Report to City Council
ID: 26-0383 Page 1
TO: Mayor and City Council
Mayor and City Council Acting in its Capacity as
Chairman and Members of the Board of Directors of
the Moreno Valley Public Financing Authority (MVPFA)
FROM: Brian Mohan, City Manager/Executive Director
Felicia London, MPA, Chief Financial Officer/City
Treasurer
Sarah Mack, Chief of Police
Jesse Park, Chief of Fire
AGENDA DATE: October 6, 2026
TITLE: PUBLIC HEARING AUTHORIZING THE ISSUANCE OF
THE MORENO VALLEY PUBLIC FINANCING
AUTHORITY LEASE REVENUE BONDS, SERIES 2026A
(REPORT OF: CITY MANAGER/EXECUTIVE
DIRECTOR) (DISTRICT: ALL DISTRICTS)
TITLE SUMMARY: Public Hearing Authorizing the Issuance of the Moreno Valley Public Financing Authority Lease Revenue Bonds,
Series 2026A
DISTRICT: All Districts
Recommendation(s)
That the City Council and the Moreno Valley Public Financing Authority:
1. Find that the 2026 Project is exempt from the California Environmental Quality Act (CEQA) in accordance with Section 15183 of the CEQA Guidelines; and
2. Conduct the Public Hearing and accept public testimony regarding the issuance of Moreno Valley Public Financing Authority Lease Revenue Bonds, Series 2026A, in an aggregate principal amount Not to Exceed $150,000,000; and ID: 26-0383 Page 2
3. Adopt Resolution Number 2026-XX, A Resolution of the City Council of the City of Moreno Valley approving the issuance by the Moreno Valley Public Financing Authority of Not to Exceed $150,000,000 Aggregate Principal Amount of Lease Revenue Bonds, Series 2026A to finance certain capital improvements of the City; approving the form of an Official Statement; and authorizing the execution and delivery of necessary documents and the taking of all necessary actions relating to the financing; and
4. Adopt Resolution Number PFA 2026-XX, A Resolution of the Board of Directors of the Moreno Valley Public Financing Authority authorizing the issuance and sale of Not to Exceed $150,000,000 Aggregate Principal Amount of Lease Revenue Bonds, Series 2026A to finance certain capital improvements; of the City of Moreno Valley; approving the form of an Official Statement; and authorizing the execution and delivery of necessary documents and the taking of all necessary actions relating to the financing; and
5. Approve the necessary budget adjustments to allow the recording of the issuance of the bonds and related debt service required for Fiscal Year (FY) 2026/27; and
6. Authorize the necessary additions and budget adjustments to the FY 2026/27 Capital Improvement Plan (CIP) and appropriate $134,360,000 for the new projects; and
7. Authorize the City Manager to execute amendments to all related agreements for the Public Safety Revenue Bonds, Series 2026A, and any associated consultant agreements within the City Council-approved annual budgeted amounts, including the authority to authorize the associated purchase orders in accordance with the terms of the related agreement(s), subject to the approval of the City Attorney.
SUMMARY
This staff report recommends conducting a Public Hearing and accept public testimony related to the issuance of the Moreno Valley Public Financing Authority Lease Revenue Bonds, Series 2026A, in support of the expansion and enhancement of the Public Safety Campus and other public capital improvements of the City (“2026 Project”), within the City Council-approved annual budgeted amounts, including the authority to authorize the associated purchase order in accordance with the terms of the applicable agreements, subject to the approval of the City Attorney.
DISCUSSION
The City of Moreno Valley has continued to prioritize public safety within the community through a variety of efforts, including long-term planning for future infrastructure development projects, as mentioned in the recently updated General Plan, approved on April 21, 2026 (Moreno Valley 2040 General Plan Update). As the city continues to grow, enhanced public safety services and infrastructure are essential to ensuring that the City can effectively respond to the needs of the growing community. The City of Moreno Valley has experienced significant residential, commercial, and industrial growth, particularly in the eastern portion of the City in recent years. This growth has increased demand for ID: 26-0383 Page 3
police, fire protection, and emergency medical services while expanding the geographic area served by public safety personnel.
The City has continued to address these growing needs through its budget and longrange planning efforts. On May 6, 2025, the City Council approved the Fiscal Years 2025/26 and 2026/27 operating budget, which included additional personnel and equipment for the Police and Fire Departments and planning for a new Public Safety Campus in the eastern portion of the City. In addition, Moreno Valley voters approved Measure U, the Moreno Valley Essential Services Reauthorization Measure, on November 5, 2024, which identified maintaining public safety service levels as a priority.
To further address current and future public safety needs, the City has identified a series of capital investments to expand and enhance its public safety infrastructure. The proposed 2026 bond-funded program includes three primary components: (1) development of an east-end Public Safety Campus; (2) construction of a Corporate Yard fueling station; and (3) improvements to existing public safety facilities, including various fire stations (collectively, “2026 Project”).
The Public Safety Campus is a major component of this initiative and is intended to strategically locate public safety resources closer to areas of continued growth. The Public Safety Campus is proposed to include a joint-use police and fire station, supporting facilities, and related public infrastructure improvements to accommodate personnel, equipment, training, administrative functions, and future operational needs.
The Public Safety Campus will be constructed on City-owned property at the southwest corner of Redlands Boulevard and Brodiaea Avenue. The Public Safety Campus will strengthen the City’s ability to provide efficient public safety services and accommodate anticipated community growth and future service demands.
PROJECT DESCRIPTIONS:
Public Safety Campus
The 2026 bond funded projects (“2026 Project”) consists of a variety of capital projects the City is implementing through a public safety initiative, which consists of three primary components: (1) development of a Public Safety Campus (east) (the “Public Safety Campus”); (2) construction of a Corporate Yard fueling station; and (3) improvements at existing civic center and to various fire stations.
The Public Safety Campus is expected to serve as a centralized public safety hub for the City, consisting of a new joint-use fire and police station, as well as related public infrastructure improvements. The proposed Public Safety Campus will be located on Cityowned land located at the southwest corner of Redlands Boulevard and Brodiaea Avenue, which the City acquired in July 2026.
The proposed Fire Station at the Public Safety Campus is expected to be a two-story, approximately 50,000-square-foot fire station, designed to serve as a regional facility for the Riverside County Fire Department. The Fire Station is expected to include six drive- ID: 26-0383 Page 4
through apparatus bays supporting Type 1 fire engines, squads, and tiller trucks. The Fire Station will also include fire administration, operational support, and firefighter living quarters.
The proposed Police Station at the Public Safety Campus is expected to be a two-story, approximately 90,000-square-foot Police Station. The Police Station will incorporate controlled public and secure access, a secure perimeter and parking area, and multiple ingress and egress routes, while supporting command staff, administration, patrol, specialized units like traffic and community service, special enforcement teams, investigations, property and evidence, and training.
Other Capital Improvements
In addition to the improvements proposed at the Public Safety Campus, a portion of the proceeds of the Series 2026A Bonds will be used to provide funds to construct a separate fueling station located at the City’s existing Corporate Yard. The fueling station will consist of the construction of a new aboveground fueling facility that will support the City’s growing municipal fleet demands and ensure reliable emergency fueling capabilities for critical operations.
The 2026 Project also includes improvements to Fire Stations 2, 6, 48, 58, 65, 91, and 99, as well as the existing Public Safety Building. The Fire Stations are expected to be retrofitted to fit the increased staffing needs, enhance operational efficiency, and address deferred maintenance. The Fire Station improvements include constructing structural additions to provide improved living, operational, and support spaces for fire personnel.
THE BOND:
The Lease Revenue Bonds, Series 2026A, are proposed to fund the design, acquisition, and construction of capital improvements for the Public Safety Campus and other public improvements (“2026 Project”), which have an estimated cost of $134,360,000. Because interest rates are likely to fluctuate until the proposed day the bonds are sold, City staff recommends a not-to-exceed amount for the 2026 Bonds of $150,000,000, and a not-toexceed interest rate of 5.75% per annum, and a not-to-exceed underwriter’s discount of
0.40% of the aggregate principal amount of the 2026 Bonds to accommodate any changes in investor structuring preferences and/or bond market conditions. It is anticipated that the 2026 Bonds will be structured with bond insurance.
Pursuant to the Lease Agreement, the City is obligated to pay the Series 2026A Installment Payments as the purchase price for certain capital improvements. The obligation of the City to make the Series 2026A Installment Payments is a special obligation of the City solely from the Measure U Revenues, as described in the Lease Agreement. The proposed 2026 Bonds are expected to price in mid-October and close in mid-November 2026.
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ENVIRONMENTAL
The California Environmental Quality Act (Section 21000, et. seq. of the California Public Resources Code, hereafter “CEQA”) requires analysis of agency approvals of discretionary “projects.” A “project,” under CEQA, is defined as “the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” Although the proposed 2026 Project is a project under CEQA, no further environmental review is required since it is exempt from CEQA review under State CEQA Guidelines Section 15183 (Consistency with a General Plan, Community Plan, or Zoning). State CEQA Guidelines Section 15183 (Public Resources Code §21083.3), provides that projects which are consistent with the development density established by an existing community plan, general plan, or zoning for which an environmental impact report (EIR) has been certified “shall not require additional environmental review, except as might be necessary to examine whether there are project-specific significant effects which are peculiar to the project or its site.” On April 21, 2026, a Revised Final Environmental Impact Report (2024 RFEIR) was certified by the City Council as part of the Moreno Valley 2040 General Plan Update (State Clearinghouse No. 2020039022). The 2024 RFEIR provides a programmatic review of the potential impacts associated with the implementation of the overall Moreno Valley 2040 General Plan Update. The following analysis outlines how the proposed 2026 Project is exempt from further environmental analysis pursuant to CEQA Guidelines Section 15183.
Section 15183 Eligibility
The 2026 Project is consistent with the land uses identified for the Public Safety Campus Site, CYFS Site, and the Existing Civic Center Tenant Improvements in the MoVal 2040 General Plan Update. The Public Safety Campus Site has an existing Land Use designation of R5 Residential, R10 Residential, R15 Residential, R20 Residential, and Parks/Open Space and a Zoning designation of R5 Residential, RS 10 Residential Single Family, R15 Residential, R20 Residential, and Open Space. The Public Safety Campus would be permitted under the existing uses and zoning designation and would not require a general plan amendment or zone Change. The CYFS Site has a land use and zoning designation of Public (P). The CYFS would be permitted under the existing uses and zoning designation and would not require a general plan amendment or zone change.
Additionally, as the tenant improvements will be retrofitted to existing infrastructure, they will not require a general plan amendment or zone change.
The Public Safety Campus Site would develop a new public safety facility with associated circulation improvements, fencing, landscaping, and stormwater features, which is within the assumptions of the land use and growth projections of the MoVal 2040 General Plan Update. The CYFS Site would construct a new aboveground fueling facility to support the City’s growing municipal fleet demands and ensure reliable emergency fueling capabilities for critical operations. The tenant improvements will be retrofitted to existing infrastructure and support the long-term growth of the City. Therefore, the MoVal 2040 General Plan Update adequately anticipated and analyzed the impacts of the proposed 2026 Project, identified applicable mitigation measures necessary to reduce impacts of ID: 26-0383 Page 6
the proposed 2026 Project, and the proposed 2026 Project implements the applicable mitigation measures. In light of the foregoing, the proposed 2026 Project qualifies for an exemption from additional environmental review as set forth in CEQA Guidelines Section 15183.
Specifically, the proposed 2026 Project qualifies for an exemption under CEQA Guidelines Section 15183 for the following reasons:
1. The 2026 Project is consistent with the development density established by existing zoning, community plan and MoVal 2040 General Plan Update policies for which the 2024 RFEIR was certified in that: (a) the 2026 Project is consistent with the development density and intensity evaluated in the 2024 RFEIR; (b) the Public Safety Campus and CYFS would be permitted under the existing uses and zoning designation and would not require a general plan amendment or zone change; and (c) the tenant improvements will be retrofitted to existing infrastructure which does not require a general plan amendment of zone change.
2. There are no 2026 Project specific effects which are peculiar to the 2026 Project or its site which the 2024 RFEIR failed to analyze as significant effects in that: (a) the 2026 Project does not introduce specific environmental effects that were not considered in the 2024 RFEIR; (b) the 2026 Project Site does not contain unique physical or environmental conditions that would result in new or unusual impacts; and (c) the environmental effects of this type of project are already addressed through the MoVal 2040 General Plan Update’s goals and policies.
3. There are no potentially significant off-site and/or cumulative impacts which the 2024 RFEIR failed to evaluate in that: (a) the 2026 Project will not result in new or more severe off-site or cumulative effects than those evaluated in the 2024 RFEIR; (b) cumulative impacts associated with the 2026 Project’s buildout, including transportation activity, air emissions, visual change, and infrastructure demand, are consistent with the effects associated with planned development assumed in the MoVal 2040 General Plan Update which were analyzed and mitigated in the 2024 RFEIR; and (c) the 2026 Project’s low operational intensity further reduces the potential for cumulative impacts, and compliance with the MoVal 2040 General Plan Update’s policies related to stormwater and hillside protection that ensures there will be no downstream or visual effects beyond what was previously evaluated.
4. There is no substantial new information which results in more severe impacts than anticipated by the 2024 RFEIR in that: (a) there is no substantial new information indicating that the 2026 Project will result in more severe impacts than those identified in the 2024 RFEIR; (b) the 2026 Project remains fully within the scope of the development assumed in the MoVal 2040 General Plan Update and continues to implement City standards; and (c) such requirements ensure that environmental effects are consistent with the evaluation previously disclosed in the 2024 RFEIR.
5. The 2026 Project will undertake feasible mitigation measures specified in the 2024 RFEIR in that: (a) the 2024 RFEIR identifies the policies in the MoVal 2040 General ID: 26-0383 Page 7
Plan Update that would reduce environmental effects; and (b) each section of the Exemption Checklist identifies the uniformly applied development policies and standards applicable to the 2026 Project, and how the 2026 Project effects are minimized or avoided by the policy.
Based on the analysis outlined above and the attached supporting documentation, staff recommends that the City Council find and that the Board of Directors acknowledge that no further environmental analysis of the proposed 2026 Project is required pursuant to CEQA Guidelines Section 15183.
ALTERNATIVES
1. Conduct the Public Hearing, accept public testimony related to the issuance of the Moreno Valley Public Financing Authority Lease Revenue Bonds, Series 2026A, and approve the recommended actions as presented in this staff report. Staff recommends this alternative since this action will result in the ability to fund muchneeded infrastructure for the Public Safety Campus and other related Capital Improvement projects.
2. Do not conduct the Public Hearing and provide staff with additional directions. This alternative is not recommended as it will result in the loss of the opportunity to fund much-needed infrastructure for the Public Safety Campus and other related Capital Improvement projects.
FISCAL IMPACT
All related financing costs will be paid from the future Measure U revenue.
NOTIFICATION
California Government Code Section 6066 establishes publication requirements for public notices. A notice of October 6, 2026, public hearing was published in The PressEnterprise on September 27, 2026.
PREPARATION OF STAFF REPORT
Prepared By: Department Head Approval:
Felicia London, MPA Brian Mohan
Chief Financial Officer/City Treasurer City Manager
Concurred By: Concurred By:
Sarah Mack Launa Jimenez
Chief of Police Assistant City Manager (Administration) Concurred By: Concurred By:
Jesse Park Angel Galache
Chief of Fire Deputy City Manager
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Concurred By: Concurred By:
Patty Yhuit Alan Garcia
Deputy Finance Director (Operations) Financial Operations Division Manager Concurred By:
Mayra Gonzalez
Public Safety Contracts Administrator
CITY COUNCIL GOALS
Public Safety: Provide a safe and secure environment for people and property in the community, control the number and severity of fire and hazardous material incidents, and provide protection for citizens who live, work and visit the City of Moreno Valley.
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
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Report Approval Details
Document Title: STAFFREPORT_CM_PUBLIC_SAFETY_BOND_.docx Attachments: - Notice of Public Hearing - Posting.pdf
- Moreno Valley Public Safety Campus Section 15183 Checklist.pdf - Apx A - Air Quality GHG Emissions.pdf
- Apx B - Biologically Equivalent or Superior Preservation Report.pdf
- Apx C - Cultural Resources Assessment.pdf
- Apx D - Geotechnical Evaluation.pdf
- Apx E - Preliminary Soils Investigation.pdf
- Apx F - Paleontological Resources Assessment.pdf
- Apx G - Noise and Vibration Analysis.pdf
- Apx H - VMT Analysis.pdf
- City Resolution (Moreno Valley 2026 Lease Revenue Bonds).docx - Authority Resolution (Moreno Valley 2026 Lease Revenue Bonds).docx
- First Supplemental Indenture (Moreno Valley 2026 Lease Revenue Bond).pdf
- First Amendment to Ground Lease (Moreno Valley 2026 Lease Revenue Bonds).pdf
- First Amendment to Lease Agreement (Moreno Valley 2026 Lease Revenue Bonds).pdf
- First Amendment to Assignment Agreement (Moreno Valley 2026 Lease Revenue Bonds).pdf
- Preliminary Official Statement (Moreno Valley 2026 Lease Revenue Bonds).pdf
- Bond Purchase Agreement - Moreno Valley PFA Lease Revenue Bonds 2026A.pdf
Final Approval
Date:
Oct 1, 2026
This report and all of its attachments were approved and signed as outlined below:
No Signature found
Angel Galache
No Signature found
Mayra Gonzalez
No Signature - Task assigned to Sarah Mack was completed by workflow administrator Patty Rodriguez
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Sarah Mack
No Signature found
Jesse Park
Brian Mohan
Anna Chacon
Felicia London, MPA
No Signature - Task assigned to Launa Jimenez was completed by workflow administrator Patty Rodriguez
Launa Jimenez
Patty Rodriguez