362
Category Standard Comment
U.S. Treasuries No limitations; 5 years max maturity; Faith and credit of the U.S. are pledged for the payment of principal and interest Complies Federal Agencies
75% max; 35% max per Agency and excluding Government National Mortgage Association (i.e. GNMAs); 5 years max maturity; Obligations issued by banks for cooperatives, federal land banks, federal intermediate credit banks, FHLB, TVA, FNMA, or other instruments of, or issued by federal agencies or U.S. government-sponsored enterprises; Any issue purchased must be fully guaranteed as to principal and interest by the full faith and credit of the U.S. or the issuing by federal agency
Complies
Municipal Securities
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Include obligations issued by the State of California and any local agency within the State of California, and registered 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 local agency or by a department, board, agency, or authority of a state or local agency
Complies
Corporate Medium Term Notes
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Issued by corporations organized and operating within the U.S. or by depository institutions licensed by the U.S. or any state and operating within the U.S
Complies
Certificates of Deposit 30% max; Certificates of Deposit approved by California AB 2011 Complies Commercial Paper
Prime quality with highest rating by a NRSRO; Issued by a domestic corporation with assets > $500 million and having an "A" rating or better by a NRSRO, on its debt other than commercial paper; 20% max; 5% max per issuer (book value); 270 days max maturity
Complies
Money Market Mutual Funds
$15 million max or 20% max, whichever is less; 90 days weighted average maturity; Shares of beneficial interest issued by diversified management companies that are Money Market Mutual Funds, registered with the SEC under Investment Company Act of 1940 investing in securities and obligations authorized by CGC Sections 53601(b) and (e) only (i.e. U.S.
Government issues only); Funds must either: (i) carry the highest rating by two NRSROs; or (ii) retained an investment adviser registered with SEC with > 5 years experience managing money market mutual funds with AUM >$500 million Complies
Local Agency Investment Fund (LAIF) $75 million max per account; State of California LAIF is permitted, with the knowledge that the fund may invest in some vehicles allowed by statute but not otherwise authorized by the City Council in the policy Complies Local Government Investment Pool (LGIP) Investment in new Government sponsored pools will be subject to due diligence; A thorough investigation of the pool is required prior to investing, and on a continual basis Complies Credit Risk
If securities owned by the City are downgraded by either Moody's, S&P, or Fitch, it shall be the City's policy to review immediately the credit situation and make a determination as to whether to sell or retain such securities in the portfolio. If a security is downgraded one notch below the quality required in the investment policy, it will be considered acceptable to retain such downgraded security in the portfolio and its presence in the portfolio will be reported to the City Council and be monitored on a continuous basis. If a security is rated two grades below the required minimum rating, it will trigger an automatic sale of such downgraded security
Complies
Statement of Compliance
As of December 31, 2021
City of Orange Consolidated
This portfolio is a consolidation of assets managed by Chandler Asset Management and assets managed internally by Client. Chandler relies on Client to provide accurate information for reporting assets and producing this compliance statement.
363
Portfolio Maturities
Portfolio maturities shall be managed to avoid undue concentration in any specific maturity sector with at least 15% of the portfolio must be invested from 1 to 365 in this maturity sector; No more than 50% of portfolio be invested from 366 days to 730 days; No more than 35% of the portfolio be invested from 731 days to 1095 days; No more than 30% of the portfolio be invested from 1096 days to 1460 days; No more than 30% of the portfolio be invested from 1461 days to 1825 days Complies
Maximum Maturity 5 years max maturity Complies
364
BOOK VALUE RECONCILIATION
BEGINNING BOOK VALUE
$80,368,191.65
Acquisition
+ Security Purchases
$0.00
+ Money Market Fund Purchases
$35,500.17
+ Money Market Contributions
$0.00
+ Security Contributions
$0.00
+ Security Transfers
$0.00
Total Acquisitions
$35,500.17
Dispositions
- Security Sales
$0.00
- Money Market Fund Sales
$0.00
- MMF Withdrawals
$0.00
- Security Withdrawals
$0.00
- Security Transfers
$0.00
- Other Dispositions
$0.00
- Maturites
$0.00
- Calls
$0.00
- Principal Paydowns
$0.00
Total Dispositions
$0.00
Amortization/Accretion
+/- Net Accretion
($6,773.26)
($6,773.26)
Gain/Loss on Dispositions
+/- Realized Gain/Loss
$0.00
$0.00
ENDING BOOK VALUE
$80,396,918.56
CASH TRANSACTION SUMMARY
BEGINNING BALANCE
$118,250.39
Acquisition
Contributions
$0.00
Security Sale Proceeds
$0.00
Accrued Interest Received
$0.00
Interest Received
$35,500.00
Dividend Received
$0.17
Principal on Maturities
$0.00
Interest on Maturities
$0.00
Calls/Redemption (Principal)
$0.00
Interest from Calls/Redemption
$0.00
Principal Paydown
$0.00
Total Acquisitions
$35,500.17
Dispositions
Withdrawals
$0.00
Security Purchase
$0.00
Accrued Interest Paid
$0.00
Total Dispositions
$0.00
ENDING BOOK VALUE
$153,750.56
Reconciliation Summary
As of January 31, 2022
City of Orange
Account #10888
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
365
Holdings Report
As of January 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
AGENCY
3135GABN0
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
5,000,000.00
12/29/2020
0.28%
5,000,000.00
5,000,000.00
98.29 1.19%
4,914,695.00
1,244.44
6.24%
(
85,305.00
)
Aaa / AA+
AAA
1.91 1.90
3130ALLM4
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
5,000,000.00
03/29/2021
0.37%
4,997,000.00
4,997,846.58
98.58 1.02%
4,929,140.00
5,979.17
6.26%
(
68,706.58
)
Aaa / AA+
NR
2.16 2.14
3134GWXC5
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
5,000,000.00
12/10/2020
0.35%
5,000,000.00
5,000,000.00
98.11 1.24%
4,905,405.00
5,930.56
6.23%
(
94,595.00
)
Aaa / NR
AAA
2.16 2.14
3135GA4S7
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
5,000,000.00
11/20/2020
0.38%
5,000,000.00
5,000,000.00
98.36 1.10%
4,918,175.00
3,854.17
6.24%
(
81,825.00
)
Aaa / AA+
AAA
2.29 2.27
3135GA5Y3
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
5,000,000.00
12/14/2020
0.38%
5,000,000.00
5,000,000.00
97.91 1.27%
4,895,595.00
2,447.92
6.21%
(
104,405.00
)
Aaa / AA+
AAA
2.37 2.35
3134GWVE3
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
4,575,000.00
11/19/2020
0.41%
4,573,627.50
4,574,056.04
97.36 1.42%
4,454,087.33
6,405.00
5.66%
(
119,968.71
)
Aaa / NR
AAA
2.65 2.62
3135GA4W8
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
5,000,000.00
11/20/2020
0.50%
5,000,000.00
5,000,000.00
97.04 1.50%
4,851,865.00
11,319.44
6.17%
(
148,135.00
)
Aaa / AA+
AAA
3.05 3.00
3130ANA42
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
07/28/2021
0.65%
4,000,000.00
4,000,000.00
97.38 1.48%
3,895,124.00
216.67
4.94%
(
104,876.00
)
Aaa / AA+
NR
3.24 3.19
3130AMBG6
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
5,000,000.00
05/04/2021
0.75%
5,000,000.00
5,000,000.00
97.56 1.52%
4,877,885.00
9,583.33
6.20%
(
122,115.00
)
Aaa / AA+
NR
3.24 3.06
3134GXFY5
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
2,500,000.00
12/17/2020
0.50%
2,500,000.00
2,500,000.00
97.36 1.30%
2,433,965.00
1,527.78
3.09%
(
66,035.00
)
Aaa / NR
AAA
3.38 3.33
3134GW3Z7
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
9,000,000.00
10/28/2020
0.60%
9,000,000.00
9,000,000.00
96.75 1.50%
8,707,077.00
13,950.00
11.06%
(
292,923.00
)
Aaa / NR
AAA
3.74 3.67
3130ANDF4
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
07/29/2021
0.70%
5,010,000.00
5,004,876.71
97.44 1.49%
4,872,085.00
250.00
6.18%
(
132,791.71
)
Aaa / AA+
NR
4.49 4.38
Total Agency
60,075,000.00
0.49%
60,080,627.50
60,076,779.33
1.34%
58,655,098.33
62,708.48
74.50%
(
1,421,681.00
)
Aaa / AA+
AAA
2.92 2.86
CORPORATE
40434CAD7
HSBC USA Inc Note
3.5%
Due
6/23/2024
6,000,000.00
12/10/2019
2.14%
6,349,800.00
6,184,294.15
104.27
1.67%
6,256,026.00
22,166.67
7.97%
71,731.85
A
1 / A-
A+
2.39 2.29
191216CL2
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
3,000,000.00
09/20/2019
2.00%
2,964,750.00
2,981,568.12
100.75
1.44%
3,022,602.00
21,145.83
3.86%
41,033.88
A
1 / A+
A
2.60 2.44
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
366
Holdings Report
As of January 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
CORPORATE
89236THP3
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
5,000,000.00
11/19/2020
0.70%
5,025,000.00
5,018,875.56
96.27 1.85%
4,813,280.00
11,666.67
6.12%
(
205,595.56
)
A
1 / A+
A+
3.71 3.62
037833EB2
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
3,000,000.00
02/08/2021
0.70%
2,999,730.00
2,999,782.94
95.91 1.76%
2,877,360.00
10,091.67
3.66%
(
122,422.94
)
Aaa / AA+
NR
4.02 3.92
Total Corporate
17,000,000.00
1.44%
17,339,280.00
17,184,520.77
1.70%
16,969,268.00
65,070.84
21.61%
(
215,252.77
)
A
1 / A+
A+
3.08 2.97
MONEY MARKET FUND
31846V203
First American Govt Obligation Fund
Class Y
153,750.56
Various
0.01%
153,750.56
153,750.56
1.00 0.01%
153,750.56
0.00 0.20%
0.00 Aaa / AAA
AAA
0.00 0.00
Total Money Market Fund
153,750.56
0.01%
153,750.56
153,750.56
0.01%
153,750.56
0.00 0.20%
0.00 Aaa / AAA
AAA
0.00 0.00
US TREASURY
91282CCZ2
US Treasury Note
0.875%
Due
9/30/2026
3,000,000.00
09/30/2021
1.01%
2,980,546.88
2,981,867.90
96.73 1.61%
2,901,798.00
8,942.31
3.69%
(
80,069.90
)
Aaa / AA+
AAA
4.67 4.53
Total US Treasury
3,000,000.00
1.01%
2,980,546.88
2,981,867.90
1.61%
2,901,798.00
8,942.31
3.69%
(
80,069.90
)
Aaa / AA+
AAA
4.67 4.53
TOTAL PORTFOLIO
80,228,750.56
0.71%
80,554,204.94
80,396,918.56
1.43%
78,679,914.89
136,721.63
100.00%
(
1,717,003.67
)
Aa
1 / AA
AAA
3.01 2.94
TOTAL MARKET VALUE PLUS ACCRUED
78,816,636.52
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
367
Transaction Ledger
As of January 31, 2022
City of Orange
Account #10888
Transaction
Type
Settlement
Date
CUSIP
Quantity
Security Description
Price
Acq/Disp
Yield
Amount
Interest
Pur/Sold
Total Amount
Gain/Loss
ACQUISITIONS
Purchase
01/03/2022
31846V203
0.17 First American Govt Obligation Fund
Class Y
1.000
0.01%
0.17 0.00
0.17 0.00
Purchase
01/28/2022
31846V203
13,000.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
13,000.00
0.00 13,000.00
0.00 Purchase
01/29/2022
31846V203
22,500.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
22,500.00
0.00 22,500.00
0.00 Subtotal
35,500.17
35,500.17
0.00 35,500.17
0.00 TOTAL ACQUISITIONS
35,500.17
35,500.17
0.00 35,500.17
0.00 OTHER TRANSACTIONS
Interest
01/28/2022
3130ANA42
4,000,000.00
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
0.000
13,000.00
0.00 13,000.00
0.00 Interest
01/29/2022
3130ANDF4
5,000,000.00
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
0.000
22,500.00
0.00 22,500.00
0.00 Subtotal
9,000,000.00
35,500.00
0.00 35,500.00
0.00 Dividend
01/03/2022
31846V203
118,250.39
First American Govt Obligation Fund
Class Y
0.000
0.17 0.00
0.17 0.00
Subtotal
118,250.39
0.17 0.00
0.17 0.00
TOTAL OTHER TRANSACTIONS
9,118,250.39
35,500.17
0.00 35,500.17
0.00 Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
368
Income Earned
As of January 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
FIXED INCOME
037833EB2
Apple Inc
Callable Note Cont
1/8/2026
0.7%
Due
02/08/2026
02/08/2021
02/08/2021
3,000,000.00
2,999,778.35
0.00 0.00
2,999,782.94
8,341.67
0.00 10,091.67
1,750.00
4.59 0.00
4.59 1,754.59
1,754.59
191216CL2
Coca Cola Company
Callable Note Cont
8/6/2024
1.75%
Due
09/06/2024
09/20/2019
09/20/2019
3,000,000.00
2,980,965.39
0.00 0.00
2,981,568.12
16,770.83
0.00 21,145.83
4,375.00
602.73
0.00 602.73
4,977.73
4,977.73
3130ALLM4
FHLB
Callable Note Qtrly
6/28/2021
0.35%
Due
03/28/2024
03/29/2021
03/29/2021
5,000,000.00
4,997,761.64
0.00 0.00
4,997,846.58
4,520.83
0.00 5,979.17
1,458.34
84.94 0.00
84.94 1,543.28
1,543.28
3130AMBG6
FHLB
Callable Note Qtrly
7/29/2021
0.75%
Due
04/29/2025
05/04/2021
05/04/2021
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
6,458.33
0.00 9,583.33
3,125.00
0.00 0.00
0.00 3,125.00
3,125.00
3130ANA42
FHLB
Callable Note Qtrly
1/28/2022
0.65%
Due
04/28/2025
07/28/2021
07/28/2021
4,000,000.00
4,000,000.00
0.00 0.00
4,000,000.00
11,050.00
13,000.00
216.67
2,166.67
0.00 0.00
0.00 2,166.67
2,166.67
3130ANDF4
FHLB
Callable Note Annual
7/29/2022
0.9%
Due
07/29/2026
07/29/2021
07/29/2021
5,000,000.00
5,005,726.03
0.00 0.00
5,004,876.71
19,000.00
22,500.00
250.00
3,750.00
0.00 849.32
(
849.32
)
2,900.68
2,900.68
3134GW3Z7
FHLMC
Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
10/28/2020
10/28/2020
9,000,000.00
9,000,000.00
0.00 0.00
9,000,000.00
9,450.00
0.00 13,950.00
4,500.00
0.00 0.00
0.00 4,500.00
4,500.00
3134GWVE3
FHLMC
Callable Note Qtrly
3/25/2021
0.4%
Due
09/25/2024
11/19/2020
11/19/2020
4,575,000.00
4,574,025.78
0.00 0.00
4,574,056.04
4,880.00
0.00 6,405.00
1,525.00
30.26 0.00
30.26 1,555.26
1,555.26
3134GWXC5
FHLMC
Callable Note Qtrly
9/29/2021
0.35%
Due
03/29/2024
12/10/2020
12/10/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
4,472.22
0.00 5,930.56
1,458.34
0.00 0.00
0.00 1,458.34
1,458.34
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
369
Income Earned
As of January 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
3134GXFY5
FNMA
Callable Note Qtrly
6/17/2021
0.5%
Due
06/17/2025
12/17/2020
12/17/2020
2,500,000.00
2,500,000.00
0.00 0.00
2,500,000.00
486.11
0.00 1,527.78
1,041.67
0.00 0.00
0.00 1,041.67
1,041.67
3135GA4S7
FNMA
Callable Note Qtrly
11/17/2022
0.375%
Due
05/17/2024
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
2,291.67
0.00 3,854.17
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GA4W8
FNMA
Callable Note Qrtly
11/18/2022
0.5%
Due
02/18/2025
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
9,236.11
0.00 11,319.44
2,083.33
0.00 0.00
0.00 2,083.33
2,083.33
3135GA5Y3
FNMA
Callable Note Qtrly
12/14/2021
0.375%
Due
06/14/2024
12/14/2020
12/14/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
885.42
0.00 2,447.92
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GABN0
FNMA
Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
12/29/2020
12/29/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
77.78 0.00
1,244.44
1,166.66
0.00 0.00
0.00 1,166.66
1,166.66
40434CAD7
HSBC USA Inc
Note
3.5%
Due
06/23/2024
12/10/2019
12/10/2019
6,000,000.00
6,190,838.38
0.00 0.00
6,184,294.15
4,666.67
0.00 22,166.67
17,500.00
0.00 6,544.23
(
6,544.23
)
10,955.77
10,955.77
89236THP3
Toyota Motor Credit Corp
Note
0.8%
Due
10/16/2025
11/19/2020
11/19/2020
5,000,000.00
5,019,308.04
0.00 0.00
5,018,875.56
8,333.33
0.00 11,666.67
3,333.34
0.00 432.48
(
432.48
)
2,900.86
2,900.86
91282CCZ2
US Treasury
Note
0.875%
Due
09/30/2026
09/30/2021
09/30/2021
3,000,000.00
2,981,537.65
0.00 0.00
2,981,867.90
6,706.73
0.00 8,942.31
2,235.58
330.25
0.00 330.25
2,565.83
2,565.83
Total Fixed Income
80,075,000.00
80,249,941.26
0.00 0.00
80,243,168.00
117,627.70
35,500.00
136,721.63
54,593.93
1,052.77
7,826.03
(
6,773.26
)
47,820.67
47,820.67
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
370
Income Earned
As of January 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
CASH & EQUIVALENT
31846V203
First American
Govt Obligation Fund Class Y
Various
Various
153,750.56
118,250.39
35,500.17
0.00 153,750.56
0.00 0.17
0.00 0.17
0.00 0.00
0.00 0.17
0.17 Total Cash & Equivalent
153,750.56
118,250.39
35,500.17
0.00 153,750.56
0.00 0.17
0.00 0.17
0.00 0.00
0.00 0.17
0.17 TOTAL PORTFOLIO
80,228,750.56
80,368,191.65
35,500.17
0.00 80,396,918.56
117,627.70
35,500.17
136,721.63
54,594.10
1,052.77
7,826.03
(
6,773.26
)
47,820.84
47,820.84
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
371
Cash Flow Report
As of January 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
02/08/2022
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
02/18/2022
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
FEB 2022
0.00 23,000.00
23,000.00
03/06/2022
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
03/25/2022
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
03/28/2022
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
03/29/2022
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
03/31/2022
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
MAR 2022
0.00 66,025.00
66,025.00
04/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
04/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
04/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
APR 2022
0.00 65,750.00
65,750.00
05/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
MAY 2022
0.00 9,375.00
9,375.00
06/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
06/17/2022
Interest
3134GXFY5
2,500,000.00
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
06/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
372
Cash Flow Report
As of January 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
06/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
JUN 2022
0.00 127,625.00
127,625.00
07/28/2022
Call
3130ANA42
4,000,000.00
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
13,000.00
4,013,000.00
07/29/2022
Call
3130ANDF4
5,000,000.00
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
22,500.00
5,022,500.00
JUL 2022
9,000,000.00
35,500.00
9,035,500.00
08/08/2022
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
08/18/2022
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
AUG 2022
0.00 23,000.00
23,000.00
09/06/2022
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
09/25/2022
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
09/28/2022
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
09/29/2022
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
09/30/2022
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
SEP 2022
0.00 66,025.00
66,025.00
10/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
10/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
10/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
OCT 2022
0.00 65,750.00
65,750.00
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
373
Cash Flow Report
As of January 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
11/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
NOV 2022
0.00 9,375.00
9,375.00
12/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
12/17/2022
Interest
3134GXFY5
2,500,000.00
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
12/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
12/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
DEC 2022
0.00 127,625.00
127,625.00
TOTAL
9,000,000.00
619,050.00
9,619,050.00
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
374
Important Disclosures
City of Orange
Account #10888
Chandler Asset Management, Inc.
;͞
Chandler
͟Ϳ
is an SEC registered investment adviser. For additional information about our firm, please see our current disclosures (Form ADV). To obtain a copy of our current disclosures, you may contact your client service representative by calling the number on the front of this statement or you may visit our website at www.chandlerasset.com.
Information contained in this monthly statement is confidential and is provided for informational purposes only and should not be construed as specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of this statement, but may become outdated or superseded at any time without notice.
Custody:
Your qualified custodian bank maintains control of all assets reflected in this statement and we urge you to compare this statement to the one you receive from your qualified custodian. Chandler does not have any authority to withdraw or deposit funds from/to the custodian account.
Valuation:
Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.
Performance:
Performance results are presented gross-of-advisory fees and represent the client ͛
s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.
Source ice Data Indices, LLC ("ICE"), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN "AS IS" BASIS; ICE, ITS AFFILIATES AND THEIR RESPECTIVE
THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED THEREFROM. NEITHER ICE DATA, ITS AFFILIATES OR
THEIR RESPECTIVE THIRD PARTY PROVIDERS GUARANTEE THE QUALITY, ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS THEREOF ARE PROVIDED ON AN "AS IS" BASIS AND LICENSEE'S USE IS AT LICENSEE'S OWN RISK. ICE DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY DO NOT SPONSOR, ENDORSE, OR RECOMMEND CHANDLER, OR ANY OF ITS PRODUCTS OR SERVICES.
Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.
Ratings:
Ratings information have been provided by Moody
͛
s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.
Security level ratings for U.S. Agency issued mortgage-backed securities ;͞
MBS
͟Ϳ
reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest and carries a AA+/Aaa/AAA by S&P, Moody ͛
s and Fitch respectively.
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
375
Benchmark Index & Disclosures
City of Orange
Account #10888
Benchmark Index
Disclosure
ICE BofA 1-5 Yr US Treasury & Agency
Index
The ICE BofA 1-5 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody ͛
s,
S&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies.
Execution Time: 2/1/2022 9:11:54 PM
Chandler Asset Management - CONFIDENTIAL
376
MONTHLY ACCOUNT STATEMENT
City of Orange - Account #10888
FEBRUARY 1, 2022 THROUGH FEBRUARY 28, 2022
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures.
CHANDLER
ASSET MANAGEMENT
chandlerasset.com
Chandler Team:
For questions about your account, please call (800) 317-4747, or contact
[email protected]
Custodian
US Bank
Ryan Morris
(503) 464-3685
377
ACCOUNT SUMMARY
Beg. Values
as of
1/31/22
End Values
as of
2/28/22
Market Value
78,679,915
78,225,930
Accrued Interest
136,722
168,099
Total Market Value
78,816,637
78,394,029
Income Earned
47,821
48,260
Cont/WD
0 Par
80,228,751
80,251,751
Book Value
80,396,919
80,413,801
Cost Value
80,554,205
80,577,206
TOP ISSUERS
Federal National Mortgage Assoc
27.9%
Federal Home Loan Bank
23.6%
Federal Home Loan Mortgage Corp
23.0%
HSBC Holdings PLC
7.9%
Toyota Motor Corp
6.2%
Coca Cola Co.
3.9%
Government of United States
3.7%
Apple Inc
3.7%
Total
99.8%
PORTFOLIO CHARACTERISTICS
Average Modified Duration
2.87 Average Coupon
0.82%
Average Purchase YTM
0.71%
Average Market YTM
1.67%
Average S&P/Moody Rating
AA/Aa1
Average Final Maturity
2.94 yrs
Average Life
2.93 yrs
CREDIT QUALITY (S&P)
MATURITY DISTRIBUTION
SECTOR ALLOCATION
Portfolio Summary
As of February 28, 2022
City of Orange
Account #10888
PERFORMANCE REVIEW
Annualized
TOTAL RATE OF RETURN
1M
3M
YTD
1YR
2YRS
3YRS
5YRS
10YRS
12/31/2021
City of Orange
-0.54%
N/A
-1.60%
N/A
N/A
N/A
N/A
N/A
N/A
ICE BofA 1-5 Yr US Treasury & Agency Index
-0.43%
N/A
-1.33%
N/A
N/A
N/A
N/A
N/A
N/A
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
378
Category Standard Comment
U.S. Treasuries No limitations; 5 years max maturity; Faith and credit of the U.S. are pledged for the payment of principal and interest Complies Federal Agencies
75% max; 35% max per Agency and excluding Government National Mortgage Association (i.e. GNMAs); 5 years max maturity; Obligations issued by banks for cooperatives, federal land banks, federal intermediate credit banks, FHLB, TVA, FNMA, or other instruments of, or issued by federal agencies or U.S. government-sponsored enterprises; Any issue purchased must be fully guaranteed as to principal and interest by the full faith and credit of the U.S. or the issuing by federal agency
Complies
Municipal Securities
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Include obligations issued by the State of California and any local agency within the State of California, and registered 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 local agency or by a department, board, agency, or authority of a state or local agency
Complies
Corporate Medium Term Notes
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Issued by corporations organized and operating within the U.S. or by depository institutions licensed by the U.S. or any state and operating within the U.S
Complies
Certificates of Deposit 30% max; Certificates of Deposit approved by California AB 2011 Complies Commercial Paper
Prime quality with highest rating by a NRSRO; Issued by a domestic corporation with assets > $500 million and having an "A" rating or better by a NRSRO, on its debt other than commercial paper; 20% max; 5% max per issuer (book value); 270 days max maturity
Complies
Money Market Mutual Funds
$15 million max or 20% max, whichever is less; 90 days weighted average maturity; Shares of beneficial interest issued by diversified management companies that are Money Market Mutual Funds, registered with the SEC under Investment Company Act of 1940 investing in securities and obligations authorized by CGC Sections 53601(b) and (e) only (i.e. U.S.
Government issues only); Funds must either: (i) carry the highest rating by two NRSROs; or (ii) retained an investment adviser registered with SEC with > 5 years experience managing money market mutual funds with AUM >$500 million Complies
Local Agency Investment Fund (LAIF) $75 million max per account; State of California LAIF is permitted, with the knowledge that the fund may invest in some vehicles allowed by statute but not otherwise authorized by the City Council in the policy Complies Local Government Investment Pool (LGIP) Investment in new Government sponsored pools will be subject to due diligence; A thorough investigation of the pool is required prior to investing, and on a continual basis Complies Credit Risk
If securities owned by the City are downgraded by either Moody's, S&P, or Fitch, it shall be the City's policy to review immediately the credit situation and make a determination as to whether to sell or retain such securities in the portfolio. If a security is downgraded one notch below the quality required in the investment policy, it will be considered acceptable to retain such downgraded security in the portfolio and its presence in the portfolio will be reported to the City Council and be monitored on a continuous basis. If a security is rated two grades below the required minimum rating, it will trigger an automatic sale of such downgraded security
Complies
Statement of Compliance
As of December 31, 2021
City of Orange Consolidated
This portfolio is a consolidation of assets managed by Chandler Asset Management and assets managed internally by Client. Chandler relies on Client to provide accurate information for reporting assets and producing this compliance statement.
379
Portfolio Maturities
Portfolio maturities shall be managed to avoid undue concentration in any specific maturity sector with at least 15% of the portfolio must be invested from 1 to 365 in this maturity sector; No more than 50% of portfolio be invested from 366 days to 730 days; No more than 35% of the portfolio be invested from 731 days to 1095 days; No more than 30% of the portfolio be invested from 1096 days to 1460 days; No more than 30% of the portfolio be invested from 1461 days to 1825 days Complies
Maximum Maturity 5 years max maturity Complies
380
BOOK VALUE RECONCILIATION
BEGINNING BOOK VALUE
$80,396,918.56
Acquisition
+ Security Purchases
$0.00
+ Money Market Fund Purchases
$23,000.61
+ Money Market Contributions
$0.00
+ Security Contributions
$0.00
+ Security Transfers
$0.00
Total Acquisitions
$23,000.61
Dispositions
- Security Sales
$0.00
- Money Market Fund Sales
$0.00
- MMF Withdrawals
$0.00
- Security Withdrawals
$0.00
- Security Transfers
$0.00
- Other Dispositions
$0.00
- Maturites
$0.00
- Calls
$0.00
- Principal Paydowns
$0.00
Total Dispositions
$0.00
Amortization/Accretion
+/- Net Accretion
($6,117.80)
($6,117.80)
Gain/Loss on Dispositions
+/- Realized Gain/Loss
$0.00
$0.00
ENDING BOOK VALUE
$80,413,801.37
CASH TRANSACTION SUMMARY
BEGINNING BALANCE
$153,750.56
Acquisition
Contributions
$0.00
Security Sale Proceeds
$0.00
Accrued Interest Received
$0.00
Interest Received
$23,000.00
Dividend Received
$0.61
Principal on Maturities
$0.00
Interest on Maturities
$0.00
Calls/Redemption (Principal)
$0.00
Interest from Calls/Redemption
$0.00
Principal Paydown
$0.00
Total Acquisitions
$23,000.61
Dispositions
Withdrawals
$0.00
Security Purchase
$0.00
Accrued Interest Paid
$0.00
Total Dispositions
$0.00
ENDING BOOK VALUE
$176,751.17
Reconciliation Summary
As of February 28, 2022
City of Orange
Account #10888
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
381
Holdings Report
As of February 28, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
AGENCY
3135GABN0
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
5,000,000.00
12/29/2020
0.28%
5,000,000.00
5,000,000.00
97.91 1.44%
4,895,575.00
2,411.11
6.25%
(
104,425.00
)
Aaa / AA+
AAA
1.83 1.82
3130ALLM4
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
5,000,000.00
03/29/2021
0.37%
4,997,000.00
4,997,923.29
98.09 1.28%
4,904,710.00
7,437.50
6.27%
(
93,213.29
)
Aaa / AA+
NR
2.08 2.06
3134GWXC5
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
5,000,000.00
12/10/2020
0.35%
5,000,000.00
5,000,000.00
97.63 1.51%
4,881,660.00
7,388.89
6.24%
(
118,340.00
)
Aaa / NR
AAA
2.08 2.06
3135GA4S7
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
5,000,000.00
11/20/2020
0.38%
5,000,000.00
5,000,000.00
97.85 1.36%
4,892,380.00
5,416.67
6.25%
(
107,620.00
)
Aaa / AA+
AAA
2.22 2.19
3135GA5Y3
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
5,000,000.00
12/14/2020
0.38%
5,000,000.00
5,000,000.00
97.39 1.54%
4,869,460.00
4,010.42
6.22%
(
130,540.00
)
Aaa / AA+
AAA
2.29 2.27
3134GWVE3
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
4,575,000.00
11/19/2020
0.41%
4,573,627.50
4,574,083.37
96.79 1.68%
4,428,133.35
7,930.00
5.66%
(
145,950.02
)
Aaa / NR
AAA
2.58 2.54
3135GA4W8
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
5,000,000.00
11/20/2020
0.50%
5,000,000.00
5,000,000.00
96.37 1.76%
4,818,610.00
902.78
6.15%
(
181,390.00
)
Aaa / AA+
AAA
2.98 2.93
3130ANA42
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
07/28/2021
0.65%
4,000,000.00
4,000,000.00
96.67 1.74%
3,866,944.00
2,383.33
4.94%
(
133,056.00
)
Aaa / AA+
NR
3.16 3.10
3130AMBG6
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
5,000,000.00
05/04/2021
0.75%
5,000,000.00
5,000,000.00
96.85 1.78%
4,842,610.00
12,708.33
6.19%
(
157,390.00
)
Aaa / AA+
NR
3.17 3.10
3134GXFY5
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
2,500,000.00
12/17/2020
0.50%
2,500,000.00
2,500,000.00
96.64 1.55%
2,415,972.50
2,569.44
3.09%
(
84,027.50
)
Aaa / NR
AAA
3.30 3.25
3134GW3Z7
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
9,000,000.00
10/28/2020
0.60%
9,000,000.00
9,000,000.00
96.10 1.70%
8,649,423.00
18,450.00
11.06%
(
350,577.00
)
Aaa / NR
AAA
3.67 3.59
3130ANDF4
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
07/29/2021
0.70%
5,010,000.00
5,004,109.59
96.66 1.69%
4,833,000.00
4,000.00
6.17%
(
171,109.59
)
Aaa / AA+
NR
4.42 4.30
Total Agency
60,075,000.00
0.49%
60,080,627.50
60,076,116.25
1.59%
58,298,477.85
75,608.47
74.46%
(
1,777,638.40
)
Aaa / AA+
AAA
2.84 2.80
CORPORATE
40434CAD7
HSBC USA Inc Note
3.5%
Due
6/23/2024
6,000,000.00
12/10/2019
2.14%
6,349,800.00
6,178,383.22
103.02
2.16%
6,181,236.00
39,666.67
7.94%
2,852.78
A
1 / A-
A+
2.32 2.21
191216CL2
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
3,000,000.00
09/20/2019
2.00%
2,964,750.00
2,982,112.52
100.20
1.67%
3,006,000.00
25,520.83
3.87%
23,887.48
A
1 / A+
A
2.52 2.44
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
382
Holdings Report
As of February 28, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
CORPORATE
89236THP3
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
5,000,000.00
11/19/2020
0.70%
5,025,000.00
5,018,484.93
96.18 1.89%
4,809,150.00
15,000.00
6.15%
(
209,334.93
)
A
1 / A+
A+
3.63 3.54
037833EB2
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
3,000,000.00
02/08/2021
0.70%
2,999,730.00
2,999,787.08
95.61 1.86%
2,868,339.00
1,341.67
3.66%
(
131,448.08
)
Aaa / AA+
NR
3.95 3.86
Total Corporate
17,000,000.00
1.44%
17,339,280.00
17,178,767.75
1.94%
16,864,725.00
81,529.17
21.62%
(
314,042.75
)
A
1 / A+
A+
3.00 2.91
MONEY MARKET FUND
31846V203
First American Govt Obligation Fund
Class Y
176,751.17
Various
0.01%
176,751.17
176,751.17
1.00 0.01%
176,751.17
0.00 0.23%
0.00 Aaa / AAA
AAA
0.00 0.00
Total Money Market Fund
176,751.17
0.01%
176,751.17
176,751.17
0.01%
176,751.17
0.00 0.23%
0.00 Aaa / AAA
AAA
0.00 0.00
US TREASURY
91282CCZ2
US Treasury Note
0.875%
Due
9/30/2026
3,000,000.00
09/30/2021
1.01%
2,980,546.88
2,982,166.20
96.20 1.74%
2,885,976.00
10,961.54
3.70%
(
96,190.20
)
Aaa / AA+
AAA
4.59 4.45
Total US Treasury
3,000,000.00
1.01%
2,980,546.88
2,982,166.20
1.74%
2,885,976.00
10,961.54
3.70%
(
96,190.20
)
Aaa / AA+
AAA
4.59 4.45
TOTAL PORTFOLIO
80,251,751.17
0.71%
80,577,205.55
80,413,801.37
1.67%
78,225,930.02
168,099.18
100.00%
(
2,187,871.35
)
Aa
1 / AA
AAA
2.94 2.87
TOTAL MARKET VALUE PLUS ACCRUED
78,394,029.20
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
383
Transaction Ledger
As of February 28, 2022
City of Orange
Account #10888
Transaction
Type
Settlement
Date
CUSIP
Quantity
Security Description
Price
Acq/Disp
Yield
Amount
Interest
Pur/Sold
Total Amount
Gain/Loss
ACQUISITIONS
Purchase
02/01/2022
31846V203
0.61 First American Govt Obligation Fund
Class Y
1.000
0.01%
0.61 0.00
0.61 0.00
Purchase
02/08/2022
31846V203
10,500.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
10,500.00
0.00 10,500.00
0.00 Purchase
02/18/2022
31846V203
12,500.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
12,500.00
0.00 12,500.00
0.00 Subtotal
23,000.61
23,000.61
0.00 23,000.61
0.00 TOTAL ACQUISITIONS
23,000.61
23,000.61
0.00 23,000.61
0.00 OTHER TRANSACTIONS
Interest
02/08/2022
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.000
10,500.00
0.00 10,500.00
0.00 Interest
02/18/2022
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.000
12,500.00
0.00 12,500.00
0.00 Subtotal
8,000,000.00
23,000.00
0.00 23,000.00
0.00 Dividend
02/01/2022
31846V203
153,750.56
First American Govt Obligation Fund
Class Y
0.000
0.61 0.00
0.61 0.00
Subtotal
153,750.56
0.61 0.00
0.61 0.00
TOTAL OTHER TRANSACTIONS
8,153,750.56
23,000.61
0.00 23,000.61
0.00 Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
384
Income Earned
As of February 28, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
FIXED INCOME
037833EB2
Apple Inc
Callable Note Cont
1/8/2026
0.7%
Due
02/08/2026
02/08/2021
02/08/2021
3,000,000.00
2,999,782.94
0.00 0.00
2,999,787.08
10,091.67
10,500.00
1,341.67
1,750.00
4.14 0.00
4.14 1,754.14
1,754.14
191216CL2
Coca Cola Company
Callable Note Cont
8/6/2024
1.75%
Due
09/06/2024
09/20/2019
09/20/2019
3,000,000.00
2,981,568.12
0.00 0.00
2,982,112.52
21,145.83
0.00 25,520.83
4,375.00
544.40
0.00 544.40
4,919.40
4,919.40
3130ALLM4
FHLB
Callable Note Qtrly
6/28/2021
0.35%
Due
03/28/2024
03/29/2021
03/29/2021
5,000,000.00
4,997,846.58
0.00 0.00
4,997,923.29
5,979.17
0.00 7,437.50
1,458.33
76.71 0.00
76.71 1,535.04
1,535.04
3130AMBG6
FHLB
Callable Note Qtrly
7/29/2021
0.75%
Due
04/29/2025
05/04/2021
05/04/2021
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
9,583.33
0.00 12,708.33
3,125.00
0.00 0.00
0.00 3,125.00
3,125.00
3130ANA42
FHLB
Callable Note Qtrly
1/28/2022
0.65%
Due
04/28/2025
07/28/2021
07/28/2021
4,000,000.00
4,000,000.00
0.00 0.00
4,000,000.00
216.67
0.00 2,383.33
2,166.66
0.00 0.00
0.00 2,166.66
2,166.66
3130ANDF4
FHLB
Callable Note Annual
7/29/2022
0.9%
Due
07/29/2026
07/29/2021
07/29/2021
5,000,000.00
5,004,876.71
0.00 0.00
5,004,109.59
250.00
0.00 4,000.00
3,750.00
0.00 767.12
(
767.12
)
2,982.88
2,982.88
3134GW3Z7
FHLMC
Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
10/28/2020
10/28/2020
9,000,000.00
9,000,000.00
0.00 0.00
9,000,000.00
13,950.00
0.00 18,450.00
4,500.00
0.00 0.00
0.00 4,500.00
4,500.00
3134GWVE3
FHLMC
Callable Note Qtrly
3/25/2021
0.4%
Due
09/25/2024
11/19/2020
11/19/2020
4,575,000.00
4,574,056.04
0.00 0.00
4,574,083.37
6,405.00
0.00 7,930.00
1,525.00
27.33 0.00
27.33 1,552.33
1,552.33
3134GWXC5
FHLMC
Callable Note Qtrly
9/29/2021
0.35%
Due
03/29/2024
12/10/2020
12/10/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
5,930.56
0.00 7,388.89
1,458.33
0.00 0.00
0.00 1,458.33
1,458.33
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
385
Income Earned
As of February 28, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
3134GXFY5
FNMA
Callable Note Qtrly
6/17/2021
0.5%
Due
06/17/2025
12/17/2020
12/17/2020
2,500,000.00
2,500,000.00
0.00 0.00
2,500,000.00
1,527.78
0.00 2,569.44
1,041.66
0.00 0.00
0.00 1,041.66
1,041.66
3135GA4S7
FNMA
Callable Note Qtrly
11/17/2022
0.375%
Due
05/17/2024
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
3,854.17
0.00 5,416.67
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GA4W8
FNMA
Callable Note Qrtly
11/18/2022
0.5%
Due
02/18/2025
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
11,319.44
12,500.00
902.78
2,083.34
0.00 0.00
0.00 2,083.34
2,083.34
3135GA5Y3
FNMA
Callable Note Qtrly
12/14/2021
0.375%
Due
06/14/2024
12/14/2020
12/14/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
2,447.92
0.00 4,010.42
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GABN0
FNMA
Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
12/29/2020
12/29/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
1,244.44
0.00 2,411.11
1,166.67
0.00 0.00
0.00 1,166.67
1,166.67
40434CAD7
HSBC USA Inc
Note
3.5%
Due
06/23/2024
12/10/2019
12/10/2019
6,000,000.00
6,184,294.15
0.00 0.00
6,178,383.22
22,166.67
0.00 39,666.67
17,500.00
0.00 5,910.93
(
5,910.93
)
11,589.07
11,589.07
89236THP3
Toyota Motor Credit Corp
Note
0.8%
Due
10/16/2025
11/19/2020
11/19/2020
5,000,000.00
5,018,875.56
0.00 0.00
5,018,484.93
11,666.67
0.00 15,000.00
3,333.33
0.00 390.63
(
390.63
)
2,942.70
2,942.70
91282CCZ2
US Treasury
Note
0.875%
Due
09/30/2026
09/30/2021
09/30/2021
3,000,000.00
2,981,867.90
0.00 0.00
2,982,166.20
8,942.31
0.00 10,961.54
2,019.23
298.30
0.00 298.30
2,317.53
2,317.53
Total Fixed Income
80,075,000.00
80,243,168.00
0.00 0.00
80,237,050.20
136,721.63
23,000.00
168,099.18
54,377.55
950.88
7,068.68
(
6,117.80
)
48,259.75
48,259.75
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
386
Income Earned
As of February 28, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
CASH & EQUIVALENT
31846V203
First American
Govt Obligation Fund Class Y
Various
Various
176,751.17
153,750.56
23,000.61
0.00 176,751.17
0.00 0.61
0.00 0.61
0.00 0.00
0.00 0.61
0.61 Total Cash & Equivalent
176,751.17
153,750.56
23,000.61
0.00 176,751.17
0.00 0.61
0.00 0.61
0.00 0.00
0.00 0.61
0.61 TOTAL PORTFOLIO
80,251,751.17
80,396,918.56
23,000.61
0.00 80,413,801.37
136,721.63
23,000.61
168,099.18
54,378.16
950.88
7,068.68
(
6,117.80
)
48,260.36
48,260.36
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
387
Cash Flow Report
As of February 28, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
03/06/2022
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
03/25/2022
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
03/28/2022
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
03/29/2022
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
03/31/2022
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
MAR 2022
0.00 66,025.00
66,025.00
04/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
04/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
04/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
APR 2022
0.00 65,750.00
65,750.00
05/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
MAY 2022
0.00 9,375.00
9,375.00
06/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
06/17/2022
Interest
3134GXFY5
2,500,000.00
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
06/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
06/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
JUN 2022
0.00 127,625.00
127,625.00
07/28/2022
Call
3130ANA42
4,000,000.00
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
13,000.00
4,013,000.00
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
388
Cash Flow Report
As of February 28, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
07/29/2022
Call
3130ANDF4
5,000,000.00
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
22,500.00
5,022,500.00
JUL 2022
9,000,000.00
35,500.00
9,035,500.00
08/08/2022
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
08/18/2022
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
AUG 2022
0.00 23,000.00
23,000.00
09/06/2022
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
09/25/2022
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
09/28/2022
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
09/29/2022
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
09/30/2022
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
SEP 2022
0.00 66,025.00
66,025.00
10/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
10/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
10/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
OCT 2022
0.00 65,750.00
65,750.00
11/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
NOV 2022
0.00 9,375.00
9,375.00
12/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
389
Cash Flow Report
As of February 28, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
12/17/2022
Interest
3134GXFY5
2,500,000.00
FNMA Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
12/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
12/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
DEC 2022
0.00 127,625.00
127,625.00
02/08/2023
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
02/18/2023
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
FEB 2023
0.00 23,000.00
23,000.00
TOTAL
9,000,000.00
619,050.00
9,619,050.00
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
390
Important Disclosures
City of Orange
Account #10888
Chandler Asset Management, Inc.
;͞
Chandler
͟Ϳ
is an SEC registered investment adviser. For additional information about our firm, please see our current disclosures (Form ADV). To obtain a copy of our current disclosures, you may contact your client service representative by calling the number on the front of this statement or you may visit our website at www.chandlerasset.com.
Information contained in this monthly statement is confidential and is provided for informational purposes only and should not be construed as specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of this statement, but may become outdated or superseded at any time without notice.
Custody:
Your qualified custodian bank maintains control of all assets reflected in this statement and we urge you to compare this statement to the one you receive from your qualified custodian. Chandler does not have any authority to withdraw or deposit funds from/to the custodian account.
Valuation:
Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.
Performance:
Performance results are presented gross-of-advisory fees and represent the client ͛
s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.
Source ice Data Indices, LLC ("ICE"), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN "AS IS" BASIS; ICE, ITS AFFILIATES AND THEIR RESPECTIVE
THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED THEREFROM. NEITHER ICE DATA, ITS AFFILIATES OR
THEIR RESPECTIVE THIRD PARTY PROVIDERS GUARANTEE THE QUALITY, ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS THEREOF ARE PROVIDED ON AN "AS IS" BASIS AND LICENSEE'S USE IS AT LICENSEE'S OWN RISK. ICE DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY DO NOT SPONSOR, ENDORSE, OR RECOMMEND CHANDLER, OR ANY OF ITS PRODUCTS OR SERVICES.
Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.
Ratings:
Ratings information have been provided by Moody
͛
s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.
Security level ratings for U.S. Agency issued mortgage-backed securities ;͞
MBS
͟Ϳ
reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest and carries a AA+/Aaa/AAA by S&P, Moody ͛
s and Fitch respectively.
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
391
Benchmark Index & Disclosures
City of Orange
Account #10888
Benchmark Index
Disclosure
ICE BofA 1-5 Yr US Treasury & Agency
Index
The ICE BofA 1-5 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody ͛
s,
S&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies.
Execution Time: 3/1/2022 11:30:26 PM
Chandler Asset Management - CONFIDENTIAL
392
MONTHLY ACCOUNT STATEMENT
City of Orange - Account #10888
MARCH 1, 2022 THROUGH MARCH 31, 2022
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures.
CHANDLER
ASSET MANAGEMENT
chandlerasset.com
Chandler Team:
For questions about your account, please call (800) 317-4747, or contact
[email protected]
Custodian
US Bank
Alex Bazan
(503) 464-3685
393
ACCOUNT SUMMARY
Beg. Values
as of
2/28/22
End Values
as of
3/31/22
Market Value
78,225,930
76,634,463
Accrued Interest
168,099
156,668
Total Market Value
78,394,029
76,791,131
Income Earned
48,260
47,821
Cont/WD
-5,180
Par
80,251,751
80,312,597
Book Value
80,413,801
80,467,874
Cost Value
80,577,206
80,638,051
TOP ISSUERS
Federal Home Loan Mortgage Corp
26.0%
Federal National Mortgage Assoc
25.0%
Federal Home Loan Bank
23.5%
HSBC Holdings PLC
8.0%
Toyota Motor Corp
6.1%
Coca Cola Co.
3.9%
Government of United States
3.6%
Apple Inc
3.6%
Total
99.7%
PORTFOLIO CHARACTERISTICS
Average Modified Duration
2.77 Average Coupon
0.82%
Average Purchase YTM
0.71%
Average Market YTM
2.45%
Average S&P/Moody Rating
AA/Aa1
Average Final Maturity
2.84 yrs
Average Life
2.84 yrs
CREDIT QUALITY (S&P)
MATURITY DISTRIBUTION
SECTOR ALLOCATION
Portfolio Summary
As of March 31, 2022
City of Orange
Account #10888
PERFORMANCE REVIEW
Annualized
TOTAL RATE OF RETURN
1M
3M
YTD
1YR
2YRS
3YRS
5YRS
10YRS
12/31/2021
City of Orange
-2.04%
-3.61%
-3.61%
N/A
N/A
N/A
N/A
N/A
N/A
ICE BofA 1-5 Yr US Treasury & Agency Index
-1.86%
-3.16%
-3.16%
N/A
N/A
N/A
N/A
N/A
N/A
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
394
Category Standard Comment
U.S. Treasuries No limitations; 5 years max maturity; Faith and credit of the U.S. are pledged for the payment of principal and interest Complies Federal Agencies
75% max; 35% max per Agency and excluding Government National Mortgage Association (i.e. GNMAs); 5 years max maturity; Obligations issued by banks for cooperatives, federal land banks, federal intermediate credit banks, FHLB, TVA, FNMA, or other instruments of, or issued by federal agencies or U.S. government-sponsored enterprises; Any issue purchased must be fully guaranteed as to principal and interest by the full faith and credit of the U.S. or the issuing by federal agency
Complies
Municipal Securities
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Include obligations issued by the State of California and any local agency within the State of California, and registered 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 local agency or by a department, board, agency, or authority of a state or local agency
Complies
Corporate Medium Term Notes
"A" rated or better by a NRSRO; 20% max; 5% max per issuer (book value); 5 years max maturity; Issued by corporations organized and operating within the U.S. or by depository institutions licensed by the U.S. or any state and operating within the U.S
Complies
Certificates of Deposit 30% max; Certificates of Deposit approved by California AB 2011 Complies Commercial Paper
Prime quality with highest rating by a NRSRO; Issued by a domestic corporation with assets > $500 million and having an "A" rating or better by a NRSRO, on its debt other than commercial paper; 20% max; 5% max per issuer (book value); 270 days max maturity
Complies
Money Market Mutual Funds
$15 million max or 20% max, whichever is less; 90 days weighted average maturity; Shares of beneficial interest issued by diversified management companies that are Money Market Mutual Funds, registered with the SEC under Investment Company Act of 1940 investing in securities and obligations authorized by CGC Sections 53601(b) and (e) only (i.e. U.S.
Government issues only); Funds must either: (i) carry the highest rating by two NRSROs; or (ii) retained an investment adviser registered with SEC with > 5 years experience managing money market mutual funds with AUM >$500 million Complies
Local Agency Investment Fund (LAIF) $75 million max per account; State of California LAIF is permitted, with the knowledge that the fund may invest in some vehicles allowed by statute but not otherwise authorized by the City Council in the policy Complies Local Government Investment Pool (LGIP) Investment in new Government sponsored pools will be subject to due diligence; A thorough investigation of the pool is required prior to investing, and on a continual basis Complies Credit Risk
If securities owned by the City are downgraded by either Moody's, S&P, or Fitch, it shall be the City's policy to review immediately the credit situation and make a determination as to whether to sell or retain such securities in the portfolio. If a security is downgraded one notch below the quality required in the investment policy, it will be considered acceptable to retain such downgraded security in the portfolio and its presence in the portfolio will be reported to the City Council and be monitored on a continuous basis. If a security is rated two grades below the required minimum rating, it will trigger an automatic sale of such downgraded security
Complies
Statement of Compliance
As of December 31, 2021
City of Orange Consolidated
This portfolio is a consolidation of assets managed by Chandler Asset Management and assets managed internally by Client. Chandler relies on Client to provide accurate information for reporting assets and producing this compliance statement.
395
Portfolio Maturities
Portfolio maturities shall be managed to avoid undue concentration in any specific maturity sector with at least 15% of the portfolio must be invested from 1 to 365 in this maturity sector; No more than 50% of portfolio be invested from 366 days to 730 days; No more than 35% of the portfolio be invested from 731 days to 1095 days; No more than 30% of the portfolio be invested from 1096 days to 1460 days; No more than 30% of the portfolio be invested from 1461 days to 1825 days Complies
Maximum Maturity 5 years max maturity Complies
396
BOOK VALUE RECONCILIATION
BEGINNING BOOK VALUE
$80,413,801.37
Acquisition
+ Security Purchases
$0.00
+ Money Market Fund Purchases
$66,025.78
+ Money Market Contributions
$0.00
+ Security Contributions
$0.00
+ Security Transfers
$0.00
Total Acquisitions
$66,025.78
Dispositions
- Security Sales
$0.00
- Money Market Fund Sales
$0.00
- MMF Withdrawals
$5,180.27
- Security Withdrawals
$0.00
- Security Transfers
$0.00
- Other Dispositions
$0.00
- Maturites
$0.00
- Calls
$0.00
- Principal Paydowns
$0.00
Total Dispositions
$5,180.27
Amortization/Accretion
+/- Net Accretion
($6,773.27)
($6,773.27)
Gain/Loss on Dispositions
+/- Realized Gain/Loss
$0.00
$0.00
ENDING BOOK VALUE
$80,467,873.61
CASH TRANSACTION SUMMARY
BEGINNING BALANCE
$176,751.17
Acquisition
Contributions
$0.00
Security Sale Proceeds
$0.00
Accrued Interest Received
$0.00
Interest Received
$66,025.00
Dividend Received
$0.78
Principal on Maturities
$0.00
Interest on Maturities
$0.00
Calls/Redemption (Principal)
$0.00
Interest from Calls/Redemption
$0.00
Principal Paydown
$0.00
Total Acquisitions
$66,025.78
Dispositions
Withdrawals
$5,180.27
Security Purchase
$0.00
Accrued Interest Paid
$0.00
Total Dispositions
$5,180.27
ENDING BOOK VALUE
$237,596.68
Reconciliation Summary
As of March 31, 2022
City of Orange
Account #10888
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
397
Holdings Report
As of March 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
AGENCY
3135GABN0
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
5,000,000.00
12/29/2020
0.28%
5,000,000.00
5,000,000.00
96.72 2.20%
4,836,225.00
3,577.78
6.30%
(
163,775.00
)
Aaa / AA+
AAA
1.75 1.72
3130ALLM4
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
5,000,000.00
03/29/2021
0.37%
4,997,000.00
4,998,008.22
96.64 2.08%
4,831,790.00
145.83
6.29%
(
166,218.22
)
Aaa / AA+
NR
1.99 1.97
3134GWXC5
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
5,000,000.00
12/10/2020
0.35%
5,000,000.00
5,000,000.00
96.18 2.32%
4,808,915.00
97.22 6.26%
(
191,085.00
)
Aaa / NR
AAA
2.00 1.97
3135GA4S7
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
5,000,000.00
11/20/2020
0.38%
5,000,000.00
5,000,000.00
96.30 2.17%
4,814,775.00
6,979.17
6.28%
(
185,225.00
)
Aaa / AA+
AAA
2.13 2.10
3135GA5Y3
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
5,000,000.00
12/14/2020
0.38%
5,000,000.00
5,000,000.00
95.80 2.34%
4,789,825.00
5,572.92
6.24%
(
210,175.00
)
Aaa / AA+
AAA
2.21 2.17
3134GWVE3
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
4,575,000.00
11/19/2020
0.41%
4,573,627.50
4,574,113.63
95.06 2.46%
4,348,825.72
305.00
5.66%
(
225,287.91
)
Aaa / NR
AAA
2.49 2.44
3135GA4W8
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
5,000,000.00
11/20/2020
0.50%
5,000,000.00
5,000,000.00
94.38 2.54%
4,718,985.00
2,986.11
6.15%
(
281,015.00
)
Aaa / AA+
AAA
2.89 2.83
3130ANA42
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
07/28/2021
0.65%
4,000,000.00
4,000,000.00
94.54 2.50%
3,781,624.00
4,550.00
4.93%
(
218,376.00
)
Aaa / AA+
NR
3.08 3.01
3130AMBG6
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
5,000,000.00
05/04/2021
0.75%
5,000,000.00
5,000,000.00
94.72 2.54%
4,735,925.00
15,833.33
6.19%
(
264,075.00
)
Aaa / AA+
NR
3.08 3.00
3134GXFY5
FHLMC Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
2,500,000.00
12/17/2020
0.50%
2,500,000.00
2,500,000.00
93.25 2.31%
2,331,150.00
3,611.11
3.04%
(
168,850.00
)
Aaa / NR
AAA
3.22 3.15
3134GW3Z7
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
9,000,000.00
10/28/2020
0.60%
9,000,000.00
9,000,000.00
93.72 2.45%
8,434,350.00
22,950.00
11.01%
(
565,650.00
)
Aaa / NR
AAA
3.58 3.49
3130ANDF4
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
07/29/2021
0.70%
5,010,000.00
5,003,260.27
93.94 2.38%
4,697,050.00
7,750.00
6.13%
(
306,210.27
)
Aaa / AA+
NR
4.33 4.19
Total Agency
60,075,000.00
0.49%
60,080,627.50
60,075,382.12
2.36%
57,129,439.72
74,358.47
74.49%
(
2,945,942.40
)
Aaa / AA+
AAA
2.75 2.69
CORPORATE
40434CAD7
HSBC USA Inc Note
3.5%
Due
6/23/2024
6,000,000.00
12/10/2019
2.14%
6,349,800.00
6,171,838.99
101.05
3.01%
6,063,024.00
57,166.67
7.97%
(
108,814.99
)
A
1 / A-
A+
2.23 2.11
191216CL2
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
3,000,000.00
09/20/2019
2.00%
2,964,750.00
2,982,715.25
99.06 2.15%
2,971,851.00
3,645.83
3.87%
(
10,864.25
)
A
1 / A+
A
2.44 2.36
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
398
Holdings Report
As of March 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Par Value/Units
Purchase Date
Book Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody/S&P
Fitch
Maturity
Duration
CORPORATE
89236THP3
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
5,000,000.00
11/19/2020
0.70%
5,025,000.00
5,018,052.46
92.89 2.93%
4,644,455.00
18,333.33
6.07%
(
373,597.46
)
A
1 / A+
A+
3.55 3.43
037833EB2
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
3,000,000.00
02/08/2021
0.70%
2,999,730.00
2,999,791.66
93.07 2.60%
2,792,004.00
3,091.67
3.64%
(
207,787.66
)
Aaa / AA+
NR
3.86 3.75
Total Corporate
17,000,000.00
1.44%
17,339,280.00
17,172,398.36
2.76%
16,471,334.00
82,237.50
21.56%
(
701,064.36
)
A
1 / A+
A+
2.92 2.81
MONEY MARKET FUND
31846V203
First American Govt Obligation Fund
Class Y
237,596.68
Various
0.01%
237,596.68
237,596.68
1.00 0.01%
237,596.68
0.00 0.31%
0.00 Aaa / AAA
AAA
0.00 0.00
Total Money Market Fund
237,596.68
0.01%
237,596.68
237,596.68
0.01%
237,596.68
0.00 0.31%
0.00 Aaa / AAA
AAA
0.00 0.00
US TREASURY
91282CCZ2
US Treasury Note
0.875%
Due
9/30/2026
3,000,000.00
09/30/2021
1.01%
2,980,546.88
2,982,496.45
93.20 2.48%
2,796,093.00
71.72 3.64%
(
186,403.45
)
Aaa / AA+
AAA
4.50 4.36
Total US Treasury
3,000,000.00
1.01%
2,980,546.88
2,982,496.45
2.48%
2,796,093.00
71.72 3.64%
(
186,403.45
)
Aaa / AA+
AAA
4.50 4.36
TOTAL PORTFOLIO
80,312,596.68
0.71%
80,638,051.06
80,467,873.61
2.45%
76,634,463.40
156,667.69
100.00%
(
3,833,410.21
)
Aa
1 / AA
AAA
2.84 2.77
TOTAL MARKET VALUE PLUS ACCRUED
76,791,131.09
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
399
Transaction Ledger
As of March 31, 2022
City of Orange
Account #10888
Transaction
Type
Settlement
Date
CUSIP
Quantity
Security Description
Price
Acq/Disp
Yield
Amount
Interest
Pur/Sold
Total Amount
Gain/Loss
ACQUISITIONS
Purchase
03/01/2022
31846V203
0.78 First American Govt Obligation Fund
Class Y
1.000
0.01%
0.78 0.00
0.78 0.00
Purchase
03/06/2022
31846V203
26,250.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
26,250.00
0.00 26,250.00
0.00 Purchase
03/25/2022
31846V203
9,150.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
9,150.00
0.00 9,150.00
0.00 Purchase
03/28/2022
31846V203
8,750.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
8,750.00
0.00 8,750.00
0.00 Purchase
03/29/2022
31846V203
8,750.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
8,750.00
0.00 8,750.00
0.00 Purchase
03/31/2022
31846V203
13,125.00
First American Govt Obligation Fund
Class Y
1.000
0.01%
13,125.00
0.00 13,125.00
0.00 Subtotal
66,025.78
66,025.78
0.00 66,025.78
0.00 TOTAL ACQUISITIONS
66,025.78
66,025.78
0.00 66,025.78
0.00 DISPOSITIONS
Security
Withdrawal
03/03/2022
31846V203
5,180.27
First American Govt Obligation Fund
Class Y
1.000
5,180.27
0.00 5,180.27
0.00 Subtotal
5,180.27
5,180.27
0.00 5,180.27
0.00 TOTAL DISPOSITIONS
5,180.27
5,180.27
0.00 5,180.27
0.00 OTHER TRANSACTIONS
Interest
03/06/2022
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.000
26,250.00
0.00 26,250.00
0.00 Interest
03/25/2022
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.000
9,150.00
0.00 9,150.00
0.00 Interest
03/28/2022
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.000
8,750.00
0.00 8,750.00
0.00 Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
400
Transaction Ledger
As of March 31, 2022
City of Orange
Account #10888
Transaction
Type
Settlement
Date
CUSIP
Quantity
Security Description
Price
Acq/Disp
Yield
Amount
Interest
Pur/Sold
Total Amount
Gain/Loss
OTHER TRANSACTIONS
Interest
03/29/2022
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.000
8,750.00
0.00 8,750.00
0.00 Interest
03/31/2022
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.000
13,125.00
0.00 13,125.00
0.00 Subtotal
20,575,000.00
66,025.00
0.00 66,025.00
0.00 Dividend
03/01/2022
31846V203
176,751.17
First American Govt Obligation Fund
Class Y
0.000
0.78 0.00
0.78 0.00
Subtotal
176,751.17
0.78 0.00
0.78 0.00
TOTAL OTHER TRANSACTIONS
20,751,751.17
66,025.78
0.00 66,025.78
0.00 Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
401
Income Earned
As of March 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
FIXED INCOME
037833EB2
Apple Inc
Callable Note Cont
1/8/2026
0.7%
Due
02/08/2026
02/08/2021
02/08/2021
3,000,000.00
2,999,787.08
0.00 0.00
2,999,791.66
1,341.67
0.00 3,091.67
1,750.00
4.58 0.00
4.58 1,754.58
1,754.58
191216CL2
Coca Cola Company
Callable Note Cont
8/6/2024
1.75%
Due
09/06/2024
09/20/2019
09/20/2019
3,000,000.00
2,982,112.52
0.00 0.00
2,982,715.25
25,520.83
26,250.00
3,645.83
4,375.00
602.73
0.00 602.73
4,977.73
4,977.73
3130ALLM4
FHLB
Callable Note Qtrly
6/28/2021
0.35%
Due
03/28/2024
03/29/2021
03/29/2021
5,000,000.00
4,997,923.29
0.00 0.00
4,998,008.22
7,437.50
8,750.00
145.83
1,458.33
84.93 0.00
84.93 1,543.26
1,543.26
3130AMBG6
FHLB
Callable Note Qtrly
7/29/2021
0.75%
Due
04/29/2025
05/04/2021
05/04/2021
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
12,708.33
0.00 15,833.33
3,125.00
0.00 0.00
0.00 3,125.00
3,125.00
3130ANA42
FHLB
Callable Note Qtrly
1/28/2022
0.65%
Due
04/28/2025
07/28/2021
07/28/2021
4,000,000.00
4,000,000.00
0.00 0.00
4,000,000.00
2,383.33
0.00 4,550.00
2,166.67
0.00 0.00
0.00 2,166.67
2,166.67
3130ANDF4
FHLB
Callable Note Annual
7/29/2022
0.9%
Due
07/29/2026
07/29/2021
07/29/2021
5,000,000.00
5,004,109.59
0.00 0.00
5,003,260.27
4,000.00
0.00 7,750.00
3,750.00
0.00 849.32
(
849.32
)
2,900.68
2,900.68
3134GW3Z7
FHLMC
Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
10/28/2020
10/28/2020
9,000,000.00
9,000,000.00
0.00 0.00
9,000,000.00
18,450.00
0.00 22,950.00
4,500.00
0.00 0.00
0.00 4,500.00
4,500.00
3134GWVE3
FHLMC
Callable Note Qtrly
3/25/2021
0.4%
Due
09/25/2024
11/19/2020
11/19/2020
4,575,000.00
4,574,083.37
0.00 0.00
4,574,113.63
7,930.00
9,150.00
305.00
1,525.00
30.26 0.00
30.26 1,555.26
1,555.26
3134GWXC5
FHLMC
Callable Note Qtrly
9/29/2021
0.35%
Due
03/29/2024
12/10/2020
12/10/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
7,388.89
8,750.00
97.22 1,458.33
0.00 0.00
0.00 1,458.33
1,458.33
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
402
Income Earned
As of March 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
3134GXFY5
FHLMC
Callable Note Qtrly
6/17/2021
0.5%
Due
06/17/2025
12/17/2020
12/17/2020
2,500,000.00
2,500,000.00
0.00 0.00
2,500,000.00
2,569.44
0.00 3,611.11
1,041.67
0.00 0.00
0.00 1,041.67
1,041.67
3135GA4S7
FNMA
Callable Note Qtrly
11/17/2022
0.375%
Due
05/17/2024
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
5,416.67
0.00 6,979.17
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GA4W8
FNMA
Callable Note Qrtly
11/18/2022
0.5%
Due
02/18/2025
11/20/2020
11/20/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
902.78
0.00 2,986.11
2,083.33
0.00 0.00
0.00 2,083.33
2,083.33
3135GA5Y3
FNMA
Callable Note Qtrly
12/14/2021
0.375%
Due
06/14/2024
12/14/2020
12/14/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
4,010.42
0.00 5,572.92
1,562.50
0.00 0.00
0.00 1,562.50
1,562.50
3135GABN0
FNMA
Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
12/29/2020
12/29/2020
5,000,000.00
5,000,000.00
0.00 0.00
5,000,000.00
2,411.11
0.00 3,577.78
1,166.67
0.00 0.00
0.00 1,166.67
1,166.67
40434CAD7
HSBC USA Inc
Note
3.5%
Due
06/23/2024
12/10/2019
12/10/2019
6,000,000.00
6,178,383.22
0.00 0.00
6,171,838.99
39,666.67
0.00 57,166.67
17,500.00
0.00 6,544.23
(
6,544.23
)
10,955.77
10,955.77
89236THP3
Toyota Motor Credit Corp
Note
0.8%
Due
10/16/2025
11/19/2020
11/19/2020
5,000,000.00
5,018,484.93
0.00 0.00
5,018,052.46
15,000.00
0.00 18,333.33
3,333.33
0.00 432.47
(
432.47
)
2,900.86
2,900.86
91282CCZ2
US Treasury
Note
0.875%
Due
09/30/2026
09/30/2021
09/30/2021
3,000,000.00
2,982,166.20
0.00 0.00
2,982,496.45
10,961.54
13,125.00
71.72 2,235.18
330.25
0.00 330.25
2,565.43
2,565.43
Total Fixed Income
80,075,000.00
80,237,050.20
0.00 0.00
80,230,276.93
168,099.18
66,025.00
156,667.69
54,593.51
1,052.75
7,826.02
(
6,773.27
)
47,820.24
47,820.24
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
403
Income Earned
As of March 31, 2022
City of Orange
Account #10888
CUSIP
Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income
CASH & EQUIVALENT
31846V203
First American
Govt Obligation Fund Class Y
Various
Various
237,596.68
176,751.17
66,025.78
5,180.27
237,596.68
0.00 0.78
0.00 0.78
0.00 0.00
0.00 0.78
0.78 Total Cash & Equivalent
237,596.68
176,751.17
66,025.78
5,180.27
237,596.68
0.00 0.78
0.00 0.78
0.00 0.00
0.00 0.78
0.78 TOTAL PORTFOLIO
80,312,596.68
80,413,801.37
66,025.78
5,180.27
80,467,873.61
168,099.18
66,025.78
156,667.69
54,594.29
1,052.75
7,826.02
(
6,773.27
)
47,821.02
47,821.02
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
404
Cash Flow Report
As of March 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
04/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
04/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
04/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
APR 2022
0.00 65,750.00
65,750.00
05/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
MAY 2022
0.00 9,375.00
9,375.00
06/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
06/17/2022
Interest
3134GXFY5
2,500,000.00
FHLMC Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
06/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
06/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
JUN 2022
0.00 127,625.00
127,625.00
07/28/2022
Call
3130ANA42
4,000,000.00
FHLB Callable Note Qtrly
1/28/2022
0.65%
Due
4/28/2025
4,000,000.00
13,000.00
4,013,000.00
07/29/2022
Call
3130ANDF4
5,000,000.00
FHLB Callable Note Annual
7/29/2022
0.9%
Due
7/29/2026
5,000,000.00
22,500.00
5,022,500.00
JUL 2022
9,000,000.00
35,500.00
9,035,500.00
08/08/2022
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
08/18/2022
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
AUG 2022
0.00 23,000.00
23,000.00
09/06/2022
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
09/25/2022
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
405
Cash Flow Report
As of March 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
09/28/2022
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
09/29/2022
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
09/30/2022
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
SEP 2022
0.00 66,025.00
66,025.00
10/16/2022
Interest
89236THP3
5,000,000.00
Toyota Motor Credit Corp Note
0.8%
Due
10/16/2025
0.00 20,000.00
20,000.00
10/28/2022
Interest
3134GW3Z7
9,000,000.00
FHLMC Callable Note Qtrly
10/28/2021
0.6%
Due
10/28/2025
0.00 27,000.00
27,000.00
10/29/2022
Interest
3130AMBG6
5,000,000.00
FHLB Callable Note Qtrly
7/29/2021
0.75%
Due
4/29/2025
0.00 18,750.00
18,750.00
OCT 2022
0.00 65,750.00
65,750.00
11/17/2022
Interest
3135GA4S7
5,000,000.00
FNMA Callable Note Qtrly
11/17/2022
0.375%
Due
5/17/2024
0.00 9,375.00
9,375.00
NOV 2022
0.00 9,375.00
9,375.00
12/14/2022
Interest
3135GA5Y3
5,000,000.00
FNMA Callable Note Qtrly
12/14/2021
0.375%
Due
6/14/2024
0.00 9,375.00
9,375.00
12/17/2022
Interest
3134GXFY5
2,500,000.00
FHLMC Callable Note Qtrly
6/17/2021
0.5%
Due
6/17/2025
0.00 6,250.00
6,250.00
12/23/2022
Interest
40434CAD7
6,000,000.00
HSBC USA Inc Note
3.5%
Due
6/23/2024
0.00 105,000.00
105,000.00
12/29/2022
Interest
3135GABN0
5,000,000.00
FNMA Callable Note Qtlry
12/29/2021
0.28%
Due
12/29/2023
0.00 7,000.00
7,000.00
DEC 2022
0.00 127,625.00
127,625.00
02/08/2023
Interest
037833EB2
3,000,000.00
Apple Inc Callable Note Cont
1/8/2026
0.7%
Due
2/8/2026
0.00 10,500.00
10,500.00
02/18/2023
Interest
3135GA4W8
5,000,000.00
FNMA Callable Note Qrtly
11/18/2022
0.5%
Due
2/18/2025
0.00 12,500.00
12,500.00
FEB 2023
0.00 23,000.00
23,000.00
03/06/2023
Interest
191216CL2
3,000,000.00
Coca Cola Company Callable Note Cont
8/6/2024
1.75%
Due
9/6/2024
0.00 26,250.00
26,250.00
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
406
Cash Flow Report
As of March 31, 2022
City of Orange
Account #10888
Payment Date
Transaction Type
CUSIP
Quantity
Security Description
Principal Amount
Income
Total Amount
03/25/2023
Interest
3134GWVE3
4,575,000.00
FHLMC Callable Note Qtrly
3/25/2021
0.4%
Due
9/25/2024
0.00 9,150.00
9,150.00
03/28/2023
Interest
3130ALLM4
5,000,000.00
FHLB Callable Note Qtrly
6/28/2021
0.35%
Due
3/28/2024
0.00 8,750.00
8,750.00
03/29/2023
Interest
3134GWXC5
5,000,000.00
FHLMC Callable Note Qtrly
9/29/2021
0.35%
Due
3/29/2024
0.00 8,750.00
8,750.00
03/31/2023
Interest
91282CCZ2
3,000,000.00
US Treasury Note
0.875%
Due
9/30/2026
0.00 13,125.00
13,125.00
MAR 2023
0.00 66,025.00
66,025.00
TOTAL
9,000,000.00
619,050.00
9,619,050.00
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
407
Important Disclosures
City of Orange
Account #10888
Chandler Asset Management, Inc.
;͞
Chandler
͟Ϳ
is an SEC registered investment adviser. For additional information about our firm, please see our current disclosures (Form ADV). To obtain a copy of our current disclosures, you may contact your client service representative by calling the number on the front of this statement or you may visit our website at www.chandlerasset.com.
Information contained in this monthly statement is confidential and is provided for informational purposes only and should not be construed as specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of this statement, but may become outdated or superseded at any time without notice.
Custody:
Your qualified custodian bank maintains control of all assets reflected in this statement and we urge you to compare this statement to the one you receive from your qualified custodian. Chandler does not have any authority to withdraw or deposit funds from/to the custodian account.
Valuation:
Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.
Performance:
Performance results are presented gross-of-advisory fees and represent the client ͛
s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.
Source ice Data Indices, LLC ("ICE"), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN "AS IS" BASIS; ICE, ITS AFFILIATES AND THEIR RESPECTIVE
THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED THEREFROM. NEITHER ICE DATA, ITS AFFILIATES OR
THEIR RESPECTIVE THIRD PARTY PROVIDERS GUARANTEE THE QUALITY, ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS THEREOF ARE PROVIDED ON AN "AS IS" BASIS AND LICENSEE'S USE IS AT LICENSEE'S OWN RISK. ICE DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY DO NOT SPONSOR, ENDORSE, OR RECOMMEND CHANDLER, OR ANY OF ITS PRODUCTS OR SERVICES.
Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.
Ratings:
Ratings information have been provided by Moody
͛
s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.
Security level ratings for U.S. Agency issued mortgage-backed securities ;͞
MBS
͟Ϳ
reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest and carries a AA+/Aaa/AAA by S&P, Moody ͛
s and Fitch respectively.
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
408
Benchmark Index & Disclosures
City of Orange
Account #10888
Benchmark Index
Disclosure
ICE BofA 1-5 Yr US Treasury & Agency
Index
The ICE BofA 1-5 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody ͛
s,
S&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies.
Execution Time: 4/3/2022 3:20:26 PM
Chandler Asset Management - CONFIDENTIAL
409
Agenda Item
City Council
Item #: 3.27. 5/10/2022 File #: 22-0225
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Fiscal Year 2022-2023 Pavement Management Program list of arterial streets to be funded by SB 1 (The Road Repair and Accountability Act) and appropriating Road Maintenance and Rehabilitation Account funding. Resolution No. 11389.
2. SUMMARY
Resolution No. 11389 is required to be adopted as part of the application package for the Road Maintenance and Rehabilitation Account Funding Program for nine streets throughout the City. To be eligible for fiscal year program apportionments, cities and counties must submit an adopted list of projects to the California Transportation Commission. The total estimated new funding from Senate Bill 1 and Road Maintenance and Rehabilitation Account for Fiscal Year 2022-2023 is approximately $2,700,000.
3. RECOMMENDED ACTION
Approve Resolution No. 11389. A Resolution of the City Council of the City of Orange approving the Fiscal Year 2022-2023 Pavement Management Program budget to incorporate a list of nine arterial streets to be funded by SB 1 (The Road Repair and Accountability Act) and appropriate Road Maintenance and Rehabilitation Account RMRA) funding.
4. FISCAL IMPACT
None.
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.
Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations
6. DISCUSSION AND BACKGROUND
The project list-resolution submittal to establish eligibility will be submitted to the California Transportation Commission (CTC), for the Road Maintenance and Rehabilitation Account (RMRA) Funding Program for Fiscal Year 2022-2023 (FY 23).
This new funding program was created on April 28, 2017 when Governor Brown signed Senate Bill (SB) 1 (Beall, Chapter 5, Statutes of 2017), known as the Road Repair and Accountability Act of City of Orange Printed on 5/5/2022Page 1 of 2
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410
Item #: 3.27. 5/10/2022 File #: 22-0225
(SB) 1 (Beall, Chapter 5, Statutes of 2017), known as the Road Repair and Accountability Act of 2017. The program addresses basic road maintenance, rehabilitation, and critical safety needs on both the state highway and local streets and road system. SB 1 is funded through fuel excise taxes, diesel fuel sales taxes, and vehicle registration fees.
The exact amount of funding the City will receive for FY 23 is unknown. However, the Public Works Department has identified a list of streets to present to CTC for funding approval. These streets were rated in the Citywide Pavement Management Program with a Pavement Condition Index (PCI) ranging from 21-65 (out of a maximum score of 100) indicating the need for street rehabilitation. The cost estimate for these improvements is approximately $4.2 million. Staff will only select the number of streets that can be funded by the amount of RMRA received.
The scope of rehabilitation in general consists of American with Disabilities Act compliant access ramps, localized removal and replacement of the existing pavement, asphalt concrete overlay, removal and replacement of failed sections of curb and gutter, driveways, sidewalks, cross gutters, spandrels, and adjustment of manholes and water valve covers to grade.
Because the City is receiving an apportionment of RMRA funds, staff is required to sustain a maintenance of effort (MOE) by spending at least the annual average of FY 2009-10 through FY 2011-12 general fund expenditures for street, road, and highway purposes. The City will be able to meet the MOE requirements going forward.
7. ATTACHMENTS
· Resolution No. 11389
· Exhibit “A” (Project list)
· Location Map
City of Orange Printed on 5/5/2022Page 2 of 2
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411
Agenda Item
City Council
Item #: 3.27. 5/10/2022 File #: 22-0225
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Fiscal Year 2022-2023 Pavement Management Program list of arterial streets to be funded by SB 1 (The Road Repair and Accountability Act) and appropriating Road Maintenance and Rehabilitation Account funding. Resolution No. 11389.
2. SUMMARY
Resolution No. 11389 is required to be adopted as part of the application package for the Road Maintenance and Rehabilitation Account Funding Program for nine streets throughout the City. To be eligible for fiscal year program apportionments, cities and counties must submit an adopted list of projects to the California Transportation Commission. The total estimated new funding from Senate Bill 1 and Road Maintenance and Rehabilitation Account for Fiscal Year 2022-2023 is approximately $2,700,000.
3. RECOMMENDED ACTION
Approve Resolution No. 11389. A Resolution of the City Council of the City of Orange approving the Fiscal Year 2022-2023 Pavement Management Program budget to incorporate a list of nine arterial streets to be funded by SB 1 (The Road Repair and Accountability Act) and appropriate Road Maintenance and Rehabilitation Account RMRA) funding.
4. FISCAL IMPACT
None.
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.
Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations
6. DISCUSSION AND BACKGROUND
The project list-resolution submittal to establish eligibility will be submitted to the California Transportation Commission (CTC), for the Road Maintenance and Rehabilitation Account (RMRA) Funding Program for Fiscal Year 2022-2023 (FY 23).
This new funding program was created on April 28, 2017 when Governor Brown signed Senate Bill (SB) 1 (Beall, Chapter 5, Statutes of 2017), known as the Road Repair and Accountability Act of City of Orange Printed on 5/5/2022Page 1 of 2
powered by Legistar™
412
Item #: 3.27. 5/10/2022 File #: 22-0225
(SB) 1 (Beall, Chapter 5, Statutes of 2017), known as the Road Repair and Accountability Act of 2017. The program addresses basic road maintenance, rehabilitation, and critical safety needs on both the state highway and local streets and road system. SB 1 is funded through fuel excise taxes, diesel fuel sales taxes, and vehicle registration fees.
The exact amount of funding the City will receive for FY 23 is unknown. However, the Public Works Department has identified a list of streets to present to CTC for funding approval. These streets were rated in the Citywide Pavement Management Program with a Pavement Condition Index (PCI) ranging from 21-65 (out of a maximum score of 100) indicating the need for street rehabilitation. The cost estimate for these improvements is approximately $4.2 million. Staff will only select the number of streets that can be funded by the amount of RMRA received.
The scope of rehabilitation in general consists of American with Disabilities Act compliant access ramps, localized removal and replacement of the existing pavement, asphalt concrete overlay, removal and replacement of failed sections of curb and gutter, driveways, sidewalks, cross gutters, spandrels, and adjustment of manholes and water valve covers to grade.
Because the City is receiving an apportionment of RMRA funds, staff is required to sustain a maintenance of effort (MOE) by spending at least the annual average of FY 2009-10 through FY 2011-12 general fund expenditures for street, road, and highway purposes. The City will be able to meet the MOE requirements going forward.
7. ATTACHMENTS
· Resolution No. 11389
· Exhibit “A” (Project list)
· Location Map
City of Orange Printed on 5/5/2022Page 2 of 2
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413
RESOLUTION NO. 11389
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE APPROVING THE FISCAL YEAR
2022-2023 PAVEMENT MANAGEMENT PROGRAM
BUDGET TO INCORPORATE A LIST OF NINE
STREETS TO BE FUNDED BY SB 1 (THE ROAD
REPAIR AND ACCOUNTABILITY ACT ) AND
APPROPRIATE ROAD MAINTENANCE AND
REHABILITATION ACCOUNT (RMRA) FUNDING
WHEREAS, the City of Orange (the City) is a municipal corporation which exercises governmental functions and powers, and is organized and existing under the laws of the State of California; and
WHEREAS, the City’s local street and road system is critical for farm to market needs, interconnectivity, multimodal needs, and commerce; and
WHEREAS, maintaining and preserving the local street and road system in good condition reduce s drive times and traffic congestion, improve s bicycle safety, and make s the pedestrian experience safer and more appealing, which leads to reduced vehicle emissions helping the State achieve its air quality and greenhouse gas emissions reductions goals; and
WHEREAS, restoring roads before they fail also reduces construction time which results in less air pollution from heavy equipment and less water pollution from site run-off; and
WHEREAS, Senate Bill 1 (SB 1), the Road Repair and A ccountability Act of 2017 (Chapter 5, Statutes of 2017) was passed by the Legislature and Signed into law by the Governor in April 2017 in order to address the significant multi -modal transportation funding shortfalls statewide; and
WHEREAS, SB 1 includes accountability and transparency provisions that will ensure the residents of the City are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and
WHEREAS, the City must include a list of all projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, in the City budget, which must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement; and
WHEREAS, the City will receive an estimated $2,700,000 in RMRA funding in Fiscal Year 2022-2023 from SB 1; and
WHEREAS, the City Public Works Department used the Citywide Pavement Management Program to find streets rated with a Pavement Condition Index (PCI) ranging from 21 to 65 (out of a maximum score of 100) indicating the need for street rehabilitation to develop 414
2 the SB 1 project list to ensure revenues are being used on the most high-priority and cost-effective projects that also meet the community’s priorities for transportation investment; and
WHEREAS, the funding from SB 1 will help the City rehabilitate nine streets. The scope of rehabilitation in general consists of ADA compliant access ramps, localized removal and replacement of the existing pavement, asphalt concrete overlay, removal and replacement of failed sections of curb and gutter, driveways, sidewalks, cross gutters, spandrels, and adjustment of manholes and water valve covers to grade throughout the City this year and into the future; and
WHEREAS, the City Public Works Department will select streets from the project list based on the funding received; and
WHEREAS, the 2018 California Statewide Local Streets and Roads Needs Assessment found that City streets and roads are in a “Good” condition and this revenue will help us increase the overall quality of our road system and over the next decade will maintain our streets and roads in a “Good” to “Very Good” condition; and
WHEREAS, the proposed street rehabilitation will extend the estimate useful life of the road system up to an additional 15 years; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange, on the basis of the facts set forth in the agenda report presented to it and any testimony received at the meeting at which this matter was considered, as follows:
1. The City Council finds and determines that the foregoing recitals are true and correct.
2. The Pavement Management Program budget for fiscal year 2022-2023 is amended to incorporate the following list of projects planned to be funded with Road Maintenance and Rehabilitation Account revenues:
Road Maintenance and Rehabilitation Account
FY 22/23 Pavement Rehabilitation List
# Street Name From To PCI
1* Struck Avenue Katella Avenue Main Street 21
2* Struck Avenue Main Street Batavia Street 29
3* a Orange-Olive Road Lincoln Avenue St. James Avenue 62 b Orange-Olive Road St. James Avenue Fellows Drive 65
4* a Orangewood Avenue 1475' w/o Eckhoff Street Eckhoff Street 39 b Orangewood Avenue Eckhoff Street Main Street 50
5* La Veta Avenue Tustin Avenue Frontage Road 47
6* Santiago Canyon Road Jamboree Road Newport Boulevard 65 415
3 7 Fairhaven Avenue Tustin Street Ponderosa Street 42
8 Crawford Canyon Road Chapman Avenue Stoller Lane 48
9 a Spring Street Swidler Place Esplanade Street 49
b Spring Street Virage Street Swidler Place 54
* relisted streets
ADOPTED this ____ day of ____________________, 2022
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ORANGE )
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
416
Street Name From To Length
(LF)
Width
(LF)
Area
(SF) PCI
Struck Avenue Katella Avenue Main Street 1,100 44 48,400 21 Struck Avenue Main Street Batavia Street 1,545 44 67,980 29 a Orange-Olive Road Lincoln Avenue St. James Avenue 1,215 60 72,900 62 b Orange-Olive Road St. James Avenue Fellows Drive 1,240 60 74,400 65 a Orangewood Avenue 1475' w/o Eckhoff Street Eckhoff Street 1,475 80 118,000 39 b Orangewood Avenue Eckhoff Street Main Street 2,199 60 134,464 50 La Veta Avenue Tustin Avenue Frontage Road 570 60 34,200 47 Santiago Canyon Road Jamboree Road Newport Boulevard 2,455 40 102,700 65 Fairhaven Avenue Tustin Street Ponderosa Street 460 60 32,539 42 Crawford Canyon Road Chapman Avenue Stoller Lane 1,056 30 42,681 48 a Spring Street Swidler Place Esplanade Street 1,490 60 89,152 49 b Spring Street Virage Street Swidler Place 595 60 34,626 54 -
-
-
-
15,400 852,042
#
Total
1*
2*
*relisted streets from prior fiscal year
Exhibit A
Road Maintenance and Rehabilitation Account
FY 22/23 Pavement Rehabilitation List
4*
3*
8 9
7 5*
6*
417
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 2:35:16 PM
J
0 0.065 0.13 0.195 0.260.0325
mi
418
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:03:11 PM
J
0 0.1 0.2 0.3 0.40.05
mi
419
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:04:32 PM
J
0 0.065 0.13 0.195 0.260.0325
mi
420
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:25:45 PM
J
0 0.03 0.06 0.09 0.120.015
mi
421
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:28:42 PM
J
0 0.065 0.13 0.195 0.260.0325
mi
422
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:15:38 PM
J
0 0.065 0.13 0.195 0.260.0325
mi
423
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:18:06 PM
J
0 0.065 0.13 0.195 0.260.0325
mi
424
Road Maintenance and Rehabilitation Account FY 22/23 Pavement Rehabilitation 4/27/2022, 3:20:28 PM
J
0 0.03 0.06 0.09 0.120.015
mi
425
Agenda Item
City Council
Item #: 3.28. 5/10/2022 File #: 22-0230
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Landscape Maintenance Districts 86-2 (Santiago Hills) and 15-1 (Santiago Hills Overlay) Preliminary Engineer’s Report for Fiscal Year 2022-2023. Resolution No. 11390.
2. SUMMARY
The City declares its intention to assess an annual levy, approve the Preliminary Engineer’sReport and set a public hearing. The total assessment to be levied from Landscape Maintenance Assessment Districts 86-2 (Santiago Hills) and Landscape Maintenance Assessment District 15-1 (Santiago Hills Overlay) for Fiscal Year 2022-2023 is $533,651 and $356,873, respectively.
Assessment for the Santiago Hills Overlay includes staff recommendation of an annual adjustment of 3% based on the Consumer Price Index for the Los Angeles-Long Beach-Anaheim area.
3. RECOMMENDED ACTION
1. Adopt Resolution No. 11390. A Resolution of the City Council of the City of Orange regarding Landscape Maintenance Assessment Districts 86-2 (Santiago Hills), and 15-1 (Santiago Hills Overlay) declaring its intention to provide for an annual levy and collection of assessments for Fiscal Year 2022-2023; setting a time and place for a public hearing to receive public testimony on the foregoing matters; and giving preliminary approval of the certified Engineer’s Report for Landscape Maintenance Assessment Districts 86-2 (Santiago Hills) and 15-1 (Santiago Hills Overlay).
2. Declare the intent to levy an annual assessment, and set June 14, 2022, at 6:00 PM at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public Hearing on the assessments.
4. FISCAL IMPACT
The total expenditure for this assessment is $917,642 and will be funded through Santiago Hills and Santiago Hills Overlay Landscape Maintenance Districts (291).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community a: Renovate, maintain, develop and/or expand public use places and spaces.
6. DISCUSSION AND BACKGROUND
In 1987, Landscape Maintenance District 86-2 (LMD 86-2) was established to maintain the landscape improvements constructed by Assessment District 86-1 in Santiago Hills. Annually, a detailed City of Orange Printed on 5/5/2022Page 1 of 2
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426
Item #: 3.28. 5/10/2022 File #: 22-0230
improvements constructed by Assessment District 86-1 in Santiago Hills. Annually, a detailed accounting of expenses is compiled and a new assessment is calculated for the benefitting property owners.
This year’sassessment for a single family detached unit is $369.44 and $221.66 for condos. This is the same as last year and the largest assessment currently allowed. Revenue in the District is derived from assessments paid by property owners, both residential and commercial as well as Rancho Santiago Community College District who reimburses the District for the cost to maintain the parkways adjacent to the school.
On April 14, 2015, the City Council approved the formation of a new district (LMD 15-1) to exactly overlay the existing LMD 86-2 and to provide additional funding necessary in order to sustain standard landscape maintenance and continue capital improvement projects. The annual assessment for LMD 15-1 was approved by the property owners on June 9, 2015.
The proposed Fiscal Year 2022-2023 (FY23) budget for the combined LMD 86-2 and LMD 15-1 indicates the amount of funding required to maintain District landscape and provides a capital budget to replace aging landscaping and infrastructure over time. Additional revenues to fully fund the District would be obtained through the overlay district, LMD 15-1, and a separate agreement with Rancho Santiago Community College District. The existing LMD 86-2 will stay at the maximum assessment; however the assessment for LMD 15-1 will include a 3.0% Consumer Price Index (CPI) increase. The Assessment for LMD 15-1 is permitted to increase annually consistent with CPI increases for the Los Angeles-Long Beach-Anaheim area. Community Services Department staff recommended assessing the CPI adjustment which for FY23 is 3%, to continue capital renovations of the aging landscape. The assessment for 15-1 for a single family detached unit will slightly increase by $7.44 from $248.16 to $255.60. The assessment for 15-1 condominiums will increase by $5.29 from $176.19 to $181.48.
The maximum assessment total for LMD 86-2 for FY23 is $533,651. The assessment total for LMD 15-1 for FY23 is $356,873 including the 3.0% CPI adjustment. Revenues of $30,191 from Rancho Santiago Community College District are included as a reimbursement for landscape maintenance costs paid by LMD 86-2 and LMD 15-1. This totals $920,715 in revenue. Expenditures in FY23 are anticipated to be approximately $917,642 which is $3,073 under revenues. The City continues to actively work with District residents on implementing a renovation plan for their 30 year old landscape that is both fiscally and environmentally sustainable. The projected year-end reserve fund balance is $375,279. Reserve funds will be used to supplement any potential deficit in FY23 expenditures.
The attached Preliminary Engineer’sReports contains detailed information about the assessment. It is proposed to schedule the Public Hearing on June 14, 2022, at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public Hearing on the assessments.
7. ATTACHMENTS
· Resolution No. 11390
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 86-2 Fiscal Year 2022-2023
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 15-1 Fiscal Year 2022-2023
City of Orange Printed on 5/5/2022Page 2 of 2
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427
Agenda Item
City Council
Item #: 3.28. 5/10/2022 File #: 22-0230
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Landscape Maintenance Districts 86-2 (Santiago Hills) and 15-1 (Santiago Hills Overlay) Preliminary Engineer’s Report for Fiscal Year 2022-2023. Resolution No. 11390.
2. SUMMARY
The City declares its intention to assess an annual levy, approve the Preliminary Engineer’sReport and set a public hearing. The total assessment to be levied from Landscape Maintenance Assessment Districts 86-2 (Santiago Hills) and Landscape Maintenance Assessment District 15-1 (Santiago Hills Overlay) for Fiscal Year 2022-2023 is $533,651 and $356,873, respectively.
Assessment for the Santiago Hills Overlay includes staff recommendation of an annual adjustment of 3% based on the Consumer Price Index for the Los Angeles-Long Beach-Anaheim area.
3. RECOMMENDED ACTION
1. Adopt Resolution No. 11390. A Resolution of the City Council of the City of Orange regarding Landscape Maintenance Assessment Districts 86-2 (Santiago Hills), and 15-1 (Santiago Hills Overlay) declaring its intention to provide for an annual levy and collection of assessments for Fiscal Year 2022-2023; setting a time and place for a public hearing to receive public testimony on the foregoing matters; and giving preliminary approval of the certified Engineer’s Report for Landscape Maintenance Assessment Districts 86-2 (Santiago Hills) and 15-1 (Santiago Hills Overlay).
2. Declare the intent to levy an annual assessment, and set June 14, 2022, at 6:00 PM at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public Hearing on the assessments.
4. FISCAL IMPACT
The total expenditure for this assessment is $917,642 and will be funded through Santiago Hills and Santiago Hills Overlay Landscape Maintenance Districts (291).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community a: Renovate, maintain, develop and/or expand public use places and spaces.
6. DISCUSSION AND BACKGROUND
In 1987, Landscape Maintenance District 86-2 (LMD 86-2) was established to maintain the landscape improvements constructed by Assessment District 86-1 in Santiago Hills. Annually, a detailed City of Orange Printed on 5/5/2022Page 1 of 2
powered by Legistar™
428
Item #: 3.28. 5/10/2022 File #: 22-0230
improvements constructed by Assessment District 86-1 in Santiago Hills. Annually, a detailed accounting of expenses is compiled and a new assessment is calculated for the benefitting property owners.
This year’sassessment for a single family detached unit is $369.44 and $221.66 for condos. This is the same as last year and the largest assessment currently allowed. Revenue in the District is derived from assessments paid by property owners, both residential and commercial as well as Rancho Santiago Community College District who reimburses the District for the cost to maintain the parkways adjacent to the school.
On April 14, 2015, the City Council approved the formation of a new district (LMD 15-1) to exactly overlay the existing LMD 86-2 and to provide additional funding necessary in order to sustain standard landscape maintenance and continue capital improvement projects. The annual assessment for LMD 15-1 was approved by the property owners on June 9, 2015.
The proposed Fiscal Year 2022-2023 (FY23) budget for the combined LMD 86-2 and LMD 15-1 indicates the amount of funding required to maintain District landscape and provides a capital budget to replace aging landscaping and infrastructure over time. Additional revenues to fully fund the District would be obtained through the overlay district, LMD 15-1, and a separate agreement with Rancho Santiago Community College District. The existing LMD 86-2 will stay at the maximum assessment; however the assessment for LMD 15-1 will include a 3.0% Consumer Price Index (CPI) increase. The Assessment for LMD 15-1 is permitted to increase annually consistent with CPI increases for the Los Angeles-Long Beach-Anaheim area. Community Services Department staff recommended assessing the CPI adjustment which for FY23 is 3%, to continue capital renovations of the aging landscape. The assessment for 15-1 for a single family detached unit will slightly increase by $7.44 from $248.16 to $255.60. The assessment for 15-1 condominiums will increase by $5.29 from $176.19 to $181.48.
The maximum assessment total for LMD 86-2 for FY23 is $533,651. The assessment total for LMD 15-1 for FY23 is $356,873 including the 3.0% CPI adjustment. Revenues of $30,191 from Rancho Santiago Community College District are included as a reimbursement for landscape maintenance costs paid by LMD 86-2 and LMD 15-1. This totals $920,715 in revenue. Expenditures in FY23 are anticipated to be approximately $917,642 which is $3,073 under revenues. The City continues to actively work with District residents on implementing a renovation plan for their 30 year old landscape that is both fiscally and environmentally sustainable. The projected year-end reserve fund balance is $375,279. Reserve funds will be used to supplement any potential deficit in FY23 expenditures.
The attached Preliminary Engineer’sReports contains detailed information about the assessment. It is proposed to schedule the Public Hearing on June 14, 2022, at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public Hearing on the assessments.
7. ATTACHMENTS
· Resolution No. 11390
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 86-2 Fiscal Year 2022-2023
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 15-1 Fiscal Year 2022-2023
City of Orange Printed on 5/5/2022Page 2 of 2
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RESOLUTION NO. 11390
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF ORANGE REGARDING
LANDSCAPE MAINTENANCE ASSESSMENT
DISTRICTS 86-2 (SANTIAGO HILLS) AND 15-1
(SANTIAGO HILLS OVERLAY) DECLARING
ITS INTENTION TO PROVIDE FOR AN ANNUAL
LEVY AND COLLECTION OF ASSESSMENTS
FOR FISCAL YEAR 2022-2023; SETTING A TIME
AND PLACE FOR A PUBLIC HEARING TO
RECEIVE PUBLIC TESTIMONY ON THE
FOREGOING MATTERS; AND GIVING
PRELIMINARY APPROVAL OF THE
CERTIFIED ENGINEER’S REPORT FOR
LANDSCAPE MAINTENANCE ASSESSMENT
DISTRICTS 86-2 (SANTIAGO HILLS) & 15 -1
(SANTIAGO HILLS OVERLAY)
WHEREAS, the City Council of the City of Orange previously formed City of Orange Landscape Maintenance Districts No. 86-2 and 15-1 (“Maintenance Districts”) and desires to initiate proceedings for the levy of annual increased assessments in connection with the Maintenance Districts, pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code beginning with Section 22500, Government Code Section 53753 and the provisions of the Article 13D of the California Constitution (“Article 13D”) and such constitutional provisions and statutes as are referred to collectively as the “Applicable Law;” and
WHEREAS, there has now been presented to the City Council the Certified Engineer’s Report s (“Reports”) as required by the Applicable Law that describe the proposed annual levy of assessments for each parcel for Fiscal Year 2022-2023 and the proposed changes to the Maintenance Districts or improvements; and
WHEREAS, the City Council has carefully examine d and reviewed the Report s and is satisfied with each and all of the items and documents set forth therein and has made a preliminary determination that the assessments on each parcel have been proportioned in accordance with the benefits received by each parcel and that such assessments do not exceed the estimated reasonable cost of providing the service; and
WHEREAS, at this time the City Council determines to commence proceedings to provide for the annual levy of assessments for Fiscal Year 2022-2023 to pay for the costs and expenses necessary for the maintenance of the improvements in the Maintenance Districts.
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2 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange as follows:
Section I:
That the above recitals are all true and correct.
Section II:
That the public interest and convenience require the undertaking of proceedings for the annual levy and collection of assessments to pay the costs and expenses for the maintenance of the improvements within the Maintenance Districts , which in general include: the maintenance, repair, removal or replacement of any of the landscaping improvements, including walkways, signage, irrigation, trimming, spraying, fertilizing, etc., and as such maintenance is more particularly described in the Reports on file with the City Clerk (“maintenance of improvements”).
Section III:
That the maintenance of improvements is of direct benefit to the properties within the boundaries of the Maintenance Districts, which the City Council previously declare d to be the area benefited and which area is more particularly described in the boundary map open for public inspection and on file with the City Clerk bearing the designation of the Maintenance Districts.
Section IV:
That the Reports are preliminarily approved and ordered to be on file with the City Clerk and open for public inspection. The Report s contain a full and detailed description of the existing works of improvement, the boundaries of the Maintenance Districts and any zones therein, and the proposed assessments upon parcels within the Maintenance Districts.
Section V.
That the City shall give notice of the time and place of the public hearing to all property owners of record within the Maintenance Districts subject to a levy of assessment.
Section VI:
That notice is hereby given that Tuesday, June 14th, 2022, at 6:00 p.m. at City Hall, 300 E. Chapman Avenue, Orange, CA 92866, is the time and place fixed by the City Council for hearing protests or objections in reference to the proposed annual levy of assessments for the Maintenance District s in accordance with Government Code Section 53753 and Article 13D and to any other matters contained in this Resolution. Any persons who wish to object to the proceedings or the annual levy should file a written protest with the City Clerk prior to the time set for the public hearing.
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3 Section VII:
That f or any and all information relating to these proceedings, including information relating to protest procedure, your attention is directed to the person designated below:
Tawnie Schraan, Associate Civil Engineer
City of Orange Public Works Department
300 East Chapman Avenue
Orange, California 92866
(714) 744-5528
ADOPTED this ____ day of ____________________, 2022
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ORANGE )
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 86-2
1 CITY OF ORANGE
PRELIMINARY ENGINEER’S REPORT
FOR THE ANNUAL LEVY
ASSESSMENT LANDSCAPE MAINTENANCE
DISTRICT NO. 86-2
FISCAL YEAR 2022-2023
LANDSCAPE MAINTENANCE DISTRICT NO. 86-2
SANTIAGO HILLS
Intent Meeting: May 10, 2022
Public Hearing: June 14, 2022
LMD 86-2 Preliminary ER FY 2022-23
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3 TABLE OF CONTENTS
AFFIDAVIT FOR THE ENGINEER’S REPORT ..................................................... 2 INTRODUCTION ........................................................................................................ 4 PART I — PLANS AND SPECIFICATIONS .............................................................. 6 A. Description of the District ................................................................................................ 6 B. Improvements and Services.............................................................................................. 6 PART II — METHOD OF APPORTIONMENT ..................................................... 10 A. General .............................................................................................................................. 10 B. Benefit Analysis ................................................................................................................ 10 C. Assessment Methodology ............................................................................................... 12 PART III — DISTRICT BUDGET ............................................................................ 14 PART IV — DISTRICT DIAGRAMS ......................................................................... 16 PART V — ASSESSMENT ROLL .............................................................................. 18
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4 INTRODUCTION
Pursuant to the provisions of the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500 (hereafter referred to as the “1972 Act”), and in compliance with the substantive and p rocedural requirements of the California State Constitution Articles XIIIC and XIIID (hereafter referred to as the “California Constitut ion”) , the City Council of the City of Orange, County of Orange, St ate of California (hereafter referred to as “City”), in connection with the annual levy and col lection of assessments of the special benefit assessment district designated as:
Landscape Maintenance District No. 86-2
(hereafter referred to as the “District”), which in cludes all lots and parcels of land that specially benefit from the improvements within the District. This Engineer’s Report (hereafter referred to as “Report”) has been prepared in connection with the annual levy and collections of assessments for said District pursuant to Chapter 1, Article 4 of the 1972 Act.
The City Council proposes to levy and collect annua l assessments on the County tax rolls to provide ongoing funding for the costs and expenses required to service and maintain the landscaping improvements originally installed in connection wit h the development of properties within the District. The improvements to be provided by the Di strict and the assessments described herein are made pursuant to the 1972 Act.
This Report describes the District, the improvement s, and the proposed assessments to be levied in Fiscal Year 2022-2023 against properties in connect ion with the special benefits the properties will receive from the maintenance and servicing of the D istrict improvements. The annual assessments to be levied on properties within the District will provide a funding source for the continued operation and maintenance of local landscaping impr ovements installed in connection with the development of properties within the District. The assessments described in this Report are based on an estimate of the direct expenditures, incident al expenses, and fund balances that will be necessary to maintain and service the improvements.
The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessor’s Parcel Number (APN) by the Orange County Assessor’s Office. The Orange County Auditor/Controller uses Assessor’s Parcel Numbers a nd specific Fund Numbers to identify properties to be assessed on the tax roll for the special benefit assessments.
This Report has been prepared and presented to the City Council to address any proposed changes to the District or improvements, if any, and the pr oposed budget and assessments for Fiscal Year 2022-2023. The City Council will conduct a noticed public hearing to consider public testimonies, comments and written protests regarding the levy an d collection of assessments for Fiscal Year 2022-2023. Upon conclusion of the public hearing, i f majority protest does not exist the City Council may approve this Report (as submitted or am ended) and levy the assessments for Fiscal Year 2022-2023. In such case, the assessments for f iscal year 2022-2023 shall be submitted to the Orange County Auditor/Controller for inclusion on t he property tax roll for each parcel. If the proposed annual assessments for this District excee d the maximum assessment described herein (as approved by the property owners), the new or increa sed assessment must be confirmed through another property owner protest ballot proceeding before such an assessment may be imposed.
This Report consists of five (5) parts:
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5 Part I
Plans and Specifications: A description of the District boundaries and the i mprovements associated with the District. The District is being formed as a single benefit zone encompassing all properties within the territory identified as Landscape and Maintenance District No 86-2.
Part II
The Method of Apportionment: A discussion of benefits the improvements and serv ices provide to properties within the District and the method of calculating each property’s proportional special benefit and annual assessment.
Part III
The District Budget: An estimate of the annual costs to operate, mainta in and service the landscaping and appurtenant facilities installed an d constructed as part of the development of properties within the District. This budget include s an estimate of anticipated direct maintenance costs and incidental expenses. The special benefit assessments are based on the overall operation costs minus any costs that are considered general b enefit. The proposed assessments for Fiscal Year 2022-2023, and each subsequent year shall be based on the estimated net annual cost of operating, maintaining and servicing the improvements for that fiscal year as well as funds to be collected in installments to perform maintenance activities that cannot be reasonably collected in a single fiscal year’s assessments.
Part IV
District Diagram: A Diagram showing the exterior boundaries of the D istrict is provided in this Report and includes all parcels that will receive special benefits from the improvements. Reference is hereby made to the Orange County Assessor’s Parcel Maps for a detailed description of the lines and dimensions of each lot and parcel of land within the District.
Part V
Assessment Roll: A listing of the proposed assessment amounts to be levied on Assessor’s Parcel within the District for Fiscal Year 2022-2023. The proposed assessment amount for each parcel is based on the parcel’s proportional special benefit as outlined in the method of apportionment.
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6 PART I — PLANS AND SPECIFICATIONS
A. Description of the District
The assessment district boundary is shown on a map entitled Assessment Diagram, Landscape Maintenance District No. 86-2, City of Orange, whic h is on file with the City Clerk of the City of Orange. A reduced scale copy of the Diagram can be found in Part IV of this document.
B. Improvements and Services
Improvements and Services Permitted Pursuant to the 1972 Act As generally defined by the Landscaping and Lighting Act of 1972 and applicable to this District, the improvements and associated assessments may include one or more of the following:
1) The installation or planting of landscaping;
2) The installation or construction of statuary, fount ains, and other ornamental structures and facilities;
3) The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof; 4) The installation of park or recreational improvemen ts, including, but not limited to, all of the following:
a) Land preparation, such as grading, leveling, cuttin g and filling, sod, landscaping, irrigation systems, sidewalks, and drainage.
b) Lights, playground equipment, play courts, and public restrooms. 5) The maintenance or servicing, of any of the foregoi ng including the furnishing of services and materials for the ordinary and usual maintenance, o peration, and servicing of any improvement including but not limited to:
a) Repair, removal, or replacement of all or any part of any improvements; b) Grading, clearing, removal of debris, the installat ion or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities; c) Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; d) The removal of trimmings, rubbish, debris, and other solid waste; e) The cleaning, sandblasting, and painting of walls a nd other improvements to remove or cover graffiti;
f) Electric current or energy, gas, or other illuminat ing agent for any public lighting facilities or for the lighting or operation of any other improvements; g) Water for the irrigation of any landscaping, the op eration of any fountains, or the maintenance of any other improvements.
6) Incidental expenses associated with the improvements including, but not limited to:
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7 a) The cost of preparation of the report, including pl ans, specifications, estimates, diagram, and assessment;
b) Compensation payable to the County for collection of assessments; c) Compensation of any engineer or attorney employed to render services; d) Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
Description of Planned Improvements
The landscape improvements are generally described as follows:
a) Parkway and Recreation Areas:
• Newport Boulevard - approximately 18-foot wide zone (including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on the east side from Chapman Avenue to 312 feet south of the centerline of Skylark Place.
• Chapman Avenue - approximately 18-foot wide zone (i ncluding the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on south side from Newport Boulevard to Jamboree Road. • Canyon View Avenue - approximately 30-foot wide zon es (including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on both sides from Newport Boulevard to Jamboree Road. • White Oak Ridge – approximately 17-foot wide zones (including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on both sides from Newport Boulevard to Canyon View Avenue. • Trails End Lane - approximately 17-foot wide zone o n the west side and approximately 28- to 32-foot wide zone on the east side (includin g the width of the sidewalks), both zones from the back of the curb to the property lin e, and corner cutoffs at intersections, from White Oak Ridge to Chapman Avenue.
• Handy Creek Corridor - from the intersection of Cha pman Avenue and Newport Boulevard to White Oak Ridge and from White Oak Ridge to the intersection of Canyon View Avenue and Handy Creek Road (Lot 20, a portion of Lot 11, and Lot D of Tract No. 12417) including concrete walkways which also serve as emergency access ways. • Paseo - approximately 50-foot wide zone from the Pa rk to White Oak Ridge and from White Oak Ridge to Old Camp Road (Lots A and B of T ract No. 12417) and approximately 35-foot wide zone from the Paseo to W hite Oak Ridge (Lot C of Tract No. 12417) including surface and subsurface drainag e facilities and concrete walkways which also serve as emergency access ways.
• Handy Creek Road - approximately 10-foot wide zone (including the width of the sidewalks) on south side from the back of the curb to the property line form the end of Handy Creek Corridor (Lot D, Tract No. 12417) near Canyon View Avenue to the northerly terminus of the street.
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8 • Fort Road - approximately 17-foot wide zones (inclu ding the width of the sidewalks) from the back of the curb to the property line on s outh side from White Oak Ridge to Jamboree Road.
• Santiago Canyon Road - approximately 18-foot wide z one (including the width of the sidewalk) from back of curb to back of sidewalk on north and south sides from Newport Boulevard to Jamboree Road.
• Old Camp Road - approximately 4-foot wide zones fro m back of curb to property line on both sides from Canyon View Avenue to the northerly terminus of the street. • Skylark Place - approximately 18-foot wide zones (i ncluding the width of the sidewalk) from back of the curb to the property line on both sides from White Oak Ridge to Newport Boulevard.
• Jamboree Road - variable width zone (including the width of the bike trail-sidewalk) from the back of the curb to the property line on t he west side from Canyon View Avenue to Chapman Avenue.
• Additional Areas - areas adjacent to the 18-foot wi de zones along Skylark Place, Chapman Avenue, and Jamboree Road have been dedicat ed to the City with tracts 12672,12741,12711,15398 and PM 92-195. Such areas h ave been landscaped by the developers and the sprinkler systems tied into the District's. b) Medians
• Chapman Avenue - 14-foot wide median from Newport Boulevard to Jamboree Road. • White Oak Ridge - 14-foot wide medians at Newport B oulevard and Canyon View Avenue.
• Trails End Lane - 14-foot wide median from White Oak Ridge to Chapman Avenue. • Jamboree Road - 24-foot wide median from southerly City limits to Santiago Canyon Road.
• Santiago Canyon Road - Variable width from Newport Boulevard to Jamboree Road. • Newport Boulevard - 22-foot wide median from Chapma n Avenue to Santiago Canyon Road.
c) The following items are excluded from the Maintenance District:
• The 8 +/- acre park is excluded from this Landscape Maintenance District. • Sidewalks along all Maintenance District streets ar e excluded from this Landscape Maintenance District.
• The equestrian trail along Canyon View Avenue is ex cluded from this Landscape Maintenance District.
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9 d) Maintenance shall include, but not be limited to:
• repair, removal, replacement or installation of all or any part of any included improvement such as storm drains and pedestrian walkways in the paseos; • providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, and treating for disease or injury; and • the removal of trimmings, rubbish, debris, and other solid waste.
The maintenance of the District improvements genera lly include, but are not limited to all materials, equipment, utilities, labor and incidental expenses including administrative expenses for annual operation of the District as well as the performance of occasional repairs, replacement and expanded maintenance activities associated with those improv ements. Detailed maps and descriptions of the location and extent of the improvements to be maint ained by the District are on file at the City and by reference are made part of this Report.
The estimated annual cost to provide and maintain t he improvements within the District shall be allocated to each property in proportion to the spe cial benefits received. The Method of Apportionment described in this Report utilizes commonly accepted assessment engineering practices and has been established pursuant to the 1972 Act and the provisions of the California Constitution.
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10 PART II — METHOD OF APPORTIONMENT
A. General
The 1972 Act permits the establishment of assessmen t districts by agencies for the purpose of providing certain public improvements, which include the construction, maintenance, and servicing of public landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value:
“The net amount to be assessed upon lands within an assessment district may be apportioned by any formu la or method which fairly distributes the net amount among all assessable lots or parcels in proportion to th e estimated benefits to be received by each such lot or parcel from the improvements.” The method of apportionment described in this Repor t for allocation of special benefit assessments utilizes commonly accepted engineering practices and have been established pursuant to the 1972 Act and the provisions of the California Constitution. The formula used for calculating assessments in this District reflect the composition of the parcels, and the improvements and services provided, to fairly apportion the costs based on benefit to each parcel.
B. Benefit Analysis
Each of the proposed improvements, the associated c osts and assessments have been carefully reviewed, identified and allocated based on special benefit pursuant to the provisions of the California Constitution and 1972 Act. The improvements provided by this District and for which properties will be assessed have been identified as necessary, required and/or desired for the orderly development of the residential properties within the District to t heir full potential. As such, the ongoing operation , servicing and maintenance of these improvements would be the financial obligation of those properties.
Therefore, the improvements and the annual costs of ensuring the maintenance and operation of the improvements are a distinct and special benefit to the residential properties within the District.
Special Benefit
The method of apportionment (method of assessment) established herein is based on the premise that each assessed parcel within the District receives s pecial benefits from the improvements and the desirability and security of those properties is enhanced by the presence of well-maintained landscaping in close proximity to those properties.
The special benefits associated with the landscaping and open space improvements are specifically:
• Enhanced desirability of properties through association with the improvements. • Improved aesthetic appeal of properties providing a positive representation of the area and properties.
• Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping.
• Environmental enhancement through improved erosion resistance, dust and debris control, and fire prevention.
• Increased sense of pride in ownership of property w ithin the District resulting from well- maintained improvements associated with the properties. 442
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11 • Enhanced quality of life through well-maintained green space and landscaped areas. • Reduced criminal activity and property-related crimes (especially vandalism) against properties in the District through well-maintained surrounding s and amenities including abatement of graffiti.
• Enhanced environmental quality of the parcels by mo derating temperatures, providing oxygenation and attenuating noise.
The parkways and medians consist of landscaped areas along the edge of or within the middle of streets and highways in the District. The District also has landscaped corridors extending through the developed area, which provide access to Santiago Hills Park. The improvements in these areas consist of trees, shrubs, ornamental vegetation, and appurtenant improvements.
The improvements extend throughout the development area and serve several purposes. The landscaped parkways along the streets and highways enhance the public walkways throughout the District and allow pedestrian access to the residents in the area. These parkways also provide passive and active recreational uses as well as the aesthet ic enhancement for the total development area.
Landscaped median islands also provide similar enhancements for the residents in the area.
The landscaped recreation/pedestrian corridors throughout the District provide for open space and recreational uses, which connect to the park site throughout the development area. Besides contributing to the active and passive recreation use in the area, the corridors aesthetically enhance the area within the District.
Maintenance of these public improvements primarily renders a people oriented benefit to the properties within the boundaries of the District and, as such, relates to the number of persons in each dwelling unit on each property. These benefits are direct and special to the properties within the District.
The preceding special benefits all contribute to the overall esthetic value and desirability of each of the assessed parcels within the District and thereby pr ovide a special enhancement to these properties.
Furthermore, it has been determined that the lack o f funding to properly service and maintain the improvements would likely have a direct negative impact on the properties within the District.
General Benefit
In reviewing the District improvements, the proximity of those improvements to both properties within the District and those outside the District as well as the reasons for installing and constructing suc h improvements, it is evident that the improvements are solely the result of developing properties within the District and the ongoing maintenance and operation of these improvements will directly affect the properties within the District. Although the improv ements are visible to the public at large, the construction and installation of these improvements were necessary for the development of properties within the District and are not required nor necess arily desired by any properties or developments outside the District boundary and any public access or use of the improvements by others is incidental.
Therefore, it has been determined that the improvements and the ongoing maintenance, servicing and operation of those improvements provide no measurab le general benefit to properties outside the District or to the public at large, but clearly provide distinct and special benefits to properties within the District.
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12 C. Assessment Methodology
The benefit formula used to determine the assessment obligation for each parcel should be based upon both the improvements that benefit the parcels as well as the use of each property as compared to other parcels that benefit from those specific improvements. The method of apportionment established for most benefit assessment districts utilizes a weight ed method of apportionment known as an Equivalent Benefit Unit (EBU) methodology The Equiv alent Benefit Unit method of apportionment uses the single-family home site as the basic unit of assessment. A single-family residential property equals one Equivalent Benefit Unit (“EBU”). Every other land use is converted to EBUs based on an assessment formula that equates the property’s specific development status, type of development (land use), and size of the property, as compared to a single-family home site.
The EBU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development.
EBU Application by Land Use:
Single-Family Residential — This land use is defined as a fully subdivided residential home site with or without a structure. This land use is assessed 1.0 EBU per lot or parcel. This is the base value that the other land use types are compared and weighted against (i.e. Equivalent Benefit Unit or EBU).
Multi-Family Residential — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the pro perty. This land use is assessed 0.6 EBU per dwelling unit.
Mixed Use Property — This land use is defined as property developed f or either commercial or industrial use. This land use type is assessed at 11.0 EBUs per gross acre.
Exempt Parcels — This land use identifies properties that are not assessed and are assigned 0.0 EBU.
This land use classification may include, but is not limited, to lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space areas and right-of-ways including greenbelts and parkways; utility right-of-ways; common areas, sliver parcels and bifurcated lots or any other property that cannot be developed; park properties and other publicly owned properties that are part of th e District improvements or that have little or no improvement value. These types of parcels are consi dered to receive little or no benefit from the improvements and are therefore exempted from assessment.
Lots 9, 10, 11, 15, and 19 of Tract No. 12417 have been assigned 0.0 EBU because they have been excluded from the District. The cost of maintaining the landscape improvements on these publicly owned parcels is not paid by the District but rather from the general fund of the public agency owning the parcel. Therefore, these publicly owned parcels do not receive any special benefit from the District.
The following table provides a listing of land use types, land use code designations, the Equivalent Benefit Unit factor applied to that land use type, and the multiplying factor used to calculate each parcel’s individual EBU.
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13 Land Use Codes and Equivalent Benefit Units
Property Type Equivalent Benefit
Unit
Multiplier
Single-family Residential 1.000 Unit/Lot/Parcel
Multi-family Residential 0.600 Units/Dwelling Units
Mixed Use 11.000 Acreage
Exempt 0.000 Parcel
The benefit formula applied to parcels within the D istrict is based on the preceding Equivalent Benefit Unit (EBU) table. Each parcel's EBU correla tes the parcel’s special benefit received as compared to the other parcels benefiting from the improvements.
The following formula is used to calculate each parcel’s EBU (proportional benefit).
Parcel Type EBU x Multiplier (Acres or Unit) = Parcel’s EBU The total number of Equivalent Benefit Units (EBUs) is the sum of all individual EBUs applied to parcels that receive a special benefit from the imp rovement. An assessment amount per EBU (Rate) for each improvement is established by taking the t otal cost of the improvement and dividing that amount by the total number of EBUs of parcels benef iting from the improvement. This Rate is then applied back to each parcel’s individual EBU to det ermine the parcel’s proportionate benefit and assessment obligation for that improvement.
The Maximum allowable assessment rate of $369.44 EB U (single family) generates an assessment total of $533,650.77.
Total Balance to Levy / Total EBU = Assessment Rate per EBU Assessment Rate per EBU x Parcel’s EBU = Parcel’s Assessment
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14 PART III — DISTRICT BUDGET
The following budget outlines the estimated costs to maintain the improvements for 2022-2023.
ANNUAL LEVY OF ASSESSMENT
LANDSCAPE MAINTENANCE DISTRICT NO. 86-2
City of Orange
ESTIMATED COSTS
OPERATION & MAINTENANCE FUND BALANCE FROM PRIOR YEARS
Estimated Fund Balance (Includes 15-1 & 86-2) as of March 2022 $375,279 The estimated budget necessary for the 2022-2023 Fiscal Year for the District is as follows:
BUDGET ITEM COST
ANNUAL MAINTENANCE
Landscaping $391,321
Tree Trimming $165,000
Electrical Maintenance $40,000
Misc. Contract Services $0
Repair/ Maintenance Services $57,051
Supplies $8,500
Other Professional Services $1,000
Telephone $1,000
Electricity $20,000
Water $168,000
Salaries & Benefits $40,770
City Administrative Services $25,000
Capital Replacement/ Dedicated Reserves $0
TOTAL EST. LANDSCAPE MAINTENANCE EXPENTITURES $917,642
ESTIMATED REVENUE
Landscape Maintenance District No. 86-2 $533,651
Rancho Santiago Community College District $30,191
Proposed Benefit Assessment FY 2022/23 (LMD 15-1)
(See LMD 15-1 Engineer’s Report for specifics)
CPI Adjustment (Current Year 3.0%)
Unused CPI Adjustment (Carry over from prior years)
$346,478
$10,395
$0
TOTAL ESTIMATED REVENUE $920,715
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15 SURPLUS FUNDS TO BE ADDED TO RESERVES
$3,073
●This Budget Estimate is for the purpose of establis hing an Annual Assessment. It may vary from the adopted City Budge t. All assessments collected by the District may only be used for Dist rict expenditures regardless of the Budget Estimate.
BALANCE TO LEVY $533,651
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16 PART IV — DISTRICT DIAGRAMS
The parcels within the Landscape Maintenance Distri ct No 86-2 consist of all lots, parcels and subdivisions of land located in the planned residential development known as Santiago Hills.
The following diagram incorporates all parcels with in the District, as the same existed at the time this Report was prepared. The combination of this m ap and the Assessment Roll contained in this Report constitute the Assessment Diagram for the Landscape and Maintenance District No. 86-2.
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Landscape Maintenance District No. 86-2
18 PART V — ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District is based on available parcel maps and property data from the Orange County Assessor’s Off ice, as they existed at the time this Engineer’s Report was prepared and the City Council adopted th e Resolution of Intention. A listing of the lots and parcels to be assessed within this District along with the assessment amounts is provided herein.
If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the fiscal year, a corrected parc el number and/or new parcel numbers will be identified and resubmitted to the County Auditor/Co ntroller. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate described in this Report as app roved by the City Council. Therefore, if a single parcel is subdivided to multiple parcels, the asses sment amount applied to each of the new parcels shall be recalculated and applied according to the approved method of apportionment and assessment rate rather than a proportionate share of the original assessment.
The following is a list of the parcels and proposed assessment amounts for Fiscal Year 2022-2023 for each of the parcels within the District as dete rmined by the assessment rates and method of apportionment described herein:
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Landscape Maintenance District No. 15-1
1 CITY OF ORANGE
FINAL ENGINEER’S REPORT
FOR THE ANNUAL LEVY
ASSESSMENT LANDSCAPE MAINTENANCE
DISTRICT NO. 15-1
FISCAL YEAR 2022-2023
LANDSCAPE MAINTENANCE DISTRICT NO. 15-1
SANTIAGO HILLS
Intent Meeting: May 10, 2022
Public Hearing: June 14, 2022
LMD 15-1 Preliminary ER FY 2022-23
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3 TABLE OF CONTENTS
AFFIDAVIT FOR THE ENGINEER’S REPORT ..................................................... 2 INTRODUCTION ........................................................................................................ 4 Overview ......................................................................................................................................... 4 District’s Facilities ......................................................................................................................... 4 Assessment Background ............................................................................................................... 4 PLANS & SPECIFICATIONS ...................................................................................... 5 FISCAL YEAR 2022-23 ESTIMATE OF COST AND BUDGET ................................ 8 Budget for Fiscal Year 2022-23 ................................................................................................... 8 METHOD OF APPORTIONMENT ......................................................................... 10 Method of Apportionment ........................................................................................................ 10 Discussion of Benefit .................................................................................................................. 10 Benefit Factors ............................................................................................................................. 11 Benefit Finding ............................................................................................................................ 14 Zones of Benefit .......................................................................................................................... 17 Method of Assessment ............................................................................................................... 18 Residential Properties ................................................................................................................. 19 Commercial Properties ............................................................................................................... 20 Vacant/Undeveloped Properties .............................................................................................. 21 Other Properties .......................................................................................................................... 21 Annual Cost Indexing ................................................................................................................. 22 Appeals of Assessments Levied to Property ........................................................................... 22 Assessment Funds Must Be Expended Within the District Area ........................................ 23 ASSESSMENT ............................................................................................................. 24 ASSESSMENT DIAGRAM ......................................................................................... 25 ASSESSMENT ROLL ................................................................................................. 27
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4 INTRODUCTION
Overview
The City of Orange (the “City”) services and mainta ins perimeter and median landscaping, interior walkways and paseos, and other improvements (“Impro vements”) in the Santiago Hills neighborhoods in the eastern part of the City. Thi s Engineer’s Report ("Report") was prepared to establish the budget for the Improvements (as descr ibed below) that will be funded by the new 2022-2023 assessments, if approved, and other reven ue, to determine the general and special benefits received from the Improvements by property within the Improvement District (“District”), and to determine the method of assessment apportion ment to lots and parcels. This Report and the assessments have been made pursuant to the Landscap ing and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the "Act") and Article XIIID of the California Constitution (the “Article”).
Landscape Maintenance District (LMD) No. 15-1 was f ormed in 2015. This assessment district is identical to the existing Landscape Maintenance Dis trict No. 86-2 in its geographic boundaries, parcels to be assessed, Improvements to be serviced , maintained, or repaired and budgeted cost centers. The assessments collected, if approved, w ill be in addition to those collected for Landscape Maintenance District 86-2.
District’s Facilities
The City’s landscape facilities to be funded by ass essments within this District are located in the Santiago Hills neighborhoods of the City. The Impro vements generally include entrance signs, traffic islands and medians, parkways, recreation a reas, paseos, lighting, and the infrastructure required to support these Improvements.
Assessment Background
The City formed Landscape Maintenance District No. 86-2 in 1987 to service and maintain the specific landscape facilities and improvements rele vant to this report. Revenues from that district remain relatively flat, there is not an inflation a djustment provision, while the costs to maintain an d service these facilities and improvements have rise n steadily. In 2007 the City began to decrease service levels in an effort to contain costs within available revenues. The service levels continued to decrease to offset the effects of rising utilities, labor and materials costs until the creation of LM D No. 15-1.
In order to restore service levels and make needed repairs and improvements to the District’s facilities, the LMD No. 15-1 that exactly overlaid the existing assessment district, was formed.
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5 PLANS & SPECIFICATIONS
The City maintains landscaping and other improvemen ts in locations within the proposed Assessment District’s boundaries. The work and impr ovements proposed to be undertaken by the Landscape Maintenance District No. 15-1 and the cos t thereof paid from the levy of the annual Assessment provide special benefit to Assessor Parc els within the District as defined in the Method of Assessment herein. In addition to the definitio ns provided by the Landscaping and Lighting Act of 1972, (the “Act”) the work and improvements are generally described as follows:
Entrance Sign
The entrance signs with landscape improvements to b e maintained are to be located at the following locations within the District:
• Chapman Avenue at Newport Boulevard (southeast corner) • Newport Boulevard at Canyon View Avenue (northeast corner) Parkways and Recreation Areas
The landscaped parkways and recreation areas to be maintained by the District are located as follows:
• Newport Boulevard – approximately 18-foot wide zone (including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on the east side from Santiago Canyon Road to 312 feet south of the centerline of Skylark Place. • Chapman Avenue – approximately 18-foot wide zone (i ncluding the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on both sides from Newport Boulevard to Jamboree Road.
• Canyon View Avenue – approximately 30-foot wide zon e (including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on both sides from Newport Boulevard to Jamboree Road.
• White Oak Ridge – approximately 17-foot wide zone ( including the width of the sidewalk) from the back of the curb to the property line, and corner cutoffs at intersections, on both sides from Newport Boulevard to Canyon View Avenue.
• Trails End Lane – approximately 17-foot wide zone o n the west side and approximately 28- to 32-foot wide zone on the east side (including th e width of the sidewalk), both zones from the back of the curb to the property line, and corn er cutoffs at intersections, from White Oak Ridge to Chapman Avenue.
• Handy Creek Corridor – from the intersection of Cha pman Avenue and Newport Boulevard to White Oak Ridge, and from White Oak Ridge to the intersection of Canyon View Avenue and Aspen Street (Lot 20, a portion of Lot 11, and Lot D of Tract 12417) including concrete walkways which also serve as emergency access ways.
• Paseo – approximately 50-foot wide zone from Santia go Hills Park to White Oak Ridge and from White Oak Ridge to Old Camp Road (Lots A and B of tract No. 12417) and approximately 35-foot wide zone from the Paseo to W hite Oak Ridge (Lot C of Tract No. 12417) including surface and subsurface drainage fa cilities and concrete walkways which also serve as emergency access ways.
• Aspen Street – approximately 10-foot wide zone (inc luding the width of the sidewalk) on south side from the back of the curb to the propert y line from the end of Handy Creek 455
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6 Corridor (Lot D, Tract No. 12417) near Canyon View Avenue to the northerly terminus of the street.
• Fort Road – approximately 17-foot wide zone (including the width of the sidewalk) from the back of the curb to the property line on south side from White Oak Ridge to Jamboree Road.
• Santiago Canyon Road – approximately 18-foot wide z one (including the width of the sidewalk) from the back of the curb to the property line on north and south sides from Newport Boulevard to Jamboree Road.
• Old Camp Road – approximately 4-foot wide zone from the back of the curb to the property line on both sides from Canyon View Avenue to northerly terminus of the street. • Skylark Place – approximately 18-foot wide zone (in cluding the width of the sidewalk) from the back of the curb to the property line on both s ides from White Oak Ridge to Newport Boulevard.
• Jamboree Road – variable width zone (including widt h of the bike trail-sidewalk) from back of the curb to the property line on the west side f rom Canyon View Avenue to Santiago Canyon Road.
• Additional Areas – areas adjacent to the 18-foot wi de zones along Skylark Place, Chapman Avenue, and Jamboree Road have been dedicated to th e City with tracts 12672, 12741, 12711, 15398 and PM 92-195. Such areas have been l andscaped by the developers and the sprinkler systems tied to the District’s.
Traffic Islands and Medians
• The landscaped islands and medians to be maintained by the District are located as follows:
• Chapman Avenue – 14-foot wide median from Newport Boulevard to Jamboree Road. • White Oak Ridge – 14-foot wide medians at Newport Boulevard and Canyon View Avenue. • Trails End Lane – 14-foot wide median from White Oak Ridge to Chapman Avenue. • Jamboree Road – 24-foot wide median from southerly City limits to Santiago Canyon road. • Santiago Canyon Road – Variable width from Newport Boulevard to Jamboree Road. • Newport Boulevard – 22-foot wide median from Chapma n Avenue to Santiago Canyon Road.
Excluded Improvements
The following items are excluded from the District:
• The 8+/- acre park is excluded from this District
• The City’s public safety facility on East Fort Road is excluded from this District • Chapman Hills Elementary School is excluded from this District • Santiago Canyon College is excluded from this Distr ict (Note that while some public improvements along the College frontage are maintai ned along with District Improvements, the College pays directly into the District’s fund to compensate for that work) • Sidewalks along all streets within the District are excluded • The Equestrian trail along Canyon View Avenue is excluded from this District Definitions
Installation, maintenance and servicing of Improvem ents, may include, but are not limited to, turf and play areas, landscaping, ground cover, shrubs a nd trees, irrigation systems, sidewalks, parking 456
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7 lots, drainage systems, lighting, fencing, entry mo numents, recreational facilities, security patrols to protect the Improvements, graffiti removal and repainting, and labor, materials, supplies, utilities and equipment, as applicable, at each of the locations owned, operated or maintained by the District.
As applied herein, “Installation” means the constru ction of Improvements, including, but not limited to, land preparation (such as grading, leve ling, cutting and filling), sod, landscaping, irrigation systems, walkways and drainage, lights, and recreational facilities. “Maintenance” means the furnishing of services and materials for the ordinary and usual maintenance, operation and servicing of any Improve ment, including repair, removal or replacement of all or any part of any Improvement; providing fo r the life, growth, health, and beauty of landscaping, including cultivation, irrigation, tri mming, spraying, fertilizing, or treating for disea se or injury; the removal of trimmings, rubbish, debris, and other solid waste, and the cleaning, sandblasting, and painting of walls and other Improvements to remove or cover graffiti. “Servicing” means the furnishing of electric curren t, or energy, gas or other illuminating agent for any public lighting facilities or for the lighting or operation of any other Improvements; or water fo r the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other Improvements.
Incidental expenses include all of the following: ( a) The costs of preparation of the report, includin g plans, specifications, estimates, diagram, and Asse ssment; (b) the costs of printing, advertising, and the giving of published, posted, and mailed notices ; (c) compensation payable to the County for collection of Assessments; (d) compensation of any engineer or attorney employed to render services in proceedings pursuant to this part; (e) any other expenses incidental to the construction, installation, or maintenance and servicing of the I mprovements; (f) any expenses incidental to the issuance of bonds or notes pursuant to Streets & Hi ghways Code Section 22662.5; and (g) costs associated with any elections held for the approval of a new or increased assessment (Streets & Highways Code §22526).
Modifications to the District structure could inclu de, but are not limited to, substantial changes or expansion of the Improvements provided, substantial changes in the service provided, modifications or restructuring of the District including annexati on or detachment of specific parcels, revisions in the method of apportionment, or proposed new or increased assessments.
The Assessment proceeds will be exclusively used fo r Improvements within the District plus incidental expenses.
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8 FISCAL YEAR 2022-23 ESTIMATE OF COST AND BUDGET
Budget for Fiscal Year 2022-23
The following budget shows the cost of the Improvem ents that would be funded by the District in Fiscal Year 2022-23. This table shows the total com bined expenditures associated with the Improvements for both Landscape Maintenance Distric ts (No. 15-1 and No. 86-2). Accordingly, revenues from both Districts are also shown.
OPERATION & MAINTENANCE FUND BALANCE FROM PRIOR YEA RS
Estimated Fund Balance (Includes 15-1 & 86-2) as of March 2022 $375,279 The estimated budget necessary for the 2022-2023 Fiscal Year for the District is as follows:
BUDGET ITEM COST
ANNUAL MAINTENANCE
Landscaping $391,321
Tree Trimming $165,000
Electrical Maintenance $40,000
Misc. Contract Services $0
Repair/ Maintenance Services $57,051
Supplies $8,500
Other Professional Services $1,000
Telephone $1,000
Electricity $20,000
Water $168,000
Salaries & Benefits $40,770
City Administrative Services $25,000
Capital Replacement/ Dedicated Reserves $0
TOTAL EST. LANDSCAPE MAINTENANCE EXPENDITURES $917, 642
ESTIMATED REVENUE
Landscape Maintenance District No. 86-2
(See LMD 86-2 Engineer’s Report for specifics)
$533,651
Rancho Santiago Community College District $30,191
Proposed Benefit Assessment FY 2022-23 (LMD 15-1)
(See LMD 15-1 Engineer’s Report for specifics)
• CPI Adjustment (Current Year 3.0%)
4 • Unused CPI Adjustment (Carry over from prior years)
$346,478
$10,395
$0
TOTAL ESTIMATED REVENUE $920,715
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9 SURPLUS FUNDS TO BE ADDED TO RESERVES
District Expenditures will be adjusted to match the maximum allowable assessment.
$3,073
●This Budget Estimate is for the purpose of establis hing an Annual Assessment. It may vary from the adopted City Budget. All assessments collected by the District may only be used for Dist rict expenditures regardless of the Budget Estimate.
BALANCE TO LEVY $356,873
Notes to Estimate of Costs:
1. The Act requires that proceeds from the Assessme nts must be deposited into a special fund that has been set up for the revenues and expenditures o f the District. Moreover, funds raised by the Assessment shall be used only for the purposes stat ed within this Report. Any balance remaining at the end of the Fiscal Year, June 30, must be carrie d over to the next Fiscal Year. The District may also establish a dedicated reserve fund for conting encies and special projects as well as a dedicated capital improvement fund for accumulating funds for larger capital improvement projects or capital renovation needs. Any remaining balance would eithe r be placed in the dedicated reserve fund, the capital improvement fund, or would be used to reduce future years' Assessments.
2. The rate shown here is for a single family home or its equivalent. For the definition of the term SFE and rates for other types of property, see the section titled, “Method of Assessment Apportionment” and the sections following it in this report.
3. The total cost of the services and Improvements is the total assessment amount of $346,478 plus the value of the general benefit contributions from the City described in the section titled, “Method of Assessment Apportionment.”
4. The Assessment allows for an annual adjustment t ied to the Consumer Price Index (the “CPI”), as detailed in the section titled “Method of Apport ionment – Annual Cost Indexing.” For Fiscal Year 2022-2023, the CPI is 6.6% for the Los Angeles -Long Beach-Anaheim area as of December 2021. Due to the remaining fund balance from Fiscal Year 2021-22, the Community Services Department staff recommends setting the CPI adjustm ent at 3.0% (maximum allowed) for Fiscal Year 2022-2023.
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10 METHOD OF APPORTIONMENT
Method of Apportionment
This section of the Engineer's Report explains the benefits to be derived from the Improvements and the methodology used to apportion the total assessment to properties within the District.
The method used for apportioning the Assessment is based upon the relative special benefits to be derived by the properties in the District over and above general benefits conferred on real property or to the public at large. The Assessment is appor tioned to lots and parcels in proportion to the relative special benefit from the Improvements. Th e apportionment of special benefit is a two-step process: the first step is to identify the types of special benefit arising from the Improvements and the second step is to allocate the Assessments to p roperty based on the estimated relative special benefit for each type of property.
This section of the Engineer’s report includes a di scussion of the benefits to be provided by the proposed Improvements and the method of apportionme nt of assessments within the District. The formula below identifies the final level of service as the sum of the baseline level of service (witho ut this proposed Assessment) and the enhanced level of service to be funded by the proposed Assessment.
Final Level
of Service = Baseline Level
of Service +
Enhanced Level
of Service
Discussion of Benefit
In summary, the Assessments can only be levied base d on the special benefit to property. This benefit is received by property over and above any general benefits. With reference to the requirements for assessments, Section 22573 of the Landscaping and Lighting Act of 1972 states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formu la or method which fairly distributes the net amount among all assessable lots or parcels in proportion to th e estimated benefits to be received by each such lot or parcel from the improvements." Proposition 218, as codified in Article XIIID of th e California Constitution, has confirmed that assessments must be based on the special benefit to property and that the value of the special benefits must be equal to or exceed the cost of the assessment:
"No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel."
The following benefit categories summarize the type s of special benefit to residential, commercial, industrial and other lots and parcels resulting fro m the Improvements to be provided with the assessment proceeds. These types of special benefits are summarized as follows:
A. Proximity to Improved Landscaped Areas and Other Pu blic Improvements within the District.
B. Access to Improved landscaped areas and Other Public Improvements within the District. 460
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11 C. Improved Views within the District.
D. Extension of a property’s outdoor areas and green s paces for properties within close proximity to the Improvements.
E. Creation of individual lots for residential and com mercial use that, in absence of the Assessments, would not have been created.
In this case, the recent Silicon Valley Taxpayers Association, Inc. v. Santa Clara County Open Space Authority (SVTA) decision in 2008 provides enhanced clarity to the definitions of spe cial benefits to properties from similar improvements in three distinct areas:
• Proximity
• Expanded or improved access
• Views
The SVTA decision also clarifies that a special benefit is a service or improvement that provides a direct advantage to a parcel and that indirect or d erivative advantages resulting from the overall public benefits from a service or improvement are g eneral benefits. The SVTA decision also provides specific guidance that Improvements are a direct advantage and special benefit to property that is proximate to a facility that is improved by an assessment:
The characterization of a benefit may depend on whet her the parcel receives a direct advantage from the improvement (e.g. proximity to a park) or receives a n indirect, derivative advantage resulting from the overall public benefits of the improvement (e.g. general enhancement of the district’s property values).
Proximity, improved access and views, in addition t o the other special benefits listed herein further strengthen the basis of these Assessments.
Moreover, the Dahms v. Downtown Pomona Prop. & Bus. Improvement Dist . ( Dahms) decision in 2009 further clarified that certain services and Improve ments funded by assessments, that are over and above what otherwise would be provided and that oth er property in general and the public do not share or receive are 100% special benefit. The assessment-funded services upheld by Dahms included streetscape maintenance and security services.
Benefit Factors
The special benefits from the Improvements are further detailed below:
Proximity to Improved Landscaped Areas within the District The boundaries of the District were developed in co njunction and concurrent with the planning and design of the subdivisions and Improvements, and th us have been carefully drawn to only include the properties in the City of Orange that are proxi mate to the Improvements and that would materially benefit from the Improvements. In other words, the District has been narrowly drawn to include the properties that receive special benefit s from the Improvements. Therefore, property in the District enjoys unique and valuable proximity t o the Improvements that the public at large and property outside the District do not share.
In the absence of the Assessments, the Improvements would not be provided and the public improvements funded in the District would be degrad ed due to insufficient funding for maintenance, upkeep and repair. Therefore, the Asse ssments provide Improvements that are over and above what otherwise would be provided. Improv ements that are over and above what otherwise would be provided do not by themselves tr anslate into special benefits but when 461
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12 combined with the unique proximity and access enjoy ed by parcels in the District, they provide a direct advantage and special benefit to property in the District.
Access to Improved Landscaped Areas within the District Since the parcels in the District are nearly the on ly parcels that enjoy close access to the Improvements, they directly benefit from the unique close access to improved landscaping areas and other public improvements that are provided by the Assessments. This is a direct advantage and special benefit to property in the District.
Improved Views within the Assessment Districts
The City, by maintaining permanent public improveme nts funded by the Assessments in the District, provides improved views to properties in the District. The properties in the District enjoy close and unique proximity, access and views of the specific Improvements funded in the District; therefore, the improved and protected views provide d by the Assessments are another direct and tangible advantage that is uniquely conferred upon property in the District.
Extension of a Property’s Outdoor Areas and Green Space s for Properties within Close Proximity to the Improvements
In large part because it is cost prohibitive to pro vide large open land areas on property in the District, the residential, commercial and other ben efiting properties in the District do not have larg e outdoor areas and green spaces. The Improvements w ithin the District provide additional outdoor areas that serve as an effective extension of the l and area for proximate properties because the Improvements are uniquely proximate and accessible to property in close proximity to the Improvements. The Improvements, therefore, provide an important, valuable and desirable extension of usable land area for the direct advantage and special benefit of properties in the District because such properties have uniquely good and close proximity to the Improvements.
Creation of Individual Lots for Residential and Commerci al Use that, in Absence of the Assessments, Would Not Have Been Created
In most of the District, the original owner/develop er(s) of the property within the District agreed unanimously to the Assessments. The Assessments pr ovide the necessary funding for public improvements that were approved as a condition of d evelopment and subdivision approval.
Therefore, such Assessments allowed the original property to be subdivided and for development of the parcels to occur. As parcels were sold, new ow ners were informed of the Assessments through the title reports, and in some cases, through Depar tment of Real Estate “White Paper” reports that the parcels were subject to assessment. Purchase o f property was also an “agreement” to pay the Assessment. Therefore, in the absence of the Asses sments, the lots within most of the District would not have been created. These parcels, and th e Improvements that were constructed on the parcels, receive direct advantage and special benefit from the Assessments.
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13 Summary of Relative Weight of Benefit Factors
A solid argument could be made that the Creation of Individual Lots benefit comprises 100% of the benefit because the Improvements were incorporated into the original planning and design of the subdivision, and thus were deemed to be necessary a nd required for the development of the lot.
Without those Improvements and associated benefit, the lots would not have been created in the first place. Nevertheless, four other definitive b enefits accruing to the parcels within the District are identified, and an allowance should be made within the overall relative importance of benefits. The table below illustrates the relative benefit level of the five identified benefits used in this Report.
General Versus Special Benefit
Article XIIIC of the California Constitution requir es any local agency proposing to increase or impose a benefit assessment to “separate the genera l benefits from the special benefits conferred on a parcel.” The rationale for separating special an d general benefits is to ensure that property owner s subject to the benefit assessment are not paying for general benefits. An assessment can fund special benefits but cannot fund general benefits. Accordi ngly, a separate estimate of the special and general benefit is given in this section.
In other words:
There is no widely-accepted or statutory formula fo r general benefit. General benefits are benefits from improvements or services that are not special in nature, are not “particular and distinct” and are not “over and above” benefits received by other properties. SVTA provides some clarification by indicating that general benefits provide “an ind irect, derivative advantage” and are not necessarily proximate to the improvements.
In this Report, the general benefit is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.
Total
Benefit =
General
Benefit +
Special
Benefit
Benefit Factor Relative Weight
Proximity 10%
Access 10%
Views 10%
Outdoor Area or Green Space Extension 10%
Creation of Individual Lots for Development 60%
Total Benefit 100%
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14 The starting point for evaluating general and speci al benefits is the current, baseline level of servi ce.
The Assessment will fund Improvements “over and abo ve” this general, baseline level and the general benefits estimated in this section are over and above the baseline.
A formula to estimate the general benefit is listed below:
General
Benefit
=
Benefit to Real
Property
Outside the
Assessment
District
+
Benefit to Real
Property Inside
the Assessment
District that is
Indirect and
Derivative
+
Benefit
to the
Public
at Large
Special benefit, on the other hand, is defined in t he state constitution as “a particular and distinct benefit over and above general benefits conferred o n real property located in the district or to the public at large.” The SVTA decision indicates that a special benefit is confe rred to a property if it “receives a direct advantage from the improvement ( e.g., proximity to a park).” In these Assessments, as noted, properties in the District h ave close and unique proximity, views and access to the Improvements and uniquely improved desirabil ity from the Improvements and other properties and the public at large do not receive s ignificant benefits because they do not have proximity, access or views of the Improvements. Th erefore, the overwhelming proportion of the benefits conferred to property is special, and is o nly minimally received by property outside the Assessment Districts or the public at large.
Benefit Finding
Quantification of General Benefit
In this section, the general benefit from landscapi ng and other types of Improvements is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.
Benefit to Property Outside the Assessment Districts
Properties within the District receive almost all o f the special benefits from the Improvements because properties in the District enjoy unique clo se proximity and access to the Improvements that are not enjoyed by other properties or the public a t large. However, certain properties within the proximity/access radius of the Improvements, but ou tside of the boundaries of the District, may receive some benefit from the Improvements. Since this benefit is conferred to properties outside the District boundaries, it contributes to the over all general benefit calculation and will not be funded by the Assessments. The general benefit to property outside of the District is calculated with the parcel and data analysis performed by SCI Consulting Group.
Since the properties outside the District but with frontage abutting the Improvements receive benefit but cannot be assessed by the District, thi s is a form of general benefit to other property.
The primary ways that parcels outside the district benefit by the Improvements is from proximity, 464
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15 access, views and extension of outdoor space, which account for 40% of the available benefit.
Therefore, parcels that abut the landscape areas an d are not separated from the Improvements by a privacy fence are counted for this general benefit. The general benefit to property outside of the District is calculated as follows.
Assumptions:
47 parcel outside the District
1517 parcels in the District
Calculation:
General Benefit to property outside the
District =
47/(47+1517) * 40% = 1.20%
Benefit to Property
Inside the Assessment Districts that is Indirect and Derivative The “indirect and derivative” benefit to property w ithin the District is particularly difficult to calculate. A solid argument can be presented that all benefit within the District is special, because the Improvements are clearly “over and above” and “part icular and distinct” when compared with the baseline level of service and the unique proximity, access and views of the Improvements enjoyed by benefiting properties in the District.
Nevertheless, the SVTA decision indicates there may be general benefit “c onferred on real property located in the district.” A measure of the general benefits to property within the Assessment area is the percentage of land area within the District tha t is publicly owned and used for regional purposes such as major roads, rail lines and other regional facilities because such properties used for regiona l purposes could provide indirect benefits to the pub lic at large. Approximately 7.15% of the land area in the District is used for such regional purp oses, so this is a measure of the general benefits to property within the District.
Benefit To The Public At Large
The general benefit to the public at large can be e stimated by the proportionate amount of time that the District’s Improvements including landscaping a re used and enjoyed by individuals who are not residents, employees, customers or property owners in the District. It should be noted that these Improvements do not attract the public at large in the same way as park improvements – and they confer far less benefit to the public at large than do similar park improvements.
One way to measure the special benefit to the gener al public is by the car trips through an area with Improvements. Of the five ways benefits are confer red (proximity, access, views, extension of a property’s green space, and creation of lots), the only benefit that is conferred by way of pass-by ca r trips is views, which accounts for 10% of the total benefits. For pass-by car trips, the benefit of views is found to be approximately half that of res idents, employees, customers or property owners in the District due to the brevity of the views. Therefore the relative benefit factor is reduced to 5%. 465
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City of Orange
Landscape Maintenance District No. 15-1
16 Next, the views factors are weighted by the relevan t number of car trips. Using the lane miles as representative of pass-by traffic, an analysis show s that 60% of the lane miles are on arterial or collector streets where the general public has view s of the landscaping. Therefore (60% of 5% =)
3.0% of the benefits from the Improvements are general benefits to the public at large.
Special Considerations of Improvements Outside of District The benefits are categorized into to two geographic groupings of Improvements: In-District Improvements that include parkways, medians and pas eos that are either inside the district boundaries, or are traffic medians that directly ab ut or front the district; and Out-of-District Improvements that are parkways or medians that are both outside the District boundaries and are not abutting, fronting or lying adjacent to the Dis trict. Based on weighted square footage of the various types of Improvements, Out-of-District Impr ovements count for approximately 11.6% of the total benefits. These Out-of-District benefits are found to be entirely General Benefit. For example some Improvements at Santiago Canyon Colleg e are maintained, but the funding for this work comes entirely from the College as general benefit funds.
The In-District Improvements, conversely, provide a pproximately 88.4% of the total benefits. The general benefits provided by these Improvements are discussed above.
Total General Benefits
Using a sum of these three measures of general bene fit plus the special considerations of general benefit from Out-of-District benefits (both weighted accordingly), we find that approximately 21.6% of the benefits conferred by the Improvements may b e general in nature and should be funded by sources other than the Assessment. This calculation is shown below.
Although this analysis finds that 21.6% of the Asse ssment may provide general benefits from the Improvements, the Assessment Engineer establishes a requirement for a minimum contribution from sources other than the Assessments of 22%. Th is minimum contribution above the measure of general benefits will serve to provide additional coverage for any other general benefits.
Final Step – Calculate the Current General Benefit Contribution from the City Relative
General
Benefit
Percent of
Overall
Benefit
General
Benefit
In-District General Benefits
Outside the District 1.16%
Property within the District 7.15%
Public at Large 3.00%
Total In-District 11.31% 11.3% x 88.4% = 10.0%
Out-of-District General Benefits 100.0% x 11.6% = 11.6% TOTAL GENERAL BENEFIT 21.6%
1.20%
11.35% 11.4%
466
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
17 This general benefit cannot be funded from the Asse ssments; it must be funded from other sources such as the City’s General Fund or other non-Distri ct funds. These contributions can also be in the form of in-lieu contributions to the installation a nd maintenance of the Improvements such as other City assets that support and protect the Improvemen ts. The City of Orange will contribute both monetary and in-lieu resources to ensure that the g eneral benefits conferred by the proposed Improvements are not funded by the District’s property owners.
A summary and quantification of these other contributions from the City is discussed below:
The City of Orange owns, maintains, rehabilitates a nd replaces curb and gutter along the border of the District Improvements. This curb and gutter se rves to support, contain, retain, manage irrigation flow and growth, and provide a boundary for the Improvements. The contribution from the City towards general benefit from the maintenan ce, rehabilitation, and replacement of the curb and gutter is conservatively estimated to be 5%.
The City owns and maintains a storm drainage system along the border of the District Improvements. This system serves to prevent floodi ng and associated damage to the Improvements, and manage urban runoff including local pollutants loading from the Improvements.
The contribution from the City towards general bene fit from the maintenance, and operation of the local storm drainage system is conservatively estimated to be 5%.
The City owns and maintains local public streets al ong the border of the District Improvements.
These public streets provide access to the Improvements for residents’ enjoyment as well as efficient maintenance. The contribution from the City towards general benefit from the maintenance of local public streets is conservatively estimated to be 5%.
The value of the construction of the Improvements c an be quantified and monetized as an annuity.
Since this construction was performed and paid for by non-assessment funds, this “annuity” can be used to offset general benefit costs, and is conservatively estimated to contribute 10%.
The total General Benefit is liberally quantified a t 22% which is entirely offset by the conservativel y quantified total non-Assessment contribution toward s general benefit described above of 25%.
Therefore, no additional General Benefit must be funded by the City.
Zones of Benefit
The boundaries of the District were developed in co njunction and concurrent with the planning and design of the subdivisions and Improvements, and th us include only the properties in the City of Orange that are proximate to the Improvements and t hat would materially benefit from the Improvements. Certain other properties surrounding the District were not part of the designed association between the Improvements and the assess ed areas, and are generally less proximate to the Improvements. In other words, the boundaries of the District have been narrowly drawn to include only properties that will specially benefit from the Improvements, and would receive a declining level of service if the Assessments were not approved.
The SVTA decision indicates:
In a well-drawn district — limited to only parcels re ceiving special benefits from the improvement — eve ry parcel within that district receives a shared special benef it. Under section 2, subdivision (i), these benefit s can be construed as being general benefits since they are not “particular and distinct” and are not “over and above” the benefits received by other properties “located in the district.” 467
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
18 We do not believe that the voters intended to inval idate an assessment district that is narrowly drawn t o include only properties directly benefiting from an improve ment. Indeed, the ballot materials reflect otherwise . Thus, if an assessment district is narrowly drawn, the fact that a benefit is conferred throughout the district does not make it general rather than special. In that circumstance, the characterization of a benefit may depend on whet her the parcel receives a direct advantage from the improvement (e.g., proximity to park) or receives an indir ect, derivative advantage resulting from the overall public benefit s of the improvement (e.g., general enhancement of the district’s property values).
In the District, the advantage that each parcel rec eives from the Improvements is direct, and the boundaries are narrowly drawn to include only parce ls that benefit from the Assessment. Therefore, the even spread of Assessment throughout the narrow ly drawn district is indeed consistent with the SVTA decision. For the most part, the benefits from the Improvements within the District do not vary further based on proximity of the parcels to t he Improvements because the increased benefits of greater proximity to the Improvements are genera lly offset by a parallel increase in negative factors such as higher levels of traffic, noise, etc. that comes with increased proximity.
There are two distinct neighborhoods within the Dis trict: Santiago Hills and Hillsdale. Santiago Hills is a complex neighborhood with arterial and c ollector streets traversing the residential areas and a commercial area on the northeast portion. In addition, Santiago Hills has a system of walking paths, or paseos, that provide additional benefits not found in the Hillsdale neighborhood. Hillsdale is a relatively small neighborhood, linear in shape centered on one residential street (Hillsdale Driv e) with Improvements along only one exterior frontage (Santiago Canyon Road).
In order to most conservatively assure that Assessm ents are proportional to the relative level of special benefits in the District, two zones have be en created. Zone of Benefit A (or “Zone A”) consists of all of the parcels that lie within the Santiago Hills neighborhood bounded generally by Chapman Avenue, Jamboree Road, Canyon View Avenue, Skylark Lane and Newport Boulevard.
Zone A receives the full complement of special benefits.
Zone of Benefit B (“Zone B”) consists of all the pa rcels that lie within the Hillsdale neighborhood lying generally north of Santiago Canyon Road. A de tailed analysis of the proportionate benefits received by the Hillsdale neighborhood as compared to the Santiago Hills neighborhood based on the weighted areas of parkways, paseos, and traffic medians within or proximate to the two zones shows that the Hillsdale neighborhood (Zone B) rece ives approximately 75% as much special benefit as the Santiago neighborhood (Zone A). Ther efore Assessments for parcels in Zone B are reduced approximately 20% from the rates for Zone A (see Assessment Diagram).
Method of Assessment
As previously discussed, the proposed Assessments w ill provide comprehensive Improvements that will clearly confer special benefits to properties in the District. The allocation of special benefits to property is partially based on the type of property and the size of property. These benefits can also partially be measured by the occupants on property in the District because such parcel population density is a measure of the relative benefit a parc el receives from the Improvements. It should be noted that many other types of “traditional” assess ments also use parcel population densities to apportion the Assessments. For example, the assessm ents for sewer systems, roads and water systems are typically allocated based on the popula tion density of the parcels assessed. Therefore, the apportionment of benefit is reasonably based on the type of parcel, the size of parcels and the population density of parcels.
468
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
19 The next step in apportioning Assessments is to det ermine the relative special benefit for each property. This process involves determining the relative benefit received by each property in relation to a single family home, or, in other words, on the basis of Single Family Equivalents (SFE). This SFE methodology is commonly used to distribute Asse ssments in proportion to estimated special benefit and is generally recognized as providing th e basis for a fair and appropriate distribution of Assessments. For the purposes of this Engineer’s Re port, all properties are designated a SFE value, which is each property’s relative benefit in relati on to a single family home on one parcel. In this case, the "benchmark" property is the single family detached dwelling which is one Single Family Equivalent or one SFE.
Not only residential improved property will be asse ssed, because commercial and other properties may also receive direct benefits from the Improvements, and will be assessed.
A fixed or flat Assessment is proposed for all sing le family residential properties regardless of occupancy or parcel size. Assessments on multi-fam ily residential parcels vary based on the number of dwelling units. Assessments on commercial proper ty are levied on an acreage basis because larger properties generally support larger buildings and h ave higher numbers of employees, customers and guests who would benefit from proximity and improve d access to well-maintained and improved landscaping.
Finally, the special benefits to be derived from th e proposed Assessments will be conferred on property and are not based on a specific property o wner’s use of the improvements, a specific property owner’s occupancy of property, or the prop erty owner’s demographic status such as age or number of dependents. The benefits conferred to pro perty are related to the average number of people who could potentially live on, work at, or o therwise could occupy a property, not how the property is currently used by the present owner. Th erefore, the number of people who could or potentially live on, work at or otherwise occupy a property is one indicator of the relative level of benefit received by a property.
In conclusion, the Assessment Engineer determined t hat the appropriate method of assessment apportionment should be based on the type of proper ty, the relative size of the property, property location, its relative population and its proximity to Improvements. This method is further described below.
Residential Properties
Certain residential properties in the District that contain a single residential dwelling unit are assigned one Single Family Equivalent or 1.0 SFE. D etached or attached houses and zero-lot line houses are included in this category of single fami ly residential property. If there is more than one single family detached dwelling on a parcel, it wil l be charged one SFE per single family detached dwelling.
Properties with more than one residential unit (oth er than parcels with more than one detached single family dwelling as described above) are designated as multi-family residential properties. These properties benefit from the Improvements in proport ion to the number of dwelling units that occupy each property, the average number of people who reside in multi-family residential units versus the average number of people who reside in a single family home (Population Density Factor) and the relative size of each type of residential d welling unit (Square Foot Factor). The population density factors for the area in Orange County encom passing the District, as depicted in the following table, provide the basis for determining the SFE factors for residential properties. Using the total population in a certain property type in the area of the District from the 2010 Census and 469
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
20 dividing it by the total number of such households, finds that approximately 3.21 persons occupy each single family residence, whereas an average of 2.93 persons occupy each condominium. The ratio of 3.21 people on average for a single famil y residence and 2.93 people per dwelling unit in a condominium unit results in a population density eq uivalent of 0.91 for condominiums. Next, the relative building areas are factored into the analysis because special benefits are related to the average size of a property, in addition to average populati on densities. For a condominium, this calculation results in an SFE factor of 0.71 per dwelling unit.
Table 1 – Residential Density and Assessment Factors
There are no other multi-family property types (e.g ., duplex, triplex, fourplex, apartments) in the District, and none are foreseen in the future. Therefore no SFE-based assessment rate is calculated.
Commercial Properties
SFE values for commercial land uses are based on th e equivalence of special benefit on a land area basis between single family residential property an d the average commercial property. The SFE values for various commercial land uses are further defined by using average employee densities because the special benefit factors described previ ously can be measured by the average number of people who work at commercial properties.
In order to determine employee density factors, the findings from the San Diego Association of Governments Traffic Generators Study (the “SANDAG S tudy”) are used because these findings were approved by the State Legislature as being a g ood representation of the average number of employees per acre of land area for commercial prop erties. As determined by the SANDAG Study, the average number of employees per acre for general commercial property is 24.
In comparison, the average number of people residin g in a single family home in the area is 3.21.
Since the average lot size for a single family home in the District is approximately 0.12 acres, the average number of residents per acre of residential property is 26.8.
The employee density per acre is roughly equal to ( or 0.9 times) the population density of single family residential property per acre (24 employees per acre / 26.8 residents per acre). However, the benefit derived by employees on commercial properti es is less than that derived by a resident on residential property, generally due to less time of use of services and Improvements. The Assessment Engineer determines that this factor is 0.5 for commercial to 1 for residential. Table 2 below shows the average employees per acre of land area or portion thereof for various types of commercial properties and lists the relative SFE fa ctors per 0.12 acre for properties in each land use category.
Pop. Density SqFt SFE
Type of Residential Property Equivalent Factor Facto r
Single Family Residential 1.00 1.00 1.00 Condominium 0.91 0.78 0.71
470
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
21 Commercial properties in excess of 5 acres generall y involve uses that are more land intensive relative to building areas and number of employees (lower coverage ratios). As a result, the benefit factors for commercial property land area in excess of 5 acres is determined to be the SFE rate per
0.12 acre for the first 5 acres and the relevant SFE rate per each additional acre over 5 acres.
Table 2 – Commercial Density and Assessment Factors
1. Source: San Diego Association of Governments Traffic Generators Study.
2. The SFE factors for commercial and industrial pa rcels are applied by the 0.12 acre of land area or portion thereof. (Therefore, the minimum assessment for any assessable parcel in these categories is the SFE Units listed herein.) The rates apply up to first 5 acres of parcel size. Additional acreage i s benefited at the rate shown above per acre or portion thereof.
3. Currently there are no parcels in the District in the Office category. This rate is included in t he event General Commercial space is converted to Office space.
Vacant/Undeveloped Properties
The benefit to undeveloped properties is determined to be proportional to the corresponding benefits for similar type developed properties, but at a lower rate due to the lack of improvements on the property. A measure of the benefits accruing to the underlying land is the average value of land in relation to Improvements for developed prop erty. An analysis of the assessed valuation data from the County of Orange found that approximately 55% of the assessed value of improved properties is classified as the land value. It is r easonable to assume, therefore, that approximately 55% of the benefits are related to the underlying l and and 45% are related to the improvements and the day-to-day use of the property. Using this rati o, the SFE factor for vacant/undeveloped parcels is 0.55 per parcel.
Other Properties
Article XIIID stipulates that publicly owned proper ties must be assessed unless there is clear and convincing evidence that those properties receive no special benefit from the Assessment.
All properties that are specially benefited are assessed. Certain other publicly owned property that lie within the District boundaries, including Santiago Canyon College, Chapman Hills Elementary School, Santiago Hills Park, and City of Orange pub lic safety facility on East Fort Road, are not assessed. These are discussed below.
Santiago Canyon College: The College lies within t he District and certain Improvements lie on their property. Although the College is not assessed in this District, the College pays for any special Average SFE Units
Type of Commercial Land Use Employees per
per Acre 1 0.12 Acre 2
General Commercial 24 0.500
Office 3 68 1.420
Shopping Center 24 0.500
471
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
22 benefit through a separate agreement with the City, and that monetary contribution is shown in Table 1. In addition, all benefit attributable for the College property is included in the General Benefit calculation shown above.
Chapman Hills Elementary School: Any special benef it attributable to the School buildings and parking lots are entirely offset by the benefit pro vided to the neighborhood by the outdoor fields.
This facility was also included in the list of regi onal facilities in the calculation of general benef it to properties inside the district that is indirect and derivative above.
Santiago Hills Park: Any special benefit attributa ble to the Park is entirely offset by the benefit provided to the neighborhoods by park facilities. This facility was also included in the list of regional facilities in the calculation of general b enefit to properties inside the district that is in direct and derivative above.
City of Orange Public Safety Facility on East Fort Road: Any special benefit received by this facility is entirely offset by the benefit provided back to the neighborhood similar to other in-lieu contributions to the General Benefit contributions that are funded by the City’s General Fund or other non-District funds.
Miscellaneous, small and other parcels such as road s, right-of-way parcels, and common areas typically do not generate significant numbers of em ployees, residents, customers or guests, and have limited economic value. These miscellaneous parcels receive minimal, if any, benefit from the Improvements and are assessed an SFE benefit factor of zero SFEs.
Annual Cost Indexing
The Assessment is subject to an annual adjustment t ied to the Consumer Price Index-U for the Los Angeles-Long Beach-Anaheim area as of December of e ach succeeding year (the “CPI”), with a maximum annual adjustment not to exceed 3%. Any ch ange in the CPI in excess of 3% shall be cumulatively reserved as the “Unused CPI” and shall be used to increase the maximum authorized assessment rate in years in which the CPI is less than 3%. The maximum authorized assessment rate is equal to the maximum assessment rate in the firs t fiscal year the Assessment was levied adjusted annually by the minimum of either 3% or the change in the CPI plus any Unused CPI as described above.
Appeals of Assessments Levied to Property
Any property owner who feels that the Assessment le vied on the subject property is in error as a result of incorrect information being used to apply the foregoing method of assessment may file a written appeal with the City of Orange City Manager or his or her designee. Any such appeal is limited to correction of an Assessment during the then-current Fiscal Year and applicable law. Upon the filing of any such appeal, the City Manager or his or her designee will promptly review the appeal and any information provided by the property owner. If the City Manager or his or her designee finds that the Assessment should be modified, the a ppropriate changes shall be made to the Assessment Roll. If any such changes are approved after the Assessment Roll has been filed with the County for collection, the City Manager or his or h er designee is authorized to refund to the property owner the amount of any approved reduction . Any dispute over the decision of the City Manager or his or her designee shall be referred to the Orange City Council, and the decision of the City Council shall be final.
472
Engineer’s Report
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Landscape Maintenance District No. 15-1
23 Assessment Funds Must Be Expended Within the District Area The net available Assessment funds, after incidenta l, administrative, financing and other costs shall be expended exclusively for Improvements within the boundaries of the District or as described herein, and appropriate incidental and administrati ve costs as defined in the Plans and Specifications section.
473
Engineer’s Report
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Landscape Maintenance District No. 15-1
24 ASSESSMENT
The amount to be paid for said Improvements and the expense incidental thereto, to be paid by the District for the Fiscal Year 2022-23 is generally as follows:
Table 3 – Summary Cost Estimate
For Landscape Maintenance District No. 15 -1
For Fiscal Year 2022-23
BUDGET ITEM COST
ANNUAL MAINTENANCE
Operating Expenses $851,872
Salaries & Benefits $40,770
Administration and Project Management $25,000
Capital Expenses/ Revenues $0
Total for Services $917,642
Less Other Revenue ($563,842)
Reserve Funds $3,073
Net Amount of Assessment $356,873
As required by the Act, an Assessment Diagram showi ng the exterior boundaries of the Improvement District is hereto attached and incorpo rated herein by reference. The distinctive number of each parcel or lot of land in the Distric t is its Assessor Parcel Number appearing on the Assessment Roll.
474
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
25 ASSESSMENT DIAGRAM
The parcels proposed to be assessed in Landscape Ma intenance District No. 15-1 are shown on the Assessment Diagram, which is on file with the City Clerk of the City of Orange, and includes all those properties included in the original formation of LMD No. 86-2. The following Assessment Diagram is for general location only and is not to be considered the official boundary map. The lines and dimensions of each lot or parcel within t he District are those lines and dimensions as shown on the maps of the Assessor of the County of Orange, for Fiscal Year 2022-23, and are incorporated herein by reference, and made a part of this Diagram and this Report.
475
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
26 476
Engineer’s Report
City of Orange
Landscape Maintenance District No. 15-1
27 ASSESSMENT ROLL
An Assessment Roll (a listing of all parcels assess ed within the Assessment District and the amount of the Assessment) will be filed with the City Cler k and is, by reference, made part of this Report and is available for public inspection during norma l office hours at the City Hall at 300 East Chapman Avenue, Orange, California 92866.
Each lot or parcel listed on the Assessment Roll is shown and illustrated on the latest County Assessor records and these records are, by referenc e made part of this Report. These records shall govern for all details concerning the description of the lots or parcels. 477
Agenda Item
City Council
Item #: 3.29. 5/10/2022 File #: 22-0231
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) Preliminary Engineer’s Report for Fiscal Year 2022-2023. Resolution No. 11391.
2. SUMMARY
The City declares its intention to assess an annual levy, approve the Preliminary Engineer’sReport and set a public hearing. Staff recommends no increase in the assessments for Fiscal Year 2022- 2023. The total assessment to be levied in Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) will be $47,877.
3. RECOMMENDED ACTION
1. Adopt Resolution No. 11391. A Resolution of the City Council of the City of Orange regarding Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) declaring its intention to provide for an annual levy and collection of assessments for Fiscal Year 2022-2023; setting a time and place for a public hearing to receive public testimony on the foregoing matters, and giving preliminary approval of the certified Engineer’sReport for Landscape Maintenance Assessment District 94-1 (Sycamore Crossing).
2. Declare the intent to levy an annual assessment, and set June 14, 2022, at 6:00 PM at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public Hearing on the assessments.
4. FISCAL IMPACT
The total expenditure for this assessment is $47,864 and will be funded through Sycamore Crossing Landscape Maintenance District (293).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop and/or expand public use places and spaces.
6. DISCUSSION AND BACKGROUND
In 1995, Landscape Maintenance District No. 94-1 (LMD 94-1) was established to maintain the landscape and flood control improvements along Santiago Creek that were constructed by Tract No. 14752 (Sycamore Crossing). Resolution 8462 approved Conditional Use Permit 2088-94 for Tentative Tract 15053 (Sycamore Crossing) and Resolution 8463 approved Tentative Tract Map City of Orange Printed on 5/5/2022Page 1 of 2
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478
Item #: 3.29. 5/10/2022 File #: 22-0231
15053, which is part of Tract 14751.
Annually, a detailed accounting of expenses is done and a new assessment is calculated for the benefitting property owners. All assessments are recommended to remain the same for Fiscal Year 2022-2023 (FY23) as they are for the current fiscal year. The 124 units in the interior of the Tract are currently assessed at $293.08. The 36 units adjacent to the landscape improvement have a 2% premium and are currently assessed at $298.94 per unit. The senior citizen housing site is currently assessed at $597.88 per year. In addition, the City owns two lots within the district that pay into the District. The larger lot which remains as open space is assessed at $117.23 per year and the smaller lot for a future water well is $58.62 per year.
The total expenditure for FY23 is estimated to be $47,864. The proposed assessment will generate $47,877 in revenue. The projected year-end Reserve Fund balance is $98,522 and the District is funded entirely by annual assessment revenue. The surplus revenue between the annual assessment and the expenditure is $13 and will contribute to the fund balance. The fund balance will be used for repairs and replacement of infrastructure such as fences, irrigation and landscape.
The attached Preliminary Engineer’sReport contains detailed information about the assessment. It is proposed to schedule the Public Hearing on June 14, 2022 at 6:00 p.m.at City Hall, 300 E Chapman Avenue, Orange, CA 92866.
7. ATTACHMENTS
· Resolution No. 11391
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 94-1 Fiscal Year 2022-2023
City of Orange Printed on 5/5/2022Page 2 of 2
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479
Agenda Item
City Council
Item #: 3.29. 5/10/2022 File #: 22-0231
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Approval of the Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) Preliminary Engineer’s Report for Fiscal Year 2022-2023. Resolution No. 11391.
2. SUMMARY
The City declares its intention to assess an annual levy, approve the Preliminary Engineer’sReport and set a public hearing. Staff recommends no increase in the assessments for Fiscal Year 2022- 2023. The total assessment to be levied in Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) will be $47,877.
3. RECOMMENDED ACTION
1. Adopt Resolution No. 11391. A Resolution of the City Council of the City of Orange regarding Landscape Maintenance Assessment District 94-1 (Sycamore Crossing) declaring its intention to provide for an annual levy and collection of assessments for Fiscal Year 2022-2023; setting a time and place for a public hearing to receive public testimony on the foregoing matters, and giving preliminary approval of the certified Engineer’sReport for Landscape Maintenance Assessment District 94-1 (Sycamore Crossing).
2. Declare the intent to levy an annual assessment, and set June 14, 2022, at 6:00 PM at City Hall, 300 E Chapman Avenue, Orange, CA 92866, as the time and place for the Public hearing on the assessments.
4. FISCAL IMPACT
The total expenditure for this assessment is $47,864 and will be funded through Sycamore Crossing Landscape Maintenance District (293).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop and/or expand public use places and spaces.
6. DISCUSSION AND BACKGROUND
In 1995, Landscape Maintenance District No. 94-1 (LMD 94-1) was established to maintain the landscape and flood control improvements along Santiago Creek that were constructed by Tract No. 14752 (Sycamore Crossing). Resolution 8462 approved Conditional Use Permit 2088-94 for Tentative Tract 15053 (Sycamore Crossing) and Resolution 8463 approved Tentative Tract Map City of Orange Printed on 5/5/2022Page 1 of 2
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480
Item #: 3.29. 5/10/2022 File #: 22-0231
15053, which is part of Tract 14751.
Annually, a detailed accounting of expenses is done and a new assessment is calculated for the benefitting property owners. All assessments are recommended to remain the same for Fiscal Year 2022-2023 (FY23) as they are for the current fiscal year. The 124 units in the interior of the Tract are currently assessed at $293.08. The 36 units adjacent to the landscape improvement have a 2% premium and are currently assessed at $298.94 per unit. The senior citizen housing site is currently assessed at $597.88 per year. In addition, the City owns two lots within the district that pay into the District. The larger lot which remains as open space is assessed at $117.23 per year and the smaller lot for a future water well is $58.62 per year.
The total expenditure for FY23 is estimated to be $47,864. The proposed assessment will generate $47,877 in revenue. The projected year-end Reserve Fund balance is $98,522 and the District is funded entirely by annual assessment revenue. The surplus revenue between the annual assessment and the expenditure is $13 and will contribute to the fund balance. The fund balance will be used for repairs and replacement of infrastructure such as fences, irrigation and landscape.
The attached Preliminary Engineer’sReport contains detailed information about the assessment. It is proposed to schedule the Public Hearing on June 14, 2022 at 6:00 p.m.at City Hall, 300 E Chapman Avenue, Orange, CA 92866.
7. ATTACHMENTS
· Resolution No. 11391
· Preliminary Engineer’s Report for the Annual Levy Assessment Landscape Maintenance District No. 94-1 Fiscal Year 2022-2023
City of Orange Printed on 5/5/2022Page 2 of 2
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481
RESOLUTION NO. 11391
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE REGARDING LANDSCAPE
MAINTENANCE ASSESSMENT DISTRICT 94 -1
(SYCAMORE CROSSING) DECLARING ITS
INTENTION TO PROVIDE FOR AN ANNUAL
LEVY AND COLLECTION OF ASSESSMENTS
FOR FISCAL YEAR 2021-2022; SETTING A TIME
AND PLACE FOR A PUBLIC HEARING TO
RECEIVE PUBLIC TESTIMONY ON THE
FOREGOING MATTERS; AND GIV ING
PRELIMINARY APPROVAL TO THE CERTIFIED
ENGINEER’S REPORT FOR LANDSCAPE
MAINTENANCE ASSESSMENT DISTRICT 94-1
WHEREAS, the City Council of the City of Orange p reviously formed City of Orange Landscape Maintenance District No. 94 -1 (“Maintenance District”) and desires to initiate proceedings for the levy of annual increased assessments in connection with the Maintenance District, pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code beginning with Section 22500, Government Code Section 53753 and the provisions of the Article 13D of the California Constitution (“Article 13D”) and su ch constitutional provisions and statutes as are referred to collectively as the “Applicable Law;” and
WHEREAS, there has now been presented to the City Council the Certified Engineer’s Report (“Report”) as required by the Applicable Law that describes the proposed annual levy of assessments for each parcel for Fiscal Year 2022-2023 and the proposed changes to the Maintenance District or improvements; and
WHEREAS, the City Council has carefully examined and reviewed the Report and is satisfied with each and all of the items and documents set forth therein and has made a preliminary determination that the assessments on each parcel have been proportioned in accordance with the benefits received by each parcel and that such assessments do not exceed the estimated reasonable cost of providing the service; and
WHEREAS, at this time the City Council determines to commence proceedings to provide for the annual levy of ass essments for Fiscal Year 2022-2023 to pay for the costs and expenses necessary for the maintenance of the improvements in the Maintenance District.
482
2 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange as follows:
Section I:
That the above recitals are all true and correct.
Section II:
That the public interest and convenience require the undertaking of proceedings for the annual levy and collection of assessments to pay the costs and expenses for the maintenance of the impr ovements within the Maintenance District, which in general include: the maintenance, repair, removal or replacement of any of the landscaping improvements, including walkways, signage, irrigation, trimming, spraying, fertilizing, etc., and as such maintena nce is more particular described in the Report on file with the City Clerk (“maintenance of improvements”).
Section III:
That the maintenance of improvements is of direct benefit to the properties within the boundaries of the Maintenance District, which the City Council previously declared to be the area benefited and which area is more particularly described in the boundary map open for public inspection and on file with the City Clerk bearing the designation of the Maintenance District.
Section IV:
That the Report is preliminarily approved and ordered to be on file with the City Clerk and open for public inspection. The Report contains a full and detailed description of the existing works of improvement, the boundaries of the Maintenance District an d any zones therein, and the proposed assessments upon parcels within the Maintenance District.
Section V.
That the City shall give notice of the time and place of the public hearing to all property owners of record within the Maintenance District subject to a levy of assessment.
Section VI:
That notice is hereby given that Tuesday, June 14th, 2022, at 6:00 p.m. at City Hall, 300 E. Chapman Avenue, Orange, CA 92866, is the time and place fixed by the City Council for hearing protests or objections in reference to the proposed annual levy of assessments for the Maintenance District in accordance with Government Code Section 53753 and Article 13D and to any other matters contained in this Resolution. Any persons who wish to object to the proceedings or the annual levy should file a written protest with the City Clerk prior to the time set for the public hearings.
483
3 Section VII:
That for any and all information relating to these proceedings, including information relating to protest procedure, your attention is directed to the person designated below:
Tawnie Schraan, Associate Civil Engineer
City of Orange Public Works Department
300 East Chapman Avenue
Orange, California 92866
(714) 744-5528
ADOPTED this ____ day of ____________________, 2022
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ORANGE )
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
484
Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
1 CITY OF ORANGE
FINAL ENGINEER’S REPORT
FOR THE ANNUAL LEVY
ASSESSMENT LANDSCAPE MAINTENANCE
DISTRICT NO. 94-1
FISCAL YEAR 2022-2023
LANDSCAPE MAINTENANCE DISTRICT NO. 94-1
SYCAMORE CROSSING
Intent Meeting: May 10, 2022
Public Hearing: June 14, 2022
LMD 94-1 Final ER FY 2022-23
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
3 TABLE OF CONTENTS
AFFIDAVIT FOR THE ENGINEER’S REPORT ..................................................... 2 INTRODUCTION ........................................................................................................ 4 PART I — PLANS AND SPECIFICATIONS .............................................................. 6 A. Description of the District ................................................................................................ 6 B. Improvements and Services.............................................................................................. 6 PART II — METHOD OF APPORTIONMENT ....................................................... 7 A. Background ......................................................................................................................... 7 B. Method of Assessment ...................................................................................................... 7 C. Financial Analysis ............................................................................................................... 9 PART III — DISTRICT BUDGET ............................................................................ 10 PART IV — DISTRICT DIAGRAMS ......................................................................... 12 PART V — ASSESSMENT ROLL .............................................................................. 14
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
4 INTRODUCTION
Pursuant to the provisions of the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500 (hereafter referred to as the “1972 Act”), and in compliance with the substantive and p rocedural requirements of the California State Constitution Articles XIIIC and XIIID (hereafter referred to as the “California Constitut ion”) , the City Council of the City of Orange, County of Orange, State of California (hereafter referred to as “City”), in connection with the annual levy and collection o f assessments of the special benefit assessment district designated as:
Landscape Maintenance District No. 94-1
(hereafter referred to as the “District”), which includes all lots and parcels of land that specially benefit from the improvements within the District. This Engineer’s Report (hereafter referred to as “Report”) has been prepared in connection with the annual levy and collections of assessments for said District pursuant to Chapter 1, Article 4 of the 1972 Act.
The City Council proposes to levy and collect annua l assessments on the County tax rolls to provide ongoing funding for the costs and expenses required to service and maintain the landscaping improvements originally installed in connection wit h the development of properties within the District. The improvements to be provided by the Di strict and the assessments described herein are made pursuant to the 1972 Act.
This Report describes the District, the improvement s, and the proposed assessments to be levied in Fiscal Year 2022-2023 against properties in connect ion with the special benefits the properties will receive from the maintenance and servicing of the District improvements. The annual assessments to be levied on properties within the District will pr ovide a funding source for the continued operation and maintenance of local landscaping improvements installed in connection with the development of properties within the District. The assessments des cribed in this Report are based on an estimate of the direct expenditures, incidental expenses, and fund balances that will be necessary to maintain and service the improvements.
The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessor’s Parcel Number (APN) by the Orange County Assessor’s Office. The Orange County Auditor/Controller uses Assessor’s Parcel Numbers and specific Fund Numbers to identify properties to be assessed on the tax roll for the special benefit assessments.
This Report has been prepared and presented to the City Council to address any proposed changes to the District or improvements, if any, and the proposed budget and assessments for Fiscal Year 2022- 2023. The City Council will conduct a noticed public hearing to consider public testimonies, comments and written protests regarding the levy and collection of assessments for Fiscal Year 2022-2023. Upon conclusion of the public hearing, if majority protest does not exist the City Council may approve this Report (as submitted or amended) and levy the asses sments for Fiscal Year 2022-2023. In such case, the assessments for fiscal year 2022-2023 shall be submitted to the Orange County Auditor/Controller for inclusion on the property tax roll for each par cel. If the proposed annual assessments for this District exceed the maximum assessment described herein (as approved by the property owners), the new or increased assessment must be confirmed throu gh another property owner protest ballot proceeding before such an assessment may be imposed.
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
5 This Report consists of five (5) parts:
Part I
Plans and Specifications: A description of the District boundaries and the improvements associated with the District. The District has been formed as a single benefit zone encompassing all properties within the territory identified as Landscape and Maintenance District No 94-1.
Part II
The Method of Apportionment: A discussion of benefits the improvements and serv ices provide to properties within the District and the method of calculating each property’s proportional special benefit and annual assessment.
Part III
The District Budget: An estimate of the annual costs to operate, mainta in and service the landscaping and appurtenant facilities installed an d constructed as part of the development of properties within the District. This budget includes an estimate of anticipated direct maintenance costs and incidental expenses. The special benefit assess ments are based on the overall operation costs minus any costs that are considered general benefit. The proposed assessments for Fiscal Year 2022- 2023, and each subsequent year shall be based on th e estimated net annual cost of operating, maintaining and servicing the improvements for that fiscal year as well as funds to be collected in installments to perform maintenance activities that cannot be reasonably collected in a single fiscal year’s assessments.
Part IV
District Diagram: A Diagram showing the exterior boundaries of the D istrict is provided in this Report and includes all parcels that will receive special benefits from the improvements. Reference is hereby made to the Orange County Assessor’s Parcel Maps for a detailed description of the lines and dimensions of each lot and parcel of land within the District.
Part V
Assessment Roll: A listing of the proposed assessment amounts to be levied on Assessor’s Parcel within the District for Fiscal Year 2022-2023. The proposed assessment amount for each parcel is based on the parcel’s proportional special benefit as outlined in the method of apportionment.
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
6 PART I — PLANS AND SPECIFICATIONS
A. Description of the District
The assessment district boundary is shown on a map entitled Assessment Diagram, Landscape Maintenance District No. 94-1, City of Orange, which is on file with the City Clerk of the City of Orange.
A reduced scale copy of the Diagram can be found in Part IV of this document.
All parcels of real property affected are more particularly described in maps prepared in accordance with Section 327 of the Revenue and Taxation Code, which are on file in the Office of the Orange County Assessor, and which are made a part of this report by reference.
B. Improvements and Services
Improvements and Services Permitted Pursuant to the 1972 Act The location of the works of improvement to be main tained under these proceedings is described as follows:
A. Lot E Tract 14752 - Generally a 23-foot wide str ip of land along the northerly upper banks of Santiago Creek within Tract 14752;
B. Lot F Tract 14752 - Generally a 55-foot wide str ip of land along the southerly upper banks of Santiago Creek with Tract 14752;
C. Lot C Tract 14752 - Generally an irregular shape d parcel adjacent to Lot F Tract 14752.
A general description of the works of improvement t o be maintained under these proceedings are those generally described as follows:
A. Ornamental shrubs, trees, and ground cover
B. Habitat area including natural shrubs, trees, an d ground cover C. Complete irrigation system including pipes, valv es, sprinkler heads, and controller D. Soil cement erosion protection
The following items are excluded from the Maintenance District:
A. The center low flow channel of Santiago Creek.
B. Complete recreation trail/maintenance road inclu ding asphalt, signing, striping, and lighting.
Maintenance shall include, but not be limited to:
A. Repair, removal, or replacement of all or any pa rt of any included improvement; B. Providing for the life, growth, health, and beau ty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, and treating for disease or injury; and C. The removal of trimmings, rubbish, debris, and o ther solid waste.
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
7 PART II — METHOD OF APPORTIONMENT
A. Background
The Landscaping and Lighting Act of 1972 provides t hat assessments may be apportioned by any formula or method, which fairly distributes costs a mong all lots or parcels within the district in proportion to the estimated benefits received. It is necessary to identify the special benefit that t he Works of Improvement will render to the properties within the Assessment District. It is also necessary that the properties receive a special and direct benefit as distinguished from benefit to th e general public.
B. Method of Assessment
Identify the Special Benefit
First of all, it is necessary to identify the special benefit that the public improvement will render to the properties within the boundaries of Landscape Maint enance District No. 94-1. The improvements consist of landscaping and a recreation trail/maint enance road along the upper banks of Santiago Creek. The creek was a natural flood control chann el running through Tentative Tract 14752. As a condition for developing the tract, it was necessar y to improve the creek to provide 100-year flood protection consistent with the National Flood Insur ance Program. Alternative designs were looked at ranging from a concrete lined channel to a multi-use natural looking channel. The later was chosen to provide a visually pleasing channel with landsca ping along both banks, erosion control bank protection, a useful recreation trail and a maintenance road. An interesting biotic habitat was added to fulfill 404 & 401 permit requirements.
The Orange County Flood Control District owns and m aintains the center 96-foot wide low flow channel. The City of Orange owns and LMD 94-1 maintains 23 feet on the north side and 55 feet on the south side of the channel.
The special and direct benefits that each property owner will receive are:
• The Landscape Maintenance District fulfills the fin ancial obligation of the property owners to maintain the improvements in Santiago Creek installed by the Tract development and as required by Conditional Use Permit 2088-94, condition of app roval of Tract 15053 and the Development Agreement for Sycamore Crossing.
• A pleasing landscape visible at the entrance to the tract. • Enhanced desirability of district properties through association with the improvements. • Enhancement of the urban environment by providing open space and landscaping. • Necessary flood protection provided by the improvements. • Improved erosion resistance, dust control and fire prevention. • There are many homes in the District that back up t o Santiago Creek and the landscape improvement. Their back fences are made of wrought iron so they can enjoy the beauty and spaciousness of the landscape improvement.
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Landscape Maintenance District No. 94-1
8 Prior to 2011, the recreation trail, which begins within the Tract boundary and provides direct access to Hart Park, a City park with numerous recreation facilities, was considered as a special benefit. The recreation trail has been extended through the District and is now incorporated into the City regional trail system. This altered the special benefit of t he recreation trail within the District. District f unds are no longer used for the maintenance of the trail pavement, stripping and rail safety fence.
Apportionment of Cost
In further making the analysis, it is necessary tha t the property owners receive a special and direct benefit distinguished from that of the general public. In this case, an in-depth analysis was made, and several factors are being used in the final method and spread of assessments. In analyzing the overall district, it is noted that there are two types of d evelopment. There are 160 single family detached residential units on the north side of Santiago Cre ek and a 1.385 acre commercial site on the south side recently developed with senior housing.
All 160 residential units are relatively the same except for the fact that 36 units back up to the landscape improvement. The developer has placed an approxima te 2% lot premium on these lots. This same differential was used in determining the assessment. A unit cost factor of 1.02 is assigned to these 36 units and the remaining 124 units have a cost factor of 1.0. The commercial site has been developed as low income housing for senior citizens.
The unit cost for the current FY 2021-2022 is $293. 08 per unit for a total levy of $47,877.49. No increase is recommended for fiscal year 2022-2023. The levy will remain at $293.08. Therefore, the assessment levied on the 124 interior residential units will be $293.08, and for the 36 residential units along the channel it will be $298.94. In analyzing the special benefit to the senior citizen housing site we recognize the fact that seniors are generally not mobile enough to use the bike and pedestrian trail and therefore have limited access to the landscape improvement. The special benefit is limited to the visibility of the landscaping from the north facing units. With this in mind, a unit cost factor of 2 .04 was assigned to the seniors housing site and the assessment levied will be $597.88. Since the enactment of Prop 218, publicly owned property within the District is no longer exempt from assessment. There are two lots within the boundaries of the District that are owned by the City of Orange. One is a small lot to be used in the future for a domestic water well. The other is a larger lot that will someday be used for recreation purposes. The special benefit to these lots is minimal at this time. A unit cost factor of 0.20 is assigned to the well site and a unit cost factor of 0.40 to the recreation site. The City will be levied $58.62 and $117.23 respectively. Th e total of the assessments levied on all the parcel s will be $47,877.49.
Currently, the budget shows the District appears to be operating in a deficit. However, remaining fund balances from previous years are available for use during the current Fiscal Year. The intention of this higher maintenance budget is to use remaining fund balances from prior years to address larger improvement and repair needs of District infrastruc ture and/or landscape. Once the leftover fund balance is depleted, the budgeted annual expenditur es for the District will be adjusted to align with the collected assessment.
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Landscape Maintenance District No. 94-1
9 C. Financial Analysis
The facilities, which are to be maintained by this landscape maintenance district, were installed by the developer of Tract No. 14752. The estimated costs of maintenance, operation, and administration of the facilities are shown in Part III.
Resolution 8462 approved Condition Use permit 2088- 94 for Tentative Tract 15053 and Resolution 8463 approved Tentative Tract Map 15053, which is a part of Tract 14751. Both resolutions contain the following condition:
“To the satisfaction of the City of Orange’s Public Works Department and City Engineer, prior to the recordation of Final Tract M ap 15053, the City shall form a landscape maintenance district which shall include the project for the purpose of levying and collecting an assessment to maintain the open space dedicated to the City by Tentative Tract 14752 and defining in Exhibit E- 1 of the development agreement for this project. Said assessment shall not exceed the sum of $28.00 per month per residential unit in the project but may increase an nually in accordance with the applicable increase maintenance cost index as provi ded in the Engineering News Record or such other comparable index as the partie s shall agree. The future homeowner’s contributions (financial payments) towards the maintenance of Santiago Creek open space shall be included in the disclosure requirement to future buyers.”
The individual 2022-2023 assessments, tabulated by Assessor's Parcel Number, are on file with the City Clerk of the City of Orange, and can be found in Part V, Assessment Roll.
The 1972 Act permits carrying forward surpluses or recovering deficits in subsequent fiscal years.
Costs for the District are reviewed annually and su bsequent year's assessments will be credited or debited, as necessary.
The total assessment to be levied for fiscal year 2 022-2023 by the district is recommended to be $47,877. This assessment is the same as fiscal year 2021-2022.
The assessments for Landscape Maintenance District No. 94-1, City of Orange, have been apportioned in direct accordance with the special a nd direct benefits that each parcel receives from the maintenance, operation, and administration of the Works of Improvement.
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
10 PART III — DISTRICT BUDGET
The following budget outlines the estimated costs to maintain the improvements for 2022-2023.
ANNUAL LEVY OF ASSESSMENT
LANDSCAPE MAINTENANCE DISTRICT NO. 94-1
City of Orange
ESTIMATED COSTS
OPERATION & MAINTENANCE FUND BALANCE FROM PRIOR YEA RS
Estimated Fund Balance as of March 2022 $98,522
The estimated budget necessary for the 2022-2023 Fiscal Year for the District is as follows:
BUDGET ITEM COST
ANNUAL MAINTENANCE
Salaries & Benefits $6,795
Telephone $0
Water $7,500
Electricity $400
Landscape Maintenance $16,917
Landscape Maintenance, Irrigation Repairs $2,500
Landscape Maintenance, Landscape Repairs $0
Other Professional & Consulting $500
Contractual Services, Tree Trimming Contract $5,240
Contractual Services, Electrical Maintenance $0
Contractual Services, Misc. Contract Services $5,900
Office Supplies & Operating Expenses $0
City Administrative Services $2,112
TOTAL LANDSCAPE MAINTENANCE EXPENSES $47,864
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Landscape Maintenance District No. 94-1
11 SURPLUS FUNDS TO BE ADDED TO RESERVE $13
●This Budget Estimate is for the purpose of establis hing an Annual Assessment. It may vary from the adopted City Budge t. All assessments collected by the District may only be used for Dist rict expenditures regardless of the Budget Estimate.
BALANCE TO LEVY (maximum assessment) $47,877
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Engineer’s Report
City of Orange
Landscape Maintenance District No. 94-1
12 PART IV — DISTRICT DIAGRAMS
The following diagram incorporates all parcels within the District, as the same existed at the time this Report was prepared. The combination of this map and the Assessment Roll contained in this Report constitute the Assessment Diagram for the Landscape and Maintenance District No. 94-1, also known as Sycamore Crossing.
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Landscape Maintenance District No. 94-1
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Engineer’s Report
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Landscape Maintenance District No. 94-1
14 PART V — ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District is based on available parcel maps and property data from the Orange County Assessor’s Off ice, as they existed at the time this Engineer’s Report was prepared and the City Council adopted th e Resolution of Intention. A listing of the lots and parcels to be assessed within this District along with the assessment amounts is provided herein.
If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the fiscal year, a corrected parc el number and/or new parcel numbers will be identified and resubmitted to the County Auditor/Co ntroller. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate described in this Report as app roved by the City Council. Therefore, if a single parcel is subdivided to multiple parcels, the asses sment amount applied to each of the new parcels shall be recalculated and applied according to the approved method of apportionment and assessment rate rather than a proportionate share of the original assessment for the parcel.
The following is a list of the parcels and proposed assessment amounts for Fiscal Year 2022-2023 for each of the parcels within the District as determin ed by the assessment rates and method of apportionment described herein:
498
Agenda Item
City Council
Item #: 3.30. 5/10/2022 File #: 22-0281
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Declaration of a Level 2 Water Supply Shortage. Resolution No. 11392.
2. SUMMARY
On March 28, 2022, Governor Newsom issued Executive Order N-7-22 proclaiming a state of emergency due to drought. The Order directs the State Water Resources Control Board (SWRCB) to adopt regulations requiring water suppliers to implement demand reduction actions for a shortage level of up to 20 percent (level 2) of their Water Shortage Contingency Plans (WSCP). Per the City of Orange Municipal Code, Chapter 7.02, the City Council has the authority to declare the water supply shortage level.
3. RECOMMENDED ACTION
Adopt Resolution No. 11392. A Resolution of the City Council of the City of Orange declaring a Level 2 Water Supply Shortage.
4. FISCAL IMPACT
None.
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.
Goal 2: Be a fiscally healthy community.
d: Effectively manage and develop City assets.
6. DISCUSSION AND BACKGROUND
On October 19, 2021, Governor Newsom proclaimed a state of emergency that continues today and exists across all counties in California due to extreme and expanding drought conditions. To comply with the State regulations, the City Council adopted Ordinance 16-21 updating Chapter 7.02 of the Municipal Code. Chapter 7.02 outlines the permanent water conservation requirements and procedures for determination of water supply shortage and level implementation.
On March 28, 2022, Governor Newsom issued Executive Order N-7-22 directing the SWRCB to adopt regulations requiring all water agencies to implement Level 2 water supply shortage as outlined in the WSCP. To comply with Governor Newsom’swater conservation mandate, the City needs to declare Level 2 Water Supply Shortage as described in the WSCP. This level will add additional City of Orange Printed on 5/5/2022Page 1 of 2
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499
Item #: 3.30. 5/10/2022 File #: 22-0281
declare Level 2 Water Supply Shortage as described in the WSCP. This level will add additional water conservation measures to the current permanent water conservation requirements as follow:
· Limiting landscape irrigation with potable water to three days per week from April 1 to October 31 and two days per week from November 1 to March 31.
· Requiring customers to repair leaks, breaks, and plumbing malfunctions in a timely manner. · Expanding community outreach and public information campaign.
These additional water conservation measures could reduce water use between 10-20% as specified in the WSCP. Staff is collaborating with our neighboring Orange County water agencies to provide consistent and effective water conservation measures to the public. Other agencies in different parts of Southern California may have different water restrictions depending on their water supply.
Additionally, Executive Order N-7-22 calls for the SWRCB to adopt regulations prohibiting the use of potable water for the irrigation of non-functional turf at commercial, industrial, and institutional sites by May 25, 2022. The prohibition on irrigating turf at commercial, industrial, and commercial sites would be enforced by the SWRCB and has exemptions for turf that is used for recreational purposes or for civic or community events.
With the adoption of Resolution No. 11392 declaring Level 2 water supply shortage, the City Council empowers staff to implement demand reduction actions as defined in the WSCP. A post card will be sent to customers notifying them of the restrictions once approved. As soon as the State and/or Governor modifies or eliminates the drought condition, staff will return to City Council for removal of these additional water conservation restrictions.
7. ATTACHMENTS
· Resolution No. 11392
· Ordinance 16-21
· Executive Order N-7-22
City of Orange Printed on 5/5/2022Page 2 of 2
powered by Legistar™
500
Agenda Item
City Council
Item #: 3.30. 5/10/2022 File #: 22-0281
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Declaration of a Level 2 Water Supply Shortage. Resolution No. 11392.
2. SUMMARY
On March 28, 2022, Governor Newsom issued Executive Order N-7-22 proclaiming a state of emergency due to drought. The Order directs the State Water Resources Control Board (SWRCB) to adopt regulations requiring water suppliers to implement demand reduction actions for a shortage level of up to 20 percent (level 2) of their Water Shortage Contingency Plans (WSCP). Per the City of Orange Municipal Code, Chapter 7.02, the City Council has the authority to declare the water supply shortage level.
3. RECOMMENDED ACTION
Adopt Resolution No. 11392. A Resolution of the City Council of the City of Orange declaring a Level 2 Water Supply Shortage.
4. FISCAL IMPACT
None.
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.
Goal 2: Be a fiscally healthy community.
d: Effectively manage and develop City assets.
6. DISCUSSION AND BACKGROUND
On October 19, 2021, Governor Newsom proclaimed a state of emergency that continues today and exists across all counties in California due to extreme and expanding drought conditions. To comply with the State regulations, the City Council adopted Ordinance 16-21 updating Chapter 7.02 of the Municipal Code. Chapter 7.02 outlines the permanent water conservation requirements and procedures for determination of water supply shortage and level implementation.
On March 28, 2022, Governor Newsom issued Executive Order N-7-22 directing the SWRCB to adopt regulations requiring all water agencies to implement Level 2 water supply shortage as outlined in the WSCP. To comply with Governor Newsom’swater conservation mandate, the City needs to declare Level 2 Water Supply Shortage as described in the WSCP. This level will add additional City of Orange Printed on 5/5/2022Page 1 of 2
powered by Legistar™
501
Item #: 3.30. 5/10/2022 File #: 22-0281
declare Level 2 Water Supply Shortage as described in the WSCP. This level will add additional water conservation measures to the current permanent water conservation requirements as follow:
· Limiting landscape irrigation with potable water to three days per week from April 1 to October 31 and two days per week from November 1 to March 31.
· Requiring customers to repair leaks, breaks, and plumbing malfunctions in a timely manner. · Expanding community outreach and public information campaign.
These additional water conservation measures could reduce water use between 10-20% as specified in the WSCP. Staff is collaborating with our neighboring Orange County water agencies to provide consistent and effective water conservation measures to the public. Other agencies in different parts of Southern California may have different water restrictions depending on their water supply.
Additionally, Executive Order N-7-22 calls for the SWRCB to adopt regulations prohibiting the use of potable water for the irrigation of non-functional turf at commercial, industrial, and institutional sites by May 25, 2022. The prohibition on irrigating turf at commercial, industrial, and commercial sites would be enforced by the SWRCB and has exemptions for turf that is used for recreational purposes or for civic or community events.
With the adoption of Resolution No. 11392 declaring Level 2 water supply shortage, the City Council empowers staff to implement demand reduction actions as defined in the WSCP. A post card will be sent to customers notifying them of the restrictions once approved. As soon as the State and/or Governor modifies or eliminates the drought condition, staff will return to City Council for removal of these additional water conservation restrictions.
7. ATTACHMENTS
· Resolution No. 11392
· Ordinance 16-21
· Executive Order N-7-22
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502
RESOLUTION NO. 11392
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY O F ORANGE DECLARING A LEVEL
2 WATER SUPPLY SHORTAGE
WHEREAS, a reliable minimum supply of potable water is essential to the public health, safety and welfare of the people and economy of the southern California region; and
WHEREAS, the State of California is experiencing record dry conditions; and
WHEREAS, the tw o main sources of import water for the City’s major import water supplier, Metropolitan Water District of Southern California, namely the Colorado River and Northern California, face continuing drought conditions; and
WHEREAS, a continued statewide state of emergency due to drought conditions was declared by Governor Gavin Newsom, effective March 28, 2022; and
WHEREAS, the adoption and enforcement of a water conservation and supply shortage program is necessary to manage the City’s potable water supply in the short and long-term to avoid or minimize the effects of drought and shortage within the City. Such program is e ssential to ensure a reliable and sustainable minimum supply of water for the public health, safety and welfare.
WHEREAS, the City Council has previously adopted O rdinance 16-21 which included the adoption of Orange Municipal Co de Chapter 7.02 entitled th e Water Shortage Contingency Response Ordinance.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange that:
1. Due to drought a water supply shortage does exist and a consumer demand reduction and curtailment is necessary to ensure sufficient supplies will be available to meet anticipated demands.
2. The imposition of Level 2 restrictions are necessary in order to achieve the necessary water conservation required to assure adequate water supplies.
3. To achieve Level 2 as mandated by Governor Newso m, a 20% water reduction between April 1 and October 31, lawn watering and landscape irrigation wil l be limited to three (3) days per week ; watering and irrigation may only occur on Tuesday, Thursday, and Saturday. Between November 1 and March 31, lawn watering and landscape irrigation will be further limited to two (2) days per week ; watering and irrigation may only occur on Tuesday and Saturday.
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2 4. The use of potable water for the irrigation of non-functional turf at commercial, industrial, and institutional sites is prohibited.
5. The restrictions imposed by this Resolution shall be effective June 10, 2022.
ADOPTED this ____ day of ____________________, 2022
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
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EXECUTIVE DEPARTMENT
STATE OF CALIFORNIA
EXECUTIVE ORDER N-7-22
WHEREAS on April 12, 202l, May l 0, 2021, July 8, 202l, and October 19, 2021, I proclaimed states of emergency that continue today and exist across a ll the counties of California, due to extreme and expanding drought conditions; and
WHEREAS climate change continues to intensify the impacts of droughts on our communities, environment, and economy, and California is in a third consecutive year of dry conditions, resulting in continuing drought in all parts of the State; and
WHEREAS the 21st century to date has been characterized by record warmth and predominantly dry conditions, and the 2021 meteorological summer in California and the rest of the western United States was the hottest on record; and
WHEREAS since my October 19, 2021 Proclamation, early rains in October and December 2021 gave way to the driest January and February in recorded history for the watersheds that provide much of California's water supply; and WHEREAS the ongoing drought will have significant, immediate impacts on communities with vulnerable water supplies, farms that rely on irrigation to grow food and fiber, and fish and wildlife that rely on stream flows and cool water; and
WHEREAS the two largest reservoirs of the Central Valley Project, which supplies water to farms and communities in the Central Valley and the Santa Clara Valley and provides critical cold-water habitat for salmon and other anadromous fish, have water storage levels that are approximately l .1 million acre-feet below last year's low levels on this date; and WHEREAS the record-breaking dry period in January and February and the absence of significant rains in March have required the Department of Water Resources to reduce anticipated deliveries from the State Water Project to 5 percent of requested supplies; and
WHEREAS delivery of water by bottle or truck is necessary to protect human safety and public health in those places where water supplies are disrupted; and
WHEREAS groundwater use accounts for 41 percent of the State's total water supply on an average annual basis but as much as 58 percent in a critically dry year, and approximately 85 percent of public water systems rely on groundwater as their primary supply; and
WHEREAS coordination between loca l entities that approve permits for new groundwater wells and local groundwater sustainability agencies is important to achieving sustainable levels of groundwater in critically overdrafted basins; and
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WHEREAS the duration of the drought, especially following a multiyear drought that abated only five years ago, underscores the need for California to redouble near-, medium-, and long-term efforts to adapt its water management and delivery systems to a chang ing climate, shifting precipitation patterns, and water scarcity; and
WHEREAS the most consequential, immediate action Californians can take to extend available supplies is to voluntarily reduce their water use by 15 percent from their 2020 levels by implementing the commonsense measures identified in operative paragraph 1 of Executive Order N-10-21 (July 8, 2021 ); and
WHEREAS to protect public health and safety, it is critica l the State take certain immediate actions without undue delay to prepare for and mitigate the effects of the drought conditions, and under Government Code section 8571, I find that strict compliance with various statutes and regulations specified in this Proclamation would prevent, hinder, or delay the mitigation of the effects of the drought conditions.
NOW, THEREFORE, I, GAVIN NEWSOM, Governor of the State of California, in accordance with the authority vested in me by the State Constitution and statutes, including the California Emergency Services Act, and in particular, Government Code sections 8567, 8571, and 8627, do hereby issue the following Order to become effective immediately:
IT IS HEREBY ORDERED THAT:
1. The orders and provisions contained in my April 21, 2021, May 10, 2021, July 8, 2021, and October 19, 2021 Proclamations remain in full force and effect, except as modified by those Proclamations and herein.
State agencies shall continue to implement all directions from those Proclamations and accelerate implementation where feasible.
2. To help the State achieve its conservation goals and ensure sufficient water for essential indoor and outdoor use, I call on all Californians to strive to limit summertime water use and to use water more efficiently indoors and out. The statewide Save Our Water conservation campaign at SaveOurWater.com provides simple ways for Californians to reduce water use in their everyday lives. Furthermore, I encourage Californians to understand and track the amount of water they use and measure their progress toward their conservation goals.
3. By May 25, .2022, the State Water Resources Control Board (Water Board) shall consider adopting emergency regulations that include all of the following:
a. A requirement that each urban water supplier, as defined in section 10617 of the Water Code, shall submit to the Department of Water Resources a preliminary annual water supply and demand assessment consistent with section 10632.1 of the Water Code no later than June 1, 2022, and submit a fina l annual water 519
supply and demand assessment to the Department of Water Resources no later than the deadline set by section 10632.1 of the Water Code;
b. A requirement that each urban water supplier that has submitted a water shortage contingency plan to the
Department of Water Resources implement, at a minimum, the shortage response actions adopted under section 10632 of the Water Code for a shortage level of up to twenty percent (Level 2), by a date to be set by the Water Board; and
c. A requirement that each urban water supplier that has not submitted a water shortage contingency plan to the
Department of Water Resources implement, at a minimum,
shortage response actions established by the Water Board, which shall take into consideration model actions that the Department of Water Resources shall develop for urban water supplier water shortage contingency planning for Level 2, by a date to be set by the Water Board.
To further conserve water and improve drought resiliency if the drought lasts beyond this year, I encourage urban water suppliers to conserve more than required by the emergency regulations described in this paragraph and to voluntarily activate more stringent local requirements based on a shortage level of up to thirty percent (Level 3).
4. To promote water conservation, the Department of Water Resources shall consult with leaders in the commercial, industrial, and institutional sectors to develop strategies for improving water conservation, including direct technical assistance, financial assistance, and other approaches. By May 25, 2022, the Water Board shall consider adopting emergency regulations defining "non-functional turf" (that is, a definition of turf that is ornamental and not otherwise used for human recreation purposes such as school fields, sports fields, and parks) and banning irrigation of non-functional turf in the commercial, industrial, and institutional sectors except as it may be required to ensure the health of trees and other perennial non-turf plantings.
5. In order to maximize the efficient use of water and to preserve water supplies critical to human health and safety and the environment, Public Resources Code, Division 13 (commencing with section 21000) and regulations adopted pursuant to that Division are hereby suspended, with respect to the directives in paragraphs 3 and 4 of this Order and any other projects and activities for the purpose of water conservation to the extent necessary to address the impacts of the drought, and any permits necessary to carry out such projects or activities. Entities that desire to conduct activities under this suspension, other than the directives in paragraphs 3 and 4 of this Order, shall first request that the Secretary of the Natural Resources Agency make a determination that the proposed activities are eligible to be conducted under this suspension. The Secretary shall use sound discretion in applying this Executive Order to ensure that the suspension serves the purpose of accelerating conservation projects that are necessary to address impacts of the drought, while at the same time 520
protecting public health and the environment. The entities implementing these directives or conducting activities under this suspension shall maintain on their websites a list of all activities or approvals for which these provisions are suspended.
6. To support voluntary approaches to improve fish habitat that would require change petitions under Water Code section 1707 and either Water Code sections 1425 through 1432 or Water Code sections 1725 through 1732, and where the primary purpose is to improve conditions for fish, the Water Board shall expeditiously consider petitions that add a fish and wildlife beneficial use or point of diversion and place of storage to improve conditions for anadromous fish. California Code of Regulations, title 23, section 1064, subdivisions ( a) ( 1) (A) (i)-(ii) are suspended with respect to any petition that is subject to this paragraph.
7. To facilitate the hauling of water for domestic use by loca l communities and domestic water users threatened with the loss of water supply or degraded water quality resulting from drought, any ordinance, regulation, prohibition, policy, or requirement of any kind adopted by a public agency that prohibits the hauling of water out of the water's basin of origin or a public agency's jurisdiction is hereby suspended. The suspension authorized pursuant to this paragraph shall be limited to the hauling of water by truck or bottle to be used for human consumption, cooking, or sanitation in communities or residences threatened with the loss of affordable safe drinking water.
Nothing in this paragraph limits any public health or safety requirement to ensure the safety of hauled water.
8. The Water Board shall expand inspections to determine whether illegal diversions or wasteful or unreasonable use of water are occurring and bring enforcement actions against illegal diverters and those engaging in the wasteful and unreasonable use of water. When access is not granted by a property owner, the Water Board may obtain an inspection warrant pursuant to the procedures set forth in Title 13 (commencing with section 1822.50) of Part 3 of the Code of Civil Procedure for the purposes of conducting an inspection pursuant to this directive.
9. To protect health, safety, and the environment during this drought emergency, a county, city, or other public agency shall not:
a. Approve a permit for a new groundwater well or for alteration of an existing well in a basin subject to the Sustainable
Groundwater Management Act and classified as medium- or high-priority without first obtaining written verification from a Groundwater Sustainability Agency managing the basin or area of the basin where the well is proposed to be located that groundwater extraction by the proposed well would not be inconsistent with any sustainable groundwater management program established in any applicable Groundwater
Sustainability Plan adopted by that Groundwater Sustainability 521
Agency and would not decrease the likelihood of achieving a sustainability goal for the basin covered by such a plan; or b. Issue a permit for a new groundwater well or for alteration of an existing well without first determining that extraction of groundwater from the proposed well is (1) not likely to interfere with the production and functioning of existing nearby wells, and (2) not likely to cause subsidence that would adversely impact or damage nearby infrastructure.
This paragraph shall not apply to permits for wells that will provide less than two acre-feet per year of groundwater for individual domestic users, or that will exclusively provide groundwater to public water supply systems as defined in section 116275 of the Health and Safety Code.
10. To address household or small community drinking water shortages dependent upon groundwater wells that have failed due to drought conditions, the Department of Water Resources shall work with other state agencies to investigate expedited regulatory pathways to modify, repair, or reconstruct failed household or small community or public supply wells, while recognizing the need to ensure the sustainability of such wells as provided for in paragraph 9.
11. State agencies shall collaborate with tribes and federal, regiona l, and local agencies on actions related to promoting groundwater recharge and increasing storage.
12. To help advance groundwater recharge projects, and to demonstrate the feasibility of projects that can use available high water flows to recharge local groundwater while minimizing flood risks, the Water Board and Regional Water Quality Control Boards shall prioritize water right permits, water quality certifications, waste discharge requirements, and conditional waivers of waste discharge requirements to accelerate approvals for projects that enhance the ability of a local or state agency to capture high precipitation events for local storage or recharge, consistent with water right priorities and protections for fish and wildlife. For the purposes of carrying out this paragraph, Division 13 (commencing with section 21000) of the Public Resources Code and regulations adopted pursuant to that Division, and Chapter 3 ( commencing with section 85225) of Part 3 of Division 35 of the Water Code and regulations adopted pursuant thereto are hereby suspended to the extent necessary to address the impacts of the drought. This suspension applies to (a) any actions taken by state agencies, (b) any actions taken by local agencies where the state agency with primary responsibility for the implementation of the directives concurs that local action is required, and (c) permits necessary to carry out actions under (a) or (b). The entities implementing these directives shall maintain on their websites a list of all activities or approvals for which these provisions are suspended.
13. With respect to recharge projects under either Flood-Managed Aquifer Recharge or the Department of Water Resources Sustainable 522
Groundwater Management Grant Program occurring on open and working lands to replenish and store water in groundwater basins that will help mitigate groundwater conditions impacted by drought, for any (a) actions taken by state agencies, (b) actions taken by a loca l agency where the Department of Water Resources concurs that local action is required, and (c) permits necessary to carry out actions under (a) or (b), Public Resources Code, Division 13 (commencing with section 21000) and regulations adopted pursuant to that Division are hereby suspended to the extent necessary to address the impacts of the drought. The entities implementing these directives shall maintain on their websites a list of all activities or approvals for which these provisions are suspended.
14. To increase resilience of.state water supplies during prolonged drought conditions, the Department of Water Resources shall prepare for the potential creation and implementation of a multi-year transfer program pilot project for the purpose of acquiring water from willing partners and storing and conveying water to areas of need.
15. By April 15, 2022, state agencies shall submit to the Department of Finance for my consideration proposals to mitigate the worsening effects of severe drought, including emergency assistance to communities and households and others facing water shortages as a result of the drought, facilitation of groundwater recharge and wastewater recycling, improvements in water use efficiency, protection of fish and wildlife, mitigation of drought-related economic or water-supply disruption, and other potential investments to support short- and long-term drought response.
IT IS FURTHER ORDERED that as soon as hereafter possible, this Order be filed in the Office of the Secretary of State and that widespread publicity and notice be given of this Order.
This Order is not intended to, and does not, create any rights or benefits, substantive or procedural, enforceable at law or in equity, against the State of California, its agencies, departments, entities, officers, employees, or any other person.
IN WITNESS WHEREOF I have hereunto set
my hand and caused the Great Seal of the
State of California to be affixed this 28th
day of March 2022.
I I
,:, .l · I'
t (.1 I
l~~-~--
GAVIN NEWSOM
Governor of California
ATTEST:
SHIRLEY N. WEBER, PH.D.
Secretary of State
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Agenda Item
City Council
Item #: 5. 1. 5/10/2022 File #: 22-0296
TO: Honorable Mayor and Members of the City Council
FROM: Councilmember Kathy Tavoularis
1. SUBJECT
Resolution to support a temporary suspension of state gas tax. (Tavoularis)
2. SUMMARY
Resolution to support the Orange County Board of Supervisors’request to the State of California to temporarily suspend state gas tax for a period of six months.
3. RECOMMENDED ACTION
Consider adoption of Resolution No. 11393. A Resolution of the City Council of the City of Orange Requesting that the Governor Authorize a Temporary, Six-Month Suspension of the State Gas Tax.
4. ATTACHMENT
· Resolution No. 11393
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Agenda Item
City Council
Item #: 5. 1. 5/10/2022 File #: 22-0296
TO: Honorable Mayor and Members of the City Council
FROM: Councilmember Kathy Tavoularis
1. SUBJECT
Resolution to support a temporary suspension of state gas tax. (Tavoularis)
2. SUMMARY
Resolution to support the Orange County Board of Supervisors’request to the State of California to temporarily suspend state gas tax for a period of six months.
3. RECOMMENDED ACTION
Consider adoption of Resolution No. 11393. A Resolution of the City Council of the City of Orange Requesting that the Governor Authorize a Temporary, Six-Month Suspension of the State Gas Tax.
4. ATTACHMENT
· Resolution No. 11393
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RESOLUTION NO. 11393
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF ORANGE REQUESTING THAT
THE GOVERNOR AUTHORIZE A TEMPORARY,
SIX-MONTH SUSPENSION OF THE STATE GAS
TAX
WHEREAS, the American Automobile Association (AAA) calculates that the current average cost of regular gasoline in Orange County is $5.76 per gallon with .51 cents of this being contributed to the state gas tax; and
WHEREAS, the average cost of regular gasoline at this time one year ago was $3.95 per gallon; and
WHEREAS, the highest ever recorded average cost of regular gasoline in the State of California was reached on March 29th, 2022, at $6.03 per gallon; and
WHEREAS, AAA calculates the current national average cost of regular gasoline at $4.07 per gallon; therefore, Orange County residents are paying approximately $1.70 per gallon over the national average gas price which is causing a serious negative financial impact on families in the City of Orange; and
WHEREAS, the Orange County Board of Supervisors unanimously voted on March 22, 2022, to write a letter to California Governor Gavin Newsom , and copy the Orange County legislative delegation, asking for a six -month suspension of the gas tax and for the State to back fill that with the State’s budget surplus; and
WHEREAS, the Governor of California is positioned to provide an opportunity for temporary relief at the gas pump using the estimated $45.5 billion budget surplus, as highlighted in the March 28, 2022, letter sent by Orange County Board of Supervisors Chairman Doug Chaffee memorializing the Board’s unanimous vote requesting a temporary, six-month, suspension of the state gas tax; and
WHEREAS, City of Orange residents and workers who commute to and from Orange have expressed their struggles in finding ways to cover these unprecedented rising fuel costs; and
WHEREAS, along with the rising cost of gasoline, the unprecedented rise in inflation is negatively impacting the people of our City and in a region with a Census average vehicle commute time of approximately one-half hour, gas tax relief would help ensure money remains available to families to cover basic necessities such as food, housing and health care.
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2 THEREFORE, BE IT RESOLVED by the City Council of the City of Orange that:
1. The City of Orange is aligned with the Orange County Board of Supervisors in requesting a temporary, six-month suspension of the state gas tax; and
2. A signed copy of this Resolution shall be sent to the Governor Newsom and the Orange County legislative delegation.
ADOPTED this ____ day of ____________________, 2022
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ORANGE )
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
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Agenda Item
City Council
Item #: 7.1. 5/10/2022 File #: 22-0248
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Susan Galvan, Interim Community Development Director
1. SUBJECT
Consideration of a preliminary award of $780,000 of HOME Investment Partnership funds to Katella Terrace, L.P. for the Katella Terrace senior affordable housing project as part of the FY2022-2023 Action Plan.
2. SUMMARY
Preliminary Award of $780,000 of HOME Investment Partnership funds for the property at 1249 E.
Katella Avenue to Katella Terrace, L.P. for the development of a 74-unit affordable senior housing project as part of the FY2022-2023 Annual Action Plan.
3. RECOMMENDED ACTION
1. Approve the allocation of HOME funds to the Katella Terrace senior affordable housing in the FY2022-2023 Action Plan.
2. Authorize the following transfers to 317.9660.56571.20512 Rehab/Dev Loans-Katella Terrace Senior Housing:
a. Transfer $162,014.04 from 317.9660.51771.11110 Block Grant General Administration b. Transfer $442,968.70 from 317.9660.56510.11210 HOME CHDO Allocation $374,400.70 in FY2021-2022
$68,568 in FY2022-2023
c. Transfer $175,017.26 from 317.9660.56510.11250 HOME Developer Projects
3. Authorize the City Manager to execute the attached preliminary award letter of $780,000 in HOME Investment Partnership funds for the Katella Terrace senior affordable housing project and all Department of Housing and Urban Development (HUD) documents related to this commitment.
4. FISCAL IMPACT
The total expenditure for this commitment is $780,000 and will be funded in Rehab/Dev Loans - Katella Terrace Senior Housing (20512) through HOME Investment Partnerships Program (317).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community c: Support and enhance attractive, diverse living environments. e: Develop and strengthen collaborative partnerships to enhance and promote quality of life programs, projects, and services.
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Item #: 7.1. 5/10/2022 File #: 22-0248
6. DISCUSSION AND BACKGROUND
The Katella Terrace senior affordable housing project is a 74-unit residential rental project for senior lower income households. The proposed three-story project by Katella Terrace, L.P will be located at 1249 E. Katella Avenue, Orange and will feature 63 parking spaces, a community garden, outdoor patio, and dog park.
The City HOME funds to be allocated to the project total $780,000 in Community Housing Development Organization (CHDO) funds and consists of:
FY2022-2023 CHDO Entitlement $ 68,568.00
Current CHDO Funds Available 374,400.70
Prior year’s unused Administrative Entitlement Funds 162,014.14 Developer Project Funds 175,017.26
Total $780,000.00
If the CHDO FY2022-2023 entitlement is less than $68,568, the difference will be off-set by Developer Project funds. If approved, the City will incorporate the allocation of the funds to the Katella Terrace senior affordable housing project as part of the FY2022-2023 Annual Action Plan.
The Annual Action Plan is required by HUD for the use of the estimated $457,125 in annual HOME entitlement funds and outlines the City’s intention for the use of the funds The applicant will be applying for the State of California Low Income Housing Tax credits to finance the project. This preliminary award letter is a requirement of the process for Katella Terrace, L.P. to successfully receive the tax credits. Actual funding of the project with HOME funds will be contingent on the completion of an environmental review and approval by HUD. The Subsidy layering analysis, required in order to determine that the HOME funding amount is not more than what is determined necessary by HUD, has already been completed.
In addition, the following requirements must be met:
· Acquire firm commitments from all funding sources in sufficient amounts to complete the project;
· Meet all applicable requirements of the HOME Program (24 CFR Part 92); · Organize as a CHDO to act as the developer, sponsor and/or owner of the housing; · Establish a budget and schedule, with borrower certifying that construction is ready to begin within 12 months; and
· Execution City’s HOME Loan documents.
Staff recommends approving the attached draft preliminary award letter to commit $780,000 in HOME funds to the Katella Terrace senior affordable housing project and incorporate the project into the FY2022-2023 Annual Action Plan.
7. ATTACHMENTS
· Draft Preliminary Award Letter
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Agenda Item
City Council
Item #: 7.1. 5/10/2022 File #: 22-0248
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Susan Galvan, Interim Community Development Director
1. SUBJECT
Consideration of a preliminary award of $780,000 of HOME Investment Partnership funds to Katella Terrace, L.P. for the Katella Terrace senior affordable housing project as part of the FY2022-2023 Action Plan.
2. SUMMARY
Preliminary Award of $780,000 of HOME Investment Partnership funds for the property at 1249 E.
Katella Avenue to Katella Terrace, L.P. for the development of a 74-unit affordable senior housing project as part of the FY2022-2023 Annual Action Plan.
3. RECOMMENDED ACTION
1. Approve the allocation of HOME funds to the Katella Terrace senior affordable housing in the FY2022-2023 Action Plan.
2. Authorize the following transfers to 317.9660.56571.20512 Rehab/Dev Loans-Katella Terrace Senior Housing:
a. Transfer $162,014.04 from 317.9660.51771.11110 Block Grant General Administration b. Transfer $442,968.70 from 317.9660.56510.11210 HOME CHDO Allocation $374,400.70 in FY2021-2022
$68,568 in FY2022-2023
c. Transfer $175,017.26 from 317.9660.56510.11250 HOME Developer Projects
3. Authorize the City Manager to execute the attached preliminary award letter of $780,000 in HOME Investment Partnership funds for the Katella Terrace senior affordable housing project and all Department of Housing and Urban Development (HUD) documents related to this commitment.
4. FISCAL IMPACT
The total expenditure for this commitment is $780,000 and will be funded in Rehab/Dev Loans - Katella Terrace Senior Housing (20512) through HOME Investment Partnerships Program (317).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote quality of life in the community c: Support and enhance attractive, diverse living environments. e: Develop and strengthen collaborative partnerships to enhance and promote quality of life programs, projects, and services.
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Item #: 7.1. 5/10/2022 File #: 22-0248
6. DISCUSSION AND BACKGROUND
The Katella Terrace senior affordable housing project is a 74-unit residential rental project for senior lower income households. The proposed three-story project by Katella Terrace, L.P will be located at 1249 E. Katella Avenue, Orange and will feature 63 parking spaces, a community garden, outdoor patio, and dog park.
The City HOME funds to be allocated to the project total $780,000 in Community Housing Development Organization (CHDO) funds and consists of:
FY2022-2023 CHDO Entitlement $ 68,568.00
Current CHDO Funds Available 374,400.70
Prior year’s unused Administrative Entitlement Funds 162,014.14 Developer Project Funds 175,017.26
Total $780,000.00
If the CHDO FY2022-2023 entitlement is less than $68,568, the difference will be off-set by Developer Project funds. If approved, the City will incorporate the allocation of the funds to the Katella Terrace senior affordable housing project as part of the FY2022-2023 Annual Action Plan.
The Annual Action Plan is required by HUD for the use of the estimated $457,125 in annual HOME entitlement funds and outlines the City’s intention for the use of the funds The applicant will be applying for the State of California Low Income Housing Tax credits to finance the project. This preliminary award letter is a requirement of the process for Katella Terrace, L.P. to successfully receive the tax credits. Actual funding of the project with HOME funds will be contingent on the completion of an environmental review and approval by HUD. The Subsidy layering analysis, required in order to determine that the HOME funding amount is not more than what is determined necessary by HUD, has already been completed.
In addition, the following requirements must be met:
· Acquire firm commitments from all funding sources in sufficient amounts to complete the project;
· Meet all applicable requirements of the HOME Program (24 CFR Part 92); · Organize as a CHDO to act as the developer, sponsor and/or owner of the housing; · Establish a budget and schedule, with borrower certifying that construction is ready to begin within 12 months; and
· Execution City’s HOME Loan documents.
Staff recommends approving the attached draft preliminary award letter to commit $780,000 in HOME funds to the Katella Terrace senior affordable housing project and incorporate the project into the FY2022-2023 Annual Action Plan.
7. ATTACHMENTS
· Draft Preliminary Award Letter
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May 10, 2022
Orange Senior Housing, Inc.
Attn: Paul Abbondante, President
555 S. Shaffer Street
Orange, CA 92866
Re: Preliminary Award of HOME Funds to the Affordable Housing Project 1249 East Katella Avenue, Orange, California 92867
Dear Mr. Abbondante,
On May 10, 2022, the City Council of Orange approved a preliminary award of HOME Investment Partnerships Program (HOME) funds in the amount Seven Hundred Eighty Thousand ($780,000) in fiscal year 2022-2023 for a 74-unit affordable housing complex for seniors (Project) to be constructed at 1249 East Katella Avenue, Orange, California 92867. The Borrower is Katella Terrace, L.P., a California limited partnership that will include a nonprofit managing general partner that is a certified HUD Community Housing Development Organization (CHDO). The Borrower is requesting a loan in the amount of Seven Hundred Eighty Thousand Dollars ($780,000) to be committed from fiscal year 2022-2023. The funds will be reserved for the Project until May 10, 2023 for the purpose of providing gap financing for the Project.
The City must receive copies of firm commitments from all funding sources, including formal notification by the State of California for an award of low income housing tax credits on or before this date.
The HOME funds will be provided to the Borrower in the form of a non-recourse loan (HOME Loan) in the original principal amount of at least Seven Hundred Eighty Thousand Dollars ($780,000) from fiscal year 2022-2023, with interest at the greater of (a) one-quarter percent (0.25%) per annum, or (b) the Applicable Federal Rate, from the date that the loan is funded to the Borrower. The term of the HOME Loan is 60 years. HOME Loan payments will be payable exclusively from 3.25% of annual residual receipts, which will be allocated exclusively to repayment of the HOME Loan. Any other residual receipts loan to the Project will be paid from a separate portion of residual receipts as specified in the documents related to that loan.
To receive the HOME Loan funds, Borrower must execute City loan documents evidencing and securing the HOME Loan in forms to be approved by the City Manager. No more than eleven (11) of the units in the Project will be designated as HOME units and the rents on those units will be restricted in conformance with the Federal regulations governing the HOME Program (24 CFR Part 92). The HUD compliance period is 20 years. The City Council has delegated to the City Manager all City approval rights over the HOME Loan documents.
The following are required in order to receive the HOME Loan fund:
1. Firm commitments from all financing sources, including reservation of low income tax credits and allocation, of tax-exempt bonds as well as funding from the City and commitments by investors, in sufficient amounts to complete the Project;
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2. The Project must meet all applicable requirements of the HOME Program (24 CFR Part 92);
3. Completion of environmental review required under the National Environmental Policy Act and authority to use federal funds by HUD. Note that no activity may occur at the site that would adversely affect or would otherwise be choice limiting including the acquisition, demolition, construction or relocation of building or structure or otherwise making a physical change to the property (including moving dirt) until the authority to use federal funds has been provided;
4. Subsidy layering requirements have been met as defined by the U.S. Department of Housing and Urban Development (HUD);
5. A budget and schedule must be established and Borrower must certify that construction is ready to begin within 12 months; and
6. Execution of City’s HOME Loan documents.
When all funding sources are secured, the City’s Community Development Administrative Analyst will work diligently toward obtaining approval and execution of City loans by the City Manager.
If you have any questions, please call or email Jessica Herrera at (714) 744-7270 or [email protected]. Please acknowledge your consent to the foregoing terms and conditions by signing and returning a copy of this letter.
Sincerely,
Rob Houston
City Manager
Orange Senior Housing, Inc., on behalf of the Borrower, hereby acknowledges and agrees to all of the terms and conditions set forth in this letter.
By: __________________________________
Paul Abbondante, President
By: __________________________________
Katherine Connaghan, Vice President
533
Agenda Item
City Council
Item #: 7.2. 5/10/2022 File #: 22-0278
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Request for permit parking on a portion of Collins Avenue, and on sections of Palm Avenue and Park Lane. Resolution No. 11385.
2. SUMMARY
Two requests for permit parking. Permit Parking Area “X”(Area “X”)has been approved by the City Traffic Commission and is being forwarded to the City Council (continued from April 12, 2022) for final approval. In addition, a request for permit parking on Palm Avenue and Park Lane (modification to previously approved Area “W”.)
3. RECOMMENDED ACTION
1. Approve permit parking on the south side of Collins Avenue between Hart Street and 2842 E.
Collins Avenue.
2. Approve permit parking on both sides of Palm Avenue between Wayfield Street and Park Lane; and both sides of Park Lane between Palm Avenue and Dana Place.
3. Adopt Resolution No. 11385. A Resolution of the City Council of the City of Orange rescinding Resolution No. 11370 and adopting a revised master resolution of permit parking areas within the City of Orange.
4. FISCAL IMPACT
The total expenditure for the project is $1,000 and will be funded in Minor Traffic Control Devices (16302) through Traffic Improvement Measure M2 (263).
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b. Provide and maintain infrastructure necessary to ensure the safety of the public.
6. DISCUSSION AND BACKGROUND
The City’s Neighborhood Permit Parking Program (NPPP) provides a mechanism for protecting residential streets from commercial parking overflow. Under the City’sNPPP guidelines, a request for permit parking may be initiated by a resident in an affected neighborhood.
COLLINS AVENUE
Staff received such a request for permit parking on the south side of Collins Avenue between Hart City of Orange Printed on 5/5/2022Page 1 of 4
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Item #: 7.2. 5/10/2022 File #: 22-0278
Staff received such a request for permit parking on the south side of Collins Avenue between Hart Street and the easterly residence at 2842 E. Collins Avenue. This segment of Collins Avenue is just over a block in length and affects ten parking spaces.
A review of the residential streets adjoining the study area, specifically Hart Street and Barkley Avenue, were also evaluated. The results of the evaluation indicated that parking demand on these streets does not appear high enough to meet parking occupancy thresholds, even if all ten vehicles displaced from Collins Avenue were to move into the adjoining neighborhood. In addition, any displacement of vehicles is likely to distribute among various streets in a manner that would minimize impacts to any one location. Therefore, the proposed permit parking area was confined to the originally requested limits and is similar in size to several previously approved permit parking areas within the city.
Parking Occupancy
In order for permit parking to be considered, at least 75 percent of the available on-street parking in the study area must be occupied during the perceived problem times. Staff conducted a parking occupancy study, the result of which indicated that approximately 82.9 percent of the available on street parking was being used on a recurring basis. Thus, the occupancy requirement is satisfied.
Residential Support
In addition, at least 75 percent of the area residents must support the proposal. Petition forms returned to the City indicate that 88 percent of the affected property owners support permit parking, exceeding the minimum required.
Lastly, Collins Avenue satisfied all other requirements of the NPPP for permit parking consideration.
This matter was presented to the City Traffic Commission (CTC) at is February meeting, during which four speakers supported the item (none opposed.) The CTC then voted 4-0 to approve the request and forward to the City Council for final approval.
PALM AVENUE/PARK LANE
At its January regular meeting, City Council approved permit parking Area “W”,comprised of portions of Orange Grove Avenue, Madison Avenue, and Wayfield Street, all of which are located north of Walnut Avenue.
Concurrently, City Council directed staff to send petition letters to the nearby neighborhood south of Walnut Avenue (generally bounded by Wayfield Street, Palm Avenue, Highland Street, and Mt.
Vernon Avenue.) The Council also directed staff to return with a report, if and when said neighborhood or portions thereof satisfy the minimum required 75 percent support. Three petition letters were sent to facilitate maximum public participation, the results of which are delineated below. · Wayfield Street between Palm Avenue and Walnut Avenue; 64% · Wayfield Circle south of Palm Avenue; 50%
· 200 N. Block of Park Lane; 78%
· 300 N. Block of Park Lane; 50%
· Highland Street between south terminus and Sycamore Avenue; 25% City of Orange Printed on 5/5/2022Page 2 of 4
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Item #: 7.2. 5/10/2022 File #: 22-0278
· Mount Vernon Avenue between Wayfield Street and Le May Court; 60% · Martha Avenue east of Park Lane; 50%
· Sycamore Avenue between Wayfield and Highland streets; 50% · Palm Avenue between Wayfield Street and Park Lane; 83% Because the overall neighborhood received 54 percent support (64 of 119 homes) for permit parking, staff did not recommend implementation of permit parking across the entire area. However, two street segments contained within did individually meet or exceed the 75% percent threshold and as such we are recommending implementation of permit parking for these segments:
· Palm Avenue between Wayfield Street and Park Lane; and · 200 North Block of Park Lane.
SUMMARY
Based on the above, staff recommends approving permit parking on the south side of Collins Avenue between Hart Street and 2842 E. Collins Ave. This would be designated as Area “X”,which would stand alone as a permit parking area.
In addition, staff also recommends adding the following streets to the previously-approved permit parking Area “W”: both sides of Palm Avenue between Wayfield Street and Park Lane; and both sides of Park Lane between Palm Avenue and Dana Place.
Residents within potential impact areas were notified of this agenda item. Supplemental notifications (not attached) have also been sent, clarifying that the meeting begins at 6PM, rather than 5:30PM as previously stated.
If approved for implementation, the Orange Police Department will issue the permits for eligible households. While participation in the permit program is voluntary, any vehicle parked on the street without a permit would be subject to citation.
7. ATTACHMENTS
· Resolution No. 11385
· Area Map for Permit Area “X”
· February 9, 2022 CTC Staff Report
· February 9, 2022 CTC Minutes
· Notification Letter Area “X”
· Area Map for Permit Area “W” extension
· Notification Letter Area “W” extension
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Item #: 7.2. 5/10/2022 File #: 22-0278
City of Orange Printed on 5/5/2022Page 4 of 4
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Agenda Item
City Council
Item #: 7.2. 5/10/2022 File #: 22-0278
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Request for permit parking on a portion of Collins Avenue, and on sections of Palm Avenue and Park Lane. Resolution No. 11385.
2. SUMMARY
Two requests for permit parking. Permit Parking Area “X”(Area “X”)has been approved by the City Traffic Commission and is being forwarded to the City Council (continued from April 12, 2022) for final approval. In addition, a request for permit parking on Palm Avenue and Park Lane (modification to previously approved Area “W”.)
3. RECOMMENDED ACTION
1. Approve permit parking on the south side of Collins Avenue between Hart Street and 2842 E.
Collins Avenue.
2. Approve permit parking on both sides of Palm Avenue between Wayfield Street and Park Lane; and both sides of Park Lane between Palm Avenue and Dana Place.
3. Adopt Resolution No. 11385. A Resolution of the City Council of the City of Orange rescinding Resolution No. 11370 and adopting a revised master resolution of permit parking areas within the City of Orange.
4. FISCAL IMPACT
The total expenditure for the project is $1,000 and will be funded in Minor Traffic Control Devices (16302) through Traffic Improvement Measure M2 (263).
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b. Provide and maintain infrastructure necessary to ensure the safety of the public.
6. DISCUSSION AND BACKGROUND
The City’s Neighborhood Permit Parking Program (NPPP) provides a mechanism for protecting residential streets from commercial parking overflow. Under the City’sNPPP guidelines, a request for permit parking may be initiated by a resident in an affected neighborhood.
COLLINS AVENUE
Staff received such a request for permit parking on the south side of Collins Avenue between Hart City of Orange Printed on 5/5/2022Page 1 of 4
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538
Item #: 7.2. 5/10/2022 File #: 22-0278
Staff received such a request for permit parking on the south side of Collins Avenue between Hart Street and the easterly residence at 2842 E. Collins Avenue. This segment of Collins Avenue is just over a block in length and affects ten parking spaces.
A review of the residential streets adjoining the study area, specifically Hart Street and Barkley Avenue, were also evaluated. The results of the evaluation indicated that parking demand on these streets does not appear high enough to meet parking occupancy thresholds, even if all ten vehicles displaced from Collins Avenue were to move into the adjoining neighborhood. In addition, any displacement of vehicles is likely to distribute among various streets in a manner that would minimize impacts to any one location. Therefore, the proposed permit parking area was confined to the originally requested limits and is similar in size to several previously approved permit parking areas within the city.
Parking Occupancy
In order for permit parking to be considered, at least 75 percent of the available on-street parking in the study area must be occupied during the perceived problem times. Staff conducted a parking occupancy study, the result of which indicated that approximately 82.9 percent of the available on street parking was being used on a recurring basis. Thus, the occupancy requirement is satisfied.
Residential Support
In addition, at least 75 percent of the area residents must support the proposal. Petition forms returned to the City indicate that 88 percent of the affected property owners support permit parking, exceeding the minimum required.
Lastly, Collins Avenue satisfied all other requirements of the NPPP for permit parking consideration.
This matter was presented to the City Traffic Commission (CTC) at is February meeting, during which four speakers supported the item (none opposed.) The CTC then voted 4-0 to approve the request and forward to the City Council for final approval.
PALM AVENUE/PARK LANE
At its January regular meeting, City Council approved permit parking Area “W”,comprised of portions of Orange Grove Avenue, Madison Avenue, and Wayfield Street, all of which are located north of Walnut Avenue.
Concurrently, City Council directed staff to send petition letters to the nearby neighborhood south of Walnut Avenue (generally bounded by Wayfield Street, Palm Avenue, Highland Street, and Mt.
Vernon Avenue.) The Council also directed staff to return with a report, if and when said neighborhood or portions thereof satisfy the minimum required 75 percent support. Three petition letters were sent to facilitate maximum public participation, the results of which are delineated below. · Wayfield Street between Palm Avenue and Walnut Avenue; 64% · Wayfield Circle south of Palm Avenue; 50%
· 200 N. Block of Park Lane; 78%
· 300 N. Block of Park Lane; 50%
· Highland Street between south terminus and Sycamore Avenue; 25% City of Orange Printed on 5/5/2022Page 2 of 4
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Item #: 7.2. 5/10/2022 File #: 22-0278
· Mount Vernon Avenue between Wayfield Street and Le May Court; 60% · Martha Avenue east of Park Lane; 50%
· Sycamore Avenue between Wayfield and Highland streets; 50% · Palm Avenue between Wayfield Street and Park Lane; 83% Because the overall neighborhood received 54 percent support (64 of 119 homes) for permit parking, staff did not recommend implementation of permit parking across the entire area. However, two street segments contained within did individually meet or exceed the 75% percent threshold and as such we are recommending implementation of permit parking for these segments:
· Palm Avenue between Wayfield Street and Park Lane; and · 200 North Block of Park Lane.
SUMMARY
Based on the above, staff recommends approving permit parking on the south side of Collins Avenue between Hart Street and 2842 E. Collins Ave. This would be designated as Area “X”,which would stand alone as a permit parking area.
In addition, staff also recommends adding the following streets to the previously-approved permit parking Area “W”: both sides of Palm Avenue between Wayfield Street and Park Lane; and both sides of Park Lane between Palm Avenue and Dana Place.
Residents within potential impact areas were notified of this agenda item. Supplemental notifications (not attached) have also been sent, clarifying that the meeting begins at 6PM, rather than 5:30PM as previously stated.
If approved for implementation, the Orange Police Department will issue the permits for eligible households. While participation in the permit program is voluntary, any vehicle parked on the street without a permit would be subject to citation.
7. ATTACHMENTS
· Resolution No. 11385
· Area Map for Permit Area “X”
· February 9, 2022 CTC Staff Report
· February 9, 2022 CTC Minutes
· Notification Letter Area “X”
· Area Map for Permit Area “W” extension
· Notification Letter Area “W” extension
City of Orange Printed on 5/5/2022Page 3 of 4
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Item #: 7.2. 5/10/2022 File #: 22-0278
City of Orange Printed on 5/5/2022Page 4 of 4
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RESOLUTION NO. 11385
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE RESCINDING RESOLU TION
NO. 11370 AND ADOPTING A REVISED MASTER
RESOLUTION OF PERMIT PARKING AREAS
WITHIN THE CITY OF ORANGE.
WHEREAS, Chapter 10.30 of the Orange Municipal Code authorizes the City Council of the City of Orange to add or remove designated areas to the Neighborhood Permit Parking Program by resolution; and
WHEREAS, the creation of a master resolution which contains all the permit parking areas will compile all areas into a single document and eliminate the need to revise the Orange Municipal Code every time an area is added or deleted from the Neighborhood Permit Parking Program; and
WHEREAS, the rescission of Resolution No. 11370 is necessary to add Parking Permit Area “X” to the Master Resolution of Permit Parking Areas within the City of Orange.
NOW, THEREFORE, BE IT RESOLVED , by the City Council of the City of Orange as follows:
SECTION I:
That Res olution No. 11370 , adopted January 11, 2022 , is hereby rescinded, effective immediately upon the date of the adoption of Resolution No. 11385.
SECTION II:
That the following streets be added to permit parking program Area “W”:
Both sides of Park Lane from Palm Avenue to Dana Place
Both sides of Palm Avenue from Wayfield Street to Park Lane.
SECTION III:
That the following street be added to new permit parking program Area “X”:
South side of Collins Avenue from Hart Street to 2842 E. Collins Avenue.
SECTION IV:
That the Master Resolution of Permit Parking Areas for the Neighborhood Permit Parking program attached hereto as Exhibit “A” is hereby adopted. 542
2 ADOPTED this ____ day of ____________________ 2022.
Mark A. Murphy, Mayor, City of Orange
ATTEST:
Pamela Coleman, City Clerk, City of Orange
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ORANGE )
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the day of , 2022 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
Pamela Coleman, City Clerk, City of Orange
543
Exhibit A