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HomeMy WebLinkAboutReso 2016-144 RESOLUTION NO. ZO16-1�4 RESOLUTIOl�' OF THE CITl' COLTNCIL OF THE CITy OF CHULA V"ISTA. CALIFORI�'IA. ACTII�'G AS THE LEGISLATIVE BODl' OF COMT4U2�'ITY FACILITIES DISTRICT ?�'O. 97-2 (PRESER\'E I�4.AII�'TEI�'P.NCE DISTRICT), n�IAKING CERTAIIv DETERI�4I?�'ATIONS A:�D AUTHORIZII�'G SUB?�9ITTAL OF LE\'Y OF SPEC[AL TF.XES TO THE QUALIFIED ELECTORS OF CERTAII�' TERRITORI' PROPOSED TO BE AI�TTEXED TO COA4MUI�'ITY FACILITIES DISTRICT ?�O. 97-2 (PRESER\%E h4AIIvTENAI�CE DISTRICT) AND IA4PROVEA9EI�'T AREA "C" THERETO WI-IEREAS. the CIT1' COLJNCIL of the CITY OF CHULA VISTA. CALIFORi\'IA. ("Cit�� Council"). formed a Communitv Facilities District and desienated certain improvement areas therein pursuant to the terms and provisions of the "Mello-Roos Community Facifities.Act of 1982`; beine Chapter 2.�, Part 1, Di��ision 2, Title � of the Go��ernment Code of the State of- California (the "Acr'). and the Citv of Chula V'ista Communit}� Facilities District Ordinance enacted pursuant to the powers resen�ed b}� the Cin� of Chula Vista under Sections 3, � and 7 of Article XI of the Constirution of the State of Califomia (the "Ordinance ') (the Act and the Ordinance may be referred to collectiveh� as the "Community Facilities District Law`). The Communin� Facilities District has been designated as COMMUI�TITY FACILITIES DISTR[CT NO. 97-2 (PRESERVE MAII�'TENANCE DISTRICT) (the "Districr') and the Improvement Areas ���ere desianated as IMPROVEMENT AREA ��A." [MPROVEMENT AREA "B" and IMPROVEMEI�rT AREA "C" of such District: and WHEREAS: the Cit�� Council. at the request of the o��mer of that propem� l:no��m as Villa2e 3 located ��ithin the Ota�� Ranch, initiated proceedings pursuant to the Communitv Facilities District La��° to annex such territon� to the District and Improvement rlrea "C" thereto; and �i'HEREAS, notice of a public hearin_ relating to the annexation of such temton� to the District and Impro��ement Area "C,' the estent of the territory to be anne�ed, the fumishine of certain public sen�ices and all other related matters has been gi��en; and WI-IEREAS, the temton� proposed to be anne�ed is I:no���n and designated as COn4ATUI�'ITY F.ACILITIES DISTRIC7 I�'O. 97-2 (PRESERVE A4.AII�TTENANCE DISTR[CT), IMPRO\%EMEI�'T AREA ��C." AIv:VEXATION \O. 10 (the "Temton�`); and V1�HEREAS. it has no��� been determined that ���ritten protests have not been recei��ed b�� �0% or more of the registered ��oters residing either H�ithin the Temtor�� or Impro��ement Area "C ' and/or propem o�vners representine more than one-half (1/2) or more of the area of land N�ithin the Territor�� or�aithin Impro��ement Area `C'; and Resolution No. 2016-]44 Paee No. 2 WHEREAS, inasmuch as there have been ]ess than twelve (12) persons registered to vote within the Territory for each of the 90 preceding days, this legislative body desires to submit the levy of the required special tax to the landowners of the Territory, such landowners being the qualified electors as authorized by law. NOW. THEREFORE. BE IT RESOLVED AS FOLLOWS: SECTION 1. Recitals. The above recitals are all true and correct. SECTION 2. Determinations. It is determined by this City Council that: (a) all proceedings prior hereto were valid and taken in conformity with the requirements of laN�, and specifically the provisions of the Community Facilities District Law, and this finding is made pursuant to the provisions and authorization of Section 53325.1 of tl�e Government Code of the State of California; (b) the annexation of the Territory to Improvement Area "C" as proposed conforms ���ith the City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Pacilities Districts; (c) less than twel��e (12) registered voters have resided within the Territory for each of the ninety (90) days preceding the close of the public hearing and, consequently, the qualified electors shall be the landowners of the Territory and each landowner who is the owner of record as of the close of the public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that she or he owns within the Territory; (d) the time limit specified by the Community Facilities District Law for conductine an election to submit the le�ry� of the special tases to the qualified electors of the Territory and the requirements for impartial anal}�sis and ballot arguments have been waived with the unanimous consent of the qualified electors of the Territory; (e) the City Clerk, actin� as the election official, has consented to conducting any required election on a dafe which is less than 125 days following the adoption of any resolution annexing the Territory to the District and Improvement Area "C" thereto; and (� the public services described in Section 4 herein proposed to be financed from the proceeds of special taxes to be le��ied within the Temton- are necessary to meet increased demands placed upon the City as a result of de��elopment and/or rehabilitatiou occurring in the Territory. � Resolution \o. 2016-144 Paae No. 3 SECTION 3. Boundaries of the Temton�. The boundaries and pazcels of land the Territory and in which the public services are to be provided and on �fiich special taxes ��ill be levied in order to pa}� the costs and eapenses for such public services are senerall�� described as folloN�s: � All that Territor�� proposed to be annexed to the District and [mpro��ement Area "C" thereto, as such propem� is sho��m on a map as pre��iouslv approved bv this legislative bod��_ such map entitled `:Annexation ?�4ap No. ]0 of Communin- Facilities District No. 97-2 (Presen�e n4aintenance District), Cim Of Chula Vista, Countv Of San Dieso, State Of Califomia` (the "Annexation Map�'), a cop�- of «�hich is on file in the Office of the Ciri� Clerk and shall remain open for public inspection. The .Annexation h4ap has been filed in the Office of the San Dieao Counn- Recorder. in Book 4�, Paee 70 of n9aps of Assessment and Communin� Facilities Districts and as Document\'o. 2016-7000237. SECTION 4. Descrintion of Sen�ices. The sen ices that are authorized to be financed b�� the District from the proceeds of special tales le�ied ���ithin [mprovement Area "C" are certain services ti�hich are in addition to those sen�ices that ���ere pro��ided in or required for Improvement Area "C` prior to the formation of the District and the desienation of Impro��ement Area "C" and did not replace sen�ices alread�� a��ailable in the District or Improvement Area "C" at the time of formation of the District and the desienation of]mpro��ement Area "C". A Qeneral description of the services authorized ro be financed b}� the District ti�ithin [mprovement Area "C" is as folloti�s: The monitorino, maintenance. operation and manasement of public propert}� in which the Cirv has a propeR}� interest and �vhich conforms to the requirements of the Ordinance or private property within the Ota�� Ranch Presen�e which is required by the Presen e O���ner/1�4anager to be maintained as open space or for habitat maintenance or both. Such propert}� may be located outside the boundaries of the District and outside the jurisdictional boundaries of the Cit�� of Chula Vista. Such senices shall not include the maintenance. operation and/or management of am� propertv o���ned, maintained, operated and/or manased b�� the federal and/or state sovemment as open space. habitat maintenance and/or for an}� other purpose. The District shall finance all direct. administrative and incidental annual costs and e�penses necessarv to provide such monitorine, maintenance, operation and manasement of such public property. The same t�pes of senices which are authorized to be financed b� the District from the proceeds of special ta�es le�ied �i�ithin Impro��ement Area "C" are the tvpes of sen ices to be financed from the proceeds of special ta�es le��ied ��ithin the 7�emton�. [f and to the estent possible such sen�ices shall be pro��ided in common �cithin the District and the Territor��. � Resolution No. 2016-144 Pa�e No. 4 SECTIOl�' S. S�ecial Tax. Except where funds are otherwise available, a special taz sufficient to pa�� for such sen-ices and related incidenta] expenses authorized bv the Communiri� Facilities District Law; secured by recordation of a continuing lien against all non-exempt real property in the Territory, will be le��ied annually within the boundaries of such Territory. For further particulars as to the rate and method of apportionment of the proposed special taa, reference is made to the attached and incorporated Eahibit "A" (the `Improvement Area `C' Rate and Method"), which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed Territory to clearly estimate the maaimum amount that such person will have to pay. The special tax proposed to be levied within the Territory shall be equal to the special taa le��ied to pay for the same services in Impro��ement Area "C," except that a hi�her or lower special tax may be le��ied H�ithin the Territor}� to the extent that the actual cost of providing the services in the Territory is higher or ]ower than the cost of providing those services in Improvement Area `C." Notwithstanding the foregoing. the special tax may not be le��ied at a rate which is higher that the maximum special tax authorized to be levied pursuant to the Improvement Area "C" Rate and Method. The special taaes herein authorized, to the extent possible, shall be collected in the same manner as ad valorem property ta�es and 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 taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer. The maximum special tax rate in Impro��ement Area "C° shall not be increased as a result of the annexation of the Territory to lmprovement Area "C." SECTION 6. Election. The proposition related to the levy of the special taa shall be submitted to the qualified electors of the Territory, such electors being the landowners, with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within such annexed territory. The special election shall be held on July 12, 2016 immediateh� following the adoption of this Resolution, and such election shall be a special election to be conducted by the City Clerk (hereinafrer "Election Official"). If the proposition for the levy of the special tax recei��es the approval of more than two-thirds (2/3) of the votes cast on the proposition, the special tax may be levied as provided for in this Resolution. SECTTON 7. Ballot. The ballot proposal to be submitted to the qualified electors at the election shall generally be as follows: Resolution No. 20]6-I 4� Pa�e No. � PROPOSITIO?�' .A C[T1' OF CHliLA V'ISTA COA4MLJI�TITY FACILITIES DISTRICT NO. 97-2. I?�4PROVEI�4ET'T AREA `C" ��'�EXATIOI�' NO. 10 AUTHORIZATION FOR SPECIAL TA� LEVY Shall Communiro Facilities District No. 97-2 (Preserve Maintenance District) of the Citv of Chula Vista be authorized to ]e��v special taxes within the temton� identified as Annexation ?�'o. 10 to Improvement Area "C' of such District pursuant to the rate and method of apportionment of special ta�;es (the "Impro��ement Area `C' Rate and Method") attached to this ballot to finance the authorized sen�ices and administrative espenses and to fund and replenish a resen�e fund; ai as pro��ided for in the Improvement .Area `C' Rate and A4ethod? SECTION 8. V"ote. The appropriate mark placed in bo� adjacent to the word "YES" shall be counted in fa�or of the adoption oF the proposition. and the appropriate mark placed in the box adjacent to the w�ord "I�'O" in the manner as authorized, shall be counted against the adoption of such proposition. SECTION 9. Election Procedure. This Cim Council herebv authorizes the Election Official to take an�� and all steps necessan� for the holding of such election and ratifies an�� such steps pre��iouslv taken b�� such Election Official «hich H�ere necessar}� for the holdine of such election. Such Election Official shall perform and render all sen�ices and proceedings incidental to and connected tiith the conduct of such election. and such services shall include. but not be limited to the followine: (a) Prepare and furnish ro the election officers necessary election supplies for the conduct of the election. (b) Cause to be printed the requisite number of official ballots, tall�� sheets and other necessarv forms. (c) Fumish and address official ballots for the qualified electors of the Territor��. (d) Cause the official ballots to be mailed and/or delivered, as required b}� IaN�. (e) Receive the retums of the election. (� Sort and assemble the election material and supplies in prepara[ion for the cam�assins of the retums. (e) Cam�ass the retums of the election. (h) Fumish a tabulation of the number of��otes �i��en in the election. Resolution No. 20]6-144 Page No. 6 (i) Make all arranoements and take the necessary steps to pay all costs of the election incurred as a result of services performed for the District and pa�� costs and eapenses of all election officials. (j) Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by lav��. Presented Approved as to form by �/[, Kelly roughton. FASLA Glen R. oogins� Director of Developmental Services tv orney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, Califomia_ this 12th day of July 2016 by the following vote: � AYES: Councilmembers: Aguilar, Bensoussan, McCann; Miesen, and Salas NAYS: Councilmembers: None ABSENT: Councilmembers: None ��� ,� Mary alas, Mayor ATTEST: ��-�.�.- ���,� Donna�CMC. Citv Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Donna R. Norris; Cit}� Clerk of Chu]a Vista, California, do l�ereby certify that the foregoing Resolution No. 2016-144 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Counci] held on the 12th day of July 2016. Executed this 12th day of July 2016. �-��� Donna R. Norris, CMC; City Clerk Resolution ?�'o. 2016-144 Pase No. 7 EaHIBIT "A" Rate and Method of Apportionment of Special Tax City of Chula Vista Community Facilities District No. 47-2 (PRESERVE MAINTENANCE DISTRICT) Improvement Area C Annexation No. 10 A Special Tax of Community Facilities District No. 97-2 (Preserve Maintenance District) of the City of Chula Vista ("CFD") shall be levied on all Assessor's Parcels in Annexation No. 10 of Improvement Area C of the CFD and collected each fiscal Year commencing with Fiscal Year 2017-2018 in an amount determined through the application of the rate and method of apportionment of the Special Tax set forth below. All of the real property within Annexation No. 10 of Improvement Area C of 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. "Ad" 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, acting for and on behalf of the CFD as the administrator thereof, to determine, levy and collect the Special Taxes, including salaries of City employees and a proportionate amount of the City's general administrative overhead related thereto, and the fees of consultants and legal counsel providing services related to the administration of the CFD; the costs of collecting installments 1 _ Resolution No. 2016-144 Paee No. 8 . of the Special Taxes; and any other costs required to administer Area C of the CFD as determined by the City. "Assessor's Parcel" or "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. "Building Square Foot or Square Footage" means the square footage as shown on an Assessor's Parcel's building permit of Residential Property excluding garages or other structures not used as living space. "CFD Administretor" 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 Community facilities District No. 97-2 (Preserve Maintenance District) of the City of Chula Vista. "City" means the City of Chula Vista. "City Clerk" means the City Clerk for the City of Chula Vista or his or her designee. "City Manager" means the City Manager for the City of Chula Vista or his or her designee. "Community Purpose Facility Property" or "CPF Property" means all Assessor's Parcels which are classified as community purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2883. "Council" means the City Council of the City of Chula Vista, acting as the legislative body of the CFD. "County" means the County of San Diego, California. "Developed Property" means all Taxable Property for which a building permit was issued prior to the March lst preceding the Fiscal Year in which the Special Tax is being levied. "Final Map Property" means any residential lot or non-residential lot created by a Final Subdivision Map, but which is not classified as Developed Property. "Final Subdivision Map" means a subdivision of property creating residential or non-residential buildable lots by recordation of a final subdivision map or parcel map pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.), or recordation of a condominium plan pursuant to California Civil Code 1352, that creates individual lots for which � Resolution No. 2016-144 Paee I�'o. 9 building permits may be issued without further subdivision and is recorded prior to March 1 preceding the Fiscal Year in which the Special Tax is being levied. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Improvement Area C" or "Area C" means Improvement Area C of the CFD, as identified on the boundary map for the CFD as amended from time to time. "Land Use Class" means any of the classes listed in Table 1, Table 2, or Table 3. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section C below that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Non-Residential Property" means all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for a structure or structures for non-residential use. "Operating Fund" means a fund that shall be maintained within the CFD for each Fiscal Year to pay for Resource Monitoring and/or Preserve Operations and Maintenance activities and Administrative Expenses. "Opereting Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the Resource Monitoring Fund Requirement and the Preserve Operations and Maintenance Fund Requirement for the current Fiscal Year in which Special Taxes are levied. "Preserve Operations and Maintenance" means those activities described in Attachment A hereto which is incorporated herein by this reference. "Preserve Operations and Maintenance Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Property Owner Association Property" means any property within the boundaries of Area C 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. "Public Property" means any propeRy within the boundaries of Area C of the CFD that is, at the time of the CFD formation, expeded to be used for any public purpose and is owned by or dedicated to the federal government, the State, the County, the City or any other public agency. "Reserve Fund" means a fund that shall be maintained for the CFD each Fiscal Year to provide necessary cash flow for the first six months of each Fiscal Year, working capital to cover monitoring, maintenance and repair cost overruns and delinquencies in the payment of Special Taxes and a reasonable buffer to prevent large variations in annual Special Tax levies. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at ihe end of the preceding Fiscal Year. 3 _._ . .. .. _.. _ .. Resolution No. 2016-144 Page No. 10 "Reserve Fund RequiremenY' means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for purposes of constructing one or more residential dwelling unit. "Resource Management Plan" means the Otay Ranch Phase 1 Resource Management Plan also referred to as "The Otay Ranch Resource Management Plan" dated October 28, 1993, and the Otay Ranch Phase 2, Resource Management Plan dated lune 4, 1996, as both such plans may be amended from time to time. "Resource Monitoring Progrem" means those described in Attachment B hereto which is incorporated herein by this reference. "Resource Monitoring Fund Requirement" means for any Fiscal Year an amount for each Improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrative Expenses of the CFD for the current Fiscal Year in which Special Taxes are levied. Improvement Area C's "fair share" shall be based on Improvement Area C's percentage of the total acreage within the Otay Ranch General Development Plan Planhing Area for which a Resource Monitoring Program funding mechanism has been esteblished. "Special Tax" means the Special Tax levied pursuant to the provisions of sections C and D below in each Fiscal Year on each Assessor's Parcel of Developed Property and Undeveloped Property in Area C to fund the Special Tax Requirement. "Special Tax Requirement" means that amount required in any Fiscal Year for Area C to: (i) pay the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating fund Balance, and (ii) pay any amounts required to establish or replenish the Reserve Fund to the Reserve Fund Requirement; (iii) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous Fiscal Year. "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of Area C of the CFD that are not exempt from the Special Tax pursuant to law or as defined below. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property. B. ASSIGNMENT TO CATEGORIES OF SPECIAL TAX Each Fiscal Year using the definitions above, all Taxable Property within Annexation No. 10 of Improvement Area C of the CFD shall be classified as Category I, Category II, Category III or Exempt as defined in Section C. The Taxable Property shall further be classified as Developed Property, Final Map Property or Undeveloped Property and shall be subject to Special Taxes pursuant to Sections C and D below. Developed Property shall be further assigned to a Land Use Class as specified in Table 1. � Resolution \o. 2016-14� Pase \o. 11 C. MAXIMUM SPECIAL TAX RATE CATEGORYI Category I includes Developed Property within the District ("Category I"). The Maximum Special Tax for the Resource Monitoring Program, and Preserve Operations and Maintenance for Fiscal Year 2016-2017 on Developed Property are the rates set forth in Tabie 1 below. For Residential Property, the Special Tax shall be levied based upon euilding Square Footage and for Non-Residential Property shall be levied based on Acreage. TABLE 1 Maximum Special Tax for Category I Community Facilities District No. 97-2 Improvement Area C (Fiscal Year 2016-2017) Description Resource Operation & Total Monitoring Maintenance � Residential � 50.0076/sq ft � 50.0119/sq ft � 50.0195/sq ft � � Non-Residential � $123.0613/acre � 5195.3689/acre � 5318.4302/acre � CATEGORYII � Category II includes each Assessor's Parcel of Taxable Property within the District for which a Final Map has been recorded, but which is not dassified as a Developed Parcel ("Category II"). The Maximum Speciai Tax for the Resource Monitoring Program, and Preserve Operations and Maintenance approved for Fiscal Year 2016-2017 on each Assessor's Parcel in Category I� is the rate set forth in Table 2 below (said amount to be levied pro rata for any portion of an Acre). TABLE 2 Maximum Special Tax for Category II Community Facilities District No. 97-2 Improvement Area C (Fiscal Year 2016-2017) Resource Operation & Total Monitoring Maintenance I 5123.0613/acre � $1953689/acre � $318.4302/acre � CATEGORY III � Category III indudes each Assessor's Parcel of Taxable Property within the District not subject to Special Tax under any other category ("Category III"). ; Resolution No. 2016-144 Page No. 12 The Maximum Special Tax approved for Fiscal Year 2016-2017 on Taxable Property within Category III is the rate set forth in Table 3 below (said amount to be levied pro rata for any ' portion of an Acre). TABLE 3 Maximum Special Tax for Category III Community Facilities Distrid No. 97-2 Improvement Area C (Fiscal Year 2016-20ll) Resource Operation & Total Monitoring Maintenance $79.4Z38/acre $126.0917/acre $205.5155/acre EXEMPT CATEGORY � The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a pu6lic agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). SPECIAI CASES In some instances, an Assessor's Parcel of Developed Property may contain more than one Land Use Class and be considered "Special Case". The Maximum Special Tax that may be levied on an Assessor's Parcel identified as Special Case shall be the sum of the Maximum Special Tax levies that may be levied on all Land Use Classes located on that Assessor's Parcel. The CFD Administrator shall determine the allocation to each Land Use Class. ANNUAL ESCALATION OF MAXIMUM SPEqAL TAX . The Maximum Special Tax as shown in the tables above that may be levied on each Assessor's Parcel in Improvement Area C, Annexation No. 10, shall be increased each Fiscal Year beginning in Fiscal Year 2016-2017 and thereafter by a factor equal to the annual percentage change in the San Diego Metropolitan Area Consumer Price Index for All Urban Consumers (CPI-U, All Items) or zero percent (0%), whichever is greater. D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2017-2018, and for each following Fiscal Year, the Council shall levy the Improvement Area C, Annexation No. 10, Special Tax at the rates established pursuant to steps 1 through 4 below so that the amount of the Special Tax levied equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: Step 1: Determine the revenue which could be generated by Parcels assigned to Category I by multiplying the Building Square Footage for Parcels classified as Residential Parcels by the Maximum Special Tax per Building Square Foot for the Resource Monitoring Program, and 6 Resolution \o. 2016-1� Pase No. 13 Preserve Operetions and Maintenance for Parcels and adding to that the maximum revenue which could be generated by multiplying the total acres for Parcels classified as Non-Residential Parcels by the Maximum Special Tax per Acre for the Resource Monitoring Program, and Preserve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area C, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total revenue as calculated in Step 1 is less than the Special Tax Liability for Improvement Area C, a Special Tax shall be levied upon each Parcel within Improvement Area C, classified as Category II. The Special Tax for Parcels assigned to Category II shall be calculated as the lesser of: The Special Tax Liability for Improvement Area C as determined by the City, less the totai revenue generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels within Improvement Area C assigned to Category I I, OR The Maximum Special Tax rate for Parcels assigned to Category II. Step 4: If the totai revenue as calculated in Step 1 and 3 is less than the Special Tax Liability, for Improvement Area C, a.Spetial Tax shall be levied upon each Parcel within Improvement Area C classified as Category III. The Special Tax for Parcels assigned the Category III shall be calculated as the lesser of: The Special Tax Liability for Improvement Area C as determined by the City, less the total revenue generated for all Parcels under Step 1 and 3 above, divided by the total Acres for all Parcels within Improvemeni Area C assigned to Category III, OR The Maximum Special Tax rate for Parcels assigned to Category tll and within Improvement Area C. However, in the event it is determined that the Special Tax Liability for Improvement Area C includes delinquent Special Taxes from Parcel in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability noi related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the preceding paragraph. Notwithstanding the above, under no cirwmstances will the Special Tax levied against any Assessor's Parcel of Residential Property or Multi-Family Property for which an occupancy permit for private residential use has been issued be increased by more than ten percent (10%) _ .. Resolution No. 2016-144 Page No. 14 � annually up to the Maximum Special Tax as a consequence of delinquency or default by the owner of any other Assessor's Parcel within Area C of the CFD. E. APPEALS Any landowner or resident who pays the Special Tax and believes that the amount of the Special Tax levied on their Assessor's Parcel is in error shall first consult with the CFD Administrator regarding such error. If following such consultation, the CFD Administrator determines that an error has occurred; tne CFD Administrator may amend the amount of the Special Tax levied on such Assessor's Parcel. If following such consultation and action, if any, by the CFD Administrator, the landowner or resident believes such error still exists; such person may file a written notice with the City Clerk of the City appealing the amount of the Special 7ax levied on such Assessor's Parcel. Upon the receipt of any such notice, the City Clerk shall forward a copy of such notice to the City Manager who shall establish as part of the proceedings and administration of the CFD, a special three-member Review/Appeal Committee. The Review/Appeal Committee may establish such procedures, as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/Appeal Committee shall be final and binding as to all persons. F. MANNER OF COLLECTION Special Taxes levied pursuant to Section D above shall be collected in the same manner and at the same time as ordinary od volorem 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 Area C of the CFD or as otherwise determined appropriate by the CFD Administrator. G. TERM OF SPECIAL TAX Taxable Property in Improvement Area C of the CFD shall remain subject to the Special Tax in perpetuity. ,4 Resolution I�'o. 2016-144 Pase No. 1� Attachment A Description of Preserve Operations and Maintenance Preserve Operations and Maintenance includes the maintenance, operation and management of the public or private property within boundaries of the Otay Ranch Preserve, as such boundaries may be modified from time to time, required by the Resource Management Plan to be maintained. as open space or habitat preservation land or both. Such maintenance, operations and management shaii inciude, but not be limited to,the following: (i) Preserve Maintenance. Development, implementation and ongoing provision of programs to maintain, operate and manage preserve habitat values through: cultivation, irrigation, trimming, spraying, fertilizing, and/or treatment of disease or injury; removal of trimmings, rubbish, debris and other solid waste; maintenance of trails; removal and control of exotic plant species (weeds); and control of cowbirds through trapping. (ii) Security. Development, implementation and ongoing provision of security programs to: enforce "no trespassing" rules; curtail activities that degrade resources, such as grazing, shooting, and illegal dumping; remove trash, litter, and other debris; control access; prohibit off-road traffic; and maintain fences and trails. (iii) Preserve improvements: Acquire equipment and/or install improvements necessary to maintain, operate and manage the open space and habitat preservation land described above. The above description of the Preserve Operations and Maintenance is general in nature. The actual mainienance, operations and management of the open space and habitat preservation land within the Otay Ranch Preserve may be modified from time to time as necessary in order to effectively provide such services in compliance with the requirements of the Resource Management Plan. 9 Resolution No. 2016-144 Paae No. 16 Attachment B Description of Resource Monitoring Implement the annual biota monitoring and reporting program consistent with the Resource Management Plan to identify changes in the quality and quantity of preserve resources including wildlife species, sensitive plants and sensitive habitat types. The above description of the Resn����P nnnnitoring is general in nature. The actual monitoring and reporting program may be modified from time to time as necessary in order to effectively provide such services consistent with the requirements of the Resource Management Plan. !n