JPA – City and MCOE
A Community Conversation
Spring/Summer 2026
October 19, 2026
• City, County and community collaborated on
University Community Plan to plan a true
“University Community” to support the staff
and students.
• Current project implements the plan that
started in 2000 - approved in 2004.
• City Annexation – of UC Merced and VST has
been Completed
• Pre-Annexation Development Agreement
• City has Approved Large Lot and Tentative
Subdivision Maps
15-Year Buildout
Funding Option for
Critical Infrastructure
For
Virgina Smith Trust
(VST) Development
July 20, 2026 Study Session Held
Process
5 Formation of Community Facilities District
Resolution of Intention
Resolution of Formation
Second Reading of Ordinance
CFD Bond Sales
Resolution of Issuance as development takes
place
Formation of Joint Powers Authority (JPA)
Merced County Board of Education
City of Merced
Other?
JPA and Debt Obligations
Local governments may establish a JPA to jointly
exercise common powers; JPA may exercise statutory
powers, including forming a CFD.
MCOE and other public agencies, including the City,
are authorized by the California JPA Act to establish a JPA.
CFDs can levy special taxes and issue bonds to finance improvements owned by the JPA’s members, including
MCOE and the City.
Benefits of CFDs
Office of Ed and City
Fund much needed
facilities
Assist with development
Bridge funding gap
Specified area
Bond Financing
Surplus special taxes
DEVELOPERS
Better marketability
Lower costs to develop/
build
Taxes tied to the
property
HOMEOWNERS
Newer infrastructure
Lower purchase price
Taxes tied to the
property
Pay only when one owns
the property
5-Step CFD Formation Process
Landowner
Petition
Resolution
of
Intention
CFD
Report
Public
Hearing
&
Landowner
Election
Resolution
of Formation
/Ordinance
1 2 3 4 5
Bond
Authorization
Process
Proposed JPA Structure
• Board – Four Directors with two appointed by the Board of Education and two by the Merced City Council
• Alternates can also be chosen
• The Directors will appoint a Chair and Vice Chair
• Subject to Brown Act Requirements – notice, minutes, public meetings
• Other Positions – Treasurer, Auditor, Executive Director, Secretary, and General Counsel
Articles
• General Provisions
• Powers
• Contribution: Accounts and Reports: Funds
• Other Provisions
Recommendation
• Receive any public comments
• Provide Direction on Creating
a Joint Powers Authority with
Merced County Office of
Education for VST Critical
Infrastructure Financing
• Provide input on proposed
documents necessary to
implement the JPA