HomeMy WebLinkAboutResolution No. 02-C042RESOLUTION NO. 02-C42
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
AZUSA DETERMINING THE NECESSITY FOR COMMUNITY
FACILITIES DISTRICT NO. 2002-1 (MOUNTAIN COVE) TO
INCUR A BONDED INDEBTEDNESS IN AN AGGREGATE
PRINCIPAL AMOUNT NOT TO EXCEED $11,000,000 FOR PRO-
VIDING PUBLIC FACILITIES WITHIN AND FOR THE
COMMUNITY FACILITIES DISTRICT AND CALLING A
SPECIAL ELECTION FOR THE COMMUNITY FACILITIES
DISTRICT ON A PROPOSITION FOR INCURRING SUCH
BONDED INDEBTEDNESS
WHEREAS, on March 4, 2002, the City Council (the "City Council") of the City of
Azusa (the "City"), pursuant to the Mello -Roos Community Facilities Act of 1982, as amended,
Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the California
Government Code (the "Act"), adopted Resolution No. 02-C27 declaring the necessity for
Community Facilities District No. 2002-1 (Mountain Cove) of the City of Azusa, County of Los
Angeles, State of California (the "Community Facilities District"), to incur a bonded indebtedness for
the purpose of providing public facilities which are necessary for the development of the property
therein, and scheduling a hearing thereon; and
WHEREAS, notice of the hearing was published and mailed as required by law, and
on April 15, 2002, at the time and place of the hearing as set forth in Resolution No. 02-C27 and the
notice thereof, the City Council conducted the hearing and afforded all persons interested, including
persons owning property within the Community Facilities District, an opportunity to be heard on the
proposed authorization to incur bonded indebtedness, and no protests were received; and
WHEREAS, the District has entered into ajoint community facilities agreement with
Azusa Unified School District (the "School District") pursuant to Sections 53316.2, 53316.4 and
53316.6 of the California Government Code which provide for the financing with the proceeds of the
issuance and sale of the bonds of the Community Facilities District of certain public school facilities
of the School District and the satisfaction of statutory school fees (the "School Facilities") which are
necessary for the School District to provide for the school needs of future residents of the Community
Facilities District; and
WHEREAS, on April 15, 2002, the City Council adopted the Resolution of Formation
pursuant to Section 53325.1 (a) of the California Government Code, establishing the Community
Facilities District; and
WHEREAS, the City Council has determined that it is necessary for the Community
Facilities District to incur a bonded indebtedness for the purpose of providing public facilities which
are necessary to the development of the property therein;
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NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED BY
THE CITY COUNCIL OF THE CITY OF AZUSA AS FOLLOWS:
Section 1. Necessitv. It is necessary for the Community Facilities District to incur
a bonded indebtedness in an aggregate principal amount not to exceed $11,000,000 for the purpose
of providing the public facilities specified in the Resolution of Formation (the "Facilities") which are:
(a) (1) Water transmission, distribution and storage facilities, and sewer
system facilities
(2) Local park, recreation, and open space facilities and river bank
protection and vegetation mitigation;
(3) Street improvements, curb, gutter, sidewalks, bicycle trail, signage and
street widening;
(4) Relocation of dry utilities;
(5) Public school facilities; and
(b) The incidental expenses which will be incurred are: (i) the cost of planning and
designing such facilities and the cost of environmental evaluations thereof, (ii) all costs associated
with the creation of the proposed community facilities district, issuance of the bonds thereof, the
determination of the amount of and collection of taxes, and the payment of taxes, and costs otherwise
incurred in order to carry out the authorized purposes of the community facilities district, and (iii) any
other expenses incidental to the construction, completion, acquisition and inspection of such facilities.
Section 2. Payment ofBonded Indebtedness. Pursuant to Section 4 of the Resolution
of Formation, all parcels of taxable property within the Community Facilities District shall be subject
to the levy of special taxes to pay the principal of and interest on the bonds thereof which may be
issued and sold to finance the design, construction and acquisition of the Facilities which are of
benefit to all such parcels.
Section 3. Amount of Debt: Terms of Bonds. The aggregate principal amount of the
bonded indebtedness to be incurred by the Community Facilities District shall not exceed
$11,000,000. The maximum term of the bonds shall not exceed 40 years. The maximum annual rate
of interest to be paid semiannually on the bonds shall not exceed 12 percent per annum or such other
rate as may be the maximum interest rate permitted by law.
Section 4. Proposition to be Submitted to Voters. The proposition to be submitted
to the voters within the Community Facilities District with respect to the proposed bonded indebted-
ness shall be as follows:
Shall a bonded indebtedness in an aggregate principal amount not to exceed
$11,000,000 be incurred by and for Community Facilities District No. 2002-1
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(Mountain Cove) of the City of Azusa, County of Los Angeles, State of California,
for a maximum term of not more than 40 years and with interest at a rate or rates not
to exceed the maximum interest rate permitted by law, for the purposes of providing
public facilities for that community facilities district, including the design, construction
and acquisition of (i) water transmission, distribution and storage facilities; sewer
system facilities; local park, recreation, and open space facilities; river bank protection
and vegetation mitigation; street improvements, curb, gutter, sidewalks, bicycle trail,
signage and street widening; relocation of dry utilities of the City of Azusa; and (ii)
providing public school facilities of Azusa Unified School District, and (iii) and paying
costs incidental to the sale of bonds, the formation of the community facilities district,
and the design, construction, and acquisition of the public facilities, including all costs
and estimated costs of construction of the public facilities, acquisition of land and
rights-of-way, satisfaction of contractual obligations relating to expenses or the
advancement of funds for expenses existing at the time the bonds are issued, architec-
tural, engineering, inspection, legal, fiscal and financial consultant fees, bond and
other reserve funds, bond discount, interest on any bonds of the community facilities
district estimated to be due and payable within two years of the issuance of the bonds,
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 or other credit enhancement costs, and printing costs?
Section 6. Elections. The date of the special election with respect to the incurring
of the aforementioned bonded indebtedness, at which time the proposition set forth in Section 5
hereof shall be submitted to the voters of the Community Facilities District, is April 15, 2002, and that
special election is hereby called for that date. The special election shall be consolidated with the
special election with respect to the propositions for (i) the levy of special taxes for the payment of
the principal of and interest on the bonds of the Community Facilities District and to pay or
accumulate funds for paying the costs of public facilities, and (ii) establishing an appropriations limit
for the Community Facilities District which have also been called for April 15, 2002. The consol-
idated special elections shall be conducted by mail ballot pursuant to applicable provisions of the
California Elections Code with respect to mail -ballot elections of cities and specifically Division 4
(commencing with Section 4000) of that Code, insofar as they may be applicable. The voted official
ballots shall be returned to the City Clerk of the City of Azusa by 7:30 o'clock p.m. on the date of the
election; provided that the election shall be closed before such hour if the City Clerk determines that
all qualified electors have voted.
Section 7 . Accountability Measures. Pursuant to Section 53410 of the California
Government Code, if the voters approve the propositions contained in the official ballots for the
consolidated special elections with respect to the Community Facilities District incurring bonded
indebtedness for the purposes for which such indebtedness is to be incurred and bonds of the
Community Facilities District are to be issued (the "Bond Propositions"),' the incurring of such
bonded indebtedness and the issuance of bonds of the Community Facilities District shall be subject
to the following accountability measures:
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(a) The Bond Propositions shall identify the specific purposes for which the bonds
are to be issued;
(b) The proceeds of the bonds shall be applied only for the specific purposes
identified in the Bond Propositions;
(c) An account or accounts shall be created pursuant to the fiscal agent agreement
for such bonds into which the proceeds of the sale of such bonds shall be deposited; and
(d) The chief financial officer of the City shall file a report with the City Council
no later than January 2 of the calendar year beginning after the year in which the bonds are issued and
annually thereafter, which shall contain the information required by Section 53411 of the California
Government Code.
The City Council finds that the Bond Propositions which will be set forth in the official
ballots for the consolidated special elections, and which are set forth in Section 5 hereof, identify the
specific purposes for which the Community Facilities District will incur bonded indebtedness and
issue bonds.
PASSED, APPROVED AND ADOPTE is th day of April, 2002.
v uia ivmuuuaa
City Clerk
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Cristina Cruz -Madrid
Mayor
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CERTIFICATION
I, Vera Mendoza, City Clerk of the City of Azusa, do hereby certify that the foregoing
resolution was adopted by the City Council at a regular meeting thereof held on the 15th day of April,
2002, by the following vote of the Council:
AYES: HARD I SON, ROCHA, CHAGNON, MADRID
NOES: NONE
ABSENT: STANFORD
ABSTAINED: NONE
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of the City of Azusa this 15 day of Apri 1 , 2002.
Vera Mendoza, City Clerk
(SEAL)
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