HomeMy WebLinkAboutReso 2019-220RESOLUTION NO. 2019-220
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA FORMING AND ESTABLISHING THE
BAYFRONT PROJECT SPECIAL TAX FINANCING DISTRICT
AND AUTHORIZING SUBMITTAL OF THE LEVY OF
SPECIAL TAX WITHIN THE BAYFRONT PROJECT SPECIAL
TAX FINANCING DISTRICT TO THE QUALIFIED ELECTORS
OF SUCH DISTRICT
WHEREAS, the City of Chula Vista, California (the “City”) is a municipal corporation and
charter city duly organized and existing under a charter pursuant to which the City has the right
and power to make and enforce all laws and regulations with respect to municipal affairs and
certain other matters in accordance with and as more particularly provided in Sections 3, 5, and 7
of Article XI of the Constitution of the State of California and the Charter of the City; and
WHEREAS, Chapter 3.61 of the Chula Vista Municipal Code (“Chapter 3.61”) was
enacted for the purpose of establishing a procedure for financing certain public and private
improvements and maintenance and services to serve the Chula Vista Bayfront Project throu gh the
establishment of the Bayfront Project Special Tax Financing District (the “District”), the levy and
collection of special taxes within the District and the issuance of bonds of the District secured by
such special taxes for the purpose of financing a Convention Center Facility (as defined in Chapter
3.61) and certain other public and/or private improvements; and
WHEREAS, the City Council of the City (the “City Council”) duly adopted its Resolution
No. 2019-168 on September 10, 2019 (the “Resolution of Intention”) wherein the City Council
declared its intention and initiated proceedings to consider the establishment of the District, to set
forth the proposed boundaries for the District, to indicate the Improvements (as defined herein
below) and the Services (as defined herein below) proposed to be financed by the District, to
indicate the proposed rate and apportionment of a special tax sufficient to finance the purchase,
construction, expansion, improvement, rehabilitation, replacement and upgrade, including
ongoing capital repairs, of the Improvements and the Services, and the administration of the
District and to repay any indebtedness incurred by the District, and to set a time and place for a
public hearing relating to the establishment of the District (the “Establishment Public Hearing”);
and
WHEREAS, pursuant to the Resolution of Intention, the City Council directed that a report
(the “Report”) be filed, at or before the time of the Establishment Public Hearing, with the City
Council containing a brief description of the Improvements and Services by type which will be
required to adequately meet the needs of the District, an estimate of the cost of providing such
Improvements and Services and, with regard to those Improvements proposed to be acquired upon
the completion thereof and those Incidental Expenses (as such term is defined in Government Code
Section 53317(e)) proposed to be paid for, an estimate of the fair and reasonable cost of such
Improvements and Incidental Expenses; and
WHEREAS, such Report was timely filed with the City Council; and
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WHEREAS, the City Council also adopted its Resolution No. 2019-169 (“Resolution
Declaring Necessity to Incur Bonded Indebtedness”) on September 10, 2019, declaring that the
public convenience and necessity requires that a bonded indebtedness be incurred by the District
in an amount not to exceed $125,000,000 to contribute to the financing of the Improvements; and
WHEREAS, the Resolution Declaring Necessity to Incur Bonded Indebtedness fixed the
time and place for a public hearing to be held on the intention of the City Council to incur a bonded
indebtedness of the District to contribute to the financing of the Improvements, such indebtedness
to be secured by all or a portion of the levy of special taxes within the District (the “Indebtedness
Public Hearing” and, together with the Establishment Public Hearing, the “Public Hearings”); and
WHEREAS, pursuant to the Resolution of Intention and the Resolution Declaring
Necessity to Incur Bonded Indebtedness, the Public Hearings were set by the City Council for
Tuesday, October 15, 2019, at the hour of 5:00 p.m., or as soon thereafter as the City Council
might reach the matters, in the Council Chambers, City Hall, 276 Fourth Avenue, Chula Vista,
California; and
WHEREAS, there are on file with the City Clerk, separate proofs of publication of the
Notice of Public Hearing regarding the establishment of the District and the necessity to incur
bonded indebtedness of the District (the “Notice of Public Hearing”) in the Star News and a
Certificate of Mailing of Notice of Public Hearings (the “Certificate of Mailing”) showing mailed
notice of the Public Hearings to each property owner within the District; and
WHEREAS, at the time and place specified for the Public Hearings, the City Council
consolidated and opened the Public Hearings and approved a motion to continue the Public
Hearings to November 5, 2019, at the hour of 5:00 p.m., or as soon thereafter as the City Council
might reach the matters, in the Council Chambers, City Hall, 276 Fourth Avenue, Chula Vista,
California; and
WHEREAS, on November 5, 2019 at the time and place specified for the continued Public
Hearings, the City Council reopened the consolidated Public Hearings and approved a motion to
continue the Public Hearings to November 19, 2019, at the hour of 5:00 p.m., or as soon thereafter
as the City Council might reach the matters, in the City Council Chambers, City Hall, 276 Fourth
Avenue, Chula Vista, California; and
WHEREAS, at the time and place specified for the continued Public Hearings, the City
Council reopened and held the consolidated Public Hearings, and all persons interested, including,
but not limited to, all taxpayers and property owners within the District were given an opportunity
to appear and be heard, and to present any matters relating to the establishment of the District, the
rate and method of apportionment of the special tax proposed to be levied within the District, the
extent of the District, the financing of the Improvements and the Services and all other related
matters, and the Report and such testimony was heard and considered by this City Council; and
WHEREAS, there has been presented to the City Council the form of an agreement entitled
Joint Community Facilities Agreement (Chula Vista Bayfront Project Special Tax Financing
District) (the “JCFA”) by and between the City and the San Diego Port District (the “Port District”)
pursuant to Government Code Section 53316.2 to set forth the essential terms for the allocation
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and payment of the Special Tax Revenues (as such term is defined in the JCFA) for the
development, operation, maintenance and servicing of various improvements located only (a)
within the Chula Vista Bayfront Master Plan (the “CVBMP”) territory; or (b) outside the CVBMP
territory but required by mitigation measures specified within the Project EIR (as such term is
defined in the JCFA) and for which the Port District or City are responsible; and
WHEREAS, prior to the adoption of this Resolution, the City Council did, by the adoption
of Resolution No. 2019-219, approve the JCFA and determine that the JCFA will be beneficial to
the residents and tenants of, and visitors to, the territory within boundaries of the District; and
WHEREAS, the City Council desires to amend the Resolution of Intention to change the
term of the Special Tax (as defined in Section 8 hereinbelow) to limit such term to read as set forth
in paragraph “J. Term of the Special Tax” of the Rate and Method of Apportionment of Special
Taxes in Exhibit C attached hereto (the “Rate and Method of Apportionment”); and
WHEREAS, all communications relating to the establishment of the District, the financing
of the Improvements and Services and the levy of the Special Tax pursuant to the Rate and Method
of Apportionment have been presented, and it has further been determined by this City Council
that a majority protest as specified by Chapter 3.61 has not been received against the establishment
of the District, the furnishing of any of the Improvements or Services or the levy of the Special
Tax pursuant to the Rate and Method of Apportionment.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CHULA VISTA, AS FOLLOWS:
SECTION 1. Recitals. The above recitals are all true and correct.
SECTION 2. Determinations. It is hereby determined by this City Council that:
A. All prior proceedings pertaining to the formation of the District were valid and
taken in conformity with the requirements of the law, and specifically the
provisions of the Chapter 3.61, and that this finding and determination is made
pursuant to the provisions of Chapter 3.61.
B. The change in the term of the Special Tax to read as set forth in the Rate and Method
of Apportionment shall not increase the maximum Special Tax or the probable
Special Tax to be paid by any Operator (as such term is defined in the Rate and
Method).
B. The written protests received, if any, do not represent a majority protest as defined
by the applicable provisions of Chapter 3.61 and as applied to the District, the
Improvements or the Services or the levy of the Special Tax pursuant to the Rate
and Method of Apportionment and, therefore, the establishment of the District, the
furnishing of the Improvements and Services and the Special Tax proposed to be
levied within the District have not been precluded by majority protest pursuant
Chapter 3.61.
C. The District, as proposed, conforms to the provisions of Chapter 3.61.
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D. The Registrar of Voters of the County of San Diego has certified that no person is
registered to vote within the territory proposed to be included in the District.
E. Pursuant to Chapter 3.61 the qualified electors of the District shall be the
Landowners of the District as such term is defined in Chapter 3.61 and each such
Landowner who is the owner of record as of the close of the Establishment Public
Hearing or any subsequent owner if the City Clerk is informed, by reliable
evidence, of a change in ownership after that time and at least 24 hours before the
deadline to submit ballots, or the authorized representative thereof, shall have one
vote for each acre or portion of an acre of land that such Landowner owns within
the District.
F. The City Clerk, acting as the election official, has consented to conducting any
required election on a date which is less than 125 days following the adoption of
any resolution forming and establishing the District.
SECTION 3. Report. The Report, as now submitted by Willdan Financial Services,
special tax consultant, shall stand as the report as required pursuant to Chapter 3.61 for all future
proceedings and all terms and contents are approved as set forth therein. The Report shall be made
a part of the record of the Establishment Public Hearing.
SECTION 4. Name of District. The City Council does hereby establish and declare the
formation of the District known and designated as the “Bayfront Project Special Tax Financing
District.”
SECTION 5. Boundaries of the District. The boundaries of the District are generally
described as follows:
All that property as shown on a map as previously approved by this City Council,
such map entitled “Map of Proposed Boundaries of the Bayfront Project Special
Tax Financing District, City of Chula Vista, County of San Diego, State of
California,” a copy of which is on file in the Office of the City Clerk. The boundary
map of the proposed District has been filed pursuant to Sections 3111 and 3113 of
the Streets and Highways Code of the State of California in the Office of the County
Recorder of the County of San Diego, at Page 38-44 of Book 48 of the Book of
Maps of Assessment and Community Facilities Districts for such County.
SECTION 6. Description of the Improvements. The District is authorized to finance the
purchase, construction, expansion, improvement, rehabilitation, replacement and upgrade,
including ongoing capital repairs, of certain public and private improvements pursuant to the
provisions of Chapter 3.61 and any other method permitted by law. The improvements shall be
located only (a) within the CVBMP territory; or (b) outside the CVBMP territory but required by
mitigation measures specified within the Project EIR (as such term is defined in the JCFA) and for
which the Port District or City are responsible. A general description of such improvements is set
forth in Exhibit “A,” attached hereto and incorporated herein by this reference (the
“Improvements”).
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All such Improvements shall have an estimated useful life of five years or longer. The
Improvements are facilities that the City and/or the Port District are authorized by law to construct,
own, or operate, or to which they may contribute revenue.
The cost of the Improvements includes Incidental Expenses and may include, but not be
limited to, the cost of planning, designing and engineering the Improvements; all costs associated
with the establishment of the District, the issuance and administration of bonds to be issued by the
District, including the payment of any rebate obligation due and owing to the federal government,
the determination of the amount of any special taxes to be levied; the cost of collecting any special
taxes; and costs otherwise incurred in order to carry out the authorized purposes of the District,
together with any other expenses incidental to the purchase, construction, expansion,
improvement, rehabilitation, replacement and upgrade, including ongoing capital repairs of the
Improvements, as set forth in Section 3.61.080 of Chapter 3.61.
SECTION 7. Description of Services. The District is authorized to finance maintenance
and services authorized to be financed pursuant to the provisions of Chapter 3.61. A general
description of the maintenance and services authorized to be financed is set forth in Exhibit “B,”
attached hereto and incorporated herein by this reference (the “Services”). The Services shall be
provided only in the territory located within the CVBMP. The Services shall include, but not be
limited to, the provision of all labor, material, administration, personnel, equipment and utilities
necessary to maintain such improvements.
The City Council finds that the Services are necessary to meet increased demands placed
upon the City and/or the Port District, as applicable, as a result of development occurring within
the boundaries of the District and the Services will not supplant services already available within
the boundaries of the District.
SECTION 8. Special Tax. Except where funds are otherwise available, a special tax
sufficient to pay for costs of the Improvements as specified in Section 6 above and the Services as
specified in Section 7 above (the “Special Tax” or “Special Taxes”), will be levied pursuant to the
provisions of Chapter 3.61 in the method described in the Rate and Method of Apportionment set
forth in Exhibit “C”, attached hereto and incorporated herein by this reference. The revenues
derived from the levy of the Special Taxes shall be allocated and utilized pursuant to the priorities
established in the JCFA and/or any Implementation Agreement (as defined in the JCFA).
For further particulars as to the Rate and Method of Apportionment reference is made to
the attached and incorporated Exhibit “C,” which sets forth in sufficient detail the rate and method
of apportionment to allow each Landowner or Operator (as such terms are defined in Chapter 3.61)
within the District to estimate the maximum amount that such Landowner or Operator will have
to pay.
The Special Taxes will be due and remitted with the Operator’s payment of transient
occupancy taxes as set forth in Chapter 3.40 of the Chula Vista Municipal Code (“Chapter 3.40”).
If a Landowner is not an Operator, the Landowner shall cause the Operator to remit the Special
Taxes imposed with the Operator’s payment of transient occupancy tax and any Special Taxes
shall only be levied on and constitute a lien against the Operator’s leasehold or possessory interest
in such Assessor’s Parcel of Public Property, all as contemplated in Section 53340.1 of the Act, as
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modified by Chapter 3.61 and shall not be an obligation for which the Landowner of such
Assessor’s Parcel of Public Property is billed or responsible. Such Landowner obligation may be
met by including a requirement to remit the Special Taxes in a lease or other real property
instrument for a Campsite Property or Hotel Property (each as defined in the Rate and Method of
Apportionment) and enforcing such requirement, as provided for in the real property instrument.
However, the Special Tax is not imposed on the Transient (as defined in Chapter 3.40), but on the
parcel or leasehold or possessory interest in a parcel containing a Hotel or Campsite (as such terms
are defined in Chapter 3.61). The Operator may, but is not required to, pass the Special Tax
through to the Transients and collect it with Rent (as defined in Chapter 3.40). Despite the method
of collection and administration, the Special Tax is distinct from the City’s transient occupancy
tax and, subject to the Rate and Method of Apportionment, may be enforced, in the event of
nonpayment, as provided in the Mello-Roos Community Facilities Act of 1982, including through
a judicial foreclosure; however, the City Council reserves the right to utilize any other lawful
means of billing, collecting, and enforcing the Special Taxes, including billing on the secured
property tax roll, direct and supplemental billing, any other legal authority to collect delinquent
Special Taxes, penalties and interest and when lawfully available, judicial foreclosure of the lien
of the Special Taxes.
Subject to the Rate and Method of Apportionment, any Special Taxes delinquent as of July
1 of any fiscal year, together with any pen alties and interest accrued as of that date, may, at the
option of the City Council, acting as the legislative body of the District, be placed on the secured
property tax roll in that fiscal year and be levied on the parcel or leasehold or possessory interest
in the parcel, as applicable, for which such Special Taxes are delinquent, where it shall be collected
in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the
same penalties and the same procedure, sale and lien priority in case of delinquency as is provided
for ad valorem taxes.
The Special Taxes are imposed by the District and not the City. The Special Tax shall be
levied by the District, in any year, only on a parcel or a leasehold or a possessory interest in a
parcel within the District for the use of such property during such year as Hotel Property or
Campsite Property.
SECTION 9. Special Taxes Accountability Measures. Pursuant to and in compliance
with the provisions of Government Code Section 50075.1, this City Council hereby establishes the
following accountability measures pertaining to the levy by the District of the Special Taxes
described in Section 8 above:
A. Each Special Tax shall be levied for the specific purposes set forth in Section 8
above.
B. The proceeds of the levy of each such Special Tax shall be applied only to the
specific applicable purposes set forth in Sections 6, 7 and 8 above.
C. The District shall establish a separate account into which the proceeds of each such
Special Tax shall be deposited.
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D. The City Manager, or his or her designee, acting for and on behalf of the District,
shall annually file a report with the City Council as required pursuant to
Government Code Section 50075.3.
SECTION 10. Preparation of Annual Tax Roll. If there is an annual tax roll prepared for
the District, the name, address and telephone number of the office, department or bureau which
will be responsible for preparing the annual current roll of Special Tax levy obligations for the
District and which shall be responsible for estimating future Special Tax levies pursuant to Chapter
3.61, are as follows:
Finance Department
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 92010
(619) 691-5250
SECTION 11. Substitution Improvements. The description of the Improvements, as set
forth in Exhibit A hereto, is general in its nature. The final nature and location of the Improvements
will be determined upon the preparation of final plans and specifications therefor. Such final plans
may show substitutes in lieu of, or modification to, the above described types of facilities and any
such substitution shall not be a change or modification in the proceedings as long as the facilities
provide a service substantially similar to that as set forth in this Resolution.
SECTION 12. Election. This City Council herewith submits the levy of the special tax to
the qualified electors of the District as specified in Section 2E above, such electors being the
Landowners in the District, with each Landowner having one (1) voter for each acre or portion
thereof of land which he or she owns within the District.
[SIGNATURES ON THE FOLLOWING PAGE]
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Presented by Approved as to form by
Kelly G. Broughton, FASLA Glen R. Googins
Director of Development Services City Attorney
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 19th day of November 2019 by the following vote:
AYES: Councilmembers: Diaz, Galvez, McCann, Padilla, and Casillas Salas
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
Mary Casillas Salas, Mayor
ATTEST:
Kerry K. Bigelow, MMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2019-220 was duly passed, approved, and adopted by the City Council at a regular
meeting of the Chula Vista City Council held on the 19th day of November 2019.
Executed this 19th day of November 2019.
Kerry K. Bigelow, MMC, City Clerk
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EXHIBIT A
DESCRIPTION OF THE AUTHORIZED IMPROVEMENTS
1. Convention Center Facility (as defined in Chula Vista Municipal Code Chapter 3.61);
2. Street improvements, including grading, paving, curbs, gutters, sidewalks, street
signalization, signage, street lights, furnishings, and parkway and median landscaping
related thereto;
3. Gateway signage;
4. Pedestrian and bicycle paths;
5. Storm drains and other water quality devices to ensure regional permit compliance;
6. Public utilities (including but not limited to water, reclaimed water, sewer, electric, gas,
and telephone);
7. Public parks, open space and recreation facilities;
8. Fire protection and emergency response facilities;
9. Parking improvements;
10. Museums and cultural facilities;
11. Ecological and sustainability educational improvements;
12. Energy efficiency, water conservation, and renewable energy improvements;
13. Land, rights-of-way and easements necessary for any facilities to be financed by the
District; and
14. Equipment, apparatus, facilities or fixtures with an expected useful life of 5 years or longer
necessary for any of the foregoing or necessary to provide any of the services described in
Exhibit B.
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EXHIBIT B
DESCRIPTION OF THE AUTHORIZED SERVICES
Authorized Services shall include the operation, maintenance, servicing, and replacement of the
authorized Improvements (see Exhibit A), together with the following additional Services:
1. Landscaping, including, but not limited to trees, shrubs, grass, other ornamental vegetation
located in or on slopes, parkways and medians;
2. Facilities that are directly related to storm water conveyance, including, but not limited to
pipes and drainage inlets, detention basins, linear bioretention, and parks;
3. Walls and fencing;
4. Parks, including landscaping, facilities, walls, fencing, lighting, and trails;
5. Streetscape improvements, including lighting, furnishings and appurtenances;
6. Parking improvements;
7. Transportation services;
8. Promotion of public events and tourism;
9. Security, sanitation, graffiti removal, street and sidewalk cleaning, and other municipal
services supplemental to those normally provided by the City or other service provider;
and
10. Repair of the authorized Improvements.
For purposes of this description of the Services to be funded by the levy of Special Taxes within
the District, “maintenance” includes, but is not limited to, the furnishing of services and materials
for the ordinary and usual maintenance, operation, management and servicing of any of the
authorized Improvements, including:
1. Repair, removal, or replacement of the authorized Improvements;
2. Providing for the life, growth, health, and beauty of habitat, including the cultivation,
irrigation, trimming, spraying, fertilizing, or treating for disease or injury;
3. The removal of trimmings, rubbish, debris, silt, and other solid waste;
4. The cleaning, sandblasting, and painting of walls and other facilities to remove or cover
graffiti;
5. The elimination, control, and removal of rodents and vermin;
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6. The operation and management of open space and natural habitat, including biological
monitoring and evaluation of collected data;
7. The conduct of biological activities necessary to sustain the species being protected;
8. The operation and maintenance of pedestrian bridges and community gardens within or
appurtenant to such open space or habitat area(s); and
9. The maintenance and cleaning of drainage and other storm water control facilities required
to provide storm water quality control.
“Service” or “servicing” means the furnishing of:
1. Electric current or energy, gas, or other illuminating agent for any public lighting facilities
or for the lighting or other operation of any other Improvements; and
2. Water for the irrigation of any landscaping or the operation or maintenance of any other
Improvements.
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EXHIBIT C
RATE AND METHOD OF
APPORTIONMENT OF SPECIAL TAX
BAYFRONT PROJECT SPECIAL TAX FINANCING DISTRICT
The Special Tax authorized by the Bayfront Project Special Tax Financing District (the “District”) shall be
levied on all Taxable Property and collected within the District as provided herein commencing in Fiscal
Year 2020-2021, in an amount determined by the City Council of the City of Chula Vista, acting as the
legislative body of the District, through the application of the rate and method of apportionment of the
Special Tax set forth below. All of the real property within the District, unless exempted by law or by the
provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
“Act” means the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part 1, Division 2
of Title 5 of the Government Code of the State of California.
“Assessor’s Parcel” means a lot or parcel designated on an Assessor’s Parcel Map with an assigned
Assessor’s Parcel number within the boundaries of the District.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by
Assessor’s Parcel number.
“Bond Documents” means any indenture of trust, bond indenture, fiscal agent agreement, trust
agreement, resolution or other instrument setting forth the terms of any Bonds, as modified,
amended and/or supplemented from time to time, and any instrument replacing or supplementing
the same.
“Bonds” means any binding obligation to repay a sum of money, including obligations in the form of
bonds, notes, certificates of participation, long-term leases, loans from government agencies, or
loans from banks, other financial institutions, private businesses, or individuals, or long-term
contracts, or any refunding thereof, to which the Special Tax has been pledged.
“Boundary Map” means the “Map of Proposed Boundaries of the Bayfront Project Special Tax
Financing District, City of Chula Vista, County of San Diego, State of California,” filed September 12,
2019 in Book 48 of Maps of Assessments and Community Facilities Districts in the office of the County
Recorder.
“Calendar Year” means the period commencing January 1 of any year and ending the following
December 31.
“Campsite” shall have the meaning given such term in Chapter 3.61.
“Campsite Property” means an Assessor’s Parcel of Taxable Property which consists of any Campsite
or Campsites.
“Chapter 3.61” means Chapter 3.61 of the Chula Vista Municipal Code.
“City” means the City of Chula Vista.
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“City Council” means the City Council of the City, acting as the legislative body of the District, or its
designee.
“City Manager” means the City Manager of the City.
“County” means the County of San Diego.
“Director of Finance” means the Director of Finance of the City.
“District” means the Bayfront Project Special Tax Financing District established by the City pursuant
to Chapter 3.61.
“Exempt Property” means all Assessor’s Parcels within the District which are exempt from the
Special Tax pursuant to law or Section F herein.
“Fiscal Year” means the period commencing on July 1 of any year and ending the following June 30.
“Hotel” shall have the meaning given such term in Chapter 3.61.
“Hotel Property” means an Assessor’s Parcel of Taxable Property which consists of any Hotel or
Hotels.
“Landowner” shall have the meaning given such term in Chapter 3.61.
“Maximum Annual Special Tax Rate” shall, for any Fiscal Year, not exceed five percent (5%) of all
Rent charged during such Fiscal Year for the privilege of Occupancy by Transients of the Campsite(s)
or Hotel(s), as applicable, located on each Assessor’s Parcel of Campsite Property or Hotel Property.
“Occupancy” shall have the meaning given such term in Chapter 3.61.
“Operator” shall have the meaning given such term in Chapter 3.61.
“Port District” means the San Diego Unified Port District.
“Public Property” means any property within the boundaries of the District that is owned or held in
trust by or irrevocably dedicated to the City, the federal government, the State of California, the
County, the Port District, or any other public agency.
“Rent” shall have the meaning given such term in Chapter 3.61.
“Resolution of Formation” means the resolution adopted by the City Council pursuant to Chapter
3.61 establishing the District.
“Special Tax” means the special tax authorized by the District to be levied by the City Council
pursuant to Chapter 3.61.
“Taxable Property” means all Assessor’s Parcels that are not exempt from the Special Tax pursuant
to law or this Rate and Method of Apportionment of Special Tax.
“Transient” shall have the meaning given such term in Chapter 3.61.
B. CLASSIFICATION OF ASSESSOR’S PARCELS
Each Fiscal Year, beginning with Fiscal Year 2020-2021, each Assessor’s Parcel shall be classified as Taxable
Property or Exempt Property. In addition, each Assessor’s Parcel of Taxable Property shall be further
classified as Campsite Property or Hotel Property. Commencing with Fiscal Year 2020-2021, all Campsite
Property and Hotel Property shall be subject to the levy of the Special Tax pursuant to Section C below.
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C. SPECIAL TAX
For each Fiscal Year commencing Fiscal Year 2020-2021, the City Council shall, by resolution adopted on
or before May 31st preceding such Fiscal Year, levy the Special Tax on each Assessor’s Parcel classified as
Campsite Property or Hotel Property at a rate not to exceed the Maximum Annual Special Tax Rate. For
each succeeding Fiscal Year, the Special Tax shall be levied at the same rate as the rate levied in the
preceding Fiscal Year unless the City Council shall, by resolution adopted by May 31st of the preceding
Fiscal Year, levy the Special Tax at a different rate than the rate levied in the preceding Fiscal Year not to
exceed the Maximum Annual Special Tax Rate.
The Special Tax associated with Rent that is charged for Occupancy by Transients shall be considered
levied at the same time the Transient ceases such Occupancy. If a Public Property is classified as Campsite
Property or Hotel Property due to the grant of a lease or other possessory interest in such Assessor’s
Parcel of Public Property to the Operator of a Campsite or Hotel thereon, the Special Tax shall only be
levied during such time that such grant of lease or possessory interest is effective and shall cease upon
the termination or expiration of such grant of lease or possessory interest.
D. MANNER OF COLLECTION
The Special Tax shall be due and remitted pursuant to the provisions of Section 3.61.120 of Chapter 3.61.
E. PREPAYMENT OF THE SPECIAL TAXES
The Special Tax may not be prepaid.
F. EXEMPTIONS
Assessor’s Parcels not classified as Campsite Property or Hotel Property shall be exempt from the levy of
the Special Tax.
G. FAILURE TO SUBMIT SPECIAL TAX
If the Operator of any Campsite or Hotel located on an Assessor’s Parcel of Campsite Property or Hotel
Property, or the Landowner of an Assessor’s Parcel of Campsite Property or Hotel Property that is not
Public Property, fails or refuses to pay the Special Tax levied on such Assessor’s Parcel when due, the
Director of Finance shall proceed in such manner as deemed best to obtain facts and information on which
to base his/her estimate of such Special Tax. As soon as the Director of Finance has acquired such facts
and information upon which to base such Special Tax for such Campsite Property or Hotel Property, the
Director of Finance shall proceed to determine the amount of such Special Tax due plus any penalties
thereon, as described below ("Determination of Special Tax Due"). In the case that such determination is
made, the Director of Finance shall give a Determination of Special Tax Due by serving it personally or by
depositing it in the United States mail, postage prepaid, addressed to such Operator or such Landowner,
as applicable, at its last known address. Such Operator or such Landowner, as applicable, may file an
appeal as provided in Section J herein.
The Special Tax on any Campsite Property or Hotel Property which is not paid within the time required
shall be subject to the same penalties applicable to the transient occupancy tax in subsections A and B of
Section 3.40.080 of the Chula Vista Municipal Code. For any Special Taxes and penalties that remain
outstanding as of July 1 of each Fiscal Year, the City Council may direct the Director of Finance to cause
the submission of any of the delinquent Special Taxes and penalties to the County for inclusion on the
property tax bill for such Assessor's Parcel(s) in accordance with Section 3.61.130 of Chapter 3.61;
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Resolution No. 2019-220
Page No. 15
provided, however, that any delinquent Special Taxes and penalties with respect to any Assessor’s Parcel
of Public Property that is classified as Campsite Property or Hotel Property due to the grant of a lease or
other possessory interest in such Assessor’s Parcel of Public Property to the Operator of a Campsite or
Hotel thereon shall only be levied on and constitute a lien against the Operator’s leasehold or possessory
interest in such Assessor’s Parcel of Public Property, all as contemplated by Section 53340.1 of the Act, as
modified by Chapter 3.61, and shall not be an obligation for which the Landowner of such Assessor’s Parcel
of Public Property is billed or responsible.
H. MAINTENANCE OF RE CORDS; SPECIAL TAX AUDIT
It shall be the duty of the Operator of any Campsite or Hotel located on any Assessor's Parcel classified as
Campsite Property or Hotel Property that is subject to the Special Tax to keep and preserve, for a period
of three years, all records as may be deemed necessary by the Director of Finance (and that will, at a
minimum, include a record of all Rents collected) to determine the Special Taxes levied upon such
Campsite Property or Hotel Property by the City Council. The Director of Finance shall have the right to
inspect such records at all reasonable times.
I. APPEAL
Any Operator of a Campsite or Hotel located on any Campsite Property or Hotel Property or any
Landowner of any Campsite Property or Hotel Property claiming that the amount or application of the
Special Tax reflected in any Determination of Special Tax Due on such Campsite Property or Hotel Property
is not correct, may appeal such Determination of Special Tax Due by filing a notice of appeal with the City
Clerk within fifteen (15) calendar days of the serving or mailing of such Determination of Special Tax Due.
If such appeal is made by an Operator that is not also the Landowner of such property, then the Operator
shall also provide a copy of such notice of appeal to the Landowner at the same time the Operator files
the notice of appeal with the City Clerk. Upon receipt of any such notice, the City Clerk shall forward a
copy of such notice to the City Manager who shall establish as part of the proceedings and administration
of the District a special three-member Appeal Committee. The Appeal Committee may establish such
procedures as it deems necessary to undertake the review of any such appeal. The Appeal Committee
shall interpret this Rate and Method of Apportionment and make determinations relative to the annual
administration of the Special Tax and any appeals by Landowners, or Operators, as herein specified. The
decision of the Appeal Committee shall be final, conclusive, binding as to all persons and shall be served
upon the Operator or Landowner in writing at the last known address of such Operator or Landowner.
Any amount found due shall be immediately due and payable upon service of the Appeal Committee
findings. If the Appeal Committee decision requires that the Special Tax for an Assessor’s Parcel be
modified or changed in favor of the Operator or Landowner, a cash refund shall not be made, but a credit
shall be given against the future Special Taxes on that Assessor’s Parcel.
J. TERM OF THE SPECIAL TAXES
The Special Tax shall be levied as long as necessary to pay for authorized expenditures as specified in
Section 3.61.080 of Chapter 3.61 for a period not to exceed the longer of: (a) forty years from the first day
of the month immediately following the effective date of the ordinance enacted by the City Council
providing for the levy of the Special Tax; or (b) the date on which all indebtedness of the Chula Vista
Bayfront Facilities Financing Authority, with respect to which District Special Tax revenues have been
pledged, has been paid in full.
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