HomeMy WebLinkAboutResolution - 3138 STATE OF CALIFORNIA ) RESOLUTION NO. 3138
COUNTY OF RIVERSIDE ) ss
CITY OF SAN JACINTO )
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN
JACINTO, CALIFORNIA, AMENDING CITY OF SAN JACINTO
DELINQUENCY MANAGEMENT POLICY FOR COMMUNITY
FACILITIES DISTRICT NO. 2 SERIES A 2002
WHEREAS, the City of San Jacinto (the "City") formed its Community Facilities
District No. 2 (the "CFDj and issued its $17,841,416.76 City of San Jacinto Community
Facilities District 2002-1 Special Tax Bonds, 2002 Series A (the 'Bonds") pursuant to
the Mello-Roos Community Facilities Act of 1982 (Cal. Gov. Code Section 53311, et
seq.; the"Act"); and
WHEREAS, the City adopted a delinquency management policy for the CFD and
the Bonds (the "Policy"); and
WHEREAS, the City now wishes to amend the Policy to conform with the legal
requirements of the documents executed in connection with the issuance of the Bonds_
NOW, THEREFORE, BE IT RESOLVED determined and ordered by the City
Council of the City of San Jacinto:
SECTION '1. lncorgoration of Recitals. The City Council hereby finds and
determines that the Recitals of this Resolution are true and correct
and are hereby incorporated into this Resolution as though fully set
forth herein.
SECTION 2. Adoption of Amendments. The City of San Jacinto Delinquency
Management Policy for Community Facilities District No. 2 Series A
2002 shall be amended as shown on Exhibit "A," attached hereto
and incorporated herein by this reference.
SECTION 3. Remaining Provisions. Except as specifically amended by this
Resolution, all other provisions of the City of San Jacinto
Delinquency Management Policy for Community Facilities District
No. 2 Series A 2002 shall remain in full force and effect.
Page 1 of 2
APPROVED, SIGNED and ADOPTED, at a Regular Meeting of the City Council
of the City of San Jacinto on this 17th day of April, 2008, by the following vote:
Ayes: Ayres, Carlson, Mansperger, Ritchie
Nays: None
Absent: Stubblefield
Abstain: Norte
City of San Jacinto
By:
Ayres, yor
ATTEST:
F I uwz�j
rothy L. ouinard, City Clerk
APPROVED AS TO FORM:
ity ,omey, Cify of San Jacinto
BEST BEST & KRIEGER LLP
Page 2 of 2
EXHIBIT "A"
Delinquency Management policy for
Community Facilities District No. 2 Series A 2002
.r
Page A-1
DELINQUENCY MANAGEMENT POLICY
CITY OF SAN JACINTO
COMMUNITY FACILITIES DISTRICT NO. 2. SERIES A 2002
1.1 ParCv
1.1.1 It is the policy of the City of San Jacinto("City')to provide a.consistent and effective Delinquency
Management Policy for Community Facilities District Na. 2, Series A 2002 ( District")within the
City.
1.1.2 Utilizing the resources of NBS Local Government Solutions ("NBS") and the City's designated
foreclosure aft mey, the Delinquency Management Policy described herein is designed to
achieve the following goals:(i)protect the interest of bondholders and other interested parties;(H)
encourage property owners to resolve delinquencies prior to litigation for the least expense; (iii)
treat property owners fairly and equally and; (iv) allow for the commencement of judicial
foreclosure proceedings if necessary through a series of standard administrative procedures.
1.1.3 The implementation steps of the delinquency management policy and a description of each step
are as follows.
A NBS - Once the first installment payment data is received by NBS from the County and
processed, NBS will Compare the amount of Special Tares levied to data in the District to the
amount of Special Tax Revenues received to date by the City.
a_ NBS -If the amount rx3111eckW is less than 100% of the amount of Special Taxes levied,
then NBS will send demand letters to all delinquent property owners and their respective
�--- lenders stating that if the delinquent installments are not paid within 30 days from the
date of the letter,the delinquency information may be provided to a foneskrsure attorney
and the City may order the institution of a court action to foreclose the lien thereof.
b_ NBS-If after 30 days of sending the demand letfsrs,the delinquencies remain unpaid,at
the direction of the City, NBS will record a Notice of Intent to Remove Delinquent Special
Taxes from the Tare Roll upon each delinquent parcel, strip the delinquent installments
from the tax roll, and provide the demquency infomtation to the foreclosure attorney
appointed by the City for collection through judicial foreclosure proceedings.
B. NBS - Once the second installment payment data is received by NBS from the County and
processed, NBS will compare the amount of Special Taxes levied to date in the District to the
amount of Special Tax Revenues received to date by the City.
a. NBS - If the amount collected is less than 100%of the amount of Special Taxes levied,
NBS will send reminder letters to all delinquent property owners stating that they are
delinquent and directing them to make payment to the County-Tax Collector or if the levy
was directly billed,directing them to make payment directly to the City_
b_ NBS-If by August let,the delinqueriaes remain unpaid,NBS will send demand letters to
all delinquent property owners and their respective lenders stating that if the delinquent
installments are not paid within 30 days from the date of the letter, the delinquency
information may be provided to a foreclosure attorney and the City may order the
institution of a court action to foreclose the lien thereof.
r�-
Page 1 of 2
c. NBS—On September 2n", NBS will determine if the delinquencies remain unpaid. If so,
then by September I and at the direction of the City,NOS will record a Notice of intent
to Remove Delinquent Special Faxes from the Tax Roil upon each delinquent parcel,
... strip the delinquent instalments from the tax roll,and provide the delinquency information
to the foreclosure attorney appointed by the City for collection through judicial foreclosure
proceedings.
C. NMCitys Fiance Director or designee/Citys designated foreclosure attorney - In October,
review the effectiveness of the Delinquency Management Policy and recommend changes, if
necessary,to the Delinquency Management Policy.
Reviewed and approved by: on 2008.
Page 2 of 2