HomeMy WebLinkAboutCity Council - 2000-5 RESOLUTION NO. 2000-5
RESOLUTION OF INTENTION OF THE CITY COUNCIL OF
THE CITY OF HUNTINGTON BEACH
WITH RESPECT TO ESTABLISHMENT
OF PROPOSED CITY OF HUNTINGTON BEACH
COMMUNITY FACILITIES DISTRICT NO. 2000-1
(GRAND COAST RESORT)
WHEREAS, the City Council (the "City Council"} of the City of Huntington Beach may,
by its own initiative, institute proceedings for the establishment of a community facilities district
pursuant to Chapter 3.56(commencing with Section 3.56.010) of the Municipal Code of the City
of Huntington Beach and Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2
of Title 5 of the California Government Code, commonly known as the"Mello-Roos Community
Facilities Act of 1982," for the purposes of constructing and financing through the sale of bonds
the construction, acquisition, furnishing and equipping of public facilities which are necessary to
meet increased demands placed upon the City as a result of the development of said real
property; and
The City Council desires to issue bonds of the proposed community facilities district, the
proceeds of which will be used to pay the cost of acquisition, construction, furnishing and
equipping of public facilities; and
The bonds will be repaid from special taxes to be levied on the real property within the
proposed community facilities district, as more fully described herein;
NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of
Huntington Beach,the following:
1. Section 1. Findings. The City Council finds that the foregoing recitals are true and
correct.
Section 2. Proposed District. A community facilities district is proposed to be
established under the terms of Chapter 3.56 (commencing with Section 3.56.010)of the
Municipal Code of the City of Huntington Beach and Chapter 2.5 (commencing with Section
53311) of Part 1 of Division 2 of Title 5 of the California Government Code, commonly known
as the"Mello-Roos Community Facilities Act of 1982." The name proposed for the community
facilities district is "City of Huntington Beach Community Facilities District No. 2000-1 (Grand
Coast Resort) County of Orange, State of California."
Section 3. Description and Map of Boundaries. The boundaries of the proposed
community facilities district are described in Exhibit"A" attached hereto, and are also shown on
the map entitled"Proposed Boundaries of City of Huntington Beach Community Facilities
District No. 2000-1 (Grand Coast Resort) County of Orange, State of California,"which is on
file with the City Clerk. Said map is approved and,pursuant to Section 3110 of the California
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Streets and Highways Code, the City Clerk shall, after conforming with the other requirements of
Section 3111 of said Code, file the original of said map in her office, and not later than 15 days
prior to the date of the public hearing set forth in Section S hereof shall record a copy of said
boundary map with the County Recorder of the County of Orange.
Section 4. Types of Facilities; Incidental Expenses. The types of public facilities
proposed to be provided within and financed by the proposed community facilities district are:
(a) Street improvements including costs of condemnation,removal,demolition,
grading, paving, curbs and gutters, sidewalks, street lights and parkway and
landscaping related thereto.
(b) Storm drains, drainage storage ponds and drainage channels including
landscaping, if applicable.
(c) Sewers, sewer treatment facilities and sewer capacity acquisition.
(d) Wetlands redemption, remediation and relocation.
(e) Public park and recreation facilities, including beach access facilities and
pedestrian bridge.
(f) Water distribution facilities, including fire hydrants and reclaimed water and
water storage facilities.
(g) Street signalization and signage, including traffic fees.
(h) Fire facilities including structures and capital equipment.
(i) Beach maintenance facilities.
(J) Acquisition of land, rights-of-way and easements necessary for any of the
facilities specified in paragraphs (a)through(i) above.
(k) The incidental expenses which will be incurred are: (i) the cost of engineering,
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, the payments 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, acquisition, completion,
and inspection of such facilities.
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Section 5. Special Taxes. Except where funds are otherwise available, special taxes
sufficient to pay for all such facilities and to pay the principal of and interest on the bonds of the
proposed community facilities district and the annual administrative expenses of the City and the
proposed community facilities district in determining, apportioning, levying and collecting such
special taxes, and in paying the principal of and interest on such bonds, and the costs of
registering, exchanging and transferring such bonds, secured by the recordation of a continuing
lien against all taxable or nonexempt property in the proposed community facilities district, and
maintaining a reserve fund for such bonds,and paying any amounts that must be paid to the
United States in order to preserve the tax-exempt status of such bonds shall be annually Ievied
within the proposed community facilities district. The rates and method of apportionment of said
special taxes shall be as set forth in Exhibit "B" attached hereto and by this reference made a
part hereof.
Section G. Exempt Properties. Pursuant to Section 53340 of the California
Government Code, properties of entities of the state, federal, and local governments not subject
to a leasehold interest shall be exempt from the levy of special taxes for the payment of the
principal of and interest on the bonds of the proposed community facilities district.
Section 7. Necessity. The City Council finds that the proposed public facilities
described in Section 4 hereof are necessary to meet increased demands placed upon the City as a
result of new development occurring within the boundaries of the proposed community facilities
district.
Section S. Hearing. A public hearing on the establishment of the proposed
community facilities district shall be held on 7:00 p.m. on February 22, 2000, in the City Council
Chambers at the City Hall, 2000 Main Street, Huntington Beach, California.
Section 9. Notice. The City Clerk shall publish a notice of the time and place of said
hearing as required by Section 53322 of the California Government Code, and shall also give
notice of the time and place of said hearing by first-class mail to each registered voter and to
each landowner within the proposed community facilities district as prescribed by Section
53322.4 of said Code. Said notice shall be published at least seven(7) days and mailed at least
15 days before the date of the hearing, and shall contain the information required by said
Section 53322.
Section 10. Reuorts. The officers of the City who will be responsible for
providing the proposed types of public facilities to be provided within and financed by the
proposed community facilities district, if it is established, shall study the proposed district, and,
at or before the time of said hearing, file a report with the City Council containing a brief
description of the public facilities by type which will in their opinion be required to adequately
meet the needs of the proposed community facilities district and their estimate of the fair and
reasonable cost of providing those public facilities and the incidental expenses to be incurred in
connection therewith. All such reports shall be made a part of the record of the hearing to be
held pursuant to Section S hereof.
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Section 11. Annexation of Territory. Other property within the boundaries of the
City may be annexed into the Community Facilities District upon the condition that parcels
within that territory may be annexed only with the unanimous approval of the owner or owners
of each parcel at the time that parcel or those parcels are annexed.
Section 12. Roayrnent of Funds Advanced or Work-in-Kind. Pursuant to
Section 53314.9 of the California Government Code, the City Council proposes to accept
advances of funds or work-in-kind from private persons or private entities and to provide,by
resolution for the use of those funds or that work-in-kind, for any authorized purpose, including,
but not limited to,paying any costs incurred by the City in creating the community facilities
district and to enter into an agreement by resolution,with the person or entity advancing funds or
work-in-kind to repay funds advanced, or to reimburse the person or entity for the value or cost,
whichever is less, of the work-in-kind, as determined by the City Council.
Section 13. Description of Voting Procedures. The voting procedures to be
followed in conducting the consolidated special elections on (i)the proposition of the proposed
community facilities district incurring a bonded indebtedness in an amount not to exceed
$16,000,000, (ii)the proposition with respect to the levy of special taxes on the land within the
community facilities district to pay the principal of and interest on the bonds thereof, and(iii)the
proposition with respect to the establishment of an appropriations limit for the community
facilities district in the amount of$1,750,000, if the community facilities district is established
and such consolidated special elections (the"consolidated special elections") are held, shall be as
follows.
(a) If at least 12 persons have been registered to vote within the territory of the
proposed community facilities district for each of the 90 days preceding the close of the public or
protest hearing (the"protest hearing'), the vote in the consolidated special elections shall be by
the registered voters of the community facilities district with each voter having one vote. In that
event,the consolidated special elections shall be conducted by the City Clerk, and shall be held
on a date selected by the City Council in conformance with the provisions of Section 53326 of
the California Government Code and pursuant to the provisions of the California Elections Code
governing elections of cities, insofar as they may be applicable, and pursuant to said Section
53326 the ballots for the consolidated special elections shall be distributed to the qualified
electors of the community facilities district by mail with return postage prepaid or by personal
service, and the consolidated special elections shall be conducted as a mail ballot election.
(b) If 12 persons have not been registered to vote within the territory of the
community facilities district for each of the 90 days preceding the close of the protest hearing,
and pursuant to Section 53326 of the California Government Code, the vote is therefore to be by
the landowners or owners of the leasehold interest in the land(as defined in Section 3.56.070 of
the Municipal Code of the City of Huntington Beach) of the community facilities district,with
each landowner or leaseholder of record at the close of the protest hearing having one vote for
each acre or portion of an acre of land that he or she owns within the community facilities
district, the consolidated special elections shall be conducted by the City Clerk pursuant to the
Municipal Code of the City of Huntington Beach and Section 53326 of the California
Government Code.
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Section 14. Tender of Bonds. This City Council hereby reserves the right, on
behalf of the proposed community facilities district to accept tenders of bonds in full or partial
payment of special taxes to be levied within the proposed community facilities district pursuant
to Section 3.56.320 of the Municipal Code of the City of Huntington Beach.
The procedures for conducting the consolidated special elections, if they are held,may be
determined as the City Council may determine to be necessary or desirable by a resolution
subsequently adopted by the City Council.
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 1 S th day of January , 2000.
sir ,
ATTEST: APPROVED AS TO FORM:
a .
City Clerk City Attorney
REVIEWED AND APPROVED: INITIATED AND APPROVED:
City Administrator Director of Econofhic Development
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EXHIBIT A
LEGAL DESCRIPTION
CITY OF HUNTINGTON BEACH
COMMUNITY FACILITIES DISTRICT NO. 2000-1
(GRAND COAST RESORT)
COUNTY OF ORANGE
City of Huntington Beach Community Facilities District No. 2000-1 (Grand Coast
Resort), County of Orange, State of California, includes the land situated in the State of
California, County of Orange, City of Huntington Beach, described as follows:
Lot 1 of Tract No. 15535, Recorded September 14, 1999 in Map Book 790, Pages 44-50,
Records of Orange County, California.
RVQUMKAR607344
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EXHIBIT B
CITY OF HUNTINGTON BEACH
COMMUNITY FACILITIES DISTRICT NO. 2000-1
(GRAND COAST RESORT)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
A Special Tax applicable to each Assessor's Parcel of Taxable Properly in the City of
Huntington Beach Community Facilities District No. 2000-1 (Grand Coast Resort)
(herein CFD No. 2000-1) shall be levied and collected according to the tax liability
determined by the Administrator through the application of the procedures described
below. The leasehold interests in the real property in CFD No. 2000-1, 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 capitalized terms hereinafter set forth have the following meanings when used in this
Rate and Method of Apportiorunent:
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, or the other parcel map recorded with the
County Recorder. If the Acreage of a particular Parcel is unclear after reference to
available maps, the Administrator shall determine the appropriate Acreage for a Parcel.
Act means Chapter 3.56 (commencing with Section 3.56.010) of the Municipal Code of
the City of Huntington Beach and, as applicable, the Mello-Roos Community Facilities
Act of 1982, as amended, being Chapter 2.5 (commencing with Section 53311), Part 1,
Division 2, of Title 5 of the Government Code of the State of California.
Administrative Expenses means any or all of the following actual or reasonably
estimated costs directly related to the administration of CFD No. 2000-1: the fees and
expenses of any Fiscal Agent or trustee (including any fees and expenses of its counsel)
employed in connection with any Bonds; any costs associated with the marketing or"
remarketing of the Bonds, the expenses of the Administrator and the City in carrying out
their duties under any Indenture or resolution with respect to the Bonds, including, but
not limited to, the levy and collection of the Special Tax, the fees and expenses of legal
counsel, charges levied by the County or any division or office thereof in connection with
the levy and collection of Special Taxes, audits, continuing disclosure or other amounts
needed to pay arbitrage rebate to the federal government with respect to Bonds; costs
associated with complying with continuing disclosure requirements; costs associated with
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responding to public inquiries regarding Special Tax levies and appeals; attorneys' fees
and other costs associated with commencement or pursuit of foreclosure for delinquent
Special Taxes; and all other costs and expenses of City, the Administrator, the County,
and any Fiscal Agent, escrow agent or trustee related to the administration of CFD No.
2000-1.
Administrator means the Director of Administrative Services or such other person or
entity designated by the City Administrator or the City Council to administer the Special
Tax according to this Rate and Method of Apportionment of Special Tax.
Assessor's Parcel or Parcel means a lot, parcel or airspace 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 Assessor of the County designating
Parcels by Assessor's Parcel number.
Bonds mean any bonds or other debt(as defined in Section 53317(d) of the Act), whether
in one or more series, issued by the City for CFD No. 2000-1 under the Act.
City means the City of Huntington Beach.
City Council means the City Council of the City of Huntington Beach, acting as the
legislative body of CFD No. 2000-1.
County means the County of Orange.
Development Agreement means the Amended and Restated Disposition and
Development Agreement between the City and the developer, Mayer Financial, Ltd. and
its subsidiaries, successors and assigns, and any subsequent amendments thereto.
Exempt Land means (1) any real property within the boundaries of CFD No. 2000-1
which generally serves the development subject to the Development Agreement and/or
Ground Lease and is owned by a governmental agency for public right-of-way purposes
including, but not limited to, streets, public walkway corridors, and slopes as determined
in each Fiscal Year by the Administrator or (2) any Assessor's Parcel for which the,
Special Tax with respect to the leasehold interest has been paid in full.
Fiscal Agent means the fiscal agent who is a party to the Indenture, if so approved.
Fiscal Year means the period commencing on July 1 and ending on the following June
30, in any year in which the Bonds are outstanding.
Ground Lease means the ground lease with respect to the land within CFD No. 2000-1
boundary covering a term exceeding the maturity date for the Bonds between the City
and the tenant, Mayer Financial, Ltd. and its subsidiaries, successors and assigns, and any
subsequent amendments thereto.
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Indenture means the indenture, fiscal agent agreement, resolution or other instrument
approved pursuant to the Resolution of Issuance and pursuant to which Bonds are issued,
as modified, amended and/or supplemented from time to time, and any instrument
replacing or supplementing the same.
Maximum Special Tax means, with respect to the leasehold interest in any Parcel of
Taxable Property, the maximum Special Tax, determined in accordance with Section C,
that can be levied in any Fiscal Year on the leasehold interest in such Parcel.
Outstanding Bonds means all Bonds which are then outstanding under the Indenture.
Reserve Fund means the fund of that name created under the Indenture.
Resolution of Issuance means the resolution adopted by the City Council of the City,
acting as the legislative body of CFD No. 2000-1, authorizing the issuance of the Bonds
in accordance with the Act.
Special Tax means the special tax to be levied pursuant to the Act and this Rate and
Method of Apportionment of Special Tax in each Fiscal Year on the leasehold interests in
Taxable Property within CFD No. 2000-1.
Special Tax Requirement means the amount required in any Fiscal Year for CFD No.
2000-1 necessary: (i) to pay the annual scheduled debt service on the Outstanding Bonds
due in the calendar year which commences in such Fiscal Year, (ii) to pay any amounts
required to establish or replenish the Reserve Fund for all Outstanding Bonds, (iii) to pay
Administrative Expenses, and (iv)to pay costs of any credit enhancement (including fees
and expenses related to any letter of credit) for the Bonds, and less a credit for available
funds determined pursuant to the Indenture.
Taxable Property means all of the Assessor's Parcels within the boundaries of CFD No.
2000-1, which are not Exempt Land or exempt from the Special Tax pursuant to law.
Trustee means the trustee who is a party to the Indenture, if so approved.
B. IDENTIFYING TAXABLE PROPERTY
Not less than fifteen business days prior to the beginning of each Fiscal Year, the
Administrator shall determine which Parcels in CFD No. 2000-1 are Taxable Property.
The leasehold interest in the Taxable Property shall be subject to Special Taxes in
accordance with the rate and method of apportionment described in Sections C and D
below.
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lies Na .Ze�p C. MAXIMUM SPECIAL TAX
The Maximum Special Tax for the leasehold interests in Taxable Property in CFD No.
2000-1 shall be the greater of (1) $130,000 per Acre or (2) the amount determined
pursuant to the following steps:
Step 1: Determine the maximum annual debt service on all Outstanding
Bonds;
Step 2: Multiply the total debt service determined in Step 1 by 1.1 and add
the Administrative Expenses;
Step 3: Determine the Acreage of Taxable Property within the CFD No.
2000-1;
Step 4: Divide the amount from Step 2 by the Acreage from Step 3 to
determine the Maximum Special Tax per Acre of Taxable
Property,
D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2000-2001, and for each Fiscal Year thereafter, the City
Council shall levy the Special Tax proportionately on each Assessor's Parcel of Taxable
Property at up to 100% of the Maximum Special Tax, as determined by reference to
Section C, above, as needed to satisfy the Special Tax Requirement.
E. LIMITATIONS
No Special Taxes shall be levied on the leasehold interest in any Parcel after such Parcel
becomes Exempt Land.
The Special Tax may be levied and collected on the leasehold interests in Taxable
Property commencing with Fiscal Year 2000-2001, and for each Fiscal Year thereafter,
and until the date on which principal and interest on all Outstanding Bonds have been
paid in frill (or provision for their payment has been made). Upon determination by the
Administrator that this requirement has been met, the Special Tax lien shall be removed
from the leasehold interests in all Parcels in CFD No. 2000-1.
F. MANNER OF COLLECTION
The 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. 2000-1 may directly bill the
special tax, may collect special taxes at a different time or in a manner if necessary to
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meet its financial obligations, and may covenant to foreclose and may actually foreclose
on the leasehold interest in delinquent Assessor's Parcels as permitted by the Act.
G. APPEALS
The City Council shall establish as part of the proceedings and administration of CFD
No. 2000-1, a special three-member Review/Appeal Committee. 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 appeals,
as herein specified. The owner of the leasehold interest in any Taxable Property within
CFD No. 2000-1 claiming that the amount or application of the Special Tax is not correct
may file a written notice of appeal with the Review/Appeal Committee not later than one
calendar year after having paid the Special Tax that is disputed. The Review/Appeal
Committee shall promptly review the appeal, and if necessary, meet with the owner of the
leasehold interest, consider written and oral evidence regarding the amount of the Special
Tax, and resolve the appeal. If the Review/Appeal Committee's decision requires the
Special Tax to be modified or changed in favor of the owner of the leasehold interest, a
cash refund shall not be made (except for the last year of the levy), but an adjustment
shall be made to the next Special Tax levy. This procedure shall be exclusive and its
exhaustion by any owner of a leasehold interest shall be a condition precedent to any
legal action by such owner.
H. PREPAYMENT OF SPECIAL TAX
The following definitions apply solely to this Section H.:
Outstanding Bonds means all Previously Issued Bonds which are deemed to be
outstanding under the Indenture after the first interest and/or principal payment date
following the current Fiscal Year.
Previously Issued Bonds means all Bonds that have been issued by CFD No. 2000-1
prior to the date of prepayment.
1. Prepayment in Full
The Special Tax applicable to any leasehold interest in any Assessor's Parcel of Taxable
Property may be prepaid. The Special Tax obligation applicable to the leasehold interest _
in such Assessor's Parcel in CFD No. 2000-1 may be fully prepaid and the obligation of
the leasehold interest in such Assessor's Parcel to pay the Special Tax permanently
satisfied as described herein. The owner of the leasehold interest intending to prepay the
Special Tax obligation on one or a combination of Assessor's Parcel(s) shall provide the
Administrator with written notice of intent to prepay. Following receipt of such notice,
the Administrator shall notify the owner of the leasehold interest in such Assessor's
Parcel or Parcels of the prepayment amount of such Assessor's Parcel(s), The
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Administrator may charge a reasonable fee for providing this figure. Prepayment most be
made not less than 45 days prior to the next occurring date that notice of redemption of
Bonds from the proceeds of such prepayment may be given by the Fiscal Agent pursuant
to the Indenture.
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 Taxable Property intending to prepay, compute the
Maximum Special Tax for such Assessor's Parcels.
2. Divide the Maximum Special Tax computed pursuant to Paragraph 1 by the total
Maximum Special Tax of all Assessor's Parcels of Taxable Property in CFD No.
2000-1, excluding any Assessor's Parcels which have prepaid their Special Taxes
in full, and
3. Multiply the quotient computed pursuant to Paragraph 2 by the Outstanding
Bonds as defined in this Section H to compute the amount of Outstanding Bonds
to be retired and prepaid, and round the result up to the nearest multiple of$5,000
(the Band 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 bored interest and/or principal payment date following the current
Fiscal Year until the earliest redemption date for the Outstanding Bonds.
6. Determine the Special Taxes levied on the Assessor's Parcel in the current and
any previous Fiscal Year, which have not yet been paid.
7. Compute the amount the Administrator reasonably expects to derive from the
reinvestment of the Prepayment Amount from the date of prepayment until the
redemption date for the Outstanding Bonds to be redeemed with the prepayment.
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8. Add the amounts computed pursuant to Paragraphs 5 and 6 and subtract the
amount computed pursuant to Paragraph 7 (the Defeasance Amount).
9. Determine the administrative fees and expenses of CFD No. 2000-1, 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).
10. Determine the reserve fund credit (the Reserve Fund Credit) which 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
field on the prepayment date, but in no event shall such amount be less than zero.
11. 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).
12. The Special Tax prepayment is equal to the sum of the amounts computed
pursuant to Paragraphs 3, 4, 8 and 9, less the amounts computed pursuant to
Paragraphs 10 and 11 (the Prepayment Amount).
13. From the Prepayment Amount, the amounts computed pursuant to Paragraphs 3,
4, 8, 10 and 11 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 9 shall be retained by the
Administrator.
As a result of the payment of the current Fiscal Year's Special Tax levy as determined
under Paragraph 6 (above), the 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 City Council 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 pry the Special Tax shall cease.
Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the
amount of the Maximum Special Taxes that may be levied on Taxable Property within
CFD No. 2000-1 both prior to and after the proposed prepayment is at least 1.1 times the
maximum annual debt service on all Outstanding Bonds.
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2. Prepayment in Part
The Maximum Special Tax on an Assessor's Parcel of Taxable Property 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= (PH xF) + G
Where these terms are defined as follows:
PP = the partial prepayment
PH= the Prepayment Amount calculated according to Section 11.1, minus the amounts
determined in Paragraph No. 6 and 9 of Section H.1.
F = the percent by which the owner of the leasehold interest in the Assessor's
Parcel(s) is partially prepaying the Maximum Special Tax.
G = the amounts determined in Paragraph No. 6 and 9 of Section H.1.
The owner of the leasehold interest in an Assessor's Parcel who desires to partially
prepay the Maximum Special Tax shall notify the Administrator of (i) such owner's
intent to partially prepay the Maximum Special Tax, (ii) the percentage by which the
Maximum Special Tax shall be prepaid, and (iii) the company or agency that will be
acting as the escrow agent, if applicable. The Administrator shall provide the owner of
the leasehold interest with a statement of the amount required for the partial prepayment
of the Maximum Special Tax for an Assessor's Parcel following receipt of the request.
With respect to any Assessor's Parcel that is partially prepaid, CFD No. 2000-1 shall (i)
distribute the funds remitted to it according to Paragraph 13 of Section H.1, and (ii)
indicate in the records of CFD No. 2000-1 that there has been a partial prepayment of the
Maximum Special Tax and that a portion of the Maximum Special Tax equal to the
outstanding percentage (1.00 —F) of the remaining Maximum Special Tax shall continue
to be authorized to be levied on such Assessor's Parcel pursuant to Section D.
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Res. No. 2000-5
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, CONNIE BROCKWAY, the duly elected, qualified City Clerk of the
City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do
hereby certify that the whole number of members of the City Council of the City of
Huntington Beach is seven; that the foregoing resolution was passed and adopted by
the affirmative vote of at least a majority of all the members of said City Council at a
regular meeting thereof held on the 18th day of January,2000 by the following
vote:
AYES: Julien, Harman, Garofalo, Green, Dettloff
NOES: None
ABSENT: None (Bauer, Sullivan— out of room)
ABSTAIN: None
City Clerk and ex-officio Cler of the
City Council of the City of Huntington
Beach, California