Loading...
HomeMy WebLinkAbout95-04 FA Resolution RESOLUTTON NO. FA 95-04 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE OLD TOWN/WESTSIDE COMMUNITY FACI]LrrIES DISTRICT FINANCING AUTHORITY OF INTENTION TO ESTABLISH A COMMUNITY FACILITIES DISTRICT NO. 2 AND TO AUTHORIZE THE LEVY OF SPECIAL TAXES PURSUANT TO THE MIELLO-ROOS COMMUNITY FACILITIES ACT OF 1982 WHEREAS, under the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"), Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing at Section 53311, of the California Government Code, this Board of Directors of the Old Town/Westside Community Facilities District Financing Authority (the "Authority") is authorized to establish a community facilities district and to act as the legislative body for a community facilities district; and V,IHER]EAS, this Board of Directors now desires to proceed with the establishment of a community facilities district (the "District") in order to finance costs of public infrastructure necessary or incident to development in the Westside area of the City of Temecula (the "City"). NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority as follows: 1. This Board of Directors proposes to conduct proceedings to establish a community facilities district pursuant to the Act. 2. The name proposed for the District is Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 2 (Westside Area Public Improvements). 3. The proposed boundaries of the District are as shown on the map of the District on file with the Secretary, which boundaries are hereby preliminarily approved and to which map reference is hereby made for further particulars. The Secretary is hereby directed to record, or cause to be recorded, said map of the boundaries of the District in the office of the County Recorder within fifteen days of the date of adoption of this Resolution, but in any event at least fifteen days prior to the public hearing referred to in paragraph 10 below. 4. The type of public facilities proposed to be financed by the District and pursuant to the Act shall consist of those items listed as facilities on Exhibit A hereto and by this reference incorporated herein (the "Facilities"). The Board of Directors hereby finds and determines that the public interest will not be served by allowing the property owners in the Resos.FA%95-04 -I- District to enter into a contract in accordance with Section 53329.5(a) of the Act. Notwithstanding the foregoing, the District may enter into one or more contracts directly with any of the property owners with respect to the construction of the Facilities. The Executive Director of the Authority is hereby authorized and directed to enter into joint community facilities agreements with any entity that will own or operate any of the Facilities, as determined by bond counsel to be necessary to comply with the provisions of Section 53316.2(a) and (b) of the Act. The Board of Directors of the Authority hereby declares that such joint agreements will be beneficial to residents in the area of the District. 5. Except to the extent that funds are otherwise available to the District to pay for the Facilities and/or the principal and interest as it becomes due on bonds of the District issued to acquire the Facilities, a special tax sufficient to pay the costs thereof, secured by recordation of a continuing lien against all non-exempt real property in the District, will be levied annually within the District, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as this Board of Directors or its designee shall determine, including direct billing of the affected property owners. The proposed rate and method of apportionment of the special tax among the parcels of real property within the District and the interests in those parcels, in sufficient detail to allow each landowner within the proposed District to estimate the maximum amount such owner will have to pay, are described in Exhibit B attached hereto and by this reference incorporated herein. This Board of Directors hereby finds that the provisions of Section 53313.6, 53313.7 and 53313.9 of the Act (relating to adjustments to ad valorem property taxes and schools financed by a community facilities district) are inapplicable to the District. 6. It is the intention of this Board of Directors acting as the legislative body for the District to cause bonds of the Authority to be issued for the District pursuant to the Act to finance in whole or in part the Facilities. Said bonds shall be in the aggregate principal amount of not to exceed $15,000,000, shall bear interest payable semi-annually or in such other manner as this Board of Directors shall determine, at a rate not to exceed the maximum rate of interest as may be authorized by applicable law at the time of sale of such bonds, and shall mature not to exceed 40 years from the date of the issuance thereof. 7. The levy of said proposed special tax shall be subject to the approval of the qualified electors of the District at a special election. The proposed voting procedure shall be by mailed or hand-delivered ballot among the landowners in said proposed District, with each owner having one vote for each acre or portion of an acre such owner owns in the District. 8. Except as may otherwise be provided by law or by the rate and method of apportionment of the special taxes for the District, all lands owned by any public entity, including the United States, the State of California and/or the City, or any departments or political subdivisions thereof, shall be omitted from the levy of the special tax to be made to Resos.FA\95-04 -2- cover the costs and expenses of the Facilities and the District. In the event that a portion of the property within the District shall become for any reason exempt, wholly or in part, from the levy of the special tax described in Exhibit B, this Board of Directors will, on behalf of the District, increase the levy to the extent necessary upon the remaining property within the District which is not exempt in order to yield the required debt service payments and other annual expenses of the District, if any, subject to the provisions of the rate and method of apportionment of the special taxes for the District. 9. The Executive Director of the Authority, as the officer having charge and control of the Facilities in and for the District, or his designee, is hereby directed to study said proposed Facilities and to make, or cause to be made, and file with the Secretary a report in writing, presenting the following: (a) A description of the Facilities by type which will be required to adequately meet the needs of the District. (b) An estimate of the fair and reasonable cost of the Facilities including the cost of acquisition of lands, rights-of-way and easements, any physical facilities required in conjunction therewith and incidental expenses in connection therewith, including the costs of the proposed bond financing and all other related costs as provided in Section 53345.3 of the Act. Said report shall be made a part of the record of the public hearing provided for below. 10. Tuesday, October 17, 1995, at 7:00 p.m. or as soon as possible thereafter, in the Community Recreation Center, 30875 Rancho Vista Road, Temecula, California, be, and the same are hereby appointed and fixed as the time and place when and where this Board of Directors, as legislative body for the District, will conduct a public hearing on the establishment of the District and consider and finally determine whether the public interest, convenience and necessity require the formation of the District and the levy of said special tax. 11. The Secretary is hereby directed to cause notice of said public hearing to be given by publication one time in a newspaper published in the area of the District. The publication of said notice shall be completed at least seven days before the date herein set for said hearing. Said notice shall be substantially in the form of Exhibit C hereto. 12. The Authority proposes to repay certain landowners within the District, solely from the proceeds of bonds of the Authority issued for the District, funds advanced by such landowners to pay costs of the City and the Authority to form the District. The procedures for such repayment will be set forth in detail in documents to be approved by this Board of Directors following the public hearing on the District referred to above. Resos.FA\95-04 -3- 13. The firm of Jones Hall Hill & White, A Professional Law Corporation, is hereby confirmed as bond counsel for the District and any bonds of the Authority for the District, and the firm of Berryman & Henigar is hereby designated as special tax consultant to the Authority for the District. The Executive Director is hereby authorized and directed to enter into contracts with said firms for their services with respect to the District, in form acceptable to counsel to the Authority and the Executive Director. 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 12th day of September, 1995. Phtricia H. Birdsall, Chairperson ATTEST: Jun eek, CMC, City@lerlJ Authority Secretary Resos.FA\95-04 STATE OF CALIFORNIA) COUNTY OF RIVERSIDE)ss CITY OF TEMECULA) 1, June S. Greek, City Clerk of the City of Temecula, HEREBY DO CERTIFY that the foregoing Resolution No. FA 95-04 was duly adopted at a regular meeting of the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority on the 12th day of September, 1995, by the following roll call vote: AYES: 4 BOARD MEMBERS: Birdsall, Lindemans, Parks, Roberts NOES: 0 BOARD MEMBERS: None ABSENT: 0 BOARD MEMBERS: None ABSTAINED: 1 BOARD MEMBERS: Stone June S. r@eek, CMC, City Clerk/ Authority Secretary Resos.FA\95-04 -5- EXHIBIT A DESC ION OF FACI]LITIES TO BE FINANCED BY THE DISTRICT Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 2 (Westside Area Public Improvements) FACI[LITIES Construction of a new roadway from the intersection of I-15 and State Route 79S to Rancho California Road, then generally adjacent to the westerly City limits, including but not limited to the following: 1. acquisition of necessary right-of-way, 2. construction of a bridge over Murrieta Creek and Rancho California Road, 3. construction of sidewalks, curbs and gutters, 4. construction of roadway between the curbs, consisting of an approximately 78 foot wide roadway with an approximately 12 foot wide raised median island, 5. installation of landscaping and irrigation, 6. installation of water system facilities, 7. installation of sanitary sewer system, 8. installation of street lighting system, and 9. construction and/or installation of any facilities or appurtenances incident to any of the foregoing. OTHER Costs of engineering, design, acquisition of land and/or public easements, planning, insurance, legal and accounting expenses and coordination related to the above-listed facilities. Bond related expenses, including underwriters discount, appraisals, reserve fund, capitalized interest, bond counsel, special tax consultant, financing consultant, bond and official statement printing and all other incidental expenses. Administrative fees of the City, the Authority, the District and the Bond trustee or fiscal agent related to the District and the Bonds. A-6 EXMBIT B RATE AND NMTHOD OF APPORTIONMEENT OF SPECIAL TAXES OLD TOWN/WESTSIDE COMMUNITY FACILITIES DISTRICT FINANCING AUTHORITY Community Facilities District No. 2 (Westside Area Public Improvements) A special tax shall be levied on each Parcel of land within the Old Town/Westside Connnunity Facilities District Financing Authority Community Facilities District No. 2 (Westside Area Public improvements) (the "District"), and collected according to the Special Tax Liability determined by the Responsible Party of the Old Town/Westside Conununity Facilities District Financing Authority (the "Authority") through the application of the following procedures. AU 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 swne time as ordinary ad valorem property taxes, and that special taxes so levied will be subject to the same penalties and procedures, sale and hen 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 correct the special taxes at such other times or in such other manner as necessary or convenient to satisfy the obligations of the District. MAX SPECIAL TAX The maximwn special tax that may be levied in the Fiscal Year ending June 30, 1996 on any Parcel shall not exceed the sum of: (i)The maximum building special tax rate of $9.00 per building square foot, multiplied times the sum of the Building Floor Area for all buildings on the Parcel; plus (ii)The maximum land special tax rate of $8.00 per land square foot, multiplied times the Land Area of the Parcel. The special tax shall be levied annually. The maximum building special tax and the maximum land special tax shall increase each Fiscal Year from the maximum special tax for the Fiscal Yea ending June 30, 1996 by 2%, compounded annually. A Parcel shall be subject to the maximum special tax for not more dm 40 years. In no event shall the maximum special tax on any Parcel used for private residential purposes exceed any @tation imposed under Section 53321 of the California Government Code. ASSIGNMEENT TO CATEGORIES; LEVY ANNUAL TAX CATEGORIES On or about July I of each year, but in any event in sufficient time to include the levy of the special taxes on the County's secured tax roU, the Responsible Party shall determine for each Parcel within the District, whether or not such Parcel is Taxable Property. Parcels subject to levy shall be detem-lined based upon the records of the County Assessor as of the March I preceding such July 1. LEVY The Responsible Party shall then determine the ted aggregate Special Tax Liability for the Fiscal Year commencing such July 1, and levy on each Parcel which is Taxable Property, as follows: Step 1:Detemiine the total Building Floor Area, for each respective Parcel which is Taxable Property and for all Parcels which are then Taxable Property in the District. Step 2:Calculate the annual building tax rate at 85% of the Special Tax Liability, divided 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: (i)the annual building tax rate; or (ii)the maximum building special tax rate for the Fiscal Year commencing such July 1. Step 4:Dete@e the total Land Area, by Parcel and for all Parcels which are then Taxable Property in the District. Step 5:Calculate the annual land tax rate as the lesser of- (i)the Special Tax Liability, less the total of the f-tmds generated for all Parcels which are then Taxable Property under Step 3 above, divided by the total Land Area (by square footage) for all Parcels which are then Taxable Property or (ii)the maximum land special tax for the Fiscal Year conunencing 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. PREPAYWNTS Prepayments may be made for property subject to the levy of the special taxes. 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 and the estimated amount of prepayment. The entire annual special taxes for any Parcel may be prepaid as follows: (a)The Parcel with respect to which prepayment is to be 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 Goverinnent Code Section 53344, until an special taxes with respect to that Parcel have been paid. (b)The Parcel prepayment wnount for a Parcel shall be calculated by the Responsible Party based upon the Present Value Factor of the remaining maximum annual special taxes. DEFIMTIONS 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 proportionate amount of Authority and the City general administrative overhead related thereto, any amounts paid by the Authority or the City, respectively, from its own 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 Authority. Bonds means any bonds of the Authority issued for the District under MeBo-Roos Community Facilities Act of 1982, as amended. 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 (defmed here as open and unobstructed to the sky). The Building Floor Axea will be determined by the Responsible Party by reference to City or County approved building plans or other 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 corrunences 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 To@estside Improvement Authority Community Facilities District No. 2 (Westside Area Public Improvements). Fiscal 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 Lssuance, and as it may be amended and/or supplemented from time to time. Fiscal Year means the period starting on July I and ending the following June 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 equ@ed tax rous of the County. Present Value Factor means the factor representing the net present value of future annual special taxes calculated based on a discount rate to reflect the net interest costs on the Bonds, any redemption fees on the Bonds, and applicable Administrative Expenses related to the prepayment. 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 determined by the Responsible Party to offset past delinquencies and projected tax delinquencies to 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 is all real property within the boundaries of the District which is not exempt from the special tax pursuant to law, except that the following property shall not be taxed: any acres of land owned, conveyed or irrevocably offered for dedication to and accepted by a public Authority, or land which is a public right of way or which is an unmanned utility easement malting impractical its utilization for other d= the purpose set forth in the easement. EXHIBIT C NOTICE OF PUBLIC HEARING Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 2 (Westside Area Public Improvements) Notice is hereby given that on September 12, 1995, the Board of Directors of the Old Town/Westside Community Facilities District Financing 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 And To Authorize The Levy Of Special Taxes Pursuant To The Mello-Roos Community Facilities Act Of 1982". Pursuant to the Mello-Roos Community Facilities Act of 1982 (the "Act") the Board of Directors hereby gives notice as follows: A. The text of said Resolution of Intention is as follows: VMER,EAS, under the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"), Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing at Section 53311, of the California Government Code, this Board of Directors of the Old Town/Westside Community Facilities District Financing Authority (the "Authority") is authorized to establish a community facilities district and to act as the legislative body for a community facilities district; and "EREAS, this Board of Directors now desires to proceed with the establishment of a community facilities district (the "District") in order to finance costs of public infrastructure necessary or incident to development in the Westside area of the City of Temecula (the "City"). NOW, THEREFORE, BE IT RESOLVED BY the Board of Directors of the Old Town/Westside Community Facilities District Financing Authority as follows: 1. This Board of Directors proposes to conduct proceedings to establish a community facilities district pursuant to the Act. 2. The name proposed for the District is Old Town/Westside Community Facilities District Financing Authority Community Facilities District No. 2 (Westside Area Public Improvements). 3.The proposed boundaries of the District are as shown on the map of the District on file withthe Secretary, which boundaries are hereby preliminarily approved and to which map referenceis hereby made for further particulars. The Secretary is hereby directed to record, or C-8 cause to be recorded, said map of the boundaries of the District in the office of the County Recorder within fifteen days of the date of adoption of this Resolution, but in any event at least fifteen days prior to the public hearing referred to in paragraph 10 below. 4. The type of public facilities proposed to be financed by the District and pursuant to the Act shall consist of those items listed as facilities on Exhibit A hereto and by this reference incorporated herein (the "Facilities"). The Board of Directors hereby finds and determines that the public interest will not be served by allowing the property owners in the District to enter into a contract in accordance with Section 53329.5(a) of the Act. Notwithstanding the foregoing, the District may enter into one or more contracts directly with any of the property owners with respect to the construction of the Facilities. The Executive Director of the Authority is hereby authorized and directed to enter into joint community facilities agreements with any entity that will own or operate any of the Facilities, as determined by bond counsel to be necessary to comply with the provisions of Section 53316.2(a) and (b) of the Act. The Board of Directors of the Authority hereby declares that such joint agreements will be beneficial to residents in the area of the District. 5. Except to the extent that funds are otherwise available to the District to pay for the Facilities and/or the principal and interest as it becomes due on bonds of the District issued to acquire the Facilities, a special tax sufficient to pay the costs thereof, secured by recordation of a continuing lien against all non-exempt real property in the District, will be levied annually within the District, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as this Board of Directors or its designee shall determine, including direct billing of the affected property owners. The proposed rate and method of apportionment of the special tax among the parcels of real property within the District and the interests in those parcels, in sufficient detail to allow each landowner within the proposed District to estimate the maximum amount such owner will have to pay, are described in Exhibit B attached hereto and by this reference incorporated herein. This Board of Directors hereby finds that the provisions of Section 53313.6, 53313.7 and 53313.9 of the Act (relating to adjustments to ad valorem property taxes and schools financed by a community facilities district) are inapplicable to the District. 6. It is the intention of this Board of Directors acting as the legislative body for the District to cause bonds of the Authority to be issued for the District pursuant to the Act to finance in whole or in part the Facilities. Said bonds shall be in the aggregate principal amount of not to exceed $15,000,000, shall bear interest payable semi-annually or in such other manner as this Board of Directors shall determine, at a rate not to exceed the maximum rate of interest as may be authorized by applicable law at the time of sale of such bonds, and shall mature not to exceed 40 years from the date of the issuance thereol C-9 7. The levy of said proposed special tax shall be subject to the approval of the qualified electors of the District at a special election. The proposed voting procedure shall be by mailed or hand-delivered ballot among the landowners in said proposed District, with each owner having one vote for each acre or portion of an acre such owner owns in the District. 8. Except as may otherwise be provided by law or by the rate and method of apportionment of the special taxes for the District, all lands owned by any public entity, including the United States, the State of California and/or the City, or any departments or political subdivisions thereof, shall be omitted from the levy of the special tax to be made to cover the costs and expenses of the Facilities and the District. In the event that a portion of the property within the District shall become for any reason exempt, wholly or in part, from the levy of the special tax described in Exhibit B, this Board of Directors will, on behalf of the District, increase the levy to the extent necessary upon the remaining property within the District which is not exempt in order to yield the required debt service payments and other annual expenses of the District, if any, subject to the provisions of the rate and method of apportionment of the special taxes for the District. 9. The Executive Director of the Authority, as the officer having charge and control of the Facilities in and for the District, or his designee, is hereby directed to study said proposed Facilities and to make, or cause to be made, and file with the Secretary a report in writing, presenting the following: (a) A description of the Facilities by type which will be required to adequately meet the needs of the District. (b) An estimate of the fair and reasonable cost of the Facilities including the cost of acquisition of lands, rights-of-way and easements, any physical facilities required in conjunction therewith and incidental expenses in connection therewith, including the costs of the proposed bond financing and all other related costs as provided in Section 53345.3 of the Act. Said report shall be made a part of the record of the public hearing provided for below. 10. Tuesday, October 17, 1995, at 7:00 p.m. or as soon as possible thereafter, in the Community Recreation Center, 30875 Rancho Vista Road, Temecula, California, be, and the same are hereby appointed and fixed as the time and place when and where this Board of Directors, as legislative body for the District, will conduct a public hearing on the establishment of the District and consider and finally determine whether the public interest, convenience and necessity require the formation of the District and the levy of said special tax. II. The Secretary is hereby directed to cause notice of said public hearing to be given by publication one time in a newspaper published in the area of the District. The publication of said notice shall be completed at least seven days before the date herein set for said hearing. Said notice shall be substantially in the form of Exhibit C hereto. C-10 12. The Authority proposes to repay certain landowners within the District, solely from the proceeds of bonds of the City and the Authority issued for the District, funds advanced by such landowners to pay costs of the City and the Authority to form the District. The procedures for such repayment will be set forth in detail in documents to be approved by this Board of Directors following the public hearing on the District referred to above. 13. The firm of Jones Hall Hill & White, A Professional Law Corporation, is hereby confirmed as bond counsel for the District and any bonds of the Authority for the District, and the firm of Berryman & Henigar is hereby designated as special tax consultant to the Authority for the District. The Executive Director is hereby authorized and directed to enter into contracts with said firms for their services with respect to the District, in form acceptable to counsel to the Authority and the Executive Director. B. The exhibits to the Resolution which describe the facilities to be financed and the rate and method of apportionment of the special taxes for the district are on file in the office of the Secretary of the Authority. C. The time and place established under said Resolution for the public hearing required under the Act are Tuesday, October 17, 1995, at the hour of 7:00 p.m. or as soon as possible thereafter, in the Community Recreation Center, 30875 Rancho Vista Road, Temecula, California. D. At said hearing, the testimony of all interested persons or taxpayers for or against the establishment of the district, the extent of the district or the furnishing of the specified types of facilities will be heard. Any person interested may file a protest in writing as provided in Section 53323 of the Act. If fifty percent or more of the registered voters, or six registered voters, whichever is more, residing in the territory proposed to be included in the district, or the owners of one-half or more of the area of land in the territory proposed to be included in the district and not exempt from the special tax, file written protests against the establishment of the district and the protests are not withdrawn to reduce the value of the protests to less than a majority, the Board of Directors shall take no further action to create the district or levy the special taxes for period of one year from the date of decision of the Board of Directors, and if the majority protests of the registered voters or landowners are only against the furnishing of a type or types of facilities within the district, or against levying a specified special tax, those types of facilities or the specified special tax will be eliminated from the proceedings to form the district. C-11 E. The proposed voting procedure shall be by special mail or hand-delivered ballot to the property owners within the territory proposed to be included in the district. Dated: September 12, 1995 Ju@,9."Greek, CMC, CityClerk/ Authority Secretary C-12