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HomeMy WebLinkAboutResolution 2019-066RESOLUTION NO. 2019-066 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ATASCADERO, CALIFORNIA, FORMING AND ESTABLISHING IMPROVEMENT AREA NO. 1 OF COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SERVICES) OF THE CITY OF ATASCADERO, AND AUTHORIZING SUBMITTAL OF THE LEVY OF A SPECIAL TAX TO THE QUALIFIED ELECTOR AND CALLING AN ELECTION THEREIN WHEREAS, the City Council (the "City Council") of the City of Atascadero (the "City") has. by the adoption of Resolution 2019-054 (the "Resolution of Intention"), previously declared its intention to form an improvement area of a community facilities district pursuant to the terms and provisions of the "Mello -Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the "Act') for the purpose of providing an alternative method of financing the public services necessary to serve new development within such community facilities district, and WHEREAS, this improvement area of a community facilities district has been designated as Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public n Services) of the City of Atascadero ("CFD No. 2005-1 IA 1 "); and WHEREAS, notice of a public hearing related to the establishment of CFD No. 2005-1 IA 1, the extent of CFD No. 2005-1 IA 1, the financing of certain types of services by CFD No. 2005-1 IA 1 and all other related matters has been given, and a Community Facilities District Report, as ordered by this City Council, has been presented to this City Council and has been made a part of the record of the hearing to establish CFD No. 2005-1 IA 1; and WHEREAS, all communication relating to the establishment of CFD No. 2005-1 IA 1, the financing of certain types of services and the proposed rate and method of apportionment of special tax have been presented, and it has further been determined that a majority protest as defined by law has not been received against these proceedings; and WHEREAS, the Registrar of Voters of the County of San Luis Obispo has certified that there are no registered voters residing within the proposed boundaries of CFD No. 2005-1 IA l; and WHEREAS, inasmuch as there are no registered voters within the proposed boundaries of CFD No. 2005-1 IA 1 the authorization to levy special taxes within CFD No. 2005-1 IA 1 shall be submitted to the landowner of CFD No. 2005-1 IA 1, such landowner being the qualified n elector as authorized by law. City of Atascadero Resolution No. 2019-066 Page 2 of 6 NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of n Atascadero: I I SECTION 1. Recitals. The above recitals are all true and correct. SECTION 2. Determinations. It is hereby determined by the City Council that: A. All prior proceedings pertaining to the formation of CFD No. 2005-1 IA 1 were valid and taken in conformity with the requirements of the law. and specifically the provisions of the Act.. and this finding and determination is made pursuant to the provisions of the Government Code Section 53325.1. B. The written protests received, if any, do not represent a majority protest as defined by the applicable provisions of the Act and, therefore, the special tax proposed to be within CFD No. 2005-1 IA 1 has not been precluded by a majority protest pursuant to Section 53324 of the Government Code of the State of California. C. The formation of CFD No. 2005-1 IA 1 and such authorization to levy the special tax within CFD No. 2005-1 IA 1 to finance the Authorized Services identified below constitutes the creation of a government funding mechanism which does not involve the commitment to any specific project which may result in a potentially significant impact on the environment. Therefore, the formation of ( I CFD No. 2005-1 IA 1 and the authorization to levy the special tax within CFD No. 2005-1 IA 1 do not constitute a "project" which is subject to the provisions of the California Environment Quality Act (California Public Resources Code Section 21000 and following). D. No registered voters have resided within the territory of CFD No. 2005-1 IA 1 for each of the ninety (90) days preceding the close of the public hearing. therefore, pursuant to the Act the qualified elector of CFD No. 2005-1 IA I shall be the landowner of CFD No. 2005-1 IA 1 as such term is defined in Government Code Section 53317(f) and such landowner who is the owner of record as of the close of the public hearing pertaining to the formation of CFD No. 2005-1 IA 1. of the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that such landowner owns within CFD No. 2005-1 IA 1. E. The time limit specified by the Act for conducting an election to submit the levy of the special tax to the qualified elector of CFD No. 2005-1 IA 1 and the requirements for impartial analysis and ballot arguments have been waived with the consent of the qualified elector of CFD No. 2005-1 IA 1. n F. The City Clerk, acting as the election official, has consented to conducting any I I required election on a date which is less than 125 days following the adoption of the resolution forming and establishing CFD No. 2005-1 IA 1. City of Atascadero Resolution No. 2019-066 Page 3 of 6 SECTION 3. Community Facilities District Report. The Community Facilities District Report, as prepared pursuant to the Act and the Resolution of Intention and now submitted and received by this City Council, shall stand as the Community Facilities District Report for all future proceedings and all terms and contents are approved as set forth therein. SECTION 4. Name of the Community Facilities District. This legislative body does hereby establish and declare the formation of CFD No. 2005-1 IA 1 to be known and designated as "Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) of the City of Atascadero." SECTION 5. Boundaries of CFD No. 2005-1 IA I. The boundaries of CFD No. 2005-1 IA 1 are generally described as follows: All property as shown on the Boundary Map as previously approved by this City Council, such map designated as "Boundary Map of Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services), City of Atascadero, County of San Luis Obispo, State of California" (the "Boundary Map"). The Boundary Map has been filed pursuant to Sections 3111 and 3113 of the Streets and Highways Code of the State of California in the ^ Office of the San Luis Obispo County Recorder, in Book 6, Page 14 of Maps of Assessment and Community Facilities Districts and as Document No. 2019024797. SECTION 6. Description of Services. The public services authorized to be financed by CFD No. 2005-1 IA 1 are not replacing services already available within the boundaries of CFD No. 2005-1 IA 1. A general description of such (collectively, the "Authorized Services"). whether provided directly by the City or by a third party contracting with the City or CFD No. 2005-1 IA 1, that may be financed is set forth in Exhibit A attached hereto and incorporated herein by this reference. The City Council finds that the Authorized Services described in this Section 6 hereof are necessary to meet increased demands placed upon the City as a result of new development occurring within the boundaries of CFD No. 2005-1 IA 1. SECTION 7. Special Tax. Except where funds are otherwise available, a special tax sufficient to finance the Authorized Services (the "Special Tax") and related incidental expenses authorized by the Act, secured by recordation of a continuing lien against all non-exempt real property in CFD No. 2005-1 IA 1. For further particulars as to the Rate and Method of Apportionment of the proposed Special Tax, reference is made to Exhibit B (the "Rate and Method') n attached hereto and incorporated herein by this reference, which sets forth in sufficient detail the Rate and Method of Apportionment of the Special Tax to allow each landowner or resident within proposed CFD No. 2005-1 IA 1 to clearly estimate the maximum amount of Special Tax that such person will have to pay the Authorized Services. The Special Tax may not be prepaid. City of Atascadero Resolution No. 2019-066 Page 4 of 6 The Special Tax herein authorized, to the extent possible, shall be collected in the same ^ manner as ad valorem property taxes or in such other manner as this City Council or its designee I I shall determine, including direct billing of the affected property owners. Such Special Tax shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency as applicable for ad valorem taxes. Any Special Tax that may not be collected on the County tax roll shall be collected through a direct billing procedure by the City. Pursuant to Government Code Section 53340 and except as provided in Government Code Section 53317.3, properties of entities of the state, federal, and local governments shall be exempt from the levy of Special Tax. Upon recordation of a Notice of Special Tax Lien pursuant to Section 3114.5 of the Streets and Highways Code of the State of California, a continuing lien to secure each levy of the Special Tax shall attach to all non-exempt real property in CFD No. 2005-1 IA 1 and this lien shall continue in force and effect until collection of the special tax by the legislative body ceases. SECTION 8. Special Tax Accountability Measures. Pursuant to and in compliance with the provisions of Government Code Section 50075. 1, this City Council hereby establishes the following accountability measures pertaining to the levy by CFD No. 2005-1 IA 1 of the Special Tax Described in Section 7 above: n A. The Special Tax shall be levied for the specific purposes set forth in Section 7 I I above. B. The proceeds of the levy of the Special Tax shall be applied only to the specific applicable purposes set forth in Section 7 above. C. CFD No. 2005-1 IA t shall establish a separate account into which the proceeds of the special Tax shall be deposited. D. The Director of Finance/Treasurer of the City, or his designee, acting for and on behalf of CFD No. 2005-1 IA 1, shall annually file a report with the City as required pursuant to Government Code Section 50075.3. SECTION 9. Preparation of Annual Tax Roll. The name. address and telephone number of the office, department, or bureau which will be responsible for preparing annually a current roll of Special Tax levy obligations by Assessor's parcel number and which shall be responsible for estimating future special tax levies pursuant to section 53340.2 of the Government Code of the State of California, are as follows: City of Atascadero Community Development ^ 6500 Palma Avenue I I Atascadero, California 93422 (805)461-5000 City of Atascadero Resolution No. 2019-066 Page 5 of 6 SECTION 10. Election. This legislative body herewith submits the levy of the special taxes to the qualified elector of CFD No. 2005-1 IA 1, such elector being the landowner of the property within CFD No. 2005-1 IA 1, with such landowner having one (1) vote for each acre of portion thereof of land which he or she owns within the District. This legislative body hereby further directs that the ballot proposition relating to the levy of the above referenced special taxes within CFD No. 2005-1 IA 1 be combined and consolidated with the proposition set forth in Section 11 below relating to the establishment of an appropriations limit for CFD No. 2005-1 IA 1. The Proposition related to the levy of the special taxes and establish an appropriations limit for CFD No. 2005-1 [A 1, shall be submitted to the qualified elector of CFD No. 2005-1 IA 1 at a special election to be held on (a) July 26, 2019, immediately following the adoption of this resolution or (b) such other date as the qualified elector and the City Clerk may mutually agree and such election shall be a special election to be conducted by the City Clerk (hereinafter referred to as the ("Election Official"). If the proposition for the levy of the special taxes receives the approval of more than two-thirds (2/3rds) of the votes cast on the proposition, the special tax thereby approved may be levied as provided for in this Resolution. SECTION 11. Ballot Propositions. The ballot proposals to be submitted to the ^ qualified elector of CFD No. 2005-1 IA 1 at the election shall generally be as follows: !I I Proposition A Shall the City Council of the City of Atascadero be authorized to levy a special tax on an annual basis at the rates and apportioned as described in Exhibit B to the Resolution Declaring its Intention to Establish Improvement Area No. 1 of Community Facilities District No. 2005-1 (Maintenance Services) adopted by the City Council on June 11, 2019 (the "Resolution"), which is incorporated herein by this reference, within the territory identified -on the map entitled "Boundary Map Improvement Area No. 1 Community Facilities District No..2005-1 {Public Services) City of Atascadero, County of San Luis Obispo" to finance certain services asset forth in Section 5 to the Resolution (including incidental expenses), and shall aA appr_opriation-limit _Ge established for the Community Facilities District No. 2005-1 IA 1 (Wublic7Servitsle in the amount of special taxes collected? SECTION 12. Vote. The appropriate mark placed in the voting square following the word "YES" shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the voting square following the word "NO" in the manner as authorized, shall be counted against the adoption of such proposition. SECTION 13. Election Procedure. The Election Official is hereby authorized to take Iany and all steps necessary for holding the above election. The Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of the election, including but not limited to, the following: City of Atascadero Resolution No. 2019-066 Page 6 of 6 I . Prepare and furnish the necessary election supplies for the conduct of the election ^ ?. Cause to be printed the requisite number of official ballots, tally sheets and other ' necessary forms. 3. Furnish official ballots for the qualified elector of CFD No. 2005-1 IA 1. 4. Cause the official ballots to be presented to the qualified elector, as required by law. 5. Receive the returns of the election and supplies 6. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. 7. Canvass the return of the election. 8. Furnish a tabulation of the number of votes given in the election. 9. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. SECTION 14. Effective Date. This Resolution shall become effective upon its adoption. PASSED AND ADOPTED at a regular meeting of the City Council held on the 26th day of July, 2019. On motion by Council Member Fonzi and seconded by Mayor Pro Tem Bourbeau, the foregoing Resolution is hereby adopted in its entirety on the following roll call vote: n AYES: Council Members Bourbeau, Fonzi, Funk, Newsom and Mayor Moreno f I NOES: None ABSENT: None ABSTAIN: None APPROVED AS TO FORM: 6&, t�� Brian Pierik, City Attorney CITY OF ATASCADERO Heather Moreno, Mayor n F" EXHIBIT A DESCRIPTION OF AUTHORIZED SERVICES IMPROVEMENT AREA NO. 1 OF COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SERVICES) The services which CFD No. 2005-1 IA 1 is authorized to finance are in addition to those provided in or required for the territory within CFD No. 2005-1 IA 1 and will not be replacing services already available. A general description of the services to be financed is as follows: POLICE AND FIRE SERVICES Police services and fire protection and suppression services (the "Services") of the City of Atascadero required to sustain the service delivery capability for emergency and non- emergency services to new growth areas of the City of Atascadero, including but not limited to, related facilities, equipment, vehicles, ambulances and paramedics, fire apparatus, services, supplies and personnel; provided, however, that any increases in special taxes for costs related to employee wages and benefits shall be limited as provided in the Rate and Method of Apportionment of the Special Taxes to fund such Services. POR PARK SERVICES Park services of the City of Atascadero required for the operation and maintenance of public parks. The City of Atascadero is authorized to finance and direct administrative and incidental annual costs and expenses necessary to provide the maintenance and servicing for public services. No additional services will be necessary or provided in CFD No. 2005-1 and the services as described for CFD No. 2005-1 IA 1 will serve the properties within CFD No. 2005-1 IA 1. It is presently intended that the services will be provided, without preference or priority, to the existing territory in CFD No. 2005-1 IA 1. The above services shall be limited to those provided within the boundaries of CFD No. 2005-1 IA 1 or for the benefit of the properties within the boundaries of CFD No. 2005-1 IA 1 and said services may be financed by proceeds of the special tax of CFD No. 2005-1 IA 1 only to the extent that they are in addition to those provided in the territory of CFD No. 2005-1 IA 1 before CFD No. 2005-1 IA 1 was created. I n EXHIBIT B CITY OF ATASCADERO IMPROVEMENT AREA NO. 1 OF COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SERVICES) RATE AND METHOD OF APPORTIONMENT A Special Tax of Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) of the City of Atascadero ("CFD") shall be levied on all Assessor's Parcels in the CFD and collected each Fiscal Year commencing in Fiscal Year 2019-20 in an amount determined by the City through the application of the rate and method of apportionment of the Special Tax set forth below. All of the real property in the CFD, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final subdivision map, other final map, other parcel map, other condominium plan, or functionally equivalent map or instrument recorded in the Office of the County Recorder. The square footage of an Assessor's Parcel is equal to the Acreage multiplied by 43,560. "Act" means the Mello -Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the actual or estimated costs incurred by the City as administrator of the CFD to determine, levy and collect the Special Taxes, including salaries, benefits and overhead costs of City employees whose duties are directly related to administration of the CFD and the fees of consultants, legal counsel, the costs of collecting installments of the Special Taxes upon the general tax rolls, preparation of required reports; and any other costs required to administer the CFD as determined by the City. "Affordable Unit(s)" means dwelling units located on one or more Assessor's Parcels of Residential Property that are subject to deed restrictions, resale restrictions, and/or regulatory agreements recorded in favor of the City providing for affordable housing. Affordable Units will require annual application to the City for verification of their affordable housing status. The City will have the authority to approve and establish policies regarding Affordable Housing Dwelling Units and their status. Affordable dwelling units shall be classified as Affordable Units by the CFD Administrator in the chronological order in which the building permits for such property are issued. "Annual Escalation Factor" means the greater of, five percent (5%) or the annual percentage change in the Consumer Price Index (CPI) of "All Urban Consumers" for the San Francisco -Oakland -San Jose Area or comparable index if such index is no longer in use. "Approved Property" means an Assessor's Parcel and/or Lot in the District, which has a Final Map recorded prior to January 1st preceding the Fiscal Year in which the Special Tax is being levied, but for which no building permit has been issued prior to the May 1" preceding the Fiscal Year in which the Special Tax is being levied. The term "Approved Property" shall apply only to Assessors' Parcels and/or Lots, which have been subdivided for the purpose of residential or commercial development, excluding any Assessor's Parcel that is designated as a remainder parcel determined by final documents and/or maps available to the CFD Administrator. "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned assessor's parcel number. "Assessor's Parcel Map" means an official map of the Assessor of the County designating parcels by assessor's parcel number. "Base Year" means Fiscal Year ending June 30, 2019. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD" means Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) of the City of Atascadero. "City" means the City of Atascadero. "Council" means the City Council of the City of Atascadero, acting as the legislative body of the CFD. "County" means the County of San Luis Obispo, California. "Developed Property" means all Taxable Property, exclusive of Property Owner Association Property, or Public Property, for which a building permit was issued after July 1, 2019 and prior to May 1st preceding the Fiscal Year in which the Special Tax is being levied. "Final Map" means an Assessor's Parcel Map, a final subdivision map, other parcel map, other final map, other condominium plan, or functionally equivalent map that has been recorded in the Office of the County Recorder. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Land Use Class" means any class provided for in Title 9 of the City's Municipal Code, or other such similar document, as determined by the CFD Administrator. "Lot" means property within a recorded Final Map identified by a lot number for which a building permit has been issued or may potentially be issued. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section C below that can be levied in the CFD in any Fiscal Year on any Assessor's Parcel. "Multi -Family Residence" means all Assessor's Parcels of Developed Property for which a building permit has been issued for a residential structure consisting of two or more residential units that share common walls, including, but not limited to, duplexes, triplexes, townhomes, condominiums, apartment units, and secondary units as defined in Ordinance No. 454, "Mixed -Use Residential Property" means all Lot(s) for which one or more building permit(s) has been issued for a combination of non-residential and residential uses. "Mixed -Use Residential Property— Qualified" means all Lot(s) classified as Mixed -Use Residential Property which meet all of the following criteria: 1. Located in the Downtown Commercial Zoning District as defined by Title 9 of the City's Municipal Code. 2. Has a substantial Quality Retail component, which must not be less than 30% of the total square foot space, as determined by the CFD Administrator. 3. Is located within a building that is vertical mixed-use with commercial uses on the ground floor. 4. The building must be of superior quality and architecture, as determined by the CFD Administrator. 5. Must be maintained at the same level as the City maintains similar properties throughout the City, as determined by Council. "Non -Residential Property" means all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for a non- residential use and does not contain any Residential Units as defined under Residential Property or Multi -Family Residence. "Park Services" means the estimated and reasonable costs for maintaining authorized parks within the City. "Property Owner Association Property" means any property within the boundaries of the CFD that is owned by, or irrevocably dedicated as indicated in an instrument recorded with the County Recorder to, a property owner association, including any master or sub -association. "Proportionately" means in a manner such that the ratio of the actual Special Tax levy to the Maximum Special Tax is equal for all applicable Assessor's Parcels. "Public Property" means any property within the boundaries of the CFD that is, at the time of the CFD formation or at the time of an annexation, expected to be used for rights-of-way, parks, schools or any other public purpose and is owned by or irrevocably offered for dedication to the federal government, the State, the County, the City or any other public agency. "Public Safety Costs" means the estimated and reasonable costs of providing Public Safety services, including but not limited to (i) the costs of contracting for police and fire services, (ii) related facilities, equipment, vehicles, ambulances and paramedics, fire apparatus, supplies, (iii) the salaries and benefits of City staff if the City directly provides police and fire protection services, and (iv) City overhead costs associated with providing such services within the CFD. The Special Tax provides only partial funding for Public Safety. "Quality Retail" means a land use pursuant to Title 9, Chapter 3 of the Atascadero Municipal Code, including but not limited to: Bar/Tavern, Eating & drinking places, Microbrewery — brewpub, Tasting room, Artisan Foods & products, General retail and Hotels/Motels, all as determined by the CFD Administrator. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more Residential Units, as determined by the CFD Administrator. "Residential Unit" means any residence in which a person or persons may live, which comprises an independent facility capable of conveyance separate from adjacent residential dwelling units and is not considered to be for commercial or industrial use. This includes Single -Family Residence and Multi - Family Residence. "Single -Family Residence" means all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for purposes of constructing one residential dwelling unit. "Special Tax" means the Special Tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement, and shall include Special Taxes levied or to be levied under Sections C and D, below. "Special Tax Requirement" means that amount required in any Fiscal Year for the CFD to: (i) pay for Public Safety Costs; (ii) pay for Park Services; (iii) pay reasonable Administrative Expenses; (vi) pay any amounts required to establish or replenish any reserve funds; and (v) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous Fiscal Year, less any surplus of funds available from the previous Fiscal Year's Special Tax levy. 01"! "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of the CFD that are not exempt from the Special Tax pursuant to law or as defined below. "Tax -Exempt Property" means an Assessor's Parcel not subject to the Special Tax. Tax -Exempt Property includes: (i) Public Property, (ii) Property Owner Association Property, and (iii) property designated by the City or CFD Administrator as Tax -Exempt Property. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property or Approved Property, including an Assessor's Parcel that is designated as a remainder parcel and is not identified as potential Public Property by any final document and/or maps available to the CFD Administrator. B ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year using the definitions above, all Taxable Property within the CFD shall be classified as Developed Property, Approved Property, or Undeveloped Property. Developed Property shall further be classified as Non -Residential Property, Residential Property, Mixed -Use Residential Property or Mixed -Use Residential Property -Qualified and shall be subject to Special Taxes pursuant to Sections C and D below. C. MAXIMUM SPECIAL TAX RATE 1. Developed Property TABLET Maximum Special Tax for Residential Property Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) R= tion_ Maximum Special Tax Per Unit Residential Units $679.84 per Unit j Affordable Units $0 per Unit On each July 1, commencing July 1, 2020, the Maximum Special Tax Rates shall be increased in accordance with the Annual Escalation Factor. TABLE 2 Maximum Special Tax for Mixed -Use Residential Property and Mixed -Use Residential Property - Qualified Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) Description Maximum Special Tax Per Residential Unit Mixed -Use Residential Property $679.84 per Unit j Mixed -Use Residential Property- Qualified $441 90 per Unit On each July 1, commencing July 1, 2020, the Maximum Special Tax Rates shall be increased in accordance with the Annual Escalation Factor. 2. Approved Property TABLE 3 Maximum Special Tax for Approved Property Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) Description Maximum Special Tax Per Lot Approved Property $356.92 per Lot On each July 1, commencing July 1, 2020, the Maximum Special Tax Rate shall be increased in accordance with the Annual Escalation Factor. n 17 3. Non -Residential Property TABLE 4 Maximum Special Tax for Non -Residential Property Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) Description- Maximum Special Tax Per Acre Non -Residential Property $2,855.33 per Acre The minimum special tax Non -Residential Property shall be subject to is $77.25 per parcel. On each July 1, commencing July 1, 2020, the Maximum Special Tax Rate for Non -Residential Property shall be increased in accordance with the Annual Escalation Factor. 4. Undeveloped Property Undeveloped Property will be assigned a Maximum Special Tax Rate of $633.49 per acre or portion thereof, with a minimum rate of $154.51 for Undeveloped Property less than or equal to one-fourth (1/4) of an Acre as described in Table 4. TABLE 5 Maximum Special Tax for Undeveloped Property Improvement Area No. 1 of Community Facilities District No. 2005-1 (Public Services) Description Maximum Special Tax Per Parcel/Acre Undeveloped Property $154.51 per Parcel 1/4 Acre Undeveloped Property $633.49 per Acre >1/4 Acre On each July 1, commencing July 1, 2020, the Maximum Special Tax Rate, for Undeveloped Property, shall be increased in accordance with the Annual Escalation Factor D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2019-20, and for each following Fiscal Year, the CFD Administrator shall calculate the Special Tax Requirement based on the definitions in Section A and levy the Special Tax until the amount of the Special Tax levied equals the Special Tax Requirement. Step 1: The Special Tax shall be levied each Fiscal Year on each Assessor's Parcel of Developed Property classified as Residential Property, Mixed -Use Residential Property or Mixed -Use Residential Property- Qualified Proportionately up to 100% of the applicable Maximum Special Tax. Step 2: If the Special Tax Requirement has not been satisfied by the first step, then the Special Tax shall be levied each Fiscal Year on each Assessor's Parcel of Approved Property up to 100% of the applicable Maximum Special Tax for Approved Property. Step 3: If the first two steps have not satisfied the Special Tax Requirement, then the Special Tax shall be au levied each Fiscal Year on each Assessor's Parcel of Developed Property which is classified as Non - Residential Property up to 100% of the applicable Maximum Special Tax. Step 4: Lastly, if the preceding steps have not satisfied the Special Tax Requirement, then the Special Tax shall be levied each Fiscal Year on each Assessor's Parcel of Undeveloped Property up to 100% of the applicable Maximum Special Tax for Undeveloped Property. E.APPEALS Any taxpayer that believes that the amount of the Special Tax assigned to a Parcel is in error may file n a written notice with the CFD Administrator appealing the levy of the Special Tax. This notice is ( I required to be filed with the CFD Administrator during the Fiscal Year the error is believed to have occurred. The CFD Administrator or designee will then promptly review the appeal and, if necessary, meet with the taxpayer. If the CFD Administrator verifies that the tax should be changed the Special Tax levy shall be corrected and, if applicable in any case, a refund shall begranted. F. MANNER OF COLLECTION Special Tax as levied pursuant to Section D above shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that the CFD Administrator may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet the financial obligations of the CFD or as otherwise determined appropriate by the CFD Administrator. G. TERM OF SPECIAL TAX The Special Tax shall be levied in perpetuity or until such time as Council terminates the Special Tax. H. INTERPRETATION Council may interpret this Rate and Method of Apportionment of Special Tax by ordinance or resolution for purposes of clarifying any vagueness or ambiguity. Any decision of Council shall be final and binding as to all persons.