Resolution - 2004-83RESOLUTION NO. 2004-83
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST
COVINA, CALIFORNIA, DECLARING ITS INTENT TO' ESTABLISH
THE COASTAL SAGE AND SCRUB (CSS) COMMUNITY FACILITIES
DISTRICT
• WHEREAS, the area within the City limits commonly known as the BKK landfill is
currently being developed for the benefit of the City and its residents (the `BKK
developments"); and
WHEREAS, portions of the BKK developments, and adjacent and surrounding areas, are
comprised of environmentally -sensitive habitat, including habitat for endangered species such as
the California gnatcatcher (Polioptila californica californica); and
WHEREAS, the City of West Covina Community Development Commission has entered
into certain agreements with State and/or federal agencies concerning the restoration and
maintenance of sensitive environmental habitat generally within the area of the BKK
developments; and
WHEREAS, the City desires to establish a mechanism to fund the restoration,
maintenance, and preservation of sensitive environmental habitat within the area of the BKK
developments, and to fund the establishment and maintenance of related open space and other
facilities and services; and
WHEREAS, in order to accomplish the foregoing, the City desires to form a community
facilities district pursuant to the Mello -Roos Community Facilities Act of 1982 (Gov't Code §
53311, et seq.), and to levy a special tax on all property within the district for legal -permitted
facilities and services; and
WHEREAS, the City Council exercising independent judgment has determined that the
project meets the criteria for a Class 7, Section 15307 Categorical Exemption, a Class 8, Section
15308 Categorical Exemption, pursuant to the guidelines for implementation of the California
Environmental Quality Act ("CEQA" [Public Resources Code § 21000, et seq.]; "CEQA
Guidelines" [Title 14, Div. 6, Chapt. 3 of the Cal. Code of Regulations]), and that the proposed
project will not have a significant adverse impact on the environment.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of West Covina,
California, as follows:
SECTION 1. In support of Class 7 and 8 Categorical Exemptions for this action (14
CCR §§ 15307, 15308), the City Council hereby adopts the following findings:
A. The project will facilitate the establishment, maintenance, restoration and
enhancement of a natural resource, in that the project seeks to establish a community
facilities district which will impose a special tax for the purpose of funding habitat
restoration and maintenance programs pursuant to agreements reached with the U.S.
Fish & Wildlife Service and other federal and State agencies.
B. The formation of a community facilities district for such purpose is authorized by the
Mello -Roos Community Facilities Act of 1982 (Gov't Code § 53311, et seq.), and the
habitat restoration and maintenance programs have been approved by all requisite
federal and State authorities, and by the City Council of the City of West Covina.
SECTION 2. Pursuant to the Mello -Roos Community Facilities Act of 1982 (Gov't
Code § 53311, et seq.), the City Council hereby declares its intent to establish a community
facilities district. Pursuant to Section 53321 of the California Government Code, the City
Council hereby determines the following:
A. The proposed district shall be formed pursuant to Chapter 2.5 of Division 2, Part 1, of
Title 5 of the California Government Code;
B. The proposed boundaries of the district shall correspond with the boundaries
indicated on the map attached hereto as "Exhibit A" and incorporated herein by
reference;
C. The name for the proposed district is "Community Facilities District No. One, Coastal
Sage and Scrub (CSS) Community Facilities District' (hereafter, the "District');
• D. The public facilities and services proposed to be financed by the District are the
following:
1. Maintenance for parks, parkways, and open space;
2. Implementation of the "Conceptual Coastal Sage Scrub Conservation and
Monitoring Plan" (the "CSS Plan") submitted to the U.S. Army Corps of
Engineers and the U.S. Fish & Wildlife Service. A full and complete copy of the
CSS Plan is on file at the offices of the City Clerk and shall be made available to
the public upon request. In general, the facilities and services required under the
CSS Plan are as follows:
a. Establishment of approximately 23 acres of coastal sage scrub within
disturbed and non-native annual grassland portions of open space and
manufactured slopes of the District;
b. Monitoring site preparation activities, native seed mix application, CSS Plan
implementation, and overall site performance. Site preparation activities
include protection of existing native plan species, weed removal, soil
treatments, ripping, auguring, inoculation, irrigation installation, and seed mix
application;
c. Performing all site preparation procedures, irrigation system installation,
application of native seed mix to designated areas, maintenance tasks, and
facilitating compliance with all site performance standards. Maintenance
tasks include a three to five-year maintenance program providing for
protection of the site area, erosion control, signage installation, weed control, ,
replacement, trash removal, pest control, and cowbird monitoring and
trapping. Maintenance tasks may include extended maintenance beyond the
three to five-year program period;
d. Implementation and monitoring, including site inspection and assessment of
CSS Plan progress and success, site monitoring and evaluation;
e. Site status documentation, including preparation of an installation summary
report, progress reports, and annual status reports.
3. Implementation of such other conservation measures as are or may be required by
the U.S. Fish & Wildlife Service, the U.S. Army Corps of Engineers, the
California Department of Fish & Game, or other regulatory agency exercising
jurisdiction over lands within the District ("Conservation Measures"). Full and
complete copies of documents concerning such Conservation Measures are on file
at the offices of the City Clerk and shall be made available to the public upon
request. In general, the facilities and services required by the Conservation
Measures are as follows:
• a. Establishment of a twenty-four acre coastal sage scrub conservation area, for
preservation and management of existing coastal sage scrub (the
"Conservation Area");
b. Establishment of a conservation easement over the CSS Plan and
Conservation Area lands, and implementation of all requirements relating
thereto;
2
c. Monitoring the Conservation Area as required by the Conservation Measures;
d. Fencing and flagging the Conservation Area to mitigate the impact of
construction or other human activities;
e. Salvaging native topsoil and grubbed plant material, and spreading, as
• required by the Conservation Measures;
f. Preparation of a shielded lighting plan for the CSS Plan and Conservation
Area lands, and implementation and maintenance of any final approved
shielded lighting plan for such lands;
g. Implementation and maintenance of a fencing plan as required by the
Conservation Measures;
h. Preparation of a brown -headed cowbird monitoring plan for the CSS Plan and
Conservation Area lands, and implementation and maintenance of any final
approved monitoring plan for such lands;
i. Implementation and maintenance of policies prohibiting landscaping with
plants identified by the California Exotic Pest Plan Council as an invasive risk
in southern California;
j. Implementation and maintenance of policies regarding dumping of trash and
maintenance of fencing adjacent to CSS Plan and Conservation Area lands.
E. Except where funds are otherwise available, a special tax sufficient to pay for all
facilities and services, secured by recordation of a continuing lien against all
nonexempt real property in the District, will be annually levied within the area. The
rate, method of apportionment, and manner of collection of the special tax will be as
follows:
All property within the District shall, in general, be subject to a special tax rate of
no greater than $10,000 per acre. A proposed description of the special tax rate,
method of apportionment, and related matters required by Gov't Code § 53321(d)
are provided in the Draft "Rate and Method of Apportionment of Special Taxes,"
attached to this Resolution as "Exhibit B" and incorporated herein by reference;
2. The special tax to be levied against each property within the District shall be
computed and presented to the Los Angeles County Auditor/Controller
commencing with Fiscal Year 2005/06. The County Auditor/Controller shall enter
on the County Tax Roll opposite each parcel of land the amount of levy, and such
levies shall be collected at the same time and in the same manner as the County
property taxes are collected. After collection by the County, the net amount of the
levy shall be paid to the City.
F. The District does not currently contain any parcels used for private residential
purposes, and the Council hereby declares that no special tax shall be levied within
the District against any parcel that may be subsequently used for private residential
purposes;
G. The City Council hereby fixes December 7, 2004 as the date for a public hearing on
the establishment of the District, to commence at 7:00 p.m. at the City of West
• Covina City Council Chambers, located at 1444 W. Garvey Avenue, West Covina,
California.
H. No adjustment in property taxation to pay prior indebtedness is anticipated or
proposed for the District.
I. Voting procedure on the formation of the District shall be as follows:
3
1. The adoption of a Resolution of Formation for the CSS Community Services
District (pursuant to Section 53325.1) shall be by majority vote of the City
Council.
2. Upon the adoption of a Resolution of Formation, the City Council shall set the
date and time for a special election on the proposed levy of special taxes proposed
• for the District, and for the canvass of returns. The special election shall comply
with all requirements of Sections 53326, 53327, and 53327.5 of the Government
Code, and any other applicable requirements. All time limits for the conduct of
the election may be waived with the unanimous consent of landowners, per
Government Code § 53326(a); in the event of waiver, the City Council may set
the date and time for the special election to occur immediately after the public
hearing on formation.
3. The City Clerk shall cause ballots in legal and acceptable form to be mailed by
certified mail to each landowner within the proposed District. Each ballot shall
indicate the number of votes to be voted by the landowner (i.e., one vote per acre
of land owned, as required by Government Code § 53326(b)). The City Clerk
shall enclose with each ballot the following:
a. A pre -paid envelope addressed to the City Clerk's Office, in order that the
ballot may be returned to the City by mail;
b. An instruction and summary brochure such that each landowner can be
advised of the subject matter of the balloting and the procedure for casting
ballots;
c. An impartial analysis, as required by Section 53327 of the Government Code
(unless waived pursuant to the terms of said Section).
d. Information stating the date for the election, the canvass of returns, and the
public hearing thereon, set by the City Council.
4. All executed ballots shall be either returned to the City Clerk's Office (by mail or
personal delivery) no later than 5:00 p.m. on the date specified by the City
Council for the canvass of returns, or shall be delivered personally to the City
Clerk no later than the close of the public hearing on such date.
5. Following the close of the public hearing, the City Council shall direct a canvass
of returns and shall declare and certify the results thereof. In the even that two-
thirds or more of the votes cast favor the levying of the special tax, the City
Council may thereupon levy the special tax.
SECTION 3. The City Council hereby directs the City Engineer and the Redevelopment
Director, and their designee(s), to study the proposed District and, at or before the time of the
public hearing on formation of the District, file a report with the City Council containing a brief
description of the public facilities and services by type which will in his or her opinion be
required to adequately meet the needs of the District and his or her estimate of the cost of
providing those public facilities and services. In addition, the City Council hereby directs the
City Engineer and the Redevelopment Director to estimate the fair and reasonable cost of those
facilities or incidental expenses.
SECTION 4. The City Council hereby directs the City Clerk to publish notice of the
• public hearing on the formation of the District in the manner required by Section 53322 of the
California Government Code; and to provide written notice of said public hearing to all
landowners within the proposed District in the manner required by Section 53322.4 of the
California Government Code; and to conduct all activities necessary for the election on the levy
of special taxes as may be legal and necessary.
M
APPROVED AND ADOPTED this 19`h day of October, 2004.
Mayor.Michael L. Miller
• ATTEST:
City Clerk Janet Berry
I, JANET BERRY, CITY CLERK of the City of West Covina, do hereby certify that the
foregoing resolution was duly adopted by the City Council of the City of West Covina,
California, at a regular meeting thereof held on the 19'h day of October, 2004, by the following
vote of the City Council:
AYES:
Herfert, Hernandez, Sanderson, Miller
NOES:
Wong
ABSENT:
None
ABSTAIN:
None
V
City Clerk Janet Berry
APPROVED AS TO FORM:
Al-As-'4z- ,.
City Attomey AmoJ6 Alvarez-Glasman
0
5
EXHIBIT A
PROPOSED DISTRICT BOUNDARIES
(attached)
NOTE — all parcels located within the proposed District boundaries are
owned by the following parties:
• • Community Development Commission of the City of West Covina
• City of West Covina
• BKK Corporation
• Eclipse Development Group (pending)
0
EXHIBIT B
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
ANNUAL TAX
A Special Tax shall be levied annually on each Parcel of land within the Maintenance District,
Community Facilities District No. One of the City of West Covina (the "District"), and collected
• according to the Special Tax Liability determined by the City of West Covina (the "City")
through the application of the following procedures. All of the property within the District,
unless otherwise exempted by law or the express provisions of the rate and method of
apportionment expressed below, shall be taxed to the extent and in the manner provided below.
All Special Taxes applicable to Parcels shall be collected in the same manner and at the same
time as ordinary ad valorem property taxes, and Special Taxes so levied will be subject to the
same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad
valorem taxes.
DEFINITIONS
Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the
County of Los Angeles, or if the area of such Parcel is not shown on such Assessor's maps, the
area as shown on a current recorded subdivision map, parcel map, record of survey or other
recorded document creating or describing the Parcel. If the preceding maps are not available, the
area shall be determined bythe City Engineer.
Administrative Expenses means the direct and indirect expenses incurred by the City in
carrying out its duties with respect to the District (including, but not limited to, the levy and
collection of the special taxes) including the fees and expenses of its counsel, any fees of the
County related to the District or the collection of special taxes, an allocable share of the salaries
of City staff directly related thereto and a proportionate amount of the City's general
administrative overhead related thereto, any amounts paid by the City from its general fund with
respect to the District, and all other costs and expenses of the City related to the District.
Building Square Foot or Square Footage means the square footage as shown on a Parcel's
building permit, for residential parcels the building square footage shall exclude garages or other
structures not used as living space.
City means the City of West Covina.
Developed Parcel means Taxable Property for which a foundation building permit or other form
of building permit has been issued as of March 1 of the preceding Fiscal Year.
District means Maintenance District Community Facilities District No. One of the City
of West Covina.
Final Map means a recorded Tract Map or Parcel Map.
Fiscal Year means the period starting on July 1 and ending the following June 30.
Maximum Special Tax means the maximum special tax that can be levied within CFD No. One
by the City Council in any Fiscal Year for each Parcel of Taxable Property.
Non -Residential Parcels shall include each Parcel within the District which is zoned for other
than Residential Uses by the City.
• Non -Residential Uses shall include all Developed Parcels which are not zoned for Residential
Uses including commercial, industrial, and Community Public Facilities (CPF).
Parcel means any Los Angeles County Assessor's Parcel or portion thereof that is within the
boundaries of the District designated on a map of the Los Angeles County Assessor and which
has been assigned a discrete identifying number on the equalized tax rolls of the County.
1
EXHIBIT B
Operating Fund means a fund that shall be maintained for any Fiscal Year to pay for Operations
and Maintenance activities as defined herein including Administrative Expenses and shall
include a Reserve Fund for the District.
I
Operating Fund Balance means the amount of funds in the Operating Fund for each at the end
of the preceding Fiscal Year.
• Operating Fund Requirement means for any Fiscal Year an amount equal to the Operations
and Maintenance Fund Requirement plus Reserve Fund Requirement for the current Fiscal Year
in which Special Taxes are levied.
Operations and Maintenance means those activities defined as follows:
1. Maintenance for parks, parkways, and open space within the District.
2. Implementation of the "Conceptual Coastal Sage Scrub Conservation and Monitoring
Plan" (the "CSS Plan") submitted to the U.S. Army Corps of Engineers and the U.S. Fish
& Wildlife Service. In general, the facilities and services required under the CSS Plan
are as follows:
a. Establishment of approximately 23 acres of coastal sage scrub within disturbed
and non-native annual grassland portions of open space and manufactured slopes
of the District;
b. Monitoring site preparation activities, native seed mix application, CSS Plan
implementation, and overall site performance. Site preparation activities include
protection of existing native plan species, weed removal, soil treatments, ripping,
auguring, inoculation, irrigation installation, and seed mix application;
c. Performing all site preparation procedures, irrigation system installation,
application of native seed mix to designated areas, maintenance tasks, and
facilitating compliance with all site performance standards. Maintenance tasks
include a three to five-year maintenance program providing for protection of the
site area, erosion control, signage installation, weed control, replacement, trash
removal, pest control, and cowbird monitoring and trapping. Maintenance tasks
may include extended maintenance beyond the three to five-year program period;
d. Implementation and monitoring, including site inspection and assessment of CSS
Plan progress and success, site monitoring and evaluation;
e. Site status documentation, including preparation of an installation summary
report, progress reports, and annual status reports.
3. Implementation of such other conservation measures as are or may be required by the
U.S. Fish & Wildlife Service, the U.S. Army Corps of Engineers, the California
Department of Fish & Game, or other regulatory agency exercising jurisdiction over
lands within the District ("Conservation Measures"). Full and complete copies of
documents concerning such Conservation Measures are on file at the offices of the City
Clerk. In general, the facilities and services required by the Conservation Measures are
as follows:
a. Establishment of a 24 acre coastal sage scrub conservation area, for preservation
and management of existing coastal sage scrub (the "Conservation Area");
b. Establishment of a conservation easement over the CSS Plan and Conservation
Area lands, and implementation of all requirements relating thereto;
c. Monitoring the Conservation Area as required by the Conservation Measures;
d. Fencing and flagging the Conservation Area to mitigate the impact of
construction or other human activities;
e. Salvaging native topsoil and grubbed plant material, and spreading, as required by
the Conservation Measures;
f. Preparation of a shielded lighting plan for the CSS Plan and Conservation Area
• lands, and implementation and maintenance of any final approved shielded
lighting plan for such lands;
g. Implementation and maintenance of a fencing plan as required by the
Conservation Measures;
It. Preparation of a brown -headed cowbird monitoring plan for the CSS Plan and
Conservation Area lands, and implementation and maintenance of any final
approved monitoring plan for such lands;
11
EXHIBIT B
i. Implementation and maintenance of policies prohibiting landscaping with plants
identified by the California Exotic Pest Plan Council as an invasive risk in
southern California;
j. Implementation and maintenance of policies regarding dumping of trash and
maintenance of fencing adjacent to CSS Plan and Conservation Area lands.
Operations and Maintenance Fund Requirement means for any Fiscal Year the budgeted
costs for Operations and Maintenance and the budgeted Administrative Expenses of the District
is for the current Fiscal Year in which Special Taxes are levied.
•
Residential Parcels shall include each Parcel within the District which is zoned for Residential
Uses by the City.
Residential Uses shall include those residential uses as permitted in the City zoning ordinance.
Reserve Fund means a fund that shall be maintained to provide necessary cash flow for the first
six months of each Fiscal Year, working capital to cover monitoring, maintenance and repair cost
overruns and delinquencies that may arise in connection with the collection of Special Taxes and
a reasonable buffer against large variations in annual special tax amounts.
Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the
preceding Fiscal Year.
Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund
Requirement for any Fiscal Year.
Special Tax means the special tax or special taxes actually levied within CFD No. One each
Fiscal Year.
Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs within the
District equal to: (i) the Operations and Maintenance Fund Requirement, less the Operating Fund
Balance, and (ii) the Reserve Fund Requirement, less the Reserve Fund Balance.
Tax Categories are those Categories I, II and III described in the body hereof.
Taxable Property is all real property or Parcels within the boundaries of the District which are
not exempt from the Special Tax pursuant to the law or which are not classified or assigned to
the Exempt Category as defined herein.
Categories of Special Taxes
Category I
Category I includes each Developed Parcel within the District. (Category I)
The Maximum Special Tax for Resource Monitoring, and Operations and Maintenance that may
be levied for Fiscal Year 2005/06 on each Developed Parcel shall be at the rates set forth in
Table 1 below. For Residential Parcels the Special Tax shall be levied based upon Building
Square Footage and for Non -Residential Parcels shall be levied based on Acreage. The
Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor
which is the lesser of the annual percentage change in the January to January Los Angels
Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change
in the estimated California Fourth Quarter Per Capita Personal Income as contained in the
Governor's budget published every January.
TABLE 1
Maximum Special Tax
Category I
Operation & Maintenance
Residential Parcels
$10 per s . ft.
Non -Residential Parcels
$10,000 per Acre
3
EXHIBIT B
Category Il
Category II includes each Parcel of Taxable Property within the District for which a Final Map
has been recorded, but which is not classified as a Developed Parcel (Category 11).
The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance
• that may be levied for Fiscal Year 2005-06 on each Parcel in Category II shall be as shown in
Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum
Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the
lesser of the annual percentage change in the January to January Los Angeles Metropolitan Area
All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated
California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget
published every January.
TABLE 2
Maximum Special Tax
Category II
Operation &
Maintenance
$10,000 per Acre
Category III
Category III includes each Parcel of Taxable Property within the District not subject to a Special
Tax under any other category ("Category Ill").
The Maximum Special Tax which may be levied for Fiscal Year 2005/06 on Taxable Property
within Category III shall be as shown in Table 3 below (said amount to be levied pro rata for any
portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year
thereafter by a factor which is the lesser of the annual percentage change in the January to
January Los Angeles Metropolitan Area All Urban Consumer Price Index (All Items) or the
annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income
as contained in the Governor's budget published every January.
TABLE 3
Maximum Special Tax
Category III
Operation &
Maintenance
$10,000 per Acre
Exempt Category
The Exempt Category includes each property owned, conveyed or irrevocably offered for
dedication to a public agency, or land which is in the public right-of-way, unmanned utility
easements which make utilization for other than the purpose set forth in the easement
impractical, common areas, private streets and parks, and open space lots ('Exempt Category").
Assignment to Categories of Special Tax
On or about July 1 of each year, (but in any event in sufficient time to include the levy of the
Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the
District to Category I, Category II, Category III or the Exempt Category. Parcels subject to levy
. shall be determined based upon the records of the Los Angeles County Assessor.
Levy and Apportionment of Special Taxes
The City shall determine the Special Tax Liability in each Fiscal Year on or about every July 1.
Special Taxes shall then be levied on each Parcel classified as the Category I, Category II, or
Category III in the following order of priority:
2
EXHIBIT B
Step 1: Determine the revenue which could be generated by Parcels assigned to Category I by
multiplying the Building Square Footage for Parcels classified as Residential Parcels by
the Maximum Special Tax per Building Square Foot for Operations and Maintenance
for Parcels and adding to that the maximum revenue which could be generated by
multiplying the total acres for Parcels classified as Non -Residential Parcels by the
Maximum Special Tax per Acre for Resource Monitoring and Operations and
Maintenance.
• Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax
Liability, reduce the Special Tax for each Parcel proportionately so that the Special Tax
levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year.
Step 3: If the total revenue as calculated in Step 1 is less than the Special Tax Liability, a
Special Tax shall be levied upon each Parcel, classified as Category II. The Special
Tax for Parcels assigned to Category II shall be calculated as the lessor of:
(i) The Special Tax Liability for Improvement Area A as determined by the City, less
the total revenue generated for all Parcels under Step 1 above, divided by the total
Acres for all Parcels assigned to Category II,
K'
(ii) the Maximum Special Tax rate for Parcels assigned to Category II
Step 4: If the total revenue as calculated in Step 1 and 3 is less than the Special Tax Liability, a
Special Tax shall be levied upon each Parcel classified as Category III. The Special
Tax for Parcels assigned to Category III shall be calculated as the lessor of
(i) The Special Tax Liability as determined by the City, less the total revenue
generated for all Parcels under Step 1 and 3 above, divided by the total Acres for all
Parcels assigned to Category III,
(ii) the Maximum Special Tax rate for Parcels assigned to Category.
However, in the event it is determined that the Special Tax Liability includes delinquent Special
Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the
amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount
of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided
by the total Category III Acres owned by such owner(s) and collected from the applicable
owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special
Taxes to be collected from all Parcels in Category III according to the procedure set forth in the
preceding paragraph.
E