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Home My WebLink AboutReso 2016-154 }• RESOLUTION NO. 2016-1�4 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DECLARII�'G ITS II�'TEt�'TION TO ESTABLISH COMMUI`'ITY FACILITIES DISTRICT NO. 16-I (MILLEI�'IA) AND DESIGNATE TV�'0 IMPROVEn4ENT AREAS THEREIN TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREII�' TO FII�'ANCE THE ACQUIS[TION OR CONSTRUCTION OF CERTAl7�' PUBLIC FACILITIES V�'HEREAS, the City Council of the City of Chula \'ista. (the "City Council"), at this time desires to initiate proceedings to create a Communit�� Facilities District pursuant to the rerms and provisions of the "Mello-Roos Communit�� Facilities Act of 1982`-, being Chapter 2.i, Part 1, Division 2, Title � of the Go��ernment Code of the State of California (the "Acr') and the Cin� of Chula Vista Communit�� Facilities District Ordinance enacted pursuant to the po«-ers reserved b�� the Cirv of Chula Vista under Sections 3. � and 7 of Article XI of the Constitution of the State of Califomia (the "Ordinance") (the Act and the Ordinance mav be referred to collecti�el}� as the "Community Facilities District Law"). This Communit}� Facilities District shall hereinafter be referred to as Community Facilities District I`'o. 16-I (A4illenia) (the "District"); and WHEREAS, this Cit�� Council desires to proceed to adopt its Resolution of Intention to initiate the proceedings to consider the establishment of such District. to set forth the proposed boundaries for such District, to indicate the public facilities proposed to be financed bv such District; to indicate the proposed rate and apportionment of a special ta� sufficient to finance the acquisition or conswction of such facilities and the administration of the District and anv indebtedness incurred by the District, to set a time and place for a public hearino relating to the establishment of such Districr. and �l'HEREAS. the Communitv Facilities District Law provides that the Cin� Council ma}� initiate proceedines to establish a communit�� facilities district onl�� if it has first considered and adopted local ooals and policies concernine the use of the Communit}� Facilities District La�ti; and R'HEREAS, this Cit�� Council has adopted local eoals and policies as required pursuant to the Communitv Facilities District Law: and V1'HEREAS, the Community Facilities District Law permits the Cit}� Council to designate a portion or portions of the proposed District as one or more improvement areas for ihe purpose of financin2 of, or contributing to the financine of. specified public facilities; and V�'HEREAS. this Citv Council desires to designate two impro��ement areas �+�ithin the proposed District for the purpose of contributing to the financin� of the public facilities specified herein. Resolution No. 2016-]�4 Page No. 2 NOW. THERLFORE, it is herebv resolved: SECTION l. Recitals. The above recitals aze all true and correct. SECTION 2. Initiation of Proceedinas. These proceedings are initiated bv this Citp Council pursuant to the authorization of the Community Facilities District Law. SECTION 3. Boundaries of District and the Improvement Areas. It is the intention of this City Council to establish the boundaries of the proposed District and the proposed improvement areas therein. A description of the proposed boundaries of the temtory to be induded in the District including the properties and parcels of land proposed to be located in each impro��ement area subject to the levy of a special tax by the District for each such impro��ement are is as follows: All that property as shotim on a map as previously approved by this City Council, such map entitled "Proposed Boundazies of Community Facilities District No. 16- 1 (Millenia), City of Chula Vista, County of San Diego, State of Califomia", a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. SECTION 4. Name of District and Improvement Areas. The name of the proposed District shall be Community Facilities District No. 16-I (Millenia). The improvement areas proposed to be desi�nated within the District shall be known as "Improvement Area No. 1" and "[mprovement Area No. 2" (individually, an "Improvement Area' or collectively. the `[mprovement Areas") SECTION �. Description of Facilities. It is the intention of this City Council to finance the acquisition or construction of certain facilities authorized to be acquired pursuant to the provisions of the Community Facilities District Law. A general description of the facilities proposed to be authorized to be acquired or constructed is set forth in Exhibit A attached hereto and incorporated herein by this reference (the "Facilities'). The Facilities are facilities N�hich this legislati��e body is authorized by law to contribute revenue to or to construct, own or operate. It is hereby further determined that the proposed Facilities are necessary to meet increased demands and needs placed upon the City as a result of development within the District. The cost of acquiring or constructing the Facilities includes ]ncidental Expenses as such term is defined in Governmem Code Section 5»17(e) and may include, but not be limited to; the costs of planning and desipning the facilities; all costs associated with the establishment of the District the issuance and administration of bonds to be issued for the District, including the payment of any rebate obligation due and owing to the federal government, the determination of the amount of any special taxes to be levied; the costs of collectii�g any special taxes, and costs otherti�ise incurred in order to carry out the auiliorized purposes oP the District, together N�ith any other e�penses incidental to the acquisition; construction, completion and iuspection of the racilities. Resolution No. 2016-1�4 Pase No. 3 SECTION 6. Special Ta�. It is hereby further proposed that. e�cept where funds aze otherwise available, a special tax sufficient to pay for the acquisition or construction of the Facilities and related Incidental E�penses authorized b}� the Community Facilities District Law. secured b}� recordation of a continuina lien against all non-ezempt real property in each Improvement Area of the District, ��ill be levied annuall�- H�ithin the boundaries of each such Impro��ement Area. Under no circumstances "�ill the special tai le��ied in anv Fiscal 1'eaz against anv pazcel used for pri��ate residential purposes be increased as a consequence of delinquenc�� or default bv the o��mer of am� other parcel or pazcels �ti�ithin the same Improvement Area b�� more than 10 percent (]0%) above the amount that ��ould have been le��ied in that Fiscal ear had there never been an�� such delinquencies or defaults. For further particulars as to the rate and method of apportionment of the proposed special tas for each Impro��ement Area (each, a "Rate and A4ethod of Apportionmenr`) reference is made to the attached and incorporated Exhibit B; ��hich sets forth in sufficient detail the method of apportionment to allow� each lando��mer or resident �vithin each Impro��ement Area to cleazh� estimate the maximum amount that such person will ha��e to pa}�. Each Rate and Method of Apportionment also sets fonh the ta� ��ear after ��hich no further special tax shall be levied or collected against anv parcel used for private residential purposes ��ithin the applicable Improvement Area. A parcel shall be considered "used for private residential purposes" not later than the date on ��hich an occupanc�� permit or the equi��alent for pri��ate residential use is issued for such parcel. 7he special ta.ies herein proposed. to the extent possible. shall be collected in the same manner as ad ��alorem propem� ta�es or in such other manner at this City Council shall determine. including �+�ithout limitation. direct billing of the affected propert�- o«mers; and shall be subject to the same penalties, procedure, sale and lien priorit�� in any case of delinquenc}� as applicable for ad ��alorem taxes. Am� special ta�es that ma}� not be collected on the Counh� tax roll shall be collected through a direct billine procedure bv the Treasurer of the Cit�� of Chula Vista (the "Cit}� '), acting for and on behalf of the District. The special tax obligation for an�� parcel mav be prepaid and permanently satisfied in ��hole or in pan pursuant to the pro��isions therefor contained in the applicable Rate and Method of Apportionment. SECTIO\ 7. Public Hearina. NOTICE IS GNEN THAT ON SEPTEMBER li. 2016. AT THE HOUR OF �:00 O'CLOCK P.A4.. II�' THE REGULAR MEETII�'G PLACE OF THE CITY COUI�'CIL BEIivG THE COUI�'CIL CHAMBERS. CITY HALL. LOCATED AT 276 FOURTH STREET. CHULA VISTA. CALIFORi\'IA. A PUBLIC HEARII�'G WILL BE HELD R'HERE THIS CITY COLTNCIL ��'ILL CONSIDER THE ESTABLISHI�4ENT OF THE PROPOSED DISTRICT. THE DESIGNATIO\' OF THE [MPROVEME\'T AREAS. THE RATE AND METHOD OF APPORTIONMENT OF THE SPECIAL TA� PROPOSED TO BE LEVIED �l%ITHIN EACH IMPROVEMENT AREA. AND ALL OTHER M.ATTERS AS SET FORTH II�' THIS RESOLUTION OF 1NTENTIO\'. AT THE ABOVE-MENTIONED TIME A\'D PLACE FOR PUBLIC HEARiNG ANY PERSOI�'S INTERESTED. II�CLUDII�`G TP..�PAYERS AND PROPERTY OWT�'ERS A�IAl' APPEAR A\'D BE HEARD. THE TESTIA40NY OF ALL 1\'TERESTED PERSO\S FOR OR AG.A11�'ST THE ESTABLISHA9ENT OF THE DISTRICT. THE EXTEt�'T OF THE DISTRICT. THE Resolution No. 2016-154 Paee No. 4 DESIGNATION OF THE IMPROVEMENT AREAS OR THE FINANCING OF THE FACILITIES. WILL BE HEARD AND CONSIDERED. ANY PROTESTS MAY BE MADE ORALLY OR IN WRITING, HOWEVER, ANY PROTESTS PERTAINING TO THE REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS SHALL BE IN WRITING AND CLEARLY SET FORTH THE IRREGULARITIES AND DEFECTS TO WHICH THE OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK OF THE CITY ON OR BEFORE THE TIME FIXED FOR THE PUBLIC HEARING. WR]TTEN PROTESTS MAY BE WITHDRAWN IN WRITING AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEAWNG. IF A WRITTEN MAJORITY PROTEST AGAINST THE ESTABLISHMENT OF THE D[STRICT IS FILED, THE PROCEEDINGS SHALL BE ABANDONED. IF SUCH MA.IORITY PROTEST IS LIMITED TO CERTAIN FACILITIES OR PORTIONS OF THE SPECIAL TAX; THOSE FACILITIES OR THAT PORTION OF THE SPECIAL TAX SHALL BE ELIM[NATED BY THE CITY COUNCIL. SECTION 8. Report. The officers of the City who will be responsible for providing one or more oP the proposed types of the Facilities to be provided within and financed by the proposed District; if it is established, shall study the District, and, at or before the time of the public hearing; file a report N-ith the City Council containing a brief description of the Facilities by type which will in their opinion be required to adequately meet the needs of the District, and their estimate of the fair and reasonable cost of providing those Facilities, and the i�cidental expenses to be incurred in connection therewith. Such report shall include a description and an estimate of the cost of the Facilities which are proposed to be financed with the proceeds of the special taxes and sale of the bonds of the District. Such report shall be made a part of the record of the public hearing to be held pursuant to Section 7 hereof. SECT[ON 9. Election. If; following the public hearing described in Section 7, the City Council determines to establish the District and to designate the Improvement Areas and proposes to levy a special taa within each of the Improvement Areas, the Ciry Council shall then submit the levy of the special taxes to the qualified electors of each ]mprovement Area pursuant to Govemment Code Section 53326 through 53327.5 and the applicable provisions of the Califomia Elections Code. If at ]east twelve (]2) persons, who need not necessarily be the same tweh�e (12) persons, have been registered to vote within an Improvement Area for each of the ninery (90) days preceding the close of the public hearing, the vote shall be by registered voters of such Improvement Area; with each voter having one (1) vote. Otherwise, the vote shall be by the landowners of each Impro��ement Area ti�ho were the owners of record at the close of the subject hearing, with each such landowner or the authorized representative thereof; having one (1) vote for each acre or portion of an acre of land owned within such Improvement Area. SECTION 10. Notice. Notice of the time and place of the public hearing shall be given by the City Clerk by causing the publication of a Notice of Public Hearing in the legally designated ne��spaper of eeneral circulation, such publication pursuant to Section 6061 of the Go��ernment Code, N�ith such publication to be completed at least se��en (7) days prior to the date set for the public hearin��. Resolution I�io. 2016-1�4 Paee No. � The Citv Clerk shall also cause notice to be eiven b�� first-class mail to each reeistered ��oter. if am�. and to each lando��mer as defined in the Communim Facilities District LaH- w�ithin the proposed boundaries of the District. Such notice shall be mailed at least 1� davs before the public bearine and shall contain the same information as is required to be contained in the notice published pursuant to the preceding paragraph. SECTIO?�' 1 l. Reservation of Riehts to Authorize Tender of Bonds The Citv Council resen=es to itself, in its capaciri- as the legislati��e body of the District if formed; the ri�ht and authority to allow an�� interested o��ner of property ��ithin the District, subject to the provisions of Go�emment Code Section �3344.1 and to such conditions as this Cit}� Council ma�� impose. and am� applicable prepa��ment penalties as ma�� be described in the bond indenture or compazable instrument or document, to tender to the Treasurer. acting for and on behalf of the District, in full pa}�nent or part pa��ment of an�� installment of the special ta�es or the interest or penalties thereon ��-hich may be due or delinquent, but for N�hich a biil has been recei��ed, anv bond or other obii�ation secured thereb��. the bond or other obligation to be taken at paz and credit to be eiven for the accrued interest sho��n therebv compu[ed [o the date of tender. SECTION 12. Advances OF Funds Or Work-In-Kind. At anv time either before or afrer the formation of the District, the Citv Council ma�� accept advances of funds or ��-ork-in-kind from any source. includin�. but not limited to, pri��ate persons or private entities and mav provide, b�� resolution, for the use of those funds or that work-in-kind for any authorized purpose: includine, but not limited to. payina any cost incurred by the Cih� in creatine the District. The Citv ma�� enter into an agreement, b�� resolution. with the person or entit}� ad��ancina the funds or work-in-kind, to repa�� al] or a portion of the funds so advanced, or to reimburse the person or entit�� for the value, or cost, �i�hiche��er is less, of the work-in-kind; as determined by the Citv Council. The City has entered into a Communit�� Facilities District Advance Deposit and Reimbursement Agreement with SLF N — Millenia, LLC (the "Company`) to pro��ide for such advances for the payment of all initial consultine and administration costs and expenses related to the proceedings to consider the formation of the District and to subsequently authorize, issue and sell bonds for the District. Such advances aze subject to reimbursement pursuant to the terms of such agreement. No such aereement shall constitute a debt or liabilit�� of the Citv. In addition, it is proposed that the Cit�� enter into an asreement with the Company pursuant to which the Company shall construct and install all or a portion of the Facilities and the District shall repay the funds espended by the Compan�� for such purpose or ��alue or cost of the work in-kind. whichever is less. Resolution No. 2016-154 Paee No. 6 Presented by Approved as to form by � Kelly G. Br ugh n; FASLA Gle R. gins Director of D elopmental Services City ttom v PASSED; APPROVED, and ADOPTED by the City Council of the City of Chula Vista. California, this 2nd dati� of August 2016 by the following vote: AYES: Councilmembers: Aguilar; Bensoussan, McCann, Miesen, and Salas NAYS: Councilmembers: None ABSE1�'T: Councilmembers: None Mary S las, Mayor ATTEST: �,[nd � �N O I�/�� Donna R. Norris, C C, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2016-154 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 2nd day of August 2016. Executed this 2nd day of AuDust 2016. � � Donna R. Non�is, CMC, City Clerk Resolution No. 2016-1�4 Paee No. 7 EZIIIBIT A DESCRIPTION OF PUBLIC FACTLITTES The ripes of facilities eligible to be financed b�� the District are street (both on-site grid streets aud boundar�� arterials) and bridae impro��ements, including gradino; paving. curbs and gutters, sideti�alks. trails. medians. traffic sienalization and si�aee_ street liehts. utilities. storm water drainage. detention and treatment and landscapine and imgation related thereto_ sewer collection and convevance facilities, off site storm detention and treatment facilities, park and recreation facilities (including land and impro��ements), fire facilities and equipment, libran� facilities and equipment, transit facilities, fiber optic telecommunication svstem facilities, eeneral governmental office_ administrative and meetine facilities; bus and rapid transit facilities and land. riehts of�av and easements necessan� for an�� of such facilities. Not��ithstandina the foregoing. onh� equipment w�ith a useful life of fi�e (�) }�ears or more N�ill be eliaible to be financed. y Resolution No. 2016-1�4 Paee No. 8 EXHIBIT B RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX CTI'Y OF CHL1f,A VISTA CO_MMLTZTY FACILITIES DISTRICT NO. 16-I (DIILLEA'LA) IMPRO��n'fEn'T AREA NO. 1 A Speciai Ta� sha;i be le��ied on aii Taaaole Propert}� N�ithin the boundaries of Improvement Area No. 1 of Community Facilities Distric[ No. ]6-I (Millenia) of the Cin� of Chula Vista (`LA1") and collected each Fiscal Year commencing in Fiscal Year 2016-17, in an amount determined by the CFD Administrator through the application of the procedures described beloN. Al] of the real propert�� within LA1. unless exempted by la�n� or b�� the pro��isions hereof shall be ta�ed for the purposes, to the extent, and in the man�er herein pro��ided. , 1. DEFI\7TIONS The terms hereinafter set forth have the followine meanines: ".Acre" or ".Acreage" means the land area of an Assessor's Parcel as shoN�n on an Assessois Parcel Map, or if the land area is not sho��n on an Assessor's Pazcel Map, the land area sho�vn on the applicable Fina] D4ap. .4n Acre mear�s 43;�60 square feet of Iand. If the preceding maps for a Iand area are not available, the Acreage of such land area shali be determined b�� the Cip� Eneineer. "Act' means the ?vlello-Roos Community Facilities Act of]982, as amended; being Chapter 2S of Part 1 of Division 2 of Title � of the Government Code of the State of California. "Administrative Ezpense RequiremenY' means an annual amount equal to �7�,000; or such lesser amount as may be designated by written instruction from an authorized representative of the Cin� to the Fiscal Aeent, to be allocated as the first priority of Special Taaes received each Fiscal Year for the pa}ment ofAdministrative Expenses. "Administrati�•e Ezpenses" means the following actual or reasonably estimated costs related to the administration of IA1 i�cludine, but not limited to: the costs of preparing and computing the Annual Special Tax (whether by the Cic}� or desigr�ee thereof or both); the costs of collecting the Special Taaes (whether b}°the Cit}�, the County or otherwise); the costs of remitting the Special Taxes to the Fiscal Asenr. the costs of the Fiscal Agent (including its le€al counsel) in the dischazge of the duties required of it under the Fiscal Agent Agreemenr, the costs to the Cit��, CFD No. 16-I. or any desienee thereof complying with arbitrage rebate requirements, including without limitation rebate liability costs and periodic rebate calculations; the costs ro the Cit��, CFD No. 16-I; or am� designee thereof complying with disclosare or reportin� requirements of the Cit��or CFD I�o. 16-I; assoaiated with applicable federal and State laws; the costs associated v��ith preparing Special Taa disdosure stateme�ts and respo�din� to public inquiries re�ardine the Special Taxes, the costs to the Cit��, CFD No. 16-1, or any designee thereof related to an appeal of the Special Ta�; and the City s annual adn�inistration fees and ihird paity e�penses. Administratiee E�penses shall also include amounts estimated or advanced b�� the Cit�� or CFD � Attachment 4 Resolution No. 2016-1�4 Paee No. 9 \o. 16-I for an�� other administrati��e purposes of CFD No. 16-I, indudine attome.'s fees and other costs related to commencing and pursuing an� foreclosure of delinquent Special Taxe;. "Annual Special Taa`° means the Special Tax acmallv le��ied in anv Fiscal 1`ear on anv 9ssessor s Pazcel. =`Assessor" means the Assessor of the Counm of San Diego. `�Assessor's Parcel" means a lot or parcel sho��n on an Assessor's Pazcel Map with an assiened Assessor's Parcel\umber. "�ssessor's Parcel D1ap" means a� official map of [he Assessor desienatine parcels b}� Assessor's Parcel\umber. `:�ssessor's Parcel Number' means the number assiened to an Assessor's Parcel b��the Countv for purposes of identification. ":1ssi�ned Special I az"means the Special Taz of that name described in Section 3.a below. ��Backup Special Taz"means the Special Taa of that name described in Section 3.B belo�+�. `Bondr' means anv bonds or other debt of CFD No. 16-I issued or incurred for L41. �chether in ooe or more series, secured b}�the lev��of Special Ia�es. "Building Permit" means a building permit for construction of a Residential linit or non- residential strucrure within IA 1 issued bv the Cin�. "Building Square Footage" means all of[he square footage of li��ine area �ti�ithin [he perimeter of a residential strucmre, not including any carport, ��alk�+�a��_ saraQe, overhang, or similar area. The determination of Buildins Square Footaee shall be made b� the CFD Administrator b} refere�ce to che Buildin2 Permit(s) issued for such Assessors Parcel and/or b}� reference to appropriate records kept b}� the Cirv. Buildin� Squaze Footaee for a Residential Unit wil] be based on the Buildine Permit(s) issued for such Residentia] Unit prior to it beine classified as Occupied Residential Propem�, and shall not change as a result of additions or modifications made to such Residential linit after such classification as Occupied Residential Propem�. "Calendar Year" means the period commencine Januar�� ] of any��ear and endine the follo��ina December 31. "CFD Admiuistrator' means an auchorized representative of the Cin�, or desianee thereof. responsible for determining the Special Ta� Requirement. for preparing the ?.nnual Special Ta� roll and/or calculating the Backup Special Tax. `'CFD no. 16-I" means the Communiro Facilities District I�'o. 16-I (\9illenia) of the Cin° of Chula Vista. � :,ttachment 4 Resolution No. 2016-1�4 Paee No. 10 `Cih" means the Citv of Chula\%ista. Califomia. "Cih Council" means the Cirv Counci] of the Cin� acting as the leeislative bod�� of CFD No. 16-I under the Act. "Condominium" means a unit. ��hether attached or detached, meetin2 the statutor}�definition of a condominium contained in the Califomia Ci��i] Code Section 4285. `Counh" means the Counrv of San Dieeo. California. "Debt Sen°ice" means for each Fiscal�'ear, the total amount of principa] and interest pa}�able on anv Outstandin�Bonds durins the Calendar Year wmmencine on January 1 of such Fisca] Year. "Developed Propert�' means for each Fiscal Year, all Taaable Propem�; eaclusive of Provisional Propert��, for ��hich a Building Permit was issued prior to March 1 .of the pre��ious Fiscal 1'ear. M Assessor's Parcel classified as De��eloped Property but for �+�hich the Building Permit that caused such .Assessor's Parcel to be classified as Developed Property has been cancelled andlor voided prior to the Fiscal Year for which Special Taxes are being levied shal] be reclassified-as Undeveloped Propem-, pro��ided that the levy of the M�ual Special Tax afrer such reclassification shal] not be less than 1.1 times the annual Debt Service less Administrative Expenses on all Outstandino Bonds. If Bonds have not been iss�ed, an Assessor's Parce] classified as Developed Property for which such a Building Permit has been cancelled and/or voided shall be reclassified as Unde��eloped Property_ "Decelopment AgreemenY' means that certain Development Agreement by and betw�een the Cit}� of Chula Vista and Mc1�4illin Otay Ranch LLC adopted October 6, 2009 and recorded ti�ith the Counn� of San Dieeds Recorder's office on October 27, 2009 as Document t�umber 2009- 0595116, as ma}�be amended and/or supplemented from time to time. "Eaempt Properh�" means for each Fiscal Year, all Assessors Parcels desienated as beins exempt from Special Taaes pursuant to Section 5 below. "Final D1ap" means a subdi��ision of property by recordation of a final map, parce] map, or lot line adjustment; pursuant to the Subdivision Map Act (Califomia Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to Califomia Civil Code 428� that creates iodividual lots for which Building Permits may be issued without furcher subdivision. "Fiscal Year" means the period starting on July 1 and endine the follo�i�ing June 30. "Fiscal AgeoP' means the fiscal agent, trustee; or paying agent under the Fiscal Aeent Aareement. "Fiscal Agent Agreement" means the fiscal agent agreement, indenture, resolution or other instrument pursuant to n-hich Bonds are issued, as modified; amended and/or supplemented from time to time, and am� instrument replacin2 or sup}�leme�nting rhe same. � Attachment 4 Resolution No. 2016-1�� Pa¢e ?vo. 11 "L�11"means Improvement .4rea No. 1 of CFD K'o. 16-I. "Land lise Class'means am�of the classes listed in Table l. 2. or 3 under Section 3A below. ?�'ote:Land Uses C!¢ss is not in rejerence to a properry's=oning desrgnarion. "Lot(s)" means an indi��idual leeal lot created by a Final T�9ap for which a buildine permit for residential construction has been or could be issued. Idorn�ithstandine the foreeoine�in the case of an individual le�al lot created by such a Final Map upon w�hich Condominiums aze entitled to be de��eloped. the number of Lots allocable to such legal lot for purposes of calwlatine the Backup Special Tak applicable to such Final �1ap shall equal che number of Condominiums �t�hich are permitted to be constructed on such leeal lot as sho�+�n on such Final D1ap. �`A7aster Deceloper" means SLF I�'-�4illenia LLC or its successors or assignees ��ith az deFined in the De��elopment Aereement. °�Alasimum Special Taz" means for'each Assessors Pazcel. the ma�imum Special Tax, determined in accordance with Sections 3.0 and 3.D belou�. ��hich ma�� be le��ied in a ei��en Fiscal Yeaz on such.�ssessor`s Parcel of Taxable Propem�. "Non-Residential Propern�" means all Assessor-s Parceis of De��eloped Propert}� for ��hich a Building Permit has been issued for the purpose of constructine one or more non-residential units or struc[ures. "Occupied Residential Propem�" means all Assessor Parcels of Residential Propem for which title is held bv an end user(homeowner). "Outstanding Bonds" means all Bonds ��hich are deemed to be outstandine under the Fiscal .Agent A�reement. ��Prepa��meot AmounY' means the amount required to prepa}�the Special Tat Oblisation in full for an?.ssessors Parcel as described in Section 8.A belo��. "Propem� O��ner :�ssociation Properh" means an}' Assessors Pazcel ��ithin the boundaries of IA 1 o��med in fee b��a propem�owner association; including an} master or sub-association. "Proportionateh�" or "Proportionate" means for De��eloped Propem�, that the ratio of the acmal Special Taz lev}� to the applicable Assigned Special Ta� or Bacl.vp Special Tax is equal for all Assessors Parcels of De��eloped Propert��. For Unde��eloped Property. "Proportionatel��" means that the ratio of the acrual Special I'a� levv per Acre to the 1�4aaimum Special Ia� per Acre is equal for all Assessor's Parcels of Unde��eloped Propeny. �`Proportionatel�" ma� similarly be applied to other cateeories of Ta�able Propem� as listed in Section 3 belo��. `�Procisional Properh" means all Assessors Parcels of Public Propem, Propeny O��ner Association Propert�� or property that �vould othern�ise be classified as E�empt Propem pursuant q ;ttachment 4 Resolution No. 2016-154 Pa�e No. 12 to the pro��isions of Section �; but cannot be classified as Exempt Property because to do so would reduce [he Acreage of all Ta�+able Property below the req�ired minimum Acreaee as set forth in Section �. "Public Properh�" means any property within the boundaries of IA1, which is oti�ned b}�, or irrevocably offered for dedication to the federal government, the State of Califomia. the Count}�; the Cin� or am� other public agency; provided however that any property owned by a public agenc�� and leased to a private entity and subject to taxation under Section 53340.1 of the Act shall be taaed and classified in accordance with its use. "Residential Properh°" means all Assessors Parcels of Developed Property for which a Buildin2 Permit has been issued for the purpose of constructing one or more Residential Units. "Residential Unit" means each separate residential dwelling unit that comprises an independent faciliq�capable of com�e��ance or rental; separate from adjacent residential dwelling units. `.`Special Taa' means any special tax levied within IAI pursuant to the Act and this Rate and Method of Apportionment of Special Tax. "Special Tax Obligation" means the total obligation of an Assessors Parcel of T�able Propem�co pa�•the Special Taa for the remaining life of IA1. � "Special Taz Requiremenr' means that amount required in any Fiscal Year to: (i) pay rewlarl}� scheduled Debt Sen�ice on all Outstandin� Bonds; (ii) pay periodic costs on the Outstandine Bonds; including but not limited to. credit enhancement and rebate payments on the Outscandine Bonds; (iii) pay Administrati��e Eapenses; (i��) pay any amounts required to establish or replenish any reserve funds for all Outstandin� Bonds; (v) accumulate funds to pay direaly for acquisition or construction of facilities pro��ided that the inclusion of such amount does not cause an increase in the Special Taa to be levied on Unde��eloped Propert}�; and (vi) pay for reasonably aoticipated delinquent Special Ta�es based on (a) the a��erage delinquency rate for special taxes ]evied i�the previous Fiscal Year in all communip�facilities districts within the portion ofthe City commonly kno�+�n as Otay Ranch for the first Fiscal Year in which Special Taxes are ]evied and (b) the delinque�cy rate for Special Taaes leeied in the previous Fiscal Yeaz within IA] for aIl subsequent Fiscal Yeazs in �3�hich Special Taaes are ]e��ied; less (vii) a credit for funds a��ailable to reduce the Annual Special Tax levy, as determined by the CFD Administrator pursuant to the Fiscal Agent Agreement. "State" means the State of California. "Taxable Properh�" means all of the Assessor's Parcels within the boundaries of CFD, which are not eaempt from the lev��of the Special Taa pursua�t to la��or Section 5 below. "Unde��eloped Properh�" means, for each Fiscal �'ear. all Taaable Propert}� not classified as Developed Propem�or Provisional Property. j Attachment 4 Resolution No. 2016-1�4 Paee No. 13 "Zone �" means the specific geo�raphic azea designated as such within L41 and az depicted in Exhibit A attached hereto. ��Zone B" means the specific geographic area designated as such w�ithin L41 and as depicted in Exhibit A attached here[o. "Zone C" means the specific geographic azea designated as such �ti�ithin L4] and az depicted in Eshibit A attached hereto. 2. L9.A�USE CLaSSIFICATTON Each Fiscal Yeaz, be�innine „�ith Fiscal Year 2016-17. each .4ssessors Parcel �+�ithin IA1 shall be classified as Taxable Property or E�empt Propem. In addition, all Ta�able Property shall funher be classified as Developed Propert��, linde��eloped Propert�� or Provisional Propem�_ and all such Ta�able Propem� shall be subjec[ to the lev}� of Special Ta�es in accordance wich this Rate and D4ethod of Apponionment of Special Ta�: determined pursuant to Sections 3 and � below�. Funhermore: each Assessor`s Parcel of De��eloped Propem� shall be classified accordine to its applicable Land Use Class.based on its Building Square Footage. For .Assessor`s Parcels of Non-Residential Propert�� de��eloped with Condominiums (e.g., office or industrial condos), the Acreaee applicable to each such Condominium for purposes of le��}�ine Special Taxes shall be computed from the Acreaee of the leeal lot created b��the Final D4ap upon �+�hich such Condominiums are entitled to be de��eloped, with the Acreage of such lot allocated to each Condominium on a pro-rata basis usine the building square footaee of such Condominium relative to the total buildine square footaee of all Condominiums entitled to be de��eloped on such lot. The deteanination of building square footaoe for each non-residential Condominium shall be made b}�reference to the applicable Buildine Permit; and to the eatent a Buildine Permit has not been issued for all Condominiums [o be located on the applicable ]eeal lot, the building squaze footaee attributable to anv such Condominiums shall be determined from the recorded condominium plan, or applicable site plan. plot plan; or other appropriate records kept by the City as reasonabl}�determined b��the CFD .4dminisvator. In the event the Cit��takes oumership of a Condominium ��ithin IA1 and such propem� in all other respects meets the definition of Public Propem� as set fonh in Sec[ion l, such property shall be exempt from Special Tases pursuant to Sec[ion �. 3. SPECL4I. 7'.�\ R4TES A.P,ssigoed Special Ta� for Developed Properh� The .Assigned Special Tar applicable to an Assessor`s Parcel classified as De��eloped Propem� commencin� Fiscal 1'eaz 2016-17 shall be determined pursuant to Table l, 2, or 3 belo��, as applicable. 6 �^-,«achment� Resolution No. 2016-154 Paee No. 14 Table 1 Assi�ned Special Taz Rates for De�•eloped Properh'within Zone A Land Building Use Land Use Type Square Assigned Special Class Footage Tas 1 Residencial Propert}� < ],�00 $��52 per Residential Unit 2 Residential Property I;500-2,200 $�.661 per Residential Unit 3 Residential Property >2,200 $1;799 per Residentia] Unit 4 A'on-Residentia]Propem� N/A $6;000 per Acre Table 2 Assigned Special Tas Rates for Developed Properry within Zone B Land Building Use Land Use T}�pe Square Assigned Special Class Footage Tax � 1 Residential Propert�� < 1,500 $1,350 per Residential Unit 2 Residential Propert}� 1,500-2,200 ��,451 per Residential Unit 3 Residentia]Property >2,200 �1,649 per Residentia] Unit 4 Non-Residential Propercy N/A �6,000 per Acre 7 Attachment 4 Resolution No. 2016-1�4 Paee No. 15 I able 3 9ssi�ned Special I as Rates for Developed Propern within Zone C Land g��d�ob tise Land lise T}pe Square �signed Special Class Footage Tax 1 Residential Propem� < 1,�00 ��0 per Residential linit 2 Residential Propem� 1,500-2.200 S1,A�1 per Residential Unit 3 Residential Propem� > >,�00 51,6�9 per � " Residentia] Unit 4 Non-Residential Propeny \VA 56,000 per Acre On each Julv I, commencins Iuly l, 2017, the .4ssi�ed Special Taa for Developed Propert}� shall be increased bv n��o percent (2.00%) of the amount in effect in the prior Fiscal Yeaz. B. Backup Special Tax for Deceloped Propem \��hen a Final Map or a condominium plan is recorded��ithin Zone.4. Zone B, or Zone C the Bac}.vp Special Taa for Assessor`s Pazcels of Developed Propert}�classified as Residential Propenp shall be determined as follo«�s: For each Assessor's Parcel of Residential Propem or for each Assessors Parcel of lindeveloped Propert}� to be classified as Residential Propem upon its development �rithin the Fina] D4ap area the Backup Special Tax for Fiscal Year 2016-1 i shall be the rate per Lot calculated according to the follo�vine formula: Zone .A 527.�02 x A B= --------------------- L g Attachment? Resolution No. 2016-]�4 Page No. 16 Zone B S29A�7 a A B= ----------------------- L Zone C �6316 x A B= --------------------- L The[erms have the follo�vine meanines: B = Backup Special Tax per Lot � A= Acreaee classified or to be dassified as Reside�tial Property in such Final Map. The land area applicable to a Condominium shall be computed from the Acreage of the Lot on which the Condominium is located, ��ith the Acreage for such Lot allocated equally among all of the Condominiums located or to be located on such Lot. L= For a Fioal Map, the number of I,ots which are classified or to be classified as Residentia] Property. For each Assessors Parcel of Developed Property classified as Aron-Residentia] Property or for each Assessor`s Parcel of Undeveloped Property to be classified as Non- Residential Property �rithin the Final A4ap area, the Backup Special Tax for Fiscal Year 2016-17 shall be determined by multiplyin� 527,502 for Zone A, �29.057 for Zone B and �6_316 for Zone C by the rotal Acreage of any such Assessor's Parcel. NotH�ithstanding the foregoing, if Assessors Parcels of Residential Property, Non- Residential Property or Undeveloped Property for which the Backup Special Taa has been de[ennined are subsequently changed or inodified by recordation of a new or amended Final Map, then the Backup Special Tax applicable to such Assessor's Parcels shal] be recalculated to equal the total amount of Backup Specia] Tax that would have been generated if such change did not take place. On each Iuly 1, commencin� July ], 2017, the Backup Special Tax applicable to each Assessors Parcel of Tarable Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year. C. Maaimum Special Tax for Developed Propertp 9 - Attachment 4 Resolution No. 2016-1�4 Paae No. 17 Each Fiscal Year, the ?�1a�imum Specia] Tax for an Assessor's Pazcel of Developed Propem� shall be the greater of the applicable .4ssigned Special Tax or Bac}.iip Special Tax. D. Dlazimum Special Tax for Pro�'isional Properh and lindeveloped Properh The D4a�imum Special Ta�: for. Provisional Propem� and lindeveloped Propem� commencine in Fiscal Year 2016-]7 shall be S27.�02 per Acre for Zone A, S29,0�7 per Acre for Zone B, and S6_316 per.4cre for Zone C. On each July l, commencins July 1, 2017, the A1a�imum Special Tax for Provisional Propert}� and Undeveloped Propem� shall be increased bv nvo percent (2.00%) of the amount in effect in the prior Fiscal 1'ear. E. !�lultiple Land tise Classes In some instances an Assessor's Parcel of Developed Propem• ma}� contain more than one Land Use Class. The D1a�imum Special Ta� that ma}� be levied on such an Assessor's Pazcel shall onl}�be levied on the Residential Propert��Land Use Class located on such Assessor's Parcel. F. Administratice Special 7'ax Reduction Prior to the issuance of Bonds; the Assiened Special Tax, Backup Special Tax_ and Maximum Special Ta� (collectively the "Special Ta� Rates") on Ta�:able Propen}� may be reduced in accordance w�ith, and subject to the conditions set forth in this parasraph. Upon the Cirv's receipt of a ��ritten request from Dlaster De��eloper and the CFD Administrator; the Special Taa Rates on Ta�able Propem� may be reduced to a level �vhich will provide not less than the sum of estimated Administrati��e Expense Requirement and one hundred ten percent (110%) of the estimated debt sen�ice Hith respect to the amount of Bonds requested to be issued in such �rritten request. If it is reasonablv determined b�� the CFD .4dministrator that the total effecti��e tax rate on Residential Propem�, as determined in accordance mith the Development Asreement, e�ceeds the ma�imum level allo��ed in the De��elopment A�eement the Special Ta� Rates mav be reduced to the amount necessan• to satisf� the maximum allo��able effective tac rate requirement on Residential Propem��ith the written consent of D4aster De��eloper. ��hich consent shall not be unreasonabh• �vithheld, and the CFD Administrator. It shall not be required that reductions amone each "Buildine Squaze Foota�e" ranee of Residential Property be proportional. Additionall}•; the "CFD Public Facilities Cosu' amount in Section 8 shall be reduced commensurate with anv reductions to the Special Ta� Ra[es pursuant to this paragraph, as reasonabl}�determined b��the CFD Adminisvaror. :� certificate in substantiall��the form attached hereto as Exhibit "B" shall be used for purposes of e��idencine the required �ti�ritten consent and effecmating the reduction to the Special Ta� Rates.�The reductions permined pursuant to this para�raph shall be reflected in an amended Notice of Special Ta� Lien ��hich the Cit��shall cause to be recorded. �p AY�achment 4 I Resolution No. 2016-154 Page No. 18 4. METHOD OF APPORTIONTIENT For each Fiscal 1'ear. commencine Fiscal 1'ear 2016-17, the CFD Administrator shall ]e��y the Special Taa on all Taaable Property in accordance with the following steps: Stea 1: The Special Taa shal] be levied Proportionately oo each Assessors Pazcel of Deve;oped Property at up :c :Q^;!, of the applicable Assigned Special Tax to satisfi�the Special Taa Requirement: Stea 2: If additional monies are needed to satisfy the Special Tax Requirement afrer Step 1 has been completed; the Special Ta�: shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property up to 100% of the Ma�imum Special Tax for Unde��eloped Property; Stea 3: If additional monies are needed to satisfy the Special Tax Requirement afrer the first two steps have been completed_ theo the Special Tax amount determined in Step 1 shall be increased Proportionately on each Assessor s Parcel of Developed Propert}�up to ]00% of the Ma�imum Special Tax for De��eloped Property. Step 4: If additional monies are needed to satisfy the Special Taa: Requirement after the first three steps ha��e been completed, then the Special Tax shall be levied Proportionately on each Assessor s Parcel of Provisional Property up to 100% of the Maximum Special Taa for Pro��isiona] Propert�; Noa��ithstanding the abo��e, under no circumstances will the Special Tax levied in any Fiscal Year against any Assessors Parcel of Residential Property for �vhich an occupancy peanit for pri��ate residential use has been issued be increased as a result of a delinquency or default in the pa��ment of the Special Tax applicable to any odier Assessor`s Parcel within IA1 by more than ten percent (]0%) above what �rould have been levied i� the absence of such delinquencies or defaults. 5. EXEn'IPTIOnS The CFD Administrator shall classify as Exempt Property (i) Assessor's Parcels of Public Property; (ii) Assessor's Parcels of Propetty Ov�roer Association Property, (iii) Assessor s Parcels which are used as places of worship and are eaempt from ad valorem property taxes because they are o��ned by a religious oroanization, and (iv) Assessor's Parcels with public or utiliry easements making impractical their utilization for other than the purposes set forth in the easement, pro��ided that no such classification would reduce the sum of all Taxable Property in IA1 to less than 9.�3 Acres for Zone A: 12.67 Acres for Zo�e B; or 17.09 Acres for Zone C. Assessor's Parcels �+�hich cannot be classified as Exempt Property because such classification �voold reduce the sum of all Taaable Propert�� in IAl to less than 9.�3 Acres for Zone A. 12.67 Acres for Zone B: or 17.09 Acres for Zone C, shall be classified as Provisional Property and will continue to be subject to the IA i Special Taxes accordingil'. Tax e�empt status for the purpose � � Attachment 4 Resolution No. 2016-1�4 Paee No. 19 of this pazaaraph will be assi�ed b� the CFD Administrator in the chronological order in which propem becomes elieible for dassification as Eaempt Propem. If the use of an Assessor's Pazcel of Eaempt Propem� chanees so that such Assessor's Parcel is no loneer classified as one of the uses set fonh in the first paraaraph of Section � above that «ould mal:e such.�ssessor s Pazcel eligible to be classified as Exempt Propem, such Assessor`s Parcel shall cease to be classified as Exempt Propem� and shall be deemed to be Tazable Propem. 6.�PPE:�I.S An� lando��ner who pa}�s the Special Taa and claims the amount of the Special Tax levied on his or her Assessor's Parcel is in error shall first consult with the CFD _4dministrator resardins such error not ]ater than thim�-sia (36) months afrer first ha��ing paid the first installment of the Specia] Tax that is disputed. If follo��ins such consultation the CFD Administrator determines that an error has occurred then the CFD Administra[or shall take any of the following actions, in order of priorirv, in order to correct the error: (i) Amend the Special Ta� lev�� on the lando��ner`s Assessor`s Parcei(s) for the current Fiscal Year prior to the payment date, (ii) Require the CFD to reimburse the landowner for the amount of the o��erpayment to the extent of a�ailable CFD funds. or (iii) Grant a credit a2ainsc eliminate or reduce the future Special Taxes on the landowners Assessor's Parcel(s) in the amount ofthe overpa}�cnent. If follo«ins such consultation and action bv the CFD .4dministrator the lando«mer believes such error still esis[s, such person mav file a N�ritten notice of appeal �rith the City Council. Upon the receipt of such notice, the Cin� Council or desienee may establish such procedures as deemed necessary to undertal:e the revie�j� of any such appeaL If the City Council or desienee determines an error still exists. the CFD Administrator shall tal:e an�� of the actions described as (i), (ii)and (iii)above, in order of priorim; in order to correct the erzor. The City Council or desienee thereof shall interpretthis Rate and n4ethod of.4pponionment of Special Ta�: for purposes of clarif}ine any ambisuities and mal:e determinations relative to the administration oF the Special Tax and an}� lando�ti�ner appeals. The decision of the Cin� Council or designee shall be final aod bindine as to all persons. 7. COLLECTIO\' OF SPECL4L T 1RES Collection of the Annual Special Ta� shall be made by the Count� in the same manner u ordinar�� ad valorem propem� ta�es are collected and the Annual Specia] Tax shal] be subject to the same penalties and the same lien priorit� in the case of delinquency as ad valorem taxes: provided. ho�vever, that the Citv Couocil ma}� provide for (i) other means of collectine the Special Tax, includine direct billings thereof[o the propert� o�rners: and (ii)judicial foreclosure of delinquent Annual Special Ta�es. j� Attachment 4 � Resolution No. 2016-154 Page No. 20 8.PREPAY1V1EnT OF SPECLAL T.A� OBLIGATION A. Prepacment in Full Property ov,�ners ma}� prepa�� and permanently satisfy the Special Tax Obligation bp a cash se�.lement�r;th the C;,� as pc,�irted under Government Code Section �3344. The follo�a�i�e definidons app]}�to this Section 8: "CFD Public Facilities Costs" means $12,550,000 or s�ch lower number as (i) shall be determined b}�the CFD Administrator as sufficient to acquire or construct the facilities to be financed under the Act and financing program for IAI, or (ii) shall be determined by � the Cit�° Council concurrentl}� ��ith a covenanc that it will not issue any more Bonds (eaceptrefu�diog bonds). "Constraction Eund" means the fund (regardless of its name) established pursuant to the Fiscal Agent Agreem,ent to hold fu�ds, which are currenUy available for expendimre to acquirz or construct the facilities or pay fees authorized to be funded by CFD No. 16-I for IA1. "Future Facilities Costs" means the CFD Public Facilities Costs minus (i) costs preaiously paid from the Consvuction Fund to acquire or construet the facilities, (ii) monies currently on deposit in the Construction Fund, and (iii) monies currenth� on deposit in an escrow or other designated fund that are expected to be available to finance CFD Public Facilities Costs. "Outstanding Bonds" means all Previously Issued Bonds, which remain outstanding as of the first interest a�d/or principal payment date following the current Fiscal Year excluding Bonds to be redeemed at a later date with proceeds of prior Special Tax prepayments. "Preciouslv Issued Bonds" means all Bonds that have been issued prior to the date of prepayment. The Special Taa Obligation applicable to an Assessor's Parcel of Developed ProperC}�, or Undeveloped Property for which a Building Pennit has been issued may be prepaid and the obiisatioo to pa��the Special Tax for such Assessors Parcel permanently satisSed as described herein, pro��ided that a prepayment may be made with respect to a particular Assessors Parcel only if there are no delinquent Specia] Taxes with respect to such Assessors Parcel at the time of prepa��ment An owner of an Assessor's Parcel eligible to prepay the Special Ta� Obligation shall provide the CFD Administrator �ti�ith written notice of inrent to prepay, and designate or identify the company or agenc}� that will be actino as the escrow aeent if any.The CFD Administrator shall provide the owner with a statement of the Prepayment Amount for such Assessor's Parcel �aithin thirt}� (30) days of the request and ma.� char2e a reasonable fee for }�rovidine this se»�ice. Prepa}�ment �; Attachment 4 Resolution No. 2016-1�4 Paae No. 21 must be made at least 60 da}�s prior to ar��'redemption date for the Bonds to be redeemed ��ith the proceeds of such prepaid Special Tazes, unless a shorter period is acceprable to the Fiscal Aeent and the Cin�. The Prepa�7nent Amount (defined below) shall be calculated for each applicable _�ssessor's Pazcel or group of Assessors Parcels as summarized below� (capitalized terms as defined below): Bond Redemption Amount plus Redemption Premium plus Furure Facilities Prepayment Amount plus Defeasance Amount plus Prepa}Tnent Administratiye Fees and Expenses less Reserve Fund Credit less Capitalized Inrerest Credit Total: equals Prepa}ment Amount As of the proposed date of prepa�7nent the Prepa��ment Amount (defined i❑ Step 13 belo�i) shall be calculated as follows: Step 1'0.: l. Confirm that no Special T�delinquencies applv to such Assessor`s Parcel. 2. For Assessor's Parcels of Developed Propem�, derermine the Matiimum Special Tax. For Assessors Pazcels of Unde��eloped Propert}� for �vhich a Buildine Perznit has been issued, compure the D9aximum Special Iax for that Assessor`s Parcel as thoueh it ��•as aUead��designated as De��eloped Propem�, based upon the Buildine Permit ��fiich has alread�� been issued for that Assessor's Parcel. 3. Di��ide the ?�1aa:imum Special Ta�c computed pursuant to paraaraph 2 b}• the total espected D4aximum Special Tak re��enue for IAl assumins all Buildine Permits have been issued (build-out) within L�1, excludi�e ao�� Assessor`s Pazcels for��hich the Special Tax Oblieation has been previouslv prepaid. 4. !�4ultiplv the quotient computed pursuant to paragraph 3 by the Outstandins Bonds and round that number up to the nearest S�.000 increment to compute the amount of Outstanding Bonds to be retired and prepaid for all applicable Assessor`s Parcels (the"Bond Redemption Amount"). 5. \9ultiph the Bond Redemption .Amount computed pursuant to paraaraph 4 b�� the applicable redemption premium (expressed as a percentage): if an}�. on the Oucstanding Bonds to be redeemed a[ [he first available call date (the "Redemption Premium"). � jq F,ttachment 4 Resolution No. 20]6-1�4 Page No. 22 6. Compu[e the Future Facilities Costs. 7. n9ultiply the quotient computed pursuant to paragraph 3 by the amount determined pursuant to para=raph 6 to compute the amount of Future Facilities Costs to be prepaid ([he "Future Facilities Prepa,l'ment Amounr'). 8. Compute the amount oeeded to pa�� interest o� the Bond Redemption Amount from the first bond interest and/or principa] payment date follow�ing the current Fiscal Year until the expected redemption dare for the Outstandine Bonds �fiich, depending on the Fiscal Ageot Agreemeot, may be as early as the neat interest payment date. 9. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount ]ess the Future Facilities Prepa��nent Amount and the Prepa��nenc Administrative Fees from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed ��ith the prepayment. 10. Subtract the amount computed in paragraph 9 from the amount computed in paraaraph 8 (the "Defeasance Amounr`). 1 l. Calculate the administrati��e fees and erpenses of CFD No. 16-1 for lAl, including the costs of computation of the prepayment, the cosu to invest the prepayment proceeds, the costs of redeeming the Outstanding Bonds to be redeemed ��ith the prepa��ment, and the costs of recording any notices to evidence the prepayment and the redemption (the"Prepayme�t Administrative Fees"). 12. If reserve funds for the'Outstanding Baids, if any, are at or above ]00%of the resen�e requirement (as defined in the Fiscal Agent Agreement) on the prepayment calculation date, a reserve fund credit shall be calculated as a reduction in the applicable reserve fund for the Outstanding Bonds to be redeemed pursuant to the prepayment (the "Reserve Fund Credir'). No Resen�e Fund Credit shall be grarited if, after the Prepayment Amount is calculated, resen�e funds are belo�� 100% of the reserve requirement afrer taking into account such prepayment. 13. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year; a capitalized interest credit shall be calculated by multiplying tl�e quotient co�nputed pursuant to paragraph 3 by the eapected balance in the capitalized interest fund after such first interest and/or principal payment (the "Ca��italized Interest Credit"). �j Attachmeni 4 Resolution No. 2016-1�4 Pa�e No. 23 1�. The arnount to prepa}� the Special Ta� Obligation is equal to the sum of the amounts computed pursuant to paraeraphs 4, �_ 7, 10, and 1 I, ]ess the amounts computed pursuant to parasraphs 12 and 13 (the'Prepa}ment Amount"). 1�. From the Prepa}ment Amount the sum of the amounu computed pursuant to pazagraphs 4. 5. and 10. less the amounts computed pwsuant to paragraphs ]2 and li shall be deposited into the appropriate fund as established under the Fiscal Asent Aareement and be used to retire Outstandine Bonds or make Debt Sen�ice pa}�ments. The amount computed pursuant to paragraph 7 shall be deposited inro the Consttuction Fund. The amount computed pursuant to pazaaraph 11 shall be retained b}�CFD�o. ]6-I. The Prepa}�nent Amount mav be sufficient to redeem an amount other than a S5,000 incremznt of Bonds. In such cases. the increment abo��e S?:000 or intesral multiple thereof will be retained in the appropriate fund established under the Fiscal Aeent Agreemeot to redeem Boods to be used�j•ith the nea[prepa�Tnent of Bonds. The CFD Administrator will confirm that all previoush� levied Special Ta�;es ha��e been paid in fulL R'ith respect to an}�.4ssessor's Parcel for�vhich the Special Tac Oblieation is prepaid in full, once the CFD Administrator has con£ianed that all previoush� levied Special Taaes have been paid. the Cin� Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepa�Tnent of the Special Ta� Oblieation and the release of the Special Ta� lien on such .ASSessor's Parcel. and the obligation of the owner of such Assessoi s Parcel to pa}�the Special Ta1 shall cease. Noncithstanding [he foregoine, no Special Taa prepa�7nent shall be allowed unless the aegre�ate amount of ?�4aaimum Special Taxes less the Administrati��e Espense Requirement that ma�� be le��ied on Taxable Propem�. respectivel}�, after the proposed prepayment is at least 1.1 times the Debt Sen�ice on all Ouutanding Bonds in each Fiscal Year. B. Partial Prepa}ment The Special Tax on an Assessor s Parcel of De��eloped Propem or Undeveloped Propert}� for which a Buildino Permit has been issued ma�� be partiall}�prepaid. The amount of the prepa}7nent shall be calculated as in Section 8.A.; except that a partial prepa}�nent shall be calculated accordina to the follo�t�ina fo�nula: PP°(PE-A)x F=A These terms have the follo�rine meanine: PP=[he panial prepa��ment PE =the Prepa}ment.Amount calculated accordin�to Section S.A F=the percentaQe bv�vhich [he o��ner of the Assessor s Parcel(s) is partiall}�przpa�ing the Spzcial Ta� Oblisation �( Httachment 4 � Resolution No. 2016-1�4 Pase No. 24 A =the Prepa}�ment Administrative Fees and Expenses from Section S.A The owner of an}� .4ssessor s Parcel �+�ho desires such partial prepa�Rnent shall notif��the CFD .4dministrator of (i) such owner's intent to partially prepa}� the Special Tas Oblieation, (ii) the percentage b�� hich the Special Tax Oblieation shall be prepaid, and (iii) [he company or a2eoc�� that will be acting as the escrow agent, if an��. The CFD Administrator shall pro��ide the owner with a statement of the amount required for the partial prepa}�ment of the Special Tax Obligation for an Assessors Parcel ��ithin siat}� (60) da��s of the request and ma}�charae a reasonable fee for providing this sen�ice. �1'ith respect to an}�Assessors Pazcel that is partially prepaid. the City shall (i) distribute the funds remitted to it according to Section 8.A.; and (ii) indicate in the records of CFD No. ]6-I for IA1 that there has been a partial prepayment of the Specia] Ta�c Oblieatioo and that a ponion of the Special Taa ��ith respect to such Assessor's Parcel; equal to the outstandine percentage (1.00 - F) of the b4a�:imum Special Taa; shall continue to be le��ied on such Assessor's Parcel. Non��ithstanding the fore2oing; no partia] prepa��me�t shall be allo�i�ed unless the a�ere2ate amount of Maaimum Special Taxes less the Administrative Eapense Requirement that ma�� be le��ied on Taxable Property, respectively, afrer the proposed partial prepa��ment is at least 1.1 times the Debt Service on all Outstanding Bonds io each Fiscal Year. 9. TERM OF SPECIAL TAX The Special Tax shall be levied as long as necessary to meet the Special Tax Requirement for a period not[o exceed forty(40) Fiscal Years commencing with Fiscal Year 2016-]7. �� Attachment 4 eso ution _ o. _ - � Paee No. 2� � = _ '` _ - I . � __° i�° __ ` ' _-_ .,e = _ ��'�_ <<` :- _ €:��' FI<=s ;� a =� `---- ' _= -_ - � ` � _.__ -__ s� _ f ` 4 " �__ ''F , ;�� _ _ - ``y� I �=: I_I=I. i,� �c� - �4 - Ivi�n _}£�� I.-i�uu '=cc I��as �cm ° �\u �/ _ I` — ,CC v�2�,,'�\,___ _—`I �—_— `-I r 1 1 G � \ '< 1 \ >� O O J� / �\ ;�.y. � - \ \ . � \ \ �\� ��\� w �- 1 � F- `-°z � �� - ¢ �? � �'�� '„�.�� ` � , ��f �� a z - � E�a� z � z � < � � � � ", �;. ` r � \ \� ��\ o J �o.. � LLI � � ��< I � �I z \n M�` J� ` � J iv \,�^. (n � p O; � � L '-� .a=^'__ �> � - 1 g I - \\ -•G- E L� } i � � � � �� < �C Z f / a � \ O �--y `"�. :o,,,� / I . \ � � // � '� � � �� j I�� S�I_tlCv g:!5 � . 1 � �� 1 1 s%� \ 1 I ' ' g _ _ � s.. - � < _ I � � 4 = � �<�< I � I I � F S n � i I � z � � � :%' � ' � i . �i r i I =. i=i�i�i i�.il�.i � i-�i - I`1 � '- i = — — — I z I-i�_,��i�� j � I i _ i�_1\ ,V/I _ � I I Resolution No. 2016-154 Pa . _ o � N - � � _ ,� � � s 8 . R / ; 4 } - vRWPy . ellu � Q EnSRptE�P ,%s . . zr^ � c � z 1 � 6 +�� J d < J '< <.ae O � ' .'WO sosn - U v 1 � � � � � O � ��w'� �1 � Q �� i �ON P�ENUc m W � ZLL �I OR � Z S LL U f QULLoo S N �� 0 0y� w ' i ° _ : n�EN�E � m .f . z � F-?~ I ° a M�Q° O ;� ?E O � U�(� � V _ P�M�1E '�, P P I � � M N Pv `� m � II m � � � f � � I ��3�� : � _1 r__I y�N3 � Q tl � ''h � � � � 1 '� \��\;. � , �.„ „ , � , , =Z,��oa�e�= �_� ', \ a�3 „ g € m < g g d w w 4 � `q - °S� ° $ $ $ g $ w _ w $ �JCa ¢ W w �Na� W p �n c� g C x � N '2 n �,Io��lo o IiJi�� c � w - si II I � i " - � Resolution No. 2016-1>4 Paee I�'o. 27 E�IIIBIT B CITI` OF CAUZ.4 VISTA AND CFD \O. 16-I CERTIFICATE 1. Pursuant to Sution 3F of che Ra[e and A4ethod of Apportionment of Special Ta� (the "R�2A"), the Cin'of Chula \'ista (the "Cit}") and Communin•Facilities Distric[\o. 16-I of the Cin of Chula Vista (`CFD No. ]6-I") hereb�� aaree to a reduction in the Special Ta� for Developed Propem�. linde��eloped Propem, and/or Pro��isional Propem•: (a) The information in the R�'L4 rela[ine to the Special Ta� for De��eloped Propen}�. Undeveloped Propem�, and Pro��isional Propem�shall be modified as follows: (insert Table 1, ?, and/or 3 showing revised.4ssrgned Speeial Tctt ratesjor Developed Propern; irueri revised Backvp Special Tax rates for Developed Propertv by Zone: and insert change to Alaximum Special Taz rates for Undeveloped ProperN and Proi isrona!Propern�by ZoneJ (b) The CFD Public Facilities Costs in Sution 8 shall be changed to S 2. Special Tas rates for Taaable Propem� ma} onl�� be modified prior to the issuance of Bonds. 3. Upon eaecution of[he Certificate by the Cin� and CFD No. 16-I the Cit�� shall cause an amended \otice of Special Tat Lien for L41 to be recorded reflectine [he modifications set fonh herein. B.�execution hereof.the undersiened acl:no�rled2es. on behalf of the Cin�of Chula\'ista and CFD No. 16-I, receipt of this Certificate and modification of the RT��.4 as set forth in this Certificate. CITY OF CHUL.4 VISTA Bv: Dare: CFD Administrator COIvL�NI�']TY FACILITIES DISTRICT]�`O. 16-I OF THE CITY OF CHliLA VIST.4 gv: Date: B_1 :,ttachment 4 Resolution No. 2016-1�4 Page No. 28 RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX CITY OF CHtiLA VISTA COD�vfUNITl'FACILITIES DISTRICT NO. 16-I (1VIII.LEn'IA) LMPROVEMENT AREA NO. 2 A Speciai Ta� shzll be lcaie� on aC Tna�ahle Property within the boundazies of Improvement Area No. 1 of Community Facilities District No. ]6-I (Millenia) of the Cit�� of Chula Vista (`IA2") and collected each Fiscal Year commencin2 in Fiscal Year 2016-17, in an amount determined b�� the CFD Administrator through the application of the procedures described below. All of the real propert�� within LA2, unless eaempted by law or b}� the provisions hereof, shall be taxed for the purposes,to the extent, and in the manner herein provided. 1. DEFINITIONS The terms hereinafrer set forth ha��e the folloN�ing meaoin�s: "Acre" or "Acreage" means the land area of an Assessor's Parce] as shown on an Assessor's Pazcel Map, or if the land area is not sho«�n on an Assessor's Parcel Map, the land area showm on the applicable Final Map. An Acre means 43560 square feet of]and. lf the preceding maps for a land area are �ot available, the Acreage of such land area shall be determined by the Ciry En�ineer. "AcP' means the nQello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Govemment Code of the State of California. "Administrative Ezpense RequiremenP' means an annual amount equal to �75;000, or such lesser amount as ma}� be designated by �vritten instr�etion from an authorized representative of the City to the Fiscal Aeent, to be albcated as the firsc priority of Special Taxes received each Fiscal Year for the pa��ment of Adminisvati��e Expeoses. "Administrati�°e Expenses" means the following actual or reasonably estimated costs related to the administration of IA2 i�cluding, but not limited to: the costs of preparing and computing the Annual Special Tax (whether b��the City or designee thereof or both); the costs of collecting the Special Taaes (whether by the Cit}�, the County or otherwise); the costs of remitting the Special Taaes to the Fiscal Agent; the costs of the Fiscal Agent (including its legal counsel) in the discharge of the duties required of ic under the Fiscal Agent Agreemenr, the costs to the City, CFD I�'o. 16-I, or any designee thereof compl��ing with arbitrage rebate requiremeots. i�cludi�2 vrithout limitation rebate liability costs and periodic rebate calculations; the costs to the Ciq�, CFD No. ]6-I, or any designee thereof complying �vith disdosure or reporting requirements of the Cit��or CFD No. 16-], associated with applicable federal and State laws; the costs associated with preparin� Special Tas disclosure statements and responding to public inquiries regazding ihe Special Taaes; the costs co the Ciry, CFD lvo. 16-1, or a�ry desienee thereof related to an appeal of the S��ecial Ta�; and the City's annual administration fees and third party e�;penses. Administrati��e E�penses shall also include amou��ts estima�ed or advanced by the City or CFD � Attachment 4 � Resolution No. 2016-1�4 Paae No. 29 No. 16-I for anv other administrati��e purposes of CFD ?�o. 16-I, includine attomev's fees and other costs related to commencine and pursuine any foredosure of delinquent Special Taaes. "Annual Special Taa" means the Special Tax acruall}� le��ied in any Fiscal 1'ear on anv Assessors Pazcel. "Assessor" means the.�ssessor of the Counrv of San Die�o. "_�+,ssessor's Parcel" means a lot or pazcel shoum on an .4ssessor's Parcel Map H•ith an assiened .4ssessor's Parcel\'umber. "Assessor's Parcel T1ap" means an o�cial map of the .4ssessor desianating parcels bv .4ssessor`s Parcel\umber. `+.ssessor's Parcel Number' means the number assiened to an Assessor's Pazcel bv the Count�� for purposes of identification. `:�ssi�oed Special Tax"means che Special Ta�of that name described in Section 3..4 beloH�. "Backup Special Tac" means the Special Tax ofthat name described in Section 3.B below. "Bonds' means an��bonds or other debt of CFD \'o. 16-I issued or incurred for LA2. �j hether in one or more series, secured b��the le��y of Special Taces. "Building PermiY' means a building permit for construction of a Residential linit or non- residential strucrure H�ithin IA2 issued b��the Cir��. "Buildin� Square Footage" means all of the square footaee of livine area within the perimeter of a residential structure, not including any carport, ��alkw�ay, garaee, o��erhane. or similar azea. The determination of Buildine Square Footaee shall be made b}� the CFD Administrator b}� reference to [he Building Permit(s) issued for such .4ssessor`s Parcel and/or b�� reference to appropriate records kept b}� the Cit}�. Buildine Square Foota2e for a Residential Unit will be based on the Buildine Permit(s) issued for such Residential Unit prior to it beine classified as Occupied Residential Propem�. and shall not chanee as a result of additions or modifications made to such Residentia] Unit afrer such classification as Occupied Residential Propem�. "Calendar 1'ear" means the period commencine )anuan� 1 of am�veaz and ending the follo��ins December 31. "CFD Admiuistrator' means an authorized representati��e of the Cit��. or desienee thereof rzsponsible for deterznining the Special Ta� Requirement, for preparing the Annual Special Ta� roll and/or calculacins the Backup Special Ta�. ��CFD No. 16-I" means the Communit.� Facilities District \o. 16-I (�lillenia) of ihe Cim of Chula Vista. � A.;tachment 4 1 Resolution No. 2016-1�4 Pa�e No. 30 `'Cih' means the Citv of Chula V'ista. Califomia. "Cih� Council" means the Cin� Council of the City acting as the le�islati��e body of CFD No. � ]6-I under[he Act. "Condominium" means a unit «�hether attached or detached, meeting the statutory definition of a condominium contained in the Califomia Civil Code Section 428�. "Counn�" means the Countv of San Dieeo. Califomia. "Debt Sen ice" means for each Fiscal Year; the total amount of principal and interest pa��able on any Outstanding Bonds during the Calendar Year commencing on January 1 of such Fiscal Year. "Developed Properh�" means for each Fiscal Year, all Taxable Property, eaclusive of Provisional Propem�, for �+�hich a Building Permit was issued prior to March 1 of the previous Fiscal Yeac An Assessors Parcel classified as Developed Property but for which the Buildine Pennit that caused such Assessor's Parce] to be classified as Developed Property has been cancelled and/or voided prior to the Fiscal Yeaz for which Special Taxes are being levied shall be reclassified as Undeveloped Property, provided that the levy of the Annual Special Ta� afrer s�ch reclassification shall not be ]ess than ].1 times the annoa] Debt Service less Administrative Expenses on all Outstanding Bonds. If Bonds ha��e not been issued, an Assessor`s Parce] classified as Developed Property for which such a Buildin� Permit has been cancelled and/or voided shall be reclassified as Undeveloped Property. "Derelopment .4greemenY' means that certain De��elopment Agreement by and behi�een the City of Chula Vista and McMillin Otay Ranch LLC adopted October 6, 2009 and recorded with the Counrv of San Diego's Recorders office on October 27, 2009 as Document A'umber 2009- 0�95116, as ma��be amended and/or supplemented from time to time. "Ezempt Properh" means for each Fiscal Year; all Assessor's Parcels desienated as being exempt from Special Taaes pursuant to Section 5 below. "Final Map" means a subdi��ision of property by recordation of a final map, pazcel map, or lot line adjustment. pursuant to the Subdivision Map Act (California Go��emment Code Section 66410 et seq.) or recordation of a eondominium plan pursuant to California Civil Code 428� that creates indi��idual bts for�3�hich Building Pennits may be issued ti�ithout further subdi��ision. "Fiscal ]'ear"means the period startino on July 1 and ending the folloH�ing June 30. "Fiscal Agent" means the fiscal asent, trustee, or paying agent under the Fiscal Aeent Agreeme�t. "Fiscal Agent Agreement' means the fiscal agent agreeiroent, indenmre; resolution or other instrument pursuant to which Bonds are issued; as modified, amended and/or supplemented from time to time, and am� instrument replacing or su��plementing the satne. � Attachment 4 Resolution No. 2016-1>4 Pa�e No. 31 '`L�2" means lmprovement.Area V'o. 2 of CFD Ao. 16-I. `�Land lise Class' means anv ofthe classes listed in Table lor 2 under Section 3A below. Note:Land Uses Class is not in reference to a properro's=oning desi�wtion. "Lot(s)" means an individual legal lot created b�� a Final D4ap for w�hich a buildino permit for residential cons[ruction has been or could be issued. K'ot�vithstandine the foregoino�in the case of an indi��idual legal lot created b�� such a Final A4ap upon �ti�hich Condominiums aze entitled to be developed, the number of Lots allocable to such lesal lot for purposes of calculating the Bacl.vp Special Tax applicable to such Final D4ap shall equal the rmmber of Condominiums �jhich are permitted to be constructed on such leeal Iot as sho��n on such Final D4ap. "Alaster Deceloper' means SLF IV-:�4illenia LLC or its successors or assignees as defined in the Development Agreement. `,'�lazimum Special Tax" means for each Assessors ParceL the maximum Special Tax, determined in accordance N�ith Sections 3.0 and 3.D below, which may be levied i� a eiven Fiscal Year.on such Assessor-s Parce] of Taxable Propem�. °°1on-Residential Propem" means all Assessors Parcels of De��eloped Propeny for ��hich a Buildine Permit has been issued for the purpose of constructin2 one or more non-residential units or strucrures. `'Occupied Residential Propem' means all Assessor Parcels of Residential Propem�for��hich title is held by an end user(homeo��ner). "Outstanding Bonds' means all Bonds ��hich are deemed to be outstandine under the Fiscal Aeent Aereement. "Prepacment .�mounP' means the amount required to prepa��the Special Ta� Obligation in full for ari Assessors Parcel as described in Seaion 8.A below. "Propem� Ow�ner Association Property" means am� Assessors Parcel H�ithin the boundaries of LA2 o«�ned in fee by a propem�o�rner association, includine an}'master or sub-association. "Proportionateh" or "Proportiooate" means for Developed Property. that the ratio of the actual Special Ta� le��v to the applicable Assi�ned Special Taa or Backup Special Ta� is equal for all .ASSessor-s Pazcels of Developed Propem�. For Undeveloped Propem�, 'Proponionatel�" means that the ratio of the actual Special Ta� levy per Acre to the n1a�:imum Special Tac per Acre is equal for all Assessor's Parcels of Undeveloped Propert��. `�Proportionately" ma�• similarh�be applied to other categories of Taxable Propem� as listed in Section 3 belo�ti�. =�Pro�isional Propern" means all Assessor`s Parcels of Public Propert��, Property O«�ner Association Property or propert��that �vould othern�ise be classified as Esempt Propem�pursuant to the provisions of Section �, but cannot be classified as E�empt Propem• because to do so .� Attachment 4 Resolution ?�'o. 2016-1�4 Paee No. 32 would reduce the Acrea�e of all Ta�able Property below the required minimum Acreage as set forth in Sectioo �. "Public Properh�" means an}� property ��ithin the boundaries of LA2, which is o��ned b��, or irrevocably offered for dedication to the federal govemment the Sfate of Califomia the Counn, the Cit}� or a�y other public agency; provided however thaf any propem� oNmed b�� a public agency and leased to a private entity and subject to taxa[ion under Section �3340.1 of the Act shall be taxed and dassified in accordar�ce with its use. "Residential Properh�" means all Assessors Pazcels of De��eloped Property for which a Buildine Permit has been issued for the purpose of constructing one or more Residentia] Units. "Residential tiniN' means each separare residential dwelling unit that comprises an independe�t facilih�capable of conve��ance or rental, separate from adjacent residential dwelline uniu. "Special Tas° means any special ta� levied within IA2 pursuant to the Act and this Rate and Method of.Apportionment of Special Tax. "Special Tax Obligation" means tbe total obligation of an Assessors Parcel of Ta�able Property to pay the Special Tax for the remaining life of IA2. "Special Tax RequiremenY' means that amount required in any Fiscal Year to: (i) pay regularly scheduled Debt Service on all Outstar�ding Bonds; (ii) pay periodic costs on the Outstanding Bonds, including but not limited to, credit enhancement and rebate payme�ts on the Oatstanding Bonds._(iii)pay Administrati��e Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds; (v) accumulate funds to pay directly for acquisition or construction of facilities provided that the inclusion of such amount does not cause an increase in the Special Taa to be levied on Unde��eloped Property; and (vi) pay for reasonably anticipated . delinquent Special Taaes based on (a)the average delinquency rate for special taxes levied in Che pre��ious Fisca] Pear in al] community facilities districts within the portion of the City commonlp I:nown as Otay Ranch for the first Fisca] Yeaz in which Special T�es are levied and (b) the delinquency rate for Special Taaes ]evied in the previous Fiscal Yeaz within IA2 for all subseqaent Fiscal Years in which Special Taxes are ]evied; less (vii) a credit for funds available to reduce the Annual Special Tax levy, as determi�ed by the CFD Adminisfrator pursuant to the Fiscal Agent Agreement. "State" mea�s the State of Califomia. "Taxable Properh" means all of the Assessor's Parcels within the boundaries of CFD; ��hich are not e�empt from the levy of the Special Tax pursuant to law or Section 5 below. "Undeveloped Properh'" means, for each Fiscal Year, all Taxable Property not classified as Developed Propert��or Pro��isional Property. "Z,one A" means the specific eeoeraphic area desienated as such c��ithin IA2 a�d as depicted in Exhibit A attached herem. j Attachment 4 Resolution No. 2016-1>4 Paee?r'o. 33 "Zone B°' means the specific geo�raphic azea desi�ated as such within LA3 and as depicted in Eahibit A ac[ached hereto. 2. L.�1n�D liSE CL�1SSiFIC�TI01 Each Fiscal Pear. beeinnins with Fiscal 1'ear 2016-17. each Assessor`s Parcel �vithin L42 shall be classified as Takable Propem or Exempt Propem. In addition, all Ta�:able Propem shall funher be classified as Developed Property, Undeveloped Propem� or Pro�isional Propem, and all such Tasable Propem� shall be subject to the lev�� of Special Ta�es in accordance with this Rate and D4ethod of Apponionment of Special Taa determined pursuant to Sections 3 and 4 belo«�. Furthermore, each Assessors Parcel of Developed Propem shall be classified according to its applicable Land Use Class based on its Buildine Square Footage. For Assessor`s Pazcels of I�on-Residential Propem developed �a�ith Condominiums (e.g.; office or industrial condos). the Acreaee applicable to each such Condominium for purposes of levyins Special Ta�es shall be computed from the Acreage of the leeal ]ot created by the Final Map upon �j�hich such Condominiums are entitled ro be developed, �ith the Acreage o£such lot allocated to each Condominium on a pro-rata basis usins the buildina squaze footase of such Condominium relative to the total buildine squaze footage of all Condominiums entitled to be de��eloped on such lot. The determi�ation of buildine square footaQe for each non-residential Condominium shall be made by reference to the applicable Building Permit, and to the extent a Buildino Permit has not been issued for all Condominiums to be located on the applicable leea] lot the buildine square foota�e attributable to an}� such Condominiums shall be determined from the recorded condominium plan. or applicable site plan. plot plan, or other appropriate records kept by the Cin as reasonablv determined b}� the CFD Administratoc In the event the Citv takes ownership of a Condominium «ithin IA2 and such propem in all other respects meets the definition of Public Propem� as set forth in Section 1, such propert�� shall be e�empt from Special Taxes pursuant to Section �. 3. SPECI.AL TA.l"R4TE5 A. 9ssi�ned Special Tax for Dereloped Propern The Assisned Special Tac applicable to an _4ssessor's Parcel classified as Developed Propert}� commencine Fiscal Tear 2016-17 shall be determined pursuant to Table 1 or 2 belo��, as applicable. ( ;;t.achment 4 Resolution No. 2016-1�4 Paee No. 34 Table 1 Assigned Special Tax Rates for Developed Property within Zone A Land Building tise Land Use Type Square Assigned Special Class Footage Tas � 1 Residential Propem� 5 1,450 ��,360 per Residential Unit 2 Residential Property >],450 �1,628 per Residential U�it 3 Idon-Residentia] Property N/A $6,000 per Acre Table 2 Assigned Special Tax Rates for Developed Property within Zone B Laud Building Use Laud Use Type Square Assigned Special Class Footage Tax 1 Residential Property < 1,450 $��360 per — Residential Unit 2 Residential Property >1;450 ��,628 per Residential Unit 3 Non-Residential Property N/A $6,000 per Acre On each July 1, commencing July 1; 201Z the Assigned Special Tax for Developed Property shall be increased by tti�o percent (2.00%) of the amount in effect in the prior Fiscal Year. B. Backup Special Taz for Developed Properl�� 1'hen a Final Map or a coi�dominimn plan is recorded within Zone A or Zone B the Backup Special Tar for Assessor's Parcels of De��eloped Property classified as Residential Property shall be determined as follo��s: � Attachment 4 Resolution No. 2016-1�� Paee No. 3� For each Assessor`s Pazcel of Residential Propem� or for each .4ssessors Pazcel of Undeveloped Propert}� to be classified az Residential Propem upon its de��elopment ��ithin the Final Map area the Backup Special Tax for Fiscal 1'eaz 2016-17 shal] be the rate per Lot calculated accordine to the folloH�ine formula: Zone .4 546.358 x A B = ----------- L Zone B S6316 x .4 B= ----------- L The teans ha��e the followine meanines: B = Bacl.vp Special Ta� per Lot A= AcreaQe classified or to be classified as Residential Propem in such Final �1ap. The land area applicable to a Condominium shall be computed from the Acrea�e of the Lot on��hich the Condominium is located.with the Acreage for such Lot allocated equally among all of the Condominiums located or to be located on such Lot. L= For a Final ?�1ap; the number of Lots�vhich are classified or to be classified as Residential Propeny. For each Assessors Pazcel of De��eloped Property classified as Non-Residential Propem� or for each Assessor`s Parcel of Undeveloped Propert�� to be classified as \�om Residen[ial Propem� within the Final A4ap area the Backup Special Tax for Fiscal Yeaz 2016-17 shall be determined b�• multiph�ing 546,3�8 for Zone A and 56,316 for Zone B b��the total Acreaee of an��such Assessor s Parcel. Nonvithstanding the foregoing, if Assessors Parcels of Residential Propem�, Ivon- Residential Property or Unde��eloped Property for which the Backup Special Ta� has been determined are subsequend�� chanaed or modified b�� recordation of a new or amended Final �9ap, then the Backup Special Ta� applicable to such Assessors Parcels shall be recalculated to equal the total amount of Backup Special Ta� that �vould have been ge�erated if such chanee did not take place. g �"-,tt2chment 4 Resolution No. 2016-1�4 Page No. 36 On each July 1. commencing Jul�� l, 2017, the Backup Special Tax applicable to each Assessor's Parce] of Taxable Propem� shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year. C. Masimum Special Taz for Developed Properry Each Fiscal Yeu, the Maaimum Special Tax for an Assessor's Parcel of De��eloped Propem� shall be the ereater of the applicable Assigned Special Tax or Backup Special Tar. D. Mazimum Special Taz for Pro�isional Properh� and Undeveloped Property The Maaimum Special Tax for Pro��isiona] Property and Undeveloped Propem� commencine in Fiscal Yeaz 2016-17 shall be �46,358 per Acre for Zone A and b6,316 per Acre for Zone B. On each Jul}� 1, commencing July l. 2017, the Maaimum Special Tax for Pro��isional Propem� and lindeveloped Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fisca] Year. E. Multiple Land tise Classes In some instances an Assessor's Parcel of Deeeloped Property may contain more than one Land Use Class. The Ma�:imum Specia] Taa that may be le��ied on such an Assessors Parcel shall onl��be levied on the Residential Property Land Use Class located on such Assessor's Parcel. F. 9dministrati�e Special Taz Reduction Prior to the issuance of Bonds, the Assiened Special 'Iax, Backup Special Tax; and Ma�:imum Special Taa (collecti��el�� the "Special Ta�c Rates') on Taaable Property may be reduced in accordance ��.�ith, and subject to the conditions set forth in this paraeraph. Upon the Citys receipt of a �+�ritten request from Master Developer and the CFD Administrator; the Special Taa Rates on Taaable Property may be reduced to a level which ��ill proeide not less than the sum of estimated Administrative Eapense Requirement and one hundred ten percent Q]0%) of the estimated debt service with respect to the amount ofBonds requested to be issued in such written request If it is reasonabl�� determined b}� the CFD Administracar that the total effective tax rate on Residential Propeny. as determined in accordance with the Development Agreement; eaceeds the maximum level allo��ed in the Development Agreement the Special Tar Rares ma�� be reduced to the amount necessary to satisfy the maximum allowable effective taa rate requirement on Residential Propert�� ith the w�ritten consent of Master Developer; ��hich consent shall not be unreasonably withheld, and the CFD Administratoc It shall nor be required that reductions among each °Building Square Footaee' range of Residential Propert�� be }�roportional. Additionally; the "CFD Public Facilities Costs` amount in Section S sl�all be reduced commensurate with any reductions g Attachment 4 Resolution No. 2016-1�� Pase No. 37 to[he Special Tax Ratzs pursuant to this paraeraph: as reasonabl}�determined bv the CFD Administtator. A certificate in substantialh�the form attached hereto as E�:hibit "B" shall be used for purposes of e�idencin2 the required «ritten consent and effectuating the reduction to the Special Tax Rates. The reductions peanitted pursuant to this pazagraph shall be reflected in an amended?�btice of Special Tax Lien «fiich the Cin� shall cause to be recorded. 4. T'LETHOB OF."�PP^RTIQ\?W`.'T. For each Fiscal Yeaz, commencing Fiscal Year 2016-17, the CFD .Administrator shall lev�� the Special Taa on all Taxable Propem in accordance ��ith the followina steps: Step 1: The Special Ta� shall be le��ied Proportionateh' on each Assessors Parcel of Developed Property at up to 100% of the applicable Assigned Special Tas to satisf�� the Special Ta�Requiremenr, Sfep 3: If additional monies are needed to satisfi�the Special I aa Requirement after Step 1 has been completed, the Special Tax shall be levied Proponionately on each Assessor's Parcel of lindeveloped Propen�� up to 100% of the ?�4�imum Special Taa for lindeveloped Propeny; Step 3; If additional monies are needed to satisf}� the Special Tax Requirement afrer the first n�o steps have been completed, then the Special Ta� amount determined in Step 1 shall be increased Proportionate]}�on each Assessor s Parcel of Developed Propem up to 100%of the A4aximum Special Tax for Developed Propert}�. Step 4: If additional monies are needed [o satisfy the Special Taa Requiremeo[ afrer the first three steps have beeo completed, then the Special Taa shall be levied Proportio�ately on each Assessors Parcel of Provisiona] Propem� up to ]00% of the D4aaimum Special Tax for Pro��isional Propemc Noniithstanding the abo��e, under no circumstances will the Special Taz levied in an�� Fiscal 1'ear aeainst an}� Assessors Pazcel of Residential Propem� for ��'hich an occupanc} permit for pri��ate residential use has been issued be increased as a result of a delinquencp or default in the pa��ment of the Special Tax applicable to any other Assessor's Pazcel within LA2 b�� more than ten percent (10%) abo��e what ��ould ha��e been levied in the absence of such delinquencies or defaults. � 5. E%EDIPIIO\S The CFD Administrator shall classifi as Exempt Propem� (i) Assessors Parcels of Public Propem�. (ii)Assessor s Parcels of Propen}�O�+•ner Association Propem�, (iii) .Assessor s Parcels �rhich are used as places of�vorship and are e�empt from ad valorem property taaes because thev are o��ned b�� a reli�ious organization, and (iv) Assessor's Parcels ��ith public or utilin� easements making impractical their utilization for other than the purposes set forth i❑ the �p Attachment4 Resolution No. 2016-I�4 Page No. 38 easement provided that �o such classification would reduce the sum of all Taxable Propem� in IAZ to less than 14.89 Acres for Zone .4 or 7.92 Acres for Zone B. Assessors Parcels which cannot be classified as Exempt Property because such classification would reduce the sum of all Taxable Propem� in L42 to ]ess than 14.89 Acres for Zone A or 7.92 Acres for Zone B shall be classified as Provisional Propert}� and will continue to be subject to the lA2 Special Taxes accordingly. Tax eaempt stams for the purpose of this paragraph will be assigned by the CFD Administrator in the chronological order in N�hich property becomes eligible for classification as Exempt Propem�. If the use of an Assessor`s Parcel of Exempt Property changes so that such Assessor s Parcel is no longer classified as one of the uses set forth in the first pazagraph of Section 5 above that would make such Assessor's Parce] eligible to be classified as Exempt Propert}�, such Assessor's Parcel shall cease to be classified as Exempt Property and shal] be deemed to be Taxable Propem�. 6. APPEALS Any]andowner who pa}�s the Special Tax and claims tUe amount of the Special Tax ]evied on his or her Assessor s Parce] is in error shall first consult with the CFD Administrator regazding such error not ]ater than thim�-six (36) months afrer first having paid the first installme�t of the Special Tax that is disputed. If following such consultation the CFD Administrator determines that a� erzor has occurred, then the CFD Administrator shall take any ofthe fo]Iowing actions, in order of prioriri�, in order to correct the errar: (i) Amend the Special Tax levy on the Iandowner's Assessor's Parcel(s) for the curre�t Fiscal Year prior to the payment date, (ii) Require the CFD to reimburse the landowner for the amount of the overpayment to che extent of available CFD funds, or (iii) Graot a credit against, eliminate or reduce the future Special Taxes on the ]andow�ers Assessors Parcel(s) in the amount of the overpa}�ment. If followioe such consultation and action by the CFD Administrator the landowner believes such emor still exists, such person may file a written notice of appea] ��ith the City Cou�cil. Upon the receipt of such notice, the City Council or designee may establish such procedures as deemed necessar}�� to undertake the review of any such appeal. lf the City Council or desig�ee determines a� error still exists, the CFD Administracor shall take a�y of Che actions described as (i), (ii) and (iii) above, in order of priority; in order to correct the error. The City Cou�cil or desi2nee thereof shall interpret this Rate and Method of Apportionment of Special Tax for purposes of clarif��ing an}� an�biguities and make detemiinations relative to the administration of the Special Tax and any lando�n�ner appeals. The decisio� of the Ciry Council or desienee shal] be final and bi�dine as to all persons. �� Attachment 4 Resolution No. 2016-1�� Paee i�o. 39 i. COLLECZIO\ OF SPECLAL 7A.1'ES Collection of the Annual Spzcial Tae shal] be made b�� the Counn� in the same manner as ordinan� ad valorem propem� ta�es are collected and the .�nnual Special Ta� shall be subject [o the same penalties and the same lien priorit}� in the case of delinquency as ad ��alorem ta�es; pro��ided. ho��e��er, that the Cin� Council_mav provide for (i) other means of collectin2 the Special Ta�, includine direct billings thereof to the properzy o��mers; and (ii)judicial foreclosure of delinquent Annual Special Taces. 8. PREPAI'nIE\-I' OF SPECL�1:T.�� OBLIG:ITIO\ A. Prepa�ment in Full Property o��mers ma}� prepa}� and permanently satisfi� the Special Tac Obligation b�� a cash set[lement �rith the City as permined under Go��emment Code Section �3344. The follo«�ing definitions appl��to[his Section 8: "CFD Public Facilities Costs" means 512,900,000 or such lo�rer number as (i) shall be determined b}�the CFD .4dministrator as sufficient to acquire or construct the facilities to be financed under the Act and financine program for IA2. or (ii) shall be determined b}� the Cim Council concurrentl�� «�ith a co�•enant that it ��ill not issue anv more Bonds (e�cept refundins bonds). "Construction Fund" means the fund (regardless of its name) established pursuant to the Fiscal Agent Agreement to hold funds, u•hich are currenth� a��ailable for expendimre to acquire or construct the facilities or paq fees authorized to be funded b}� CFD I�'o. ]6-I for L12. "Future Facilities Costs" means the CFD Public Facilities Costs minus (i) costs pre��iousl}� paid from the Construction Fund to acquire or construct the facilities, (ii) monies currentl�• on deposit in the Construction Fund. and (iii) monies currendy on deposit in an escro�v or o[her desienated fund that are espected to be a��ailable to finance CFD Public Facilities Costs. "Outstanding Bonds" means all Pre��iousl�� Issued Bonds, ��hich remain outstandine as of the first interest and/or principal pa�7nent date following the current Fiscal Year eacludine Bonds to be redeemed at a later date with proceeds of prior Special Ta� prepa}�menu. '�Previousl�� Issued Bonds" means all Bonds that ha��e been issued prior to the date of prepa�7nent. The Special Tas Oblioation applicable to an .Assessors Parcel of Deaeloped Property. or Unde��eloped Propert�� for �vhich a Buildine Permit has been issued ma}� be prepaid and the obligation to pay the Special 7as fbr such Assessors Parcel pennanentl�� satisfied as �� Attachment 4 Resolution No. 2016-154 Page No. 40 described herein, provided that a prepa}�nent may be made �sith respect to a particular Assessors Pazce] only if there are no delinquent Special Taxes with respect [o such Assessor`s Parcel at the time of prepayment. An o�vner of an Assessor`s Parcel eligible to prepa}° the Specia] Tax Obligation shal] provide the CFD Administrator with writteo notice of intent to prepa��, and designate or identify the company or agency that will be acting as the escro�� agent if an}�. The CFD Administrator shall provide the oNmer wich a statement of the Prepaymenc Amount for such Assessor's Parcel within thirty (30) daps of the request, and ma�� charge a reasonable fee for providing this service. Prepa}�nent must be made a[least 60 da��s prior to any redemption date for the Bonds to be redeemed with the proceeds of such prepaid Special TaYes, unless a shorter period is acceptable to the Fisca]Agent and che Cit��. The Prepa��ment Amount (defined be]oN�) shall be calculated for each applicable Assessor s Parce] or aroup of Assessor's Parce]s as summarized below (capitalized terms as defined belo�x�): Bond Redemption Amount pl�s Redemption Premi�m plus Fumre Facilities Prepa}onent Amount plus Defeasance Amount plus Prepayment Administrative Fees and Expenses less Reserve Fund Credit less Capitalized l�teres[Credit Total: equals Prepa;�ment Amount As of the proposed date of prepa}anent, the Prepay�nent Amount (defined in Step 14 belo��) shall be calculated as follows: Step No.: 1. Confirm that no Specia] Tax delinquencies apply to such Assessor's Parcel. 2. For Assessors Parcels of Developed Property, determine the Maximum Special Tax. For Assessor's Parcels of Undeveloped PropeRy for which a Building Permit has been issued, compute the Maximum Special Tax for that Assessor`s Parce] as though it was already designated as Developed Property, based upon the Building Pemiit which has already been issued for that Assessor's Parcel. 3. Dieide the Maaimum Special Tax computed pursuant to paragraph 2 by the total expected Maaimum Special Tax revenue for IA2 assumin� all Building Pem�its have been issued (build-out) widiin 1A2, eacludin� any Assessor's Parcels for�vhich the Special Tax Obli�ation has been previousl}'prepaid. �. D4ultiplp che quotient computed pwsuant to paragra}�li 3 by the Outstandine Bonds and round that number up to the nearest $5,000 increment to compute �, � Attachment4 Resolution I�'o. 2016-1�4 Paee No. 41 the amount of Outstanding Bonds to be retired and prepaid for all applicable Assessors Parcels (the"Bond Redemption .Amounr`). �. D4ultipl}�the Bond Redemption Amount computed pursuant to paragraph � b}� the applicable redemption premium (ehpressed as a percentage), if an��, on the Outstandins Bonds to be redeemed at the first a��ailable call date (the "Redemption Premium"): 6. Compute the Future Facilities Costs. 7. Multipl}� the quotient computed pursuant to pazagraph 3 b} the amount determined pursuan[ to paragraph 6 to compute the amount of Fumre Facilities Costs to be prepaid (the"Fumre Facilities Prepa��nent�mount"). S. Compute the amou�t needed to pay interest on the Bond Redemption.amount from the first bond interest .and/or principal pa�ment date followine the current Fiscal Year unti] the espected redemption date for the Outstandine Bonds N�hich, depending on the Fiscal AQent .Agreement, may be as early as the neat interes[ pa}�ment date. 9. Compute the amount the CFD .Administrator reasonabl}� e�pects to derive from the reim�estment of the Prepa�7nent Amount less the Future Facilities Prepa}�nent Amount and the Prepa}�nent Administrative Fees from the date of prepa��ment until the redemption date for the Outstandina Bonds to be redeemed with the prepa}�ment. 10. Subtract the amount computed in paza�raph 9 from the amount computed in paraeraph 8 (the "Defeasance Amount"). 11. Calculate the administrati��e fees and e�penses of CFD No. 16-I for IA2, includine the costs of computation of the prepa}�ment, the costs to im�est the prepa}�ment proceeds, the costs of redeeming [he Outstanding Bonds to be redeemed �ti�ith the prepa�7nent and the costs of recording an�° notices to e��idence the prepa�7nent and the redemption (the "Prepa}ment Administrative Fees"). 12. If reserve funds for the Outstandine Bonds, if an��, are at or abo��e ]00%of the resen�e requirement (as defined in the Fiscal Agent Agreement) on the prepa��ment calculation dare, a resen�e fund credit shall be calculated as a reduction in the applicable resen�e fund for the Outstanding Bonds ro be redeemed pursuant to the prepa}�ment (the "Reserve Fund Credic"). No Resen�e Fund Credit shall be granted if. afrer the Prepa��ment Amount is calculated. resen�e funds are below 100% of the resen-e requirement afrer takin� into accoun[ such prepa��ment. 1:} At2achment 4 � Resolution No. 2016-1�4 Page No. 42 li. If any capitalized incerest for the Outstanding Bonds will not have been eape�ded at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multip]}�ing the quotient computed pursuant to paragraph 3 by the expected balance in the capitalized interest fund after such first interest and/or principal pa}�mem (the°Capitalized Interest CrediP'). � ]4. The amount to oreoay the Special Tax Obligation is equa] to the sum of the amounts computed pursuant w paragrapl�s 4, �, 7, 10, and 11, less the amounts computed pursuant to paragraphs 12 arid li (the"Prepa}�nent Amount"). 1�. From the Prepa}�ment Amount, the sum of the amounts computed pursuant to paraeraphs 4, 5; and 10; less the a�nounts computed pursuant to paraeraphs 12 and 13 shall be deposited into the appropriate fund as established-under the � Fiscal Agent Ageement and be used to retire Outstaoding Bo�ds or make Debt Service payments�. The amount computed pursuantto paragraph-7 shall be deposited into the ConsVuction Fund. Tl�e amount computed pursuant to paza�aph ]I shall be�retained by CFD No. 16-L � The Prepa�Rnent Amount may be sufficient to redeem an amount other than a $�,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Fiscal Agent Agreement to redeem Bonds to be used with the next prepayment of Bonds. The CFD Administrator will confinn that all previously levied Special Taxes have been paid in full. Vdith respect to any Assessor's Pazcel for which the Special Tax Oblieation is prepaid in full, once the CFD Administrator has confirmed that all previously levied Specia] Taxes have been paid, the City Counci] shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax Obligation and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of the o�rner of such Assessor's Pazcel to pay the Special Tax shall cease. I�'o[��ithstandine the foregoi�g, no Specia] Tar prepayment shall be allowed unless the aggregate amount of Maaimum Specia] Taxes less the Admioistrative Expense Requireme�t that may be ]evied on Taxable Property, respectively, after the proposed prepayment is at least 1.] times the Debt Service on al] Outstanding Bonds in each Fiscal Year. �5 Attachment 4 Resolution No. 2016-1�4 Pase No. 4.i B. PartialPrepa}ment The Special Tax on an Assessor s Pazcel of Developed Propem�or Unde��eloped Propem for which a Building Permit has been issued ma� be paniall} prepaid. The amount of the prepa}�cnent shall be calculated as in Section 8._A.; eacept that a pania] prepa}�nent shall be calculated aceordine to the folloH ine formula: PP=(PE_4)a F+A These terms have the follo�vine meanine: PP =the partial prepa}�mznt PE =the Prepa}rnent Amount calculated accordino to Sution 8.A F=the perce�tase b}�Hhich the owner of the Assessor s Pazcel(s) is partialh�prepa}�ina the Special Ta� Obligation A=the Prepa�Tnent Administrati��e Fees and Expenses from Seaion 8.A The owner of any .ASSessors Pazcel �vho desires such partial prepa��nent shall notifi the CFD Administrator of (i) such oumer-s intent to paniall}� prepa�� the Special Tax Obligation. (ii) the percentage by�vhich the Special Ta� Obli�atio� shall be prepaid, and (iii) the company or agenc� that ��ill be acting as the escro�r aeent. if an}�. The CFD Administrator shall provide the oHner with a statement of the amount required for the panial prepa}7nent of the Special Tax Oblioation for an Assessors Parcel w•ithin siaro (60)da}�s of the request and mav chazae a reasonable fee for providine this sen�ice. ��%ith respect to an}�Assessor`s Pazcel that is partially prepaid the Cit.�shall (i) distribute the funds remitted to it accordine to Section 8.A.; and (ii) indicare io the records of CFD No. 16-I for IA2 that there has been a partial prepa}�nent of the Special Tax ObliQatio� and that a portion of the Special Tax H�ith respect to such Assessor`s Parcel. equal to the outstandine percentaee (1.00 - F) of the D4aiimum Special Tax, sha0 continue to be levied on such Assessor`s Parcel. ?�onvithstandine the foreeoi�a. no partial prepa}�ment shall be allo��ed unless the ag�reeate amount of D4aximum Special Ta�es less the Administrative E�pense Requirement that ma}� be levied on Taxable Propem': respecti��eh, afrer [he proposed partial prepa}�nent is at least 1.1 times the Debt Sen�ice on all Outstanding Bonds in each Fiscal l'ear. 9. TERD1 OF SPECI.AL TAS The Special 7"a� shall be levied as lone as �ecessarv to meet the Special Taa Requirement for a period not to esceed fom (�0) Fiscal 1'ears commencing��ith Fiscal 1`ear 2016-1 i. �6 Attachment 4 Reso uhon o. 2016-1�4 Page No. 44 `c I _ F�� " '_ ?Six U N 5 _- elLa �L C - _—`c�� 4�rc _ ��3w Rz° - TpLSW _ �� W£ :€`Z su '_R �.i °�W' `ze ap$ P - 5-- >s°` I So� IolWla �Y �wo g � _ _ ' °E��o o�° ��° �o . 5c�� eo�� c�Ey c_<e .,.,� .k� / 0 �� lu �-� - p.¢KWTY . �p '� 8 — � Ep5�:nKE ' N i � LI i� ",n � 4 �� t � L i �, L � L � � _ � � �PVE. � H 1 � \ � U \ w � �� Q � j Q� �� pVEN�E � Z � � J Q J II �QON z �h� � � w J U LL U � � �] J J LL�yO i „ '" � O � o z u � `< � 3 � nvEN�E � r , W U " �� Q � ¢ � z M`dR �16, � v2� O LL U�N � _ c O pJENU� af PP� I � � NSpGE `2` � ~ j m � MO � d � �` � 1 3� / � � �'��Ib �� >v U I �. 1 �I . , ,/�/ . , „ „ \ 1 � � RI'a100Y?IVl$ J� - 1 \ \ \ OC'�; 1 � O p � '8 w '8 Z 4 cVn� . D �L� J W LL r v+ � a I I U CH��u I p y ¢ m — I O I VJ � O O N � Z � II O o S i j � � ! � � � nlno �� C� nl � '� - I � z' i i�ri�� _ , i I � I I ,. L —I'��I� �� _ i I � � _ � I Resolution?�o. 2016-1�� n.,,,o r,,.. 4� - �, = < � �� ; �/ ' � r � �\�, � _I I � Z .<E_ _�\�I/ z "��' V ; � J 1 �. /'z ��Jc J �3. '�Y \ G / ? 5�5 - \ 0 � 11 / .�� ol ` / L � oc �' \ 1 � O f `OZ � \ ='=c � / � � '�O �\ vh� - W « '' i I \\��r , \ \ Z <— � �:°� r .-!� QU `' ro � I � � O�Q � n � \\ Mq:O �JP�' \ f '� ` E . � (n U�in � v � � _.a; �°r s I rc \ �E�� — - � I = \ � � 1 1� M `"' W w � \ (n I— I �°'�,� / \ . O � r-�. � O Q I � � `\\ \\\\ d � � 1 1 \\;�\.�. � i / I \ � � � � � � a� � � szi_ma,�,�s _ i � �' � � €'{� � � s � _ _ E € E k € ' 4 z5 ' c ' _ ' _ _ `_ <�c= _ - 4 = ^�_< � I f � � '—\ _ 1-iI1�111_Iii=11�I •� ' �'\ V.V, e -_ � I I i— Z �_��1`�I�T� : _ i� � � � . i��\I\I ' Resolution No. 2016-1�4 Pace No. 46 EXHIBIT B CITY OF CHliL.A�'IST.A Al�� CFD NO. 16-I CERTiFICATE ]. Pursuant to Section 3F of the Rate and Method of Apportionment of Special Tax (che "RIvIA")_ the City of Chula V ista(the "Cit}�') and Communiry Facilities District IQo. 16-1 of the Cit�� of Chula Vista ('`CFD No. 16-I") hereb}� agree to a reduction in the Special Taa for Developed Propert}�; Undeveloped Property, and/or Provisional Property: (a) The information in the RMA relatine to the Special Taa for Developed Properh�, lindeveloped Propert}�, and Provisional Property shall be modified as follows: [iruert Table 1 a��d/or?shoiring rerised Assigned Special Tcu rales for Developed Propern, insert revised Backup Special Tax rates for Dei�eloped Property by Zone, a7u1 i�uert change to D1axi»�una Special Tax r�alesrm� Undei�eloped Pro�erty and Proi�isior�al Proyerry by Zoi�eJ (b) The CFD Public Facilities Costs in Section 8 shal] be changed to $ 2. Special Tax rates for Taaable Property may only be modified prior to the issuance of Bonds. 3. Upoo execution of the Certificate b}� the City and CFD No. 16-1 the City shall cause an amended I�'otice of Special Tax Lien for IA2 to be recorded reflecting the modifications set forth herein. By eaecution hereof.the undersiened acknoN�ledees; on behalf of the City of Chula Vista and CFD No. 16-I, receipt of this Certificate and modification of the RMA as set forth in this Certificate. CITP OF CHULA VISTA Bv: Date: CFD Administrator COMI�4iJN7TY FACILITIES DISTRICT NO. 16-1 OF THE CITY OF CHULA VISiA B��: Date: g_1 Attachment 4