HomeMy WebLinkAboutOrdinance - Ord 877 - 04/10/2024 ORDINANCE NO. 877
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CATHEDRAL
CITY ACTING AS THE LEGISLATIVE BODY FOR IMPROVEMENT
AREA NO. 20 OF THE CITY OF CATHEDRAL CITY COMMUNITY
FACILITIES DISTRICT NO. 2006-1 (LAW ENFORCEMENT, FIRE,
PARAMEDIC, PARK AND GENERAL MAINTENANCE SERVICES)
AUTHORIZING THE LEVY OF A SPECIAL TAX
WHEREAS, on January 10, 2024 the City Council (the "Council") of the City of
Cathedral City, California (the "City") adopted Resolution No. 2024-01 stating its
intention to form the Improvement Area No. 20 of the City of Cathedral City Community
Facilities District No. 2006-1 (Law Enforcement, Fire, Paramedic, Park and General
Maintenance Services) (the "District") pursuant to the Mello-Roos Community Facilities
Act of 1982, as amended, (the "Act"); and
WHEREAS, notice was published as required by law relative to the intention of
the Council to form the District; and
WHEREAS, on February 28, 2024 this Council held a noticed public hearing as
required by law relative to the determination to proceed with the formation of the District
and the rate and method of apportionment and manner of collection of the special tax to
be levied within the District to finance certain public services; and
WHEREAS, at said hearing all persons desiring to be heard on all matters
pertaining to the formation of the District were heard and a full and fair hearing was
held; and
WHEREAS, the Council subsequent to said hearing adopted Resolution No.
2024-07 (the "Resolution of Formation") on February 28, 2024 determining the validity
of prior proceedings relative to the formation of the District and establishing the District;
and
WHEREAS, the Council subsequent to said hearing adopted Resolution No.
2024-08 which called an election within the District for February 28, 2024 on the
proposition of levying a special tax; and
WHEREAS, the Council subsequent to said hearing adopted Resolution No.
2024-09 on February 28, 2024 which held an election within the District and canvassed
the results in which the eligible electors approved by more than two-thirds vote the
proposition of levying a special tax;
NOW, THEREFORE, BE IT ORDAINED, by the City Council of the City of
Cathedral City as follows:
Section 1. A special tax is levied within the boundaries of the District pursuant
to the formula set forth in Exhibit "A" attached hereto and incorporated by reference in
an amount necessary to finance a portion of the cost of providing police protection, fire
protection, paramedic, park maintenance and general maintenance services that are in
addition to those provided in the territory within the District prior to the formation of the
District.
Section 2. This legislative body is hereby further authorized to provide, by
resolution adopted as provided in Section 53340 of the Act, for the levy of the special
tax in the then current tax year or future tax years, except that the special tax rates to be
levied shall not exceed the maximum rates set forth in Exhibit "A".
Section 3. All of the collections of the special tax shall be used as provided for
in the Act and the Resolution of Formation.
Section 4. The above authorized special tax shall be collected in the same
manner as ordinary ad valorem taxes are collected and shall be subject to the same
penalties and the same procedure and sale in cases of delinquency and provided for ad
valorem taxes.
Section 5. The Mayor shall sign this ordinance and the City Clerk shall attest
to such signature. The City Clerk is directed to cause the title and summary or text of
the this ordinance, together with the vote thereon, to be published within fifteen (15)
days after its passage at least once in a newspaper of general circulation published and
circulated within the territorial jurisdiction of the City, and to post at the main office of the
City a certified copy of the full text of the adopted ordinance along with the names of the
Council Members voting for and against the ordinance.
Section 6. This ordinance relating to the levy of the special tax takes effect
and shall be in force from and after 30 days from the date of final passage. A copy of
this ordinance shall be transmitted to the Clerk of the Board of Supervisors of Riverside
County, the Assessor and the Treasurer-Tax Collector of Riverside County.
PASSED, APPROVED and ADOPTED this 10th day of April, 2024 by the
following votes:
AYES: Councilmembers Lamb, Gutierrez and Gregory; Mayor Pro Tern
Ross and Mayor Carnevale
NOES: None
ABSENT: None
ABSTAN: None
Mark qrnevae, Mayor
ATTEST:
)
Tracey ")„, Herniosillo, City Clerk
APPROVED AS TO FORM:
Eric S. Vail, City Attorney
EXHIBIT A
- ' TE AND METHOD OF APPORTIONMENT
RATE AND METHOD OF APPORTIONMENT FOR
IMPROVEMENT AREA NO. 20 OF
COMMUNITY FACILITIES DISTRICT NO. 2006~1
(RUO VISTA VILLAGE CONDOS)
OF THE CITY OF CATHEDRAL CITY
A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels in Improvement Area
No.2O("|/\No.2D")of Community Facilities District No. 2QO6-1mf the City mf Cathedral City("CFD
No. 2006-1") and collected each Fiscal Year commencing in Fiscal Year 2023-2024, in an amount
determined by the Council through the application of the appropriate Special Tax for"Developed
Property" ao described below. All of the real property in |A No. 2O, unless exempted by law orby
the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein
provided.
A. DEFUNUT10-NS
�
The terms hereinafter set forth have the following meanings:
°Acme" or "Acmeage" 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, condominium plan, or other
recorded County parcel map.
"Act" nnmanu the Mello-Roos Community Facilities Act of 1982, as amended, being
Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California.
"Administrative Expenses" means the following actual or reasonably estimated costs
directly related to the administration of |A No. 20: the costs mf computing the Special
Taxes and preparing the annual Special Tax collection schedules (whether by the City or
designee thereof or both); the costs of collecting the Special Taxes (whether by the
County or otherwise);the costs to the City, IA No.20 orany designee thereof of complying
with City or |^4 No. 20disdosure requirements; the costs associated with responding to
public inquiries regardingthe Special Taxes;the costs of the City, IA No.20 or any designee
thereof related to an appeal of the Special Tax; and the City's annual administration fees
and third party expenses. Administrative Expenses shall also include amounts estimated
or advanced by the City or |A No. 2O for any other administrative purposes of |A No. 2O,
including attorney~a fees and other costs related to commencing and pursuing to
completion any foreclosure of delinquent Special Taxes.
"Assessor's Parcel Map" means an official map of the Assessor of the County designating
parcels by Assessor's Parcel number.
"CFD Administrator" means an official of the City, or designee thereof, responsible for
the annual administration mf|A No. 2Oam provided herein.
City qfCathedral city November 9,2023
JA No.20qf CFD No.2006-1(Rio Vista Village Condos) Page 1
"CIFID0do. 2006-2" means Community Facilities District No. 2O06-1of the City.
"City° means the City of Cathedral City.
"Consumer Price index" means the Consumer Price Index published by the U.S. Bureau
of Labor Statistics for "/\|| Urban Consumers" in the Loa Angeles - Aneheinn - Riverside
Area, measured as of the month of December in the calendar year which ends in the
previous Fiscal Year. |n the event this index ceases tobe published,the Consumer Price
Index shall be another index as determined by the CFD Administrator that |sreasonably
comparable to the Consumer Price Index for the City of Los Angeles.
"Council" means the City Council of the City, acting as the legislative body of CFD No.
� 30O6-1'
"Coun%y" means the County ofRiverside.
"Developed Pnoperty," means, for each Fiscal Year, all Taxable Property for which a
building permit for new construction was issued after March 1, 2023 and prior to May I
of the previous Fiscal Year.
"Fiscal Year" means the period starting July 1 and ending on the following June 30.
"Floor Anea,' for any Non-Residential Property rneaou the total square footage of the
building(s) located on such property, measured from outside m/a|| to outside xxo||,
exclusive of overhangs, porches, patios, carports, or similar spaces attached to the
building but generally open mnat least two sides. The determination of Floor Area shall
be made by reference to the building permit(s) issued for such Assessor's Parcel.
"Improvement Area No. 20" means Improvement Area No. 20 ofCFD No. 2006-1 (Rio
Vista Village Condos), as identified on the boundary map for CFD No. 2006-1.
"Land Use Class" means any of the classes listed in Table 1.
"Maximum Special Tax"means the Maximum Special Tax,determined in accordance with
Section CA below, which can be levied in any Fiscal Year on any Assessor's Parcel.
"Non-Residential Property" means all Aosmomnr'a Parcels for which a building permit(s)
was issued fora non-residential use.
"Non-Retail Commercial/industrial Property" means all Assessor's Parcels of Developed
Property that are considered Non-Residential Property and that are not Retail
Commercial Property.
"Property Owner Association Pmoperty" means, for each Fiscal Year, any Assessor's
Parcel within the boundaries of IA No. 20 that was owned by or irrevocably offered for
'
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IA No.20mf CFD No.20 1(Rio Vista Village Condos) Page
dedication to a property owner association, including any master or as
of January lof the previous Fiscal Year.
"Public Property" means, for each Fiscal Year, (i) any property within the boundaries of
� |A No. 20 that was owned by or irrevocably offered for dedication to the federal
/ government,the State,the City or any other public agency as of January 1 of the previous
\
'. Fiscal Year; provided however that any property leased by a public agency to o private
entity and subject to taxation under Section 53340.1 of the Act shall be taxed and
classified in accordance with its use; or (ii) any property within the boundaries of |A No.
20 that was encumbered, as of January 1 of the previous Fiscal Year, by an unmanned
utility easement making impractical its utilization for other than the purpose set forth in
the easement.
"Residential Property" rnmana all &somoomr's Parcels of Developed Property for which a
building permit has been issued for purposes mf constructing one or more residential
dwelling units.
"Retail Commercial Property" means all Assessor's Parcels ofNon-Residential Property
for which the building permit was issued for a retail sales tax generating use or which is
being used primarily for a retail sales tax generating use, as determined by the CFD
Administrator. However, if the land use of an Asoaoaor^m Parcel changes and such
Assessor's Parcel no longer generates retail sales tax, such Assessor's Parcel shall no
longer be considered Retail [onnnneruia| Property and shall be classified and taxed
according tm its use, ao determined bV the CFDAdministrator.
"Special Tax" means the special tax to be levied in each Fiscal Year on each Assessor's
Parcel ofDeveloped Property.
"State,' means the State ofCalifornia.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of 1A No. 20
which are not exempt from the Special Tax pursuant to law or Section E below.
"Undeveloped Pmopexty", means, for each Fiscal Year, all Taxable Property not classified
au Developed Property.
"Welfare Exemption" means, for each Fiscal Year, any Assessor's Parcel that is used
exclusively for charitable, hospital, or religious purposes and that has property tax
welfare mnmrnptign as indicated in the Count«'u assessor's roll finalized as of the last
preceding January 1.
B. ASSIGNMENT TO LAND USE CATEGORIES
Each Fiscal Year, all Taxable Property within Q\ No. 20 shall be classified as Developed
Property or Undeveloped Property and shall be subject to Special Taxes in accordance
City mfcathedral city November 9,2023
IA No.20uf CFD No.2006-1(Rio Vista Village Condos) Page 3
with the rate and method of apportionment determined pursuant to Section C.
Residential Property shall be assigned to Land Use Class 1. Non-Retail
Commercial/Industrial Property shall be assigned to Land Use Class 2.
C. MAXIMUM SPECIAL TAX
1. Developed Property
a. Maximum Special Tax
The Maximum Special Tax for Fiscal Year 2023-2024 for each Land Use Class is
shown below in Table 1.
TABLE 1
Maximum Special Tax for Developed Property
For Fiscal Year 2023-2024
Improvement Area No.20
Land Use Class Description Maximum Special Tax
1 Residential Property $662.87 per unit
2 Non-Retail $0.1541 per square foot of Floor
Commercial/Industrial Property Area
b. Increase in the Maximum Special Tax
On each July 1, commencing on July 1, 2024, the Maximum Special Tax shall be
increased (but not decreased) by the percentage change in the Consumer Price
Index not to exceed one percent (1%) per Fiscal Year.
c. Multiple Land Use Classes
In some instances an Assessor's Parcel of Developed Property may contain more
than one Land Use Class. The Maximum Special Tax that can be levied on an
Assessor's Parcel shall be the sum of the Maximum Special Taxes that can be levied
for all Land Use Classes located on that Assessor's Parcel.
2. Undeveloped Property
No Special Tax shall be levied on Undeveloped Property.
City of Cathedral City November 9,2023
IA No.20 of CFD No.2006-1(Rio Vista Village Condos) Page 4
D. METHOD�OF APP0R�K��V���������������L TAX
_ _ _
Commencing with Fiscal Year 2O33-Z034 and for each following Fiscal Year, the Council
shall levy the Special Tax on each Assessor's Parcel of Developed Property at 100%of the
applicable Maximum Special Tax.
E. EXEMPTIONS
No Special Tax shall be levied on Retail Commercial Property, Property Owner Association
Property, Public Property, or any Assessor's Parcel that has a Welfare
Exemption. However, should an Assessor's Parcel no |mn8mr be classified as Retail
Commercial Pnopwrty, Property Owner Association Property, Public Property, or have a
Welfare Exemption, its tax-exempt status will,without the necessity of any action by the
Council, terminate.
F. APPEALS AND INTERPRETATIONS
Any landowner or resident may file a written appeal of the Special Tax on his/her property
with the CFD Administrator, provided that the appellant is current in his/her payments of
Special Taxes. During the pendency of an appeal,all Special Taxes previously levied must
be paid on or before the payment date established when the levy was made. The appeal
must specify the reasons why the appellant dainnm the Special Tax is in error. The CFD
Administrator shall review the appeal, meet with the appellant if the CFO Administrator
deems necessary,and advise the appellant of its determination. |f the CFD Administrator
agrees with the appellant,the CFD Administrator shall eliminate or reduce the Special Tax
on the appe||ant'u property and/or provide o refund to the appellant, If the CFD
Administrator disagrees with the appellant and the appellant is dissatisfied with the
determination,the appellant then has 30 days in which to appeal to the Council by filing
a written notice of appeal with the City Clerk, provided that the appellant is current /n
his/her payments of Special Taxes. The second appeal must specify the reasons for its
disagreement with the CFD Administrator's determination.
Interpretations may be made by the Council by ordinance or resolution for purposes of
clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.
G. 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 IA No. 20 may directly bill the Special
Tax, may collect Special Taxes at a different time or in a different manner if necessary to
meet its financial obligations, and may covenant to foreclose and may actually foreclose
on delinquent Assessor's Parcels as permitted bV the Act.
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City of Cathedral City November 9,2023
mt No.2omf CFD No.2006-z(Rio Vista Village Condos) Page 5
It TERM OF SPECIAL T
The Council is authorized to levy the Special Tax in perpetuity.
City of Cathedral City November 9,2023
IA No.20 of CFD No.2006-1(Rio Vista Village Condos) Page 6