City of San Clemente
Community Facilities District No. 2006-1
(Marblehead Coastal)
Special Tax Accountability Report
(SB 165)
Fiscal Year 2024/2025
Prepared for:
City of San Clemente
910 Calle Negocio
San Clemente, CA 92673
949-361-8200
Exhibit 1
TABLE OF CONTENTS
Section I. Background ..................................................................................................................... 1 Section II. Bond Proceeds ............................................................................................................... 2 Section III. City-Held Funds............................................................................................................. 3 Section IV. Collection of Special Taxes............................................................................................ 4 Section V. Expenditures to Fund Authorized Facilities................................................................... 5 Section VI. Authorized Facilities...................................................................................................... 6 ______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 1 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION I. BACKGROUND
The Local Agency Special Tax and Bond Accountability Act (“Accountability Act”) was enacted by California State Legislature through Senate Bill 165 to provide accountability measures for any local special tax and/or bond measure subject to voter approval on or after January 1, 2001.
According to the requirements of the Accountability Act (Sections 50075.1 and 53410 of the Government Code of the State of California), an annual report must be filed by the local agency levying a special tax and/or issuing a bond measure on or before each January 1, commencing January 1, 2002, and shall contain a description of the following:
(1) The amount of funds collected and expended to fund authorized facilities. (2) The status of any project required or authorized to be funded by the special tax and/or bond measure.
The information contained in this Report has been compiled and is being presented to and in accordance with the requirements outlined in the Accountability Act for Fiscal Year 2024/2025 for the City of San Clemente (“City”) and their Community Facilities District No. 2006-1 (Marblehead Coastal) (“CFD No. 2006-1” or “CFD”).
______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 2 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION II. BOND PROCEEDS
The City issued 2015 Special Tax Bonds (“2015 Bonds”) on December 3, 2015 in the aggregate principal amount of $55,490,000, the proceeds of which were used to finance the construction of certain facilities within CFD No. 2006-1. On June 12, 2025, the City issued 2025 Special Tax Refunding Bonds (“Bonds”) in the aggregate principal amount of $43,330,000. A portion of the proceeds of the Bonds, together with certain existing funds on hand, were used to defease and refund the City’s 2015 Bonds.
The table below summarizes the application of the Bond proceeds:
Fund/Account/Subaccount Bond Proceeds
Redemption of 2015 Bonds $51,416,273.27
Construction Fund¹ 2,330,000.00
Reserve Fund 2,045,587.50
Costs of Issuance² 875,946.27
Total³ $56,667,807.04
1 Represents monies transferred from funds and accounts related to the 2015 Bonds to be used to pay the costs of certain capital facilities, including, but not limited to, one or more pump stations serving CFD No. 2006-1. 2 Costs of issuance include consultant and legal fees, printing fees, premiums for the Bond Insurance Policy and the Reserve Fund Policy, the Underwriter’s Discount, and other miscellaneous issuance expenses. 3 The difference between the Bond issue amount of $43,330,000 and the total Bond proceeds deposited is the Net Original Premium and funds on hand from the 2015 Bonds. ______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 3 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION III. CITY-HELD FUNDS
Special taxes collected are held by the City prior to being transferred to the Special Tax Fund (previously the Bond Fund when referencing the 2015 Bonds) held by the Trustee. The balance of the CFD No. 2006-1 City-held funds that are not required to fund items pursuant to and as further described in the CFD No. 2006-1 Bond Indenture (“Indenture”) established in connection with the issuance of the Bonds may be used to fund authorized facilities of the CFD. The following table provides a summary of the sources and uses of the CFD No. 2006-1 special tax funds held at the City for fiscal year ended June 30, 2025.
Item Balance
Beginning Balance as of July 1, 2024¹ $2,995,057.92
Sources of Funds:
Special Tax Receipts² $3,024,724.42
Interest Accrued 60,265.33
Miscellaneous Transfer In³ 30,000.00
Subtotal: Sources of Funds $3,114,989.75
Uses of Funds:
Transfers to Bond Fund⁴ ($3,107,769.22)
Administrative Expenses (23,859.09)
Miscellaneous Transfer Out⁵ (2,346,989.76)
Subtotal: Uses of Funds ($5,478,618.07)
Ending Balance as of June 30, 2025 $631,429.60
¹ The beginning balance as of July 1, 2024 does not match the ending balance as of June 30, 2024 due to adjustments made in the accounting system after the end of the previous fiscal year. ² Includes Special Taxes and any delinquent amounts collected by the County and transferred to the City. Excludes any special taxes that were charged for FY 2025/2026 but not apportioned to the City until after June 30, 2025. ³ Consists of the Costs of Issuance funds distributed to the City for paying costs associated with the issuance of the Bonds.
⁴ Represents funds used for the September 1, 2024 and March 1, 2025 debt service payments. ⁵ Consists of the Bond closing funds wired to the Trustee in connection with the issuance of the Bonds. ______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 4 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION IV. COLLECTION OF SPECIAL TAXES
The table below provides a summary of the Special Taxes deposited, interest accrued, transfers, and other transactions within the Bond Fund for the 2015 Bonds and the Special Tax Fund for the Bonds for Fiscal Year ended June 30, 2025.
Item Balance
Beginning Balance as of July 1, 2024 $8,211.34
Sources of Funds:
Special Tax Receipts $3,107,769.22
Interest Accrued 4,532.04
Subtotal: Sources of Funds $3,112,301.26
Uses of Funds:
Transfers to Principal and Interest Accounts (Debt Service) (3,119,050.00) Miscellaneous Transfers Out¹ (1,457.35)
Subtotal: Uses of Funds ($3,120,507.35)
Ending Balance as of June 30, 2025 $5.25
1 Miscellaneous transfers out consist of a transfer to the Escrow Account established with the issuance of the Bonds. ______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 5 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION V. EXPENDITURES TO FUND AUTHORIZED
FACILITIES
The Fiscal Agent Agreement (“FAA”) established in connection with the issuance of the 2015 Bonds established an Improvement Fund of which proceeds from the 2015 Bonds shall be deposited and disbursed for the costs of the authorized facilities. The following table shows the initial 2015 Bond proceeds deposited, interest accrued, transfers and expenditures made to fund the authorized facilities from inception of the 2015 Bonds through issuance of the Bonds for the Improvement Fund.
Item Balance
Sources of Funds:
Deposit into the Improvement Fund $51,600,000.00
Interest Accrued 1,302,213.56
Total Sources of Funds $52,902,213.56
Expenditures:
Authorized Facilities ($49,689,764.56)
Transfer to Escrow Fund for 2025 Refunding Bonds (870,974.06) Transfer to Construction Fund for 2025 Refunding Bonds (2,330,000.00) Total Expenditures ($52,890,738.62)
Ending Balance as of June 30, 2025 $11,474.94
The Indenture established in connection with the issuance of the Bonds established a Construction Fund of which a portion of the remaining balance from the 2015 Bonds Improvement Fund shall be deposited and disbursed for the costs of certain authorized facilities, including, but not limited to, one or more pump station serving CFD No. 2006-1. The following table shows the transfer from the existing balance in the 2015 Bond Improvement Fund to the Construction Fund established in connection with the issuance of the Bonds, interest accrued, transfers and expenditures made to fund the authorized facilities from inception of the Bonds through the end of the current fiscal year for the Construction Fund.
Item Balance
Sources of Funds:
Deposit into the Construction Fund $2,330,000.00
Interest Accrued 0.00
Total Sources of Funds $2,330,000.00
Expenditures:
Authorized Facilities $0.00
Total Expenditures $0.00
Ending Balance as of June 30, 2025 $2,330,000.00
______________________________________________________________________________ City of San Clemente, Community Facilities District No. 2006-1 (Marblehead Coastal) 6 Special Tax Accountability Report (SB 165)
Fiscal Year 2024/2025
SECTION VI. AUTHORIZED FACILITIES
The purpose of CFD No. 2006-1 is to provide for the cost of financing the construction and engineering design of the Facilities (described generally below), the payment of development impact fees and the incidental expenses related to financing, forming and administering CFD No. 2006-1. Descriptions of the Authorized Facilities are as follows:
• Arterial Roadways
o Ave. Vista Hermosa
o Ave. Vista Hermosa Bridge
o Ave. Pico
o El Camino Real
• Local Public Roadways
o Los Molinos & Via Socorro
• Public Parks & Trails
o Sports Park
o Pico Park
o 2 Passive Parks
o Regional Public Trails
o Courtney Sand Castle
o Artificial Turf (Sports Park)
• Storm Drains
o Offsite Drain Line
o Residential Drain Lines
o Water Quality Improvements
• Low-Flow 1st Flush System
o Off-Site System
o Residential System
• Water System
o Offsite 12” Line
o Residential Line with 2 PRS
o Pump Station
• Sewer System
o Offsite 12” Line
o Residential Line
• Fees and Assessment
o Transportation RCFPP (Residential Portion)
o Water Capacity and Connection Fees (Residential Portion) o Sewer Assessment District No. 85-1 Obligation