
7,211
8,744
11,433
9,116
10,097
6,658
6,212
6,687
6,388
6,388
6,317
6,678
7,852
9,325
8,210
7,248
7,063
7,224
6,325
6,325
6,325
6,325
6,325
6,876
7,285
6,928
1 2
3 4
5 6
7 8
9 6,878
6,658
6,809
7,040
7,282
7,760
8,981
10,340
12,827
7,549
7,879
16,296
14,314
7,807
9,610
8,446
8,038
14,395
9,567
8,164
6,673
6,600
6,914
9,134
15,021
6,688
6,048
6,048
6,347
7,142
7,328
8,882
8,321
13,027
7,724
9,182
8,044
6,000
6,587
6,721
41 42
43 44
45 46
47 48
49 50
51 52
53 6,300
6,909
7,513
7,117
7,320
7,327
7,250
6,149
6,094
6,000
6,000
6,018
6,141
7,925
6,479
6,446
6,523
6,710
7,645
6,664
6,050
6,050
6,050
6,050
6,750
7,389
7,673
7,060
6,169
7,622
7,203
6,042
6,050
6,050
6,050
6,050
7,019
7,317
6,325
6,325
6,325
6,324
8,528
9,336
6,866
6,693
6,654
6,619
6,583
6,547
6,512
6,476

0.15 0.15

0.16 0.16

0.16 0.14

0.14 0.16

0.15 0.16

0.17 0.17

0.20 0.26

0.21 0.23

0.15 0.14

0.15 0.15

0.15 0.18

0.21 0.19

0.17 0.16

0.17 0.15

0.15 0.15

0.16 0.17

0.16 0.15

0.16 0.16

0.17 0.18

0.21 0.24

0.29 0.17

0.18 0.37

0.33 0.18

0.22 0.19

0.18 0.33

0.22 0.19

0.15 0.15

0.16 0.21

0.34 0.15

0.14 0.14

0.15 0.16

0.17 0.20

0.19 0.30

0.18 0.21

0.18 0.14

0.15 0.15
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
29 30
31 32
33 34
35 36
37 38
39 40
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 Totals 271,074 6.22 79,285 1.82 309,869 7.11 271,988 6.24 345,071 7.92 86,138 1.98 Grand Total 1,363,425 31.30

CITY OF MENIFEE DRAFT v2
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name
Banner Park II
Gross Acres

80.58 Tract No. Res/Comm Date
8/24/2023
Annex No.
23 Pulte Home Company 37671-1,-2,F Residential Units Net Acres

31.30Net Acres

31.30 Units
182
182
Prepared by: John Zimmerman
Description
Parkways
Measure
SF
Unit Cost Tax A
138,605
Total Tax B Total
$0.00
Per Unit Grand Total
$40,752.77
$24,611.64
$5,198.14
$2,511.43
$73,073.98
$10,759.42
$4,145.83
$0.00
$0.294
$0.120
$0.018
$30.63
$40,752.77
$24,611.64
$5,198.14
$2,511.43
$73,073.98
$10,759.42
$4,145.83
$0.00
-
Slopes SF 205,097
282,872
82 $0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
Open Space (Non-Irrigated)
Trees
SF -
Qty -
Subtotal $401.51
49 $0.00 $401.51
70 W - LED Qty
Qty
Qty
Qty
$219.58
$318.91
$7,007.50
$0.00
-
250 W - LED
Traffic Signal
Other
13 -
- -
- $0.00 - $0.00
Subtotal $81.90
24,247
116,064
835,690
$324.29
2,844
5,841
21 $14,905.25
$8,911.41
$7,109.43
$42,999.31
$59,020.14
$69.68
$0.00 $81.90
$324.29
$38.27
$14,905.25
$8,911.41
$7,109.43
$42,999.31
$59,020.14
$69.68
Street Sweeping
Sidewalks - (20 year replacement)
Pavement Management
Subtotal
LF
SF
SF
$0.37
$0.061
$0.051
-
-
$0.00
Channel SF
LF
EA
$0.025
$0.174
-
Storm Drains Pipe
Curb Inlet Catch Basin
Subtotal
$1,016.11
$5,880.00
$6,965.80
- $1,016.11
$5,880.00
$6,965.80
$280.00 -
$38.27 $0.00
Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 2.88 $42,327.84 - $0.00 $42,327.84 Subtotal $232.57 $42,327.84 $0.00 $0.00 $232.57
$6.19
$42,327.84
DG SF
LF
$0.10
$0.00
11,487 $1,125.81 - $0.00 $1,125.81
Other
Subtotal
- $0.00
$1,125.81
- $0.00
$0.00
$0.00
$1,125.81$6.19 $0.00
Abatement Unit $3.50 182 $637.68 - $0.00 $637.68
Subtotal $3.50 $637.68 $0.00 $0.00 $3.50 $637.68
Total Direct Costs $1,088.22 $198,056.48 $0.00
Tax B
$0.00 $1,088.22 $198,056.48
Description Tax A Total Total Total
Reserves (10%) - Does Not include Parks, Pavement, or Sidewalk Auditor-Controller Fees ($135/Yr)
Admin (5%) - Minimum $750
$10,561.99
$135.00
$0.00
$0.00
$0.00
$0.00
$10,561.99
$135.00
$9,902.82 $9,902.82
$20,599.82Total Soft Costs $113.19 $20,599.82 $0.00 $113.19

PROPOSED BOUNDARY MAP
SHEET 1 OF 1 SHEET
COMMUNITY FACILITIES DISTRICT NO. 2023-3
(BANNER PARK II)

OF THE CITY OF MENIFEE,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA

I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED
BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2023-3
(BANNER PARK II), OF THE CITY OF MENIFEE, COUNTY OF

RIVERSIDE, STATE OF CALIFORNIA, WAS APPROVED BY THE CITY

COUNCIL OF THE CITY OF MENIFEE AT A REGULAR MEETING
THEREOF, HELD ON ______ DAY OF _______, 20______,
BY RESOLUTION NO. _______________
RECORDED THIS ____ DAY OF _______________, 20____ AT
THE HOUR OF ____ O'CLOCK __M IN BOOK _____
PAGE _____ OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA.

FEE: _____________ NO.: ______________________

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
___________________________________

CITY CLERK

CITY OF MENIFEE
BY: _______________________________
DEPUTY

FILED IN THE OFFICE OF THE CITY CLERK, CITY OF MENIFEE, THIS ____ DAY OF ________, 20____.
______________________________

CITY CLERK

CITY OF MENIFEE
þ
74 þ
74 § ¦215 CFD 2023-3
MENIFEE _
LEGEND

CFD BOUNDARY

PARCEL LINE

CITY BOUNDARY

XXX-XXX-XXX ASSESSOR PARCEL NUMBER
-

THIS BOUNDARY MAP CORRECTLY SHOWS THE BOUNDARIES
OF THE COMMUNITY FACILITIES DISTRICT. FOR DETAILS

CONCERNING THE LINES AND DIMENSIONS OF LOTS OR

PARCEL REFER TO THE COUNTY ASSESSOR'S MAPS FOR
FISCAL YEAR 2023-24.
0 250 500 1,000 Feet
CITY OF MENIFEE DRAFT v2
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name Tract No. Res/Comm Date
Pulte Home Company Banner Park II 37671-1,-2,F Residential 8/24/2023 Units Net Acres Gross Acres Net Acres Units Annex No. 182 31.30
Prepared by: John Zimmerman 80.58 31.30 182 23 Description Measure Unit Cost Tax A Total Tax B Total Per Unit Grand Total Parkways SF $0.294 138,605 $40,752.77 - $0.00 $40,752.77 Slopes SF $0.120 205,097 $24,611.64 $0.00 $24,611.64 Open Space (Non-Irrigated) SF $0.018 282,872 $5,198.14 - $0.00 $5,198.14 Trees Qty $30.63 82 $2,511.43 - $0.00 $2,511.43 Subtotal $401.51 $73,073.98 $0.00 $0.00 $401.51 $73,073.98 70 W - LED Qty $219.58 49 $10,759.42 - $0.00 $10,759.42 250 W - LED Qty $318.91 13 $4,145.83 - $0.00 $4,145.83 Traffic Signal Qty $7,007.50 - $0.00 - $0.00 $0.00 Other Qty $0.00 - $0.00 - $0.00 $0.00 Subtotal $81.90 $14,905.25 $0.00 $0.00 $81.90 $14,905.25 Street Sweeping LF $0.37 24,247 $8,911.41 $0.00 $8,911.41 Sidewalks - (20 year replacement) SF $0.061 116,064 $7,109.43 - $0.00 $7,109.43 Pavement Management SF $0.051 835,690 $42,999.31 - $0.00 $42,999.31 Subtotal $324.29 $59,020.14 $0.00 $0.00 $324.29 $59,020.14 Channel SF $0.025 2,844 $69.68 - $0.00 $69.68 Storm Drains Pipe LF $0.174 5,841 $1,016.11 - $0.00 $1,016.11 Curb Inlet Catch Basin EA $280.00 21 $5,880.00 - $0.00 $5,880.00 Subtotal $38.27 $6,965.80 $0.00 $0.00 $38.27 $6,965.80
Parks
Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 2.88 $42,327.84 - $0.00 $42,327.84 Subtotal $232.57 $42,327.84 $0.00 $0.00 $232.57 $42,327.84 DG SF $0.10 11,487 $1,125.81 - $0.00 $1,125.81 Other LF $0.00 - $0.00 - $0.00 $0.00 Subtotal $6.19 $1,125.81 $0.00 $0.00 $6.19 $1,125.81
Graffiti
Abatement Unit $3.50 182 $637.68 - $0.00 $637.68 Subtotal $3.50 $637.68 $0.00 $0.00 $3.50 $637.68
Total Direct Costs $1,088.22 $198,056.48 $0.00 $0.00 $1,088.22 $198,056.48 Description Tax A Total Tax B Total Total
Reserves (10%) - Does Not include Parks, Pavement, or Sidewalk $10,561.99 $0.00 $10,561.99 Auditor-Controller Fees ($135/Yr) $135.00 $0.00 $135.00 Admin (5%) - Minimum $750 $9,902.82 $0.00 $9,902.82
Total Soft Costs $113.19 $20,599.82 $0.00 $0.00 $113.19 $20,599.82 Grand Total $1,201.41 $218,656.30 $0.00 $0.00 $1,201.41 $218,656.30 Rate/Cost Rate Total Rate Total Rate Total
Per Unit $1,201.41 $218,656.30 $0.00 $0.00 $1,201.41 $218,656.30 Per Acre $6,985.82 $218,656.30 $0.00 $0.00 $6,985.82 $218,656.30 LandLightStreetsDrain
ALL
TrailsSoft Costs
Tax A Tax B

A
B
A
C
D
A
E
PARK
1 LOT 56 O.S.

LOT 54 O.S.

LOT 55 O.S.

LOT 82 O.S.

LOT 79 O.S.

LOT 54 O.S.

LOT 53 O.S.

LOT 52 O.S.

DOMENIGONI PARKWAY

BRIGGS ROAD
LOT 80 O.S.

LOT 81 O.S.

LOT 83 O.S.

LOT 84 O.S.

LOT 83 O.S.

LOT 58 O.S.

LOT 57 O.S.
2 3
4 5
6 1
2 3
4 5
6 7
8 9
10 11
12 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
29 30
31 32
41 42
43 44
45 46
47 48
49 7
8 9
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27 28 29 30 31
323334353637383940414243444546
47 48 49
50 51
1 2
3 4
5 6
7 8
9 10
11 12
17 16
15 14
13 18
19 20212223
24 25
40 41 42
43 44
45 46
47 48
49 50
51 52
53 33
34 35
36 37
38 39
40 50
51 52
53 54 55
56 57
58 59
60 61
62 63
64 65
66 67
68 69
70 32
33 34
35 36
37 26
27 28
29 30
31 71
73 74
75 76
77 78
72 39 38
13 TR. 37671
TR. 37671-1
TR. 37671-2
TR. 37671-2

FLARED END
30" MAX

2.0%%%
R/W \A1;56'

2.0%%%
\A1;PRKWY.
\A1;36'\A1;10'

2.0%%%
\A1;10'
R/W

2.0%%%
\A1;PRKWY.
6'
S/W
NTS
CITY OF MENIFEE STD. NO. 115, MODIFIED
6'
S/W
A
R/W
{\L ENTRY STREET} {\L }
\A1;80'
\A1;8'
\A1;PRKWY.
\A1;52'

2.0%%%
R/W

2.0%%%
\A1;8'
\A1;PRKWY.

NTS
\A1;20'
\A1;TRAVEL LANE
\A1;26'
\A1;TRAVEL LANE
CITY OF MENIFEE STD. NO. 113 (MODIFIED)
\A1;6'
\A1;S/W

2.0%%%2.0%%%
\A1;6'
\A1;S/W
B
\A1;6'
L.S.

MEDIAN
\A1;TRAIL

LANDSCAPINGR/W
3'
R/W
FL

PER PLAN
1 22
1 \A1;118'\A1;21'
\A1;21'\A1;VARIES

2.0%%%
6'
S/W
\A1;VARIES

LANDSCAPING
\A1;8'
\A1;BIKE LANE\A1;12' \A1;12' \A1;12'
\A1;8'
\A1;BIKE LANE
6'
S/W
\A1;VARIES

2.0%%% 2.0%%%
PROP. PAD
\A1;10'
{\L BRIGGS ROAD}
NTS
CITY OF MENIFEE STD. NO. 110 - MAJOR ROADWAY, 4 LANES
PROPOSED INTERIM IMPROVEMENTS PER TTM 37671

DOMENIGONI PARKWAY TO SOUTH TRACT BOUNDARY
\A1;12'
\A1;38'
\A1;38'

FUTURE IMPROVEMENTS BY OTHERS
C
\A1;12'

STRIPED
MEDIAN

2.0%%%
\A1;VARIES

MEANDERING

MEANDERING
\A1;12'
\A1;134' (EXISTING IMPROVEMENTS)
\A1;21'
\A1;55'
\A1;9'
\A1;12'
\A1;48'

2.0%%%

2.0%%%
\A1;12'
\A1;48' \A1;VARIES

2.0%%%

2.0%%%
{\L DOMENIGONI PARKWAY}
NTS
CITY OF MENIFEE STD. NO. 96 - URBAN ARTERIAL, 6 LANES

2.0%%%
\A1;55'
D

2.0%%%
\A1;12'
\A1;12'
10'

BIKE LANE
6'
S/W
*
*

NO PARKWAY IMPROVEMENTS ARE PROPOSED EAST OF BRIGGS ROAD \A1;12'\A1;12'
10'
BIKE LANE\A1;VARIES
\A1;VARIES6'
\A1;152'
R/W
R/W \A1;IMPROVEMENTS PER TR. 37671\A1; IMPROVEMENTS
\A1;PER TR. 32102

MEANDERING
2:1 SLOPE
PROP. PAD
2:1 SLOPEPROP. PAD

MEANDERING
\A1;VARIES
2:1 SLOPE
PROP. PAD
2:1 SLOPE
PROP. PAD
\A1;21'
\A1;PROPOSED LANDSCAPING

LANDSCAPED MEDIAN
\A1;25'
2%%%2%%%
R/W
\A1;25'
\A1;15'
\A1;15'
\A1;9'
\A1;40'
\A1;40'
\A1;80'
R/W

2%2%
\A1;6'\A1;SW
\A1;9'
\A1;6'
\A1;SW
\A1;10'
\A1;LS
\A1;20' \A1;20'
{\L ENTRY STREET}
NTS
CITY OF MENIFEE STD. NO. 112, MODIFIED
E
Drawing: R:\\395713\\Exhibit\\Maintenance-TR37671\\713 - EXH - TR37671 HOA_CFD Maintenance Facilities.dwg Layout: 36x50 L Saved: 8/22/2023 8:54 AM Plotted: 8/22/2023 8:54 AM By: Josiah Garnica Engineering, Inc.
357 N. SHERIDAN STREET

ENGINEERINGSURVEYING
SUITE 117
CORONA, CALIFORNIA 92880
TEL. (951) 279-1800
FAX (951) 279-4380
0 SCALE: 1"=80'
80 160 240 320
%%UBANNER PARK
%%UBANNER PARK TTM NO. 37671

MAINTENANCE RESPONSIBILITY EXHIBIT
%%UCITY OF MENIFEE

CITY CFD MAINTAINED STREETS
{\LLEGEND}

CITY CFD MAINTAINED SIDEWALKS

CITY CFD MAINTAINED PARKWAY

CITY CFD MAINTAINED STORM DRAIN
CITY CFD MAINTAINED TRAILS

CITY CFD MAINTAINED PARK SITE

HOA MAINTAINED OPEN SPACE

CITY CFD MAINTAINED STREET LIGHTS

HOA MAINTAINED

QUANTITY UNIT
OPEN SPACE 112,577 SF
PARK SITE 95,919 SF
HOMEOWNER MAINTAINED LANDSCAPING112,483 SF
PARKWAY 18,830 SF

CITY CFD MAINTANED STREET (DOMENIGONI)

CFD MAINTENANCE QUANTITIES

CITY CFD MAINTAINED

QUANTITY UNIT
STREETS 421,154 SF
STREETS 9,548 LF
STREETS (DOMENIGONI) 173,157 SF
STREETS (DOMENIGONI) 3,150 LF
STREETS (BRIGGS) 241,379 SF
STREETS (BRIGGS) 2,001 LF
SIDEWALKS 116,064 SF
PARKWAY 138,605 SF
TRAILS 11,487 SF
PARK SITE 116,131 SF
SLOPE 205,097 SF
OPEN SPACE 282,872 SF
STORM DRAIN 5,841 LF
V-DITCH (LOT 83 O.S.) 2,844 LF
STREET LIGHTS 50 W 49 EA
STREET LIGHTS 200 W 13 EA
CATCH BASINS 21 EA
STREET TREES 82 EA

HOMEOWNER MAINTAINED SLOPE LANDSCAPING

HOA MAINTAINED PARKWAY

CITY CFD MAINTAINED OPEN SPACE

CITY CFD MAINTAINED SLOPE

EXHIBIT A
Proposed City of Menifee CFD No. 2023-X
Pulte Homes - Banner Park II (TR No. 37671)
Effective Tax Rate Analysis and Bond Sizing
August 25, 2023
Assumptions Estimated Sources & Uses of Funds Allocation of Improvement Fund Weighted Average Coupon 5.00% Sources Description Per Unit Total Priority Administrative Expense 30,000 Par Bond Amount 9,345,000$ City Fees 4,960$ 902,716$ Cost of Issuance 225,000$ City Fee Premium (20%) 992 180,543 Capitalized Interest Period (Months) - Uses Briggs Rd & Signal 12,006 2,185,053 Special Tax Revenue Escalation 2.00% Reserve Fund 836,230$ Park Improvements 5,495 1,000,000 Bond Amortization Term 30 Capitalized Interest - EMWD Fees 17,824 3,243,968 Underwriter Discount 2.00% Underwriter Discount 186,900 MUSD Fees 3,212 584,590 Total Special Tax Revenues 550,855$ Cost of Issuance 225,000 Dry Utilities - - Improvement Fund 8,096,870 Contingency - - Total Uses 9,345,000$ Total CFD Funding 44,488$ 8,096,870$ Dev. Benefit (Excl City Fee Prem) 43,496$ 7,916,327$ Land Use Information & Total Property Tax Rates Special Assessment Revenues Ad Other Proposed Annual Annual
Home Sq. Ft. Base Valorem Fixed CFD Special Total Tax Total Tax Special Special Tax Plan Size Category Pricing (a) Taxes (b) Charges (c) Tax (d) Per Unit Rate % Tax Unit Mix Collections S1/1 2,391 2,201 - 2,400 573,990$ 6,799$ 1,538$ 2,802$ 11,139$ 1.94% 2,802$ 18 50,437$ S1/2 2,654 2,601 - 2,800 588,990 6,977 1,538 2,970 11,485 1.95% 2,970 18 53,468 S1/3 2,824 2,801 - 3,000 603,990 7,154 1,538 3,085 11,778 1.95% 3,085 20 61,705 S2/1 2,191 ≤ 2,200 553,990 6,562 1,538 2,703 10,803 1.95% 2,703 20 54,050 S2/2 2,311 2,201 - 2,400 566,990 6,716 1,538 2,802 11,056 1.95% 2,802 20 56,041 S2/3 2,462 2,401 - 2,600 585,990 6,941 1,538 2,947 11,427 1.95% 2,947 22 64,844 S3/1 2,845 2,801 - 3,000 605,990 7,178 1,538 3,085 11,801 1.95% 3,085 18 55,535 S3/2 3,047 3,001 - 3,200 634,990 7,521 1,538 3,323 12,382 1.95% 3,323 23 76,419 S3/3 3,237 ≥ 3,201 645,990 7,652 1,538 3,407 12,597 1.95% 3,407 23 78,356 Total 2,677 597,226$ 7,074$ 1,538$ 3,027$ 11,639$ 1.95% 3,027$ 182 550,855$ Footnotes:
(a) Product and pricing provided by developer.
(b) Ad Valorem taxes total 1.18450% of the assessed value for FY 22-23 (Assumes Annexation to EMWD ID U-35 & U-36). (c) Estimated other fixed charges and assessments for FY 22-23: Amount VW - TBD (e) Flood Control Stormwater/Cleanwater …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..3.80$ 3.80$ MWD Standby East …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..6.94 6.94 EMWD Standby - Combined Charge …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..11.00 11.00 Valleywide Regional Facility LMD 88-1 …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..5.54 5.54 Valleywide LMD Menifee 88-1 (Based on 2022-23 rate being charged to all units in the SP, maximum rate is $311 per unit) …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..311.00 330.00 City of Menifee CFD 2017-1 (Annexation) Estimate for Street Lights, Street Sweeping, Landscaping & Drainage, Park Maintenance, etc …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..1,200.00 Total Fixed Charges 1,538.28$ 357.28$
(d) Represents the special tax for the proposed CFD special tax for fiscal year 2022-23 (escalating 2% annually) 2.00% (e) Represents the fixed charges and total tax rate percentage if Valley-Wide were to levy the charge for the Menifee North Park LMD.

EXHIBIT B
Proposed City of Menifee CFD No. 2023-X
Pulte Homes - Banner Park II (TR No. 37671)
Preliminary List of CFD Eligible Facilities
August 25, 2023
Total Units 182
Per Unit Total
City of Menifee Fees (a)
Law Enforcement 925$ 168,350$
Fire Facilities 647 117,754
Circulation 7,097 1,291,654
Circulation (Briggs Rd Credit - Full Width, Domenigoni to Angler) (6,702) (1,219,768) Storm Drainage (Area B-C) No Fee - - General Government 1,176 214,032
Parks - Land Acquisition 1,723 313,586
Library Facilities 94 17,108
Subtotal City DIF fees (b) 4,960$ 902,716$
City Fee Premium 992 180,543
Total City Fees 5,952$ 1,083,259$
City Improvements (b)
Park Site (Banner Park I) 8,242$ 1,500,000$
Traffic Signal (Briggs & Newport) 1,879 341,970 Briggs Road 10,127 1,843,083
Storm Drain 6,745 1,227,545
Design, Planning, & Engineering 1,350 245,630 Total City Improvements 28,342$ 5,158,228$
EMWD Fees & Facilities (c)
Water Financial Participation Charge 7,235$ 1,316,770$ Sewer Financial Participation Charge 3,391 617,162 Sewer Treatment Plant Capacity Charge 6,428 1,169,896 Meter Fee 377 68,614
Water Development Fee 393 71,526
Total EMWD Fees 17,824$ 3,243,968$
Menifee School District Fees (d) 3,500$ 637,000$ Dry Utilities (5%) 2,567$ 467,250$
Total Eligible Facilities 55,618$ 10,122,455$
Footnotes
(a) Represents the City of Menifee DIF Fees dated August 15, 2022. (b) Estimated costs based on budget provided by Mickey C. 10.8.20. (d) Per the Memorandum of Agreement dated August 18, 2005, Menifee School District agreed to fund the mitigation fee through a CFD. (c) Represents EMWD's connection and capacity fees estimated to be effective 1/1/2023.

EXHIBIT C
Proposed City of Menifee CFD No. 2023-X
Pulte Homes - Banner Park II (TR No. 37671)
Net Taxable Acreage
August 25, 2023
Lot# Sq. Ft. Lot# Sq. Ft. Lot# Sq. Ft. Lot# Sq. Ft. Lot# Sq. Ft. Lot# Sq. Ft. Lot# Sq. Ft. 1 7925 27 6325 1 6787 27 7129 53 7211 1 6878 28 6048
2 7925 28 6325 2 6754 28 7458 54 8744 2 6658 29 6347
3 6479 29 6325 3 6721 29 7082 55 11433 3 6809 30 7142
4 6446 30 6324 4 6688 30 6738 56 9116 4 7040 31 7328
5 6523 31 8528 5 6655 31 6630 57 10097 5 7282 32 8882
6 6710 32 9336 6 6622 32 6777 58 6658 6 7760 33 8321
7 7645 33 6866 7 7126 33 6199 59 6212 7 8981 34 13027
8 6664 34 6693 8 9879 34 6078 60 6687 8 10340 35 7724
9 6050 35 6654 9 7988 35 6000 61 6388 9 12827 36 9182
10 6050 36 6619 10 8369 36 6000 62 6388 10 7549 37 8044 11 6050 37 6583 11 14895 37 6067 63 6317 11 7879 38 6000 12 6050 38 6547 12 10138 38 6315 64 6678 12 16296 39 6587 13 6750 39 6512 13 12280 39 6147 65 7852 13 14314 40 6721 14 7389 40 6476 14 6768 40 6765 66 9325 14 7807 41 6300 15 7673 41 6440 15 6243 41 7520 67 8210 15 9610 42 6909 16 7060 42 6405 16 6621 42 6337 68 7248 16 8446 43 7513 17 6169 43 6369 17 5994 43 6392 69 7063 17 8038 44 7117 18 7622 44 6333 18 8326 44 6875 70 7224 18 14395 45 7320 19 7203 45 6391 19 16816 45 6800 71 6325 19 9567 46 7327 20 6042 46 10574 20 8254 46 7019 72 6325 20 8164 47 7250 21 6050 47 6638 21 8303 47 6050 73 6325 21 6673 48 6149 22 6050 48 7398 22 7926 48 5993 74 6325 22 6600 49 6094 23 6050 49 7253 23 8283 49 6900 75 6325 23 6914 50 6000 24 6050 50 6867 24 7985 50 6375 76 6876 24 9134 51 6000 25 7019 51 8617 25 8125 51 6829 77 7285 25 15021 52 6018 26 7317 26 7938 52 7333 78 6928 26 6688 53 6141
27 6048
Total Square Footage 1,363,425
Total Acres 31.30
Total Units 182
Average Lot Size 7,491
Notes:
(a.) Square footage based on draft final tract map No. 37671 Tract No. 37671-1 Tract No. 37671-2 Tract No. 37671-F

EXHIBIT D
Proposed City of Menifee CFD No. 2023-X
Pulte Homes - Banner Park II (TR No. 37671)
Summary of Acreage & Undeveloped Property Tax Rate
August 25, 2023
Total Units (1) 182
I. Derivation of Exempt Acreage
Net Taxable Acreage (See Exhibit C) (2) 31.30
Contingency (3) 10%
Contingency Acreage (4) 3.13
Adjusted Minimum Taxable Acreage [ (2) - (4) ] (5) 28.17 II. Maximum Special Tax for Undeveloped Property
Project CFD Special Tax Revenues (See Exhibit B) (6) 550,855$ Undeveloped Property Rate Per Acre [ (6) / (5) ] (7) 19,555$

Exhibit E
Pulte Home Company, LLC – Banner Park II
Tract No. 37671 (Formerly, TR No. 32101)

CITY OF MENIFEE
SUBJECT: Proposed Change to Community Facilities District No. 2023- 2 Improvement Area 2, Cimarron Ridge by Pulte Homes
MEETING DATE: September 26, 2023
TO: Finance Committee
PREPARED BY: Lauri Lockwood, Financial Analyst
REVIEWED BY: Margarita Cornejo, Acting Chief Financial Officer APPROVED BY: Rochelle Clayton, Assistant City Manager
-------------------------------------------------------------------------------------------------------------------------------

RECOMMENDED ACTION

1. Review the changes proposed for Community Facilities District No. 2023-2 Improvement Area 2, Cimarron Ridge by Pulte Homes to amend the financing plan for certain public improvements within the proposed 756-unit residential development and recommend submittal to the City Council for consideration.

DISCUSSION
Pulte Homes owns a residential development approved for 756 lots located south of McLaughlin Road, west of Byers Road and north of Sotelo Road. In April 2023 the City Council approved Resolution 23-1310 establishing CFD 2023-2, Cimarron Ridge; and in May 2023 the City Council approved Ordinance 2023-372 authorizing the levy of special taxes within CFD 2023-2. Since then, the developer has reworked portions of the project, which now includes a gated section and an age-qualified section.

The reworked development plans resulted in two administrative changes that require modification of the approved tax rates for CFD 2023-2 Improvement Area 2 (IA2):

1.) Pulte Homes requested to remove the development from maintenance CFD 2015-2 and annex it into maintenance CFD 2017-1, which the City Council approved on Sept. 6. The maintenance tax rates were adjusted to account for three separate tax zones that appropriate service costs in line with the modified development plan, which includes the age-qualified section, and

2.) The development was removed from Romoland School District CFD 2018-1, which is consistent with the Finance Committee’s request to remove additional CFDs, if possible.

The city is now being asked to participate in a JCFA with Romoland School District and Perris Union High School District to cover facilities costs through CFD 2023-2 IA2.

This item is to review the proposed changes to the financing plan for CFD No. 2023-2, IA2, Cimarron Ridge.

City of Menifee Staff Report
Proposed Change to CFD No. 2023-2 Improvement Area 2, Cimarron Ridge December 25, 2023

Page 2 of 2 ends

1 8
1 0

ATTACHMENTS

1. CFD 2023-2 Proforma Summary

2. CFD 2023-2 Project Map

3. CFD 2023-2 IA2 Change Proceeding Proforma

4. CFD 2023-2 IA2 Proforma Original

5. CFD 2023-2 Boundary Map

6. CFD 2017-1 Annexation 22 Cost Worksheet

7. CFD 2017-1 Annexation 22 Maintenance Exhibit

8. Cimarron CFD Application
CFD 2023‐2 (Cimarron Ridge) IA 2 Change Proceeding
Proforma Summary Sheet
Applicant: Pulte Home Company, LLC
Project Description
Improvement Area 2
Tax Zones 3 Separate Tax Zones
Acreage Gross: 98.36; Net: 55.19
Development Description Detached Single Family Residential Number of Units (50 min) 332 Units
Estimated Home Size Range 1,579 SF to 3,337 SF
Average Home Size 2,104 SF
Original
Average Estimated Home Price $546,123
Total Effective Tax Rate (2.00% Max) 2.00%
CFD Tax Rate Range $1,222 to $1,899
Escalation (2.00% Max) Yes, 2.00%
Maintenance CFD Yes, CFD 2015‐2 Tax Zone 26
Maintenance CFD Rate $984/Unit
Age Qualified in Zone 2 247 Units
Proposed
Average Estimated Home Price $547,750
Total Effective Tax Rate (2.00% Max) 2.00%
CFD Tax Rate Range $1,599 to $2,841
Escalation (2.00% Max) Yes, 2.00%
Maintenance CFD Yes, CFD 2017‐1 Tax Zone 22
Maintenance CFD Rate $1,086/Unit Zones 1 and 3, $879/Unit Zone 2 Age Qualified in Zone 2 247 Units
Bond Sizing Assumptions
Improvement Area 2
Average Coupon 5.25%
Priority Administration $30,000
Cost of Issuance $250,000
Capitalized Interest Period 6‐months
Special Tax Escalation 2%
Bond Term 30 Years
Underwriter Discount 2.00%
Total Special Tax Revenues $650,984

Estimated Sources and Uses
Original
Sources
Par Bond Amount $9,625,000
Uses
Reserve Fund $838,970
Capitalized Interest $252,656
Underwriter Discount $192,500
Cost of Issuance $250,000
Improvement Fund $8,090,874
Proposed
Sources
Par Bond Amount $10,975,000
Uses
Reserve Fund $956,395
Capitalized Interest $288,094
Underwriter Discount $219,500
Cost of Issuance $250,000
Improvement Fund $9,261,012
Allocation of Improvement Fund
Description % of Total Total
City Fees 41% $2,561,232
City Facilities 29% $3,035,648
City Additional Facilities (20%) 8% $512,246
Eastern Municipal Water District Fees 5% $682,214
Eastern Municipal Water District Facilities 17% $2,469,672 Proposed Schedule
Finance Committee September 26, 2023
Resolution of Intention December 6, 2023
Public Hearing January 17, 2024
2nd Reading Ordinance February 7, 2024

CHAMBERS AVE

ETHANAC RD

MCCALL BLVD

MURRIETA
RD
VALLEY
BLVD
GEARY
ST
BYERS
RD

MCLAUGHLIN RD

ROUSE RD

COYOTECIR
EVANS
RD

CHAM BERS AVE

ROUSE RD

WATSON RD

MCCALL BLVD

SHERMAN RD

PALOMA WAY

PACKARD ST

MATTHEWS
RD

EVANS RD

RIDGEMOOR RD

BALDY PEAK DR BRADLEY

RDCONEJO
D R
§¨¦215
·|}þ74
CFD NO. 2023-2
(CIMARRON RIDGE)

PROJECT MAP
^_

CITY OF MENIFEE CHANGE PROCEEDING DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Assigned Special Tax for Facilities Rates
For Developed Property
Fiscal Year 2023-24
Home Price Analysis
Est. Orig. Est.

Home Price Home Price Home Price Price% Diff
Tax
Zone
Orig. Building Square Original
Rate
Proposed
Rate
Total
Tax Rate
% of Est. Home
Description
Single Family Residential Property
Single Family Residential Property
Non-Residential Property
Footage
Less than 2,300 sf
Greater than 2300 sf
N/A
New Categories
Less than 2,300 sf
Difference % Diff
1 1
1 2
2 2
2 2
2 3
3 3
3 3
3 3
$1,617 $2,102
$2,263
$11,669
$1,599
$1,681
$1,842
$1,909
$1,966
$12,213
$2,375
$2,561
$2,625
$2,688
$2,765
$2,841
$13,002

1.95% $485
$343
$2,008
$56
30%
18%
21%
4%
$519,990
$584,990
$517,990
$542,990

0.41%

0.42%
-0.38%
-7.18%Greater than 2300 sf
N/A
$1,920
$9,661
$1,543
$1,625
$1,749
$1,816
$1,873
$11,722
$1,681
$1,753
$1,790
$1,826
$1,848
$1,869
$8,853

1.95%
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Non-Residential Property
Less than 1700 sf
1700 to 1900 sf
1901 to 2100 sf
2101 to 2300 sf
Greater than 2300 sf
N/A
Less than 1700 sf
1700 to 1900 sf
1901 to 2100 sf
2101 to 2300 sf
Greater than 2300 sf

1.85%

1.85%
$504,000
$515,000
$535,000
$544,000
$555,000
$509,000
$520,000
$545,000
$554,000
$565,000

0.31%

0.32%

0.34%

0.35%

0.99%

0.97%

1.87%

1.84%

1.80%
$56 3%
$93 5%
$93 5%
$93 5%
$491
$694
$808
$835
$862
$917
$972
$4,149
4%
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Single Family Residential Property
Non-Residential Property
Less than 2500 sf
2500 to 2700 sf
2701 to 2900 sf
2901 to 3100 sf
3101 to 3300 sf
Greater than 3300 sf
N/A
Less than 2500 sf
2500 to 2700 sf
2701 to 2900 sf
2901 to 3100 sf
3101 to 3300 sf
Greater than 3300 sf

1.95%

1.95%
41%
46%
47%
47%
50%
52%
47%
$565,000
$590,000
$599,000
$608,000
$618,500
$629,000
$571,000
$596,000
$605,000
$614,000
$624,500
$635,000

0.42%

0.43%

0.44%

0.45%

1.06%

1.02%

1.00%

0.99%

0.97%

0.95%
Term of Tax for Facilities
Original
Final Year
2069-2070
2069-2070
Term
46 Years
46 YearsProposed
Maintenance Services
Tax
Zone Description
Maintenance Services
Maintenance Services
Maintenance Services
CFD 2015-2 Zone 26 CFD 2017-1 Zone 22
$1,0861
2 3
$984
$984
$984
$879
$1,086

CITY OF MENIFEE CHANGE PROCEEDING DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Tract Nos. 36658-4 thru 36658-7
Calculation of Bond Sizing and Total Tax Rates
I. Home Prices and Combined Tax Rates:

Tax Zone
Class
1 2 3
1 3 4 5 6 7 8 9 10 11 12 13 14
Plan 5000 5000 5000 (AQ) 5000 (AQ) 5000 (AQ) 5000 (AQ) 5000 (AQ) 6500 6500 6500 6500 6500 6500 CFD TOTAL Range of Home Sizes in Square Feet per RMA Under
2,300
Over
2,300
Under
1,700
1,700 to
1,900
1,901 to
2,100
2,101 to
2,300
Over
2,300
Under
2,500
2,500 to
2,700
2,701 to
2,900
2,901 to
3,100
3,101 to
3,300
Over
3,300
Estimated Home Size
Estimated Home Price
1,959 2,404 1,579 1,731 2,056 2,172 2,313 2,304 2,641 2,844 3,047 3,192 3,337 2,104 $517,990 $542,990 $509,000 $520,000 $545,000 $554,000 $565,000 $571,000 $596,000 $605,000 $614,000 $624,500 $635,000 $547,750 Ad-Valorem Tax Rate (1.00%)
Metro Water West (0.00350%)
Perris Union HS (0.08859%)
$5,179.90
$18.13
$458.89
$68.37
$5,429.90 $5,090.00 $5,200.00 $5,450.00
$19.08
$482.82
$71.94
$5,540.00
$19.39
$490.79
$73.13
$5,650.00
$19.78
$500.53
$74.58
$5,710.00
$19.99
$505.85
$75.37
$5,960.00
$20.86
$528.00
$78.67
$6,050.00
$21.18
$535.97
$79.86
$6,140.00
$21.49
$543.94
$81.05
$6,245.00
$21.86
$553.24
$82.43
$6,350.00
$22.23
$562.55
$83.82
$5,477.50
$19.17
$485.25
$72.30
$19.00
$481.03
$71.67
$17.82
$450.92
$67.19
$18.20
$460.67
$68.64Mt. San Jacinto Jr. College (0.01320%)
Subtotal GO Bond Debt $5,725.29 $6,001.61 $5,625.93 $5,747.51 $6,023.83 $6,123.31 $6,244.89 $6,311.21 $6,587.53 $6,687.00 $6,786.48 $6,902.54 $7,018.59 $6,054.22 Flood Control Stormwater / Cleanwater / Santa Ana
EMWD Standby
MWD Standby charge
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
Vallewide Regional Facility LMD 88-1
Eastern Municipal Water District CFD 2018-81
Romoland School District CFD 2018-1
City of Menifee CFD No. 2017-1 - Maint Services
Proposed CFD No. 2023-2 - Facilities Special Tax**
$5.54
$1,150.00
$0.00
$1,086.00
$2,102.00
$5.54 $5.54 $5.54 $5.54
$1,300.00
$0.00
$879.00
$1,842.00
$4,058.26
$5.54
$1,300.00
$0.00
$879.00
$1,909.00
$4,125.26
$5.54
$1,325.00
$0.00
$879.00
$1,966.00
$4,207.26
$5.54
$1,325.00
$0.00
$1,086.00
$2,375.00
$4,823.26
$5.54
$1,350.00
$0.00
$1,086.00
$2,561.00
$5,034.26
$5.54
$1,350.00
$0.00
$1,086.00
$2,624.50
$5,097.76
$5.54
$1,375.00
$0.00
$1,086.00
$2,688.00
$5,186.26
$5.54
$1,375.00
$0.00
$1,086.00
$2,765.00
$5,263.26
$5.54
$1,400.00
$0.00
$1,086.00
$2,841.00
$5,364.26
$5.54
$1,301.36
$0.00
$932.00
$1,960.80
$4,231.41
$1,200.00 $1,275.00 $1,275.00
$0.00
$1,086.00
$2,263.00 $1,599.00 $1,681.00
$4,586.26 $3,790.26 $3,872.26
$0.00
$879.00
$0.00
$879.00
Subtotal Special Assessments and Taxes $4,375.26
Total Annual Property Taxes $10,100.55 $10,587.87 $9,416.19 $9,619.77 $10,082.09 $10,248.57 $10,452.15 $11,134.47 $11,621.79 $11,784.76 $11,972.74 $12,165.80 $12,382.85 $10,285.63 Annual Prop. Tax Rates as % of Home Price
Unit Mix

1.95%
3 1.95%
8 1.85%
50 1.85%
101

1.85%
32 1.85%
32 1.85%
32 1.95%
18 1.95%
18 1.95%
-

1.95%
19 1.95%
-

1.95%
19 1.88%
332
(1)Total CFD - Annual Tax Collections (2% Escalator)
(2)Administration
$6,306 $18,104 $79,950 $169,781 $58,944 $61,088 $62,912 $42,750 $46,098 $0 $51,072 $0 $53,979 $650,984 $30,000
Total Annual Special Taxes for Bonding
((1)Total Special Taxes - (2)Admin. / 110% Coverage)
II. Total Estimated Home Square Footage:

III. CFD Bond Sizing & Construction Proceeds:
$5,469
5,877
$15,700
19,232
$69,332
78,950
$147,233
174,831
$51,116
65,792
$52,975
69,504
$54,557
74,016
$37,073
41,472
$39,976
47,538
$0
-
$44,289
57,893
$0
-
$46,810
63,403
$564,531
698,508
Bond Amount (5.25% Interest, 30 Year Term, 29 Year Amortization) $10,975,000 Underwriter Discount (2.00%)
Reserve Fund (Maximum Annual Debt Service)
Capitalized Interest (6 mos.)
$219,500
$956,395
$288,094
$250,000Incidental Costs (Estimate)
Total Discount, Reserve Fund, Capitalized Interest and Incidental Costs Net Bond Proceeds
$1,713,988
$9,261,012

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Tract Nos. 36658-4 thru 36658-7
Summary of Acreage, Undeveloped Property
And Backup Special Tax Rates
Tax Zone 1
11 Lots
Tax Zone 2
247 Lots
Tax Zone 3
74 Lots
I. Calculation of Net Taxable Acres:

Gross Acreage 16.47 59.23 22.66

6.96Less: Exempt Acres 14.27

2.20 21.94

37.29Net Taxable Acres 15.70
II. Calculation of Undeveloped Property Tax Rate:

Total Developed Property Revenues
Net Taxable Acres
$24,410

2.20 $432,675

37.29 $193,899

15.70 Less: Contingency Factor (5%) 0.11 1.86 0.78
Net Taxable Acres (Adjusted) 2.09 35.43 14.91
Undeveloped Property Tax Rate per Acre $11,669 $12,213 $13,002 Total Exempt Acreage 14.38 23.80 7.75
III. Calculation of Backup Special Tax Rate:

Backup Special Tax Rate per Unit
Total Taxable Acres (Adjusted)
Undeveloped Property Tax Rate per Acre
Total Units
Tax Zone 1 Tax Zone 2 Tax Zone 3

15.702.20
$11,669
11 37.29
$12,213
247
$13,002
74 Backup Special Tax per Unit $2,336 $1,844 $2,758

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Tract Nos. 36658-4 thru 36658-7
Calculation of Bond Sizing and Total Tax Rates
Debt Service
Tax Rate
No. of
Units
Total Annual
Collectable TaxRange of Home Sizes Tax Zone Max Tax Rates Less than
Greater than to
Ave Backup Tax Rate per Unit
2,300
2,300
1 1
1 1
2 2
2 2
2 2
2 3
3 3
3 3
3 3
3 $2,102.00
$2,263.00
$2,335.94
$11,669.00
$1,599.00
$1,681.00
$1,842.00
$1,909.00
$1,966.00
$1,843.98
$12,213.00
$2,375.00
$2,561.00
$2,624.50
$2,688.00
$2,765.00
$2,841.00
$2,758.07
$13,002.00
3 8
11 $6,306
$18,104
$7,008
$18,688
Non-residential Property
Less than
1,701
1,901
to
to
to
to
1,700
1,900
2,100
2,300
2,300
50 101
32 32
32 $79,950
$169,781
$58,944
$61,088
$62,912
$92,199
$186,242
$59,007
$61,088
$62,912
2,101
Greater than to
Ave Backup Tax Rate per Unit
Non-residential Property
247
Less than
2,501
2,701
2,901
3,101
to
to
to
to
to
2,500
2,700
2,900
3,100
3,300
3,300
18 18
0 19
0 $42,750
$46,098
$0
$51,072
$0
$49,645
$49,645
$0
$52,403
$0
Greater than
Ave Backup Tax Rate per Unit
Non-residential Property
19 74
$53,979 $53,979
332 $650,984 $692,816
Tax Rate for Bonding
Sizing at Max tax rate
Future Facilities (rounded up)
$607,106
$14,400,000
$12,500,000

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Tract Nos. 36658-4 thru 36658-7
Use of Bond Proceeds
756 Lots
Total
424 Lots
IA 1
332 Lots
IA 2FUNDING REQUIREMENTS
City Fees
Per Lot
Law Enforcement
Fire Facility
$1,390
$647
$1,050,840 $589,360 $461,480
$214,804
$2,353,880
($859,364)
$390,432
$489,132
$5,360,040
($1,956,866)
$889,056
$1,302,588
($1,302,588)
$5,832,202
$1,166,440
$6,998,642
$274,328
$3,006,160
($1,097,502)
$498,624
Circulation $7,090
($2,588)
$1,176
$1,723
($1,723)
$7,715
$1,543
$9,257
Circulation Fee Credits
General Government
Park Improvements
Park Improvement Fee Credit
Subtotal DIF
$730,552 $572,036
($730,552)
$3,270,970
$654,194
($572,036)
$2,561,232
$512,246City Projects
Total City Fees $3,925,165 $3,073,478
City Facilities
City Traffic Signals
McLaughlin Street
$1,710
$1,506
$3,220
$482
$1,292,870
$1,138,721
$2,434,493
$364,739
$542,568
$477,877
$1,021,663
$153,067
$750,302
$660,844
$1,412,830
$211,672
Park Improvements
Design, Planning, & Engineering
Total City Facilities $6,919 $5,230,823 $2,195,175 $3,035,648 Total City Fees and Facilities $16,177 $12,229,465 $6,120,340 $6,109,125 EWMD Fees
Water Financial Participation
Sewer Financial Participation
Sewer Treatment Plant Capacity Charge
Water Supply Development Fee
Meter Fee
$6,845
$3,208
$6,081
$377
$5,174,820
$2,425,248
$4,597,236
$285,012
$2,902,280
$1,360,192
$2,578,344
$159,848
$2,272,540
$1,065,056
$2,018,892
$125,164
$372 $281,232 $157,728 $123,504
Irrigation Meter Fees 1.5" (Qty: 6 Meters)
Less: Estimated EMWD CFD Funding
Total EMWD Fees
$247
($15,075)
$2,055
$186,420
($11,396,492)
$1,553,476
$104,553
($6,391,683)
$871,262
$81,867
($5,004,809)
$682,214
EMWD Facilities
Water Tank Improvements
Design, Planning, & Engineering (15%)
Total EMWD Facilities
$4,244
$637
$4,881
$3,208,704
$481,306
$3,690,010
$1,136,169
$178,529
$1,368,722
$2,072,535
$397,138
$2,469,672
Total EMWD Fees and Facilities
Total Cost
$6,936 $5,243,486
$17,472,951
$14,721,668
Total
$2,239,984
$8,360,324
$5,460,657
IA 1
$3,151,887
$9,261,012
$9,261,012
IA 2
$18,231
Potential Project Funds Available
ALLOCATION OF PROCEEDS % Per Lot
City Projects
City Fees 41%
City Facilities 29%
8% $1,543
$7,715
$5,410
$902
$1,166,440
$5,832,202
$4,089,996
$682,214
$654,194
$3,270,970
$1,535,492
$0
$512,246
$2,561,232
$3,035,648
$682,214EMWD Fees 5%
EMWD Facilities 17%
Total Funded by Bond Proceeds 100%
$3,267
$15,570
$2,469,672
$14,240,525
$0 $2,469,672
$9,261,012$5,460,657

UNFUNDED REQUIREMENTS
Total to be Funded by Developer $3,232,426 $2,899,667 $0

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023-2 IA 2
(Cimarron Ridge)
Tract Nos. 36658-4 thru 36658-7
Revenue Coverage - Assigned Tax Rate
Debt
Period
Ending
Gross
Revenues
Priority
Admin
Capitalized
Interest
Net Debt
Service
Service
CoverageYear Principal Coupon

5.25%
Interest
$288,0941 9/1/2024
9/1/2025
9/1/2026
9/1/2027
9/1/2028
9/1/2029
9/1/2030
9/1/2031
9/1/2032
9/1/2033
9/1/2034
9/1/2035
9/1/2036
9/1/2037
9/1/2038
9/1/2039
9/1/2040
9/1/2041
9/1/2042
9/1/2043
9/1/2044
9/1/2045
9/1/2046
9/1/2047
9/1/2048
9/1/2049
9/1/2050
9/1/2051
9/1/2052
9/1/2053
9/1/2054
$664,004 $30,600 $0 $288,094 $0 N/A
110.22%
110.63%
110.26%
110.09%
110.10%
110.29%
110.65%
110.35%
110.26%
110.39%
110.72%
110.48%
110.49%
110.73%
110.47%
110.49%
110.08%
110.65%
110.13%
110.59%
110.67%
110.43%
110.53%
110.35%
110.53%
110.48%
110.23%
110.38%
110.36%
110.18%
2 3
4 5
6 7
8 9
$677,284
$690,829
$704,646
$718,739
$733,114
$747,776
$762,732
$777,986
$793,546
$809,417
$825,605
$842,117
$858,960
$876,139
$893,662
$911,535
$929,765
$948,361
$967,328
$986,675
$1,006,408
$1,026,536
$1,047,067
$1,068,008
$1,089,368
$1,111,156
$1,133,379
$1,156,046
$1,179,167
$1,179,167
$31,212
$31,836
$32,473
$33,122
$33,785
$34,461
$35,150
$35,853
$36,570
$37,301
$38,047
$38,808
$39,584
$40,376
$41,184
$42,007
$42,847
$43,704
$44,578
$45,470
$46,379
$47,307
$48,253
$49,218
$50,203
$51,207
$52,231
$53,275
$54,341
$54,341
$10,000
$20,000
$35,000
$50,000
$65,000

5.25%

5.25%
$576,188
$575,663
$574,613
$572,775
$570,150
$566,738
$562,538
$557,550
$551,513
$544,425
$536,288
$527,100
$516,600
$504,788
$491,663
$476,963
$460,688
$442,575
$422,888
$401,100
$377,475
$351,750
$323,663
$293,213
$260,138
$224,438
$185,850
$144,113
$99,225
$586,188
$595,663
$609,613
$622,775
$635,150
$646,738
$657,538
$672,550
$686,513
$699,425
$711,288
$727,100
$741,600
$754,788
$771,663
$786,963
$805,688
$817,575
$837,888
$851,100
$867,475
$886,750
$903,663
$923,213
$940,138
$959,438
$980,850
$999,113
$1,019,225
$1,020,925
$80,000
$95,000
$115,000
$135,000
$155,000
$175,000
$200,000
$225,000
$250,000
$280,000
$310,000
$345,000
$375,000
$415,000
$450,000
$490,000
$535,000
$580,000
$630,000
$680,000
$735,000
$795,000
$855,000
$920,000
$970,000
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31 $50,925
Total $27,452,518 $1,265,124 $10,975,000 $13,031,681 $23,718,588 110.41%

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tract Nos. 36658‐4 thru 36658‐7
Calculation of Bond Sizing and Total Tax Rates
I. Home Prices and Combined Tax Rates:

Tax Zone
Class
1 2
2 6
3 1 3 4 5 7 8 9 10 11 12 13 14
Plan 5000 5000 5000 5000 (AQ) 5000 (AQ) 5000 (AQ) 5000 (AQ) 5000 (AQ) 6500 6500 6500 6500 6500 6500 CFD TOTAL Range of Home Sizes in Square Feet per RMA Under
2,500
2,500 to
2,700
Over
2,700
Under
1,700
1,700 to
1,900
1,901 to
2,100
2,101 to
2,300
Over
2,300
Under
2,500
2,500 to
2,700
2,701 to
2,900
2,901 to
3,100
3,101 to
3,300
Over
3,300
Estimated Home Size
Estimated Home Price
2,404 2,614 2,824 1,579 1,731 2,056 2,172 2,313 2,304 2,641 2,844 3,047 3,192 3,337 2,113 $503,800 $515,300 $526,800 $517,000 $525,000 $543,000 $549,500 $558,500 $568,000 $585,000 $593,000 $601,000 $611,000 $621,000 $546,123 Ad‐Valorem Tax Rate (1.00%)
Metro Water West (0.00350%)
Perris Union HS (0.08859%)
$5,038.00 $5,153.00 $5,268.00 $5,170.00 $5,250.00 $5,430.00 $5,495.00 $5,585.00 $5,680.00 $5,850.00 $5,930.00 $6,010.00 $6,110.00 $6,210.00 $5,461.23 $19.11
$483.81
$72.09
$17.63
$446.32
$66.50
$18.04
$456.50
$68.02
$18.44
$466.69
$69.54
$18.10
$458.01
$68.24
$18.38
$465.10
$69.30
$19.01
$481.04
$71.68
$19.23
$486.80
$72.53
$19.55
$494.78
$73.72
$19.88
$503.19
$74.98
$20.48
$518.25
$77.22
$20.76
$525.34
$78.28
$21.04
$532.43
$79.33
$21.39
$541.28
$80.65
$21.74
$550.14
$81.97Mt. San Jacinto Jr. College (0.01320%)
Subtotal GO Bond Debt $5,568.45 $5,695.56 $5,822.67 $5,714.35 $5,802.77 $6,001.72 $6,073.57 $6,173.04 $6,278.05 $6,465.95 $6,554.37 $6,642.79 $6,753.32 $6,863.85 $6,036.24 Flood Control Stormwater / Cleanwater / Santa Ana
EMWD Standby
MWD Standby charge
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
$3.78
$21.00
$6.94
Vallewide Regional Facility LMD 88‐1
Eastern Municipal Water District CFD 2018‐81
Romoland School District CFD 2018‐1
City of Menifee CFD No. 2015‐2 ‐ Maint Services
Proposed CFD No. 2023‐2 ‐ Facilities Special Tax**
$5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $5.54 $1,200.00 $1,250.00 $1,300.00 $1,275.00 $1,275.00 $1,300.00 $1,300.00 $1,325.00 $1,325.00 $1,350.00 $1,350.00 $1,375.00 $1,375.00 $1,400.00 $873.00
$897.59
$1,303.01
$247.01
$897.59
$1,731.55
$4,216.41
$946.00
$897.59
$955.00
$897.59
$0.00
$897.59
$0.00
$897.59
$0.00
$897.59
$0.00
$897.59
$0.00
$897.59
$832.00
$897.59
$946.00
$897.59
$955.00 $1,000.00 $1,000.00 $1,109.00
$897.59 $897.59 $897.59 $897.59
$1,248.00 $1,222.00 $1,260.00 $1,640.00 $1,700.00 $1,809.00 $1,857.00 $1,899.00 $1,706.00 $1,711.00 $1,769.00 $1,767.00 $1,851.00 $1,802.00 Subtotal Special Assessments and Taxes $4,255.85 $4,352.85 $4,449.85 $3,849.85 $3,909.85 $4,043.85 $4,091.85 $4,158.85 $4,797.85 $4,941.85 $5,008.85 $5,076.85 $5,160.85 $5,245.85 Total Annual Property Taxes $9,824.30 $10,048.41 $10,272.52 $9,564.20 $9,712.62 $10,045.57 $10,165.42 $10,331.89 $11,075.90 $11,407.80 $11,563.22 $11,719.64 $11,914.17 $12,109.70 $10,252.65 Annual Prop. Tax Rates as % of Home Price
Unit Mix

1.95%
7 1.95%
‐

1.95%
4 1.85%
50 1.85%
101

1.85%
32 1.85%
32 1.85%
32 1.95%
18 1.95%
18 1.95%
‐

1.95%
19 1.95%
‐

1.95%
19 1.88%
332
(1)Total CFD ‐ Annual Tax Collections (2% Escalator)
(2)Administration
$8,736 $0 $5,040 $82,000 $171,700 $57,888 $59,424 $60,768 $30,708 $30,798 $0 $33,573 $0 $34,238 $574,873 $30,000
Total Annual Special Taxes for Bonding
((1)Total Special Taxes ‐ (2)Admin. / 110% Coverage)
II. Total Estimated Home Square Footage:

III. CFD Bond Sizing & Construction Proceeds:
$7,527
16,828
$0 $4,343
11,296
$70,655
78,950
$147,945
174,831
$49,879
65,792
$51,203
69,504
$52,361
74,016
$26,460
41,472
$26,537
47,538
$0 $28,928
57,893
$0 $29,501
63,403
$495,339
701,523‐ ‐ ‐
Bond Amount (5.25% Interest, 30 Year Term, 29 Year Amortization) $9,625,000 Underwriter Discount (2.00%)
Reserve Fund (Maximum Annual Debt Service)
Capitalized Interest (6 mos.)
$192,500
$838,970
$252,656
$250,000Incidental Costs (Estimate)
Total Discount, Reserve Fund, Capitalized Interest and Incidental Costs Net Bond Proceeds
$1,534,126
$8,090,874

CITY OF MENIFEE DRAFT v2
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tract Nos. 36658‐4 thru 36658‐7
Summary of Acreage, Undeveloped Property
And Backup Special Tax Rates
Tax Zone 1
11 Lots
Tax Zone 2
247 Lots
Tax Zone 3
74 Lots
I. Calculation of Net Taxable Acres:

Gross Acreage 16.47 59.23 22.66

6.96Less: Exempt Acres 14.27

2.20 21.94

37.29Net Taxable Acres 15.70
II. Calculation of Undeveloped Property Tax Rate:

Total Developed Property Revenues
Net Taxable Acres
$13,776

2.20 $431,780

37.29 $129,317

15.70 Less: Contingency Factor (5%) 0.11 1.86 0.78
Net Taxable Acres (Adjusted) 2.09 35.43 14.91
Undeveloped Property Tax Rate per Acre $6,585 $12,187 $8,672 Total Exempt Acreage 14.38 23.80 7.75
III. Calculation of Backup Special Tax Rate:

Backup Special Tax Rate per Unit
Total Taxable Acres (Adjusted)
Undeveloped Property Tax Rate per Acre
Total Units
Tax Zone 1 Tax Zone 2 Tax Zone 3

15.702.20
$6,585
11 37.29
$12,187
247
$8,672
74 Backup Special Tax per Unit $1,318 $1,840 $1,840

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tract Nos. 36658‐4 thru 36658‐7
Calculation of Bond Sizing and Total Tax Rates
Debt Service
Tax Rate
No. of
Units
Total Annual
Collectable TaxRange of Home Sizes
Less than 2,500
2,500
Greater than to
Ave Backup Tax Rate per Unit
Non‐residential Property
Tax Zone Max Tax Rates
1 1
1 1
1 2
2 2
2 2
2 2
3 3
3 3
3 3
3 3
$1,200
$1,250
$1,300
$1,318
$6,585
$1,275
$1,275
$1,300
$1,300
$1,325
$1,840
$12,187
$1,325
$1,350
$1,350
$1,375
$1,375
$1,400
$1,840
$8,672
7 0
4 $8,400
$0
$5,200
$9,227
$0
$5,273
to 2,700
2,700
11 Less than
1,701
1,901
2,101
Greater than to
to
to
to
to
1,700
1,900
2,100
2,300
2,300
50 101
32 32
32 $63,750
$128,775
$41,600
$41,600
$42,400
$92,003
$185,845
$58,882
$58,882
$58,882
Ave Backup Tax Rate per Unit
Non‐residential Property
247
Less than
2,501
2,701
2,901
3,101
to
to
to
to
to
2,500
2,700
2,900
3,100
3,300
3,300
18 18
0 19
0 $23,850
$24,300
$0
$26,125
$0
$33,112
$33,112
$0
$34,952
$0
Greater than 19
74 $26,600 $34,952
Ave Backup Tax Rate per Unit
Non‐residential Property
332 $432,600 $605,121
Tax Rate for Bonding
Sizing at Max tax rate
Future Facilities (rounded up)
$527,383
$12,000,000
$10,500,000

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tract Nos. 36658‐4 thru 36658‐7
Use of Bond Proceeds
756 Lots
Total
424 Lots
IA 1
332 Lots
IA 2FUNDING REQUIREMENTS
City Fees
Per Lot
Law Enforcement $1,390
$647
$1,050,840 $589,360 $461,480
$214,804
$2,353,880
($859,364)
$390,432
Fire Facility
Circulation
$489,132
$5,360,040
($1,956,866)
$889,056
$1,302,588
($1,302,588)
$5,832,202
$1,166,440
$6,998,642
$274,328
$3,006,160
($1,097,502)
$498,624
$7,090
($2,588)
$1,176
$1,723
($1,723)
$7,715
$1,543
$9,257
Circulation Fee Credits
General Government
Park Improvements
Park Improvement Fee Credit
Subtotal DIF
$730,552 $572,036
($730,552)
$3,270,970
$654,194
($572,036)
$2,561,232
$512,246City Projects
Total City Fees $3,925,165 $3,073,478
City Facilities
City Traffic Signals
McLaughlin Street
$1,710
$1,506
$3,220
$482
$1,292,870
$1,138,721
$2,434,493
$364,739
$542,568
$477,877
$1,021,663
$153,067
$2,195,175
$750,302
$660,844
$1,412,830
$211,672
$3,035,648
Park Improvements
Design, Planning, & Engineering
Total City Facilities $6,919 $5,230,823
Total City Fees and Facilities $16,177 $12,229,465 $6,120,340 $6,109,125 EWMD Fees
Water Financial Participation
Sewer Financial Participation
Sewer Treatment Plant Capacity Charge
Water Supply Development Fee
Meter Fee
Irrigation Meter Fees 1.5" (Qty: 6 Meters)
Less: Estimated EMWD CFD Funding
Total EMWD Fees
$6,845
$3,208
$6,081
$377
$372
$247
$5,174,820
$2,425,248
$4,597,236
$285,012
$281,232
$186,420
$2,902,280
$1,360,192
$2,578,344
$159,848
$157,728
$104,553
$2,272,540
$1,065,056
$2,018,892
$125,164
$123,504
$81,867
($15,075)
$2,055
($11,396,492)
$1,553,476
($6,391,683)
$871,262
($5,004,809)
$682,214
EMWD Facilities
Water Tank Improvements
Design, Planning, & Engineering (15%)
Total EMWD Facilities
$4,244
$637
$4,881
$3,208,704
$481,306
$3,690,010
$1,346,570
$201,985
$1,548,555
$1,862,134
$279,320
$2,141,454
Total EMWD Fees and Facilities
Total Cost
$6,936 $5,243,486
$17,472,951
$13,941,648
Total
$2,419,817
$8,540,157
$5,850,774
IA 1
$2,823,669
$8,932,794
$8,090,874
IA 2
$18,231
Potential Project Funds Available
ALLOCATION OF PROCEEDS % Per Lot
City Projects 8% $1,543
$7,715
$5,410
$2,055
$1,719
$16,722
$1,166,440
$5,832,202
$4,089,996
$1,553,476
$1,299,534
$13,941,648
$654,194
$3,270,970
$1,054,348
$871,262
$0
$512,246
$2,561,232
$3,035,648
$682,214
$1,299,534
$8,090,874
City Fees 42%
City Facilities 29%
EMWD Fees 11%
EMWD Facilities
Total Funded by Bond Proceeds 100%
9%
$5,850,774

UNFUNDED REQUIREMENTS
Total to be Funded by Developer $3,531,303 $2,689,383 $841,920

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tract Nos. 36658‐4 thru 36658‐7
Revenue Coverage ‐ Assigned Tax Rate
Debt
Period
Ending
Gross
Revenues
Priority
Admin
Capitalized
Interest
Net Debt
Service
Service
CoverageYear Principal Coupon

5.25%
Interest
$252,6561 9/1/2024
9/1/2025
9/1/2026
9/1/2027
9/1/2028
9/1/2029
9/1/2030
9/1/2031
9/1/2032
9/1/2033
9/1/2034
9/1/2035
9/1/2036
9/1/2037
9/1/2038
9/1/2039
9/1/2040
9/1/2041
9/1/2042
9/1/2043
9/1/2044
9/1/2045
9/1/2046
9/1/2047
9/1/2048
9/1/2049
9/1/2050
9/1/2051
9/1/2052
9/1/2053
9/1/2054
$586,370 $30,600 $0 $252,656 $0 N/A
110.01%
110.18%
110.50%
110.96%
110.55%
110.35%
110.36%
110.55%
110.92%
110.56%
110.45%
110.56%
110.04%
110.63%
110.60%
110.83%
110.50%
110.48%
110.73%
110.51%
110.61%
110.30%
110.34%
110.02%
110.07%
110.47%
110.56%
110.39%
110.01%
110.32%
2 3
4 5
6 7
8 9
$598,098
$610,060
$622,261
$634,706
$647,400
$660,348
$673,555
$687,026
$700,767
$714,782
$729,078
$743,660
$758,533
$773,703
$789,177
$804,961
$821,060
$837,481
$854,231
$871,316
$888,742
$906,517
$924,647
$943,140
$962,003
$981,243
$1,000,868
$1,020,885
$1,041,303
$1,041,303
$31,212
$31,836
$32,473
$33,122
$33,785
$34,461
$35,150
$35,853
$36,570
$37,301
$38,047
$38,808
$39,584
$40,376
$41,184
$42,007
$42,847
$43,704
$44,578
$45,470
$46,379
$47,307
$48,253
$49,218
$50,203
$51,207
$52,231
$53,275
$54,341
$54,341
$10,000
$20,000
$30,000
$40,000
$55,000

5.25%

5.25%
$505,313
$504,788
$503,738
$502,163
$500,063
$497,175
$493,500
$489,038
$483,788
$477,750
$470,663
$462,525
$453,338
$442,838
$431,288
$418,425
$404,250
$388,500
$371,175
$352,275
$331,538
$308,963
$284,288
$257,513
$228,375
$196,875
$163,013
$126,525
$87,150
$515,313
$524,788
$533,738
$542,163
$555,063
$567,175
$578,500
$589,038
$598,788
$612,750
$625,663
$637,525
$653,338
$662,838
$676,288
$688,425
$704,250
$718,500
$731,175
$747,275
$761,538
$778,963
$794,288
$812,513
$828,375
$841,875
$858,013
$876,525
$897,150
$894,625
$70,000
$85,000
$100,000
$115,000
$135,000
$155,000
$175,000
$200,000
$220,000
$245,000
$270,000
$300,000
$330,000
$360,000
$395,000
$430,000
$470,000
$510,000
$555,000
$600,000
$645,000
$695,000
$750,000
$810,000
$850,000
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31 $44,625
Total $24,242,856 $1,265,124 $9,625,000 $11,434,106 $20,806,450 110.44%

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tax Zone 1
Lot Summary
TR 36658‐4
Lot SF Acreage

0.24 0.20

0.16 0.21

0.31 0.16

0.18 0.17

0.18 0.18

0.22 1
2 3
4 5
6 7
8 9
10,327
8,567
6,800
9,204
13,445
6,965
7,983
7,536
7,745
7,690
9,658
10 11
Totals
Grand
95,920
95,920

2.20 2.20
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tax Zone 2
Lot Summary
TR 36658‐5
Acreage Lot
TR 36658‐6
Acreage LotLot SF Acreage

0.13 0.13

0.13 0.12

0.14 0.12

0.12 0.13

0.12 0.11

0.11 0.12

0.15 0.14

0.15 0.12

0.15 0.14

0.14 0.14

0.16 0.16

0.15 0.16

0.14 0.15

0.13 0.15

0.21 0.14

0.11 0.13

0.20 0.12

0.12 0.12

0.12 0.17

0.15 0.15

0.15 0.14

0.14 0.14

0.14 0.14
Lot SF SF Acreage

0.17 0.24

0.14 0.14

0.14 0.13

0.13 0.14

0.14 0.14

0.14 0.13

0.22 0.21

0.16 0.12

0.12 0.12

0.14 0.19

0.25 0.17

0.13 0.12

0.12 0.12

0.13 0.12

0.12 0.12

0.15 0.14

0.14 0.14

0.14 0.13

0.13 0.13

0.14 0.12

0.11 0.11

0.12 0.13
Lot
151 5,374
SF Acreage Lot SF SF Acreage

0.16 0.18

0.15 0.14

0.14 0.14

0.16 0.14

0.14 0.14

0.14 0.15

0.25 0.20

0.14 0.14

0.22 0.38

0.15 0.18

0.20 0.15

0.14 0.19

0.33 0.16

0.16 0.16

0.16 0.22
1 2
3 4
5 6
7 8
9 5,830
5,549
5,616
5,678
5,495
5,281
6,006
5,063
5,142
5,574
5,041
5,000
5,000
5,062
6,320
6,024
6,435
5,422
6,575
6,274
6,274
6,274
7,153
7,084
6,528
7,009
6,285
6,494
5,469
6,653
9,012
6,304
5,000
5,683
8,500
5,109
5,059
5,059
5,268
7,607
6,676
6,676
6,628
6,676
6,530
6,092
6,092
6,092
6,092
6,092
51 6,092
52 6,092
53 6,092
54 6,092
55 6,092
56 8,286
57 7,779
58 5,590
59 5,147
60 5,147
61 5,147
62 5,498
63 5,474
64 5,497
65 5,522
66 5,455
67 5,147
68 5,497
69 5,147
70 5,147
71 5,497
72 5,147
73 6,179
74 6,707
75 5,535
76 5,575
77 5,256
78 5,369
79 5,483
80 5,479
81 5,575
82 6,988
83 6,387
84 11,303
85 5,444
86 5,567
87 5,700
88 5,799
89 5,816
90 5,832
91 5,849
92 5,865
93 5,881
94 5,936
95 5,914
96 5,930
97 5,947
98 5,965
99 6,004
100 5,898

0.14 0.14

0.14 0.19

0.18 0.13

0.12 0.12

0.12 0.13

0.13 0.13

0.12 0.13

0.12 0.12

0.13 0.12

0.14 0.15

0.13 0.13

0.12 0.12

0.13 0.13

0.13 0.16

0.15 0.26

0.12 0.13

0.13 0.13

0.14 0.14

0.14 0.14
101 7,484
102 10,582
103 5,922
104 6,055
105 5,980
106 5,831
107 5,880
108 5,980
109 5,940
110 5,997
111 5,919
112 5,794
113 9,548
114 9,267
115 7,163
116 5,426
117 5,294
118 5,442
119 5,949
120 8,438
121 10,839
122 7,483
123 5,508
124 5,377
125 5,353
126 5,267
127 5,641
128 5,341
129 5,236
130 5,292
131 6,592
132 5,953
133 6,086
134 6,082
135 5,959
136 5,559
137 5,550
138 5,550
139 5,550
140 5,550
141 5,916
142 5,235
143 5,000
144 5,000
145 5,000
146 5,000
147 5,000
148 5,000
149 5,436
150 5,797

0.12 1
2 3
4 5
6 7
8 9
9,569
7,615
7,637
7,235
7,203
7,171
7,196
7,203
7,221

0.22 0.17

0.18 0.17

0.17 0.16

0.17 0.17

0.17 0.18

0.15 0.15

0.17 0.20

0.20 0.16

0.15 0.15

0.16 0.22

0.16 0.15

0.15 0.14

0.13 0.13

0.13 0.15

0.16 0.13

0.19 0.35

0.35 0.14

0.14 0.14

0.15 0.16

0.18 0.18

0.16 0.16

0.15 0.14

0.21 0.18

0.17 0.22

0.18 0.14
51 6,786
52 7,901
53 6,334
54 6,128
55 6,127
56 6,045
57 7,024
58 6,088
59 6,164
60 6,192
61 6,191
62 6,210
63 6,084
64 6,709
65 10,795
66 8,720
67 6,104
68 6,162
69 6,195
70 5,943
71 9,740
72 16,514
73 6,339
74 7,869
75 8,517
76 6,578
77 6,201
78 8,424
79 14,393
80 7,111
81 7,089
82 6,775
83 7,182
84 7,039
85 7,002
86 7,003
87 7,044
88 7,123
89 7,077
90 6,804
91 6,835
92 6,850
93 6,866
94 6,881
95 7,023
96 9,635
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 10 7,899
11 6,669
12 6,591
13 7,208
14 8,619
15 8,592
16 7,124
17 6,519
18 6,632
19 7,125
20 9,424
21 7,152
22 6,650
23 6,727
24 6,147
25 5,549
26 5,547
27 5,653
28 6,327
29 7,145
30 5,610
31 8,430
32 15,382
33 15,325
34 6,188
35 6,214
36 6,308
37 6,550
38 6,768
39 7,815
40 7,730
41 6,782
42 6,786
43 6,384
44 6,083
45 8,959
46 7,727
47 7,510
48 9,622
49 7,936
50 6,179
Totals 303,857 6.98 295,767 6.79 306,043 7.03 5,374 0.12 373,637 8.58 339,816 7.80 Grand 1,624,494 37.29

CITY OF MENIFEE DRAFT v1
Community Facilities District No. 2023‐2 IA 2
(Cimarron Ridge)
Tax Zone 3
Lot Summary
TR 36658‐7
Lot SF Acreage

0.21 0.21

0.19 0.17

0.17 0.16

0.16 0.21

0.48 0.42

0.34 0.21

0.23 0.30

0.28 0.28

0.37 0.26

0.30 0.25

0.22 0.22

0.21 0.20

0.21 0.16

0.15 0.15

0.15 0.16

0.15 0.26

0.27 0.20

0.20 0.19

0.19 0.19

0.18 0.17

0.23 0.28

0.25 Lot SF Acreage

0.18 0.17

0.24 0.32

0.23 0.19

0.20 0.20

0.20 0.17

0.16 0.16

0.16 0.27

0.29 0.19

0.19 0.17

0.16 0.16

0.15 0.15

0.15 0.17

0.19 1
2 3
4 5
6 7
8 9
9,179
9,065
8,149
7,460
7,395
6,998
7,096
9,103
21,063
18,394
14,931
9,156
10,156
13,051
12,019
12,249
15,924
11,231
13,171
11,055
9,760
9,652
9,787
9,390
8,965
8,692
9,109
7,184
6,573
6,561
6,597
6,844
6,731
11,292
11,695
8,715
8,657
8,155
8,212
8,276
7,876
7,507
10,209
12,241
10,714
46 7,853
47 7,556
48 10,238
49 14,113
50 9,950
51 8,187
52 8,538
53 8,767
54 8,676
55 7,470
56 6,930
57 6,839
58 6,905
59 6,958
60 6,892
61 7,006
62 7,024
63 11,965
64 12,659
65 8,158
66 8,143
67 7,269
68 6,950
69 6,796
70 6,667
71 6,601
72 6,706
73 7,319
74 8,404
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 41
42 43
44 45
Totals
Grand
446,239 10.24 237,539 5.45 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐
683,778 15.70

PROPOSED BOUNDARY MAP
SHEET 1 OF 3 SHEETS
COMMUNITY FACILITIES DISTRICT NO. 2023-2
(CIMARRON RIDGE)

CITY OF MENIFEE,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
I HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSED IMPROVEMENT AREA 2 (SHEET 3)
RECORDED THIS ____ DAY OF _______________, 20____ AT
THE HOUR OF ____ O'CLOCK __M IN BOOK _____
PAGE _____ OF MAPS OF ASSESSMENT AND COMMUNITY

FACILITIES DISTRICTS IN THE OFFICE OF THE COUNTY

RECORDER, IN THE COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA.

BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2023-2
(CIMARRON RIDGE), CITY OF MENIFEE, COUNTY OF RIVERSIDE, STATE

OF CALIFORNIA, WAS APPROVED BY THE CITY COUNCIL

OF THE CITY OF MENIFEE AT
THEREOF, HELD ON ______ DAY OF

A REGULAR MEETING
______, 20____,
BY RESOLUTION NO. _______________ 2
1 FEE: _____________

PETER ALDANA, ASSESSOR, COUNTY CLERK, RECORDER
NO.: ______________________
4 ___________________________________

CITY CLERK

CITY OF MENIFEE
BY: _______________________________
DEPUTY3

FILED IN THE OFFICE OF THE CITY CLERK, CITY OF MENIFEE, THIS ____ DAY OF ________, 20____. REF NUM APN6 7
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 330-220-016
330-220-017
330-220-018
330-220-019
330-230-045
330-230-044
330-230-043
330-230-042
335-070-058
335-070-057
335-430-028
335-070-056
335-430-027
335-070-055
335-070-054
______________________________

CITY CLERK

CITY OF MENIFEE
5 8
9 10
þ
74 þ
74 _
CFD 2023-2
12 § ¦
215
11 LEGENDMENIFEE
13 PARCEL LINE

IMPROVEMENT AREA BOUNDARY

CFD BOUNDARY
14 15

CITY BOUNDARY
-

XXX-XXX-XXX
1 ASSESSOR PARCEL NUMBER

MAP REFERENCE NUMBERTHIS BOUNDARY MAP CORRECTLY SHOWS THE BOUNDARIES OF THE COMMUNITY FACILITIES DISTRICT. FOR DETAILS

CONCERNING THE LINES AND DIMENSIONS OF LOTS OR

PARCEL REFER TO THE COUNTY ASSESSOR'S MAPS FOR
FISCAL YEAR 2022-23.

IMPROVEMENT AREA 1
(SHEET 2)
0 500 1,000 2,000 Feet

PROPOSED BOUNDARY MAP
SHEET 2 OF 3 SHEETS
COMMUNITY FACILITIES DISTRICT NO. 2023-2
(CIMARRON RIDGE)

CITY OF MENIFEE,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
3 12
LEGEND

CFD BOUNDARY

IMPROVEMENT AREA BOUNDARY

TAX ZONE BOUNDARY

TAX ZONE
IMPROVEMENT AREA 1
-
1 0 375 750 1,500 Feet

PROPOSED BOUNDARY MAP
SHEET 3 OF 3 SHEETS
COMMUNITY FACILITIES DISTRICT NO. 2023-2
(CIMARRON RIDGE)

CITY OF MENIFEE,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA

MCLAUGHLIN RD
D
2 3
1 LEGEND

CFD BOUNDARY
IMPROVEMENT AREA 2

IMPROVEMENT AREA BOUNDARY

TAX ZONE BOUNDARY

TAX ZONE
-
1 0 375 750 1,500 Feet
CITY OF MENIFEE DRAFT v4
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name Tract No. Res/Comm Date
Pulte Group Cimarron Ridge II ALL Residential 7/12/2023 Units Net Acres Darren Warren Gross Acres Net Acres Units Annex No. 756 132.80 Prepared by - John Zimmerman 203.18 132.80 756 22 Description Measure Unit Cost Tax A Total Tax B Total Per Unit Grand Total Street Frontage SF $0.29 243,616 $71,628.19 - $0.00 $71,628.19 Medians SF $0.27 19,564 $5,272.87 - $0.00 $5,272.87 Slopes SF $0.15 148,866 $21,884.86 $0.00 $21,884.86 Open Space - Fuel Mod (Non-Irrigated) SF $0.018 71,073 $1,306.06 - $0.00 $1,306.06 Trees Qty $30.63 917 $28,085.12 - $0.00 $28,085.12 Subtotal $169.55 $128,177.10 $0.00 $0.00 $169.55 $128,177.10 39 W - LED Qty $219.58 19 $4,172.02 - $0.00 $4,172.02 100 W - LED Qty $224.80 62 $13,937.60 - $0.00 $13,937.60 Traffic Signal Qty $7,007.50 8.000 $56,059.98 - $0.00 $56,059.98 Subtotal $98.11 $74,169.60 $0.00 $0.00 $98.11 $74,169.60 Streets (LF) LF $0.37 31,620 $11,621.18 $0.00 $11,621.18 Pavement Total Area (SF) SF $0.051 927,162 $47,705.87 - $0.00 $47,705.87 Subtotal $78.47 $59,327.05 $0.00 $0.00 $78.47 $59,327.05 Detention/Debris Basin SF $0.294 369,394 $108,609.55 123,346 $36,266.30 $144,875.85 Storm Drains Pipe LF $0.174 15,039 $2,616.22 1,956 $340.27 $2,956.49 Curb Inlet Catch Basin EA $280.00 76 $21,280.00 9 $2,520.00 $23,800.00 Non-Native Material SF $0.29 3,746 $1,101.40 64,508 $18,966.70 $20,068.10 Perforated Pipe LF $0.17 286 $49.75 - $0.00 $49.75 Drop Inlet EA $280.00 6 $1,680.00 4 $1,120.00 $2,800.00 Subtotal $179.02 $135,336.93 $78.32 $59,213.27 $257.34 $194,550.20 Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 - $0.00 - $0.00 $0.00 Subtotal $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
DG SF $0.10 68,848 $6,747.58 - $0.00 $6,747.58 Subtotal $8.93 $6,747.58 $0.00 $0.00 $8.93 $6,747.58
Graffiti
Abatement Unit $3.50 - $0.00 - $0.00 $0.00 Subtotal $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Total Direct Costs $534.07 $403,758.27 $78.32 $59,213.27 $612.40 $462,971.54 Rate/Cost Rate Total Rate Total Rate Total
Per Unit $534.07 $403,758.27 $78.32 $59,213.27 $612.40 $462,971.54 Per Acre $3,040.35 $403,758.27 $445.88 $59,213.27 $3,486.23 $462,971.54 Tax A Tax B ALL
LandLightStreetsDrainParksTrails

CITY OF MENIFEE DRAFT v4
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name Tract No. Res/Comm Date
Pulte Group Cimarron Ridge II 36658-1,-3,-4-7 Residential 7/12/2023 Units Net Acres Darren Warren Gross Acres Net Acres Units Annex No. 393 67.11 Prepared by - John Zimmerman 103.80 67.11 393 22A Description Measure Unit Cost Tax A Total Tax B Total Per Unit Grand Total Backbone EA $169.55 393 $66,631.75 - $0.00 $66,631.75 Subtotal $169.55 $66,631.75 $0.00 $0.00 $169.55 $66,631.75 39 W - LED Qty $219.58 108 $23,714.64 - $0.00 $23,714.64 Backbone Qty $98.11 393 $38,556.42 - $0.00 $38,556.42 Subtotal $158.45 $62,271.06 $0.00 $0.00 $158.45 $62,271.06 Street Sweeping LF $0.37 34,636 $12,729.63 $0.00 $12,729.63 Pavement Management SF $0.061 595,695 $36,488.91 - $0.00 $36,488.91 Backbone EA $78.47 393 $30,840.65 - $0.00 $30,840.65 Subtotal $203.71 $80,059.20 $0.00 $0.00 $203.71 $80,059.20 Backbone - Contingent EA $78.32 - $0.00 393 $30,781.50 $30,781.50 Backbone EA $179.02 393 $70,353.72 - $0.00 $70,353.72 Subtotal $179.02 $70,353.72 $78.32 $30,781.50 $257.34 $101,135.22 Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 6.20 $91,167.65 - $0.00 $91,167.65 Subtotal $231.98 $91,167.65 $0.00 $0.00 $231.98 $91,167.65 Backbone EA $8.93 393 $3,507.67 - $0.00 $3,507.67 Subtotal $8.93 $3,507.67 $0.00 $0.00 $8.93 $3,507.67
Graffiti
Abatement Unit $3.50 393 $1,376.97 - $0.00 $1,376.97 Subtotal $3.50 $1,376.97 $0.00 $0.00 $3.50 $1,376.97
Total Direct Costs $955.13 $375,368.02 $78.32 $30,781.50 $1,033.46 $406,149.52 Description Tax A Total Tax B Total Total
Reserves (15%) - Does Not include Parks, Pavement, or Sidewalk $32,530.62 $4,617.23 $37,147.85 Auditor-Controller Fees ($135/Yr) $135.00 $135.00 $270.00 Admin (5%) - Minimum $1000 $18,768.40 $1,539.08 $20,307.48 Total Soft Costs $130.88 $51,434.02 $16.01 $6,291.30 $146.88 $57,725.32 Grand Total $1,086.01 $426,802.04 $94.33 $37,072.80 $1,180.34 $463,874.84 Rate/Cost Rate Total Rate Total Rate Total
Per Unit $1,086.01 $426,802.04 $94.33 $37,072.80 $1,180.34 $463,874.84 Per Acre $6,359.74 $426,802.04 $552.42 $37,072.80 $6,912.16 $463,874.84 LandLightStreetsDrainParks
ALL
TrailsSoft Costs
Tax A Tax B

CITY OF MENIFEE DRAFT v4
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name Tract No. Res/Comm Date
Pulte Group Cimarron Ridge II 36658-2 Residential 7/12/2023 Units Net Acres Darren Warren Gross Acres Net Acres Units Annex No. 116 28.40 Prepared by - John Zimmerman 40.15 28.40 116 22B Description Measure Unit Cost Tax A Total Tax B Total Per Unit Grand Total Backbone EA $169.55 116 $19,667.39 - $0.00 $19,667.39 Subtotal $169.55 $19,667.39 $0.00 $0.00 $169.55 $19,667.39 39 W - LED Qty $219.58 - $0.00 - $0.00 $0.00 Backbone Qty $98.11 116 $11,380.52 - $0.00 $11,380.52 Subtotal $98.11 $11,380.52 $0.00 $0.00 $98.11 $11,380.52 Street Sweeping LF $0.37 - $0.00 - $0.00 $0.00 Pavement Management SF $0.061 - $0.00 - $0.00 $0.00 Backbone EA $78.47 116 $9,103.09 - $0.00 $9,103.09 Subtotal $78.47 $9,103.09 $0.00 $0.00 $78.47 $9,103.09
Backbone - Contingent EA $78.32 - $0.00 116 $9,085.63 $9,085.63 Backbone EA $179.02 116 $20,765.98 - $0.00 $20,765.98 Subtotal $179.02 $20,765.98 $78.32 $9,085.63 $257.34 $29,851.62 Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 1.84 $26,978.18 - $0.00 $26,978.18 Subtotal $232.57 $26,978.18 $0.00 $0.00 $232.57 $26,978.18 Backbone EA $8.93 116 $1,035.34 - $0.00 $1,035.34 Subtotal $8.93 $1,035.34 $0.00 $0.00 $8.93 $1,035.34
Graffiti
Abatement Unit $3.50 116 $406.43 - $0.00 $406.43 Subtotal $3.50 $406.43 $0.00 $0.00 $3.50 $406.43
Total Direct Costs $770.15 $89,336.94 $78.32 $9,085.63 $848.47 $98,422.58 Description Tax A Total Tax B Total Total
Reserves (15%) - Does Not include Parks, Pavement, or Sidewalk $7,988.35 $1,362.85 $9,351.20 Auditor-Controller Fees ($135/Yr) $135.00 $135.00 $270.00 Admin (5%) - Minimum $1000 $4,466.85 $1,000.00 $5,466.85 Total Soft Costs $108.54 $12,590.20 $21.53 $2,497.85 $130.07 $15,088.04 Grand Total $878.68 $101,927.14 $99.86 $11,583.48 $978.54 $113,510.62 Rate/Cost Rate Total Rate Total Rate Total
Per Unit $878.68 $101,927.14 $99.86 $11,583.48 $978.54 $113,510.62 Per Acre $3,588.98 $101,927.14 $407.87 $11,583.48 $3,996.85 $113,510.62 Soft Costs
Tax A Tax B ALL
LandLightStreetsDrainParksTrails

CITY OF MENIFEE DRAFT v4
CFD No. 2017-1 (Maintenance Services)
Applicant Development Name Tract No. Res/Comm Date
Pulte Group Cimarron Ridge II 36658-5, -6 Residential 7/12/2023 Units Net Acres Darren Warren Gross Acres Net Acres Units Annex No. 247 37.29 Prepared by - John Zimmerman 59.23 37.29 247 22C Description Measure Unit Cost Tax A Total Tax B Total Per Unit Grand Total Backbone EA $169.55 247 $41,877.97 - $0.00 $41,877.97 Subtotal $169.55 $41,877.97 $0.00 $0.00 $169.55 $41,877.97 39 W - LED Qty $219.58 - $0.00 - $0.00 $0.00 Backbone Qty $98.11 247 $24,232.66 - $0.00 $24,232.66 Subtotal $98.11 $24,232.66 $0.00 $0.00 $98.11 $24,232.66 Street Sweeping LF $0.37 - $0.00 - $0.00 $0.00 Pavement Management SF $0.061 - $0.00 - $0.00 $0.00 Backbone EA $78.47 247 $19,383.31 - $0.00 $19,383.31 Subtotal $78.47 $19,383.31 $0.00 $0.00 $78.47 $19,383.31 Backbone - Contingent EA $78.32 - $0.00 247 $19,346.13 $19,346.13 Backbone EA $179.02 247 $44,217.22 - $0.00 $44,217.22 Subtotal $179.02 $44,217.22 $78.32 $19,346.13 $257.34 $63,563.36 Neighborhood (5 ac. Per 1,000) 3.164 pph Acre $14,701.04 3.92 $57,677.49 - $0.00 $57,677.49 Subtotal $233.51 $57,677.49 $0.00 $0.00 $233.51 $57,677.49 Backbone EA $8.93 247 $2,204.57 - $0.00 $2,204.57 Subtotal $8.93 $2,204.57 $0.00 $0.00 $8.93 $2,204.57
Graffiti
Abatement Unit $3.50 247 $865.43 - $0.00 $865.43 Subtotal $3.50 $865.43 $0.00 $0.00 $3.50 $865.43
Total Direct Costs $771.09 $190,458.65 $78.32 $19,346.13 $849.41 $209,804.78 Description Tax A Total Tax B Total Total
Reserves (15%) - Does Not include Parks, Pavement, or Sidewalk $17,009.68 $2,901.92 $19,911.60 Auditor-Controller Fees ($135/Yr) $135.00 $135.00 $270.00 Admin (5%) - Minimum $1000 $9,522.93 $1,000.00 $10,522.93 Total Soft Costs $107.97 $26,667.61 $16.34 $4,036.92 $124.31 $30,704.53 Grand Total $879.05 $217,126.26 $94.67 $23,383.06 $973.72 $240,509.31 Rate/Cost Rate Total Rate Total Rate Total
Per Unit $879.05 $217,126.26 $94.67 $23,383.06 $973.72 $240,509.31 Per Acre $5,822.64 $217,126.26 $627.06 $23,383.06 $6,449.70 $240,509.31 Soft Costs
Tax A Tax B ALL
LandLightStreetsDrainParksTrails

DEPOSIT REQUIREMENTS
Total Deposit of $70,000 required at time application is submitted. $65,000 will be eligible for reimbursement at time bond proceeds are available. $5,000 is non-refundable.

An additional $70,000 will be req
uired for each zone or improvement area.

SPECIAL FUNDING DISTRICT
APPLICATION FORM
Proposed Special District: CFD for Facilities
Proposed Name of Project:

SPICER CONSULTING GROUP USE ONLY
Date Received: Amount:

Proposed Special District Number:

1. IDENTIFICATION OF SUBJECT PROPERTY
Description of Property (include N, S, E &/or W, borders, acreage & tract number) A. APN(s) and/or Master Parcel Number
Attach Backup (if needed)
Include all Assessor Parcel Numbers to be included in the Special District in their entirety (XXX‐XXX‐XXX‐X)
B. Tract/Tentative Tract Map Number
Enclose copy of map
C. Recorded Lot Line Adjustments
Enclose copy of document(s)
D. Mapping Status □ Approved □ Tentative
E. Environmental Permits Required □ Yes □ No
F. Status of Permits □ Application in Process
G. Conditions of Approval Required □ Yes □ No
By Whom
H. Status of Conditions □ In Process □ Completed
Cimmaron Ridge (Improvement Area No. 2) Change Proceeding Approximately 98.3 gross acres located in the City of Menifee, south of McLaughlin Road, west of Byers Road, and north of Sotelo Road.
330-220-016
330-220-017
330-220-018
330-220-019
330-230-042
330-230-043
330-230-044
330-230-045
36658
■
City of Menifee
■

Special District Application

Page 2 of 4 ends

2. PROPERTY OWNER INFORMATION (Attach Grant Deed)

3. CONSULTANT/APPLICANT INFORMATION

4. ENGINEERING INFORMATION

5. PROJECT LAND USE (Per Improvement Area or Zone, When Applicable) A. Number of Taxable Units
B. Proposed Product Mix See below
C. Base Sale Price Information See below
D. Number of Taxable Acres
Attach Backup
E. Number of Exempt Acres
Attach Backup
F. Desired Tax Rate Burden %
G. Anticipated Absorption per month
A. Landowner Name(s)
Attach Backup (if needed)
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
A. Company Name
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
A. Company Name
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
949-547-2200
951-271-5860
[email protected]
(949) 542-7072
(949) 542-7076
[email protected]
6879 Airport Drive, Riverside, CA 92504
(951) 688-0241
(951) 688-0599
332
42 Acres (Backup to follow)
TBD

2.00 TBD
Pulte Home Company, LLC
Patric Lynam
Project Manager
Zimmerman Group
John Zimmerman
Principal
27401 Los Altos, Ste. 400, Mission Viejo, CA 92691
Adkan Engineers
Ed Adkison
28202 Cabot Rd, Suite 620, Laguna Niguel, CA 92677
Special District Application

Page 3 of 4 ends

6. COMPOSITION OF DEVELOPABLE ACREAGE
Attach Additional Backup (if needed)
Residential
Commercial-Retail
Business Park
School Site

PROPOSED RESIDENTIAL PRODUCT MIX
Plan Number
Apartment, Attached, or Detached
Number of Units
Average Lot Size
Prices
Square Footage of Living Area
Occupancies (See Table Below)
Quarter & Year Plan 1 Plan 2 Plan 3 Plan 4

7. FINANCING STRUCTURES OFFERED TO HOMEBUYERS
□ FHA □ VA □ VARIABLE
□ OTHER

8. FINANCING MECHANICS
Acreage Commence Occupancy
(Quarter & Year)
1 2 3 4
sq. ft.

A. Preparation of Boundary Map
Attach if possible
B. Preparation of RMA
Attach if possible
C. Proposed JCFAs
Agency Name
Funding Purpose (i.e. fees, facilities)
Name
Contact Name
Mailing Address
Phone
Fax
Email

55.2 TBD
NA
NA
NA
NA
NA
NA
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A
TBD
TBD
TBD
TBD
TBD
TBD
Spicer Consulting Group
Spicer Consulting Group / Zimmerman Group
Yes
Eastern Municipal Water District
Fees / Facilities
Director of Finance
Thomas Hays
2270 Trumble Road, Perris, CA 92570
(951) 928-3777 Ext. 4952
[email protected]
See Exhibit A
See Exhibit A
See Exhibit A
See Exhibit A

Special District Application

Page 4 of 4 ends

Agency Name
Funding Purpose (i.e. fees, facilities)
Name
Contact Name
Mailing Address
Phone
Fax
Email
D. Additional Land Secured Financings Proposed
Agency Name & Backup
E. Overlapping Land Secured Financings List all existing special taxes, assessments, & liens as well as agency name(s)* F. Improvement Area(s)/Zone(s) ☐ Yes ☐ No
G. Basis for Either
H. Initial Levy Fiscal Year
I. Final Levy Fiscal Year (Anticipated)
J. Proposed Capitalized Interest Months
K. Proposed Facilities Costs Breakout Between Improvement Area(s)/Zone(s) & Type of Facility/Agency L. Summary of Proposed Methodology Proposed Land Use Categories & Method of Apportionment Questions? Contact our Special Tax Consultant, Spicer Consulting Group at 866-504-2067. Thank you. * Attach backup as needed
Romoland School District / Perris High School District
JCFA for financing School Fees
CSG Advisors
Scott Smith
315 Montgomery Street, San Francisco, CA 94104
415-613-1717
[email protected]
Zones to accommodate product types.
2023-2024
To Be Determined
6 - 12
See Exhibit A, including allocation of facilities. The City is being requrest to participate in a JCFA with Romoland School District and Perris High School District as part of this CFD amendment for IA No. 2.

See Exhibit A
The amendment of the CFD is needed to fund Romoland School District and Perris Joint Union High School District fees as a result of the cancellation of Romoland School District CFD No. 2018-1. This has been agreed to as a result of the Age-Qualified units in IA No. 2 and the reduced amount of school funding making the School CFD less efficient.

EXHIBIT A
Pulte Homes - Cimarron Ridge (Tract No. 36658)
City of Menifee CFD No. 2023-2 (Cimarron Ridge) - Improvement Area No. 2 (Amended) Effective Tax Rate Analysis and Bond Sizing Analysis
August 10, 2023
Assumptions Estimated Sources & Uses of Funds
IA No. 1 IA No. 2 Sources IA No. 1 IA No. 2 Total Description Per Unit Total Weighted Average Coupon #### 5.25% Par Bond Amount 6,370,000$ 10,790,000$ 17,160,000$ City Fees 8,008$ 2,658,508$ Estimated Effective Tax Rate #### 1.87% City Fee Facilities 703 531,702 Priority Administrative Expense ### $30,000 Uses Romoland School Fees 2,871 2,170,430 (JCFA required) Cost of Issuance ### $250,000 Reserve Fund 588,672$ 997,103$ 1,585,775$ Perris Union High School Fees 1,276 964,407 (JCFA required) Capitalized Interest (Months) 6 6 Capitalized Interest 163,470 276,895 440,365 EMWD Water Tank 3,605 2,725,156 Special Tax Revenue Escalation#### 2.00% Underwriter Discount 127,400 215,800 343,200 City Improvements - - Bond Amortization Term 30 30 Cost of Issuance 250,000 250,000 500,000 Contingency - - Underwriter Discount #### 2.00% Improvement Fund 5,240,458 9,050,202 14,290,660 Total CFD Funding 16,462$ 9,050,202$ Total Special Tax Revenues ### 651,075$ Total Uses 6,370,000$ 10,790,000$ 17,160,000$ 15,759$ 8,518,500$
Land Use Information & Total Property Tax Rates Special Tax Revenues Ad Other EMWD CFD MUSD CFD Romoland City CFD City Proposed PA MUSD City City Home City Special Base Valorem Fixed 2018-81 2020-1 2018-1 2023-2 Total Tax Total Tax Unit CFD City CFD No. IA ZN IA IA Zone Size (a) Tax Category Pricing (a) Taxes (b) Chrgs (c) Tax (d) Tax (e) Tax (f) Tax (g) Per Unit Rate % Mix Tax Rev. 4 B 1 - 2 1 1,959 ≤ 2,300 517,990 5,725 1,123 1,150 --- - 2,102 10,101 1.95% 3 2,102 6,307 4 B 1 - 2 1 2,404 ≥ 2,301 542,990 6,002 1,123 1,200 --- - 2,263 10,588 1.95% 4 2,263 9,054 4 B 1 - 2 1 2,824 ≥ 2,301 567,990 6,278 1,123 1,300 --- - 2,263 10,965 1.93% 4 2,263 9,054 5 C - - 2 2 1,579 (AQ) ≤ 1,700 509,000 5,626 916 1,275 --- - 1,599 9,417 1.85% 50 1,599 79,967 5 C - - 2 2 1,731 (AQ) 1,701 - 1,900 520,000 5,748 916 1,275 --- - 1,681 9,620 1.85% 51 1,681 85,744 5 C - - 2 2 1,865 (AQ) 1,701 - 1,900 530,000 5,858 916 1,275 --- - 1,681 9,731 1.84% 50 1,681 84,063 6 C - - 2 2 2,056 (AQ) 1,901 - 2,100 545,000 6,024 916 1,300 --- - 1,842 10,083 1.85% 32 1,842 58,958 6 C - - 2 2 2,172 (AQ) 2,101 - 2,300 554,000 6,123 916 1,300 --- - 1,909 10,249 1.85% 32 1,909 61,103 6 C - - 2 2 2,313 (AQ) ≥ 2,301 565,000 6,245 916 1,325 --- - 1,966 10,453 1.85% 32 1,966 62,924 7 C - - 2 3 2,304 ≤ 2,500 571,000 6,311 1,123 1,325 --- - 2,375 11,135 1.95% 18 2,375 42,751 7 C - - 2 3 2,641 2,501 - 2,700 596,000 6,588 1,123 1,350 --- - 2,561 11,622 1.95% 18 2,561 46,102 7 C - - 2 3 3,047 2,901 - 3,100 614,000 6,786 1,123 1,375 --- - 2,688 11,973 1.95% 19 2,688 51,077 7 C - - 2 3 3,337 ≥ 3,301 635,000 7,019 1,123 1,400 --- - 2,841 12,383 1.95% 19 2,841 53,973 IA No. 2 - Total Wtd Avg. 2,129 549,557$ 6,074$ 969$ 1,303$ -$ -$ 1,961$ 10,307$ 1.87% 332 1,961$ 651,075$ Footnotes: **
(a) Product and pricing provided by developer. Menifee Union SD Romoland SD (b) Ad Valorem taxes total 1.16730% for Menifee USD or 1.10529% for Romoland SD of the assessed value for FY 22-23. 22 A 22 B 22 A 22 C (c) Estimated other fixed charges and assessments for FY 2022-23: Amount Amount Amount Amount Flood Control Stormwater/Cleanwater …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..3.76$ 3.76$ 3.76$ 3.76$ MWD Standby East …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..6.94 6.94 6.94 6.94 EMWD Standby - Combined Charge …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..21.00 21.00 21.00 21.00 Valleywide Regional Facility LMD 88-1 …………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………..5.54 5.54 5.54 5.54 City of Menifee CFD No. 2017-1 - Zone 22 (Lighting, Landscaping, Street Sweeping, Parks & Trail Maintenance) …..................................................................................................................1,086.00 879.00 1,086.00 879.00 Perris Union High School District CFD No. 92-1 (2023-24) …..................................................................................................................…..................................................................................................................329.66 329.66 - - Total Fixed Charges 1,453$ 1,246$ 1,123$ 916$ (d) Represents the EMWD CFD 2018-81 Special Tax for each Improvement Area and Tax Zone. (e) Represents the Menifee Union School Distirct CFD 2020-1 Special Tax for each Improvement Area for fiscal year 2023-24 (escalating 2% annually). (f) Represents the Romoland School Distirct CFD 2018-1 Special Tax for fiscal year 2023-24 (escalating 2% annually) & assumes termination of CFD on Senior Housing in PA 5 & 6. (g) Represents the City of Menifee CFD 2023-2 Special Tax for fiscal year 2023-24 (escalating 2% annually) .

EMWD

Page 1 of 1 ends

Finance CommitteeSeptember 26, 2023

Finance Committee
September 26, 2023