HomeMy WebLinkAbout25F - FORMATION OF COMMUNITY FACILITIES DISTRICTS
CITY COUNCIL MEETING DATE:
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REQUEST FOR
COUNCIL ACTION
CLERK OF COUNCIL USE ONLY:
SEPTEMBER 19, 2005
TITLE:
APPROVED
o As Recommended
o As Amended
o Ordinance on 151 Reading
o Ordinance on 2nd Reading
o Implementing Resolution
o Set Public Hearing For
AGREEMENTS/APPROPRIATION
ADJUSTMENT FOR SERVICES
RELATING TO FORMATION OF
COMMONIT~TIES DISTRICT
(2 CIT~~~
CONTINUED TO
FILE NUMBER
RECOMMENDED ACTION
1. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute a deposit/reimbursement
agreement with Coastal Rim Properties, Inc., Nexus Development
Corporation, Integral Partners, LLC for the reimbursement of costs
regarding the establishment of a Community Facilities District.
2. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute an agreement with Fieldman
Rolapp and Associates for financial advisory services and project
management assistance to the City in the coordination and execution
of a Community Facilities District at the MacArthur Place South
Project site.
3. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute an agreement with Bruce W.
Hull and Associates for appraisal services detailing the feasibility
of issuing bonds consistent with the establishment of a Community
Facilities District at the MacArthur Place South Project site.
4. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute an agreement with David
Taussig & Associates, Inc. for special tax consulting services
necessary in the formation of a Community Facilities District at the
MacArthur Place South Project site.
5. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute an agreement with Empire
Economics for price point analysis and market absorption study in the
formation of a Community Facilities District at the MacArthur Place
South Project site.
25F-1
Agreements/Appropriation Adjustment
For Services Relating to Formation of
Community Facilities District
September 19, 2005
6. Direct the City Attorney to prepare and authorize the City Manager
and the Clerk of the Council to execute a Legal Services agreement
with Quint & Thimmig, LLP for bond consulting services necessary in
the formation of a Community Facilities District at the MacArthur
Place South Project site.
7. Approve an appropriation adjustment recognizing all deposits to be
provided by developers into the Capital Outlay Fund (account no. 51-
01-5790) and appropriating the same into the Capital Outlay
expenditure account (account no. 51-106-6291) for appropriating
developer contributions relating to services necessary for the
establishment of a Community Facilities District at the MacArthur
Place South Project site.
DISCUSSION
On June 20, 2005 the City Council approved the resolutions, ordinances,
and variances regarding the MacArthur Place South Project. The project
entails the construction of 791 condominium units which is comprised of
three 25-story high rise condominium buildings with 500 units, a four- to
six-story, 276 unit condominium building and a five-story mixed use
building with 10,000 square feet of office uses and 15 residential units.
In addition, approximately 14,000 square feet of retail and restaurant
uses are proposed for the project.
Coastal Rim Properties, Nexus Development Corporation, and Integral
Partners have requested that the City consider formation of a Mello-Roos
Community Facilities District (CFD) for the MacArthur Place South Project.
The Mello-Roos Community Facilities Act, which was enacted in 1982, allows
for financing public facilities and services through the selling of tax-
exempt bonds and the levying of a special tax under a CFD. If successful,
the formation of a CFD would allow the City to partner with the developers
as a means to finance public infrastructure improvements as well as
ongoing City services impacted by the MacArthur Place South Project.
The developers have agreed to deposit funds to pay for the ongoing
consultant services related to the formation of the CFD. It is anticipated
that total cost of consultant services will be approximately $130,000. The
consultant services include identifying eligible facilities and services
to be financed, appraisal and bond sizing analysis, market absorption as
well as price point feasibility, rate and method of apportionment of the
special tax, and assistance with overall coordination and formation of the
CFD.
25F-2
Agreements/Appropriation Adjustment
For Services Relating to Formation of
Community Facilities District
September 19, 2005
FISCAL IMPACT
There is no fiscal impact to the City. Developers from the MacArthur Place
South Project have agreed to deposit funds to pay for consultant services
necessary for the formation of a Community Facilities District. The
appropriation adjustment recognizes all revenues to be deposited by
developers into the Capital Outlay Fund (account no. 51-01-5790) and
appropriates the same into the Capital Outlay expenditure account (account
no. 51-106-6291) for the payment of consultant services rendered.
4ft 7~
Steplien Har 'ng
Deputy City Manager
~(\.~~.\~~"'J ~~~......
Francisco Gutierrez
Executive Director
Finance & Mgmnt Services Agency
25F-3
25F-4