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STAFFREPORT_FMS_SD_ANNEXATIONS INTO CFD 2023-01_11.18.25.pdf

Moreno Valley City Council
November 18, 2025

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STAFFREPORT_FMS_SD_ANNEXATIONS INTO CFD 2023-01_11.18.25.pdf
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November 18, 2025
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Moreno Valley City Council
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Text extracted from the city's file for reading and search. Open the original on pub-morenovalley.escribemeetings.com. That file is the official record.

Report to City Council

ID: 25-0467 Page 1

TO: Mayor and City Council

FROM: Dena Heald, Chief Financial Officer/City Treasurer

AGENDA DATE: November 18, 2025

TITLE: ANNEXATION OF CERTAIN PARCELS INTO CFD NO.
2023-01 (PUBLIC SAFETY SERVICES) (REPORT OF:

FINANCIAL AND MANAGEMENT SERVICES)
(DISTRICT: ALL APPLICABLE)

TITLE SUMMARY: Pursuant to Landowner Petitions, Annex Certain Parcels into Community Facilities District No. 2023 -01 (Public Safety Services) (Reso No. 2025-___)

DISTRICT: All Districts

Recommendation(s)

That the City Council:

1. Acting as the legislative body of Community Facilities District No. 2023 -01 (Public Safety Services), adopt Resolution No. 2025 -__, a Resolution of the City Council of the City of Moreno Valley, California, ordering the annexation of territory to the City of Moreno Valley Community Facilities District, for the specific properties as listed in the Discussion section of this staff report and as previously approved by the Landowner and certified by the City's Election Official (Amendments Nos. 79, 80, 105, 110, 116, 119, 121, and 122).

SUMMARY

Adoption of the resolution (Attachment 1) will order the annexation of a total of 8 parcels into Community Facilities District (CFD) No. 2023 -01 (Public Safety Services) (the “District”). This action impacts only the property owners identified below, not the general citizens or taxpayers of the City.

DISCUSSION

ID: 25-0467 Page 2

As conditions of approval for the development projects, Property Owners are required to provide an ongoing funding source for certain public services (i.e., public safety services).

The funding mitigates the costs of impacts created by the proposed development.

On November 21, 2023 , the City Council formed CFD No. 2023 -01 (Public Safety Services) to provide alternative funding tools for the development community to mitigate the impact of their proposed development. Annexation into the District provides property owners a mechanism to fund public safety services through an annual special tax.

On March 5, 2024, the City Council adopted Ordinance No. 1007, which designated the entire territory of the City as a future annexation area for CFD 2023 -01. With the future annexation areas designated, annexations can occur without an additional public hearing as long as the annexing landowners provide unanimous consent.

A property owner has the following options to satisfy the development conditions requiring a funding source for certain public services:

1. Annex the territory into the applicable CFD. (This option is generally only available if there are fewer than 12 registered voters living within the proposed annexation area); or

2. Create a permanent, prefunded, and irrevocable endowment that will yield an annual revenue stream to meet the annual obligation and provide for the ongoing operational services.

If a landowner elects to annex their property into the District and the City Council approves the annexations, the City is authorized to levy special taxes onto the annual property tax bill to fund the services related to or impacted by their development.

The following property owners have elected to annex into the District to satisfy their condition(s) of approval:

Property Owner(s)
Project
ACP Record No(s).

Amendment
No(s). APN(s) Location
Manuel Alejandro Moncada Torres and
Iliana Judith Moncada
Jr. Accessory Dwelling Unit (ADU)
SCP25-0069/BFR24-0225
79 485-161-030 15455 Gemstone Ct.

Marilupe Alegre Avila Pena
Jr. Accessory Dwelling Unit (ADU)
SCP25-0089/BFR25-0078
80 484-222-008 25217 Billie Dr.

Miguel Hernandez Ortiz, Miguel
Hernandez, and Martha Hernandez
Jr. Accessory Dwelling Unit (ADU)
SCP25-0047/BFR23-0221
105 479-483-005 13532 Red Mahogany Dr.

ID: 25-0467 Page 3
Property Owner(s)
Project
ACP Record No(s).

Amendment
No(s). APN(s) Location
Jessica Zaragoza Ferreira
Jr. Accessory Dwelling Unit (ADU)
SCP25-0108/BFR25-0014
110 256-242-021 21948 Glen View Dr.

Jamie Garcia
Custom Home
SCP25-0059/BFR24-0050/PEN21-0299

116 475-300-023 24966 Ironwood Ave.

Tarula L Living Trust Dated 03/21/20
and Leticia Tarula
Accessory Dwelling Unit (ADU)
SCP25-0158/BFR25-0068
119 482-040-031 24544 Atwood Ave.

CC Group
3 Accessory Dwelling Units (ADUs)
SCP25-0084/BFR24-0185/BFR25-0059
121 475-182-042 11529 & 11531 Davis St.

Brenda Gomez and
Martin Sebastian Mejia Gomez
Accessory Dwelling Unit (ADU)
SCP25-0150/BFR25-0074
122 264-192-036 11621 Warbler Way

The Office of the Riverside County Registrar of Voters confirmed there were less than 12 registered voters residing at each property, allowing a special election of the landowner.

Adoption of the attached resolution (Attachment 1) amends the District and adds the property/properties, with a special tax rate based on property type, in the Fiscal Impact section of this report and directs the recordation of the boundary map s and amended notices of special tax lien for the amendments. The City Clerk received and reviewed the Landowner Petitions and confirmed the Property Owners unanimously approved the annexations of their property into the District (Attachment 2).

Successful completion of the annexation process satisfies the project’s conditions of approval requirements to provide a funding source for public safety services.

ALTERNATIVES

1. Adopt the resolution. Staff recommends this alternative as it will annex the property/properties into CFD 2023 -01 at the request of the Property Owners and satisfy the conditions of approval for the proposed developments.

2. Do not adopt the resolution. Staff does not recommend t his alternative as it is contrary to the request of the Property Owners, will not satisfy the conditions of approval and may delay development of the projects.

3. Do not adopt the resolution but rather continue the item to a future regularly scheduled City C ouncil meeting. Staff does not recommend this alternative as it will delay the Property Owners from satisfying the condition of approval and may delay development of the projects.

ID: 25-0467 Page 4

FISCAL IMPACT

Revenue received from the special taxes are restricted and c an only be used to fund services within the District. The special tax can only be applied to a property tax bill of a parcel wherein the qualified electors (i.e., landowners or registered voters, depending upon the number of registered voters) have previously provided approval. The maximum special tax rate is detailed below. If the projected revenue from the maximum special tax exceeds what is necessary to fund the services, a lower amount will be applied to the property tax bill.

Property Owner(s)
Project
ACP Record No(s).

Amendment
No(s). Property Type FY 2025/26 Maximum
Special Tax Rate1
Manuel Alejandro Moncada Torres and
Iliana Judith Moncada
Jr. Accessory Dwelling Unit (ADU)
SCP25-0069/BFR24-0225
79 Accessory
Dwelling Unit $216.30/Unit
Marilupe Alegre Avila Pena
Jr. Accessory Dwelling Unit (ADU)
SCP25-0089/BFR25-0078
80 Accessory
Dwelling Unit $216.30/Unit
Miguel Hernandez Ortiz, Miguel
Hernandez, and Martha Hernandez
Jr. Accessory Dwelling Unit (ADU)
SCP25-0047/BFR23-0221
105 Accessory
Dwelling Unit $216.30/Unit
Jessica Zaragoza Ferreira
Jr. Accessory Dwelling Unit (ADU)
SCP25-0108/BFR25-0014
110 Accessory
Dwelling Unit $216.30/Unit
Jamie Garcia
Custom Home
SCP25-0059/BFR24-0050/PEN21-0299

116 Single-Family $254.10/Unit
Tarula L Living Trust Dated 03/21/20
and Leticia Tarula
Accessory Dwelling Unit (ADU)
SCP25-0158/BFR25-0068
119 Accessory
Dwelling Unit $216.30/Unit
CC Group
3 Accessory Dwelling Units (ADUs)
SCP25-0084/BFR24-0185/BFR25-0059
121 Accessory
Dwelling Unit $216.30/Unit
Brenda Gomez and
Martin Sebastian Mejia Gomez
Accessory Dwelling Unit (ADU)
SCP25-0150/BFR25-0074
122 Accessory
Dwelling Unit $216.30/Unit
1The special tax applied to the property tax bill will be based on the needs of the District. The applied special tax rate cannot exceed the maximum special tax rate.

The maximum special tax rates are subject to an annual inflation adjustment based on the change in the Consumer Price Index (CPI) or five percent (5%), whichever is greater.

However, the annual adjustment cannot be applied unless the City Council annually authorizes such adjustment. The increase to the maximum special tax rates cannot exceed the annual inflationary adjustment without a two -thirds approval of the qualified electors.

ID: 25-0467 Page 5

NOTIFICATION

The Landowner Petitions were provided to the Property Owners on October 22, 27, and October 28, 2025.

PREPARATION OF STAFF REPORT

Prepared by: Department Head Approval:

Kaitlyn Choma Launa Jimenez
Management Assistant Assistant City Manager (Administration)

Concurred by: Concurred by:

Isa Rojas Shanna Palau
Interim Special Districts Manager Public Safety Contracts Administrator

CITY COUNCIL GOALS

Community Image, Neighborhood Pride and Cleanliness: Promote a sense of community pride and foster an excellent image about our City by developing and executing programs which will result in quality development, enhanced neighborhood preservation efforts, including home rehabilitation and neighborhood restoration.

Revenue Diversification and Preservation: Develop a variety of City revenue sources and policies to create a stable revenue base and fiscal policies to support essential City services, regardless of economic climate.

CITY COUNCIL STRATEGIC PRIORITIES

1. Economic Development

2. Public Safety

3. Library

4. Infrastructure

5. Beautification, Community Engagement, and Quality of Life

6. Youth Programs

Objective 2.5: Develop partnerships with local businesses and warehouse operators to reduce traffic related issues.

Objective 2.6: Enhance operational excellence and efficiency in delivery of Police services.

Objective 2.7: Fully integrate Fire Prevention activities into the City’s Development Services processes to provide swift, seamless service.

ID: 25-0467 Page 6
Report Approval Details
Document Title: STAFFREPORT_FMS_SD_ANNEXATIONS INTO CFD 2023- 01_11.18.25.docx
Attachments: - RESOLUTION ORDERING ANNEXATION_CFD 2023- 01_11.18.25.docx
- CERTIFICATES OF ELECTION OFFICIAL_CFD 2023-
01_11.18.25.docx
Final Approval
Date:

Nov 10, 2025

This report and all of its attachments were approved and signed as outlined below:

No Signature found
Kaitlyn Choma
No Signature found
Isa Rojas
No Signature found
Shanna Palau
Natalia Lopez
No Signature - Task assigned to Dena Heald was completed by workflow administrator Patty Rodriguez
Dena Heald
Launa Jimenez
Brian Mohan
Patty Rodriguez

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