Loading...
HomeMy WebLinkAboutReso 2005-245 RESOLUTION NO. 2005-245 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), MAKING CERTAIN DETERMINATIONS AND AUTHORIZING SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 97- 2 (PRESERVE MAINTENANCE DISTRICT) WHEREAS, the City Council of the City of Chula Vista (the "City Council"), has previously declared its intention and held and conducted proceedings relating to the annexation of territory to an improvement area in an existing community facilities district pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part I, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereof (the "Act") 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"). The existing Community Facilities District has been designated as Community Facilities District No. 97-2 (Preserve Maintenance District) (the "District") and the improvement area has been designated as Improvement Area "A"; and WHEREAS, notice of a public hearing relating to the annexation of territory to Improvement Area "A", the extent of the territory to be annexed, the furnishing of certain public services and all other related matters has been given; and WHEREAS, the area proposed to be annexed is known and designated as Community Facilities District No. 97-2 (Preserve Maintenance District), Improvement Area "A", Annexation No.5 (the "Annexation Area"); and WHEREAS, it has now been determined that written protests have not been received by 50% or more of the registered voters residing either within the Annexation Area or Improvement Area "A" and/or property owners representing more than one-half or more of the area of land within the Annexed Area or within Improvement Area "A"; and WHEREAS, inasmuch as there have been less than twelve persons registered to vote within the Annexation Area for each of the 90 preceding days, this legislative body desires to submit the levy of the required special tax to the landowners of the Annexation Area, said landowners being the qualified electors as authorized by law. Resolution No. 2005-245 Page 2 NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION I. Recitals. The above recitals are all true and correct. SECTION 2. Determinations. It is determined by this City Council that: (a) all proceedings prior hereto were valid and taken in conformity with the requirements of law, and specifically the provisions of the Community Facilities District Law, and this finding is made pursuant to the provisions and authorization of Section 53325.1 of the Government Code of the State of California; (b) the annexation of the Annexation Area to Improvement Area "A" as proposed conforms with the City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts; (c) less than twelve (12) registered voters have resided within the Annexation Area for each of the ninety (90) days preceding the close of the public hearing and, consequently, the qualified electors shall be the landowners of the Annexation Area and each landowner who is the owner of record as of the close of the public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that she or he owns within the Annexation Area; (d) the time limit specified by the Community Facilities District Law for conducting an election to submit the levy of the special taxes to the qualified electors of the Annexation Area and the requirements for impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified electors of the Annexation Area; (e) 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 annexing the Annexation Area to the District; and (f) the public services proposed to be financed from the proceeds of special taxes to be levied within the Annexation Area are necessary to meet increased demands placed upon the City as a result of development and/or rehabilitation occurring in the Annexation Area. SECTION 3. Boundaries Of Annexed Area. The boundaries and parcels of land the Annexation Area and in which the public services are to be provided and on which special taxes will be levied in order to pay the costs and expenses for such public services are generally described as follows: Resolution No. 2005-245 Page 3 All that property and territory proposed to be annexed to Improvement Area "A" of the District, as said property is shown on a map as previously approved by this legislative body, said map designated by the number of the annexation and the name of the District and Improvement Area "A," a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. SECTION 4. DescriDtion Of Services. The services that are authorized to be financed from the proceeds of special taxes levied within Improvement Area "A" of the District are certain services which are in addition to those services provided in or required for the territory within Improvement Area "A" and will not be replacing services already available. A general description ofthe services authorized to be financed by Improvement Area "A" is as follows: The monitoring, maintenance, operation and management of public property in which the City has a property interest and which conforms to the requirements of the Ordinance or private property within the Otay Ranch Preserve which is required by the Preserve Owner/Manager to be maintained as open space or for habitat maintenance or both. Such property may be located outside the boundaries of the District and outside the jurisdictional boundaries of the City of Chula Vista. Such services shall not include the maintenance, operation and/or management of any property owned, maintained, operated and/or managed by the federal and/or state government as open space, habitat maintenance and/or for any other purpose. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide such monitoring, maintenance, operation and management of such public property. The same types of services which are authorized to be financed by the District from the proceeds of special taxes levied within Improvement Area "A" are the types of services to be provided in the Annexation Area. If and to the extent possible such services shall be provided in cornmon with Improvement Area "A" and the Annexation Area. SECTION 5. SDecial Tax ExceDt. where funds are otherwise available, a special tax sufficient to pay for such services to be provided in the Annexation Area, secured by recordation of a continuing lien against all non-exempt real property in the Annexation Area will be levied annually within the boundaries of the Annexation Area. For particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Exhibit "A" which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the Annexation Area to clearly estimate the maximum amount of the special tax that such person will have to pay. The special taxes shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency, as applicable for ad valorem taxes; however, as applicable, this City Council may, by resolution, establish and adopt an alternate or supplemental procedure as necessary. Any special taxes that may not be collected on the County tax roll shall be collected through a direct Resolution No. 2005-245 Page 4 billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. SECTION 6. Election. The proposition related to the levy of the special tax shall be submitted to the qualified electors of the Annexation Area, said electors being the landowners, with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within said annexed territory. The special election shall be held on July 12,2005, and said election shall be a special election to be conducted by the City Clerk (hereinafter "Election Official"). If the proposition for the levy of the special tax receives the approval of more than two-thirds (2/3) of the votes cast on the proposition, the special tax may be levied as provided for in this Resolution. SECTION 7. Ballot. The ballot proposal to be submitted to the qualified voters at the election shall generally be as follows: PROPOSITION A CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 97-2, IMPROVEMENT AREA "A" ANNEXATION NO.5 AUTHORIZATION FOR SPECIAL TAX LEVY Shall Community Facilities District No. 97-2 (Preserve Maintenance District) of the City of Chula Vista be authorized to levy special taxes within the territory identified as Annexation No. 5 to Improvement Area "A" of such District pursuant to the rate and method of apportionment of special taxes (the "Special Tax Formula") set forth in the Resolution Making Certain Determinations and Authorizing Submittal of Levy of Special Taxes to Qualified Voters Within Community Facilities District 97-2 (Reserve Maintenance District) to finance the authorized services and administrative expenses and to fund and replenish a reserve fund, all as provided for in the Special Tax Formula? SECTION 8. Vote. The appropriate mark placed in the line before the word "YES" shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the line before the word "NO" in the manner as authorized, shall be counted against the adoption of said proposition. SECTION 9. Election Procedure. This City Council hereby authorizes the Election Official to take any and all steps necessary for the holding of said election and ratifies any such steps previously taken by such Election Official which were necessary for the holding of such election. Said Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of said election, and said services shall include, but not be limited to the following: (a) Prepare and furnish to the election officers necessary election supplies for the conduct of the election. Resolution No. 2005-245 Page 5 (b) (c) (d) (e) (f) (g) (h) (i) G) Prepared by Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. Furnish and address official ballots for the qualified electors of the Community Facilities District. Cause the official ballots to be mailed and/or delivered, as required by law. Receive the returns of the election. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. Canvass the returns of the election. Furnish a tabulation of the number of votes given in the election. Make all arrangements and take the necessary steps to pay all costs of the election incurred as a result of services performed by the District and pay costs and expenses of all election officials. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. Approved as to form by ~~~/ ~ohaib Al-Agha City Engineer (~ fVL6~ Ann Moore City Attorney Resolution No. 2005-245 Page 6 PASSED, APPROVED, and ADOPTED by tbe City Council of the City ofChula Vista, California, this 12th day of July, 2005, by tbe following vote: AYES: Councilmembers: Davis, McCann, Rindone, and Padilla NAYS: Councilmembers: None ABSENT: Councilmembers: Castaneda ATTEST: ==--- ")fJ..L~ ftJ~ 6' ~ Susan Bigelow, MMC, Ci Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2005-245 was duly passed, approved, and adopted by the City Council at a regular meeting oftbe Chula Vista City Council held on tbe l2tb day of July, 2005. Executed this 12tb day of July, 2005. ~ q~~~ Susan Bigelow, MMC, City. lerk ./ Resolution No. 2005-245 EXH I 8 IT A Page 7 CITY OF CHULA VISTA COMMUNITY FACIUTIES DISTRICT NO. 97-2, ANNEXATION NO.5 RATE AND METHOD OF APPORTIONMENT IMPROVEMENT AREA A (Village 7, McMillin and Otay) A Special Tax of Co=unity Facilities District No. 97-2 (preserve Maintenance District) of the City of Chula Vista ("CFD") shall be levied on all Assessor's Parcels in Improvement Area A, Annexation No.5, of the CFD and collected each Fiscal Year co=encing in Fiscal Year 2005-06 in an amount determined through the application of the rate and method of apportionment of the Special Tax set forth below. All of the real property in the CFD, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable Final Subdivision Map, other final map, other parcel map, other condominium plan, or functionally equivalent map or instrument recorded in the Office of the County Recorder. The square footage of an Assessor's Parcel is equal to the Acreage multiplied by 43,560. "Act" means the Mello-Roos Co=unity Facilities Act of 1982, as amended, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the actual or estimated costs incurred by the City, acting for and on behalf of the CFD as the adm;n;<trator thereof, to determine, levy and collect the Special Taxes, including salaries of City employees and a proportionate amount of the City's general admin;<trative overhead related thereto, and the fees of consultants and legal counsel providing services related to the administration of the CFD; the costs of collecting installments of the Special Taxes; and any other costs required to administer Area A of the CFD as determined by the City. . Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned assessor's parcel number. city of Cb,J" Villa CFD No. 97-2, A.aaado. No.5, L4 A, Village 7 (McMillin aM Otay) 0412012005 Pagel Resolution No. 2005-245 Page 8 "Assessor's Parcel Map" means an official map of the Assessor of the County designating parcels by assessor's parcel number. "Building Square Foot or Square Footage" means the square footage as shown on an Assessor's Parcel's building permit of Residential Property excluding garages or other structures not used as living space. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD" means Co=unity Facilities District No. 97-2 of the City of Chula Vista. "City" means the City of Chula Vista. "City Clerk" means the City Clerk for the City of Chula Vista or his or her designee. "City Manager" means the City Manager for the City of Chula Vista or his or her designee. "Community Purpose Facility Property" or "CPF Property" means all Assessor's Parcels which are classified as co=unity purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2452. "Council" means the City Council of the City of Chula Vista, acting as the legislative body of the CFD. "County" means the County of San Diego, California. "Developed Property" means all Taxable Property for which a building permit was issued prior to the March 1st preceding the Fiscal Year in which the Special Taxis being levied. "Final Map Property" means a single family residential lot created by a Final Subdivision Map, but which is not classified as Developed Property. "Final Subdivision Map" means a subdivision of property creating single family residential buildable lots by recordation of a fmal subdivision map or parcel map pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.), or recordation of a condominium plan pursuant to California Civil Code 1352, that creates individual lots for which building permits may be issued without further subdivision and is recorded prior to March 1 preceding the Fiscal Year in which the Special Tax is being levied. Cily of Cbul4 V'_ 04/2012DOS em No. 97-2, A,,1IOX4IIioJt No. S, L4. A, ViIIIIge 7 (McMiWn tmd Ot4y) Pqo 2 Resolution No. 2005-245 Page 9 "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Improvement Area A. or "Area A" means Improvement Area A of the CFD, as identified on the boundary map for the CFD as amended from time to time. "Land Use Class" means any of the classes listed in Table 1, Table 2, or Table 3. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section C below that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Non-Residential Property" means all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for a structure or structures for non- residential use. "Operating Fund" means a fund that shall be maintained within the CFD for each Fiscal Year to pay for Resource Monitoring and/or Preserve Operations and Maintenance activities and Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the Resource Monitoring Fund Requirement and the Preserve Operations and Maintenance Fund Requirement for the current Fiscal Year in which Special Taxes are levied. "Preserve Operations and Maintenance" means those actIvItIes described III Attachment A hereto which is incorporated herein by this reference. "Preserve Operations and Maintenance Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Admini.trative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Property Owner Association Property" means any property within the boundaries of Area A of the CFD that is owned by, or irrevocably dedicated as indicated in an instrument recorded with the County Recorder to, a property owner association, including any master or sub-association. "Public Property" means any property within the boundaries {)f Area A of the CFD that is, at the time of the CFD formation, expected to be used for any public purpose city at Cbu/4 v_ CFD No. 97-2, AlUJaalioo No. S, 14 A, Villago 7 (McMillin atul Ot4ry) 04/20/2OCS Pa,.3 Resolution No. 2005-245 Page 10 and is owned by or dedicated to the federal government, the State, the County, the City or any other public agency. "Rescrvc Fund" means a fund that shall be maintained for the CFD each Fiscal Year to provide necessary cash flow for the first six months of each Fiscal Year, working capital to cover monitoring, maintenance and repair cost overruns and delinquencies in the payment of Special Taxes and a reasonable buffer to prevent large variations in annual Special Tax levies. "Rcservc Fund Balancc" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Rcscrvc Fund Requiremcnt" means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. "Rcsidcntial Property" mcans all Assessor's Parcels of Developed Property for which a building permit(s) has been issued for purposes of constructing one or more residential dwelling unit. "Resource Managemcnt Plan" means the Otay Ranch Phase 1 Resource Management Plan also referred to as "The Otay Ranch Resource Management Plan" dated October 28, 1993, and the Ouy Ranch Phase 2, Resource Management Plan dated June 4, 1996, as both such plans may be amended from time to time. "Resource Monitoring Program" means those described in Attachment B hereto which is incorporated herein by this reference. "Resource Monitoring Fund Requirement" means for any Fiscal Year an amount for Improvement A:rea A equal to Improvement Axea A's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Ac!mini<trative Expenses of the CFD for the current Fiscal Year in which Special Taxes are levied. Improvement Area A's "fair share" shall be based on Improvement Area A's percentage of the total acreage within the Otay Ranch General Development Plan Planning Area for which a Resource Monitoring Program funding mechanism has been established. - "Special Tax" means the Special Tax levied pursuant to the provisions of sections C and D below in each Fiscal Year on each Assessor's Parcel of Developed Property and Undeveloped Property in Axea A to fund the Special Tax Requirement. City ofCbrJ4 Vrst4 CFD No. 97-2, AM......... No.5, IA A, Villago 7 (McMillill tmd 0tIty) 04/20/2001 P.,.4 -----.---- Resolution No. 2005-245 Page 11 "Special Tax Requirement" means that amount required in any Fiscal Year for Area A to: (1) pay the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) pay any amounts required to establish or replenish the Reserve Fund to the Reserve Fund Requirement; (ill) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous Fiscal Year. "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of Area A of the CFD that are not exempt from the Special Tax pursuant to law or as defIned below. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classifIed as Developed Property. city afCbNl4 V"ut4 CFD No. 97-2, Aruuxation No.5, ]A A, Village 7 (McMillin allli Ot4y) 0412012005 Page 5 Resolution No. 2005-245 Page 12 B. ASSIGNMENT TO CATEGORIES OF SPECIAL TAX Each Fiscal Year using the definitions above, all Taxable Property within Area A of the CFD shall be classified as Category I, Category IT, Category ill or Exempt. Developed Property, Final Map Property or Undeveloped Property, and shall be subject to Special Taxes pursuant to Sections C and D below. Developed Property shall be further assigned to a Land Use Class as specified in Table 1. C. MAXIMUM SPECIAL TAX RATE Category I Category I includes Developed Property within the District (.Category 1"). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance for Fiscal Year 2004-05 on Developed Property are the rates set forth in Table 1 below. For Residential Property, the Special Tax shall be levied based upon Building Square Footage and for Non-Residential Property shall be levied based on Acreage. TABLE 1 Maximum Special Tax for Category I Community Facilities District No. 97.2 Improvement Area A (Fiscal Y car 2004-05) Description Resource Operation I!c Monitorinl/: Maintenance Residential $0.0057 $0.0090 Non-Residential $91.9458 $145.9707 Category IT Category IT includes each Assessor's Parcel of Taxable Property within the District for which a Final Map has been recorded, but which is not classified as a Developed Parcel (.Category IT"). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance approved for Fiscal Year 2004-05 on each Assessor's Parcel in Category IT city of CbuLI ViJU CFD No. 97-2, Anllt%a/ion No.1, LA A, Vil14go 7 (McMillin and 0tIty) 04/20/2001 Pap 6 Resolution No. 2005-245 Page 13 is the rate set forth in Table 2 below (said amount to be levied pro rata for any portion of an Acre). TABLE 2 Maximum Special Tax for Category II Community Facilities District No. 97-2 Improvement Area A (Fiscal Year 2004.05) Resource Monitorin $91.9458 er Acre Oration Ik Maintenance $145.9707 er Acre Category III Category m includes each Parcel of Taxable Property within the District not subject to Special Tax under any other category ("Category m"). The Maximum Special Tax approved for Fiscal Year 2004-05 on Taxable Property within Category m is the rate set forth in Table 3 below (said amount to be levied pro rata for any portion of an Acre). TABLE 3 Maximum Special Tax for Category III Community Facilities District No. 97.2 Improvement Area A (Fiscal Year 2004-05) Resource Monitorin $59.3419 er Acre eration Ik Maintenance $94.2100 er Acre Exempt Category The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a public agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). city afCb0d4 v_ CFD No. 97-2, Ann...mon No.5. IA A. Vill4ge 7 (McMillin <<1Ul Otay) 0412012005 P<<ge7 Resolution No. 2005-245 Page 14 Special Cases In some insunces ~ Assessor's Parcel of Developed Property may contain more than one Land Use Class and be considered" Special Case". The Maximum Special Tax that may be levied on an Assessor's Parcel identified as Special Case shall be the sum of the Maximum Special Tax levies that may be levied on all Land Use Classes located on that Assessor's Parcel. The CFD Administrator's shall determine the allocation to each Land Use Class. Annual Escalation of Maximum Special Tax The Maximum Special Tax as shown in the tableS above that may be levied on each Assessor's Parcel in Area A shall be increased each Fiscal Year beginning in Fiscal Year 2005-06 for Annexation No. 5 and thereafter by a factor equal to the lesser of the annual percentage change in the January to January San Diego Metropolitan Area all Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's Budget published every year. D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal' Year 2005-06, and for each following Fiscal Year, the Council shall levy the Area A Special Tax at the rates established pursuant to steps 1 through 4 below so that the amount of the Special Tax levied equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: Step 1: Determine the revenue which could be generated by Parcels assigned to Category I by multiplying the Building Square Footage for Parcels classified as Residential Parcels by the Maximum Special Tax per Building Square Foot for Resource Monitoring, and Preserve Operations and Maintenance for Parcels and adding to that the maximum revenue which could be generated by multiplying the total acres for Parcels classified as Non-Residential Parcels by the Maximum Special Tax per Acre for Resource Monitoring and Preserve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area A, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total revenue as calculated in Step 1 is less than the Special Tax Liability for Improvement Area A, a Special Tax shall be levied upon each Parcel within city at Cblllil V/st4 em No. 97-2, A....-. No.1. IA A, VilIago 7 (McMillin IIU Ottty) 0412012001 P..,. 8 ._~ Resolution No. 2005-245 Page IS Improvement Area A, classified as Category II. The Special Tax for Parcels assigned to Category II shall be calculated as the lesser of: (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category II, OR (ii) The Maximum Special Tax rate for Parcels assigned to Category II. Step 4: If the total revenue as calculated in Step 1 and 3 is less than the Special Tax Liability, for Improvement Area A, a Special Tax shall be levied upon each Parcel within Improvement Area A classified as Category m. The Special Tax for Parcels assigned the Category m shall be calculated as the lesser of: (1) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parcels under Step 1 and 3 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category m, OR (ii) The Maximum Special Tax rate for Parcels assigned to Category ill and within Improvement Area A. However, in the event it is determined that the Special Tax Liability for Improvement Area A includes delinquent Special Taxes from Parcel in Category ill from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category m Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category ill according to the procedure set forth in the preceding paragraph. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Residential Property or Multi-Family Property for which an occupancy permit for private residential use has been issued be increased by more than City of ChrJ. ViJt.r CFD No. 97-2, Annoralian No.5, LA A, Vil14,. 7 (McMillin and Otay) 0412012005 Pa,. 9 Resolution No. 2005-245 Page 16 ten percent annually up to' the Maximum Special Tax as a cansequence af delinquency ar default by the awner af any ather Assessar's Parcel within Area A af the CFD. E. APPEALS AIry landawner ar resident whO' pays the Special Tax and believes that the amaunt af the Special Tax levied an their Assessar's Parcel is in errar shall first cansult with the CFD Adm;n;<1;ratar regarding such errar. IT fallawing such cansultatian, the CFD Administratar determ.ines that an errar has accurred, the CFD Adm;ni<tratarmay amend the amaunt af the Special Tax levied an such Assessar's Parcel. IT fallawing such cansultatian and actian, if any by the CFD Administratar, the landawner ar resident believes such errar still exists, such persan may file a written natice with the City Clerk af the City appealing the amaunt af the Special Tax levied an such Assessar's Parcel. Upan the receipt af any such natice, the City Clerk shall farward a capy af such natice to' the City Manager whO' shall establish as part af the praceedings and administratian af the CFD, a special three-member Review/Appeal Cammittee. The Review! Appeal Ca=ittee may establish such pracedures, as it deems necessary to' undertake the review af any such appeal. The Review! Appeal Ca=ittee shall interpret this Rate and Methad af Appartianment and make determinatians relative to' the annual administratian af the Special Tax and any landowner ar resident appeals, as herein specified. The decisian af the Review! Appeal Cammittee shall be fmal and binding as to' all persans. F. MANNER OF COLLECTION Special Taxes levied pursuant to' Sectian D abave shall be collected in the same manner and at the same time as ardinary ad valorem praperty taxes; pravided, hawever, that the CFD Admini<tratar may directly bill the Special Tax, may callect Special Taxes at a different time ar in a different manner if necessary to' meet the financial abligatians of Area A af the CFD ar as atherwise determ.ined apprapriate by the CFD A..Jm;n;<trator. G. TERM OF SPECIAL TAX Taxable Praperty in Area A af the CFD shall remain subject to' the Special Tax in perpetUity. City .f Cbrd4 ViIU em N.. 97.2, A....aaIi.. N.. 5, IA A, Village 7 (McMillin and Olay) 04/20/2005 Page 10 Resolution No. 2005-245 Page 17 Attachment A Description of Preserve Operations and Maintenance Preserve Operations and Maintenance includes the maintenance, operation and management of the public or private property within boundaries of the Otay Ranch Preserve, as such boundaries may be modified from time to time, required by the Resource Management Plan to be maintained as open space or habitat preservation land or both. Such maintenance, operations and management shall include, but not be limited to, the following: . Preserve Maintenance. Development, implementation and ongoing provision of programs to maintain, operate and manage preserve habitat values through: cultivation, irrigation, trimming, spraying, fertilizing, and/or treatment of disease or injury; removal of trimmings, rubbish, debris and other solid waste; maintenance of trails; removal and control of exotic plant species (weeds); and control of cowbirds through trapping. . Security. Development, implementation and ongoing provision of security programs to: enforce "no trespassing" rules; curtail activities that degrade resources, such as grazing, shooting, and illegal dum ping; remove trash, litter, and other debris; control access; prohibit off-road traffic; and maintain fences and trails. · Preserve improvements: Acquire equipment and/or install improvements necessary to maintain, operate and manage the open space and habitat preservation land described above. The above description of the Preserve Operations and Maintenance is general in nature. The actual maintenance, operations and management of the open space and habitat preservation land within the Otay Ranch Preserve may be modified from time to time as necessary in order to effectively provide such services in complian~e with the requirements of the Resource Management Plan. city ofCbuliz v_ CFD No. 97-2, AllftC4lion No.5, 1A A, VilLz,. 7 (McMillin and 0tIly) 0412012OC5 Pap 11 Resolution No. 2005-245 Page 18 Attachment B Description of Resource Monitoring Implement the annual biota monitoring and reporting program consistent with the Resource Management Plan to identify changes in the quality and quantity of preserve resources including wildlife species, sensitive plants and sensitive habitat types. The above description of the Resource Monitoring is general in nature. The actual monitoring and reporting program may be modified from time to time as necessary in order to effectively provide such services consistent with the requirements of the Resource Management Plan. City of CInJ4 Vut4 CFD No. 97-2, AmoaaDon No.1, LA A, van..,. 7 (14cMillin tmd Otdy) 04120/2001 Page 12