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HomeMy WebLinkAboutRes 2016-43 - FY 2016-17 - CFD No. 2005-1 University ParkCITY OF PALM DESERT FINANCE DEPARTMENT STAFF REPORT REQUEST: APPROVAL OF RESOLUTION NO. 2016- 43 AUTHORIZING THE LEVY OF A SPECIAL TAX IN COMMUNITY FACILITIES DISTRICT NO. 2005-1 (UNIVERSITY PARK) FOR FISCAL YEAR 2016/2017 DATE: May 26, 2016 CONTENTS: RESOLUTION NO. 2016- 43 EXHIBIT A Recommendation By Minute Motion, that the City Council approve Resolution No. 2016-_ 43 authorizing the levy of a special tax in Community Facilities District No. 2005-1 (University Park) for Fiscal Year 2016/2017. Strateqic Plan Obiective Not applicable. Background The Community Facilities District known as University Park (No. 2005-1) is the area north of Desert Willow between Portola and Cook Street whose improvements are funded by the issuance of the $50 Million and $17.915 Million bonds issued to fund the improvements for streets, infrastructure, water, sewer, park improvements, and land acquisitions. Yearly the City council must approve the levy of the special tax. Staff requests that Council authorize the levy of a special tax to pay for costs and expenses related to the Community Facilities District. The specific rate of the special tax for the next fiscal year is attached to the Resolution as Exhibit A. Approval of the resolution will allow the County Auditor to collect taxes as they become due. A report will be provided at the close of the tax collection period indicating the amounts collected. Staff requests that Resolution No. 2016- 43 be approved. Staff Report Adopt resolution approving special tax levy FY 16/17 — CFD 2005-1 May 26, 2016 Page 2 of 2 Fiscal Analysis The University Park bonds are repaid through taxes collected on the respective parcels located within the boundaries. Approval of the resolution will allow the parcels to be levied for the 2016-2017 tax year and provide the city with the funds to pay the debt service on a timely basis. Submitted by: / o Jane M. Moore ctor of Finance/City Treasurer Approval: JustipeMcparthy Int im Ci y Manager u G \Finance\Niamh Ortega\Assessment District Administration\CFD 2005-1\SR- CFD 2005-1 approval of levy FY1617 051616 doc RESOLUTION NO. 2016- 43 RESOLUTION OF THE CITY OF PALM DESERT, CALIFORNIA AUTHORIZING THE LEVY OF A SPECIAL TAX IN COMMUNITY FACILITIES DISTRICT NO. 2005-1 (UNIVERSITY PARK) FOR FISCAL YEAR 2016/2017 WHEREAS, the City Council of the City of Palm Desert (hereinafter referred to as the "Agency"), has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a Community Facilities District, as authorized pursuant to the terms and provisions of the "Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California. Community Facilities District No. 2005-1 shall hereinafter be referred to as "District" and, WHEREAS, this City Council, by Ordinance as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said District, and this City Council is desirous to establish the specific rate of the special tax to be collected for the next fiscal year. NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: SECTION 1. That the above recitals are true and correct. SECTION 2. That the special tax rates for each tax category to be used to generate special tax revenues, which will be collected to pay for the costs and expenses for the next fiscal year (2016/2017) for the referenced District, is hereby determined and established as set forth in the attached, referenced and incorporated Exhibit „A„ SECTION 3. That the rate as set forth above does not exceed the amount as previously authorized by Ordinance of this Council, and is not in excess of that as previously approved by the qualified electors of the District. SECTION 4. The special tax shall be collected in the same manner as ordinary ad valorem property taxes are collected, and shall be subject to the same penalties, procedures and sale in case of any delinquency for ad valorem taxes, and the Tax Collector is hereby authorized to deduct reasonable administrative costs incurred in collecting any said special tax. SECTION 5. Monies above collected shall be paid into the District funds. RESOLUTION NO. 2016-43 SECTION 6. The Auditor of the County is hereby directed to enter in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land effected in a space marked "public improvements, special tax" or by any other suitable designation, the installment of the special tax, and for the exact rate and amount of said tax, reference is made to the attached Exhibit "A". SECTION 7. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such special tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection. SECTION 8. Special Taxes are to be levied on non-exempt parcels within the District. Should it be discovered that any taxable parcels are not submitted to the County Auditor for inclusion into the 2016/2017 Tax Roll subsequent to the submittal deadline of August 10, 2016, the City Council directs the City of Palm Desert staff or their agents to bill such parcels directly via U.S. mail using the rates as approved in Exhibit "A". G Tinanceftamh OrtegaWssessment District Administration\CFD 2005-1\RES-CFD2005-1 approve special tax levy FY1617 051616 doc RESOLUTION NO. 2016-43 PASSED, APPROVED AND ADOPTED by the City Council of the City of Palm Desert, California this 26th day of May, 2016 by the following vote: AYES: NOES: ABSENT: ABSTAIN: MAYOR OF THE CITY OF PALM DESERT ROBERT A. SPIEGEL ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA APPROVED AS TO FORM: ROBERT W. HARGREAVES, CITY ATTORNEY BEST, BEST & KRIEGER G \Financeftamh Ortega\Assessment District Administration\CFD 2005-1\RES-CFD2005-1 approve special tax levy FY1617 051616.doc RESOLUTION NO. 2016-43 Exhibit "A" Community Facilities District No. 2005-1 (University Park) Proposed Special Tax Rates Fiscal Year 2016/2017 Zones A — D. The following table summarizes the Maximum and the Proposed Special Tax Rates relating to each land use class. Developed Propertv Zone A Per Acre $21,000 $21,000 Zone B Per Acre $27,000 $27,000 Zone C Per Acre $27,000 $27,000 Zone D Per Acre $23,000 $23,000 -Undeveloped & Provisional Undeveloped Property Zone A Per Acre $21,000 $21,000 Zone B Per Acre $27,000 $27,000 Zone C Per Acre $27,000 $27,000 Zone D Per Acre $23,000 $23,000 "'The Proposed Special Tax Rates to be Levied for Fiscal Year 2016/2017 will not exceed the Maximum Special Tax Rates described above. Zone E. The following table summarizes the Maximum and the Proposed Special Tax Rates relating to each land use class. Single Family Property Per square foot of Residential Greater than 2,300 $1.44 $1.44 Floor Area Single Family Property Per square foot of Residential 2,300 to 1,725 $1.67 $1.67 Floor Area Single Family Property Per square foot of Residential Floor Area Less than 1,725 $1.38 $1.38 Multifamily Property Per square foot of Residential N/A $1.50 $1.50 Floor Area Non Residential Property Per Acre N/A $28,000 $28,000 Undeveloped Property Per Acre N/A $28,000 $28,000 "jThe Proposed Special Tax Rates to be Levied for Fiscal Year 2016/2017 will not exceed the Maximum Special Tax Rates described above. G \Finance\Niamh Ortega\Assessment District Administration\CFD 2005-1\RES-CFD2005-1 approve special tax levy FY1617 051616 doc