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HomeMy WebLinkAboutAgenda Packet 2000/08/01 CITY COUNCIL AGENDA August 1, 2000 ~r 4:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista CllY OF CHUIA VISI'A City Council City Manager Patty Davis David D. Rowlands, Jr. John S. Moot City Attorney Stephen C. Padilla John M. Kaheny Mary Salas City Clerk Shirley A. Horton, Mayor Susan Bigelow The City Council meets regularly on the first calendar Tuesday at 4:00 p.m. and on the second, third and fourth calendar Tuesdays at 6:00 p.m. Regular meetings may be viewed at 7:00 p.m. on Wednesdays on Cox Cable Channel 24 or Chula Vista Cable Channel 47 AGENDA AUGUST 1, 2000 4:00 P.M. CALL TO ORDER ROLL CALL: Councilmembers Davis, Moot, Padilla, Salas, and Mayor Horton. PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY · PRESENTATION OF A PROCLAMATION TO THE EMPLOYEE OF THE MONTH, PATTY WESP, SECRETARY TO THE MAYOR'S OFFICE · OATH OF OFFICE: ECONOMIC DEVELOPMENT COMMISSION - JOANNE CLAYTON · PRESENTATION BY SDG&E REGARDING SUMMER ENERGY BILLS CONSENT CALENDAR (Items 1 through 7) The staff recommendations regarding the following items listed under the Consent Calendar will be enacted by the Council by one motion, without discussion, unless a Councilmember, a member of the public, or City staff requests that the item be removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items. Items pulled by the public will be the first items of business. 1. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING SECTION 10.64.030 OF THE CHULA VISTA MUNICIPAL CODE TO EXEMPT CHULA VISTA CITY VEHICLES FROM DRIVING ONLY ON TRUCK ROUTES (2m) READING AND ADOPTION) This Ordinance amendment allows staff driving City maintenance vehicles to travel on any City street while performing their assigned duties and when traveling from one site to another, without violating the Municipal Code by not traveling on a designated truck route. (Director of Public Works) Staff recommendation: Council place the ordinance on second reading for adoption. 2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG THE RETENTION AGREEMENT WITH PEGGY MCCARBERG, ESQ. FOR LEGAL SERVICES TO BE PERFORMED UNDER THE SUPERVISION OF THE CITY ATTORNEY FOR FISCAL YEAR 2000/2001 In this year's budget transmittal letter, the City Attorney advised Council that the City would need to provide funding for a part-time contract attorney on a continuing basis to assist with the myriad land use issues facing the City. For the past six years, the City has utilized the services of Ms. McCarberg on an hourly basis for this purpose. It is now necessary to authorize an amendment of the retention agreement for fiscal year 2000/2001. (City Attorney) Staffrecommendation: Council adopt the resolution. 3 A. URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CHAPTER 3.44 OF THE CHULA VISTA MUNICIPAL CODE TO PROVIDE FOR CONTINUED UTILITIES USERS TAX ASSESSMENTS OF TELECOMMUNICATIONS REGARDLESS OF FEDERAL EXCISE TAX REPEAL (4/5THS VOTE REQUIRED) B. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CHAPTER 3.44 OF THE CHULA VISTA MUNICIPAL CODE TO PROVIDE FOR CONTINUED UTILITIES USERS TAX ASSESSMENTS OF TELECOMMUNICATIONS REGARDLESS OF FEDERAL EXCISE TAX REPEAL Definitions in the City's local utilities user's tax have long referred to federal excise tax laws in helping to define what intrastate telecommunications services are subject to the tax. The federal government is in the process of repealing the federal excise tax on telecommunications. In order to avoid the inadvertent reduction in City utility user's tax revenues from telephone service, staff is recommending that the utility user's tax ordinance be revised so as not to be reliant on the continued existence of the federal excise tax. (City Attorney) Staff recommendation: Council adopt the urgency ordinance and place the ordinance on first reading. 4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING DATES FOR PROPERTY OWNERS TO BE READY TO RECEIVE UNDERGROUND SERVICE AND FOR THE REMOVAL OF UTILITY POLES AND OVERHEAD FACILITIES WITHIN LrNDERGROUND UTILITY DISTRICT NO. 130, ALONG ORANGE AVENUE FROM FOURTH AVENUE TO PALOMAR STREET On January 11, 2000, Council held a public hearing and adopted Resolution No. 2000-018 establishing Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street. In accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution No. 18177 states that Council shall, by subsequent resolution, set the date upon which affected property owners must be ready to receive underground service and the date by which SDG&E shall remove utility poles, overhead wires and associated structures. The conversion of overhead utilities to underground is to be completed by January 31, 2001. (Director of Public Works) Staff recommendation: Council adopt the resolution. Page 2 Council Agenda 08/01/2000 5 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA LEVY1NG THE SPECIAL TAX FOR FISCAL YEAR 2000/2001 FOR COMMUNITY FACILITIES DISTRICTS 97-1, 97-2, 97-3, 98-1, 98-3, AND 99-1 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATiNG AN ADDITIONAL $19,216 EACH FOR COMMUNITY FACILITIES DISTRICTS 97-3, 99-1, AND 2000-1 TO COVER COSTS FOR FiNANCIAL SERVICES FOR BONDED DISTRICTS (4/5THS VOTE REQUIRED) C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHiNG AN ANNUAL SPECIAL TAX FOR COMMUNITY FACILITIES DISTRICT 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10) FOR FISCAL YEAR 2000/2001 Two new Community Facilities Districts (CFDs) were established dUring Fiscal Year 1999/2000 in the Otay Ranch and Sunbow developments, in addition to the six CFDs established during Fiscal Year 1998/1999. Property owners must be assessed during Fiscal Year 2000/2001 in seven of these districts in order to pay for the maintenance of open space and preserve areas in CFDs 97-1, 97-2, 98-1 and 98-3; and to begin repaying bondholders in CFDs 97-3, 99-1 and 2000-1. (Director of Public Works) Staff recommendation: Council adopt the resolutions. 6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTiNG AN UNDERGROUND EASEMENT FOR WATER FACILITY PURPOSES TO OTAY WATER DISTRICT FOR THE PURPOSE OF LAYiNG UNDERGROUND WATER PIPELiNES AND LATERALS, TOGETHER WITH THE RIGHT TO CONSTRUCT, MAiNTAiN, OPERATE, REPLACE, REMOVE, OR ENLARGE DRAiNS, WATER FACILITIES, AND APPURTENANT STRUCTURES iN, UPON, OVER, AND ACROSS CITY-OWNED PROPERTY LOCATED ON LOT "B" OF CHULA VISTA TRACT 90-07, SUNBOW PHASE lB, UNITS 3, 4, & 16 OF FiNAL MAP 13720 Chula Vista Tract 90-07, Sunbow Phase lB, Units 3, 4, & 16, is a 204-1ot subdivision located east of Medical Center Drive/Brandywine Avenue and north of Olympic Parkway. Otay Water District proposes to construct water facilities under a City open space lot and is requesting an easement for all purposes, together with the right of ingress thereto and egress therefrom. (Director of Public Works) Staff recommendation: Council adopt the resolution. 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG THE BALLOT TEXT, THE IMPARTIAL ANALYSIS AND ARGUMENT IN SUPPORT OF PROPOSED CHARTER AMENDMENT TO SECTION 602 TO BE SUBMITTED TO THE ELECTORATE AT THE SPECIAL MUNICIPAL ELECTION TO BE HELD IN SAID CITY ON TUESDAY, NOVEMBER 7, 2000 At the Council meeting of July 25, 2000, Council, after receiving a report from the Charter Review Commission and hearing public testimony, voted unanimously for the City Attorney to return to Council with a resolution to place an amendment to Charter Section 602 on the November 7, 2000 ballot. The proposed Charter amendment authorizes Council, upon a four-fifths vote, to appoint non-electors of the City to advisory boards whose duties involve regional issues. (City Attorney) Staff recommendation: Council adopt the resolution. Page 3 - Council Agenda 08/01/2000 ORAL COMMUNICATIONS Persons speaking during Oral Communications 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 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. PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak on any item, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. 8. CONSOLIDATED PUBLIC HEARINGS REGARDING FUTURE ANNEXATIONS TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A"; FORMING COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) AND AUTHORIZING SPECIAL TAX; FUTURE ANNEXATIONS TO COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST); ANNEXATION TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A" The Otay Ranch Company has requested the City to conduct proceedings for the formation of Community Facilities District No. 99-2 (CFD No. 99-2). The conditions of approval of the tentative map require that the developer request the fom~ation of an open space district prior to the approval of the first "A" map. The district formation shall be submitted to Council prior to approval of Village One West's first final "B" map. This district will fund the perpetual operation and maintenance of open space slopes, drainage channels, detention basins, medians and parkways of Village One West in Otay Ranch SPA One. In addition, CFD No. 99-2 district liens will take over the obligations of Village One West with regard to CFD No. 98-1, the Interim Open Space Maintenance District. A Notice of Special Tax Lien Cancellation will be filed 30 days after the CFD No. 99-2 certified vote is approved by Council. The City has retained the services of McGill Martin Self, Inc. as special tax consultant and Best, Best & Krieger as legal counsel to provide assistance during the proceedings. Tonight's action will initiate the formal proceedings leading to the establishment of CFD No. 99-2. (Director of Public Works) Staff recommendation: Council conduct the public hearing and adopt the following resolutions. A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, MAKING CERTAiN pRELIMINARY FINDINGS, PASSING UPON PROTESTS AND APPROVING THE SPECIAL TAX REPORT FOR COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, FORMING AND ESTABLISHING COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) AND AUTHORIZING SUBMITTAL OF LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS Page 4 - Council Agenda 08/01/2000 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. 99-2 (OTAY RANCH SPA ONE VILLAGE ONE WEST), AUTHORIZiNG THE ANNEXATION OF TERRITORY 1N THE FUTURE TO SUCH COMMUNITY FACILITIES DISTRICT D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, ACTiNG iN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAiNTENANCE DISTRICT), AUTHORIZING THE ANNEXATION OF TERRITORY IN THE FUTURE TO SUCH COMMUNITY FACILITIES DISTRICT AND IMPROVEMENT AREA "A" THEREIN E. 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), DECLARING THE ANNEXATION OF TERRITORY TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 9%2 (PRESERVE MAINTENANCE DISTRICT) AND AUTHORIZING SUBMITTAL OF LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS BOARD AND COMMISSION RECOMMENDATION: 9. LETTER FROM THE HUMAN RELATIONS COMMISSION RECOMMENDiNG THE PLACEMENT OF A SUGGESTION BOX ALONG WITH SUGGESTION CARDS iN EACH OF THE CITY'S THREE LIBRARIES The Chula Vista Human Relations Commission has suggested the implementation of a system to assist Chula Vista residents and visitors in communicating with the City's leaders. Placement of the suggestion boxes would offer a means of sharing ideas and suggestions about improving City services. (Chairperson, Human Relations Commission) Commission recommendation: Three suggestion boxes be installed - one in each of the City's libraries. ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantial discussion and deliberation by the Council, staff, or members of the public. The items will be considered individually by the Council, and staff recommendations may, in certain cases, be presented in the alternative. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 10. CONSiDERATION OF ADOPTION OF A RESOLUTION APPROViNG AN AGREEMENT WITH HIGHLAND PARTNERSHIP, iNC. FOR THE PROVISION OF CONSULTANT SERVICES FOR THE PROGRAMMING AND pREPARATION OF THE MASTER PLAN FOR THE NEW POLICE DEPARTMENT BUILDiNG AND EXPANSION OF THE CIVIC CENTER COMPLEX Page 5 - Council Agenda 08/01/2000 On June 20, 2000 Council adopted a resolution establishing a Construction Managers/Constructors priority list comprised of the six consulting teams to be used for awarding design/construction contracts on future building facilities. On July 18, 2000 Council adopted a resolution approving an agreement with Highland Partnership, Inc., to provide construction management services for the corporation yard project. Highland Partnership, Inc., was selected unanimously as the highest overall rated respondent for the provision of Consultant Services for the programming and preparation of the Master Plan for the new police department building and expansion of the Civic Center complex. This resolution approves an agreement with Highland Partnership, Inc., for the provision of said consulting services, authorizes the Mayor to execute said agreement and appropriates funds therefor. (Director of Public Works) Staff recommendation: Council adopt the following resolution: RESOLUTION APPROVING AN AGREEMENT WITH HIGHLAND PARTNERSHIP, INC. FOR THE PROVISION OF CONSULTANT SERVICES FOR THE PROGRAMMING AND PREPARATION OF MASTER PLAN FOR THE NEW POLICE DEPARTMENT BUILDING AND EXPANSION OF THE CiVIC CENTER COMPLEX, AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT AND APPROPRIATING FUNDS THEREFOR 11. CONSIDERATION OF ACCEPTANCE OF A REPORT CONCERNING THE pRESENTATION OF OPTIONS FOR PROPOSED CHARTER AMENDMENTS CONCERNING TERM LIMITATIONS FOR THE MAYOR AND COUNCILMEMBERS The report presents options regarding Charter amendments proposed for the November 7, 2000 ballot on term limitations for the offices of Mayor and City Councilmember. It also includes proposed text of the ballot language to be used for measures affecting term limits, requests the Council to direct the City Attorney to prepare an impartial analysis .of such measures, and requests Council guidance for the preparation of arguments in support of the measures. (City Attorney) Staff recommendation: Council accept the report, approve the text of ballot language for measures affecting term limits, direct the City Attorney to return on August 8, 2000 with an impartial City Attomey analysis of such measures, and provide staff with guidance concerning the preparation of arguments in support of the proposed charter amendments. 12. ADOPTION OF A RESOLUTION REQUESTING THE BOARD OF SUPERVISORS TO PERMIT THE REGISTRAR OF VOTERS TO PERFORM SERVICES FOR THE CONDUCT OF THE SPECIAL MUNICIPAL ELECTION FOR THE CITY OF CHULA VISTA TO BE CONSOLIDATED WITH THE STATEW1DE GENERAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 7, 2000 The purpose of the November 7, 2000 Special Municipal Election is to select a Member of the City Council to fill Seat 3 and to submit proposed Charter amendments to the electorate. In order to consolidate the election with the statewide election, the California Elections Code requires the adoption of a resolution requesting the services of the Registrar of Voters and incorporating the text of any measures to be included on the ballot. The resolution must be submitted to the Registrar of Voters by August 11, 2000. (City Clerk) Staff recommendation: Council adopt the following resolution: Page 6 CouncilAgenda 08/01/2000 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA REQUESTING THE BOARD OF SUPERVISORS TO PERMIT THE REGISTRAR OF VOTERS TO PERFORM SERVICES FOR THE CONDUCT OF THE SPECIAL MUNICIPAL ELECTION FOR THE CITY OF CHULA VISTA TO BE CONSOLIDATED WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 7, 2000 ITEMS PULLED FROM THE CONSENT CALENDAR OTHER BUSINESS 13. CITY MANAGER'S REPORTS A. Scheduling of meetings. 14. MAYOR'S REPORTS A. Ratification of appointment to the Child Care Commission - Debra Munoz B. Ratification of appointment to the Growth Management Oversight Commission - Robert Tugenberg C. Discussion of electric utility price increases and request for Council support for transmittal of a letter to the Public Utilities Commission. 15. COUNCIL COMMENTS ADJOURNMENT to the Regular Meeting of August 8, 2000, at 6:00 p.m. in the Council Chambers. Page 7 - Council Agenda 08/01/2000 ORDINANCE NO. ~x~)~~\~ SECTION 10.64.030 OF T~F~HULA VISTA ROUTES The city council of the City of Chula Vista does hereby ordain as follows: Section 10.64.030 of the Chula Vista Mmficipal Code is hereby amended to read as follows: 10.64.030 Exemptions, ~ fif ~fiUlfi ~sta, Public utility, solid waste and contractors' vehicles. The provisions of this chapter shall not be applicable to any vehicle owned by ~¢ ~t~!.~ ~ ~l~h, a public utility or a licensed contractor while necessarily in use in the construction, installation= ~ repair= 6~ ~)~ of any public faei}i~ o~ utility, to any vehicle subject to the provisions of sections 1031 through 1036, inclusive, of the California Public Utilities Code or to any vehicle used for the collection and transportation of garbage and solid waste. Presented by Approved as to fom~ Jo hn P. L i p pitt ~J~hn~M ~ Director of Public Works City Attorney Il \SHARED\I ublic Winks Opel'ationskTRU(TK ROU I'E ORDINAN( E REV3 doc CITY COUNCIL AGENDA STATEMENT Item ~ Meeting Date: 8/1/00 ITEM TITLE~ Resolution Amending the Retention Agreement with Peggy McCarberg, Esq. for legal services to be performed under the supervision of the city Attorney for fiscal year 2000/2001 SUBMITTED BY: City Attorney~~ 4/Sths Votez Yes No X BAC KGROL~ND: In this year's budget transmittal letter, the City Attorney advised the City Council that the City would need to continue to provide funding for a part-time contract attorney on a continuing basis to assist with the myriad land use issues facing the City. For the past six years, the City has utilized the services of Ms. McCarberg on an hourly basis for this purpose. It is now necessary to authorize an amendment of the retention agreement for fiscal year 2000/2001. RECOMMENDATION: That Council approve the resolution amending the retention agreement with Peggy McCarberg, Esq. BOARD/COMMISSION RECOMMENDATION: Not Applicable DISCUSSION: For the past six years, Ms. McCarberg has assisted the office of the City Attorney on an hourly basis in the preparation of numerous development agreements, planning and engineering documents and other assorted legal documents. The hourly retention agreement needs to be extended for this fiscal year. Ms. McCarberg charges either $87.50 or $110 per hour depending on the nature of the assignment. The rate will increase by $5 effective January 1, 2001. She normally performs 25-30 hours of legal services per week depending upon the needs of the City. FISCAL IMPACT: None, funding for MS. McCarberg and other specialized legal services was provided in the City Attorney' s budget. No additional appropriations are required. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE RETENTION AGREEMENT WITH PEGGY McCARBERG, ESQ. FOR LEGAL SERVICES TO BE PERFORMED UNDER THE SUPERVISION OF THE CITY ATTORNEY FOR FISCAL YEAR 2000/2001 WHEREAS, for the past six years, Ms. McCarberg has assisted the office of the City Attorney on an hourly basis in the preparation of numerous development agreements, planning and engineering documents and other assorted legal documents; and WHEREAS, the hourly retention agreement needs to be amended for this fiscal year. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby amend the Retention Agreement with Peggy McCarberg, Esq. for Legal Services to be performed under the supervision of the City Attorney for fiscal year 2000/2001. Presented and Approved as to form by Johh~. Kaheny, Cit~__~.~ney H: ~at torney\ r eso~mcarberg AGREEMENT FOR LEGAL SERVICES THIS AGREEMENT is entered into this i~of July, 2000, by and between the City of Chula Vista, (hereinafter "the CITY") and Peggy J. HcCarberg (hereinafter "ATTORNEY"). RECITALS The following recitals are a substantive part of this Agreement: ATTORNEY represents she is qualified by virtue of her experience, training, education and expertise to accomplish the services necessary under this Agreement. AGREEMENT THE PARTIES MUTUALLY AGREE AS FOLLOWS: 1. Term of Agreement. This Agreement shall cover services rendered from the above- referenced date of entry of this Agreement until June 30, 2001. This Agreement shall supersede the Agreement adopted by Council Resolution No. 2000-008 on January 4, 2000. 2. Services to be Provided. The services to be performed by ATTORNEY shall consist of any and all tasks reasonably required to advise, assist and fully represent the CITY in all legal matters presented to ATTORNEY and on any matters in litigation, wherein ATTORNEY is consulted by, or appears on behalf of, the CITY. ATTORNEY'S services shall include, but are not limited to, any and all reasonably required legal representation on behalf of the CITY. IIII 1 3. Compensation - ATTORNEY shall be compensated as follows: 3.1 Amount. The CITY shall compensate ATTORNEY for services rendered at the following hourly rate of $87.50/hour except on matters identified as developer deposit account funded matters for which ATTORNEY services shall be rendered at $110.00/hour. Effective January 1, 2001, those rates shall increase by $5.00 per hour to $92.50/hour and $115.00/hour respectively. Such hourly compensation shall be the sole and total remuneration for services rendered pursuant to this Agreement. 3.2 Billing. ATTORNEY agrees to provide detailed invoicing of all billing for services at a minimum of every three months. The invoice shall include the amount, billing rate and basis for calculation of all fees and costs. All billing for work performed under this Agreement shall be sent to the following: John Kaheny, City Attorney 276 Fourth Avenue Chula vista, California, 91910 (619) 691-5037. 3.3 Reimbursements for Expenses. ATTORNEY shall keep accurate records of all costs, travel and expenses. These records shall be made available to the CITY upon reasonable request. The CITY will reimburse actual, reasonable and necessary out of pocket expenses incurred by ATTORNEY in performing any services under this Agreement, as follows: a. Parking Fees at the actual amount charged to ATTORNEY. 2 b Travel/Mileage at the rate allowed by the Internal Revenue Service. Any travel fees incurred outside of San Diego County must be authorized and approved in advance by the CITY. c. ATTORNEY may seek reimbursement for any actual, reasonable and necessary expenses incurred on items not identified above with the prior authorization and approval by the CITY. To obtain reimbursement, ATTORNEY shall submit a summary of expenses, along with all supporting receipts. 4. Insurance. 4.1 Professional Errors and Omissions Insurance. ATTORNEY shall obtain and maintain in full force and effect at all times Professional Errors and Omissions Liability Insurance in a reasonable amount acceptable to the City Attorney. ATTORNEY agrees to immediately notify the CITY in the event that the limits shall fall below the acceptable coverage or if the insurance policies are allowed to lapse and substitute insurance is, or is not, obtained. 4.2 Workers Compensation Insurance. ATTORNEY shall obtain and maintain, if applicable, workers compensation insurance in accordance with section 3700 of the California Labor Code. 5. City Agent. John M. Kaheny, City Attorney, for the purposes of this Agreement is the Agent for the CITY. Whenever authorization or 3 approval is required, ATTORNEY understands that the City Attorney has the authority to provide the authorization or approval. 6. Independent Contractor. ATTORNEY, and anyone employed by ATTORNEY, are not and shall not be, deemed employees of the CITY. ATTORNEY is solely responsible for the payment of employment taxes, workers compensation taxes, and any other taxes for employees. 7. Conflict of Interest. ATTORNEY represents that she presently has no material financial interest other than that which may be held by the general public and shall not acquire any interest, direct or indirect, in any contract or decision made on behalf of the CITY which may be affected by the services to be performed by ATTORNEY under this Agreement. In addition to the proscriptions regarding conflicts of interest imposed on ATTORNEY by the Business and Professions Code and by California Rules of Professional Conduct, ATTORNEY represents that ATTORNEY shall not represent clients before any board, commission, committee or agency of the CITY or represent any client with interests adverse to the CITY. Furthermore, ATTORNEY shall at all times avoid conflicts of interest or the appearance of a conflict of interest in performance of this Agreement. ATTORNEY shall immediately notify the City Attorney of any circumstances, or change of circumstances, that may provide for the potential for a conflict of interest, or actual conflict of interest. 4 8. Non Liability of Officials/Employees of the CITy. No official or employee of the CITY shall be personally liable for any default or liability under this Agreement. 9. Compliance with Law. ATTORNEY shall comply with all applicable laws, ordinances, codes and regulations of the Federal, State and local governments. In addition, ATTORNEY agrees to abide by all ethical and moral standards as represented by the Rules of Professional Conduct as applied to the California State Bar. 10. Work Produc~. All documents, or other information developed or received, by ATTORNEY shall be the property of the CITY. ATTORNEY shall provide the CITY with copies of items upon reasonable demand or upon termination of this Agreement. 11. Notices. All notice shall be personally delivered or mailed, via first class mail, to the below listed address. In addition, such addresses shall be used for delivery for service of process. ATTORNEY agrees to notify the CITY within ten (10) days of the date of any change of address and agrees to keep an updated address with the applicable courts on any matters that ATTORNEY is representing the CITY. a. Address of ATTORNEY is as follows: Peggy J. McCarberg, Esq. 613 West Valley Parkway, Ste. 345 Escondido, CA 92025 b. Address of CITY is as follows: John M. Kaheny, Esq. CITY ATTORNEY 5 276 Fourth Avenue Chula Vista, CA 91910 12. Default~Termination of Agreement. CITY and ATTORNEY shall have the right to terminate this Agreement without cause by giving thirty (30) days written notice. 13. Limitations UPon Assianment/Subcontractin~. ATTORNEY agrees that no portion of her performance or services rendered under this Agreement shall be assigned by ATTORNEY or subcontracted to any other without prior written authorization and approval of the CITY. 14. Non-Discrimination. ATTORNEY covenants there shall be no discrimination based upon race, color, creed, religion, sex, marital status, age, handicap, national origin, or ancestry, in any activity pursuant to this Agreement. 15. Time of Essence. Time is of the essence in the performance of this Agreement. 16. Entire Aareement. This Agreement represents the Parties' final and mutual understanding. This Agreement supersedes any previous Agreements, oral or written. 17. Modification. This Agreement shall not be modified or replaced except by another signed, written Agreement, properly executed by the parties. The waiver of any breach or any provision of this Agreement 6 does not waive any other breach of that term, or any other term, in this Agreement. 19. Partial Invalidity. If any part of this Agreement is found for any reason to be unenforceable, all other parts nonetheless shall remain in force. 20. Governin~ Law. This Agreement shall be interpreted and construed in accordance with the laws of the State of California. 21. Interpretation. This Agreement shall be interpreted as though prepared by both parties. 22. ~o All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating responsibility or liability between the CITY and ATTORNEY survive the termination of this Agreement. 23. Attorneys' fees. If a party brings an action, including an action for declaratory relief, to enforce or to interpret the provisions of this Agreement, the prevailing party is entitled to reasonable attorneys' fees and costs in addition to any other relief to which the party may be entitled. Such fees may be set by the court in the same action or in a separate action brought for that purpose. [NEXT PAGE IS SIGNATURE PAGE] 7 [SIGNATURE PAGE TO AGREEMENT FOR LEGAL SERVICES AGREEMENT] IN WITNESS THEREOF, these parties have executed this Agreement on the day and year shown below. Date: CITY OF CHULA VISTA J/~n M. Kaheny ~ ~1ty Attorney Date: ATTEST: By: City Clerk Date: OUTSIDE COUNSEL NAME Peg~F~. McCarberg ~ APPROVED AS TO FORM: c:\cbs\carmens\...\hm\~city~sub3-2.p~ CITY COUNCIL AGENDA STATEMENT ITEM MEETING DATE: 8/1/00 ITEM TITLE: Urgency Ordinance Amending Chapter 3.44 of the Chula Vista Municipal Code to provide for Continued Utilities Users Tax Assessments of Telecommunications regardless of Federal Excise Tax Repeal (First Reading and Adoption) Ordinance Amending Chapter 3.44 of the Chula Vista Municipal Code to provide for Continued Utilities Users Tax Assessments of Telecommunications regardless of Federal Excise Tax Repeal (First Reading) SUBMITTED BY: City Attorney~-~2]~ Finance Director .~-f (4/5ths Vote: Yes X No__) BACKGROUND: Definitions in the City's local utilities user's tax have long referred to federal excise tax laws in helping to define what intrastate telecommunications service are subject to the tax. The federal government is in the process of repealing the federal excise tax on telecommunications. In order to avoid the inadvertent reduction in City utility user's tax revenues from telephone service, staff is recommending that the utility user's tax ordinance be revised so as not to be reliant on the continued existence of the federal excise tax. RECOMMENDATION: Place urgency ordinance on first reading and adoption if adopted by a four-fifth's vote of the City Council and ordinance on first reading. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: Since 1970, the City has imposed a utility user's tax (UUT) on local users of electricity, gas, and telephone services. The UUT is collected on the City's behalf by the utility service providers. The UUT is an important revenue source to the City. In fiscal year 3-! Item No. Meeting Date: 8/1/00 Page Two 1999/2000, the City expects to receive approximately $3,563,000 in UUT revenues. In defining which telecommunications service are subject to the UUT, most local ordinances refer to the federal excise tax law definitions of exempt and non-exempt activities. Chula Vista's UUT ordinance is no exception. The federal government is in the process of repealing the federal excise tax on telecommunications. The law is expected to go into effect as early as August 31, 2000. In order to avoid the inadvertent reduction in City UUT revenues derived from telephone service usage in the City, staff is recommending that the UUT ordinance be revised so as not to be reliant on the continued existence of the federal excise tax. The ordinance is proposed for adoption on an urgency basis to assure that the ordinance is in effect prior to the effective date of the federal repeal. Important City programs would be adversely affected if the UUT funding was significantly impaired. Therefore, this measure is necessary to preserve the public health,'safety and welfare. Due to other changes in the telecommunications industry and regulatory environment, staff expects to bring forward additional proposed modifications to the UUT ordinance in the near future. FISCAL IMPACT: This action will allow the City to preserve approximately $1,650,000 in annual utility user's tax revenue derived from the utility user's tax's application to intrastate telephone service originating in the City. h:\home~lorraine~all3~chapter 3.44 ORDINANCE NO. AN URGENCY ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHAPTER 3.44 OF THE CHULA VISTA MUNICIPAL CODE TO PROVIDE FOR CONTINUED UTILITIES USERS TAX ASSESSMENTS OF TELECOMMUNICATIONS REGARDLESS OF FEDEP~AL EXCISE TAX REPEAL The City Council of the City of Chula Vista does ordain as follows: SECTION I: That Section 3.44.030 of Chapter 3.44 of the Chula vista Municipal Code is hereby amended to read as follows: Sec. 3.44.030 Telephone users' tax-Imposition-Rate- Collection-Exemptions-Charges defined. A. There is imposed a tax upon every person in the city using intrastate telephone communication services in the city. The tax imposed by this section shall be at the rate of five percent (5%) of the charges made for such services, and shall be paid by the person paying for such services. Effective on July 1, 1979, said rate shall be increased to six percent (6%) of the charges made for such services and shall be paid by the person paying for such service. B. As used in this section, the term "charges" shall not include charges for services paid for by inserting coins in coin-operated telephones except that where such coin- operated telephone service is furnished for a guaranteed amount, the amounts paid under such guarantee plus any fixed monthly or other periodic charge shall be included in the base for computing the amount of tax due. The term "charges" shall not include charges for services paid for by users of mobile telephone and marine telephone service. C. Notwithstanding the provisions of subsection A, the tax imposed under this section shall not be imposed upon any person for using intrastate telephone communications services to the extent that the amounts paid for such services are exempt from or not subject to the federal excise tax imposed under Section 4251, 4252 and 4253 of Title 26 of the United States Code ("Federal Excise Tax")~ ........................... ~ ....... I, 1970. In ev that the Federal Excise Tax is repealed, this reference to such law, including any related federal regulations, private letter rulings, case law and other opinions interpreting these sections, shall refer to that body of law that existed immediately prior to the effective date of such repeal. D. The tax imposed in this section shall be collected from the service user by the person providing the intrastate telephone communications services. The amount of tax collected in one month shall be remitted to the city finance officer on or before the twentieth day of the following month. SECTION II: This ordinance shall take effect upon its first reading and adoption if passed by a four-fifth's vote of the City Council as an urgency ordinance. Based upon th written and oral testimony presented, the City Council hereby finds and determines that this urgency measure is necessary to preserve the public peace, health, safety and general welfare. Presented and Approved as to form by J°~'~beny' ~Y Ab°~eY' k:\home\lorraine\or~3.44.030 urgency ORDINANCE NO. AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHAPTER 3.44 OF THE CHULA VISTA MUNICIPAL CODE TO PROVIDE FOR CONTINUED UTILITIES USERS TAX ASSESSMENTS OF TELECOMMUNICATIONS REGARDLESS OF FEDERAL EXCISE TAX REPEAL The City Council of the City of Chula Vista does ordain as follows: SECTION I: That Section 3.44.030 of Chapter 3.44 of the Chula Vista Municipal Code is hereby amended to read as follows: Sec. 3.44.030 Telephone users' tax-Imposition-Rate- Collection-Exemptions-Charges defined. A. There is imposed a tax upon every person in the city using intrastate telephone communication services in the city. The tax imposed by this section shall be at the rate of five percent (5%) of the charges made for such services, and shall be paid by the person paying for such services. Effective on July 1, 1979, said rate shall be increased to six percent (6%) of the charges made for such services and shall be paid by the person paying for such service. B As used in this section, the term "charges" shall not include charges for services paid for by inserting coins in coin-operated telephones except that where such coin- operated telephone service is furnished for a guaranteed amount, the amounts paid under such guarantee plus any fixed monthly or other periodic charge shall be included in the base for computing the amount of tax due. The term "charges" shall not include charges for services paid for by users of mobile telephone and marine telephone service. C Notwithstanding the provisions of subsection A, the tax imposed under this section shall not be imposed upon any person for using intrastate telephone communications services to the extent that the amounts paid for such services are exempt from or not subject to the federal excise tax imposed under Section 4251, 4252 and 4253 of Title 26 of the United States Code ('~Federal Excise Tax")w ...... ~ ~^~ ..... ~^~ ~ °~-~^~ I ~ In the event that the Federal Excise Tax is repealed, this reference to such law, includinq any related federal requlations, private letter rulings, case law and other opinions interpretinq these sections, shall refer to that body of law that existed immediately prior to the effective date of such repeal. D. The tax imposed in this section shall be collected from the service user by the person providing the intrastate telephone communications services. The amount of tax collected in one month shall be remitted to the city finance officer on or before the twentieth day of the followin~ month. SECTION II: This ordinance shall take effect and be in full force on the thirty first day from and after its second readin~ and adoption. Presented and Approved as to form by COUNCIL AGENDA STATEMENT Item ~-~ Meeting Date 8/1/00 ITEM TITLE: Resolution establishing dates for property owners to be ready to receive underground service and for the removal of utility poles and overhead facilities within Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street SUBMITTED BY: Director of Public Work~/~ REVIEWED BY: City Manage (4/5ths Vote: Yes No X .) On January 11, 2000, the City Council held a public hearing and approved Resolution No. 2000- 018 establishing Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street. In accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution 18177 states that the City Council shall by subsequent resolution set the date upon which affected property owners must be ready to receive underground service and the date by which SDG&E shall remove utility poles, overhead wires and associated structures. The conversion of overhead utilities to underground is to be completed by January 31, 2001. RECOMMENDATION: That Council approve the resolution to: 1. Set November 3, 2000 as the date by which affected property owners within Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street shall be ready to receive underground service. 2. Set January 31, 2001 as the date by which all utility poles, overhead wires and associated structures shall be removed within Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street. BOARD COMMISSIONS RECOMMENDATION: Not applicable DISCUSSION: On January 11, 2000, the City Council held a public hearing and approved Resolution No. 2000- 018 establishing Underground Utility District No. 130, along Orange Avenue from Fourth Avenue to Palomar Street. Also, in accordance with the City Municipal Code and said resolution, the City notified all property owners within the district of the relevant provisions by mailing each owner and resident a copy of said resolution. During the meeting of the Utility Undergrounding Advisory Committee (UUAC) on June 14, 2000, the utility representatives informed Engineering staff that they could meet the following schedule for the subject underground conversion district. Page 2, Item Meeting Date 8/1/00 Date for customers to be ready to receive underground service November 3, 2000 Date for the completion of undergrounding work and the removal January 31, 2001 of overhead utilities, poles and associated structures Upon approval of this resolution, notices of these dates will be sent to residents and owners of real property within the undergrounding district. Exhibit "A" shows a listing of those property owners and residents within the boundary limits of the underground district as shown in Exhibit "B". The conversion work by the affected property owners will involve trenching, backfilling, installation of conduits from the property line to the point of connection, and installation of other required equipment. On July 11, 2000, the City Council approved Resolution 2000-233 amending City Council Policy 585-1 expanding the use of SDG&E utility funds to reimburse all affected property owners for eligible items of work. The new reimbursement policy is applicable to all underground districts formed in September 29, 1999 and thereafter. This new reimbursement will be for trenching, conduit(s) installation and portion of the modifications to the existing electrical meter panel only. Property owners will be reimbursed $35 per foot of trenching up to a maximum of 100 feet. The modification of the existing meter service panel will be limited to the installation of an underground service "Pull Can" or installation of a "Myers" adapter on existing residential meter panel only. Other required above ground work will not be reimbursable. Regardless of the type of installation and the actual cost incurred by the property owner, this work will be reimbursed at $300 for commemial and residential properties or; $400 for other commercial and multi-family dwelling units (apartments and condominiums) with at least 200-ampere service panel only. The City will reimburse each property owner after receipt said funds from SDG&E and completion of the building permit process. A total of nine (9) properties will be reimbursed. Exhibit "C" gives an estimate of the reimbursement to each affected property owner. City Council Policy 585-1 allows the City to use utility undergrounding funds to reimburse all affected properties for the cost of undergrounding of private service laterals. FISCAL IMPACT: The cost of utility pole removal, undergrounding overhead facilities and private property conversion reimbursements as outlined above is estimated to be $445,000. SDG&E's allocation funds (Rule 20A) will cover the estimated cost of the project. The estimated subsidy to property owners for their portion of eligible work is approximately $12,000. Attachments: Exhibit A - Notification Mailing List Exhibit B - Boundary Map Exhibit C - Lists of affected pamels and property owners qualifying for reimbursement File No. 810-20-AYI01 H:\HOME\ENGINEER\AGENDA\00a-Orange ready dates.rdj.doc ORANGE AVENUE FROM 4TH AVENUE TO 5TH AVENUE UNDERGROUNDING MAILING LIST July 5, 2000 AFFECTED PROPERTY OWNERS 6220431700 Occupant Louis Locicero Trust 445-A Orange Avenue 501 Anita Street #163 Chula Vista, CA91911 Chula Vista, CA 91911 6183110500 Occupant Ernesto & Carlota Martinez 559 Orange Avenue 1328 Crann Avenue Chula Vista, CA 91911 Chula Vista, CA91911 6220432200 6183420200 Roland J & Mary J Laurino Dorothy L Hager Trust 5266 Grandridge Road 1399 Sheryl Avenue E1 Cajon, Ca 92020 Chula Vista, CA 91911 Occupant 6183420100 531 Orange Avenue Miguel & Maria L Guzman Chula Vista, CA 91911 430 Orange Avenue Chula Vista, CA 91911 6220432000 Elena Martinez 6183422500 527 Orange Avenue Martin & Erlinda Espinoza Chula Vista, CA 91911 438 Orange Avenue Chula Vista, CA 91911 6230105400 Orange Tree Homeowners Association 6183422400 C/O Tyco Management Company Dolores B Villarreal P O Box 611 424 Orange Avenue Chula Vista, CA 91911 Chula Vista, CA 91911 Bob Jezairian, Vice President Orange Tree Homeowners Association 521 Orange Avenue Chula Vista, CA 91911 6230104600 Terry Enterprises 1490 3rd Avenue Chula Vista, CA 91911 ]'/~ ,~ EXHIBIT "a" INFORMATIONAL MAILING ONLY NOT PART OF UNDERGROUNDING 6230100500 6183310500 SDG&E Land Management, EB7 Narciso P & Maria Theresa Valdez P O Box 1831 1344 Elden Avenue San Diego, CA 92112 Chula Vista, CA 91911 6220432400 6183320700 Joe E & Gloria R Blake Kathy V Vargas 217 Via Osuna P O Box 955 Rancho Santa Fe, Ca 92091 Bonita, Ca 91908 E1 Mirador Trailer Court HOA Occupant 577 Palomar Street 1349 Elden Avenue Chula Vista, CA91911 Chula Vista, CA 91911 6183120600 6183320800 Robert Mendez Jr Xavier A & Suk H Corbala 535 Paseo Rosal 1354 Costa Avenue Chula Vista, CA 91910 Chula Vista, CA 91911 Occupant 6183330900 1335 Crann Avenue Rafael C Martinez Chula Vista, CA91911 1359 Costa Avenue Chula Vista, CA 91911 6183120700 Raymond & Rebecca J Lee 6183410100 1338 William Avenue Elsie Sorge Trust Chula Vista, CA 91911 1396 Sheryl Avenue Chula Vista, CA 91911 6183130800 Gilbert R & Maria E Corona 1345 William Avenue Chula Vista, CA 91911 6183130900 Maria R Sevilla 1344 Fifth Avenue Chula Vista, CA 91911 6183310400 Anastacio S & Guadalupe L Medrano 1345 Fifth Avenue Chula Vista, CA 91911 H:\HOME~ENGINEER~ADVPLAN\UUDIST~orange\Orange Property Address.doc ~. ~TZ/ EXHIBIT "A" 0 0 z o~ o ~ooo -~ <~ ~ ~z<<< < ~ < - ~ ~ > ~ o~ ~ g , ao ~0 ~ oOooo ~ 00©00 0 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTkBLISHING DATES FOR PROPERTY OWNERS TO BE READY TO RECEIVE UNDERGROUND SERVICE AND FOR THE REMOVAL OF UTILITY POLES AND OVERHEAD FACILITIES WITHIN UNDERGROUND UTILITY DISTRICT NO. 130, ALONG ORANGE AVENUE FROM FOURTH AVENUE TO PALOMAR STREET WHEREAS, the City Council has heretofore by Resolution No. 2000-018 established Underground Utility District No. 130 along Orange Avenue, from Fourth Avenue to Palomar Street; and WHEREAS, in accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution 18177 states that the City Council shall by subsequent resolution set the date upon which affected property owners must be ready to receive underground service and the date by which SDG&E shall remove utility poles, overhead wires and associated structures. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that the following dates are hereby established ordering the property owners to prepare properties for receipt of underground utilities: 1. The property owners within Underground Utility District NO. 130 shall be ready to receive underground service on November 3, 2000. 2. Poles, overhead wires and associated overhead structures shall be removed from parcels within Underground Utility District No. 130 by January 31, 2001. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista be, and she is hereby directed to forward a certified copy of this resolution to all affected utility companies and property owners. Presented by Approved as to form by John P. Lippitt Jo~'n~M. Kaheny ( / Director of Public Works city Attorney H: ~home\attorney~reso~[UJD ready to receive service COUNCIL AGENDA STATEMENT Item ~ Meeting Date 8/1/00 ITEM TITLE: Resolution Levying the special tax for Fiscal Year 2000-2001 for Community Facilities Districts 97-1, 97-2, 97-3, 98-1, 98-3, and 99-1 Resolution Appropriating an additional $19,216 each for CFD' s 97-3, 99-1, and 2000-1 to cover costs for financial services for bonded districts Resolution Establishing an Annual Special Tax for Community Facilities District 2000-1 (Sunbow II Villages 5 through 10) for Fiscal Year 2000-2001 SUBMITTED BY: Director of Public Works~{~ City Manager ¢~0r' (4/5ths Vote: YesXNo_) REVIEWED BY: Two new Community Facilities Districts (CFDs) were established during Fiscal Year 1999-2000 in the Otay Ranch and Sunbow developments, in addition to the six CFDs established during Fiscal Year 1998-1999. Property owners must be assessed during Fiscal Year 2000~2001 in seven of these districts in order to pay for the maintenance of open space and preserve areas in CFDs 97-1, 97-2, 98-1 and 98-3; and to begin repaying bondholders in CFDs 97-3, 99-1 and 2000-1. RECOMMENDATION: That Council authorize the levy of special tax for Fiscal Year 2000-2001 for CFDs 97-1, 97-2, 97-3, 98-1, 98-3, 99-1 and 2000-1 and appropriate an additional $19,216 each for CFD's 97-3, 99-1 and 2000-1 from the revenue accounts for these districts. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: During Fiscal Year 1998-99, the following Community Facilities Districts were formed in the Otay Ranch and Sunbow II areas. Special taxes were originally levied for these districts during Fiscal Year 1999-2000 (Attachment A). 1. CFD 97-1: Open Space Maintenance District (Otay Ranch - SPA One, Villages 1 & 5) 2. CFD 97-2: Preserve Maintenance District (Otay Ranch) 3. CFD 97-3: Bond Issue for Acquisition of Public Facilities (Otay Ranch McMillin SPA One) 4. CFD 98-1: Interim Open Space Maintenance District (Otay Project, LLC~OVP, Villages 1 West, 2, 2 West, 6, 7 & Planning Area 12) 5. CFD 98-2: Interim Open Space Maintenance District (McMillin - D.A. America, Otay - SPA Two, Villages 6& 7) Page 2, Item Meeting Date 8/1/00 6. CFD 98-3: Open Space Maintenance District No. 35 (Sunbow II) Two new Community Facilities Districts were formed during Fiscal Year 1999-2000. CFD 99-1 covers portions of Village One, Village Five and Village One West with separate zones and rates for each of these three areas. A bond issue amount of $23,000,000 was authorized, out of which $18,369,353.86 could be used to acquire and construct public facilities. The main public facilities included are Olympic Parkway Phases 1 and 2, Paseo Ranchero Phase 2, and East Palomar Street. Although levy of the Special Tax for CFD 99-1 was authorized through adoption of Ordinance No 2795 on September 14, 1999 (Attachment B), bonds were not issued until March 2000. Administrative costs of $42,600 and bond repayment costs of $1,698,438.76 are anticipated during Fiscal Year 2000-2001. The second district, CFD 2000-1, relates to the financing of various public facilities serving the Sunbow II development such as Telegraph Canyon Road, Medical Center Road and East Palomar Street. The election was held and the district was formed on July 11 (Attachment C). It is anticipated that bonds will be priced on August 8. A minor adjustment to reflect the actual bond pricing may be required. It is anticipated that only the special tax on undeveloped property would be affected. The only other Community Facilities District which involves a bond issue is CFD 97-3, which finances improvements in Otay Ranch McMillin SPA One. Administration costs for Fiscal Year 2000-2001 projected to be $42,600 and bond repayment costs are $781,565. This increase over the budgeted amount of $23,384 for administration is necessary in order to include services required for a bonded district, such as arbitrage calculation and trustee services, some of which were not required during the initial year. (Arbitrage refers to the difference between interest paid on bonds and the interest earned in investing the money, which must be paid to the Internal Revenue Service.) Also, an additional $7,600 is needed for payment of the expenses to develop a model for calculating buy down amounts where the taxes and bonded assessments exceed 2 percent of the purchase price. Community Facilities Districts 97-1, 98-1 and 98-2 all relate to maintenance of open space within the Otay Ranch development. CFD 97-1, which provides open space maintenance for Otay Ranch SPA One Villages One and Five, is broken down into two Special Tax Areas. Area A covers the entire district and includes maintenance of parkways, medians and regional trails along Telegraph Canyon Road, Otay Lakes Road, Pasco Ranchero, La Media Road and Olympic Parkway; Telegraph and Poggi Canyon detention basins and channels; and pedestrian bridges. Area B, which excludes the McMillin development, includes maintenance of connector trails, slopes and perimeter walls or fences along major streets in the district. A budget has been prepared for this District which totals $408,449 for Area A and $365,604 for Area B for Fiscal Year 2000-2001. Community Facilities Districts 98-1 and 98-2 were set up as interim districts because the areas of Otay Ranch included were not developed and the density of development was not yet known at the time that the districts were established. They cover maintenance of portions of the parkways and medians along Telegraph Canyon Road, Paseo Ranchero and Olympic Parkway and Telegraph and Poggi Canyon detention basins and channels. The budget for Fiscal Year 2000-2001 of $47,997 Page 3, Item Meeting Date 8/1/00 includes maintenance of open space along Telegraph Canyon Road. Since development of a portion of the area within CFD 98-1 is expected to commence within a year, a portion of this district will be split off to form CFD 99-2. This new district will not take effect until Fiscal Year 2001-2002. None of the improvements in CFD 98-2 are expected to be turned over to the City for at least two years, so this district will not be billed for Fiscal Year 2000-2001. Community Facilities District 98-3 provides revenue for open space maintenance in the Sunbow II development. This includes maintenance of street medians, parkways, slopes, and drainage channels and basins, and biological monitoring of native and revegetated open space. A total budget of $408,973 is projected for Fiscal Year 2000-2001. During Fiscal Year 1999-2000 Council approved the refund of the Extraordinary Special Tax paid by Ayers Development based on a revision of Exhibit C to the Special Tax Levy Report for CFD 98- 3 (Attachment D). Based on a slower turnover period for the open space areas in this district and somewhat lower bids from maintenance contractors, Council approved a refund of $83,784.06 for the Special Taxes paid by undeveloped properties during Fiscal Year 1999-2000 on June 20, 2000(Attachment E). This projected refund has been subtracted from the fund balance in order to determine the Operating Fund Requirement for Fiscal Year 2000-2001. Community Facilities District 97-2 provides for maintenance and biological monitoring of the preserve created in the Otay Ranch area. It is anticipated that the County of San Diego will take the lead in maintaining this area in cooperation with the City. Although no maintenance or monitoring costs were incurred during Fiscal Year 1999-2000, it is anticipated that this work will commence during Fiscal Year 2000-2001. Based on the Engineer's Report and the spreadsheet estimating the first year's monitoring costs, a maintenance budget of $35,137 and a monitoring budget orS114,635 has been included for Fiscal Year 2000-2001. The large monitoring budget is due to the several biological surveys that need to be conducted, particularly during the initial year. The Engineer's Reports for CFDs 97-1, 97-2, 98-1 and 98-3 require the establishment of a reserve in the funds established for each district of up to 100 percent of the total budget in order to provide revenue for the first half of the fiscal year before any income is received and to provide for cost overruns and delinquencies. A 50 percent reserve has been provided by including an additional 50 percent of the Fiscal Year 2000-2001 budget. This should provide sufficient funding through December 31,2001. Additional reserves may be provided depending on the schedule for accepting landscaping improvements. According to the Engineer's Reports for CFDs 97-1, 97-2, 98-1 and 98-3, the maximum Special Tax Rates for each fiscal year after 1998-99 shall be increased or decreased by the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (CPI) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published in January. The CPI increase between January 1999 and January 2000 was 3.64%. The change in the estimated California fourth quarter personal income was 3.79%. Therefore, staff used the CPI increase, which was the lesser of the two figures. The CPI increase used for calculating the FY 1999/2000 Page 4, Item Meeting Date 8/1/00 assessments was inadvertently too high. Last year, staffused a CPI of 3.6% instead of the actual amount of 2.5%. In order to correct this, staff is using the CPI increase between January 1998 and January 2000 of 6.23% and prorating the cost increase for January 1999 to January 2000, to be 2.54%. Thus, the total CPI increase for the two-year period is correct. The maximum and actual rates for all assessment districts are given below. Square footage (SF) refers to building floor area, while acreage refers to the total lot size. Since the rates have been rounded, actual revenue may be slightly different. CFD 97-10tay Ranch Open Space Maintenance Category FY1999-00 FY2000-01 FY1999-00 FY00-01 Estimated Maximum Maximum Actual Actual Revenue Area A $0.0874/SF $0.0897/SF $0.0874/SF $.0897/SF $257,193 Residential Area A Non- $1184/Acre $1214/Acre N/A $1241/Acre 0 Residential Area A Vacant $1340/Acre $1374/Acre $210/Acre $495/Acre $240,681 Area B $0.2048/SF $0.2100/SF $0.2048/SF $.2100/SF $352,427 Residential Area B Non- $2629/Acre $2696/Acre N/A $2696/Acre 0 Residential Area B Vacant $2973/Acre $3049/Acre $218/Acre $694/Acre $84,397 CFD 97-20tay Ranch Preserve Category FY 1999-00 FY 2000-01 'FY 1999-00 FY 00- Estimated Maximum Maximum Actual 01 Revenue Actual Monitoring: $0.0051/SF $0.0052/SF $0.0051/SF $0.0027/ Area A: Residential SF $9202 Non- $83.87/Acre $86.89/Acre N/A $0/ $0 Residential Acre Final Map $83.87/Acre $86.89/Acre Area A: $83.87/ $0 $0 Acre Page 5, Item__ Meeting Date 8/1/00 CFD 97-20tay Ranch Preserve Vacant $53.05/Acre $54.40/Acre See Combined Area B: Area B: $11.31/A $23,184 O & M: $0.0081/SF $0.0083/SF $0.0081/SF $0.0043/ Area A: Residential SF $10,756 Non- $133.16/Acre $137.95/Acre N/A 0 $0 Residential Final Map $133.16/Acre $137.95/Acre Area A: 0 $0 $133.16/Acre Vacant $84.23/Acre $86.37/Acre Sec Combined 0 $0 Combined $137.28/Acre $140.77/Acre A:$102.17/Acre See See Vacant B:$58.76/Acre Moni- Monitor- torin§ in§ CFD 97~30tay Ranch McMillin Bond Issue Category Maximum FY 1999-00 FY00-01 Estimated Actual Actual Revenue Residential $0.392/SF $0.392/SF $0.3920/ $526,936 SF Commercial $4000/Acre N/A $4000/ 0 Acre Community Purpose $1000/Acre N/A $1000/ 0 Facility Acre Undeveloped $7954/Acre $888.39/Acre $3701/ $254,861 Acre Property Owner $7954/Acre N/A SO/Acre 0 Association Land CFD 98-10tay Project Interim Open Space Maintenance District Category FY 1999-00 FY 2000-01 FY 1999- FY00-01 Estimated Maximum Maximum 00 Actual Actual Revenue Taxable Land $106.71/Acre $109.42/Acre $15.56 $43.38 $57,502 Page 6, Item Meeting Date 8/1/00 CFD 98-3 Open Space Maintenance District No. 35 - Sunbow II Category FY 1999-00 FY 2000-01 FY 1999~ FY00-01 Estimated Maximum Maximum 00 Actual Actual Revenue Residential $360.38/EDU $369.54/EDU $360.38 $369.54 $357,602 Industrial $2809.06/Acre $2880/Acre N/A $2880/A 0 Commercial $3144.78/Acre $3225/Acre N/A $3225/A 0 Undeveloped $2153.37/Acre $2208/Acre $195.78/ $0/ 0 Acre Acre Undeveloped- $521.63/Acre N/A $521.63/ N/A 0 Extraordinary Acre Special Tax Note that a single family dwelling is equivalent to one EDU. Costs are spread to multiple family units on the basis of 0.8 EDUs per unit for street medians and parkways and 1.0 EDUs per unit for all other facilities in the CFD. CFD 99-10tay Ranch SPA One Bond Issue Category Maximum FY2000-01 Estimated Revenue Actual ZONE A Residential $0.28/SF $0.28/SF $175,952 Commercial $1600/Acre $1600/Acre 0 Community Purpose $400/Acre $400/Acre 0 Facility ZONE B Residential $400 + $.29/SF $400 + $0.29/SF $42,163 Commercial $3717/Acre $3717/Acre 0 Community Purpose $929/Acre $929/Acre 0 Facility ZONE C Residential $400 + $.44/SF $400 + $0.44/SF 0 Page 7, Item Meeting Date 8/1/00 CFD 99-10tay Ranch SPA One Bond Issue Commercial $4266/Acre $4266/Acre 0 Community Purpose $1066/Acre $1066/Acre 0 Facility COMBINED Undeveloped $8864/Acre $2915/Acre $1,815,295 Property Owner $8864/Acre $2915/Acre 0 Association The square footage of residential floor area is used to determine the charge for all developed residential properties. For all other categories, the parcel gross acreage is used. CFD 2000-1 Sunbow II Villages 5 through 11 Category Maximum FY2000-01 Estimated. Revenue Actual Residential $.44/SF $.44/SF 0 Undeveloped $7851/Acre $3263.61/Acre $611,214 Property Owner $7851/Acre SO/Acre 0 Association Because the bonds have not yet been priced for CFD 2000-1, it cannot be said with certainty how much revenue will need to be obtained for undeveloped property, and hence, what the actual rate for FY 2000-01 should be. Passage of the resolution on this district will allow for minor adjustment of this rate based on the actual bond pricing. The special taxes which will be applicable to typical single family dwelling units are shown in Attachment F for Otay Ranch Village 1 and 5, Otay Ranch McMillin and Sunbow II. Special taxes and assessments other than the seven Community Facilities Districts discussed herein are not included. Maps are provided for all districts in Attachment G. The final Special Tax Levy Reports will include a list of all parcel numbers and charges applicable to each parcel. Since the valid parcel numbers cannot be known for certain until after the assessment tape has been submitted to the County for inclusion on the County tax roll, the final reports will be Page 8, Item Meeting Date 8/1/00 prepared in August using the rates established in the draft reports. Copies of the draft reports are available for review at the office of the City Engineer. FISCAL IMPACT: Budgeted expenditures total approximately $1,508,596 for all CFDs for Fiscal Year 2000-2001, excluding reserves. The bond repayment will be $781,565 for CFD 97-3, $1,698,438.76 for CFD 99-1, and $561,213.88(estimated) for CFD 2000-1. The projected revenues will be sufficient to cover this amount. The general fund will be reimbursed up to a maximum of $323,370 for City staff services performed during Fiscal Year 2000-2001. The amount of $23,384 was originally budgeted for each of the following CFD's: 97-3, 99-1 and 2000-1. This amount did not include all of the costs associated with a bonded distriot, such as arbitrage calculations, continuing disclosure and payments to the trustee. Additionally, each district needs to pay a share of the cost (approximately $7600 each) for the development of a model for calculating buy down amounts where the taxes and bonded assessments exceed 2 percent of the purchase price. Therefore, it is requested that an additional $19,216 be appropriated for each of these districts, for a total of $57,648, to pay for these administrative costs. These increases are allowable by the bond indenture and will be charged to the property owners within the districts. Attachments: A. Resolutions 19559 and 19571 Levying the assessment for Fiscal Year 2000-2001 B. Ordinance 2795 authorizing levy of the Special Tax for CFD 99-1 C. Ordinance 2814 authorizing the levy of Special Tax for CFD 00-1 D. Resolution 2000-053 authorizing the refund of the Extraordinary Special Tax for CFD 98-3 E. Resolution 2000-210 authorizing the refund of special taxes collected for CFD 98-3 F. Table on typical single family home charges G. Maps for all CFDs H:XHOME~ENGiNEERLA. GENDA\CFDLEVY5.EMC F1LE 0725-10-CFD00 RESOLUTION NO. 19571 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING LEVY OF THE SPECIAL TAX FOR FISCAL YEAR 1999-2000 FOR COMMUNITY FACILITIES DISTRICT NO. 97-3 WHEREAS, the City Council did, bythe adoption of Resolution No. 19559, levy special taxes for Fiscal Year 1999-2000 in Community Facilities District No. 97-3 (the "District"); and WHEREAS, it has been recommended by the'City staff and Special Districts Financing and Administration, as the special tax administration consultant to the City, that the levy of special taxes on undeveloped property as previously approved be amended as described herein because a number of parcels located outside the District were inadvertently included in the previously approved calculations. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby resolve as follows: SECTION 1. The City Council, acting as the legislative body of the District, does hereby amend the levy of special taxes on undeveloped property for Fiscal Year 1999-2000 from $888.39 per acre to 94,355.28 per acre. SECTION 2. Resolution No. 19559 is hereby amended to reflect the amendment to the levy of the special tax set forth in Section 1 above and the City Clerk is hereby directed to amend Resolution No. 19559 to reflect said change. Presented by Approved as to form by J~n P. ippitt ,J~h~,U. Kaheny ~ F~dblic Works Director ~y Attorney ~ T I · ~ [ Resolution 19571 Page 2 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 17~ day of August, 1999, by the following vote: AYES: Councilmembers: Davis, Padilla, Salas and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: None ABSTAIN: Councilmembers: Moot Shir~yo' r~~ ATTEST: Susan Bigelow, City Cler~ 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. 19571 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 17th day of August, 1999. Executed this 17th day of August, 1999. Susan Bigelow, City Clerk RESOLUTION NO. 19559 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA LEVYING THE ASSESSMENTS FOR FISCAL YEAR 1999- 2000 FOR COMMUNITY FACILITIES DISTRICTS 97-1 , 97-2, 97- 3, 98-1 AND 98-3 WHEREAS, during Fiscal Year 1998-99, the following Community Facilities Districts were formed in the Otay Ranch and Sunbow II areas and the ordinances which initially authorized the levy of Special Taxes are cited: 1. CFD 97-1: Open Space Maintenance District (Otay Ranch - SPA One, Villages 1 & 5) - Levy of Special Tax authorized by Ordinance 2755 on October 13, 1998. 2. CFD 97-2: Preserve Maintenance District (Otay Ranch) - Levy of Special Tax authorized by Ordinance 2756 on October 13, 1998. 3. CFD 97-3: Bond Issue for Acquisition of Public Facilities (Otay Ranch McMillan SPA One) - Levy of Special Tax authorized by Ordinance 2768 on January 5, 1999. 4. CFD 98-1: Interim Open Space Maintenance District (Otay Project, LLC-OVP, Villages 1 West, 2, 2 West, 6, 7 & Planning Area 12) - Levy of Special Tax authorized by Ordinance 2757 on October 13, 1998. 5. CFD 98-2: Interim Open Space Maintenance District (McMillan - D.A. Ame~'ica, Otay - SPA Two, Villages 6& 7) - Levy of Special Tax authorized by Ordinance 2758 on October 13, 1998. 6. CFD 98-3: Open Spabe Maintenance District No. 35 (Sunbow II) -Levy of Special Tax authorized by Ordinance - Special Tax levied by Ordinance 2745 on September 8, 1998. WHEREAS, property owners must be assessed during Fiscal Year 1999-2000 in five of these districts in order to pay for the maintenance of open space and preserve areas in CFD's 97-1, 97-2, 98-1 and 98~3; and to begin repaying bondholders in CFD 97-3; and WHEREAS, according to the Engineer's Reports for CFD's 97-1,97-2, 98-1 and 98-3, the maximum Special Tax Rates for each fiscal year after 1998-99 shall be increased or decreased by the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (CPI) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published in January; and WHEREAS, the CPI increase is 3.6 percent for the San Diego Metropolitan Area and the change in the Personal Income Index is 4.97 percent, therefore, the rates included in the original Engineer's Reports were increased by 3.6 percent. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby levy the special tax on taxable property in Districts 97-1,97-2, 97-3, 98-1 and 98-3, respectively, for Fiscal Year 1999-2000, at the rates as follows: Resolution 19559 Page 2 CFD 97-10tay Ranch Open Space Maintenance Category FY 1999-00 FY1999-00 Maximum Actual Area A Residential $0.0874/SF $0.0874/SF Area A Non-Residential 51184/Acre N/A Area A Vacant 51340/Acre 521 O/Acre Area B Residential 50.2048/SF 50.2048/SF Area B Non-Residential 52629/Acre N/A Area B Vacant 52973/Acre 5218/Acre CFD 97-20tay Ranch Preserve Category FY 1999-00 Maximum FY 1999-00 Actual Monitoring: Residential 80.0051/SF 50.0051/SF Non-Residential 583.87/Acre N/A Final Map $83.87/Acre Area A: 583.87/Acre Vacant 553.05/Acre See Combined 0 & M: Residential 50.0081/SF Area A: 50.0081/SF Non-Residential 5133.16/Acre N/A Final Map 5133.16/Acre Area A: 5133.16/Acre Vacant 584.23/Acre See Combined Combined Vacant 5137.28/Acre A: 8102.17/Acre B:$58.76/Acre Resolution 19559 Page 3 CFD 97-30tay Ranch McMillan Bond Issue Category Maximum FY 1999-00 Actual Residential $0.392/SF ~0.392/SF Commercial $4000/Acre N/A Community Purpose Facility ~ 1000/Acre N/A Undeveloped $7954/Acre $888.39/Acre Property Owner Association Land $7954/Acre gO/Acre CFD 98-1 0tay Project Inte~'im Open Space Maintenance District , Category FY 1999-00 Maximum FY 1999-00 Actual Taxable Land $107/Acre $15.56, CFD 98-3 Open Space Maintenance District No. 35 - Sunbow II Category FY 1999-00 Maximum FY 1999-00 Actual Residential $360.35/EDU $360.38 Industrial $2809.06/Acre N/A Commercial $3144.78/Acre N/A Undeveloped $2153.37/Acre · -~ 195.78/Acre Extraordinary Special Tax - $521.63/Acre ~521.63/Acre Undeveloped Property Presented by Approved as to form by Jo~'~ P. I~,ppitt ' /~/h/n M. Kaheny ~ Public Works Director ~.~ity Attorney Resolution 19559 Page 4 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 3rd day of August, 1999, by the following vote: AYES: Councilmembers: Davis, Padilla and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: Salas ABSTAIN: Councilmembers: Moot Shirley Horto~, Mayor ATTEST: Susan Bigelow, City 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. 19559 was duty passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 3'd day of August, 1999. Executed this 3'~ day of August, 1999. Susan Bigelow, City Clerk THIS PAGE iNTENTIONALLY BLANK ORDINANCE NO. 2795 ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA. CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 99-1 (OTAY RANCH SPA ONE - PORTIONS OF VILLAGE ONE, VILLAGE FIVE AND VILLAGE ONE WEST) AUTHORIZING THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY FACILITIES DISTRICT WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors authorizing the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982," being Chapter 2.5, Part 1. Division 2, Title 5 of the Government Code of the State of California (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 St~ite of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). This Community Facilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 99-1 (Otay Ranch Spa One - Portions of Village One, Village Five and Village One West) (the "District"). The City Council of the City of Chula Vista, acting as the legislative body of Community Facilities District No. 99-1 (Otay Ranch Spa One - Portions of Village One, Village Five and Village One West), does hereby ordain as follows: SECTION 1. This City Council does, by the passage of this ordinance, authorize the leW of special taxes pursuant to the Rate and Method of Apportionment of Special Taxes as set forth in Exhibit "A" (the "Special Tax Formula"), referenced and incorporated herein, on file in the office of the City Clerk. SECTION 2. This City Council, acting as the legislative body of the District, is hereby further authorized, by Resolution, to annually determine the special tax to be levied/bt the then current tax year or future tax years, except that the special tax to be levied shall not exceed the maximum special tax calculated pursuant to the Special Tax Formula, but the special tax may be levied at a lower rate. SECTION 3. The special taxes herein authorized, to the extent possible, 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; provided, however, the District may utilize a direct billing procedure for any special taxes that cannot be collected oo the County tax roll or may, by resolution, elect to collect the special taxes at a different time or in a different manner if necessary to meet its financial obligations. SECTION 4. The special tax shall be secured by the lien imposed pursuant to Sections 3114.5 and 3115.5 of the Streets and Highways Code of the State of California, which lien shall be a continuing lien and shall secure each [eW of the special tax. The lien of the special tax shall continue in force Ordinance 2795 Ordinance 2795 Page 2 Page 2 and effect until the special tax obligation is prepaid, permanently satisfied and canceled in accordance with Section 53344 of the Govermnent Code of the State of California or until the special tax ceases to be levied by the City Council in the manner provided in Section 53330.5 of said Government Code. SECTION 5. This Ordinance shall be effective thirty days after its adoption. Within fifteen days a~er its adoption, the City Clerk shall cause this Ordinance to be published in a newspaper of general circulation in the City pursuant to the provisions of Government Code Section 36933. Presented by Approved as to form ,, ~-t..~ //~ Jo .~Kah~ Jc/~n P. Lippitt '' ny ~ P~fiblic Works Director C~ Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 14th day of September, 1999, by the following vote: AYES: Councihncmbers: Davis. Padilla. Salas and Horton NAYS: Councilmembers: None ABSENT: Councihnembcrs: Moot ShirI~' Horton. l~Gayo~ ' ATTEST: Susan Bigelm~ Cit3' 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 Ordinance No.2795 had its first reading at a regular meeting held on the 31st da5' of August, 1999, and its second reading and adoption at a regular meeting of said City Council held on the 14'h day of September, 1999. Executed this 14th day of September, 1999. Susau Bigelow. City Clerk OP. DINANCE NO. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA. CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SU~WBOW II VILLAGES 5 THROUGH 10) AUTHORIZING THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY FACILITIES DISTRICT WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the ~City Council~), has initiated proceedings, held a public heating, conducted an election and received a favorable vote from the qualified electors authorizing the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982', being Chapter 2.5, Part 1. DivisiOn 2, Title 5 of the. Govenunent Code of the State of California (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 ,O '_rdir)an. ce~') (the Act and. the Ordinance may be referred to collectively as the "community Facilities Disu-ict Law~). Tliij Community Facilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10). The City Council of the City of Chula Vis~ California, acting as the legislative body of Community Facilities District No. 2000-1 (Sunbow II - ',Tillages 5 through 10), does hereby ordain as follows: SECTION 1. This City Council does. by the pass~e of this ordina~nce, authori~ !ex.-y of special taxes pursuant ro the Rare mud Method of A?portionment of Spscial Taxes a~ sst fo,'zh in Exhibit "A' attached hereto (the "Special ..ax Fo,-muia'). referenced and so incorporated. SECTION 2. This Ci¢' Council, acting as the legislative body of the District, is hereby farther authorized, by Resoiufion, to annualiy determine the special ~2x to be levied for the then current tax year or furore tax years, except that the special tax to be levied shall not exceed the maximum special tax calculated pursuant to the Special Tax Formula, but the spmial tax may be levied at a lower rate. .:. SECTION 3. The special taxes herein authorized, to the extent possible, shall be collecuxl 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; provided,- however, the District may utilize a direct billing procedure for any special taxes that cannot be collected on the County tax roll or may, by resolution, elect to collect the special taxes at a different time or in a different m/uner if necessary to meet its financial obligations. SECTION 4. The special tax shall be secured by the lien imposed pursuant to Sections 3114.5 and 3115.5 of the Streets and Highways Code of the State of California, which lien shall be a continuing lien and shall secure each few of the special tax. The lien of the special tax shall continue in force and effect until the special tax obligation is prepaid, permanently satisfied and canceled in accordance with Section 53344 of the Government Code of the State of California or until the special tax ceases to be levied by the City Council in the manner provided in Section 53330.5 of said Government Code. SECTION 5. This Ordinance shall be effective thirty (30) days after its adoption. Within fifteen (15) days after its adoption, re City Clerk shall cause this Ordinance to be published in a newspaper of general circulation in the City pursuant to the provisions of Government Code Section 36933. Introduced ai a regular meeting of the City Council of the City of Chula Vista, California, on ,2000; Enacted at a regular meeting of the City Council of the City of Chula Vista, California, held on the " day of ,2000, by' the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: APPROVED AS TO FORM: RESOLUTION NO. 2000-053 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]), MAKING AND ESTABLISHING CERTAIN INTERPRETATIONS REGARDING THE RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES WITHIN SUCH COMMUNITY FACILITiES DISTRICT WHEREAS, the City Council has previously undertaken proceedings to form and has formed a community facilities district, pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982," being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of Califomia (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"), for the purpose of financing the maintenance of certain public improvements. Such Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]) (the "District"); and WHEREAS, the City Council and the qualified electors within the District have authorized the levy of special taxes within the District to finance such maintenance; and WHEREAS, such special taxes are authorized to be levied pursuant to the rate and method of apportionment of such special taxes (the "Special Tax Formula"); and WHEREAS, the City Council, in adopting the resolution forming and establishing the District, did reserve to itself the authority to make interpretations of the Special Tax Formula for purposes of clarifying any vagueness or ambiguity in the Special Tax Formula as it relates to any category, zone, rate or definition therein; and WHEREAS, as a result of the unique configuration of that property within the District located within Planning Area 6, i.e., property is located within both the District and Open Space District No. 18, the literal application of the provisions of the Special Tax Formula to the actual development of that portion of Plauning Area 6 which is within the District triggers an unintended and unnecessary levy of the Extraordinary Special Tax and, therefore, the City staff and special counsel have recommended and requested that the City Council make certain interpretations of the Special Tax Formula to provide a clarification of the Extraordinary Special Tax provisions to avoid such unintended and unnecessary levy of the Extraordinary Special Tax; and WHEREAS, the recommended interpretation is contained within the proposed modification of Exhibit C to t_he Special Tax Formula set forth in Attachment A hereto which is hereby incorporated herein by this reference. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all t_rue and correct. Resolution 2000-053 Page 2 SECTION 2. The City Council hereby finds and determines that the interpretation of the Special Tax Formula which is manifest in the modification to Exhibit C to the Special Tax Formula is consistent with the intent of the Special Tax Formula and avoids an unintended and unnecessary levy of the Extraordinary Special Tax and, therefore, approves and makes the interpretation of the Special Tax Formula as set forth Exhibit C, as modified, in Attachment A hereto. Such interpretation shall apply to and govern the application and levy of special taxes within the District pursuant to the Special Tax Formula. Prepared by Approved as to form by ippitt Jgl~. Kahenj ~ orks Director C~fy Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 15t~ day of February, 2000, by the following vote: AYES: Councilmembers: Davis, Moot, Padilla, Salas, and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: None Shirley Horyn, Mayor ATTEST: Susan Bigelow, City Cle?k STATE OF CALI]?ORNIA ) 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. 2000-053 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 15th day of February, 2000. Executed this 154 day of February, 2000. Susan Bigelow, City Clerk THIS PAGE INTENTIONALLY BLANK RESOLUTION NO. 2000-210 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW ]I]), MAKING THE DETERMINATION THAT SURPLUS FUNDS EXIST FOR SERVICES WITHIN SUCH COMMUNITY FACILITIES DISTRICT AND AUTHORIZING THE REFUND OF SPECIAL TAXES COLLECTED FROM THE UNDEVELOPED PROPERTIES WHEREAS, the City Council has previously undertaken proceedings to form and has formed a community facilities district, pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982," being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (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"), for the purpose of financing the maintenance of certain public improvemems. Such Community Facilities District shall hereinafter be referred to as COMMLrNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]) (the "District"); and WHEREAS, the City Council and the qualified electors within the District have authorized the levy of special taxes within the District to finance such maintenance; and WHEREAS, such special taxes are author/zed to be levied pursuant to the rate and method of apportionment of such special taxes (the "Special Tax Formula"); and WHEREAS, as a result of current bids, delayed turnover of open space and current development schedules, there is a surplus of fimds in the District and, therefore, the City staff has recommended and requested that the City Council make the determination that a surplus of funds exist; and WHEREAS, special taxes are first collected fi:om developed properties pursuant to the Special Tax Formula and then collected fi:om the undeveloped properties in the event that additional funds are needed to provide services, and therefore City staffhas recommended and requested that the City Council authorize a refund of Special Taxes collected fi:om the Undeveloped Properties. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. The City Council hereby finds and determines that surplus funds exist for services within the District and authorizes the refund in the amount of $83,784.06 of special taxes collected from the undeveloped properties. Resolution 2000-210 Page 2 Prepared by Approved as to form by bl P. Lippitt ' J~. Kaheny ~ ic Wt~rks Director t~_,4ty Attorney PASSED, APPROVED, and ADOPTED by the City Council ,of the City of Chula Vista, California, this 20t~ day of June, 2000, by the following vote: AYES: Cotmcilmembers: Davis, Padilla, and Salas NAYS: Councilmembers: None ABSENT: Councilmembers: Moot and Horton Shirley Horton, Mayor ATTEST: Susan Bigelow, City Clerk STATE OF CALISORNIA ) 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. 2000-210 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 20a' day of June, 2000. Executed this 204 day of June, 2000. Susan Bigelow, City Clerk TYPICAL SINGLE FAMILY HOME CHARGES (2000 SQUARE FEET) COMMUNITY FACILITIES DISTRICTS ONLY DISTRICT NO. OTAY RANCH SPA 1 OTAY RANCH SUNBOW II VILLAGES 1 & 5 McMILLIN (EXCEPT McMII~LIN) CFD 97-1 Area A $179.40 $179.40 CFD 97-1 Area B $420.00 CFD 97-2 Monitoring $5.40 $5.40 CFD 97-20 & M $8.40 $8.40 CFD 97-3 $784.00 CFD 98-3 $369.54 CFD 99-1 Village 1 $560.00 CFD 99-1 Village 5 $980.00 CFD 00-1 N/A for FY 00/01 TOTAL $1173.20 Village 1 $977.20 $369.54 $1593.20 Village 5 July 20, 2000 H:\HOME\ENGINEE~AGENDA\CFDLEVY I .EMC THIS PAGE INTENTIONALLY BLANK THIS PAGE INTENTIONALLY BLANK THIS PAGE INTENTIONALLY BLANK McMillin / Otay Ranch EXHIBIT "A" CFD No. 97-3 PLANNING AREA MAP P-6.1 P -'3.2. ~" " P-6.5 ',S-2 '~. THIS PAGE INTENTIONALLY BLANK THIS PAGE INTENTIONALLY BLANK THIS PAGE INTENTIONALLY BLANK THIS PAGE INTENTIONALLY BLANK RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA LEVYING THE SPECIAL TAX FOR FISCAL YEAR 2000-2001 FOR COMMUNITY FACILITIES DISTRICTS 97-1, 97-2, 97-3, 98-1, 98-3, AND 99-1 WHEREAS, according to the rate and method of apportionment of th~ Special Tax for CFDs 97-1, 97-2, 98-1 and 98-3 approved by the qualified electors of each respective community facilities district, the maximum Special Tax Rates for each fiscal year after 1998-99 shall be increased or decreased by the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (CPI) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published in January; and WHEREAS, the CPI increase between January 1999 and January 2000 was 3.64% and the change in the estimated California fourth quarter personal income was 3.79%, therefore, staff used the CPI increase, which was the lesser of the two figures; and WHEREAS, the CPI increase used for calculating the FY 1999/2000 Special Tax rates was inadvertently too high and in order to correct this, staff has proposed using the CPI increase between January 1998 and January 2000 of 6.23% and prorating the cost increase for January 1999 to January 2000, to be 2.54%; and WHEREAS, the maximum and actual Special Tax rates for all community facilities districts are set forth in Exhibit A, attached hereto and incorporated herein by reference as if set forth in full; and WHEREAS, the maximum and actual Special Tax rates set forth in Exhibit A were computed based upon the budget for each such community facilities district as previously approved by this City Council; and WHEREAS, this City Council desires to levy the Special Tax for Community Facilities Districts 97-1, 97-2, 97-3, 98-1, 98-3 and 99-1 at the rates as set forth in Exhibit A hereto; provided, however, this City Council also desires to delegate to the City Manager the ability to adjust such Special Tax rates as the City Manager deems reasonably necessary to reflect any projected changes in the budgets for such community facilities districts or any one of them based upon any subsequent review by the City Manager of the cost estimates upon which such budgets were based so long as the resulting Special Tax rates do not exceed the rates set forth in Exhibit A hereto. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista, acting as the legislative body for Community Facilities Districts 97-1, 97-2, 97-3, 98-1, 98-3 and 99-1 respectively, as follows: SECTION 1. The foregoing recitals are true and correct. SECTION 2. Subject to adjustment pursuant to Section 3 below, this City Council does hereby levy the Special Tax for Fiscal Year 2000-2001 for Community Facilities Districts 97-1, 97-2, 97-3, 98- 1, 98-3 and 99-1 as set forth in Exhibit A. SECTION 3. This City Council hereby delegates to the City Manager the authority to adjust the Special Tax rates set forth in Exhibit A attached hereto to reflect any projected changes in the budgets for such community facilities districts or any one of them deemed appropriate by the City Manager based upon any subsequent review by the City Manager of the cost estimates upon which such budgets were based so long as the resulting Special Tax rates do not exceed the rates set forth in Exhibit A hereto. The City Manager is hereby authorized to prepare and submit a certified list of all parcels subject to the levy of the Special Tax within the community facilities districts to which this resolution applies including the amount of the Special Tax to be levied on each parcel for Fiscal Year 2000-2001 and to file such list with the auditor of the County of San Diego on or before August 10, 2000 or such later date on or before August 21, 2000 with the prior written consent of such auditor. The amount of the Special Tax to be levied on each such parcel shall be based upon the Special Tax rates as adjusted by the City Manager pursuant to the provisions of this Section 3. Presented by Approved as to form by John P. Lippitt JohM ~f Kaheny Director of Public Works City Attorney EXHIBIT "A" CFD 97-10tay Ranch Open Space Maintenance Category FY1999-00 FY2000-01 FY1999-00 FY00-01 Estimated Maximum Maximum Actual Actual Revenue Area A $0.0874/SF $0.0897/SF $0.0874/SF $.0897/SF $257,712 Residential Area A Non- $1184/Acre $1214.23/A N/A $1241.23/A 0 Residential Area A Vacant $1340/Acre $1373.57/A $210/Acre $498.54/A $244,653 AreaB $0.2048/SF $0.2100/SF $0.2048/SF $.2100/SF $351,760 Residential Area B Non- $2629/Acre $2696.15/A N/A $2696.15/A 0 Residential AreaB Vacant $2973/Acre $3048.84/A $218/Acre $712.1 I/A $88,396 CFD 97-20tay Ranch Preserve Category FY 1999-00 FY 2000-01 FY 1999-00 FY 00- Estimated Maximum Maximum Actual 01 Revenue Actual Monitoring: $0.005I/SF $0.0052/SF $0.0051/SF $0.0027/ Area A: Residential SF $7688 Non- $83.87/Acre $86.89/Acre N/A $0/ $0 Residential Acre Final Map $83.87/Acre $86.89/Acre Area A: $83.87/ $0 $0 Acre Vacant $53.05/Acre $54.40/Acre See Combined Area B: Area B: $11.21/A $23,184 O & M: $0.0081/SF $0.0083/SF $0.008I/SF $0.0042/ Area A: Residential SF $12,271 CFD 97-20tay Ranch Preserve Non- $133.16/Acre $137.95/Acre N/A 0 $0 Residential FinalMap $133.16/Acre $137.95/Acre AreaA: 0 $0 $133.16/Acre Vacant $84.23/Acre $86.37/Acm See Combined 0 $0 Combined $137.28/Acre $140.77/Acre A:$102.17/Acre See See Vacant B:$58.76/Acre Moni- Monitor- toring lng CFD 97-30tay Ranch McMillin Bond Issue Category Maximum FY 1999-00 FY00-01 Estimated Actual Actual Revenue Residential $0.392/SF $0.392/SF $0.3920/ $531,483 SF Commercial $4000/Acre N/A $4000/ 0 Acre Community Purpose $1000/Acre N/A $1000/ 0 Facility Acre Undeveloped $7954/Acre $888.39/Acre $3635.25/ $250,313 Acre Property Owner $7954/Acre N/A SO/Acre 0 Association Land CFD 98-10tay Project Interim Open Space Maintenance District Category FY 1999-00 FY 2000-01 FY 1999- FY00-01 Estimated Maximum Maximum 00 Actual Actual Revenue Taxable Land $106.71/Acre $109.42/Acre $15.56 $43.38 $57,502 CFD 98-3 Open Space Maintenance District No. 35 - Sunbow II Category FY 1999-00 FY 2000-01 FY 1999- FY00-01 Estimated Maximum Maximum 00 Actual Actual Revenue Residential $360.38/EDU $369.54/EDU $360.38 $369.54 $357,602 CFD 98-3 Open Space Maintenance District No. 35 - Sunbow II Industrial $2809.06/Acre $2850/Acre N/A $2880/A 0 Commercial $3144.78/Acre $3225/Acre N/A $3225/A 0 Undeveloped $2153.37/Acre $2205/Acre $195.78/ $0/ 0 Acre Acre Undeveloped- $521.63/Acre N/A $521.63/ N/A 0 Extraordinary Acre Special Tax Note that a single family dwelling is equivalent to one EDU. Costs are spread to multiple family units on the basis of 0.8 EDUs per unit for street medians and parkways and 1.0 EDUs per unit for all other facilities in the CFD. CFD 99-10tay Ranch SPA One Bond Issue Category Maximum FY2000-01 Estimated Revenue Actual ZONE A Residential $0.28/SF $0.28/SF $175,952 Commercial $1600/Acre $1600/Acre 0 Community Purpose $400/Acre $400/Acre 0 Facility ZONE B Residential $400 + $.29/SF $400 + $0.29/SF $42,163 Commercial $ 3717/Acre $3717/Acre 0 Community Purpose $929/Acre $929/Acre 0 Facility ZONE C Residential $400 + $.44/SF $400 + $0.44/SF 0 Commercial $4266/Acre $4266/Acre 0 Community Purpose $1066/Acre $1066/Acre 0 Facility COMBINED CFD 99-10tay Ranch SPA One Bond Issue Undeveloped $8864/Acre $2916.28/Acre $1,816,275.84 Property Owner $8864/Acre $2916.28/Acre 0 Association The square footage of residential floor area is used to determine the charge for all developed residential properties. For all other categories, the parcel gross acreage is used. CFD 2000-1 Sunbow II Villages 5 through 11 Category Maximum FY2000-01 Estimated Revenue Actual Residential $.44/SF $.44/SF 0 Undeveloped $7851/Acre $3263.61/Acre $611,214 Property Owner $7851/Acre SO/Acre 0 Association Because the bonds have not yet been priced for CFD 2000-1, it cannot be said with certainty how much revenue will need to be obtained for undeveloped property, and hence, what the actual rate for FY 2000-01 should be. Passage of the resolution on this district will allow for minor adjustment of this rate based on the actual bond pricing. The special taxes which will be applicable to typical single family dwelling units are shown in Attachment F for Otay Ranch Village I and 5, Otay Ranch McMillin and Sunbow II. Special taxes and assessments other than the seven Community Facilities Districts discussed herein are not included. RESOLUTION NO. RESOLUTION OF THE CITY COLrNCIL OF THE CITY OF CHULA VISTA APPROPRIATING AN ADDITIONAL $19,216 EACH FOR CFD'S 97-3, 99-1, AND 2000-1 TO COVER COSTS FOR FINANCIAL SERVICES FOR BONDED DISTRICTS WHEREAS, the amount of $23,384 was originally budgeted for each of the following CFD's: 97-3, 99-1 and 2000-1; and WHEREAS, this amount did not include all of the costs associated with a bonded district, such as arbitrage calculations, continuing disclosure and payments to the trustee; and WHEREAS, additionally, each district needs to pay a share of the cost (approximately $7600 each) for the development of a model for calculating buy down amounts where the taxes and bonded assessments exceed 2 percent of the purchase price; and WHEREAS, it is requested that an additional $19,216 be appropriated for each of these districts, for a total of $57,648, to pay for these administrative costs as these increases are allowable by the bond indenture and will be charged to the property owners within the districts. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby appropriate an additional $19,216 each for CFD's 97-3, 99-1, and 2000-1 from the revenue accounts for these districts to cover costs for financial services for bonded districts. Presented by Approved as to form by John P. Lippitt, John M. Kaheny Director of Public Works City Attorney [H:/HOM E~,TTORN EY/RESOI cfd appropriation [ (July 26, 2000 {4:38pm)] RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ESTABLISHING AN ANNUAL SPECIAL TAX FOR COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10) FOR FISCAL YEAR 2000-2001 WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors to authorize the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the "Act"). This Community Facilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SunbowlI Villages5 through 10) (the "District"); and WHEREAS, this City Council has, by the adoption of Ordinance No.2814 (the "Ordinance") pursuant to the Act, authorized the levy of special taxes within the District to pay for costs and expenses of the District, and this City Council desires to establish the specific rate of the special tax to be levied and collected for the current fiscal year; and WHEREAS, this City Council has previously authorized the issuance of bonds of the District in the principal amount not to exceed $8,000,000 (the "Bonds") to be secured by and paid from the proceeds of the levy of the special taxes within the District; and WHEREAS, such Bonds are to be sold and the debt service schedule for the Bonds is to be established after the date on which this resolution is adopted; and WHEREAS, there has been presented to this City Council for its consideration specific rates of the special tax to be levied and collected for the current fiscal year which are based upon projections of the debt service schedule for the Bonds and other authorized costs and expenses of the District; and WHEREAS, this City Council desires to establish specific rates of the special tax to be levied and collected for the current fiscal year based upon such projections and to delegate to the City Manager the authority to adjust such specific rates based upon the actual debt service schedule established for the Bonds; and WHEREAS, Government Code Section 53340 provides that this City Council may provide, by resolution, for the levy of the special taxes in the current tax year at the same rates or at a lower rate than the rate provided for in the Ordinance, if such resolution is adopted and a certified list of all parcels subject to the special tax levy including the amount of the special tax to be levied on each parcel for the current tax year (the "Certified Parcel List"), is timely filed by the official designated by this City Council with the Auditor of the County of San Diego (the "County Auditor"). NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, acting as the legislative body of Community Facilities District No. 2000-1 (Sunbow II - Villages 5 through 10), as follows: SECTION 1. The above recitals are all true and correct. 1 SECTION 2. Subject to adjustment as provided for in Section 3 below, this City Council hereby authorizes the levy of the special tax for the current fiscal year (Fiscal Year 2000-2001) at the rates set forth in Exhibit A attached hereto and incorporated herein by this reference. SECTION 3. The City Manager is hereby authorized to adjust and finalize the specific rates of the special tax as set forth in Exhibit A to reflect the actual debt service schedule for the Bonds so long as such special tax rates do not exceed the maximum special tax authorized to be levied in accordance with the Ordinance. The City Manager is further authorized and directed to prepare or cause to be prepared the Certified Parcel List based upon the final special tax rates and to submit or cause the Certified Parcel List to be submitted to the County Auditor on or before August 10th or such later date to which the County Auditor may agree. SECTION 4. The special tax shall be collected in the same manner as ordinary ad valorem property taxes are collected, and shall be subject to the same penalties and same procedure and sale in cases of any delinquency for ad valorem taxes, and the tax collector of the County of San Diego is hereby authorized to deduct reasonable administrative costs incurred in collecting any said special tax. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. SECTION 5. The County Auditor is hereby directed to enter in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land effected in a space marked "public improvements, special tax" or by any other suitable designation, the installment of the special tax as shall be set forth in the Certified Parcel List. SECTION 6. The County Auditor shall then, at the close of the tax collection period, promptly render to the District a detailed report showing the amount and/or amounts of such special tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection. SECTION 7. This resolution shall become effective upon its adoption. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney 2 EXHIBIT A CFD 2000-1 Sunbow II Villages S through 11 Category Maximum FY2000-01 Estimated Revenue Actual Residential $.44/SF $.44/SF 0 Undeveloped $7851/Acre $3263.61/Acre $611,214 Property Owner $7851/Acre SO/Acre 0 Association COUNCIL AGENDA STATEMENT Item Meeting Date 8/1/00 ITEM TITLE: Resolution Granting an easement for Water Facility Purposes to Otay Water District for the purpose of laying underground water pipelines and laterals, together with the right to construct, maintain, operate, replace, remove, or enlarge drains, water facilities, and appurtenant structures in, upon, over, and across City-owned property located on Lot "B" of Chula Vista Tract 90-07, Sunbow Phase lB, Units 3,4, & 16 of Final Map 13720. SUBMITTED BY: Director of Public Works~ REVIEWED BY: City Manager ~,,¢ (4/Sths Vote: Yes No X ) Chula Vista Tract 90-07, Sunbow Phase lB, Units 3, 4, & 16 is a 204 lot subdivision located east of Medical Center Drive/Brandywine Avenue and north of Olympic Parkway. Otay Water District proposes to construct water facilities, under a City Open Space Lot and is requesting an easement for all purposes, together with the right of ingress thereto and egress therefrom over said easement. RECOMMENDATION: That Council adopt the subject resolution granting a twenty (20) foot wide water easement across City-owned property and authorize the City Manager to execute the easement on behalf of the City. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The proposed easement site is located in Open Space Lot "B" of Sunbow Phase lB (Exhibit A). The water easement was originally granted and located in Open Space Lot "A' of Final Map 13720 but subsequent to recordation, Otay Water District changed its location. The original easement in Open Space Lot "A" has been quitclaimed back to the City of Chula Vista. It is Otay Water District's intention to construct underground facilities from their facilities in East Palomar Street to provide service to residential units located south of East Palomar Street in Sunbow Phase lB, Units 3, & 4. By granting this water facility easement, Otay Water District and its successors in interest will be guaranteed continuous use of the City's property for underground facilities. The language in the easement has been reviewed by the City's Engineering Division and approved by the City Attorney's office. FISCAL IMPACT: There is no cost to the General Fund. Staff time is being reimbursed from the deposits by ACI Sunbow, LLC, because the easement services the subdivision. Staff recommends that no fees be required from Otay Water District for the easement or its processing since the easement is designed to serve the same development. Attachments: Exhibit "A" - Grant of Easement Document showing location of casement. Engineering Division File No. SB011F & SB0111 H:\HOME\ENGINEER\LANDDEV~CASOWDEA.DEK Recording Requested by and Please Return to: OTAY WATER DISTRICT 2554 Sweetwater Springs Boulevard Spring Valley, California 91977-7299 This Space for Recorder's Use Only GRANT OF EASEMENT FOR WATER FACILITY PURPOSES TO OTAY WATER DISTRICT FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, CITY OF CHULA VISTA, a municipal corporation, in the County of San Diego, State of California, hereby grant(s) to the OTAY WATER DISTRICT, a municipal water district formed under the Municipal Water District Law of 1911, as amended, situated in the County of San Diego, State of California, as Grantee, an easement and right- of-way for, and the right to construct, maintain, operate, replace, remove, or enlarge drains, water facilities, and appurtenant structures in, upon, over, and across that certain real property situated in said City of Chula Vista and more particularly described as follows: PER LEGAL DESCRIPTION ATTACHED HERETO AND MADE A PART THEREOF DESCRIBED AS EXHIBIT "A" AND CONSISTING OF TWO PAGES. Together with the right to enter upon and to pass and repassover and along said easement and right-of-way and to deposit tools, implements and other materials thereon by said Grantee, its officers, agents, and employees and by any contractor, his agents, and employees engaged by said Grantee, whenever and wherever necessary for the purposes set forth above. Signed this day of_ _, 2000 (Notary Acknowledgment Required for Each Signatory) CERTIFICATE OF ACCEPTANCE This is to certify that the interest in real property conveyed herein to the Otay Water District, a poh'tical corporation and/or governmental agency, is hereby accepted by order of the Board of Directors pursuant to the authority conferred by Resolution No. 1829, adopted on February 23, 1981, and the grantee(s) consent(s) to the recordation thereof by its duly authorized officer. OTAY WATER DISTRICT By:_ Date: Otay Water District ~.~-~ ,~ EXHIBIT "A" J-13537 EXHIBIT "A" PARCEL "A" GRANTING OF WATER EASEMENT TO OTAY WATER DISTRICT An easement for water purposes 20.00 feet wide, in the City of Chula Vista, County of San Diego, State of California, the Easterly line of which is parallel with the Westerly line of Lot "B" of Chula Vista Tract 90-07, Sunbow 1 B, Units 3, 4 and 16 per Map No. 13720, the Easterly line of said 20.00 foot easement is to terminate on the Northerly and Southerly lines of said Lot "B". Robert G. Schoettmer L.S. 4324 jb/13537.001 E,'1$EME~IT IVO TE$ LESE/VD I#DICATE$ 5.5'TREE PLANTItVC, AND INDICATES 20'WATER EASEIiIE/tFI' r/iii/DJ TO OTAT WATER DISTRICT - ACQUIRED YAINTENANCE EASEMEIf7' GRANTED PER YAP 137E0 IN LOT '8', PCL 'A'-0.019 AC O INDICATES 10' GENERAL UTILITY EASEItlENT (R) INDICATES RADIAL BEARING GRANTED PER MAP 13T20 EAST , PALOMAR STREET 4/ ~"''-"-'- 43 OTAY WATER DISTRICT 20' OTA Y WA TE~ DISTRICT ~$EMENT RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTING AN UNDERGROUND EASEMENT FOR WATER FACILITY PURPOSES TO OTAY WATER DISTRICT FOR THE PURPOSE OF LAYING UNDERGROUND WATER PIPELINES AND LATERALS, TOGETHER WITH THE RIGHT TO CONSTRUCT, MAINTAIN, OPERATE, REPLACE, REMOVE, OR ENLARGE DRAINS, WATER FACILITIES, AND APPURTENANT STRUCTURES IN, UPON, OVER, AND ACROSS CITY-OWNED PROPERTY LOCATED ON LOT "B" OF CHULA VISTA TRACT 90-07, SUNBOW PHASE lB, UNITS 3, 4, & 16 OF FINAL MAP 13720 WHEREA~, Chula Vista Tract 90-07, Sunbow Phase lB, Units 3, 4, & 16 is a 204 lot subdivision located east of Medical Center Drive/Brandywine Avenue and north of Olympic Parkway; and WHEREAS, Otay Water District proposes to construct water facilities, under a City Open Space Lot and is requesting an easement for all purposes, together with the right of ingress thereto and egress therefrom over said easement and over other practical routes across City's land; and WHEREAS, by granting this water facility easement, Otay Water District and its successors in interest will be guaranteed continuous use of the City's property for underground facilities. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby grant an underground easement for Water Facility Purposes to Otay Water District for the purpose of laying underground water pipelines and laterals, together with the right to construct, maintain, operate, replace, remove, or enlarge drains, water facilities, and appurtenant structures ~,upon, over, and across City-owned property located on Lot "B' of Chula Vista Tract 90-07, Sunbow Phase lB, Units 3, 4 & 16 of Final Map 13720. BE IT FURTHER RESOLVED that the City Manager of the City of Chula Vista is hereby authorized to execute the easement on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt JOY'UMW. Kaheny Director of Public Works City Attorney [H:\HOMEgATTORNEY\RESO\Water Easement Sunbow 1B (July 24, 2000 (9 40am)] CITY COUNCIL AGENDA STATEMENT ITEM ~ MEETING DATE: 8/1/00 ITEM TITLE: Resolution Approving the Ballot Text, the Impartial Analysis and Argument in Support of Proposed Charter Amendment to Section 602 to be Submitted to the Electorate at the Special Municipal Election to be held in said City on Tuesday, November 7, 2000 SUBMITTED BY~ City Attorney ~ (4/Sths Votes Yes__No X ) RECOM14ENDATION: Adopt the resolution. BOARD/COMMISSION RECOMMENDATION= The Charter Review Commission in a report to the City Council dated 7/25/00 requested that the City Council place an amendment to Charter Section 602 on the November 7, 2000 ballot. DISCUSSION: At the City Council meeting of July 25, 2000, the City Council, after receiving a report from the Charter Review Commission and hearing public testimony, voted unanimously for the City Attorney to return to the Council with a resolution to place an amendment to Charter Section 602 on the November 7, 2000 ballot. The proposed Charter amendment authorizes the Council upon a four-flfth's vote to appoint non-electors of the City to advisory boards whose duties involve regional issues. FISCAL IMPACT= None. RESOLUTION NO. 2000- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, APPROVING THE BALLOT TEXT, THE IMPARTIAL ANALYSIS AND ARGUMENT IN SUPPORT OF PROPOSED CHARTER AMENDMENT TO SECTION 602 TO BE SUBMITTED TO THE ELECTORATE AT THE SPECIAL MUNICIPAL ELECTION TO BE HELD 1N SAID CITY ON TUESDAY, NOVEMBER 7, 2000 The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, by Resolution No. 2000-231, the City Council of the City of Chula Vista did call an election to be held on Tuesday, November 7, 2000, for the purposes of electing two members of the City Council; and WHEREAS, at its meeting of July 25, 2000, the City Council approved recommendations of the Charter Review Commission to place a Charter amendment measure on the November 7, 2000 ballot to modify Section 602(d) relating to the appointment of non-electors of the City of Chula Vista to advisory boards whose duties involve regional issues; and WHEREAS, Elections Code Section 9280 directs the City Attorney to prepare an impartial analysis of each proposed measure to amend the Charter of the City of Chula Vista; and WHEREAS, Elections Code Section 9282 authorizes the City Council, or any member or members of the City Council authorized by the City Council, to file a written argument for any City measure; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the ballot text, the City Attorney's impartial analysis, attached hereto as Exhibit "A,' and written argument, attached hereto as Exhibit "B" in support of proposed Charter amendment to Charter Section 602 to be submitted to the electorate at the special municipal election to be held in said City on Tuesday, November 7, 2000. Submitted and Approved as to form J~ 'h~. Kaheny (~ Gi't'y Attorney COUNCIL AGENDA STATEMENT Item ~ Meeting Date 8/01/00 ITEM TITLE: Consolidated Public Hearings Regarding (1) Forming Community Facilities District No. 99-2 (Otay Ranch Spa One - Village One West) and Authorizing Special Tax, (2) Future Annexations To Commumty Facilities District No. 99-2 (Otay Ranch Spa One Village One West), (3) Annexation To Community Facilities District No. 97-2 (Preserve Maintenance District) Improvement Area "A" (4) Future Annexations To Community Facilities District No. 97-2 (Preserve Maintenance District),Improvement Area "A' A. Resolution of the City Council of the City of Chula Vista, California, making certain preliminary findings, passing upon protests and approving the special tax report for Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) B. Resolution of the City Council of the City of Chula Vista, California, forming and establishing Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) and authorizing submittal of levy of special taxes to the qualified electors C. Resolution of the City Council of the City of Chula Vista, California, acting in its capacity as the legislative body of Commumty Facilities District No. 99- 2 (Otay Ranch SPA One - Village One West), authorizing the annexation of territory in the future to such Community Facilities District D Resolution of the City Council of the City of Chula Vista, California, acting in its capacity as the legislative body of Community Facilities District No. 97- 2 (Preserve Maintenance District), authorizing the annexation of territory in the future to such Community Facilities District and Improvement Area "A" therein E. Resolution of the City Council of the City of Chula Vista, California, acting as the legislative body of Community Facilities District No. 97-2 (Preserve Maintenance District), declaring the annexation of territory to Improvement Area "A" of Community Facilities District No. 97-2 (Preserve Maintenance Dis~ct) and authorizing submittal of levy of special taxes to the qualified electors SUBMITTED BY: Director of Public Works,~ REVIEWED BY: City Manager ~ (4/Sths Vote: Yes__ No X .) The Otay Ranch Company has requested the City to conduct proceedings for the formation of Community Facilities District No. 99-2 (CFD No. 99-2). The conditions of approval of the tentative map require that the developer request the formation of an open space district prior to the approval of the first "A" map. The district formation shall be submitted to the City Council prior to approval of Village One West's first final "B" map. This district will fund the perpetual operation and maintenance of open space slopes, drainage channels, detention basins, medians Page 2 of 9, Item Meeting Date: 8/1/00 and parkways of Village One West in Otay Ranch SPA One. In addition, CFD No. 99-2 district liens will take over the obligations of Village One West, with regard to CFD No. 98-1, the Interim Open Space Maintenance District. A Notice of Special Tax Lien Cancellation will be filed 30 days at, er the CFD No. 99-2 certified vote is approved by the City Council. The City has retained the services of McGill Martin Self,.Inc. as Special Tax Consultant and Best Best & Krieger as legal counsel to provide assistance during the proceedings. Tonight's action will initiate the formal proceedings leading to the establishment of CFD No. 99-2. RECOMMENDATION: That Council: 1. Approve the resolution making certain preliminary findings, passing upon protests and approving the special tax report for Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West), 2. Approve the resolution forming and establishing Community Facilities District No. 99-2, (Otay Ranch SPA One - Village One West) and authorizing submittal of levy of special taxes to the qualified electors, 3. Approve the resolution acting in its capacity as the legislative body of Community Facilities District No. 99-2 (Otay Ranch SPA One- Village One West), authorizing the annexation of territory in the future to such Community Facilities District, 4. Approve the resolution acting in its capacity as the legislative body or Community Facilities District No. 97-2 (Preserve Maintenance District), authorizing the annexation of territory in the future to such Community Facilities District and Improvement Area "A' therein, and 5. Approve the resolution acting as the legislative body of Community Facilities District No. 97-2 (Preserve Maintenance District), declaring the annexation of territory of Improvement Area "A" of Community Facilities District No. 97-2 (Preserve Maintenance District) and authorizing submittal of levy of special taxes to the qualified electors BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On January 13, 1998, Council adopted the "City of Chula Vista statement of goals and policies regarding the establishment of Community Facilities Districts". The approval of this document ratified the use of CFDs as a public financing mechanism for (1) the construction and/or acquisition of public infrastructure, and (2) the financing of authorized public services, including services provided by open space districts. Taxes levied by maintenance districts, such as CFD No. 99-2, are excluded from the 2% maximum tax criterion. On April 28, 1998, Council enacted the "Chula Vista Community Facilities District Ordinance". This ordinance adopted the Mello-Roos Act with modifications to accomplish the following: 1) incorporate all maintenance activities authorized by the "Landscaping & Lighting Act of 1972" Page 3 of 9, Item Meeting Date: 8/1/00 ("1972 Act"), 2) include maintenance activities not listed in the "Mello-Roos Act" or the "1972 Act" (i.e., monitoring activities on privately owned parcels within the Otay Ranch Preserve, and community gardens proposed in Otay Ranch SPA One), and 3) establish an operating reserve fund for open space districts. Community Facilities Districts will provide the necessary funding for the operation and maintenance of public landscaping improvements by levying and annual "special tax", which is collected from the property owners in conjunction with the property taxes. There is no direct cost to the City. All expenses related to the district administration including levying and collecting the special taxes, are funded by the district. The proposed CFD No. 99-2 is consistent with the above-mentioned Ordinance and Council Policy. In addition, staff has met with the developer to discuss their concerns, clarify the intent of the policy and ordinance, and review the methodology for the apportionment of the special taxes. All of the issues raised by the developers have been discussed and solutions, satisfactow to all parties, have been incorporated in the "Rate and Method of Apportionment" (RMA). The RMA has also been modeled after similar open space maintenance districts in the surrounding area, and similar list of maintenance items. Staff, the legal counsel, and the special tax consultant have reviewed the proposed methodology and consider it ready for council approval. Area of Benefit The proposed boundary of CFD No. 99-2 encompasses parcels located within the Otay Ranch SPA One - Village One West. Otay Project LLC owns most of the property within the proposed district boundaries (approximately 126 acres and 559 proposed units). In addition, LB/L RWR Otay 62LLC and LB/L RWR Otay 91LLC has purchased Planning Areas R51A, R51B, R52A, RSIB, R53 and R49B (approximately 54.8 acres and 212 proposed units). Staffhas reviewed the proposed boundary map and found it acceptable. The County Assessor's parcels are as modified by the recording of the Maps #18396 related to Olympic Parkway and #13990 related to Pasco Ranchero. These recorded maps create the legal parcels for the purpose of forming this CFD. A reduced copy of the recorded map is presented in Exhibit 1. Three (3) parcels (Future Annexation Parcels 1, 2 & 3) within the Village One West and are not within the proposed boundaries of CFD No. 99-2 (see Exhibit 3) at this time. Otay Project LLC has is in the process of closing escrow in the Future Annexation Parcels 1 & 2 and will have these two areas within their ownership at the close of these formation proceedings. However, due to the timing Otay Ranch LLC closing, the City will need to complete the formation of this CFD 99-2 first, then the Otay Ranch LLC can initiate the annexation proceedings for these future annexation parcels. At this time, the Otay Ranch LLC is in discussions with Sunbow related to this remaining Future Annexation Parcel 3. The Otay Ranch SPA One - Village One West is currently within the CFD 97-2 for Improvement Area "13" only (undeveloped land). Upon subdividing the undeveloped property within CFD 97- 2, the property is then required to convert over to Improvement Area "A" and would be subject Page 4 of 9, Item Meeting Date: 8/1/00 to assuming the payment of a special tax levy for the annual operation and maintenance of the Preserve Maintenance District. This annexation is part of the proceeding being undertaken tonight, as well as setting up a procedure for the Future Annexation Parcels (1, 2 & 3) to be brought into Improvement Area "A". As noted above, the Council has initiated proceedings "Annexation in the Future Proceedings" for these parcels. These Resolutions will establish the legal authorization to annex such parcels at some future date upon the consent of the owner of such property given at the time of annexation and without the necessity of a formal election. It should be noted that upon annexation of Future Parcels 1 & 2 (combined 28 units), the maximum tax rate for Developed Parcel assigned to the Residential Category and for Parcel assigned to the Vacant Land Category shall be adjusted as described in the Rate and Method of Apportionment of Special Taxes for CFD 99-2. Description of Facilities The proposed CFD No. 99-2 will fund the operation and maintenance of the public landscaping improvements (i.e., open space slopes, trails, proportionate share of detention basins, drainage channels, parkways and medians) within the Otay Ranch SPA One - Village One West. A complete list of said public facilities is presented in Exhibit 2. The taxes levied within the district will provide for the maintenance of all those common improvements (i.e., medians, parkways, drainage improvements, etc.) providing benefit to all of Otay Ranch SPA One - Village One West (regardless of ownership). In addition, the taxes levied will provide for the maintenance of open space, slopes, trails, the future trolley alignment open space area, and walls within the public open space lots. Otay Project LP will dedicate open space parcels to the City over the slopes fronting Pasco Ranchero, Telegraph Canyon Road, East Palomar Street, and Olympic Parkway, as well as the proposed trolley alignment open space parcels. The City of Chula Vista then would dedicate the trolley alignment in the future for trolley uses. Currently, trolley construction is expected to commence in 5-10 years. The developer has formed a "Otay Ranch One Master Homeowners' Association" (MHOA), which will complement the maintenance obligations of the district. The MHOA will maintain the entry monuments at the major entrances to the project, minor private open space lots within the subdivision, parkways along private local and collector streets, and private pedestrian parks. The CC&R for the MHOA will address maintenance, liability and insurance issues. Cost Estimate The estimated annual budget for CFD No. 99-2 has been revised based upon more current bid data related to Codes 1 through 5. The City, consulting staff, developer and their consultants have held a series of meetings over the past few weeks related to the landscape cost estimates and the potential for lowering the annual special tax ($.4259). The current data for the landscape bids did not accurately reflect the design theme and intensity of the proposed planting. R became apparent that the unit prices were not inline with proposed landscape themes. At the suggestion of the developer, they requested their Landscape Architect (Marquez Kuhlken) to let out bids for Page 5 of 9, Item Meeting Date: 8/1/00 certain project areas that are similar to the Village One West landscape improvements to garner better unit costs for Codes 1 through 5. The results of the bids are very similar to the previous unit costs derived earlier by City bids. However, certain Code unit costs were lower while others were higher. Based on the review of the design plans and adjustments made to the unit prices for Codes 3 and 5, the City then agreed to adjust the unit costs for the CFD. The Special Tax Consultant then prepared several revised spreadsheets that reflected the changes in the Code unit costs and determined that the annual special tax could be reduced. The revised annual special tax rate for CFD No. 99-2 is $.3857/square foot of structure. The estimated annual budget for CFD No. 99-2 is now approximately $648,183.00. This budget includes a total of $549,820.00 (includes additional 10% for reserve) for maintenance, professional services, water usage, and electrical, and $98,363.00 for CFD administration and operations overhead for staff services (preparing reports, levying and collecting taxes, public assistance, etc.) by the Engineering Division. Staff (Parks & Open Space and Engineering) has reviewed and approved the proposed budget. Exhibit 4 contains a detailed annual budget for the district at buildout. The City of Chula Vista's Open Space Department and Coordinator have reviewed the annual budget, cost estimates, and has verified at which level of maintenance unit costs are acceptable for this CFD. Proposed Special Tax The district has three categories of taxation, as follows: · Residential Developed Parcels (Single Family Residences) are taxed based on the square footage of the structure. · The Vacant Land category includes all the parcels for which a building permit has not been issued. The tax on Vacant Land is based on the total acreage of the parcel. · The Exempt Category includes all public parcels within the district. Developed Parcels are those parcels for which a building permit has been issued. The maximum tax rate on all Developed Parcels is determined by dividing the estimated annual budget at bulldout (plus a reserve allocation of 10% of the annual budget) by the total estimated square footage of development at buildout (reduced by a 15% margin of error). The maximum tax rate on Vacant Land has been estimated by the dividing the estimated annual budget at buildout (plus a reserve allocation of 10% of the annual budget) by the estimated net lot acreage of within the district. Collection of Taxes At the beginning of each fiscal year, the City shall determine the amount of the Special Tax Liability (budget plus reserve). Then, the special taxes will first be levied on the Residential Page 5 of 9, Item Meeting Date: 8/1/00 certain project areas that are similar to the Village One West landscape improvements to garner better unit costs for Codes 1 through 5. The results of the bids are very similar to the previous unit costs derived earlier by City bids. However, certain Code unit costs were lower while others were higher. Based on the review of the design plans and adjustments made to the unit prices for Codes 3 and 5, the City then agreed to adjust the unit costs for the CFD. The Special Tax Consultant then prepared several revised spreadsheets that reflected the changes in the Code unit costs and determined that the annual special tax could be reduced. The revised annual special tax rate for CFD No. 99-2 is $.3857/sqaure foot of structure. The estimated annual budget for CFD No. 99-2 is now approximately $648,183.00. This budget includes a total of $549,820.00 (includes additional 10% for reserve) for maintenance, professional services, water usage, and electrical, and $98,363.00 for CFD administration and operations overhead for staff services (preparing reports, levying and collecting taxes, public assistance, etc.) by the Engineering Division. Staff (Parks & Open Space and Engineering) has reviewed and approved the proposed budget. Exhibit 4 contains a detailed annual budget for the district at buildout. The City of Chula Vista's Open Space Department and Coordinator have reviewed the annual budget, cost estimates, and has verified at which level of maintenance unit costs are acceptable for this CFD. Proposed Special Tax The district has three categories of taxation, as follows: · Residential Developed Parcels (Single Family Residences) are taxed based on the square footage of the structure. · The Vacant Land category includes all the parcels for which a building permit has not been issued. The tax on Vacant Land is based on the total acreage of the parcel. · The Exempt Category includes all public parcels within the district. Developed Parcels are those parcels for which a building permit has been issued. The maximum tax rate on all Developed Parcels is determined by dividing the estimated annual budget at buildout (plus a reserve allocation of 10% of the annual budget) by the total estimated square footage of development at buildout (reduced by a 15% margin of error). The maximum tax rate on Vacant Land has been estimated by the dividing the estimated annual budget at buildout (plus a reserve allocation of 10% of the annual budget) by the estimated net lot acreage of within the district. Collection of Taxes At the beginning of each fiscal year, the City shall determine the amount of the Special Tax Liability (budget plus reserve). Then, the special taxes will first be levied on the Residential Page 8 of 9, Item Meeting Date: 8/1/00 There are five (5) resolutions on today's agenda, which, if adopted, will accomplish the following: The RESOLUTION MAKING CERTAIN preliminary findings, passing upon protest and approving the special tax report for Community Facilities District No. 99-2 (Otay Ranch One - Village One West). The RESOLUTION FORMING AND ESTABLISHING Community Facilities District No. 99-2 (Otay Ranch SPA One- Village One West) and authorizing submittal of levy of special taxes to the qualified electors. The RESOLUTION ACTING 1N ITS CAPACITY AS THE LEGISLATIVE BODY of Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West), authorizing the annexation of territory in the future to such Community Facilities District. The RESOLUTION ACTING 1N ITS CAPACITY AS THE LEGISLATIVE BODY of Community Facilities District No. 97-2 (Preserve Maintenance District), authorizing the annexation of territory in the future to such Community Facilities District and Improvement Area "A" therein. The RESOLUTION ACTING AS THE LEGISLATIVE BODY of Community Facilities District No. 97-2 (Preserve Maintenance District), declaring the annexation of territory to Improvement Area "A" of Community Facilities District No. 97-2 (Preserve Maintenance District) and authorizing submittal of levy of special taxes to the qualified electors. Future Actions Prior to August. 15, 2000, the clerk shall provide a two (2) ballot packages to each qualified voter within each of the Community Facilities District No. 97-2, Improvement Area "A", Annexation No. 1 with authorization for special tax levy and Conummity Facilities District No. 99-2 forming and establishing the Community Facilities District and authorizing the levy special tax to the qualified electors. FISCAL IMPACT: All costs of formation of the district are being borne by the developers and the on-going administration will be funded entirely by the district. The City will receive the benefit of full cost recovery for staffcost involved in the following activities: 1) District formation (Staff cost estimated at $91,000), and 2) district administration in perpetuity (estimated annual staff cost each year is $6,000 and an additional $10,000 for the contractual administration for the Engineering Division.) Page 6 of 9, Item Meeting Date: 8/1/00 Developed Parcels. If the special tax levied on Residential Developed Property is not enough to meet the annual Special Tax Liability, as may be the case in the early years of development, the district will levy a tax on the Vacant Land. The buffer of having the Vacant Land covering any remaining costs will not be available once the area has been fully developed. If the annual Special Tax Liability is less than the available maximum tax from the Developed Parcels, the special taxes to be levied in that specific year will be reduced accordingly. Following is a brief discussion of some essential issues regarding the ~'Rate and Method of Apportionment (RMA) of the Special Taxes": (See Exhibit 5 for full description of RMA) The maximum special taxes may be adjusted each year for inflation using a factor equal to the lesser of the annual change of the San Diego Consumer Price Index or the California Fourth Quarter Per Capita Personal Income. The ~City of Chula Vista Community Facilities District Ordinance" requires that the developer maintain the landscaping improvements for a minimum period of one year. During this period~ the City will collect the special taxes with the purpose of building up a six months operating reserve. The special tax formula provides that the annual budget for any year may include an amount deemed necessary to maintain an adequate level of reserve fund. · The maximum tax rates are based on the best estimate by the developers of the square footage of residential development at buildout (reduced by 15% margin of error). This assumed reduction in total square footage has the net result of raising the maximum tax that can be levied on future residential parcels to account for any loss in projected square footage and the corresponding special tax revenue. · The special tax formula provides that any cost due to delinquent taxes on vacant land shall be apportioned to the project where the delinquent parcels are located. · The annual budget used to calculate the tax rates are only the ~best estimates" of the cost of maintenance at buildout. There is always a risk that actual expenses in future years may be higher than the total maximum collectable taxes. This may result in reduced levels of maintenance of the landscaping, unless the property owners approve an increase in the tax rates (2/3 voter's approval is required), which is considered unlikely. Staff believes, however, that the proposed tax rates contain enough of a cushion in the reserve, the inflation adjustment, and the assumed reduction of total square footage to minimize future problems. Proposed Maximum Taxes The proposed maximum special tax rates for fiscal year 2000/01 for a typical dwelling unit within CFD 99-2 is as follows: Page 7 of 9, Item Meeting Date: 8/1/00 Unit Type with Average Square Footage Village One West at $.3857/SF Single Family Detached (Largest Average Product Proposed for Village One West at 3,619 SF) $1,396.00 Single Family Detached (Smallest Average Product Proposed for Village One West at 2,016 SF) $777.00 Vacant Land $4,766/Acre After the Future Annexation Parcels (Parcels 1 & 2) are annexed into CFD 99-2, the maximum special tax rates for the subsequent years will approximately be is reduced to the following: Unit Type with Average Square Footage Village One West at $.3749/SF Single Family Detached (Largest Average Product Proposed for Village One West at 3,619 SF) $1,353.00 Single Family Detached (Smallest Average Product Proposed for Village One West at 2,016 SF) $754.00 Vacant Land $4,623/Acre It should be noted that actual amount of reduction will depend on the actual number of units and square footage of these units. Comparison to Other Open Space Maintenance Districts The total estimated budget for CFD No. 99-2 at buildout is approximately $648,183.00, with an annual maximum tax of $777.00 for a 2,016 square foot single family residence, and an annual maximum tax of $1,396.00 for a 3,619 square foot single family residence. This is based on the proposed $.3857 per Developed square footage maximum tax. The units proposed in Village One West are larger overall than the types of units being built within CFD No. 97-1, the Open Space Maintenance District for Otay Ranch SPA One, Villages 1 and 5. In addition to the lesser density, Village One West proposes to landscape the future trolley right of way running though the center of the development, which significantly adds to the maintenance costs. In addition, the ratio of landscape sloped areas to residential units is considerably higher within the Village One West development area. Within the Otay Ranch - Village One West, the maximum special tax for a residential dwelling unit within CFD 99-2 ($.3857 per square foot) is approximately 29% greater than the maximum special tax for a residential dwelling within CFD 97-1 (Zones A & B), estimated to be $.30 per square foot for fiscal year 2000/01. Resolutions T · III Page 8 of 9, Item Meeting Date: 8/1/00 There are five (5) resolutions on today's agenda, which, if adopted, will accomplish the following: The RESOLUTION MAKING CERTAIN preliminary findings, passing upon protest and approving the special tax report for Community Facilities District No. 99-2 (Otay Ranch One - Village One West). The RESOLUTION FORMING AND ESTABLISHING Community Facilities District No. 99-2 (Otay Ranch SPA One- Village One West) and authorizing submittal of levy of special taxes to the qualified electors. The RESOLUTION ACTING 1N ITS CAPACITY AS THE LEGISLATIVE BODY of Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West), authorizing the annexation of territory in the future to such Community Facilities District. The RESOLUTION ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY of Community Facilities District No. 97-2 (Preserve Maintenance District), authorizing the annexation of territory in the future to such Community Facilities District and Improvement Area "A" therein. The RESOLUTION ACTING AS THE LEGISLATIVE BODY of Community Facilities District No. 97-2 (Preserve Maintenance District), declaring the annexation of territory to Improvement Area "A" of Community Facilities District No. 97-2 (Preserve Maintenance District) and authorizing submittal of levy of special taxes to the qualified electors. Future Actions Prior to August 15, 2000, the clerk shall provide a two (2) ballot packages to each qualified voter within each of the Community Facilities District No. 97-2, Improvement Area "A", Annexation No. 1 with authorization for special tax levy and Community Facilities District No. 99-2 forming and establishing the Community Facilities District and authorizing the levy special tax to the qualified electors. FISCAL IMPACT: All costs of formation of the district are being borne by the developers and the on-going administration will be funded entirely by the district. The City will receive the benefit of full cost recovery for staff cost involved in the following activities: 1) District formation (Staff cost estimated at $91,000), and 2) district administration in perpetuity (estimated annual staff cost each year is $6,000 and an additional $10,000 for the contractual administration for the Engineering Division.) Page 9 of 9, Item Meeting Date: 8/1/00 Exhibits: 1. Boundary Map 2. List of Public Facilities 3. Future Annexation Exhibit 4. Annual Budget 5. Rate and Method of Apportionment A:\CAS-City version (Al 138-01).DOC 7/27/00 3:52:26 PM THIS PAGE INTENTIONALLY BLANK ~q~V'I~I A'I'IVNOIJ. N?UNI ~DVcI SIH£ ~z List of Public Facilities The proposed services include all direct, administrative, and incidental annual costs regarding the CFD operations and expenses related to providing for the maintenance and servicing of public facilities including irrigation, cultivation, and replacement of plant material, tree trimming and necessary supplies; personnel, utility, and equipment costs; contract services where applicable; maintenance and servicing of parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls serving the property within the CFD 99-2 District, will include, but not limited to: Parkway Landscaping and Medians and Regional Trails, which includes: a) The south half of the median along Telegraph Canyon Road between the eastern boundary of Sunbow and Paseo Ranchero. b) The west half of the median along Paseo Ranchero between Telegraph Canyon Road and Olympic Parkway. c) The north half of the median along Olympic Parkway between the eastern boundary of Sunbow and Paseo Ranchero. d) The entire median along East Palomar Street between the eastern boundary of Sunbow and Paseo Ranchero. e) Regional trails along Olympic Parkway. Drainage Facilities, which include: a) A pro-rata share of the detention basin and channel in the Telegraph Canyon drainage area from Paseo Ranchero to the eastern boundary of Sunbow. b) A pro-rata share of the detention basin and channel in the Poggi Canyon drainage area from Paseo Ranchero to the eastern boundary of Sunbow. Open Space, Slopes, Trails, and Walls, which include: a) Connector trails within open space slopes along Telegraph Canyon Road and Olympic Parkway, which are within the public right-of-way or dedicated open space and located within the boundaries of the District. b) Slope areas adjacent to Telegraph Canyon Road, Paseo Ranchero, East Palomar Street and Olympic Parkway, which are within public open space areas and located within the boundaries of the District. c) Perimeter walls or fences adjacent to Telegraph Canyon Road, Paseo Ranchero, Olympic Parkway, and East Palomar Street which are within public open space areas or within the public right-of-way and located within the boundaries of the District. d) The future Trolley alignment. 15 Maintenance shall include the furnishing of services and materials for the ordinary and usual operation, maintenance and servicing of any improvement or appurtenant facilities, including but not limited to the repair, removal, or replacement of all or any part of the improvement or, appurtenant facilities, providing for the life, growth, health and beauty of the landscaping. These services also includes but are not limited to the cultivation, irrigation, trimming, spraying, fertilizing, and treating for disease or injury; the removal of trimmings, rubbish, debris and other solid waste. Maintenance also means the furnishing of water for the irrigation of the landscaping, the installation of replacement planting or landscaping, or the installation or construction of supplemental facilities including any facilities, which are necessary or convenient for the maintenance of eligible facilities. The forgoing services shall be provided by the City, either with its own maintenance staffor by contract with third party landscape firms, or any combination thereof, as determined by the City. THIS PAGE INTENTIONALLY BLANK RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities Distridt No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staffdirectly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part 1I of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexation occurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the 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 budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. -2- "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.3857 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $ 3749 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year therea~er by a factor which shall be 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 January. Exempt Category The exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, 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"). Vacant Land Category The vacant land category includes each Parcel of Taxable Property assigned to the District not subject to a Special Tax under any other category described above ("Vacant Land Category"). The Maximum Special Tax which may be levied on each Parcel within the Vacant Land Category for Fiscal Year 2000/2001 shall be the rates set forth below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be 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 January. · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Parcel Assigned to the Vacant Land Category shall be $4766.00 per Acre, if the Future Annexation (Parcels 1 & 2) has not occurred or $4623.00 per Acre if annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". C. ASSIGNMENT TO CATEGORIES OF SPECIAL TAXES On or about July 1 of each year (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District including Parcels subject to Future Annexation if the Future Annexation has occurred by such date to the Residential Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. D. LEVY AND APPORTIONMENT OF SPECIAL TAXES The City shall determine the Special Tax Liability in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll). Special Taxes shall then be levied on each Parcel assigned to the Residential Category, and Vacant Land Category in the following order of priority: Step 1: Determine the maximum revenue which could be generated by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category by the Maximum Special Tax per Building SqUare Foot. Step 2: If the total Special Tax revenue as calculated in Step 1 is greater than the Special Tax Liability, 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 Special Tax revenue as calculated in Step 1 is less than the Special Tax Liability, a Special Tax shall be levied upon each Parcel assigned to the Vacant land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor o~ (i) The Special Tax Liability, less the total of funds generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category". OR, (ii) the Maximum Special Tax rate for Parcels within the Vacant Land Category. However, in the event it is determined that the Special Tax Liability includes delinquent Special Taxes from Parcels in the Vacant Land Category from the prior Fiscal Year, the City shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in the Vacant Land Category according to the procedure set forth in the preceding paragraph. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, MAKING CERTAIN PRELIMINARY FINDINGS, PASSING UPON PROTESTS AND APPROVING THE SPECIAL TAX REPORT FOR COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has previously declared its intention and ordered the preparation of a Special Tax Report relating to the initiation of proceedings to create a Community Facilities District pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (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"). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (the "District"); and, WHEREAS, notice of a public hearing relating to the establishment of the District, the extent of the District, the furnishing of certain services and all other related matters has been given, and a Special Tax Report, as ordered by this City Council, has been presented to this City Council and has been made a part of the record of the hearing on the Resolution of Intention to establish said District; and, WHEREAS, all communications relating to the establishment of the District, the proposed services and the proposed rate and method of apportionment of special tax have been presented, and it has further been determined that a majority protest as defined by law has not been received against these proceedings; and, WHEREAS, the Special Tax Report as now submitted further containing changes and modifications to the proceedings, as applicable, is hereby approved; and, WHEREAS, inasmuch as there have been less than twelve (12) registered voters residing within the territory of the District for at least the preceding ninety (90) days, this legislative body desires to submit the levy of the required special tax to the landowners of the District, said landowners being the qualified electors as authorized by law. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. The written protests received, if any, do not represent a majority protest as defined by the applicable provisions of the Community Facilities District Law. SECTION 3. The Special Tax Report, as now submitted, shall stand as the Special Tax Report for all future proceedings and all terms and contents are approved as set forth therein. SECTION 4. It is hereby determined by this legislative body to proceed with the formation and establishment of the District, formally known and designated as "COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST)?' SECTION 5. It is hereby further determined by this legislative body that 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. It is further determined by this legislative body that the District as proposed conforms with the City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts, as amended. SECTION6. It is determined by this legislative body that less than twelve (12) registered voters have resided within the territory of the District for each of the ninety (90) days preceding the close of the public hearing. Consequently this legislative body further determines that pursuant to the Community Facilities District Law the qualified electors shall be the landowners of the District 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 District. SECTION 7. It is determined by this legislative body that 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 District and the requirements for impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified electors of the District. It is further determined by this legislative body that 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 8. It is hereby further determined by this legislative body that the proposed public services are necessary to meet increased demands placed upon the City as a result of development and/or rehabilitation occurring in the District. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Jo~y/~'~ ~ Director of Public Works C~/Attomey RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, FORMING AND ESTABLISHING COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) AND AUTHORIZING SUBMITTAL OF LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS WHEREAS, a public hearing has been held and concluded, and the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), is desirous at this time to proceed with the establishment of a community facilities district, pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (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"). Such Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (the "District"); and, WHEREAS, this legislative body has further declared its intent that the authorized public services be financed through the levy of special taxes; and, WHEREAS, all communications relating to the establishment of the District, the proposed services and the proposed rate and method of apportionment of the special tax have been presented, and it has further been determined that a majority protest as defined by law has not been received against these proceedings. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all true and correct. F1NDINGS AND DETERMINATIONS SECTION 2. All findings and determinations of this legislative body made in that certain Resolution entitled "RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, MAKING CERTAIN PRELIMINARY FINDINGS, PASS1NG UPON PROTESTS AND APPROVING THE SPECIAL TAX REPORT FOR COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST)" are incorporated herein as if set forth at this point. FINAL REPORT SECTION 3. The Special Tax Report, as now submitted, shall stand as the Special Tax Report for all future proceedings and all terms and contents are approved as set forth therein. 1 NAME OF DISTRICT SECTION 4. This legislative body does hereby establish and declare the formation of the Community Facilities District known and designated as "COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST)." BOUNDARIES OF DISTRICT AND IMPROVEMENT AREAS SECTION 5. The boundaries and parcels of land in which special taxes will be levied in order to pay the costs and expenses for such public services are generally described as follows: All property within the boundaries of COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST), as shown on a boundary map as previously approved by this legislative body, such map designated by the name of this Community Facilities District, 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 3 ! 11 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 39 of Book 34 of the Book of Maps of Assessment and Community Facilities Districts for such County. DESCRIPTION OF SERVICES SECTION 6. The proposed services to be provided to serve the District are generally described as follows: The maintenance and servicing of the following types of public facilities serving properties within the District: parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls. It is the intention of the City Council to finance all direct, administrative and incidental annual costs and expenses necessary to provide the maintenance and servicing of such public facilities. For a full and complete description of the public services, reference is made to the final Special Tax Report, a copy of which is on file in the Office of the City Clerk. For all particulars, reference is made to such Special Tax Report. SPECIAL TAX SECTION 7. Except where funds are otherwise available special taxes, secured by recordation of a continuing lien against all non-exempt real property in the respective Improvement Areas of the District, are hereby authorized, subject to voter approval, to be levied annually within the boundaries of such District. The proposed special tax to be levied within such District has not been precluded by majority protest pursuant to Section 53324 of the Government Code of the State of California. 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" (the "Special Tax Formula"), which 2 sets forth in sufficient detail the method of apportionment to allow each landowner or resident to estimate the maximum amount that such person will have to pay. The special taxes herein authorized 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 legislative body 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 billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. Upon recordation of a Notice of Special Tax Lien pursuant to Section 3114.5 of the Streets and Highways Code of the State of California, a continuing lien to secure each levy of the special tax shall attach to all non-exempt real property in the District and this lien shall continue in force and effect until the special tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law or until collection of the tax by the legislative body ceases. PREPARATION OF ANNUAL TAX ROLL SECTION 8. The name, address and telephone number of the office, department or bureau which will be responsible for preparing annually a current roll of special tax levy obligations by Assessor's parcel number and which shall be responsible for estimating future special tax levies pursuant to Section 53340.1 of the Government Code of the State of California, are as follows: FINANCE DEPARTMENT CITY OF CHULA VISTA 276 FOURTH AVENUE CHULA VISTA, CA. 91910 APPEALS AND INTERPRETATION PROCEDURE SECTION 9. Any landowner or resident who feels that the amount of the special tax levied against his or her property or the Special Tax Formula as applied to his or her property is in error may file a notice with the City Council appealing the levy of the special tax. An appeals panel of 3 members, as appointed by the City Council, will then meet and promptly review the appeal, and if necessary in the determination of the appeals panel, such panel may meet with the appellant. If the findings of the appeals panel verify that the special tax should be modified or changed, a recommendation at that time will be made by the appeals panel to the City Council and, as appropriate, the City Council may order that the special tax levy be corrected, and if applicable in any case, a refund shall be granted. Interpretations may be made by the City Council by Resolution for purposes of clarifying any vagueness or ambiguity as it relates to any category, zone, rate or definition applicable to these proceedings. 3 ELECTION SECTION 10. This legislative body herewith submits the levy of the special taxes to the qualified electors of the District, such electors being the landowners within the District with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within the District. This legislative body hereby further directs that the ballot propositions relating to the levy of the above referenced special taxes be combined and consolidated with the proposition set forth in Section 11 below relating to the establishment of an appropriations limit for the District. The propositions related to the levy of the special taxes shall, together with a proposition to establish an appropriations limit for the District, shall be submitted to the qualified voters at a special election to be held on (a) August 15, 2000 or (b) such other date as the qualified electors and the City Clerk may mutually agree and such election shall be a special election to be conducted by the City Clerk (hereinafter referred to as the "Election Official"). If either or both of the propositions for the levy of the special taxes receive the approval of more than two-thirds (2/3) of the votes cast on the proposition, the special tax thereby approved may be levied as provided for in this Resolution. BALLOT SECTION 11. The ballot proposals to be submitted to the qualified voters at the election shall generally be as follows: PROPOSITION A Shall COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) of the City of Chula Vista be authorized to levy special taxes within such district pursuant to the rate and method of apportionment of special taxes (the "Special Tax Formula") set forth in Resolution No. to finance the Special Tax Liability as defined in the Special Tax Formula? PROPOSITION B Shall COMMUNITY FACILITiES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) of the City of Chula Vista establish an Article XIIIB appropriations limit equal to $2,000,000. VOTE SECTION 12. The appropriate mark placed in the voting square after the word "YES" shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the voting square after the word "NO" in the manner as authorized, shall be counted against the adoption of such proposition. 4 ELECTION PROCEDURE SECTION 13. The Election Official is hereby authorized to take any and all steps necessary for holding the above election. The Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of the election, including but not limited to, the following: 1. Prepare and furnish to the necessary election supplies for the conduct of the election. 2. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. 3. Furnish and address official ballots for the qualified electors of the Community Facilities District. 4. Cause the official ballots to be mailed and/or delivered, as required by law. 5. Receive the returns of the election and supplies. 6. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. 7. Canvass the returns of the election. 8. Furnish a tabulation of the number of votes given in the election. 9. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt ~y~2~ Director of Public Works 5 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. Ail Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part II of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexation occurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the 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 budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.3857 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.3749 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be 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 Parcel assigned to the Residential Category, and Vacant Land Category in the following order of priority: Step 1:Determine the maximum revenue which could be generated by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category by the Maximum Special Tax per Building Square Foot. Step 2: If the total Special Tax revenue as calculated in Step 1 is greater than the Special Tax Liability, 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 Special Tax revenue as calculated in Step 1 is less than the Special Tax Liability, a Special Tax shall be levied upon each Parcel assigned to the Vacant land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor off (i) The Special Tax Liability, less the total of funds generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category". (ii) the Maximum Special Tax rate for Parcels within the Vacant Land Category. However, in the event it is determined that the Special Tax Liability includes delinquent Special Taxes from Parcels in the Vacant Land Category from the prior Fiscal Year, the City shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in the Vacant Land Category according to the procedure set forth in the preceding paragraph. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST), AUTHORIZING THE ANNEXATION OF TERRITORY IN THE FUTURE TO SUCH COMMUNITY FACILITIES DISTRICT WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has declared its intention, conducted proceedings and held a public heating relating to the authorization to annex territory in the future to a community facilities district pursuant to the terms and provisions o£the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereo£ The existing Community Facilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (the "District"); and, WHEREAS, it has now been determined to be within the best public interest and convenience to establish a procedure to allow and provide for future annexations to the District and further to specify the amount of special taxes that would be levied in any territory subject to future annexation, as well as setting forth the terms and conditions for certification of any annexation in the future; and, WHEREAS, the territory proposed to be annexed in the future shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (FUTURE ANNEXATION AREA) (the "Future Annexation Area"), and a map showing the territory in the Future Annexation Area has been submitted and previously approved and a copy of said map is and shall be kept on file with the transcript of these proceedings; and, WHEREAS, it has now been further determined that written protests have not been received representing a majority protest against the future annexation proceedings. NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all tree and correct. ANNEXATION AUTHORITY SECTION 2. This legislative body does hereby authorize the annexation of the Future Annexation Area in the future pursuant to the provisions and authorization of Section 53339.7 o£the Government Code o£the State o£Cali£ornia. PUBLIC CONVENIENCE AND NECESSITY SECTION 3. This legislative body hereby determines that the public convenience and necessity requires a procedure to allow and authorize the Future Annexation Area to be annexed in the future to the District in order to pay the costs and expenses for the required and authorized public services. BOUNDARIES SECTION 4. A description of the boundaries and territory proposed to be annexed in the future is as follows: All that property and territory within the Future Annexation Area proposed to be annexed in the future to the District, as said property is shown on a map as previously approved by this legislative body, said map identified by the name of the District and further designated as the Future Annexation Area, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. NAME OF DISTRICT SECTION 5. The name of the District is COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST), and the designation for the Future Annexation Area shalq be COMMUNITY FACILITIES DISTRICT NO 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (FUTURE ANNEXATION AREA). SERVICES SECTION 6. The services which the District is authorized to finance are in addition to those provided in or required for the territory within the District and the Future Annexation Area and will not be replacing services already available. A general description of the services to be financed is as follows: The maintenance and servicing of public facilities including irrigation, cultivation, installation and replacement of plant material, tree trimming and necessary supplies, personnel, utility and equipment costs; contract sepeices where applicable; maintenance and servicing of parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls. No additional services will be necessary or provided in the Future Annexation Area and the services as described for the District will serve the properties within the Future Annexation Area. 2 SPECIAL TAXES SECTION 7. It is the intention of this legislative body that, except where funds are otherwise available, a special tax sufficient to pay for said services to be provided in the District and the Future Annexation Area, secured by recordation of a continuing lien against all non-exempt real property in the Future Annexation Area, will be levied annually within the boundaries of the Future Annexation Area from and after the annexation of such property to the District. The special taxes shall be those as originally authorized through the formation of the District and adopted by Ordinance of this legislative body, and no changes or modifications are proposed in the special taxes from those as originally set forth and made applicable to the District. For particulars as to the rate and method of apportionment of the proposed special tax (the "Special Tax Formula"), 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 Future Annexation Area to clearly estimate the maximum annual amount that said person will have to pay on said special tax. This legislative body further authorizes that special taxes may be prepaid and satisfied by payment of the prepayment amount calculated pursuant to the Special Tax Formula. The special taxes, to the extent possible, 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; provided, however, the District may utilize a direct billing procedure for any special taxes that cannot be collected on the County tax roll or may, by resolution, elect to collect the special taxes at a different time or in a different manner if necessary to meet its financial obligations. ANNEXATION EFFECTIVE DATE SECTION 8. Annexation of property in the future shall be effective only with the unanimous approval of the owner or owners of each parcel or parcels at the time that any parcel is proposed for annexation. Upon receipt of the written consent, no further public hearings or additional election proceedings will be required. VALIDITY OF PROCEEDINGS SECTION 9. It is hereby further determined by this legislative body that all annexation proceedings hereto were valid and in conformity with the requirements of law, and specifically the provisions of the "Mello-Roos Community Facilities Act of 1982". 3 NOTICE SECTION 10. Immediately upon the receipt of a property owner consent and the certification of the annexation proceedings and approval of such annexation by the City Council, a notice of the annexation shall be recorded in the Office of the County Recorder as required by Section 53339.8 of the Government Code of the State of California. PREPARED BY: APPROVED AS TO FORM BY: John P, Lippitt J~/l~aheny Director of Public Works Cffy Attorney 4 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part II of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexation occurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be ntaintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the 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 budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for ,any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.3857 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.3749 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All ltems) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. Exempt Category The exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, 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"). Vacant Land Category The vacant land category includes each Parcel of Taxable Property assigned to the District not subject to a Special Tax under any other category described above ("Vacant Land Category"). The Maximum Special Tax which may be levied on each Parcel within the Vacant Land Category for Fiscal Year 2000/2001 shall be the rates set forth below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be 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 January. The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Parcel Assigned to the Vacant Land Category shall be $4766.00 per Acre, if the Future Annexation (Parcels 1 & 2) has not occurred or $4623.00 per Acre if annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". C. ASSIGNMENT TO CATEGORIES OF SPECIAL TAXES On or about July 1 of each year (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District including Parcels subject to Future Annexation if the Future Annexation has occurred by such date to the Residential Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. D. LEVY AND APPORTIONMENT OF SPECIAL TAXES The City shall determine the Special Tax Liability in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll). Special Taxes shall then be levied on each Parcel assigned to the Residential Category, and Vacant Land Category in the following order of priority: Step 1: Determine the maximum revenue which could be generated by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category by the Maximum Special Tax per Building Square Foot. Step 2: If the total Special Tax revenue as calculated in Step 1 is greater than the Special Tax Liability, 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 Special Tax revenue as calculated in Step 1 is less than the Special Tax Liability, a Special Tax shall be levied upon each Parcel assigned to the Vacant land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor o~ (i) The Special Tax Liability, less the total of funds generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category". OR, (ii) the Maximum Special Tax rate for Parcels within the Vacant Land Category. However, in the event it is determined that the Special Tax Liability includes delinquent Special Taxes from Parcels in the Vacant Land Category from the prior Fiscal Year, the City shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in the Vacant Land Category according to the procedure set forth in the preceding paragraph. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHLrLA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), AUTHORIZING THE ANNEXATION OF TERRITORY IN THE FUTURE TO SUCH COMMUNITY FACILITIES DISTRICT AND IMPROVEMENT AREA "A" THERE1N WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has declared its intention, conducted proceedings and held a public hearing relating to the authorization to annex territory in the future to a community facilities district and an improvement area therein pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereo£ The Community Facilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) (the "District") and the improvement area is designated as IMPROVEMENT AREA "A" ("Improvement Area 'A'"); and, WHEREAS, it has now been determined to be within the best public interest and convenience to establish a procedure to allow and provide for future annexations to the District and further to specify the amount of special taxes that would be levied in any territory subject to future annexation, as well as setting forth the terms and conditions for certification of any annexation in the future; and, WHEREAS, the territory proposed to be annexed in the future shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A" (FUTURE ANNEXATION AREA) (the "Future Annexation Area"), and a map showing the territory in the Future Annexation Area has been submitted and previously approved and a copy of said map is and shall be kept on file with the transcript of these proceedings; and, WHEREAS, it has now been further determined that written protests have not been received representing a majority protest against the future annexation proceedings. NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all true and correct. ANNEXATION AUTHORITY SECTION 2. This legislative body does hereby authorize the annexation of the Future Annexation Area in the future pursuant to the provisions and authorization of Section 53339.7 of the Government Code of the State of California. PUBLIC CONVENIENCE AND NECESSITY SECTION 3. This legislative body hereby determines that the public convenience and necessity requires a procedure to allow and authorize the Future Annexation Area to be annexed in the future to the District and Improvement Area "A' therein in order to pay the costs and expenses for the required and authorized public services. BOUNDARIES SECTION 4. A description of the boundaries and territory proposed to be annexed in the future is as follows: All that property and territory within the Future Annexation Area proposed to be annexed in the future to the District and Improvement Area "A' therein, as said property is shown on a map as previously approved by this legislative body, said map identified by the name of the District and Improvement Area "A" and further designated as the Future Annexation Area, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. NAME OF DISTRICT AND IMPROVEMENT AREA SECTION 5. The name of the District and Improvement Area are COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) and IMPROVEMENT AREA "A' respectively, and the designation for the Future Annexation Area shall be COMMUNITY FACILITIES DISTRICT NO 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A' (FUTURE ANNEXATION AREA). SERVICES SECTION 6. The services that are authorized to be financed by Improvement Area "A" of the District are certain services which are in addition to those services provided in or required for the territory within the Improvement Area "A' and will not be replacing services already available. A general description of the services authorized to be financed by the 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 managed by the federal and/or state government as open space, habitat maintenance and/or for any other purpose. The District is authorized to finance all direct, administrative and incidental annual costs and expenses necessary to provide the maintenance and servicing for such public facilities. 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 Future Annexation Area. If and to the extent possible such services shall be provided in common with the District and the Future Annexation Area. No additional services will be necessary or provided in the Future Annexation Area and the services as described for Improvement Area "A" will serve the properties within the Future Annexation Area. SPECIAL TAXES SECTION 7. It is the intention of this legislative body that, except where funds are othenvise available, a special tax sufficient to pay for said services to be provided in Improvement Area "A" and the Future Annexation Area, secured by recordation of a continuing lien against all non-exempt real property in the Future Annexation Area, will be levied annually within the boundaries of the Future Annexation Area from and after the annexation of such property to the District and Improvement Area "A" therein. The special taxes shall be those as originally authorized through the formation of the District and Improvement Area "A" therein and adopted by Ordinance of this legislative body, and no changes or modifications are proposed in the special taxes from those as originally set forth and made applicable to the District and Improvement Area "A" therein. For particulars as to the rate and method of apportionment of the proposed special tax (the "Special Tax Formula"), 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 Future Annexation Area to clearly estimate the maximum annual amount that said person will have to pay on said special tax. The special taxes, to the extent possible, 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; provided, however, the District may utilize a direct billing procedure for any special taxes that cannot be collected on the County tax roll or may, by resolution, elect to collect the special taxes at a different time or in a different manner if necessary to meet its financial obligations. ANNEXATION EFFECTIVE DATE SECTION 8. Annexation of property in the future shall be effective only with the unanimous approval of the owner or owners of each parcel or parcels at the time that any parcel is proposed for annexation. Upon receipt of the written consent, no further public hearings or additional election proceedings will be required. VALIDITY OF PROCEEDINGS SECTION 9. It is hereby further determined by this legislative body that all annexation proceedings hereto were valid and in conformity with the requirements of law, and specifically the provisions of the 'Wlello-Roos Community Facilities Act of 1982". NOTICE SECTION 10. Immediately upon the receipt ora property owner consent and the certification of the annexation proceedings and approval of such annexation by the City Council, a notice of the annexation shall be recorded in the Office of the County Recorder as required by Section 53339.8 of the Government Code of the State of California. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Director of Public Works EXHIBIT~___. Community Facilities District No. 97-2 July 1, 1998 Page/6 I Part IV - Rate and Method of Apportionment of Special Taxes ANNUAL TAX A Special Tax shall be levied annually on each Parcel of land within the Preserve Maintenance District, Community Facilities District No. 97-2 of the City of Chula Vista (the "Distri.ct"), and collected according to the Special Tax Liability. determined by the City of Chula Vista (the "City") through the application of the following procedures. All of th~ I~roperty within the District, unless otherwise exempted by law or the express pr6Visions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Parcels within the District are included within either Improvement Area A or Improvement Area B. A map of the Improvement areas is included as Exhibit B. All Special Taxes applicable to Parcels be collected in the same manner and at the same time as ordinary ad valorem proper~y taxes, and Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its counsel, any fees of the County related to the District or the Collection of special ~'~xes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chula Vista. M:\$project\chulavis\psrvmain 8.doc Community Facilities District No. 97-2 Exhibit A Page ~Z- Rate and Method of Apportionment Developed Parcel means Taxable Property for which a foundation building permit or other form of building permit has been issued as of Marc~h 1 of the preceding Fiscal Year. District means the Preserve Maintenance District Community Facilities District No. 97-2 of the City of Chula Vista. Final Map means a recorded Tract Map or Parcel Map. Fiscal Year means the period starting on July 1 and ending the following June 30. Improvement Area means one of the two specific areas as shown in Exhibit B. Maximum 'Special Tax means the maximum special tax that can be levied within each Improvement Area within CFD No. 97-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. Non-Residential Parcels shall include each Parcel within the District which is zoned for other than Residential Uses by the City. Non-Residential Uses shall include all Developed Parcels which are not zoned for Residential Uses including commercial, industrial, and Community Public Facilities (CPF). Operating Fund means a fund that shall be maintained for each Improvement Area within the District for any 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 for each Improvement Area at the end of the preceding Fiscal Year. Operating Fund Requirement means for any Fiscal Year an amount for each Improvement Area 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. Parcel means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. Preserve Operations and Maintenance means those activities defined in Part II A~ of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista. ~"~., ~ Community Facilities District No. 97-2 July 1, 1998 Page 9' .~, Preserve Operations and Maintenance Fund Requirement means for any Fiscal Year an amount applicable to Improvement Area A equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. R~s-idential Uses shall include those residential uses as permitted in the City zoning ordinance. Reserve Fund means a fund that shatl be maintained for each Improvement Area 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 that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. Resource Monitoring Program means those activities defined in Part II B. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista. Resource Monitoring Fund Requirement means for any Fiscal Year an amount for each Improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which, Special Taxes are levied. An Improvement Area's '~fair share" shall be based upon the Improvement Area'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 or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an Improvement Area within the D strct equal to: (i) the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement, less the Reserve Fund Balance. ~, ~)~ q M:~project\chulavis\psrvmain8.doc ...... Community Facilities District No. 97-2 July 1, 1998 Page l~r~ Tax Categories are those Categories I, II and III described in the body hereof. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to the law or which are not classified or assigned to the Exempt Category as defined herein. Cateqorie~ of Special Taxes Category I Category I includes each Developed Parcel within the District. (Category I) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fis?al Year 1998/99 on each Developed Parcel shall be at the rates set forth in Table 1 below. For Residential Parcels the Special Tax shall be levied based upon Building Square Footage and for Non-Residential Parcels shall be levied based on Acreage. The Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is 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 January. TABLE t Maximum Special Tax Category I Resource Operation & Monitoring Maintenance Residential Parcels $0.0049 per sq. ft. $0.0078 per sq. ft. Non-Residential Parcels $80.96 per Acre $128.53 per Acre Category Il Category II includes each 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 11). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel in Category II shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index Items) or the annual percentage change in the estimated California Fourth Quarter Per M:\$project\ch ula vis~srvm ain 8.doc Community Facilities District No. 97-2 _ July 1, .199/8 Page 1-1 Capita Personal Income as contained in the Govemods budget published every January. -- TABLE 2 Maximum Special Tax Category II Resource Operation & Monitoring Maintenance $80.96 per Acre $128.53 per Acre Category III Category III includes each Parcel of Taxable Property wi_thin the District not subject to a Special Tax under any other category ("Category II1"). The Maximum Special Tax which may be levied for Fiscal Year 1998/99 on Taxable Property within Category III shall be as shown in Table 3 below (said amount to be levied pro rata for any portion of an~ Acre): Said Maximum Special Tax shall be increased or decreased each Fiscal Year' thereafter by a factor which is 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 January. TABLE 3 Maximum Special Tax Category III Resource I Operation & Monitoring I Maintenance $51.21 per Acre $81.30 per 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"). Assi,qnment to Cateqories of Spec al Tax On or about July 1 of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the District to Category I, Category 11, Category III or the Exempt Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. M:LSproject,chulavis~osrvmain8.d oc Community Facilities District No. 97-2 July 1, 1998 Page ~ (o Levy and Apportionment of Special Taxes The City shall determine the Special Tax Liability for each Improvement Area in each Fiscal Year on or about every July 1. Special Taxes shall then be levied on each Parcel classified as the Category I, Category II, or Category III in the following order of pdodty: ' Improvement Area A St~l~ 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. Step2: 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 Improvement Area A, classified as Category II. The Special Tax for Parcels assigned to Category II shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area /~ 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 I 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 III. The Special Tax for Parcels assigned to Category III shall be calculated as the lessor 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 I and 3 above, divided by the total Acres for all Parcels within Improvement Area A M:\$project\chulavis~Psrvmain 8.doc Community Facilities District No_ 97-2 July 1, 1998 Page ~-3 '~ OR (ii) the Maximum Special Tax rate for Parcels assigned to Category III 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 Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the preceding paragraph. I..mprovement Area B Step 1: Determine the revenue which could be generated by Parcels assigned to Improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels assigned to Category III by the Maximum Special Tax for Category III. Step 2: If the total revenue as calculated in Step 1 is greater than the Special Tax Liability for Improvement Area B, 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 Improvement Area B for the Fiscal Year. However, in the event it is determined that the Special Tax Liability for Improvement - Area B includes delinquent Special Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(sT'with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the Step 1 and Step 2 above. M:~$project\chulavis\psrvmain 8.doc RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), DECLARING THE ANNEXATION OF TERRITORY TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND AUTHORIZING SUBMITTAL OF LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA. CALIFORNIA (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 1, Division 2, Title 5 of the Government Code of the State of Califomia, 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' ("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. 1 (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(I/2) 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 (12) 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. 1 NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. RECITALS The above recitals are all true and correct. SECTION 2. DETERMINATIONS It is determined by this City Council that: A. all proceedings prior hereto were valid and taken in conformity with the requirements of 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 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 heating, 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. ANNEXATION ORDER This City Council, acting as the legislative body of the District, hereby declares the annexation of the Annexation Area to Improvement Area "A" of the District. SECTION 4. 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: 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 2 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 5. DESCRIPTION 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 of the 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 common with Improvement Area "A" and the Annexation Area. SECTION 6. SPECIAL TAX Except where funds are otherwise available, a special tax sufficient to pay for such services to be provided in the Annexation Area, secured by recordation ora 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 billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. SECTION 7. ELECTION The proposition related to the levy of the special tax shall be submitted 3 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 the 15th DAY OF AUGUST, 2000, 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 8. 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. 1 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. 1 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 Resolution No. __ 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 9. VOTE The appropriate mark placed in the voting square after the word "YES" shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the voting square after the word "NO" in the manner as authorized, shall be counted against the adoption of said proposition. SECTION 10. ELECTION PROCEDURE The Election Official is hereby authorized to take any and all steps necessary for the holding of said 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. B. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. C. Furnish and address official ballots for the qualified electors of the Community Facilities District. D. Cause the official ballots to be mailed and/or delivered, as required by law. 4 E. Receive the returns of the election. F. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. G. Canvass the returns of the election. H. Furnish a tabulation of the number of votes given in the election. I. 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. J. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt J.ofiri/,l~eny ~/ Director of Public Works City/Attorney 5 EXHIBIT.~...~ ._ Community Facilities District Ne. 97-2 July 1, 1998 Page { / Part IV - Rate and Method of Apportionment of.Special Taxes -- ANNUAL TAX A Special Tax shall be levied annually on each Parcel of land within the Preserve - Maintenance District, Community Facilities District No. 97-2 of the City of Chula Vista (the "Distri.ct"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of th~ I~roperty within the District, unless otherwise exempted by law or the express prS~/isions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Parcels within the District are included within either Improvement Area A or Improvement Area B. A map of the Improvement areas is included as Exhibit B. All Special Taxes applicable to Parcel~ be collected in the same manner and at the same time as ordinary ad valorem property taxes, and Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its...counsel, any fees of the County related to the District or the collection of special taxes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chula Vista. M:\$project\chulavis\psrvmainS.doc Community Facilities District No. 97-2 Exhibit A Page ~??. Rate and Method of Apportionment Developed Parcel means Taxable Property for which a foundation building p~mit or other form of building permit has been issued as of Mar..ch, h 1 of the preceding Fiscal Year. District means the Preserve Maintenance District Community Facilities District No. 97-2 of the City of Chula Vista. Final Map means a recorded Tract Map or Parcel Map. Fiscal Year means the period starting on July 1 and ending the following June 30. Improvement Area means one of the two specific areas as shown in Exhibit B. Maximum 'Special Tax means the maximum special tax that can be levied within each Improvement Area within CFD No. 97-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. Non-Residential Parcels shall include each Parcel within the District which is zoned for other than Residential Uses by the City. Non-Residential Uses shall include all Developed Parcels which are not zoned for Residential Uses including commercial, industrial, and Community Public Facilities (CPF). Operating Fund means a fund that shall be maintained for each Improvement Area within the District for any 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 for each Improvement Area at the end of the preceding Fiscal Year. Operating Fund Requirement means for any Fiscal Year an amount for each Improvement Area 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. Parcel means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. Preserve Operations and Maintenance means those activities defined in Part II A. of the Special Tax Repod dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista.?ff~., t~ Community Facilities District No. 97-2 July 1, 1991] Page ~ ~ Preserve Operations and Maintenance Fund' Requirement means for any Fiscal Year an amount applicable to Improvement Area A equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. R~-identiai Uses shall include those residential uses as permitted in the City zoning ordinance. Reserve Fund means a fund that shall be maintained for each Improvement Area 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 that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. Resource Monitoring Program means those activities defined in Part II B. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista. Resource Monitoring Fund Requirement means for any Fiscal Year an amount for each Improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which,, Special Taxes are levied. An Improvement Area's "fair share" shall be based upon the Improvement Area'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 or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an Improvement Area within the District equal to: (i) the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement, less the Reserve Fund Balance. g ~. ~ Community Facilities District No. 97-2 July 1, 1998 · Page 1,E ~ Tax Categories are those Categories I, II and III described in the body hereof. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to the law or which are not classified or assigned to the Exempt Category as defined herein. Cateqories of Special Taxes Category I Category I includes each Developed Parcel within the District. (Category I) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fi$~cal Year 1998/99 on each Developed Parcel shall be at the rates set forth in Table 1 below.' For Residential Parcels the Special Tax shall be levied based upon Building Square Footage and for Non-Residential Parcels shall be levied based on Acreage. The Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is 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 January. TABLE 1 Maximum Special Tax Category I Resource Operation & Monitoring Maintenance Residential Parcels $0.0049 per sq. ft. $0.0078 per sq. ft. Non-Residential Par~zels $80.96 per Acre $128.53 per Acre Category II Category II includes each 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 II). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel in Category II shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (A. II Items) or the annual percentage change in the estimated California Fourth Quarter Per Community Facilities District No. 97-2 July 1, .1998 Page t-1 ~ " Capita Personal Income as contained in the Governor's budget published every January. -- TABLE 2 Maximum Special Tax Category II Resource Operation & Monitoring Maintenance $80.96 per Acm $128.53 per Acre Category III Category III includes each Parcel of Taxable Property wi_thin the District not subject to a Special Tax under any other category ("Category II1"). The Maximum Special Tax which may be levied for Fiscal Year 1998/99 on Taxable Property within Category III shall be as shown in Table 3 below (said amount to be levied pro rata for any portion of an; Acre)~ Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is 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 January. TABLE 3 Maximum Special Tax Category Ill Resource I Operation & Monitoring 1 Maintenance $51.21 per Acre $81.30 per 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, Llnmanned 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"). Assiqnment to Cate.qories of Special Tax On or about July 1 of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the District to Category I, Category 11, Category Ill or the Exempt Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. M:LSproject\chulavis~psrvmainS.doc ~ ~' t 0 Community Facilities District No. 97-2 July 1, 1998 Page 'J2. ~ Levy and Apportionment of Special Taxes The City shall determine the Special Tax Liability for each Improvement Area in each Fiscal Year on or about every July 1. Special Taxes shall then be levied on each Parcel classified as the Category I, Category II, or Category III in the following order of priority:' Improvement Area A St~l~ 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 Improvement Area A, classified as Category II. The Special Tax for Parcels assigned to Category Il shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area ~, 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 III. The Special Tax for Parcels assigned to Category III shall be calculated as the lessor 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 and 3 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category Ill, M:\$project\ch ulavis~Dsrvmain8.doc Community Facilities District No. 97-2 July 1, 1998 Page 1,3'7 OR (ii) the Maximum Special Tax rate for Parcels assigned to Category III 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 Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the preceding paragraph. Improvement Area B Step 1: Determine the revenue which could be generated by Pamels assigned to Improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels assigned to Category III by the Maximum Special Tax for Category II1. Step 2: If the total revenue as calculated in Step 1 is greater than the Special Tax Liability for Improvement Area B, 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 Improvement Area B for the Fiscal Year. However, in the event it is determined that the Special Tax Liability for Improvement Area B includes delinquent Special Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and ider~tify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(sT'with the remaining portion of the SPecial Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the Step 1 and Step 2 above. M:~project\ch ulavis~psrvrnainS.doc $~1] s,~o0o THE CITY OF CHULA VISTA The Honorable Mayor Shirley Herren And the Esteemed Members of the Chula Vista City Council ChulaVista, California 91910 Dear Mayor Horton & C~ty ~unci] M~ber~ Our city has experienced unprec~e~ted and tremendous ~owth, With a ~pula~on well over 165,~, the n~d and demand for city opera~on~ and se~ces is greater th~ ever ~fore, The desi~ to pmvlde our city's residents wlth query se~ices~oupled with solutions W new, everyday problems~i~ a mutual desire ~d of concern to us alll The Chub Vista Human Relations Com~asion is pier, ed wlth the progress that ~e Ci~ has experience. ~te natur~ly, we are extremely pleaded wkh ~he d~cisions that have b~n made that have alit better ~ervice to our dynam~c and gmwlng c~mmunlties. In addition, we are thlly cog~zanr ~hat the growfl~ of our fa~ city also means new challenges and concerns [br you, the fine members of our City Count, ~d for the City's va~ou~ departments. N~dk~s to say, the provldon of helpful and effective s~rvice~ for oar ~sidents is an awesome rezponaJbi~ty. To accomplish it w~ll, ~od communi~tion between the residents and the Ci~y'~ leadership is paramo~nd With this goal in mind, the Chula Vista Hum~ R~tions Commission would ]~ke to suggest the implementatio~ of a system to assist Chula Vista residents and v~sitor~ a~e. This ~ug~zfion w~ll affbrd us th~ chance to improve a~d enhance the lead~ship'~ ab]~ty to gauge rh~ concerns of the residents, Then too, ir will be an e~ellent way to get ideas and zugge~ons on tbdr views about improving City ~ices. It it's fl~e ~mmi~ions reco~end~tlon that three (~) suggestion boxes be insta~ed~ one in ~ch of the Citfs Ebr~i~s. We firmly bdieve that d~ese suggestion boxe~ w[ll be a ~ue benefit m oar commanityl Th~ boxes will provide the resJdent~ the ch~ce to e~ily m~d conveniently communicate wi~ their Citfz leadets~esp~rive of where they work, reside or attend school ~d considering most schedules. With each box, zuggeztion ~rds will be available for completion. We suggest that theae carda have check off ~xes, wlth the name~ of the differenr City department~, co~iaaions, ~d committees, Ind~v~du~s can then d~er send a general me~a~ ~ the Ci~; or, if they'd llke, ~ey c~ (via the check off' boxes) ~end a mes~ge to ~ particular entity, SUGGESTION BOX PAGE ~ The Human Relations Commission believes this to be a OREAT idea, We also believe that it will be a well-used and effbctive tool that will tremendously benefit our City's residents. Thank yot~ for your consideration of this r~commendarion. Tog~t2~er, we hope for continued growth and progress for Chub Vistat Sincerely, THE CHULA VISTA HUMAN RELATIONS COMMISSION Virgilchair P/t~a ~ Meeting Minutes Wednesday, June 14, 2000, 5:15 p.m. Public Services Building, Conf. Room I 1. Roll Call The meeting was called to order at 1725 hours by Vice Chair Pina with the following Commission members present: Michelle Delehanty, Virgil Pina, Fred Tinker, Michael Palomo. Staff Present: Captain Leonard Miranda, Trudi Ford, Joyce Sculark Commissioners Scot~, Jemison, and Avalos arrived after the meeting began. 2. Declaration of excused/unexcused absences None 3. Approval of minutes Motion to approve minutes from 02-08-00 were M/S/C (PineJDelehanty), 4. Human Relations Commission Budget Report Tabled until next meeting. Year-end report due. 5. Public Remarks V. Pina suggested that the community be encouraged to attend meetings. It was also suggested that the Star News could be invited to do an article on the Commission, and perhaps do a series on all the commissions. 6. Old Business Citizens Suggestion Box - V. Pina brought this item to the attention of the Commission and suggested that boxes be in each of the City's libraries. A letter to the City Council with this recommendation was read by J. Scott. M. Delehanty moved to accept the recommended letter with restructuring. A. Jemison seconded the motion, and offered to restructure the language in the letter. 7. New Business The New Volunteer Recognition Program was tabled until the next meeting. J.Scott_- It was requested by the Mayor's Office that the Human Relations Commission undertake gathering and disseminating information on "scams" that are happening in the City, and making a presentation to seniors regarding their consumer rights. It was suggested that Pam Smith, Director of Aging and Independent Services, be contacted to assist with this project. F. Tinker will initiate the contact with Pam Smith. With the terms ending for Jeff Scott as Chair and Micherle Delehanty, nominations for Chair and Vice Chair were heard. It was unanimous that Virgil Pina become the new Chair, and Samuel Avalos become the new Vice Chair. 8. Other Business M Delehanty shared with the Commission her involvement with the U.N. Day Committee. The event will be held on Sunday, October 29th. The next committee meeting will be held on Wednesday, August 2nd at La Bella Pizza on Third Avenue. A. Jemison offered to serve as the Commission's representative to that committee. 9. Written Correspondence None. 10, Commission Comments None 11. Adjournment Chair Scott adjourned the meeting at 1920 hours, until the next scheduled meeting on July 12, 2000, Trudi Ford HRC Secretary Upon adjournment of the meeting, the Commissioners thanked Michelle Delehanty for her years of service. A plaque is being prepared to present to her at a later date. A. Jemison presented her with a journal he brought with him from his trip to Puerto Rico. COUNCIL AGENDA STATEMENT Item: /t9 Meeting Date: 8/01/2000 ITEM TITLE: Resolution Approving an agreement with Highland Partnership, Inc. for the provision of Consultant Services for the Programming and Preparation of Master Plan for the New Police Department Building and Expansion of the Civic Center Complex, authorizing the Mayor to execute said agreement and appropriating funds therefor SUBMITTED BY: Assistant City Manager Morris ?]MI Director of Public Works~/ REVIEWED BY: City Manager (4/Sths Vote: Yes X No __) On July 18, 2000 the City Council approved its first contract using a new construction management tool-Construction Manager/Constructor (CMC). Highland Parmership, Inc. was selected from the Construction Manager/Constructor list to provide construction management services for the $25 M City Corporation Yard project. The purpose of this agenda statement is to award the second project using the CMC list. The guidelines established for the use of the CMC list provide the City with the ability to award facility construction projects and facility master planning/programming projects from a list of pre-qualified construction/development/planning teams. The City identified three teams from the CMC list with the background necessary to be considered for an interview for the planning and programming of a new Police facility and the Civic Center expansion. Highland Partnership, Inc. Douglas E. Barnhart and Turner Construction Co. were each interviewed. Highland Partnership, Inc. was unanimously selected by staff as the highest overall rated respondent. The services that are outlined for completion under this agreement comprise the first phase of a two-phase approach to the actual completion of the Police Facility and Civic Center expansion work. It is staff's intention, upon adoption of a Design/Build ordinance, to process the second phase as a Design/Build contract that will enable the design and construction of the Police Facility by December 2002 and occupancy of the first phase expansion of the Civic Center in the same timeframe. The outcome of the Phase 1 effort will become the basis for implementing the City's first attempt at "Design/Build", and will also put the City in a position of strength for the successful implementation of Phase 2. RECOMMENDATION: That Council approve the resolution approving an agreement with Highland Partnership, Inc. for the provision of Consultant Services for the Programming and Preparation of Master Plan for the New Police Department Building and Page 2, Item: Meeting Date:8/01/2000 Expansion of the Civic Center Complex, authorizing the Mayor to execute said agreement and appropriating funds therefor BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The scope of services, which are the subject of the City of Chula Vista's Consultant Services Contract with Highland Partnership, Inc., goes far beyond the preparation of general planning and feasibility studies and reports related to the new Police Headquarters and Civic Center Expansion. Highland and its approved team of Sub-consultants will work closely with City stakeholders to complete a very comprehensive scope of tasks prior to the end of this year. The major objectives to be accomplished through this Contract are the preparation and completion of detailed implementation plans for the programming of the Police Building Facility and the expansion of the Civic Center Complex, ready for review and approval by City Council in December of this year. Highland Partnership, Inc. will provide the City with implementation plans that contain sufficient information and detail to allow the City, at its discretion, to bid the design and construction of the facilities called for in each plan under either a Design/Construction Manager or Design-Build project delivery system. Highland Partnership, Inc., has contracted with RNL Design to perform the design, programming and master planning for the Civic Center, and McClaren, Wilson & Lawrie, Inc. (MWL), for the programming of the Police Headquarters. Carrier Johnson will provide the exterior architectural design for the Police Headquarters. This "Core Team" will be augmented with experts experienced in geotechnical and environmental analysis and CEQA requirements. This team will work closely with City and Police Department Staff to research existing conditions, project and define future needs and prepare all the preliminary design documentation, including outline specifications, budgets and schedules for each of the projects, necessary to obtain the City's approval and finalize future Design/Build contracts, for completion of the design and construction of both projects. Site Description: The Police/Civic Center project consists of 5 buildings on the main campus and 2 facilities (the Mercy and E1 Dorado buildings) in the immediate vicinity of the main campus and one remote facility (the Corporation Yard). It is the City's desire that the Civic Center retain its existing level of architectural distinction, yet be compatible with the surrounding community it is designed to serve and further that the siting/conceptual design for the Police Headquarters complement this effort. Staff intends to utilize existing and additional structures, as are determined through this process to be necessary to meet the City's needs. The proposed project will cover the following buildings/sites: Page 3, Item: Meeting Date:8/01/2000 Police Headquarters Building (50,000 square feet) which includes o Management Information Systems Department and o Police Deparmaent City Administration Building (20,500 square feet) which includes o Management/Administration Department a Mayor and Council offices and staff City Attorney; and Human Resources Department [] Public Services Building (37,400 square feet) which includes o Part of the Planning and Building Department o Part of the Engineering Division of the Public Works Department; and o Finance Department [] Community Development Building (3,000 square feet) which includes o Community Development Department [] Legislative Services Building (3,500 square fee0 which includes o Purchasing Division o Housing Division of the Community Development Department and o Additional, outside agencies [] E1 Dorado Building (15,000 square feet) which includes o Part of the Planning and Building Department o Part of the Parks and Recreation Department o Part of the Engineering Division of the Public Works Department [] Mercy Building (6,000 square fee0 which includes o Part of the Planning and Building Department o Landscape Architect and Parks Development Division Public Works Corporation Yard (707 "F" Street) o Comprised of approximately 6 Acres o The Facility will be vacated within approximately the next 18 months Consultant Selection Process: Ten days after issuing the RFQ, City Staff held a pre-submittal conference that was attended by forty-two consulting £u'ms. A total of eighteen fu'ms responded to the RFQ and made submittals by May 19, 2000. Based on the evaluation criteria the six top ranked finns were: ~ Bitterlin Development Corporation [] Douglas E. Barnhart, Inc., Page 4, Item: Meeting Date:8/01/2000 [] Gafcon, LLC, and [] Highland Partnership, Inc., [] Turner Construction Company, Vanir Construction Management, Inc., As a result of the interview process, on June 20, 2000 the City Council approved a resolution establishing a Construction Manager/Constructor Services Priority List comprised of all the six consulting teams to be used for awarding design/construction contracts on future building facilities. On July 18, 2000 the City Council approved a resolution approving an agreement with Highland Partnership, Inc., to provide Construction Management services for the Corporation Yard project. The RFQ gave the City the flexibility to use the submittal evaluation and ranking process to invite any or all of the top six f'u-ms to participate in interviews that pertain to future building projects. Such flexibility made it possible for the Selection Committee to ask the six teams that participated in the interview process about their experience in the design and construction of police buildings and general governmental facilities. As a result of that, three f'u'ms were identified that had considerable experience in the design and construction of police buildings and general governmental facilities and invited them to subsequent interviews that focused solely on the programming and preparation of a master plan for the civic center expansion and the construction of the police building. The firms were: Highland Partnership, Inc., Turner Construction Company, and [] Douglas E. Barnhart, Inc. The following is a detailed description of the second selection process that staff used for the programming and preparation of the master plan for the Civic Center expansion and the police building facility. Staff invited the three firms for a second interview. An invitation was mailed to each of the f'u'ms indicating that the interview will only cover the planning and programming of the Police Department facility/Civic Center expansion project. We informed all teams of the critical importance of the "programming" aspect of the Police Building Facility. In order to assist the firms in preparing for the interview, the invitation letter asked them to focus on the following areas: [] Project understanding. [] Methods of execution. [] Qualifications, experience, and resources. Previous performance on similar programming/master plans. Methodology for completing programming/master plans on schedule. Personnel that would be involved with the work. Cost for the services including fees that the City would be charged. Page 5, Item: Meeting Date:8/01/2000 The interviews with Highland Partnership Inc. and Turner Construction Co. were held on Wednesday, June 21 and the third interview with Douglas E. Barnhart was held on Monday, June 26. The interview questions and discussion involved the following: · Understanding of the firm's role, responsibilities and interaction with City officials, and sub-consultants. · Experience with similar projects. · Ability to identify milestone events and significant issues that could affect the project's schedule and timely completion. · Proposed project phasing and construction timeline. · Allocation of human and material resources. · Software support system. Turner invited two other teams to participate in their interview. The teams were: Martinez & Cutri, who were identified as the master planning firm and Ross Drulis as the firm responsible to do the programming for the Police Department. The Selection Committee identified a number of issues with the teams' experience and approach to the programming and master plan preparation. The Selection Committee also felt that the time the team scheduled to complete the programming and the master planning (three months), was extremely short and not attainable. Douglas E. Barnhart included Pinnacle One on their team. Baruhart's programming approach was extremely general and lacked many of the key issues that were identified by the other teams. Barnhart's team did not have experience with similar facilities and did not develop a schedule for the programming and the preparation of the master plan. Highland assembled a team with significant, directly related experience. The team involved the following consultants: RNL Design for the master planning of the Civic Center expansion, McClaren Wilson and Lawrie for the law enforcement programming, and Carrier Johnson for the Police Department architecture. Highland's team had extensive experience in the programming of police buildings and preparation of master plans involving the Cities of Fontana, Boulder, Aurora, and Longmont civic center master plans; the County of Riverside Sheriff and Coroner's facility; the Honolulu Headquarters Facility; the Dallas Police Headquarters Facility; the Whittier Police Headquarters, Library and Civic Center Master Plan; San Diego Headquarters Facility; San Diego County Downtown Government District Master Plan; San Diego Hall of Justice; the City of Yuma Government Facilities Master Plan and Civic Center; Rohr Engineering Facility Master Plan; County of San Diego Central Jail Facility; and the National City Police Headquarters Facility. Their schedule called for completing the Civic Center Master Plan and the programming for the Police Headquarters within 4 to 6 months. The Selection Committee focused on the most important component of the process and that is the programming of the police facility. Highland identified the following key issues on programming: 1. Staffing and space forecast by department. Page 6, Item: Meeting Date:8/01/2000 2. Understanding external influences, regional impacts. 3. Safety, security, health/ergonomics issues. 4. Alternate site advantages and constraints. 5. Infrastructure requirements and issues: Prepare for emerging technologies vs. current technology. 6. Extraordinary usage: 24 hour, 365 days a year facility. 7. Thorough understanding of operations. 8. Developing accurate budgets. 9. Address parking, communications, and other issues. 10. Understanding special spaces requirements and needs. 11, Timing to assemble land. RNL Design was the architect on the Corporation Yard Project and according to all the teams that were interviewed for the Corporation Yard Project, the construction documents prepared by RNL were very good. Also, staff's experience with RNL Design has been very positive. RNL's role in the preparation of the master plan for the Civic Center will complement the programming efforts that Jim McClaren of McClaren, Wilson and Lawrie will be undertaking. Carrier Johnson will complement Jim McClaren's work by providing "preliminary architecture" for the Police Department facility. Carrier Johnson is a well- known San Diego based architect and was involved in the architecture of many excellent buildings in different areas of San Diego. Highland Parmership, Inc. was again selected unanimously as the best team for the programming and preparation of a Master Plan for the Civic Center Expansion and the Police Department Facility. Highland presented a schedule that best reflected the City's desired timeline and they clearly had the relevant experience and support system staff felt necessary for the preparation of the programming and the master plan. Scope of Consultant Services: Highland Partnership, Inc. and the approved subconsultant's will conduct a needs analysis to determine the appropriate programming of a new police facility. This will consist of a variety of methods to attain information, synthesis the data gathered and present the City with a final master plan document. This task will also include the development of a non-site specific project budget. Concurrently, Highland Partnership, Inc. will conduct a site study that will evaluate the functional suitability of a variety of sites identified by staff and Highland Partnership, Inc. for locating the new facility. Site specific budget studies for each site deemed feasible will then be prepared. Highland Partnership, Inc will then objectively evaluate and compare the projects possible on the identified sites and make a final recommendation for inclusion in the report and implementation plan to be forwarded to the City Council for action. Additionally, Highland Partnership, Inc. will work closely with City staff to evaluate the existing status and conditions and develop a Facility Master Plan for the Civic Center campus and ancillary facilities. This Master Plan for renovation and expansion of the Civic Page 7, Item: Meeting Date:8/01/2000 Center will address short and long-term space needs and create a phasing and implementation plan including schematic design for the initial phase of improvements. These initial improvements and long-term master plan are intended to coordinate with the surrounding community. Conclusion: Considering the current pace of development and growth the City of Chula Vista is experiencing, it has become imperative that all necessary steps are taken to ensure that the level of services that City departments are providing to the public continues and improves. The eventual expansion of the Civic Center campus and construction of a new Police Department Facility are vital projects that the City will undertake in order to meet all the service delivery goals. The hiring of this consultant will help immensely to facilitate the planning for the design and construction of both projects. The City does not have the human or material resources to complete such work in-house and deal with all the challenges and difficulties involved in its timely completion. The selection committee believes that Highland Parmership, Inc. is the best-qualified firm to provide such services. We believe that the construction management services priority list system that was approved by the City Council on June 20th will act as a serious incentive for Highland to perform at or above our expectations in the completion of these services. Highland is on the priority list and is aware that future projects will only be awarded if satisfactory results are achieved. FISCAL IMPACT: The fixed fee to perform the consulting services as outlined in the subject agreement is $547,646.00. Approval of this resolution would authorize the expenditure of $603,000.00 (which includes 10% contingency funds) for the provision of Consultant Services for the Programming and Preparation of Master Plan for the New Police Department Building and Expansion of the Civic Center Complex. Through the CIP process, Council had previously approved the appropriation of funds totaling $237,000 from the Civic Center Development Impact Fee fund to cover costs associated with the Civic Center expansion Planning and Environmental Review services. Approval of this resolution will expand the scope of the Civic Center expansion CIP (Project # GG-139) to cover the programming of the Police Department Facility and all the tasks required for the completion of the Civic Center expansion Master Plan. Consequently, this resolution will also approve the appropriation of $366,000.00 in order to increase the "Planning and Environmental" appropriation to $603,000.00 and allow for the completion of the subject consultant services. Staff recommends appropriating the funds from the Civic Center Development Impact Fee fund to the Civic Center Expansion CIP Project (GG139). Attachments: Exhibit A - Request for Qualifications for Construction Manager/Constructor Services Exhibit B - Agreement with Highland Parmership, Inc. to develop the Civic Center Expansion Master Plan and the Programming of the Police Department Facility Exhibit C - Resolution establishing a construction management services priority list comprised of six consulting teams to be used for awarding design and/or construction contracts on future building facilities. Page 8, Item: Meeting Date:8/01/2000 Please note that all Exhibits are available for Council viewing in the City Clerk's Office. File # 0735-10-GG139 H:\SHARED\ENGINEER\highlandmpagreementa 113 .smn.doc 7/28/00 12:03:47 PM Exhibit A CITY OF CHULA VISTA REQUEST FOR QUALIFICATION FOR CONSTRUCTION MANAGER/CONSTRUCTOR SERVICES City of Chula Vista Public Works Department 276 Fourth Avenue Chula Vista, CA 91910 RFQ Issued: April 17, 2000 Pre-Submittal Conference: April 27. 2000 RFQ Due: May 12, 2000 Page 1 pf 11 CI'IY OF CHUIA VISI'A DEPARTMENT OF PUBLIC WORKS ENGINEERING DIVISION File No. 0735-10-GG131 REQUEST FOR QUALIFICATION CONSTRUCTION MANAGER/CONSTRUCTION SERVICES ADDENDUM #1 April 27, 2000 City Project No. 0735-10-GG131 Proposal Submit Date: Wednesday, May ~ 2, 2000, 5.'00 P.M. The following changes are hereby made effective as though originally issued with the RFQ package: Changes to RFO 1. INTRODUCTION/REOUEST FOR OUALIFICATION (RFO) Remove the Second Sentence; 2nd Paragraph, of Page 3 Reads: The selected CMC for the Corporation Yard will perform CMC services acting as the CITY's representative and agent to manage the design, bidding process and construction of the project ....................... Change to: The selected CMC for the Corporation Yard will perform CMC services acting as the CITY's representative and agent to manage the design, bidding process, and construction of the project. The City intends to award all contracts to subcontractors. ,/'~'. ,,~. ~-~ Samir Nuhaily Senior Civil Engineer; Design Public Works Department City of Chula Vista 276 FOURTH AVENUE/CHULA VISTA. CALIFORNIA 91910-2631 /(619) 691-5021 CI'IY OF CHUIA VISI-A DEPARTMENT OF PUBLIC WORKS ENGINEERING DIVISION File No. 0735-10-GG131 May 9, 2000 REQUEST FOR QUALH~ICATION CONSTRUCTION MANAGER/CONSTRUCTOR SERVICES ADDENDUM #2 City Project No. 0735-10-GG131 Original Submittal Deadline: Friday, May 12, 2000, 5:00 P.M. New Submittal Deadline: Friday, May 19, 2000, 5:00 P.M. The following changes are hereby made effective as though originally issued with the RFQ package: Chanees to RFO 1. INTRODUCTION/REQUEST FOR QUALIFICATION (RFQ) Add the following Sentence at the end of the third Paragraph, of Page 3: The CITY reserves the right to award furore contracts, to CMCs or CMs listed on the Priority List, for work to be performed in accordance with the CITY's "Design/Build" Ordinance which is scheduled to be adopted in the near furore. As a result of this addendum, the RFQ submittal deadline is extended by one week. The new submittal deadline is Friday, May 19, 2000 at 5:00 P.M. Samir M. Nuhaily Senior Civil Engineer; Project Design and Management Department of Public Works/Engineering Division City of Chula Vista C:\WP51\ADDENDU3~GG131RFQ.AD2.doc lO-ti 27~ FOURTH AVENUE / ~HULA VISTA. CALIFORNIA 91910-2631 / (619) 691-5021 Table of Contents 1. Introduction / Request for Qualification ............................................................................ 3 2. Critical Dates ....................................................................................................................... 3 3. Project Description ................................................................................................................ 4 4. Scope of Work ....................................................................................................................... 4-7 · Pre-Design Phase · Design Phase · Bid and Award Phase · Construction Phase · Post - Construction Phase 5. Additional CMC and/or Subcontractor Opportunities ........................................................ 7-8 6. Public Disclosure ................................................................................................................... 7. Submittal Format and Content ............................................................................................. .8.-10 · Submittal Cover ............................................................................................................. · Table of Contents ............................................................................................................ 8_-10 I. Cover Letter II. Methods and Strategic Plan III. Qualifications and Ex~perience IV. List of Project Personnel V. Organizational Chart VI. Other Information Xrii. Schedule of Rates 8. Submittal Schedule ............................................................................................................ l0 9. Submittal Selection Process ................................................................................................ 10 10. Submittal Evaluation Criteria ........................................................................................... 10-11 11. Contract Terms and Conditions ......................................................................................... 11 12. Corporation Contact .......................................................................................................... Page 2 of 11 '. Io-I REQUEST FOR QUALIFICATION CONSTRUCTION MANAGER/CONSTRUCTOR SERVICES INTRODUCTION / REQUEST FOR QUALIFICATION (RFQ) 'Fne City of Chula Vista (CITY) is circulating this RFQ requesting statements of qualifications from Construction Managers/Constructors (CMC) qualified to provide to the CITY proper guidance and assistance in value engineering, construction management, and construction services/coordination for significant CITY capital improvement projects. The specific project requiring a proposal under this RFQ is the renovation and expansion of an existing facility that the C] ~'Pr' intends to use as its Public Works Operations Facility and Corporation Yard ("Corporation Yard"). A detailed description of this project is set forth below· Other CITY projects for which CMC services may be required over the next two years include a new Police Department Facility, the expansion of the Civic Center, new fire stations, parks/recreation facilities, and/or other projects as may be identified by the CITY. The selected CMC for the Corporation Yard will perform CMC services acting as the CiTY's representative and agent to manage the design, bidding process, and construction of the project· The CMC will contract directly with separate specialty contractors to perform the various trades comprising the entire scope of work. Contracts will be awarded using the CI~'F'r"s competitive bidding process as outlined in Section 2.56 of the Chula Vista Municipal Code. The selected ~[,,'~0 wJJJ not be acting as a General Contractor, but as Construction [¢,'anager/Constructor regresenting the CITY and managing the work under direction of CITY Staff. The CMC shall not be allowed to self-perform any trade work, nor contract with affiliates to perform such work. All aspects of project planning, implementation and administration (such as change orders) shall be executed in accordance with the Chula Vista Municipal Code, City Charter and Policies. The selected CMC or CM shall provide evidence to demonstrate expertise in construction project design review and evaluation, construction mobilization and supervision, bid evaluation, project scheduling, cost/benefit analysis, claims review and negotiation, and general management and administration of a construction project. The Corporetion Yard CMC project will be av,.'ar~ed to the hignes~ rated resoonoent w~tn wncm a successful con~'a~ can be negotiated. The next two highest rated respondents to the RFQ shall aisc be placed on a construction services priofib, list (Priority List). The Priority List shall remain in effect for three years, if the CITY determines that CMC services (or Cid, construction management services alone) are necessary or desirable for additional CITY projects over this three-year period, the CITY may ~lLher award such projects to the mgnes, rated respondent (sum_lest to an acceptable agreement) or solicit prcposa!s from the Priority List for such projects. If proposals are solicited, such projects shall be awarded to the highest rated respondent from the Pri~fi~ List with whom a successful contract can be negotiated. The CITY reserves the right to rejem any or all proposals in the CITY's sole discretion at any time prior to an award. The CITY, a!sc reserves the right to solicit proposals from outside the Priority List for future projects. CRITICAL DATES Pr~Submittal Conference Date and Time: April 27. 2000. at 10:00 a.m. Location: Chula Vista Public Services Buildino. Conference Room 2 & 3 Submittal Due Date: May 12. 2000 PROJECT DESCRIPTION The CITY of Chula Vista has purchased the former South Bay Service Center from San Diego Gas & Electric Company (SDG&E). The facility consists of an administrative office building, warehouse building and vehicle maintenance building on a 25 (Net 15.9) acre site. The site also contains a fueling island, employee and visitor parking area, and yard areas for vehicle parking and equipment. The CITY is in the process of acquiring a contiguous 7-acre property to the west of said site to be used mainly for Transit Operations. The CITY intends to utilize the SDG&E site as its primary Public Works Operations Facility and Corporation Yard. The facility would house the Public Works Department's Administration, Sewer, Streets, Traffic, Vehicle Maintenance, Building Maintenance, Construction Inspection, Survey, Parks Maintenance, Communication, and Central Stores functions. Additionally, other CITY functions will utilize the facility, such as Engineering, Transit and Planning (Building Inspection). The project will include the following primary facilities: · Administration Building - modification of existing 31,100 SF single stow building to accommodate administrative and office needs of Corporation Yard and addition of 11,200 S.F. of new space. · Shops Building. · Renovate existing warehouse - modify existing 14,200 SF single stow building by adding a mezzanine level and subdividing the building to serve various divisions. · New Addition - add 16,800 SF single stoW to Shops Building. · Warehouse - convert existing 11,400 SF single stoW Garage building into Warehouse for the Central Stores Division of Purchasing by removing designated equipment and making minor renovations. · Maintenance Building - construct new 42,100 SF single stow large vehicle repair facility with mezzanine space for storage. · Fueling Island - construct 5,670 SF_ s~ngle stow building and service canopy for refueling vehicles. · Bus Wash - construct 3,400 SF single stow building and service canopy for washing transit buses.. · Public Fleet Access Fueling Area. · Household Hazardous Waste (HHW) Drop Off Area. The project also includes landscaping, grading, paving, utility and site improvements to the adjacent property and building additions. The project is more particularly described in the plans, drawings and related documents and reports that are available for viewing in the offices of the Public Works/Operations Division of said plans and documents. Please contact the "Corporation Contact" listed on page 11 to arrange for viewing. The project description may be revised based on changes to said plans/documents. SCOPE OF WORK The CMC contract will take the form of a "Construction Manager as Owner's Representative" contract. It is NOT a design-build, guaranteed maximum price or General Contractor/Construction Manager (GC/CM) contract. It is the City's intent to bid the specialty contractor work in multiple bid packages plus various furniture, fixtures, and equipment (FF&E) procurement and installation .packages. All bid packages will be publicly bid, in accordance with City Charter and other applicable laws, by the CMC and the CITY of Chula Vista. Page z~ of 11 Notes: 1) Design of the Corporation Yard project has already been completed. The following Pre-Design and Design Phases tasks will not be required for said project, but may be needed on other potential projects. Future projects could include the new Police Department Facility, Civic Center Expansion, new fire stations, parks/recreation facilities, and other projects. 2) All software used in the preparation and/or implementation of any task performed in association with this RFQ and future contracts shall be compatible with software used by the CITY. 3) "Value Engineering" analysis will be required in the implementation of some of the tasks listed under the different phases outlined below. The scope of work includes, but is not limited to, the following: _Pre-Desian fProarammina) Phase [not required for CorDoration Yard Proiectl: · Prepare construction management plan. · Prepare master schedule. · Prepare phased milestone schedule. · Prepare project and construction budget; prepare cost-loaded schedule; establish construction-funding phases. · Estimate cost of various design and construction alternatives, · Establish project Management Information System (MIS). Desion Phase [not required for Corporation Yard Proiect]: · Prepare construction management plan and information management plan for approval of owner. · Conduct project conferences. · Establish/maintain construction management plan and MIS; coordinate information flow. · Conduct bi-weekly project meetings with Project Manager, Architect, Engineers and City representatives as needed. · Review design documents for constructability, scheduling, and time of construction; and clarity, consistency and coordination. · Expedite owner's design reviews, including modifications, if any, based on value analysis. · Coordinate approvals by regulatory agencies. · Prepare general conditions and supplemental conditions for specifications. · Prepare master CPM, or PERT or similar schedule. · Monitor design phase milestone schedule. · Prepare pre-bid construction schedule. · Prepare project and construction budget. Page 5 ef 11 " · Estimate construction costs (updated monthly); prepare cost-loaded schedules; revise and refine construction/funding phases. · Undertake Value Engineering analysis. Prepare report with recommendations to Cl ~'TY. Bid and Award Phases: · Prepare and place notices and advertisements, · Expedite delivery of bid documents. · Conduct pre-bid conference. · Communicate pre-bid construction schedule to bidders. · Review and coordinate addenda. · Estimate costs of addenda. · Conduct public bid opening and evaluation. · Conduct post-bid conference. · Assemble, deliver and execute contract documents. · Update master schedule monthly. · Analyze bids and recommend award. · Prepare schedule reports on a monthly basis and alert within two days, · Update project cost reports monthly, · Finalize Phase Funding plan(s). Construction Phase: · Control move-on activities including, but not limited to, union/nonunion access, stor_age,__park!ng! te_mporary_electri ~cal, wa'~er and dust control/erosion activities. · Conduct pre-construction conference. · Verify permits, bonds and !nsurance. · Provide continuous on-site management personnel; establish construction phase communication procedures. · Establish construction administration procedures. · Log, coordinate and review requests for information, shop drawings, samples and other submittals. · Conduct project site meetings. · Coordinate independent consultants and CITY forces (e.g., testing and inspection). · Establish and implement change order control system. · Document changes due to unforeseen circumstances and recommend appropriate action. · Establish and implement quality control program. Specifically, insure that work conforms to requirements of contract documents. · Render decisions concerning disputes between contractors and CITY. · Collect and transmit operation and maintenance manuals, warranties and guarantees from contractors/suppliers. · Determine substantial completion for monthly payment. · Prepare punch list. Page 6. of 11 1o-/ · Determine final completion and payment. · Review contractor construction schedules. · Update master schedule. · Review progress of construction; prepare monthly construction schedule reports. · Prepare/recommend change orders. · Determine effect of change orders on schedule. · Require contractors to prepare recovew schedule, as needed. · With each contractor, determine schedule of values. · Allocate cost to construction schedule of values. · Estimate cost of change orders and recommend action by City. · Maintain cost records for construction change authorizations. · Prepare trade-off studies. · Review and coordinate payment applications. · Prepare scheduled maintenance reports. · Update project cost reports monthly. · Revise project and construction budgets. · Prepare cash flow reports monthly. · Prepare progress payment reports. · Prepare change order reports. · Coordinate as-built drawings and surveys of construction site (by other consultants). · Coordinate procurement, storage, maintenance and installation of furniture, fixtures and equipment (FF&E), materials and supplies. Post-Construction Phase: · Coordinate and expedite record drawings and specifications. · Compile operations and. maintenance manuals, warranties/ guarantees, and certificates. · Obtain occupancy permit; coordinate final testing, documentation, and governmental inspections. · Coordinate change orders. · Prepare final accounting and close out reports. · Prepare occupancy plan reports. ADDITIONAL CMC AND/OR SUBCONTRACTOR OPPORTUNITIES The CMC may be calJed upon to retain subcontractors in order to perform additional work, AdditionaI work opportunities include: · Space planning, programming and organization/reorganization · Architectural services · Remodeling work for existing buildings or office space · Cost estimating, Scheduling, and Value Engineering analysis Page 7 ~)f 11 /0- I? Such workJservices will be awarded in the same manner as described in section 1, Introduction/Request for Qualification (RFQ). PUBLIC DISCLOSURE Under the California Public Records Act (California Government Code Section 6250 et seq.) records in the custody of a public entity generally have to be disclosed unless the information being sought falls into one or more of the exemptions to disclosure set out in Government Code Sections 6254 through 6255. The cover letter of your submittal should contain a paragraph that states whether or not your team believes that its submittal does or does not contain information that falls into one of the exemptions of Government Code Sections 6254 through 6255 and whether or not your team considers such information to be confidential. In the absence of a declaration, CITY may be obligated to disclose your submittal to any par~y that requests it. Regardless of assertions of confidentiality, submittal contents may still be disclosed if City, or a court with jurisdiction, determines that such submittal is a public record requiring disclosure. SUBMITTAL FORMAT AND CONTENT All respondents are required to follow the format specified below. The content of the submittal must be clear, concise, and compiete. Each section of the submittal shall be tabbed according to the numbering system shown below to aid in expedient information retrieval (NOTE: Respondents shall base their submittals on the "Scope of Work"). Ten (10) copies of the submittal shall be delivered no later than 5:00 P.M. on May 12, 2000, to: City of Chula Vista PubIic Works Department/Engineering Division _ Project Design and Management 276 Fourth Avenue Chula Vista, CA 91910 Attention: Mr. Samir M. Nuhaily, Senior Civil Engineer Copies received by FAX are not acceptable Submittal Cover Include the RFQ's title and submittal due date, the name, address, fax number, and the telephone number of principal firm (or firms if there is a joint venture or association). Table of Contents Include a complete and clear listing of headings and pages to allow easy reference to key information. Co___ver Letter - The cover letter should be brief (two pages maximum). Describe how the delivery of services will be provided to CITY, including the location of the firm's offices and the response time to CITY's requests. Describe those conditions, constraints, or problems that are unique to the scope of work that may adversely affect either the cost or work progress; identify the team members (i.e., joint partners and sub-consultants); and include the title and signature of the firm's contact person for this procurement. If the firm is Page 8 of 11 proposing to co-respond with another principal firm, the cover letter must specify the type of services to be provided by each firm and the proposed percentage allocated to that phase or function of the service. Include a paragraph pertaining to the requirements of the California Public Records Act (see "Public Disclosure", above). Any changes to the CITY's requested format or deletions of requested materials should be explained in the cover letter. The signatory shall be a person with official authority to bind the company. II. Methods and Strateaic Plan - Describe in detail your methods and plan for carrying out the Scope of Work. Qualifications and Exoeri~nce - This section shall contain the following: A description of the applicant's experience in providing Construction Management/Constructor services for public entities and/or the private sector. Experiences in the past three years specifically related to the scope of work shall be listed consecutively with the awarding and completion dates noted. Each listed experience shall include the name(s) and telephone number(s) of the firm's project manager and the client's project manager. When listing team members or sub-consultants describe the listed experience and the exact tasks that each firm performed. For similar projects, please list the total cost of each project along with the total cost of overruns/change orders for such project. IV. List of Prelect Personnel - This list should include the identification of the contact person with primary responsibility for this project, other project personnel, including partners and/or sub-consultants, and their individual areas of responsibility. The persons listed will be considered as committed to the project. A resume for each professional and technical person assigned to the project, including partners and/or sub-consultants, shall be submitted. The resumes shall include at least two references from previous assignments. Once the contract is awarded, no changes in key personnel will be allowed without written approval of the City. _ . V Oroanizational ChaR - An organization~al chart contai_n!ng the names of all. key personnel, joint venture partners, and sub-consultants with titles and their specific task assignment for this project shall be provided in this section. VI. Other Informati_on - This section shall contain all other pertinent information regarding this procurement in the following order: A. Description of insurance coverage for prime respondent and co-venture partner(s) (types of coverage and policy limits, deductible, exclusions, and outstanding claims). B. Description of in-house resources for prime respondent and co-venture partner(s) (i.e., computer capabilities, software applications, modem protocol, and modeling programs, etc.). C. Respondents should provide, on a strictly confidential basis, the following information: 1) Audited financial statements for the last three years 2) List of projects completed in the last year 3) List of projects currently under development, or construction with status, development schedule and financial commitment Page ~.of 11 '.. 4) List of projects currently involved in litigation or unresolved claims for the contractor VII. Schedule of Rates - The respondent shall provide a Schedule of Rates for the principal firm (or firms if there is a joint venture or association). The schedule of rates shall consist of a list of project staff by title (not name) with maximum hourly billing rates. All Direct costs, handling charges and profit/overhead shall be included in the hourly billing rates provided. Any proposed reimbursable expenses should also be listed. If the respondent prefers a particular compensation structure (e.g. time and materials not to exceed, lump sum, percentage of project costs, etc.) this should be indicated. SUBMI'I-I'AL SCHEDULE The solicitation receipt and evaluation of submittals and the selection of the provider of consultant services will conform to the following schedule (Note: Dates are subject to change): · Distribution/Advertisement- April 17, 2000 · Pre-Submittal Conference- Apri~ 27, 2000 · Submittal of Qualifications Deadline - May 12, 2000 · Submittal Review - May 15 throuqh May 19, 2000 · Interview- Week of May 22, 2000 · Contract Negotiation - Week of May 29, 2000 · City Council Approval - June 20, 2000 · Notice to Proceed - June 26, 2000 SUBMITTAL SELECTION PROCESS Staff will prepare a shod list of respondents. Short listed respondents will be requested to provide additional information on their proposed approach to the project in advance of the interviews. The finalists will be ranked and staff will negotiate with the top ranked firm or, if those negotiations fail, with the second-ranked firm, and so forth. Following completion of successful negotiations, a CIVIC Priority List will be developed as stated in this RFQ's introduction. SUBMITTAL EVALUATION CRITERIA Submi~als received by CITY will be evaluated according to the criteria listed below: · Conformance to the specified RFQ format; · Organization, presentation, and content of the submittal; · Specialized experience and technical competence of the firm(s), (including principal firms, joint venture-partners, and sub-consultants) considering the types of service required; the complexity of the project; record of performance; and the strength of the key personnel who will be dedicated to the project; · Proposed methods and overall strategic plan to accomplish the work in a timely and competent manner; · Knowledge and understanding of the local environment and a local presence for interfacing with the CITY; Page 10 of 1 '1 · Financial resources and stability of the principal consultant and/or a consultant team; · Ability to meet the insurance requirements unless CITY, at its sole discretion, decides to modify or waive the insurance requirements or elects to provide project insurance; · Competitive rates. CONTRACT TERMS AND CONDITIONS Issuance of this RFQ does not commit CITY to award a contract, or to pay any costs incurred in the preparation of a response to this request. CITY retains the right to reject any or all submittals. All respondents should note that the execution of any contract pursuant to this RFQ is dependent upon the approval of the Chula Vista City Council in its sole discretion. Selection is also dependent upon the negotiation of a mutually acceptable contract with the successful respondent. The contract shall be prepared on a form acceptable to the CITY. The form of compensation shall be negotiated. The CITY reserves the right to propose a variety of compensation structures, including: 1 ) time and materials not to exceed, 2) guaranteed lump sum, and 3) a percentage of project costs. Each submittal shall be valid for not less than one hundred and twenty (120) days from the date of receipt. The firm(s) selected to perform the work described in this RFQ will be required to provide evidence of Commercial General Liability insurance with combined single limits, "occurrence" form of not less than $2 million including Business Auto Liability to be placed with an insurer licensed to do business in the State of California with an A M Best's Rating of A-V or better insuring against all liability of the City of Chula Vista, selected consultant, its subcontractor(s), and its authorized representatives, arising out of, or in connection with, the performance of work under the contract with CITY. Professional liability insurance shall be required of said firm in the minimum amount of $1 million, and Workers' Compensation with limits as required by the Labor Code of the State of California. Said insurance shall be provided at the sole cost and expense of the firm selected, -unless the requirementis modified or waltzed t~y the CITY:CITY reserves the~-ight to increase the professional liability insurance (errors and omissions insurance) or to substitute project insurance during contract negotiations. CORPORATION CONTACT The CITY looks forward to receiving a submittal from you. If you have any questions regarding this RFQ, please contact: Mr. Samir M. Nuhaily, Senior Civil Engineer City of Chula Vista Public Works Department/Engineering Division Project Design and Management 276 Fourth Avenue , Chuia Vista, CA 91910 (619) 691-5259 Note: Incomplete submittals, incorrect information, or late submittals may be cause for immediate disqualification. H:~S HARED~ENGINEER\CMC RFQ.r/f Page 1~1 of, 11 - AGREEMENT BETWEEN CITY OF CHULA VISTA AND HIGHLAND PARTNERSHIP, INC, FOR POLICE FACILITY AND CIVIC CENTER MASTER PLANNING This agreement ("Agreement"), dated for the purposes of reference only, and effective as of the date last executed unless another date is otherwise specified in Exhibit A, Paragraph 1 is between the City-related entity as is indicated on Exhibit A, paragraph 2, as such ("City"), whose business form is set forth on Exhibit A, paragraph 3, and the entity indicated on the attached Exhibit A, paragraph 4, as Consultant, whose business form is set forth on Exhibit A, paragraph 5, and whose place of business and telephone numbers are set forth on Exhibit A, paragraph 6 ("Consultant"), and is made with reference to the following facts: RECITALS WHEREAS, City issued a Request for Qualifications ("RFQ") on April 17, 2000 for Construction Management/Constructor Services ("CMC"); and WHEREAS, City conducted interviews and on June 20, 2000 created the CMC Priority List~ and WHEREAS, the guidelines established for the use of the CMC Priority List provide the City with the ability to award facility construction projects and facility master planning/programming projects from a list of pre-qualified construction/ development/planning teams; and WHEREAS, City conducted additional interviews with three of the firms on the CMC Priority List for Police Facility/Civic Center master planning; and WHEREAS, Consultant was unanimously selected by staff as the highest rated overall respondent to perform the desired master planning/programming of facilities; and WHEREAS, Consultant is motivated to perform satisfactorily as the City is authorized to award additional projects directly off the Priority List; and WHEREAS, the additional projects may include the construction of facilities called for in the master planning/programming documents Consultant will be preparing pursuant to this Agreement; and WHEREAS, Consultant warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Consultant to City within the time frames herein provided all in accordance with the terms and conditions of this Agreement; (End of Recitals. Next Page starts Obligatory Provisions.) Obligatory Provisions Pages NOW, THEREFORE, BE IT RESOLVED that the City and Consultant do hereby mutually agree as follows: 1. Consultant's Duties A. General Duties Consultant shall perform all of the services described on the attached Exhibit A, Paragraph 7, entitled "General Duties"; and, B. Scope of Work and Schedule In the process of performing and delivering said "General Duties", Consultant shall also perform all of the services described in Exhibit A, Paragraph 8, entitled" Scope of Work and Schedule", not inconsistent with the General Duties, according to, and within the time frames set forth in Exhibit A, Paragraph 8, and deliver to City such Deliverables as are identified in Exhibit A, Paragraph 8, within the time frames set forth therein, time being of the essence of this agreement. The General Duties and the work and deliverables required in the Scope of Work and Schedule shall be herein referred to as the "Defined Services". Failure to complete the Defined Services by the times indicated does not, except at the option of the City, operate to terminate this Agreement. C. Reductions in Scope of Work City may independently, or upon request from Consultant, from time to time reduce the Defined Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. D. Additional Services In addition to performing the Defined Services herein set forth, City may require Consultant to perform additional consulting services related to the Defined Services ("Additional Services"), and upon doing so in writing, if they are within the scope of services offered by Consultant, Consultant shall perform same oB a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 11 (C), unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed. E. Standard of Care Consultant, in performing any Services under this agreement, whether Defined Services or Additional Services, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. F. Insurance Consultant represents that it and its agents, staff and subconsultants employed by it in connection with the Services required to be rendered, are protected against the risk of loss by the following insurance coverages, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have a Best's Rating of "A, Class V" or better, or shall meet with the approval of the City: Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 9. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 9, combined single limit applied separately to each project away from premises owned or rented by Consultant, which names City as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City in the same manner as members of the general public ("Cross-liability Coverage"). Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 9, unless Errors and Omissions coverage is included in the General Liability policy. G. Proof of Insurance Coverage. (1) Certificates of Insurance. Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates of Insurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured. (2) Policy Endorsements Required. In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General Liability Insurance Policy, Consultant shall deliver a policy endorsement to the City 4 demonstrating same, which shall be reviewed and approved by the Risk Manager. H. Security for Performance. (1) Performance Bond. In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shall provide to the City a performance bond by a surety and in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Paragraph 19, Exhibit A. (2) Letter of Credit. In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit"), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at their unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The letter of credit shall be issued by a bank, and be in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Letter of Credit", in said Paragraph 19, Exhibit A. (3) Other Security In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in a form and amount satisfactory to the Risk Manager or City Attorney. I. Business License Consultant agrees to obtain a business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code. 2. Duties of the City A. Consultation and Cooperation City shall regularly consult the Consultant for the purpose of reviewing the progress of the Defined Services and Schedule therein contained, and to provide direction and guidance to achieve the objectives of this agreement. The City shall permit access to its office facilities, files and records by Consultant throughout the term of the agreement. In addition thereto, City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 10, and with the further understanding that delay in the provision of these materials beyond 30 days after authorization to proceed, shall constitute a basis for the justifiable delay in the Consultant's performance of this agreement. B. Compensation Upon receipt of a properly prepared billing from Consultant submitted to the City periodically as indicated in Exhibit A, Paragraph 18, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 18, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth in Exhibit A, Paragraph 11, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in paragraph 19 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph 12. Ail billings submitted by Consultant shall contain sufficient information as to the propriety of the billing to permit the City to evaluate that the amount due and payable thereunder is proper, and shall specifically contain the City's account number indicated on Exhibit A, Paragraph 18 (C) to be charged upon making such payment. 3. Administration of Contract Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 13, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement. 4. Term. This Agreement shall terminate when the Parties have complied with all executory provisions hereof. 5. Liquidated Damages The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 14. It is acknowledged by both parties that time is of the essence in the completion of this Agreement. It is difficult to estimate 6 the amount of damages resulting from delay in performance. The parties have used their judgment to arrive at a reasonable amount to compensate for delay. Failure to complete the Defined Services within the allotted time period specified in this Agreement shall result in the following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragraph 14 ("Liquidated Damages Rate"). Time extensions for delays beyond the consultant's control, other than delays caused by the City, shall be requested in writing to the City's Contract Administrator, or designee, prior to the expiration of the specified time. Extensions of time, when granted, will be based upon the effect of delays to the work and will not be granted for delays to minor portions of work unless it can be shown that such delays did or will delay the progress of the work. 6. Financial Interests of Consultant A. Consultant is Designated as an FPPC Filer. If Consultant is designated on Exhibit A, Paragraph 15, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 15 of Exhibit A, or if none are specified, then as determined by the City Attorney. B. Decline to Participate. Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. C. Search to Determine Economic Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this agreement. 7 D. Promise Not to Acquire Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act. E. Duty to Advise of Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney of City if Consultant learns of an economic interest of Consultant's which may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder. F. Specific Warranties Against Economic Interests. Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defined Services, ("Prohibited Interest"), other than as listed in Exhibit A, Paragraph 15. Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for 12 months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement, except with the written permission of City. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilities under this Agreement, except with the written permission of City. 7. Hold Harmless Consultant shall defend, indemnify, protect and hold harmless the city, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense 8 (including without limitation attorneys' fees) arising out of the conduct of the Consultant, or any agent or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful misconduct of the City, its officers, or employees. Consultant's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Consultant at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees. Consultants' indemnification of City shall not be limited by any prior or subsequent declaration by the Consultant. 8. Termination of Agreement for Cause If, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consultant's obligations under this Agreement, or if Consultant shall violate any of the covenants, agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all finished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepared by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused City by Consultant's breach. 9. Errors and Omissions In the event that the City Administrator determines that the Consultants' negligence, errors, or omissions in the performance of work under this Agreement has resulted in expense to City greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City. Nothing herein is intended to limit City's rights under other provisions of this agreement. 10. Termination of Agreement for Convenience of City City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreement is 9 terminated by City as provided in this paragraph, Consultant shall be entitled to receive just. and equitable compensation for any satisfactory work completed on such documents and other materials to the effective date of such termination. Consultant hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein. 11. Assignability The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or novation), without prior written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants identified thereat as "Permitted Subconsultants". 12. Ownership, Publication, Reproduction and Use of Material All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced under this Agreement shall be the sole and exclusive property of City. No such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City. City shall have unrestricted authority to publish, disclose (except as may be limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such reports, studies, data, statistics, forms or other materials or properties produced under this Agreement. 13. Independent Contractor City is interested only in the results obtained and Consultant shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products. Consultant and any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, an independent contractor and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Therefore, City will not withhold state or federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regard thereto. 10 14. Administrative Claims Requirements and Procedures No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the city in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City, Consultant shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement. 15. Attorney's Fees Should a dispute arising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. 16. Statement of Costs In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in said report or document, a statement of the numbers and cost in dollar amounts of all contracts and subcontracts relating to the preparation of the report or document. 17. Miscellaneous A. Consultant not authorized to Represent City Unless specifically authorized in writing by City, Consultant shall have no authority to act as City's agent to bind City to any contractual agreements whatsoever. B. Consultant is Real Estate Broker and/or Salesman If the box on Exhibit A, Paragraph 16 is marked, the Consultant and/or their principals is/are licensed with the State of California or some other state as a licensed real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor their principals are licensed real estate brokers or salespersons. 11 IO' C. Notices All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. Ail notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified herein as the places of business for each of the designated parties. D. Entire Agreement This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. E. Capacity of Parties Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. F. Governing Law/Venue This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista. [end of page. next page is signature page.] 12 SIGNATURE PAGE TO AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND HIGHLAND PARTNERSHIP, INC. FOR POLICE FACILITY AND CIVIC CENTER MASTER PLANNING IN WITNESS WHEREOF, City and Consultant have executed this Agreement thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: Dated: , 2000 City of Chula Vista By: Shirley Horton, Mayor Attest: Susan Bigelow, City Clerk Approved as to form: John/~. Kaheny, ~ity Attorney Dated: HIGHLAND PARTNERSHIP, INC. By: ~ r~' David Gardner, Sr. ~/Principal Exhibit List to Agreement (X) Exhibit Ao 13 Exhibit A to Agreement between City of Chula Vista and Highland Partnership, Inc. 1. Effective Date of Agreement: August 1, 2000 2. City-Related Entity: (X) City of Chula Vista, a municipal chartered corporation of the State of California ( ) Redevelopment Agency of the City of Chula Vista, a political subdivision of the State of California ( ) Industrial Development Authority of the City of Chula vista, a ( ) Other: , a [insert business form] ("City") 3. Place of Business for City: City of Chula Vista, 276 Fourth Avenue, Chula Vista, CA 91910 4. Consultant: J. David Gardner, Sr. Ian Gill Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: Highland Partnership, Inc. 285 Bay Blvd. Chula Vista, CA 91910 Voice Phone (619) 498-2900 Fax Phone (619) 498-2970 14 7. General Duties: Consultant shall develop a facility master plan for the Civic Center Campus and ancillary facilities with the goal of addressing the short, mid and long-term space planning needs of the City and the siting and programming of a new police facility. The Civic Center Campus and ancillary facilities include the Mercy Building, City Hall, Public Services Building, E1 Dorado Building, Legislative Services Building, Community Development Building, the existing Public Works Corporation Yard, Police Headquarters, Friendship Park and additional sites as may be purchased or identified by City ("Civic Center"). Consultant's duties on the Police Facility shall include site evaluation, conceptual planning, phasing, and budget development. Upon conclusion of duties, Consultant shall provide master implementation plans for the Civic Center in accordance with industry standards and the Police Facility. These documents shall contain sufficient information and detail to allow the City at its discretion to bid the design and construction of the facilities called for in each plan under either a Design/Construction Manager or Design-Build project delivery system. 8. Scope of Work and Schedule: A. Detailed Scope of Work: Attached as Attachment 1 incorporated herein B. Date for Commencement of Consultant Services: (X) Same as Effective Date of Agreement ( ) Other: C. Date for completion of all Consultant services: December 31, 2000 or acceptance of all work product by City, whichever occurs last 9. Insurance Requirements: (X) Statutory Worker's Compensation Insurance ( ) Employer's Liability Insurance coverage: $1,000,000. (X) Commercial General Liability Insurance: $1,000,000. ( ) Errors and Omissions insurance: None Required (included in Commercial General Liability coverage). (X) Errors and Omissions Insurance: $250,000 (not included in Commercial General Liability coverage). 15 iu 10. Materials Required to be Supplied by City to Consultant: All documents referenced in Attachment 1 which City has possession of. 11. Compensation: A. (X) Single Fixed Fee Arrangement. For performance of all of the Defined Services by Consultant as herein required, City shall pay a single fixed fee in the amounts and at the times or milestones or for the Deliverables set forth in Attachment 2: Single Fixed Fee Amount: $547,646, payable as follows: Milestone or Event or Deliverable Amount or Percent of Fixed Fee (X) 1. Interim Monthly Advances. The City shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at the end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans which must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive credit against the compensation due for that phase. The retention amount or percentage set forth in Paragraph 19 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase. Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the Contracts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Contractor shall have represented in writing that said percentage of completion of the phase has been performed by the Contractor. The practice of making interim monthly advances shall not convert this agreement to a time and materials basis of payment. 16 B. ( ) Phased Fixed Fee Arrangement. For the performance of each phase or portion of the Defined Services by Consultant as are separately identified below, City shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones or Deliverables set forth. Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless City shall have issued a notice to proceed to Consultant as to said Phase. Phase Fee for Said Phase 1. $ 2. $ 3. $ ) 1. Interim Monthly Advances. The City shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at the end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans which must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive credit against the compensation due for that phase. The retention amount or percentage set forth in Paragraph 19 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase. Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the Contracts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Contractor shall have represented in writing that said percentage of completion of the phase has been performed by the Contractor. The practice of making interim monthly advances shall not convert this agreement to a time and materials basis of payment. C. ( ) Hourly Rate Arrangement 17 For performance of the Defined Services by Consultant as herein required, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule hereinbelow according to the following terms and conditions: (1) ( ) Not-to-Exceed Limitation on Time and Materials Arrangement Notwithstanding the expenditure by Consultant of time and materials in excess of said Maximum Compensation amount, Consultant agrees that Consultant will perform all of the Defined Services herein required of Consultant for $ including all Materials, and other "reimbursables" ("Maximum Compensation"). (2 ( ) Limitation without Further Authorization on Time and Materials Arrangement At such time as Consultant shall have incurred time and materials equal to ("Authorization Limit"), Consultant shall not be entitled to any additional compensation without further authorization issued in writing and approved by the City. Nothing herein shall preclude Consultant from providing additional Services at Consultant's own cost and expense. Rate Schedule Category of Employee Hourly of Consultant Name Rate ) Hourly rates may increase by 6% for services rendered after [month], 19 , if delay in providing services is caused by City. 12. Materials Reimbursement Arrangement 18 For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: (X) None, the compensation includes all costs. Cost or Rate Reports, not to exceed $ : Copies, not to exceed $ : Travel, not to exceed $ : Printing, not to exceed $ : Postage, not to exceed $ : Delivery, not to exceed $ : Long Distance Telephone Charges, not to exceed $ Other Actual Identifiable Direct Costs: , not to exceed $ : not to exceed $ : 13. Contract Administrators: City: Sid Morris Assistant City Manager City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 (619) 691-5031 Consultant: J. David Gardner Principal Highland Partnership, Inc. 285 Bay Blvd. Chula Vista, CA 91910 (619) 498-2900 14. Liquidated Damages Rate: N/A ( ) $__ per day. ( ) Other: 15. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: (X) Not Applicable. Not an FPPC Filer. ) FPPC Filer ( ) Category No. 1. Investments and sources of income. ( ) Category No. 2. Interests in real property. 19 /o-31 Category No. 3. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. Category No. 4. Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property. Category'No. 5. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the City of Chula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. Category No. 6. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the designated employee's department to provide services, supplies, materials, machinery or equipment. Category No. 7. Business positions. ( X List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 285 Bay Blvd., Chula Vista, CA 91910 16. ( ) Consultant is Real Estate Broker and/or Salesman 17. Permitted Subconsultants RNL Designs Carrier Johnson KMA Architects Manuel Oncina McClaren Wilson and Lawrie Wallace, Roberts and Todd Parterre MNA Consulting Project Design Consultants 18. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly ( ) Quarterly 20 ( ) Other: B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month (X) 15th Day of each Month ( ) End of the Month ( ) Other: C. City's Account Number: 19. Security for Performance ) Performance Bond, $ ) Letter of Credit, $ ) Other Security: Type: Amount: $ (X) Retention. If this space is checked, then notwithstanding other provisions to the contrary requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option, either the following "Retention Percentage" or "Retention Amount" until the City determines that the Retention Release Event, listed below, has occurred: (X) Retention Percentage: 10% ( ) Retention Amount: $ Retention Release Event: ( ) Completion of All Consultant Services (X) Other: Acceptance of final report on each facility by City H: [Home ~At torney\Agree[CivicCent er. PD 21 ATTACHMENT 1 DETAILED SCOPE OF WORK 1. POLICE HEADQUARTERS NEEDS ANALYSIS / PROGRAMMING Consultants work on the Space Needs Study will be divided into three steps: Data Gathering, Data Synthesis, and Documentation and Presentation. All data collected or conveyed during the Space Needs Study shall be communicated to the City through the Contract Administrator. Step 1: Data Gatherinq: (30 days) During data gathering Consultant will seek to obtain applicable data (from written reports and staff interviews) for analysis during the Data Synthesis step. Tasks 1.1 Consultant shall review existing information provided by the City, including but not limited to the Police Facility Master Plan dated July 1998 and any revisions to that plan, previous studies and reports, existing drawings, annual reports, demographic statistics, Calls-For-Service, crime trends, and other pertinent information. 1.2 Consultant shall create and distribute questionnaires for City staff to complete prior to the beginning of on-site interviews. The intent is that these questionnaires will stimulate staffs' thoughts about a new facility (prior to Consultant conducting interviews). Consultant shall prepare and provide to City staff a summary of questionnaire responses. 1.3 Consultant shall begin the on-site interviews with a kick-off meeting. This meeting will have the primary objectives of clarifying lines of communication and decision making, establishing the project schedule, and indentifying the individuals who will be participating in the process. At this meeting, Consultant shall propose a comprehensive set of Space Standards to be used throughout the Study. The Space Standards proposed by Consultant shall be based upon and consistent with or compatible with the existing City Space Standards. Consultant shall also identify key issues to be addressed during the interview process. 1.4 Consultant shall conduct interviews with City as representatives and staff directed by the Contract Administrator. Interviews of approximately 1-2 hours will be held with each of the key people identified by Contract Administrator. 1.5 As part of the interviews, Consultant shall discuss and address the City's current operations and identify areas of particular concern to or needs of staff. These areas shall include, but are not limited to an assessment of feasibility of including the following items at or near the new facility: detention cells, a 10 position indoor firing range, car wash, fuel pump stations and sufficient space to allow the leasing of space to outside agencies and/or future growth. 1.6 Consultant shall tour existing facility as needed to understand operations, needs, concerns and constraints to be addressed in the next facility. 1.7 Consultant shall develop space needs program for the Police Department which will program the long term needs of the Department. The space needs program shall address the needs of the department over the next 50 years. The space needs program will address current and projected staff and support space needs, conferencing needs, public access and visitor requirements, parking requirements, departmental relationships, and building and site planning issues. Deliverables · Kickoff meeting · Questionnaires submitted for City Approval · Questionnaires circulated to City staff · Questionnaires reviewed and summarized · Interviews conducted with designated City personnel Step 2: Data Synthesis: (30 Days) During Data Synthesis Consultant will utilize the data assembled during Data Gathering to prepare an initial set of spread sheets to itemize space and site needs. Tasks 1.8 Consultant shall assemble a series of itemized space and site spread sheets. 1.9 Upon completion of the initial spread sheets, Consultant shall conduct a series of follow-up staff interviews and meetings to review, confirm, and refine this data to the satisfaction of the Contract Administrator. 1.10 Consultant shall submit a growth factor to the Contract Administrator for approval and incorporation into the spread sheets. 1.11 Consultant shall work with City Purchasing Agent to develop workstation standards for implementation that shall be consistent with or compatible with those standards adopted and utilized at other City facilities. Consultant shall review the standards with the Contract Administrator for final approval. 1.12 Consultant shall, if requested by City, prepare materials for and participate in up to three (3) Public Forums to solicit input from citizens in the Needs Analysis/Programming process of the Police Facility. 1.13 Consultant shall conduct review sessions with City staff to present and seek approval of the space needs program for each department. 1.14 Consultant shall begin written documentation for "key" sections of the space needs study. This includes space and site design guidelines and security guidelines. Deliverables · Space and Site needs spreadsheet. · Draft of "Key" Sections · Staff Interviews Step 3:Documentation:(30 Days) During this step Consultant shall prepare the written documentation of the Space Needs Study resulting in both a draft and final document. Consultant shall develop a (non-site specific) project budget. Tasks 1.15 Consultant shall prepare and submit for review a draft space needs document. At this time it is contemplated that this draft document will include the following sections: · Preface · Goals and Methodology · Site Guidelines · Designer Guidelines · Trends and Influences · Adjacency Diagrams · Illustrated Space Standards · Square Footage Projections 1.16 Consultant shall meet with City to review comments to the draft document. After comments on the draft document have been received from the City, Consultant shall make necessary corrections, add an Executive Summary, and prepare the final Space Needs Study. 1.17 Consultant and Subconsultants shall be available to participate in public meetings as requested by the Contract Administrator which shall include, but are not limited to, Public Forums, the Resource Conservation Committee, Design Review Committee, Planning Commission, and City Council. Deliverables · Consultant shall submit the draft Space Needs Study. · Consultant shall submit the final Space Needs Study. 2. DEVELOPMENT OF A COMPREHENSIVE SITE LOCATION ANALYSIS TO DETERMINE THE APPROPRIATE AREA AND SITE FOR, POLICE HEADQUARTERS. (90 DAYS) City Study (30 DAYS) Tasks 2.1 Consultant shall evaluate whether the existing Police Headquarters could remain in its current location and meet the needs of the City. 2.2 Consultant shall evaluate each region of the City, (North, South, East and West) and advise the City as to the best area for the City to locate Police Headquarters. Included in this study shall be an analysis of the impacts on the Downtown/3rd Avenue corridor if the Police Headquarters is moved from that general area. Specific Site Studies (90 DAYS) Tasks 2.3 Consultant shall coordinate with the City in the development of a comprehensive list of criteria to be utilized for the final site selection. 2.4 Consultant shall identify at least four sites within the selected region for further study. 2.5 Consultant shall meet with City to arrive at a consensus of four sites (Selected Potential Sites) to be studied in detail. 2.6 Consultant shall prepare site sketches for the Selected Potential Sites illustrating possible building "footprint" locations coupled with necessary staff and public parking requirements. This will define the extent of structured parking for each site. 2.7 Consultant shall prepare graphics for site plans and massing studies for each of the Selected Potential Sites. These massing studies will be used to see how the bulk of the proposed building will be accommodated on each site. 2.8 Consultant shall prepare budget studies for each of the Selected Potential Sites. 2.9 Consultant shall present site and massing deliverables for each of the Selected Potential Sites to City staff and at additional meetings as requested by Contract Administrator. 2.10 Consultant, in concert with City staff, shall determine a Final Selected Site to be recommended to City 2.11 Consultant shall work with City Staff to prepare an Initial Environmental Study and appropriate documentation and attend all necessary public hearings. Consultant shall prepare updates of any underlying studies necessary to analyze the environmental issues. Consultant shall prepare and submit application and pay filing fees. 2.12 Consultant shall conduct up to 3 Public Forums on site selection issues as requested by Contract Administrator. Deliverables · Regional Study · Comprehensive list of criteria for final site selection · Selected Potential Sites Meeting with City · Site sketches for the Selected Potential Sites · Massing studies for each of the Selected Potential Sites · Initial Environmental Study · Budget studies for each of the Selected Potential Sites · Graphics for site plans and massing studies for each of the Selected Potential Sites · Meetings with City to review Selected Potential Sites · Final Selected Site recommendation to City 3. CONCEPTUAL DESIGN FOR POLICE HEADQUARTERS (83 Days) Tasks 3.1 Consultant shall conduct design "charrettes" (Workshops) with CITY staff to compare up to three sample Sketched Floor Plan Options $.2 Consultant, in concert with City staff will determine a Final Floor Plan 3.3 Based on information derived from meetings with City staff, Consultant shall refine the Final Floor Plan and prepare CADD drafting. 3.4 Consultant shall prepare two major exterior architectural elevations of the Final Floor Plan 3.5 Consultant shall provide City with all documents necessary to proceed with a Design/Construction Manager or Design/Build project delivery system for the proposed Police Facility. Deliverables for the Final Selected Site: · Floor Plans · Site/Roof Plan · Two Major Architectural Elevations · Architectural Building Sections- Longitudinal and Latitudinal · 3 Vignettes- Hand Drawn "Architectural Illustrations" · Architectural Landscape Overlay (Colored) · Monochromatic Model · Mechanical / Electrical / Plumbing Single Line Drawings · Architectural Illustration / Rendering · Site and Project Specific Development Cost Off-site and on-site improvements Facility Cost - Hard and Soft (Incl. Value Engineering) FF&E Relocation Management Plan Discretionary and Ministerial Permits Development Impact and Permit Fees · Site and Project Specific Development Master Schedule Completion December 2002 Separate Funding/Disbursement Schedule Include Negative Declaration / Environmental Plan / CEQA · Construction Management Plan Implementation Plan for Design and Construction 4. CIVIC CENTER RENOVATION AND EXPANSION (100 DAYS) 10- 55' Consultant shall work closely with City staff to evaluate the existing status and conditions and develop a Facility Master Plan for the Civic Center Campus and ancillary facilities. This Master Plan for renovation and expansion of the Civic Center will address short and long term space needs and create a phasing and implementation plan including schematic design for the initial phase of improvements. These initial improvements and long term master plan are intended to coordinate with the surrounding community. Objectives To develop a Facility Master Plan for the Civic Center which will address the short term and long-term space needs of the City's administrative departments. · To develop space plans, concept and schematic designs of Civic Center improvements for the short term needs of the City's administrative departments. · To develop an implementation and phasing plan for the Master Plan. · To develop a project budget and schedule for the Master Plan. · To provide City with all documents necessary to proceed with a Design/Construction Manager or Design/Build project delivery system for the expansion of the Civic Center. Needs Assessment/Program for Civic Center Tasks 4.1 Consultant shall review existing information provided by the City of Chula Vista, including the 1989 Master Plan and 1997 Update, previous studies and reports, existing drawings and as-built information for each building, site information, lease information, and other pertinent information. 4.2 Consultant shall conduct a kick-off meeting with the City staff. This meeting will have the primary objectives of clarifying lines of communication and decision making, establishing the project schedule, and identifying the individuals who will be participating in the process. 4.3 Consultant shall develop questionnaires to be completed by each department included in the Civic Center Master Plan. Questionnaires shall be distributed prior to the interview process. Consultant shall prepare and provide to City staff a summary of questionnaire responses. 4.4 Consultant shall inventory existing space utilization for each department included in the Civic Center Master Plan. Inventory will include current occupancy by department including staff and support space. Gross square footage and net useable square footage will be calculated for all key buildings. 4.5 Consultant shall create a base map indicating the current locations of all key facilities (and departments) to be included in the study. 4.6 Consultant shall conduct 1-2 hour individual interviews with department heads and other key staff as identified by Contract Administrator to determine current and projected staff and support space needs. Included in this interview will be a discussion of workstation standards and space requirements by job function. Consultant shall propose Space Standards which are consistent with or compatible with existing City Space Standards. Interviews will focus on the short and long terms needs of each group/department. 4.7 Consultant shall conduct walk-through tours of existing spaces with each department and inventory support space needs. 4.8 Consultant shall work with City Purchasing Agent to develop workstation standards for implementation at all City facilities. Review work station and Space Standards with the Contract Administrator for final approval. 4.9 Consultant shall develop space needs program for each department included in the Civic Center Master Plan which will include short and long term needs. The space needs program will address current and projected staff and support space needs, conferencing needs, public access and visitor requirements, parking requirements, affinity relationships, and similar building and site planning issues. 4.10 Consultant shall conduct review session with City Staff to present and approve the space needs program for each department. 4.11 Consultant shall develop final facility program document and make presentations as requested by Contract Administrator. These presentations may include the Resource Conservation Committee, the Design Review Committee, Planning Commission and City Council. Deliverables · Kickoff Meeting · Programming questionnaires submitted to City for approval · Programming questionnaires circulated to staff · Programming questionaires reviewed and summary prepared for staff. · Base facility, department, and site location map. · Workstation Standards. · Draft Facility Needs Assessment/Program. · Final Facility NeedsAssessment/Program · Presentation Graphics Facility Assessment Tasks 4.12 Consultant shall conduct a preliminary facility assessment of the Civic Center buildings to determine the ability of the existing buildings to satisfy the short and long-term needs of the City. Existing civil, structural, mechanical and electrical systems will not be analyzed in detail until the final design phase for each expansion/improvement project. 4.13 Consultant shall conduct a preliminary code and environmental assessment of the existing buildings. 4.14 Consultant shall create CADD background drawings of buildings within the Civic Center. Deliverables · Facility assessment report. · Background CADD drawings of all buildings. Short Term Facility Needs Planninq Tasks 4.15 The short-term needs of various City departments will be addressed through space plans and concept building plans. Based on the space needs detailed in the Final Facility Program, facility inventory and assessments, space plans of various departments will be developed to address the immediate space needs at the Civic Center. Alternative layouts utilizing the workstation standards will be developed for presentation to the City. 4.16 Based on the City comments, Consultant shall develop for each department final space plans/building concept plans, including staff and support space needs. 9 4.17 Consultant shall develop conceptual building elevations, sections and outline specifications. In addition, a massing model will be prepared for the proposed building expansions. 4.18 Consultant shall develop for the short term plan a phasing and implementation plan, project schedule and budget. The project schedule shall include but not be limited to Completion by Phase, Separate Funding/Disbursement Schedule, and appropriate environmental review. The project budget shall include b. ut not be limited to Off-site and on-site improvements, Facility Cost - Hard and Soft (Incl. Value Engineering), FF&E, Relocation Management Plan, Discretionary and Ministerial Permits, and Development Impact and Agency Fees. Deliverables · Short Term Space Plans/Concept Building Plans · Conceptual Elevations, Sections, Outline Specifications, Massing Model · Phasing/Implementation Plan · Project Schedule/Budget Long Term Facility Needs Pianninq Tasks 4.19 Based on the space needs detailed in the Final Facility Program, Consultant shall develop facility inventory and assessments and alternative planning concepts to address the long term space needs of the Civic Center. Multiple concepts (3-4) will be developed for presentation to the City. 4.20 The alternatives shall focus on the facility assets and opportunities of the current Civic Center site and other City properties, as well as the surrounding area, as defined by the City. 4.21 Each master plan alternative shall address the phasing and implementation strategy necessary to accomplish the proposed plan. 4.22 The alternative master plan concepts shall be reviewed with the City. The alternatives shall be refined until the City has approved a final master plan approach. 4.23 Consultant shall document the preferred master plan alternative through site plan(s), building concept plans, landscape concept plan, concept building elevations and sections, renderings, and massing model. 4.24 Consultant shall develop for the long-term plan a phasing and implementation plan, project schedule and budget. The project schedule shall include but not be limited to completion by phase, separate funding/disbursement schedule, and appropriate environmental review. The project budget shall include but not be limited to off-site and on-site improvements, facility cost - Hard and Soft (Incl. Value Engineering), furniture, fixtures and equipment, relocation management plan, discretionary and ministerial permits, and development Impact and Agency Fees. Deliverables · Preliminary master plan alternatives. · Final Civic Center Master Plan. · Executive summary description of the Master Plan. · Site Plan(s), Conceptual Building Plans, Conceptual Building Elevations/Sections, Conceptual Landscape Plan, Massing Model · Phasing/Implementation Plan · Project Schedule/Budget · Project Specific Development Budget · Project Specific Development Master Schedule · Construction Management Plan Environmental Analysis Tasks 4.25 Prior to completion of the Civic Center Master Plan Consultant shall work with City Staff to prepare any appropriate environmental documentation 4.26 Prepare updates of any underlying studies necessary to analyze the environmental issues associated with the proposed sites. 4.27 Prepare and submit process application documentation and pay filing fees 5. PERIODIC REPORTING/GENERAL PROVISIONS Consultant shall work closely with City Staff to define and establish an appropriate Management Information System (MIS) to provide communication and timely reporting for the project. Tasks 5.1 Consultant shall meet with City to determine reporting needs i! 5.2 Consultant shall prepare a detailed Work Plan consistent with the project proposal submitted by Consultant and this Agreement which shall contain deadlines for those deliverables identified within this Agreement. This Work Plan upon approval by staff shall be incorporated into this Agreement arid shall be binding upon Consultant. 5.3 Consultant shall establish appropriate software, formats and schedules 5.4 Consultant shall implement Reporting System acceptable to City which provides City with readily accessible information on the progress of this project. 5.5 Numerous tasks within this Agreement require Consultant to meet with the City. Consultant agrees that Consultant shall meet with City as many times as reasonably requested by City without requesting a modification to the agreed upon compensation. Deliverables · Periodic reports to City Staff and others as directed by Contract Administrator. This may include reports or presentations to the Resource Conservation Committee, Design Review Committee, Planning Commission and City Council. · Creation of Report System ATTACHMENT 2 City of Chula Vista Police Headquarters and Civic Center PRE-DESIGN (PROGRAMMING) PHASE FIXED FEE - Earned as Listed Deliverables are Completed Highland Partnership, Inc. July 26, 2000 DESCRIPTION UNIT COST SUBTOTALS 1. POLICE HEADQUARTERS NEEDS ANALYSIS / PROGRAMMING Develop Space Needs Study Step 1 Data Gathering (30 Days) 14,990 Step 2 Data Synthesis (30 Days) 25,160 Step 3 Documentation (30 Days) 17,760 Subtotal 57,910 2. DEVELOPMENT OF A COMPREHENSIVE SITE LOCATION ANALYSIS TO DETERMINE THE APPROPRIATE AREA AND SITE FOR POLICE HEADQUARTERS. City Study (30 Days) Review Regional Areas $17,500 Comprehensive list of criteria for final site selection 6,200 Selected Potential Sites Meeting with CITY 3,700 Subtotal $27,400 Specific Site Studies (60 Days) Site sketches for the Selected Potential Sites 38,461 Graphics for site plans and Massing studies for each of the Selected Potential Sites 15,443 Initial Environmental Study 43,310 Budget studies for each of the Selected Potential Sites 9,600 Meetings with CITY to review Selected Potential Sites 2,400 Final Selected Site recommendation to CITY 4,800 Subtotal 114,014 3. CONCEPTUAL DESIGN FOR POLICE HEADQUARTERS (83 Days) Floor Plans 47,912 Site/Roof Plan 44,394 Two Major Architectural Elevations 28,894 Architectural Building Sections - Longitudinal and Latitudinal 9,831 Three Vignettes - Hand Drawn "Architectural Illustrations" 8,400 Architectural Landscape Color Overlay 8,100 Monochromatic Model 9,231 Mech/Elec/Plumbing Single Line Drawings 9,900 Outline Specifications 11,500 Architectural Illustration / Rendering 5,000 Site and Project Specific Development Cost 9,600 Project Specific Master Schedule 2,880 Construction Management and Implementation Plan 2,880 Subtotal 198,522 Highland Partnership, Inc. Page 1 of 2 City of Chula Vista Police Headquarters and Civic Center PRE-DESIGN (PROGRAMMING) PHASE FIXED FEE - Earned as Listed Deliverables are Completed Highland Partnership, Inc. Jul)' 26, 2000 DESCRIPTION UNIT COST SUBTOTALS 4. CIVIC CENTER RENOVATION AND EXPANSION (100 DAYS) Needs Assessment Kickoff Meeting 1,250 Programming questionnaires submitted to City for approval 750 Programming questionaires circulated to staff 960 Programming questionaires reviewed and summary prepared for staff. 960 Base facility, department, and site location map. 3,600 Workstation Standards. 3,380 Draft Facility Needs Assessment/Program. 4,800 Final Facility Needs Assessment/Program 6,000 Presentation Graphics 2,500 Subtotal 24,200 Facility Assessment Facility Assessment Report 1,500 Background CADD drawings of all buildings 3,500 Subtotal 5,000 Short Term Facility Needs Planning Short Term Space Plans/Concept Building Plans 17,500 Conceptual Elevations, Sections, Outline Specifications, Massing Model 29,800 Phasing/Implementation Plan 7,500 Project Schedule/Budget 9,600 Subtotal 64,400 Long Term Facility Needs Planning Preliminary master plan alternatives. 11,800 Final Civic Center Master Plan. 4,500 Executive summary description of the Master Plan. 1,200 Site Plan(s), Conceptual Building Plans, Conceptual Building Elevations/Sections, Conceptual Landscape Plan, Massing Model 13,500 Project Specific Development Budget 4,800 Project Specific Master Schedule 4,800 Construction Management and Implementation Plan 4,800 Subtotal 45,400 5. Periodic Reporting Periodic reports to City Staff and others as directed by Contract Administrator. 10,800 Subtotal 10,800 I TOTAL FIXED FEE $547,6461 Highland Partnership, Inc. Page 2 of 2 Exhibit C RESOLUTION NO. 2000-222 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A CONSTRUCTION MANAGEMENT SERVICES PRIORITY LIST, COMPRISED OF SIX CONSULTING TEAMS, TO BE USED FOR AWARDING DESIGN AND/OR CONSTRUCTION CONTRACTS ON FUTURE BUILDING FACILITIES WHEREAS, on April 17, 2000, the Department of Public Works issued a Request for Qualifications (RFQ) for Construction Manager/Constructor Services, requesting statements of qualifications from Construction Managers/Constructors (CMC) qualified to provide the City with proper guidance and assistance in value engineering, construction management and construction services coordination for City Capital Improvement Projects; and WHEREAS, on May 19, 2000, the City received a total of 18 submittals in response to the RFQ; and WHEREAS, a selection committee appointed by the City Manager has reviewed and ranked the submittals and conducted interviews with the top six consulting teams; and WHEREAS, this resolution will establish the priority order of the six teams on an official list, which shall remain in effect for three years. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby establish a Construction Management Services Priority List, comprised of six consulting teams, to be used for awarding design and/or construction contracts on future building facilities as follows: 1. Highland Partnership, Inc. 2. Douglas E. Bamhart, Inc. 3. Turner Construction Company 4. Vanir Construction Management, Inc. 5. Gafcon, LLC 6. Bitterlin Development Corporation Presented by Approved as to form by Joffm P. Lippit~ Jo~-~. Kaheny Pfiblic Work Director Ci~¥Attomey Resolution 2000-222 Page 2 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 20t~ day of June, 2000, by the following vote: AYES: Cotmcilmembers: Davis, Padilla, Salas, and Horton NAYS: Cotmcilmembers: None ABSENT: Cotmcilmembers: Moot Shirley Horton~Mayor ATTEST: Susan Bigelow, City Clerl~ 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. 2000-222 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 20t~ day of June, 2000. Executed this 20th day of June, 2000. Susan Bigelow, City Cl~erk RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT WITH HIGHLAND PARTNERSHIP, INC. FOR THE PROVISION OF CONSULTANT SERVICES FOR THE PROGR3kMMINGAND PREPARATION OF THE MASTER PLAN FOR THE NEW POLICE DEPARTMENT BUILDING AND EXPANSION OF THE CIVIC CENTER COMPLEX, AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT AND APPROPRIATING FUNDS THEREFOR WHEREAS, on July 18, 2000, the City Council approved its first contract using a new construction management tool- Construction Manager/Constructor (CMC); and WHEREAS, Highland Partnership, Inc. was selected from the CMC list to provide construction management services for the $25 M City Corporation Yard project; and WHEREAS, the second project using the CMC list is now being awarded and three teams with the background necessary to be considered for an interview for the planning and programming of a new Police facility and the Civic Center expansion were considered for an interview (Highland Partnership, Inc., Douglas E. Barnhart and Turner Construction Co.); and WHEREAS, Highland Partnership, Inc. was selected unanimously as the highest overall rated respondent; and WHEREAS, City Council has previously appropriated $237,000 from the Civic Center Development Impact Fee fund to cover costs for this project. NOW, THEREFORE, BE IT RESOLVED the city Council of the City of Chula Vista does hereby approve an agreement with Highland Partnership, Inc. for the provision of Consultant Services in the Programming and Preparation of a Master Plan for the New Police Department Building and Expansion of the civic Center Complex, in substantially the form presented with such minor modifications as may be required or approved by the City Attorney, a copy of which shall be kept on file in the office of the City 1 Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said agreement on behalf of the City of Chula Vista. BE IT FURTHER RESOLVED that the amount of $366,000.00 is hereby appropriated from the civic Center Development Impact Fee fund to the Civic Center Expansion CIP Project (GG139). Presented by Approved as to form by Director of Public Works Attorney [H:/HOM E~ATTORN EY\RESO\ Highland Parlnership Agreement Civic center (July 27, 2000 (4:28pm)] 2 CITY COUNCIL AGENDA STATEMENT ITEM II MEETING DATE: 8/1/00 ITEM TITLE: Report Concerning the Presentation of Options for Proposed Charter Amendments Concerning Term Limitations for the Mayor and Councilmembers Attorney~/~D~/ (4/Sths Vote: Yes__No X ) SUBMITTED BY: City STAFF RECOMMENDATION: Accept the report and approve the text of ballot language for measures affecting term limits, direct the City Attorney to return on August 8, 2000 with an impartial City Attorney analysis of such measures. It is also recommended that the City Council provide staff with guidance concerning the preparation of arguments in support of any charter amendments concerning term limits proposed for the ballot. BOARD/COMmISSION RECOMMENDATION: The Charter Review Commission in a report to the City Council dated 7/25/00 requested that the City Council consider a measure to repeal term limits for the offices of Mayor and City Councilmember. DISCUSSION: At the City Council meeting of July 25, 2000, the City Council, after receiving a report from the Charter Review Commission and hearing public testimony, directed the City Attorney to return to the Council on August 1, 2000 with two options concerning proposed changes to the term limit provisions of the City Charter. Currently Section 300 of the City Charter imposes a two full term limit on the members of the City Council. In addition this section requires a one year hiatus between the end of a second term and the seeking of a nomination for another term. One of the proposed options discussed by the Council at its July 25, 2000 meeting effectively repeals the term limitation from the Charter by imposing a restriction on campaign fundraising. A draft proposal setting forth such a measure is attached as Option 1. The second proposed option authorizes a third term of office for the Mayor and Councilmembers under certain campaign fundraising conditions but imposes a four-year hiatus between the end of the Item No. Meeting Date: 8/1/00 Page Two third term and the seeking of another term. It should be noted that as proposed, the four year hiatus effectively imposes a six year period between terms because of the necessity of seeking election prior to the March primary in an election year, whereas a three year hiatus would impose a four year period between actually serving each separate term. This proposal is attached as Option 2. If both proposals are placed on the ballot, the voters will in effect have three choices because if both proposed measures fail, the current two term limitation will remain in effect. Both proposals have language restricting a Councilmember or Mayor's ability to raise political contributions prior to six months before an election in order to remain eligible to run for an additional term of office. If the Council desires such a similar restriction to apply to other candidates, it would be appropriate to amend the City's Campaign Ordinance contained in Chapter 2.50 of the Chula Vista Municipal Code at a later date. If the Council desires to place either or both measures on the ballot, staff is asking for guidance as to the drafting of any arguments on behalf of either proposal. Staff will then return on August 8, 2000 with the appropriate legal documents for final Council action. August 11, 2000 is the last date ~or filing the ballot resolution with the Registrar of Voters. FISCAL IMPACT~ None. h:\home\lorraine\all3\term limit options OPTION i Sec. 300. Members, Eligibility and Terms. A. There shall be a City Council of five members, consisting of four Councilmembers and a Mayor, elected from the City at large at'the times and in the manner provided in this Charter. B. No person shall be eligible to hold office as members of the City Council unless they are residents of the City of Chula Vista, and at the time of their election or appointment, qualified electors of the City or of territory annexed thereto. C. The term of each member of the City Council shall be for a nominal term of four years and shall commence on the first Tuesday of December of the year of the election and shall continue until a successor qualifies. The term for the Mayoral seat and Council seats numbers one (1) and two (2) shall be deemed to commence on every fourth anniversary of the first Tuesday of December of 1990 and the term from Council seats numbers three (3) and four (4) shall be deemed to commence on every fourth anniversary of the first Tuesday of December 1988. D. No person shall be eligible for nomination and election to the office of City Councilmember or Mayor for more than two (2) consecutive terms, and no person who has held a Council office for a period of two (2) consecutive terms or the office of Mayor for two (2) consecutive terms, may again seek nomination and election to said offices of Council or Mayor respectively until a period of one (1) year from the termination of the second term for Councilmember or Mayor has elapsed; provided, however, that any person who is appointed by the Council to fill the office of Council or Mayor or elected in a special election for the balance of a regular term of Mayor and/or Council for a period of two (2) years or less may seek nomination and election for two (2) full terms thereafter; except that, notwithstanding any other provision of the Charter, any Councilmember or Mayor who neither seeks nor accepts from any person or regulated independent expenditure committee any campaign contribution sooner than six months preceding any Council/Mayoral election contest after January 2001 shall remain eligible to seek nomination and election to additional terms of office. Said restriction on campaign contributions shall be in addition to or supplemental to the provision of any campaign ordinance adopted pursuant to Charter Section 904. E. Each Council seat shall be numbered one (1) through four (4) respectively. Persons seeking election to the City Council shall at the time of filing nomination papers, select one of said seats as the Council position for which they seek election. F. Persons running for a Council office shall designate one of the two numbered Council seats as memorialized by resolution of the Chula Vista City.Council on file in the office of the City Clerk. Should a vacancy occur at any time in a Council seat or seats, if said vacancy is to be filled by a special election as provided in Section 303 of the Charter, candidates for said vacancy shall similarly designate the appropriate numbered seat on their nominating paper. G. Any person to be elected at a general municipal election for any numbered Council seat 1 through 4 or the office of Mayor for which nomination papers have been filed shall be deemed elected upon receipt of a majority of the votes cast for the particular seat or the Office of Mayor at the election. If no candidate at such general municipal election receives a majority of the votes cast, there shall be a special runoff election, to be held on the same date as the statewide election date in November immediately following the general municipal election (if no statewide election is conducted, then on the first Tuesday after the first Monday of November of each even-numbered year) between the two candidates receiving the highest and second highest number of votes in the general municipal election for said seat or the Office of Mayor, in order to determine the winner. By way of clarification, ties among the candidates receiving the two highest number of votes at the general municipal election shall be resolved by a special runoff election. H. Any person to be elected at a special municipal election called to fill a vacancy pursuant to the provision of Section 303 for any numbered Council seats one through four or the Office of Mayor, for which nomination papers have been filed, shall be deemed elected upon receipt of a majority of the votes cast for the particular seat or the Office of Mayor at the election. If no candidate at such special election receives a majority of the votes cast, there shall be a special run-off election to be held on a date set by Council as soon after such special election as practical between the two candidates receiving the highest and second highest number of votes in such special election for said seat or the office of Mayor in order to determine the winner and shall be seated upon certification of the results of the election. By way of clarification, ties among the candidates receiving the two highest number of votes at such special election shall be resolved by a special run-off election. I. If one of the two eligible candidates dies on or before the ninetieth day prior to the special run-off election, his or her name shall not be placed on the ballot. The candidate receiving the third highest number of votes in the general municipal election for said seat or the office of Mayor shall be offered by the City Clerk, the opportunity to be placed on the ballot in lieu of the deceased. The City Clerk shall make the offer in writing immediately upon notification of the death. The candidate shall accept or reject in writing to the Clerk within five calendar days of receipt of the City Clerk's offer. If accepted, the special run-off election between the remaining candidate and the candidate receiving the third highest number shall be held. If rejected, there shall be no run-off election, and the remaining candidate shall be deemed elected as of the date of such death. J. Any person to be elected at a special run-off election required under the provision of this section, shall be deemed elected upon receipt of the highest number of votes for the particular seat or the office of Mayor and shall be seated upon certification of the results of the election. Ties at such special run-off election shall be resolved by lot. OPTION 2 Sec. 300. Members, Eligibility and Terms. A. There shall be a City Council of five members, consisting of four Councilmembers and a Mayor, elected from the City at large at the times and in the manner provided in this Charter. B. No person shall be eligible to hold office as members of the City Council unless they are residents of the City of Chula Vista, and at the time of their election or appointment, qualified electors of the City or of territory annexed thereto. C. The term of each member of the City Council shall be for a nominal term of four years and shall commence on the first Tuesday of December of the year of the election and shall continue until a successor qualifies. The term for the Mayoral seat and Council seats numbers one (1) and two (2) shall be deemed to commence on every fourth anniversary of the first Tuesday of December of 1990 and the term from Council seats numbers three (3} and four (4) shall be deemed to commence on every fourth anniversary of the first Tuesday of December 1988. D. No person shall be eligible for nomination and election to the office of City Councilmember or Mayor for more than two (2) consecutive terms, and no person who has held a Council office for a period of two (2) consecutive terms or the office of Mayor for two (2) consecutive terms, may again seek nomination and election to said offices of Council or Mayor respectively until a period of cnc (i) four (4) year~ from the termination of the second term for Councilmember or Mayor has elapsed; provided, however, that any person who is appointed by the Council to fill the office of Council or Mayor or elected in a special election for the balance of a regular term of Mayor and/or Council for a period of two (2) years or less may seek nomination and election for two (2) full terms thereafter; except that, notwithstanding any other provision of the Charter, any Councilmember or Mayor who neither seeks nor accepts from any person or regulated independent expenditure committee any campaign contribution sooner than six months preceding any Council/Mayoral election contest after January 2001 shall remain eligible to seek nomination and election to a third term of office. Said restriction on campaign contributions shall be in addition to or suDDlemental to the provision of any campaiqn ordinance adopted pursuant to Charter Section 904. E. Each Council seat shall be numbered one (1) through four (4) respectively. Persons seeking election to the City Council shall at the time of filing nomination papers, select one of said seats as the Council position for which they seek election. F. Persons running for a Council office shall designate one of the two numbered Council seats as memorialized by resolution of the Chula Vista City Council on file in the office of the City Clerk. Should a vacancy occur at any time in a Council seat or seats, if said vacancy is to be filled by a special election as provided in Section 303 of the Charter, candidates for said vacancy shall similarly designate the appropriate numbered seat on their nominating paper. G. Any person to be elected at a general municipal election for any numbered Council seat 1 through 4 or the office of Mayor for which nomination papers have been filed shall be deemed elected upon receipt of a majority of the votes cast for the particular seat or the Office of Mayor at the election. If no candidate at such general municipal election receives a majority of the votes cast, there shall be a special runoff election, to be held on the same date as the statewide election date in November immediately following the general municipal election (if no statewide election is conducted, then on the first Tuesday after the first Monday of November of each even-numbered year), between the two candidates receiving the highest and second highest number of votes in the general municipal election for said seat or the office of Mayor, in order to determine the winner. By way of clarification, ties among the candidates receiving the two highest number of votes at the general municipal election shall be resolved by a special runoff election. H. Any person to be elected at a special municipal election called to fill a vacancy pursuant to the provision of Section 303 for any numbered Council seats one through four or the Office of Mayor, for which nomination papers have been filed, shall be deemed elected upon receipt of a majority of the votes cast for the particular seat or the Office of Mayor at the election. If no candidate at such special election receives a majority of the votes cast, there shall be a special run-off election to be held I?-7 on a date set by Council as soon after such special election as practical between the two candidates receiving the highest and second highest number of votes in such special election for said seat or the office of Mayor in order to determine the winner and shall be seated upon certification of the results of the election. By way of clarification, ties among the candidates receiving the two highest number of votes at such special election shall be resolved by a special run-off election. I. If one of the two eligible candidates dies on or before the ninetieth day prior to the special run-off election, his or her name shall not be placed on the ballot. The candidate receiving the third highest number of votes in the general municipal election for said seat or the Office of Mayor shall be offered by the City Clerk, the opportunity to be placed on the ballot in lieu of the deceased. The City Clerk shall make the offer in writing immediately upon notification of the death. The candidate shall accept or reject in writing to the Clerk within five calendar days of receipt of the City Clerk's offer. If accepted, the special run-off election between the remaining candidate and the candidate receiving the third highest number shall be held. If rejected, there shall be no run-off election, and the remaining candidate shall be deemed elected as of the date of such death. J. Any person to be elected at a special run-off election required under the provision of this section, shall be deemed elected upon receipt of the highest number of votes for the particular seat or the office of Mayor and shall be seated upon certification of the results of the election. Ties at such special run-off election shall be resolved by lot. COUNCIL AGENDA STATEMENT Item No. Meeting Date 08/01/00 ITEM TITLE: Resolution of the City Council of the City of Chula Vista requesting the Board of Supervisors to permit the Registrar of Voters to perform services for the conduct of the Special Mtmicipal Election for the City of Chula Vista to be consolidated with the statewide General Election to be held on November 7, 2000 SUBMITTED BY: Susan Bigelow/w~, CMC/AAE, City Clerk The purpose of the November 7, 2000 Special Municipal Election is to select a Member of the City Council to fill Seat 3 and to submit proposed Charter Amendments to the electorate. In order to consolidate the election with the statewide election, the Califomia Elections Code requires the adoption ora resolution requesting the services of the Registrar of Voters and incorporating the text of any measures to be included on the ballot. The resolution must be submitted to the Registrar of Voters by August 11, 2000. RECOMMENDATION: Council adopt the Resolution. BACKGROUND: Elections Code Section 10403 requires the adoption ora resolution requesting the Board of Supervisors to (1) consolidate Chula Vista's election with the statewide primary and (2) permit the Registrar of Voters to perform certain services in conjunction with the City's election. It also requires that the Registrar of Voters receive the resolution requesting consolidation and services by August 1 I, 2000. If there will be measures on the ballot, the ballot text must be included in the resolution, as well. The draft resolution submitted with this report will be finalized to include the ballot text adopted by the Council at this meeting. FISCAL IMPACT: $34,400 has been budgeted in the Fiscal Year 2000/2001 budget for the election, and it is anticipated that the amount budgeted is sufficient. RESOLUTION 2000- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS TO PERMIT THE REGISTRAR OF VOTERS TO PERFORM SERVICES FOR THE CONDUCT OF THE SPECIAL MUNICIPAL ELECTION FOR THE CITY OF CHULA VISTA TO BE CONSOLIDATED WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON NOVEMBER 7, 2000 WHEREAS, the City Council of the City of Chula Vista has called an election to be held in this City on November 7, 2000; and WHEREAS, Section 439.1 of the Administrative Code of the County of San Diego authorizes the Registrar of Voters of the County of San Diego to render specified services relating to the conduct of an election to any city or district which has by resolution requested the Board of Supervisors to permit the Registrar to render the services, subject to requirements set forth in that section; and WHEREAS, a statewide election has been called to be held on the same day; and WHEREAS, pursuant to SB 230, the Board of Supervisors has approved the consolidation of the Chula Vista Special Municipal Election with a statewide general election to be held on the same day. NOW, THEREFORE, THE CiTY COUNCIL OF THE CiTY OF CHULA VISTA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER, as follows: SECTION i. Pursuant to above-cited provisions, the Board of Supervisors of the County of San Diego is hereby requested to permit the Registrar of Voters to perform and render all services and proceedings, and to procure and furnish any and all official ballots, notices, printed matter and all supplies and equipment and paraphernalia incidental to and connected with the conduct of the subject election of the City of Chula Vista, with the cooperation and assistance of the City Clerk of Chula Vista, in order to properly and lawfully conduct such election. SECTION 2. The exact form of the offices to be voted upon to appear on the ballot and to be submitted to the voters are as follows: The election of one (1) member of the City Council of said City to fill Council Seat Number 3 for the full term of four years, commencing December, 2000. SECTION 3. Two Charter Amendment measures to be submitted to the voters and to appear on the ballot as follows: Shall the Charter of Chula Vista be amended to authorize, by a four-fifih's YES vote of the Council, the appointment of non-electors of the City of Chula Vista to advisory boards whose duties involve regional issues? NO YES NO YES NO SECTION 4. The Board of Supervisors of the County of San Diego is hereby requested to consolidate this election with the statewide election to be held on the same day, m the same territory. SECTION 5. Pursuant to Section 10411 and Section 10418 of the Elections Code, (a) the election shall be held in all respects as if there were only one election; (b) only one form of ballot shall be used; and (c) the Registrar of Voters of the County of San Diego shall canvass the returns of the subject election as part of the canvass of the returns of the election consolidated hereby. SECTION 6. Pursuant to Section 10410 and Section 10418 of the Elections Code within the territories affected by this consolidation, the election precincts, pollingplaces, voting booths and polling hours shall, in every case, be the same, and there shallbe only one set of election officers in each of the precincts. SECTION 7. The County of San Diego shall be reimbursed in full for the smvices performed by the Registrar of Voters for the City of Chula Vista upon presentation of a bill therefor, and this City agrees to indemnify and save free and harmless the County, its officers, agents and employees from expense or liability, including reasonable attorneys' fees, as a result of an election contest arising alter conduct of this election. SECTION 8. The City Clerk is hereby directed to deliver forthwith certified copies of this resolution to the Clerk of the Board of Supervisors of the County of San Diego and to the Registrar of Voters of the County of San Diego. Presented by Approved as to form by City Clerk PASSED AND ADOPTED at a regular meeting of the City Council of the City of Chula Vista, California, this 1st day of August, 2000, by the following vote: AYES: Councilmembers: NAYS: Councilmembers: ABSENT: Councilmembers: Shirley Horton, Mayor ATTEST: Susan Bigelow, CMC/AAE, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO ss. CITY OF CHULA VISTA I, Susan Bigelow, City Clerk of the City of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2000- was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 1 st day of August, 2000. Executed this 1st day of August, 2000. Susan Bigelow, CMC/AAE, City Clerk