CITY OF MENIFEE
SUBJECT: Proposed Bond Issuance for Community Facilities District No. 2024-1, Banner Park II
MEETING DATE: January 13, 2026
TO: Finance Committee
PREPARED BY: Lauri Lockwood, Financial Analyst
REVIEWED BY: Travis Hickey, Chief Financial Officer
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
1. Review the proposed bond issuance request for Community Facilities District (“CFD”) No. 2024-1, Banner Park II by Pulte Home Co., LLC, to finance the costs of certain public improvements in connection with the development of 182 homes in a community located southeast of Domenigoni Parkway at Lindenberger Road within the City of Menifee (the “City”); and
2. Recommend the Finance Department proceed with the preparation of the Official Statement and other legal documents related to the transaction for presentation to the City Council.
DISCUSSION
Pulte Home Co., LLC, (the “Developer”) owns a residential tract approved for 182 homes within the City. In December 2025, the Developer requested that the City proceed with issuing bonds for CFD No. 2024-1, Banner Park II, (the “Development”) to finance eligible public facilities.
As of mid-December 2025, building permits have been issued for 128 homes. Of these, 65 homes have closed escrow, and 34 homes are sold and currently in escrow. The proposed Series 1 bond issuance for CFD No. 2024-1 is based on 119 homes. According to the City’s tax consultant, Spicer Consulting Group, approximately $6.36 million in bonds could be issued.
A preliminary bond analysis prepared by Spicer Consulting reviewed valuation, delinquency history and effective tax rate to assess the viability of the issuance. The Development demonstrates a strong value-to-lien ratio of 12.25:1 -- which is substantially higher than the City’s policy threshold of 4:1 -- and an estimated average tax rate of 1.9%, which is less than the City’s 2% limit. Because CFD taxes were first levied in Fiscal Year 2025/2026, no delinquencies were reported at the time of the analysis in mid-December.
City of Menifee Staff Report
Proposed Bond Issuance for CFD 2024-1, Banner Park II
January 13, 2026
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Based on current interest rates, the Series 1 bond issuance is expected to finance approximately $5.1 million in eligible City facilities and fees. The Developer anticipates returning for a final bond issuance when the remaining 63 homes in the Development are near completion.
The intention is to engage Raymond James & Associates, Inc., for this bond issuance.
Table 1 - Summary of CFD 2024-1, Banner Park II, Activity:
Description Date
Finance Committee CFD Formation Review September 12, 2023 Resolution of Intention June 19, 2024
Resolutions of CFD Formation (City Council
Approval)
August 7, 2024 /
August 21, 2024
FISCAL IMPACT
There is no fiscal impact associated with the recommended action.
ATTACHMENTS
1. CFD 2024-1 Proforma Summary
2. CFD 2024-1 Project Map
3. CFD 2024-1 Preliminary Bond Sale Analysis
4. CFD 2024-1 Boundary Map
5. CFD 2017-1 Annex 23 Maintenance Exhibit
6. CFD 2024-1 Public Hearing Report
7. CFD 2024-1 Bond Issuance Request