RESOLUTION NO. R-2024-04
RESOLUTION OF INTENTION OF THE CITY COUNCIL OF
THE CITY OF PLACENTIA TO ESTABLISH COMMUNITY
FACILITIES DISTRICT NO. 2024-01 (OLD TOWN
MAINTENANCE SERVICES) OF THE CITY OF PLACENTIA
AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX
WITHIN COMMUNITY FACILITIES DISTRICT NO. 2024-01
(OLD TOWN MAINTENANCE SERVICES) OF THE CITY OF
PLACENTIA
A. Recitals.
(i). The City Council ("Council") of the City of Placentia ("City") has received a petition ("Petition") requesting the institution of proceedings for the formation of a community facilities district pursuant to the Mello -Roos Community Facilities Act of 1982, as amended, commencing with § 53311 of the California Government ("Act"). (ii). The Council has determined that the Petition complies with the requirements of California Government Code § 53318 and now intends to form Community Facilities District No. 2024-01 of the City of Placentia. (iii). The Council desires to adopt this resolution of intention as provided in § 53321 of the Act to establish a community facilities district consisting of the territory described in Exhibit "A" hereto and incorporated herein by this reference, which the Council hereby determines shall be known as "Community Facilities District No. 2024- 01 (Old Town Maintenance Services) of the City of Placentia" ("Community Facilities District No. 2024-01" or "District") pursuant to the Act to finance (1) the public services described in Exhibit "B" hereto and incorporated herein by this reference ("Services"); and (2) the incidental expenses to be incurred in connection with financing the Services and forming and administering the District ("Incidental Expenses"). (iv). It is the intention of the Council to consider financing the Services and the Incidental Expenses through the formation of Community Facilities District No. 2024- 01 and the levy of a special tax therein to pay for the Services and the Incidental Expenses, provided that the special tax levies are approved at an election to be held within the District.
B. Resolution.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
1. In all respects as set forth in the Recitals, Part A., of this Resolution.
2. A Community Facilities District is proposed to be established under the terms of the Act. It is further proposed that the boundaries of the community facilities district shall be as described in Exhibit "A" hereto, which boundaries shall, upon recordation of the boundary map for the District, include the entirety of any parcel subject to taxation by the District. The proposed boundaries of the District are depicted on the map of the proposed Community Facilities District No. 2024-01 which is on file in the office of the City Clerk entitled "Proposed Boundaries, Community Facilities District No. 2024-01 of the City of Placentia" which map indicates by a boundary line the extent of the territory included in the proposed community facilities district and shall govern for all details as to the extent of Community Facilities District No. 2024-01. On the original and one (1) copy of the map of said Community Facilities District No. 2024-01 on file in the City Clerk's office, the City Clerk shall endorse the certificate evidencing the date and adoption of this resolution. The City Clerk shall file the original of such map in his office and, within fifteen (15) days after the adoption of this Resolution, and shall file a copy of such map so endorsed in the records of the County Recorder, County of Orange, State of California, all as required by § 3111 of the California Streets and Highways Code.
3. The name of the proposed City of Placentia Community Facilities District shall be "Community Facilities District No. 2024-01 (Old Town Maintenance Services) of the City of Placentia."
4. The Services proposed to be provided and financed by Community Facilities District No. 2024-01 are described on Exhibit "B" attached hereto. The cost of providing the Services includes "Incidental Expenses," which include expenses to be incurred in connection with the determination of the amount of the levy of the special tax, the collection of the special tax including the expenses of collecting delinquencies, the payment of salaries and benefits of any City employee whose duties are directly related to the administration of the District, and costs otherwise incurred in order to carry out the authorized purposes of the District. The Council hereby finds and determines that the description of the Services herein is sufficiently informative to allow taxpayers within the proposed District to understand what the funds may be used to finance. The City Council hereby finds that the proposed Services are necessary to meet increased demands placed upon the City as a result of development occurring in Community Facilities District No. 2024-01.
5. Except where funds are otherwise available, it is the intention of the City Council to levy annually in accordance with procedures contained in the Act a special tax within the District, secured by recordation of a continuing lien against all nonexempt real property in the District, sufficient to pay for the Services and Incidental Expenses.
The rate and method of apportionment and manner of collection of the special tax within the District is described in detail in Exhibit "C" attached hereto and incorporated herein by this reference. Exhibit "C" allows each landowner within the District to estimate the maximum amount that may be levied against each parcel. In the first year in which such special tax is levied, the levy shall include an amount sufficient to repay the District all amounts, if any, transferred to the District pursuant to § 53314 of the Act and interest thereon.
6. If special taxes of the District are levied against any parcel used for private residential purposes, (i) the maximum special tax rate shall not be increased over time except that it may be increased by an amount not to exceed the greater of five percent (5%) or the annual percentage increase, if any, of the All Urban Consumers Consumer Price Index ("CPI"). The annual CPI used shall be for the area of Los Angeles — Long Beach — Anaheim, CA as determined by the Bureau of Labor Statistics for the twelve (12) months ending the preceding December 31 to the extent permitted in the rate and method of apportionment; (ii) such tax shall be levied for a period not to exceed fifty (50) years commencing with Fiscal Year 2023-24, as further described in Exhibit "C" hereto; and (iii) under no circumstances will such special tax be increased as a consequence of delinquency or default by the owner of any other parcels within the District by more than ten percent (10%).
7. The special tax within the proposed District is based on the expected demand that each parcel of real property within the proposed District will place on the Services and on the benefit that each parcel derives from the Services. The City Council hereby determines that the proposed Services are necessary to meet the increased demand placed upon the City as a result of the revitalization of public infrastructure proposed for inclusion in the District. The City Council hereby determines the rate and method of apportionment of the special tax set forth in Exhibit "C" for the District to be reasonable.
The special tax is apportioned to each parcel on the foregoing basis pursuant to § 53325.3 of the Act and such special tax is not based upon the value or ownership of real property. In the event that a portion of the property within Community Facilities District No. 2024-01 shall become for any reason exempt, wholly or partially, from the levy of the special tax specified on Exhibit "C", the City Council shall, on behalf of Community Facilities District No. 2024-01, cause the levy to be increased, subject to the limitation of the maximum special tax for a parcel as set forth in Exhibit "C," to the extent necessary upon the remaining property within the District which is not delinquent or exempt in order to yield the special tax revenues required for the purposes described in § 5, above. The obligation to pay special taxes may be prepaid as set forth in Exhibit if C H
8. A public hearing (the "Hearing") on the establishment of Community Facilities District No. 2024-01, the proposed rate and method of apportionment of the special tax and the Incidental Expenses shall be held on March 5, 2024, at 7:00 o'clock p.m., or as soon thereafter as the matter may be heard, at the chambers of the City Council of the City of Placentia, 401 E. Chapman Avenue, Placentia, California 92870-6101. Should the City Council determine to form the District, a special election will be held within the District to authorize the levy of the special tax in accordance with the procedures contained in California Government Code § 53326. If held, the proposed voting procedure at the elections will be a landowner vote with each landowner who is the owner of record of land within the District at the close of the Hearing, or the authorized representative thereof, having one vote for each acre or portion thereof owned within the District. Ballots for the special elections may be distributed by mail or by personal service.
9. At the time and place set forth above for the Hearing, any interested person, including all persons owning lands or registered to vote within the proposed District, may appear and be heard.
10. Each City officer who is or will be responsible for providing one or more of the proposed types of Services to be financed by Community Facilities District No. 2024-01, if it is established, hereby is directed to study the proposed community facilities district and, at or before the time of the above-mentioned Hearing, file a report ("Report") with the City Council, which is to be made a part of the record of the Hearing, containing a brief description of the Services that will in his or her opinion be required to adequately meet the needs of Community Facilities District No. 2024-01 and an estimate of the cost of providing those Services, including an estimate of the fair and reasonable cost of any Incidental Expenses to be incurred.
11. The City may accept advances of funds or work -in-kind from any sources, including, but not limited to, private persons or private entities, for any authorized purpose, including, but not limited to, paying the cost incurred in creating Community Facilities District No. 2024-01. The District may enter into an agreement with the person or entity advancing the funds or work -in-kind, to repay all or a portion of the funds advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work -in-kind, as determined by the City Council, with or without interest.
12. The City Clerk is hereby directed to publish a notice ("Notice") of the Hearing pursuant to California Government Code § 6061 in a newspaper of general circulation published in the area of the proposed District. Such Notice shall contain the text of this Resolution, state the time and place of the Hearing, a statement that the testimony of all interested persons or taxpayers will be heard, a description of the protest rights of the registered voters and landowners in the proposed District as provided in § 53324 of the Act and a description of the proposed voting procedure for the election required by the Act. Such publication shall be completed at least seven (7) days prior to the date of the Hearing.
13. The Mayor shall sign this Resolution, and the City Clerk shall attest and certify to the passage and adoption thereof.
APPROVED and ADOPTED this 23rd day of January, 2024.
JEREMY YAMAGUCHI, MAYOR
ATTEST:
ROBERT S. MCKINNELL, CITY CLERK
I, ROBERT S. MCKINNELL, CITY CLERK of the CITY OF PLACENTIA DO HEREBY CERTIFY that the foregoing Resolution No. was adopted at a regular meeting of the City Council held on the 23rd day of January 2024 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ROBERT S. MCKINNELL, CITY CLERK
APPROVED AS TO FORM:
CHRISTIAN BETTENHAUSEN, CITY ATTORNEY
SHEET 1 OF 2
Asse Fact. Parcels In the City o1 Placentia
Community Facilities Dimino' No. 2023-1
Mk' Town Mekasoance Serricesk
339-052-27
Prw.rm, by CTA
PROPOSED BOUNDARIES OF
CITY OF PLACENTIA
COMMUNITY FACILITIES DISTRICT NO. 2024-1
(OLD TOWN MAINTENANCE SERVICES)
CITY OF PLACENTIA, COUNTY OF ORANGE
STATE OF CALIFORNIA
Assessor Par s1s
Community Facilities
339.052.14
339-052-15
339-052-16
339.052.17
339-052-18
339-052-19
339-052-20
339.052.21
339-052-24
339-052-26
339-052-27
339.052.28
339-052-29
339-061-01
339-061-02
339-061-03
339-061-04
339.061-05
339-061-06
339-061-07
339-061-08
339.061-09
339.061.10
339-061.11
339.061.12
339-061-13
339.061.14
339.061.15
339.061.16
339-061-17
339.35542
339-355-03
339.355-04
339-355-05
339-355-06
339-35547
n the Future Annexation Area of City of Place rifle
District No. 2W3-1 LOd Town Nlai-oanance Seryrcesl'
335-355-08 335-365-04 339-392-04
339-355-99 339-365-05
339-355-10 339-365-09
339-355.11 339-365-07
339-355-12
339-355-13
339-355-14
339-355.15
339-355-16
339-355-17
339-355.18
335-355-19
339-355-20
339-355-22
339-362-05
335-362-06
339-363-09
339-363-10
330-363-11
339-363-12
339-363-13
339-363-16
339-363.17
339-363-18
339-363-19
339-363-29
335-364-10
339-364-11
339-364-12
339-384-13
333-36414
339-364.15
339-364-16
339-365-01
339-365-02
339-365-03
339-365-09
339365.09
339-365-13
339-365.15
339-365-15
339365-17
339365.10
335365-19
339455-23
339365-21
339365-22
339-365-23
339-365-25
339-365-25
339355.27
339-391-01
339391-02
339-391-03
339391-04
339-391-05
339-391-013
339-391-09
339391-13
339-391-11
359-391-12
339-391-13
339-3391-14
339-391-15
339-391-15
339-392-01
339-392-02
339-392-03
339392-05
339392-06
339-392-07
339-392-05
339392-09
339392-10
339392-11
339492-12
339392-13
339-392-14
339392-15
339-092-16
339392-17
339-392-18
339392-19
339492-20
339-392-21
339-392-22
339393-01
339-393-02
339-393-03
33939344
33939345
339393-06
339-39347
339393-08
33949349
339393-10
339-394-01
339394-02
339-39443
339494-04
339-394-05
339-394416
339-394-07
(1J Filed in the office of the City Clerk of the City of Placentia tie _ day of 2024.
(21
City Clerk,
City of Placentia
I hereby cerlity taillike within map showing the proposed boundaries of City of Placentia Community FacIlltles
District No. 2029-1 (Old Town Maintenance Services), City of Placentia, County of Orange, State of California, was approved by the City Cauncll of the City of PIeaenlia at a regular meeting thereof, held on the day of
2024, by ItsResolutlon No- -
City C erk.
City of Placentia
(3) Filed this day of , 2024, at the hour of
_ o'clock _ m, 9, Book _ of Maps of
Assessment and Community Facilities Districts at Page
and as Instrument No-
, in the office of the County
Retarder Mine Courty of Orange, State of California, at the request of the City of Placentia.
Hugh Nguyen
Clel-Recorder, County of Orange
By
Deputy Recorder
Fee
Exempt Recording Requested, aer CA Government Code §27393 0 Q
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SHEET 2 OF 2
PROPOSED BOUNDARIES OF
CITY OF PLACENTIA
COMMUNITY FACILITIES DISTRICT NO. 2024-1
(OLD TOWN MAINTENANCE SERVICES)
CITY OF PLACENTIA, COUNTY OF ORANGE
STATE OF CALIFORNIA
.
woo
SACKS LANE
Reference is hereby made to the Assessor maps
of the Ccunty of Orange for a description of the
lines and dimensions Of these parcels.
LEGEND
Proposed Boundaries of City of Placentia
community Facilities District 2023-1 (Old
Town Maintenance Services)
Future Annexation Area
Prepared by DTA
EXHIBIT B
DESCRIPTION OF SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2024-1, as provided by Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing and/or replacing landscaped areas (and may include reserves for replacement) in public street rights-of-way, utility repairs, public infrastructure/fixtures, street maintenance, signage, public landscaping, public open spaces and other similar landscaped areas officially dedicated for public use within the boundaries of CFD No. 2024-1. These services include the following:
a) Maintenance and lighting of parkways, streets, roads, public parking lots and open space, which maintenance and lighting services may include, without limitation, furnishing of electrical power to streetlights; repair and replacement of damaged or inoperative light bulbs, fixtures and standards; and b) Maintenance (including irrigation and replacement) of landscaping vegetation and trees situated on or adjacent to parkways, streets, roads, public parking lots and open space. Maintenance and repair of irrigation facilities; planting, replanting, mowing, trimming, irrigation and fertilization of grass, trees, shrubs, and other plants and vegetation; and
c) Maintenance and replacement of public signage and wayfinding signage, directional signage; and
d) Graffiti removal from and maintenance and repair of public structures situated on parkways, streets, roads, public parking lots and open space; and e) Furnishing, maintenance, repair or replacement of equipment, apparatuses, fixtures or facilities situated in areas within the boundaries of CFD No. 2024-1; and f) Maintenance and operation of water quality improvements which include storm drainage and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts and similar facilities. Maintenance services may include, but are not limited to, the repair, removal or replacement of all or part of any of the water quality improvements within the public right-of-way; clearing of inlets and outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance; and
Public street sweeping and refuse services on the segments of the arterials within the boundaries of CFD No. 2024-1.
g)
In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may be expended to pay "Administrative Expenses," as said term is defined in the Rate and Method of Apportionment. The above services shall be limited to those provided within the boundaries of CFD No. 2024-1 or for the benefit of the properties within the boundaries of CFD No. 2024-1, as the boundary is expanded from time to time by anticipated annexations, and said services may be financed by proceeds of the special tax of CFD No. 2024-1. This includes paying the salaries and benefits of personnel necessary or convenient to provide the services; payment of insurance costs and other
related expenses; and the provision of reserves for repairs, replacements, and for the future provision of services. It is expected that the services will be provided by the District, either with its own employees or by contract with third parties, or any combination thereof.
EXHIBIT C
Rate and Method of Apportionment
RATE AND METHOD OF APPORTIONMENT FOR
CITY OF PLACENTIA
COMMUNITY FACILITIES DISTRICT NO. 2024-1
(OLD TOWN MAINTENANCE SERVICES)
A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels in City of Placentia Community Facilities District No. 2024-1 ("CFD No. 2024-1") and collected each Fiscal Year commencing in Fiscal Year 2023-2024, in an amount determined by the City Council of the City of Placentia through the application of the Rate and Method of Apportionment as described below. All of the real property in CFD No. 2024- 1, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Acre" or "Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other recorded County parcel map. "Act" means the Mello -Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2024-1: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County or otherwise); the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2024-1 or any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees and third party expenses.
Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2024-1 for any other administrative purposes of CFD No. 2024-1. "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's parcel number.
"Assessor's Parcel Map" means an official map of the Assessor of the County designating parcels by Assessor's parcel number.
"CFD Administrator" means an official of the City, or designee thereof, responsible for determining and providing for the levy and collection of the Special Tax.
"CFD No. 2024-1" means the City of Placentia Community Facilities District No. 2024-1 (Old Town Maintenance Services).
"City" means the City of Placentia.
"Consumer Price Index" means, for each Fiscal Year, the Consumer Price Index published by the U.S. Bureau of Labor Statistics for All Urban Consumers in the Los Angeles -Long Beach -Anaheim region, measured as of the month of December in the calendar year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Consumer Price Index shall be another index as determined by the CFD Administrator that is reasonably comparable to the Consumer Price Index for the Los Angeles -Long Beach -Anaheim region. "Council" means the City Council of the City.
"County" means the County of Orange, California.
"Developed Property" means, for each Fiscal Year, all Taxable Property, excluding Existing Building/Structure Property, for which a building permit was issued after March 1, 2023 and prior to March 1 of the previous Fiscal Year for construction of a new building/structure.
"Existing Building/Structure Property" means, for each Fiscal Year, all Taxable Property, for which a building or structure existed on such property prior to March 1, 2023. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Hotel/Motel Property" means, for each Fiscal Year, all Assessor's Parcels of Non -Residential Property for which a building permit has been issued for building a non-residential structure that constitutes a place of lodging providing sleeping accommodations and related facilities for travelers. Such related facilities may include, but are not limited to, on-site restaurants, retail establishments, conference rooms/areas, etc.
"Hotel/Motel Rooms" means, for each Assessor's Parcel of Hotel/Motel Property, the number of hotel/motel rooms available for rent for the purpose of overnight lodging, as indicated on the building permit issued by the City. If such room data is not included on the building permit for an Assessor's Parcel of Hotel/Motel Property, then the CFD Administrator shall rely on the site plan or other reasonable data sources as determined by the CFD Administrator. "Industrial Property" means, for each Fiscal Year, all Assessor's Parcels of Non -Residential Property for which a building permit(s) was issued for construction of a non-residential structure(s) which is primarily used for: manufacturing, procession, fabricating, assembly, refining, repairing, packaging, or treatment of goods, material or produce; research and development; and/or warehousing and wholesale distribution of goods, material, or produce. "Maximum Special Tax" means the Maximum Special Tax, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property within CFD No. 2024-1.
"Multi -Family Residential Property" means any Assessor's Parcel of Residential Property for which one or more building permits have been issued for attached residential units, all of which are made available for rental, but not purchase, by the general public. "Non -Residential Floor Area" means, for Non -Residential Property, the total square footage of enclosed area within the perimeter of a non-residential structure located on such property, not including any space devoted to vehicle parking, walkway, overhang, patio, and areas incident thereto for which a building permit for new construction was issued after March 1, 2023 and prior to March 1 of the previous Fiscal Year. The determination of Non -Residential Floor Area shall be made by reference to the building permit(s) issued for such Assessor's Parcel, or if square footage is not available from this source, as otherwise determined by the CFD Administrator. "Non -Residential Property" means, for each Fiscal Year, all Developed Property for which a building permit(s) was issued for the construction of a new building/structure with a non- residential use.
"Non -Retail Commercial Property" means all Assessor's Parcels of Non -Residential Property not considered (i) Hotel/Motel Property, (ii) Industrial Property, (iii) Retail Commercial Property, or (iv) Office Property.
"Office Property" means, for each Fiscal Year, all Assessor's Parcels of Non -Residential Property for which a building permit(s) was issued for construction of a non-residential structure(s) which is primarily used for: general, professional, and/or medical office space. "Parcel Square Foot" or "Parcel Square Footage" means the land area, or Acreage multiplied by 43,560, of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other recorded County parcel map.
"Parking Lot Property" means, for each Fiscal Year, Assessor's Parcels 339-394-06 and 339-394-07 as designated on the Assessor's Parcel Map at the time of formation of CFD No. 3-1 and any other Assessor's Parcel that is not Public Property and for which a building permit has been issued for the construction of, or on which is located a garage, parking lot, or parking structure, as of March 1 of the prior Fiscal Year, and on which is located no other Developed Property, as determined by the CFD Administrator. "Property Owner Association Property" means, for each Fiscal Year, any Assessor's Parcel within the boundaries of CFD No. 2024-1 that was owned by a property owner association, including any master or sub -association, as of March 1 of the prior Fiscal Year. "Proportionately" means, for Developed Property, Rehab/Remodel Property, and Parking Lot Property that the ratio of the actual Special Tax levy to the Maximum Special Tax is equal for all Developed Property, Rehab/Remodel Property, and Parking Lot Property. "Public Property" means, for each Fiscal Year, any property within the boundaries of CFD No. 2024-1 that is (i) used for rights-of-way or any other purpose and is owned by or irrevocably
offered for dedication to the federal government, the State of California, the County, the City or any other public agency as of March 1 of the prior Fiscal Year or (ii) encumbered by an unmanned utility easement making impractical its utilization for other than the purpose set forth in the easement as of March 1 of the prior Fiscal Year, provided however that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use.
"Rehab/Remodel Property" means all Assessor's Parcels of Existing Building/Structure Property for which a building permit with a construction valuation greater than $25,000, as determined by the CFD Administrator, was issued after March 1, 2023 and prior to March 1 of the previous Fiscal Year to rehabilitate or remodel Existing Building/Structure Property. "Residential Property" means all Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Retail Commercial Property" means all Assessor's Parcels of Non -Residential Property for which the building permit was issued for a retail sales tax generating use or which is being used primarily for a retail sales tax generating use, as determined by the CFD Administrator, and not considered (i) Hotel/Motel Property, (ii) Industrial Property, or (iii) Office Property. "Single Family Residential Property" means any Assessor's Parcel of Residential Property not considered Multi -Family Residential Property.
"Special Tax" means the special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement for Services. "Special Tax Requirement for Services" means that amount required in any Fiscal Year to: (i) pay directly for annual maintenance services that are authorized to be financed by CFD No. 2024-1; (ii) pay Administrative Expenses; less (iii) a credit for funds available to reduce the annual Special Tax levy, as determined by the CFD Administrator.
"State" means the State of California.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2024-1 which are not exempt from the Special Tax pursuant to law or Section E below. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property, Rehab/Remodel Property, Parking Lot Property, Taxable Property Owner Association Property or Taxable Public Property.
"Welfare Exemption" means, for each Fiscal Year, any Assessor's Parcel that is used exclusively for charitable, hospital, or religious purposes and that has a property tax welfare exemption as indicated in the County's assessor's roll finalized as of the last preceding January 1.
B. ASSIGNMENT TO LAND USE CATEGORIES
Each Fiscal Year, all Taxable Property within CFD No. 2024-1 shall be classified as Developed Property, Rehab/Remodel Property, Parking Lot Property, or Undeveloped Property and shall be
subject to Special Taxes in accordance with the rate and method of apportionment determined pursuant to Sections C and D below.
Developed Property shall be further classified as Residential Property or Non -Residential Property. For Residential Property, the Special Tax will be based on the number of dwelling units as indicated on the building permit. For Non -Residential Property, the Special Tax will be based on the Non -Residential Floor Area or number of Hotel/Motel Rooms. For Rehab/Remodel Property and Parking Lot Property, the Special Tax will be based on the Parcel Square Footage.
C. MAXIMUM SPECIAL TAX
1. Developed Property, Rehab/Remodel Property, and Parking Lot Property a. Maximum Special Tax
The Maximum Special Tax for Fiscal Year 2023-2024 for each Land Use Class is shown below in Table 1.
TABLE 1
Maximum Special Tax for Developed Property, Rehab/Remodel Property, and Parking Lot Property
For Fiscal Year 2023-2024
Land
Use
Class
Description
Maximum Special Tax
1. Single Family Residential Property
2 Multi -Family Residential Property
3 Non -Retail Commercial Property
4 Retail Commercial Property
5 Office Property
6 Industrial Property
7 Hotel/Motel Property
8 Rehab/Remodel Property
9 Parking Lot Property
$318.00 per dwelling unit
$293.00 per dwelling unit
$0.2996 per square foot of Non -Residential Floor Area
$0.2074 per square foot of Non -Residential Floor Area
$0.2996 per square foot of Non -Residential Floor Area
$0.2996 per square foot of Non -Residential Floor Area
$230.00 per Hotel/Motel Room
$0.0765 per Parcel Square Foot
$0.0665 per Parcel Square Foot
b. Increase in the Maximum Special Tax
On each July 1, commencing on July 1, 2024, the Maximum Special Tax for Developed Property, Rehab/Remodel Property, and Parking Lot Property shall be increased based on the percentage change in the Consumer Price Index with a maximum annual increase of six percent (6%) and a minimum annual increase of two percent (2%) per Fiscal Year.
c. Multiple Land Use Classes
In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Class. The Maximum Special Tax for such Assessor's Parcel shall be the sum of the Maximum Special Tax for all Land Use Classes located on that Assessor's Parcel. The CFD Administrator's allocation to each type of property shall be final.
2. Undeveloped Property and Existing Building/Structure Property The Special Tax shall not be levied on Undeveloped Property and Existing Building/Structure Property not classified as Rehab/Remodel Property or Parking Lot Property.
D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2023-2024 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement for Services and shall levy the Special Tax until the total Special Tax levy equals the Special Tax Requirement for Services. The Special Tax shall be levied each Fiscal Year as follows:
The Special Tax shall be levied Proportionately on each Assessor's Parcel of Developed Property, Rehab/Remodel Property, and Parking Lot Property at up to 100% of the Maximum Special Tax.
E. EXEMPTIONS
No Special Tax shall be levied on Public Property, Property Owner Association Property, or any Assessor's Parcel that has a Welfare Exemption. However, should an Assessor's Parcel no longer be classified as Public Property, Property Owner Association Property, or have a Welfare Exemption, its tax-exempt status will, without the necessity of any action by the Council, terminate.
F. PREPAYMENT OF SPECIAL TAX
Prepayment of the Special Tax is not authorized.
G. APPEALS/INTERPRETATION
Any landowner or resident may file a written appeal of the Special Tax levied on his/her property with the CFD Administrator, provided that the appellant is current in his/her payments of Special Taxes.
During the pendency of an appeal, all Special Taxes previously levied must be paid on or before the payment date established when the levy was made. The appeal must specify the reasons why the appellant claims the Special Tax is in error. The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination.
If the CFD Administrator agrees with the appellant, the CFD Administrator shall eliminate or reduce the Special Tax on the appellant's property and/or provide a refund to the appellant. If the CFD Administrator disagrees with the appellant and the appellant is dissatisfied with the determination, the appellant then has 30 days in which to appeal to the Council by filing a written notice of appeal with the Council, provided that the appellant is current in his/her payments of Special Taxes. The second appeal must specify the reasons for the appellant's disagreement with the CFD Administrator's determination. The CFD Administrator may charge the appellant a reasonable fee for processing the appeal.
Interpretations may be made by the Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.
H. MANNER OF COLLECTION
The Special Tax will be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2024-1 may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor's Parcels as permitted by the Act.
I. TERM OF SPECIAL TAX
The Special Tax shall be levied as long as necessary to meet the Special Tax Requirement for Services.