HomeMy WebLinkAboutReso 150-2017 (17-1124)City of South San Francisco
P.O. Box 711 (City Hall,
400 Grand Avenue)
South San Francisco, CA
City Council
' Resolution: RES 150 -2017
File Number: 17 -1124 Enactment Number: RES 150 -2017
RESOLUTION OF FORMATION OF COMMUNITY FACILITIES
DISTRICT, CITY OF SOUTH SAN FRANCISCO COMMUNITY
FACILITIES DISTRICT NO. 2017 -01 (PUBLIC SERVICES AND
FACILITIES).
WHEREAS, on October 11, 2017, this City Council adopted Resolution No. 17 -981 entitled
"Resolution of Intention to Establish a Community Facilities District" (the "Resolution of Intention "),
stating its intention to form the "City of South San Francisco Community Facilities District No. 2017 -01
(Public Services and Facilities)" (the "CFD ") 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 "); and
WHEREAS, the Resolution of Intention, incorporating a map of the proposed boundaries of the CFD,
and stating the public services and public facilities to be provided and the rate and method of
apportionment of the special tax to be levied within the CFD to pay for the public services and public
facilities, is on file with the City Clerk and the provisions thereof are incorporated herein by this
reference as if fully set forth herein; and
WHEREAS, on November 20, 2017 and on this date, this City Council held a noticed public hearing as
required by the Act and the Resolution of Intention relative to the proposed formation of the CFD; and
WHEREAS, at the hearing all interested persons desiring to be heard on all matters pertaining to the
formation of the CFD, the public services and public facilities to be provided in the CFD and the levy of
such special tax were heard and a full and fair hearing was held; and
WHEREAS, at the hearing evidence was presented to this City Council on such matters before it,
including a special report (the "CFD Report") as to the public services and public facilities to be
provided through the CFD and the estimated costs thereof, a copy of which is on file with the City Clerk,
and this City Council at the conclusion of said hearing is fully advised in the premises; and
WHEREAS, written protests have not been filed with the City Clerk against the formation of the CFD,
the furnishing of specified types of public services and public facilities, or the rate and method of
apportionment of the special taxes by 50% or more of the registered voters residing within the territory
of the CFD or property owners of one -half or more of the area of land within the CFD and not exempt
from the proposed
City of South San Francisco Page 1
File Number. 17 -1124 Enactment Number. RES 150 -2017
special taxes;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco, as
follows:
1. Recitals. The foregoing recitals are true and correct.
2. No Majority Protest. The proposed special tax to be levied within the CFD has not been precluded
by majority protest pursuant to section 53324 of the Act.
3. Prior Proceedings Valid. All prior proceedings taken by this City Council in connection with the
establishment of the CFD and the levy of the special tax have been duly considered and are hereby found
and determined to be valid and in conformity with the Act.
4. Name of CFD. The community facilities district designated "City of South San Francisco
Community Facilities District No. 2017 -01 (Public Services and Facilities)" is hereby established
pursuant to the Act.
5. Boundaries of CFD. The boundaries of the CFD, as set forth in the map of the CFD heretofore
recorded in the San Mateo County Recorder's Office on October 27, 2017, at 10:51 a.m., in Book 18 of
Maps of Assessment and Community Facilities Districts at Page 50, as amended by an amended
boundary map of the CFD heretofore recorded in the San Mateo County Recorder's Office on November
_30, 2017, at _11:12 a.m., in Book _18 of Maps of Assessment and Community Facilities
Districts at Page _51_, are hereby approved, are incorporated herein by reference and shall be the
boundaries of the CFD.
6. Description of Services and Facilities. The type of public services (the "Services ") and public
facilities (the "Facilities ") proposed to be financed by the CFD and pursuant to the Act shall consist of
those items shown in Exhibit A hereto and by this reference incorporated herein.
7. Special Tax.
a. 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 the recordation
of a continuing lien against all non - exempt real property in the CFD, is intended to be levied annually
within the CFD, and collected in the same manner as ordinary ad valorem property taxes or in such other
manner as may be prescribed by this City Council.
b. The proposed rate and method of apportionment of the Special Tax among the parcels of real
property within the CFD (reflecting clarifying additions to the version attached as Exhibit B to the
Resolution of
City of South San Francisco Page 2
File Number: 17 -1124
Enactment Number: RES 150 -2017
Intention), in sufficient detail to allow each landowner within the proposed CFD to estimate the
maximum amount such owner will have to pay, are shown in Exhibit B attached hereto and hereby
incorporated herein.
c. 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.
d. 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 (by sale or lease) 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. Responsible Official. The Finance Director, 400 Grand Avenue, South San Francisco, CA 94080,
telephone number (650) 877 -8500, is the officer of the City who will be responsible for preparing
annually a current roll of the levy of the Special Tax obligations by assessor's parcel number and who
will be responsible for estimating future levies of the Special Tax.
9. Tax Lien. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the
California Streets and Highways Code, a continuing lien to secure each levy of the Special Tax shall
attach to all nonexempt real property in the CFD and this lien shall continue in force and effect until the
Special Tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law
or until collection of the Special Tax by the City ceases.
10. Appropriations Limit. In accordance with the Act, the annual appropriations limit, as defined by
subdivision (h) of Section 8 of Article XIII B of the California Constitution, of the CFD is hereby
preliminarily established at $1,500,000, and such appropriations limit shall be submitted to the voters of
the CFD as hereafter provided. The proposition establishing such annual appropriations limit shall
become effective if approved by the qualified electors voting thereon and shall be adjusted in accordance
with the applicable provisions of the Act and the Constitution.
City of South San Francisco Page 3
File Number. 17 -1124
Enactment Number. RES 150 -2017
11. Election. Pursuant to the Act, the proposition of the levy of the Special Tax and the proposition of
the establishment of the appropriations limit specified above shall be submitted to the qualified electors
of the CFD at an election the time, place and conditions of which election shall be as specified by a
separate resolution of this City Council.
12. Effective Date. This resolution shall take effect upon its adoption.
At a meeting of the Special City Council on 12/4/2017, a motion was made by Mark Addiego, seconded by
Richard Garbarino, that this Resolution be adopted. The motion passed.
Yes: 4 Normandy, Addiego, Gupta, and Garbarino
No: 1 Matsumoto
Attest by
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City of South San Francisco Page 4
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City of South San
Legislation
Government Code Section 54957.5
SB 343
Agenda - kLI"I Z
Item # Zoq.
File #: 17 -1124 Agenda Date: 12/4/2017
Version: 1 Item #: 2a.
Resolution of formation of Community Facilities District, City of South San Francisco Community Facilities
District No. 2017 -01 (Public Services and Facilities).
WHEREAS, on October 11, 2017, this City Council adopted Resolution No. 17 -981 entitled "Resolution of
Intention to Establish a Community Facilities District" (the "Resolution of Intention "), stating its intention to
form the "City of South San Francisco Community Facilities District No. 2017 -01 (Public Services and
Facilities)" (the "CFD ") 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 "); and
WHEREAS, the Resolution of Intention, incorporating a map of the proposed boundaries of the CFD, and
stating the public services and public facilities to be provided and the rate and method of apportionment of the
special tax to be levied within the CFD to pay for the public services and public facilities, is on file with the
City Clerk and the provisions thereof are incorporated herein by this reference as if fully set forth herein; and
WHEREAS, on November 20, 2017 and on this date, this City Council held a noticed public hearing as
required by the Act and the Resolution of Intention relative to the proposed formation of the CFD; and
WHEREAS, at the hearing all interested persons desiring to be heard on all matters pertaining to the formation
of the CFD, the public services and public facilities to be provided in the CFD and the levy of such special tax
were heard and a full and fair hearing was held; and
WHEREAS, at the hearing evidence was presented to this City Council on such matters before it, including a
special report (the "CFD Report") as to the public services and public facilities to be provided through the CFD
and the estimated costs thereof, a copy of which is on file with the City Clerk, and this City Council at the
conclusion of said hearing is fully advised in the premises; and
WHEREAS, written protests have not been filed with the City Clerk against the formation of the CFD, the
furnishing of specified types of public services and public facilities, or the rate and method of apportionment of
the special taxes by 50% or more of the registered voters residing within the territory of the CFD or property
owners of one -half or more of the area of land within the CFD and not exempt from the proposed special taxes;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco, as
follows:
1. Recitals. The foregoing recitals are true and correct.
2. No Majority Protest. The proposed special tax to be levied within the CFD has not been precluded by
majority protest pursuant to section 53324 of the Act.
File #: 17 -1124 Agenda Date: 12/4/2017
Version: 1 Item #: 2a.
3. Prior Proceedings Valid. All prior proceedings taken by this City Council in connection with the
establishment of the CFD and the levy of the special tax have been duly considered and are hereby found and
determined to be valid and in conformity with the Act.
4. Name of CFD. The community facilities district designated "City of South San Francisco Community
Facilities District No. 2017 -01 (Public Services and Facilities)" is hereby established pursuant to the Act.
5. Boundaries of CFD. The boundaries of the CFD, as set forth in the map of the CFD heretofore
recorded in the San Mateo County Recorder's Office on October 27, 2017, at 10:51 a.m., in Book 18 of Maps
of Assessment and Community Facilities Districts at Page 50, as amended by an amended boundary map of the
CFD heretofore recorded in the San Mateo County Recorder's Office on November _30 2017, at
_11:12 a.m., in Book _18 of Maps of Assessment and Community Facilities Districts at Page _51_,
are hereby approved, are incorporated herein by reference and shall be the boundaries of the CFD.
6. Description of Services and Facilities. The type of public services (the "Services ") and public
facilities (the "Facilities ") proposed to be financed by the CFD and pursuant to the Act shall consist of those
items shown in Exhibit A hereto and by this reference incorporated herein.
7. Special Tax.
a. 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 the recordation of a
continuing lien against all non - exempt real property in the CFD, is intended to be levied annually within the
CFD, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as may
be prescribed by this City Council.
b. The proposed rate and method of apportionment of the Special Tax among the parcels of real property
within the CFD (reflecting clarifying additions to the version attached as Exhibit B to the Resolution of
Intention), in sufficient detail to allow each landowner within the proposed CFD to estimate the maximum
amount such owner will have to pay, are shown in Exhibit B attached hereto and hereby incorporated herein.
c. 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.
d. 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-
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 1
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.
“Assessor’s Parcel” or “Parcel” means a lot or parcel shown on an Assessor’s Parcel Map
with an assigned Assessor’s Parcel number.
EXHIBIT B
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 2
“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.
“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.
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 3
“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 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.
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 4
“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
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
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 5
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, on Parcel 6 of Parcel Map No.
17-0002 (Oyster Point) recorded on September 25, 2017 in Book 83 of Parcel Maps at Page
50 through 54 as File No. 2017-900124 in the official records of the County of San Mateo.
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 November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 6
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
1 Residential Property $0.32 per Square Foot of
Residential Floor Area
2 Non-Residential Property $0.32 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 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%).
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 7
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.
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 8
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 Special Tax shall have a
City of South San Francisco November 9, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 9
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.
I. 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.
EXHIBIT A
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
i n whole or in part by the CFD. The Authorized Facilities shall be owned and operated
b y the City or by another public agency, and shall be constructed, whether or not
~~7i117[~~1
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
p ublicly owned fueling system consisting of fuel lines, underground gasoline and
d iesel 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);
d esign, 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
I n 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
i ncurred 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 A
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.
"Assessor's Parcel" or "Parcel" means a lot or parcel shown on an Assessor's Parcel Map
with an assigned Assessor's Parcel number.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 1
"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. 201 ~-
Ol 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. 201701 was created and such
Authorized Services may not supplant services already available within CFD No. 2017-01
w hen 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.
"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.
City of South San Francisco December 4, 2017
CFD Nn. 2017-01 (Pufilic Services and Facilities) Page 2
"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 rune 30.
"Non-Residential Floor Area" means the total building square footage of the non-
residential buildings) 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 Permits) 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 ornon-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 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.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 3
"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 Permits) 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
~3uilding 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 io 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
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
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 4
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 December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page S
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.
rr:~, ~~i
Component A Maximum for Developed Property
For Fiscal Year 2017-18
Community Facilities District No. 2017-01
Land Use
Class Land Use
j Fiscal Year 2017-2018
Component A Maximum
1 R~sic~~ntial Prop~_rty X0.32 per Square Foot of
1Zesidential r loor Area
2 Non-Residential Property X0.32 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 A Maximum that can be levied on an
w e i i n i ,i r .~tissessor s rarcei snail ne ine sum or ine ~omponeni ~y iviaximum treat can ne
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%).
City of South San Francisco December 4, 2017
CFD Nn. 2017-01 (Public Services and Facilities) Page 6
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
X0.07 per Square Foot of1Residential Property Residential Floor Area
$0.07 per Square Foot of2Non-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 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.
4. Exempt Parcels
The following Assessor's Parcels within the boundaries of CFD No. 2017-01 shall be
exempt from Component B of the Special Tax: 015-010-220 and 015-010-290.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 7
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 io 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 Special Tax shall have a ~.
City of South San Francisco December 4, 2017
CFD Nn. 2017-01 (Public Services and Facilities) Page 8
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.
I. 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.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 9
COMMUNITY FACILITIES
DISTRICT REPORT
of South San Francisco
Community Facilities District
No. 2017-01
Services and Facilities)
December 4, 2017
San Fralicisco
COMMUNITY FACILITIES DISTRICT REPORT
MELLO-ROOS COMMUNITY FACILITIES ACT OF 1982
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO. ZO17-01
(PUBLIC SERVICES AND FACILITIES
Prepared for
CITY OF SOUTH SAN FRANCISCO
400 Grand Avenue
South San Francisco, California 94080
Prepared by
DAVID TAUSSIG Sz ASSOCIATES, INC.
1302 Lincoln Avenue, Ste 204
San Jose, California 95125
~J ~DAVID TAUSSIG
&ASSOCIATES
TABLE OF CONTENTS
Section Page
I.INTRODUCTION ..............................................................................................................1
II.PROJECT DESCRIPTION ..............................................................................................2
III.DESCRIPTION AND ESTIMATED COST OF PUBLIC FACILITIES ....................3
A. Description of Proposed Public Facilities ....................................................................3
B. Estimated Cost of Proposed Public Facilities ..............................................................3
C. Exempt Parcels .............................................................................................................4
IV.DESCRIPTION AND ESTIMATED COST OF PUBLIC SERVICES ........................5
A. Description of Proposed Public Services .....................................................................5
B. Estimated Cost of Proposed Public Services ...............................................................5
C. Estimated Cost of Administering CFD No. 2017-01 ...................................................6
D. No Exempt Parcels .......................................................................................................6
V.BONDED INDEBTEDNESS AND INCIDENTAL EXPENSES ...................................7
A. No Bond Sales ..............................................................................................................7
B. Incidental Expenses to be Included in the Annual Levy of Special Taxes ..................7
VI.RATE AND METHOD OF APPORTIONMENT ..........................................................8
VII.BOUNDARIES OF COMMUNITY FACILITIES DISTRICT ....................................9
VIII. GENERAL TERMS AND CONDITIONS ....................................................................10
A. Substitution of Facilities ............................................................................................10
B. Substitution of Services .............................................................................................10
APPENDICES
Appendix A Rate and Method of Apportionment
Appendix B CFD No. 2017-01 Boundary Map
~~ ADAVID Tf1USSIG
&ASSOCIATES
'20DUCTIC
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, having previously adopted Resolution No. 17-981 expressing an
intention to form a community facilities district, 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; and
This community facilities district being City of South San Francisco Community Facilities
District No. 2017-01 (Public Services and Facilities) shall hereinafter be referred to as:
"CFD No. 2017-0 l "; and
RESOLUTION NO. 17-981 RESOLUTION OF INTENTION TO ESTABLISH A
COMMUNITY FACILITIES DISTRICT CITY OF SOUTH SAN FRANCISCO COMMUNITY
FACILITIES DISTRICT NO. 2017-01 (PUBLIC SERVICES AND FACILITIES) (hereinafter
referred to as the "Resolution of Intention"), was adopted by the City Council on October 11,
2017.
WHEREAS, the Resolution of Intention, in its Section 8, directed:
The City Manager (or deputy or designee thereo fl 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:
1 1 A cleccrintinn of the ~P,1'V1CP.0 anti FacilitiPc that will he YP.(1771YP.(~ t(1 a(~P(717AtP.~~7 YYIPPY
the needs of CFD No. 2017-01;
2) An estimate of the fair and reasonable cost of the Services and Facilities and
incidental expenses in connection therewith, and all other related costs;
NOW, THEREFORE, David Taussig &Associates, Inc. does hereby submit the Report.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-Ol (Public Services and Facilities) Page 1
~J ~DAVID TEIUSSIG
&ASSOCIATES
CFD No. 2017-01 encompasses approximately 75.16 gross acres of land adjacent to the Oyster
Point Channel in the City of South San Francisco (the "City'). CFD No. 2017-01 is located
generally north of Forbes Boulevard and generally south of the Brisbane Marina, generally west
of the Oyster Point Channel Basins, and generally east of Bayshore Freeway. A map showing
this territory is provided as Appendix B of this report.
Ownership and the projected use for the parcels can be found below in Table 1.
Table 1 —Parcels and Intended Use
1 i i I ',
Owner APN/Lot No.Intended Use
Open Space/Recreation/Commercial Retail
City of South San Francisco
Parcel 5 Development
Parcel6 Hotel
LLA Parcel A
015-010-240
Oyster Point Development, LLC Parcel 1 Proposed Oyster Point Project, an integrated
office, R&D, and mixed-use development.
Parcel3
Parcel4
015-010-220 Commercial Office
Kashiwa Fudosan America Inc
015-010-290 Commercial Office
Within the CFD, a Special Tax' shall be levied only on Developed Property as set forth in the
Rate and Method of Apportionment ("RMA"), attached herewith as Appendix A.
1 Please note that all capitalized terms used herein, unless otherwise indicated, shall have the meanings defined in
the Rate and Method of Apportionment for CFD No. 2017-01.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 2
~~ ~DAVID TAUSSIG
&ASSOCIATES
III. DESCRIPTION AND ESTIMATED COST OF FACILITIES
A. Description of Proposed Public Facilities
A community facilities district ("CFD") may provide for the purchase, construction,
expansion, or rehabilitation of any real or tangible property, including public facilities
and infrastructure improvements, with an estimated useful life of five (5) years or longer.
It is intended that CFD No. 2017-01 will be authorized to finance all or a portion of the
costs of any of the following improvements to be owned by the City, including but not
limited to, the 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, and, if circumstances so warrant as determined by the City, removal and
remediation of all or a portion of the fuel system.
CFD No. 2017-01 may also finance any of the following: (i) appurtenances to and
improvements related to the Authorized Facilities, (ii) 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), (iii) design, architecture, engineering, and planning, (iv)
any environmental review, studies, remediation, and mitigation, (v) traffic studies,
s~~_rv~ys5 g~~techni~~l stz2clies, soils testing, or other studies related t~ the Authorized
Facilities, (vi) permits, plan check, and inspection fees, (vii) insurance, legal, and related
overhead costs, (viii) project management, coordination, and supervision, and (ix) 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.
CFD No. 2017-01 may also finance reimbursement of costs related to the formation of
CFD No. 2017-01 advanced by the City or anv other nartv. as well as reimbursement of
any costs advanced by the City or any other part, for facilities, capital related fees, or
other purposes of CFD No. 2017-01.
The preceding facilities are all facilities which the legislative body creating CFD No.
2017-01 or another public agency is authorized to own, construct, operate, provide, or
finance, and which are required to adequately meet the needs of development expected to
occur within CFD No. 2017-01. The Special Taxes required to pay for the construction
and acquisition of said facilities will be apportioned as described in the Rate and Method
of Apportionment for CFD No. 2017-01.
B. Estimated Costs of Proposed Public Facilities
The maximum special taxes that could be levied in CFD No. 2017-01 for Authorized
Facilities presently would be $0.07 per square foot of Residential Floor Area, and $0.07
per square foot of Non-Residential Floor Area; however, this amount is subject to annual
escalation. The actual amount to be levied will be determined by the City Council on an
annual basis. The maximum total collections of the Special Tax for Authorized Facilities
City of South San Francisco December 4, 2017
Community Facilities District Nn. 2017-01 (Public Services and Facilities) Page 3
~, ~oAv~D TAuss~c
&ASSOCIATES
(plus administrative costs) is limited to $2,750,000, and the levy of the Special Tax for
Authorized Facilities will cease once the $2,750,000 in cumulative costs have been
collected, or unless no longer required to pay for Authorized Facilities as determined at
the discretion of the City.
Itemized cost estimates for the proposed public facilities can be found below in Table 2.
C Exempt Parcels
The following parcels within the boundaries of CFD No. 2017-01 shall be exempt from
the Special Tax for Authorized Facilities: 015-010-220 and 015-010-290.
Table 2 —Projected Fuel Dock Costs
~ ~~
Floatin Dock
•,
N/A
•~ ~•~
$769 000
Pa Shack N/A N/A
Flotation N/A N/A
Piles and Pile Guides N/A $215 000
Utilities: Electrical $5 000 $82 000
Utilities: Water &Fire N/A $26 000
Utilities: Wastewater N/A $37 000
Fuel S stem N/A $780 200
A roach Structure: General N/A $185 000
A roach Shucture: Girders $20 000 N/A
Gan a :Structure N/A $85 000
Gan a : Walkin Surface $4 000 N/A
Subtotal Construction $29 000 $2 179 200
A dditional So t Costs $40,000 $281,200
A dditionalAdminEx enses N/A $289,600
Grand Total $69 000 $2 750 000
1. Cost estimates derived from Condition Assessment Summary dated May 26, 2017 . All estimated
costs are in 2017 dollars and include overhead and contingency.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 4
~~ ~DAVID Tf1USSIG
&ASSOCIATES
A. Description of Proposed Public 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.
CFD No. 2017-01 shall only fund the above listed services only to the extent that they are
in addition to existing services provided within the boundaries of CFD No. 2017-01
before creation of the CFD. The Special Taxes required to fund the annual costs of those
public services will be apportioned as described in the Rate and Method of
Apportionment of the Special Tax for CFD No. 2017-01.
B. Estimated Costs of Proposed Public Services.
The intent of the CFD is to fund the anticipated revenue shortfall in providing the public
services listed above. The maximum Special Taxes that could be levied in CFD No.
2017-01 to fund Authorized Services presently would be $0.32 per square foot of
Residential Floor Area, and $0.32 per square foot of Non-Residential Floor Area;
however, this amount is subject to annual escalation. The actual amount to be levied will
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page S
~J ~DAVID TAUSSIG
&ASSOCIATES
be determined by the City Council on an annual basis. Cost estimates by enhanced
maintenance areas are detailed in Table 3 below.
C. Estimated Costs of Administering CFD No. 2017-01
While the actual costs of administering CFD No. 2017-01 may vary, it is anticipated that
the amount of Special Taxes which can be collected within CFD No. 2017-01 will be
sufficient to fund at least $25,000 in annual administrative expenses.
D No Exempt Parcels
No parcels within the boundaries of CFD No. 2017-01 shall be exempt from the Special
Tax for Authorized Services.
Table 3 —Projected Public Services Costs
t'1 i ~
TOTAL AREAS
Phase I $947,293
Phase IIC $50, 907
SUBTOTALI $998 200
Administrative Fees 5% ofsubtotal $49 910
Le 1 5% of subtotal $49 910
O eratin Reserves Fund 10% of subtotal $99 820
TOTAL $1 197 840
1. Cost estimates for enhanced maintenance areas provided by City staff:
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 6
i~ ~DAVID TAUSSIG
&ASSOCIATES
V. INCIDENTAL EXPENSES
A. No Bond Sales
CFD No. 2017-01 is not authorized to sell bonds.
B. Incidental Expenses to be Included in the Annual Lew of Special Taxes
Pursuant to Section 53340 of the Act, the proceeds of any Special Tax may only be used
to pay, in whole or part, the cost of providing public facilities, services, and incidental
expenses. As defined by the Act, incidental expenses include, but are not limited to, the
cost of planning and designing public facilities to be financed, including the cost of
environmental evaluations of those facilities. As there is no intention or authorization for
CFD No. 2017-01 to sell bonds, the incidental expenses to be funded through Special
Taxes shall be limited to the costs associated with the creation of the CFD, determination
of the amount of Special Taxes, collection of Special Taxes, payment of Special Taxes,
or costs otherwise incurred in order to carry out the authorized purposes of the CFD.
While the actual cost of administering CFD No. 2017-01 may vary, it is anticipated that
the amount of Special Taxes that can be collected will be sufficient to fund the CFD's
annual administrative expenses.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 7
~J ~DAVID TAUSSIG
&ASSOCIATES
Pursuant to Section 53325.3 of the Act, the tax imposed in a CFD "is a special tax and not a
special assessment, and there is no requirement that the tax be apportioned on the basis of benefit
to any property." The Special Tax "may be based on benefit received by parcels of real property,
the cost of making facilities or authorized services available to each parcel, or other reasonable
basis as determined by the legislative body," although the Special Tax may not be apportioned
on an ad valorem basis pursuant to Article XIIIA of the California Constitution. The adopted
Rate and Method of Apportionment ("RMA"), attached herewith as Appendix A, provides
information sufficient to allow each property owner within CFD No. 2017-01 to estimate the
maximum annual Special Tax he or she will be required to pay.
The RMA requires that all Assessor's Parcels within CFD No. 2017-01 be categorized as
Developed Property, Undeveloped Property, Property Owner Association Property, or Public
Property. The principal assumption inherent in the calculation of Special Taxes as defined in the
RMA is that the level of budgetary shortfall impacting the City is the primary result of
development within the City. These determinations are based on an evaluation of the City's
recurring costs and revenues. No Special Taxes will be levied on Undeveloped Property,
Property Owner Association Property, or Public Property.
Each Fiscal Year, the Special Tax levy shall be calculated in an amount sufficient to cover the
costs required to meet the financial needs for the proposed Authorized Services and Authorized
Facilities, but not to exceed the maximum Special Tax for Developed Property. The maximum
annual Special Tax for Authorized Services (designated as Component A within the RMA) that
can be levied within the CFD on Developed Property shall increase annually by the lesser of the
change in the San Francisco Urban Consumer Price Index during the twelve (12) months ending
in December of the Fiscal Year prior to the Fiscal Year in which the Special Tax is being levied,
or five percent (5.00%).
The maximum annual Special Tax for Authorized Facilities (designated as Component B within
the RMA) that can be levied within the CPD on Developed Property shall increase annually by
two percent (2.00%). The RMA specifies that the maximum total collections of the Special Tax
for Authorized Facilities (plus administrative costs) is limited to $2,750,000, and the levy of the
Special Tax for Authorized Facilities will cease once the $2,750,000 in cumulative costs has
been collected, or unless no longer required to pay for Authorized Facilities as determined at the
discretion of the City. 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 maximum Special Tax, until the
amount of special taxes equals the special tax requirement.
In order to establish the Maximum Special Tax rates for CFD No. 2017-01 as set forth in the
Rate and Method of Apportionment, David Taussig &Associates, Inc. has relied on information
regarding land-use types, geographic location, and Taxable Property provided to it by others.
David Taussig &Associates, Inc. has not independently verified such data and disclaims
responsibility for the impact of inaccurate data, if any, on the Rate and Method of
Apportionment for CFD No. 2017-01, including the inability to meet the financial obligations
within CFD No. 2017-01.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 8
~~ ~DAVID TAUSSIG
&ASSOCIATES
The amended boundaries of CFD No. 2017-01 include all land on which the Special Taxes may
be levied. A reduced scale amended map showing the boundaries of CFD No. 2017-01 is
provided as Appendix B. The amended full-scale map is on file with the San Mateo Recorder's
Office and was recorded on the 30`" day of November 2017 in the San Mateo Recorder's Office
at Book 18 of Maps of Assessment and Community Facilities Districts at Page 51 (Instrument
No. 2017-0900132). Furthermore, the original boundary map that will be superseded by the
amended boundary map in Appendix B is on file with the San Mateo Recorder's Office and was
accepted on October 24, 2017 and recorded at 10:51AM on October 27, 2017 in the San Mateo
Recorder's Office at Book 18 of Maps of Assessment and Community Facilities Districts at Page
50 (Instrument No. 2017-9001321.
The boundaries of CFD No. 2017-01 were modified to exclude Parcel 2 as noted on Parcel Map
No. 17-0002 (Oyster Point) recorded on September 25, 2017 in Book 83 of Parcel Maps at Page
50 through 54 as File No. 2017-900124 in the official records of the County of San Mateo.
Parcel 2 is public right-of-way.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 9
~J ~DAVID Tf1US5IG
&ASSOCIATES
A. Substitution of Facilities
The descriptions of the Authorized Facilities, as set forth herein, are general in their
nature. The City will determine the final nature, location, and costs of improvements and
facilities upon the preparation of final plans and specifications. The final plans may
show substitutes, in lieu of modifications to the proposed work in order to accomplish the
work of improvement, and any such substitution shall not be a change or modification in
the proceedings as long as the public facilities provide a service substantially similar to
that as set forth in this Report.
B. Substitution of Services
The description of the Authorized Services, as set forth herein, is general in their nature.
The final nature and location of the specific services to be funded by the CFD will be
determined by the City Council. The actual services funded may show substitutes, in lieu
or modifications to the proposed services that benefit the CFD, and any such substitution
shall not be a change or modification in the proceedings as long as the services provided
are of a type substantially similar to that as set forth in this Report.
City of South San Francisco December 4, 2017
Community Facilities District No. 2017-01 (Public Services and Facilities) Page 10
APPENDIX A
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO.2017-01
(PUBLIC SERVICES AND FACILITIES)
l 7r 1~~/:]►117u 1_~1[I!. [t] 1Z~] al:~~ Z~7.71 Y [~7►1uiD1►Y~1
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 MATED,
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.
"Assessor's Parcel" or "Parcel" means a lot or parcel shown on an Assessor's Parcel Map
with an assigned Assessor's Parcel number.
Ciry of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 1
"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 Dis~ri~t
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.
"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.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 2
"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 buildings) 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-
ResidentialFloor Area shall be made by reference to the Building Permits) 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 ornon-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 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.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 3
"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 Permits) 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 rrancisco Urban consumer Yrice 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
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
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 4
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 December 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 i Land UseClass
Fiscal Year 2017-2018
Component A Maximum
1 Residential Propert~$0.32 per Square Foot of
Residential Floor Area
$0.32 per Square Foot of2Non-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
tissessor's rarcei 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%).
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Pzrblic Services and Facilities) Page 6
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
X0.07 per Square Foot of1Residential Property Residential Floor Area
$0.07 per Square Foot of2Non-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 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.
4. Exempt Parcels
The following Assessor's Parcels within the boundaries of CFD No. 2017-01 shall be
exempt from Component B of the Special Tax: 015-010-220 and 015-010-290.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 7
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
1 he City reserves the right to make minor administrative and technical changes to this
document that may immaterially affect the rate ~nc~ m~thc~d of ~pportionin~ Sp~Ei~1 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 ar 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 Special Tax shall have a
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 8
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.
I. 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.
City of South San Francisco December 4, 2017
CFD No. 2017-01 (Public Services and Facilities) Page 9
APPENDIX B
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO.2017-01
(PUBLIC SERVICES AND FACILITIES)
BOUNDARY MAP
Government Code Section 54957.5
SB 343
Agenda - 1L~4~~~
ItemN Z —at~,<tin~ ~3
SHEET 1 OF 1 AMENDED BOUNDARIES OF
CITY OF SOUTH SAN FRANCISCO
COMMUNITY FACILITIES DISTRICT NO.2017-01~,P (PUBLIC SERVICES AND FACILITIES)Thle map emends the Proposed Boundaries o1ew ca~,asam,se~F c~,~~ COUNTY OF SAN MATEO~ F°~`"°'°'.m``"°.zo„-0,~P""``S°'""~.
STATE OP CALIFORNIAentl Feti1W). Counh of San M~Yo. Sfete of~,
(1) Flied In the oftice of the City Clerk of the Clly of South
? GAfotnl~, pIM retdded In Book 18 of Maps do Arrwr P«a1. rA~n tl~e Amandsd BauW.rMe San Frendsco Mib,~ day of , 2017.
d` As~wment aM CamMxYry Fedltlw Dbtrkb~y at Pg~ 50~ at lin6ipne~t No. 2017900732. ai W N FOedltle~a~ No. P017-0t:0P Ocbber 27.2017 6 the 011ke of the Courtly
076010.2/0 ~ -
ftxwdx of tlro County of San Meted, Stata of 015-010.260 K~i&Ie MCeYbmle. •.t 075-070-270 City Of SOutl18811 F1HIId~WReference N mods to the Asseaeor Maps __ _ / 016-010.290~ n~ c~H a s.~ ~, ro n,e ~~ ~ ois•o~o-eoo tvo~noro (2~ I hereby certiy that the witliln map showing the~,~ ~ ~~ o~so~ano ors-ofd-63o (porooN amended boundaries of City of South San Frandxo2e, 20n a oownsnt No. mt7~ae~3ea ~ ot5-o10-eto (poroail Community Fadiities DiaMd Na. 2017-01 (Publ~In the rsmrda d aw San taateo Coumy ~ a~s'~~'»~ (P°'~^1 o~.e. Services and Fadlitles), County of San Mateo, State of
rteoaa.r,.na m ~ n~a~, No. n-0002 . — o~~-~~-~~ ~^) ~ California, was approved by the city Cound~ of the City
(Oysbr PoM) rocoMW rn Sapbmber 25, g
o} South San Frendsco eta meeting thereof,
20171n Book 83 of Peml Ml~ps et Peps Aw ~n~ a. p ~. r,~. zo,~.eoo,z. ~ p d mao,o~ao nea «~ me aay a ~ , zo». ny n~ais olfda~~ecaW ache coutra3en ~ _ ~( Resolutlon No.._ _ ~-a~7Alabo for a daalptlan W the labs and ~ ~ Lot Lk~edhretrlons of sadi bt eM parcel. Ad1wNw~i ~•i ~~PwN A ~ ~
Kfi9te Meftine I. 1 <I2Ik,
~ ~wr rr~;~y r ; °1~ °'~' City of SaAh San Frandaco'.I ~
LEOENDI€ -oYe76t PONr YVD: ~ ~ ~ ~ ~ i ~~ I ~ ~ ~ ~ ~ • Nignd~d Bonld~rW o! CMY of SouMl Sin Fmtl~m
_.—. 1 , — - — ~.\ ~~►~ ~ ~, ~ I Conmrdlp Fati~ DMYkt No. 2017-01 (PuEYc ServbesYY~~ .~a F.crr.) aompr m s.n ~aew, smr. a c.am,m~ 4i~., p~ ~ / ~~ PrnM 8 ~ PnoN ~ PaaM MmhKm Pe~oN Map No. 17-0002st =~--
~ /,,~~,
;~ —
---- - -. Fre~r~A ~e D~rYl Twmy~AMwe~W,uic _.)~
(3) Fibd this ` >Y day of ___ _ , 2017, at the hour of _o'dock, _m. in Book of Maps of Assessment andCommunity FadNUes DfsMds at Page in the ofAce ofthe county recorder in the County of San Mateo, State of Cali(amla.
Merk~ ~CountyGlerk-RecorderCq~pr of
L ~ L - rder~~y'
exempt recording requited, par CA Government Code §6103