HomeMy WebLinkAboutORD 1107ORDINANCE NO. 1107
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF
CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO.
2005-1 (UNIVERSITY PARK) AUTHORIZING THE LEVY OF A
SPECIAL TAX WITHIN THAT DISTRICT
RECITALS:
WHEREAS, in accordance with a request set forth in a petition signed by the owners of
certain land proposed for inclusion in a proposed community facilities district (the "Petitioning
Landowners"), the City Council of the City of Palm Desert (the "City Council'), has previously
adopted a resolution entitled "A Resolution of Intention of the City Council of the City of Palm
Desert to Establish City of Palm Desert Community Facilities District No. 2005-1 (University
Park) and to Authorize the Levy of A Special Tax within City of Palm Desert Community
Facilities District No. 2005-1 (University Park)" (the "Resolution of Intention to Establish
District") stating its intention to conduct proceedings to form 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, commencing with Section 53311 of the
California Government Code (the "Act") to finance certain public facilities (the "Original
Facilities") to serve the area of land hereinafter described; and
WHEREAS, the City Council has previously adopted a resolution entitled "A Resolution
of Intention of the City Council of the City of Palm Desert to Incur Bonded Indebtedness within
Proposed City of Palm Desert Community Facilities District No. 2005-1 (University Park)" (the
"Resolution of Intention to Incur Bonded Indebtedness") stating the City Council's intention,
acting as the legislative body of the District, to authorize the issuance and sale of one or more
series of bonds in the maximum aggregate principal amount of $70,000,000; and
WHEREAS, the Resolution of Intention to Establish District and the Resolution of
Intention to Incur Bonded Indebtedness set December 8, 2005 (the "Original Hearing Date"), as
the date of a public hearing on the establishment of the District, the extent of the District, the
furnishing of Original Facilities to serve the District, the proposed rate and method of
apportionment of the special tax within the District (the "Rate and Method"), and the proposed
debt issue; and
WHEREAS, a notice of the public hearing was published and mailed to all landowners
proposed to be included in the District in accordance with the Act; and
WHEREAS, prior to the Original Hearing Date, the Petitioning Landowners made the
determination to exclude the development impact fees of the Palm Springs Unified School
District and the school improvements to be constructed thereby (the "School Facilities") from the
list of public facilities to be financed by the District, in the interest of applying a greater portion
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of the District's financing to the facilities to be owned by the City and the Coachella Valley
Water District (the "CVWD"); and
WHEREAS, prior to the Original Hearing Date, there was filed with the City Council a
report containing a description of the facilities necessary to adequately meet the needs of the
District and an estimate of the cost of financing such facilities as required by Section 53321.5 of
the Act (the "Report"), which Report amends the list of Original Facilities to delete the School
Facilities from the list of public facilities to be financed by the District; and
WHEREAS, Section 53316.2 of the Act permits the District to finance facilities to be
owned or operated by a public agency other than the City, but only pursuant to a joint community
facilities agreement ("JCFA") adopted by resolution of each of the public agencies that are party
thereto and prior to the City Council's adoption of a resolution of formation to establish the
District; and
WHEREAS, prior to the Original Hearing Date, representatives of the Petitioning
Landowners met with representatives of the CVWD to discuss the approval of a JCFA pursuant
to Section 53316.2 of the Act, regarding certain of the Original Facilities which, if approved by
the qualified electors within the District, would be owned and operated by the CVWD; and
WHEREAS, the CVWD indicated that it would need more time beyond the Original
Hearing Date to consider the terms and conditions of the proposed JCFA and for the Board of
Directors of the CVWD to approve the JCFA by resolution; and
WHEREAS, the aforementioned public hearing was duly continued from December 8,
2005 in the City Council Chamber to 4 p.m. on January 12, 2006 in the City Council Chamber
upon a finding by the City Council that, pursuant to Section 53325 of the Act, it is appropriate
and necessary to continue such hearing, in order to ensure adequate time to address the
complexities of the District relating to the JCFA and to ensure adequate opportunity for public
comment and participation, including without limitation the comment and participation of the
CVWD, with respect to the proposed Original Facilities and JCFA; and
WHEREAS, prior to the reconvening of the public hearing on January 12, 2006, it was
determined that certain park improvements and park land site acquisition identified in Sections
VIII.E. and VIII.F. of Exhibit "A" of the Resolution of Intention to Establish District (the "Parks
E and F Improvements"), also described as "Park E" and "Park F," respectively, will not be
owned by the City or any other governmental entity and may not be financed by the District by
the issuance of its tax-exempt bonds; and
WHEREAS, Section 53325 of the Act permits the City Council to modify the Resolution
of Intention to Establish District by eliminating proposed facilities, if the City Council makes
such modifications at the aforementioned public hearing; and
WHEREAS, at the public hearing, the City Council adopted a resolution entitled, "A
Resolution of the City Council of the City of Palm Desert Modifying the Resolution of Intention
to Eliminate Certain Facilities From Financing by Proposed City of Palm Desert Community
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Facilities District No. 2005-1 (University Park)," which is on file in the office of the City Clerk
of the City and modifies and amends the Resolution of Intention to Establish District by
amending the list of Original Facilities therein to eliminate the School Facilities and the Parks E
and F Improvements (as amended, the "Facilities"); and
WHEREAS, at the public hearing, all persons desiring to be heard on all matters
pertaining to the establishment of the District, to the extent of the District, to the furnishing of
Facilities to serve the District, to the proposed Rate and Method, and to the proposed debt issues
were heard and a full and fair hearing was held; and
WHEREAS, at the public hearing evidence was presented to the City Council on the
matters before it and the City Council at the conclusion of the hearing is fully advised as to all
matters relating to the formation of the District, the levy of the special tax, and the incurrence of
bonded indebtedness therein; and
WHEREAS, subsequent to the public hearing, the City Council adopted a Resolution
entitled "A Resolution of Formation of the City Council of the City of Palm Desert to Establish
City of Palm Desert Community Facilities District No. 2005-1 (University Park), to Make
Environmental Findings With Respect Thereto, to Adopt a Mitigated Negative Declaration in
Connection Therewith, to Establish an Appropriations Limit Therefor, to Authorize the Levy of a
Special Tax Therein, and to Submit the Establishment of an Appropriations Limit and the Levy
of a Special Tax to the Qualified Electors Thereof" (the "Resolution of Formation"); and
WHEREAS, subsequent to the public hearing, the City Council also adopted a resolution
entitled "A Resolution of the City Council of the City of Palm Desert to Declare the Necessity to
Incur Bonded Indebtedness within City of Palm Desert Community Facilities District No. 2005-1
(University Park)" which determined the necessity to incur bonded indebtedness in the maximum
principal amount of $70,000,000; and
WHEREAS, subsequent to the public hearing, the City Council also adopted a resolution
entitled "A Resolution of the City Council of the City of Palm Desert Calling a Special Election
within City of Palm Desert Community Facilities District No. 2005-1 (University Park)" (the
"Resolution Calling a Special Election") which called a special election of the qualified electors
of the District; and
WHEREAS, pursuant to the terms of the Resolution Calling a Special Election; an
election was held within the District at which the qualified electors of the District approved the
establishment of an appropriations limit for the District, the incurrence of bonded indebtedness,
and the levy of a special tax within the District; and
WHEREAS, on January 12, 2006, the City Council adopted a resolution entitled "A
Resolution of the City Council of the City of Palm Desert Declaring the Results of a Special
Election in City of Palm Desert Community Facilities District No. 2005-1 (University Park) and
Directing the Recording of a Notice of Special Tax Lien" (the "Resolution Declaring Results of
Election") which certified the results of the January 12, 2006 election conducted by the City
Clerk, which results showed that more than two-thirds of the votes cast in the District were in
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favor of the proposition to establish an appropriations limit for the District, incur bonded
indebtedness and levy the special tax.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES
HEREBY ORDAIN AS FOLLOWS:
Recitals. The above recitals are all true and correct.
2. Authorization of Levy of Special Tax. By passage of this Ordinance, the City
Council authorizes the levy of a special tax within the District at the maximum rates
and in accordance with the Rate and Method set forth in Exhibit "B" to the
Resolution of Formation which is on file in the office of the City Clerk and
incorporated herein by reference.
3. Annual Rate Determination. The City Council is hereby further authorized to
determine on or before August 10 of each year, or such other date as is established
by law or by the County Auditor -Controller of the County of Riverside, the specific
special tax to be levied on each parcel of land in the District, except that the special
tax rate to be levied shall not exceed the maximum rates set forth in the Rate and
Method, but the special tax may be levied at a lower rate.
4. Exemption of Government Property. Properties or entities of the state, federal, or
other local governments shall be exempt from the above -referenced and approved
special tax only to the extent set forth in the Rate and Method, and otherwise shall
be subject to tax consistent with the provisions of Section 53317.3 and 53317.5 of
the Act.
5. Use of Collections. All of the collections of the special tax shall be used only as
provided for in the Act and in the Resolution of Formation. The special tax shall be
levied only so long as needed for its purpose as described in the Resolution of
Formation.
6. Collection. The special tax shall be collected in the same manner as ordinary ad
valorem taxes and shall be subject to the same penalties and the same procedure,
sale and lien in any case of delinquency as applicable for ad valorem property taxes;
provided, however, that the special tax may be collected by direct billing by the City
of the property owners in the District or in such other manner as may be provided by
the City Council. In addition, the provisions of Section 53356.1 of the Act shall
apply to any delinquent Special Tax payments.
7. Authorization. The specific authorization for adoption of this Ordinance is the
provisions of Section 53340 of the Act.
B. Severablility. If for any reason any portion of this Ordinance is found to be invalid,
or if the special tax is found inapplicable to any particular parcel within the District,
by a Court of competent jurisdiction, that balance of this Ordinance, and the
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application of the special tax to the remaining parcels within the District shall not be
affected.
9. Certification. The City Clerk shall certify to the passage of this Ordinance and
cause it to be published or posted in accordance with law.
PASSED, APPROVED AND ADOPTED this nth day of February , 2006, by the
following vote:
AYES: Councilmembers BENSON, KELLY, SPIEGEL AND FERGUSON
NOES: Councilmembers NONE
ABSENT: Councilmembers MTES
ABSTAIN: Councilmembers
ATTEST:
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