HomeMy WebLinkAboutCC RES 2010-64RESOLUTION NO. 2010-64
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, AS LEGISLATIVE BODY OF THE CITY OF PALM DESERT
COMMUNITY FACILITIES DISTRICT NO. 2005-1 (UNIVERSITY PARK),
DECLARING ITS INTENTION TO REMOVE CERTAIN DELINQUENT
SPECIAL TAXES FROM THE COUNTY TAX ROLL AND ORDERING
JUDICIAL FORECLOSURE PROCEEDINGS AGAINST CERTAIN
DELINQUENT PROPERTY WITHIN THE COMMUNITY FACILITIES
DISTRICT
RECITALS:
WHEREAS, the City Council (the "City Council") of the City of Palm Desert (the
"City"), located in Riverside County, California (hereinafter sometimes referred to as the
"legislative body of the District"), has heretofore pursuant to Resolution No. 06-6
adopted on January 12, 2006, formed the City of Palm Desert Community Facilities
District No. 2005-1 (University Park) (the "District") pursuant to the Mello -Roos
Community Facilities Act of 1982, as amended, being Chapter 2.5, Part 1, Division 2,
Title 5 of the Government Code of the State of California (the "Act"), to finance certain
public facilities which the District is authorized to finance; and
WHEREAS, pursuant to Resolution Nos. 06-8 and 06-9 adopted by the
legislative body of the District on January 12, 2006, certain bond propositions and a
proposition to levy a special tax within the District, among other things, were submitted
to the qualified electors within the District, and were approved by more than two-thirds
of the votes cast at the elections held within the District on January 12, 2006; and
WHEREAS, based upon Resolution Nos. 06-8 and 06-9 and the elections and in
accordance with Section 53340 of the Act, the legislative body of the District adopted
Ordinance No. 1107 on February 9, 2006, authorizing the levy of a special tax (the
"Special Tax") on the taxable property within the District at the maximum rates
described therein; and
WHEREAS, based upon Resolution Nos. 06-8 and 06-9 and the elections, and
pursuant to Resolution No. 06-33, adopted by the legislative body of the District on
March 23, 2006, and Resolution No. 07-13, adopted by the legislative body of the
District on March 8, 2007, the District issued, respectively, its Special Tax Bonds, Series
2006A, in an aggregate initial principal amount of $50,000,000, and its Special Tax
Bonds, Series 2007, in an aggregate initial principal amount of $17,915,000
(collectively, the "Bonds"), pursuant to the Act to finance authorized public facilities, the
repayment of which is secured by the net Special Tax received by the District, as further
described in the indenture with respect to the Bonds (the "Indenture"); and
WHEREAS, pursuant to Section 53356.1 of the Act, in the event of any
delinquency in the payment of the Special Tax, the legislative body of the District may
Resolution 2010-64
order the institution of a superior court action to foreclose the lien of the Special Tax
within specified time limits; and
WHEREAS, pursuant to Resolution 06-33, Resolution 07-13, and the Indenture,
the legislative body of the District has covenanted to commence judicial foreclosure
proceedings when certain circumstances have occurred (the "Foreclosure Conditions"),
by October 1 following the close of the Fiscal Year in which such delinquent installments
of Special Tax were due, and to diligently pursue such foreclosure proceedings until
such delinquent installments of Special Tax have been paid; and
WHEREAS, there exist delinquent installments of the Special Tax due in Fiscal
Year 2009-10 by property owners of certain parcels located within the District, and with
respect to four of such parcels (the "Major Delinquent Parcels"), the Foreclosure
Conditions have occurred (the assessor parcel numbers of such Major Delinquent
Parcels being set forth in Exhibit "A" and incorporated herein by reference); and
WHEREAS, three of the Major Delinquent Parcels are owned by a single
developer, and such developer owns two additional parcels located within the District
that are also delinquent in installments of the Special Tax due in Fiscal Year 2009-10
(the "Additional Delinquent Parcels") (the assessor parcel numbers of such Additional
Delinquent Parcels being set forth in Exhibit "A" and incorporated herein by reference);
and
WHEREAS, given the Foreclosure Conditions and such common ownership of
three of the Major Delinquent Parcels with the Additional Delinquent Parcels, the
legislative body of the District desires to commence foreclosure proceedings against the
Major Delinquent Parcels and the Additional Delinquent Parcels (together, the
"Foreclosure Parcels") pursuant to Section 53356.1 of the Act, to comply with the
Indenture and to preserve the security for the Bonds.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT
ACTING AS THE LEGISLATIVE BODY OF CITY OF PALM DESERT COMMUNITY
FACILITIES DISTRICT NO. 2005-1 (UNIVERSITY PARK) DOES HEREBY RESOLVE
AS FOLLOWS:
1. Each of the above recitals is true and correct.
2. Pursuant to Section 53356.1 of the Act, the legislative body of the District
hereby orders that judicial foreclosure proceedings against the Foreclosure Parcels be
commenced by Richards, Watson & Gershon, A Professional Corporation (bond
counsel with respect to the District), and that such foreclosure proceedings be diligently
pursued until the related delinquent installments of Special Tax are paid.
3. In connection therewith, the legislative body of the District hereby declares
that it is its intention remove delinquent Fiscal Year 2009-10 installments of Special Tax
relating to the Foreclosure Parcels from the County tax roll pursuant to Section 53356.2
of the Act and hereby authorizes Willdan Financial Services (the special tax consultant
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Resolution 2010-64
with respect to the District) to cause such removal of delinquent installments of Special
Tax from the County tax roll.
4. All actions heretofore taken by the officers and agents of the City and the
District with respect to the Foreclosure Parcels are hereby approved, confirmed, and
ratified. Each of the Mayor of the City, the City Manager of the City, and the officers
and staff of the City and the District responsible for the fiscal affairs of the District are
hereby authorized and directed to take any actions, and execute and deliver any and all
documents as are necessary to accomplish the collection of the delinquent installments
of Special Tax relating to the Foreclosure Parcels.
5. This Resolution shall take effect upon its adoption. The City Clerk of the City
shall certify to the passage and adoption of this Resolution and enter it into the book of
original resolutions.
PASSED, APPROVED, AND ADOPTED this 26th day of August, 2010, by the following
vote to wit:
AYES: BENSON, FERFUSON, SPIEGEL, and BELLY
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
Rachelle D. Klassen, City Clerk
City of Palm Desert, California
Cinc9/ Fine
,fv11�
rty, Mayor
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RESOLUTION NO. 2010-64
EXHIBIT "A"
ASSESSOR PARCEL NUMBERS OF FORECLOSURE PARCELS
694-190-019(1)
694-190-021(1)
694-190-022(2)
694-190-049(2)
694-190-050(2)
694-200-020(2)
(1) Additional Delinquent Parcel
(2) Major Delinquent Parcel
A-1