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Home My WebLink AboutAgenda Packet 2018_12_11 5pmDecember 11, 2018City Council Agenda ORDINANCE OF THE CITY OF CHULA VISTA REPEALING CHAPTER 5.66 OF THE CHULA VISTA MUNICIPAL CODE, WHICH IMPOSED A TOTAL BAN ON COMMERCIAL MARIJUANA ACTIVITY, CONDITIONED UPON EFFECTIVENESS OF CITY'S ORDINANCE BANNING UNLICENSED COMMERCIAL CANNABIS ACTIVITY AS PROVIDED IN CHAPTER 5.19 OF THE CHULA VISTA MUNICIPAL CODE (SECOND READING AND ADOPTION) 18-05552.18-0555 City Attorney & City Manager Department: The activity is not a "Project" as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required. Environmental Notice: Council adopt the ordinance. Recommended Action: ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE, SECTION 19.58.022 (ACCESSORY DWELLING UNITS); CHAPTER 19.26 (ONE- AND TWO-FAMILY RESIDENCE ZONE); AND CHAPTER 19.28 (APARTMENT RESIDENTIAL ZONE); WITH REGARD TO ACCESSORY DWELLING UNITS (SECOND READING AND ADOPTION) 18-05563.18-0556 Development Services Department Department: The Project is a legislative activity that qualifies for a Categorical Exemption pursuant to the California Environmental Quality Act State Guidelines Section 15061(b)(3). Environmental Notice: Council adopt the ordinance. Recommended Action: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED PARK NAME FOR PARK P-2 IN OTAY RANCH VILLAGE TWO AS "GROVE PARK" 18-05024.18-0502 Development Services Department Department: The Project was adequately covered in previously certified Final Second Tier Environmental Impact Report, EIR 02-02 and Final Supplemental Environmental Impact Report, SEIR 12-01 for the Otay Ranch Village Two Sectional Planning Area (SPA) Plan. Environmental Notice: Council adopt the resolution. Recommended Action: Page 2 City of Chula Vista Printed on 12/6/2018 2018-12-11 Agenda Packet Page 2 December 11, 2018City Council Agenda A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-01, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-02, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-03, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) 18-05175.18-0517 Development Services Department Department: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required. Environmental Notice: Page 3 City of Chula Vista Printed on 12/6/2018 2018-12-11 Agenda Packet Page 3 December 11, 2018City Council Agenda Council adopt the resolutions. Recommended Action: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RECITING THE FACT OF THE SPECIAL MUNICIPAL ELECTION HELD IN THIS CITY ON NOVEMBER 6, 2018, DECLARING THE RESULTS THEREOF, AND OTHER MATTERS AS ARE PROVIDED BY LAW 18-04146.18-0414 City Clerk Department: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required. Environmental Notice: Council adopt the resolution. Recommended Action: ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIC COMMENTS Persons speaking during Public Comments may address the Council on any subject matter within the Council’s jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from discussing or taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff. Comments are limited to three minutes. CITY MANAGER’S REPORTS MAYOR’S REPORTS COMMENTS BY AND BIDDING FAREWELL TO RETIRING COUNCILMEMBER PATRICIA AGUILAR 18-05667.18-0566 COUNCILMEMBERS’ COMMENTS CITY ATTORNEY'S REPORTS ADJOURNMENT to the special City Council meeting on December 11, 2018, at 6:00 p.m., in the Council Chambers; and thence to the regular City Council meeting on December 18, 2018, at 5:00 p.m., in the Council Chambers. Materials provided to the City Council related to any open-session item on this agenda are available for public review at the City Clerk’s Office, located in City Hall at 276 Fourth Avenue, Building A, during normal business hours. Page 4 City of Chula Vista Printed on 12/6/2018 2018-12-11 Agenda Packet Page 4 December 11, 2018City Council Agenda In compliance with the AMERICANS WITH DISABILITIES ACT The City of Chula Vista requests individuals who require special accommodations to access, attend, and/or participate in a City meeting, activity, or service, contact the City Clerk’s Office at (619) 691-5041(California Relay Service is available for the hearing impaired by dialing 711) at least forty-eight hours in advance of the meeting. Most Chula Vista City Council meetings, including public comments, are video recorded and aired live on AT&T U-verse channel 99 (throughout the County), on Cox Cable channel 24 (only in Chula Vista), and online at www.chulavistaca.gov. Recorded meetings are also aired on Wednesdays at 7 p.m. (both channels) and are archived on the City's website. Sign up at www.chulavistaca.gov to receive email notifications when City Council agendas are published online. Page 5 City of Chula Vista Printed on 12/6/2018 2018-12-11 Agenda Packet Page 5 City of Chula Vista Meeting Minutes - Draft 5:00 PM Council Chambers 276 4th Avenue, Building A Chula Vista, CA 91910 Tuesday, June 12, 2018 SPECIAL MEETINGS OF THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY AND HOUSING AUTHORITY MEETING JOINTLY WITH THE CITY COUNCIL OF THE CITY OF CHULA VISTA CALL TO ORDER A regular meeting of the City Council and special meetings of the Successor Agency to the Redevelopment Agency and Housing Authority of the City of Chula Vista were called to order at 5:05 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: Present:Councilmember Aguilar, Deputy Mayor Diaz, Councilmember McCann, Councilmember Padilla and Mayor Casillas Salas Also Present: City Manager Halbert, City Attorney Googins, City Clerk Bigelow, and Deputy City Clerk Larrarte PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE Councilmember Aguilar led the Pledge of Allegiance. Mayor Casillas Salas announced, pursuant to AB 23, that she and each Councilmember would receive $50 for their attendance at that Housing Authority meeting, which was held simultaneously with the City Council meeting. SPECIAL ORDERS OF THE DAY A.18-0252 SPECIAL RECOGNITION OF DIEGO COVARRUBIAS FOR HIS HEROIC EFFORTS DURING A FIRE ON MAY 19, 2018 Councilmember Aguilar presented a City of Champions Medal to Mr. Covarrubias. Chief Geering spoke regarding Mr. Covarrubias' actions and presented him with a Chula Vista Fire Department hat. Fire Battalion Chief Roberts announced a fundraiser for the family. B.18-0232 PRESENTATION BY CASTLE PARK HIGH SCHOOL STUDENTS IN THE ARCHITECTURE, CONSTRUCTION, AND ENGINEERING SAN DIEGO MENTOR PROGRAM Councilmember Diaz introduced the Castle Park High School Students. Castle Park High School Students Adrian Shibbers, Kenya Solis, Jesus Gonzalez, Robert Minor, Samual Chapsey, and Aldo Chivira gave a presentation. C.18-0195 PRESENTATION ON THE CHULA VISTA CITY JAIL LIFE ENRICHMENT PROGRAM Lieutenant Redmond and Principal Recreation Manager Ellis gave a presentation on the item. Page 1City of Chula Vista 2018-12-11 Agenda Packet Page 6 June 12, 2018City Council Meeting Minutes - Draft D.18-0254 PRESENTATION OF A PROCLAMATION COMMENDING DIRECTOR OF PUBLIC WORKS RICK HOPKINS UPON 12 YEARS OF DEDICATED SERVICE Mayor Casillas Salas read the proclamation and Councilmember Padilla presented it to Director of Public Works Hopkins. E.18-0253 SPECIAL RECOGNITION OF THE OLYMPIAN HIGH SCHOOL EAGLES SOFTBALL TEAM AND THEIR COACH MIKE GROSS FOR THEIR CIF DIVISION TWO CHAMPIONSHIP TITLE Mayor Casillas Salas recognized the Olympian High School Eagles softball team and Councilmembers McCann and Padilla presented the team with medals. F.18-0256 SPECIAL RECOGNITION OF THE HIGH TECH HIGH SCHOOL BRUINS SOFTBALL TEAM AND THEIR COACH ISAII GUERRERO FOR THEIR DIVISION IV CIF TITLE Mayor Casillas Salas recognized the High Tech High School Bruins softball team and Councilmembers McCann and Padilla presented the team with medals. CONSENT CALENDAR (Items 1 - 6) 1.18-0240 WRITTEN COMMUNICATIONS A. Letter from Councilmember McCann requesting an excused absence from the February 13, 2018 council meeting. B. Letter of resignation from Jeremy Culuko, Human Relations Commission Recommended Action: Council excuse the absence and accept the resignation. 2.18-0233 APPROVAL OF MINUTES of February 27, and March 6 and 13, 2018 Recommended Action: Council approve the minutes. 3.18-0206 RESOLUTION NO. 2018-094 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING A GRANT OF $5,000 FROM SWEETWATER AUTHORITY TO FUND A RELAUNCH OF THE NATURESCAPE PROGRAM AND APPROPRIATING FUNDS THEREFOR (4/5 VOTE REQUIRED) Recommended Action: Council adopt the resolution. 4.18-0213 ORDINANCE OF THE CITY OF CHULA VISTA ADDING MUNICIPAL CODE SECTION 2.50.150 REGARDING SIGNERS OF WRITTEN ARGUMENTS FOR OR AGAINST BALLOT MEASURES (FIRST READING) Recommended Action: Council place the ordinance on first reading. Page 2City of Chula Vista 2018-12-11 Agenda Packet Page 7 June 12, 2018City Council Meeting Minutes - Draft 5.18-0226 RESOLUTION NO. 2018-095 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACKNOWLEDGING GRANT REQUIREMENTS OF SANDAG TO IMPLEMENT AN EIGHTEEN MONTH PROGRAM FOCUSED ON ADDRESSING THREATS TO SENSITIVE PLANT SPECIES FOUND WITHIN RICE CANYON OPEN SPACE PRESERVE AREA, AND CONTINGENT UPON GRANT AWARD, ACCEPTING THE GRANT FUNDS, AUTHORIZING THE CITY MANAGER TO EXECUTE A GRANT AGREEMENT WITH SANDAG, ESTABLISHING A NEW CAPITAL IMPROVEMENT PROJECT “RICE CANYON SENSITIVE PLANT SPECIES” (CTY0230), AMENDING THE FISCAL YEAR 2018-19 CAPITAL IMPROVEMENT PROGRAM BUDGET, AND APPROPRIATING FUNDS THEREFOR (4/5 VOTE REQUIRED) Recommended Action: Council adopt the resolution. 6.18-0242 RESOLUTION NO. 2018-096 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CONSULTANT SELECTION PROCESS AND APPROVING A YOUTH COUNSELING SERVICES AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND SOUTH BAY COMMUNITY SERVICES Recommended Action: Council adopt the resolution. Approval of the Consent Calendar A motion was made by Councilmember McCann, seconded by Deputy Mayor Diaz, to approve staff's recommendations on the above Consent Calendar items, headings read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann, Padilla and Casillas Salas5 - No:0 Abstain:0 ITEMS REMOVED FROM THE CONSENT CALENDAR There were none. PUBLIC COMMENTS Craig Fujitsiu, Chula Vista resident, spoke in opposition to the cannabis ordinance. Steven Pavka, Chula Vista resident, spoke regarding homelessness and school safety. Page 3City of Chula Vista 2018-12-11 Agenda Packet Page 8 June 12, 2018City Council Meeting Minutes - Draft PUBLIC HEARINGS 7.18-0246 A. RESOLUTION NO. 2018-097 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR THE CITY OF CHULA VISTA FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 EXCLUDING OPEN SPACE DISTRICTS: 1, 8, 9, 10, 20, EASTLAKE MAINTENANCE DISTRICT 1, COMMUNITY FACILITY DISTRICT 07M, CAPITAL IMPROVEMENT PROJECTS: STL0406, TRF0405, AND THE OTHER EXPENSES CATEGORY OF THE NON-DEPARTMENTAL BUDGET IN THE GENERAL FUND B. RESOLUTION NO. 2018-098 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR THE OTHER EXPENSES CATEGORY OF THE NON-DEPARTMENTAL BUDGET IN THE GENERAL FUND AND EASTLAKE MAINTENANCE DISTRICT 1 FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 C. RESOLUTION NO. 2018-099 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR COMMUNITY FACILITY DISTRICT 07M FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 D. RESOLUTION NO. 2018-100 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR OPEN SPACE DISTRICT 20 FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 E. RESOLUTION NO. 2018-101 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING CAPITAL IMPROVEMENT BUDGETS FOR CIP PROJECTS STL0406 AND TRF0405 AND OPEN SPACE DISTRICTS 9 AND 10 FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 F. RESOLUTION NO. 2018-005 OF THE HOUSING AUTHORITY OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR THE HOUSING AUTHORITY FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 Page 4City of Chula Vista 2018-12-11 Agenda Packet Page 9 June 12, 2018City Council Meeting Minutes - Draft G. RESOLUTION NO. 2018-002 OF THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGETS FOR THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 H. RESOLUTION NO. 2018-102 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION OF VARIOUS POSITION TITLES AND CHANGES IN SALARY AS REFLECTED IN THE FISCAL YEAR 2018-19 OPERATING BUDGET I. RESOLUTION NO. 2018-103 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FISCAL YEAR 2018-2019 COMPENSATION SCHEDULE EFFECTIVE JULY 6, 2018, AS REQUIRED BY CALIFORNIA CODE OF REGULATIONS, TITLE 2, SECTION 570.5 J. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD PUBLIC WORKS SUPERINTENDENT (FIRST READING) (4/5 VOTE REQUIRED) K. RESOLUTION NO. 2018-104 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR OPEN SPACE DISTRICT 8 FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 L. RESOLUTION NO. 2018-105 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR OPEN SPACE DISTRICT 1 FOR FISCAL YEAR 2018-19 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2019 Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. City Attorney Googins announced that a revised staff report and revised resolutions for item the had been distributed to the Council to account for various conflicts of interest. He announced that the following councilmembers would abstain from voting on the items indicated due to potential property-related conflicts of interest: Councilmember Aguilar on Items 7D and 7K; Deputy Mayor McCann on Items 7C, 7D, and 7L; Councilmember Padilla on Items 7B and 7C; and Mayor Casillas Salas on Item 7E. Finance Director Bilby spoke regarding the item. Staff answered questions from the Council. Mayor Casillas Salas opened the public hearing. Page 5City of Chula Vista 2018-12-11 Agenda Packet Page 10 June 12, 2018City Council Meeting Minutes - Draft The following members of the public spoke in support of the funding included in the budget for a feasibility study of community choice energy or other option to support clean energy: -Kathy Cappos-Hardy, Chula Vista resident -Carolyn Scofield, Chula Vista resident -Raechel Kadoya, Chula Vista business owner -Sebastian Sarria, representing the Climate Action Campaign Patty Huffman, Chula Vista resident, submitted a request to speak but was not present when called. There being no further members of the public who wished to speak, Mayor Casillas Salas closed the public hearing. A motion was made by Councilmember McCann, seconded by Mayor Casillas Salas, to adopt Council Resolution Nos. 2018-097 (Item 7A) and 2018-102 through 2018-103 (Items 7H through 7I), Housing Authority Resolution No. 2018-005 (Item 7F), Successor Agency Resolution No. 2018-002 (Item 7G), and place the above ordinance (Item 7J) on first reading, headings read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann, Padilla and Casillas Salas5 - No:0 Abstain:0 Councilmember Padilla left the dais during voting on Items 7B and 7C. A motion was made by Mayor Casillas Salas, seconded by Councilmember McCann, to adopt Resolution No. 2018-098 (Item 7B), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann and Casillas Salas4 - No:0 Abstain:Padilla1 - Councilmember McCann left the dais during voting on Items 7C and 7D. A motion was made by Councilmember Aguilar, seconded by Deputy Mayor Diaz, to adopt Resolution No. 2018-099 (Item 7C), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz and Casillas Salas3 - No:0 Abstain:McCann and Padilla2 - Councilmember Padilla returned to the dais. Councilmember Aguilar left the dais during voting on Item 7D. A motion was made by Deputy Mayor Diaz, seconded by Councilmember Padilla, to adopt Resolution No. 2018-100 (Item 7D), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Diaz, Padilla and Casillas Salas3 - No:0 Abstain:Aguilar and McCann2 - Councilmembers Aguilar and McCann returned to the dais. Mayor Casillas Salas left the dais and Deputy Page 6City of Chula Vista 2018-12-11 Agenda Packet Page 11 June 12, 2018City Council Meeting Minutes - Draft Mayor Diaz led the voting on Item 7E. A motion was made by Councilmember McCann, seconded by Councilmember Aguilar, to adopt Resolution No. 2018-101 (Item 7E), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann and Padilla4 - No:0 Abstain:Casillas Salas1 - Mayor Casillas Salas returned to the dais. Councilmember Aguilar left the dais during voting on Item 7K A motion was made by Councilmember McCann, seconded by Deputy Mayor Diaz, to adopt Resolution No. 2018-104 (Item 7K), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Diaz, McCann, Padilla and Casillas Salas4 - No:0 Abstain:Aguilar1 - Councilmember Aguilar returned to the dais. Councilmember McCann left the dais during voting on Item 7L. A motion was made by Mayor Casillas Salas, seconded by Councilmember Aguilar, to adopt Resolution No. 2018-105 (Item 7L), heading read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, Padilla and Casillas Salas4 - No:0 Abstain:McCann1 - Councilmember McCann returned to the dais. ACTION ITEMS 8.18-0176 A. QUARTERLY FINANCIAL REPORT FOR THE QUARTER ENDING MARCH 31, 2018 B. RESOLUTION NO. 2018-106 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING VARIOUS AMENDMENTS TO THE FISCAL YEAR 2017-18 BUDGET TO ADJUST FOR VARIANCES AND APPROPRIATING FUNDS THEREFOR (4/5 VOTE REQUIRED) Finance Director Bilby and Budget Manager Prendell gave the presentation. A motion was made by Mayor Casillas Salas, seconded by Councilmember McCann, to accept the above report and adopt Resolution No. 2018-106, headings read, text waived. The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann, Padilla and Casillas Salas5 - No:0 Abstain:0 Page 7City of Chula Vista 2018-12-11 Agenda Packet Page 12 June 12, 2018City Council Meeting Minutes - Draft CITY MANAGER’S REPORTS City Manager Halbert spoke regarding the upcoming budget year. MAYOR’S REPORTS Mayor Casillas Salas thanked the voters for approving Measure A. 9.18-0230 CONSIDERATION OF RATIFICATION OF REAPPOINTMENTS TO THE FOLLOWING BOARDS AND COMMISSIONS: A. REAPPOINTMENTS TO FIRST TERM (initial term less than 2 years) Bobby Erdmann, Commission on Aging Sophia Gray, Cultural Arts Commission Christianne Penunuri, Cultural Arts Commission Jennifer Bustamante, Housing Advisory Commission Patrick Macfarland, Housing Advisory Commission Audrey Bordeaux, Human Relations Commission Petrina Branch, Human Relations Commission Ricardo Medina, Human Relations Commission Edward Legaspi, Sustainability Commission B. REAPPOINTMENTS TO SECOND TERM Victor Esquer, Board of Ethics Fernando Kish, Board of Ethics Maryann Hernandez, Board of Library Trustees Michael De La Rosa, Charter Review Commission Karen Daniels, Cultural Arts Commission Ana Melgoza, Healthy Chula Vista Advisory Commission Lorena Quiroz, Healthy Chula Vista Advisory Commission Marivic Lisama, Housing Advisory Commission Nimpa Akana, International Friendship Commission Sally Boucree, International Friendship Commission Jorge Marroquin, Safety Commission David Marshall, Safety Commission A motion was made by Councilmember McCann, seconded by Councilmember Padilla, to ratify the above reappointments to first terms (Item 9A). The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann, Padilla and Casillas Salas5 - No:0 Abstain:0 Page 8City of Chula Vista 2018-12-11 Agenda Packet Page 13 June 12, 2018City Council Meeting Minutes - Draft A motion was made by Councilmember McCann, seconded by Councilmember Aguilar, to ratify the above reappointments to second terms (Item 9B). The motion carried by the following vote: ACTION: Yes:Aguilar, Diaz, McCann, Padilla and Casillas Salas5 - No:0 Abstain:0 Mayor Casillas Salas spoke regarding the following recent events: Older Americans Month, a Flag Day celebration, the annual Women of Valor celebration and she recognized Holocaust survivor Ruth Sax, and the 92nd annual installation of the Rotary. COUNCILMEMBERS’ COMMENTS Councilmember McCann congratulated the students who recently promoted and graduated. Deputy Mayor Diaz spoke regarding the recent Peace Run at Castle Park Middle School and read letters from the students. Councilmember Padilla thanked City Manager Halbert and staff for their work on the budget process. He spoke regarding the California Coastal Commission's recent meeting in Chula Vista and recognized Senior Council Aide Cruz for his coordination of the event. He congratulated the successful candidates of the June election and thanked the public who supported Measure A. CITY ATTORNEY'S REPORTS City Attorney Googins reported on the status of the "Tax Fairness, Transparency, and Accountability Act of 2018," and its potential impact on Measure A. City Attorney Googins announced that the Council would convene in closed session to discuss Items 10, 11, and 13. He stated Item 12 would be continued to the meeting of June 19, 2018. Mayor Casillas Salas recessed the meeting at 7:05 p.m. The Council reconvened in closed session at 7:11 p.m., with all members present. CLOSED SESSION Pursuant to Resolution No. 13706 and Council Policy No. 346-03, Official Minutes and records of action taken during Closed Sessions are maintained by the City Attorney. 10.18-0237 CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9 (d)(1) Name of case: City of Chula Vista v. Salvador Parra, et al., San Diego Superior Court, Case No. 37-2017-32183-CU-MC-CTL Reportable action pending finalization of settlement agreement.ACTION: Page 9City of Chula Vista 2018-12-11 Agenda Packet Page 14 June 12, 2018City Council Meeting Minutes - Draft 11.18-0241 CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION Initiation of litigation pursuant to Government Code Section 54956.9(d)(4): One [1] Case. CalExpress No reportable action.ACTION: 12.18-0249 CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): One [1] Case. Just Construction, Inc. Item 12 was continued to the meeting of June 19, 2018. 13.18-0255 CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956.8 Property:318 4th Ave, Chula Vista, CA. Agency Negotiators: Rick Ryals and Eric Crockett Negotiating Parties: City of Chula Vista and Heritage Group Under Negotiation: Price and Terms for Acquisition No reportable action.ACTION: ADJOURNMENT At 7:45 p.m., the meeting was adjourned to the Regular City Council Meeting on June 19, 2018, at 5:00 p.m., in the Council Chambers. _______________________________ Kerry K. Bigelow, MMC, City Clerk Page 10City of Chula Vista 2018-12-11 Agenda Packet Page 15 City of Chula Vista Meeting Minutes - Draft 5:00 PM Council Chambers 276 4th Avenue, Building A Chula Vista, CA 91910 Tuesday, June 19, 2018 REGULAR MEETING OF THE CITY COUNCIL CALL TO ORDER A regular meeting of the City Council of the City of Chula Vista was called to order at 5:02 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: Present:Deputy Mayor Diaz, Councilmember McCann and Councilmember Padilla Excused:Councilmember Aguilar and Mayor Casillas Salas Also Present: Deputy City Manager Bacon, Sr. Assistant City Attorney Miesfeld, City Clerk Bigelow, and Deputy City Clerk Kansas PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE Councilmember McCann led the Pledge of Allegiance. Deputy Mayor Diaz announced that Items 4 and 8 would be continued to the meeting of July 10, 2018. SPECIAL ORDERS OF THE DAY A.18-0225 PRESENTATION OF QUARTERLY EMPLOYEE RECOGNITION RECIPIENTS Human Resources Director Chase recognized recipients of quarterly employee awards. B.18-0258 PRESENTATION BY CULTURAL ARTS MANAGER LYNNETTE TESSITORE OF THE 2018 MCCANDLISS ARTS AWARDS RECIPIENTS AND THE 2018 RISING STAR SCHOLARSHIP WINNERS: JARED LUZANO, VANESSA ORDONEZ, DAHLIA SUITER, SHAE-LIN CARR, AND RAQUEL ACHERMAN Cultural Arts Manager Tessitore and Intern Fernandez gave a presentation on the item. Susan Johnson, Chula Vista resident, spoke in support of the Chula Vista Cultural Arts. CONSENT CALENDAR (Items 1 - 11) There was consensus of the Council to schedule a meeting for June 26, 2018, due to timing restrictions related to Item 8. Items 4 and 8 were removed from the Consent Calendar and continued to a future meeting of the Council. Page 1City of Chula Vista 2018-12-11 Agenda Packet Page 16 June 19, 2018City Council Meeting Minutes - Draft 1.18-0251 APPROVAL OF MINUTES of March 20 and 27, 2018 Recommended Action: Council approve the minutes. 2.18-0263 WRITTEN COMMUNICATIONS Letter from Councilmember Aguilar requesting an excused absence from the May 15, 2018 council meeting. Recommended Action: Council excuse the absence. 3.18-0265 ORDINANCE NO. 3427 OF THE CITY OF CHULA VISTA ADDING MUNICIPAL CODE SECTION 2.50.150 REGARDING SIGNERS OF WRITTEN ARGUMENTS FOR OR AGAINST BALLOT MEASURES (SECOND READING AND ADOPTION) Recommended Action: Council adopt the ordinance. Item 4 was removed from the Consent Calendar. 5.18-0112 RESOLUTION NO. 2018-107 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AWARDING THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND WILMINGTON TRUST CORPORATION FOR BOND TRUSTEE SERVICES FOR ALL DEBT ISSUES AND BOND ISSUANCES, AND AUTHORIZING AND DIRECTING THE MAYOR TO EXECUTE SAID AGREEMENT Recommended Action: Council adopt the resolution. 6.18-0181 RESOLUTION NO. 2018-108 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING THE GANN INITIATIVE APPROPRIATIONS LIMIT FOR THE CITY OF CHULA VISTA FOR FISCAL YEAR 2018-19 Recommended Action: Council adopt the resolution. 7.18-0228 RESOLUTION NO. 2018-109 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING THE PERFORMING AND VISUAL ARTS GRANT REVIEW PANEL’S GRANT AWARD RECOMMENDATIONS FOR FISCAL YEAR 2018-19 WITH A TOTAL MONETARY GRANT AWARD FOR THIS FISCAL YEAR TOTALING $78,730 Recommended Action: Council adopt the resolution. Item 8 was removed from the Consent Calendar. 9.18-0250 RESOLUTION NO. 2018-110 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A POST-EMPLOYMENT HEALTH PLAN FOR ELIGIBLE PUBLIC EMPLOYEES Recommended Action: Council adopt the resolution. Page 2City of Chula Vista 2018-12-11 Agenda Packet Page 17 June 19, 2018City Council Meeting Minutes - Draft 10.18-0136 RESOLUTION NO. 2018-111 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A PARK MASTER PLAN FOR THE 2.0-ACRE PUBLIC PARK, LOCATED IN THE TOWN CENTER AT OTAY RANCH (FREEWAY COMMERCIAL NORTH, PORTION OF OTAY RANCH PLANNING AREA 12), AND APPROVING THE PARK NAME, “CENTERPARK” Recommended Action: Council adopt the resolution. 11.18-0174 A. RESOLUTION NO. 2018-112 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING REQUIREMENTS AND APPROVING AN EXTENSION TO THE LANDSCAPE MAINTENANCE CONTRACT BETWEEN THE CITY AND AZTEC LANDSCAPING, INC. FOR EASTLAKE MAINTENANCE DISTRICT ZONES A, B, AND D AND OPEN SPACE DISTRICT 31 IN THE AMOUNT OF $216,704; OPEN SPACE DISTRICTS 2, 18, AND 23 IN THE AMOUNT OF $87,072; OLYMPIC PARKWAY (I-805 TO SR125), EASTLAKE LANDSWAP, OLYMPIC PARKWAY (SR125 TO HUNTE PARKWAY), AND OTAY RANCH VILLAGE 2 SANTA VENETIA (CFD 13M) IN THE AMOUNT OF $255,197; APPROVING A CHANGE ORDER FOR REINSTATING SERVICES IN OPEN SPACE DISTRICT 7 AND ADDING SERVICES IN DIRECT ACCESS RAMP WEST IN AN AMOUNT NOT TO EXCEED $18,000 B. RESOLUTION NO. 2018-113 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING REQUIREMENTS AND APPROVING AN EXTENSION TO THE LANDSCAPE MAINTENANCE CONTRACT BETWEEN THE CITY AND TERRACARE ASSOCIATES, LLC FOR OPEN SPACE DISTRICT 20 ZONES 2, 3, 4, 5 AND 6 IN THE AMOUNT OF $568,111; OPEN SPACE DISTRICTS 14, 15, AND 24 IN THE AMOUNT OF $185,309; AND MCMILLIN OTAY RANCH VILLAGE 6 - CFD 08M AREA 1, AND OTAY RANCH VILLAGE 6 - CFD 08M AREA 2 IN THE AMOUNT OF $385,901 C. RESOLUTION NO. 2018-114 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING REQUIREMENTS AND APPROVING AN EXTENSION TO THE LANDSCAPE MAINTENANCE CONTRACT BETWEEN THE CITY AND BRIGHTVIEW LANDSCAPE SERVICES FOR OPEN SPACE DISTRICTS 1, 17, AND 20 (ZONE 7) IN THE AMOUNT OF $166,643; TELEGRAPH CANYON ROAD I-805 TO LA FITNESS AND OTAY RANCH VILLAGE 1 WEST SOUTH SLOPES (CFD 99-2) IN THE AMOUNT OF $159,487 Recommended Action: Council adopt the resolutions. Page 3City of Chula Vista 2018-12-11 Agenda Packet Page 18 June 19, 2018City Council Meeting Minutes - Draft Approval of the Consent Calendar A motion was made by Councilmember McCann, seconded by Councilmember Padilla, to approve staff's recommendations on the above Consent Calendar items, headings read, text waived. The motion carried by the following vote: ACTION: Yes:Diaz, McCann and Padilla3 - No:0 Abstain:0 ITEMS REMOVED FROM THE CONSENT CALENDAR 4.18-0266 ORDINANCE NO. 3428 OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD PUBLIC WORKS SUPERINTENDENT (SECOND READING AND ADOPTION) (4/5 VOTE REQUIRED) Item 4 was continued to a future meeting of the Council. 8.18-0222 A. RESOLUTION NO. 2018-117 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA INITIATING PROCEEDINGS FOR THE LEVY AND COLLECTION OF ASSESSMENTS FOR FISCAL YEAR 2018-19 FOR OPEN SPACE DISTRICTS 1 THROUGH 11, 14, 15, 17, 18, 20 (ZONES 1 THROUGH 9), 23, 24, 26, 31, 33, EASTLAKE MAINTENANCE DISTRICT (ZONES A THROUGH E), BAY BOULEVARD MAINTENANCE DISTRICT, AND TOWN CENTRE MAINTENANCE DISTRICT PURSUANT TO THE LANDSCAPING AND LIGHTING ACT OF 1972 B. RESOLUTION NO. 2018-118 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR OPEN SPACE DISTRICTS 2 THROUGH 7, 11, 14, 15, 17, 18, 20 (ZONES 1 THROUGH 6, 8, AND 9), 23, 24, 26, 31, 33, EASTLAKE MAINTENANCE DISTRICT NO 1 (ZONES A, B, D, AND E), AND BAY BOULEVARD MAINTENANCE DISTRICT C. RESOLUTION NO. 2018-119 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR OPEN SPACE DISTRICTS 9, 10 AND TOWN CENTRE MAINTENANCE DISTRICT Page 4City of Chula Vista 2018-12-11 Agenda Packet Page 19 June 19, 2018City Council Meeting Minutes - Draft D. RESOLUTION NO. 2018-120 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR OPEN SPACE DISTRICT 8 E. RESOLUTION NO. 2018-121 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR OPEN SPACE DISTRICT 20 (ZONE 7) F. RESOLUTION NO. 2018-122 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR OPEN SPACE DISTRICT 1 G. RESOLUTION NO. 2018-123 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ENGINEER’S REPORT; DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS; AND SETTING A PUBLIC HEARING REGARDING THE FISCAL YEAR 2018-19 ASSESSMENTS FOR EASTLAKE MAINTENANCE DISTRICT NO. 1 (ZONE C) Item 8 was continued to a future meeting of the Council. PUBLIC COMMENTS Marianne Gibson, Chula Vista resident, spoke regarding landscape and irrigation issues in Open Space District 11. The following Chula Vista residents expressed concern regarding legalizing marijuana activities in the City: - Susan Dunford - Katelyn Price - Chloe Price - Aubree Price - Colleen Price Steven Pavka, Chula Vista resident, spoke regarding gun control. Page 5City of Chula Vista 2018-12-11 Agenda Packet Page 20 June 19, 2018City Council Meeting Minutes - Draft PUBLIC HEARINGS 12.18-0104 A. RESOLUTION NO. 2018-124 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE TRANSNET LOCAL STREET IMPROVEMENT PROGRAM OF PROJECT CHV 48 FOR FISCAL YEARS 2018-19 THOUGH 2022-23 FOR INCLUSION IN THE REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM AND PROVIDING THE CERTIFICATION AND INDEMNITY STATEMENTS NECESSARY TO OBTAIN TRANSNET FUNDS B. RESOLUTION NO. 2018-125 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE TRANSNET LOCAL STREET IMPROVEMENT PROGRAM OF PROJECT CHV 80 FOR FISCAL YEARS 2018-19 THOUGH 2022-23 FOR INCLUSION IN THE REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM AND PROVIDING THE CERTIFICATION AND INDEMNITY STATEMENTS NECESSARY TO OBTAIN TRANSNET FUNDS C. RESOLUTION NO. 2018-126 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE TRANSNET LOCAL STREET IMPROVEMENT PROGRAM OF PROJECTS EXCEPT FOR PROJECTS CHV 48 AND CHV 80 FOR FISCAL YEARS 2018-19 THOUGH 2022-23 FOR INCLUSION IN THE REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM AND PROVIDING THE CERTIFICATION AND INDEMNITY STATEMENTS NECESSARY TO OBTAIN TRANSNET FUNDS, APPROVING ADMINISTRATIVE TRANSFERS AS REQUIRED BY SANDAG, REDUCING CTY0228 BY $36,921 IN TRANSNET FUNDS AND APPROPRIATING THE EQUIVALENT AMOUNT IN TRANSNET FUNDS TO STL0423 (4/5 VOTE REQUIRED) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Deputy Mayor Diaz opened the public hearing. There being no members of the public who wished to speak, Deputy Mayor Diaz closed the public hearing. There was consensus of the Council to continue the item to June 26, 2018 at 5:00 p.m. Page 6City of Chula Vista 2018-12-11 Agenda Packet Page 21 June 19, 2018City Council Meeting Minutes - Draft ACTION ITEMS 13.18-0149 UPDATE ON THE SMART CITIES STRATEGIC ACTION PLAN A. RESOLUTION NO. 2018-115 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING A CONTRACT FOR SERVICE TO MAGELLAN ADVISORS B. RESOLUTION NO. 2018-116 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPEN DATA POLICY Chief Sustainability Officer Gakunga, Director of Information and Technology Services Chew, and Supervising Public Safety Analyst Walker gave a presentation on the item. A motion was made by Councilmember McCann, seconded by Councilmember Padilla, that Resolution Nos. 2018-115 and 2018-116 be adopted, headings read, text waived. The motion carried by the following vote: ACTION: Yes:Diaz, McCann and Padilla3 - No:0 Abstain:0 MAYOR’S REPORTS There were none. CITY MANAGER’S REPORTS Deputy City Manager Bacon stated the California Public Utilities Commission would be conducting a public hearing in the Chula Vista City Hall Council Chambers regarding proposed SDG&E rate increases. She also reported on the upcoming ribbon cutting of the Chula Vista Elite Athlete housing. COUNCILMEMBERS’ COMMENTS Councilmember McCann wished all fathers a Happy Father's Day. He spoke regarding the World Cup Soccer games, and congratulated Mexico on their win. CITY ATTORNEY'S REPORTS Sr. Assistant City Attorney Miesfeld clarified items 8 and 12 were continued to the meeting of June 26, 2018 at 5:00 p.m. Sr. Assistant City Attorney Miesfeld announced that the Council would convene in closed session to discuss the items listed below. At 6:34 p.m., the Council convened in Closed Session with all members present except Councilmember Aguilar and Mayor Casillas Salas. Page 7City of Chula Vista 2018-12-11 Agenda Packet Page 22 June 19, 2018City Council Meeting Minutes - Draft CLOSED SESSION Pursuant to Resolution No. 13706 and Council Policy No. 346-03, Official Minutes and records of action taken during Closed Sessions are maintained by the City Attorney. 14.18-0249 CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): One [1] Case. Just Construction, Inc. Pending finalization of settlement agreement.ACTION: ADJOURNMENT At 6:47 p.m., Deputy Mayor Diaz adjourned the meeting to the Regular City Council Meeting on June 26, 2018, at 5:00 p.m., in the Council Chambers. _______________________________ Kerry K. Bigelow, MMC, City Clerk Page 8City of Chula Vista 2018-12-11 Agenda Packet Page 23 P a g e | 1 December 11, 2018 File ID: 18-0538 118-05518- 518-055518-0555 TITLE ORDINANCE OF THE CITY OF CHULA VISTA REPEALING CHAPTER 5.66 OF THE CHULA VISTA MUNICIPAL CODE, WHICH IMPOSED A TOTAL BAN ON COMMERCIAL MARIJUANA ACTIVITY, CONDITIONED UPON EFFECTIVENESS OF CITY’S ORDINANCE BANNING UNLICENSED COMMERCIAL CANNABIS ACTIVITY AS PROVIDED IN CHAPTER 5.19 OF THE CHULA VISTA MUNICIPAL CODE (SECOND READING AND ADOPTION) RECOMMENDED ACTION Council adopt the ordinance. SUMMARY This proposed ordinance repeals Chula Vista Municipal Code chapter 5.66, which prohibits all commercial marijuana activity in the City of Chula Vista. In its place, Chula Vista Municipal Code chapter 5.19, adopted in March 2018 and scheduled to go into effect on December 4, 2018, will now contain all commercial cannabis municipal code provisions, including those that permit lawful, licensed businesses and prohibit unlicensed activity. ENVIRONMENTAL REVIEW The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required. BOARD/COMMISSION/COMMITTEE RECOMMENDATION Not Applicable. DISCUSSION In 2011, the City Council adopted Ordinance 3204, adding chapter 5.66to the Chula Vista Municipal Code. Chapter 5.66 prohibited medical marijuana dispensaries. Chapter 5.66 was last amended in 2017 to prohibit all commercial marijuana activity, both medical and recreational, in the City of Chula Vista. After extensive consideration of commercial cannabis regulation earlier this year, City Council votedin March 2018 to approve Ordinance 3418, which created a licensing and regulatory structure for the operation of lawful cannabis businesses in the City of Chula Vista; such structure is codified in the newly created Chula Vista Municipal Code chapter 5.19. 2018-12-11 Agenda Packet Page 24 P a g e | 2 Section 5.19.290 made the effectiveness of Ordinance 3418 contingent on voter approval of a cannabis tax measure to be placed on the November 2018 ballot. A cannabis tax measure, Measure Q, was ultimately approved by voters and is scheduled to be certified by the City Council on December 4, 2018; such certification will render chapter 5.19 effective, thereby eliminating the purpose and need for chapter 5.66. All enforcement activities against unlawful cannabis businesses that were previously conducted under chapter 5.66 will continue in full force and effect under chapter 5.19. It is Staff’s recommendation at this time that chapter 5.66 be repealed to eliminate any potential contradiction or confusion regarding local laws governing commercial cannabis activity in the City of Chula Vista, and to affirm that all rules and prohibitions regarding commercial cannabis activity will now be codified in Chula Vista Municipal Code chapter 5.19. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not applicable to this decision for purposes of determining a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. This ordinance supports the Operational Excellence goal as it eliminates contradictory municipal code provisions and provides clarity as to local law governing commercial cannabis activity. CURRENT-YEAR FISCAL IMPACT The ordinance repealing chapter 5.66results in no current year fiscal impact to the City. ONGOING FISCAL IMPACT The ordinance repealing chapter 5.66 results in no ongoing fiscal impact to the City. ATTACHMENTS None. Staff Contact: Kelley Bacon; Megan McClurg 2018-12-11 Agenda Packet Page 25 SECOND READING AND ADOPTION C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@680EEFA9\@BCL@680EEFA9.doc ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA REPEALING CHAPTER 5.66 OF THE CHULA VISTA MUNICIPAL CODE, WHICH IMPOSED A TOTAL BAN ON COMMERCIAL MARIJUANA ACTIVITY, CONDITIONED UPON EFFECTIVENESS OF CITY’S ORDINANCE BANNING UNLICENSED COMMERCIAL CANNABIS ACTIVITY AS PROVIDED IN CHAPTER 5.19 OF THE CHULA VISTA MUNICIPAL CODE WHEREAS, Chula Vista Municipal Code chapter 5.66, last amended by Ordinance 3401 in 2017, prohibits all commercial marijuana activity in the City of Chula Vista; and WHEREAS, Ordinance 3418, which adds chapter 5.19 to the Chula Vista Municipal Code, was adopted by the Chula Vista City Council on March 6, 2018; and WHEREAS, Chula Vista Municipal Code chapter 5.19 details a comprehensive set of requirements, restrictions, and robust enforcement procedures with regard to commercial cannabis activity within the City; and WHEREAS, Chula Vista Municipal Code section 5.19.290 made the effectiveness of the ordinance enacting chapter 5.19 contingent upon voter approval and the continuous legal validity of a tax measure anticipated to be submitted to voters in November 2018; and WHEREAS, Measure Q, a cannabis tax measure submitted to voters in November 2018 was approved by Chula Vista voters and is expected to be certified by the City Council on December 4, 2018; and WHEREAS, it is the intent of the City Council that all rules and prohibitions regarding commercial cannabis be contained in chapter 5.19; and WHEREAS, it is the intent of the City Council that enforcement efforts against unlawful cannabis businesses presently authorized under Chula Vista Municipal Code chapter 5.66 continue in full force and effect under Chula Vista Municipal Code chapter 5.19; NOW THEREFORE the City Council of the City of Chula Vista does ordain as follows: Section I. Chapter 5.66 of the Chula Vista Municipal Code is hereby repealed. Section III. Severability 2018-12-11 Agenda Packet Page 26 Ordinance Page 2 If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. Section IV. Construction The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. Section V. Effective Date This Ordinance shall take effect and be in force on the thirtieth day after its final passage. Section VI. Publication The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by Approved as to form by _____________________________________ ____________________________________ Gary Halbert Glen R. Googins City Manager City Attorney 2018-12-11 Agenda Packet Page 27 P a g e | 1 December 11, 2018 File ID: 18-0464 18-0556 TITLE ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE, SECTION 19.58.022 (ACCESSORY DWELLING UNITS); CHAPTER 19.26 (ONE AND TWO-FAMILY RESIDENCE ZONE); AND CHAPTER 19.28 (APARTMENT RESIDENTIAL ZONE); WITH REGARD TO ACCESSORY DWELLING UNITS (SECOND READINGAND ADOPTION) RECOMMENDED ACTION Council adopt the ordinance. SUMMARY On April 24, 2018 the City Council adopted Accessory Dwelling Unit (ADU) Ordinance No. 3423. Since the ordinance has been in effect, staff has received several concerns from customers regarding Chula Vista Municipal Code (CVMC) Section 19.58.022(C)(9), which requires a separate water and sewer connection for new detached ADUs. Staff is bringing the ADU Ordinance forward to remove this requirementand make other minor amendments, and correct some grammatical errors. ENVIRONMENTAL REVIEW Environmental Determination The Director of Development Services reviewed the proposed legislative action for compliance with the California Environmental Quality Act (CEQA) and determined that the action is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the action is not subject to CEQA. In addition, notwithstanding the foregoing, the Director of Development Services has also determined that the action qualifies for an Exemption pursuant to Section 15061(b)(3) of the State CEQA Guidelines because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. Therefore, no further environmental review is required. BOARD/COMMISSION/COMMITTEE RECOMMENDATION On October 24, 2018, the City of Chula Vista Planning Commission recommended adoption of the ADU Ordinance minor amendments (Attachment 2). 2018-12-11 Agenda Packet Page 28 P a g e | 2 DISCUSSION The recently passed State laws AB 494 and SB 229 do not preclude jurisdictions from requiring separate water and sewer connections for new detached ADUs. Chula Vista opted to include this as a requirement in the ADU Ordinance. Following the ordinance’s adoption, staff has heard customer concerns regarding this requirement stating that it is cost prohibitive to build a new detached ADU. Staff reviewed CVMC Section 19.58.022(C)(9), and surveyed several municipalities in the State and found that these municipalities do not require a separate water and sewer connection. Staff agrees that it may be cost prohibitive to build a new detached ADU with the separate water and sewer connection requirement, and recommends removing this requirement. The ADU Ordinance amendment will retain compliance with State law. While reviewing the adopted ADU ordinance, staff made other minor amendments to certain sections for clarification, and also found some minor grammatical errors that need to be corrected. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not applicable to this decision for purposes of determining a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The ADU Ordinance supports the Strong and Secure Neighborhoods goal as it lowers barriers to affordable housing development. CURRENT-YEAR FISCAL IMPACT All staff costs associated with preparing the ADU Ordinance minor amendments are included in the adopted budget ONGOING FISCAL IMPACT As a planning document, the adoption of the Ordinance will have no direct fiscal impact to the City. However, as projects are implemented both a revenue stream and cost factors will be realized. As implementation of this Ordinance occurs, additional information regarding specific fiscal impacts of future individual projects will be evaluated. ATTACHMENTS 1. Proposed ADU Ordinance (strikeout/underline) 2.Planning Commission Resolution MPA18-0010 3. Planning Commission Minutes Staff Contact: Michael Walker, Senior Planner, DSD Advance Planning Division 2018-12-11 Agenda Packet Page 29 SECOND READING AND ADOPTION ORDINANCE NO.________ ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE, SECTION 19.58.022 (ACCESSORY DWELLING UNITS); CHAPTER 19.26 (ONE AND TWO-FAMILY RESIDENCE ZONE); AND CHAPTER 19.28 (APARTMENT RESIDENTIAL ZONE); WITH REGARD TO ACCESSORY DWELLING UNITS WHEREAS, in January 2017, the State of California enacted the following laws: Senate Bill 1069; Assembly Bill 2299; and Assembly Bill 2406; and in January 2018 Senate Bill 229; and Assembly Bill 494 to address the statewide affordable housing demand by requiring a ministerial approval process and limiting regulatory requirements for Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs); and WHEREAS, on April 24, 2018, the City Council adopted Accessory Dwelling Unit (ADU) and Junior Accessory Dwelling Unit (JADU) Ordinance No. 3423, regulating ADU and JADU development; and WHEREAS, Chula Vista Municipal Code (CVMC) Section 19.58.022(C)(9) requires a separate water and sewer connection for new detached ADUs; and WHEREAS, since the ADU Ordinance went into effect, staff has heard customer concerns regarding the separate water and sewer connection requirement stating that this is cost prohibitive to build a new detached ADU; and WHEREAS, staff reviewed the recently passed State laws AB 494 and SB 229 and found that these laws do not preclude jurisdictions from requiring a separate water and sewer connection for new detached ADUs; and WHEREAS, staff surveyed several municipalities in the State and found that these municipalities do not require a separate water and sewer connection; and WHEREAS, staff agrees that the separate water and sewer connection requirement for new detached ADUs may be cost prohibitive for property owners; and WHEREAS, the ADU Ordinance will retain compliance with State law with the removal of the separate water and sewer connection requirement; and WHEREAS, staff made additional minor amendments to clarify content in certain sections in the ADU Ordinance; and WHEREAS, staff found some minor grammatical errors in the ADU Ordinance that need to be corrected; and WHEREAS, staff prepared said minor amendments to the ADU Ordinance; and 2018-12-11 Agenda Packet Page 30 SECOND READING AND ADOPTION WHEREAS, on October 24, 2018 the City of Chula Vista Planning Commission held an advertised public hearing on the ADU Ordinance minor amendments and voted 5-0-0-2 to adopt Resolution No. MPA18-0010 and thereby recommended that the City Council adopt the ADU Ordinance minor amendments; and WHEREAS, the City Council reviewed the proposed legislative action for compliance with the California Environmental Quality Act (CEQA) and determined that the action is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the action is not subject to CEQA. In addition, notwithstanding the foregoing, the City Council has also determined that the action qualifies for an Exemption pursuant to Section 15061(b)(3) of the State CEQA Guidelines because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. Therefore, no further environmental review is required; and WHEREAS, the City Council set the time and place for a hearing on the subject ADU Ordinance minor amendments and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City at least ten days prior to the hearing; and WHEREAS, the City Council held a duly noticed public hearing on said ADU Ordinance minor amendments at a time and place as advertised in the Council Chambers located at 276 Fourth Avenue and said hearing was therefore closed. NOW THEREFORE the City Council of the City of Chula Vista does hereby ordain as follows: Section I. Section 19.58.022 Accessory Dwelling Units 19.58.022 Accessory dwelling units. A. The purpose of this section is to provide regulations for the establishment of accessory dwelling units in compliance, inter alia, with California Government Code Section 65852.2. Said units may be located in residential zone districts where adequate public facilities and services are available. Accessory dwelling units are a potential source of affordable housing and shall not be considered in any calculation of allowable density for the lot upon which they are located, and shall also be deemed consistent with the General Plan and zoning designation of the lot as provided. Accessory dwelling units shall not be considered a separate dwelling unit for the purpose of subdividing the property into individual condominium or lot ownership. B. For the purposes of this section, the following words are defined: “Above” shall mean an accessory dwelling unit that is attached, and built over a primary residence including an attached garage, or above a detached garage or similar building in the rear yard. 2018-12-11 Agenda Packet Page 31 SECOND READING AND ADOPTION “Accessory dwelling unit” shall mean an attached or detached residential dwelling unit which provides complete independent living facilities for one or more persons. It shall include permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family dwelling is situated. An accessory dwelling unit also includes the following: (A) An efficiency unit, as defined in Section 17958.1 of the Health and Safety Code. (B) A manufactured home, as defined in Section 18007 of the Health and Safety Code. “Attached” shall mean a wall, floor, or ceiling of an accessory dwelling unit is shared with the primary residence on the property. “Basement” shall mean the same as defined in CVMC 19.04.026. “Behind” shall mean an accessory dwelling unit constructed either entirely between the rear of the primary residence and the rear property line, or at the side of the primary residence, and set back from the front plane of the primary residence at least 50 percent of the distance between the front and back planes of the primary residence (Exhibit B.1). “Buildable pad area” shall mean the level finish grade of the lot not including slopes greater than 50 percent grade (Exhibit B.2). “Detached” shall mean an accessory dwelling unit separated from the primary residence as specified in subsection (C)(5)(d) of this section. “Living area” shall mean the interior habitable area of a dwelling unit including basements and attics, but does not include garages or any accessory structure. “Primary residence” shall mean a proposed or existing single-family dwelling constructed on a lot as the main permitted use by the zone on said parcel. 2018-12-11 Agenda Packet Page 32 SECOND READING AND ADOPTION “Tandem parking” shall mean two or more vehicles parked on a driveway or in any other location on the lot lined up behind one another. C. Accessory dwelling units shall be subject to the following requirements and development standards: 1. Zones. Accessory dwelling units may accompany a proposed or an existing primary residence in single family zones, on multifamily zoned lots developed with a single- family residence, or similarly zoned lots in the Planned Community (PC) zone. Accessory dwelling units or junior accessory dwelling units are not permitted on lots developed with condominiums, townhomes, apartments, or similar multifamily developments. Construction of a primary residence can be in conjunction with the construction of an accessory dwelling unit. Where a guesthouse or other similar accessory living space exists, accessory and junior accessory dwelling units are not permitted. The conversion of a guest house, other similar living areas, or other accessory structures into an accessory dwelling unit is permitted, provided the conversion meets the intent and property development standards of this section, and all other applicable CVMC requirements. Accessory dwelling units shall not be permitted on lots within a Planned Unit Development (PUD), unless an amendment to the PUD is approved and specific property development standards are adopted for the construction of said dwelling units for lots within the PUD. 2. Unit Size. The total floor space of an attached or detached accessory dwelling unit shall not exceed 50 percent of the living area of the primary residence or 1,200 square feet whichever is less. The original buildable pad area of a lot may be increased through regrading and/or use of retaining walls or structures as allowed for a specific lot. 3. Unit Location. Accessory dwelling units are prohibited in the required front setback. 4. Height. An accessory dwelling unit, as measured from the ground, shall not exceed the height limit for the primary residence in accordance with the underlying zone. 5. Development Standard Exceptions. Accessory dwelling units shall conform to the underlying zoning and land use development requirements for primary residences with the following exceptions: a. New detached single-story accessory dwelling units are allowed a setback of no less than five feet from the side and rear lot lines. b. For lots with up-slopes between the property line and the side or rear of the house, required yard setbacks are measured from the toe of slope. c. For lots with down-slopes between the property line and the side or rear of the house, required yard setbacks shall be measured from the top of slope. d. A new detached accessory dwelling unit shall be located a minimum of 6 feet from a primary residence. 2018-12-11 Agenda Packet Page 33 SECOND READING AND ADOPTION e. No setback shall be required for an existing garage that is converted to an accessory dwelling unit or to a portion of an accessory dwelling unit, and a setback of no less than five feet from the side and rear lot lines shall be required for an accessory dwelling unit that is constructed above a garage. 6. Lot Coverage. Other than conversions of other structures, new accessory dwelling units and all other structures on the lot are limited to the maximum lot coverage permitted according to the underlying zone. Other than conversions of other structures, a new detached accessory dwelling unit and all other detached accessory structures combined, shall not occupy more than 30 percent of the required rear yard setback. 7. Parking. Parking for an accessory dwelling unit is not required in any of the following instances: i. The accessory dwelling unit is within one-half mile from a public transit stop. ii. The accessory dwelling unit is within an architecturally and historically significant historic district. iii. The accessory dwelling unit is part of a proposed or existing primary residence or an existing accessory structure. iv. The accessory dwelling unit is in an area where on-street parking permits are required, but not offered to the occupant of the accessory dwelling unit. v. The accessory dwelling unit is located within one block of a car share area. 8. Accessory dwelling units not meeting any of the above requirements shall be subject to the following access and parking regulations: a. Parking. Parking requirements for accessory dwelling units shall not exceed one parking space per unit or per bedroom, whichever is less. Parking spaces may be provided in tandem on an existing driveway, provided that access to the garage for the primary residence is not obstructed. Off-street parking shall be permitted in setback areas in locations or through tandem parking, unless specific findings are made that parking in setback areas or tandem parking is not feasible based upon specific site or regional topographical or fire and safety conditions. b. The required parking space(s) shall be on the same lot as the accessory dwelling unit. This parking is in addition to the parking requirements for the primary residence as specified in CVMC 19.62.170. c. Notwithstanding CVMC 19.62.190, when a garage, carport, or covered parking structure is demolished in conjunction with the construction of an accessory dwelling unit, or is converted to an accessory dwelling unit that was previously used by the primary residence, replacement parking shall be provided prior to, or concurrently with, the conversion of the garage into the accessory dwelling unit. The replacement parking may be located in any configuration on the same lot as the accessory dwelling unit, including, but not limited to, covered spaces, uncovered spaces, tandem spaces, or by the use of mechanical automobile parking lifts. If the existing driveway is no longer necessary for access to the converted garage or other required parking, said driveway may be used to satisfy the required parking for the accessory dwelling unit when not exempt from CVMC 19.58.022(C)(7). 2018-12-11 Agenda Packet Page 34 SECOND READING AND ADOPTION d. Access to all required parking shall be from a public street, alley or a recorded access easement. Access from a designated utility easement or similar condition shall not be permitted. For any lot proposing an accessory dwelling unit and served by a panhandle or easement access, the access must be a minimum 20 feet in width. e. Curb cuts providing access from the public right-of-way to on-site parking spaces shall be acceptable to the City Engineer. A construction permit from the City Engineer shall be obtained for any new or widened curb cuts. f. Required parking spaces or required maneuvering area shall be free of any utility poles, support wires, guard rails, stand pipes or meters, and be in compliance with CVMC 19.62.150. g. When a required parking space abuts a fence or wall on either side, the space shall be a minimum of 10 feet wide. If this area also serves as the pedestrian access from an accessory dwelling unit to the street, the paving shall be a minimum 12 feet wide. h. All required parking spaces shall be kept clear for parking purposes only. 9. Utilities. An accessory dwelling unit may be served by the same water and sewer lateral connections that serve the primary residence. A separate electric meter and address may be provided for the accessory dwelling unit. 10. Design Standards. The lot shall retain a single-family appearance by incorporating matching architectural design, building materials and colors of the primary residence with the accessory dwelling unit, and any other accessory structure built concurrently with the accessory dwelling unit. However, the primary residence may be modified to match the new accessory dwelling unit. The accessory dwelling unit shall be subject to the following development design standards: a. Matching architectural design components shall be provided between the primary residence, accessory dwelling unit, and any other accessory structures. These shall include, but are not limited to: i. Window and door type, style, design and treatment; ii. Roof style, pitch, color, material and texture; iii. Roof overhang and fascia size and width; iv. Attic vents color and style; v. Exterior finish colors, texture and materials b. A useable rear yard open space of a size at least equal to 50 percent of the required rear yard area of the underlying zone shall be provided contiguous to the primary residence. Access to this open space shall be directly from a common floor space area of the primary residence such as living or dining rooms, kitchens or hallways, and without obstruction or narrow walkways. 2018-12-11 Agenda Packet Page 35 SECOND READING AND ADOPTION c. A useable open space that has a minimum dimension of six feet and an area not less than 60 square feet in area shall be provided contiguous to an accessory dwelling unit. A balcony or deck may satisfy this requirement for second story units. d. Windows on second story accessory dwelling units should be staggered and oriented away from adjacent residences closer than 10 feet. The location and orientation of balconies or decks shall also be oriented away from adjacent backyards and living space windows. e. Trash and recycling containers must be stored between pick-up dates in an on-site location that is screened from public view and will not compromise any required open space areas. 11. Designated Historical Sites. An accessory dwelling unit may be allowed on designated or historical sites, provided the location and design of the accessory dwelling unit meets corresponding historical preservation requirements in place at the time the accessory dwelling unit is built, and complies with the requirements of this section including the following: a. The accessory dwelling unit shall be located behind a primary residence that is determined to be a historic resource. b. The construction of the accessory dwelling unit shall not result in the removal of any other historically significant accessory structure, such as garages, outbuildings, stables or other similar structures. c. The accessory dwelling unit shall be designed as to have a distinguishable architectural style and finished materials composition from the historic primary residence or structure. d. Construction of an accessory dwelling unit shall not result in demolition, alteration or movement of any historic structures and any other on-site features that convey the historic significance of the structure and site. e. If an historic house/site is under a Mills Act contract with the City, the contract shall be amended to authorize the introduction of the accessory dwelling unit on the site. 12. Occupancy Requirement. At the time of building permit submittal, and continuously thereafter, the property owner(s) shall reside on the lot on which the accessory dwelling unit is located or constructed. The Zoning Administrator shall have the authority to suspend this occupancy requirement for a period not to exceed five years when evidence has been submitted that one of the following situations exists: a. The property owner’s health requires them to temporarily live in an assisted living or nursing facility. b. The property owner is required to live outside the San Diego region as a condition of employment or military service. 2018-12-11 Agenda Packet Page 36 SECOND READING AND ADOPTION c. The property owner is required to live elsewhere to care for an immediate family member. d. The property owner has received the property as the result of the settlement of an estate. 13. Land Use Agreement. Concurrent with the issuance of building permits for the construction of an accessory dwelling unit, the property owner shall sign and notarize a land use agreement which sets forth the occupancy and use limitations prescribed in this section. This agreement will be recorded with the County of San Diego Recorder on title to the subject property. This agreement shall run with the land, and inure to the benefit of the City of Chula Vista. 14. Accessory dwelling units shall not be required to provide fire sprinklers if they are not required for the primary residence. 15. Recordation of a deed restriction is required, which shall run with the land, shall be filed with the permitting agency, and shall include both of the following: (a) A prohibition on the sale of the accessory dwelling unit separate from the sale of the single-family residence, including a statement that the deed restriction may be enforced against future purchasers. (b) A restriction on the size and attributes of the accessory dwelling unit that conforms to this section. 19.58.023 Junior Accessory Dwelling Units. A. Definition: “Junior accessory dwelling unit” shall mean a unit that is no more than 500 square feet in size and contained entirely within an existing single-family residence. A junior accessory dwelling unit may include separate sanitation facilities, or may share sanitation facilities with the existing residence. B. In single-family residential zones, a junior accessory dwelling unit is permitted and shall meet all of the following: 1) One junior accessory dwelling unit per residential lot zoned for single-family residences with a single-family residence already built, and no ADU or guest house exists on the lot. 2) Owner-occupancy is required in the single-family residence in which the junior accessory dwelling unit will be permitted. The owner may reside in either the remaining portion of the residence or the newly created junior accessory dwelling unit. Owner- occupancy shall not be required if the owner is another governmental agency, land trust, or housing organization. 3) Recordation of a deed restriction is required, shall run with the land, and shall be filed with the permitting agency, and shall include both of the following: 2018-12-11 Agenda Packet Page 37 SECOND READING AND ADOPTION (a) A prohibition on the sale of the junior accessory dwelling unit separate from the sale of the single-family residence, including a statement that the deed restriction may be enforced against future purchasers. (b) A restriction on the size and attributes of the junior accessory dwelling unit that conforms to this section. 4) A permitted junior accessory dwelling unit shall be constructed within the existing walls of the single-family residence and require the inclusion of an existing bedroom. 5) A separate entrance from the main entrance to the single-family residence is required, with an interior entry to the main living area. A permitted junior accessory dwelling may include a second interior doorway for sound attenuation. 6) An efficiency kitchen for the junior accessory dwelling unit is required, and shall include: (a) A sink with a maximum waste line diameter of one and one-half inches. (b) A cooking facility with appliances that do not require electrical service greater than 120 volts or natural or propane gas. (c) A food preparation counter and storage cabinets that are of reasonable size in relation to the size of the junior accessory dwelling unit. C. Additional parking is not required for a junior accessory dwelling unit. D. For purposes of providing service for water, sewer, or power, including a connection fee, a junior accessory dwelling unit shall not be considered a separate or new dwelling unit. Section II. Chapter 19.26 R-2 – ONE- AND TWO-FAMILY RESIDENCE ZONE 19.26.030 Accessory uses and buildings. The following are the accessory uses permitted in an R-2 zone: G. Accessory dwelling units on lots developed with a proposed or existing single-family dwelling, subject to the provisions of CVMC 19.58.022; Section III. Chapter 19.28 R-3 – APARTMENT RESIDENTIAL ZONE 19.28.030 Accessory uses and buildings. Accessory uses and buildings in the R-3 zone include: H. Accessory dwelling units on lots developed with a proposed or existing single-family 2018-12-11 Agenda Packet Page 38 SECOND READING AND ADOPTION dwelling, subject to the provisions of CVMC 19.58.022. Section IV. Severability If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. Section V. Construction The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. Section VI. Effective Date This Ordinance shall take effect and be in force on the thirtieth day after its final passage. Section VII. Publication The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by:Approved as to form by: _____________________________________ ____________________________ Kelly G. Broughton, FASLA Glen R. Googins Director of Developmental Services City Attorney 2018-12-11 Agenda Packet Page 39 P a g e | 1 December 11, 2018 File ID: 18-0502 TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED PARK NAME FOR PARK P-2 IN OTAY RANCH VILLAGE TWOAS "GROVE PARK" RECOMMENDED ACTION Council adopt the resolution. SUMMARY This report proposes to revise the name of Park P-2 in Otay Ranch Village Two from “Orchard Park” to “Grove Park” to prevent a duplication of park names in the City of Chula Vista. ENVIRONMENTAL REVIEW The Director of Development Services has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project was adequately covered in previously certified Final Second Tier Environmental Impact Report, EIR 02-02 and Final Supplemental Environmental Impact Report, SEIR 12-01 for the Otay Ranch Village Two Sectional Planning Area (SPA) Plan. Thus, no further environmental review or documentation is required. BOARD/COMMISSION/COMMITTEE RECOMMENDATION At their meeting of 11/15/18 the Parks and Recreation Commission recommended approval of the revised park name for Park P-2 in Otay Ranch Village Two as “Grove Park.” DISCUSSION Background The Master Plan for Park P-2 and the name “Orchard Park” were approved by City Council on October 16 th 2018. Subsequently staff realized that there is already a small Homeowner’s Association (HOA) private open space area in Otay Ranch Village One called Orchard Park. In order to avoid duplication of park names in the City it is now recommended to change the Park P-2 name from Orchard Park to Grove Park. 2018-12-11 Agenda Packet Page 40 P a g e | 2 DECISION-MAKER CONFLICT Staff has reviewed the property holdings of the City Council members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The proposed P-2 Park addresses the Healthy Community and Connected Community goals as it seeks to provide recreational opportunities for residents. CURRENT-YEAR FISCAL IMPACT There is no current fiscal year impact to the City. ONGOING FISCAL IMPACT There is no ongoing fiscal impact. ATTACHMENTS None Staff Contact: Mary Radley x 3542 2018-12-11 Agenda Packet Page 41 RESOLUTION NO. __2018-XXX_ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED PARK NAME FOR PARK P-2 IN OTAY RANCH VILLAGE TWO AS "GROVE PARK" WHEREAS, the Master Plan for Park P-2 and the name “Orchard Park” were approved by City Council on October 16 th 2018; and WHEREAS, staff subsequently realized that there is already a small Homeowner’s Association (HOA) private open space area in Otay Ranch Village One called Orchard Park; and WHEREAS, in order to avoid duplication of park names in the City it is now necessary to change the Park P-2 name; and WHEREAS, the Parks and Recreation Commission recommended approval of the revised park name for Park P-2 as “Grove Park”at their meeting on November 15, 2018. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it hereby approves the revised name for Park P-2 in Otay Ranch Village Two as “Grove Park.” Presented by:Approved as to form by: ________________________________________________ Kelly Broughton Glen R. Googins Development Services Director City Attorney 2018-12-11 Agenda Packet Page 42 P a g e | 1 December 11, 2018 File ID: 18-0517 TITLE A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-01, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-02, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-03, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) RECOMMENDED ACTION Council adopt the resolutions. 2018-12-11 Agenda Packet Page 43 P a g e | 2 SUMMARY In March 2016, the City Council formed Community Facilities District 17-I (CFD 17-I), the Western Chula Vista Development Impact Fee (DIF) Financing Program. CFD 17-I was established for the purpose of financing the payment of certain DIF obligations for multi-family, commercial or industrial properties in Western Chula Vista (i.e., the area generally located between Interstate 5 and Interstate 805) and the Chula Vista Auto Park, which is situated to the east of Interstate 805 and to the west of Heritage Road. In March 2016, the City Council also authorized the future annexation of such territory designated within the Future Annexation Areas pursuant to the provisions and authorization of Article 3.5 of the Mello-Roos Community Facilities Act of 1982 (the “Act”). The following three properties are proposing to annex into CFD 17-I: Annexation No. 2018-01, located at 260-270 Broadway; Annexation No. 2018-02, located at 288 Center Street, 336 Church Avenue, 338 Church Avenue, and 342 Church Avenue; and Annexation No. 2018-03, located at 230 Church Avenue. ENVIRONMENTAL REVIEW The City’s Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. BOARD/COMMISSION/COMMITTEE RECOMMENDATION Not applicable. DISCUSSION Investment in Western Chula Vista presents a financing challenge for potential investors and developers. Financing challenges derive primarily from the lending industry’s increased equity requirements imposed upon infill development projects in Western Chula Vista. To help address the additional equity burden being placed on infill development in this area, the City Council formed CFD 17-I, which allows the deferral of DIFs to incentivize future investment in this area. The deferral of the DIF payment reduces the additional equity burden by an amount equal to the DIFs. CFD 17-I enables the developer to shift the DIF burden from the construction/development cost side of their ledger to the operating side of the development. CFD 17-I is unique in that it is not used as a mechanism to issue debt, but rather as a way to finance DIFs over time. When CFD 17-I was formed in March 2016, only one property was included within CFD 17-I. However, the City Council also authorized the annexation of territory designated within the Future Annexation Area to CFD 17-I. The Future Annexation Area includes multi-family, commercial or industrial properties in Western Chula Vista (i.e., the area generally located between Interstate 5 and Interstate 805) and the Chula Vista Auto Park, which is situated to the east of Interstate 805 and to west of Heritage Road. Property owners can voluntarily annex into CFD 17-I through an election process. An owner of a residential, commercial, or industrial property located within the Future Annexation Area may apply to have such 2018-12-11 Agenda Packet Page 44 P a g e | 3 property annexed to CFD 17-I. Such owner may waive the public hearing otherwise required for annexations and may waive the time limit for conducting the election to authorize the levy of special taxes within the property proposed to be annexed into CFD 17-I. Prior to the proposed annexations, one property (i.e., Annexation No. 2017-01, the Urbana Apartments located at 371, 385, and 395 H Street) annexed into CFD 17-I in 2017. The proposed annexations would increase cumulative CFD 17-I annexations from one to four. The projects seeking annexation into CFD 17-I are as follows: 1. Annexation No. 2018-01 This project is located at 260-270 Broadway and consists of 62 multi-family residences. The project occupies Assessor’s Parcel Numbers 567-032-18-00, 567-032-19-00, and 567-032-20-00, which have a combined area of 1.70 acres. The applicant has indicated a tentative construction start date of December 21, 2018 and a 14-month construction schedule. The total estimated project cost is $17.3 million. 2. Annexation No. 2018-02 This proposed annexation is situated at 288 Center Street, 336 Church Avenue, 338 Church Avenue, and 342 Church Avenue and would include 43 multi-family residences. The project is located on Assessor’s Parcel Numbers 568-334-08-00, 568-334-06-00, 568-334-05-00, and 568-334-07-00 which have a combined area of 0.57 acres. Subject to the completion of plan checks, the applicant anticipates breaking ground in February 2019 and estimates construction will take approximately 16 months. The total estimated project cost is $12.5 million. 3. Annexation No. 2018-03 This annexation is located at 230 Church Avenue, and would include 29 multi-family residences. The project occupies Assessor’s Parcel Numbers 568-071-22-00 and 568-071-21-00, which have a total area of 0.26 acres. The applicant indicated that they plan to break ground in December, 2018 and complete construction in April 2020. The total estimated project cost is $8.7 million. Annexation Process The owner of each property, as the qualified elector for the election to authorize the levy of the special tax on the property proposed to be annexed into CFD 17-I, has waived the public hearing and the time limit for conducting such an election. Ballot documents were transmitted to the property owners and completed and returned by the property owners to the City Clerk on or before December 4, 2018. The City Clerk canvassed the ballot and has determined that the property owners have cast the ballot in favor of authorizing the levy of the special tax on each of the properties proposed for annexation into CFD 17-I. By adoption of the attached resolutions, the City Council will be determining the results of the election and determining and declaring that such properties are added to and become a part of CFD 17-I. The CFD 17-I program is available for five years. When CFD 17-I was adopted, the City Council placed a cap of 200 residential units per year. The three annexations include a total of 134 units. No other units are 2018-12-11 Agenda Packet Page 45 P a g e | 4 proposed for annexation in 2018. The City has retained the services of Best Best & Krieger LLP as special counsel to provide assistance during the annexation proceedings, including the review of this report and the associated resolution for Annexation No. 2018-01. City staff prepared the resolutions for Annexation No. 2018-02 and Annexation No. 2018-03 using the Best Best & Krieger LLP resolution as an example. DECISION-MAKER CONFLICT Annexation No. 2018-01 Staff has reviewed the property holdings of the City Council members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. Annexation No. 2018-02 Staff has reviewed the property holdings of the City Council members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. Annexation No. 2018-03 Staff has reviewed the property holdings of the City Council and has found that Mayor Mary Casillas Salas has real property holdings within 500 feet of the boundaries of the property which is the subject of this action. Consequently, pursuant to California Code of Regulations Title 2, sections 18700 and 18702.2(a)(11), this item presents a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.) for the above-identified member. Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The deferral of DIFs furthers the Economic Vitality initiative 2.1.2 to “foster opportunities for investment in Western Chula Vista” by 2018-12-11 Agenda Packet Page 46 P a g e | 5 removing impediments for development projects in the subject area, accelerating the completion of planned and future developments. CURRENT-YEAR FISCAL IMPACT Many DIFs are paid by the applicant at Certificate of Occupancy stage of development. For these three annexations, Certificate of Occupancy would occur following construction. Based on applicant estimates, this would be between 14 and 18 months from December 2018. Additionally, the developer is required to advance funds to the City to cover the costs incurred by the City in undertaking the annexation proceedings. Therefore, there is no Current Year Fiscal Impact as a result of this action. ONGOING FISCAL IMPACT The Western Chula Vista Financing Program will defer payment of the following three DIFs: the Public Facilities Development Impact Fee (PFDIF), the Parkland Acquisition and Development Fee (PAD) and the portion of the Western Transportation Development Impact Fee (WTDIF) that is not allocated to the San Diego Association of Governments (SANDAG) pursuant to the Regional Transportation Congestion Improvement Program, as required by SANDAG’s TransNet Extension Ordinance. This deferral would be for a period of 30 years incurring 2 percent interest, per annum, upon receipt of occupancy. There would be no obligation to make a payment on the deferment in years 1 through 10. However, the deferred fees are required to be repaid in years 11 through 30. If a property is sold or subdivided, the obligation to repay the fees runs with the land. The non-payment period aligns with standard commercial lending practices. It is anticipated that some projects will repay the deferred fees in year ten when the project is refinanced. New developments are assessed development DIFs for the incremental impacts resulting from said development. DIFs do not pay for or resolve the deficiencies of facilities that may exist today. As stated above, all new development will continue to mitigate for on-site impacts resulting from each respective project. Should the CFD 17-I program be successful, it is anticipated to generate new development which, would translate into an increase in assessed valuation and have a positive impact on the neighboring property values while also providing new residents and employees to help support the surrounding businesses located along the retail corridors. DIFs to be deferred for each of the proposed annexations are as follows: Annexation WTDIF Deferral PFDIF Deferral PAD Deferral Total Deferral 2018-01 $30,318.85 $583,554.70 $593,092,00 $1,206,965.55 2018-02 $48,715.20 $444,491.00 $411.338.00 $904,544.20 2018-03 $32,854.44 $299,773.00 $277,414.00 $610,041.44 The combined construction cost for the three projects represents a $38.5 million investment in Western Chula Vista. 2018-12-11 Agenda Packet Page 47 P a g e | 6 ATTACHMENTS 1. Annexation No. 2018-01 Attachment 1 RMA 2.Annexation No. 2018-01 Exhibit B Boundary Map 3. Annexation No. 2018-02 Attachment 1 RMA 4. Annexation No. 2018-02 Exhibit B Boundary Map 5. Annexation No. 2018-03 Attachment 1 RMA 6. Annexation No. 2018-03 Exhibit B Boundary Map Staff Contact: Scott Barker, Transportation Engineer 2018-12-11 Agenda Packet Page 48 1 RESOLUTION NO. 2018 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-01, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) (Annexation No. 2018-01) WHEREAS, the City Council of the City of Chula Vista, California (the “City Council”) has previously formed Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) (“CFD No. 17-I”) pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), as amended, and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the “Ordinance”) (the Act and the Ordinance may be referred to collectively as the “Community Facilities District Law”) for the purpose of financing the payment of certain development impact fee obligations; and WHEREAS, acting pursuant to the Community Facilities District Law, the City Council also authorized by the adoption of Resolution No. 2016-051 (the “Resolution Authorizing Future Annexation”) the annexation in the future of territory to CFD No. 17-I, such territory designated as Future Annexation Area, Community Facilities District No. 17-I (the “Future Annexation Area”); and WHEREAS, the owner of that property located at 260-270 Broadway which is within the Future Annexation Area made application pursuant to the Community Facilities District Law to annex such territory to CFD No. 17-I and such property has been designated as Annexation No. 2018-01 (the “Territory”); and WHEREAS, at this time the unanimous consent to the annexation of the Territory to CFD No. 17-I has been received from the property owner of the Territory, and WHEREAS, less than twelve (12) registered voters have resided within the territory of Territory for each of the ninety (90) days preceding the election date established for the Territory, therefore, pursuant to the Act the qualified elector of the Territory shall be the "landowner," as such term is defined in Government Code Section 53317(f), of such Territory and such landowner who is the owner of record as of the applicable election date, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of the parcel of land that landowner owns within such Territory; and WHEREAS, the time limit specified by the Act for conducting an election to submit the levy of the special taxes on the Territory to the qualified elector thereof and the requirements for 2018-12-11 Agenda Packet Page 49 2 impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified elector of the Territory; and WHEREAS, the City Clerk of the City of Chula Vista has caused a ballot to be distributed to the qualified elector of the Territory, has received and canvassed such ballot and made a report to the City Council regarding the results of such canvass, a copy of which is attached as Exhibit A hereto and incorporated herein by this reference; and WHEREAS, at this time the measure voted upon and such measure did receive the favorable vote of the qualified elector of the Territory, and the City Council desires to declare the results of the election; and WHEREAS, a map showing the Territory and designated as Annexation Map No. 2018- 01 (the “Annexation Map”), a copy of which is attached as Exhibit B hereto and incorporated herein by this reference, has been submitted to this legislative body. NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Chula Vista, California, acting as the legislative body of CFD No. 17-I, as follows: Section 1. Recitals. The above recitals are true and correct. Section 2. Findings. This legislative body does hereby further determine as follows: A. The unanimous consent as described in the recitals hereto to the annexation of the Territory to CFD No. 17-I has been given by the owner of the Territory and such consent shall be kept on file in the Office of the City Clerk of the City of Chula Vista. B. Less than twelve (12) registered voters have resided within the Territory for each of the ninety (90) days preceding the election date established for each of the parcels located within the Territory, therefore, pursuant to the Act the qualified elector for the Territory shall be the “landowner” of the Territory as such term is defined in Government Code Section 53317(f). C. The qualified elector of the Territory has voted in favor of the levy of special taxes on the Territory upon its annexation to CFD No. 17-I. Section 3. Territory. The boundaries and parcels of property within the Territory and on which special taxes will be levied in order to finance the payment of development impact fees which will pay for public facilities are shown on the Annexation Map as submitted to and hereby approved by this legislative body. Section 4. Declaration of Annexation. This legislative body does hereby determine and declare that the Territory, and each parcel therein, is now added to and becomes a part of CFD No. 17-I. The City Council, acting as the legislative body of CFD No. 17-I, is hereby empowered to levy the authorized special tax within the Territory. Section 5. Notice. Immediately upon adoption of this Resolution, notice shall be given as follows: 2018-12-11 Agenda Packet Page 50 3 A. A copy of the Annexation Map as approved shall be filed in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. B. An Amendment to the Notice of Special Tax Lien (Notice of Annexation) shall be recorded in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. Section 6. Effective Date. This Resolution shall become effective upon its adoption. PREPARED BY:APPROVED AS TO FORM BY: Eric Crockett, Director of Economic Development Glen R. Googins, City Attorney 2018-12-11 Agenda Packet Page 51 A - 1 EXHIBIT A CERTIFICATE OF ELECTION OFFICIAL AND STATEMENT OF VOTES CAST STATE OF CALIFORNIA ) ) ss. COUNTY OF SAN DIEGO ) The undersigned, ELECTION OFFICIAL OF THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, DOES HEREBY CERTIFY that pursuant to the provisions of Section 53326 of the Government Code and Division 12, commencing with Section 17000 of the Elections Code of the State of California, I did canvass the returns of the votes cast at the COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) SPECIAL ELECTION ANNEXATION NO. 2018-01 held on the election date established for each parcel located within the territory included in Annexation No. 2018-01. I FURTHER CERTIFY that this Statement of Votes Cast shows the whole number of votes cast in the area proposed to be annexed to Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) for or against the Measure are full, true and correct. VOTES CAST ON PROPOSITION 1:YES NO WITNESS my hand this day of , 2018. CITY CLERK ELECTION OFFICIAL CITY OF CHULA VISTA OF THE STATE OF CALIFORNIA 2018-12-11 Agenda Packet Page 52 B - 1 EXHIBIT B ANNEXATION MAP 2018-12-11 Agenda Packet Page 53 1 RESOLUTION NO. 2018 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-02, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) (Annexation No. 2018-02) WHEREAS, the City Council of the City of Chula Vista, California (the “City Council”) has previously formed Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) (“CFD No. 17-I”) pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), as amended, and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the “Ordinance”) (the Act and the Ordinance may be referred to collectively as the “Community Facilities District Law”) for the purpose of financing the payment of certain development impact fee obligations; and WHEREAS, acting pursuant to the Community Facilities District Law, the City Council also authorized by the adoption of Resolution No. 2016-051 (the “Resolution Authorizing Future Annexation”) the annexation in the future of territory to CFD No. 17-I, such territory designated as Future Annexation Area, Community Facilities District No. 17-I (the “Future Annexation Area”); and WHEREAS, the owner of that property located at 288 Center Street, 336 Church Avenue, 338 Church Avenue, and 342 Church Avenue which is within the Future Annexation Area made application pursuant to the Community Facilities District Law to annex such territory to CFD No. 17-I and such property has been designated as Annexation No. 2018-02 (the “Territory”); and WHEREAS, at this time the unanimous consent to the annexation of the Territory to CFD No. 17-I has been received from the property owner of the Territory, and WHEREAS, less than twelve (12) registered voters have resided within the territory of Territory for each of the ninety (90) days preceding the election date established for the Territory, therefore, pursuant to the Act the qualified elector of the Territory shall be the "landowner," as such term is defined in Government Code Section 53317(f), of such Territory and such landowner who is the owner of record as of the applicable election date, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of the parcel of land that landowner owns within such Territory; and WHEREAS, the time limit specified by the Act for conducting an election to submit the levy of the special taxes on the Territory to the qualified elector thereof and the requirements for 2018-12-11 Agenda Packet Page 54 2 impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified elector of the Territory; and WHEREAS, the City Clerk of the City of Chula Vista has caused a ballot to be distributed to the qualified elector of the Territory, has received and canvassed such ballot and made a report to the City Council regarding the results of such canvass, a copy of which is attached as Exhibit A hereto and incorporated herein by this reference; and WHEREAS, at this time the measure voted upon and such measure did receive the favorable vote of the qualified elector of the Territory, and the City Council desires to declare the results of the election; and WHEREAS, a map showing the Territory and designated as Annexation Map No. 2018- 02 (the “Annexation Map”), a copy of which is attached as Exhibit B hereto and incorporated herein by this reference, has been submitted to this legislative body. NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Chula Vista, California, acting as the legislative body of CFD No. 17-I, as follows: Section 1. Recitals. The above recitals are true and correct. Section 2. Findings. This legislative body does hereby further determine as follows: A. The unanimous consent as described in the recitals hereto to the annexation of the Territory to CFD No. 17-I has been given by the owner of the Territory and such consent shall be kept on file in the Office of the City Clerk of the City of Chula Vista. B. Less than twelve (12) registered voters have resided within the Territory for each of the ninety (90) days preceding the election date established for each of the parcels located within the Territory, therefore, pursuant to the Act the qualified elector for the Territory shall be the “landowner” of the Territory as such term is defined in Government Code Section 53317(f). C. The qualified elector of the Territory has voted in favor of the levy of special taxes on the Territory upon its annexation to CFD No. 17-I. Section 3. Territory. The boundaries and parcels of property within the Territory and on which special taxes will be levied in order to finance the payment of development impact fees which will pay for public facilities are shown on the Annexation Map as submitted to and hereby approved by this legislative body. Section 4. Declaration of Annexation. This legislative body does hereby determine and declare that the Territory, and each parcel therein, is now added to and becomes a part of CFD No. 17-I. The City Council, acting as the legislative body of CFD No. 17-I, is hereby empowered to levy the authorized special tax within the Territory. Section 5. Notice. Immediately upon adoption of this Resolution, notice shall be given as follows: 2018-12-11 Agenda Packet Page 55 3 A. A copy of the Annexation Map as approved shall be filed in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. B. An Amendment to the Notice of Special Tax Lien (Notice of Annexation) shall be recorded in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. Section 6. Effective Date. This Resolution shall become effective upon its adoption. PREPARED BY:APPROVED AS TO FORM BY: Eric Crockett, Director of Economic Development Glen R. Googins, City Attorney 2018-12-11 Agenda Packet Page 56 A - 1 EXHIBIT A CERTIFICATE OF ELECTION OFFICIAL AND STATEMENT OF VOTES CAST STATE OF CALIFORNIA ) ) ss. COUNTY OF SAN DIEGO ) The undersigned, ELECTION OFFICIAL OF THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, DOES HEREBY CERTIFY that pursuant to the provisions of Section 53326 of the Government Code and Division 12, commencing with Section 17000 of the Elections Code of the State of California, I did canvass the returns of the votes cast at the COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) SPECIAL ELECTION ANNEXATION NO. 2018-02 held on the election date established for each parcel located within the territory included in Annexation No. 2018-02. I FURTHER CERTIFY that this Statement of Votes Cast shows the whole number of votes cast in the area proposed to be annexed to Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) for or against the Measure are full, true and correct. VOTES CAST ON PROPOSITION 1:YES NO WITNESS my hand this day of , 2018. CITY CLERK ELECTION OFFICIAL CITY OF CHULA VISTA OF THE STATE OF CALIFORNIA 2018-12-11 Agenda Packet Page 57 B - 1 EXHIBIT B ANNEXATION MAP 2018-12-11 Agenda Packet Page 58 1 RESOLUTION NO. 2018 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), CERTIFYING THE RESULTS OF A SPECIAL ELECTION IN THAT TERRITORY DESIGNATED AS COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM), ANNEXATION NO. 2018-03, AND ADDING SUCH TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) (Annexation No. 2018-03) WHEREAS, the City Council of the City of Chula Vista, California (the “City Council”) has previously formed Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) (“CFD No. 17-I”) pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”), as amended, and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the “Ordinance”) (the Act and the Ordinance may be referred to collectively as the “Community Facilities District Law”) for the purpose of financing the payment of certain development impact fee obligations; and WHEREAS, acting pursuant to the Community Facilities District Law, the City Council also authorized by the adoption of Resolution No. 2016-051 (the “Resolution Authorizing Future Annexation”) the annexation in the future of territory to CFD No. 17-I, such territory designated as Future Annexation Area, Community Facilities District No. 17-I (the “Future Annexation Area”); and WHEREAS, the owner of that property located at 230 Church Avenue which is within the Future Annexation Area made application pursuant to the Community Facilities District Law to annex such territory to CFD No. 17-I and such property has been designated as Annexation No. 2018-03 (the “Territory”); and WHEREAS, at this time the unanimous consent to the annexation of the Territory to CFD No. 17-I has been received from the property owner of the Territory, and WHEREAS, less than twelve (12) registered voters have resided within the territory of Territory for each of the ninety (90) days preceding the election date established for the Territory, therefore, pursuant to the Act the qualified elector of the Territory shall be the "landowner," as such term is defined in Government Code Section 53317(f), of such Territory and such landowner who is the owner of record as of the applicable election date, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of the parcel of land that landowner owns within such Territory; and WHEREAS, the time limit specified by the Act for conducting an election to submit the levy of the special taxes on the Territory to the qualified elector thereof and the requirements for 2018-12-11 Agenda Packet Page 59 2 impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified elector of the Territory; and WHEREAS, the City Clerk of the City of Chula Vista has caused a ballot to be distributed to the qualified elector of the Territory, has received and canvassed such ballot and made a report to the City Council regarding the results of such canvass, a copy of which is attached as Exhibit A hereto and incorporated herein by this reference; and WHEREAS, at this time the measure voted upon and such measure did receive the favorable vote of the qualified elector of the Territory, and the City Council desires to declare the results of the election; and WHEREAS, a map showing the Territory and designated as Annexation Map No. 2018- 03 (the “Annexation Map”), a copy of which is attached as Exhibit B hereto and incorporated herein by this reference, has been submitted to this legislative body. NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Chula Vista, California, acting as the legislative body of CFD No. 17-I, as follows: Section 1. Recitals. The above recitals are true and correct. Section 2. Findings. This legislative body does hereby further determine as follows: A. The unanimous consent as described in the recitals hereto to the annexation of the Territory to CFD No. 17-I has been given by the owner of the Territory and such consent shall be kept on file in the Office of the City Clerk of the City of Chula Vista. B. Less than twelve (12) registered voters have resided within the Territory for each of the ninety (90) days preceding the election date established for each of the parcels located within the Territory, therefore, pursuant to the Act the qualified elector for the Territory shall be the “landowner” of the Territory as such term is defined in Government Code Section 53317(f). C. The qualified elector of the Territory has voted in favor of the levy of special taxes on the Territory upon its annexation to CFD No. 17-I. Section 3. Territory. The boundaries and parcels of property within the Territory and on which special taxes will be levied in order to finance the payment of development impact fees which will pay for public facilities are shown on the Annexation Map as submitted to and hereby approved by this legislative body. Section 4. Declaration of Annexation. This legislative body does hereby determine and declare that the Territory, and each parcel therein, is now added to and becomes a part of CFD No. 17-I. The City Council, acting as the legislative body of CFD No. 17-I, is hereby empowered to levy the authorized special tax within the Territory. Section 5. Notice. Immediately upon adoption of this Resolution, notice shall be given as follows: 2018-12-11 Agenda Packet Page 60 3 A. A copy of the Annexation Map as approved shall be filed in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. B. An Amendment to the Notice of Special Tax Lien (Notice of Annexation) shall be recorded in the Office of the County Recorder no later than fifteen (15) days after the date of adoption of this Resolution. Section 6. Effective Date. This Resolution shall become effective upon its adoption. PREPARED BY:APPROVED AS TO FORM BY: Eric Crockett, Director of Economic Development Glen R. Googins, City Attorney 2018-12-11 Agenda Packet Page 61 A - 1 EXHIBIT A CERTIFICATE OF ELECTION OFFICIAL AND STATEMENT OF VOTES CAST STATE OF CALIFORNIA ) ) ss. COUNTY OF SAN DIEGO ) The undersigned, ELECTION OFFICIAL OF THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, DOES HEREBY CERTIFY that pursuant to the provisions of Section 53326 of the Government Code and Division 12, commencing with Section 17000 of the Elections Code of the State of California, I did canvass the returns of the votes cast at the COMMUNITY FACILITIES DISTRICT NO. 17-I (WESTERN CHULA VISTA DIF FINANCING PROGRAM) SPECIAL ELECTION ANNEXATION NO. 2018-03 held on the election date established for each parcel located within the territory included in Annexation No. 2018-03. I FURTHER CERTIFY that this Statement of Votes Cast shows the whole number of votes cast in the area proposed to be annexed to Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) for or against the Measure are full, true and correct. VOTES CAST ON PROPOSITION 1:YES NO WITNESS my hand this day of , 2018. CITY CLERK ELECTION OFFICIAL CITY OF CHULA VISTA OF THE STATE OF CALIFORNIA 2018-12-11 Agenda Packet Page 62 B - 1 EXHIBIT B ANNEXATION MAP 2018-12-11 Agenda Packet Page 63 1 RateandMethodof ApportionmentofSpecialTax CommunityFacilitiesDistrictNo.17-I (WesternChulaVistaDIFFinancing) A Special Tax shallbe levied oneachAssessor’sParcelofTaxablePropertywithintheboundariesof CommunityFacilitiesDistrict No. 17-I(Western Chula Vista DIFFinancing)oftheCityofChulaVista (the “City”) and collected each FY commencing in Special Tax Commencement FY applicable to such Assessor’s Parcel,inanamountdeterminedbytheCFDAdministratorthroughtheapplication of the procedures described below.All of the realproperty within CFDNo.17-I, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided. 1.DEFINITIONS The terms hereinafter set forth have the followingmeanings: “Accrued InterestObligation”meansforeachAssessor’sParcel,theamountofinterestaccruedon the DeferredDIF Obligationfromthe dateoftheissuanceorgrantofaCertificateofOccupancyfor such property as determined in accordance withSection 3.D below. “Acre”or“Acreage”meanstheland areaofan Assessor’sParcelasshownonanAssessor'sParcel Map,or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable Final Map. An Acre means 43,560 square feet of land. “Act”means the Mello-Roos CommunityFacilitiesAct of 1982, as amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California. “Annual Special Tax”means the Special Tax actually levied in any FY on any Assessor’s Parcel which is equal to the sum of the Annual Special Tax for Facilities and the Annual Special Tax for Accrued Interest in accordance with Section 3.E below. “Annual Special Tax for Facilities”means the amount of the Special Tax levied on an Assessor’s Parcel of Developed Property in any FY, commencingwith the Special TaxCommencementFY,to satisfythe repayment of the Deferred DIF Obligation over the term of the SpecialTax as setforth in Section 7 determined in accordancewith Section 3.E belowunless the SpecialTax Obligation is prepaid pursuant to the provisions of Section 6 thereto. “Annual Special Tax for Accrued Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyin anyFY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe repayment of the Accrued Interest Obligation over the term of the Special Tax as set forth in Section 7 determined in accordance with Section 3.E below unless the Special Tax Obligation is 2018-12-11 Agenda Packet Page 64 2 prepaid pursuant to the provisions of Section 6 thereto.. “Annual Special Tax for Current Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyinany FY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe requirement to pay interest on unpaid deferred fees during the 20-year repayment period commencing with the Special Tax Commencement FY and ending on June 30th of the SpecialTax Final Year. “Assessor”means the Assessor of the County of San Diego. “Assessor's Parcel”means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor'sParcelNumber. “Assessor's Parcel Map” means an official map of the Assessor designating parcels by Assessor’s Parcel Number. “Assessor's Parcel Number”means the number assigned to an Assessor'sParcel by the Assessor for purposesof identification. “Assigned Special Tax Obligation”means for each Assessor’s Parcel, the amount determined in accordance with Section 3.Bbelow. “BuildingPermit”meansa building permit issuedbytheCityforconstructionofaResidentialUnit or Non-Residential Property located within CFD No. 17-I. “BuildingSquareFootage”meansall ofthe square footageofusableareawithintheperimeterof a residentialstructure,not includinganycarport,walkway,garage,overhang, or similar area. The determination of Building Square Footage shall be made by reference to the Building Permit(s) issued for such Assessor’s Parcel and/or by reference to appropriate records kept by the City. “Certificate of Occupancy”means a certificate issued or approval granted by the City, or other applicable government entity, that authorizes the actual occupancy of a Residential Unit for habitation by one or more residentsor the occupancyof Non-Residential Property. “CFD Administrator”means an authorized representative of the City, or designee thereof, responsible for determining the Assigned Special Tax Obligation and the Annual Special Tax, for preparing the Annual Special Tax roll and/or calculating the Backup Special Tax. “CFD No. 17-I”meansthe Cityof ChulaVista CommunityFacilitiesDistrictNo.17-I(WesternChula Vista DIF Financing). “City” means the City of Chula Vista, California. “Council”means the City Council of the City acting as the legislative body of CFD No. 17-I under the Act. “County” means the County of San Diego, California. “Deferred DIF Obligation”means for each Assessor’s Parcel, the remaining balance of DIFs that have been deferred on such Assessor’s Parcel since Building Permit issuance as determined in accordance with Section 3.Cbelow. 2018-12-11 Agenda Packet Page 65 3 “Developed Property”means for each FY, all Taxable Property for which a Building Permit was issued priortoMay1oftheprevious FY.AnAssessor’sParcelclassified asDevelopedPropertybut for which the Building Permit that caused such Assessor’s Parcel to be classified as Developed Propertyhasbeen cancelled and/orvoided prior to the FYforwhich SpecialTaxesarebeinglevied shallbe reclassified as Undeveloped Property. “DIF Deferral Agreement”means, as to an Assessor’s Parcel, the Agreement for Deferral of Development Impact Fees by and between the owner of such Assessor’s Parcel and the City. “DIF”or “DIFs”shall, as to an Assessor’s Parcel, have the meaning given such terms in the DIF Deferral Agreement applicable to such Assessor’s Parcel. “Effective Date”shall mean, as to each DIF Deferral Agreement, the effective date of such agreement asspecified therein. “Exempt Property”means for each FY, all Assessor’s Parcels designated as being exempt from Special Taxes pursuant to Section 8 below. “FinalMap”meansa subdivisionofpropertybyrecordation ofafinal map,parcelmap,orlot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 4285 that creates individual lots for which BuildingPermits may be issued without further subdivision. “Fiscal Year” or “FY”means the period starting on July 1 and ending the following June 30. “Initial FiscalYear”means,asto anyAssessor’s ParcelsubjecttoaDIFDeferralAgreement,theFY in which the Effective Date of suchDIF Deferral Agreement falls. “Initial Interest AccrualDate”shallmean, asto anyAssessor’s Parcel of Developed Property,the date on which the Certificate of Occupancy for such Assessor’s Parcel is issued. “Initial Accrued Interest Obligation FY”shall mean, as to any Assessor’s Parcel of Developed Property,the FY in which the Initial Interest Accrual Date for such Assessor’s Parcel falls. “Maximum Special Tax Obligation”means for each Assessor’s Parcel, the amount assigned in accordance withSections3.A below. “Non-Residential Property”means all Assessor’s Parcels of Developed Property for which a building permit has been issued for the purpose of constructing one or more non-residential structures or facilities. “Original Parcel”means an Assessor’s Parcel within the boundaries of CFD No. 17-I that was assigned aMaximumSpecialTaxObligationand anAssigned SpecialTaxObligationinthe prior FY but has been subsequently subdivided into Successor Parcels for the current FY. “PrepaymentAmount”means the amountrequiredtoprepaytheAnnualSpecialTaxobligationin full for an Assessor’s Parcel as described in Section 6.A below. “Public Property”meansanypropertywithintheboundaries ofCFDNo.17-I,whichisownedby, or irrevocably offered for dedication to the federal government, the State of California, the County, the City or any other public agency; provided however that any property owned by a 2018-12-11 Agenda Packet Page 66 4 public agencyand leased to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use. “Residential Property”means all Assessor’s Parcels of Developed Property for which a Building Permit has been issued for the purpose of constructing one or more Residential Units. “Residential Unit”means each separate residentialdwelling unit that comprises an independent facility capable of conveyance or rental, separate from adjacent residential dwelling units. “Special Tax”means any special tax levied within CFD No. 17-I pursuant to the Act and this Rate and Method of Apportionment of Special Tax. “SpecialTaxCommencement FY”shallmean,astoeachAssessor’sParcelclassifiedasDeveloped Property,theFYfallingafterthefirstdayoftheeleventhcalendaryearafterthedate of the issuance of the Certificate of Occupancy applicable to such Assessor’s Parcel. “Special Tax Final FY”shall mean, as to each Assessor’s Parcel of Developed Property, the FY commencing on July 1 of nineteenth (19th) FY following the Special Tax Commencement FY. “SpecialTaxObligation”meansthe total obligation of an Assessor’sParcelofDevelopedProperty to pay the Special Tax for the remaining term of the Special Tax applicable to such Assessor’s Parcel. “SuccessorParcel”meansan Assessor’sParcelcreatedbythe Subdivision ofoneor moreOriginal Parcels pursuant to Section 4 below. “State”means the State of California. “Taxable Property”means all of the Assessor's Parcels within the boundaries of CFD No. 17-I, which are not exempt from the levy of the Special Tax pursuant to law or Section 8 below. “Undeveloped Property”means, for each FY, all Taxable Property not classified as Developed Property. 2.LANDUSECLASSIFICATION Each FY,beginning with FY 2016-17,eachAssessor’sParcelwithinCFDNo.17-Ishallbeclassifiedas Taxable Propertyor Exempt Property.In addition, allTaxablePropertyshallfurtherbeclassifiedas Developed PropertyorUndevelopedProperty,andallsuchTaxablePropertyshallbesubjecttothe levy of Special Taxes in accordance with this Rate and Method of Apportionment of Special Tax determined pursuant to Sections 3 and 4 below. 3.SPECIALTAXRATES A.MaximumSpecialTaxObligation 2018-12-11 Agenda Packet Page 67 5 The Maximum Special Tax Obligation applicable to an Assessor's Parcel subject to a DIF Deferral Agreement in the Initial FY applicable to such Assessor’s Parcel shall be determined pursuant to Table 1 below. Table1 Initial FY Maximum Special Tax Obligation Assessor’s Parcel No 1. Maximum Special Tax Obligation 567-032-18-00 567-032-19-00 567-032-20-00 $525,385.00 $305,291.29 $376,289.26 The Maximum Special Tax Obligation applicable to an Assessor’s Parcel subject to a DIF Deferral Agreementshallbesubjectto escalation by theincreaseinanyDIFincludedinthe Deferred DIF Obligationbetween amountofsuchDIFineffectontheEffectiveDateofsuch DIF DeferralAgreementandthe amountofsuchDIFineffectonthedateofissuanceofthe first Building Permit for development of such Assessor’s Parcel. Commencing on July 1 of the FY followingthe Initial Interest Accrual Date, the Maximum Special Tax Obligation for such Assessor’s Parcel shall increase on July 1 of each FY by an amount equal to two percent (2%)of the Maximum Special Tax Obligation in effect for the prior FY. B.Assigned SpecialTaxObligation On July 1 of each FY commencingthe Special Tax Commencement FY, the CFD Administrator shall determine the Assigned Special Tax Obligation for that FY. The Assigned Special Tax Obligation in any given FY commencing the Special Tax CommencementFY shallbe the sum of the Deferred DIF Obligation plus the Accrued Interest Obligation. If for any FY the Assigned Special Tax Obligation is determined to be greater than the Maximum Special Tax Obligation, then the Assigned Special Tax Obligation shall be equal to the Maximum Special Tax Obligation. C.Deferred DIFObligation The Deferred DIF Obligation applicable to an Assessor’s Parcel classified as Undeveloped Property shallbe zero. The initial Deferred DIF Obligation applicable to an Assessor's Parcel classified as Developed Propertyshallbedeterminedbythe CFDAdministratoratthe timeofissuance of a Building Permit for such Assessor’s Parcel. The Deferred DIF Obligation shallbe equal 1 The Owner of the three Assessor’s Parcels proposes to combine them into a single Assessor’s Parcel. Assuming that the proposed combination is completed, then the Initial FY Maximum Special Tax Obligation for the combined Assessor’s Parcel would be $1,206,965.55. 2018-12-11 Agenda Packet Page 68 6 to thesumofthe applicableDIFsspecified intheDIF DeferralAgreement foreachBuilding Permit issuedforAssessor’s ParcelswithinCFDNo.17-I.The amountofeachDIF specified in the DIF Deferral Agreement for an Assessor’s Parcel shall be based on the fee schedule applicable to such DIF in effect at the time of issuance of such Building Permit. 2018-12-11 Agenda Packet Page 69 7 The Deferred DIF Obligation in any FY applicable to an Assessor’s Parcel of Developed Property shall be equal to the Deferred DIF Obligation in the prior FY less any Annual Special Tax for Facilities payments made in the prior FY. If apartialprepayment ismadepursuanttoSection 6.Bbelow,theDeferredDIFObligation will also be reduced by the applicable amount of the Deferred DIF Obligation that was prepaid. D.AccruedInterestObligation TheAccrued InterestObligation inthe Initial FY andeachsubsequentFYprior tothe Initial Accrued Interest Obligation FY applicable to an Assessor’s Parcel classified as Developed PropertyforwhichaCertificateofOccupancyhasnot beenissuedpriortoJuly1ofsuchFY shall be zero. The Accrued Interest Obligation applicable toanyAssessor’sParcelclassifiedasDeveloped Property shall commence to accrue on the Initial Interest Accrual Date. The Accrued Interest Obligation applicable to such Assessor’s Parcel in the Initial Accrued Interest ObligationFYshall beequaltotwopercent(2%)oftheDeferred DIF Obligation asof July1 of such FY multipliedbyafraction thenumerator of which isthe numberof calendardays from and including the Initial Interest Accrual Date to and including June 30th of such FY and the denominator ofwhichis365. TheAccruedInterestObligationforeachsubsequent FY prior to the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation in the prior FYplustwo percent (2%)ofthe Deferred DIF Obligationas of July1 of the prior FY. The AccruedInterestObligationintheSpecialTaxCommencementFYandeachsubsequent FYapplicabletoan Assessor’sParcelclassifiedasDeveloped Propertyshallbeequaltothe Accrued Interest Obligation as of July 1 of the prior FY less any Annual Special Tax for Accrued Interest payments made in the prior FY. If apartialprepayment ismadepursuant toSection6.Bbelow,theDeferredDIFObligation willalso be reduced by the applicable amount of the Accrued InterestObligationthat was prepaid. E.Annual SpecialTax The Annual Special Tax for Developed Property in any FY commencing the Special Tax Commencement FY shall be equal to (i) the Annual Special Tax for Facilities plus (ii) the AnnualSpecialTaxforAccruedInterestplus(iii)theAnnualSpecialTaxforCurrentInterest. The Annual SpecialTaxfor FacilitiesinanyFYcommencingtheSpecialTaxCommencement FY shall be equal to the Deferred DIF Obligation on July 1 of the Special Tax CommencementFYtimes the RepaymentRate specifiedinTable2belowthatcorresponds with such FY. In each subsequent FY, the Annual Special Tax for Facilities will remain unchanged until the Deferred DIF Obligation is paid in full. 2018-12-11 Agenda Packet Page 70 8 The Annual Special Tax for Accrued Interest in any FY commencing the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation on July 1 of the Special Tax Commencement FY times the Repayment Rate specified in Table 2 below that corresponds with such FY. In each subsequent FY, the Annual Special Tax for Accrued Interest willremain unchanged until the Accrued Interest Obligation is paid in full. The Annual Special Tax for Current Interest in any FY commencing the Special Tax CommencementFYshallbe equaltothe DeferredDIF ObligationonJuly1ofsuchFYtimes the Current Interest Rate in Table 2 below that corresponds withsuch FY. Table2 AmortizationTable Fiscal Year RepaymentRate CurrentInterest Rate Initial Accrued Interest Obligation FY through the FY preceding the Special TaxCommencement FY 0%0% Special TaxCommencement FY through the Special Tax Final FY 5%2% 4.METHODOFAPPORTIONMENT Commencing with the Special Tax Commencement FY and for each following FY, the CFD Administrator shall apportion the Assigned Special Tax Obligation as set forth below. First:All OriginalParcelsthat arereflectedontheAssessor’s ParcelMapsapplicabletothecurrent FY will be assigned a Maximum Special Tax Obligation and Assigned Special Tax Obligation in accordance withSection 3 above. Second: All OriginalParcelsthat are not reflectedon the Assessor’sParcelMapsapplicabletothe currentFY willbe assigneda Maximum SpecialTaxObligationandAssignedSpecialTaxObligation in accordance with Section 3 above as if suchparcels stillexisted in their previous form. Third: The Maximum Special Tax Obligation and Assigned Special Tax Obligation that were calculated inthe Secondstepabovewillbeassigned toeachapplicableSuccessorParcelbasedon the amount of Taxable Acreage contained in such Successor Parcel divided by the amount of Taxable Acreage contained in the relevant Original Parcel. The sum of the Maximum Special Tax Obligations ofeachgroup ofSuccessorParcelsshallbeequaltoMaximumSpecialTaxObligationof the applicable Original Parcel that was determined in the Second step. Likewise, the sum of the Assigned Special Tax Obligations of each group of Successor Parcels shall be equal to Assigned Special Tax Obligation of the applicable Original Parcel that wasdetermined in the Second step. 2018-12-11 Agenda Packet Page 71 9 Fourth: TheSpecialTaxshallbeleviedoneachAssessor’sParcelofDevelopedPropertyat100%of the applicable Annual Special Tax. SuccessorParcelsthat are assigned aMaximum SpecialTaxObligationandanAssignedSpecialTax Obligation in the current FY willbe considered Original Parcels in the following FY. 5.COLLECTIONOFSPECIALTAXES Collection of the Annual Special Tax shallbe made by the Countyinthe samemanner asordinary ad valorem property taxes are collected and the Annual Special Tax shall be subject to the same penalties and the same lien priority in the case of delinquency as ad valorem taxes; provided, however, that the Council may provide for (i)other means of collectingthe Special Tax, including direct billings thereof to the property owners; and (ii) judicial foreclosure of delinquent Annual Special Taxes. 6.PREPAYMENTOFSPECIALTAXOBLIGATION A.Prepaymentin Full PropertyownersmayprepayandpermanentlysatisfytheSpecialTaxObligationbyacash settlement withthe Cityas permitted under Government CodeSection 53344. The Special Tax Obligation applicable to an Assessor’s Parcel of Developed Property, or Undeveloped Propertyforwhich a BuildingPermithasbeenissuedmaybeprepaidandthe obligation to pay the Special Tax for such Assessor’s Parcel permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor’s Parcel only if there are no delinquent Special Taxes with respect to such Assessor’s Parcel at the time of prepayment. An owner of an Assessor’s Parcel eligible to prepay the Special Tax Obligation shallprovide the CFD Administrator with written notice of intent toprepay, anddesignateoridentifythecompanyoragencythatwillbeactingas the escrowagent, if any.The CFD Administrator shallprovide theownerwithastatement of the Prepayment AmountforsuchAssessor’sParcelwithinthirty(30)daysoftherequest, and may charge a reasonable fee for providing this service. The Prepayment Amount (defined below) shall be calculated for each applicable Assessor’s Parcel or group of Assessor’s Parcels assummarizedbelow (capitalized terms as defined below): Deferred DIF Obligation plus Accrued Interest Obligation plus Prepayment Administrative Feesand Expenses Total: equals PrepaymentAmount As of the proposed date of prepayment, the Prepayment Amount (defined in Step 14 below)shall be calculated as follows: 2018-12-11 Agenda Packet Page 72 10 StepNo.: 1. Confirm that no Special Tax delinquencies apply to such Assessor’s Parcel. 2.For Assessor’s Parcels of Developed Property, determine the Deferred DIF Obligation and the Accrued Interest Obligation. For Assessor’s Parcels of Undeveloped Property for which a Building Permit has been issued, compute the Deferred DIF Obligation for that Assessor’s Parcel as though it wasalready designated as Developed Property, based upon the Building Permit which has already been issued for that Assessor’s Parcel. 3.Calculate the administrative fees and expensesof CFD No. 17-I, including the costs of computation of the prepayment and the costs of recording any notices to evidence the prepayment and the redemption (the “Prepayment Administrative Fees”). 4.The amount to prepay the Special Tax Obligation is equal to the sum of the amounts computed pursuant to paragraphs 1, 2 and 3 (the “Prepayment Amount”). The CFD Administrator will confirm that all previously levied Special Taxes have been paid in full. With respect to any Assessor's Parcel for which the Special Tax Obligation is prepaid in full, once the CFD Administrator has confirmed that all previously levied Special Taxes have been paid, the Council shall cause a notice of cancellation of Special Tax lien to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax and the release of the Special Tax lien onsuchAssessor’sParcel,andthe obligation oftheownerofsuchAssessor'sParcel to pay the Special Tax shall cease. B.PartialPrepayment The SpecialTaxonanAssessor’sParcelofDevelopedPropertyorUndevelopedPropertyfor which a building permit has been issued may be partially prepaid. The amount of the prepayment shallbe calculatedasinSection 6.A,exceptthat apartialprepaymentshallbe calculated according to the following formula: PP = (PE-A) x F+A These terms have the followingmeaning: PP = the partial prepayment PE = the Prepayment Amount calculated accordingto Section 6.A F = the percentage by which the owner of the Assessor’s Parcel(s) is partially prepaying the Special Tax Obligation A = the Prepayment Administrative Feesand Expensesfrom Section 6.A The owner of any Assessor’s Parcel who desires such partial prepayment shall notify the CFDAdministratorof(i)suchowner’sintenttopartiallyprepaytheSpecialTaxObligation, (ii)the percentage by which the Special Tax Obligation shall be prepaid, and (iii) the 2018-12-11 Agenda Packet Page 73 11 company or agency that will be acting as the escrow agent, if any. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax Obligation for an Assessor’sParcel within sixty(60)daysof the request and may charge a reasonable fee for providing this service. With respect to any Assessor’s Parcel that is partially prepaid, the City shall (i) distribute the fundsremitted to itaccordingtoSection 6.A.,and (ii)indicateintherecordsofCFDNo. 17-I that there has been a partial prepayment of the Special Tax Obligation and that the remaining Special Tax Obligation of such Assessor’s Parcel, equal to the outstanding percentage (1.00 - F) of the Deferred DIF Obligation and the Accrued Interest Obligation, shall continue to be levied on such Assessor’s Parcel in the same manner as before the Partial Prepayment. 7.TERMOFSPECIALTAX The Special Tax shall be levied as long as necessary to satisfy the Assigned Special Tax Obligation for a period not to exceed thirty (30) FYs commencing with Special Tax Commencement FY, provided however that the Special Tax will cease to be levied in an earlier FY if the CFD Administrator has determined that all CFD No.17-I obligations have been satisfied. 8.EXEMPTIONS TheCFDAdministratorshallclassifyonlyAssessor’sParcelsofPublicPropertyasExemptProperty (i) Assessor’s Parcels of Public Property. If the use of an Assessor’s Parcel of Exempt Property changes so that suchAssessor’s Parcel isno longer classified as Public Property, per the first paragraph of Section 8 above such Assessor’s ParcelshallceasetobeclassifiedasExemptPropertyandshallbedeemedtobeTaxableProperty. 9.APPEALS Anylandownerwhopaysthe SpecialTaxandclaimsthe amountofthe SpecialTaxlevied onhisor her Assessor’s Parcelisinerrorshallfirstconsultwiththe CFDAdministratorregardingsucherror not later than thirty-six (36) months after first having paid the first installment of the Special Tax that isdisputed. Iffollowingsuchconsultation the CFDAdministratordeterminesthatanerrorhas occurred,then the CFD Administratorshalltakeany ofthefollowingactions,inorderofpriority,in order to correct the error: (i) AmendtheSpecialTaxlevyonthelandowner’sAssessor’sParcel(s)forthecurrent FY prior to the payment date, (ii) Require theCFDtoreimbursethelandownerfortheamountoftheoverpaymentto the extent of available CFD funds,or (iii) Grant a credit against, eliminate or reduce the future Special Taxes on the landowner’s Assessor’s Parcel(s) in the amount of the overpayment. If following such consultation and action by the CFD Administrator the landowner believes such error still exists, such person may file a written notice of appeal with the City Council. Upon the receipt of such notice, the City Council or designee may establish such procedures as deemed 2018-12-11 Agenda Packet Page 74 12 necessaryto undertakethe reviewof anysuchappeal. IftheCityCouncilordesigneedetermines an errorstillexists,theCFDAdministratorshalltakeanyoftheactionsdescribedas(i),(ii)and(iii) above,in order of priority, in order to correct the error. The City Council or designee thereof shall interpret this Rate and Method of Apportionment of Special Tax for purposes of clarifying any ambiguities and make determinations relative to the administration of the Special Tax and any landowner appeals. The decision of the City Council or designee shall be final. 2018-12-11 Agenda Packet Page 75 BROADWAYDAVIDSON ST ANNEXATION MAP NO. 2018-01COMMUNITY FACILITIES DISTRICT NO. 17-I(WESTERN CHULA VISTA DIF FINANCING PROGRAM) PARCEL ONE SHEET 1 OF 1 SHEETS APN: 567-032-18-00AREA = .74 ACRES PARCEL TWO APN: 567-032-19-00AREA = .43 ACRES PARCEL THREE APN: 567-032-20-00AREA = .53 ACRES LEGAL DESCRIPTION CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, CA PARCEL ONE:APN 567-032-18-00The Northerly 90 feet of the Easterly 310 feet of the Northerly half of the Northerly half of the Southeasterly Quarter of the Northeasterly Quarter of Quarter Section 162 of the Rancho De La Nacion, according to Map thereof No. 166, filed in the Office of the Recorder of said San Diego County, May 11,1869; the Easterly 60 feet of the described property lying within National Avenue. PARCEL TWO:APN 567-032-19-00All of the Easterly 310 feet of the Northerly Half of the Northerly Half of the Southeasterly Quarter of the Northeasterly Quarter of Quarter Section 162 of Rancho De La Nacion, in the City of Chula Vista, County of San Diego, State of California, according to Map thereof No. 166, filed in the Office of the County Recorder of San Diego County, May 11, 1869. Excepting therefrom the Northerly 90 feet thereof. PARCEL THREE:APN 567-032-20-00The of Easterly 200 feet of the Southerly Half of the Northerly Half of the Southeasterly Quarter of the Northeasterly Quarter of Quarter Section 162 of Rancho De La Nacion, City of Chula Vista, County of San Diego, State of California, according to Map thereof No. 166, filed in the Office of the County Recorder of San Diego County May 11, 1869. Exceptingthe Southerly 6 feet thereof. __________________________________________COUNTY RECORDERCOUNTY OF SAN DIEGOSTATE OF CALIFORNIA CERTIFICATES Filed in the Office of the City Clerk of the City of Chula Vista, California this _______ day ___________, 20__. __________________________________________CITY CLERKCITY OF CHULA VISTASTATE OF CALIFORNIA I hereby certify that the within Annexation Map showing boundaries of territory annexed to Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) of the City of Chula Vista, County of San Diego, State of California, was approved by the City Council of the City of Chula Vista at a regular meeting thereof, held on the ________ day of ___________,20__, by its Resolution No. _________. This Annexation Map amends the boundary map for City of Chula Vista Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program), County of San Diego, State of California, previously recorded as Document No. 2016-7000074 in Book 45, Page 26 of Maps of Assessment and Community Facilities Districts in the office of the County Recorder for the County of San Diego, California. __________________________________________CITY CLERKCITY OF CHULA VISTASTATE OF CALIFORNIA Filed this ______ day of ___________, 20__ at the hour of _____ o'clock__.M. in Book _______ of Maps of Assessment and Community Facilities Districts in the Office of the County Recorder in the County of San Diego, California.§ 0 40 80 120Feet SCALE: 1" = 40' E ST FOURTH AVBROADWAYFIFTH AV F ST H ST G ST D ST B A Y BLLAGOON D R LEGEND Indicates Boundary Of Property To Be Annexed Indicates Parcel Boundaries Indicates Street Centerline LEGAL DESCRIPTION Boundary of property to be annexed lies within City of Chula VistaCommunity Facilities District No. 17-1 (Western Chula Vista DIFFinancing Program) APN: 567-032-18-00, 567-032-19-00, and 567-032-20-00¥¦5 VICINITY MAP N 2018-12-11 Agenda Packet Page 76 1 RateandMethodof ApportionmentofSpecialTax CommunityFacilitiesDistrictNo.17-I (WesternChulaVistaDIFFinancing) A Special Tax shallbe levied oneachAssessor’sParcelofTaxablePropertywithintheboundariesof CommunityFacilitiesDistrict No. 17-I(Western Chula Vista DIFFinancing)oftheCityofChulaVista (the “City”) and collected each FY commencing in Special Tax Commencement FY applicable to such Assessor’s Parcel,inanamountdeterminedbytheCFDAdministratorthroughtheapplication of the procedures described below.All of the realproperty within CFDNo.17-I, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided. 1.DEFINITIONS The terms hereinafter set forth have the followingmeanings: “Accrued InterestObligation”meansforeachAssessor’sParcel,theamountofinterestaccruedon the DeferredDIF Obligationfromthe dateoftheissuanceorgrantofaCertificateofOccupancyfor such property as determined in accordance withSection 3.D below. “Acre”or“Acreage”meanstheland areaofan Assessor’sParcelasshownonanAssessor'sParcel Map,or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable Final Map. An Acre means 43,560 square feet of land. “Act”means the Mello-Roos CommunityFacilitiesAct of 1982, as amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California. “Annual Special Tax”means the Special Tax actually levied in any FY on any Assessor’s Parcel which is equal to the sum of the Annual Special Tax for Facilities and the Annual Special Tax for Accrued Interest in accordance with Section 3.E below. “Annual Special Tax for Facilities”means the amount of the Special Tax levied on an Assessor’s Parcel of Developed Property in any FY, commencingwith the Special TaxCommencementFY,to satisfythe repayment of the Deferred DIF Obligation over the term of the SpecialTax as setforth in Section 7 determined in accordancewith Section 3.E belowunless the SpecialTax Obligation is prepaid pursuant to the provisions of Section 6 thereto. “Annual Special Tax for Accrued Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyin anyFY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe repayment of the Accrued Interest Obligation over the term of the Special Tax as set forth in Section 7 determined in accordance with Section 3.E below unless the Special Tax Obligation is 2018-12-11 Agenda Packet Page 77 2 prepaid pursuant to the provisions of Section 6 thereto.. “Annual Special Tax for Current Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyinany FY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe requirement to pay interest on unpaid deferred fees during the 20-year repayment period commencing with the Special Tax Commencement FY and ending on June 30th of the SpecialTax Final Year. “Assessor”means the Assessor of the County of San Diego. “Assessor's Parcel”means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor'sParcelNumber. “Assessor's Parcel Map” means an official map of the Assessor designating parcels by Assessor’s Parcel Number. “Assessor's Parcel Number”means the number assigned to an Assessor'sParcel by the Assessor for purposesof identification. “Assigned Special Tax Obligation”means for each Assessor’s Parcel, the amount determined in accordance with Section 3.Bbelow. “BuildingPermit”meansa building permit issuedbytheCityforconstructionofaResidentialUnit or Non-Residential Property located within CFD No. 17-I. “BuildingSquareFootage”meansall ofthe square footageofusableareawithintheperimeterof a residentialstructure,not includinganycarport,walkway,garage,overhang, or similar area. The determination of Building Square Footage shall be made by reference to the Building Permit(s) issued for such Assessor’s Parcel and/or by reference to appropriate records kept by the City. “Certificate of Occupancy”means a certificate issued or approval granted by the City, or other applicable government entity, that authorizes the actual occupancy of a Residential Unit for habitation by one or more residentsor the occupancyof Non-Residential Property. “CFD Administrator”means an authorized representative of the City, or designee thereof, responsible for determining the Assigned Special Tax Obligation and the Annual Special Tax, for preparing the Annual Special Tax roll and/or calculating the Backup Special Tax. “CFD No. 17-I”meansthe Cityof ChulaVista CommunityFacilitiesDistrictNo.17-I(WesternChula Vista DIF Financing). “City” means the City of Chula Vista, California. “Council”means the City Council of the City acting as the legislative body of CFD No. 17-I under the Act. “County” means the County of San Diego, California. “Deferred DIF Obligation”means for each Assessor’s Parcel, the remaining balance of DIFs that have been deferred on such Assessor’s Parcel since Building Permit issuance as determined in accordance with Section 3.Cbelow. 2018-12-11 Agenda Packet Page 78 3 “Developed Property”means for each FY, all Taxable Property for which a Building Permit was issued priortoMay1oftheprevious FY.AnAssessor’sParcelclassified asDevelopedPropertybut for which the Building Permit that caused such Assessor’s Parcel to be classified as Developed Propertyhasbeen cancelled and/orvoided prior to the FYforwhich SpecialTaxesarebeinglevied shallbe reclassified as Undeveloped Property. “DIF Deferral Agreement”means, as to an Assessor’s Parcel, the Agreement for Deferral of Development Impact Fees by and between the owner of such Assessor’s Parcel and the City. “DIF”or “DIFs”shall, as to an Assessor’s Parcel, have the meaning given such terms in the DIF Deferral Agreement applicable to such Assessor’s Parcel. “Effective Date”shall mean, as to each DIF Deferral Agreement, the effective date of such agreement asspecified therein. “Exempt Property”means for each FY, all Assessor’s Parcels designated as being exempt from Special Taxes pursuant to Section 8 below. “FinalMap”meansa subdivisionofpropertybyrecordation ofafinal map,parcelmap,orlot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 4285 that creates individual lots for which BuildingPermits may be issued without further subdivision. “Fiscal Year” or “FY”means the period starting on July 1 and ending the following June 30. “Initial FiscalYear”means,asto anyAssessor’s ParcelsubjecttoaDIFDeferralAgreement,theFY in which the Effective Date of suchDIF Deferral Agreement falls. “Initial Interest AccrualDate”shallmean, asto anyAssessor’s Parcel of Developed Property,the date on which the Certificate of Occupancy for such Assessor’s Parcel is issued. “Initial Accrued Interest Obligation FY”shall mean, as to any Assessor’s Parcel of Developed Property,the FY in which the Initial Interest Accrual Date for such Assessor’s Parcel falls. “Maximum Special Tax Obligation”means for each Assessor’s Parcel, the amount assigned in accordance withSections3.A below. “Non-Residential Property”means all Assessor’s Parcels of Developed Property for which a building permit has been issued for the purpose of constructing one or more non-residential structures or facilities. “Original Parcel”means an Assessor’s Parcel within the boundaries of CFD No. 17-I that was assigned aMaximumSpecialTaxObligationand anAssigned SpecialTaxObligationinthe prior FY but has been subsequently subdivided into Successor Parcels for the current FY. “PrepaymentAmount”means the amountrequiredtoprepaytheAnnualSpecialTaxobligationin full for an Assessor’s Parcel as described in Section 6.A below. “Public Property”meansanypropertywithintheboundaries ofCFDNo.17-I,whichisownedby, or irrevocably offered for dedication to the federal government, the State of California, the County, the City or any other public agency; provided however that any property owned by a 2018-12-11 Agenda Packet Page 79 4 public agencyand leased to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use. “Residential Property”means all Assessor’s Parcels of Developed Property for which a Building Permit has been issued for the purpose of constructing one or more Residential Units. “Residential Unit”means each separate residentialdwelling unit that comprises an independent facility capable of conveyance or rental, separate from adjacent residential dwelling units. “Special Tax”means any special tax levied within CFD No. 17-I pursuant to the Act and this Rate and Method of Apportionment of Special Tax. “SpecialTaxCommencement FY”shallmean,astoeachAssessor’sParcelclassifiedasDeveloped Property,theFYfallingafterthefirstdayoftheeleventhcalendaryearafterthedate of the issuance of the Certificate of Occupancy applicable to such Assessor’s Parcel. “Special Tax Final FY”shall mean, as to each Assessor’s Parcel of Developed Property, the FY commencing on July 1 of nineteenth (19th) FY following the Special Tax Commencement FY. “SpecialTaxObligation”meansthe total obligation of an Assessor’sParcelofDevelopedProperty to pay the Special Tax for the remaining term of the Special Tax applicable to such Assessor’s Parcel. “SuccessorParcel”meansan Assessor’sParcelcreatedbythe Subdivision ofoneor moreOriginal Parcels pursuant to Section 4 below. “State”means the State of California. “Taxable Property”means all of the Assessor's Parcels within the boundaries of CFD No. 17-I, which are not exempt from the levy of the Special Tax pursuant to law or Section 8 below. “Undeveloped Property”means, for each FY, all Taxable Property not classified as Developed Property. 2.LANDUSECLASSIFICATION Each FY,beginning with FY 2016-17,eachAssessor’sParcelwithinCFDNo.17-Ishallbeclassifiedas Taxable Propertyor Exempt Property.In addition, allTaxablePropertyshallfurtherbeclassifiedas Developed PropertyorUndevelopedProperty,andallsuchTaxablePropertyshallbesubjecttothe levy of Special Taxes in accordance with this Rate and Method of Apportionment of Special Tax determined pursuant to Sections 3 and 4 below. 3.SPECIALTAXRATES A.MaximumSpecialTaxObligation 2018-12-11 Agenda Packet Page 80 5 The Maximum Special Tax Obligation applicable to an Assessor's Parcel subject to a DIF Deferral Agreement in the Initial FY applicable to such Assessor’s Parcel shall be determined pursuant to Table 1 below. Table 1 Initial FY Maximum Special Tax Obligation Assessor’s Parcel No.1 Maximum Special Tax Obligation 568-334-05-00 $226,136.05 568-334-06-00 $226,136.05 568-334-07-00 $226,136.05 568-334-08-00 $226,136.05 The Maximum Special Tax Obligation applicable to an Assessor’s Parcel subject to a DIF Deferral Agreementshallbesubjectto escalation by theincreaseinanyDIFincludedinthe Deferred DIF Obligationbetween amountofsuchDIFineffectontheEffectiveDateofsuch DIF DeferralAgreementandthe amountofsuchDIFineffectonthedateofissuanceofthe first Building Permit for development of such Assessor’s Parcel. Commencing on July 1 of the FY followingthe Initial Interest Accrual Date, the Maximum Special Tax Obligation for such Assessor’s Parcel shall increase on July 1 of each FY by an amount equal to two percent (2%)of the Maximum Special Tax Obligation in effect for the prior FY. B.Assigned SpecialTaxObligation On July 1 of each FY commencingthe Special Tax Commencement FY, the CFD Administrator shall determine the Assigned Special Tax Obligation for that FY. The Assigned Special Tax Obligation in any given FY commencing the Special Tax CommencementFY shallbe the sum of the Deferred DIF Obligation plus the Accrued Interest Obligation. If for any FY the Assigned Special Tax Obligation is determined to be greater than the Maximum Special Tax Obligation, then the Assigned Special Tax Obligation shall be equal to the Maximum Special Tax Obligation. C.Deferred DIFObligation The Deferred DIF Obligation applicable to an Assessor’s Parcel classified as Undeveloped Property shallbe zero. The initial Deferred DIF Obligation applicable to an Assessor's Parcel classified as Developed Propertyshallbedeterminedbythe CFDAdministratoratthe timeofissuance of a Building Permit for such Assessor’s Parcel. The Deferred DIF Obligation shallbe equal to thesumofthe applicableDIFsspecified intheDIF DeferralAgreement foreachBuilding 1 The Owner of the four Assessor’s Parcels proposes to combine them into a single Assessor’s Parcel. Assuming that the proposed combination is completed, then the Initial FY Maximum Special Tax Obligation for the combined Assessor’s Parcel would be $904,544.20. 2018-12-11 Agenda Packet Page 81 6 Permit issuedforAssessor’s ParcelswithinCFDNo.17-I.The amountofeachDIF specified in the DIF Deferral Agreement for an Assessor’s Parcel shall be based on the fee schedule applicable to such DIF in effect at the time of issuance of such Building Permit. 2018-12-11 Agenda Packet Page 82 7 The Deferred DIF Obligation in any FY applicable to an Assessor’s Parcel of Developed Property shall be equal to the Deferred DIF Obligation in the prior FY less any Annual Special Tax for Facilities payments made in the prior FY. If apartialprepayment ismadepursuanttoSection 6.Bbelow,theDeferredDIFObligation will also be reduced by the applicable amount of the Deferred DIF Obligation that was prepaid. D.AccruedInterestObligation TheAccrued InterestObligation inthe Initial FY andeachsubsequentFYprior tothe Initial Accrued Interest Obligation FY applicable to an Assessor’s Parcel classified as Developed PropertyforwhichaCertificateofOccupancyhasnot beenissuedpriortoJuly1ofsuchFY shall be zero. The Accrued Interest Obligation applicable toanyAssessor’sParcelclassifiedasDeveloped Property shall commence to accrue on the Initial Interest Accrual Date. The Accrued Interest Obligation applicable to such Assessor’s Parcel in the Initial Accrued Interest ObligationFYshall beequaltotwopercent(2%)oftheDeferred DIF Obligation asof July1 of such FY multipliedbyafraction thenumerator of which isthe numberof calendardays from and including the Initial Interest Accrual Date to and including June 30th of such FY and the denominator ofwhichis365. TheAccruedInterestObligationforeachsubsequent FY prior to the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation in the prior FYplustwo percent (2%)ofthe Deferred DIF Obligationas of July1 of the prior FY. The AccruedInterestObligationintheSpecialTaxCommencementFYandeachsubsequent FYapplicabletoan Assessor’sParcelclassifiedasDeveloped Propertyshallbeequaltothe Accrued Interest Obligation as of July 1 of the prior FY less any Annual Special Tax for Accrued Interest payments made in the prior FY. If apartialprepayment ismadepursuant toSection6.Bbelow,theDeferredDIFObligation willalso be reduced by the applicable amount of the Accrued InterestObligationthat was prepaid. E.Annual SpecialTax The Annual Special Tax for Developed Property in any FY commencing the Special Tax Commencement FY shall be equal to (i) the Annual Special Tax for Facilities plus (ii) the AnnualSpecialTaxforAccruedInterestplus(iii)theAnnualSpecialTaxforCurrentInterest. The Annual SpecialTaxfor FacilitiesinanyFYcommencingtheSpecialTaxCommencement FY shall be equal to the Deferred DIF Obligation on July 1 of the Special Tax CommencementFYtimes the RepaymentRate specifiedinTable2belowthatcorresponds with such FY. In each subsequent FY, the Annual Special Tax for Facilities will remain unchanged until the Deferred DIF Obligation is paid in full. 2018-12-11 Agenda Packet Page 83 8 The Annual Special Tax for Accrued Interest in any FY commencing the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation on July 1 of the Special Tax Commencement FY times the Repayment Rate specified in Table 2 below that corresponds with such FY. In each subsequent FY, the Annual Special Tax for Accrued Interest willremain unchanged until the Accrued Interest Obligation is paid in full. The Annual Special Tax for Current Interest in any FY commencing the Special Tax CommencementFYshallbe equaltothe DeferredDIF ObligationonJuly1ofsuchFYtimes the Current Interest Rate in Table 2 below that corresponds withsuch FY. Table2 AmortizationTable Fiscal Year RepaymentRate CurrentInterest Rate Initial Accrued Interest Obligation FY through the FY preceding the Special TaxCommencement FY 0%0% Special TaxCommencement FY through the Special Tax Final FY 5%2% 4.METHODOFAPPORTIONMENT Commencing with the Special Tax Commencement FY and for each following FY, the CFD Administrator shall apportion the Assigned Special Tax Obligation as set forth below. First:All OriginalParcelsthat arereflectedontheAssessor’s ParcelMapsapplicabletothecurrent FY will be assigned a Maximum Special Tax Obligation and Assigned Special Tax Obligation in accordance withSection 3 above. Second: All OriginalParcelsthat are not reflectedon the Assessor’sParcelMapsapplicabletothe currentFY willbe assigneda Maximum SpecialTaxObligationandAssignedSpecialTaxObligation in accordance with Section 3 above as if suchparcels stillexisted in their previous form. Third: The Maximum Special Tax Obligation and Assigned Special Tax Obligation that were calculated inthe Secondstepabovewillbeassigned toeachapplicableSuccessorParcelbasedon the amount of Taxable Acreage contained in such Successor Parcel divided by the amount of Taxable Acreage contained in the relevant Original Parcel. The sum of the Maximum Special Tax Obligations ofeachgroup ofSuccessorParcelsshallbeequaltoMaximumSpecialTaxObligationof the applicable Original Parcel that was determined in the Second step. Likewise, the sum of the Assigned Special Tax Obligations of each group of Successor Parcels shall be equal to Assigned Special Tax Obligation of the applicable Original Parcel that wasdetermined in the Second step. 2018-12-11 Agenda Packet Page 84 9 Fourth: TheSpecialTaxshallbeleviedoneachAssessor’sParcelofDevelopedPropertyat100%of the applicable Annual Special Tax. SuccessorParcelsthat are assigned aMaximum SpecialTaxObligationandanAssignedSpecialTax Obligation in the current FY willbe considered Original Parcels in the following FY. 5.COLLECTIONOFSPECIALTAXES Collection of the Annual Special Tax shallbe made by the Countyinthe samemanner asordinary ad valorem property taxes are collected and the Annual Special Tax shall be subject to the same penalties and the same lien priority in the case of delinquency as ad valorem taxes; provided, however, that the Council may provide for (i)other means of collectingthe Special Tax, including direct billings thereof to the property owners; and (ii) judicial foreclosure of delinquent Annual Special Taxes. 6.PREPAYMENTOFSPECIALTAXOBLIGATION A.Prepaymentin Full PropertyownersmayprepayandpermanentlysatisfytheSpecialTaxObligationbyacash settlement withthe Cityas permitted under Government CodeSection 53344. The Special Tax Obligation applicable to an Assessor’s Parcel of Developed Property, or Undeveloped Propertyforwhich a BuildingPermithasbeenissuedmaybeprepaidandthe obligation to pay the Special Tax for such Assessor’s Parcel permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor’s Parcel only if there are no delinquent Special Taxes with respect to such Assessor’s Parcel at the time of prepayment. An owner of an Assessor’s Parcel eligible to prepay the Special Tax Obligation shallprovide the CFD Administrator with written notice of intent toprepay, anddesignateoridentifythecompanyoragencythatwillbeactingas the escrowagent, if any.The CFD Administrator shallprovide theownerwithastatement of the Prepayment AmountforsuchAssessor’sParcelwithinthirty(30)daysoftherequest, and may charge a reasonable fee for providing this service. The Prepayment Amount (defined below) shall be calculated for each applicable Assessor’s Parcel or group of Assessor’s Parcels assummarizedbelow (capitalized terms as defined below): Deferred DIF Obligation plus Accrued Interest Obligation plus Prepayment Administrative Feesand Expenses Total: equals PrepaymentAmount As of the proposed date of prepayment, the Prepayment Amount (defined in Step 14 below)shall be calculated as follows: 2018-12-11 Agenda Packet Page 85 10 StepNo.: 1. Confirm that no Special Tax delinquencies apply to such Assessor’s Parcel. 2.For Assessor’s Parcels of Developed Property, determine the Deferred DIF Obligation and the Accrued Interest Obligation. For Assessor’s Parcels of Undeveloped Property for which a Building Permit has been issued, compute the Deferred DIF Obligation for that Assessor’s Parcel as though it wasalready designated as Developed Property, based upon the Building Permit which has already been issued for that Assessor’s Parcel. 3.Calculate the administrative fees and expensesof CFD No. 17-I, including the costs of computation of the prepayment and the costs of recording any notices to evidence the prepayment and the redemption (the “Prepayment Administrative Fees”). 4.The amount to prepay the Special Tax Obligation is equal to the sum of the amounts computed pursuant to paragraphs 1, 2 and 3 (the “Prepayment Amount”). The CFD Administrator will confirm that all previously levied Special Taxes have been paid in full. With respect to any Assessor's Parcel for which the Special Tax Obligation is prepaid in full, once the CFD Administrator has confirmed that all previously levied Special Taxes have been paid, the Council shall cause a notice of cancellation of Special Tax lien to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax and the release of the Special Tax lien onsuchAssessor’sParcel,andthe obligation oftheownerofsuchAssessor'sParcel to pay the Special Tax shall cease. B.PartialPrepayment The SpecialTaxonanAssessor’sParcelofDevelopedPropertyorUndevelopedPropertyfor which a building permit has been issued may be partially prepaid. The amount of the prepayment shallbe calculatedasinSection 6.A,exceptthat apartialprepaymentshallbe calculated according to the following formula: PP = (PE-A) x F+A These terms have the followingmeaning: PP = the partial prepayment PE = the Prepayment Amount calculated accordingto Section 6.A F = the percentage by which the owner of the Assessor’s Parcel(s) is partially prepaying the Special Tax Obligation A = the Prepayment Administrative Feesand Expensesfrom Section 6.A The owner of any Assessor’s Parcel who desires such partial prepayment shall notify the CFDAdministratorof(i)suchowner’sintenttopartiallyprepaytheSpecialTaxObligation, (ii)the percentage by which the Special Tax Obligation shall be prepaid, and (iii) the 2018-12-11 Agenda Packet Page 86 11 company or agency that will be acting as the escrow agent, if any. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax Obligation for an Assessor’sParcel within sixty(60)daysof the request and may charge a reasonable fee for providing this service. With respect to any Assessor’s Parcel that is partially prepaid, the City shall (i) distribute the fundsremitted to itaccordingtoSection 6.A.,and (ii)indicateintherecordsofCFDNo. 17-I that there has been a partial prepayment of the Special Tax Obligation and that the remaining Special Tax Obligation of such Assessor’s Parcel, equal to the outstanding percentage (1.00 - F) of the Deferred DIF Obligation and the Accrued Interest Obligation, shall continue to be levied on such Assessor’s Parcel in the same manner as before the Partial Prepayment. 7.TERMOFSPECIALTAX The Special Tax shall be levied as long as necessary to satisfy the Assigned Special Tax Obligation for a period not to exceed thirty (30) FYs commencing with Special Tax Commencement FY, provided however that the Special Tax will cease to be levied in an earlier FY if the CFD Administrator has determined that all CFD No.17-I obligations have been satisfied. 8.EXEMPTIONS TheCFDAdministratorshallclassifyonlyAssessor’sParcelsofPublicPropertyasExemptProperty (i) Assessor’s Parcels of Public Property. If the use of an Assessor’s Parcel of Exempt Property changes so that suchAssessor’s Parcel isno longer classified as Public Property, per the first paragraph of Section 8 above such Assessor’s ParcelshallceasetobeclassifiedasExemptPropertyandshallbedeemedtobeTaxableProperty. 9.APPEALS Anylandownerwhopaysthe SpecialTaxandclaimsthe amountofthe SpecialTaxlevied onhisor her Assessor’s Parcelisinerrorshallfirstconsultwiththe CFDAdministratorregardingsucherror not later than thirty-six (36) months after first having paid the first installment of the Special Tax that isdisputed. Iffollowingsuchconsultation the CFDAdministratordeterminesthatanerrorhas occurred,then the CFD Administratorshalltakeany ofthefollowingactions,inorderofpriority,in order to correct the error: (i) AmendtheSpecialTaxlevyonthelandowner’sAssessor’sParcel(s)forthecurrent FY prior to the payment date, (ii) Require theCFDtoreimbursethelandownerfortheamountoftheoverpaymentto the extent of available CFD funds,or (iii) Grant a credit against, eliminate or reduce the future Special Taxes on the landowner’s Assessor’s Parcel(s) in the amount of the overpayment. If following such consultation and action by the CFD Administrator the landowner believes such error still exists, such person may file a written notice of appeal with the City Council. Upon the receipt of such notice, the City Council or designee may establish such procedures as deemed 2018-12-11 Agenda Packet Page 87 12 necessaryto undertakethe reviewof anysuchappeal. IftheCityCouncilordesigneedetermines an errorstillexists,theCFDAdministratorshalltakeanyoftheactionsdescribedas(i),(ii)and(iii) above,in order of priority, in order to correct the error. The City Council or designee thereof shall interpret this Rate and Method of Apportionment of Special Tax for purposes of clarifying any ambiguities and make determinations relative to the administration of the Special Tax and any landowner appeals. The decision of the City Council or designee shall be final. 2018-12-11 Agenda Packet Page 88 CENTER ST THIRD AVCHURCH AVANNEXATION MAP NO. 2018-02COMMUNITY FACILITIES DISTRICT NO. 17-I(WESTERN CHULA VISTA DIF FINANCING PROGRAM) PARCEL A SHEET 1 OF 1 SHEETS APN: 568-334-05-00AREA = .143 ACRES PARCEL A APN: 568-334-06-00AREA = .143 ACRES PARCEL B APN: 568-334-07-00AREA = .143 ACRES LEGAL DESCRIPTION CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, CA LEGEN D Indic a tes Bounda ry Of Prop erty To Be Annexed Indic a tes Pa rc el Bounda ries Indic a tes Street Centerline § 0 30 60 90Feet SCALE: 1" = 30' F STFOURTH AV H ST FIRST AVSECON D AVFIFTH AV G ST E ST D ST HILLTOP DRI ST VICINITY MAP N LEGAL DESCRIPTION Bounda ry of p rop erty to b e a nnexed lies within City of Chula V istaCom m unity Fa c ilities Distric t N o. 17-1 (W estern Chula V ista DIFFina nc ing Progra m ) APN : 568-334-08-00, 568-334-06-00, 568-334-05-00 a nd 568-334-07-00 PARCEL A APN: 568-334-08-00AREA = .143 ACRES __________________________________________COUN TY RECORDERCOUN TY OF SAN DIEGOSTATE OF CALIFORN IA CERTIFICATES Filed in the Offic e of the City Clerk of the City of Chula V ista , Ca lifornia this _______ da y ___________, 20__. __________________________________________CITY CLERKCITY OF CHULA V ISTASTATE OF CALIFORN IA I hereb y c ertify tha t the within Annexa tion Ma p showing b ounda ries of territory a nnexed to Com m unity Fa c ilities Distric t N o. 17-I (W estern Chula V ista DIF Fina nc ing Progra m ) of the City of Chula V ista , County of Sa n Diego, Sta te of Ca lifornia , wa s a p p roved b y the City Counc il of the City of Chula V ista a t a regula r m eeting thereof, held on the ________ da y of ___________,20__, b y its Resolution N o. _________. This Annexa tion Ma p a m ends the b ounda ry m a p for City of Chula V ista Com m unity Fa c ilities Distric t N o. 17-I (W estern Chula V ista DIF Fina nc ing Progra m ), County of Sa n Diego, Sta te of Ca lifornia , p reviously rec orded on Feb rua ry 16, 2016 a s Doc um ent N o. 2016-7000074 in Book 45, Pa ge 26 of Ma p s of Assessm ent a nd Com m unity Fa c ilities Distric ts in the offic e of the County Rec order for the County of Sa n Diego, Ca lifornia . __________________________________________CITY CLERKCITY OF CHULA V ISTASTATE OF CALIFORN IA Filed this ______ da y of ___________, 20__ a t the hour of _____ o'c loc k__.M. in Book _______ of Ma p s of Assessm ent a nd Com m unity Fa c ilities Distric ts a t p a ge _____ in the Offic e of the County Rec order in the County of Sa n Diego, Ca lifornia . THE LAN D REFERRED TO HEREIN BELOW IS SITUATED IN THECITY OF CHULA V ISTA, IN THE COUN TY OF SAN DIEGO, STATE OFCALIFORN IA, AN D IS DESCRIBED AS FOLLOW S: PARCEL A:APN : 568-334-08-00; 568-334-06-00; 568-334-05-00 LOTS 12, 14 AN D 15 IN BLOCK 4 OF CHULA V ISTA V ILLA TRACT N O. 2,IN THE CITY OF CHULA V ISTA, COUN TY OF SAN DIEGO, STATE OFCALIFORN IA, ACCORDIN G TO MAP N O. 1206, FILED IN THE OFFICEOF THE COUN TY RECORDER OF SAN DIEGO COUN TY, SEPTEMBER14, 1909. EX CEPTIN G THEREFROM, ALL OIL, GAS, AN D OTHERHYDROCARBON SUBSTAN CES IN AN D UN DER ALL OF THE ABOV EDESCRIBED REAL PROPERTY, BUT W ITHOUT AN Y RIGHT TO PEN ETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTYOR AN Y PORTION OF SAID PROPERTY W ITHIN FIV E HUN DREDFEET (500’) OF THE SURFACE THEREOF, AS RESERV ED IN GRAN TDEED RECORDED OCTOBER 01, 1990 AS IN STRUMEN T N O. 90-534605, OF OFFICIAL RECORDS OF SAID COUN TY. PARCEL B:APN : 568-334-07-00 LOTS 13 IN BLOCK 4 OF CHULA V ISTA V ILLA TRACT N O. 2, IN THECITY OF CHULA V ISTA, COUN TY OF SAN DIEGO, STATE OF CALIFORN IA, ACCORDIN G TO MAP N O. 1206, FILED IN THE OFFICEOF THE COUN TY RECORDER OF SAN DIEGO COUN TY, SEPTEMBER 14, 1909. 2018-12-11 Agenda Packet Page 89 1 RateandMethodof ApportionmentofSpecialTax CommunityFacilitiesDistrictNo.17-I (WesternChulaVistaDIFFinancing) A Special Tax shallbe levied oneachAssessor’sParcelofTaxablePropertywithintheboundariesof CommunityFacilitiesDistrict No. 17-I(Western Chula Vista DIFFinancing)oftheCityofChulaVista (the “City”) and collected each FY commencing in Special Tax Commencement FY applicable to such Assessor’s Parcel,inanamountdeterminedbytheCFDAdministratorthroughtheapplication of the procedures described below.All of the realproperty within CFDNo.17-I, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided. 1.DEFINITIONS The terms hereinafter set forth have the followingmeanings: “Accrued InterestObligation”meansforeachAssessor’sParcel,theamountofinterestaccruedon the DeferredDIF Obligationfromthe dateoftheissuanceorgrantofaCertificateofOccupancyfor such property as determined in accordance withSection 3.D below. “Acre”or“Acreage”meanstheland areaofan Assessor’sParcelasshownonanAssessor'sParcel Map,or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable Final Map. An Acre means 43,560 square feet of land. “Act”means the Mello-Roos CommunityFacilitiesAct of 1982, as amended, being Chapter 2.5 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California. “Annual Special Tax”means the Special Tax actually levied in any FY on any Assessor’s Parcel which is equal to the sum of the Annual Special Tax for Facilities and the Annual Special Tax for Accrued Interest in accordance with Section 3.E below. “Annual Special Tax for Facilities”means the amount of the Special Tax levied on an Assessor’s Parcel of Developed Property in any FY, commencingwith the Special TaxCommencementFY,to satisfythe repayment of the Deferred DIF Obligation over the term of the SpecialTax as setforth in Section 7 determined in accordancewith Section 3.E belowunless the SpecialTax Obligation is prepaid pursuant to the provisions of Section 6 thereto. “Annual Special Tax for Accrued Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyin anyFY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe repayment of the Accrued Interest Obligation over the term of the Special Tax as set forth in Section 7 determined in accordance with Section 3.E below unless the Special Tax Obligation is 2018-12-11 Agenda Packet Page 90 2 prepaid pursuant to the provisions of Section 6 thereto.. “Annual Special Tax for Current Interest”means the amount levied on an Assessor’s Parcel of Developed Propertyinany FY, commencingwiththe SpecialTaxCommencementFY,tosatisfythe requirement to pay interest on unpaid deferred fees during the 20-year repayment period commencing with the Special Tax Commencement FY and ending on June 30th of the SpecialTax Final Year. “Assessor”means the Assessor of the County of San Diego. “Assessor's Parcel”means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor'sParcelNumber. “Assessor's Parcel Map” means an official map of the Assessor designating parcels by Assessor’s Parcel Number. “Assessor's Parcel Number”means the number assigned to an Assessor'sParcel by the Assessor for purposesof identification. “Assigned Special Tax Obligation”means for each Assessor’s Parcel, the amount determined in accordance with Section 3.Bbelow. “BuildingPermit”meansa building permit issuedbytheCityforconstructionofaResidentialUnit or Non-Residential Property located within CFD No. 17-I. “BuildingSquareFootage”meansall ofthe square footageofusableareawithintheperimeterof a residentialstructure,not includinganycarport,walkway,garage,overhang, or similar area. The determination of Building Square Footage shall be made by reference to the Building Permit(s) issued for such Assessor’s Parcel and/or by reference to appropriate records kept by the City. “Certificate of Occupancy”means a certificate issued or approval granted by the City, or other applicable government entity, that authorizes the actual occupancy of a Residential Unit for habitation by one or more residentsor the occupancyof Non-Residential Property. “CFD Administrator”means an authorized representative of the City, or designee thereof, responsible for determining the Assigned Special Tax Obligation and the Annual Special Tax, for preparing the Annual Special Tax roll and/or calculating the Backup Special Tax. “CFD No. 17-I”meansthe Cityof ChulaVista CommunityFacilitiesDistrictNo.17-I(WesternChula Vista DIF Financing). “City” means the City of Chula Vista, California. “Council”means the City Council of the City acting as the legislative body of CFD No. 17-I under the Act. “County” means the County of San Diego, California. “Deferred DIF Obligation”means for each Assessor’s Parcel, the remaining balance of DIFs that have been deferred on such Assessor’s Parcel since Building Permit issuance as determined in accordance with Section 3.Cbelow. 2018-12-11 Agenda Packet Page 91 3 “Developed Property”means for each FY, all Taxable Property for which a Building Permit was issued priortoMay1oftheprevious FY.AnAssessor’sParcelclassified asDevelopedPropertybut for which the Building Permit that caused such Assessor’s Parcel to be classified as Developed Propertyhasbeen cancelled and/orvoided prior to the FYforwhich SpecialTaxesarebeinglevied shallbe reclassified as Undeveloped Property. “DIF Deferral Agreement”means, as to an Assessor’s Parcel, the Agreement for Deferral of Development Impact Fees by and between the owner of such Assessor’s Parcel and the City. “DIF”or “DIFs”shall, as to an Assessor’s Parcel, have the meaning given such terms in the DIF Deferral Agreement applicable to such Assessor’s Parcel. “Effective Date”shall mean, as to each DIF Deferral Agreement, the effective date of such agreement asspecified therein. “Exempt Property”means for each FY, all Assessor’s Parcels designated as being exempt from Special Taxes pursuant to Section 8 below. “FinalMap”meansa subdivisionofpropertybyrecordation ofafinal map,parcelmap,orlot line adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 4285 that creates individual lots for which BuildingPermits may be issued without further subdivision. “Fiscal Year” or “FY”means the period starting on July 1 and ending the following June 30. “Initial FiscalYear”means,asto anyAssessor’s ParcelsubjecttoaDIFDeferralAgreement,theFY in which the Effective Date of suchDIF Deferral Agreement falls. “Initial Interest AccrualDate”shallmean, asto anyAssessor’s Parcel of Developed Property,the date on which the Certificate of Occupancy for such Assessor’s Parcel is issued. “Initial Accrued Interest Obligation FY”shall mean, as to any Assessor’s Parcel of Developed Property,the FY in which the Initial Interest Accrual Date for such Assessor’s Parcel falls. “Maximum Special Tax Obligation”means for each Assessor’s Parcel, the amount assigned in accordance withSections3.A below. “Non-Residential Property”means all Assessor’s Parcels of Developed Property for which a building permit has been issued for the purpose of constructing one or more non-residential structures or facilities. “Original Parcel”means an Assessor’s Parcel within the boundaries of CFD No. 17-I that was assigned aMaximumSpecialTaxObligationand anAssigned SpecialTaxObligationinthe prior FY but has been subsequently subdivided into Successor Parcels for the current FY. “PrepaymentAmount”means the amountrequiredtoprepaytheAnnualSpecialTaxobligationin full for an Assessor’s Parcel as described in Section 6.A below. “Public Property”meansanypropertywithintheboundaries ofCFDNo.17-I,whichisownedby, or irrevocably offered for dedication to the federal government, the State of California, the County, the City or any other public agency; provided however that any property owned by a 2018-12-11 Agenda Packet Page 92 4 public agencyand leased to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use. “Residential Property”means all Assessor’s Parcels of Developed Property for which a Building Permit has been issued for the purpose of constructing one or more Residential Units. “Residential Unit”means each separate residentialdwelling unit that comprises an independent facility capable of conveyance or rental, separate from adjacent residential dwelling units. “Special Tax”means any special tax levied within CFD No. 17-I pursuant to the Act and this Rate and Method of Apportionment of Special Tax. “SpecialTaxCommencement FY”shallmean,astoeachAssessor’sParcelclassifiedasDeveloped Property,theFYfallingafterthefirstdayoftheeleventhcalendaryearafterthedate of the issuance of the Certificate of Occupancy applicable to such Assessor’s Parcel. “Special Tax Final FY”shall mean, as to each Assessor’s Parcel of Developed Property, the FY commencing on July 1 of nineteenth (19th) FY following the Special Tax Commencement FY. “SpecialTaxObligation”meansthe total obligation of an Assessor’sParcelofDevelopedProperty to pay the Special Tax for the remaining term of the Special Tax applicable to such Assessor’s Parcel. “SuccessorParcel”meansan Assessor’sParcelcreatedbythe Subdivision ofoneor moreOriginal Parcels pursuant to Section 4 below. “State”means the State of California. “Taxable Property”means all of the Assessor's Parcels within the boundaries of CFD No. 17-I, which are not exempt from the levy of the Special Tax pursuant to law or Section 8 below. “Undeveloped Property”means, for each FY, all Taxable Property not classified as Developed Property. 2.LANDUSECLASSIFICATION Each FY,beginning with FY 2016-17,eachAssessor’sParcelwithinCFDNo.17-Ishallbeclassifiedas Taxable Propertyor Exempt Property.In addition, allTaxablePropertyshallfurtherbeclassifiedas Developed PropertyorUndevelopedProperty,andallsuchTaxablePropertyshallbesubjecttothe levy of Special Taxes in accordance with this Rate and Method of Apportionment of Special Tax determined pursuant to Sections 3 and 4 below. 3.SPECIALTAXRATES A.MaximumSpecialTaxObligation 2018-12-11 Agenda Packet Page 93 5 The Maximum Special Tax Obligation applicable to an Assessor's Parcel subject to a DIF Deferral Agreement in the Initial FY applicable to such Assessor’s Parcel shall be determined pursuant to Table 1 below. Table 1 Initial FY Maximum Special Tax Obligation Assessor’s Parcel No.1 Maximum Special Tax Obligation 568-071-22-00 $305,020.72 568-071-21-00 $305,020.72 The Maximum Special Tax Obligation applicable to an Assessor’s Parcel subject to a DIF Deferral Agreementshallbesubjectto escalation by theincreaseinanyDIFincludedinthe Deferred DIF Obligationbetween amountofsuchDIFineffectontheEffectiveDateofsuch DIF DeferralAgreementandthe amountofsuchDIFineffectonthedateofissuanceofthe first Building Permit for development of such Assessor’s Parcel. Commencing on July 1 of the FY followingthe Initial Interest Accrual Date, the Maximum Special Tax Obligation for such Assessor’s Parcel shall increase on July 1 of each FY by an amount equal to two percent (2%)of the Maximum Special Tax Obligation in effect for the prior FY. B.Assigned SpecialTaxObligation On July 1 of each FY commencingthe Special Tax Commencement FY, the CFD Administrator shall determine the Assigned Special Tax Obligation for that FY. The Assigned Special Tax Obligation in any given FY commencing the Special Tax CommencementFY shallbe the sum of the Deferred DIF Obligation plus the Accrued Interest Obligation. If for any FY the Assigned Special Tax Obligation is determined to be greater than the Maximum Special Tax Obligation, then the Assigned Special Tax Obligation shall be equal to the Maximum Special Tax Obligation. C.Deferred DIFObligation The Deferred DIF Obligation applicable to an Assessor’s Parcel classified as Undeveloped Property shallbe zero. The initial Deferred DIF Obligation applicable to an Assessor's Parcel classified as Developed Propertyshallbedeterminedbythe CFDAdministratoratthe timeofissuance of a Building Permit for such Assessor’s Parcel. The Deferred DIF Obligation shallbe equal to thesumofthe applicableDIFsspecified intheDIF DeferralAgreement foreachBuilding Permit issuedforAssessor’s ParcelswithinCFDNo.17-I.The amountofeachDIF specified in the DIF Deferral Agreement for an Assessor’s Parcel shall be based on the fee schedule 1 The Owner of the two Assessor’s Parcels proposes to combine them into a single Assessor’s Parcel. Assuming that the proposed combination is completed, then the Initial FY Maximum Special Tax Obligation for the combined Assessor’s Parcel would be $610,041.44. 2018-12-11 Agenda Packet Page 94 6 applicable to such DIF in effect at the time of issuance of such Building Permit. 2018-12-11 Agenda Packet Page 95 7 The Deferred DIF Obligation in any FY applicable to an Assessor’s Parcel of Developed Property shall be equal to the Deferred DIF Obligation in the prior FY less any Annual Special Tax for Facilities payments made in the prior FY. If apartialprepayment ismadepursuanttoSection 6.Bbelow,theDeferredDIFObligation will also be reduced by the applicable amount of the Deferred DIF Obligation that was prepaid. D.AccruedInterestObligation TheAccrued InterestObligation inthe Initial FY andeachsubsequentFYprior tothe Initial Accrued Interest Obligation FY applicable to an Assessor’s Parcel classified as Developed PropertyforwhichaCertificateofOccupancyhasnot beenissuedpriortoJuly1ofsuchFY shall be zero. The Accrued Interest Obligation applicable toanyAssessor’sParcelclassifiedasDeveloped Property shall commence to accrue on the Initial Interest Accrual Date. The Accrued Interest Obligation applicable to such Assessor’s Parcel in the Initial Accrued Interest ObligationFYshall beequaltotwopercent(2%)oftheDeferred DIF Obligation asof July1 of such FY multipliedbyafraction thenumerator of which isthe numberof calendardays from and including the Initial Interest Accrual Date to and including June 30th of such FY and the denominator ofwhichis365. TheAccruedInterestObligationforeachsubsequent FY prior to the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation in the prior FYplustwo percent (2%)ofthe Deferred DIF Obligationas of July1 of the prior FY. The AccruedInterestObligationintheSpecialTaxCommencementFYandeachsubsequent FYapplicabletoan Assessor’sParcelclassifiedasDeveloped Propertyshallbeequaltothe Accrued Interest Obligation as of July 1 of the prior FY less any Annual Special Tax for Accrued Interest payments made in the prior FY. If apartialprepayment ismadepursuant toSection6.Bbelow,theDeferredDIFObligation willalso be reduced by the applicable amount of the Accrued InterestObligationthat was prepaid. E.Annual SpecialTax The Annual Special Tax for Developed Property in any FY commencing the Special Tax Commencement FY shall be equal to (i) the Annual Special Tax for Facilities plus (ii) the AnnualSpecialTaxforAccruedInterestplus(iii)theAnnualSpecialTaxforCurrentInterest. The Annual SpecialTaxfor FacilitiesinanyFYcommencingtheSpecialTaxCommencement FY shall be equal to the Deferred DIF Obligation on July 1 of the Special Tax CommencementFYtimes the RepaymentRate specifiedinTable2belowthatcorresponds with such FY. In each subsequent FY, the Annual Special Tax for Facilities will remain unchanged until the Deferred DIF Obligation is paid in full. 2018-12-11 Agenda Packet Page 96 8 The Annual Special Tax for Accrued Interest in any FY commencing the Special Tax Commencement FY shall be equal to the Accrued Interest Obligation on July 1 of the Special Tax Commencement FY times the Repayment Rate specified in Table 2 below that corresponds with such FY. In each subsequent FY, the Annual Special Tax for Accrued Interest willremain unchanged until the Accrued Interest Obligation is paid in full. The Annual Special Tax for Current Interest in any FY commencing the Special Tax CommencementFYshallbe equaltothe DeferredDIF ObligationonJuly1ofsuchFYtimes the Current Interest Rate in Table 2 below that corresponds withsuch FY. Table2 AmortizationTable Fiscal Year RepaymentRate CurrentInterest Rate Initial Accrued Interest Obligation FY through the FY preceding the Special TaxCommencement FY 0%0% Special TaxCommencement FY through the Special Tax Final FY 5%2% 4.METHODOFAPPORTIONMENT Commencing with the Special Tax Commencement FY and for each following FY, the CFD Administrator shall apportion the Assigned Special Tax Obligation as set forth below. First:All OriginalParcelsthat arereflectedontheAssessor’s ParcelMapsapplicabletothecurrent FY will be assigned a Maximum Special Tax Obligation and Assigned Special Tax Obligation in accordance withSection 3 above. Second: All OriginalParcelsthat are not reflectedon the Assessor’sParcelMapsapplicabletothe currentFY willbe assigneda Maximum SpecialTaxObligationandAssignedSpecialTaxObligation in accordance with Section 3 above as if suchparcels stillexisted in their previous form. Third: The Maximum Special Tax Obligation and Assigned Special Tax Obligation that were calculated inthe Secondstepabovewillbeassigned toeachapplicableSuccessorParcelbasedon the amount of Taxable Acreage contained in such Successor Parcel divided by the amount of Taxable Acreage contained in the relevant Original Parcel. The sum of the Maximum Special Tax Obligations ofeachgroup ofSuccessorParcelsshallbeequaltoMaximumSpecialTaxObligationof the applicable Original Parcel that was determined in the Second step. Likewise, the sum of the Assigned Special Tax Obligations of each group of Successor Parcels shall be equal to Assigned Special Tax Obligation of the applicable Original Parcel that wasdetermined in the Second step. 2018-12-11 Agenda Packet Page 97 9 Fourth: TheSpecialTaxshallbeleviedoneachAssessor’sParcelofDevelopedPropertyat100%of the applicable Annual Special Tax. SuccessorParcelsthat are assigned aMaximum SpecialTaxObligationandanAssignedSpecialTax Obligation in the current FY willbe considered Original Parcels in the following FY. 5.COLLECTIONOFSPECIALTAXES Collection of the Annual Special Tax shallbe made by the Countyinthe samemanner asordinary ad valorem property taxes are collected and the Annual Special Tax shall be subject to the same penalties and the same lien priority in the case of delinquency as ad valorem taxes; provided, however, that the Council may provide for (i)other means of collectingthe Special Tax, including direct billings thereof to the property owners; and (ii) judicial foreclosure of delinquent Annual Special Taxes. 6.PREPAYMENTOFSPECIALTAXOBLIGATION A.Prepaymentin Full PropertyownersmayprepayandpermanentlysatisfytheSpecialTaxObligationbyacash settlement withthe Cityas permitted under Government CodeSection 53344. The Special Tax Obligation applicable to an Assessor’s Parcel of Developed Property, or Undeveloped Propertyforwhich a BuildingPermithasbeenissuedmaybeprepaidandthe obligation to pay the Special Tax for such Assessor’s Parcel permanently satisfied as described herein, provided that a prepayment may be made with respect to a particular Assessor’s Parcel only if there are no delinquent Special Taxes with respect to such Assessor’s Parcel at the time of prepayment. An owner of an Assessor’s Parcel eligible to prepay the Special Tax Obligation shallprovide the CFD Administrator with written notice of intent toprepay, anddesignateoridentifythecompanyoragencythatwillbeactingas the escrowagent, if any.The CFD Administrator shallprovide theownerwithastatement of the Prepayment AmountforsuchAssessor’sParcelwithinthirty(30)daysoftherequest, and may charge a reasonable fee for providing this service. The Prepayment Amount (defined below) shall be calculated for each applicable Assessor’s Parcel or group of Assessor’s Parcels assummarizedbelow (capitalized terms as defined below): Deferred DIF Obligation plus Accrued Interest Obligation plus Prepayment Administrative Feesand Expenses Total: equals PrepaymentAmount As of the proposed date of prepayment, the Prepayment Amount (defined in Step 14 below)shall be calculated as follows: 2018-12-11 Agenda Packet Page 98 10 StepNo.: 1. Confirm that no Special Tax delinquencies apply to such Assessor’s Parcel. 2.For Assessor’s Parcels of Developed Property, determine the Deferred DIF Obligation and the Accrued Interest Obligation. For Assessor’s Parcels of Undeveloped Property for which a Building Permit has been issued, compute the Deferred DIF Obligation for that Assessor’s Parcel as though it wasalready designated as Developed Property, based upon the Building Permit which has already been issued for that Assessor’s Parcel. 3.Calculate the administrative fees and expensesof CFD No. 17-I, including the costs of computation of the prepayment and the costs of recording any notices to evidence the prepayment and the redemption (the “Prepayment Administrative Fees”). 4.The amount to prepay the Special Tax Obligation is equal to the sum of the amounts computed pursuant to paragraphs 1, 2 and 3 (the “Prepayment Amount”). The CFD Administrator will confirm that all previously levied Special Taxes have been paid in full. With respect to any Assessor's Parcel for which the Special Tax Obligation is prepaid in full, once the CFD Administrator has confirmed that all previously levied Special Taxes have been paid, the Council shall cause a notice of cancellation of Special Tax lien to be recorded in compliance with the Act, to indicate the prepayment of the Special Tax and the release of the Special Tax lien onsuchAssessor’sParcel,andthe obligation oftheownerofsuchAssessor'sParcel to pay the Special Tax shall cease. B.PartialPrepayment The SpecialTaxonanAssessor’sParcelofDevelopedPropertyorUndevelopedPropertyfor which a building permit has been issued may be partially prepaid. The amount of the prepayment shallbe calculatedasinSection 6.A,exceptthat apartialprepaymentshallbe calculated according to the following formula: PP = (PE-A) x F+A These terms have the followingmeaning: PP = the partial prepayment PE = the Prepayment Amount calculated accordingto Section 6.A F = the percentage by which the owner of the Assessor’s Parcel(s) is partially prepaying the Special Tax Obligation A = the Prepayment Administrative Feesand Expensesfrom Section 6.A The owner of any Assessor’s Parcel who desires such partial prepayment shall notify the CFDAdministratorof(i)suchowner’sintenttopartiallyprepaytheSpecialTaxObligation, (ii)the percentage by which the Special Tax Obligation shall be prepaid, and (iii) the 2018-12-11 Agenda Packet Page 99 11 company or agency that will be acting as the escrow agent, if any. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Special Tax Obligation for an Assessor’sParcel within sixty(60)daysof the request and may charge a reasonable fee for providing this service. With respect to any Assessor’s Parcel that is partially prepaid, the City shall (i) distribute the fundsremitted to itaccordingtoSection 6.A.,and (ii)indicateintherecordsofCFDNo. 17-I that there has been a partial prepayment of the Special Tax Obligation and that the remaining Special Tax Obligation of such Assessor’s Parcel, equal to the outstanding percentage (1.00 - F) of the Deferred DIF Obligation and the Accrued Interest Obligation, shall continue to be levied on such Assessor’s Parcel in the same manner as before the Partial Prepayment. 7.TERMOFSPECIALTAX The Special Tax shall be levied as long as necessary to satisfy the Assigned Special Tax Obligation for a period not to exceed thirty (30) FYs commencing with Special Tax Commencement FY, provided however that the Special Tax will cease to be levied in an earlier FY if the CFD Administrator has determined that all CFD No.17-I obligations have been satisfied. 8.EXEMPTIONS TheCFDAdministratorshallclassifyonlyAssessor’sParcelsofPublicPropertyasExemptProperty (i) Assessor’s Parcels of Public Property. If the use of an Assessor’s Parcel of Exempt Property changes so that suchAssessor’s Parcel isno longer classified as Public Property, per the first paragraph of Section 8 above such Assessor’s ParcelshallceasetobeclassifiedasExemptPropertyandshallbedeemedtobeTaxableProperty. 9.APPEALS Anylandownerwhopaysthe SpecialTaxandclaimsthe amountofthe SpecialTaxlevied onhisor her Assessor’s Parcelisinerrorshallfirstconsultwiththe CFDAdministratorregardingsucherror not later than thirty-six (36) months after first having paid the first installment of the Special Tax that isdisputed. Iffollowingsuchconsultation the CFDAdministratordeterminesthatanerrorhas occurred,then the CFD Administratorshalltakeany ofthefollowingactions,inorderofpriority,in order to correct the error: (i) AmendtheSpecialTaxlevyonthelandowner’sAssessor’sParcel(s)forthecurrent FY prior to the payment date, (ii) Require theCFDtoreimbursethelandownerfortheamountoftheoverpaymentto the extent of available CFD funds,or (iii) Grant a credit against, eliminate or reduce the future Special Taxes on the landowner’s Assessor’s Parcel(s) in the amount of the overpayment. If following such consultation and action by the CFD Administrator the landowner believes such error still exists, such person may file a written notice of appeal with the City Council. Upon the receipt of such notice, the City Council or designee may establish such procedures as deemed 2018-12-11 Agenda Packet Page 100 12 necessaryto undertakethe reviewof anysuchappeal. IftheCityCouncilordesigneedetermines an errorstillexists,theCFDAdministratorshalltakeanyoftheactionsdescribedas(i),(ii)and(iii) above,in order of priority, in order to correct the error. The City Council or designee thereof shall interpret this Rate and Method of Apportionment of Special Tax for purposes of clarifying any ambiguities and make determinations relative to the administration of the Special Tax and any landowner appeals. The decision of the City Council or designee shall be final. 2018-12-11 Agenda Packet Page 101 THIRD AVCHURCH AVANNEXATION MAP NO. 2018-03COMMUNITY FACILITIES DISTRICT NO. 17-I(WESTERN CHULA VISTA DIF FINANCING PROGRAM) PARCEL 1 SHEET 1 OF 1 SHEETS APN: 568-071-22-00AREA = .13 ACRES PARCEL 2 APN: 568-071-21-00AREA = .13 ACRES LEGAL DESCRIPTION CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, CA LEGEND Indicates Boundary Of Property To Be Annexed Indicates Parcel Boundaries Indicates Street Centerline § 0 30 60 90Feet SCALE: 1" = 30'FOURTH AVTHIRD AV F ST FIRST AV G ST E ST FIFTH AV D ST SECOND AV H STHILLTOP DR C ST VICINITY MAP N LEGAL DESCRIPTION Boundary of property to be annexed lies within City of Chula VistaCommunity Facilities District No. 17-1 (Western Chula Vista DIFFinancing Program) APN: 568-071-21-00, 568-071-22-00 __________________________________________COUNTY RECORDERCOUNTY OF SAN DIEGOSTATE OF CALIFORNIA CERTIFICATES Filed in the Office of the City Clerk of the City of Chula Vista, California this _______ day ___________, 20__.__________________________________________CITY CLERKCITY OF CHULA VISTASTATE OF CALIFORNIA I hereby certify that the within Annexation Map showing boundaries of territory annexed to Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program) of the City of Chula Vista, County of San Diego, State of California, was approved by the City Council of the City of Chula Vista at a regular meeting thereof, held on the ________ day of ___________,20__, by its Resolution No. _________. This Annexation Map amends the boundary map for City of Chula Vista Community Facilities District No. 17-I (Western Chula Vista DIF Financing Program), County of San Diego, State of California, previously recorded on February 16, 2016 as Document No. 2016-7000074 in Book 45, Page 26 of Maps of Assessment and Community Facilities Districts in the office of the County Recorder for the County of San Diego, California.__________________________________________CITY CLERKCITY OF CHULA VISTASTATE OF CALIFORNIA Filed this ______ day of ___________, 20__ at the hour of _____ o'clock__.M. in Book _______ of Maps of Assessment and Community Facilities Districts at page _____ in the Office of the County Recorder in the County of San Diego, California. THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THECITY OF CHULA VISTA, IN THE COUNTY OF SAN DIEGO, STATE OFCALIFORNIA, AND IS DESCRIBED AS FOLLOWS: PARCEL 1:APN : 568-071-22-00THE SOUTHERLY 50 FEET OF THE EASTERLY 125 FEET OF THENORTHERLY 100 FEET OF THE WESTERLY 261.72 FEET OF FIVEACRE LOT 6 IN QUARTER SECTION 137 OF CHULA VISTA, IN THECITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OFCALIFORNIA. EXCEPTING THEREFROM THE WESTERLY 9.14 FEETOF SAID PROPERTY AS CONVEYED TO THE CITY OF CHULA VISTA,BY DEED RECORDED MAY 07, 1937 IN BOOK 642, PAGE 417 OFOFFICIAL RECORDS, ACCORDING TO MAP NO. 505, FILED IN THEOFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY,MARCH 13, 1888. PARCEL 2:APN : 568-071-21-00ALL THAT PORTION OF LOT 6, QUARTER SECTION 137 OF CHULAVISTA, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO,STATE OF CALIFORNIA, ACCORDING TO MAP NO. 505, FILED IN THEOFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY,MARCH 13, 1888, DESCRIBED AS FOLLOWS: COMMENCING AT APOINT ON THE WESTERLY LINE OF THE LAND CONVEYED BY F. J.NORTON, ET AL.,TO THE CITY OF CHULA VISTA, BY DEED DATEDAPRIL 10, 1922, AND RECORDED IN BOOK 898, PAGE 408 OF DEEDS,100.00 FEET SOUTHERLY FROM THE NORTHERLY LINE OF SAIDLOT 6, SAID POINT OF COMMENCEMENT BEING ALSO A POINT INTHE SOUTHERLY LINE OF THE LAND CONVEYED BY JOSEPHINEMCGRAW TO BENJAMIN F. STEWART BY DEED DATED AUGUST 17,1920, RECORDED IN BOOK 824, PAGE 213 OF DEEDS; THENCEWESTERLY ALONG THE SOUTHERLY LINE OF LAND SO CONVEYEDTO STEWART 125.00 FEET; THENCE SOUTHERLY AT RIGHT ANGLES48.00 FEET, MORE OR LESS, TO A POINT IN THE WESTERLYEXTENSION OF THE NORTHERLY LINE OF LAND CONVEYED BYMELVINA MCGRAW, ET AL., TO A. W. WOODS, BY DEED DATEDNOVEMBER 22, 1913, RECORDED IN BOOK 632, PAGE 218 OFDEEDS; THENCE EASTERLY TO AND ALONG THE NORTHERLY LINEOF THE LAND SO CONVEYED TO WOODS, 125.00 FEET, MORE ORLESS, TO A POINT IN THE WESTERLY LINE OF LAND CONVEYEDTO THE CITY OF CHULA VISTA, ABOVE REFERRED TO; THENCENORTHERLY ALONG SAID WESTERLY LINE, 48.00 FEET, MORE ORLESS, TO THE POINT OF COMMENCEMENT. EXCEPTINGTHEREFROM THE WESTERLY 9.24 FEET AS DESCRIBED INQUITCLAIM DEED TO THE CITY OF CHULA VISTA, RECORDEDMAY 07, 1937 IN BOOK 640, PAGE 454 OF OFFICIAL RECORDS. 2018-12-11 Agenda Packet Page 102 P a g e | 1 December 11, 2018 File ID: 18-0414 TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RECITING THE FACT OF THE SPECIAL MUNICIPAL ELECTION HELD IN THIS CITY ON NOVEMBER 6, 2018, DECLARING THE RESULTS THEREOF, AND OTHER MATTERS AS ARE PROVIDED BY LAW RECOMMENDED ACTION Council adopt the resolution. SUMMARY The Registrar of Voters has transmitted the certified results of the Special Municipal Election held on November 8, 2016. Elections Code Section 10262(b) requires the City Clerk, as the City elections official, to certify the results of the election to the City Council, which shall adopt a resolution reciting the fact of the election. ENVIRONMENTAL REVIEW The Director of Development Services has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that this activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change to the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required. BOARD/COMMISSION/COMMITTEE RECOMMENDATION Not applicable. DISCUSSION A special municipal election was held on November 6, 2018 to select a Mayor, two members of the City Council to represent Districts 1 and 2, and a City Attorney, each for a full term, which will commence upon taking the oath of office, and to submit one ballot measure (Measure Q – Cannabis Business License Tax) to the electorate. Elections Code Section 10262(b) requires the City Clerk, as the City elections official, to certify the results of the election to the City Council, which shall adopt a resolution reciting the fact of the election. Certified results of the election are attached as Exhibit 1. 2018-12-11 Agenda Packet Page 103 P a g e | 2 The total number of votes received by each candidate and for Measure Q is listed below. Number of Votes Percentage of Votes Cast MAYOR MARY CASILLAS SALAS 54,062 71.86% HECTOR RAUL GASTELUM 21,175 28.14% MEMBER OF THE CITY COUNCIL, DISTRICT 1 JOHN McCANN 11,945 51.66% MARK BARTLETT 11,178 48.34% MEMBER OF THE CITY COUNCIL, DISTRICT 2 JILL M. GALVEZ 8,871 52.50% STEVE STENBERG 8,027 47.50% CITY ATTORNEY GLEN GOOGINS 43,333 60.32% ANDREW DEDDEH 28,501 39.68% MEASURE Q YES NO Shall the measure to impose a business license tax of at least 5%, and up to 15%, of gross receipts on cannabis (marijuana) businesses, and at least $5, and up to $25, per square foot on space dedicated to cannabis cultivation, to raise an estimated $6,000,000 per year, until voters change or repeal it, to fund general City services, including enforcement efforts against cannabis businesses that are operating illegally, be adopted? 48,607 (64.32%) 26,965 (35.68%) DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not applicable to this decision for purposes of determining a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Serving as the elections official and managing the elections process, which forms the foundation of our democratic system of government, is one of the primary functions of the City Clerk. While this process is not specifically associated with one of the 2018-12-11 Agenda Packet Page 104 P a g e | 3 City’s strategic goals, carrying out this important function in an ethical, impartial, transparent manner aligns with the City’s goals of Operational Excellence and Connected Community. CURRENT-YEAR FISCAL IMPACT There is no fiscal impact resulting from declaring the results of an election. ONGOING FISCAL IMPACT There is no ongoing fiscal impact resulting from declaring the results of the election. ATTACHMENTS Exhibit A - Certified results of the November 8, 2016 election Staff Contact: Kerry Bigelow 2018-12-11 Agenda Packet Page 105 ITEM #6 YOU WILL RECEIVE AN E-MAIL INDICATING WHEN THE RESOLUTION AND EXHIBIT A FOR THIS ITEM ARE AVAILABLE 2018-12-11 Agenda Packet Page 106