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HomeMy WebLinkAbout6/4/2003 - STAFF REPORTS (12) DATE: _dlayj#2000 TO: City Council FROM: Public Works Director/City Engineer APPROVE RESOLUTION OF INTENTION & PRELIMINARY ENGINEERS REPORT FOR CENTURY HOMES"MOUNTAIN GATE"TRACT 30963 FORMING ASSESSMENT DISTRICT 161 RECOMMENDATION: It is recommended that the City Council approve a Resolution of Intention and the Preliminary Engineer's Report for the proposed formation of a 1913 Act Assessment District, using 1915 Act Bonds for certain eligible public improvements for an area known as "Mountain Gate",Tract 30963 by Century Vintage Homes for an 83 acre development located at the NE corner of N. Palm Canyon Drive (Hwy. 111) and Gateway Drive. This would be Assessment District No, 161 SUMMARY. On February 26, 2003 City Council approved a Planned Development District(PDD) and Tentative Tract Map (TTM 30963) for a 308 lot single-family subdivision to be located on 83.8 acres at the northeast corner of North Palm Canyon Drive (Hwy. 111) and Gateway Drive in the northwest entryway to Palm Springs. The developer, Century Crowell Communities, LP, (Century Vintage Homes) has filed application for the formation of a 1913 Act Assessment District, using 1915 Act Bonds, to utilize Municipal Bonds to fund certain public improvements associated with the project, to lowerthe purchase price of the 308 proposed homes in the"Mountain Gate"subdivision.Century posted a $10,000 deposit with the application in November, 2002 to cover City costs for the proposed district. Any unspent balance of that deposit is refundable to Century upon completion of the bond sale. The final PDD and Final Map was approved by the Planning Commission on March 26, 2003. Century closed escrow on the purchase of the property on April 2, 2003. A Resolution of Intention is required to form such a 1913/1915 Act District and a Preliminary Engineer's Report is part of the Resolution of Intention (ROI) and initial formation process. Albert A. Webb Associates prepared the Engineer's Report and has a long term role as the City's Assessment Engineer/Special Tax Consultant for the formation of special districts in the City. BACKGROUND: On January 22, 1992 City Council adopted Resolution No. 17774 which established written policies and procedures for the administration of special districts under the State of California 1911, 1913 and 1915 Improvement Acts and the Community Facilities Act of 1982 (Mello-Roos CFDs). A 32- page "Special District Policy & Procedures" guideline manual was adopted along with the resolution. These policies and procedures are similar to those adopted by the City and County of Riverside and since adopted by most cities concerned about special district safeguards in California. On October 8, 1998 the Grants and Special Districts Manager submitted a Special Districts Guidelines Manual, at the request of City Council and City Manager, to be used as a handout for prospective Palm Springs developers. On April 3, 2002,the City Council adopted Resolution No. 20304 which expanded the 1992 Special Districts Policy&Procedures, providing residential subdivisions abilityto be included with qualifying CFDs. The City also adopted state approved property owner "Disclosure Forms", which must be distributed by developers to all prospective home buyers to disclose the costs and facts associated with assessment district costs prior to the purchase of homes within such special districts. ^ When Century proposed that an assessment district be formed to finance their public improvements at "Mountain Gate", City staff instituted the City's Special District Team as follows: • FINANCIAL ADVISOR: Suzanne Harrell (Harrell & Company Advisors) • ASSESSMENT ENGINEER. Paul Thompson/Merle Schulze (Albert A. Webb Associates) • BOND COUNSEL: David Aleshire and Tiffany Israel (Aleshire & Wynder, LLP) • BOND UNDERWRITERS. Sara Oberlies, VP (Stone & Youngberg, LLC) • CITY STAFF: Tom Kanarr, John Raymond, Dave Barakian, Trisha Sanders, Bob Mohler On April 2, 2003 City Council approved a consultant contract with Albert A. Webb Associates (at a cost of $29,000, plus incidentials) to prepare Preliminary and Final Engineer's Reports as the "Assessment Engineer and Special Tax Consultant" for the project (Minute Order No.7281/Agreement No. A4680). Webb's Preliminary Engineer's Report determines and verifies all eligible public improvement costs proposed by the developer.The improvements include"public" Grading, Street, Sewer, Storm Drain, Water Mains and Utility Work, as well as Street Lighting and an off-site perimeter Landscape parkway strip. It listed all eligible engineering design costs and detailed incidental expenses associated with the proposed 1913 Act District formation will be financed by this assessment district. A Boundary Map was prepared, indicating the boundary encompassing the limits of assessable lands (308 lots) within Assessment District 161. After the City Council's action to approve the formation of Assessment District 161, the City will proceed with RFP's to hire two more consultants: 1. Real Estate Appraiser and 2. Market Absorption Analyst, The Real Estate Appraiser(who must be MAI approved and familiar with such special districts) will analyze the current Real Estate values of the bulk land as well as the subdivided lot values based on current sales comparables in the area. The Market Absorption Analyst will determine how quickly the proposed homes will sell (absorb) into the real estate market, based on current similar sales records in Southern California, as well as Coachella Valley and Palm Springs area. All of these consultant costs (Assessment Engineer/ Real Estate Appraiser/Market Absorption Analyst) are being paid for by the developer via deposits to the City. The City hires the consultants and the subsequent reports are all submitted directly to the City for approval. There is no cost to the City for staff and consultant costs described above due to Century's developer contributions. To conform with the City's adopted Special District Policies & Procedures, the total combined appraised land and improvement values must be at least 4 times the estimated assessments. The 4:1 "Value to Lien Ratio" is conservative in the industry (which is often 3:1 in other agencies). The overall tax rate, including assessments, cannot exceed 2% of property values. KEY TARGET DATES: May 7- City Council approves Resolution of Intention forming 1913/1915 Act District No.161 May '03- City Engineer approves grading plan. Century commences site grading for Phase-1 June 4- City Council approves Real Estate Appraiser & Market Absorption Analyst contracts July '03- Century completes model homes within "Mountain Gate" subdivision Aug. '03- Real Estate Appraiser and Market Analyst submit preliminary draft reports Oct. '03- Century completes public improvements associated with Phase 1 of on-site construction (including 60 Homes) in Phase 1 of"Mountain Gate" Oct- '03- Real Estate Appraiser, Market Analyst, Assessment Engr. complete Final Reports Oct. '03- City Council approves Final Engineer's Report/ Resolution authorizing Bond Sale Nov. '03- Proposed 1915 Act Municipal Bond Sale Dec. '06- Century completes all (14) home-phases of "Mountain Gate" Tract- 308 Units Total City Council Report(517/03)-Tr2ct 30963,Assessment District No 161-pg 3 `- APZ� ROBERT L. MOHLER DAVID J. BARAKIAN Grants and Special Districts Manager Public Works Director/City Engineer APPROVED ` City Manager ATTACHMENTS.- 1. Resolutions (3)-- 2. Preliminary Engineer's Report by Albert A. Webb Associates (32 pgs.) 3. Roster of City's Special District Formation Team (Listing of 12 persons/firms) A. Vicinity Map ("Mountain Gate" Tract No. 30963) N. Palm Canyon (Hwy. 111) & Gateway Dr. 5. Proposed Mountain Gate A.D. No. 161 Cost Summary by City's Financial Advisor 6_ General Calender REVIEWED BY DEBT.OF FINANCE Mountain Gate Assessment ' N tm I District No. 161 ` Tract No. 30963 AD will Finance Approx $4 Million to Reimburse Developer for: Water and Sewer Facilities Undergrounding Utilities Gateway Drive & Hwy 111 Improvements, Exterior Landscape, Development Impact Fees (Developer Funding $898,600) Acquisition Fund $ 4,030,000 Reserve Fund 435,000 Capitalized Interest 550,000 Underwriting 110,000 Costs 220,000 Total Assessment $5,346,000 Bond Term — 30 Years Effective Interest Rate — 7.0% Overall Tax Rates: Ventana (1,200 SgFt) 2.00% Ventana (1,800 SgFt) 1.85% El Dorado (1,500 SgFt) 1.88% Bonds Will Not Be Issued Until El Dorado (3,000 SgFt) 1.68% Value to Lien Equals 4 to 1 Finished Lots $15,300,000 55 Homes Built 6,080,000 Value Needed $21,380,000 Estimated Annual Assessment: Ventana (1,200 SgFt) $1,260 ' Ventana (1,800 SgFt) $1,331 El Dorado (1,500 SgFt) $1,462 El Dorado (3,000 SgFt) $1,292 EXHIBIT"E" PROJECT SITE VIC114M MAP VICINITY MAP TRAWEW RD Assessment District SITE Tr.3og63 x sAN RAFAEL DR A� O,p VISTA CHINO CITY OF PALM SPRINGS ASS NO._O. 15.0931 PD-P79 DESCRIPTION APPLICANT YTM 30963 /�pp,for a Tentative Tract Map and. Century Vintage Homes PrQdminary Planned Development to subdlvido 83.83 acres into 308 single family lots,Zone PD-264, Sec. 34 March1,200 M\Webb.Assess.Engr.Tr.30963.Contr.Ser.Agr.3-21-03.wpd March 21,2003 -19- TO: CITY CLERIC CITY OF PALM SPRINGS PETITION AND WAIVER 1. We, the undersigned, are the owners of the lots and parcels of land within proposed Improvement District No. 161 (the "Improvement District") shown and described on Exhibit A, attached hereto and incorporated herein. 2. We hereby file with the City Clerk of the City of Palm Springs this Petition and Waiver in order to petition the City Council of the City of Palm Springs to undertake proceedings for the formation of the Improvement District pursuant to the Municipal Improvement Act of 1913 (California Streets and Highways Code,Section 10000 et seer .)for purposes of assessment of the lots and parcels within the Improvement District to pay for improvements (the "Improvements") consisting of roadway, sewer, water, drainage, landscape, and electric utility improvements. The roadway improvements include, but are not limited to, removal, excavation, grading, asphalt pavement,aggregate base,curb and gutter, sidewalk,testing and inspection, and appurtenances and appurtenant work in connection therewith. The drainage improvements include, but are not limited to, parkway landscaping, catch basins and connecting pipe detention basins, appurtenances, and appurtenant work in connection therewith. The sewer improvements include,but not are not limited to,sewer main pipe,manholes, laterals,fees,and appurtenances and appurtenant work in connection therewith. The water improvements include, but are not limited to, water main pipes, valves, fittings,fire hydrant assemblies,water service lines, and special assemblies,fees,and appurtenances and appurtenant work in connection therewith. The electric utility improvements include,but are not limited to, streetlights, trenching and backlill, fees, and appurtenances, and appurtenant work in connection therewith. 3. We understand that the present best estimate of the cost of the total bond Improvements, including incidental and financing costs, is approximately$5,375 250. 4. We understand that the cost of the Improvements, net of any contributions, will be apportioned among the assessable lots and parcels of land within the proposed Improvement District in proportion to the special benefits the lots and parcels will receive from the Improvements. 5. We understand that an Engineer's Report has been prepared in connection with the proposed Improvement District, which includes, among other things, a description of the proposed Improvements, an estimate of the total cost of the Improvements, a diagram of the Improvement District,and an assessment of the total cost of the Improvements spread against the properties in the Improvement District. We understand that the Engineer's Report will be on file in the office of the City Clerk, 3200 East Tahquitz Canyon Way, Palm Springs, California 92263, and is open to inspection. 1 ��� 6. We understand that the City Counci I will conduct a public hearing on the Engineer's Report and the proposed assessments. We understand that the public hearing is scheduled for May 7, 2003 in the City Council Chambers at City I--lall, 3200 East Tahquitz Canyon Way, Palm Springs, California 92263. 7. We hereby expressly waive any and all investigation and other proceedings required and all limitations under the"Special Assessment Investigation,Limitation and Majority Protest Act of 1931" (being Division 4 of the California Streets and Highways Code,commencing with Section 2800) (the"1931 Act"). We understand that signing this Petition and Waiver is not a waiver of our Tight to protest the assessment proceedings for the Improvements. however, we understand that by signing this Petition and Waiver, we waive any right we may have to stop the formation of the Improvement District through filing a majority protest under the 1931 Act(i.e.,written protests filed and not withdrawn by the owners of more than one-half of the area of the property to be assessed). 8. We understand that the City Council must abandon the proceedings to form the Improvement District in the event of a majority protest under Article X11D of the California Constitution. A majority protest exists under Article XIIID if,at the conclusion of the hearing on the Improvement District, the ballots submitted (and not withdrawn) in opposition to the proposed assessments exceed the ballots submitted (and not withdrawn) in favor of the assessments, with ballots weighted according to the proportional financial obligation of the affected properties. 9. We understand that in the absence of a majority protest (as defined in paragraph 8, above) the City Council may, following the conclusion of the public hearing on the proposed assessments, Confirm the proposed assessments and order the proposed improvements. We understand that the City Council may make changes to the proposed improvements (including the elimination of improvements) and cost estimates (including line items in the Engineer's Report); provided, however, this Petition and Waiver shall not be deemed as consent to any increase in the amount of any individual assessment beyond the amounts set forth in the Engineer's Report. 10. This Petition and Waiver may be signed in counterparts. When signed return to: City Cleric City of Palm Springs 3200 East Tahquitz Canyon Way Palm Springs, California 92263 2 �� 7 THE UNDERSIGNED HEREBY WARRANTS, REPRESENTS AND DECLARES UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA that the undersigned is the owner of the property described below; that the names of all mortgagees and beneficiaries undcr any existing mortgages or deeds of trust encumbering the property are as sct forth in Exhibit B. MOUNTAIN GATE PALM SPRINGS VENTURES, LLC, a Delaware limited liability company By: Century Crowell Communities, L.P., a California limited partnership, Its Development Managcment Company By: Century Homes Communities, a Califomia corporation Tts: General Partner By: Name: Carlos H. Cueva Its: Public Financing Manager 3 �� � � EXHIBIT A IMPROVEMENT DIAGRAM ASSESSMENT DIAGRAM FOR ASSESSMENT DISTRICT NO. 161 ( MOUNTAIN GATE ) CITY OF PALM SPRINGS, COUNTY OF RIVERSIDF, STATE OF CALIFORNIA ncrnucaeoutm,6� _m, 2 I Ig 3 -5/t 6rlfM�sIarP2A_nr�rry eorv,If�r.i6 ]!9I- ,l0 1—TIe 1B`TIG�n1 I1I�\�U'1'`\�IrI T G_6iIxsTrSJ^w�'o{InIT(pI,]ei�`l1AI' G�JII lI�fuI1L�,l^1-T0iy11l�2I1 C81Im—�?�1 I2I,i•1L�I__] I_JyLII-i l-.SLIY2M-9n1IJ�JI��39nT0x 1I U"IT a � J1I 9w 9'� Ar��/FAgX �.V.I_2 E N YI3IW �=T—Tr _ l9 0 vI92 •14 i4m v �102l° IN se 6 W G a, I62151 a . .aIn46 L_IW" w+� f ,aa I IN I f,1fii „a I 16 149 IN aSi�i`� fA ]5A L'5 yYal Ir,m—11 ��^ALiA %��CM'7L HA'L l.�i� �1 1 L 1 ]9 llI r ,w r I,2n -s�,^ e, y „u ii'T�'ii i RI,�I�►rVri�•i 4i,42 lgr`T T�'.l ���I a�NI 3�1 �C F 1w Jl 1 1 r I I E'1 y,�`�-¢... 0 —I Inn lfioler.1,911fio 1r,91mu o6T o66F 1—w I��' 39 n �{ r ii ,N I li?11261]^J' ,]0�1�AI I f32 11F 1 ,,A 1 \136 lla f]a I in°'l,]IJI 1-1— 4+4--H—H—�—J /r 4°+� 1I r ]2]=�„ iiERFlALr.N'!�]�-�-- �PLI^i' 1n'L�f�J � 6 l� "TTrr I I4I I I II ITSILTe1L110�1,21Af111911 fe121fl9ylY'l9•Py q�l+Y�•1��1] �I w i- - TTTZT6 72 � AVx3TA - I TJ ]4 e —7w�a 7 1614914a1 Ia /T rf — b L I Q3 <I ID "i p 1� I _ {"� - yq s63 raz � 69\ �a A5 P,W3]_ W. 669v�l0-001-9 aT �/ TRACT AD. 30963-1 T-LOTS 5.14 A6 S � TRACT ld7. Lors sa,s3 Apes ufi d'" TRACT AV. 30953-3 107-LOrs 27�AO MTa- tiIS-LOTS f193)A= NOT TO scut �A55 PaF[E)_ AO. SG43]1�F 4 ( ("or/ CITY OF PALM SPRINGS Assessment District No. 161 (Mountain Gate) General Calendar City Couiwil meets I" and 3 ° Wednesdays at 7:00 o'clock p.m. Documents to City Clerk Statutes: S&H: Streets and two Thursdays before Highways Code; Gov. C.: City Council meeting Government Code 2003 Action Statutory Reference June 4 (Regular City Council adopts Resolution Approving S&H: § 10200 Meeting) Boundary Map - City Council adopts Resolution of intention - Enbincer's Report filed with City Clerk S&H § 10204 City Council adopts Resolution Preliminarily Approving Report of Engineer of Work and S&H § 10301 Fixing Time and Place of Hearing thereon City Council approves employment of Absorption Analyst and Appraiser City Clerk mails Notice of Public Hearing and ,Tune 6 Assessment Ballots to Property Owners in Gov.C. § 53753 Assessment District City Clerk files Boundary Map with County S&H § 3111 Recorder July 16 (Regular City Council adjourns to July 23. Clerk posts Gov.C. Meeting) Notice of Adjoununent. § 54954.2(b)(3) July 23 (Adjourned City Council conducts Public Hearing; Cleric Regular reports on Ballots Meeting) City Council approves and executes - Acquisition Agreement with Property Gov.C. § 66462 Owner/Developer / (af �V City Council approves and executes S&H § 10110 Agreement with Desert Water Agency City Council approves and executes - Agreement for Undcrgrounding with Southern S&H § 10110 California Edison City Council adopts Resolution Confirming S&H § 10312 Assessments and Ordering Work Property owner files written waiver of cash payment period City Council adopts Resolution Determining S&H § 8620 Unpaid Assessments City Council adopts Resolution Issuing Bonds, S&H § 8623, Approving Official Statement and bond § 10602 documents City Cleric records Resolution Determining July 25 Unpaid Assessments, Notice of Assessment S&H § 3114; and list of property owners with County Gov.C. § 27288.1 Recorder August 19 Bond Pricing September 8 Pre-Close September 9 Closing; Bond Delivery (This calendar does not address compliance with the Subdivision Map Act or CEQA. Separate calendars would be provided ifrequired for such compliance.) 23829 1 2 RESOLUTION NO. OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, DECLARING ITS INTENTION TO FORM A 1913 ACT ASSESSMENT DISTRICT, USING 1915 ACT BONDS TO MAKE ACQUISITIONS AND CERTAIN ELIGIBLE PUBLIC IMPROVEMENTS, AND DIRECTING THE PREPARATION OF THE PRELIMINARY ENGINEER'S REPORT FOR THE "MOUNTAIN GATE" TRACT 30963 BY CENTURY CROWELL COMMUNITIES, LP (CENTURY VINTAGE HOMES), LOCATED AT N. PALM CANYON DRIVE (HWY. 111) AND GATEWAY DRIVE, ASSESSMENT DISTRICT NO. 161. Assessment District No. 161 (Mowitain Gate) WHEREAS, on January 22, 1992, the City Council of the City of Palm Springs adopted Resolution No. 17774 adopting Policies and Procedures for Special District Municipal Bond Finaicing for certain public improvements for City and private development projects, under the 1911, 1913, 1915 Improvement Acts and 1982 Community Facilities District Act, as amended; and WHEREAS, on April 3, 2002, the City Council of the City of Palm Springs adopted Resolution No. 20304, which amends Resolution No. 17774, to allow municipal and bond financing for single family subdivisions; and specifying a 2-percent maximum Special Tax per property, including the general property tax; requiring a District Application Form; establishing a $10,000 Application Fee, for developers to pay for City staff costs for the district formation process; and approved a Disclosure Statement Corm to be signed by each prospective home buyer within the district to disclose all district costs and declare that a municipal bond would be issued which would cause an assessment to be placed on each property owner's tax bill for a period of years, including a covenant that runs with the land in all title reports; and WHEREAS, Century Crowell Communities, LP (Century Vintage Homes), an experienced land developer, wishes to construct the "Mountain Gate" Tract 30963 and is in compliance with Resolutions No. 17774 and 20304 and has completed the required District Application Form and paid the required $10,000 Application Fee with intent to construct a 308 Unit single family home subdivision located at the NE corner of North Palm Canyon Drive (Hwy. 111) and Gateway Drive in Palm Springs, using Municipal Bond financing for certain eligible public improvements for Tract 30963 in an effort to lower the purchase costs of the proposed 308 homes; and WHEREAS, on April 2, 2003, the City Council of the City of Palm Springs approved Minute Order No. 7281/ Agreement No. A4680 hiring Albert A. Webb Associates as the City's Assessment Engineer and authorizing the preparation of a Preliminary and Final Engineer's Report at a cost of $29,000, plus incidental expenses (all costs paid for by Century); 161 B NOW, THEREFORE, BE IT RESOLVED, as follows: 1. hitention. The public interest, convenience and necessity require, and this City Council intends to order the acquisition and construction of certain public improvements, together with the acquisition of all easements, rights-of-way, and lands necessary therefore described in Exhibit "A" attached hereto and made a part hereof. 2. Law Applicable. Except as herein otherwise provided for the issuance of bonds, all of the work shall be done as provided in the Municipal Improvement Act of 1913, Division 12 o f the Streets and Highways Code of California(the "Act"). 3. Nature and Location of and Grades for Improvements. All of the work and improvements are to be constructed at the places and in the particular locations, of the forms, sizes, dimensions and materials, and at the lines, grades and elevations, as shown and delineated upon the plans, profiles and specifications to be made therefore, as hereinafter provided. There is to be excepted from the work above described any of such work already done to line and grade and marked excepted or shown not to be done on the plans, profiles and specifications. Whenever any public way is herein referred to as rumrimg between two public ways, or from or to any public way, the intersections of the public ways referred to are included to the extent that work is shown on the plans to be done therein. The streets and highways are or will be more particularly shown in the records in the office of the County Recorder of the County of Riverside, State of California, and shall be shown upon the plans. For a general description of the area to be included in Assessment District No. 161 of the City of Palm Springs, reference is hereby made to a boundary map which is on file with the City Clerk. 4. Change of Grade. Notice is hereby given of the fact that in many cases the work and improvements will bring the finished work to a grade different from that formerly existing, and that to the extent the grades are hereby changed, the work will be done to the changed grades. 5. Work on Private Property. In cases where there is any disparity in level or size between the improvements proposed to be made herein and private property and where it is more economical to eliminate such disparity by work on the private property than by adjustment of the work on public property, it is hereby determined that it is in the public interest and more economical to do such work on private property to eliminate such disparity. In such cases, the work on private property shall, with the written consent of the owner of the property, be done and the actual cost thereof may be added to the proposed assessment of the lot on which the work is to be done. 6. Official Grades. This Council does hereby adopt and establish as the official grades for the work the grades and elevations to be shown upon the plans, profiles and specifications. All such grades and elevations are to be in feet and decimals thereof with reference to the datum plane of this City. 7. Descriptions — General. The descriptions of the acquisitions and improvements and the termini of the work contained in this Resolution arc general in 238351 2 f L 3 nature. All items of work do not necessarily extend for the full length of the description thereof The plans and profiles of the work and maps and descriptions as contained in the Engineer's Report, hereinafter directed to be made and filed, shall be controlling as to the correct and detailed description thereof. 8. Special Benefit and BoundaU Map. The contemplated acquisitions and improvements, in the opinion of this Council, are of more than local or ordinary public benefit, and the costs and expenses thereof are made chargeable upon an assessment district, the exterior boundaries of which are shown on a map thereof on file in the office of the City Clerk, to which reference is hereby made for further particulars. The map indicates by a boundary line the extent of the territory included in the proposed district and shall govern for all details as to the extent of the assessment district. 9. riling of Boundary Map. The City Cleric is directed to file a copy of the Boundary Map with the County Recorder not later than 15 days after the adoption by this Board of the resolution setting a time and place for heating on the written report of the Engineer of Work as hereinafter defined. 10. Enainee5 i Report. Albert A. Webb & Associates is the engineer for this assessment district (the "Engineer of Work"), and the Engineer of Work is hereby directed to make and file with the City Cleric a report in writing, presenting the following: a. Maps and descriptions of the lands and casements to be acquired, if any, b. Plans and specifications of the proposed improvement if the improvements are not already installed. The plans and specifications do not need to be detailed and are sufficient if they show or describe the general nature, location, and extent of the improvements. If the assessment district is divided into zones, the plans and specifications shall indicate the class and the type of improvements to be provided for each zone. The plans or specifications may be prepared as separate documents, or either or both may be incorporated in the Engineer's Report as a combined document. C. A general description of works or appliances already installed and any other property necessary or convenient for the operation of the improvements, if the works, appliances, or property are to be acquired as part of the improvements. d. An estimate of the cost of the improvements and of the cost of lands, rights-oF-way, easements, and incidental expenses in connection with the improvements, including any cost of registering bonds. e. A diagram showing, as they existed at the time of the passage of this Resolution, all of the following: (i) The exterior boundaries of the assessment district. (ii) The boundaries of any zones within the district. 23835I i � 33 J (iii) The lines mid dimensions of each parcel of land within the district. Each subdivision, shall be given a separate number upon the diagram. The diagram may refer to the county assessor's maps for a detailed description of the lines and dimensions of any parcels, in which case those maps shall govern for all details concerning the lines and dimensions of the parcels. f. A proposed assessment of the total amount of the cost and expenses of the proposed improvement upon the several subdivisions of land in the district in proportion to the estimated benefits to be received by each subdivision, respectively, from the improvement. In the case of an assessment for installation of planned local drainage facilities which are financed, in whole or in part, pursuant to Section 66483 of the California Government Code, the assessment levied against each parcel of subdivided land may be levied o1r the basis of the proportionate storm water runoff from each parcel. The assessment shall refer to the subdivisions by their respective numbers as assigned pursuant to subdivision (e). g. A proposed maximum amoral assessment upon each of the several subdivisions of land in the district to pay costs incurred by this City and not otherwise reimbursed which result from the administration and collection of assessments or From the administration or registration of any associated bonds and reserve or other related funds. h. Included in the incidental expenses to be assessed against properties located within Assessment District No. 1991-3 shall be the following: (i) A special reserve find for the bonds to be issued (as set forth in Section 11 below), which fund is to be established pursuant to Part 16 of Division 10 of the Code, Sections 8880 et sere., in an amount not to exceed ten percent (10%) of the proceeds of said bonds. (ii) Capitalized interest on said bonds for a period of not to exceed two years from their dale of issue. (iii) Initial Fees of a trustee for said bonds to be selected by the Director of Finance of the City. When any portion or percentage of the costs and expenses of the acquisitions and improvements is to be paid from sources other than assessments, the amount of such portion or percentage shall first be deducted from the total estimated cost and expenses of the acquisitions and improvements, and the assessment shall include only the remainder of the estimated cost and expenses. 11. Issuance of Bonds. Serial bonds or term bonds, or both, (the "Bonds") bearing interest at a rate not to exceed twelve percent (12%) per annum shall be issued to represent each assessment remaining unpaid for thirty (30) days after the date of recordation of the Notice of Assessment. The last installment of the bonds shall mature a 2MB 1 4 1 & 25 maximum of twenty five (25) years from the second day of September next succeeding twelve (12) months from their date. The bonds are as authorized under the Act, and are to be issued pursuant to and as provided in the Improvement Bond Act of 1915, Division 10 of the Streets and Highways Code. The principal amount of bonds maturing, or subject to mandatory redemption from sinking fund installments in the case of term bonds, each year shall be such that the amount of principal maturing each year plus the amount of interest payable in that year will be an aggregate ariotmt that is substantially equal each year, except for the amounts becoming due on the first series of the bonds of any division which shall be adjusted to reflect the amounts of interest earned from the date of the bonds to the date when the first interest is payable on such bonds. The bonds may be issued in divisions as permitted by Section 8650.1 of the Streets and Highways Code. 12.No Obligation to Cure Deficiencies. hi the event of any deficiency in the bond redemption Fund to be established hereafter in these proceedings, the District will not be obligated to advance available funds from the District treasury to cure any such deficiency. 13. Use of SuLplus. If any excess shall be realized from the assessment it shall be used, in such amounts as this Council may detennine, in accordance with the provisions of the Act, for one or more of the following purposes: a. Transfer to the general fund of this City, provided that the amount of any such transfer shall not exceed the lesser of 51,000 or 5% of the total amount expended from the improvement fund; b. As a credit upon the assessment and any supplemental assessment or in the manner provided in Section 10427.1 of the Code; C. For the call and redemption of Bonds; or d. For the maintenance of the Project. 14. Contact Person. Thomas M. Kanarr, Director of Finance and Treasurer of the City, is hereby designated as the person to answer inquiries regarding any protest proceedings to be had herein, and may be contacted during regular office hours at 3200 E. Talrquitz Canyon Way, Palm Springs, CA 92262, or by calling telephone number (760) 323-8221. 15. Contracts with Others. To the extent that any of the work, rights, improvements and acquisitions indicated in the Engineer's Report, to be made as provided herein, are shown to be comiected to the facilities, works or systems of or are to be owned, managed and controlled by, any public agency other than this City, or of any public utility, it is the intention of this Council to enter into an agreement with such public agency or public utility pursuant to Chapter 2 (commencing with Section 10110) of the Act, which agreement may provide for, among other matters, the ownership, operation and maintenance by such agency or utility of the works, rights, improvements and acquisitions, and may provide for the installation of all or a portion of such 23h351 5 improvements by the agency or utility and for the providing of service to the properties in the area benefiting from the work, rights, improvements and acquisitions by such agency or utility in accordance with its rates, rules and regulations, and that such agreement shall become effective after proceedings have been taken For the levy of the assessments and sale of bonds and fiord are available to carry out the terms of any such agreement. 16. Refunding of Bonds. The bonds may be refunded pursuant to the provisions of Division 11.5 of the California Streets and Highways Code upon the determination of the Council of the City that the public interest or necessity requires such refunding. Such refunding may be undertaken by the Council when, in its opinion, lower prevailing interest rates may allow reduction in amount of the installments of principal and interest upon the assessments given to owners of property assessed for the works herein described. The refunding bonds shall bear interest at a rate not to exceed that which is stated in the resolution of the Council expressing its intention to issue the refunding bonds, which resolution of intention shall also set Forth the maximum term of years of the refunding bonds. Any adjustment to assessments resulting From the refunding will be done on a pro-rata basis. The refunding shall be accomplished pursuant to Division 11.5 (commencing with Section 9500) of the California Streets and Highways Code, except that, if, following the filing of the Engineer's Report, the Council finds that each of the conditions specified in the resolution of intention to issue the refunding bonds is satisfied and that adjustments to the assessments are on a pro-rata basis, the Council may approve and confirm the Engineer's Report and may, without further proceedings, authorize, issue and sell the refunding bonds pursuant to Chapter 3 (cormmencing with Section 9600) of Division 11.5 of the California Streets and Highways Code. 17. Special Reserve Fund. Pursuant to Part 16 (commencing with Section 8880) of Division 10 of the Streets and Highways Code, there shall be included in the assessments to be levied on the land in the Assessment District, as an incidental expense of the proceedings, an amount not to exceed ten percent (10%) of the amount of the bonds to be issued to create a special reserve fund for the bonds. Said special reserve fund shall be identified for all purposes with respect to the bonds which are to be issued as provided in Section 4 hereof as the "Assessment District No. 161 Reserve Fund," or by a substantially similar designation, and upon receipt of the bond sale proceeds, said proceeds shall be transferred to said special reserve fund. Said special reserve fund shall constitute a trust fund for the benefit of the bondholders, and shall be maintained, used, transferred, reimbursed and liquidated as provided in said Part 16. 18, No Private Contract Notice is hereby given that, in the opinion of this Council, the public interest will not be served by allowing the property owners to take the contract for the construction of the improvements and therefore that, pursuant to Section 20487 of the California Public Contract Code, no notice of award of contract shall be published. 19. Collection and Advance Payments of Assessments. It is the intention of this Council that collection of assessments, advance retirement of the bonds, and advance payment of assessments shall be conducted and accomplished in accordance with the alternative procedure specified by Sleets and Highways Code Sections 8760, et 2M5 1 6 �6(� 20. Penalty for Delinquent Payments of Assessments. A penalty of two percent (2%) per month of the total amount of any delinquent installment shall be added to the delinquent installment after the close of business on the delinquency date and an additional penalty of two percent (2%) of the amount of the delinquency shall be added al the beginning of business on the tenth (10`1') day of each succeeding month until that delinquent installment and all penalties thereon are fully paid. This penalty shall be in lieu of all other penalties assessed by other provisions of the law. The County Treasurer and Tax Collector, as the collection agent for the district, shall collect the penalties with, as the part,of, the delinquent installments. All penalties collected shall be paid over to the bank appointed by the City as trustee, registrar, paying agent and transfer agent, and upon such payment being made, all such payments shall be deposited in the redemption fund for the bonds. 21. No Proceedings Under Special Assessment Investigation, Limitation and Majority Protest Act of 1931 Required. A petition signed by the owners of more than sixty percent (60%) of the property proposed to be assessed for the cost of the acquisitions and improvements waiving, among other things, the provisions of the Special Assessment Investigation, Limitation and Majority Protest Act of 1931, Division 4 of the Streets and Righways Code, is on file in the office of the City Clerk and written evidence satisfactory to the Council has been submitted indicating that the proposed assessment will not exceed seventy-five percent (75%) of the estimated fair market value of any land to be assessed as valued after the proposed public improvements are constructed as to the lands which are in the process of being subdivided, and as to which Sections 2804.1 and 28042 apply, and proceedings under said Act will not be taken. 22. Annual Assessment for Administrative Costs. This Council hereby makes the following costs incurred by the City, and not otherwise reimbursed, chargeable on each parcel in Assessment District No. 161 in an annual amount not to exceed two percent (2%) of the annual assessment due on each said parcels, referred to more particularly in the report of the Engineer of Work: a. Costs resulting from the administration and collection of assessments; b. Costs resulting from the administration and registration of the bonds; and c. Costs resulting from the administration of the reserve fund and other related funds established in connection with bonds, including without limitation the costs and expenses associated with complying with federal arbitrage requirements. 23. References to Statutory Provisions. All references in this resolution to statutory provisions of the Streets and Highways Code shall be deemed to include any and all amendments to those provisions 7 23833.1 7 24. Repeal of Inconsistent Resolutions. Any resolution of this City Council, and any part or such resolution, inconsistent with this resolution, is hereby repealed to the extent of such inconsistency. 25. Effective Date. This resohdion shall become effective upon the date of its adoption. ADOPTED this day of 12003 AYES: NOES: ABSENT: ATTEST: CITY OF PALM SPRINGS, CAETFORNIA By: City Clerk City Manager REVIEWED & APPROVED 23835 1 8 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING 13OUNDARY MAP OF PROPOSED ASSESSMENT DISTRICT NO. 161 AND ORDERING SAME FILED AND RECORDED. Assessment District No. 161 (Mountain Gate) WHEREAS, this City Council of the City of Palm Springs (the "Council" and "City") proposes to take proceedings for the formation of a special assessment district to be designated "Assessment District No. 161" pursuant to the Municipal Improvement Act of 1913, Division 12 of the Streets and Highways Code, for the acquisition and construction of certain public improvements; and WHEREAS, a boundary map of said proposed special assessment district has been presented to this Council; NOW, THEREFORE, the City Council of the City of Palm Springs, California DOES HEREBY FIND, RESOLVE, DETERMINE AND ORDER: 1. Seclioul. Approval ofl3,oundarvMap. The boundary map of proposed Assessment District No. 161 is hereby approved. 2. Section 2. Filing of Map in Board Clerk's Office. The City Clerk is hereby directed to place said map on file in said Clerk's office and to note thereon the approval of said map by this Council as provided herein. 3. Section 3. Recording of Map. The City Clerk is hereby directed to record said map in the office of Riverside County Recorder within fifteen (15) days after the adoption by this Council of the resolution fixing the time and place of the hearing on the Engineer of Work's report. 4. Section 4. Repeal of Inconsistent Resolutions. Any resolution of the Council and any part of such resolution inconsistent with this resolution is hereby repealed to the extent of such inconsistency. 5. Section 5. Effective Date. This resolution shall be effective upon the date of its adoption. 23SSS.1 l :I: 4• ADOPTED this day of _m 2003 AYES: NOES: ABSENT: ATTEST: CITY Ol PALM SPRINGS, CALIFORNIA By: City Clerk City Manager REVIEWED & APPROVED wm__ �� RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL, OF THE CITY OF PALM SPRINGS, CALIFORNIA, PRELIMINARILY APPROVING REPORT OF ENGINEER OF WORK AND FIXING TIME. AND PLACE OF HEARING THEREON Assessment District No. 161 (Mountain Gate) WHEREAS, this City Council ("Council") of the City of Palm Springs has heretofore adopted its Resolution of Intention, Resolution No. , declaring its intention to acquire and construct certain public improvement work (the "Project") within proposed Assessment District No. 161, under the Municipal Improvement Act of 1913, Division 12 of the Streets and Highways Code of the State of California; and WHEREAS, the Council, in said Resolution No. , directed the Engineer of Work ("Engineer") to procure the required information and prepare and present to the Board a written report on the Project required by said Municipal Improvement Act of 1913; and WHEREAS, the Engineer has prepared such report and presented it to this Council on this date; NOW, THEREFORE, the City Council of the City of Palun Springs, California DOES HEREBY FIND, RESOLVE, DETERMINE AND ORDER as follows: Section 1. Preliminary Aap oval of Report. Said report be and the same hereby is preliminarily approved, and the City Clerk is directed forthwith to endorse the fact and date of such approval on said report in the office of the City Clerk ("Clerk"). Section 2. Time and Place of Hearing. That the 23Td day of July, 2003, at the hour of seven o'clock P.M., in the Council Chambers, 3200 E. Tahquitz Canyon Way, Palm Springs, California, is hereby fixed as the time and place of hearing on said report, and such hearing shall be held by this Council. Section 3. Mailing of Notice. The Clerk is hereby Further directed to cause notice of such hearing at which the Project will be considered to be mailed at least fouly- five (45) days prior to such hearing as provided in said Municipal Improvement Act of 1913, postage prepaid, to all persons whose property is proposed to be assessed to pay any part of the cost of the Project, whose names and addresses appear on the last equalized roll or as known to the Clerk. Section 4. Mailing of Ballots. The Clerk is hereby directed to cause assessment ballots mailed along with the notices described in Section 3 hereof as required by Governnent Code section 53753. Such ballots shall be tabulated by the Clerk at the conclusion of the hearing. 16 b Section 5. Repeal of Inconsistent Resolutions. Any resolution of the City Council and auy part of such resolution inconsistent with this resolution is hereby repealed to the extent of such inconsistency. Section 6. Effective Date. This resolution shall become effective upon the date of its adoption. a::i::i::k:h:n ADOPTED this day of 12003 AYES: NOES: ABSENT: ATTEST: CITY OF PALM SPRINGS, CALIFORNIA By: City Cleric City Manager REVIEWED & APPROVED 23891 1 2