HomeMy WebLinkAboutMINUTES - 09262006 - C.78 A
TO: BOARD OF SUPERVISORS Contra
FROM: John Cullen, County Administrator
Costa
DATE: September 26, 2006 COUNCounty
SUBJECT: TAX EXCHANGE AGREEMENT FOR THE PROPOSED RODDY
RANCH REORGANIZATION ANNEXATION TO THE CITY OF D
ANTIOCH (LAFC 06-12) O
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATION(S):
ADOPT attached Resolution 2006/585 determining the tax exchange for the proposed
Roddy Ranch Reorganization Annexation to the City of Antioch (LAFC 06-12);
APPROVE the attached Memorandum of Agreement establishing the rates, terms, and
conditions for the exchange of tax revenues between the City of Antioch and Contra
Costa County for the annexation, and; AUTHORIZE the Chair, Board of Supervisors to
execute the Memorandum of Agreement.
BACKGROUND/REASON(S) FOR RECOMMENDATION(S):
Section 99 of the Revenue and Taxation Code provides that a city and county shall
agree by resolution to exchange property tax revenues among themselves and any
affected agencies in the event of a jurisdictional change. Attached is Contra Costa
County Resolution 2006/585 and the City of Antioch's Resolution that will be presented
to the Antioch City Council for adoption September 26, 2006.
The subject annexation is planned for LAFCO action in November 2006. The City of
Antioch requests the annexation of +/- 930 acres generally extending from Empire Mine
Road to the ridgeline between Horse Valley and Deer Valley, and westerly from Deer
Valley Road, including the already developed Roddy Ranch golf course. The site is
within the City's sphere of influence boundaries.
The tax exchange agreement stipulates that master tax transfer agreement (Contra
Costa County Resolution 80/1366) will apply, subject to the condition that the total
amount of property tax revenues the City is to receive from the territory of the subject
annexation shall be reduced by an amount equal to 45% of the sum of the sales tax
revenue and transient occupancy tax revenue received by the City. The Antioch City
Council adopted a Memorandum of Agreement on August 22, 2006 confirming the
terms outlined in attached Contra Costa County Resolution 2006/585.
CONTINUED ON ATTACHMENT: X YES SIGNATURE-
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--j,::��ECOMMENDATION OF COUNTY ADMINISTRATOR RECOMME TION OF BOARD COM E
_APPROVE OTHER
SIGNATURE(S): r
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ACTION OF BO D N PPROVE AS RECOMMENDED�_ OT R
VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE
AND CORRECT COPY OF AN ACTION TAKEN
UNANIMOUS(ABSENT AND ENTERED ON T E MINUTES OF THE
BOARD OF SUPE '
ORS ON THE DATE
AYES: NOES: SHOWN.
ABSENT: ABSTAIN:
J
ATTESTED
CONTACT: HNC L C K OF THE BOARD
OF SUPERVISORS AND COUNTY
ADMINISTRATOR .
CC: County Administrator
Auditor-Controller
LAFCO
Community Development
County Counsel
City of Antioch—Attn: Victor Carniglia
THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA
Adopted this Resolution on September 26, 2006, by the following vote:
AYES: Uilkema,Piepho,DeSaulnier,Glover and Gioia
NOES: None
ABSENT: None
ABSTAIN: None
Resolution No. 2006/585
Subject: Determination of Property Tax
Exchange for the Roddy Ranch
Reorganization to the City of
Antioch (LAFC 06-12)
WHEREAS, Section 99 of the Revenue and Taxation Code provides that a city and county
shall agree by Resolution to exchange property tax revenues among themselves and any
affected agencies in the event of a jurisdictional change; and
WHEREAS, the City of Antioch and Contra Costa County have agreed that for the Roddy
Ranch Reorganization (LAFC 06-12), the Master Property Tax Transfer Agreement (Contra
Costa County Resolution 80/1366), subject to additional terms and conditions regarding the
exchange of transient occupancy and sales tax revenues as set forth herein, shall apply,
and;
WHEREAS, the City of Antioch and the County have further agreed that this annexation is
subject to the condition that the total amount of property tax revenues the City is to receive
in any tax year pursuant to the provisions of the master agreement from the territory of the
subject annexation shall be reduced by an amount equal to 45% of the sum of the sales tax
revenue and transient occupancy tax revenue received by the City during the preceding tax
year from the area annexed. Any such reduction, however, shall not result in a "negative
transfer' (i.e. a net transfer from City to County). The City will report to the County Auditor-
Controller by August 1 of each year the total amount of transient occupancy tax and sales
tax revenue received by the City from the territory of the subject annexation during the
preceding tax year. The Auditor-Controller shall have the right to audit the City's books to
verify such amount.
NOW, THEREFORE, THE BOARD OF SUPERVISORS DOES RESOLVE AS FOLLOWS:
In accordance with Section 99 of the Revenue and Taxation Code, the property tax transfer
for the affected agencies in the area of the Roddy Ranch Reorganization to the City of
Antioch (LAFC 06-12) shall be in accordance with the master property tax agreement
subject to the sales and transient occupancy tax offset condition specified above and in the
Memorandum of Agreement establishing the rates, terms, and conditions. Said property tax
transfer agreement applies to the affected territory as submitted or revised by the Local
Agency Formation Commission. This resolution does not change the property tax revenues
accruing to other agencies serving the subject territory or the affected districts' rights to
collect taxes for existing bonded indebtedness.
I hereby certify that this is a true and correct copy
of an action taken and entered on the minutes of
the Board of Supervisors on the date shown:
ATTESTED: (date)4�
ab �
JOHN CULLEN, Clerk of the Board of
Supervisors and County Administrator
By eputy
Contact: Rich Seithel (335-1024)
cc: County Administrator
Auditor-Controller
County Counsel
LAFCO
City of Antioch
RESOLUTION NO. 20061585
t
MEMORANDUM OF AGREEMENT ESTABLISHING THE RATES,TERMS AND
CONDITIONS FOR THE EXCHANGE OF TAX REVENUES BETWEEN THE CITY OF
ANTIOCH AND CONTRA COSTA COUNTY FOR THE RODDY RANCH
REORGANIZATION AREA
WHEREAS, on December 16, 1980, the City and the'County entered into an agreement
entitled "Master Property Tax Transfer Agreement for Allocation of Property Tax Between the
County of Contra Costa and City of Antioch upon Jurisdictional Changes ("Master Agreement"),
which both entities adopted by resolution, and
WHEREAS, in November 2003, City adopted its updated 2003 General Plan, which,
among other things, established a set of goals, policies and programs related to the future
development of the Roddy Ranch Focus Area; and
WHEREAS, in September 2005, the Contra Costa LAFCO approved an application to
amend the City's Sphere of Influence, and the Delta Diablo Sanitary District's Sphere of
Influence, to include the Roddy Ranch Focus Area, and
WHEREAS, in November 2005, the City's voters approved "Measure K" establishing a
City Urban Limit Line, which includes the approximately 930-acre Horse Valley portion of the
larger 2100 acre Roddy Ranch Focus Area (the Horse Valley portion of the Roddy Ranch Focus
Area is hereinafter referred to as the"Roddy Ranch Reorganization Area"); and
WHEREAS, Measure K prezoned the Roddy Ranch Reorganization Area, and adopted a
development agreement between the City and landowners within the Roddy Ranch
Reorganization Area, and
WHEREAS, consistent with LAFCO's adopted spheres of influence and Measure K's
voter approval, the City has filed an application with LAFCO for a reorganization of the Roddy
Ranch Reorganization Area into the City and into the service area boundary of the DDSD, and
WHEREAS, the Master Agreement will continue to apply to, and govern the allocation
of property tax revenues generated from the Roddy Ranch Reorganization Area, as amended and
clarified by the Memorandum of Agreement Establishing the Rates, Terms and Conditions for
the Exchange of Tax Revenues between the City of Antioch and Contra Costa County for the
Roddy Ranch Reorganization Area.
NOW THEREFORE BE IT DETERMINED that this Memorandum of Agreement
(Agreement) establishes the rates, terms, and conditions. for the exchange of tax revenues
between the City of Antioch and Contra Costa County for the Roddy Ranch Reorganization Area
by and between the City of Antioch, a municipal corporation ("City"), and the County of Contra
Costa, a political subdivision of the State of California, ("County").
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1. The parties hereby agree that the reorganization be subject to the condition that,
notwithstanding any potential exclusions specified in the Master Agreement, the Master
Agreement will apply to and govern the allocation of property tax revenues generated
from the Roddy Ranch Reorganization Area. The Master Agreement will apply to this
reorganization for the allocation of property tax revenue irrespective of the assessed value
of the Roddy Ranch Reorganization Area. The parties agree and affirm that, pursuant to
California Revenue and Taxation Code section 99, the Master Agreement shall apply to
determine the allocation between the parties of property tax revenue generated from the
Roddy Ranch Reorganization Area in lieu of the negotiation process set forth in Revenue
and Taxation Code section 99.
2. The parties further agree that the reorganization shall be subject to the condition that the
total amount of property tax revenues the City is to receive in any tax year pursuant to the
provisions of the Master Agreement from the Roddy Ranch Reorganization Area, shall be
reduced by an amount equal to 45% of the sum of the sales tax revenue and transient
occupancy tax revenue received by the City during the preceding tax year from the
Roddy Ranch Reorganization Area. Any such reduction shall not result in a "negative
transfer" (i.e. net transfer of funds from City to County). The City will report to the
County Auditor/Controller by August 1 of each year the total amount of transient
occupancy tax and sales tax revenue received by the City during the preceding year, as
specified above. The Auditor/Controller shall have the right to audit the City's books to
verify such amount.
3. The parties agree that the appraisal of the Roddy Ranch Reorganization Area for
purposes of determining the amount of property tax revenue subject to allocation under
the Master Agreement is pending, and shall be conducted in accordance with the
procedures set forth in Revenue and Taxation Code Sections 99. The parties herein agree
to negotiate in good faith regarding the valuation of the Roddy Ranch Reorganization
Area for purposes of applying the formula and allocation set forth in the Master
Agreement, as modified by Paragraph 2 of this Agreement.
4. All exhibits attached to this Agreement and referenced herein are deemed incorporated in
and made a part of this Agreement. To the extent that any provision of this Agreement
conflicts with any provision set forth in the Master Agreement, this Agreement shall
control.
5. This agreement does not change the property tax revenues accruing to other agencies
currently serving the subject territory, or such agencies' rights to collect taxes for existing
bonded indebtedness.
6. This instrument and the attached exhibits constitute the entire agreement between the
parties relating to the subject matter of this Agreement.
As adopted by the City Council of the City of Antioch on September 26, 2006. Executed as of
the date(s) indicated below by the County and the City of Antioch:
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RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANTIOCH
APPROVING THE AGREEMENT ESTABLISHING THE RATES, TERMS AND
CONDITIONS FOR THE EXCHANGE OF TAX REVENUES BETWEEN THE
CITY OF ANTIOCH AND CONTRA COSTA COUNTY FOR THE RODDY
RANCH REORGANIZATION AREA
WHEREAS, on December 16, 1980, the City and the County entered into an agreement
entitled "Master Property Tax Transfer Agreement for Allocation of Property Tax
Between the County of Contra Costa and City of Antioch upon Jurisdictional Changes
("Master Agreement"), which both entities adopted by resolution, and
WHEREAS, in November 2003, City adopted its updated 2003 General Plan, which,
among other things, established a set of goals, policies and programs related to the future
development of the Roddy Ranch Focus Area; and
WHEREAS, in September 2005, the Contra Costa LAFCO approved an application to
amend the City's Sphere of Influence, and the Delta Diablo Sanitary District's Sphere of
Influence, to include the Roddy Ranch Focus Area, and
WHEREAS, in November 2005, the City's voters approved "Measure K" establishing a
City Urban Limit Line, which includes the approximately 930-acre Horse Valley portion
of the larger 2100 acre Roddy Ranch Focus Area (the Horse Valley portion of the Roddy
Ranch Focus Area is hereinafter referred to as the "Roddy Ranch Reorganization Area");
and
WHEREAS, Measure K prezoned the Roddy Ranch Reorganization Area, and adopted a
development agreement between the City and landowners within the Roddy Ranch
Reorganization Area, and
WHEREAS, consistent with LAFCO's adopted spheres of influence and Measure K's
voter approval, the City has filed an application with LAFCO for a reorganization of the
Roddy Ranch Reorganization Area into the City and into the service area boundary of the
DDSD, and
WHEREAS, the Master Agreement will continue to apply to, and govern the allocation
of property tax revenues generated from the Roddy Ranch Reorganization Area, as
amended and clarified by the Memorandum of Agreement Establishing the Rates, Terms
and Conditions for the Exchange of Tax Revenues between the City of Antioch and
Contra Costa County for the Roddy Ranch Reorganization Area.
NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Antioch
does hereby approve and authorize the Mayor to sign the attached Memorandum of
Agreement Establishing the Rates, Terms and Conditions for the Exchange of Tax
Revenues between the City of Antioch and Contra Costa County for the Roddy Ranch
Reorganization Area.
COUNTY OF CONTRA COSTA,
A p 'tical bdivis' of the'State of California
By: _
Chair r o of the Board of Supervisors
Date:
By:
Cle of the Board of Supervisors
CITY OF ANTIOCH,
a Municipal Corporation
By:
Mayor of the City of Antioch
Date:
Approved as to Form:
Lynn Tracy Nerland, City Attorney
Attest:
L. Jolene Martin, City Clerk
EXHIBITS:
A: Master Property Tax Transfer Agreement for Allocation of Property Tax Between
the County of Contra Costa and City of Antioch upon Jurisdictional Changes
(R. &T.C. § 99(d))
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I HEREBY CERTIFY that the foregoing resolution was passed and
adopted by the City Council of the City of Antioch at a regular meeting thereof, held on
the day of , 2006, by the following vote:
AYES:
NOES:
ABSENT:
CITY CLERK OF THE CITY OF ANTIOCH