Loading...
HomeMy WebLinkAbout96-05 FA Resolution RESOLUTION NO. FA 96-05 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE OLD TOWN/WESTSIDE CO TY FACILITIES DISTRICT FINANCING AUTHORITY DETERMINING THE NECESSITY TO INCUR BONDED INDEBTEDNESS WITHIN THE OLD TOWN/WESTSIDE CO TY FACILITIES DISTRICT FINANCING AUTHORITY COMMUNITY FACILITIES DISTRICT NO. 1 (OLD TOWN AREA PUBLIC @ROVEMENTS) AND SUBMITTING PROPOSITION TO THE QUAL ELECTORS OF THE DISTRICT WHEREAS, on September 12, 1995, this Board of Directors of the OldTown/Westside Community Facilities District Financing Authority (the 'Authority") adopted a resolution entitled 'A Resolution of the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority of Intention to Establish a Community Facilities District No. 1 and to Authorize the Levy of Special Taxes Pursuant to the Mello-Roos Act if 1982" (the-'Resolution of Intention") stating its intention to form the Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 1 (Old Town Area Public Improvements) (the 'District"), pursuant to the Mello- Roos Community Facilities Act of 1982, as amended (the 'Act"); and WHEREAS, on September 12, 1995, this Board of Directors also adopted a resolution entitled 'A Resolution of the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority of Intention to Incur Bonded Indebtedness of the Proposed Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 1 (Old Town Area Public Improvements) Pursuant to the Mello-Roos Community Facilities Act of 1982" (the 'Resolution of Intention to Incur Indebtedness") stating its intention to incur bonded indebtedness within the boundaries of the District for the purpose of financing certain costs of the facilities specified in the Resolution of Intention; and WHEREAS, on October 10, 1995, this Board of Directors adopted a resolution amending the Resolution of Intention and the Resolution of Intention to Incur Indebtedness to add additional territory to the District, on December 12, 1995 this Board of Directors adopted a resolution making findings as to the complexity of the proposed District, and on February 13, 1996 this Board of Directors adopted a resolution further amending the Resolution of Intention and the Resolution of Intention to Incur Indebtedness to add additional territory to the proposed District, to authorize the financing of additional improvements by the District, to approve a revised rate and method of apportionment of special taxes for the District and to increase the authorized bonded indebtedness of the District (said resolution, as adopted by this Board of Directors on February 13, 1996, is herein called the 'Amending Resolution"); and MMEREAS, on March 26, 1996, this Board of Directors held a noticed public Resos.FA/96-05 hearing as required by the Act relative to the determination to proceed with the formation of the District, the financing of facilities by the District and the rate and method of apportionment of the special tax to be levied within the District to pay the principal and interest on the proposed indebtedness and the costs of the Authority, the City of Temecula and the District related to the administration of the District; and VMEREAS, at said hearing all persons desiring to be heard on all matters pertaining to the formation of the District, the provision of said facilities (the "Facilities) and the levy of the special tax on property within the District were heard and a full and fair hearing was held; and VMEREAS, subsequent to said hearing, this Board of Directors adopted a resolution entitled 'A Resolution of the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority of Formation of Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 1 (Old Town Area Public Improvements), Authorizing The Levy Of A Special Tax Within The District, Preliminarily Establishing An Appropriations Limit For The District And Submitting Levy Of The Special Tax And The Establishment of The Appropriations Limit To The Qualified Electors Of The District' (the 'Resolution of Formation"); and WHEREAS, on March 26, 1996, this Board of Directors held a noticed public hearing as required by the Act relative to the matters material to the questions set forth in the Resolution of Intention to Incur Indebtedness, as amended by the Amending Resolution; and @ERF,AS, no written protests by land owners within or eligible voters of the District with respect to the matters material to the questions set forth in the Resolution of Intention to Incur Indebtedness, as amended by the Amending Resolution, have been filed with the Secretary. NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority as follows: 1.The foregoing recitals are true and correct. 2.This Board of Directors deems it necessary to incur bonded indebtedness in the maximum aggregate principal amount of $27,500,000 within the boundaries of the District. 3. The indebtedness is to be incurred for the purpose of financing the costs of the Facilities, as provided in the Resolution of Intention, as amended by the Amending Resolution, and the Resolution of Formation including, but not limited to, the costs of issuing and selling bonds to finance the Facilities and the costs of the Authority, the City of Temecula and the District related to the administration of the District. Resos.FA/96-05 2 4. The whole of the District shall pay for the bonded indebtedness through the levy of the special tax. The tax is to be apportioned in accordance with the formula set forth in Exhibit 'A' to the Resolution of Formation. 5. The maximum amount of bonded indebtedness to be incurred is $27,500,000 and the maximum term of the bonds to be issued shall in no event exceed forty (40) years. 6. The bonds shall bear interest at a rate or rates not to exceed the maximum interest rate permitted by applicable law at the time of sale of the bonds, payable semiannually or in such other manner as this Board of Directors or its designee shall determine, the actual rate or rates and times of payment of such interest to be determined by this Board of Directors or its designee at the time or times of sale of said bonds. 7. The proposition of incurring the bonded indebtedness herein authorized shall be submitted to the qualified electors of the District and shall be consolidated with elections on the proposition of levying special taxes within the District and the establishment of an appropriations limit for the District pursuant to Section 53353.5 of the Act. The time, place and conditions of said election shall be as specified by separate resolution of this Board of Directors. PASSED, APPROVED AND ADOPTED, by the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority at a regular meeting held on the 23rd day of April, 1996. Patricia H. Birdsall, Chairperson ATTEST: Jun".-treek, CMC Authority Secretary/City Clerk Resos.FA/96-05 3 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ss CITY OF TEMECULA I, June S. Greek, City Clerk of the City of Temecula, HEREBY DO CERTIFY that the foregoing Resolution No. FA 96-05 was duly adopted at a regular meeting of the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority on the 23rd day of April, 1996, by the following roll call vote: AYES: 4 BOARD MEMBERS: Birdsall, Ford, Roberts, Lindemans NOES: 0 BOARD MEMBERS: None ABSENT: 0 BOARD MEMBERS: None ABSTAIN-ED: 1 BOARD MEMBERS: Stone June S. 6r-@, CMC Authority Secretary/City Clerk Resos.FA/96-05 4 EXHH~IT A RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES OLD TOWN/WESTSIDE COMMUNITY FACILITIES DISTRICT FINANCING AUTHORITY Community Facilities District No. 1 (Old Town Area Public Improvements) A special tax shall be levied on each Parcel of land within the Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. I (Old Town Area Public Improvements) (the 'District"), and collected according to the Special Tax Liability determined by the Responsible Party of the Old Town/Westside Community Facilities District Financing Authority (the "Authority") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. It is intended that all special taxes applicable to Parcels be collected in the same manner and at the same time as ordinary ad valorem property taxes, and that special taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes, subject to any covenant for judicial foreclosure with respect thereto in any Fiscal Agent Agreement for any Bonds of the Authority for the District. Notwithstanding the foregoing, the Authority may collect the special taxes at such other times or in such other manner as necessary or convenient to satisfy the obligations of the District. MAXIMUM SPECIAL TAX ZONE A The maximum special tax that may be levied in the Fiscal Year ending June 30, 1996 on any Parcel, designated as Zone A on the map shown herein as Exhibit 1, shall not exceed the sum of: plus (i) (ii) The maximum building special tax rate of $17.00 per building square foot, multiplied times the sum of the Building Floor Area for all buildings on the Parcel; The maximum land special tax rate of $15.00 per land square foot, multiplied times the Land Area of the Parcel. .. ZONE B The maximum special tax that may be levied in the Fiscal Year ending June 30, 1996 on any Parcel, designated as Zone B on the map shown herein as Exhibit I, shall not exceed the sum of: (i) The maximum building special tax rate of $17.00 per building square foot, multiplied times the sum of the Building Floor Area for all buildings on the Parcel; plus (u) The maximum land special tax rate of $15.00 per land square foot, multipried times the Land Area of the Parcel. The special tax for Zone A and Zone B shall be levied annually. The maximum building special tax and the maximum land special tax for Zone A and Zone B shall increase each Fiscal Year from the maximum special tax for the Fiscal Year ending June 30, 1996 by 2 %, compounded annually. A Parcel shall be subject to the maximum special tax for not more than 40 years. In no event shall the maximum special tax on any Parcel used for private residential purposes exceed any limitation imposed under Section 53321 of the California Government Code. ASSIGNMENT TO CATEGORIES; LEVY ANNUAL TAX CATEGORIES On or about July 1 of each year, but in any event in sufficient time to include the levy of the special taxes on the County's secured tax roll, the Responsible Party shall determine for each Parcel within the District, whether or not such parcel is Taxable Property, and whether such Parcel is designated as Zone A or Zone B. Parcels subject to levy shall be determined based upon the records of the County Assessor as of the January 1 preceding such July 1. LEVY The Responsible Party shall then determine the estimated aggregate Special Tax Liability for the Fiscal Year commending such July 1, and levy on each Parcel which is Taxable Property, as follows: Step 1: Step 2: Determine the Building Floor Area for each respective Parcel which is Taxable Property, and the total Building Floor Area for all Parcels which are then Taxable Property in the District. Calculate the annual building tax rate by dividing an amount equal to 85 % of the Special Tax Liability, by the total Building Floor Area for all Parcels which are then Taxable Property. Step 3: Multiply the total Building Floor Area for each respective Parcel which is Taxable Property by the lesser of: or (i) (a) the annual building tax rate; the maximum building special tax rate for Zone A and Zone B, respectfully, for the Fiscal Year commencing such July 1. Step 4: Determine the Land Area for each Parcel of Taxable Property in the District and the total Land Area for all Parcels which are then Taxable Property in the District. Step 5: Calculate the annual land tax rate as the lessor of: or 0) (ii) (the sum of the Special Tax Liability less the total of the funds generated for all Parcels which are then Taxable Property under Step 3 above), divided by the total Land Area Coy square footage) for all Parcels which are then Taxable Property; the maximum land special tax for Zone A and Zone B, respectfully, for the Fiscal Year commencing such July 1. Step 6: Multiply the Land Area for each Parcel which is Taxable Property by the annual land tax rate determined under Step 5. Step 7: Calculate the sum of the building tax (from Step 3) and the land tax (from Step 6) for each parcel which is Taxable Property. PREPAYMENTS Special tax prepaymenu may be made for property subject to the levy of the special taxes. A particular Parcel may prepay the special tax, provided that all authorized Bonds that are to be issued, have been issued. Any property owner in the District that desires to prepay the annual special taxes on a particular Parcel shall notify the Responsible Party in writing of such intention not less than 90 days prior to an interest payment date for the Bonds and the prepayment must be made not less than 45 days prior to such interest payment. The following must be applied for a prepayment of a particular Parcel: The prepayment amount for a particular Parcel shall be calculated by the Responsible Party, as follows: Compute the special tax for such Parcel by the total special tax for the then current Fiscal Year. The prepayment amount is computed by dividing the special tax for the Parcel by the total special tax for all properties for the then current Fiscal year within the District, and multiplying the results by the principal amount of any outstanding Bonds. The result shall be rounded up to the nearest five thousand dollors ($5,000); provided however, that if the Authority is provided with prepayments of special tax for more than one Parcel at the same time, then the total prepayments shall be aggregated and the aggregated prepayment amount shall be rounded up to the nearest five thousand dollars ($5,000). The prepayment amount calculated in (2) above for a particular Parcel will be (a) increased in the amount of: (i) applicable redemption premium, if any, on the Bonds; (ii) an amount determined by the Responsible Party to offset any difference between the amount needed to pay debt service on the Bonds and the amount derived from the reinvestment of the prepaid special tax pending the redemption of such bonds; and (iii) amount determined by the Responsible Party to pay for the applicable Administrative Expenses to provide such prepayment; and (b) decreased for any reduction in Bond reserves due to the prepayment. Determination of the total amount needed by the Responsible Party shall be conclusive, absent manifest error. ao The Parcel with respect to which prepayment is made must not be delinquent in any payment of special taxes previously levied within the District. Prepayment shall not relieve any property owner from paying those special taxes which have already become due and payable, and a Notice of Cessation of Special Tax Lien shall not be recorded against any Parcel pursuant to California Government Code Section 53344, until special taxes with respect to that Parcel have been paid. DEFINITIONS Administrative Expenses means any or all of the following: the fees and expenses of the Fiscal Agent (including any fees or expenses of its counsel), the expenses of the Authority and the City in carrying out their respective duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of their respective counsel, any fees of the County related to the District or the collection of special taxes, an allocable share of the salaries of the Authority and the City staff directly related thereto and a proportionam amount of Authority and the City general administrative overhead related thereto, any amounts paid by the Authority or the City, respectively, from its o.wn funds with respect to the District or the Bonds, and all other costs and expenses of the Authority, the City or the Fiscal Agent incurred in connection with the discharge of their respective duties under the Fiscal Agent Agreement and, in the case of the authority and the City, in any way related to administration of the District. Authority means the Old Town/Westside Community Facilities District Financing Authority. Bonds means any bonds of the Authority issued for the District under Mello-Roos Community Facilities Act of 1982, as amended, authorized to be issued under the Resolution of Issuance. Building Floor Area means the area included within the surrounding exterior walls of a building, including each floor of multiple story buildings, exclusive of vent shafts and courts (defined here as open and unobstructed to the sky). The Building Floor Area will be determined by the Responsible Party by reference to City or County approved building plans or oiher such documentation as the Responsible Party shall determine. City means the City of Temecula. County means the County of Riverside. Debt Service, for each Fiscal Year, is the total annual principal and interest payable on the Bonds during the calendar year which commences in such Fiscal Year, less any capitalized interest and any other amounts remaining in the bond fund held under the Fiscal Agent Agreement as of the end of the previous Fiscal Year available to make such payments. District means the Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. I (Old Town Area Public Improvements). F'c~cal Agent means the Fiscal Agent designated under the Fiscal Agent Agreement. Fiscal Agent Agreement means the agreement by that name approved by the Resolution of Issuance, and as it may be amended and/or supplemented from time to time. Fiscal Year means the period starting on July 1 and ending on the following 3une 30. Land Area means the measure of land area of a Parcel, in square feet of land, rounded up to the nearest whole integer. Parcel means any County Assessor's parcel or portion thereof that is within the boundaries of the District based on the equalized tax rolls of the County. Resolution of Issuance is any Resolution adopted by the Authority authorizing the issuance of Bonds. .. Responsible Party is any person or persons who the Authority may appoint from time to time to compute the levy of the special taxes within the District. Special Tax Liability for any Fiscal Year is an amount sufficient to pay Debt Service for such Fiscal Year, Administrative Expenses for such Fiscal Year, an amount necessary, as determined by the Responsible party, to offset projected tax delinquencies that may occur in such Fiscal Year based on prior Fiscal Year delinquencies that may occur in such Fiscal Year and to otherwise replenish any reserve fund established for the Bonds, and all payments required to be made in the applicable Fiscal Year under the Fiscal Agent Agreement for the Bonds and any supplements thereto. Taxable Property shall mean all real property within the boundaries of the District that is owned in fee by T.Z.B.G., Inc. or BFD/OTEP, a California corporation, at any time between the adoption of the resolution of formation for the District and the date that is one year after the adoption of the resolution of formation, provided however, that the following property shall be exempt from the special tax (i) any real property that is exempt from laxation by law, (ii) any acres of land owned, conveyed or irrevocably offered for dedication to and accepted by a public agency, including but not limited to, the federal government, the State of California and any local governmental agency, and (iii) land which is a public right-of-way or which is an unmanned utility easement making impractical its utilization for other than the purpose set forth in the easement. Zone A is designated as those Parcels within the boundaries of the District that are not in Zone B, as shown on the map designated Exhibit 1 herein. Zone B is designated as those Parcels within the boundaries of the District, as shown on the map designated Exhibit I herein.