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HomeMy WebLinkAboutAgenda Packet 2002/01/15 CITY COUNCIL AGENDA January 15, 2002 6:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista CI'IY OF CHULA VISTA City Council City Manager Patty Davis David D. Rowlands, Jr. Stephen C. Padilla City Attorney Jerry R. Rindone 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 January 15, 2002 6:00 P.M. CALL TO ORDER ROLL CALL: Councilmembers Davis, Padilla, Rindone, Salas, and Mayor Horton. PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY · INTRODUCTION BY CANDY EMERSON, DIRECTOR OF HUMAN RESOURCES, OF THE EMPLOYEE OF THE MONTH, JUST1NE TALAVERA, OFFICE SPECIALIST · OATH OF OFFICE: ARMIDA MARTIN DEL CAMPO - CHARTER REVIEW COMMISSION · OATH OF OFFICE: CHERYL COX - CHARTER REVIEW COMMISSION · PRESENTATION OF A PROCLAMATION TO CHULA VISTA AZTECS POP WARNER JUNIOR PEE WEE FOOTBALL TEAM · PRESENTATION OF A CERTIFICATE OF ACHIEVEMENT AND PLAQUE TO ROBERT POWELL, ASSISTANT CITY MANAGER/DIRECTOR OF FINANCE · PRESENTATION OF CERTIFICATES OF RECOGNITION TO FOREIGN EXCHANGE STUDENTS: MARY BARSEGHYAN (ARMENIA), TATIANA DANILOVA (UKRAINE), NICK ELGANDASHVILL (REPUBLIC OF GEORGIA), OKSANA FEDEROVA (RUSSIA), IR1NA POPUSOL (MOLDOVA), ZULFLYA SALDOVA (KYRGYSTAN), RADU SORICI (MOLDOVA). iNTRODUCTION BY RUTH ANN WALKER, AREA REPRESENTATIVE FOR PACIFIC INTERCULTURAL EXCHANGE · PRESENTATION OF A PLAQUE TO COUNCILMEMBER MARY SALAS BY KURT KAMMERER OF THE SAN DIEGO REGIONAL ENERGY OFFICE 1N APPRECIATION OF HER SERVICE ON THE BOARD CONSENT CALENDAR (Items 1 through 9) The Council will enact the staff recommendations regarding the following items listed under the Consent Calendar by one motion, without discussion, unless a Councilmember, a member of the public, or City staff requests that an 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. WRITTEN COMMUNICATIONS A. Letter of fesignation from David Malcolm, member of the Board of Port Commissioners. Staff recommendation: The resignation be accepted. 2. APPROVAL OF MINUTES of December 11 and December 13, 2001. Staff recommendation: Council approve the minutes. 3. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH), AUTHORIZING THE LEVY OF A SPECIAL TAX IN IMPROVEMENTS AREA A AND IMPROVEMENT AREA B OF SUCH COMMUNITY FACILITIES DISTRICT (SECOND READING AND ADOPTION) On December 4, 2001, the City approved resolutions to form and establish the district and to declare the necessity to incur bonded indebtedness for each improvement area. On December 12, 2001, a special election of eligible property owners was held at the City Attorney's office for the purpose of voting on the formation of CFD No. 2001-I. Adoption of the ordinance will authorize the levy of a special tax in Improvement Areas A and B of Community Facilities District No. 2001-1. (Director of Public Works) Staffrecommendation: Council place the ordinance on second reading for adoption. 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 POLES AND OVERHEAD FACILITIES WITHIN UNDERGROUND UTILITY DISTRICT NO. 131, ALONG FOURTH AVENUE, FROM H STREET TO L STREET On January 25, 2000, Council held a public hearing and adopted Resolution No. 2000-027, establishing Underground Utility District No. 131, along Fourth Avenue, from H Street to L Street. In accordance with section 15.32.150 of the Municipal Code, Resolution No. 2000-027 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 poles, overhead wires, and associated structures. The conversion of overhead utilities to underground is anticipated to be completed by December 31, 2002. City Council policy #585-01 allows the City to use utility undergrounding funds to reimburse all affected properties for the cost of undergrounding of private service laterals. (Director of Public Works) Staff recommendation: Council adopt the resolution. Page 2 ~ Council Agenda 01/15/02 5. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $55,000 FROM THE UNENCUMBERED BALANCE OF THE TRAFFIC SIGNAL FUND FOR THE REPLACEMENT OF THE CITY'S FORMER JHK TRAFFIC SYSTEM WITH THE QUICKNET/4 ADVANCED TRAFFIC MANAGEMENT SYSTEM (ATMS) (4/5THS VOTE REQUIRED) On October 9, 1997, the City received approval of the use of Congestion Management and Air Quality (CMAQ) federal funding, administered by Caltrans, for the acquisition of traffic control system software and hardware from Bi Tran Systems, Inc., in the amount of $55,000. City funds are always fronted to finance federal-aided projects under CMAQ funding. After those projects are completed, City staff requests reimbursement from Caltrans for the approved funding. The federal funds are still available for the City to apply to that project, but City funds must be appropriated at this time in order to front the project costs. (Director of Public Works) Staff recommendation: Council adopt the resolution. 6 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A PUBLIC STREET EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033, GRANTED TO THE CITY OF CHULA VISTA BY DOCUMENT NO. 1991-0156302, RECORDED APRIL 8, 1991 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A SLOPE RIGHTS AND DRAINAGE EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033, GRANTED TO THE CITY OF CHULA VISTA BY DOCUMENT NO. 1991-0156302, RECORDED APRIL 8, 1991 C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A ROAD EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033 TO THE CITY OF CHULA VISTA, RECORDED OCTOBER 24, 1900, IN BOOK 304, PAGE 9 OF DEEDS A request has been received from Pacific Bay Homes to vacate three easements belonging to the City within Parcel 2 of Parcel Map 16033, owned by Pacific Bay Homes. In accordance with Chapter 4, Section 8330 of the California Streets and Highways Code, this type of vacation may be performed summarily through adoption of a resolution of vacation. (Director of Public Works) Staff recommendation: Council adopt the resolutions. 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND iNFRASTRUCTURE MANAGEMENT SERVICES, INC. (IMS) TO PROVIDE PAVEMENT TESTING/CONDITION ANALYSIS, DATA COLLECTION, AND MANAGEMENT SERVICES (STL-273) Page 3 - Council Agenda 01 / 15/02 On October 1, 2001, the City received three proposals to perform pavement testing and management services, and on October 15, 2001, all three consultant firms were interviewed. Infrastructure Management Services, Inc. (IMS) was selected as the most qualified of the three firms that responded to the request for proposals. IMS performed the original pavement testing for the City of Chula Vista in the late 1980's, and in staff s opinion IMS can most efficiently and effectively update the current Pavement Management System data in a manner, which is fully compatible with our existing system. (Director of Public Works) Staff recommendation: Council adopt the resolution. 8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATiNG $68,950 FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND TO THE COMMUNITY DEVELOPMENT DEPARTMENT FOR THE STOREFRONT RENOVATION PROGRAM (4/5THS VOTE REQUIRED) The Storefront Renovation Program was funded by an original appropriation of $85,000 in November 2000. Due to the nature of the program, it was anticipated that the initial appropriation would be sufficient for the first two to three years of the program. It was intended that the remaining balance from the original program funds would be continued into the budget for 2001/2002; however, they were not included. Adoption of the resolution will remedy this situation. Subtracting funds spent from the original appropriation to date, $68,950 is the necessary amount to refund the program at its original appropriation amount. (Director of Community Development) Staff recommendation: Council adopt the resolution. 9 A. REPORT REGARDiNG THE DEVELOPMENT IMPACT FEE (DIF), PARK ACQUISITION AND DEVELOPMENT (PAD) FEE, AND TRUNK SEWER CAPITAL RESERVE FUNDS FOR THE FISCAL YEAR ENDED JLrNE 30, 2001 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING FINDiNGS THAT THE UNEXPENDED FUNDS iN THE PARKLAND ACQUISITION AND DEVELOPMENT FEE FUND ARE STILL NEEDED TO PROVIDE CONSTRUCTION OF FACILITIES FOR WHICH THE FEES WERE COLLECTED State law requires local agencies assessing Development Impact Fees and capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and also includes, for ease of reference and for the convenience of members of the public, information on Parkland Acquisition and Development fees. (Assistant City Manager Powell/Director of Public Works) Staff recommendation: Council accept the report and adopt the resolution. Page 4 - Council Agenda 01/15/02 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 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. I0. CONSIDERATION OF ASSESSMENT OF CERTAIN DELINQUENT SEWER SERVICE CHARGES AS LIENS UPON THE RESPECTIVE OWNER-OCCUPIED PARCELS OF LAND AND PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL FOR COLLECTION Chula Vista Municipal Code Section 13.14.150 allows delinquent sewer service charges to be assessed as liens upon the affected properties and ultimately placed on the property tax bills for collection. (Assistant City Manager Powell) Staff recommendation: Council conduct the public hearing and adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING DELINQUENT SEWER SERVICE CHARGES AS LIENS UPON THE RESPECTIVE OWNER-OCCUPIED PARCELS OF LAND, AND APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL 11. CONSIDERATION OF INCREASING THE AUTHORIZED BONDED INDEBTEDNESS FOR IMPROVEMENT AREA A OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH) Community Facilities District No. 2001-1 (San Miguel Ranch) (CFD No. 2001-1) will fund the construction of public facilities, such as roadways and other public improvements for the San Miguel project. In addition, a portion of the proceeds may be used for certain Transportation projects, as directed by the City. Adoption of the resolution will increase the bond authorization for Improvement Area A of CFD No. 2001-1 from $13,500,000 to $15,000,000 and, if no majority protest to such increase has been filed and the City Council elects to submit the question of Increasing the Authorized Bonded Indebtedness for Improvement Area A, subject to the approval of the qualified electors of such improvement area with the special election to be held on January 17, 2002. (Director of Public Works) Page 5 - Council Agenda 01/15/02 Staff recommendation: Council conduct the public hearing and adopt the following resolution: A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACT1NG AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTR/CT NO. 2001-1, (SAN MIGUEL RANCH), MAKING FINDINGS AND DETERMINATIONS AND SUBMITTING THE QUESTION OF INCREASING THE AUTHORIZED BONDED INDEBTEDNESS FOR IMPROVEMENT AREA A OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH), TO THE QUALIFIED ELECTORS OF SUCH IMPROVEMENT AREA; CALLING A SPECIAL ELECTION AND ESTABLISHiNG PROCEDURES AND CONDITIONS FOR CONDUCTiNG SUCH AN ELECTION 12. CONSIDERATION OF APPROVAL OF A CONDITIONAL USE PERMIT, PCC-01- 88, TO ESTABLISH A CHILD DEVELOPMENT CENTER/PRESCHOOL FOR LIP TO 100 CHILDREN iN THE EXISTING JESUS CHRIST OF LATTER DAY SAINTS CHURCH BUILDiNG AND SURROUNDING GROLrNDS AT 1320 FOURTH AVENUE (APPLICANT: EPISCOPAL COMMUNITY SERVICES) Episcopal Community Services is requesting a Conditional Use Permit to establish a child development center/preschool for up to 100 children in an existing church facility and surrounds grounds at 1320 Fourth Avenue, where the Reorganized Church of Jesus Christ of Latter Day Saints is located. (Director of Planning and Building) Staff recommendation: Council conduct the public heating and adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING NEGATIVE DECLARATION IS-01-059, AND APPROVING A CONDITIONAL USE PERMIT (PCC-01-88) FOR EPISCOPAL COMMUNITY SERVICES FOR ESTABLISHMENT OF A CHILD DEVELOPMENT CENTER/PRESCHOOL FOR UP TO 100 CHILDREN AT 1320 FOURTH AVENUE 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. 13. REPORT REGARDING REEVALUATION OF ALL-WAY STOP ON EAST J STREET AT LA SENDA WAY Page 6 ~ Council Agenda 01/15/02 On July 26, 2001, staff received a letter from Patrick McCarragher, 703 East J Street, requesting that an all-way stop be installed on East J Street at La Senda Way, to help control the high speed of motorists traveling on East J Street, and to resolve intersection safety concerns as a result of reduced sight visibility at the subject intersection. Staff evaluated the intersection under the latest Council Policy and recommended denial of all- way stop control. The Safety Commission did not concur, and under Council Policy 110- 09, if staff and the Safety Commission do not concur, the matter automatically goes to City Council for final decision. (Director of Public Works) Staff recommendation: Council accept the report and approve staff's recommendation to deny the installation of the all-way stop control. ITEMS PULLED FROM THE CONSENT CALENDAR OTHER BUSINESS 14. CITY MANAGER'S REPORTS A. Scheduling of meetings. 15. MAYOR'S REPORTS 16. COUNCIL COMMENTS CLOSED SESSION Announcements of actions taken in Closed Session shall be made available by noon on Wednesday following the Council Meeting at the City Clerk's office in accordance with the Ralph M. Brown Act (Government Code 54957. 7). 17. CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(A) · Building Industry Association of San Diego County, et al. v. State Water Resources Control Board, et al., Superior Court, County of San Diego, San Diego Judicial District, Case No. GIC 780263 18. CONFERENCE WITH LEGAL COUNSEL REGARDING iNITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(C) · Three cases ADJOURNMENT to an Adjourned Regular Meeting on January 19, 2002 at 9:00 a.m. and thence to a Regular Meeting of January 22, 2002, at 6:00 p.m. in the Council Chambers. Page 7 - Council Agenda 01/15/02 Oas-04-02 10:29 David L. Malcolm 619-531-0969 P.O1 PORT OF SAN Jimuary 4, 2001 Thc Hono~xtble Mayor and Council members Chairman Cushmm~ and Commissioners 276 Fourth Avenue Chula V sta, Ca. hfornia t/1911) Dear Mayor and Council mcmbur~. Chairman Cudunan m~d Commis.qioncrs: It is with great reluctance but with firm convietaon that I off-~r my msigimtion fi'om thc San Diego Port Commission My resignation is necessary only because it: il now el~r that [ can no longer effectively represent thc City oF Chula Vista ~t *.his critieaI time at the Port or Sim Diego. As you kanw, thc Port is at a critical crossroad, taein8 both mt.at persom~el and structural olmgcs The City of(]mia Vista nc~;ds mi active and viable reprcsental:ivc now more than ever. Atthes metm¢ mvloc ........ . · , . .,~.,...ms~ -c on protect'rog my I'anfily ti'om the unfair mid ummu claims publicly laid before me Even Port Attorney David Chapman m his sworn slntement haz cleared mc of any costlier. I u, ill have my day in court mid I will be cleared of any aocusation.q. As 1 l~ave my position as Port Commissioner, I am proud of lbo many accomplishment~ k, which 1 can claim leadership. I negotiated mid signed the contract with ~e IJ,S, Fish and Wildliti: Service to create a huge wildlif~ refiagc in South Bay. 1 nego~teO, with BF. Goodnch/Rohr, the City. or Chela Vista and tho Port to acquire much need property on the bay front wluch a.saur,.'d tim rctcWaon of thou~ands of'high value jobs For tho region. And of course, I Itm.d tho effort to acquire the South Bay Power Plant, thc only planl sold during dercgmlat, ion that is no~, owned by the [',topic of thc state of California. In the proems o£doing so, the lea~e we ~ruutuved ibm thc - operation 0 F thc plant ~mmed tim Port millions of del I anl rightfully proud of these endeavors Together, we have accomplished much tbr the region. Together, , , wc have Icll a legacy o£ tug, carol ~mprovemcnts that will benefit Our citizens for generations to come. I have .... , ., ,.been honored to ~ork with each of you and to serve thc w~ndcrful clt2zens. Mayor and (.ce total M embers of thc City of Chela Sinccrcl..~, David I. Malcolm COUNCIL AGENDA STATEMENT Item ¢ Meeting Date 01/15/02 ITEM TITLE: Resolution Establishing dates for property owners to be ready to receive underground service and for the removal of poles and overhead facilities within Underground District No. 131, along Fourth Avenue, from "H" Street to "L" Street. SUBMITTED BY: Director of Public Works~ r.6¢/~ REVIEWED BY: City Manage p~v (4/5ths Vote: Yes__ No X ) On January 25, 2000, the City Council held a public hearing and approved Resolution No. 2000-027 establishing Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street. In accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution 2000- 027 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 poles, overhead wires, and associated structures. The conversion of overhead utilities to underground is anticipated to be completed by December 31, 2002. City Council Policy #585-01 allows the City to use utility undergrounding funds to reimburse all affected properties for the cost of undergrounding ofpr/vate service laterals. RECOMMENDATION: That Council approve the resolution to: 1. Set June 28, 2002 as the date by which property owners within Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street shall be ready to receive underground service 2. Set December 31, 2002 as the date by which poles, overhead wires and associated structures shall be removed within Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On January 25, 2000, the City Council approved Resolution No 2000-027 establishing Underground Utility District No. 131, along Fourth Avenue from "H" Street to "L" Street. Also, in accordance with the City Code and said resolution, the City Clerk notified all property owners within the district of the relevant provisions by mailing each owner and resident a copy of said resolution. There were no inquiries by the property owners regarding the notification. O?1\O~ ORDINANCE NO. /\~G ~Q þS) ORDINANCE OF THE CITY COUNCIL OF THE C~O\i'itl15fA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE B5, )Y OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH) AUTHORIZING THE LEVY OF A SPECIAL TAX IN IMPROVEMENT AREA A AND IMPROVEMENT AREA B OF 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 separate special taxes in separate improvement areas of 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 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 is designated as COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH) (the "District") and the improvement areas therein are designated as IMPROVEMENT AREA A and IMPROVEMENT AREA B (individually, an "Improvement Area" and collectively, the "Improvement Areas"). The City Council of the City of Chula Vista, California, acting as the legislative body of Community Facilities District No. 2001-1 (San Miguel Ranch), does hereby ordain as follows: SECTION 1. This City Council does, by the passage of this ordinance, authorize (a) the levy of special taxes on taxable properties located in Improvement Area A pursuant to the Rate and Method of Apportionment of Special Taxes as set forth in Exhibit" A" attached hereto and incorporated herein by this reference (the "Improvement Area A - Rate and Method") and (b) the levy of special taxes on taxable properties located in Improvement Area B pursuant to the Rate and Method of Apportionment of Special Taxes as set forth in Exhibit "B" attached hereto and incorporated herein by this reference (the "Improvement Area B - Rate and Method"). 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 within Improvement Area A and Improvement Area B for the then current tax year or future tax years; provided, however, the special tax to be levied in Improvement Area A shall not exceed the maximum special tax authorized to be levied pursuant to the Improvement Area A - Rate and Method and the special tax to be levied in Improvement Area B shall not exceed the II -" T f - :::;; f 3-1 maximum special tax authorized to be levied pursuant to the Improvement Area B - Rate and Method. SECTION 3. The special taxes herein authorized to be levied within the Improvement . Areas, 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. SECTION 4. The special taxes authorized to be levied in each Improvement Area 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 levy 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, 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 by: (Ã,~~k John M. Kaheny City Attorney John P. Lippitt Director of Public Work r\auorney\O,d\SMR Authmize Special Taxduc 3-2- 2 11-32- II EXHIBIT A RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1, IMPROVEMENT AREA A (San Miguel Ranch) A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable Property within the City of Chula Vista Community Facilities District No. 2001-1 ("CFD No. 2001-1, Improvement Area A") and collected each Fiscal Year commencing in Fiscal Year 2002-03, in an amount determined by the City Council through the application of the appropriate Special Tax for "Developed Property," and "Undeveloped Property," as described below. All of the real property in CFD No. 2001-1, Improvement Area A, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, record of survey, or other recorded document creating or describing the parcel. If the preceding maps are not available, the Acreage shall be determined by the City Engineer. "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2001-1, Improvement Area A including, but not limited to, the following: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County, the City, or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2001-1, Improvement Area A or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2001-1, Improvement Area A or any designee thereof of complying with City, CFD No. 2001-1, Improvement Area A or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2001-1, City ofChula Vista Community Facilities District No. 200 i-i San Miguel Ranch -improvement Area A Page A -i :::< -> 11-33 :;>-5 fl Improvement Area A or any designee thereof related to an appeal of the Special Tax; and the costs associated with the release of funds from an escrow account, if any. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2001-1, Improvement Area A for any other administrative purposes of CFD No. 2001-1, Improvement Area A, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor's Parcel number. "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. "Assigned Special Tax" means the Special Tax for each Land Use Category of Developed Property as determined in accordance with Section C.I.a. " Available Funds" means the balance in the reserve fund established pursuant to the terms of the Indenture in excess of the reserve requirement as defined in such Indenture, delinquent special tax payments, the Special Tax prepayments collected to pay interest on Bonds, and other sources of funds available as a credit to the Special Tax Requirement as specified in such Indenture. "Backup Special Tax" means the Special Tax amount set forth in Section C.I.b. below. "Bonds" means any bonds or other debt (as defined in the Act), whether in one or more series, issued by CFD No. 2001-1, Improvement Area A under the Act. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2001-1, Improvement Area A" means City of Chula Vista, Community Facilities District No. 2001-1, Improvement Area A (San Miguel Ranch). "City" means the City of Chula Vista. "Commercial Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more non- residential structures, excluding Community Purpose Facility Property. "Community Purpose Facility Property" means all Assessor's Parcels which are classified as community purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2452. City ofChula Vista Community Facilities District No. 200i-I San Miguel Ranch -Improvement Area A Page A -2 ¡ I 3'+ ;;ì, ti- T I ::;";-, "Council" means the City Council of the City, acting as the legislative body of CFD No. 2001-1, Improvement Area A. "County" means the County of San Diegù. "Developed Property" means, for each Fiscal Year, all Taxable Property for which a building permit for new construction was issued prior to March 1 of the prior Fiscal Year. "Final Map" means a subdivision of property created by recordation of a final map, parcel map, or lot line adjustment, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Indenture" means the indenture, fiscal agent agreement, trust agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Tables 1 and 2 of Section C. "Lot(s)" means an individual legal lot created by a Final Map for which a building permit for residential construction has been or could be issued. "Master Developer" means the owner of the predominant amount of Undeveloped Property in CFD No. 2001-1, Improvement Area A. "Maximum Annual Special Tax" means the maximum annual Special Tax, determined in accordance with the provisions of Section C below, that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Occupied Residential Property" means all Assessor's Parcels of Residential Property which have closed escrow to an end user. "Outstanding Bonds" means all Bonds which remain outstanding. City ofChula Vista Community Facilities District No. 2001-1 San Miguel Ranch - Improvement Area A Page A -3 I¡~ f - 3-S- "Property Owner Association Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area A owned by or dedicated to a property owner association, including any master or sub-association. "Proportionately" means for Developed Property that the ratio of the actual Special Tax levy to the Assigned Special Tax or Backup Special Tax is equal for all Assessor's Parcels of Developed Property within CFD No. 2001-1, Improvement Area A. For Undeveloped Property "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Annual Special Tax per Acre is equal for all Assessor's Parcels of Undeveloped Property within CFD No. 2001-1, Improvement Area A. "Public Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area A that is used for rights-of-way or any other purpose and is owned by or dedicated to the federal government, the State of California, the County, the City or any other public agency. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Residential Floor Area" means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Residential Floor Area shall be made by reference to appropriate records kept by the City's Building Department. Residential Floor Area will be based on the building permit(s) issued for each dwelling unit prior to it being classified as Occupied Residential Property, and shall not change as a result of additions or modifications made after such classification as Occupied Residential Property. "Special Tax" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement "Special Tax Requirement" means that amount required in any Fiscal Year for CFD No. 2001-1, Improvement Area A to: (i) pay annual debt service on all Outstanding Bonds as defined in Section A.; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds in accordance with the Indenture; (v) and pay directly for acquisition and/or construction of public improvements which are authorized to be financed by CFD No. 2001-1, Improvement Area A; (vi) less a credit for Available Funds. "State" means the State of California. City ofChula Vista Community Faciiities District No. 2001-i San Miguei Ranch - Improvement Area A Page A -4 1136 t I 3-~ "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2001-1, Improvement Area A which are not exempt from the Special Tax pursuant to law or Section E below. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property. B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2001-1, Improvement Area A shall be classified as Developed Property or Undeveloped Property and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D below. Furthermore, Developed Property shall be classified as Residential Property or Commercial Property. c. MAXIMUM ANNUAL SPECIAL TAX RATE 1. Developed Property The Maximum Annual Special Tax for each Assessor's Parcel of Residential Property or Commercial Property that is classified as Developed Property shall be the greater of (I) the Assigned Special Tax described in Table I below or (2) the amount derived by application of the Backup Special Tax. a. Assi !ned Special Tax The Assigned Special Tax for each Assessor's Parcel of Developed Property is shown in Table 1. TABLE 1 Assigned Special Tax for Developed Property Land Use Class Description Assigned Special Tax Residential Property $475.00 per unit plus $0.34 per 1 square foot of Residential Floor Area 2 Commercial Property $5,091 per Acre of Commercial Property City ofChula Vista Community Facilities District No. 2001-1 San Miguei Ranch - Improvement Area A Page A -5 I I If 37 ':3-7 b. Backup Special Tax When a Final Map is recorded within Improvement Area A, the Backup Special Tax for Assessor's Parcels of Developed Property classified as Residential Property or Commercial Property shall be determined as follows: For each Assessor's Parcel of Developed Property classified as Residential Property or for each Assessor's Parcel of Undeveloped Property to be classified as Residential Property within the Final Map area, the Backup Special Tax shall be the rate per Lot calculated according to the following formula: $10,376 x A B= n---------------------- L The terms above have the following meanings: L= Backup Special Tax per Lot in each Fiscal Year. Acreage classified or to be classified as Residential Property in such Final Map. Lots in the Final Map which are classified or to be classified as Residential Property. B= A= For each Assessor's Parcel of Developed Property classified as Commercial Property or for each Assessor's Parcel of Undeveloped Property to be classified as Commercial Property within the Final Map area, the Backup Special Tax shall be determined by multiplying $10,376 by the total Acreage of the Commercial Property and Undeveloped Property to be classified as Commercial Property within the Final Map area. Notwithstanding the foregoing, if Assessor's Parcels of Residential Property, Commercial Property or Undeveloped Property for which the Backup Special Tax has been determined are subsequently changed or modified by recordation of a new or amended Final Map, then the Backup Special Tax applicable to such Assessor's Parcels shall be recalculated to equal the amount of Backup Special Tax that would have been generated if such change did not take place. 2. Undeveloped Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property shall be the amount shown in Table 2 below: City ofChuia Vista Community Facilities District No. 2001-i San Miguei Ranch -Improvement A rea A Page A -6 )/ 3%--3-8 TABLE 2 Maximum Annual Special Tax for Undeveloped Property Land Use Class Description Maximum Annual Special Tax 3 Undeveloped Property $10,376 per Acre D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2002-03 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied on each Assessor's Parcel of Developed Property at a rate up to 100% of the applicable Assigned Special Tax to satisfy the Special Tax Requirement. Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property, excluding any Assessor's Parcels classified as Undeveloped Property pursuant to Section E, at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax to be levied on each Assessor's Parcel whose Maximum Annual Special Tax is derived by the application of the Backup Special Tax shall be increased Proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax for each such Assessor's Parcel. Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel classified as Undeveloped Property pursuant to Section E at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten percent per year as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel ofCFD No. 2001-1, Improvement Area A. City oj Chula Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area A Page A -7 '3-~ /1 J'1 I I - E. EXEMPTIONS The CFD Administrator shall classify as exempt property (i) Assessor's Parcels defined as Public Property, (ii) Assessor's Parcels defined as Property Owner Association Property, (iii) Assessor's Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iv) Assessor's Parcels defined as Community Purpose Facility Property or (v) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, provided that no such classification would reduce the sum of all Taxable Property to less than 121.93 Acres. Notwithstanding the above, the CFD Administrator shall not classify an Assessor's Parcel as exempt property if such classification would reduce the sum of all Taxable Property to less than 121.93 Acres. Assessor's Parcels which cannot be classified as exempt property because such classification would reduce the Acreage of all Taxable Property to less than 121.93 Acres will be classified as Undeveloped Property and shall be taxed as a part of the fourth step in Section D. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes exempt property. The Maximum Annual Special Tax obligation for any Public Property which cannot be classified as exempt property as described in the first paragraph of Section E shall be prepaid in full by the seller pursuant to Section H.l, prior to the transfer/dedication of such property. Until the Maximum Annual Special Tax obligation for any such Public Property is prepaid, the property shall continue to be subject to the levy of the Special Tax as Undeveloped Property pursuant to the fourth step in Section D. F. REVIEW/APPEAL COMMITTEE The Council shall establish as part of the proceedings and administration of CFD No. 200]- 1, Improvement Area A, a special three-member Review/Appeal Committee. Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may file a written notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Assessor's Parcel. The Review/Appeal Committee may establish such procedures as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/Appeal Committee shall be final and binding as to all persons. City oj Chula Vista Community Facilities District No. 200i-1 San Miguel Ranch -Improvement Area A Page A -8 )/ ?--IO ¥ti G. MANNER OF COLLECTION The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2001-1, Improvement Area A may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on Assessor's Parcels which are delinquent in the payment of Special Taxes. Tenders of Bonds may be accepted for payment of Special Taxes upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. H. PREPAYMENT OF SPECIAL TAX The following definition applies to this Section H: "Outstanding Bonds" means all previously issued Bonds which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Maximum Annual Special Taxes. 1. Prepayment in Full The Maximum Annual Special Tax obligation may only be prepaid and permanently satisfied by an Assessor's Parcel of Developed Property, Undeveloped Property for which a building permit has been issued, or Public Property. The Maximum Annual Special Tax obligation applicable to such Assessor's Parcel may be fully prepaid and the obligation of the Assessor's Parcel to pay the Special Tax permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Annual Special Tax obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount of such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this figure. City oJChuia Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area A Page A -9 !I II ii I 3-/1 7/ The Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): Total: Bond Redemption Amount plus Redemption Premium plus Defeasance Amount plus Administrative Fees and Expenses less Reserve Fund Credit less Capitalized Interest Credit equals Prepayment Amount As of the proposed date of prepayment, the Prepayment Amount (defined below) shall be calculated as follows: Paragraph No.: 1. For Assessor's Parcels of Developed Property, compute the Maximum Annual Special Tax for the Assessor's Parcel to be prepaid. For Assessor's Parcels of Undeveloped Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. For Assessor's Parcels of Public Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel using the Maximum Annual Special Tax for Undeveloped Property. 2. Divide the Maximum Annual Special Tax computed pursuant to paragraph 1 by the sum of the total expected Maximum Annual Special Tax revenues excluding any Assessor's Parcels which have been prepaid. 3. Multiply the quotient computed pursuant to paragraph 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid (the" Bond Redemption Amount"). 4. Multiply the Bond Redemption Amount computed pursuant to paragraph 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium"). 5. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds. 6. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. CityoJChula Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area A PageA-IO H ¥2. 3-12 7. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid. 8. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount less the Administrative Fees and Expenses from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the prepayment. 9. Add the amounts computed pursuant to paragraphs 5 and 7 and subtract the amount computed pursuant to paragraph 8 (the "Defeasance Amount"). 10. Verify the administrative fees and expenses of CFD No. 2001-1, Improvement Area A, including the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 11. The reserve fund credit (the" Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. 12. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the quotient computed pursuant to paragraph 2 by the expected balance in the capitalized interest fund after such first interest and/or principal payment (the "Capitalized Interest Credit") . 13. The Maximum Annual Special Tax prepayment is equal to the sum of the amounts computed pursuant to paragraphs 3, 4, 9, and 10, less the amounts computed pursuant to paragraphs 11 and 12 (the "Prepayment Amount"). 14. From the Prepayment Amount, the amounts computed pursuant to paragraphs 3, 4, 9, 11, and 12 shall be deposited into the appropriate fund as established under the Indenture and be used to retire Outstanding Bonds or make debt service payments. The amount computed pursuant to paragraph 10 shall be retained by CFD No. 2001-1, Improvement Area A. City oj Chula Vista Community Facilities District No. 2001-1 San Miguel Ranch - Improvement Area A -1-1 t f i~) I':::;' ~--l3 Page A -/J The Prepayment Amount may be insufficient to redeem other than a $5,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of bonds or to make debt service payments. As a result of the payment of the current Fiscal Year's Special Tax levy as determined under paragraph 7 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Board shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Special Taxes and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax shall cease. Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Annual Special Taxes that may be levied on Taxable Property within CFD No. 2001-1, Improvement Area A both prior to and after the proposed prepayment is at least 1.1 times the maximum annual debt service on all Outstanding Bonds. Tenders of Bonds in prepayment of Maximum Annual Special Taxes may be accepted upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. 2. Prepayment in Part The Maximum Annual Special Tax on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section H.l; except that a partial prepayment shall be calculated according to the following formula: PP = (PE X F) + A These terms have the following meaning: PP = the partial prepayment PE = the Prepayment Amount calculated according to Section H.l, minus Administrative Expenses and Fees pursuant to Step 10. F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Annual Special Tax. A= the Administrative Expenses and Fees pursuant to Step 10. City oJChula Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area A Page A -12 1/ Illt 3-ILf I The owner of an Assessor's Parcel who desires to partially prepay the Maximum Annual Special Tax shall notify the CFDAdministrator of (i) such owner's intent to partially prepay the Maximum Annual Special Tax, (ii) the percentage by which the Maximum Annual Special Tax shall be prepaid, and (iii) the company or agency that will be acting as the escrow agent, if applicable. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Maximum Annual Special Tax for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the City shall (i) distribute the funds remitted to it according to Paragraph 14 of Section H.I, and (ii) indicate in the records of CFD No. 2001-1, Improvement Area A that there has been a partial prepayment of the Maximum Annual Special Tax and that a portion of the Maximum Annual Special Tax equal to the outstanding percentage (1.00 - F) of the remaining Maximum Annual Special Tax shall continue to be authorized to be levied on such Assessor's Parcel pursuant to Section D. 1. TERM OF MAXIMUM ANNUAL SPECIAL TAX The Maximum Annual Special Tax shall be levied commencing in Fiscal Year 2002-03 to the extent necessary to fully satisfy the Special Tax Requirement for a period no longer than 2037-38. Llengm",\AGENDA\Ord Autho,ize Levy of Special Tax. 12-18-01.doc City oJChula Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area A Page A -/3 fl 1 '1£ 6-/5 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1, IMPROVEMENT AREA B (San Miguel Ranch) A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable Property within the City of Chula Vista Community Facilities District No. 2001-1 ("CFD No. 2001-1, Improvement Area B") and collected each Fiscal Year commencing in Fiscal Year 2002-03, in an amount determined by the City Council through the application of the appropriate Special Tax for "Developed Property," and "Undeveloped Property as described below. All of the real property in CFD No. 2001-1, Improvement Area B, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, record of survey, or other recorded document creating or describing the parcel. I f the preceding maps are not available, the Acreage shall be determined by the City Engineer. "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2001-1, Improvement Area B including, but not limited to, the following: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County, the City, or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2001-1, Improvement Area B or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2001-1, Improvement Area B or any designee thereof of complying with City, CFD No. 2001-1, Improvement Area B or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2001-1, Improvement Area B or any designee thereof related to an appeal of the Special Tax; and the costs associated with the release of funds from an escrow account, if any. City oJChuia Vista Community Facilities District No. 2001-1 Sail Miguel Ranch -Improvement Area B Page B -I t 3~/b I {-f1b Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2001-1, Improvement Area B for any other administrative purposes of CFD No. 2001-1, Improvement Area B, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor's Parcel number. "Assessor's Parcel Máp" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. "Assigned Special Tax" means the Special Tax for each Land Use Category of Developed Property as determined in accordance with Section C. 1. a. "Available Funds" means the balance in the reserve fund established pursuant to the terms of the Indenture in excess of the reserve requirement as defined in such Indenture, delinquent special tax payments, , the Special Tax prepayments collected to pay interest on Bonds, and other sources of funds available as a credit to the Special Tax Requirement as specified in such Indenture. "Backup Special Tax" means the Special Tax amount set forth in Section c.1.b. below. "Bonds" means any bonds or other debt (as defined in the Act), whether in one or more series, issued by CFD No. 2001-1, Improvement Area B under the Act. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2001-1, Improvement Area B" means City of Chula Vista, Community Facilities District No. 2001-1, Improvement Area B (San Miguel Ranch). "City" means the City of Chula Vista. "Commercial Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more non- residential structures, excluding Community Purpose Facility Property. "Community Purpose Facility Property" means all Assessor's Parcels which are classified as community purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2452. City oJChula Vista Community Facilities District No. 200i-i San Miguel Ranch -Improvement Area B Page B-2 -H "17 3-/7 "Council" means the City Council of the City, acting as the legislative body of CFD No. 2001-1, Improvement Area B. "County" means the County of San Diego. "Developed Property" means, for each Fiscal Year, all Taxable Property for which a building permit for new construction was issued prior to March 1 of the prior Fiscal Year. "Final Map" means a subdivision of property created by recordation of a .final map, parcel map, or lot line adjustment, approved'by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Indenture" means the indenture, fiscal agent agreement, trust agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Tables I and 2 of Section C. "Lot(s)" means an individual legal lot created by a Final Map for which a building permit for residential construction has been or could be issued. "Master Developer" means the owner of the predominant amount of Undeveloped Property in CFD No. 2001-1, Improvement Area B. "Maximum Annual Special Tax" means the maximum annual Special Tax, determined in accordance with the provisions of Section C below, that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Occupied Residential Property" means all Assessor's Parcels of Residential Property which have closed escrow to an end user. "Outstanding Bonds" means all Bonds which remain outstanding. "Property Owner Association Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area B owned by or dedicated to a property owner association, including any master or sub-association. CityoJChula Vista Community Facilities District No. 2001-1 San Miguel Ranch -Improvement Area B Page B -3 -~ 3-.18 "Proportionately" means for Developed Property that the ratio of the actual Special Tax levy to the Assigned Special Tax or Backup Special Tax is equal for all Assessor's Parcels of Developed Property within CFD No. 2001-1, Improvement Area B. For Undeveloped Property "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Annual Special Tax per Acre is equal for all Assessor's Parcels of Undeveloped Property within CFD No. 2001 -1, Improvement Area B. "Public Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area B that is used for rights-of-way or any other purpose and is owned by or dedicated to the federal government, the State of California, the County, the City or any other public agency. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Residential Floor Area" means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Residential Floor Area shall be made by reference to appropriate records kept by the City's Building Department. Residential Floor Area will be based on the building permit(s) issued for each dwelling unit prior to it being classified as Occupied Residential Property, and shall not change as a result of additions or modifications made after such classification as Occupied Residential Property. "Special Tax" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement "Special Tax Requirement" means that amount required in any Fiscal Year for CFD No. 2001-1, Improvement Area B to: (i) pay annual debt service on all Outstanding Bonds as defined in Section A.; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds in accordance with the Indenture; (v) and pay directly for acquisition and/or construction of public improvements which are authorized to be financed by CFD No. 2001-1, Improvement Area B; (vi) less a credit for Available Funds. "State" means the State of California. City oJChuia Vista Community Facilities District No. 200l-i San Miguel Ranch - Improvement Area B Page B-4 -II lit¡ 3-1'1 "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2001-1, Improvement Area B which are not exempt from the Special Tax pursuant to law or Section E below. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property. c. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2001-1, Improvement Area B shall be classified as Developed Property or Undeveloped Property and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D below. Furthermore, Developed Property shall be classified as Residential Property or Commercial Property. c. MAXIMUM ANNUAL SPECIAL TAX RATE 1. Developed Property The Maximum Annual Special Tax for each Assessor's Parcel of Residential Property or Commercial Property that is classified as Developed Property shall be the greater of (I) the Assigned Special Tax described in Table I below or (2) the amount derived by application of the Backup Special Tax. c. Assi !ned Special Tax The Assigned Special Tax for each Assessor's Parcel of Developed Property is shown in Table 1. TABLE 1 Assigned Special Tax for Developed Property Land Use Class Description Assigned Special Tax I Residential Property $475.00 per unit plus $0.32 per square foot of Residential Floor Area 2 Commercial Property $2,263 per Acre of Commercial Property City oJChula Vista Community Facilities District No. 200i-1 San Miguel Ranch - Improvement Area B Page B -5 'I -0 B-2D , ~ d. Backup Special Tax When a Final Map is recorded within Improvement Area B, the Backup Special Tax for Assessor's Parcels of Developed Property classified as Residential Property or Commercial Property shall be determined as follows: For each Assessor's Parcel of Developed Property classified as Residential Property or for each Assessor's Parcel of Undeveloped Property to be classified as Residential Property within the Final Map area, the Backup Special Tax shall be the rate per Lot calculated according to the following formula: $4,578 x A B= ------____--_nnn_-_-- L The terms above have the following meanings: L= Backup Special Tax per Lot in each Fiscal Year. Acreage classified or to be classified as Residential Property in such Final Map. Lots in the Final Map which are classified or to be classified as Residential Property. B= A= For each Assessor's Parcel of Developed Property classified as Commercial Property or for each Assessor's Parcel of Undeveloped Property to be classified as Commercial Property within the Final Map area, the Backup Special Tax shall be determined by multiplying $4,578 by the total Acreage of the Commercial Property and Undeveloped Property to be classified as Commercial Property within the Final Map area. Notwithstanding the foregoing, if Assessor's Parcels of Residential Property, Commercial Property or Undeveloped Property for which the Backup Special Tax has been determined are subsequently changed or modified by recordation of a new or amended Final Map, then the Backup Special Tax applicable to such Assessor's Parcels shall be recalculated to equal the amount of Backup Special Tax that would have been generated if such change did not take place. 3. Undeveloped Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property shall be the amount shown in Table 2 below: City oJChula Vista Community Facilities District No. 2001-i San Miguel Ranch -Improvement Area B Page B-6 I J I { 3-Z1 ::;1 l TABLE 2 Maximum Annual Special Tax for Undeveloped Property Land Use Class Description Maximum Annual Special Tax 3 Undeveloped Property $4,578 per Acre D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2002-03 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied on each Assessor's Parcel of Developed Property at a rate up to 100% of the applicable Assigned Special Tax to satisfy the Special Tax Requirement. Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property, excluding any Assessor's Parcels classified as Undeveloped Property pursuant to Section E, at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax to be levied on each Assessor's Parcel whose Maximum Annual Special Tax is derived by the application of the Backup Special Tax and shall be increased Proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax for each such Assessor's Parcel. Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel classified as Undeveloped Property pursuant to Section E at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten percent per year as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel ofCFD No. 2001-1, Improvement Area B. City oJChula Vista Community Facilities District No. 200i-1 San Miguel Ranch - Improvement Area B Page B-7 II f t çz 3-22. E. EXEMPTIONS The CFD Administrator shall classifY as exempt property (i) Assessor's Parcels defined as Public Property, (ii) Assessor's Parcels defined as Property Owner Association Property, (iii) Assessor's Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iv) Assessor's Parcels defined as Community Purpose Facility Property or (v) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, provided that no such classification would reduce the sum of all Taxable Property to less than 103.61 Acres. Notwithstanding the above, the CFD Administrator shall not classify an Assessor's Parcel as exempt property if such classification would reduce the sum of all Taxable Property to less than 103.61 Acres. Assessor's Parcels which cannot be classified as exempt property because such classification would reduce the Acreage of all Taxable Property to less than 103.61 Acres will be classified as Undeveloped Property and shall be taxed as a part of the fourth step in Section D. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes exempt property. The Maximum Annual Special Tax obligation for any Public Property which cannot be classified as exempt property as described in the first paragraph of Section E shall be prepaid in full by the seller pursuant to Section H.l, prior to the transfer/dedication of such property. Until the Maximum Annual Special Tax obligation for any such Public Property is prepaid, the property shall continue to be subject to the levy of the Special Tax as Undeveloped Property pursuant to the fourth step in Section D.. F. REVIEW/APPEAL COMMITTEE The Council shall establish as part of the proceedings and administration of CFD No. 2001- 1, Improvement Area B a special three-member Review/Appeal Committee. Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may file a written notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Assessor's Parcel. The Review/Appeal Committee may establish such procedures as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/ Appeal Committee shall be final and binding as to all persons. City oJChula Vista Community Facilities District No. 200I-i San Miguel Ranch - Improvement Area B Page B-8 4 :;3 :3 -2.3 G. MANNER OF COLLECTION The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2001-1, Improvement Area B may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on Assessor's Parcels which are delinquent in the payment of Special Taxes. Tenders of Bonds may be accepted for payment of Special Taxes upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. H. PREPAYMENT OF SPECIAL TAX The following definition applies to this Section H: "Outstanding Bonds" means all previously issued Bonds which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Maximum Annual Special Taxes. 1. Prepayment in Full The Maximum Annual Special Tax obligation may only be prepaid and permanently satisfied by an Assessor's Parcel of Developed Property, Undeveloped Property for which a building permit has been issued, or Public Property. The Maximum Annual Special Tax obligation applicable to such Assessor's Parcel may be fully prepaid and the obligation of the Assessor's Parcel to pay the Special Tax permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Annual Special Tax obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount of such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this figure. City oJChula Vista Community Facilities District No. 200i-1 San Miguel Ranch -Improvement Area B Page B -9 II ~Jj /1 f -=3-2'+ The Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): Total: Bond Redemption Amount plus Redemption Premium plus Defeasance Amount plus Administrative Fees and Expenses less Reserve Fund Credit less Capitalized Interest Credit equals Prepayment Amount As of the proposed date of prepayment, the Prepayment Amount (defined below) shall be calculated as follows: Paragraph No.: 1. For Assessor's Parcels of Developed Property, compute the Maximum Annual Special Tax for the Assessor's Parcel to be prepaid. For Assessor's Parcels of Undeveloped Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. For Assessor's Parcels of Public Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel using the Maximum Annual Special Tax for Undeveloped Property. 2. Divide the Maximum Annual Special Tax computed pursuant to paragraph 1 by the sum of the total expected Maximum Annual Special Tax revenues excluding any Assessor's Parcels which have been prepaid. 3. Multiply the quotient computed pursuant to paragraph 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid (the "Bond Redemption Amount"). 4. Multiply the Bond Redemption Amount computed pursuant to paragraph 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium"). 15. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds. 16. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. City oJChula Vista Community Facilities District No. 200i-1 San Miguei Ranch - Improvement Area B Page B -10 -II :;:g:: 3 -25 17. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid. 18. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount less the Administrative Fees and Expenses from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the prepayment. 19. Add the amounts computed pursuant to paragraphs 5 and 7 and subtract the amount computed pursuant to paragraph 8 (the "Defeasance Amount"). 20. Verify the administrative fees and expenses of CFD No. 2001-1, Improvement Area B, including the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 21. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. 22. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the quotient computed pursuant to paragraph 2 by the expected balance in the capitalized interest fund after such first interest and/or principal payment (the "Capitalized Interest Credit"). 23. The Maximum Annual Special Tax prepayment is equal to the sum of the amounts computed pursuant to paragraphs 3, 4, 9, and 10, less the amounts computed pursuant to paragraphs 11 and 12 (the "Prepayment Amount"). 24. From the Prepayment Amount, the amounts computed pursuant to paragraphs 3, 4, 9, 11, and 12 shall be deposited into the appropriate fund as established under the Indenture and be used to retire Outstanding Bonds or make debt service payments. The amount computed pursuant to paragraph 10 shall be retained by CFD No. 2001-1, Improvement Area B. City oJChula Vista Community Facilities District No. 2001-1 San Miguei Ranch - Improvement Area B Page B -I i -J. I Cb '3 -2,,- I ~ The Prepayment Amount may be insufficient to redeem other than a $5,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of bonds or to make debt service payments. As a result of the payment of the current Fiscal Year's Special Tax levy as determined under paragraph 7 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Board shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Special Taxes and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax shall cease. Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Annual Special Taxes that may be levied on Taxable Property within CFD No. 2001-1, Improvement Area B both prior to and after the proposed prepayment is at least 1. 1 times the maximum annual debt service on all Outstanding Bonds. Tenders of Bonds in prepayment of Maximum Annual Special Taxes may be accepted upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. 2. Prepayment in Part The Maximum Annual Special Tax on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section H.I; except that a partial prepayment shall be calculated according to the following formula: PP = (PEX F) + A These terms have the following meaning: PP = the partial prepayment PE = the Prepayment Amount calculated according to Section H.l, minus Administrative Expenses and Fees pursuant to Step 10. F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Annual Special Tax. A = the Administrative Expenses and Fees pursuant to Step 10. City oJChula Vista Community Facilities District No. 200I-i San Miguel Ranch - Improvement Area B PageB-12 ---H <57 3-2-7 The owner of an Assessor's Parcel who desires to partially prepay the Maximum Annual Special Tax shall notify the CFDAdministrator of (i) such owner's intent to partially prepay the Maximum Annual Special Tax, (ii) the percentage by which the Maximum Annual Special Tax shall be prepaid, and (iii) the company or agency that will be acting as the escrow agent, if applicable. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Maximum Annual Special Tax for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the City shall (i) distribute the funds remitted to it according to Paragraph 14 of Section 1.1, and (ii) indicate in the records of CFD No. 2001-1, Improvement Area B that there has been a partial prepayment of the Maximum Annual Special Tax and that a portion of the Maximum Annual Special Tax equal to the outstanding percentage (1.00 - F) of the remaining Maximum Annual Special Tax shall continue to be authorized to be levied on such Assessor's Parcel pursuant to Section D. I. TERM OF MAXIMUM ANNUAL SPECIAL TAX The Maximum Annual Special Tax shall be levied commencing in Fiscal Year 2002-03 to the extent necessary to fully satisfy the Special Tax Requirement for a period no longer than 2039-40. ),\engineec\AGENDAIO,d Authodze Levy of Special Tex. 12-l8-0\.doc City oJChula Vista Community Facilities District No. 2001-1 San Miguel Ranch - Improvement Area B Page B-13 -II i CíJ 3~28 COUNCIL AGENDA STATEMENT Item ~ Meeting Date 01115/02 ITEM TITLE: Resolution Establishing dates for property owners to be ready to receive underground service and for the removal of poles and overhead facilities within Underground District No. 131, along Fourth Avenue, from "H" Street to "L" Street. SUBMITTED BY: Director of Public work* C. M &f' REVIEWED BY: Ity anager~~ D~ (4/5thsVote: Yes_NoX) On January 25,2000, the City Council held a public hearing and approved Resolution No. 2000-027 establishing Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street. In accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution 2000- 027 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 poles, overhead wires, and associated structures. The conversion of overhead utilities to underground is anticipated to be completed by December 31, 2002. City Council Policy #585-01 allows the City to use utility undergrounding funds to reimburse all affected properties for the cost of undergrounding of private service laterals. RECOMMENDATION: That Council approve the resolution to: 1. Set June 28, 2002 as the date by which property owners within Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street shall be ready to receive underground service 2. Set December 31, 2002 as the date by which poles, overhead wires and associated structures shall be removed within Underground Utility District No. 131, along Fourth Avenue, from "H" Street to "L" Street BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On January 25, 2000, the City Council approved Resolution No 2000-027 establishing Underground Utility District No. 131, along Fourth Avenue from "H" Street to "L" Street. Also, in accordance with the City Code and said resolution, the City Clerk notified all property owners within the district ofthe relevant provisions by mailing each owner and resident a copy of said resolution. There were no inquiries by the property owners regarding the notification. If-I Page 2, Item /4 Meeting Date 01/15/02 During a meeting of the Utility Undergrounding Advisory Committee (UUAC), conducted on November 14, 2001, the utility representatives informed Engineering staff that the following schedule can be met for the subject underground conversion district: Date for customer to be ready to receive June 28, 2002 underground service Date for the completion of undergrounding December 31, 2002 work and the removal of overhead utilities, poles and associated structures Upon approval of this resolution, a notification letter, indicating the above-mentioned schedule, will be sent to residents and property owners within the district. Exhibit "A" presents a listing of those property owners. The conversion work by the property owners involves trenching, backfill and installation of conduit from the property line to point of connection. On July 11, 2000, the City Council approved Resolution 2000-233 amending City Council Policy No. 585-1 expanding the use of SDG&E utility funds to reimburse all property owners for their trench work. The new policy is applicable to all districts formed in calendar year 1992 and thereafter. Each property owner is required to construct lateral connections to their property, and will be reimbursed at a rate of $35 per foot of trench conduit (up to 100'). The City will reimburse each property owner after receipt of said funds from SDG&E and completion of the building permit process. There are 94 single-family dwellings and 6 non single-family dwellings within the district. The subsidy for single-family dwellings is estimated to be $116,070. The subsidy of non single- fanfily dwellings is estimated to be $5,735. Exhibit "B" gives an estimate of the reimbursement to each property owner. The boundary for the project is shown on attached Exhibit C. FISCAL IMPACT: The cost of pole removal, undergrounding overhead facilities and private property conversion reimbursements as outlined above is estimated to be approximately $1,000,000. SDG&E's allocation funds (Rule 20-A) will cover the estimated cost of the project. The estimated subsidy to property owners for their trench work is $137,000. The cost of street light construction, associated with the installation of new street lights and conversion from wooden to concrete poles is approximately $140,000. Attachment: Eyd~ibit A Notification Mailing List Exhibit B - List of parcels and propeay owners qualify/ng for reimbursement with and estimate of the Reimbursement. Exhibit C - Underground Utility District No. 131 Boundary Map J:kEngineer~AGENDA\UUD 131 CustomerRD Council.j cm.doc FOURTH AVENUE FROM "H" STREET TO "L" STREET UNDERGROUNDING MAILING LIST December 5, 2001 AFFECTED PROPERTY OWNERS 5730100500 Occupant Daniel & Araceli Comreras 539 Fourth Ave 515 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5730210300 5730100700 Richard & Graciela A Muro Quiogue Family Trust 533 Fourth Ave 748 Redlands Place Chula Vista, CA 91910 Bonita, CA 91902 Occupant Occupant 533-A Fourth Ave 521 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 Occupant 5730210100 533-B Fourth Ave Ernest M Marshall Trust Chula Vista, CA 91910 2588 El Camino Real, #F Carlsbad, CA 92008 5730810100 Christian J Bender Occupant 830 1 lth St 523-A Fourth Ave Imperial Beach, CA 91932 Chula Vista, CA 91910 Occupant Occupant 398 Mankato St 523-B Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5730810200 5730210200 Eli Albert 5730210400 825 Fairway Ct Chula Vista Service Club Center Inc Chula Vista, CA 91911 547 Fourth Ave Chula Vista, CA 91910 Occupant 553 Fourth Ave Occupant Chula Vista, CA 91910 529 Fourth Ave Chula Vista, CA 91910 EXHIBIT "A" 5730810300 5730900600 Myma C Vargas Revocable Trust Bustamante Family Trust 3301 Dorchester Dr 2904 "I" Ave San Diego, CA 92123 National City, CA 91950 Occupant Occupant 555 Fourth Ave 591 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5730810400 Occupant Maria D Cameron 595 Fourth Ave 565 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 Occupant 5730810500 597 Fourth Ave Boyd J & Alice W Empey Chula Vista, CA 91910 938 Myra Ave Chula Vista, CA 91911 5731400100 Enrique & Dolores Espino Occupant 605 Fourth Ave 567 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 Occupant 5730810600 605-A Fourth Ave Maria T Foos Chula Vista, CA 91910 571 Fourth Ave Chula Vista, CA 91910 Occupam 605-B Fourth Ave 5730900100 Chula Vista, CA 91910 Howard M & Janis M Pierson 567 Fourth Ave 5731400200 Chula Vista, CA 91910 Ignacio & Rosa A Torres 615 Fourth Ave Occupant Chula Vista, CA 91910 577 Fourth Ave Chula Vista, CA 91910 5731400300 Faustino & Irma P Murguia 5730900200 619 Fourth Ave Jesus E Rivas Chula Vista, CA 91910 585 Fourth Ave Chula Vista, CA 91910 5731403500 Davis Trust Occupant 325 Kempton St,//662 585-1/2 Fourth Ave Spring Valley, CA 91977 Chula Vista, CA 91910 Occupant Occupant 621 Fourth Ave 659 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5731400600 5732310400 Norberto Aguilar Cora F Wehl 627 Fourth Ave P O Box 206 Chula Vista, CA 91910 Julian, CA 92036 5731400700 Occupant George H Thomas Living Trust 663 Fourth Ave 633 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732310500 5731400800 Charles Soderbery Marguerite Ruby Brainard Trust 671 Fourth Ave 639 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732310700 5731400900 Percy & Florence Marshall Family Trust Janice D Stahlheber Trust 652 Glover P1 641 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732311500 5732310100 Hildelisa G Garcia Donald J & Theresa M Barahura 1010 Oaklawn Ave 649 Fourth Ave Chula Vista, CA 91911 Chula Vista, CA 91910 Occupant 5732310200 673 Fourth Ave Lupe M Acuna Chula Vista, CA 91910 1353 Fourth Ave Chula Vista, CA 91911 5732311600 Luis Omiveros Occupant 677 Fourth Ave 655 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732311700 5732310300 Carlos Flores Eloise P Owen 685 Fourth Ave 604 Pine Tree Drive Chula Vista, CA 91910 Panama City, FL 32413 5732311800 5733010700 Marco A & Leticia C Jasso Pittsford Family Trust P O Box BF 7083 Alondra Ave Chula Vista, CA 91912 Hesperia, CA 92345 Occupant Occupant 687 Fourth Ave 735 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732311900 5733010800 Price Family Trust Ben A & Margaret A Villanueva 691 Fourth Ave 739 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5732314100 5733010900 Marjorie J Sinram Trust Rosalia Walter 399 "J" St 745 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5733010200 5733100100 James Randolph Gelfo Mario Lopez Jr 709 Fourth Ave 398 Kearney St Chnla Vista, CA 91910 Chula Vista, CA 91910 5733010300 5733104000 James J & Charlotte A Gelfo Trust Fernando & Cynthia G Zermeno 715 Fourth Ave 763 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5733010400 5733100400 Rose M Young Luis G & Ramona Galindo 719 Fourth Ave 767 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5733010500 5733104100 Pollard Family Trust Octavio & Isabel Miranda 725 Fourth Ave 769 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5733010600 5733104200 John T & Deloise C Green William & Ethel Krecklow 729 Fourth Ave 773 Fourth Ave Chnla Vista, CA 91910 Chnla Vista, CA 91910 5733103600 Marco A Galindo 777 Fourth Ave Occupant Chula Vista, CA 91910 772 Fourth Ave Chula Vista, CA 91910 5733102900 Occupant Luis G & Ramona Galindo 776 Fourth Ave 785 Fourth Ave Chnia Vista, CA 91910 Chula Vista, CA 91910 Occupant 5733103000 807 Fourth Ave Malvina E J Abbott Trust Chula Vista, CA 91910 791 Fourth Ave Chula Vista, CA 91910 5734201800 Michael S & Shari M Quinn 5733103100 819 Fourth Ave Charles T Easley Chula Vista, CA 91911 793 Fourth Ave Chula Vista, CA 91910 5734201400 Jesse C & Lolita L Madden 1993 Trust 5733103200 823 Fourth Ave Sheila A Alberts Chula Vista, CA 91911 P O Box 8228 La Jolla, CA 92038 Occupant 823-B Fourth Ave Occupant Chula Vista, CA 91910 795 Fourth Ave Chula Vista, CA 91910 Occupant 823-C Fourth Ave 5733103500 Chula Vista, CA 91910 Louis M Robles 799 Fourth Ave 5734300100 Chula Vista, CA 91910 Jon P & Leslie A Klukas 827 Fourth Ave 5734202000 Chula Vista, CA 91911 5720531000 5722600700 5734404300 Riesgo Family Trust Joann Hickey 458 Westby St 3652 Valley Vista Way Chula Vista, CA 91911 Bonita, CA 92002 Occupant Occupant 570 Fourth Ave 895 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5720430300 5720530600 Maritess Pascoguin Sharyn A Lumpkins 524 Fourth Ave 560 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5720430400 5720530700 Corrigan Family Trust Leon & Dena C Estrada 528 Fourth Ave 564 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5720430500 5720531100 Manuel & Arm M Manzo Domingo H & Teresita E Abella Trust 536 Fourth Ave 436 Sandy Creek Dr Chula Vista, CA 91910 Bonita, CA 91902 5720431000 Occupant Perez Family Trust 574 Fourth Ave 229 East James St Chula Vista, CA 91910 Chula Vista, CA 91910 5720630900 Occupant Virginia Wilson 548 Fourth Ave 580 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 Occupant 5720630800 550 Fourth Ave Brian K & Valeta L Boyle Chula Vista, CA 91910 588 Fourth Ave Chula Vista, CA 91910 5720530300 Clemente A & Teresa A Inocente 5720630700 554 Fourth Ave Fermin & Miren Casillas Chula Vista, CA 91910 594 Fourth Ave Chula Vista, CA 91910 5720531400 Fred A Capuano 5720630600 4248 Bonita Rd Anzar Marital 1994 Trust Bonita, CA 91902 4251 Tim St Bonita, CA 91902 Occupant 556 Fourth Ave Occupant Chula Vista, CA 91910 598 Fourth Ave Chula Vista, CA 91910 5721223300 Jose A & Pedrero Luz M A Clavijo Occupant 630 Fourth Ave 409 "I" St Chula Vista, CA 91910 Chula Vista, CA 91910 5721223200 5721222300 Roman J Virchis Trust 5721222400 636 Fourth Ave Occupam Chula Vista, CA 91910 409 1 St Chula Vista, CA 91910 5721223100 Joan Woods Trust Ignacio R & Elvia F Aguilar 642 Fourth Ave 610 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5721223000 5721223800 Mary M Lilly Carole G Marquez Trust 405 Halsey St 310 "K" St Chula Vista, CA 91910 Chula Vista, CA 91911 5721721900 Occupant Fred E & Angele E Georggin Trust 618 Fourth Ave 656 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5721223700 5721722000 Elisa R Deflores Donald D & Catherine L D Judd Trust 3833 Acacia Ave 672 Fourth Ave Bonita, CA 91902 Chula Vista, CA 91910 Occupam 5721722200 620 Fourth Ave William & Evelyn Jaekel Family Trust Chula Vista, CA 91910 668 Fourth Ave Chula Vista, CA 91910 5721223400 Richard E Wolcott Trust 5721722300 5763 Sprinter Ln Debora L Eide Bonita, CA 91902 674 Fourth Ave Chula Vista, CA 91910 Occupant 626 Fourth Ave Occupam Chula Vista, CA 91910 678 Fourth Ave Chula Vista, CA 91910 5721723200 5722603000 Charles R Straw Edna T Urbach Trust 684 Fourth Ave 762 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5721723300 5722603100 Francisco Villalobos Sarah A Cooper & Julio Mayen 686 Fourth Ave 768 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5721722600 5722605000 Fidencio & Elvia Gonzalez Ana M Ibarra 688 Fourth Ave 780 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5721723000 5723001100 Virginia E Diaz Sweetwater Union High School District 690 Fourth Ave 1130 Fifth Ave Chula Vista, CA 91910 Chula Vista CA 91911 5721723500 Chula Vista High school Mario & Dorothy A Covarrubias 820 Fourth Ave 698 Fourth Ave Chula Vista, CA 91910 Chula Vista, CA 91910 5722405300 Eduardo & Maricela Escobar 704 Fourth Ave Chula Vista, CA 91910 5722401000 Benjamin F & Felix Alma G Montes 716 Fourth Ave Chula Vista, CA 91910 5722401100 Andres S & Susan L Aguilar 718 Fourth Ave Chula Vista, CA 91910 5722602900 George & Nazhat Sabbagh 756 Fourth Ave Chula Vista, CA 91910 INFORMATIONAL MAILING LIST 5733011900 5734401700 Edwin & Solis Petra Santiago Alberto & Linda Castilleja 394 "J' Street 396 West Sierra Way Chula Vista, CA 91910 Chula Vista, CA 91911 5722401200 Donald J & Martha tt Causton Trust 5734401800 720 4th Ave Francis P & Roberta L Mcgee Trust Chula Vista, CA 91910 875 4th Ave Chula Vista, CA 91911 5722401400 Edward J & Norma J Cupela 5734403400 402 James Ct Julia Welch Chula Vis~a, CA 91910 396 Palomar Dr Chula Vista, CA 91911 5722403700 Celia M Dunkl 5734302200 401 Kearney Street Earl F Garner Jr Chula Vista, CA 91910 847 4th Ave Chula Vista, CA 91910 5734200100 Yolanda M Salazar Occupant 101 East "J" Street 396 "I' Street Chula Vista, CA 91910 Chula Vista, CA 91910 Occupant 5722604900 803 Fourth Ave Ana C Mendoza Chula Vista, CA 91910 786 Fourth Ave Chula Vista, CA 91910 5734302100 Michael Trust 01-24-95 396 San Miguel Dr Chula Vista, CA 91911 5734400100 Darrel S & Star IIedger 853 Fourth Ave Chula Vista, CA 91910 J:\EngineerLA. DVPLAN\UUDIST~Fourth H to L Property Address.doc ~ Disl~ict Boundary · Exisiting Poles c Dusk-Down Light u'nUTY UNDERGROUND DISTRICT NO. 131 ~ ~Parcels inUnderground District FOURTH A~_., H SI TO L ST Utilities affected ow o~ ~: ~le~ OVERVIEW ,,~. ~.~,~v5'~ .,,,. C: Cable E~ng,-~ UTIUTY UNDERGROUND DISTRICT NO. 131 Dusk-Down Ught ~r~ i. U~g~r~ a~t FOURTH AVE, H ST TO L ST Utilities affected E: Electrical PAGE 1 OF 2 I~7c~T: Te~e¢or~ EXHIBIT "C" C: Cable · E~smng P~e~ UTIUTY UNDERGROUND DISTRICT NO. 131 ¢ Dusk-Dow~ Light ~ Parcels in Underground District FOURTH AVE, H ST TO L ST Utilities affected aw E: Electdcal PAGE 2 OF 2 C: Cable RESOLUTION NO. 2002- 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 POLES AND OVERHEAD FACILITIES WITHIN UNDERGROUND UTILITY DISTRICT NO. 131, ALONG FOURTH AVENUE, FROM "H" STREET TO "L" STREET WHEREAS, the City Council has heretofore by Resolution No. 2000-027 established Underground Utility District No. 131 along Fourth Avenue, from "H" Street to "L" Street; and WHEREAS, in accordance with Section 15.32.150 of the Chula Vista Municipal Code, Resolution 2000-027 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. 131 shall be ready to receive underground service on June 28, 2002. 2. Poles, overhead wires and associated overhead structures shall be removed from parcels within Underground Utility District No. 131 by December 31, 2002. BE IT FURTHER RESOLVED that the City Clerk and the Director of Public Works of the City of Chula Vista are hereby authorized and directed to provide the notifications to affected utilities and property owners required by Chula Vista Municipal Code Section 15.32.180. Presented by John P. Lippitt Director of Public Works j, \attorney\re,o\UUD ready to receive ..rvice 4 '7-' - --."- COUNCIL AGENDA STATEMENT Item ~F~ Meeting Date 01/15/2002 ITEM TITLE: Resolution Appropriating $55,000.00 from the unencumbered balance of the Traffic Signal Fund for the replacement of the City's former JHK traffic system with the Quicknet/4 Advanced Traffic Management System (ATMS) to CIP Project No. TF-254. SUBMITTED BY: Director of Public Works,~ REVIEWED BY: City Manager ~{~ (4/5ths Vote: Yes X No ) On October 9, 1997, the City has received approval for the use of Congestion Management and Air Quality (CMAQ) federal funding, administered by CALTRANS, for the acquisition of traffic control system software and hardware from Bi Tran Systems, Inc. in the amount of $55,000.00. City funds are always fronted to finance federal-aided projects under CMAQ funding. After those projects are completed, City staff requests reimbursement from CALTRANS for the approved funding. The federal funds are still available for the City to apply to that project, but City funds must be appropriated at this time in order to front the project costs. RECOMMENDATION: That Council approve a resolution appropriating $55,000.00 from the unencumbered balance of the Traffic Signal Fund for the replacement of the City's former JHK traffic system with the Quicknet/4 Advanced Traffic Management System (ATMS) BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The replacement of the existing traffic system to the Quicknet/4 Advanced Traffic Management System (ATMS) was originally approved as CIP Project No. TF-254 in FY 97/98 with a budget of $110,000.00 being appropriated from the Traffic Signal Fund. The scope of the work included replacement of the existing aging traffic signal control system with a more versatile Bi Tran QuickNet/4 system that was also compatible with the City's traffic signal Type 170 controllers. The work also included a communication processor, two workstations, a notebook computer, intersection graphics, software, other associated equipment and upgrades and staff training. Through the replacement proposal process, staff realized that the available funds of $110,000 were not adequate for the needed work; therefore, staff requested additional funds from CALTRANS by way of State-funded grants under the Congestion Mitigation and Air Quality (CMAQ) program. As a result, on October 9, 1997, staff received approval for the use of $55,000.00 in CMAQ funds. For such State funding, howevcr, the City would have to front the monies through appropriation of additional funds for thc project, then they would be reimbursed to the City by CALTRANS after completion of the project. Page 2,Item ,~ MeetingDate:01/15/2002 The project is now at the point where the City funds, to be utilized in advance of receipt of the grant funds, are needed. Approximately $98,000.00 has already been expended and a balance of $38,000.00 will have to be paid to the consultant for total expenditures of $136,000.00 up to date; therefore the originally budgeted City funds of $110,000.00 would be insufficient to cover all incurred costs. In appropriating the additional funds, and later getting reimbursed for them, the City will have sufficient funds to cover all costs associated with this project. Therefore, staff recommends that Council approve a resolution appropriating $55,000.00 from the unencumbered balance of the Traffic Signal Fund for the replacement of the existing JHK City's traffic system with the Quicknet/4 Advanced Traffic Management System (ATMS) FISCAL IMPACT: FUNDS REQUIRED FOR REPLACEMENT A. Funds Already Expended $98,000.00 B. Balance due to Consultant $38,000.00 C. Contingencies $29,000.00 TOTAL $165,000.00 FUNDS AVAILABLE FOR CONSTRUCTION A. Traffic Signal Fund $l 10,000.00 B. CMAQ Funds (after appropriation of City funds, then reimbursement) $55,000.00 TOTAL $165,000.00 There is minimal additional annual maintenance cost associated with this project over what are currently being paid. Prepared by: Majed A1-Ghafry J:\Engineer~_GENDA\Quicknet4_tf-254.ma.doc RESOLUTION NO. 2002-- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $55,000 FROM THE UNENCUMBERED BALANCE OF THE TRAFFIC SIGNAL FUND FOR THE REPLACEMENT OF THE CITY'S FORMER JHK TRAFFIC SYSTEM WITH THE QUICKNET/4 ADVANCED TRAFFIC MANAGEMENT SYSTEM (ATMS) WHEREAS, on October 9, 1997, the City has received approval for the use of Congestion Management and Air Quality (CMAQ) federal funding, administered by CAL TRANS, for the acquisition of traffic control system software and hardware from Bi Tran Systems, Inc. in the amount of$55,000.00; and WHEREAS, City funds are always fronted to finance federal-aided projects under CMAQ funding and after those projects are completed, City staff requests reimbursement from CAL TRANS for the approved funding; and WHEREAS, the federal funds are still available for the City to apply to that project, but City funds must be appropriated at this time in order to front the project costs. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby appropriate $55,000 from the unencumbered balance of the Traffic Signal Fund for the replacement of the City's form JHK traffic system with the Quicknet/4 Advanced Traffic Management System (ATMS). Presented by Approved as to form by John P. Lippitt Director of Public Works ~"(~ Attorney )ol,uomeylresol T"ftic Signal A TMS Appmp,iation 5-3 COUNCIL AGENDA STATEMENT Item ¢ Meeting Date 1/15/02 ITEM TITLE: Resolution Summarily Vacating a Public Street Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula Vista by document no. 1991-0156302 recorded April 8th 1991. Resolution Summarily Vacating a Slope Rights and Drainage Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula Vista by document no. 1991-0156301 recorded April 8th 1991. Resolution Summarily Vacating a Road Easement over Parcel 2 of Parcel Map 16033 to the City of Chula Vista recorded October 24th 1900 in Book 304, Page 9 of deeds. SUBMITTED BY: Director of Public Work~ REVIEWED BY: City Manager ~lL (4/Sths Vote: Yes No X ) A request has been received from Pacific Bay Homes to vacate 3 easements belonging to the City of Chula Vista within Parcel 2 of Parcel Map 16033 owned by Pacific Bay Homes. In accordance with Chapter 4, Section 8330 et.seq, of the California Streets and Highways Code, this type of vacation may be performed summarily through adoption of a resolution of vacation. RECOMMENDATION: That Council adopts a resolution summarily vacating the easements located within Lot 2 of Map No. 16033 BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The Public Street Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula Vista by document no. 1991-0156302 recorded April 8th 1991 was an old Proctor Valley Road alignment. Since 1991 Proctor Valley Road has been built on a revised alignment and the necessary right of way in that area has been obtained. There are no drainage structures nor utilities within the old easement and adequate streets have been Page 2, Item (./ Meeting Date 1/15/02 built to allow access to all parcels in the vicinity. The street easement serves no purpose to the City. The Slope Rights and Drainage Easement over Pamel 2 of Parcel Map 16033 granted to the City of Chula Vista by document no. 1991-0156301 recorded April 8th 1991 was granted to build the slopes and to drain the old Proctor Valley Road alignment. Since there are no drainage structures nor utilities within the old easement and the road is now built in a different location, the Slope Rights and Drainage easement serves no purpose to the City. The Road Easement over Parcel 2 of Parcel Map 16033 to the City of Chula Vista recorded October 24th 1900 in Book 304; Page 9 of deeds was originally conveyed to the County of San Diego. Since then the City annexed a portion of the area underlying this easement. Because of the surveying practices in the 1900's the legal description for this document is unplotable but the title report shows it in this lot. Subsequent maps to the southeast and the northwest of said parcel have been abandoned leaving only this portion. Staff believes that this easement is yet an older alignment of ~vhat no~v is Proctor Valley Road. There are no drainage structures nor utilities within the old easement and adequate streets has bean built to allow access to all parcels in the vicinity. The Road easement serves no purpose to the City. Chapter 4, Section 8333(c) of the California Streets and Highways Code states that an easement may be summarily vacated if the easement has been superseded by relocation and there are no other public facilities located within the easement. The easements no longer serve the purpose for which they were dedicated due to the construction of the current Proctor Valley Road and the rest of the surrounding streets make these easements unnecessary and of no use to the City. The Planning and Building Department and Open Space staff have been notified of the proposed vacations and have no objections. FISCAL IMPACT: The costs related to the processing of this request for vacation are being paid for by a deposit of monies by the applicant under the City's Full Cost Recovery System. Attachments: Exhibit "A" - Plat showing the new alignment of Proctor Valley Rd. Exhibit "B" Plat showing the vacation J:\Engineer\LANDDEV\Rolling Hills Ranch\vacation\pvr~vac. RNY.doc BEAK PARCEL- EXHIBIT BEAK PARCEL ~ EASEMENT FOR SLOPE RIGHTS AND DRAINAGE PURPOSES PER DOCUMENT RECORDED APRIL 8, 1991 AS FILE NO. 1991-0156301 OF O.R. - TO BE SUMMARILY VACATED ~ EASEMENT FOR STREET PURPOSES PER DOCUMENT RECORDED APRIL 8, 1991 AS FILE NO. 1991-0156J02 ~'".-..._] OF O.R. - TO BE SUMMARILY VACATED THE LOCATION OF THE EASEMENT GRANTED TO THE COUNTY OF SAN DIEGO FOR ROAD PURPOSES PER DOCUI,,fENT RECORDED OCTOBER 24, 1900 IN BOOK ,304, PAGE 9 OF DEEDS IS NOT DISCLOSED OF RECORD AND THEREFORE CANNOT BE PLOTTED. - TO BE SUMMARILY VACATED 200 0 200 400 600 SCALE 1" = 200' R: \O009~O009yO22.dwq[ 'i220]Dec-10-2001: ~4:01 RESOLUTION NO.2002- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A PUBLIC STREET EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033 GRANTED TO THE CITY OF CHULA VISTA BY DOCUMENT NO. 1991-0156302 RECORDED APRIL 8TH 1991 WHEREAS, a request has been received from Pacific Bay Homes to vacate three easements belonging to the City of Chula Vista within Parcel 2 of Parcel Map 16033 owned by Pacific Bay Homes; and WHEREAS, the Public Street Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula Vista by Document No. 1991-0156302 recorded April 8th 1991 was an old Proctor Valley Road alignment; and WHEREAS, since 1991, Proctor Valley Road has been built on a revised alignment and the necessary right of way in that area has been obtained; and WHEREAS, there are no drainage structures nor utilities within the old easement and adequate streets have been built to allow access to all parcels in the vicinity, therefore, the street easement serves no purpose to the City; and WHEREAS, in accordance with Chapter 4, Section 8333 of the California Streets and Highways Code, this type of vacation may be performed summarily through adoption of a resolution ordering said summary vacation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby summarily vacate a Public Street Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula Vista by Document No. 1991-0156302 recorded April 8th, 1991, as shown on Exhibit "B", attached hereto and incorporated herein as if set forth in full. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to record this Resolution of Vacation in the office of the San Diego County Recorder. Presented by Approved as to form by John P. Lippitt Director of Public Works J, \Attorney\ResoWacation summary street ~-5 RESOLUTION NO.2002- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A SLOPE RIGHTS AND DRAINAGE EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033 GRANTED TO THE CITY OF CHULA VISTA BY DOCUMENT NO. 1991-0156302 RECORDED APRIL 8~ 1991 WHEREAS, a request has Homes to vacate three easements vista within Parcel 2 of Parcel Homes; and been received from Pacific Bay belonging to the city of Chula Map 16033 owned by Pacific Bay WHEREAS, the Slope Rights and Drainage Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula vista by Document No. 1991-0156302 recorded April 8th 1991 was granted to build the slopes and to drain the old Proctor Valley Road alignment; and WHEREAS, since there are no drainage structures nor utilities within the old easement and the road is now built in a different location, the Slope Rights and Drainage easement serves no purpose to the city; and WHEREAS, in accordance with Chapter 4, Section 8333 of the California Streets and Highways Code, this type of vacation may be performed summarily through adoption of a resolution ordering said summary vacation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby summarily vacate a Slope Rights and Drainage Easement over Parcel 2 of Parcel Map 16033 granted to the City of Chula vista by Document No. 1991-0156302 recorded April 8th, 1991, as shown on Exhibit "B", attached hereto and incorporated herein as if set forth in full. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to record this Resolution of Vacation in the office of the San Diego County Recorder. Presented by Approved as to form by ~~ J.ty Attorney John P. Lippitt Director of Public Works J, \Attorney\Reso\ vacation summary drainage easement ~-þ RESOLUTION NO.2002- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUMMARILY VACATING A ROAD EASEMENT OVER PARCEL 2 OF PARCEL MAP 16033 TO THE CITY OF CHULA VISTA RECORDED OCTOBER 24TH 1900 IN BOOK 304, PAGE 9 OF DEEDS WHEREAS, a request has Homes to vacate three easements Vista within Parcel 2 of Parcel Homes; and been received from Pacific Bay belonging to the city of Chula Map 16033 owned by Pacific Bay WHEREAS, the Road Easement over Parcel 2 of Parcel Map 16033 to the City of Chula Vista recorded October 24th 1900 in Book 304, Page 9 of deeds was originally conveyed to the County of San Diego; and WHEREAS, since then the City annexed a portion of the area underlying this easement; and WHEREAS, because of the surveying practices in the 1900's, the legal description for this document is unplotable but the title report shows it in this lot and subsequent maps to the southeast and northwest of said parcel have been abandoned leaving only this portion; and WHEREAS, Chapter 4, Section 8333 (c) of the California Streets and Highways Code states than an easement may be summarily vacated if the easement has been superseded by relocation and there are no other public facilities located within the easement. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula Vista does hereby summarily vacate a Road Easement over Parcel 2 of Parcel Map 16033 to the City of Chula Vista recorded October 24th, 1900 in Book 304, Page 9 of deeds, as shown on Exhibit "B", attached hereto and incorporated herein as if set forth in full. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to record this Resolution of Vacation in the office of the San Diego County Recorder. Presented by Approved as to form by John P. Lippitt Director of Public Works J, IAt torneylReso \Vacation summary road easement ~~~ ;W J.ty Attorney ø-7 COUNCIL AGENDA STATEMENT Item ri Meeting Date 1/15/02 ITEM TITLE: Resolution Approving agreement between the City of Chula Vista and Infrastructure Management Services, Inc. (IMS) to provide Pavement Testing/Condition Analysis, Data Collection, and Management Services (STL-273). SUBMITTED BY: Director of Public Works~/ REVIEWED BY: City Manager G~l~ C' (4/5ths Vote: Yes ) ~ ,9 NoX On August 31,200l, the City of Chula Vista advertised a Request for Proposal (RFP) from qualified engineering consultant firms for the collection of pavement condition data for the City's current pavement management system. The field data is outdated and new testing/pavement condition data is required for the entire street network. The objective of the new Pavement Management System is to update the existing pavement data and make recommendations as to how the current street condition within the City's public streets can be maintained, rehabilitated, or reconstructed for the next five years, using available funds. On October 1, 2001, the City received three (3) proposals to perform pavement testing and management services, and on October 15, 2001 all three consultant firms were interviewed. Infrastructure Management Services, Inc. (IMS) was selected as the most qualified of the three firms that responded to the request for proposals. IMS performed the original pavement testing for the City of Chula Vista in the late 1980's, and in staff's opinion IMS can most efficiently and effectively update the current City's Pavement Management System data in a manner, which is fully compatible with our existing system. RECOMMENDATION: That Council pass a resolution approving an agreement between the City and Infrastructure Management Services, Inc. (IMS) to provide pavement testing and management services within the City's public street network. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The City received proposals to perform pavement testing and management services from the following three firms: Golder Associates, Infrastructure Management Services Inc. ([MS), and Eres Consultants, with proposals of $129,550, $163,500, and $166,162, respectively. On October I5, 2001 all three consultant firms were interviewed. Infrastructure Management Services, Inc. (IMS) was selected as the most qualified of the three finns that responded to the request for proposals. Although Golder Associates' proposal was less than the other qualified firms, their proposed pavement management services were not consistent nor appeared to be as effective as the other Page 2, Item 1 Meeting Date 1/15/02 The IMS system was originally chosen by the City in 1986 and again in 1995 because of their method of analysis used to determine the condition of pavement in the various street segments. At each test location, surface distress, roughness, rutting, environmental and image data will be collected using IMS's Laser Road Surface Tester. The Laser RST is an automated survey device that largely removes subjective human influences, and thus produces superior pavement performance information. In addition, deflection data will also be collected using a Dynaflect device at each roadway section. The Dynaflect is a servo mechanical device that is used to determine pavement strength and layer performance characteristics. The Laser RST system is mounted in a van loaded with computers that receives the information from the laser as the van drives the streets at a speed of around 20-30 mph. The laser "reads" the amount and size of pavement cracking and measures the variations in the smoothness of the surface. The computer processes the information which can be downloaded into the City's computers when the field work is completed. One of the consulting firms that responded to the RFP proposed to perform this type of field observation either manually or by using windshield survey. Because of the lack of consistency which would result from making repeated manual observations by different people to determine the extent and severity of cracking over several days, or under a number of different conditions, the IMS system, using the laser based testing machine, was believed to be the most repeatable, consistent and dependable. In addition, the van-mounted laser is expected to complete the proposed field work within a month. It was staff's decision to stay with the IMS system because of the excellent responses to the interview panel's questions, and their presentation during the interview. The IMS learning curve time and implementation requirements will be negligible, and IMS can start working on the assignment as soon as the City authorizes them to begin work on the project. In addition, using another system would require replacing the old system, including software, and training to use a new program. This would also lead to the loss of the value of our existing software and data before we have had an opportunity to compare the results of our pavement management efforts over the last ten years with the anticipated results based on the previous data. IMS has continually been upgrading their computer program to more effectively handle all of the maintenance and financing scenarios unique to our City and, as part of the annual system maintenance costs, has provided those to us. Due to the factors describe above, we believe that the IMS system is the most convenient, effective, and dependable of the available systems. We have also very closely examined the cost proposal and negotiated a very reasonable price. Taking all this into account, staff believes that the option to change systems at this time should be rejected. 1MS will provide new links between our ArcView mapping program and the pavement management data. This will enables us to display and generate maps based upon street rehabilitation plans as well as use the query function of our mapping programs to display pavement management data. In addition, IMS has now incorporated the ability to view pavement through digital images from a personal computer or workstation. The digital images will be housed within the PavePro program Page 3, Item i~ ~~ Meeting Date 1/15/02 manager, or within the City's GIS. Once loaded, we will be able to inspect the roadways as a series of still images, or complete a "virtual drive" down any road in the network. The pavement testing work will be done in accordance with Capital Improvement Project Number STL-273, Pavement Management Program Pavement Testing, which was approved by the City Council as part of the FY 2001/2002 Capital Improvement Program. The total budget for the project is $200,000. IMS's initial proposal for the work was $163,500 plus an additional $6,000 for the "Digital Images" for a total proposal of $169,500. During contract negotiations, Engineering staff and IMS determined the exact scope of the Pavement Management Program and a time table for the testing activities. 1MS has agreed to do the work as outlined in the agreement for the amount not to exceed $169,500. The cost includes IMS's initial proposal work and "Digital Images". FISCAL IMPACT: The total cost of the work as outlined in the Agreement is $169,500, which, as indicated above, staff believes is reasonable for the work to be done. The CIP budget for this project is $200,000. This expenditure will allow the ongoing pavement management program to be carded out with greater assurance of optimum return on the City's investment in its street infrastructure. The total expenditures, including stafftime, will be within the budget amount. J:\Engineer\AG ENDA\lMScouncilagenda. JCM.doc RESOLUTION NO.2002-- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND INFRASTRUCTURE MANAGEMENT SERVICES, INe. (IMS) TO PROVIDE PAVEMENT TESTING/CONDITION ANALYSIS, DATA COLLECTION, AND MANAGEMENT SERVICES (STL-273) WHEREAS, on August 31, 2001, the City of Chula Vista advertised a Request for Proposal (RFP) from qualified engineering consultant firms for the collection of pavement condition data for the City's current pavement management system; and WHEREAS, the field data is outdated and new testing/pavement condition data is required for the entire street network in order to update the existing pavement data and make recommendations as to how the current street condition within the City's public streets can be maintained, rehabilitated, or reconstructed for the next five years, using available funds; and WHEREAS, on October 1, 2001, the City received three (3) proposals to perform pavement testing and management services, and on October IS, 2001 all three consultant firms were interviewed; and WHEREAS, Inftastructure Management Services, Inc. (IMS) was selected as the most qualified of the three firms that responded to the request for proposals and performed the original pavement testing for the City of Chula Vista in the late 1980's, and in staffs opinion IMS can most efficiently and effectively update the current City's Pavement Management System data in a manner which is fully compatible with our existing system. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the Agreement between the City of Chula Vista and Inftastructure Management Services, Inc. (IMS) to provide Pavement Testing/Condition Analysis, Data Collection, and Management Services (STL-273), a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City ofChula Vista is hereby authorized to execute said agreement on behalf of the City ofChula Vista. Presented by Approved as to form by John P. Lippitt Director of Public Works D~ ì. 1-10-- foIL John M. Kaheny City Attorney J.I,ttom,y"",IIMS pmm'"t "reemo", rJ-4 Parties and Recital Page(s) Agreement between City of Chula Vista and Infrastructure Management Services (lMS) For Pavement Testing and Management Services This agreement ("Agreement"), dated December 24. 2001 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, IMS Infrastructure Management Services, Inc.; 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.) C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc 1-5 Page 1 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 on 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. c.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.)Cm.doc r¡-(; Page 2 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 Poiicy, Consultant shaii deliver a poiicy endorsement to the City demonstrating same, which shall be reviewed and approved by the Risk Manager. H. Securitv for Performance. (1) Performance Bond. C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doe r¡ -1 Page 3 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. 1. 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 shaii 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. C.\windows\TEMP\2ptyagrIMS Absolute Flnal Dee 24 2001.]cm.doe 1~~ Page 4 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. All 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 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"). c.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.]cm.doc 'ì-~ Page 5 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. 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 Áct. 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 c.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.]cm.doc 71-10 Page 6 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. Ç;onsultant further warrants and represents that no promise of future employment, remun~ration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement. Consulltant promises to advise City of any such promise that may be made during the Term of this ~greement, 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, excep\iwith 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. 7.1 Indemnification and Hold Harmless Agreement. With respect to any liability, including but not limited to claims asserted or costs, losses, attorney fees, or payments for injury to any person or property caused or claimed to be <;aused by the acts or omissions of the Consultant, or Consultant's employees, agents, and officers, arising out of any services performed involving this project, except liability for Professional Services covered under Section 7.2, the Consultant agrees to defend, Indemnify, protect, and hold harmless the City, its agents, officers, or employees from aM against all liability. Also covered is liability arising from, connected with, caused by, or q;laimed to be caused by the active or passive negligent acts or omissions of the City, its agsnts, officers, or employees which may be in combination with the active or passive negligElnt acts or omissions of the Consultant, its employees, agents or officers, or any third party. The Consultant's duty to indemnify, protect and hold harmless shall not include any claims or iiabilities arising from the sole negligence or sale willful misconduct of the City, its agents, officers or employees. This section in no way alters, affects or modifies the ConsuHant's obligation and duties under Section Exhibit A to this Agreement. C.\windows\TEMP\2ptyagrIMS Absolute Fwal Dee 24 2001.]cm.doc ry-/f Page 7 7.2 Indemnification for Professional Services. As to the Consultant's professional obligation, work or services involving this Project" the Consultant agrees to indemnify, defend and hold harmless the City, its agents, officersiand employees from and against any and all liability, claims, costs, and damages, Includirig but not limited to, attorneys fees, losses or payments for injury to any person or property, caused directly or indirectly from the negligent acts, errors or omissions of the Consultant or Consultant's employees, agents or officers; provided, however, that the Consultant's duty to indemnify shall not include any claims or liability arising from the negligence or willful misconduct of the City, its agents, officers and employees. 8. Termination of Agreement for Cause lif, through any cause, Consultant shall fail to fulfill In a timely and proper manner consu~' ant's obligations under this Agreement, or if Consultant shall violate any of the coven nts, agreements or stipulations of this Agreement, City shall have the right to termin te 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 termin;:\tion. In that event, all finished or unfinished documents, data, studies, surveys, drawln$s, 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 eq(.litable 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 payabl~ hereunder, and less any damages caused City by Consultant's breach. 9. I::rrors and Omissions In the event that the City Administrator obtains a written opinion of an independent third-party professional (experienced in the Defined Services contemplated by this agreement) that the Consultant has committed acts of professional negligence, errors or omissl~ns in the performance of work under this Agreement, and the City Administrator detemjines that such acts have resulted in expense to City greater than would have resulted if there were no such negligence, acts or omissions, Consultant shall reimburse City fat any additional expenses incurred by the City. Nothing herein is Intended to limit City's nights 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 lea~t thirty (30) days before the effective date of such termination. In that event, all finishe~ 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 termin$ted 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 c.\windows\TEMP\2ptyagrIMS Absolute F,nal Dee 24 2001.jem.doe r"Ï "" '{-Ier- Page 8 other ml3terials to the effective date of such termination. Consultant hereby expressly waives $1ny and all claims for damages or compensation arising under this Agreement except as set forth herein. 11. Assignability The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any Interest in the same (whether by assignment or novation), without prior written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants Identified thereat as "Permitted Subconsultants". 12. Ownership, Publication, Reproduction and Use of Material All reports, studies, Information, data, statistics, forms, designs, plans, procedures, system$ and any other materials or properties produced under this Agreement shall be the sale 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 Consul~ant 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 sale control of the manner and means of performing the service!s 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 n<Dt 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. 14. Administrative Claims Requirements and Procedures No suit or arbitration shaii 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 CitV 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. C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc 1- /s Page 9 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. 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. C. Notices All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All 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 mutually 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 C,\wlndows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.]em.doc r-¡-I~ Page 10 Agreement, and that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. F. Governing LawNenue 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 Califomia, 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.] C,\wlndows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc VJ - 15 Page 11 Signature Page to Agreement between City of Chula Vista and Infrastructure Management Services (IMS) for Pavement Testing and Management Services 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: ,200- City of Chula Vista by: The Honorable Mayor Shirley Horton Attest: Susan Bigelow, City Clerk Approved as to form: John M. Kaheny, City Attorney Dated: Exhibit List to Agreement ( X) Exhibit A. C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doe rJ-lro Page 12 Exhibit A to Agreement between City of Chula Vista and Infrastructure Management Services (IMS) 1. Effective Date of Agreement: December 24. 2001 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: business form] a [Insert 3. Place of Business for City: City of Chula Vista, 276 Fourth Avenue, Chula Vista, CA 91910 4. Consultant: Infrastructure Management Services (IMS) 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership ( X ) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 4685 South Ash Avenue, Suite H-4 Tempe, Arizona 85282 Phone (480) 839-4347 Fax (480) 897-1133 C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc 1-1'1 Page 13 7 General Duties: The Consultant shall collect pavement condition data for the City's entire street system. The Consultant shall provide a final pavement management report which outlines a street program of maintenance, repair, rehabilitation, and replacement and assures the optimization of tax dollars. The final report shall Include a five year pavement improvement plan based on the recommendations of the pavement evaluation program. The pavement management system must also meet the minimum pavement management requirements for the Flexible Congestion Relief Fund under Proposition 111 and the Federal Intermodal Surface Transportation Efficiency Act (ISTEA). 8. Scope of Work and Schedule: A. Detailed Scope of Work: General Scope of Consultant Services A test section is defined as a street segment 660 ft. long. All sections shall be tested and analyzed as described in this section of the agreement following the field survey protocols of the City's existing pavement management system. It is estimated that there will be approximately 6,900 test sections. The project consists of evaluating the pavement conditions of approximately 346 center-line miles throughout the City of Chula Vista. Of this total, it is estimated that 14.9 miles are 6-lane prime arterials, 6.6 miles are 6-lane major arterials, 20.5 miles are 4-lane major arterials, 21.2 miles are Class I collectors, 39.7 miles are Class II collectors, 11.4 miles are Class III collectors and 231.7 miles are residential. Private streets and alleys will not be evaluated. The Consultant shall furnish all services as required to collect the pavement condition data for the City's current Pavement Management System that at a minimum, includes the following: A. Update the inventory of the entire street system with the network level evaluation and add all new streets not contained in the City's existing pavement management system to the database. B. Priority reports suggesting the most cost effective individual strategy and major maintenance treatment for each segment of a street in the network, prioritized in light of the entire network. C. Budget reports indicating the most cost effective five year street maintenance and rehabilitation Capital Improvement Programs. C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc ry-/8 Page 14 D. Budget analysis for the entire network including the effects of deferred maintenance. E. Surface condition survey utilizing video enhanced Laser Road Surface Tester (RST) or equivalent, an automated objective data collection device. The RST uses lasers and onboard computers to collect the surface condition and inventory data for transfer into the IMS Pavement Management Software Program. In conjunction with the field survey, consultant shall obtain digital still images at 100-foot intervals and load them into the City's existing pavement management system. F. Associate all pavement management sections to their respective GIS section. Task 1 - Identification of the Proaram As part of the proposed submittal, the Consultant shall identify the types of data files and methods of data for collection. It is also required to Identify the types of reports and analysis that could be generated, and to ensure that the available City hardware and software will support these data files. Task 2 - Field Data Inventory The Consultant shall perform a detailed environmental survey and condition analysis of the street network using the RST and evaluate shoulder and/or edge conditions, drainage conditions, and site conditions. The Consultant shall also enter said data into the City's IMS system, edit and error check the data to prevent input and errors from corrupting the data. Field Data Inventory shall also include, but not be limited to the following: . Project Initiation Kickoff and Planning Meeting . Continuous Laser RST Surface Condition Survey, Including crack, texture, rutting and roughness investigations, environmental and drainage survey, and inventory at block test interval . Dynaflect Testing Task 3 - Identification and Determination of a Preventive Maintenance Proaram Using the data collected and loading It on the City's IMS System, the Consultant should identify the various maintenance programs based on the City's budget forecasts. A report is required at the end of this task. Task 4 - Identification of Rehabilitation Strateaies The Consultant shall identify at least four different strategies per street segment and recommend the most feasible rehabilitative alternative. The effects of the timing of C.\windows\TEMP\2ptyagrIMS Absolute Final Dec 24 2001.jcm.doc rJ-¡Cj Page 15 the rehabilitation should be taken into account so that the City can evaluate the consequences of delaying and/or accelerating projects. The evaluation would consider when a utility company or City forces are planning to perform construction inIon a roadway segment. A report is required at the end of this task. Task 5 - Preparation of a Five (5) vear Rehabilitation Proaram A 5-year rehabilitation program shall be prepared documenting the sections to be improved In each year and the type of improvement recommended in such a way as to ensure maximum performance for the network while staying within the annual budget forecasts. This program should be able to take into consideration future storm drain, sanitary sewer, and water line construction in accordance with the future master plan of the City and the water companies. A report is required at the end of this task. Task 6 - Financial Plannina The Consultant shall determine the annual funding necessary to maintain the City's network of streets at a specified level of serviceability at a minimum cost to the City. A report is required at the end of this task. The Consultant shall Provide the City with the following training: . 3 day training on the City's existing pavement management system -Pave Pro Manager. Dynaflect Familiarization Training - up to one day observation with the operator; and . Video Enhanced Laser RST familiarization training - up to one half day observation and equipment demonstration. . The Consultant shall provide the City with all the services, supplies, equipment, hardware, software, reports, training, and technical assistance described in the IMS proposal to the City dated October 1, 2001, as amended by the letter from IMS dated October 18th, 2001 that are not mentioned or clearly identified in this agreement. The work identified in this exhibit, is to be performed between January of 2002 and May of 2002. Task 7 - Create a Custom Export File to export data from the Citv's Pavement Manaaement Svstem to the Citv's Infrastructure Manaaement Svstem liMA} The Consultant shall meet with the City's Public Works Department and review the data available within the pavement management system and create a custom export (ASCII file) that will be retained within the pavement management system. The C.\wìndows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doc r¡-;)Q Page 16 Consultant shall also review the GIS export function and demonstrate how all pavement management data is available through the GIS. B. Date for Commencement of Consultant Services: ( X) Same as Effective Date of Agreement ( ) Other: C. Dates or Time limits for Delivery of Deliverables: D. Deliverable No.1: All field data collection and related work shall be completed and delivered to the City by March 29, 2002. Deliverable No.2: Pavement Management Training shall be completed by May 31, 2002. Deliverable No.3: All Pavement Management Report shall be completed and delivered in final form by May 31, 2002. Deliverable No.4: Create a file export function by May 31,2002. Consultant shall not commence Services under any deliverable, and shall not be entitled to the compensation for a deliverable, unless City shall have issued a notice to proceed to Consultant as to said deliverable. Date for completion of all Consultant services: May 31, 2002. 9. Insurance Requirements: (X) (X) (X) ( ) (X) Statutory Worker's Compensation Insurance Employer's liability Insurance coverage: $1,000,000. Commercial General Liability Insurance: $1,000,000. Errors and Omissions insurance: None Required (included in Commercial General Liability coverage). Errors and Omissions Insurance: $500,000 (not included in Commercial General liability coverage). C.\wlndows\TEMP\2ptyagrIMS Absolute Flnal Dee 24 2001.]cm.doc 1-;}.1 Page 17 10. Materials Required to be Supplied by City to Consultant: Citv Furnished Services The City will furnish the Consultant, to the extent that they are available, existing City maps, existing street and survey information, traffic data, and any other such information that may be helpful to the Consultant in the performance of the service. 11. Compensation: A. (X) Single Fixed Fee Arrangement with Potential Adjustment. For performance of all of the Defined Services by Consultant as herein required, City shall pay a single fixed fee (with a potential adjustment) In the amounts and at the times or milestones or for the Deliverables set forth below: Single Fixed Fee Amount with Potential Adjustment: $169,500, payable as follows: Milestone Amount Commencement of Defined Services $25,000 $100,000 Completion of Field Work Completion of all Defined Services $44,500 minus Potential Adjustment Potential NeGative Adiustment of Fee The fee for Consultant's services is based upon testing approximately 6,900 test sections. In any event, the total amount to be paid to Consultant shall not exceed $169,500- but may be less. Because Consultant may not test as many sections as estimated or use certain equipment, an adjustment is contemplated to reimburse City for the reduction in Consultant's costs. This potential negative adjustment to Consultant's fee shall be calculated by subtracting the actual amount used of each item listed below from its estimated amount and multiplying by the Cost Per Unit. The total of a!! item Adjustments (if any) sha!! be equal to a negative adjustment to the fixed fee amount due Consultant. This negative adjustment shall be subtracted from the last payment due Consultant ($44,500). Adjustment Worksheet: C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.jcm.doe t1<Jd- Page 18 Inventory Extension (new sections) 800 $5.00 $ Development of GIS Pavement Layer (link to Arc View) 6900 $1.85 $ Continuous Laser RST Surface Condition Survey 6900 $9.00 $ Dynaflect Deflection Testing 6900 $8.00 $ Data editing, processing and QA & QC 6900 $1.00 $ TOTAL ADJUSTMENT $ Item Equipment Mobilization Estimated Actual Amount Amount Cost Per Unit Item Adjustment 2 $2,500.00 $ Milestone or Event or Deliverable Amount or Percent of Fixed Fee B. ( ) Itemized Fixed Fee Arrangement. ( ) 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 íuii retention has been held back írom the compensation due íor that phase. Percentage of completion of a phase shall be assessed in the sale 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 C. \ windows \ TEMP\2ptyagr IMS Absolute Final Dee 24 2001. j cm- doc Page 19 ~'d3 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 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 herein below 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 "relmbursables" ("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 ( ) Daily rates may increase by 6% for services rendered after March, 2002 ,if delay In providing services Is caused by City. 12. Materials Reimbursement Arrangement 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 ail costs. Cost or Rate () Reports, not to exceed $_: () Copies, not to exceed $_: () Travel, not to exceed $_: c, \windows\ TEMP\2ptyagrIMS Absolute Final Dee 24 2001. ) em. doc t1- ~ 4 Page 20 () 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: Jeff Moneda, Civil Engineer, Phone - (619) 397-6102 Consultant: Stephen J. Smith, Vice President 14. Liquidated Damages Rate: ( ) $_perday ( ) 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. 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. c, \ Wlndows \ TEMP\ 2ptyagr IMS Absolute Final Dee 24 2001. j em. doc Page 21 1-;;;5 ( ) Category No.7. Business positions. ( ) List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 16. ( ) Consultant is Real Estate Broker and/or Salesman 17. Permitted Subconsultants: None 18. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: ( ) Monthly ( ) Quarterly ( X ) Other: At completion of each milestone specified in Paragraph 11 (A) of this Exhibit B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month ( ) 15th Day of each Month ( ) End of the Month ( X ) Other: At completion of each milestone specified in Paragraph 11 (A) of this Exhibit C. City's Account Number: STL-273 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: c.\wlndows\TEMP\2ptyagrIMS Absolute Final Dee 24 200Ljcm.doc ì~J - d /¡; Page 22 (X) Retention Percentage: 10% ( ) Retention Amount: $ Retention Release Event: ( X ) Completion of All Consultant Services ( ) Other: J, \Engineer\ADVPLAN\PAVEMENT\2ptyagrIMS Absolute Final Dec 24 2001. j em. doe C.\windows\TEMP\2ptyagrIMS Absolute Final Dee 24 2001.]cm.doc r-¡-;;1 Page 23 PAGE 1, ITEM NO.: ~ MEETING DATE: 01/15/02 CITY COUNCIL AGENDA STATEMENT ITEM TITLE: RESOLUTION OF THE CITY OF CHULA VISTA APPROPRIATING $68,950 FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND TO THE COMMUNITY DEVELOPMENT DEPARTMENT FOR THE STOREFRONT RENOVATION PROGRAM SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR REVIEWED BY: CII~( JVLRNAGER BACKGROUND The Storefront Renovation Program was established by the City Council in November, 2000 and expanded from its original target area on Third Avenue in Town Centre I to H Street between Broadway Avenue and I-5 in November, 2001. The program provides rebate grants to property owners and merchants for eligible facade and signage projects in the target area. The program was funded by an original appropriation of $85,000 in November, 2000. Due to the nature of the program, it was anticipated that the initial appropriation would be sufficient for the first two to three years of the program Although it was intended that the remaining balance from the original program funds would be continued into the budget for 2001-2002, unfortunately they were not included. The current request seeks to remedy this situation. Subtracting funds spent from the original appropriation to date, $68,950 is the necessary amount to refund the program at its original appropriation amount. RECOMMENDATION It is recommended that the City Council appropriate $68,950 from the available fund balance of the General Fund to the Community Development Department for the Storefront Renovation Program. BOARDS/COMMISSIONS RECOMMENDATION The Storefront Renovation Program has been endorsed by the Chula Vista Downtown Business Association, by the Broadway Business Association and has been recommended by the Town Centre I Project Area Committee. PAGE 2, ITEM NO.: ~? MEETING DATE: 01/15/02 DISCUSSION The Storefront Renovation Program utilizes General Fund monies due to state law requiring participants to pay laborers prevailing wages if Redevelopment Agency funds were used for the program. During research for the program it was learned that the payment of prevailing wages would significantly increase the cost of storefront improvements for property owners and merchants in Chub Vista to the extent that it would make the program financially infeasible. To date, $16,050 has been spent on the Storefront Renovation Program. This including the design, printing and mailing of promotional materials, architectural design for six projects and the completion of two storefront projects - a full fac;ade at LaBella Pizza and o sign for Dr, Medina Cosmetic Dentistry. Currently a full fa~.ade improvement is being constructed at 298 Third Avenue and other projects are expected. The H Street portion of the program is expected to start in spring, 2002. FISCAL IMPACT The appropriation of $68,950 from the available fund balance of the General Fund will bring the funding of the Storefront Renovation Program back to the originally appropriated level established in November, 2000. J:\C OMMD EV~STAFF.RE P\01 - 15-02\srp approprlation.doc RESOLUTION NO. 2002- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $68,950 FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND TO THE COMMUNITY DEVELOPMENT DEPARTMENT FOR THE STOREFRONT RENOVATION PROGRAM WHEREAS, the Storefront Renovation Program was established by the City Council in November, 2000; and WHEREAS, the Storefront Renovation Program provides rebate grants to property owners and merchants in target areas for eligible sign and façade improvement projects; and WHEREAS, the City Council intends to continue the program in 2002. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it hereby appropriates $68,950 from the available fund balance of the General Fund to the Community Development Department for the Storefront Renovation Program. Presented by Approved as to form by Chris Salomone Director of Community Development J:lcommdevlresolcc- SRP Appropriation g-3 Page 1, Item Meeting Date 1/15/2002 COUNCIL AGENDA STATEMENT ITEM TITLE: Report Regarding the Development Impact Fee (D1F), Park Acquisition and Development (PAD) Fee, and Trunk Sewer Capital Reserve Funds for the Fiscal Year Ended June 30, 2001 Resolution No. Making Findings that the Unexpended Funds in the PAD Fee Fund are still needed to provide construction of facilities for which the fees were collected SUBMITTED BY: Assistant City Manager-Administrative Services Director of Public Works ~ REVIEWED BY: City Manage~/c~ (4/STHS Vote: Yes No X ) SUMMARY: State law requires local agencies assessing Development Impact Fees ("DIF") fees and capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and also includes for ease of reference and for the convenience of members of the public information on Parkland Acquisition and Development (PAD) fees. RECOMMENDATION: That Council accepts the report and approves the Resolution making findings that the unexpended PAD funds are still needed to provide construction of facilities for which the fees were collected. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable. DISCUSSION: State law requires local agencies assessing Development Impact Fees ("DIF") fees and capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and also include for ease of reference and for the convenience of members of the public information on Parkland Acquisition and Development (PAD) fees. It Page 2 Item , Meeting Date 1/15/2002 also requires that the local agency provide this information to the public for a minimum of fifteen days prior to reviewing this information at a public meeting. SB 1760 likewise requires local agencies to make available to the public, within 180 days after the last day of each fiscal year, information about capacity charges. These reports have been available in the City Clerk's office for public review since December 21,2001. The City of Chula Vista has several types of Development Impact Fees ("DIF"), Parkland Acquisition and Development fees ("PAD"), and Trunk Sewer Capital Reserve fees, which were assessed during the fiscal year, ended June 30, 2001. The major categories of DIFs are for transportation, traffic signal, park, drainage, sewer and public facilities. The Transportation DIF was increased in October 2000 from $5,920 to $6,065 per single family dwelling unit (SFD). The PAD fee was increased in April 2001 from $4,365 to $5,049 per SFD. Other existing DIFs remained at the same rate as the previous year. DEVELOPMENT IMPACT FEES (DIF) TRANSPORTATION DEVELOPMENT IMPACT FEE - This fee was adopted by the City to finance and coordinate the construction of new transportation facilities so that streets are built when needed. This fee is applicable to all new development east of 1-805. Prior to the program, streets were built by developers in a fragmented fashion with 6-lane facilities, necking down to 2- lanes and expanding back to 6 lanes again. In addition, there was a fairness issue since some developers fronted on large streets and others did not. Now all developers in the Eastern portion of Chula Vista pay the same fee per dwelling unit and either the City constructs the street or a developer does, using the cost to offset the TransD1F fee at the building permit stage. The fee for FY01 was $6,065 per single family dwelling unit (SFD). The fees for other land use types, as well as detailed FY01 financial information are presented on Attachment A - Schedule 1. EASTLAKE PARK DEVELOPMENT IMPACT FEE - This fee was adopted by the City to finance and coordinate the construction of park facilities in the Eastlake area. The terms of the loan remain the same as the previous year. When the funds are repaid, they will be used to build a community center. Detailed FY01 financial information is presented on Attachment A - Schedule 2. TRAFFIC SIGNAL FEE - This fee was adopted to provide for the projected traffic signal needs for the City that result from increases in traffic volume caused by development. As funds are accumulated they are expended on traffic signal projects that meet the warrants at the time the funds are available. This is a citywide fee with a FY01 rate of $13 per trip generated. Detailed FY01 financial information is presented on Attachment A - Schedule 3. TELEGRAPH CANYON DRAINAGE DIF - This fee is applicable to all new development within the Telegraph Canyon Drainage Basin and has remained unchanged since 1998. Detailed FY01 financial information is presented on Attachment A - Schedule 4. INTERIM PRE-SR125 DEVELOPMENT IMPACT FEE - This fee was adopted by the City Page 3, Item [ _ Meeting Date 1 / 15/2002 to finance transportation facilities in the Eastern Territories that would be needed to provide adequate and safe transportation facilities if there are delays in the construction of State Route (SR) 125 by CALTRANS or others. The fee in FY01 ~vas unchanged from the previous year, remaining at $820 per SFD. Detailed FY01 financial information is presented on Attachment A - Schedule 5. TELEGRAPH CANYON GRAVITY SEWER DIF - This is a fee for the expansion of the trunk sewer within the basin for tributary properties. The fee in FY01 was unchanged from the previous year, remaining at $216.50 per SFD. Detailed FY01 financial information is presented on Attachment A - Schedule 6. TELEGRAPH CANYON PUMPED SEWER DIF - This fee is collected for the expansion of the Telegraph Canyon trunk sewer to serve those properties outside of the basin. These flows are pumped into the trunk line temporarily and it is anticipated they will ultimately drain to another basin, either Pogo or Salt Creek, by gravity. If Telegraph Canyon basin becomes built out, there may be no reserve capacity for the temporary pumped flows and a parallel system must be built. At the time that the Pogo Canyon and/or Salt Creek Basin sewer facilities are completed, the unused funds paid by developments in the basin will be returned to the current property owners. The FY01 fee was $560 per SFD, and has remained unchanged since 1994. Detailed FY01 financial information is presented on Attachment A - Schedule 6. SALT CREEK SEWER BASIN DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct the Salt Creek Interceptor. This fee is applicable to the Salt Creek Sewer Basin, that portion of the Upper Otay Lake Basin north of the Salt Creek Sewer Basin, and that portion of the Lower Otay Lake Basin east of the Salt Creek Sewer Basin. The fee in FY01 was $284 per SFD. Detailed FY01 financial information is presented on Attachment A - Schedule 6. POGGI CANYON SEWER BASIN DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct a trunk sewer in the Poggi Canyon Sewer Basin from a proposed regional trunk sewer west of 1-805 along Olympic Parkway to the boundary of Eastlake. The fee was established at $400 per single-family dwelling. Detailed FY01 financial information is presented on Attachment A- Schedule 6. OTAY RANCH VILLAGE 1 & 5 PEDESTRIAN BRIDGE DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct the facilities. The fee was established at $545 per SFD. Detailed FY01 financial information is presented on Attachment A - Schedule 7. PUBLIC FACILITIES DIF - The Public Facilities DIF is a citywide fee with several components levied to fund that portion of public facilities projects attributable to new development. The total fee for all components is $2,618 per EDU. Detailed FY01 financial information is presented on Attachment B - Schedules 1 and 2. The components of the Public Facilities DIF with the current fees are as follows: Page 4, Item ~ _ Meeting Date 1/15/2002 ADMINISTRATION ($134) - Administration of the Public Facilities DIF program, overseeing of expenditures mid revenues collected, preparation of updates, calculation of costs, etc. CIVIC CENTER EXPANSION ($480) - Expansion of the Civic Center per the Civic Center Master Plan prepared in 1989, to provide sufficient building space and parking for the existing and anticipated staff'and the public. The 1989 civic center master plan has so been updated in July 2001 to include the Otay Ranch impacts. POLICE FACILITY ($735) - Accommodation of the building space needs per the Civic Center Master Plan, which included construction of a new police facility, interim office improvements, upgrading of the communications center and installation of new communication consoles. Also included is the pumhase and installation of a new computer aided dispatch system (CAD), a new Police Records Management System, and new Mobile Data Terminals. CORPORATION YARD RELOCATION ($386) - Relocation of the City's existing corporation yard from the bay front area to the former SDG&E site rather than building from scratch. LIBRARIES ($638) - Improvements include construction of the South Chula Vista library and Eastern Territories library(les), and installation of a new automated library system. This component is based on the updated Library Master Plan. FIRE SUPPRESSION SYSTEM ($203) - Projects include the relocation of Fire Station #3 & #4, construction of a fire training tower and classroom, purchase of a brash rig, installation of a radio communications tower and construction of an interim and permanent Station #6. This fee also reflects the updated Fire Station Master Plan, which includes needs associated with the Otay Ranch. GEOGRAPHIC INFORMATION SYSTEM ($16) - Purchase and installation of a GIS system for mapping of various base maps and creation of geo-data files to aid in planning and processing of land developments. This is a joint impetus project, with both a City and new development share. MAINFRAME COMPUTER ($7) - Purchase and installation of a new mainframe computer and various enhancements to meet existing and future needs, Citywide, for additional memory and storage space and enhanced processing speed. TELEPHONE SYSTEM UPGRADE ($13) - Upgrading and expansion of the City's existing telephone system to accommodate growth, including installation of new conduit, wiring additional telephone lines, and a voice processing system. RECORDS MANAGEMENT SYSTEM ($6) - Updating and modernization of the existing Citywide records system to prepare the City for anticipated increases in transactions and volumes of records. Page 5, Item Meeting Date 1/I5/2002 Although the majority of project costs are to be borne by new development, it's important to note that various components or specific projects within a component contain both a City and new development cost share. The City share often reflects "joint impetus" projects, which are necessitated by both growth and non-growth factors and/or the City's obligation to correct pre- existing space/equipment deficiencies. The PFDIF fees only relate to new development's cost share for each component. PARKLAND AQUISITION AND DEVELOPMENT (PAD) FEES This in lieu fee was adopted by the City to acquire neighborhood community parkland and construct parks and recreational facilities. During FY01, the fee was increased from $4,375 to $5,049 per single-family dwelling unit. Detailed FY01 financial information is presented on Attachment C. TRUNK SEWER CAPITAL RESERVE FEES This fee was established to pay all or any part of the cost and expense to enlarge sewer facilities of the City so as to enhance efficiency of utilization and/or adequacy of capacity. Detailed FY01 financial information is presented on Attachment D. FY01 FINANCIAL INFORMATION Attachment A, Schedules 1 through 7 reports the required financial information for all DIFs other than public facilities. Attachment B, Schedules 1 and 2 reports the required financial information for the Public Facilities D1F and its components. Attachment C reports the required financial information for the PAD fees. Attachment D reports the required information for the Trunk Sewer Capital Reserve fees. The schedules contain the following items: The beginning balances as of July 1, 2000 The fees received during the fiscal year ended June 30, 2001 Other miscellaneous revenues received during the fiscal year ended June 30, 2001 The interest earned from investing the cash balances available in each fund during the fiscal year ended June 30, 2001 The expenditures from each of the funds during the fiscal year ended June 30, 2001 A description of each capital project with expenditures funded entirely or in part by DIF/PAD/Trunk Sewer in FY01 and the percentage of the project funded by this fee through FY01. More detailed information on any project is available in the annual Capital Improvement Project (CIP) Budget. Page 6, Item Meeting Date 1/15/2002 Information on any loans from DIF/PAD/Tmnk Sewer Capital Reserve funds during FY01 The ending balances as of June 30, 2001 for each of the DIF/PAD/Trunk Sewer Capital Reserve Funds The amount, description and purpose o f the fee An identification of an approximate date by which the construction of the public improvement will commence The ending balances as of June 30, 2001 are in the process of being audited as part of the audit of citywide financial statements, and are therefore subject to adjustment. FINDINGS REQUIRED FOR FUNDS IN POSSESSION OVER 5 YEARS Government Code Section 66001(d) requires the local agency to make findings every five years with respect to any portion of the DIF fees remaining unexpended to identity the purpose for which it was charged. This year the City has elected to make such findings for any funds remaining unexpended for five or more years. The following project has fees, which were collected five or more years ago, which remain unexpended and is listed to satisfy Section 66001 (d) of the Government Code. a. Eastlake Park Development Impact Fee The fees collected prior to FY93 plus the interest earned is still needed for park facilities. Per Council approval and a request kom the Eastlake Development Co. for their cash flow needs, the funds are on loan to Eastlake Development Company to be repaid on demand. No other DIF or PAD funds contain monies that have been on deposit for five or more years. Copies o£this report were sent to the Ayres Land Company, the Building Industry Association of San Diego, the Eastlake Development Company, the McMillin Companies, the Otay Ranch Company and Pacific Bay Homes. FISCAL IMPACT: With findings that identify the continued need for the nnexpended and/or committed or uncommitted fees, the City retains the fees for the future projects. Without findings that the unexpended funds are still needed for the projects, the City would be obligated to refund the $816,490 in park funds plus interest accrued that have been held for five or more years pursuant to State Government Code Section 66000. Since the City has loaned $880,738 o£the park funds to the developer, Eastlake Development Company, money would have to come kom some other source to refund the $816,,;90 plus interest. The loss of the funds would jeopardize the Eastlake Park Agreement and the future EastLake community center. Page 7, Item Meeting Date 1/15/2002 Attachment A - Schedules 1 through 7:FY01 Financial Information for all DIFs except Public Facilities DI~' Attachment B - Schedules 1 & 2:FY01 Financial Infom~ation for Public Facilities DI]F Attachment C FY01 Financial Information for PAD fees Attachment D - FY01 Financial Information for Trunk Sewer Capital Reserve fees ATTACHMENT A ATTACHMENT A ooooooo~oo~omo~oo ~o~moo~~ o~ z o X ATTACHMENT A ATTACHMENT A ATTACHMENT A ATTACHMENT A t~j "~ ~- I-- n ,,m, ~--*- zx ~ .... E~ Z o -- ~2 ~'~ ~ o~oo ~ ~ ._ ATTACHMENT A ATTACHMENT A ATTACHMENT A ATTACHMENT A ATTACHMENT B ATTACHMENT B ATTACHMENT B ATTACHMENT C ATTACHMENT C ~0 o oooo~o~ ~ Z ~ oo~o~oo~ ~ = ~ o Eo ~= c ~o~OE ~ ATTACHMENT D ATTACHMENT D ATTACHMENT D RESOLUTION NO. 2002- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING FINDINGS THAT THE UNEXPENDED FUNDS IN THE PARKLAND ACQUISITION AND DEVELOPMENT (PAD) FEE FUND ARE STILL NEEDED TO PROVIDE CONSTRUCTION OF FACILITIES FOR WHICH THE FEES WERE COLLECTED WHEREAS, state law requires local agencies assessing Development Impact Fees ("DIF") and capacity charges to make available specified financial data to the public each fiscal year; and WHEREAS, these reports have been available in the City Clerk's office for public review since December 21, 2001; and WHEREAS, it also required that the local agency review this information at a public meeting; and WHEREAS, local agencies are also required to make available to the public, within 180 days after the last day of each fiscal year, information about capacity charges; and WHEREAS, Government Code Section 6600l(d) requires the local agency to make findings every five years with respect to any portion of the DIF fees remaining unexpended to identify the purpose for which it was charged. NOW, THEREFORE, BE IT RESOLVED the city Council of the city of Chula vista does hereby make findings that the unexpended funds in the PAD Fee Fund are still needed to provide construction of facilities for which the fees were collected for the following projects: EastLake Park Development rmpact Fee The fees collected prior to FY93 plus the interest earned is still needed for park facilities. Per council approval and a request from the Eastlake Development Co. for their cash flow needs, the funds are on loan to EastLake Development Company to be repaid on demand. No other DIF or PAD funds contain monies that have been on deposit for five or more years. BE IT FURTHER RESOLVED that the staff report and all exhibits are hereby incorporated into the record of these proceedings. q -:;;7 presented by Approved as to form by Robert powell Assistant City Manager C\..- ~ ~ John M. Kaheny city Attorney J. \e"omey\r"o\f inding'. DIF Cj- :;f? COUNCIL AGENDA STATEMENT Item t 0 Meeting Date ._l~_n,,~r¥ t_5~}{)2 ITEM TITLE: PUBLIC HEARING: Regarding the Proposed Assessment of Certain Delinquent Sewer Service Charges as Liens Upon the Respective Owner Occupied Parcels of Land and Placement of Delinquent Charges on the Next Regular Tax Bill for Collection RESOLUTION No. Assessing Delinquent Sewer Service Charges as Liens Upon the Respective Owner Occupied Parcels of Land and Approving Placement of Delinquent Charges on the Next Regular Tax Bill SUBMITTED BY: Assistant City Manager Powell- '. REVIEWED BY: City Manager,~/~,~, (4/Sths Vote: Yes __No X ) In order to adequately protect the City's interest in delinquent sewer service charges and insure that collection efforts are directed towards the responsible property owner in the event of a change in ownership, staff is recommending approval for liens against affected properties as a preliminary action to replacing the delinquencies on the property tax rolls if they remain unpaid. Adoption of this resolution will enhance the collection process for delinquent sewer service charges by ensuring that the correct property owners are charged and that payment be received on a more timely basis. This is the identical process approved by City Council since August 1998. RECOMMENDATION: That Council open the public hearing to consider assessing delinquent sewer service charges as liens on the affected properties, consider all testimony, and adopt the resolution overruling all protests and assessing these charges as liens upon the respective owner occupied parcels of land. BOARDS/COMMISSIONS RECOMMENDATIONS: Not applicable. DISCUSSION: The Chula Vista Municipal Code Section 13.14.150 allows delinquent sewer service charges to be assessed as liens upon the affected properties and 'ultimately placed on the property tax bills for collection. The ordinance states that upon notification of the property owners, a public hearing is set for sewer service accounts which are over sixty days delinquent. At the hearing the City Council considers the delinquent Page 2, Item_ / 0 Meeting Date Jal3tuea~ accounts together with any objections or protests by interested parties. At the conclusion of the hearing, the City Council, may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council. Lastly, the City Council adopts a resolution assessing such amounts as liens upon the respective parcels of land, and the amounts are charged to the property owners on the next regular property tax bill. Because charges can only be submitted for placement on the property tax bills once a year in August, staff is recommending assessing liens on the affected properties midyear as to better ensure the City's chances for collection. If the City were to address these delinquent charges only once a year in August, the effectiveness of using the property tax bill as a means of collection would be significantly reduced as the owners of record in August would not necessarily be the people responsible for the delinquent charges. In cases where properties are sold or transferred, assessing liens midyear holds the correct property owners responsible. In cases where property owners choose to refinance their mortgages, the midyear liens will ensure that the City would receive payment on a more timely manner as the delinquent sewer service charges would be paid through escrow during the refinancing process. A recent California Supreme Court ruling has removed our ability to lien properties for tenant delinquencies. Therefore, this request includes only owner occupied properties. We are attempting to determine the fiscal impact of the court ruling on the City's sewer service revenues and reviewing the feasibility of changes to the current in-house billing method to enhance or at least preserve the collection of these revenues in the future. In August 2001, City Council approved 149 delinquent sewer service accounts valued at $52,509 to be placed on the forthcoming property tax bill. These delinquent accounts were removed form the City's bimonthly sewer bills once they were transferred to the property tax bills. Staff has currently identified 233 owner occupied accounts totaling $79,832 as being over 60 days delinquent (listing available at the City Clerk's office). Many of these property owners have gone through this lien process previously as they continue to leave their sewer service accounts unpaid. These property owners have been notified of their delinquencies, and four weeks ago, they were notified of the public hearing and were asked to pay their delinquent sewer service charges by January 7, 2002 to avoid a lien being placed on their property. Payment arrangements will be set up as needed, and staff will continue to update this list as payments are received and accounts are cleared. A final list will be submitted to the City Council for consideration as soon as all payments are recorded. Page 3, Item_ Meeting Date .l~n~mn,, Staff is recommending that the City Council approve the final list of delinquent sewer accounts as submitted, and that these charges be forwarded to the County and assessed as liens on the respective owner occupied parcels of land and ultimately placed on the next regular tax bill for collection. FISCAL IMPACT: By placing delinquent sewer service charges on the property owner's regular tax bill, over $48,500 in additional sewer fund revenues have been recovered for FY 00-01. For FY 01-02, an estimated $29,000 in additional sewer fund revenues should be recognized from these collection methods. This reduction in revenue collection is due to the inability to place liens for tenant delinquencies. Because the lien process is no longer the most effective means of collection, alternative methods will be evaluated and recommended based on their success and cost effectiveness. RESOLUTION NO.------ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING DELINQUENT SEWER SERVICE CHARGES AS LIENS UPON THE RESPECTIVE OWNER OCCUPIED PARCELS OF LAND AND APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL Ordinance Municipal placed on WHEREAS, on June 23, 1998, the City Council approved No. 2736 amending Section 13.14.150 of the Chula Vista Code to allow delinquent sewer service charges to be the property tax bill for collection; and WHEREAS, the ordinance states upon notification of the property owners, a public hearing is set for sewer service accounts which are over sixty days delinquent; and WHEREAS, at the hearing, the City Council is to consider the delinquent accounts together with any objections or protests by interested parties; and WHEREAS, at the conclusion of the hearing, the City Council may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council; and WHEREAS, a public hearing on delinquent assessments was properly noticed for January 15, 2002, at which all protests or objections presented were considered by the City Council; and WHEREAS, staff is recommending that the City Council approve the final listing of delinquent sewer service accounts as submitted and that these charges be forwarded to the County for placement on the next regular tax bill for collection; and WHEREAS, any delinquent accounts that are cleared by January 14, 2002, as a result of the public hearing set for January 15, 2002, will be removed from the list prior to the submittal of these charges to the County. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby (1) overrule any and all protests or objections presented at the public hearing and (2) approve, with respect to the delinquent account list presented by staff and on file in the office of the City Clerk, assessing delinquent sewer service charges as liens upon the respective IO-~ owner occupied parcels of land and the placement of such delinquent charges on the next corresponding regular tax bill unless cleared by January 14, 2002. Presented by Approved as to form by Robert Powell Assistant City Manager J, lattorneYlresolsewer. del /D-5 Page 1, Item Meeting Date 1/15/02 COUNCIL AGENDA STATEMENT ITEM TITLE: Public Hearing to take public testimony to consider increasing the authorized bonded indebtedness for Improvement Area A of Community Facilities District No. 2001-1 (San Miguel Ranch). Resolution of the City Council of the City of Chula Vista, California, Acting a the Legislative Body of Community Facilities District No. 2001-1, (San Miguel Ranch), Making Findings and Determinations and submitting the question of Increasing the Authorized Bonded Indebtedness for Improvement Area A of Community Facilities District No. 2001-1 (San Miguel Ranch), to the Qualified Electors of such Improvement Area; calling for a Special Election and Establishing Procedures and Conditions for Conducting such an Election SUBMITTED BY: Director of Public Works/~ REVIEWED BY: City Manager 6io o,-~~ (4/5ths Vote: Yes No X ) On December 17, 2001 City Council approved the Resolution for the consideration to increase the principal amount of bonded indebtedness authorized to be incurred within Community Facilities District No. 2001-1(San Miguel Ranch) ("CFD No. 2001-1") for Improvement Area A and had the first reading of the Ordinance authorizing the Levy of a Special Tax in Improvement Area A and Improvement Area B. Community Facilities District No. 2001-1 (San Miguel Ranch)(CFD No. 2001-1) will fund the construction of public facilities, such as roadways and other public improvements for the San Miguel project. In addition, a portion of the proceeds may be authorized to be used for certain Transportation projects, as directed by the City. Tonight's action will be to conduct a public hearing to consider increasing the bond authorization for Improvement Area A of CFD No. 2001-1 from $13,500,000 to $15,000,000 and, if no majority protest to such increase in bond authorization has been filed and the City Council elects, to submit the question of Increasing the Authorized Bonded Indebtedness for Improvement Area A, subject to the approval of the qualified electors of such Improvement Area with the Special Election to be held on January 17, 2002. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. RECOMMENDATION: That Council: · Open the Hearing, take public testimony, close the public hearing; · Approve the Resolution Submitting the Question to Increase the Authorized Bonded Page 2, Item J/ Meeting Date 1/15/02 Indebtednes~ for Improvement Area A of Community Facilities District No. 2001-1 (San Miguel Ranch), to the Qualified Electors of such Improvement Area; calling for a Special Election and Establishing Procedures and Conditions for Conducting such an Election DISCUSSION: Background As previously noted, on December 17, 2001, the City Council adopted the Resolution to consider increasing the principal amount of bonded indebtedness of Improvement Area A. The bonded indebtedness is to be increased from $13,500,000 to $15,000,000 for Improvement Area A due to an adjustment to the actual principal amount of bonds necessary to be issued for Improvement Area A to finance the authorized facilities. The adjustment to Improvement Area A up to $15,000,000 combined with Improvement Area B at $6,000,000 will adjust the overall total bond authorization for CFD No. 2001-1 to $21,000,000. Tonight's public hearing is to hear public testimony and concerns related to the proposed incr ease to the authorized bonded indebtedness of Improvement Area A of Community Facilities District No. 2001-1 (San Miguel Ranch). District Boundaries Exhibit 1 (See Attachments) represents the boundaries of CFD No. 2001-1 that include all parcels located within San Miguel Ranch owned by NNP-Trimark San Miguel Ranch LLC. Exhibit A also depicts the boundaries of each of the Improvement Areas (A & B) designated within CFD No. 2001-1. The site is bordered on the north by the existing, unincorporated residential area of Sunnyside, and SDG&E's Miguel Substation and transmission line right-of-way. The western boundary is the vacant Bonita Meadows site; while to the south are the existing Estancia single-family subdivision, the Mackenzie Creek neighborhood park, and the Thurgood Marshall Elementary School. The eastern boundary is the developing single-family neighborhoods within Rolling Hills Ranch and the Auld Golf Course. At buildout, the entire San Miguel Ranch will contain within Improvement Area A-603 Single Family Detached Residences, 458 Attached Residences, 9.87 commercial acres, 5.1 acres of Community Facilities, and 13 acres for an Elementary School site. The Improvements The master developer (NNP-Trimark San Miguel Ranch LLC) has requested that CFD No. 2001-1 sell only the bonds for Improvement Area A at this time. The bonds for Improvement Area B will be sold at a later date in the future, given certain City of Chula Vista threshold requirements and other facilities constraints. Page 3, Item t l Meeting Date 1/15/02 Preliminary estimates show that the maximum tax revenue (using the proposed taxes) from all the taxable properties within only Improvement Area A would support a total bonded indebtedness of approximately $15 million (assuming a 7.0% interest rate and a 30-year term on the bonds). This bond amount is an increase from the original mount of $13.5 million. A bond sale amount of $14.1 million will finance approximately $11.2 million in facilities (i.e. grading, landscaping, streets, utilities, drainage, sewer, etc). Special Tax Report A copy of the Special Tax Report (" Community Facilities District Report Mello-Roos Community Facilities Act of 1982 Community Facilities District No. 2001-1 for San Miguel Ranch) prepared by the Special Tax Consultant, McGill Martin Self, Inc., is included as Exhibit 2, and is on file, and available for public review in the City Clerk's Office. Said report incorporates the "Rate and Method of Apportionment" (RMA) (previously approved by Council on September 25,2001), that establishes the procedures for levying the special taxes in CFD No. 2001-1 Value to Lien Ratio Policy Council policy requires a minimum 4:1 value-to-lien ratio. A ratio of less than 4:1, but equal to or greater than 3:1, may be approved, in the sole discretion of Council, when it is determined that a ratio of less than 4:1 is financially prudent under the circumstances ora particular CFD. A final appraisal and lien ratio analysis would be available for Council consideration prior to bond sale, which is planned for early in 2002. If the final analysis shows parcels which fail to meet the 4:1 or 3:1 ratio, the developer would be required to either: · Provide cash or letters of credit to maintain the lien ratio within the City criteria; or, · The principal amount of the bonds to be issued for each Improvement Area of the CFD No. 2001-1 will be reduced to comply with City policy; or, · Provide sufficient information to convince Council that a lesser lien ratio is prudent. Resolution There is one resolution on today's agenda that, if adopted, will accomplish the following: RESOLUTION DECLARING NECESSITY TO SUBMIT THE QUESTION TO INCREASE THE BONDED INDEBTEDNESS is a formal action submitting to the Qualified Electors for Improvement Area A of Conm~unity Facilities District No. 2001- 1 (San Miguel Ranch), a Proposition to increase the Bonded Indebtedness Secured by the Levy of a Special Tax within such Improvement Area to Finance certain types of Public Facilities and performs the following: · Submits one ballot proposition to the property owner(s) of Improvement Area A to (a) increase the Bonded indebtedness from $13.5 million to $15 million, and (b) to establish an appropriations limit for the district; and · Establishes an election procedure. Page 4, Item f Meeting Date 1/15/02 And continu, es the following: · Declares that a bond issuance is necessary; · Describes the type of facilities to be financed within such Improvement Area and collectively within the district; · Limits the bond term to 30 years for each bond issue; · Further implements the provisions of the Local Agency Special Tax and Bond Accountability Act by specifying that: · Such bonded indebtedness shall be incurred for the applicable specific single purpose set forth in the Resolution. · The proceeds of any such bonded indebtedness shall be applied only the applicable specific purpose identified in the Resolution. · The document or documents establishing the terms and conditions for the issuance of any such bonded indebtedness shall provide for the creation of an account into which the proceeds of such indebtedness shall be deposited. · The City Manager or his or her designee, acting for and on behalf of the District, shall annually file a report with this City Council as required by Government Code Section 53411. Notice A notice was published in the San Diego Daily Transcript or any other adjudicated newspaper in general circulation. Future Actions Adoptions of tonight's Resolution will submit the question to increase the bonded indebtedness of Improvement area A of CFD No. 2001-1, to direct staff to prepare the necessary ballot documents, and to a hold special election on January 17, 2002. The City Council on the January 22, 2002 Agenda will certify the election results. FISCAL IMPACT: There will be no direct fiscal impact to the City. The developer will pay all formation costs and has deposited money to fund initial consultant costs, and City costs in accordance with the approved Reimbursement Agreement. The City will receive the benefit of the full cost recovery for staff time involved in district formation and administration activities. Staff anticipates that most of the CFD No. 2001-1 administration will be contracted out. Attachments: Exhibit I: Recorded Boundary Map for CFD No. 2001-1 Exhibit 2: Special Tax Report: "Community Facilities District No. 2001-1 San Miguel Ranch Improvement Area A and Improvement Area B". J:\Engineer\AGENDA\CAS lq5-02.doc COMMUNITY FACILITIES DISTRICT MELLO-ROOS COMMUNITY FACILITIES ACT 1982 SPECIAL TAX REPORT COMMUNITY FACILITIES DISTRICT NO. 2001-1 IMPROVEMENT AREAS A AND B SAN MIGUEL RANCH For the City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 CITY OF CHULA VISTA Prepared by McGill Martin Self, Inc. 344 F Street Suite 100 Chula Vista, California 91910 November 6, 2001 TABLE OFCONTENTS Page I. INTRODUCTION ................................................................................. Il. PROJECT DESCRIPTION ......................................................................... 2-3 III. DESCRIPTION AND ESTIMATED COST OF PROPOSED FACILITIES ........................ 3 A. Description of Proposed Public Improvements ................................... 3-4 B. Estimated Cost of Proposed Public Improvements .............................. 4-5 IV. BONDED INDEBTEDNESS AND INCIDENTAL EXPENSES .................................... 6 A. Projected Bond Sales ............................................................... 6 B. Incidental Bond Issuance Expenses to be Included in the Proposed Bonded Indebtedness ......................................................................... 6 C. Incidental Expenses to be Included in the Annual Levy of Special Taxes .. 6 V. RATE AND METHOD OF APPORTIONMENT OF THE SPECIAL TAX ..................... 7 A. Explanation for Special Tax Apportionment .................................... 7-8 B. Maximum Annual Special Tax Rates ............................................ 8 C. Backup Special Tax ................................................................ 8 D. Accuracy of Information ........................................................... 9 VI. BOUNDARIES OF COMMUNITY FACILITIES DISTRICT .................................. 9 VII. GENERAL TERMS AND CONDITIONS ....................................................... 9 A. Substitution Facilities .............................................................. 9 B. Interim Transportation Facilities .................................................. 9 C. Appeals .............................................................................. 9 EXHIBITS Exhibit A Recorded Boundary Map Exhibit B-1 Rate and Method of Apportionment Improvement Area A Exhibit B-2 Rate and Method of Apportionment - Improvement Area B Exhibit C Assigned Maximum Special Tax Rates I. INTRODUCTION WHEREAS, the City of Chula Vista did, pursuant to the provision of the Metlo-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 (hereinafter referred to as the "Act"), and specifically Section 53321.5 thereof, expressly order the filing of a written "Report" with the legislative body of the proposed Community Facilities District. This Community Facilities District being Community Facilities District No. 2001-1 (San Miguel Ranch) shall hereinafter be referred to as: "CFD No. 2001-1"; and WHEREAS, the Resolution Ordering and Directing the Preparation of a Report for Proposed Community Facilities District No. 2001-1 (San Miguel Ranch) did direct that said Report generally contain the following: FACILITIES: A full and complete description of the public facilities the acquisition of which are proposed to be financed through the CFD. COST ESTIMATE: A general cost estimate setting forth costs of acquiring such facilities. SPECIAL TAX: Further particulars and documentation regarding the rate and method of apportionment for the authorized special tax. NOW, THEREFORE, I, John Lippitt P.E., the Director of Public Works of the City of Chula Vista, and the appointed responsible officer directed to prepare this Special Tax Report or cause the Report to be prepared pursuant to the provisions of the Act, do hereby submit this Report. Community Facilities District No. 200I-1 Page I San Miguel Ranch November 2001 II. PROJECT DESCRIPTION CFD No. 2001-1 encompasses approximately 782.98 gross acres of land located in the portion of the south San Diego City of Chula Vista known as "San Mignel Ranch". Refer to Exhibit A - for a reduced copy of the Recorded Boundary Map. Of this acreage, approximately 257.38 acres is expected to be developed by several merchant builders for residential and commercial development, 43 acres for Community Facilities and 13 acres for an Elementary school site. This Community Facilities District (CFD No. 2001-1) is divided by SR 125 into two separate areas, Improvement Area A and Improvement Area B. Improvement Area A Improvement Area A consists of approximately 474.86 gross acres of land to the east of SR 125 in CFD No. 2001-l. Of this acreage, approximately 125.61 acres is designated for residential housing. Currently Continental Residential Inc., Pardee Construction Company and Trimark Pacific Homes have purchased Planning Areas. Continental Residential Inc. has purchased Planning Area C and will build approximately 110 single-family attached units. Pardee Construction Company has purchased Planning Area D and will build approximately 107 single- family detached homes. Both of these areas, lots will have a minimum size of 4,000 square feet. Trimark Pacific Homes (related entity to NNP-Trimark San Miguel, LLC) have purchased Planning Area 1 and will build approximately 105 single-family homes. These lots will have a minimum size of 6,000 square feet. The remaining 348 single-family attached product will be built as part of Planning Areas A and B, and the remaining 496 single-family detached homes will be built as part of Planning Area E, F, G, H and I. These lots will be built out as other merchant builders pumhase units and/or NNP- Trimark San Miguel, LLC proceeds with construction. At build-out, it is expected that Improvement Area A will consist of approximately 603 Single Family Detached Units, 458 Single Family Attached Units, 9.87 acres for commercial development, 43 acres for Community Facilities and 13 acres for an Elementary school site as shown on the approved master Map No. CVT 99-04. The Single Family Uses are anticipated to generate approximately 2,101,125 square feet of residential building square footage. The total exempt acreage for this improvement area including the 10% contingency factor is 352.93 acres. Special taxes for CFD No. 2001-1 (San Miguel Ranch) Improvement Area A shall be levied to Taxable Property to satisfy the Special Tax Requirement as follows: First, to Developed Property up to the Maximum Annual Special Tax; ,, Second, if necessary, to Undeveloped Property up to the Maximum Annual Special Tax for Undeveloped Property; - Third, if necessary, Maximum Annual Special Tax derived by the application of the Backup Special Tax increased proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax and Cotnmunity Facilities District No. 2001-1 Page 2 ,gan Miguel Ranch November 2001 · Fourth, if necessary, Special Tax increased proportionately, to Undeveloped Property pursuant to Section E of Exhibit B-1 up to the Maximum Annual Special Tax for Undeveloped Property. Improvement Area B Improvement Area B consists of approximately 308.12 gross acres of land to the west of SR 125 in CFD No. 2001-1. Of this acreage, approximately 121.90 acres is designated for residential estate housing. Lots in Planning Area J range from 7,000 square feet to 12,500 square feet and lots in planning Area K and L range from 15,000 to 27,000 square feet for these Estate residences. At build-out it is expected that there will be approximately 285 Single Family Estate Residences as shown on the approved Master Map No. CVT 99-04. The Single Family Uses are anticipated to generate approximately 1,059,432 square feet of residential building square footage. The total exempt acreage for this improvement area including the 15% contingency factor is 204.5 acres. Special taxes for CFD No. 2001-1 (San Miguel Ranch) Improvement Area B shall be levied to Taxable Property to satisfy the Special Tax Requirement as follows: · First, to Developed Property up to the Maximum Annual Special Tax; · Second, if necessary, to Undeveloped Property up to the Maximum Annual Special Tax for Undeveloped Property; · Third, if necessary, Maximum Annual Special Tax derived by the application of the Backup Special Tax increased proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax and · Fourth, if necessary, Special Tax increased proportionately, to Undeveloped Property pursuant to Section E of Exhibit B-2 up to the Maximum Annual Special Tax for Undeveloped Property. IlL DESCRIPTION AND ESTIMATED COST OF PROPOSED FACILITIES A. Description of Proposed Public Improvements A community facilities district may provide for the purchase, construction, expansion, or rehabilitation of any real or tangible property, including public facilities and infrastructure improvements with an estimated useful life of five (5) years or longer, which is necessary to meet increased demands placed upon local agencies as a result of development or rehabilitation occurring within the community facilities district. In addition, a conununity facilities district may pay in full all amounts necessary to eliminate any fixed special assessment liens or to pay, repay, or defease any obligation to pay or any indebtedness secured by any tax, fee, charge, or assessment levied within the area of the community facilities district. Community Facilities District No. 2001-1 Page 3 San Miguel Ranch November 2001 The facilities described in this Report are all facilities which the legislative body creating CFD No. 2001-1 is authorized to own, construct, or finance, and which are required, in part, to adequately meet the needs of CFD No. 2001-1. In addition, the facilities meet the criteha for authorized public facilities set forth in the City's Statement of Goals and Policies regarding the establishment of Community Facilities Districts. The actual facilities described herein are those currently expected to be required to adequately meet, in part, the needs of CFD No. 2001-1. Because the actual needs of CFD No. 2001-1 arising as development progresses therein may differ from those currently anticipated, CFD No. 2001-1 reserves the right to modify the actual facilities proposed herein to the extent CFD No. 2001-1 deems necessary, in its sole discretion to meet those needs. The Special Taxes required to pay for the construction or financing of said facilities will be apportioned as described in the Rate and Method of Apportionment (RMA) of the Special Tax for CFD No. 2001-1 Improvement Area A (Exhibit B-l) and CFD No. 2001- 1 Improvement Area B (Exhibit B-2). Proceeds of the proposed bonded indebtedness of CFD No. 2001-1 will be used to finance backbone streets and associated improvements (i.e., grading, sewer, streets, landscaping, utilities, etc.), public facilities DIF Improvements and interim transportation facilities. Following is a general description of the proposed facilities: Improvement Area A · Mount Miguel Road East · Proctor Valley Road East · Calle La Marina · Paseo Vera Cruz · Calle La Quinta · Those Facilities to be financed from the Proceeds of Public Facilities Development Impact Fees payable as a condition of development of property within CFD 2001-1 Improvement Area B · Mount Miguel Road West · Proctor Valley Road West · Those Facilities to be financed from the Proceeds of Public Facilities Development Impact Fees payable as a condition of development of property within CFD No. 2001-1 In addition to the above improvements, this CFD's bonding capacity maybe used for certain SR-125 interim transportation facilities within the greater eastern territories of Chula Vista. These transportation facilities will be traffic capacity adding improvements and could include the following projects: Community Facilities District No. 2001-I Page 4 San Miguel Ranch November 2001 · Interim SR 125 · 1-805/East "H" Street an additional on-ramp lane to 1-805 B. Estimated Cost of Proposed Public Improvements Thc facilities and the estimated costs herein are subject to review and confirmation. The costs listed in Table 1, are estimates only, based upon current construction and land costs and actual costs may differ from those estimates herein. Based on the current CFD No. 2001-1 cost estimates of approximately $19.4 million, with $11.2 million set aside for reimbursement of eligible costs for Improvement Area A and $4.1 million set aside for reimbursement of eligible costs for Improvement Area 13 to be financed with CFD bond proceeds, the balance will be born by thc developers. TABLE1 IMPROVEMENT AREA A Facilities Improvements Estimated Cost · Mount Migue! Road East $5,710,906 · Proctor Valley Road East $459,153 · Calle La Marina $3,661,229 · Paseo Vera Cruz $717,259 · Calle La Quinta $974,186 · Those Facilities to be financed from the Proceeds of Public Facilities Development Impact Fees payable as a condition of development of property within CFD No. 2001-1 Community Facilities District No, 2001 1 Page 5 San Miguel Ranch November 2001 IMPROVEMENT AREA B Facilities Improvements Estimated Cost · Mount Miguel Road West $3,824,396 · Proctor Valley Road West $1,375,454 · Those Facilities to be financed from the Proceeds of Public Facilities Development Impact Fees payable as a condition of development of property within CFD No. 2001-1 IV. BONDED INDEBTEDNESS AND INCIDENTPdL EXPENSES A. Proiect Bond Sale For CFD No. 2001-1 there will be two separate issuance of bonds. One for Improvement Area A and one for Improvement Area B each with its own accounting, processing, and specifics to its obligated improvements within the CFD No. 2001-1. The bond amount for CFD No. 2001-I Improvement Area A will ~ae $14.1 million, which will finance approximately $11.2 million in facilities. The bonds issued by CFD No. 2001-1 Improvement Area B will be $5.3 million, which will finance approximately $4.1 million in facilities. The bonds issued by CFD No. 2001-1 Improvement Areas A and B will meet the terms and conditions of special tax bonds set forth in the City's Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts. B. Incidental Bond Issuance Expenses to be Included in the Proposed Bonded Indebtedness for Improvement Areas A and B Pursuant to Section 53345.3 of the Act, bonded indebtedness may include all costs and estimated costs incidental to, or connected with, the accomplishment of the purpose for which the proposed debt is to be incurred, including, but not limited to, the costs of legal, fiscal, and financial consultant fees; bond and other reserve funds; discount fees; interest on any bonds of the district due and payable prior to the expiration of one year from the date of completion of the facilities, not to exceed two years; election costs; and all costs of issuance of the bonds, including, but not limited to, fees for bond counsel, costs of obtaining credit ratings, bond insurance premiums, fees for letters of credit, and other credit enhancement costs, and printing costs. The reserve fund is estimated to be the maximum allowable under Federal Tax Law. All other incidental bond issuance expenses are estimated at 4 percent of the face amount of the bonds. Community Facilities District No. 2001 l Page 6 San Miguel Ranch November 2001 C. Incidental Expenses to be Included in the Annual Levy, of Special Taxes for Improvement Areas A and B Pursuant to Section 53340 of the Act, thc proceeds of any special tax may only be used to pay, in whole or part, thc cost of providing public facilities, services and incidental expenses. As defined by the Act, incidental expenses include, but are not limited to, thc cost of planning and designing public facilities to bc financed, including thc cost of environmental evaluations of those facilities; thc costs associated with the creation of thc district, issuance of bonds, determination of thc amount of taxes, collection of taxes, payment of taxes, or costs otherwise incurred in order to carry out the authorized purposes of the district; any other expenses incidental to thc construction, completion, and inspection of thc authorized work; and the retirement of existing bonded indebtedness. While thc actual cost of administering CFD No. 2001-1 may vary, it is anticipated that the amount of special taxes, which can be collected, will be sufficient to fund at least $75,000 in annual administrative expenses prior to build-out of the project. V. RATE AND METHOD OF APPORTIONMENT OF THE SPECIAL TAX All of the property located within CFD No. 2001-1, unless exempted by law, shall be taxed for the purpose of providing necessary facilities to serve CFD No. 2001-1. Pursuant to Section 53325.3 of thc Act, the tax imposed "is a Special Tax and not a special assessment, and there is no requirement that the tax be apportioned on the basis of benefit to any property." The Special Tax "may be based on benefit received by parcels of real property, the cost of making facilities or authorized services available to each parcel or other reasonable basis as determined by the legislative body," although thc Special Tax may not bc apportioned on an ad valorem basis pursuant to Article XIIIA of the California Constitution. As shown in Exhibit t~-I and B-2, for Improvement Area A and Improvement Area B respectively, the amended Rate and Method of Apportionment provides information sufficient to allow each property owner within CFD No. 2001-1 to estimate thc maximum annual Special Tax hc or she will be required to pay. Sections A through C, below, provide additional information on thc Rate and Method of Apportionment of thc Special Tax for CFD No. 2001-1. A. Explanation for Special Tax Apportionment When a conxmunity facilities district is formed, a Special Tax may be levied on each parcel of taxable property within thc CFD to pay for thc construction, acquisition and rehabilitation of public facilities, to pay for authorized services or to repay bonded indebtedness or other related expenses incurred by CFD No. 2001-1. This Special Tax must bc apportioned in a reasonable manner; however, thc tax may not be apportioned on an ad valorem basis. When more than one type of land use is present within a comnqunity facilities district, several criteria may be considered when apportioning thc Special Tax. Generally, criteria based on building square footage, acreage, and land uses arc selected, and categories Community Facilities District No. 2001 - I Page 7 San Miguel Ranch November 2001 based on such criteria are established to differentiate between parcels of property. These categories are a direct result of the developer's projected product mix, and are reflective of the proposed land use types within that community facilities district. Specific Special Tax levels are assigned to each land use class, with all parcels within a land use class assigned the same Special Tax rate. The Act does not require the Special Taxes to be apportioned to individual parcels based on benefit received. However, in order to insure fairness and equity, benefit principles have been incorporated in establishing the Special Tax rates for CFD No. 2001-1. The major assumption inherent in the Special Taxes rates set forth in the Rate and Method of Apportionment is that the level of benefit received from the proposed public improvements is a function of land use. This assumption is borne out through an examination of commonly accepted statistical measures. For example, in measuring average weekday vehicle trip-ends, the Institute of Transportation Engineer's 1995 Trip Generation report identifies land use as the primary determinant of trip-end magnitude. Commercial land uses typically generate more trip- ends than do single family residential land use. Similarly, larger single family detached dwellings typically generate a greater number of trip-ends than do smaller single family detached homes, and therefore, will tend to receive more benefit from road grading, road landscaping and road improvements. Drainage and flood control requirements generally vary with the amount of impervious ground cover per parcel. It follows that larger homes which have more impervious ground cover will create relatively more drainage flow than smaller homes. Special taxes for CFD No. 2001-1 Improvement Areas A and B (San Miguel Ranch) shall be levied to Taxable Property to satisfy the Special Tax Requirement as outlined in the CFD No. 2001-1 Improvement Area A and B RMA's. The Land Use Class Categories of Taxation have been established for CFD No. 2001-1. The categories are defined as follows: > Residential Developed Parcels (single and multi-family residences) are taxed on the square footage of the building; ~ Undeveloped Parcels are taxed based on acreage of the parcel; and Based on the types of public facilities that are proposed for CFD No. 2001-1 and the factors described above, the Special Taxes assigned to specific land uses are generally proportionate to the relative benefits received by them, and, accordingly, the Special Taxes in CFD No. 2001-1 can be considered fair and reasonable. Community Facilities District No. 2001-1 Page 8 San Miguel Ranch November 2001 B. Maximum Annual Special Tax Rates Exhibit C lists thc Maximum Annual Special Tax rates that may be levied against Developed Property, and Undeveloped Property within CFD No. 2001-1. Exhibit C also lists the Back:up Special Tax (described later). The City Council will annually determine the actual amount of the Special Tax levy based on the method described in RMA and subject to thc maximum Special Tax rates contained in Exhibit C. The City will levy a Special Tax to the extent necessary, sufficient to mcct thc Special Tax Requirement. C. Backup Special Tax When a Final Map is recorded within each Improvement Area, thc Backup Special Tax for Assessors Parcels of Developed Property classified as Residential Property or Commercial Property will be determined pursuant to section c.l.b of Exhibit B-1 for Improvement Area A and c. 1.b of Exhibit B-2 for Improvement Area B. D. Accuracy of Information In order to establish the Maximum Annual Special Tax rates and the Backup Special Tax as set forth in thc Rate and Method of Apportionment for CFD No. 2001-1, McGill Martin Self, Inc. has relied on information including, but not limited to absorption, land- use types, building square footage, and net taxable acreage which were provided to McGill Martin Self, Inc. by others. McGill Martin Self, Inc. has not independently verified such data and disclaims responsibility for thc impact of inaccurate data provided by others, if any, on the Rate and Method of Apportionment for CFD No. 2001-1, including the inability to meet the financial obligations of CFD No. 2001-1. VI. BOUNDARIES OF COMMUNITY FACILITIES DISTRICT The boundaries of CFD No. 2001-1 include all land on which the Special Taxes may be levied. Thc Recorded Map of the area included within CFD No. 2001-1 is provided as Exhibit A. VII. GENERAL TERMS AND CONDITIONS A. Substitution Facilities The description of thc public facilities, as set forth herein, arc general in their nature. The final nature and location of improvements and facilities will be determined upon the preparation of final plans and specifications. The final plans may show substitutes, in lieu or modifications to the proposed work in order to accomplish the work of improvement, and any such substitution shall not be a change or modification in the Community Facilities District No. 200]-1 Page 9 San Miguel Ranch November 2001 proceedings as long as the facilities provide a service and are of a type substantially similar to that as set forth in this Report. B. Interim Transportation Facilities The City may, in its sole discretion, elect to authorize and make the proceeds of any subsequent series of bonds available to pay the cost of construction or the purchase price for the acquisition of Improvements for Interim Transportation Facilities. This could result in the revision of the facilities phority structure for the utilization of such proceeds. C. Appeals Any landowner who feels that the amount of the Special Tax is in error may file a notice with the City Administrator, appealing the levy of the Special Tax pursuant to the procedure specified in Exhibit B-1 and B-2. As appropriate the City Administrator will then review the appeal and, if necessary, meet with the applicant. If the findings of the representative verify that the amount of the Special Tax should be modified or changed, then, as appropriate, the Special Tax levy shall be corrected. Community Facilities District No. 2001-I Page 10 San Miguel Ranch November 2001 EXHIBIT A CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO, 2001-1 (San Miguel Ranch) RECORDED BOUNDARY MAP Community Facilities District No. 2001- I Page 1 l San Miguel Ranch November 2001 EXHIBIT B-1 CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1 (San Migu¢l Ranch) RATE AND METHOD OF APPORTIONMENT IMPROVEMENT AREA A Community Facilities District No. 2001 l Page 12 San Miguel Ranch November 2001 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1, IMPROVEMENT AREA A (San Miguel Ranch) A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable Property within the City of Chula Vista Community Facilities District No. 2001-1 ("CFD No. 2001-1, Improvement Area A") and collected each Fiscal Year commencing in Fiscal Year 2002-03, in an amount determined by the City Council through the application of the appropriate Special Tax for "Developed Property," and "Undeveloped Property," as described below. All of the real property in CFD No. 2001-1, Improvement Area A, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, record of survey, or other recorded document creating or describing the parcel. If the preceding maps are not available, the Acreage shall be determined by the City Engineer. "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2001-1, Improvement Area A including, but not limited to, the following: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County, the City, or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2001-1, Improvement Area A or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2001-1, Improvement Area A or any designee thereof of complying with City, CFD No. 2001-1, Improvement Area A or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2001-1, Improvement Area A or any designee thereof related to an appeal of the Special Tax; and the costs associated with the release of funds fi'om an escrow account, if any. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2001-1, Improvement Area A for any other administrative purposes of CFD No. 2001-1, Improvement Area A, City of Chula Vista September 6, 2001 Community Facilities District No. 2001-I I ~ i ] San Miguel Ranch Improvement Area A I ~ C:;* Page I including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor's Parcel number. "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. "Assigned Special Tax" means the Special Tax for each Land Use Category of Developed Property as determined in accordance with Section C. 1.a. "Available Funds" means the balance in the reserve fund established pursuant to the terms of the Indenture in excess of the reserve requirement as defined in such Indenture, delinquent special tax payments, the Special Tax prepayments collected to pay interest on Bonds, and other sources of funds available as a credit to the Special Tax Requirement as specified in such Indenture. "Backup Special Tax" means the Special Tax amount set forth in Section C.l.b. below. "Bonds" means any bonds or other debt (as defined in the Act), whether in one or more series, issued by CFD No. 2001-1, Improvement Area A under the Act. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2001-1, Improvement Area A" means City of Chula Vista, Community Facilities District No. 2001-1, Improvement Area A (San Miguel Ranch). "City" means the City of Chula Vista. "Commercial Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more non-residential structures, excluding Community Purpose Facility Property. "Community Purpose Facility Property" means all Assessor's Parcels which are classified as community purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2452. "Council" means the City Council of the City, acting as the legislative body of CFD No. 2001-1, Improvement Area A. "County" means the County of San Diego. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 San Miguel Ranch lmprovement Area A / [ ~ ~:~ ' C~ Page 2 "Developed Property" means, for each Fiscal Year, all Taxable Property for which a building permit for new construction was issued prior to March 1 of the prior Fiscal Year. "Final Map" means a subdivision of property created by recordation of a final map, parcel map, or lot line adjustment, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Indenture" means the indenture, fiscal agent agreement, trust agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Tables 1 and 2 of Section C. "Lot(s)" means an individual legal lot created by a Final Map for which a building permit for residential construction has been or could be issued. "Master Developer" means the owner of the predominant amount of Undeveloped Property in CFD No. 2001-1, Improvement Area A. "Maximum Annual Special Tax" means the maximum annual Special Tax, determined in accordance with the provisions of Section C below, that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Occupied Residential Property" means all Assessor's Parcels of Residential Property ~vhich have closed escrow to an end user. "Outstanding Bonds" means all Bonds which remain outstanding. "Property Owner Association Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area A owned by or dedicated to a property owner association, including any master or sub-association. "Proportionately" means for Developed Property that the ratio of the actual Special Tax levy to the Assigned Special Tax or Backup Special Tax is equal for all Assessor's Parcels of Developed Property within CFD No. 2001-1, Improvement Area A. For Undeveloped Property "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Annual Special Tax per Acre is equal for all Assessor's Parcels of Undeveloped Property within CFD No. 2001-1, Improvement Area A. "Public Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area A that is used for rights-of-way or any other purpose and is owned by City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 [ [ ~ ~ San Miguel Ranch - Improvement Area A c? ~? Pa~e 3 or dedicated to the federal government, the State of California, the County, the City or any other public agency. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Residential Floor Area" means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Residential Floor Area shall be made by reference to appropriate records kept by the City's Building Department. Residential Floor Area will be based on the building permit(s) issued for each dwelling unit prior to it being classified as Occupied Residential Property, and shall not change as a result of additions or modifications made after such classification as Occupied Residential Property. "Special Tax" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement "Special Tax Requirement" means that amount required in any Fiscal Year for CFD No. 2001-1, Improvement Area A to: (i) pay annual debt service on all Outstanding Bonds as defined in Section A.; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for ail Outstanding Bonds in accordance with the Indenture; (v) and pay directly for acquisition and/or construction of public improvements which are authorized to be financed by CFD No. 2001-1, Improvement Area A; (vi) less a credit for Available Funds. "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2001-1, Improvement Area A which are not exempt from the Special Tax pursuant to law or Section E below. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 San Miguel Ranch - Improvement ,4rea ,4 [ ~ ~ Page 4 B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2001-1, Improvement Area A shall be classified as Developed Property or Undeveloped Property and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D below. Furthermore, Developed Property shall be classified as Residential Property or Commercial Property. C. MAXIMUM ANNUAL SPECIAL TAX RATE 1. Developed Property The Maximum Annual Special Tax for each Assessor's Parcel of Residential Property or Commercial Property that is classified as Developed Property shall be the greater of (1) the Assigned Special Tax described in Table 1 below or (2) thc amount derived by application o£the Backup Special Tax. a. Assigned Special Tax The Assigned Special Tax £or each Assessor's Parcel o£Developed Property is shown in Table 1. TABLE 1 Assigned Special Tax for Developed Property Land Use Class Description Assigned Special Tax Residential Property $475.00 per unit plus $0.34 per 1 square foot of Residential Floor Area 2 Commercial Property $5,091 per Acre of Commercial Property b. Backup SpecialTax When a Final Map is recorded within Improvement Area A, the Backup Special Tax for Assessor's Parcels of Developed Property classified as Residential Property or Commercial Property shall be determined as follows: For each Assessor's Parcel of Developed Property classified as Residential Property or for each Assessor's Parcel of Undeveloped Property to be classified as Residential Property within the Final Map area, the Backup Special Tax shall be the rate per Lot calculated according to the following formula: City of Chula Vista September 6, 2001 Community Facilities District No. 2001 I i [ '~ San Miguel Ranch - Improvement Area A ;:f ~) Page 5 $10,376 x A L The terms above have the following meanings: B - Backup Special Tax per Lot in each Fiscal Year. A = Acreage classified or to be classified as Residential Property in such Final Map. L - Lots in the Final Map which are classified or to be classified as Residential Property. For each Assessor's Parcel of Developed Property classified as Commercial Property or for each Assessor's Parcel of Undeveloped Property to be classified as Commemial Property within the Final Map area, the Backup Special Tax shall be determined by multiplying $10,376 by the total Acreage of the Commemial Property and Undeveloped Property to be classified as Commemial Property within the Final Map area. Notwithstanding the foregoing, if Assessor's Parcels of Residential Property, Commercial Property or Undeveloped Property for which the Backup Special Tax has been determined are subsequently changed or modified by recordation of a new or amended Final Map, then the Backup Special Tax applicable to such Assessor's Parcels shall be recalculated to equal the amount of Backup Special Tax that would have been generated if such change did not take place. 2. Undeveloped Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property shall be the amount shown in Table 2 below: TABLE 2 Maximum Annual Special Tax for Undeveloped Property Land Use Class Description Maximum Annual Special Tax 3 Undeveloped Property $10,376 per Acre City of Chula Vista September 6, 2001 Community Facilities District No. 2001-I I ~ ~ San Miguel Ranch - Improvement Area A : I/~' Page 6 D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2002-03 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied on each Assessor's Parcel of Developed Property at a rate up to 100% of the applicable Assigned Special Tax to satisfy the Special Tax Requirement. Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property, excluding any Assessor's Parcels classified as Undeveloped Property pursuant to Section E, at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax to be levied on each Assessor's Parcel whose Maximum Annual Special Tax is derived by the application of the Backup Special Tax shall be increased Proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax for each such Assessor's Parcel. Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel classified as Undeveloped Property pursuant to Section E at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten pement per year as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel of CFD No. 2001-1, Improvement Area A. E. EXEMPTIONS The CFD Administrator shall classify as exempt property (i) Assessor's Parcels defined as Public Property, (ii) Assessor's Parcels defined as Property Owner Association Property, (iii) Assessor's Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iv) Assessor's Parcels defined as Community Purpose Facility Property or (v) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, provided that no such classification would reduce the sum of all City of Chula Vista September 6, 2001 Community Facilities' District No. 2001-1 ~ i / San Miguel Ranch Improvement Area A ~, Pag~e 7 Taxable Property to less than 121.93 Acres. Notwithstanding the above, the CFD Administrator shall not classify an Assessor's Parcel as exempt property if such classification would reduce the sum of all Taxable Property to less than 121.93 Acres. Assessor's Parcels which cannot be classified as exempt property because such classification would reduce the Acreage of all Taxable Property to less than 121.93 Acres will be classified as Undeveloped Property and shall be taxed as a part of the fourth step in Section D. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes exempt property. The Maximum Annual Special Tax obligation for any Public Property which cannot be classified as exempt property as described in the first paragraph of Section E shall be prepaid in full by the seller pursuant to Section H.1, prior to the transfer/dedication of such property. Until the Maximum Annual Special Tax obligation for any such Public Property is prepaid, the property shall continue to be subject to the levy of the Special Tax as Undeveloped Property pursuant to the fourth step in Section D. F. REVIEW/APPEAL COMMITTEE The Council shall establish as part of the proceedings and administration of CFD No. 2001- 1, Improvement Area A a special three-member Review/Appeal Comanittee. Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may file a written notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Assessor's Parcel. The Review/Appeal Committee may establish such procedures as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportiomnent and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/Appeal Committee shall be final and binding as to all persons. G. MANNER OF COLLECTION The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2001-1, Improvement Area A may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on Assessor's Parcels which are delinquent in the payment of Special Taxes. Tenders of Bonds may be accepted for payment of Special Taxes upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. City of Chula Vista September 6, 2001 Community Facilities' District No. 2001-1 * ,: San Mi~suel Ranch - Improvement Area A ~ . i r}~ Page 8 H. PREPAYMENT OF SPECIAL TAX The following definition applies to this Section H: "Outstanding Bonds" means all previously issued Bonds which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Maximum Annual Special Taxes. 1. Prepayment in Full The Maximum Annual Special Tax obligation may only be prepaid and permanently satisfied by an Assessor's Parcel of Developed Property, Undeveloped Property for which a building permit has been issued, or Public Property. The Maximum Annual Special Tax obligation applicable to such Assessor's Parcel may be fully prepaid and the obligation of the Assessor's Parcel to pay the Special Tax permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel 'intending to prepay the Maximum Annual Special Tax obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount of such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this figure. The Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): Bond Redemption Amount plus Redemption Premium plus Defeasance Amount plus Administrative Fees and Expenses less Reserve Fund Credit less Capitalized Interest Credit Total: equals Prepayment Amount As of the proposed date of prepayment, the Prepayment Amount (defined below) shall be calculated as follows: Paragraph No.: 1. For Assessor's Parcels of Developed Property, compute the Maximum Annual Special Tax for the Assessor's Parcel to be prepaid. For Assessor's Parcels of Undeveloped Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel as though it was already designated as Developed Property, City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 t ] San Mi,guel Ranch - Improvement .4rea .4 *~ Pa~e 9 based upon the building permit which has already been issued for that Assessor's Parcel. For Assessor's Parcels of Public Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel using the Maximum Annual Special Tax for Undeveloped Property. 2. Divide the Maximum Annual Special Tax computed pursuant to paragraph 1 by the sum of the total expected Maximum Annual Special Tax revenues excluding any Assessor's Parcels which have been prepaid. 3. Multiply the quotient computed pursuant to paragraph 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid (the "Bond Redemption Amount"). 4. Multiply the Bond Redemption Amount computed pursuant to paragraph 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium"). 5. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds. 6. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 7. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid. 8. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount less the Administrative Fees and Expenses from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the prepayment. 9. Add the amounts computed pursuant to paragraphs 5 and 7 and subtract the amount computed pursuant to paragraph 8 (the "Defeasance Amount"). 10. Verify the administrative fees and expenses of CFD No. 2001-1, Improvement Area A, including the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 11. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the City of Chula Vista September 6, 2001 (bmmunity Facilities District No. 200l-1 San Miguel Ranch - Improvement Area A ][ ~ Page lO prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. 12. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the quotient computed pursuant to paragraph 2 by the expected balance in the capitalized interest fund after such first interest and/or principal payment (the "Capitalized Interest Credit"). 13. The Maximum Annual Special Tax prepayment is equal to the sum of the amounts computed pursuant to paragraphs 3, 4, 9, and 10, less the amounts computed pursuant to paragraphs 11 and 12 (the "Prepayment Amount"). 14. From the Prepayment Amount, the amounts computed pursuant to paragraphs 3, 4, 9, 11, and 12 shall be deposited into the appropriate fund as established under the Indenture and be used to retire Outstanding Bonds or make debt service payments. The amount computed pursuant to paragraph 10 shall be retained by CFD No. 200lq 1, Improvement Area A. The Prepayment Amount may be insufficient to redeem other than a $5,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of bonds or to make debt service payments. As a result of the payment of the current Fiscal Year's Special Tax levy as determined under paragraph 7 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Board shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Special Taxes and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax shall cease. Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Annual Special Taxes that may be levied on Taxable Property within CFD No. 2001-1, Improvement Area A both prior to and after the proposed prepayment is at least 1.1 times the maximum annual debt service on all Outstanding Bonds. Tenders of Bonds in prepayment of Maximum Annual Special Taxes may be accepted upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. Ciiy of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 San Miguel Ranch - Improvement Area A t [ ' I ~ Page ll 2. Prepayment in Part Thc Maximum Annual Special Tax on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of thc prepayment shall be calculated as in Section H.i; except that a partial prepayment shall bc calculated according to the following formula: PP = (PE x F) +A These terms have the following meaning: PP - the partial prepayment PE = the Prepayment Amount calculated according to Section H.1, minus Administrative Expenses and Fees pursuant to Step 10. F = the pement by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Annual Special Tax. A= the Administrative Expenses and Fees pursuant to Step 10. The owner of an Assessor's Parcel who desires to partially prepay the Maximum Annual Special Tax shall notify the CFD Administrator of (i) such owner's intent to partially prepay the Maximum Annual Special Tax, (ii) the percentage by which the Maximum Annual Special Tax shall be prepaid, and (iii) the company or agency that will be acting as the escrow agent, if applicable. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Maximum Annual Special Tax for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the City shall (i) distribute the funds remitted to it according to Paragraph 14 of Section H.1, and (ii) indicate in the records of CFD No. 2001-1, Improvement Area A that there has been a partial prepayment of the Maximum Annual Special Tax and that a portion of the Maximum Annual Special Tax equal to the outstanding percentage (1.00 - F) of the remaining Maximum Annual Special Tax shall continue to be authorized to be levied on such Assessor's Parcel pursuant to Section D. 1. TERM OF MAXIMUM ANNUAL SPECIAL TAX Thc Maximum Annual Special Tax shall be levied commencing in Fiscal Year 2002-03 to the extent necessary to fully satisfy thc Special Tax Requirement for a period no longer than 2037-38. City oJ' Chula Vista September 6, 2001 Community Facilities District No. 200l-l / / ~ San Miguel Ranch - Improvement Area A ~ Paf;e 12 EXHIBIT B-2 CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1 (San Miguel Ranch) RATE AND METHOD OF APPORTIONMENT IMPROVEMENT AREA B Community Facilities District No. 2001-1 Page 13 ,5'an Miguel Ranch November 2001 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1, IMPROVEMENT AREA B (San Miguel Ranch) A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable Property within the City of Chula Vista Community Facilities District No. 2001-I ("CFD No. 2001-1, Improvement Area B") and collected each Fiscal Year commencing in Fiscal Year 2002-03, in an amount determined by the City Council through the application of the appropriate Special Tax for "Developed Property," and "Undeveloped Property as described below. All of the real property in CFD No. 2001-1, Improvement Area B, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the mariner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, record of survey, or other recorded document creating or describing the parcel. If the preceding maps are not available, the Acreage shall be determined by the City Engineer. "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2001-l, Improvement Area B including, but not limited to, the following: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County, the City, or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2001-1, Improvement Area B or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2001-I, Improvement Area B or any designee thereof of complying with City, CFD No. 2001-1, Lmprovement Area B or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2001-1, Improvement Area B or any designee thereof related to an appeal of the Special Tax; and the costs associated with the release of funds from an escrow account, if any. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2001-1, Improvement Area B for any other administrative purposes of CFD No. 2001-1, Improvement Area B, City of Chula Vista September 6, 2001 Community Facilities District No. 2001 I ! ~ ~ ~ San Miguel Ranch Improvement Area B ~ '~,, Page 1 including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. "Assessor's Parcel" means a lot or parcel shown on an Assessor's Parcel Map with an assigned Assessor's Parcel number. "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. "Assigned Special Tax" means the Special Tax for each Land Use Category of Developed Property as determined in accordance with Section C. 1 .a. "Available Funds" means the balance in the reserve fund established pursuant to the terms of the Indenture in excess of the reserve requirement as defined in such Indenture, delinquent special tax payments,, the Special Tax prepayments collected to pay interest on Bonds, and other sources of funds available as a credit to the Special Tax Requirement as specified in such Indenture. "Backup Special Tax" means the Special Tax amount set forth in Section C. 1 .b. below. "Bonds" means any bonds or other debt (as defined in the Act), whether in one or more series, issued by CFD No. 2001-1, Improvement Area B under the Act. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2001-1, Improvement Area B" means City of Chula Vista, Community Facilities District No. 2001-1, Improvement Area B (San Miguel Ranch). "City" means the City of Chula Vista. "Commercial Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more non-residential structures, excluding Community Purpose Facility Property. "Community Purpose Facility Property" means all Assessor's Parcels which are classified as community purpose facilities and meet the requirements of City of Chula Vista Ordinance No. 2452. "Council" means the City Council of the City, acting as the legislative body of CFD No. 2001-1, Improvement Area B. "County" means the County of San Diego. City of Chula Vista September 6, 2001 C'ommunity Facilities District No. 2001-1 San Miguel Ranch - lmprovonent Area B ' Page 2 "Developed Property" means, for each Fiscal Year, all Taxable Property for which a building permit for new construction was issued prior to March 1 of the prior Fiscal Year. "Final Map" means a subdivision of property created by recordation of a final map, parcel map, or lot line adjustment, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Indenture" means the indenture, fiscal agent agreement, trust agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Tables 1 and 2 of Section C. "Lot(s)" means an individual legal lot created by a Final Map for which a building permit for residential construction has been or could be issued. "Master Developer" means the owner of the predominant amount of Undeveloped Property in CFD No. 2001-1, Improvement Area B. "Maximum Annual Special Tax" means the maximum annual Special Tax, determined in accordance ,vith the provisions of Section C below, that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Occupied Residential Property" means all Assessor's Parcels of Residential Property ~vhich have closed escrow to an end user. "Outstanding Bonds" means ali Bonds which remain outstanding. "Property Owner Association Property" means any property within the boundaries of CFD No. 2001-1, Improvement Area B owned by or dedicated to a property owner association, including any master or sub-association. "Proportionately" means for Developed Property that the ratio of the actual Special Tax levy to the Assigned Special Tax or Backup Special Tax is equal for all Assessor's Parcels of Developed Property within CFD No. 2001-1, Improvement Area B. For Undeveloped Property "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Annual Special Tax per Acre is equal for all Assessor's Parcels of Undeveloped Property within CFD No. 2001-1, Improvement Area B. "Public Property" means any property within the boundaries of CFD No. 2001-1, hnprovement Area B that is used for rights-of-way or any other purpose and is owned by or City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 : , ~ San Miguel Ranch - Improvement Area B [ ' t~?'~ Page 3 dedicated to the federal government, the State of California, the County, the City or any other public agency. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Residential Floor Area" means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Residential Floor Area shall be made by reference to appropriate records kept by the City's Building Department. Residential Floor Area will be based on the building permit(s) issued for each dwelling unit prior to it being classified as Occupied Residential Property, and shall not change as a result of additions or modifications made after such classification as Occupied Residential Property. "Special Tax" means the annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement "Special Tax Requirement" means that amount required in any Fiscal Year for CFD No. 2001-1, Improvement Area B to: (i) pay annual debt service on all Outstanding Bonds as defined in Section A.; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds in accordance with the Indenture; (v) and pay directly for acquisition and/or construction of public improvements which are authorized to be financed by CFD No. 2001-1, Improvement Area B; (vi) less a credit for Available Funds. "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2001-1, Improvement Area B which are not exempt from the Special Tax pursuant to law or Section E below. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. "Undeveloped Property" means, for each Fiscal Year, all Taxable Property not classified as Developed Property. B. A$SIGNME1NT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2001-i, Improvement Area B shall be classified as Developed Property or Undeveloped Property and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D below. Furthermore, Developed Property shall be classified as Residential Property or Commercial Property. (?iCy of Chula Fista September 6, 2001 CommuniCy Facilities District No. 2001-1 ~ ;Ii San Miguel Ranch lm?rovement Area B ~' Page 4 C. MAXIMUM ANNUAL SPECIAL TAX RATE 1. Developed Property Thc Maximum Annual Special Tax for each Assessor's Parcel of Residential Property or Commercial Property that is classified as Developed Property shall be thc greater of (1) thc Assigned Special Tax described in Table 1 below or (2) the amount derived by application of the Backup Special Tax. a. Assigned SpecialTax The Assigned Special Tax for each Assessor's Parcel of Developed Property is shown in Table 1. TABLE 1 Assigned Special Tax for Developed Property Land Use Class Description Assigned Special Tax 1 Residential Property $475.00 per unit plus $0.32 per square foot of Residential Floor Area 2 Commemial Property $2,263 per Acre of Commercial Property b. Backup SpeciaITax When a Final Map is recorded within Improvement Area B, the Backup Special Tax for Assessor's Parcels of Developed Property classified as Residential Property or Commercial Property shall be determined as follows: For each Assessor's Parcel of Developed Property classified as Residential Property or for each Assessor's Parcel of Undeveloped Property to be classified as Residential Property within the Final Map area, the Backup Special Tax shall be the rate per Lot calculated according to the following formula: $4,578 x A L The terms above have the following meanings: B = Backup Special Tax per Lot in each Fiscal Year. A = Acreage classified or to be classified as Residential Property in such Final Map. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 , ~ San Miguel Ranch - Imp~vvement Area B t ~ Page 5 L = Lots in the Final Map which are classified or to be classified as Residential Property. For each Assessor's Parcel of Developed Property classified as Commercial Property or for each Assessor's Parcel of Undeveloped Property to be classified as Commercial Property within the Final Map area, the Backup Special Tax shall be determined by multiplying $4,578 by the total Acreage of the Commercial Property and Undeveloped Property to be classified as Commercial Property within the Final Map area. Notwithstanding the foregoing, if Assessor's Parcels of Residential Property, Commercial Property or Undeveloped Property for which the Backup Special Tax has been determined are subsequently changed or modified by recordation of a new or amended Final Map, then the Backup Special Tax applicable to such Assessor's Parcels shall be recalculated to equal the amount of Backup Special Tax that would have been generated if such change did not take place. 2. Undeveloped Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property shall be the amount shown in Table 2 below: TABLE 2 Maximum Annual Special Tax for Undeveloped Property Land Use Class Description Maximum Annual Special Tax 3 Undeveloped Property $4,578 per Acre D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2002-03 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied on each Assessor's Parcel of Developed Property at a rate up to 100% of the applicable Assigned Special Tax to satisfy the Special Tax Requirement. Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property, excluding any Assessor's Parcels classified as City of Chula Vista September 6, 2001 Community Facilities District No. 200]- 1 ~ San Miguel Ranch - Im?rovement Area B Pa~;e 6 Undeveloped Property pursuant to Section E, at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax to be levied on each Assessor's Parcel whose Maximum Annual Special Tax is derived by the application of the Backup Special Tax and shall be increased Proportionately from the Assigned Special Tax up to the Maximum Annual Special Tax for each such Assessor's Parcel. Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel classified as Undeveloped Property pursuant to Section E at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten pement per year as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel of CFD No. 2001-1, Improvement Area B. E. EXEMPTIONS The CFD Administrator shall classify as exempt property (i) Assessor's Parcels defined as Public Property, (ii) Assessor's Parcels defined as Property Owner Association Property, (iii) Assessor's Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iv) Assessor's Parcels defined as Community Purpose Facility Property or (v) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, provided that no such classification would reduce the sum of all Taxable Property to less than 103.61 Acres. Notwithstanding the above, the CFD Administrator shall not classify an Assessor's Parcel as exempt property if such classification would reduce the sum of all Taxable Property to less than 103.61 Acres. Assessor's Parcels which cannot be classified as exempt property because such classification would reduce the Acreage of all Taxable Property to less than 103.61 Acres will be classified as Undeveloped Property and shall be taxed as a part of the fourth step in Section D. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which property becomes exempt property. The Maximum Annual Special Tax obligation for any Public Property which cannot be classified as exempt property as described in the first paragraph of Section E shall be prepaid in full by the seller pursuant to Section H.1, prior to the transfer/dedication of such property. Until the Maximum Annual Special Tax obligation for any such Public Property is prepaid, the property shall continue to be subject to the levy of the Special Tax as Undeveloped Property pursuant to the fourth step in Section D.. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 ~ ~ San Miguel Ranch - Irnprovement Area B i I Page 7 F. REVIEW/APPEAL COMMITTEE The Council shall establish as part of the proceedings and administration of CFD No. 2001- 1, Improvement Area B a special three-member Review/Appeal Committee. Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may file a written notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Assessor's Parcel. The Review/Appeal Committee may establish such procedures as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/Appeal Committee shall be final and binding as to all persons. G. MANNER OF COLLECTION The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2001-1, Improvement Area B may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on Assessor's Parcels which are delinquent in the payment of Special Taxes. Tenders of Bonds may be accepted for payment of Special Taxes upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. H. PREPAYMENT OF SPECIAL TAX The following definition applies to this Section H: "Outstanding Bonds" means all previously issued Bonds which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Maximum Annual Special Taxes. 1. Prepayment in Full The Maximum Annual Special Tax obligation may only be prepaid and permanently satisfied by an Assessor's Parcel of Developed Property, Undeveloped Property for which a building permit has been issued, or Public Property. The Maximum Annual Special Tax obligation applicable to such Assessor's Parcel may be fully prepaid and the obligation of City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 San Miguel Ranch - Improvement A rea B [ i~ Page 8 the Assessor's Parcel to pay the Special Tax permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Annual Special Tax obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFD Administrator shall notify such owner of the prepayment amount of such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this figure. The Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): Bond Redemption Amount plus Redemption Premium plus Defeasance Amount plus Administrative Fees and Expenses less Reserve Fund Credit less Capitalized Interest Credit Total: equals Prepayment Amount As of the proposed date of prepayment, the Prepayment Amount (defined below) shall be calculated as follows: Paragraph No.: 1. For Assessor's Parcels of Developed Property, compute the Maximum Annual Special Tax for the Assessor's Parcel to be prepaid. For Assessor's Parcels of Undeveloped Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. For Assessor's Parcels of Public Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel using the Maximum Annual Special Tax for Undeveloped Property. 2. Divide the Maximum Annual Special Tax computed pursuant to paragraph 1 by the sum of the total expected Maximum Annual Special Tax revenues excluding any Assessor's Parcels which have been prepaid. 3. Multiply the quotient computed pursuant to paragraph 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid (the "Bond Redemption Amount"). 4. Multiply the Bond Redemption Amount computed pursuant to paragraph 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium"). City of Chula Vista Septe~nber 6, 2001 Community Facilities District No. 2001~1 t , ! ~ San Miguel Ranch Improvement Area B ~; ~ Page 9 5. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds. 6. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 7. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid. 8. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount less the Administrative Fees and Expenses from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the prepayment. 9. Add the amounts computed pursuant to paragraphs 5 and 7 and subtract the amount computed pursuant to paragraph 8 (the "Defeasance Amount"). 10. Verify the administrative fees and expenses of CFD No. 2001-1, Improvement Area B, including the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 11. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. 12. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the quotient computed pursuant to paragraph 2 by the expected balance in the capitalized interest fund after such first interest and/or principal payment (the "Capitalized Interest Credit"). 13. The Maximum Annual Special Tax prepayment is equal to the sum of the amounts computed pursuant to paragraphs 3, 4, 9, and 10, less the amounts computed pursuant to paragraphs 11 and 12 (the "Prepayment Amount"). 14. From the Prepayment Amount, the amounts computed pursuant to paragraphs 3, 4, 9, 11, and 12 shall be deposited into the appropriate fund as established under the Indenture and be used to retire Outstanding Bonds or make debt service payments. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-I ; j San Miguel Ranch - Improvement Area B ; Page 10 The amount computed pursuant to paragraph 10 shall be retained by CFD No. 2001- 1, Improvement Area B. The Prepayment Amount may be insufficient to redeem other than a $5,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of bonds or to make debt service payments. As a result of the payment of the current Fiscal Year's Special Tax levy as determined under paragraph 7 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for such Assessor's Parcel from the County tax roils. With respect to any Assessor's Parcel that is prepaid, the Board shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Special Taxes and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax shall cease. Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Annual Special Taxes that may be levied on Taxable Property ~vithin CFD No. 2001-i, Improvement Area B both prior to and after the proposed prepayment is at least 1.1 times the maximum annual debt service on all Outstanding Bonds. Tenders of Bonds in prepayment of Maximum Annual Special Taxes may be accepted upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. 2. Prepayment in Part The Maximum Annual Special Tax on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section H.1; except that a partial prepayment shall be calculated according to the following formula: PP = (Pm x F) + A These terms have the following meaning: PP - the partial prepayment PE the Prepayment Amount calculated according to Section H.1, minus Administrative Expenses m~d Fees pursuant to Step 10. F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Annual Special Tax. A= the Administrative Expenses and Fees pursuant to Step 10. City of Chula Vista September 6, 2001 Community Facilities District No, 2001-1 The owner of an Assessor's Parcel who desires to partially prepay the Maximum Annual Special Tax shall notify the CFD Administrator of (i) such owner's intent to partially prepay the Maximum Annual Special Tax, (ii) the percentage by which the Maximum Atmual Special Tax shall be prepaid, and (iii) the company or agency that will be acting as the escrow agent, if applicable. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Maximum Annual Special Tax for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the City shall (i) distribute the funds remitted to it according to Paragraph 14 of Section 1.1, and (ii) indicate in the records of CFD No. 2001-1, Improvement Area B that there has been a partial prepayment of the Maximum Annual Special Tax and that a portion of the Maximum Annual Special Tax equal to the outstanding percentage (1.00 - F) of the remaining Maximum Annual Special Tax shall continue to be authorized to be levied on such Assessor's Parcel pursuant to Section D. I. TERM OF MAXIMUM ANNUAL SPECIAL TAX The Maximum Annual Special Tax shall be levied commencing in Fiscal Year 2002-03 to the extent necessary to fully satisfy the Special Tax Requirement for a period no longer than 2039-40. City of Chula Vista September 6, 2001 Community Facilities District No. 2001-1 ~ · San Mi$uel Ranch - Improvement Area B i Pase 12 EXHIBIT C CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2001-1 IMPROVEMENT AREAS A AND B (San Miguel Ranch) MAXIMUM SPECIAL TAX RATES FOR DEVELOPED PROPERTY AND UNDEVELOPED PROPERTY Maximum Annual Special Tax for Developed Property in Land Use Class 1 Community Facilities District No. 2001-1 Residential Developed Parcels Maximum Annual Special Tax Land Use Class 1 - Improvement Area A $475.00 per unit plus $.34 per square foot of Residential Floor Area $475.00 per unit plus $.32 per square foot of Land Use Class 1 - Improvement Ama B Residential Floor Area Maximum Annual Special Tax for Developed Property in Land Use Class 2 Community Facilities District No. 2001-1 Commercial Developed Parcels Maximum Annual Special Tax Land Use Class 2 - Improvement Area A $5,091 per acre of Commercial Property Land Use Class 2 - Improvement Area B $5,091 per acre of Commercial Property Maximum Annual Special Tax for Undeveloped Property in Land Use Class 3 Community Facilities District No. 2001-1 Undeveloped Property Maximum Annual Special Tax Land Use Class 3 - Improvement Area A $10,376 per acre of Undeveloped Property Land Use Class 3 - Improvement Area B $4,578 per acre of Undeveloped Property Contmunity Facilities District No. 2001-1 Page 14 San Miguel Ranch November 2001 RESOLUTION NO. 2002-- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH), MAKING FINDINGS AND DETERMINATIONS AND SUBMITTING THE QUESTION OF INCREASING THE AUTHORIZED BONDED INDEBTEDNESS FOR IMPROVEMENT AREA A OF COMMUNITY FACILITIES DISTRICT NO. 2001- 1 (SAN MIGUEL RANCH) TO THE QUALIFIED ELECTORS OF SUCH IMPROVEMENT AREA; CALLING A SPECIAL ELECTION AND ESTABLISHING PROCEDURES AND CONDITIONS FOR CONDUCTING SUCH AN ELECTION WHEREAS, the City Council of the City ofChu1a Vista, California, (the "City Council") previously has previously undertaken proceedings to form Community Facilities District No 2001-1 (San Miguel Ranch) (the "District"), to establish two improvement areas therein designated as Improvement Area A and Improvement Area B and to authorize the issuance by the District ofbonds for each improvement area pursuant to the provisions of the Mello-Roos Community Facilities Act of 1982, as amended (Government Code Section 53311 and following) (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") to finance the acquisition of certain authorized facilities; and WHEREAS, pursuant to the Act a ballot proposition was submitted to the qualified electors ofImprovement Area A to authorize the issuance of bonds for Improvement Area A in the maximum principal amount of$13,500,000 (the "Existing Bond Authorization") to be secured by the levy of special taxes on properties within Improvement Area A of the District; and WHEREAS, the qualified electors voted to authorize the issuance of bonds in a maximum principal amount not to exceed the Existing Bond Authorization; and WHEREAS, subsequent to the initiation of the proceedings to authorize the issuance of bonds for Improvement Area A it was determined that the actual principal amount of bonds necessary to be issued for Improvement Area A to finance the authorized public facilities is $15,000,000 rather than $13,500,000; and WHEREAS, the owners of property within Improvement Area A of the District have requested that the City Council, acting in its capacity as the legislative body of the District, initiate proceedings to consider altering the Existing Bond Authorization to increase such authorization to $15,000,000 to ensure that the District may issue bonds in the principal amount necessary to finance the authorized public facilities; and /I-~1 WHEREAS, on December 17,2001, pursuant to the provisions ofthe Act, the City Council, acting as the legislative body ofthe District, adopted its resolution declaring its intention to consider the increase in the Existing Bond Authorization as requested by the owners of such property; and WHEREAS, by the adoption of such resolution the City Council set the time and place for a public hearing on such proposed increase in the bond authorization for Improvement Area A; and WHEREAS, on January 15,2002, the City Council held such public hearing and heard the testimony of all interested persons or taxpayers for or against the proposed increase in the bond authorization for Improvement Area A; and WHEREAS, no registered voter residing within Improvement Area A filed a written protest against the proposed increase in the bond authorization for Improvement Area A; and WHEREAS, no owner of land in the territory included in Improvement Area A and not exempt from the special tax filed a written protest against the proposed increase in the bond authorization for Improvement Area A; WHEREAS, the City Council desires to submit the question ofthe proposed increase in the Existing Bonded Authorization for Improvement Area A to the qualified electors ofImprovement Area A; and WHEREAS, less than twelve (12) persons have been registered to vote within the territory of Improvement Area A for each ofthe ninety days preceding the close ofthe public hearing, therefore, the qualified electors ofImprovement Area A shall be landowners, as such term is defined in the Act, of property within Improvement Area A who are the owners of record of such property at the close of the hearing. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2001-1 (SAN MIGUEL RANCH), DOES HEREBY RESOLVE, DECLARE, FIND, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. Recitals. The above recitals are true and correct. SECTION 2. Findings and Determinations. It is hereby determined by the City Council that: A. Less than fifty percent (50%) of the registered voters residing within Improvement Area A filed written protests against the proposed increase in the Existing Bond Authorization and the owners ofless than one-half of the area ofland in the territory included in Improvement Area A and not exempt from the special tax filed written protests against the proposed increase in the Existing Bond Authorization and, therefore, a majority protest within the meaning ofthe Act to the proposed increase in the Existing Bond Authorization has not been filed. 2 II-Lf8 B. Less than twelve (12) registered voters have resided within the territory of Improvement Area A for each ofthe ninety (90) days preceding the close of the public hearing, therefore, pursuant to the Act the qualified electors ofImprovement Area A shall be the landowners of Improvement Area A as such term is defined in Government Code Section 53317(f) and each landowner who is the owner of record as ofthe close ofthe public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre ofland that she or he owns within Improvement Area A. c. The time limit specified by the Act for conducting an election to submit the proposed increase in the Existing Bond Authorization to the qualified electors ofImprovement Area A and the requirements for impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified electors ofImprovement Area A. D. The City Clerk, acting as the election official, has consented to conducting any required election on January 17, 2002, a date which is less than 125 days following the adoption of this Resolution. SECTION 3. Call of Special Election. There is hereby called and ordered to be held in Improvement Area A on Thursday, January 17, 2002, a special election for the purpose of submitting the question set forth in Section 4 below to the qualified electors ofImprovement Area A. Except as otherwise provided by the Act, the laws of the State of California regulating municipal elections, insofar as they may be applicable, shall govern this election. SECTION 4. Ballot Question. The City Council, pursuant to its right and authority as the legislative body of the District, does order submitted to the qualified electors ofImprovement Area A at such special election the following question: Question 1. Shall the authorized bonded indebtedness for Improvement Area A of Community Facilities District No. 2001-1 (San Miguel Ranch) be increased from $13,500,000 to $15,000,000 subject to the accountability requirements set forth in Resolution No. 2001-416 and for the single purpose set forth in Resolution No. 2001-416? SECTION 5. Required Vote. The appropriate mark placed in the voting square after the word "YES" shall be counted in favor ofthe adoption ofthe 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. The above question shall be deemed approved only upon such question receiving the affirmative vote of2/3rds of the votes cast thereon. 3 If-LfL7 SECTION 6. Designation of Election Official. The City Clerk is hereby designated as the election official for such election and is authorized, instructed and directed to procure and furnish any and all official ballots, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct such election. The Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of the election, which services shall include, but not be limited to, the following activities as are appropriate to the election: A. B. C. D. Prepare and furnish to the election officers necessary election supplies for the conduct of the election. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. Furnish and address official ballots for the qualified electors of the Improvement Area. Cause the official ballots to be delivered to the qualified electors or their authorized representatives, as required by law. E. Receive the returns of the election and supplies. F. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. G. Canvass the returns ofthe election. H. Furnish a tabulation of the number of votes given in the election. 1. Make all arrangements and take the necessary steps to pay all costs of the election incurred as 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. SECTION 7. Time of the Election. Such election shall take place immediately following the adoption ofthis Resolution and all ballots must be received not later than 5 :00 pm on the date ofthe election; provided, however, the Election Official may close the election prior to such time if all of the qualified electors have voted. SECTION 8. Canvas of Ballots. The canvass ofthe measures to be voted on is ordered to be made by the City Clerk. The City Clerk shall complete the canvass ofthe measure immediately following 4 .. 1::':'0 )1<../ the close of the election at which the measure is voted on and shall certify the results to the City Council on that day. SECTION 9. Effective Date of Resolution.. This resolution shall be become effective immediately upon its passage. Except for the proposed increase in the Existing Bond Authorization, the approval ofthis resolution shall have no effect upon the terms of Resolution No. 2001-416 which shall remain in full force and effect. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Director of Public Works J~ K~e~~ ir- City Attorney J:lattomeylresol res calling election cld I-] 5-02 5 11- 5/ CITY COUNCIL AGENDA STATEMENT Item: Meeting Date: 1/15/02 ITEM TITLE: PCC-01-88, Conditional Use Permit to establish a child development center/preschool (Head Start) for up to 100 children in the existing Jesus Christ of Latter Day Saints church building and surrounding grounds at 1320 Fourth Avenue. Applicant: Episcopal Community Services Resolution: of the City Council of the City of Chula Vista adopting the Negative Declaration, IS-01-059, and granting a Conditional Use Permit, PCC-01-88, to Episcopal Community Services to establish a child development center/preschool (Head Start) for up to 100 children at 1320 Fourth Avenue. SUBMITTED BY: Director of Planning and Building Z~'.,~ REVIEWED BY: City Manager ~tg (4/Sths Vote: Yes__No X~ Episcopal Community Services is requesting a Conditional Use Permit (CUP) to establish a child development center/preschool (Head Start) for up to 100 children in an existing chumh facility and surrounding grounds at 1320 Fourth Avenue, where the Reorganized Church of Jesus Christ of Latter Day Saints is located. In accordance with the California Environmental Quality Act (CEQA), city staff conducted an Initial Study (IS-01-059) of possible environmental impacts associated with this project, and the city's environmental review coordinator concluded that there would be no significant environmental impacts. Therefore, a Negative Declaration has been prepared by city staff and will be considered by the City Council, prior to consideration of the project. BOARDS/COMMISSIONS RECOMMENDATION: On November 5, 2001, the Resource Conservation Commission determined that the Initial Study (IS-01-059) was adequate and recommended adoption of the Negative Declaration. On December 5, 2001, this project was brought before the Planning Commission (see minutes, Attachment 4), who voted to adopt Resolution PCC-01-88, which recommends that the City Council adopt the Negative Declaration (IS-01-059) and approve the Conditional Use Permit for PCC-01-88. RECOMMENDATION: That the City Council approve the resolution adopting the Negative Declaration (IS-01-059, Attachment 3) that has been prepared for this project, and approving the CUP (PCC-01-88) establishing a child development center/preschool (Head Start) for up to 100 children. Page 2, Item: Meeting Date: 1/15/02 DISCUSSION: 1. Site Characteristics The 2.27-acre project site is a flat, flag-shaped lot on the west side of Fourth Avenue, just south of Palomar Street. A church sanctuary faces Fourth Avenue. Behind it are a classroom building, a fellowship hall, and missionary dormitory. Beyond the buildings to the west is a large, grassy recreation area that currently has no play equipment on it. An asphalt parking lot south of the buildings accommodates 76 vehicles. Wood fencing runs along the west and south property lines; wood and chain link (on the portion abutting Palomar Street) fencing run along the north property line. The site is adjacent to single-family developments in all directions, with Chula Vista Elementary School northeast of the project at Fourth and Palomar. 2. General Plan, Zoning and Land Use General Plan Zoning Current Land Use Site: Residential, Low-Medium R-1 Reorganized Church of Jesus (3/6 du/gross acre) Christ of Latter Day Saints North: Residential, Low-Medium R-1 Single Family Residential (3-6 du/gross acre) South: Residential, Low-Medium R-1 Single Family Residential (3-6 du/gross acre) East: Residential, Low-Medium R-1 Single Family Residential (3-6 du/gross acre) Northeast: Residential, Low-Medium R-1 Lauderbach Elementary School (3-6 du/gross acre) 3. Proposal The project consists of establishing a child development center/preschool (Head Start) in the existing church buildings at 1320 Fourth Avenue, accommodating a maximum of 100 students (aged 3-5 years old), with approximately 50 students in the morning session, and 50 students in the afternoon session. The hours of operation would be 7:30 a.m. to 4:30 p.m., Monday through Friday. Children would be escorted into the facility, rather than "droPped off' by their parent or guardian. Existing parking spaces would accommodate the adults' vehicles. No additional buildings are proposed. However, a 5,000-square-foot play area (including a bike loop, sandbox with shade structure and playground equipment) is proposed in the vacant recreation area behind the missionary dormitory, and would be a minimum of 50 feet from all property lines. At capacity (100 children), there will not be more than 25 children on the playground at a time, as outdoor play will be staggered in four 45-minute intervals Ir: "! Page 3, Item: /~) Meeting Date: 1/15/02 4. Analysis Private schools, such as the child development center/preschool proposed, are categorized as "Unclassified Uses" in the Chula Vista Municipal Code. Section 19.54.020 states that Conditional Use Permit applications for unclassified uses "shall be considered by the City Council subsequent to its receipt of recommendations thereon from the Planning Commission." The proposed preschool at the existing church facility would be a compatible use in the residential neighborhood during the weekday hours proposed. Them is another school, Lauderbach Elementary, across the street at Fourth Avenue and Palomar Street. Currently, the project site is utilized for Sunday worship services from 8:00 a.m. to 12:00 p.m.; weekday church activities from 5:00 p.m. to 8:30 p.m.; occasional weekend retreats; and a homeless shelter during the months of October, November and December from 5:00 p.m. to 7:00 a.m. The proposed preschool use would not conflict with the existing facility usage. 5. Conclusion Staff recommends approval of the proposed Conditional Use Permit in accordance with the attached Planning Commission Resolution PCC-01-88, to allow establishment of the proposed child development center/preschool. FISCAL IMPACT: The applicant has paid application deposit fees totaling $3,000 ($2,000 for the CUP and $1,000 for the Initial Study). However, because it is a non-profit organization, the applicant is eligible for a waiver of up to $2,500 in City fees. Applicant has submitted appropriate documentation to request such a waiver from the City Manager's office. If the waiver is approved, fees will be charged to the General Fund. Attachments 1. Locator Map 2. Planning Commission Resolution PCC-01 88 3. Negative Declaration 4. Planning Commission Minutes, 12/5/01 MULTI FAMILY LAUDERBACH DWELLING ELEMENTARY SCHOOL SINGLE FAMILY DWELLING PALOMAR HIGH SCHOOL CHULA VISTA PLANNING AND BUILDING DEPARTMENT LOCATOR PROJECT PROJECT DESCRIPTION:  APPUCAN~ EPISCOPAL COMMUNITY SERVICES CONDITIONAL USE PERMIT PROJECT 1320 Fourth Avenue ~ ADDRESS: Request: Proposal for addition to existing church building for licensed child development center SCALE: FiLE NUMBER: and preschool. NORTH No Scale PCC-01-88 Related Case: IS-01-O59 j:\home\planning\cherrylc\locators\pcc0188.cdr 7.10.01 '~ ~' ) ~ ATTACHMENT 1 RESOLUTION NO. PCC 01-88 RESOLUTION OF THE CITY OF CHULA VISTA PLANNING COMMISSION RECOMMENDING THAT THE CITY COUNCIL ADOPT NEGATIVE DECLARATION IS-01-059, AND APPROVE A CONDITIONAL USE PERMIT, PCC-01-88, FOR EPISCOPAL COMMUNITY SERVICES TO ESTABLISH A CHILD DEVELOPMENT CENTERfPRESCHOOL (HEAD START) FOR UP TO 100 CHILDREN AT 1320 FOURTH AVENUE. WHEREAS, a duly verified application for a conditional use permit was filed with the City of Chula Vista Planning Department on June 20, 2001 by Episcopal Community Services; and, WHEREAS, said applicant requests permission to establish a child development center/preschool (Head Start) for up to 100 children between the ages of 3 and 5 years old in the existing church building and surrounding grounds at 1320 Fourth Avenue; and, WHEREAS, the Environmental Review Coordinator conducted an Initial Study of possible environmental impacts associated with this project and, based on the Initial Study (IS- 01-059), prepared a Negative Declaration. The Planning Commission found the Negative Declaration for this project to be adequate; and, WHEREAS, the Planning Director set the time and place for a hearing on said conditional use permit and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the city and its mailing to property owners and residents within 500 feet of the exterior boundaries of the property at least 10 days prior to the hearing; and, WHEREAS, the hearing was scheduled and advertised for November 28, 2001 at 6:00 p.m. in Council Chambers, 276 Fourth Avenue, before the Planning Commission; and, WHEREAS, said hearing was canceled and the project was continued to December 5, 2001 at 6:00 p.m. in Council Chambers, 276 Fourth Avenue, before the Planning Commission, and said hearing was thereafter closed; and WHEREAS, after considering all reports, evidence, and testimony presented at said public hearing with respect to the conditional use permit application, the Planning Commission voted 5-0 to recommend that the City Council adopt Negative Declaration IS-01-059 and approve conditional use permit PCC-01-88; and WHEREAS, from the facts presented, the Planning Commission hereby determines that the conditional use permit is consistent with the City of Chula Vista General Plan and the California Governmem Code, and that the public necessity, convenience, general welfare and good zoning practice support the requests. 1 ATTACHMENT2 NOW, THEREFORE, BE IT RESOLVED THAT THE PLANNiNG COMMISSION does hereby recommend that the City Council adopt the attached City Council Resolution adopting the Negative Declaration (IS-01-059) and approving the conditional use permit (PCC- 01-88) in accordance with the findings and subject to the conditions contained therein. BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the City Council and the Applicant. PASSED AND APPROVED BY THE PLANNiNG COMMISSION OF THE CITY OF CHULA VISTA, CALIFORNIA, this 5th day of December 2001, by the following vote, to wit: AYES: Hall, McCann, O'Neill, Thomas, Willett NOES: ABSENT: Castaneda ABSTAIN: Cortes Kevin O'Neill, Chair Diana Vargas, Secretary 2 Negative Declaration PROJECT N.~.ME: Episcopal Community. Services (ECS) Head Start PROJECT LOCATION: 1320 Fourth Avenue ASSESSOR'S PARCEL NO.: 618-320-3200 PROJECT APPLIC/LNT: Barrie Owens Expansion Coordinator/ECS Head Start CASE NO.: 1S-01- 059 DATE: October 12. 2001 A. Proiect Se~tin~ The 2..27-acre priest site is located to the west of Fourth Avenue and south of Palomar Avenue (Exhibit A - Locator Map). The parcel is a flag-shaped lot and relatively flat. The project site is located in a fully urbanized area of western Chula Vista. A church and accessory, buildings currently occupy the site. The surrounding area is fully developed with the follov, qng Iand uses: Land Uses Zonin= NorJn Single-Family Residential R1 South Single-Family Residential R1 East Single-Family Residential R1 West Single-Family Residential R1 Northeast Elementary School PQ B. Proiect Desm~tion The Episcopal Community Set,rices (Head Start Pro_=ram) proposes utilization of an existing chinch building, Fellowship Hail, and surrounding sounds for a child development center. The Reorganized Church of Jesus Christ of Latter Day Sa~mts owns the church buildings and recreational area. There w/ll be no exterior changes to the existing buildings except for the recreational area that ,adI1 be modified to include a play~ound for the ch/ld development center. The Head Start Pro,am will operate 179 days per calendar year. The Episcopal CommuniW Services is licensed by the State of California for a maximum o£ I00 children ranging in ages from 3 >,ears to 5 years. The current zoning is R1 (Single Family Residential) and the General Plan desi~m~ation is PQ (Public Quasi). The project proposal is consistent ~xqth the General Plan, Zoning regulations and development standards. The Zoning Code allows a daycare center as an accessory to a church use subject to a Conditional Use Permit. ] / ATTACIIMENT 3 7~ne e>:~s::n~ church progx~ms include Sundav sec'ices, weeldy prayer sea-ices, choir oractlces, weekly youth meet:age, etc. 7~ne church pro~ram schedule includes Sundays from 8:00 a.m. to 12:00 noon, weekday activhles from 5:00 p.m. to 8:30 p.m.. occasional weekend retreats and a homeless shelter dunng the months of October. November and December from 5:00 p.m, to 7:00 a.m. C. Comnliance with Zonin~ and Plans A Conditional Use Permit is required for a daycare accessory use to a church in accordance whh the Zoning Ordinance. The proposed project is consistent with the Zoning Ordinance, General Plan desi~umation and environmental plans or policies. D. Public Comments On October I 1, 2001 a Notice of Initial Study was circulated to property owners within 500-foot radius of the proposed project site. The public comment period ended October 22, 2001. One written public response xvas received. E. Identification of Environmental Effects ,An Initial Study coinducted by the City of Chula Vista (including an attached Environmental Checklist form) determined that the proposed project will not have a sitmificant_ environmental effect, and the preparation of an Environmental Impact Report will not be required_ This Negative Declaration has been prepared in accordance xxdth Section 15070 of the State CEQA Guidelines. Potential Imnacts Noise 'I'he p~oject sfi~e currently contains solid wooden fencing around its perimeter boundaries. 'i-ne proposed child development center will be x~fthin an existing_ building and playground area placed in an existing vacant portion of the property., away from the adjacent sin_ole-famitv residences. ]'ne child development center and the play_m-ound area will not create a s"i~onifica~t noise impact because the proposed project contains the following features: a) at least 50 - 240 feet away ~om adjacent single-famity residences, b) solid wooden fencing located along perimeter boundaries. Due to the level of ambient noise at the site from traffic on the adjacent streets, Fourth Avenue and Palomar Street, the additional noise impact of the proposed child development cent~ and play~ound would be less than sig-nifieant. Traffic The primary, access roads to the project site are Fourth Avenue and Paloma: Street. Fourth Avenue is a 4-tane major s~reet with a Level-of-Service "A" and Palornar SWeet is a Class 1 collector street with Level-of-Service "A". The proposed project will generate an additional 245 ave,'-age daily ~ps (,A_DT) per day. According to the Enmineering_ Department, the existing number of vshicte h-/ps on Fourth Avenue is 9.330 and total vehicle capacity is 30,000 with kevel-of-Serx-ice 'C". The existing number of vehicle trips on Palomar Street is 14.204 and total vehicle capaci~, is 22,000 with Level-of-Service "C". The proposed project will not create a significant traffic impact on to the adjacent street segments. The ADT volumes on the primary. access roads before and after the project development will not exceed the Ci~'s Level-of-Sea-ice ;LO.S) "C" standard. The C~ty's waf:2c tlm-eshold standards can s:ili be rnct wuh ~eveiopment of the proposed project. No si~ificant ~-anspor~anor~ circulation impacts would be created as a result of the proposed project. Comments on Notice of Initial Study Staff received one x~citten response to the Notice of Initial Study from a properay oWner along the western boundary of the project site. According to the respondent, the existing school in the near vicinity creates traffic congestion onto the adjacent street se__~rnents, Fourth Avenue and Palomar Avenue, The respondent is concerned about the additional ~raffic from the proposed project and ',he impact it could have. In addition, the respondent expressed concerns about potential noise impacts from playground area. The respondent lives adjacent to the proposed playground area along the southwest boundary of the project site. The proposed playground is 90 feet from the respondent's home and further separated by a 6-foot wooden fence. See previous Section E regarding potemial impacts from noise and traffic. F. Mitigation Necessary to Avoid Si_~nificant Imoacts No mitigation measures are required. G. Consultation !. Ciw of Chula Vista: Marilyn R.F. Ponseggi, Envffonmental Planning Edalia Olivc~Gomez, Emfironmental Planning Kim Vander Bie, Development Planning Gary Williams. Development Planning Frank Hen-era-A, Advanced Planning Ralph Le3~'a, Traffic En~neering Majed A1-Gha~hy, Traffic Engineering Frank Rivera, Senior Civil Engineer Sohaib A1-Agha, Senior Civil Engineer JeffMoneda, Civil En~neer Gilbert Ponce. Public Works Justin Gipson, Fire Depa~ m~ent Joe Gamble, Parks and Recreation Richard Preuss, Police Department Applicant: Barrie Owens Episcopal Community Ser~-ices Documents Chula Vista General Plan (I989) T fie 19, Chum \ ~sta Municipal Code " Inifial~Sm dv This environmental determination is based on :he attached Initial Stud.,,', any comments rec:ived on thc Initial Study and any corrnmems received during the public review period for this Declaration. The report reflects the independent judgment of the City of Chula Vista. F~rther information regarding the environmental review of this project is available from the Chula Vista Planning D~artment, 276 Fourth Avenue, Chula Vista, CA 91910. ' '~ ~/~ <~' Date: Marl yn R.t/F. Ponseggi O Environmental Review Coordinator Case *No-IS-OI-O$9 EN-VIRONMENTAL CHECKLIST FOI:LNI 1. Name of Proponent: Episcopal CormmuniLy Services Barrie Owens 2. Lead Agency Name and Address: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 3. Address and Phone Number of Proponent: 3565 Seventh Avenue San Diego, CA. 92103 4. Name of Proposal: Episcopal Community Services Palornar Head Start '; Date of Checklist: October 30, 2001 I. LAND USE A1hq3 PL.4,N~TNG. Would the proposaL' a) Conflict ,,,,'ira general plan designation or b) Conflict with applicable environmental plans or policies adopted by aaencies with jurisdiction over fins project? c) Affect ag-rinulmral resources or operations (e.g., impacts to soils or farmlands, or impacts from incompan%Ie land uses)? d) Disrup~ or divide the physical arrangement of an established community- (including a low-income or minori~ communiB,)? The Episcopal Community Services (Head Start Proaram) proposes utilization of an existing church facility, Fellowship Hail, and surroundina arounds for a child develosment center. The Reorganized Church of Jesus ChrisI of L~tt'~r Day Saints owns the churdh buildinas and grounds. There wiI1 be no exterior changes to tine existing buildings except for the recreational area that will / / Pa~e 1 S:a:~ of California for a maximum of !{{~ ch:ldrcn r~n~th~ in a? ~rom 3 _'.ears to 5 }sars~ The current zonin} is R1 (Single Pamily ResidsndM) ~nd the General Plan designation is PQ (~blic Quasi}. ~ project proposal is consistent with ~e General Plan. Zoni~ regulations and development standzrds. ~e Zonin~ C~e allows a daycare center as pan of a c~urn~ facili%, whh a Conditional Use Ps,it. ~e existing church programs include Sunday semites, weekly prayer se~ices, choir practices, weekly youth meetings, etc. ~e church program schedule includes Sundays from 8:00 a.m. to 12:~ noon, weekday activities from 5:00 p.m. - 8:30 p.m., ~casional weekend retreats and a homeless shelter during ~e monks of October. Novem~r and Decem~r from 5:00 p.m. to 7:00 ~e proposed project would not conflict wi~ existing land uses nor significantly disrupt the su~ounding residential co~uni~. Mitigation Measures: No mitigation measures are required. II. POPULATION AND HOUSING. Would the s~i~,~., n,~ si:,in~,,, ~o a) Cumulatively exceed official regional or local n [2 rn [] population projections? b) Induce substantial growth in an area either .n [] [] z directly or indirectly (e.g., through projects in an undeveloped area or extension of major infrastructure)? c) Displace existing housing, especially affordable [] [] [] ~ housing? Comments: The proposed project would not contribute to local or regional population grow-&. The use of the existing Fellowship Hail as a child development center would not result in the inducement of substantial growth in this area or in the displacement of existing housing. No buildings would be removed to accommodate the requested facilities. No significant population or housing impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. III. GEOPHYSICAL. Would the proposal result in or sadiron, u.~,~ s~in~., So expose people to potential impacts involving: Impact I~litlgat~iImpact Impact b) Disruptions, displacement, compaction or overcovering of the soil? c) Change in topography or ground surface relief features? d) The destruction, covering or modification of any unique geologic or physical features? e) Any increase in xvind or water erosion of soils, either on or off the site? f) Changes in deposition or erosion of beach sands, or changes in siltation, deposition or erosion which may modify the channel of a river or stream or the bed of the ocean or any bay inlet or lake? g) Exposure of people or property to geologic hazards such as earthquakes, landslides, mud slides, ground failure, or similar hazards? The project site is currently developed with a church and t~vo auxiliary buildings. 2-ne proposed child development center will not require the construction of any new buildings or building additions. The site is relatively fiat and no grading is proposed for the project development. Similar topography and ground surface features surround the site. There are no geophysical features or hazards identified on this project site. No significant geophysical impacts would result from the proposed project. Mitigation Measures: No mitigation measures will be required. WATER. ~buld the proposal result in: a) Changes in absorption rates, drainage patterns, [] [] u ~ or the rate and amount of surface runoff? b) Exposure of people or propmWy to water related ,2 u U [] hazards roch as flooding or tidal waves? c) Discharge into surface waters or other alteration ~ [] ~ [] Pa_~e 3 dissol',~d oxy$~n or mrbidi:I, )? d) Chan~es in the amount of surface water in any e) Changes in currents, or the course of direction of water movements, in either marine or fresh waters? f) Change in the quantity of ground waters, either through direct additions or withdrawals, or through interception of an aquifer by cuts or excavations? g) Altered direction or rate of flow of groundwater? h) Impacts to groundwater quality? i) Alterations to the course or flow of flood waters? j) SubsrantiaI reduction in the amount of water otherwise available for public water supplies? Comments: The project is located on an improved properly developed with three church buildin_~s; fellowship hall, sanctuary., and restroom facility. The proposed project is to utilize part of the ~:elI6wship Hail and church grounds for a child development center and playground. There will be no additional construction on the site, therefore, there will be no significant increase of surface mn- off. The off-site drainage facility, an inlet, exists 200 feet northeast of the property along Fourth Avenue. The inlet drains into a channel, which runs east and west_ According to the Engineering Deparunent, the off-site drainage facility is adequate to serve the project. The project site sheet flows to the eastern landscaped areas along the eastern property boundary and to the northeast property boundary along Fourth Avenue. According to the Engineering Depar~wnent the on-site drainage pattern is adequate. No significant impacts to existing drainage patterns or surface runoff would result from the proposed project. Mitigation Measures: No mitigation measures will be required. V. AIR QUALITY. Would the propoxal: r,~in~, n.~,~ r,..dr,=.~ ~o a) Violate any air quality standard or contribute to [] [] [] [] b) Expose sensitive r~cep~ors ~o pollmants? c) Aher air movement, moisture, or temperature. or cause any change in climate, either locally regionally? d) Create objectionable odors? e) Create a substantial increase in stationary or non-stationary sources of air emissions or the deterioration of ambient air quality7 The proposed project will not alter or deteriorate ambient air quality standards. According to the Engineering Department, approximately 245 Average Daily Trips (ADTs) will be generated from the proposed project. The minimal daily trips will not create a substantial increase in sources of air emissions or create objectionable odors. The average daily trips will not create a significant impact to local or regional air quality. The proposed project is consistent with the Air Quality Element of the City's General Plan. Mitigation Measures: No mitigation measures are required. \:I. TRA. NSPORTATION/CIRCULATION. Would slain==, u~= s~g.m=., No the proposal result in: ~,=~a Mitigated Impact lmpac~ a) Increased vehicle trips or traffic congestion? n [] [] n b) Hazards to safety from design features (e.g., [] n [] ~s sharp curves or dangerous intersections) or incompatible uses (e.g., farm equipment)? c) Inadequate emergency access or access to [] [] ~ m nearby uses? d) Insufficient parking capacity on-site or off-site? u [] [] e e) Hazards or barriers for pedestrians or [] tn [] m bicyclists? 0 Conflicts with adopted policies supporting [] ~ [] m ahernative transportation (e.g. bus turnouts, bicycle racks)? g) Rail. waterborne or air traffic impacts? rn tn [] .~ Page 5 Managemem Pro£rum? Lam equivalent of 24(10 ~ni~t~ trips or 2~9 or or more. average daily vw ~ ~ more .r~ak-hour Yehicle trips.) According to the Engineering Department, the child development center will generate an additional 245 average daily trips (ADT) per day. The primary access roads to the project site are Fourth Avenue and Palomar Street. According to the Engineering Department, Fourth Avenue is a 4-lane major street with a Level-of-Service "A' and Patomar Street is a Class 1 collector street with a Level-of-Service "A'. According to the Engineering Department, the existing number of vehicle trips on Fourth Avenue is 9,330 and total vehicle capacity- is 30,000 with Level-of-Service "C' The existing number of vehicle trips on Palomar Street is I4,204 and total vehicle capacity i~ 22,000 with Level-of-Service "C'. According to the Engineering Department, the primary access roads are adequate to serve the project and maintain the City's Level-of-Service "C' standards. The addition of the estimated 245 ADTs does not create a significant impact. According to the Traffic Study prepared by Linscott Law & Greenspan, dated October 19, 2001, the project is estimated to generate approximately 212 ADT with 55 AM total peak hour trips and 57 PM total peak hour trips. Vehicles wishing to access the site will utilize the existing driveway off of Fourth Avenue. The existing ohurch driveway will be able to accommodate the new project traffic entering and exiting the site. According to the traffic study, the 78 parking spaces provided are adequate to handle the vehicle traffic of the existing church use and the child development center. Thus, the internal circulation created by the existing church use and proposed child development center will continue to function adequately. Mitigation Measures: No mitigation measures will be required. 'VII. BIOLOGICAL RESOURCES. Would cae si, r~ir,=o,u,l~ 5.-,ifi~nt No proposal result in impacts to: ~,=~,,¢, Mitigated Impact impact a) Endangered, sensitive species, species of [] [] u ~ concem or species that are candidates for listing? b) Locally designated species (e.g., heritage [] n [] [] trees)? c) Locally dssignated natural communities (co.:., D [] [] [] oak forest, coastal habitat, etc.)? d) Wetland habitat (e.g., marsh, riparian and [] u [] ~ vernal pool)? e) Wildlife dispersal or migration corridors? [] [] o [] f) Affect regional habitat preservation planning ~ in [] a Page 6 Comments: The pro)ecl site is within a full)' urbanized area of western Chula \'isra Tbe site is ?a,'xially developed and the remaining undeveloped area contains ornamental plantings. T'nere are no sensitive plants or animal species on-site. According to the Open Space and Conservation Element of the General Plan, the project site is not located in an area of potential biological resources, l-lac drab Multiple Species Conservation Program Subarea Plan (MSCP) dated October 9, 2000, designates the parcel for development. No significant biological resource impacts would result from the proposed project. Mitigation Measures: No mitigation measures will be required. ~qlH. ENERGY ..~rD MINERa~ RESOURCES. lmpacl l~litit:ated lmpacl Impavl Would the proposal: a) Conflict with adopted energy conservation ~ ri r~ [] plans? b) Use non-renewable resources in a wasteful and ~ ~ [] [] inefficient manner? c) If the site is designated for mineral resource ~ ~ ~ [] protection, will this project impact this protection? Comments: The child development center does not conflict with the recently adopted CO, Reduction Plan_ The proposed project is subject to compliance with Energy Requirements of the Uniform Building Code and therefore, should not result in the use of non-renewable resources in a wasteful and inefficient mariner. The site is not located in an area designated for rnineral resource protection as addressed in the City's General Plan. No significant energy and mineral resource impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. IX. HAZAPd)S. Would the proposal involve: a) A risk of accidental explosion or release of hazardous substances (including, but not limited to: petroleum products, pesticides, chemicals or radiation)? c) The creation of any heai~ hazard or potential heal~ hazard7 d)Expo~re of people to existing sources of potential heal~ h~ards7 e) Increased fire h~ard in areas with fla~able b~sh, grass, or trees~ Commen~: A church and auxilia~ facilities cu~ently occupy the site. ~e proposed project, a child development center, would result in the continuation of a similar ~'pe land use. ~e proposed proj~t xvould not interfere wi~ ~e emergency response plan for ~e area as there are minimal daily trips created by ~e project and as such would not significantly impact existing evacuation routes. %e ~rrounding area is developed wi~ residential uses ~at ~ically do not include ~e significant use or storage of hazardous materials. No significant hazardous impacts would result ~om ~e proposed project. Mitigation Measures: No mitigation measures are required. X. NOISE. Would the proposal result in: a) Increases in existing noise levels? b) Exposure of people to severe noise levels? Comments: The proposed child development cemer would not result in a siznificant increase of existing noise levels or exposure of people to severe noise levels. No exterior r~modeling or building construction is proposed. The proponent would be required to comply with the City Noise Ordinance per Tide I9, Section 19.68. There are three singleffamily residences adjacent to the northeast property boundary, two single- family residences adjacent to the west property boundary and five single-family residences adjacent to the south propen!- boundary. The Child Development Center is separated from the residential properties to the west and south by an existing 6-foot wooden fence with intermittent masonry pilasters. The child development center, located within the Fellowship Hall, is located 230 feet from the western property boundaU and 100 feet from the southern property boundary. The proposed playground area will be located 50 feet from the western property boundary and approximately 90 feet from the southern property boundary. Separating the southern property. boundary from the proposed playground is an existing parking lot servicing the existing ~hurch facility. According to CiD' records, there are no recent noise complaints received from surrounding Due to the distances of the child development center and associated playground from the adlas, ent residences and solid perLmeter fencing, it has been determined that no significant noise impacts would result from the proposed project. Mitigation Measures: No mitigation measures will be required. XI. PUBLIC SER¥ICES. Would the proposal have an effect upon, or result in a need for new or altered government services in an), of the following areas: a) Fire protection? b) Police protection? c) Schools? d) Maintenance of'public facilities, including roads? e) Other governmental services? The project site is located within a fully urbanized area of western Chula Vista. Th~ Police and Fire Depamnents reported that the project would not create a significant impact to existing services. According to the Chula Vista Elementary, School District according to Assembly Bill No. 181, Section 53080, any private facility is exempt from school fees. No significant public service impacts would result from the development of the child center. Mitigation Measures: No mitigation measures will be required. XII. Thresholds. gTll the proposal adversely impact the ~ r~ D [] City's 7'hreshold Standards? As described below, the proposed project does not adversely impact any of the seven Threshold Standards. Page 9 The Threshold Standards requires that fire and medical units must b~ able to respond Io calls wkhth '7 minutes or less in $5% of the cases and within $ minutes or less in 75% of the cases. It is anticipated that the minor furore development on this parcel map will meet the threshold sandards as this project is in a fully urbanized area. The proposed project would comply with this Threshold Standard, Comments: According to the Fire Department, the current level of service can continue to be provided to the project site. As such, the proposed project is not anticipated to significantly impact the Fire/EMS Threshold Standard. Mitigation Measures: No mitigation measures will be required. b) Police o [] o a The Threshold Standards require that police units must respond to 84% of Priority 1 calls within ? minutes or less and maintain an average response time to all Priority 1 calls of 4.5 minutes or less. Police units must respond to 62.10 % of Priority 2 calls . within 7 minutes or less. and maintain an average response time to all Priority 2 calls of 7 minmes or less. Comments: The Police Department indicates that the current level of police services can continue to be provided to the project area. The Police Department reports that the proposed project would no~ res,~lt in a significant impact to the Police Threshold Standards. blifigation Measures: No mitigation measures will be required. c) Traffic = o o 1. Ci7,.'~v,,ide: Maintain LOS "C" or better as measured by observed average travel speed on all signalized arterial segments except that during peak hours a LOS "D" can oCcur for no more than any two hours of the day. 2. West of 1-805: Those signalized intersections which do not meet the standard above may continue to operate at their current 1991 LOS, but shall not worsen. Page t 0 Comment~: According to the En____ineerins D?ar~ment. the proposed pr~e:i '~ill not generate a signi~can! increase in traffic. There v. ill be an estimated total of 245 Average Dali's' Trips <AD'F) generaled by the proposed pr~ect per day. The additional trips would not r~sult i~ the ~ · traf~c ~hresholds being exceeded.. Mitigation Measures: No mitigation measures will be required. d) Parks/Recreation [] [] [] [] The Threshold Standard for Parks and Recreation is 3 acres of neighborhood and community parkland with appropriate facilities per 1,000 residents east of Interstate 805 (I-8O5). Comments: The proposed'project is located west of 1-805, therefore, the Parks and Recreation Threshold does not apply. Park pad obligations would be required per City Ordinance (Municipal Code, Chapter 17.10). Mitigation Measures: No mitigation measures are required. e) Drainage [] [] [] [] The Threshold Standards require that storm water flows and volumes not exceed City Engineering Standards. Individual projects will provide necessary improvements consistent with the Drainage Master Plan(s) and City Engineering Standards. The proposed project will comply with this Threshold Standard. Comments: According to the Engineering Department, the storm water flows and drainage facilities will not be significantly affected by the proposed project because no construction or paving of impervious surfaces are proposed. The project site currently sheetflows to the landscaped areas adjacent to the east property boundary and continues towards Fourth Avenue. The existing off-site facili~' is a curb inlet which runs east and west across Fourth Avenue. No significant drainage impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. Page 11 Sewer ~ o [] [] The Threshold Standards require that sewage flows and volumes not exceed City Engineering Standards. Individual projects will provide necessary improvements consistent with Sewer Master Plan(s) and City Engineering Standards. The proposed project will comply with this Threshold Standard. Comments: The City Engineering Department has determined that the existing 8-inch sewer mains along Palomar Street and Fourth Avenue are adequate to serve the proposed project. No significant sewer facility impacts would result from the proposed project. /Uht~gation Measures: No mitigation measures arel required g) Water ~ [] [] ~ The Threshold Standards require that adequate storage, treatment, and transmission facilities are constructed concurrently with planned growth and that water quality standards are not jeopardized during growth and construction. The proposed project will comply with this ThreshoId Standard. Applicants may also be required to participate in whatever water consep,,ation or fee off-set program the City of Chub Vista has in effect at the time of building permit' issuance. Comments: The Sweetwater Water District has determined that the existing water facility is adequate to sert,,e the proposed project. The GPM fire flow at 54 p.s.i, residual pressure for a two-hour duration as required by the Chula Vista Fire Deparlrnent is avaitable to serve the proposed project. No significant impacts to water services are anticipated. Mitigation Measures: No mitigation measures are required. XIII. UTILITIES ANT) SERVICE SYSTEMS. Would si.mn=., u.~=, slr~in~,t :~o ~ Pao_e t2 ;:~bs~m'~2! c::cr~ions ~o zh¢ foEowin~, militics: . a) Power or natural gas? b) Communications systems? c) Local or regional water treatment or distribution facilities? d) Sewer or septic tanks? e) Storm water drainage? 0 Solid waste disposal? Comments: The project site is located in an urbanized area with existing utility and service facilities. There is an existing 8-inch sewer main that flows easterly along Palomar Street and an 8- inch sewer main that flows southerly along Fourth Avenue. According to the Engineering Department, the existing sewer mains are adequate to serve the proposed project. The child development center is not anticipated to result in the need for new systems or alterations to existing facility utL!ities. No significant impacts to existing service utilities or create needs for new service systems would result from the proposed project. Mitigation Measures: No mitigation measures are required. XTq. AESTHETICS. Would the proposal: a) Obstruct any scenic vista or view open to the public or will the proposal result in the creation of an aesthetically offensive site open to public view? b) Cause the destruction or modification of a scenic route? c) Have a demonstrable negative aesthetic effect? d) Create added light or glare sources that could increase the level of sky glow in an area or cause this project to fail to comply with Section !9.66.100 of the Chula Vista Municipal Code, · Title 197 e~ Produ:_s an additional amount of spill Comments: The proposed project, s. child deve]opmem center, is located in a fullv developed area of the western portion of the City. 'Une existing land use is a church and cornmuni~ sera, ice facility located on Fourth Avenue, a~acent to Palomar Street. According to the General Plan, the project site and adjacent street segments are not identified as scenic routes or scenic vistas. The project proposal d~s not include additional building construction on the project site. No significant aesthetic impacts would result from the proposed child development center. Mitigation Measures: No mitigation measures are required. XV. CULTUI~L RESOURCES. Would. the proposal: a) Will the proposal result in the alteration of or the destruction 9r a prehistoric or historic archaeological site? b) Will the proposal result in adverse physical or aesthetic effects to a prehistoric or historic building, structure or '" c) Does the proposal have the potential to cause a physical change which would affect unique erhrfic cultural values? d)Will the proposal restrict existing religious or sacred uses within the potential impact area? e) Is the area identified on the City's General Plan EtR as an area of high potential for archeological resources? Comments: The Conservation and Open Space Element of the General Plan does not identify the subject site or surrounding vicinity as an area of potential cultural resources. The proposed' project does not include grading activi _ry. No significant cultural resource impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. ' :' ~ paoe 14 Comments: The Conservation and Open Space Element of the General Plan does not identiN..' the subject site or surrounding vicinity as an area of potential paleontological resources. The project site is relatively flat with no grading proposed. No significant paleontological resource impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. XVII. RECREATION. Would the proposah ~.~r,=~, u,~.= ~,~r,c.., ,~o a) Increase the demand for neighborhood or [] n [] [] regional parks 6r other recreational facilities? b) Affect existing recreational opportunities? ~ [] [] [] ~ c) Interfere with recreation parks & recreation [] [] [2 [] plans or programs? Comments: The proposed project, a child development center, will not increase Cue need for parks or recreational facilities. The proposed project is not a residential development project. The project will include a recreational area for use by the students enrolled in the Head Start Program. No significant recreational impacts would result from the proposed project. Mitigation Measures: No mitigation measures are required. X%,TLI. MANDATORY FINDINGS OF s'~r~=n, un,,~ r,.~m~,,, so SIGNIFICANCE: See .Negative Declaration for . mandaroo'findings of significance. ]fan EIR is needed, thix section should be completed. a) Does the project have the potential to degrade ~ c~ [] [] the quality of the environrnent, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below Pa~,e 1 5 self-susaainthg levels, th:eaien :o elimina:= a plan: o.- animal communi~', reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples · of the major periods or California history or prehistoD,? Comments: -i-ne project proposal is in a fully urbanized area of western Chula Vista. The surrounding area is developed with residentiaI uses. Neither sensitive plant nor animal resources, nor historical or archaelogical resources are present on the site. The proposed project will not have a significant impact on the qualiLy of the environment, reduction of habitat of wildlife species or threaten the historical presep,,ation of the area· Mitigation Measures: No mitigation measures are required. b) Does the project have the potential to achieve n short-term, to the disadvantage of long-term. environmental goals? Comments: Consnmction, of a child development center and recreational area on the oro is consistent with the City s Genera Plan and the Ci'-' '-' ..... " , - ~ o. . posed site ' s* ,~uu.cli appro~ ea Lrrarr Mulfinle Snecies Cortservation Plan (MSCP) dated October 2000. Tlae nroject site is slated for development. :l-he ~roposed project would not ne_~atix ely arr,-~. - Mitigation Measures: No mitigation measures are required. c) Does the project have impacts that are individually limited, but ~umulatively considerable? ("Cumulatively considerable" means that the incremental effects of a project are considerable when viewed in connection with the effects of past projects, the effects of other current projects, and the effects of probable furore projects.) Comments: There are no other current or foreseeable projects in the surrounding area that would contribute to cumulatively considerable impacts. This is an accessory, use to an existing khurch that is located within a fully urbanized area of western Chula Vista. The proposed project is consistent with the goals and vision of the General Plan. Mitigation Measures: No mitigation measures are required. .d) Does the project have environmental effects, which will cause substantial adverse effects on human beings, ~ither directly or indirectly? Comments: The proposed project, a child development center, is in compliance with the General Plan and development standards of the City.. This is an auxiliary use to an existing church which is a public-quasi use. No significant adverse effects on human beings would result from the completion of the child development center. PROJECT REVISIONS OR MITIGATION MEASURES: Not applicable. .'CK. EN'VIRON3,~gNTAL FACTORS POTENTL4.LLY AFI,'ECTED: The environmental factors checked below would be potentially affected by this project, involving at least one impact that is a "Potentially S~mficant Impact or "Potentially Significant Unless Mitigated, as indicated by the checklist on the following pages. [] Land Use and Planning [] Transportation/Circulation [] Public Ser¥ices [] Population and Housing [] Biological Resources [] Utilities and Servic~ Systems [] Geophysical [] Energy and Mineral Resources [] Aesthetics [] Water [] Hazards [] Cultural Resources [] Air Qualiu, [] Noise [] Recreation Pa_~o~ 17 :~ Palcon o]oo :_-~ ~ Mandatom' Fndin£~ of Sl:m:]:ance XXH. DETERMINATION: On the basis of this initial evaluation: I find that the proposed project COULD NOT have a sianificant effect on the environment, and a NEGATIVE DECLAIL-XT1ON will be prepared. [] I find that although the proposed project could have a significant effect on the [] environment, there will not be a significant effect in this case because the mitigation meastires descried on an attached sheet have been added to the project. A MITIGATED NEGATIVE DECLARATION will be prepared. I f'md that the proposed project MAY have a significant effect on the environment, and [] an ENVIRONMENTAL IMPACT REPORT is required. I find that the proposed project MAY have a significant effect(s) on the environment, but [] at least one effect: 1) has been adequately analyzed in an earlier document pursuant to applicable legal standards, and 2) has been addressed by mitigation measures based on the earlier analysis as described on attached sheets, if the effect is a "potentially significant impacts" or "potentially significant unless mitigated." An ENVIRONMENTAL IMPACT REPORT is req~uired, but it must analyze only the effects that remain to be addressed. I find that although the proposed project could have a significant effect on the environment, there WILL NOT be a significant effect in this case because all potemi'ally significant effects (a) have been analyzed adequately in an earlier EIR pursuant to applicable standards and (b) have b~n avoided or mitieated pursuant to that earlier EIR, including revisions or mitigation measures that are imposed upon the proposed project. An addendum has bee~n prepared to provid~ a record of this determination. Ma(dlyn/!~.F. Vonseggi ~'~ Environmental Review Coordinator City of Chula Vista Page MULTI FAMILY D\VELLrNG ~ ELEMENTA, RY O. SCHOOL ShNGLE FAMILY D\V£LLING PALO.bLafl~ HHGH SCHOOL CHULA VISTA PLANNING AND BUILDING DEPARTMENT LOCATOR PROJ~C~- PROJEDT DESCRIPTION:  APPUC^N'EE?ISCOPALCOMMUNITYSERVICES INITIAL STUDY PROJECT 1320 Fourth Avenue ADDRESS: Request: Proposal for addition to existing church building for licensed child development center SCALE: FILE NUMBER: and preschool. NORTH No Scale IS-01-059 Related Ca,,e: PC~0-01-88 J:\h°me\planning\cherrylc\locators\isO1059.cdr 7.1001 EXtIIBIT A MINUTES OF THE CITY PLANNING COMMISSION OF CHULA VISTA, CALIFORNIA Conference Rooms 2&3 6:00 p.m. Public Services Building Wednesday, December 5 2001 276 Fourth Avenue, Chula Vista ROLL CALL/MOTIONS TO EXCUSE: Present: Chair O'Neill, Commissioners Hall, Cortes, Thomas, McCann, Willett Absent: Commissioner Castaneda Staff Present: Jim Sandoval, Assistant Director of Planning and Building John Schmitz, Principal Planner Kim Vander Bie, Associate Planner Ann Moore, Deputy City Attorney II PLEDGE OF ALLEGIANCE/SILENT PRAYER INlrRODUCTORY REMARKS: Read into the record by Chair O'Neill ORAL COMMUNICATIONS: No public input. 1. PUBLIC HEARING: PCC 01-88; Conditional Use Permit to establish a child development center/preschool in an existing church building and surrounding grounds. Applicant: Episcopal Community Services Commissioner Cortes stepped down from the dais. Background: Klm Vander Bie, Associate Planner reported that the project consists of establishing a child development center/preschool in the existing church building at 1320 Fourth Avenue, accommodating a maximum of 100 students (ages 3-5) with an opening day enrollment of 68 students. The hours of operation would be 7:30 a.m. to 4:30 p.m. Monday thru Friday with staff only being present on Friday. A 5,000 sf play area is proposed in the vacant recreation area behind the missionary dormitory and would be a minimum of 50 feet from all property lines. At capacity, there will not be more than 25 children on the playground at a time, as outdoor play will be staggered in four 45-minute intervals. City staff conducted an Initial Study (IS 01-059) of possible environmental impacts associated with the project and the Environmental Review Coordinator determined that ATTACHMENT Planning Commission Minutes - 2 - December 5, 2001 there would be no significant environmental impacts, therefore, a Negative Declaration has been prepared. Staff Recommendation: That the Planning Commission approve Resolution PCC 01-88 recommending that the City Council adopt the resolution approving the Negative Declaration and approving the CUP establishing a child development center/preschool for up to 100 children. Commission Discussion: Commissioner Thomas inquired if the State was requiring any modifications to the existing buildings based on the number of children it will be servicing. Ms. Vander Bie responded that all State of California requirements related to health and safety will need to be met prior to them issuing a license. Commissioner O'Neill inquired if any studies have been conducted to evaluate any traffic and circulation impacts. Ms. Vander Bie stated that a traffic study was conducted as part of the Initial Study, which concluded that there were no significant traffic impacts and no further improvements were necessary. The Commission collectively expressed concern with the circulation and maneuverability of cars dropping off children within the parking lot. Ms. Vander Bie clarified that this is the type of facility where children are not dropped-off like they are in an elementary school. These are smaller children whose parents drive into the parking lot, park and get offtheir cars to escort and sign-in their child. It would be no different than any other striped parking lot (i.e. supermarket) where there is sufficient room to back out of the stall and exit the lot. Public Hearing Opened 6:35. Christina Breining, 121 Woodiawn #A, Chula Vista stated that head-start programs are o¢ great value to underprivileged families. She indicated she is a "head-start mom" and her child has gone through the head-start program. Ms. Breining further stated that had it not been for head-start helping her with child care, which enabled her to get on her feet and find employment after going through a divorce, she and her child would have most likely ended up on the streets or on public assistance. She therefore urged the Commission to approve the project. Planning Commission Minutes - 3 - December 5, 2001 Gene Merlino, 1261 Third Avenue #B, Director of Child Development Services who oversees the head-start programs in the Southbay stated that churches offer an optimal location for head-start programs that are able to utilize facilities that have large auditoriums and/or classroom buildings, with adequate parking that are not used during the work-week. She also stated that traffic congestion would not be a problem because children are dropped off at different hours in the morning. She urged the Commission to approve the project and stated she was available to answer questions. MSC (McCann/Thomas) (5-0-1-1) that the Planning Commission approve Resolution PCC 01-88 recommending that the City Council adopt the resolution approving the Negative Declaration and approving the CUP establishing a child development center/preschool for up to 100 children. Motion carried. 2. PUBLIC HEARING: PCC 02-13; Conditional Use Permit to permit an existing second dwelling unit as an accessory second dwelling unit behind the primary single-family residence at 736 Church Avenue. Applicant: Daniel Contreras. MSC (McCann/Thomas) (6-0-1-0) to continue public hearing to February 13, 2002. DIRECTOR'S REPORT: COMMISSIONERS COMMENTS: ADJOURNMENT at 6:45 p.m. to the Planning Commission meeting of January 9, 2002. __ Diana Vargas, Secretary to Planning Commission RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING NEGATIVE DECLARATION IS- 01-059, APPROVING A CONDITIONAL USE PERMIT, PCC- 01-88, TO EPISCOPAL COMMUNITY SERVICES FOR ESTABLISHMENT OF A CHII~D DEVELOPMENT CENTER/ PRESCHOOL (HEAD START) FOR UP TO 100 CHILDREN AT 1320 FOURTH AVENUE. A. RECITALS 1. Project Site WHEREAS, the parcel that is the subject matter of this resolution is represented in Exhibit A attached hereto and incorporated herein by this reference, and for the purpose of general description is located at 1320 Fourth Avenue ("Project Site"); and 2. Project Applicant WHEREAS, on June 20, 2001 a duly verified application for a Conditional Use Permit (PCC-01-88) was filed with the City of Chula Vista Planning Division by Episcopal Community Services (Applicant); and 3. Project Description; Application for Conditional Use Permit WHEREAS, Applicant requests permission to establish a child development center/preschool (Head Start) for up to 100 children between the ages of 3 and 5 years old in the existing church buildings and surrounding grounds at the Project Site; and 4. Environmental Determination WHEREAS, in accordance with the requirements of the California Environmental Quality Act (CEQA), the Environmental Review Coordinator determined that the Project required the preparation of an Initial Study. Such study (IS-01-059) was prepared by city staff, and based on such study, a Negative Declaration was prepared and circulated for public review. WHEREAS, the Resoume Conservation Commission determined that the Initial Study was adequate and recommended adoption of a Negative Declaration on November 5, 2001, in compliance with CEQA. The Planning Commission recommended adoption of the same Negative Declaration on December 5, 2001. 5. Planning Commission Record on Application WHEREAS, the Planning Commission hearing was scheduled and advertised for December 5, 2001 at 6:00 p.m. in the Council Chambers, 276 Fourth Avenue, at which time the Planning Commission voted 5-0-1-1 to recommend that the City Council approve the Project based on the findings and subject to the conditions listed below, in accordance with Planning Commission Resolution PCC-01-88; and 6. City Council Record of Application WHEREAS, a duly called and noticed public hearing on the Project was held before the City Council of the City of Chula Vista on January 15, 2002 to receive the recommendation of the Planning Commission, and to hear public testimony with regard to same. NOW, THEREFORE BE IT RESOLVED that the City Council does hereby find, determine and resolve as follows: B. PLANNING COMMISSION RECORD The proceedings and all evidence on the Project introduced before the Planning Commission at their public hearing on this Project held on December 5, 2001 and the minutes and resolution resulting therefrom, are hereby incorporated into the record of this proceeding. C. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council does hereby find that the Negative Declaration issued for this Project has been prepared in accordance with requirements of the California Environmental Quality Act and the Environmental Review Procedures of the City of Chula Vista. D. INDEPENDENT JUDGMENT OF THE CITY OF CHULA VISTA CITY COUNCIL The City Council finds that the Negative Declaration prepared for this Project reflects the independent judgment of the City of Chula Vista City Council, and hereby adopts the Negative Declaration, a copy of which is on file in the office of the City Clerk. E. CONDITIONAL USE PERMIT FINDINGS The City Council of the City of Chula Vista does hereby make the findings required by the City' s rules and regulations for the issuance of conditional use permits, as herein below set forth, and sets forth, thereunder, the evidentiary basis that permits the stated finding to be made. 1. That the proposed use at the location is necessary or desirable to provide a service or facility which will contribute to the general well being of the neighborhood or the community. Resolution No. __ Page #3 The proposed child development center/preschool (Head Start) in the residential neighborhood will provide a centrally located child care facility for residents in and around the existing church where the facility is proposed. 2. That such use will not under the circumstances of the particular case, be detrimental to the health, safety or general welfare of persons residing or working in the vicinity or injurious to property or improvements in the vicinity. The proposed use will not pose a danger to the health, safety or general welfare to the general public. A Negative Declaration prepared by the city's environmental review coordinator indicates that there will be no significant environmental impacts. 3. That the proposed use will comply with the regulations and conditions specified in the code for such use. This Conditional Use Permit is conditioned to require the permittee and property owner to fulfill conditions and to comply with all applicable regulations and standards specified in the Municipal Code for such use. The conditions of this permit are approximately in proportion to the nature and extent of the impact created by the proposed development in that the conditions imposed are directly related to and are of a nature and scope related to the size and impact of the project. 4. That the granting of this conditional use permit will not adversely affect the general plan of the City or the adopted plan of any government agency. The granting of this permit will not adversely affect the Chula Vista General Plan in that public facilities, such as preschools, are an anticipated use in residential areas. F. TERMS OF GRANT OF PERMIT The City Council hereby grants Conditional Use Permit PCC-01-88 subject to thc following conditions: 1. The number of students shall not exceed 100. 2. Hours of operation shall be Monday through Friday from 7:30 a.m. to 4:30 p.m. 3. The recreation/play area shall be no closer than 50 feet from property lines. 4. Prior to issuance of occupancy permit, the sunken sidewalk left of the driveway approach shall be removed and replaced with new concrete. 5. Prior to issuance of occupancy permit, a trash enclosure complying with city specifications shall be installed on the site. / ~ Resolution No. __ Page #4 6. Prior to issuance of occupancy permit, project shall comply with all Fire Department requirements, including, but not limited to: A. Provide a 2A-10BC fire extinguisher every 75 feet of travel distance. B. All exit doors shall be of single action with no unapproved locking devices. C. The fire alarm system shall comply with Sections 305.9 and 305.9a. of the California Uniform Building Code. Illuminated exit signs are required and shall be on a separated emergency system installed according to the Electrical Code. D. Any areas designated for sleeping purposes shall have smoke detection. E. The business shall be licensed through Community Care Licensing. 7. This permit shall be subject to any and all new, modified or deleted conditions imposed after approval of this permit to advance a legitimate governmental interest related to health, safety or welfare which the City shall impose after advance written notice to the Permittee and after the City has given to the Permittee the right to be heard with regard thereto. However, the City, in exercising this reserved right/condition, may not impose a substantial expense or deprive Permittee of a substantial revenue source, which the Permittee can not, in the normal operation of the use permitted, be expected to economically recover. 8. Applicant/operator shall and does hereby agree to indemnify, protect, defend and hold harmless City, its Council members, officers, employees, agents and representatives, from and against any and all liabilities, losses, damages, demands, claims and costs, including court costs and attorneys' fees (collectively, "liabilities") incurred by the City arising, directly or indirectly, from (a) City's approval and issuance of this conditional use permit, (b) City's approval or issuance of any other permit or action, whether discretionary or non-discretionary, in connection with the use contemplated herein, and (c) applicant's installation and operation of the facility permitted hereby. Applicant/operator shall acknowledge their agreement to this provision by executing a copy of this conditional use permit where indicated, below. Applicant's/operator's compliance with this provision is an express condition of this conditional use permit and this provision shall be binding on any and all of Applicant's/operator's successors and assigns. G. ADDITIONAL TERMS AND PROVISIONS TO GRANT 1. This Conditional Use Permit shall become void and ineffective if not utilized or extended within one year from the effective date thereof, in accordance with Section 19.14.260 of the Municipal Code. 2.A copy of this resolution shall be recorded against the property. 3. Any violations of the terms and conditions of this permit shall be ground for revocation or modification of permit. Resolution No. __ Page #5 H. EXECUTION AND RECORDATION OF RESOLUTION OF APPROVAL The property owner and the applicant shall execute this document by signing the lines provided below, said execution indicating that the property owner and applicant have each read, understood and agreed to the conditions contained herein. Upon execution, this document shall be recorded with the County Clerk of the County of San Diego, at the sole expense of the property owner and/or applicant, and a signed, stamped copy returned to the Planning Department. Failure to return a signed and stamped copy of this recorded document within ten days of recordation to the City Clerk shall indicate the property owner/applicant's desire that the project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Said document will also be on file in the City Clerk' Office and known as Document No. Signature of Representative of Date Episcopal Community Services I. NOTICE OF DETERMINATION The City Council directs the Environmental Review Coordinator to post a Notice of Determination and file the same with the City Clerk. J. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this resolution and the permit shall be deemed to be automatically revoked and of no further force and effect a~b initio. THIS RESOLUTION OF APPROVAL IS HEREBY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA THIS 15TH DAY OF JANUARY 2002. Presented by Approved as to form b× Robert A. Leiter fohn~. Kaheny ~// Director of Planning and Building ~ Attorney MULTI FAMILY LAUDERBACH DWELLING ELEMENTARY SCHOOL SINGLE FAMILY DWEI.I lNG PALOMAR HIGH SCHOOL -AX/ CHULA VISTA PLANNING AND BUILDING DEPARTMENT LOCATOR PROJECT PROJECT DESCRIPTION: (~ APPL'CAN~ EPISCOPAL COMMUNITY SERVICES CONDITIONAL USE PERMIT PROJECT 1320 Fourth Avenue ADDRESS: Request: Proposal for addition to existing church building for licensed child development center SCALE: FILE NUMBER: and preschool. NORTH No Scale PCC-01-88 Related Case: IS-01-059 j:\home\planning\cherrylc\locatorsXpcc0188.cdr 7.10.01 / .~ .~ ,~ ~ EXH]]~IT COUNCIL AGENDA STATEMENT Item ! Meeting Date 01/15/02 ITEM TITLE: Report on All-Way Stop Re-eval~aation on East J Street at La Senda Way / SUBMITTED BY: Director of Public Works~//~ REVIEWED BY: City Manager ~¢ J¢~s~ (4/5 Vote Yes X No) On July 26, 2001, staff received a letter from Patrick McCarragher, 703 East "J" Street, requesting that an all-way stop be installed on East "J" Street at La Senda Way to help control the high speed of motorists traveling on East "J" Street and to resolve intersection safety concerns as a result of reduced sight visibility at the subject intersection. Staff evaluated the intersection under the latest Council Policy and recommended denial of all-way stop control. The Safety Commission did not concur and under Council Policy 110-09, if staff and the Safety Commission do not concur, the matter automatically goes to City Council for final decision. RECOMMENDATION: That the City Council accept staff's recommendation to deny the installation of the all-way stop control at the intersection of East "J" Street and La Senda Way based on the location receiving 39 points out of a possible 100 points where 45 points are required to install the all-way stop. BOARDS/COMMISSIONS: The Safety Commission, at their meeting of September 13, 2001, passed a motion MSUC 6-0-0 (White/Acton) to not concur with staff's recommendation to deny the installation of all-way stop control and to refer this matter to the City Council for a final decision regarding the installation of all-way stop control at East "J" Street and La Senda Way. DISCUSSION: The request for the all-way stop was first investigated on August 2, 1999, when staffreceived a letter from Edward G. Woo&ich, 682 East "J" Street. The request cited the need for the all-way stop control because of the excessive speed of motorists traveling on East "J" Street and the need to provide for intersection safety due to reduced visibility. Staff studied the subject request utilizing the existing all-way stop policy at that time. Staff then presented their report and recommendation to install the all-way stop at the Safety Commission's regularly scheduled meeting of November 11, 1999. The Safety Commission concurred with staff to install the all- way stop MSC (Liken/McAIister) 4-1-2 based on the location receiving 61 points out of a possible 100 points where 35 points were required to install the all-way stop. Soon thereafter, the decision was appealed to the City Council at their meeting on January 25, 2000. David Krogh, who resides at 712 East "J" Street, questioned the point system used in the council policy. As a result, thc City Council referred the item back to staff' and the Safety Commission for further consideration. Item ]3 Meeting Date 01/15/02 On March 9, 2000, staff presented a new all-way stop evaluation to the Safety Commission that included an analysis of Mr. Krogh's points on the previous study and staff's response to his analysis. Again, the Safety Commission voted to accept staff's report and recommendation to install the all-way stop MSUC (Acton/McAlister) 7-0-0 based on the location receiving 44 points out of a possible 100 points where 35 points were required to install the ali-way stop. This evaluation was conducted under Council Policy Number 478-03 dated 07/27/99. The recommendation was then brought before the City Council for their approval. The City Council indicated that the existing policy was too liberal, and that staff, with the help of the Safety Commission, was to revise the policy accordingly. After staff further revised the policy and City Council approved the revision, a request to install an all-way stop control at the subject intersection has come under evaluation again. The intersection of East "J" Street and La Senda Way is a T-intersection with an existing stop sign on La Senda Way stopping northbound traffic. La Senda Way is a residential street that extends south from East "J" Street and is 40' wide curb-to-curb in this area with parking allowed on both sides of the street. It has an Average Daily Traffic (ADT) of 809 and a prima facie speed of 25 mph. East "J" Street in this area is a 64' wide curb-to-curb 2-lane Class II collector. Parking is allowed on both sides of East "J" Street, which has an ADT of 5,890, an 85th percentile speed of 40 mph and a posted speed limit of 35 mph. On August 30, 2001, staff had completed the re-evaluation of the all-way stop study for the subject intersection of East "J" Street and La Senda Way. When considering an intersection for an all-way stop control, several factors are studied to determine the need for installation. Pedestrian and vehicle volumes, accident history, physical factors such as sight distances, speed of vehicles, roadway aligmment such as curves and topography are all taken into consideration. A review of the accident history for this intersection shows a maximum of one reported accident per any 12-month period prior to the investigation date. The Statewide accident rate for a similar type of T-intersection is 0.14 accidents per million vehicles entering (a/mve) and this intersection experienced an accident rate of 0.47 a/mve, which is above the statewide average. During the evaluation period, staff conducted sight distance measurements at this intersection. Motorists driving eastbound on East "J" Street have a stopping sight distance visibility of 140' at the intersection with La Senda Way. Motorists driving westbound on East "J" Street have a stopping sight distance of 160' at the same intersection. The minimum required distance for 35 mph is 250' and 300' for 40 miles per hour. Stopping sight distance is measured from a 3.5' height of driver's eye to a 0.5' height of object in the roadway. On December 10, 2001, staff reevaluated the sight distance at this intersection based on physical changes in the vicinity. The comer sight distance for motorists on northbound La Senda Way looking toward both eastbound and westbound East "J" Street traffic was measured. The measured comer sight distance was 184' looking toward eastbound traffic and 181' looking toward westbound traffic. However, the required comer sight distance is 385' for 35 mph and 600' for a speed of 40 miles per hour. This comer sight distance is based on a 3.5' height of driver's eye and a 4.25' height of object in the roadway. Item /~ Meeting Date 01/15/02 Staff then measured the sight distance based on motorists making an initial stop at the stop bar, but moving toward East "J' Street before making a right or left turn. The comer sight distance for motorists on northbound La Senda Way increased when looking toward eastbound East Street traffic to 2?0' and westbound East "J' Street traffic to 360'. In some cases the cost to obtain comer sight distances may be excessive. High costs might include right of way, building removal, extensive excavation, or environmental costs such as tree removal, avoidance of wetlands historic, and archaeological sites. In such cases lesser value for comer sight distance may be used, but the minimum value shall be the stopping sight distance given in Table 201.l (Caltrans Highway Design Manual) measured from a 3.5' driver's eye height on the minor road to a 4.25' object height on the major road. These distances are 250' and 300' for 35 mph and 40 mph respectively. Based on a motorist stopping at the most forward position in the intersection, there is sufficient stopping sight distance for westbound approaching traffic at 40 mph and sufficient stopping sight distance for approaching eastbound traffic at the posted 35 miles per hour speed limit. The all-way stop Council policy warrant evaluation has been conducted and the subject intersection has been awarded points based on the following warrants: General Warrant: 10 bonus points are assigned because the following conditions are met: a) The street to be controlled is within a residence district as defined in section 515 of the California Vehicle Code. b) The street to be controlled is classified as a collector or is functioning as a collector. c) The subject intersection is not within 600' from the nearest controlled intersection along the collector. d) There is a parallel arterial highway that can be used as an alternative route. Accident Warrant: 5 points are assigned since this intersection experienced one vehicular accident correctible by an all-way stop control. Unusual Condition Warrant: 6 points are assigned because of the reduced sight distance. (Conducted on August 30, 2001) 3 points are assigned due to the grade of the approach. 1 point is assigned because of the high approach speed of 40 mph. Pedestrian Volume Warrant: 4 points are assigned because of the 2 pedestrians crossing East "J' Street during the hour of 2:00 p.m. to 3:00 p.m. Item Meeting Date 01/15/02 Traffic Volume Warrant: 9 points are assigned due to the entering volumes of the intersection.* *Two points are assigned for each hour ( for a maximum of 8 hours ) when the intersection entering volumes exceeded the 70% of 500 (350) vehicles per hour and the minor street approach volumes are less than 70% of the 200 (140), but more than 70% of 100 (70) of both pedestrians and vehicles. One point is assigned each hour ( for a maximum of 8 hours ) when the intersection entering volumes exceeded the 70% of 500 (350) vehicles per hour and the minor street approach volumes are less than 70% of 100 (70). Traffic Volume Difference Warrant: 1 point is assigned due to the ratio of the minor street ADT to the major street ADT. The subject intersection received a total of 39 points out of a possible 100 points, where 45 minimum points were required to justify the installation of an all-way stop control. Therefore, staff recommended to deny the installation of the all-way stop control at the subject intersection. After Safety Commission discussion and public hearing at their scheduled September 13, 2001 meeting, the Safety Commission did not concur with stafl~s recommendation and chose to recommend to the City Council to have the all-way stop control installed at the subject intersection. In accordance With City Council policy 110-09, if the Safety Commission's vote is contrary to the City Engineers recommendation, the traffic item will be referred to the City Council and the authority as to such matters shall, on such referral, be vested in the City Council to be exercised on the affirmative vote of three members of the City Council. FISCAL IMPACT: $400 to install two R-1 stop signs, two W-17 stop ahead signs, stop legends and limit lines. Attachments: 1. Excerpt - City Council Minutes of 1/25/2000 2. Excerpt - City Council Minutes of 5/2/2000 3. Minutes of Joint Workshop of 1/18/2001 4. Excerpt - City Council Minutes of 3/6/2001 5. Excerpt - Safety Commission Minutes of 9/13/01 J:\EngineerkAGENDA\La Senda A-113 final draft.doc CONSENT CALENDAR (Continued) 5. RESOLUTION OF THE CiTY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SIDE LETTER TO THE 1998-2001 CVEA MOU - "PROFESSIONAL ENRICHMENT" During Chula Vista Employee Association (CVEA) negotiations in June of 1998, it was agreed, via side letter, to reopen the MOU to address the issue of Professional Enrichment. As a result, CVEA and Human Resources management developed an administrative policy. Staff recommendation: Council continue the item to February 1, 2000. (Director of Human Resources) 6. REPORT DENYING THE APPEAL OF AN ALL-WAY STOP AT THE INTERSECTION OF EAST J STREET AND LASENDA WAY (CONTINUED FROM 1/18/2O00) This report was generated as the result of a request by Mayor Horton for a report to Council after a request to appeal was made by David Krogh, a member of the public, under oral communications at the Council meeting of Tuesday, December 7, 1999. Based on the provisions of the Safety Commission Policy, adopted by resolution of the City Council on March 14, 1995, whenever the Safety Commission and the City Engineer concur on the implementation of a traffic safety improvement, the resolution of the issue is considered final unless appealed by a member of the Council within 10 days of the decision of the Safety Commission. The Safety Commission decision was reached at its meeting of Thursday, November 11, 1999. Staff recommendation: Refer back to the Safety Commission for further consideration. (Director of Public Works) 7. RESOLUTION NO. 2000-025, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FY 1999-00 CAPITAL IMPROVEMENT PROGRAM (CIP) BUDGET TO A) ADD THE DISCOVERY PARK SNACK BAR CONSTRUCTION PROJECT (PR 230), AND APPROPRiATE $45,000 THEREFOR FROM RESIDENTIAL CONSTRUCTION TAX FUNDS; B) APPROPRIATE $77,200 OF STATE GRANT FUNDS TO THE PARKWAY POOL RESURFAC1NG/RELAMPING PROJECT (PR 223), AND REDUCE THE PARK ACQUISITION AND DEVELOPMENT (PAD) FUNDS BY $69,700; C) APPROPRIATE $15,000 OF UNAPPROPRIATED AND UNALLOCATED COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS TO ADA MODIFICATIONS PROJECT (GG144) FOR THE YMCA FACILITY ON FOURTH AVENUE; D) APPROPRIATE $1,000 OF UNAPPROPRIATED AND UNALLOCATED CDBG FUNDS TO SIDEWALK REHABILITATION, PHASE IV PROJECT (STL203); E) APPROPRIATE $2,000 OF UNAPPROPRIATED AND UNALLOCATED CDBG FUNDS TO DOWNTOWN STREET LIGHTING, PHASE II (RD226); F) APPROPRIATE $4,510.23 FROM TRUNK SEWER CAPITAL RESERVE TO THE "C" STREET SEWER EXTENSION PROJECT (SW213); AND G) APPROPRIATE $12,432.67 FROM THE SEWER FACILITY REPLACEMENT FUND TO THE SEWER MAIN INSTALLATION SHIRLEY STREET PROJECT (SW217) (4/5TH'S VOTE REQUIRED) Page 3 CouncilMinutes ~7 ~' 01/25/2000 A'T-FACHMENT ~.~.~- ACTION ITEMS 12. CONSIDERATION OF APPROVAL OF AGREEMENTS FOR ENVIRONA/[ENTAL AND ENGINEERING SERVICES AND FOR LEGAL CONSULTING SERVICES FOR THE SALT CREEK GRAVITY SEWER INTERCEPTOR, AND THE WOLF CANYON TRUNK SEWER The consultant, Dudek & Associates, is in the process of finalizing the preliminary design report for the Salt Creek Gravity Sewer Interceptor. The preliminary design report identified an alignment for the trunk sewer that will ultimately form the basis of the final design. The report also examined and identified all the environmental constraints that would be attributable to the alignment and the necessary permits that would be required for the approval of the project. Due to the current pace of development in the eastern territories of the City, and the need to expedite the completion of the final design plans, preparing the necessary environ_mental documents and processing the required permits under a very challenging time constraint has made it necessary to expand the scope of work of the consultant to meet the project objectives and deadlines. Deputy Mayor Moot noted that an associate in his law firm may have worked with the consultant and he would, therefore, abstain from discussing or voting on this matter. ACTION; Councilmember Padilla offered the following resolutions, headings read, texts waived: A. RESOLUTION NO. 2000-140, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CONSULTANT SELECTION PROCESS AND APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND DUDEK & ASSOCIATES, 1NC., FOR THE PROVISION OF ENVIRONMENTAL AND ENGINEERING SERVICES REQUIRED FOR THE FINAL DESIGN AND CONSTRUCTION OF THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER B. RESOLUTION NO. 2000-141, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT WITH REMY, THOMAS AND MOOSE, LLP FOR THE PROVISION OF LEGAL CONSULTiNG SERVICES REQUIRED FOR THE SALT CREEK GRAVITY SEWER iNTERCEPTOR AND THE WOLF CANYON TRUNK SEWER The motion carried 4-0-1, with Deputy Mayor Moot abstaining. ¥---5 3. REPORT CONSIDERING AN ALL-WAY STOP AT THE INTERSECTION OF EAST J STREET AND LASENDA WAY Based on the provisions of the Safety Commission Policy, adopted by resolution of the City Council on March 14, 1995, whenever the Safety Commission and the City Engineer concur on the implementation of a traffic safety improvement, the resolution of the issue is considered final unless appealed by a member of the Council within 10 days of the decision of the Safety Commission. This report was generated as the result of a motion by Mayor Horton for a report to Council after a request to appeal was made by David Page 9 - Council Minutes / ;;/, 05/02/2000 ACTION ITEMS (Continued) - Krogh, a member of the public, under oral communications at the Council meeting of December 7, 1999. The direction of the Council was for staff to return to the Safety Commission with a report which included the analysis provided by Mr. Krogh, and for staff and the Commission to reconsider this item. The first Safety Commission decision, to recommend the installation of an all-way stop, was reached at its meeting on November 11, 1999. On March 9, 2000, staff presented a new report and all-way stop evaluation to the Safety Commission which included Mr. Krogh's analysis, and the Commission again voted to accept staff's report and recommendation to install the all- way stop. ACTION: Following Council comments regarding the seeming proliferation of stop signs and the need to review policy issues for installing and removing stop signs, it was the consensus of the Council to direct the City Manager to schedule a workshop to review the Council's stop sign policy and the points system used to approve the installation of stop signs. Staff was asked to review recent stop signs installed along East J Street and the Rancho Del Rey circle area to see if the new signs were really needed. 14. CONSIDERATION OF ACCEPTANCE OF A REPORT ON ADDITIONAL INFORMATION REGARDING OPTIONS FOR SR-125 IMPLEMENTATION This item was considered out o f order, immediately following Oral Communications. Will Kempton, the City's Transportation Consultant, explained that Staff is seeking authorization to proceed with an exploratory effort to see what options are available to the City and to review financing options for the SR-125 extension. Deputy Mayor Moot asked that the report address the possible need to construct an interim SR- 125 facility. ACTION: Mayor Horton moved to direct Staff to proceed with an exploratory review of options available to the City with regard to the toll road and its financing and to return to the Council with the report in the near future. Councilmember Davis seconded the motion, and it carried 5-0. OTHER BUSINESS 15. CITY MANAGER'S REPORTS There were none. 16. MAYOR'S REPORTS A. Proposed City Council Committee Assignments Mayor Horton reviewed the committee assignments with Councilmembers and made adjustments as necessary. 17. COUNCIL COMMENTS A. Councilmember Salas: Ratification of appointment to the Mobilehome Rent Review Commission David Smith Page 10 Council Minutes ) C~] ; ~5' 05/02/2000 ATTACHMENT 3 MINUTES OF ADJOURNED REGULAR MEETINGS OF THE CITY COIJNCIL AND THE SAFETY COMMISSION OF THE CITY OF CHULA VISTA JANUARY 18, 2001 4:00 P.M. Mayor Horton called to order Adjourned Regular Meetings o~the City Council and the Safety Commission of the City of Chula Vista at 4:08 p.m. in the Council Conference Room, located in the Administration Building, 276 Fourth Avenue, Chuia Vista, California. ROLL CALL: PRESENT: Councilmembers: Rindone, Pad[lla, Salas and Mayor Horton (Councilmember Salas arrived at 4:26 p.m.) Safety Commission Members: Acton, McAlister, Cochrane, Liken, Lopez and Chair Gove ABSENT: Councilmembers: Davis Safety Commission Members: White ALSO PRESENT: City Manager Rowlands, City Attorney Kaheny, City Clerk Bigelow 1. DISCUSSION OF ALL-WAY STOP POLICY Deputy Director of Public Works/City Engineer Swanson stated that the purpose of the workshop was to review and evaluate the all-way stop policy to determine if the current policy is responsive to Council direction and the needs of the traveling public. Senior Civil Engineer Leyva reviewed the history and evolution of the a[l-way stop policy and then presented staff's proposed amendments to the policy. Commissioner Liken asked the Council to provide guidance regarding the installation of stop signs and referenced the residents of East J Street, who had approached the Safety Commission regarding the need for stop signs as a means of lcsseping the number of speeding vehicles in the Couneilmember Padilla expressed the need to continue implementing the current policy with regard to immediate issues'until a revised policy has been adopted. ACTION: Councilmember Padi[la moved to refer the proposed all-way stop policy to the Safety Commission for review and recommendations to the Council at the earliest possible time. Couneilmember Rindone seconded the motion, and it carded 4-0. ORAL COMMUNICATIONS There were none. ADJOURNMENT: At 4:54 p.m., Mayor Horton adjourned the meeting to the Regular Meeting of January 23, 2001, at 6:00 p.m. Respectfully submitted Susan Bigelow, CMC/A. AE, City Clerk Page 2 council Workshop minutes 01/18/01 f/' ATTACHMEN ~ .... CONSENT CALENDAR (Continued) 2. WRITTEN COMMUNICATIONS A. Letter from the City Attorney stating that to the best of his knowledge from observance of actions taken in Closed Session on February 27, 2001, there were no actions taken which are required under the Brown Act to be reported. Staffrecommendation: The letter be received and filed. 3. RESOLUTION NO. 2001-046, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A REVISED CITY COUNCIL POLICY NUMBER 478-03, TITLED, "ALL-WAY STOP" On May 2, 2000, Council directed staffto revise the all-way stop policy as a result of the proliferation of stop signs throughout the City, and to arrange for a joint workshop with the Safety Commission to discuss the proposed revisions. The joint workshop was held on January 18, 2001, during which Council directed staff to present the proposed changes to the Safety Commission at its next meeting and to report the Commission's recommendation in the form of a resolution for Council adoption. On February 8, 2001, the Safety Commission accepted stafffs report with one modification and recommended that the proposed changes to the existing policy be brought forward to Council for adoption. (Director of Public Works) Staff recommendation: Council adopt the resolution. 4. RESOLUTION NO. 2001-047, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 2000/2001 BUDGET BY APPROPRIATING $19,750 FROM THE AVAILABLE BALANCE OF THE EQUIPMENT REPLACEMENT FUND FOR THE PURCHASE OF AN EIGHT- PASSENGER VAN The 1989 eight-passenger van currently in the City's vehicle pool is due to be replaced next fiscal year. However, the 1976 van currently used by the Juvenile Offender Graffiti Eradication Program is in poor condition and unsafe to drive. Therefore, by replacing the pool van now, the Juvenile Offender Graffiti Eradication Program will be able to use the 1989 van. The 1976 van will then be removed from service. (Director of Public Works) Staff recommendation: Council adopt the resolution. 5. RESOLUTION NO. 2001-048, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE TENTH AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RICK ENGINEERING COMPANY FOR ENGINEERING DESIGN SERVICES FOR THE FINAL DESIGN PLANS, SPECIFICATIONS & ESTIMATES FOR THE INTERSECTION OF OLYMPIC PARKWAY AT CONCORD WAY, WAIVING THE CONSULTANT SELECTION PROCESS, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AMENDMENT ON BEHALF OF THE CITY Page 2 - Couucil Minutes ~ ~, ,~ 03/06/01 ATTACHMEN .............. Safety commission Minutes September 13, 2001 Page 4 The following persons spoke against staff's recommendation: 1. Don Scovel, 5611 Galloping Way, Bonita, CA 2. Stanley Waid, 3609 Belle Bonnie Brae Rd., Bonita, CA (representing Sweetwater Valley Civic Association) 3. Thomas Iniguez, 4128 Corral Canyon Road, Bonita, CA (Board President, Bonita Highlands HOA) Public hearing closed. Commission Discussion: Commissioner Lopez abstained from discussion/voting on this item due to the close proximity of his residence to the subject intersection. Commissioner McAlister stated he did not feel that a stop sign is warranted at this location and concurred with staff recommendation. Mr. AI-Ghafry defined "traffic calming". He stated it is a collaborative effort between neighborhood residents and municipal agencies where various devices and public awareness are used to reduce vehicular speeds, eliminate cut-through traffic, and create a more pleasant street environment for residents. The City has a traffic calming community in the Otay Ranch development which includes narrower streets, traffic circles, and street choking devices. MSC (McAlister/Acton) to concur with staff's recommendation and deny the installation of an all-way stop control on Corral Canyon Road at Coltridge Lane. (4-0-2, Liken and Lopez abstain) 7. Report on re-evaluation of East "J" and La Senda Way Staff received a request to install an all-way stop control at the intersection of East "J" Street with La Senda Way from Patrick McCarragher, 703 East "J" Street, Chula Vista, CA 91910. He thought the all-way stop would be beneficial to control the high speed of vehicles traveling on East "J" Street and to resolve intersection safety concerns due to reduced sight visibility. Mr. AI-Ghafry presented report and Powerpoint presentation. He stated 17 phone calls were received, 4 were in favor of the all-way stop and 13 against the installation of the all-way stop. Commissioner McAlister asked how may studies have been conducted on this intersection. Mr. Al-Ghafry stated two previous studies were conducted based on the old Ali-Way Stop Policy with all-way stop controls being recommended both times. Staff Recommendation: That the Safety Commission concur with staff's recommendation and deny the installation of an all-way stop control on East "J" Street at La Senda Way based on the location receiving 39 points of a possible 100 points pursuant to Council Policy Number 478-03. Public hearing opened. The following persons spoke in favor of the staff's recommendation: 1. Robert Torbett, 668 East "J" Street, Chula Vista, CA The following persons spoke against staff's recommendation: 1. Joseph C. Hughs, 644 Via Curvada, Chula Vista, CA 2. Leonard Warwick, 820 Arroyo Place, Chula Vista, CA 3. Patrick McCarragher, 703 East "J" Street, Chula Vista, CA Chair Cove asked Mr. McCarragher if he noticed any reduction in the speed in his neighborhood with the installation of the stop sign at Lori Lane/East "J" Street. He responded no, that particular stop sign is located over the hill and has had no impact on his neighborhood. There was a response from someone in the 1 Safety Commission Minutes September 13, 2001 Page 5 audience who lives in the vicinity of Lori Lane that the stop sign does slow down traffic speeds coming down the hill. Commissioner Lopez stated in the past, traffic congestion was an issue because commuters were using East "J" Street as an alternative to traveling on Telegraph Canyon Road and East "H" Street. Residents were having a difficult time exiting their driveways. Commissioner Lopez wanted to know if there was a reduction in traffic since the addition of stop signs. A speaker from the audience stated yes; drivers were using routes other than East "J" Street. Public hearing closed. Commission Discussion: Commissioner White stated in the past he was in favor of an ali-way stop at this intersection and he is still in favor of an all-way stop. He was against staffs recommendation to deny the request. Commissioner Liken asked staff out of the 17 phone calls that were received, how many were from residents of the area in question. Mr. AI-Ghafry stated that the calls were received from residents of the East "J" Street area or off of East "J" Street. Commissioner Liken stated that East "J" Street is unique. He stated the accident rate at this T-intersection is .47 and the State average is .14. This rate is 3-times higher than the State average. He berieved the reason for this is inadequate sight distance. He stated Council has indicated that stop signs should not be used for speed control. Commissioner Liken believes stop signs can be used when there is inadequate sight distance for prevailing conditions. Commissioner Acton stated the speed issue on "J" Street has come up many times. She asked staff if the speed limit could be reduced from 35 mph to 30 mph. Mr. Al-Ghafry discussed the history of the area, He stated a speed limit is based on a speed survey that is taken during a non-peak hour where a sample of 100 vehicles is taken. The speed limit is usually set at or below the 85th percentile. Again, based on the street conditions, physical characteristics, a speed limit may be reduced another 5 mph below what is set. The 85th percentile for this roadway could either be set at 40 mph or 35 mph. To reduce the speed less than 35 mph would not make a posted speed survey credible for motorists to abide the law. Chair Gove stated the last time this item came before the Commission, she visited the subject intersection in a van and found the sight distance to be inadequate. She visited the site this time (in a smaller vehicle) and the sight distance was even worse. Chair Gove stated she is in favor of the installation of an all-way stop at this intersection. MSUC (White/Acton) to not concur with staff recommendation and install an all-way stop control at East "J" Street and La Senda Way. (6-0-0) Commission recessed at 9:05 p.m. and reconvened at 9:10 p.m. 6. Report on proposed modification of Jefferson Avenue between Moss Street and Crested Butte Street On May 18, 2001, staff received a letter from Councilmember JetW Rindone regarding the existing roadway conditions of Jefferson Avenue between Moss Street and Crested Butte Street. The letter stated that residents in the vicinity of the subject area had been voicing their opinions regarding the need for either road widening or making Jefferson Avenue a one-way street. Mr. Al-Ghafry presented staff report and Powerpoint presentation. On August 31, 2001, ballots were distributed to all residents who lived on the subject roadway segment. Residents were asked to vote on the following options: Option 1: In favor of allowing Northbound traffic only (from Crested Butte Street to Moss Street) Option 2: In favor of allowing Southbound traffic only (from Moss Street to Crested Butte Street) Option 3: In favor of allowing two-way traffic with widening on the East side of the roadway Qption 4: In favor of allowing two-way traffic without widening (keep as is) Option 5: No preference