HomeMy WebLinkAboutCC Reso 2022-33 RESOLUTION NO. 2022-33
RESOLUTION OF INTENTION TO INCUR BONDED INDEBTEDNESS
IN AMOUNT NOT TO EXCEED $39,000,000 IN AND FOR THE CITY OF
CATHEDRAL CITY COMMUNITY FACILITIES DISTRICT NO. 2022-1
(CATHEDRAL CITY PARK & RECREATION SERVICES) TO FINANCE
THE DEVELOPMENT OF CERTAIN PUBLIC FACILITIES
WHEREAS, the City Council (the "Council") of the City of Cathedral City (the
"City") has previously adopted local goals and policies related to the formation of
community facilities districts under the Mello-Roos Community Facilities Act of 1982, as
amended, Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing at Section 53311,
of the California Government Code (the "Act"); and
WHEREAS, the Council has this date adopted its Resolution of Intention to Form
a Community Facilities District, and Levy a Special Tax in the City of Cathedral City
Community Facilities District No. 2022-1 (Cathedral City Park & Recreation Services) to
Fund Public Services and Finance the Acquisition and Construction of Certain Public
Facilities (the "Resolution of Intention"), stating its intention to form the City of Cathedral
City Community Facilities District No. 2022-1 (Cathedral City Park & Recreation
Services) (the "CFD") pursuant to the Act, for the purpose of financing capital
improvements, long-term operation and maintenance of various facilities and other
services, all as further described and provided in that Resolution of Intention; and
WHEREAS, under the Act, the Council is authorized to call for an election on a
measure to incur bonded indebtedness to finance the cost of the capital facilities and
related costs described in Exhibit B to the Resolution of Intention (the "Facilities"); and
WHEREAS, the Council estimates the amount required for the financing of the
costs of the Facilities to be the sum of not to exceed $39,000,000 and in order to
finance the costs of the Facilities it is necessary to incur bonded indebtedness secured
by a special tax levied on land within the CFD in an amount not to exceed such amount.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL
CITY DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The Council declares and finds that in order to finance the cost of
the Facilities, as described in the Resolution of Intention, it is necessary to incur a
bonded indebtedness.
Section 2. The purpose for which the proposed bonded indebtedness is to be
incurred is to provide the funds necessary to pay for the cost of said Facilities.
Section 3. The maximum amount of proposed bonded indebtedness for the
CFD is $39,000,000. Indebtedness subject to this limit shall only include indebtedness
evidenced by bonds secured by the special tax levied in the CFD.
Section 4. It is the intention of the Council that any such bonds issued may be
issued in multiple series and shall be made callable in accordance with the terms of the
Act and as more specifically to be set forth in any resolution authorizing issuance of the
bonds, and shall be issued in such series and bear interest payable semi-annually or in
such other manner as the Council shall determine, at a rate not to exceed the maximum
rate of interest as maybe authorized byapplicable law at the time of sale of such
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bonds, and shall mature not to exceed 40 years from the date of the issuance thereof.
Section 5. The financing the cost of Facilities with bonded indebtedness shall
be subject to the approval of the qualified electors within the CFD at a special election.
The qualified electors shall be the registered voters within the proposed CFD.
Section 6. In the event any series of bonds issued under the authorization is
refunded to produce savings meeting the requirement of Section 53362.5 of the Act, all
or a portion of the savings achieved through the issuance of refunding bonds may be
used to finance Facilities insofar as the savings component provides capacity for
bonded indebtedness in excess of that being refunded, and such additional bonded
indebtedness shall not reduce and may exceed the amount of bonded indebtedness
authorized herein.
Section 7. The Council hereby sets August 3, 2022, at 5:00 p.m. in the
chambers of the City Council of the City of Cathedral City, 68700 Avenida Lalo
Guerrero, Cathedral City, California 92234, or as soon as possible thereafter, as the
time and place for a hearing by the Council on the proposed incurrence of bonded
indebtedness. At that time and place, any persons interested, including any persons
owning property in the CFD, will be heard.
Section 8. The City Clerk is hereby directed to cause notice of said public
hearing to be given by one-time publication in a newspaper of general circulation
circulated within the CFD. The publication of said notice shall be completed at least 7
days before the date herein set for said public hearing. Such notice shall be
substantially in the form specified in Section 53346 of the Act, with the form
summarizing the provisions hereof hereby specifically approved.
Section 9. This Resolution shall take effect from and after its adoption.
PASSED, APPROVED AND ADOPTED this 22nd day of June, 2022, by the following
vote:
AYES: Councilmembers Ross and Gregory; Mayor Pro Tern Lamb and
Mayor Gutierrez
NOES: None
ABSENT: None
ABSTAIN: None
Ernesto Gutierrez, Mayor
ATTEST:
IV2014W-1/171/1t1
Tracey R.0 ermosillo, City Clerk
APPROVED AS TO FORM:
Eric S. Vail, City Attorney
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