Loading...
HomeMy WebLinkAboutResolution - 2372 STATE OF CALIFORNIA,) RESOLUTION NO. 2372 COUNTY OF RIVERSIDE) SS CITY OF SAN JACINTO ) RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JACINTO DETERMINING THE NECESSITY FOR CITY OF SAN JACINTO COMMUNITY FACILITIES DISTRICT,' NO.2002-1 (RANCHO SAN JACINTO, PHASE 2) TO INCUR A BONDED INDEBTEDNESS IN AN ORIGINAL AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $20,000,000, FOR PROVIDING PUBLIC FACILITIES WITHIN AND FOR THE COMMUNITY FACILITIES DISTRICT AND CALLING'A SPECIAL ELECTION FOR THE COMMUNITY, .FACILITIES DISTRICT ON A PROPOSITION FOR INCURRING SUCH BONDED INDEBTEDNESS WHEREAS, the City of San Jacinto (the "City") has formed its Community Facilities District No. 2 ("CFD No. 2") and, in connection therewith, has issued its 1989 Special Tax Bonds in the original principal amount of $26,000,000 (the "1989 Bonds") which are secured by special taxes levied by the City on property within the boundaries of CFD No. 2, and because of the delinquent payment of the special taxes levied in CFD No. 2, the 1989 Bonds are currently in default in the payment of the principal and interest with respect thereto. WHEREAS, on August 1, 2002, the City Council (the "City Council") of the City, pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the California Government Code (the "Act"), adopted Resolution No. 2365 declaring the necessity for City of San Jacinto Community Facilities District No. 2002-1 (Rancho San Jacinto, Phase 2), County of Riverside, State of California (the "Community Facilities District") to incur indebtedness in the Community Facilities District for the purpose of (a) refinancing and causing the redemption of a portion of outstanding special tax bonds of CFD No. 2 and to cause the special taxes with respect to CFD No. 2 levied on taxable real property within the Community Facilities District to be deemed paid and satisfied, and (b) paying the incidental expenses associated with the creation of the Community Facilities District, issuance of bonds thereof, the determination of the amount and collection of the special taxes, and the payment of special taxes, and costs otherwise incurred in order to carry out the authorized purposes of the Community Facilities District; and that the Community Facilities District be authorized to issue bonds and incur a bonded indebtedness for such purposes in the original aggregate principal amount of$20,000,000; and rvp u b/ka b/637328 WHEREAS, notice of the hearing was published and mailed as m required by Jaw, and on September 10,2002, at the time and place of the hearing as set forth in Resolution No. 2365 and the notice thereof, the City Council conducted the hearing and afforded all persons interested, including persons owning property within the Community Facilities District, an opportunity to be heard on the proposed 'authorization to incur bonded indebtedness, and no protests were received; and WHEREAS, on September 10, 2002, the City Council adopted the Resolution of Formation pursuant to Section 53325.1 (a) of the California Government Code, establishing the Community Facilities District; and WHEREAS, the City Council has determined that it is necessary for the Community Facilities District to incur bonded indebtedness to refinance the costs of public facilities which are necessary to the development of the property therein; NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED BY THE CITY COUNCIL OF THE CITY OF SAN JACINTO AS FOLLOWS: Section 1. Necessity. It is necessary for the Community Facilities District to incur bonded indebtedness in an original aggregate principal amount not to exceed $20,000,000 to refinance the costs of public facilities specified in the Resolution of Formation (the "Facilities").- (a) The types of public facilities proposed to be provided for and financed by the Community Facilities District are: (1 ) The cost to refinance and defease a portion of special tax bonds issued with respect to CFD No. 2; and (2) To cause the special taxes levied with respect to CFD No. 2 on taxable real property within the boundaries of the Community Facilities District to be deemed paid and satisfied. (b) The incidental expenses which will be incurred are all costs associated with the creation of the Community Facilities District , issuance of the bonds thereof, the determination of the amount of and collection of taxes, and the payment of taxes, and costs otherwise incurred in order to carry out the authorized purposes of the Community Facilities District. Section 2. Payment of Bonded Indebtedness. Pursuant to Section 4 of the Resolution of Formation, all parcels of taxable property within the Community Facilities District shall be subject to the levy of special taxes to pay 2 rvpub/kab/637328 the principal of and interest on the bonds thereof which may be issued and sold to to finance the Facilities which are of benefit to all such parcels. Section 3. Amount of Debt Terms of Bonds. The original aggregate principal amount of the bonded indebtedness to be incurred by the Community Facilities District shall not exceed $20,000,000. The maximum term of the bonds shall not exceed 35 years. The maximum annual rate of interest to be paid semiannually on the bonds shall not exceed 12 percent per annum or such other rate as may be the maximum interest rate permitted by law. Section 4. Proposition to be Submitted to Voters. The proposition to be submitted to the voters within the Community,Facilities District with respect to the proposed bonded indebtedness shall be as follows: Shall a bonded indebtedness in an original aggregate principal amount not to exceed $20,000,000 be incurred by and for City of San Jacinto Community Facilities District No. 2002-1 (Rancho San Jacinto, Phase 2) County of Riverside, State of California (the "Community Facilities District"), for a maximum term of not more than 35 years and with interest at a rate or rates not to exceed the maximum interest rate permitted by law, for the purposes of providing (i) The cost to refinance and defease a portion of special tax bonds issued with respect to CFD No. 2; (ii) To cause the special taxes levied with respect to CFD No. 2 on taxable real property within the boundaries of the Community Facilities District to be deemed paid and satisfied; and (iii) The incidental expenses which will be incurred are all costs associated with the creation of the Community Facilities District, issuance of the bonds thereof, the determination of the amount of and collection of taxes, and the payment of taxes, and costs otherwise incurred in order to carry out the authorized purposes of the Community Facilities District? Section 5. Elections. The date of the special election with respect to the incurring of the aforementioned bonded indebtedness, at which time the proposition set forth in Section 4 hereof shall be submitted to the voters of the Community Facilities District, is September 10, 2002, and that special election is hereby called for that date. The special election shall be consolidated with the special election with respect to the propositions for (i) the levy of special taxes for the payment of the principal of and interest on the bonds of the Community Facilities District and to pay or accumulate funds for paying the costs of public facilities, and (ii) establishing an appropriations limit for the Community Facilities District which have also been called for September 10, 2002. The consolidated special elections shall be conducted by mail ballot pursuant to applicable provisions of the California Elections Code with respect to mailballot elections of cities and specifically Division 4 (commencing with Section 4000) of that Code, insofar as they may be applicable. The voted official ballots shall be returned to 3 rvp u b/ka b/637328 the City Clerk of the City of San Jacinto by 4:00 o'clock p.m. on the date of the election; provided that the election shall be closed before such hour if the City s Clerk determines that all qualified electors have voted. k` Section 6 Accountability Measures. Pursuant to Section 53410 of the California 'Government Code, if the voters approve the propositions contained in the official ballots for the consolidated special elections with respect to the Community Facilities District incurring bonded indebtedness for the purposes for which such indebtedness is to be incurred and bonds of the Community Facilities District are to be issued (the "Bond Propositions"), the incurring of such bonded indebtedness and the issuance of bonds of the Community Facilities District shall be subject to the following accountability measures: (a) The Bond Propositions shall identify the specific purposes for which the bonds are to be issued; (b) The proceeds of the bonds shall be applied only for the specific purposes identified in the Bond Propositions; (c) An account or accounts shall be created pursuant to the fiscal agent agreement for such bonds into which the proceeds of the sale of such bonds, if any, shall be deposited; and (d) The chief financial officer of the City shall file a report with the City Council no later than January 2 of the calendar year beginning after the year in which the bonds are issued and annually thereafter, which shall contain the information required by Section 53411 of the California Government Code. 4 rvp u blka b1637328 APPROVED AND ADOPTED this 10th day of September, 2002. Ayes: Nays Absent: Abstain: City of San Jacinto rJim Ayr`s,Vice Mayor ATTEST: orothy*L. oLinard, City Clerk e 5 rvp u b/ka b/637328