HomeMy WebLinkAboutReso 130-2017 (17-981)City of South San Francisco P.O. Box 711 (City Hall,
• 400 Grand Avenue)
South San Francisco, CA
• City Council
Resolution: RES 130 -2017
File Number: 17 -981 Enactment Number: RES 130 -2017
RESOLUTION OF INTENT TO ESTABLISH A CITY OF SOUTH
SAN FRANCISCO COMMUNITY FACILITIES DISTRICT NO.
2017 -01 (PUBLIC SERVICES AND FACILITIES).
WHEREAS, under the Mello -Roos Community Facilities Act of 1982, Chapter 2.5 of Part 1 of Division
2 of Title 5, commencing at Section 53311, of the California Government Code (the "Act "), this City
Council is authorized to establish a community facilities district and to act as its legislative body; and
WHEREAS, this City Council now desires to proceed with the establishment of such community
facilities district to finance costs of certain public services and public facilities required to meet the
demands of development of lands in the City.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco, as
follows:
1. Authority. This City Council proposes to conduct proceedings to establish a community facilities
district pursuant to the Act.
2. Name of Community Facilities District. The name proposed for the community facilities district is
"City of South San Francisco Community Facilities District No. 2017 -01 (Public Services and
Facilities)" (the "CFD ").
3. Boundaries Described. The proposed boundaries of the CFD are as shown on the map of it on file
with the City Clerk, Exhibit A. Those boundaries are hereby preliminarily approved and reference is
hereby made to the boundary map for further particulars. The City Clerk is hereby directed to record, or
cause to be recorded, the map of the boundaries of the CFD in the office of the County Recorder within
15 days of the date of adoption of this Resolution, but in any event no later than 15 days prior to the
public hearing date specified below.
4. Services and Facilities. The type of services (the "Services ") and the type of public facilities (the
"Facilities ") proposed to be financed by the CFD pursuant to the Act shall consist of those listed in
Exhibit B hereto and hereby incorporated herein.
City of South San Francisco Page 1
File Number. 17 -981 Enactment Number. RES 130 -2017
This City Council hereby determines that the Services are necessary to meet increased demands for such
services placed upon local agencies as the result of development occurring within the area of the CFD.
The Services are in addition to those provided in the territory of the CFD as of the date hereof and will
not supplant services already available within the territory of the CFD as of the date hereof.
This City Council hereby finds and determines that the public interest will not be served by allowing the
property owners in the CFD to enter into a contract in accordance with Section 53329.5(a) of the Act.
5. Special Tax. Except to the extent that funds are otherwise available to the CFD to pay for the
Services and the Facilities, a special tax (the "Special Tax ") sufficient to pay the costs thereof, secured
by recordation of a continuing lien against all non - exempt real property in the CFD, will be levied
annually within the CFD, and collected in the same manner as ordinary ad valorem property taxes, or in
such other manner as this City Council or its designee may determine, including direct billing of the
affected property owners. The proposed rate and method of apportionment of the Special Tax among the
parcels of real property within the CFD in sufficient detail to allow each landowner within the proposed
CFD to estimate the maximum amount such owner will have to pay, are described in Exhibit C attached
hereto and hereby incorporated herein (the "Rate and Method "). This City Council hereby finds that the
provisions of Section 53313.6, 53313.7 and 53313.9 of the Act (relating to adjustments to ad valorem
property taxes and schools financed by a community facilities district) are inapplicable to the proposed
CFD.
In the case of the Special Tax when it is levied on any parcel used for private residential purposes to pay
for the Facilities, the Special Tax levy shall comply with all applicable provisions of the Act, including
those set forth in Section 53321(d) of the Act. In furtherance of the foregoing, the portion of the Special
Tax to be levied for Facilities shall have a sunset based upon the 2030 tax year no later than June 30,
2031. Such sunset date shall be advanced or extended for the same period that construction of the
development of property currently owned by Oyster Point Development is advanced or delayed, so as to
be coterminous with total collections of such portion of the Special Tax having produced an amount not
exceeding $2,750,000, or such lesser amount as actually is authorized by the City and expended on the
Facilities.
6. Exempt Property. Except as may otherwise be provided by law or by the Rate and Method, all lands
owned by any public entity, including the United States, the State of California, the County and/or the
City, or any departments or political subdivisions thereof, shall be omitted from the levy of the Special
Tax to be made to cover the costs and expenses of the Services and Facilities and the CFD. If a portion
of the property within the CFD becomes exempt for any reason, wholly or in part, from the levy of the
Special Tax, this City Council will, on behalf of the CFD, increase the levy to the extent necessary upon
the remaining property within the CFD that is not exempt in order to yield the annual expenses of the
CFD, if any, subject to the provisions of Section 5 above, the Rate and Method and the Act regarding
limitations on maximum annual Special Tax rates and annual increases in the annual Special Tax levy.
City of South San Francisco Page 2
File Number: 17 -981 Enactment Number: RES 130 -2017
7. Election and Unanimous Approval. The levy of the Special Tax in the CFD shall be subject to the
approval of the qualified landowner electors of the CFD at a special election. The proposed voting
procedure shall be by mailed or hand - delivered ballot among the landowners in the proposed CFD, with
each owner having one vote for each acre or portion of an acre such owner owns in the CFD not exempt
from the Special Tax.
Certain property within the boundaries of the CFD is currently owned by the City (the "City -Owned
Property "). Under Section 53317(f)(3) of the Act, this City Council hereby states all or a portion of the
City -Owned Property is intended to be transferred to private ownership and agrees that all or a portion of
the City -Owned Property will be subject to the Special Taxes on the same basis as private property
within the CFD, and affirmatively waives any defense based on the fact of public ownership, to any
action to foreclose on the property in the event of nonpayment of the Special Taxes. Accordingly, the
City constitutes a qualified landowner elector under the Act with respect to the City -Owned Property.
8. CFD Report. The City Manager (or deputy or designee thereof) is hereby directed to study the
proposed Services and Facilities and to make, or cause to be made, and file with the City Clerk, a report
in writing (the "CFD Report"), which shall be a part of the record of the public hearing hereinafter
specified and which shall present the following:
(a) A description of the Services and Facilities that will be required to adequately meet the needs
of the CFD.
(b) An estimate of the fair and reasonable cost of the Services and Facilities and incidental
expenses in connection therewith, and all other related costs.
9. Public Hearing. This City Council hereby appoints and fixes Monday, November 20, 2017, at 7:00
p.m. or as soon as possible thereafter, at the Municipal Services Building, Council Chambers 33 Arroyo
Drive, South San Francisco, California, as the time and place when and where this City Council, as
legislative body for the CFD, will conduct a public hearing on the establishment of the CFD, and
consider and finally determine whether the public interest, convenience and necessity require the
formation of the CFD and the levy of the Special Tax.
10. Notice of Hearing. The City Clerk is hereby directed to cause notice of the public hearing to be given
by publication one time in a newspaper published in the area of the CFD. The publication shall be
completed at least 7 days before the date of the public hearing specified above.
The City Clerk may also cause notice of the hearing to be given to each property owner within the CFD
by first class mail, postage prepaid, to each such owner's address as it appears on the most recent tax
records
City of South San Francisco Page 3
File Number: 17 -981
Enactment Number: RES 130 -2017
of the County or as otherwise known to the City Clerk to be correct. Such mailing shall be completed not
less than 15 days before the date of the public hearing.
The notice of the public hearing shall be substantially in the form specified in Section 53322 of the Act,
with the form summarizing the provisions hereof hereby specifically approved.
11. Appointment of Legal Counsel. The City Council hereby approves the appointment of (i) Jones Hall,
A Professional Law Corporation, as legal counsel to the City in connection with formation of the CFD,
and (ii) David Taussig & Associates, Inc., as special tax consultant to the City in connection with
formation of the CFD. The City Manager is hereby authorized to execute professional services
agreements with each of these firms in substantially the form and substance of the agreements on file
with the City Clerk.
12. Effective Date. This resolution shall take effect upon its adoption.
At a meeting of the City Council on 10/11/2017, a motion was made by Richard Garbarino, seconded by
Mark Addiego, that this Resolution be adopted. The motion passed.
Yes: 4 Vice Mayor Normandy, Councilmember Garbarino, Mayor Gupta, and
Councilmember Addiego
No: 1 Councilmember Matsumoto
Attest k
City of South San Francisco Page 4
EXHIBIT A
;-lE.T10F1 PROPOSED BOUNDARIES OF
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO. 2017 -01
(PUBLIC SERVICES AND FACILITIES)
COUNTY OF SAN MATEO
STATE OF CALIFORNIA
LEGEND
e� ■ Botndarle6 or City of S= San Frar.0" WMIM tity
Faolfties 13lstrtc1 No. 2017 -01 petit SeMCes and
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Pates Pam Namoeron ParoW Map NO 17.0002
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(11 Filed in the office of the City Clerk o" the City of South
San Fran&rsoo ffists _ day of , 2G 17.
Krsta Martinelli, City Clerk,
City o,' South Sari Francisco
(2) 1 hereby certify that the wits n mao showing the proposed bo.,idares o` City of
South San Francisco Community Facifities Distmi No. 2017 -01 (Public Services
and Facil jest, County o! San Mateo, State of California, was approved by the City
Council V the City o° South San Francisco at a regu'ar meetng thereof, held art
the day of 2017- by its Resolution No
Rerew.ce cs made to the n,s6e6sor
Maps or the Cou7ty of Sar Ma.110, to
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September 2E, 2C17 as 0 owment No.
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Mateo County Recorder, and to Parce
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Krista MarVtsfli, City Clerk,
Cily of South San Francisco
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the county recover in the County of San Mateo, State of California.
Mark Church, Assessor -County Verk- Recorder
County of San Mateo
By:
Deputy Recorder
Exempt repaving requested, per CA Government Code
EXHIBIT B
CITY OF SOUTH SAN FRANCISCO
Community Facilities District No. 2017 -01
(Public Services and Facilities)
DESCRIPTION OF AUTHORIZED SERVICES AND FACILITIES
Authorized Services
The services authorized to be funded by the CFD and paid by the Special Taxes
levied within the CFD (the "Authorized Services ") are described below. For purposes of
the CFD, the Authorized Services shall incorporate and have the meaning given to the
term "services" in section 53313 of the Mello -Roos Community Facilities Act of 1982.
(a) Police protection services.
(b) Maintenance and lighting of parks, parkways, streets, roads, and open
space, including without limitation:
• roadway maintenance,
• streetlight maintenance and operations,
• traffic signal maintenance and operations,
• parks, waterfront and Bay Trail maintenance,
• landscaping, parkway, median and open space maintenance, including
erosion prevention,
• public surface parking maintenance, and
• operation and maintenance of public restroom buildings.
(c) Operation and maintenance of storm drainage systems.
The cost of the Authorized Services shall include all related administrative costs
and expenses, necessary utility (water and electricity) costs, and related reserves for
replacement of vehicles, equipment and facilities.
Authorized Facilities
The facilities shown below (the "Authorized Facilities ") are proposed to be funded
in whole or in part by the CFD. The Authorized Facilities shall be owned and operated
by the City or by another public agency, and shall be constructed, whether or not
acquired in their completed states, pursuant to the plans and specifications approved by
the City and its officials.
(a) Replacement and renovation of the publicly owned fuel dock and
related appurtenances located at the Oyster Point Marina, and the related
publicly owned fueling system consisting of fuel lines, underground gasoline and
diesel storage tanks currently located at the intersection of East Basin Road and
Marina Boulevard, and related appurtenances (collectively, the "Fuel System "),
and, if circumstances so warrant as determined by the City, removal and
remediation of all or a portion of the Fuel System.
The Authorized Facilities to be financed or funded shall include, without
limitation, the following costs: appurtenances to and improvements related to the
Authorized Facilities; related utility lines, pipes and conduits; acquiring rights -of -way
(including any right -of -way intended to be dedicated by the recording of a final map);
design, architecture, engineering and planning; any environmental review, studies,
remediation and mitigation; traffic studies, surveys, geotechnical studies, soils testing,
or other studies related to the Authorized Facilities; permits, plan check and inspection
fees; insurance, legal and related overhead costs; project management, coordination
and supervision; and any other costs or appurtenances related to any of the foregoing.
The Special Taxes may also be used to pay for the expansion, improvement or
rehabilitation of any of the Authorized Facilities, and to reimburse the City or any third
parties for advances made to purchase, construct, expand, improve or rehabilitate any
of the Authorized Facilities.
Additional Authorized Expenses
In addition, the following costs are authorized to be funded by the Special Taxes
levied within the CFD:
(a) Administrative expenses including the costs incurred to determine, levy
and collect the Special Taxes, including compensation of City employees for
administrative work performed in relation to the CFD, the fees of consultants and legal
counsel, the charges imposed by the County for the levy and collection of the Special
Taxes on the property tax rolls, preparation of required reports, and any other costs
incurred in the administration of the CFD by the City.
(b) Any amounts needed for operating reserves and capital reserves.
(c) Any amounts needed to cure actual or estimated delinquencies in Special
Taxes for the current or previous fiscal years.
(d) To reimburse the City or any third parties for actual costs advanced that
are related to the formation of the CFD.
Exhibit C
RATE AND METHOD OF APPORTIONMENT FOR
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO. 2017-01
(PUBLIC SERVICES AND FACILITIES)
CITY OF SOUTH SAN FRANCISCO, COUNTY OF SAN MATEO,
STATE OF CALIFORNIA
A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable
Property in City of South San Francisco Community Facilities District No. 2017 -01 (Public
Services and Facilities), City of South San Francisco, County of San Mateo, State of California
( "CFD No. 2017 -01 ") and collected each Fiscal Year commencing in Fiscal Year 2017 -18, in an
amount determined by the City Council through the application of the appropriate Special Tax
for "Developed Property," as described below. All of the real property in CFD No. 2017 -01,
unless exempted by law or by the provisions hereof, shall be taxed for these purposes, to the
extent and in the manner herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"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 subdivision map, parcel map, condominium plan,
record of survey, or other map or plan recorded with the County. The square footage of
an Assessor's Parcel is equal to the Acreage of such parcel multiplied by 43,560.
"Act" means the Mello -Roos Community Facilities Act of 1982, as amended, being
Chapter 2.5, Part 1, 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 CFD No. 2017 -01: the costs of computing the
Special Taxes and preparing the annual Special Tax collection schedules (whether by the
City or any designee thereof or both); the costs of collecting the Special Taxes (whether
by the City or otherwise); the costs to the City, CFD No. 2017 -01, or any designee
thereof of complying with CFD No. 2017 -01 or obligated persons disclosure
requirements associated with the Act; the costs associated with preparing Special Tax
disclosure statements and responding to public inquiries regarding the Special Taxes; the
costs to the City, CFD No. 2017 -01, 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
CFD No. 2017 -01 for any other administrative purposes of CFD No. 2017 -01, including
attorney's fees and other costs related to commencing and pursuing to completion any
foreclosure of delinquent Special Taxes.
City of South San Francisco October 4, 2017
CFD No. 2017 -01 (Public Services and Facilities) Page 1
"Assessor's Parcel" or "Parcel" means a lot or 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.
"Authorized Facilities" means those facilities eligible to be financed by CFD No. 2017-
01, as defined in the Resolution of Formation.
"Authorized Services" means those services eligible to be funded by CFD No. 2017 -01,
as defined in the Resolution of Formation and authorized to be financed by CFD No.
2017 -01 pursuant to Section 53313 and Section 53313.5 of the Act. CFD No. 2017 -01
shall finance Authorized Services only to the extent that they are in addition to those
provided in the territory of CFD No. 2017 -01 before CFD No. 2017 -01 was created and
such Authorized Services may not supplant services already available within CFD No.
2017 -01 when CFD No. 2017 -01 was created.
"Building Permit" means a permit issued by the City or other governmental agency for
the construction of a residential or non - residential building on an Assessor's Parcel.
"CFD Administrator" means an official of CFD No. 2017 -01, or any designee thereof,
responsible for determining the Special Tax Requirement for Municipal Services and the
Special Tax Requirement for Fuel System Replacement and Maintenance calculations
and providing for the levy and collection of the Special Taxes.
"CFD No. 2017 -01" means City of South San Francisco Community Facilities District
No. 2017 -01 (Public Services and Facilities), City of South San Francisco, County of San
Mateo, State of California.
"City" means the City of South San Francisco, California.
"City Council" means the City Council of the City.
"County" means the County of San Mateo.
"Component A" means the Special Tax Component to be levied in each Fiscal Year on
each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement for
Municipal Services.
"Component A Maximum" means the Component A maximum, determined in
accordance with Section C below that can be levied by the City in any Fiscal Year on any
Assessor's Parcel of Taxable Property.
"Component B" means the Special Tax Component to be levied in each Fiscal Year on
each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement for Fuel
System Replacement and Maintenance.
City of South San Francisco October 4, 2017
CFD No. 2017 -01 (Public Services and Facilities) Page 2
"Component B Maximum" means the Component B maximum, determined in
accordance with Section C below that can be levied by the City in any Fiscal Year on any
Assessor's Parcel of Taxable Property.
"Component Maximum" means the Component A Maximum and/or Component B
Maximum, as applicable.
"Developed Property" means, for each Fiscal Year, all Assessor's Parcels for which a
Building Permit was issued on or before May 1 of the Fiscal Year preceding the Fiscal
Year for which the Special Taxes are being levied.
"Fiscal Year" means the period starting July 1 and ending on the following June 30.
"Non - Residential Floor Area" means the total building square footage of the non-
residential building(s) or the non - residential portion of a building with both residential
and non - residential areas located on an Assessor's Parcel of Developed Property,
measured from outside wall to outside wall, not including space devoted to stairwells,
public restrooms, lighted courts, vehicle parking and areas incident thereto, and
mechanical equipment incidental to the operation of such building. The determination of
Non - Residential Floor Area shall be made by reference to the Building Permit(s) issued
for such Assessor's Parcel and/or to the appropriate records kept by the City's Building
Division, as reasonably determined by the CFD Administrator.
"Non - Residential Property" means any and each Assessor's Parcel of Developed
Property for which a Building Permit permitting the construction of one or more non-
residential units or facilities has been issued by the City or some other governmental
agency.
"Proportionately" means, for Component A, the ratio of Component A to Component A
Maximum is equal for all Assessor's Parcels of Developed Property and, for Component
B, the ratio of Component B to Component B Maximum is equal for all Assessor's
Parcels of Developed Property.
"Property Owner Association Property" means, for each Fiscal Year, any Assessor's
Parcel within the boundaries of CFD No. 2017 -01 that is owned by or irrevocably offered
for dedication to a property owner association, including any master or sub - association,
not including any such property that is located directly under a residential or non-
residential structure.
"Public Property" means, for each Fiscal Year, (i) any property within the boundaries of
CFD No. 2017 -01 that is owned by or irrevocably offered for dedication to the Federal
government, the State, the City, or any other public agency; provided however that any
property leased by a public agency to a private entity and subject to taxation under
Section 53340.1 of the Act, as such section may be amended or replaced, shall be taxed
and classified in accordance with its use; or (ii) any property within the boundaries of
City of South San Francisco October 4, 2017
CFD No. 2017 -01 (Public Services and Facilities) Page 3
CFD No. 2017 -01 that is encumbered by an unmanned utility easement making
impractical its utilization for other than the purpose set forth in the easement.
"Rate and Method of Apportionment" or "RMA" means this Rate and Method of
Apportionment of Special Tax.
"Residential Floor Area" means all of the square footage of living area within the
perimeter of a residential structure located on Residential Property, not including any
carport, walkway, garage, overhang, patio, enclosed patio, public areas and building
administrative areas such as the lobbies, amenities for resident use only, homeowner
association and building management offices or similar area and not including any Non -
Residential Floor Area. The determination of Residential Floor Area shall be made by
reference to the Building Permit(s) issued for such Assessor's Parcel and/or to the
appropriate records kept by the City's Building Division, as reasonably determined by the
CFD Administrator.
"Residential Property" means all Assessor's Parcels of Developed Property for which a
Building Permit permitting the construction thereon of one or more residential facilities
has been issued by the City or some other governmental agency.
"Resolution of Formation" means the resolution forming CFD No. 2017 -01.
"San Francisco Urban Consumer Price Index" means, for each Fiscal Year, the
Consumer Price Index published by the U.S. Bureau of Labor Statistics for All Urban
Consumers in the San Francisco — Oakland — San Jose Area, measured as of the month of
December in the calendar year that ends in the previous Fiscal Year. In the event this
index ceases to be published, the San Francisco Urban Consumer Price Index shall be
another index as determined by the CFD Administrator that is reasonably comparable to
the Consumer Price Index for the San Francisco — Oakland — San Jose Area.
"Special Tax" or "Special Taxes" means the special tax or special taxes to be levied in
each Fiscal Year on each Assessor's Parcel of Developed Property to fund the Special
Tax Requirement for Municipal Services and/or the Special Tax Requirement for Fuel
System Replacement and Maintenance.
"Special Tax Component" means a component of the Special Tax to be levied in each
Fiscal Year on each Assessor's Parcel of Developed Property to fund the Special Tax
Requirement for Municipal Services and/or the Special Tax Requirement for Fuel System
Replacement and Maintenance.
"Special Tax Levy" means the total Special Tax to be listed on the property tax rolls and
levied for each Assessor's Parcel of Taxable Property in a given Fiscal Year to fund the
Special Tax Requirement for Municipal Services and the Special Tax Requirement for
Fuel System Replacement and Maintenance.
"Special Tax Requirement for Municipal Services" means that amount of Component
A to be collected in any Fiscal Year for CFD No. 2017 -01 to pay for certain costs as
City of South San Francisco October 4, 2017
CFD No. 2017 -01 (Public Services and Facilities) Page 4
required to meet the needs of CFD No. 2017 -01 in that Fiscal Year. The costs to be
covered shall be the direct costs for (i) Authorized Services, including the establishment
of reserves for future costs of Authorized Services, (ii) Administrative Expenses, (iii) an
amount to cover anticipated delinquencies for the payment of the Special Tax Levy,
based on the delinquency rate for the preceding Fiscal Year; less (iv) a credit for funds
available to reduce the annual Special Tax Levy, if any, as determined by the CFD
Administrator; and less (v) a reduction in costs to Authorized Services, as determined by
the CFD Administrator, contingent upon the successful transfer of hotel -site maintenance
responsibilities related to hydro- seeding and erosion control, estimated to cost $131,600
in Fiscal Year 2016 -2017, to the developer of the hotel site, proposed to be on Assessor's
Parcel 015- 010 -600. Under no circumstances shall the Special Tax Requirement for
Municipal Services include debt service payments for debt financings by CFD No. 2017-
01.
"Special Tax Requirement for Fuel System Replacement and Maintenance" means
that amount of Component B required, if any, in any Fiscal Year for CFD No. 2017 -01
to: (i) pay directly for fuel system replacement and maintenance, as well as for
Authorized Facilities and Authorized Services eligible under the Act; (ii) pay for
Administrative Expenses; (iii) an amount to cover anticipated delinquencies for the
payment of the Special Tax Levy, based on the delinquency rate for the preceding Fiscal
Year; less (iv) a credit for funds available to reduce the annual Special Tax Levy, if any,
as determined by the CFD Administrator. Under no circumstances shall the Special Tax
Requirement for Fuel System Replacement and Maintenance include debt service
payments for debt financings by CFD No. 2017 -01. The cumulative amount of the
Component B special tax to be collected shall not exceed $2,750,000.
"State" means the State of California.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD
No. 2017 -01 which are not exempt from the Special Tax pursuant to law or Section E
below.
"Undeveloped Property" means, for each Fiscal Year, all property not classified as
Developed Property, Property Owner Association Property, or Public Property.
B. ASSIGNMENT TO LAND USE CATEGORIES
Each Fiscal Year, all Assessor's Parcels within CFD No. 2017 -01 shall be classified by
the CFD Administrator as Developed Property, Undeveloped Property, Property Owner
Association Property, or Public Property, and shall be subject to annual Special Taxes in
accordance with this Rate and Method of Apportionment as determined by the CFD
Administrator pursuant to Sections C and D below. The CFD Administrator's allocation
of property to each type of Land Use Class shall be conclusive and binding. However,
only Developed Property shall be subject to annual Special Taxes in accordance with the
Rate and Method of Apportionment as determined pursuant to Sections C and D below.
City of South San Francisco October 4, 2017
CFD No. 2017 -01 (Public Services and Facilities) Page 5
C. MAXIMUM SPECIAL TAX RATE
1. Component A of the Special Tax
a. Developed Property
(1) Component A Maximum
The Component A Maximum for Fiscal Year 2017 -18 for Developed Property is
shown below in Table 1.
TABLE 1
Component A Maximum for Developed Property
For Fiscal Year 2017 -18
Community Facilities District No. 2017 -01
Land Use
Class
Land Use
Fiscal Year 2017 -2018
Component A Maximum
$0.32 per Square Foot of
1
Residential Property
Residential Floor Area
$0.32 per Square Foot of
2
Non - Residential Property
Non - Residential Floor Area
(2) Multiple Land Use Classes
In some instances, an Assessor's Parcel of Developed Property may contain
more than one Land Use Class. The Component A Maximum that can be levied
on an Assessor's Parcel shall be the sum of the Component A Maximum that
can be levied for all Land Use Classes located on that Assessor's Parcel.
(3) Increase in the Component A Maximum
On each July 1, commencing on July 1, 2018, the Component A Maximum for
Developed Property shall be increased annually by the lesser of the change in
the San Francisco Urban Consumer Price Index during the twelve (12) months
prior to December of the previous Fiscal Year, or five percent (5.00 %).
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2. Component B of the Special Tax
a. Developed Property
(1) Component B Maximum
The Component B Maximum for Fiscal Year 2017 -18 for Developed Property is
shown below in Table 2.
TABLE 2
Component B Maximum for Developed Property
For Fiscal Year 2017 -18
Community Facilities District No. 2017 -01
Land Use
Class
Land Use
Fiscal Year 2017 -2018
Component B Maximum
1
Residential Property
$0.07 per Square Foot of
Residential Floor Area
2
Non - Residential Property
$0.07 per Square Foot of
Non - Residential Floor Area
(2) Multiple Land Use Classes
In some instances, an Assessor's Parcel of Developed Property may contain
more than one Land Use Class. The Component B Maximum that can be levied
on an Assessor's Parcel shall be the sum of the Component B Maximum that can
be levied for all Land Use Classes located on that Assessor's Parcel.
(3) Increase in the Component B Maximum
On each July 1, commencing on July 1, 2018, the Component B Maximum for
Developed Property shall be increased by two percent (2.00 %) for any given
Fiscal Year.
3. Undeveloped Property
No Special Taxes shall be levied on Undeveloped Property.
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D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2017 -18 and for each following Fiscal Year, the City
Council shall levy the annual Special Tax Proportionately for each Assessor's Parcel of
Developed Property at up to 100% of the applicable Component Maximum, until the
amount of Special Taxes equals the summation of the Special Tax Requirement for
Municipal Services and the Special Tax Requirement for Fuel System Replacement and
Maintenance.
E. EXEMPTIONS
In addition to Undeveloped Property being exempt from annual Special Taxes, no Special
Tax shall be levied on Public Property or Property Owner Association Property.
However, should an Assessor's Parcel no longer be classified as Public Property or
Property Owner Association Property, such Assessor's Parcel shall, upon each
reclassification, no longer be exempt from Special Taxes.
F. INTERPRETATION OF SPECIAL TAX FORMULA
The City reserves the right to make minor administrative and technical changes to this
document that may immaterially affect the rate and method of apportioning Special
Taxes. In addition, the interpretation and application of any section of this document
shall be left to the City's discretion. Interpretations may be made by the City by
ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate
and Method of Apportionment.
G. MANNER OF COLLECTION
The annual Special Tax shall be collected in the same manner and at the same time as
ordinary ad valorem property taxes; provided, however, that the City may directly bill the
Special Tax, may collect Special Taxes at a different time or in a different manner if
necessary or otherwise advisable to meet its financial obligations for CFD No. 2017 -01,
and may covenant to foreclose and may actually foreclose on delinquent Assessor's
Parcels as permitted by the Act.
H. TERM OF SPECIAL TAX
The Component A Special Tax shall be levied in perpetuity as necessary to meet the
Special Tax Requirement for Municipal Services, unless no longer required to pay for
Authorized Services as determined at the discretion of the City. The Component B
Special Tax shall be levied and collected until the costs of constructing or acquiring
Authorized Facilities from Component B Special Tax proceeds have been paid, and all
Administrative Expenses have been paid or reimbursed. Additionally, the Component B
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CFD No. 2017 -01 (Public Services and Facilities) Page 8
Special Tax shall have a sunset based upon the 2030 tax year no later than June 30, 2031.
Such sunset date shall be advanced or extended for the same period that construction of
the OPD development is advanced or delayed, so as to be coterminous with the
Component B Special Tax having produced an amount not exceeding $2,750,000, or such
lesser amount as actually is authorized by the City and expended on the Authorized
Facilities.
L CREDIT FOR OVERPAYMENT FOR AUTHORIZED FACILITIES
If the remaining balance of the aggregate payments of Special Tax attributable to the
Authorized Facilities at the end of a fiscal year exceed by fifteen percent (15 %) or more
the approved budget for such fiscal year, the funds exceeding fifteen percent (15 %) of the
approved budget for such fiscal year shall be credited ratably, by the CFD Administrator,
to those who pay Special Tax attributable to the Authorized Facilities and applied to such
property owners' future Special Taxes as they become due with the funds applied first
any Special Tax due for the Authorized Facilities.
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