01337.0021/775248.1 NG-U9ZQVMF2/4889-7097-7799v6/200952-0001 A-1
EXHIBIT B
DESCRIPTION OF THE FACILITIES, SERVICES AND INCIDENTAL EXPENSES
TYPES OF FACILITIES
CFD No. 2022 -1, on behalf of itself and each improvement area thereof, is hereby authorized to finance the costs of the purchase, construction, expansion, improvement, or rehabilitation of facilities permitted under the Mello-Roos Act from the proceeds of special taxes and bonds issued by CFD No. 2022-1, including, without limitation:
CITY FACILITIES
The types of City Facilities that are proposed to be financed by CFD No. 2022-1 with the proceeds of special taxes and bonds issued by CFD No. 2022 -1 consist of backbone infrastructure needed for new and existing development (both within the project limits as well as offsite improvements), such as roadway, bridge, sewer, dry utilities, storm drain, sea wall, street and parkway landscaping, curb and gutter, medians, median landscaping, traffic signals, entry signage, parks, trails, police facilities, fire facilities, and appurtenances and appurtenant work.
The description of City Facilities is general in nature. The final nature and location of the City Facilities will be determined upon preparation of final plans and specifications. Addition, deletion or modification of descriptions of the City Facilities may be made consistent with the requirements of the City Council of the City, CFD No. 2022-1 and the Act.
EAST BAY MUNICIPAL UTILITIES DISTRICT (“EBMUD”) FACILITIES The proposed EBMUD Facilities include the construct ion, purchase, modification, expansion, improvement and/or rehabilitation of public facilities to be owned and operated by EBMUD including, without limitation, water system facilities and acquisition of water system capacity.
The EBMUD Facilities listed herein are representative of the types of facilities authorized to be financed by CFD No. 2022 -1. Detailed scope and limits of specific projects will be determined as appropriate, consistent with the standards of the EBMUD. Addition, deletion or modification of descriptions of the EBMUD Facilities may be made consistent with the requirements of the governing board of the EBMUD, CFD No. 2022 -1 and the Act. The Facilities are necessary for CFD No. 2022 -1 (and each improvement area thereof) and are generally intended to comply with the requirements of the City.
The description of Facilities is general in nature. The final nature and location of the Facilities will be determined upon preparation of final plans and specifications.
Any Facility authorized to be financed by CFD No. 2022 -1 may be financed through the construction and acquisition of the Facility or through the payment of fees for such Facility.
The Facilities constructed or acquired may be located within or outside CFD No. 2022-1.
The Facilities to be financed shall include all hard and soft costs associated with the Facilities, including the costs of the acquisition of land and rights -of-way, the costs of design,
engineering and planning, the costs of any environmental or traffic studies, survey s or other reports, costs related to landscaping and irrigation, soils testing, permits, plan check, and inspection fees, insurance, legal and related overhead costs, coordination and supervision and any other costs or appurtenances related to any of the f oregoing as may be further defined in one or more acquisition agreements with the developer of the property in CFD No. 2022-1.
TYPES OF SERVICES
The types of Services that are proposed to be provided by CFD No. 2022-1 and funded with the proceeds of special taxes levied by CFD No. 2022-1 consist of services permitted to be financed under the Mello -Roos Community Facilities Act of 1982 including, without limitation, police and fire protection, ambulance and paramedic se rvices, street sweeping, traffic signal maintenance and the maintenance of City -owned parks, parkways and open spaces, lighting, flood and storm protection services and the operation of storm drainage systems . All of the services to be financed must be in addition to those provided within the boundaries of CFD No. 2022-1 before CFD No. 2022 -1 is created, and shall not supplant services already available within that territory when CFD No. 2022-1 is created.
TYPES OF INCIDENTAL EXPENSES
The Incidental Expenses to be paid from bond proceeds and/or special taxes include:
All costs associated with the creation of CFD No. 2022-1, the issuance of the Obligations, the determination of the amount of special taxes to be levied, costs incurred in order to carry out the authorized purposes of CFD No. 2022-1, including legal fees, fees of consultants, engineering, planning, designing and the annual costs to administer CFD No. 2022-1 and any Obligations.
SQ.FT. UNITS EPS DPFG TOTAL RATE UNITS PPH POPULATION SERVED Owner-Occupied
LDR 185 $1,400,00 0 $576,000 $106,560,000 5.0% 176 - 495 495 MDR 0 $0 $0 $0 5.0% 0 - 0 0
HDR/Townhomes 173 $1,175,00 0 $432,000 $74,736,000 5.0% 164 - 461 461 HDR/Condo 802 $1,250,00 0 $416,000 $333,632,000 5.0% 762 - 2,141 2,141 Subtotal 1,160 $514,928,000
Renter-Occupied
HDR/Townhomes 68 $400,00 0 $128,000 $8,704,000 5.0% 65 - 183 183 HDR/Condo 157 $450,00 0 $144,000 $22,608,000 5.0% 149 - 419 419 Affordable 67 $0 $0 5.0% 64 - 180 180
Subtotal 292 $31,312,000
Residential Subtotal 1,452 $546,240,000
Nonresidential
Historic Retail 20,000 - $300 $300 $6,000,00 0 10.0% 18,000 250 72 36 Historic Office 352,580 - $350 $350 $123,403,00 0 10.0% 317,322 250 1,269 635 New Retail 35,000 - $300 $300 $10,500,00 0 10.0% 31,500 250 126 63 New Office 31,194 - $350 $350 $10,917,90 0 10.0% 28,075 400 70 35 New Public 15,000 - $0 $0 $0 10.0% 13,500 0 0 0
Subtotal 453,774 $150,820,900 1,537 769
Subtotal Residential & Nonresidential 1,452 $697,060,900 5,416 4,648 Other Land Uses
P/QP - -
PR - -
OS - -
NAPOTS - -
Preserve/Avoidance - -
ROW - -
Subtotal
Total 1,452
PEOPLEVACANCY
TABLE 2
Point Molate Fiscal Impact Analysis
Land Use and Assumptions
ASSESSED VALUE
C-1
Assumption1 Year 1 Year 2 Year 3 Year 4 Year 5 Buildout Units 100 350 438 850 1,100 1,452
Persons Served 320 1,120 1,402 2,721 3,521 4,648
Revenues $10,380 per unit $422,149 $1,477,521 $1,849,012 $3,588,265 $4,643,637 $6,129,601 Plus CFD ($2M each of first two years) $10,380 per unit plus $2M (Year 1 & 2) $2,422,149 $3,477,521 $1,849,012 $3,588,265 $4,643,637 $6,129,601 Expenses $4,252 per unit $425,150 $1,488,026 $1,862,158 $3,613,777 $4 ,676,653 $6,173,182 Full Police Year 1 (all other expenses per unit) $2,090,945 plus $2,811 per unit $2,372,091 $3,074,955 $3,322,364 $4,480,684 $5,183,549 $6,173,182 Full Fire Year 1 (all other expenses per unit) $3,264,037 plus $2,004 per unit $3,464,391 $3,965,277 $4,141,589 $4,967,049 $5,467,935 $6,173,182 Surplus/Deficit w/Base Revenues
Expenses per Unit ($3,001) ($10,505) ($13,146) ($25,512) ($33,016) ($43,581) Full Police Year 1 (all other expenses per unit) ($1,949,942) ($1,597,434) ($1,473,352) ($892,419) ($539,911) ($43,58 1) Full Fire Year 1 (all other expenses per unit) ($3,042,242) ($2,487,756) ($2,292,577) ($1,378,784) ($824,297) ($43, 581) Surplus/Deficit w/Base Revenues PLUS CFD
Expenses per Unit $1,996,999 $1,989,495 ($13,146) ($25,512) ($33,016) ($43,581) Full Police Year 1 (all other expenses per unit) $50,058 $402,566 ($1,473,352) ($892,419) ($539,911) ($43,581) Full Fire Year 1 (all other expenses per unit) ($1,042,242) ($487,756) ($2,292,577) ($1,378,784) ($824,297) ($43,58 1) Footnotes:
1See Table 9.
Table 10
Point Molate Fiscal Impact Analysis
Cash Flow
C-2
01337.0021/776965.1
Exhibit D
PARTIAL HISTORY OF FINANCIAL SUNCAL FINANCIAL INCIDENTS:
Financial Incidents. Links to some of the reported incidents are:
1. Albuquerque, Westland DevCo
https://www.reuters.com/article/westlanddevco/albuquerque-developer-files-for- bankruptcy-idUSN0519094320100405
2. SunCal-Lehman Brothers 2008 crash
SunCal’s financial backing was inadequately diversified, so when Lehman collapsed, SunCal declared bankruptcy in 20 -23 projects (tallies vary in news reports)
Specific examples:
a. Oak Knoll
https://www.oakknollcoalition.org/history
b. Marblehead
https://www.sanclementetimes.com/marblehead-bankruptcy-now-what/
c. Palmdale
ORDERED PUBLISHED - Ninth Circuit Court of Appeals
http://cdn.ca9.uscourts.gov › Palmdale-09-1100
d. 14 bankruptcies in Orange County
https://www.ocregister.com/2008/11/10/14-projects-by-oc-developer-file- bankruptcy/