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HomeMy WebLinkAboutMINUTES - 05012001 - C.56 ` 13052-25 JH:DJO:brf 04/30/2001 RESOLUTION NO. 200V-168 A RESOLUTION OF INTENTION TO ESTABLISH A COMMUNITY FACILITIES DISTRICT COUNTY OF CONTRA COSTA Community Facilities District No. 2001-1 (Norris Canyon) RESOLVED, by the Board of Supervisors (the "Board") of the County of Contra Costa (the"County"),State of California that: WHEREAS, under the Mello-Roos Community Facilities Act of 1982, as amended (the "Act"), Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing at Section 53311, of the California Government Code, this Board is authorized to establish a community facilities district and to act as the legislative body for a community facilities district; and WHEREAS, this Board, having received petitions from the owners of not less than 10% of the area of land proposed to be included in the proposed community facilities district, now desires to proceed with the establishment of a community facilities district in order to finance costs of public infrastructure necessary or incident to development in the area of the County known as Norris Canyon (also known as Wiedemann Ranch). NOW,THEREFORE, IT IS ORDERED as follows: 1. Authority. This Board proposes to conduct proceedings to establish a community facilities district pursuant to the Act. The Financing Policies For Community Facilities District adopted by the Board on September 13, 1994 (the "Policies") shall apply to the proceedings hereinafter initiated, which Policies are hereby amended to provide that the definitions, standards and assumptions to be used for appraisals shall be determined by County staff on a case-by-case basis, with input from County consultants, and by reference to relevant materials and information promulgated by the State of California. 2. Name of CFD. The name proposed for the community facilities district is County of Contra Costa Community Facilities District No. 2001-1 (Norris Canyon) (the"CFD"). 3. Boundaries Described. The proposed boundaries of the CFD are as shown on the map of it on file with the Clerk of the Board, which boundaries are hereby preliminarily approved and to which map reference is hereby made for further particulars. The Clerk of the Board is hereby directed to record, or cause to be recorded, the map of the boundaries of the CFD in the office of the Contra Costa County Recorder within fifteen days of the date of adoption of this Resolution, but in any event at least fifteen days prior to the public hearing specified below. 4. Facilities. The type of public facilities proposed to be financed by the CFD and pursuant to the Act shall consist of those listed as facilities on Exhibit A hereto and hereby incorporated herein (the "Facilities"). The Board hereby determines that the Facilities are necessary to meet increased demands placed upon local agencies as the result of development occurring within the CFD. The Deputy Director-Redevelopment or any other appropriate officer of the County is hereby authorized and directed to enter into joint community facilities agreements (which may be in the form of an Acquisition Agreement) with any entity that will own or operate any of the Facilities, as may be necessary to comply with the provisions of Section 53316.2(a) and (b) of the Act. The Board hereby declares that such joint agreements will be beneficial to residents in the area of the CFD. 5. Special Tax. Except to the extent that funds are otherwise available to the CFD to pay for the Facilities and/or the principal and interest as it becomes due on bonds issued by the County for the CFD to construct and/or acquire the Facilities, a special tax (the "Special Tax") sufficient to pay the costs thereof, secured by recordation of a continuing lien against all non- exempt real property in the CFD, will be levied annually within the CFD, and collected in the same manner as ordinary ad valorem property taxes, or in such other manner as this Board or its designee shall determine, including direct billing of the affected property owners. The proposed rate and method of apportionment of the Special Tax among the parcels of real property within the CFD in sufficient detail to allow each landowner within the proposed CFD to estimate the maximum amount such owner will have to pay, are described in Exhibit B attached hereto and hereby incorporated herein. This Board hereby finds that the provisions of Section 53313.6,53313.7 and 53313.9 of the Act (relating to adjustments to ad valorem property taxes and schools financed by a community facilities district) are inapplicable to the proposed CFD. 6. Exempt Property. Except as may otherwise be provided by law or by the rate and method of apportionment of the Special Tax for the CFD, all lands owned by any public entity, including the United States, the State of California and/or the County, or any departments or political subdivisions thereof, shall be omitted from the levy of the Special Tax to be made to cover the costs and expenses of the Facilities and the CFD. In the event that a portion of the property within the CFD shall become for any reason exempt, wholly or in part, from the levy of the Special Tax, this Board will, on behalf of the CFD, increase the levy to the extent necessary upon the remaining property within the CFD which is not exempt in order to yield the required debt service payments and other annual expenses of the CFD, if any, subject to the provisions of the rate and method of apportionment of the Special Tax. 7. Election. The levy of the Special Tax shall be subject to the approval of the qualified electors of the CFD at a special election. The proposed voting procedure shall be by mailed or hand-delivered ballot among the landowners in the proposed CFD, with each owner having one vote for each acre or portion of an acre such owner owns in the CFD. 8. Special Tax Bonds. It is the intention of this Board, acting as the legislative body for the CFD, to cause bonds of the County to be issued for the CFD pursuant to the Act to finance in whole or in part the construction and/or acquisition of the Facilities. The bonds shall be in the aggregate principal amount of not to exceed $7,220,000, shall be issued in such series and bear interest payable semi-annually or in such other manner as this Board shall determine, 2 at a rate not to exceed the maximum rate of interest as may be authorized by applicable law at the time of sale of such bonds, and shall mature not to exceed 40'years from the date of the issuance thereof. The Board reserves to itself the right and authority to allow any interested owner of property in the CFD, subject to the provisions of Section 53344.1 of the Act and as it may otherwise impose, and any applicable prepayment penalties as prescribed in the indenture or fiscal agent agreement for any bonds of the County for the CFD, to tender to the Treasurer of the County in full payment or part payment of any installment of special taxes or the interest or penalties thereon which may be due or delinquent, but for which a bill has been received, any bond or other obligation secured thereby, in the manner described in Section 53344.1 of the Act. 9. CFD Report. The Deputy Director-Redevelopment, as the officer having charge and control of the Facilities in and for the CFD, or the designee of such officer, is hereby directed to study said proposed Facilities and to make, or cause to be made, and file with the Clerk of the Board a report in writing, (the"CFD Report") presenting the following: (a) A description of the Facilities by type which will be required to adequately meet the needs of the CFD. (b) An estimate of the fair and reasonable cost of the Facilities including the cost of acquisition of lands, rights-of-way and easements, any physical facilities required in conjunction therewith and incidental expenses in connection therewith, including the costs of the proposed bond financing and all other related costs as provided in Section 53345.3 of the Act. The CFD Report shall be made a part of the record of the public hearing specified below. 10. Public Hearing. Tuesday, June 5, 2001, at 10:00 a.m. or as soon as possible thereafter, in the Board Chambers, 651 Pine Street, Martinez, California, be, and the same are hereby appointed and fixed as the time and place when and where this Board, as legislative body for the CFD, will conduct a public hearing on the establishment of the CFD and consider and finally determine whether the public interest, convenience and necessity require the formation of the CFD and the levy of the Special Tax. 11. Notice of Hearing. The Clerk of the Board is hereby directed to cause notice of the public hearing to be given by publication one time in a newspaper published in the area of the CFD. The publication shall be completed at least seven days before the date of the public hearing specified above. The Clerk of the Board shall also cause notice of the hearing to be given to each property owner within the CFD by first class mail, postage prepaid, to each such owner's addresses as it appears on the most recent tax records of Contra Costa County or as otherwise known to the Clerk of the Board to be correct. Such mailing shall be completed not less than fifteen days before the date of the public hearing. Each of the notices shall be substantially in the form specified in Section 53322 of the Act. 12. Appointment of Consultants. The firm of Stone & Youngberg LLC is hereby designated as Underwriter for the CFD, Jones Hall, A Professional Law Corporation is hereby designated as bond counsel for the CFD, and Goodwin Consulting Group, Inc. is hereby 3 designated as special tax consultant for the CFD. The fees and expenses of such firms for matters related to the CFD and the bonds to be issued therefore shall be payable solely from the proceeds of the bonds or contributions by the owners of property within the CFD. The Deputy Director, Redevelopment is hereby authorized to execute professional services agreements with Bond Counsel and Special Tax Consultant. PASSED AND ADOPTED at the regular meeting of the Board of Supervisors of the County of Contra Costa, State of California, on this 1st day of May, 2001, by the following vote to wit: AYES: SUPERVISOR GIOIA, GERBER, De SAULNIER, GLOVER, and UILKEMA NOES: None ABSENT: NONE 0-0 Ch r ATTEST: eel John Sweeten County Administrator and Clerk of the Board of Supervisors By: Deputy Clerk 4 EXHIBIT A COUNTY OF CONTRA COSTA Community Facilities District No. 2001-1 (Norris Canyon) DESCRIPTION OF FACILITIES TO BE FINANCED BY THE CFD DESCRIPTION OF FACILITIES The Facilities shown below are to be financed by the above-designated community facilities district (the "CFD") of the County of Contra Costa (the "County"). The Facilities shall include the attributable costs of engineering, design, planning and coordination, together with the expenses related to the issuance and sale of any special tax bonds, including underwriters' discount, appraisals, reserve fund, capitalized interest, bond counsel, special tax consultant, bond and official statement printing and all other expenses incidental thereto. The Facilities shall be constructed pursuant to plans and specifications approved by the County and by the respective officials of the other public entities that will own any of the Facilities. The widening of Norris Canyon Road, an existing County public road, to 34 feet. The sharper curves will be softened and new drainage facilities installed. The widening will start at the intersection of Bollinger Canyon Road and will continue a distance of over 7,700 feet. However, only that portion of Norris Canyon Road within Contra Costa County is included in the CFD. Such improvements will include: grading, pavement, curbs and gutters, rock shoulder, traffic signing and striping and street lights; construction of sanitary sewer mains, structures, fittings and appurtenances; construction of storm drainage pipes, catch basins, structures, fitting and appurtenances; construction of water distribution facilities and appurtenances; construction of joint utility distribution facilities for electrical, telephone, gas, cable, TV, including trenching, conduit and cable installation, pull and splice boxes, fittings and appurtenances, and relocation of overhead facilities; construction of landscaping and irrigation facilities, including soil preparation, landscape materials, irrigation pipes, fittings and appurtenances; required attendant public fees and design and construction engineering fees; and acquisition of all necessary interests in real property. Exhibit A Page 1 EXHIBIT B COUNTY OF CONTRA COSTA Community Facilities District No. 2001-1 (Norris Canyon) RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX Exhibit B Page 1 COUNTY OF CONTRA COSTA COMMUNITY FACILITIES DISTRICT NO. 2001-1 (NORRIS CANYON RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX A Special Tax applicable to each Assessor's Parcel in Community Facilities District No. 2001-1 (herein ACFD No. 2001-1 @)shall be levied and collected according to the tax liability determined by the Board of Supervisors of the County of Contra Costa or its designee, as described below. All of the property in CFD No. 2001-1, unless exempted by law or by the provisions of Section G below, shall be taxed for the purposes, to the extent, and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: AAcre or Acreage@ means the land area of an Assessor=s Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land area shown on the applicable final map, parcel map, or other recorded County parcel map. AAct@ means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, (commencing with Section 53311), Division 2 of Title 5 of the Government Code of the State of California. AAdministrative Expenses@ means any or all of the following: the fees and expenses of any fiscal agent or trustee (including any fees and expenses of its counsel) employed in connection with any Bonds; any costs associated with the marketing or remarketing of the Bonds; the expenses of the Administrator and the County in carrying out their respective duties under any fiscal agent agreement, indenture or resolution with respect to the Bonds or CFD No. 2001-1, including, but not limited to, the levy and collection of the Special Tax, the fees and expenses of legal counsel, charges levied by the County or any division or office thereof in connection with the levy and collection of Special Taxes, audits, continuing disclosure or other amounts needed to pay arbitrage rebate to the federal government with respect to Bonds; costs associated with complying with continuing disclosure requirements; costs associated with responding to public inquiries regarding Special Tax levies and appeals; attorneys=fees and other costs associated with commencement or pursuit of foreclosure for delinquent Special Taxes; costs associated with overhead expense allocations to CFD No. 2001-1; and all other costs and expenses of the County, the Administrator, and any fiscal agent, escrow agent or trustee related to the administration of CFD No. 2001-1. AAdministrator@ shall mean the person or firm designated by the Board to administer the Special Tax according to this Rate and Method of Apportionment of Special Tax. County of Contra Costa CFD No.2001-1 1 April 13,2001 "Annual Interest Component@ means the total amount of interest on Bonds in the calendar year commencing in such Fiscal Year. AAssessor's Parcel@ or AParcel@ means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's Parcel number. AAssessor's Parcel Map@ means an official map of the County Assessor of the County of Contra Costa designating parcels by Assessor's Parcel Number. ABonds@ means any bonds or other debt(as defined in Section 53317(d)of the Act),whether in one or more series, issued by CFD No. 2001-1 under the Act. ABoard@ means the Board of Supervisors of the County of Contra Costa. ACapitalized Interest@ means funds in any capitalized interest account available to pay debt service on Bonds issued by CFD No. 2001-1. ACapitalized Interest Requirement@ means the least of: i)the Annual Interest Component, ii)the difference between the Special Tax Requirement and the amount determined pursuant to Step 1 of Section E hereof, or iii) the amount of Capitalized Interest available. ACounty@ means the County of Contra Costa. ADeveloped Property@ means Taxable Property for which a building permit for construction was issued prior to June 1 of the preceding Fiscal Year. AFiscal Year@ means the period starting July 1 and ending on the following June 30. AHomeowners= Association Property@ means any property within the boundaries of CFD No. 2001-1 which is owned by a homeowners= or property owners= association. ALand Use Class@ means one of the defined land use categories for which a specific Maximum Special Tax is identified in Table 1 in Section C below. AMaximum Special Tax@ means the maximum amount of Special Tax, determined in accordance with Section C below, that can be levied in any Fiscal Year. AOther Property@ means Developed Property which is not Residential Property,Public Property,or Homeowners= Association Property. APlanned Units@ means the number of individual residential units that were expected to be constructed on property within CFD No. 2001-1 as shown in Attachment 1. County of Contra Costa CFD No.2001-1 2 April 13,2001 AProportionately@ means, for Residential Property and Other Property, that the ratio of the actual Special Tax levied in any Fiscal Year to the Maximum Special Tax authorized to be levied in that Fiscal Year is equal for all Assessor=s Parcels of Residential Property and Other Property. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax to the Maximum Special Tax is equal for all Assessor=s Parcels of Undeveloped Property. For Homeowners= Association Property and nonexempt Public Property, "Proportionately" means that the ratio of the actual Special Tax to the Maximum Special Tax is equal for all Assessor=s Parcels of Homeowners= Association Property and Public Property. APublic Property@ means any property within the boundaries of CFD No. 2001-1 that is owned by or irrevocably offered for dedication to the federal government, State of California or other local governments or public agencies. AResidential Property@ means, in any Fiscal Year, any Parcel of Developed Property for the construction of a residential structure which is not Homeowners= Association Property or Public Property. ASpecial Tax@ means a special tax levied in any Fiscal Year that will be used to pay the Special Tax Requirement, as defined below. ASpecial Tax Requirement@ means the total amount needed each Fiscal Year to (i) pay principal and interest on Bonds in the calender year commencing in such Fiscal Year, (ii) create or replenish reserve funds, (iii) cure any delinquencies in the payment of principal or interest on indebtedness of CFD No. 2001-1 which have occurred in the prior Fiscal Year or (based on delinquencies in the payment of Special Taxes which have already taken place)are expected to occur in the Fiscal Year in which the tax will be collected, (iv) pay Administrative Expenses. ATaxable Property@ means all of the Assessor's Parcels within the boundary of CFD No. 2001-1 which are not exempt from the Special Tax pursuant to law or Section G below. ATentative Map@ means the tentative map for Norris Canyon Estates approved by the Board in August 1997. AUndeveloped Property@ means any Parcel of Taxable Property within CFD No. 200 1-1 for which a building permit has not been issued prior to June 1 of the preceding Fiscal Year. B. ASSIGNMENT TO LAND USE CLASS Each Fiscal Year, the Administrator shall categorize each parcel of property in CFD No. 2001-1 as Developed Property or Undeveloped Property, and Parcels of Developed Property shall be further identified as either Residential Property, Other Property, Homeowners= Association Property or Public Property. For each Parcel of Other Property within the CFD, the Administrator shall County of Contra Costa CFD No.2001-1 3 April 13,2001 determine how many Planned Units had been expected on the Parcel in order to assign the Maximum Special Tax pursuant to Section C below. C. MAXIMUM. SPECIAL TAX Pursuant to Section 53321 (d) of the Act, a Maximum Special Tax must be established as a specific dollar amount before a Parcel is first subject to the tax when in private residential use. The following maximum rates shall apply to all Parcels of Taxable Property within CFD No. 2001-1 for each Fiscal Year in which the Special Tax is collected: TABLE 1 MAXIMUM SPECIAL TAX (Fiscal Year 2001-02) * Land Maximum Use Class Description Special Tax (Fiscal Year 2001-02) 1 Residential Property $2,100 per Parcel 2 Other Property $2,100 per Planned Unit of the Parcel before it became Other Property 3 Undeveloped Property $3,360 per Acre Pursuant to Section 53321 (d) of the Act, the Special Tax levied against a Parcel used for private residential purposes shall under no circumstances increase more than ten percent (10%) as a consequence of delinquency or default by the owner of any other Parcel or Parcels and shall, in no event, exceed the Maximum Special Tax in effect for the Fiscal Year in which the Special Tax is being levied. D. MANDATORY PREPAYMENT OF SPECIAL TAX RESULTING FROM TENTATIVE MAP REVISIONS It is possible that a revision in the Tentative Map could result in less Special Tax revenue being available from the CFD. To preclude this result, after CFD No. 2001-1 has been formed, the County shall apply the following steps for every proposed Tentative Map revision: County of Contra Costa CFD No.2001-1 4 April 13,2001 Step 1: The County or its designee shall calculate the Maximum Special Tax revenues that could be collected from the property affected by the proposed Tentative Map revision(the AAfI'ected Property@) prior to the revision being approved; Step 2: The County or its designee shall calculate the Maximum Special Tax revenues that could be collected from the Affected Property if the Tentative Map revision is approved; Step 3: If the amount determined in Step 2 is higher than that calculated in Step 1, the Tentative Map revision may be approved without prepayment of the Special Tax. If the revenues calculated in Step 2 are less than those calculated in Step 1, the County may. not approve the Tentative Map revision unless the landowner requesting the Tentative Map revision prepays a portion of the Special Tax obligation that would have applied to the Affected Property prior to approval of the revision in an amount sufficient to retire a portion of the Bonds and maintain 110% coverage on the Bonds= debt service with the reduced Maximum Special Tax revenues that will result after the Tentative Map revision is approved. The required prepayment shall be calculated using the formula set forth in Section H below. Property owners wishing to prepay the Special Tax as a result of a Tentative Map revision cannot be delinquent on past Special Taxes on the Affected Property. E. METHOD OF LEVY AND COLLECTION OF THE SPECIAL TAX Commencing with Fiscal Year 2001-02 and for each following Fiscal Year, the Administrator shall determine the Special Tax Requirement for that Fiscal Year. The Special Tax shall then be levied as follows: Step 1: The Special Tax shall be levied Proportionately on each Parcel of Residential Property and Other Property up to 100% of the Maximum Special Tax up to the Special Tax Requirement for each Land Use Class for such Fiscal Year as determined pursuant to Section C. The Maximum Special Tax for a Parcel of Other Property shall be the total Maximum Special Taxes for the Planned Units that the Other Property replaced, as determined by the Administrator; Step 2: Determine the Capitalized Interest Requirement, if any, and add it to the amount levied under Step 1; Step 3: if the total of the Capitalized Interest Requirement and the amount levied under Step I is less than the Special Tax Requirement,the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property within the CFD, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C,- County ;County of Contra Costa CFD No.2001-1 5 April 13,2001 Step 4. If additional monies are needed after applying the first three steps, the Special Tax shall be levied Proportionately on each Parcel of Homeowners= Association Property and Public Property which originally had Planned Units, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C. F. MANNER OF COLLECTION The Special Taxes for CFD No. 2001-1 shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however,that prepayments are permitted as set forth in Section H below(and may be required in the case of Tentative Map revisions) and provided further that the County may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner, and may collect delinquent Special Taxes through foreclosure or other available methods. The Special Tax shall be levied and collected until principal and interest on Bonds have been repaid and authorized facilities to be constructed directly from Special Taxes proceeds have been completed. However, in no event shall a Special Taxes be levied after Fiscal Year 2039-2040. G. EXEMPTIONS Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Taxes shall be levied on Public Property, except as otherwise provided in Sections 53317.3 and 53317.5 of the Act. H. PREPAYMENT OF SPECIAL TAX The following definitions apply to this Section H: "Future Facilities Costs" means the Public Facilities Requirements(as defined below)minus public facility costs funded by Previously Issued Bonds, interest earnings on the construction fund actually earned prior to the date of prepayment, Special Taxes, developer equity, and/or any other source of funding. "Outstanding Bonds" means all Previously Issued Bonds which remain outstanding,with the following exception: if a Special Tax has been levied against, or already paid by, an Assessor=s Parcel making a prepayment, and a portion of the Special Tax will be used to pay a portion of the next principal payment on the Bonds that remain outstanding(as determined by the Administrator), that next principal payment shall be subtracted from the total Bond principal that remains outstanding, and the difference shall be used as the amount of AOutstanding Bonds@ for purposes of this prepayment formula. County of Contra Costa CFD No.2001-1 6 April 13,2001 "Previously Issued Bonds" means all Bonds that have been issued by CFD No. 2001-1 prior to the date of prepayment. "Public Facilities Requirements" means either $6,100,000 in 2001 dollars, which shall increase by three percent (3%) on January 1, 2002, and on each January 1 thereafter, or such lower number as shall be determined by the County as sufficient to fund public facilities to be provided by CFD No. 2001-1 under the authorized bonding program for CFD No. 2001-1. The Special Tax obligation applicable to an Assessor's Parcel in CFD No. 2001-1 may be prepaid and the obligation of the Assessor's Parcel to pay the Special Tax permanently satisfied as described herein, provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Special Tax obligation shall provide the County with written notice of intent to prepay. Within 30 days of receipt of such written notice,the County shall notify such owner of the prepayment amount of such Assessor's Parcel. Prepayment must be made not less than 75 days prior to any interest payment date for Bonds to be redeemed with the proceeds of such prepaid Special Taxes. The Prepayment Amount shall be calculated as follows (capitalized terms as defined below): Bond Redemption Amount plus Future Facilities Amount plus Redemption Premium plus Defeasance plus Administrative Fees and Expenses less Reserve Fund Credit equals Prepayment Amount As of the proposed date of prepayment,the Prepayment Amount shall be determined by application of the following steps: Step 1: Compute the total Maximum Special Tax that could be collected from the Assessor's Parcel prepaying the Special Tax in the Fiscal Year in which prepayment would be received by the County. Step 2: Divide the Maximum Special Tax computed pursuant to Step 1 for such Assessor=s Parcel by the lesser of(i) the Maximum Special Tax revenues that could be collected in that Fiscal Year from property in the entire CFD, or(ii) the Maximum Special Tax revenues that could be generated at buildout of property in the CFD based on anticipated land uses at the time the prepayment is calculated. Step 3: Multiply the quotient computed pursuant to Step 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid. (the ABond Redemption Amount@). County of Contra Costa CFD No.2001-1 7 April 13,2001 Step 4: Compute the current Future Facilities Costs. Step S: Multiply the quotient computed pursuant to Step 2 by the amount determined pursuant to Step 4 to compute the amount of Future Facilities Costs to be prepaid (the AFuture Facilities Amount @). Step 6: Multiply the Bond Redemption Amount computed pursuant to Step 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the ARedemption Premium@). Step 7. Compute the amount needed to pay interest on the Bond Redemption Amount starting with the first Bond interest payment date after which the prepayment has been received until the earliest redemption date for the Outstanding Bonds. However, if Bonds are callable at the first interest payment date after the prepayment has been received, Steps 7, 8 and 9 of this prepayment formula will not apply. Step 8: Compute the amount of interest the County reasonably expects to derive from reinvestment of the Bond Redemption Amount plus the Redemption Premium from the first Bond interest payment date after which the prepayment has been received until the redemption date for the Outstanding Bonds. Step 9: Take the amount computed pursuant to Step 7 and subtract the amount computed pursuant to Step 8 (the ADefeasance@). Step 10: The administrative fees and expenses of CFD No. 2001-1 are as calculated by the County and include the costs of computation of the prepayment, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the AAdministrative Fees and Expenses@). Step 11: A reserve fund credit shall be calculated as the reduction, if any, in the applicable reserve fund for the Outstanding Bonds to be redeemed pursuant to the prepayment (the AReserve Fund Credit @). Step 12: The Special Tax prepayment is equal to the sum of the amounts computed pursuant to Steps 3, 5, 6, 9, and 10, less the amount computed pursuant to Step 11 (the APrepayment Amount@). County of Contra Costa CFD No.2001-1 8 AprU 13,2001 Attachment 1 Tentative Map for Norris Canyon Estates County of Contra Costa CFD No.2001-1 9 AprU 13,2001 13052-25 JH:DJO:brf 04/30/2001 RESOLUTION NO. 200 A RESOLUTION OF INTENTION TO INCUR BONDED INDEBTEDNESS COUNTY OF CONTRA COSTA Community Facilities District No. 2001-1 (Norris Canyon) RESOLVED, by the Board of Supervisors (the "Board") of the County of Contra Costa (the"County"),State of California, that: WHEREAS, this Board has this date adopted its Resolution of Intention to Establish a Community Facilities District, stating its intention to form the County of Contra Costa Community Facilities District No. 2001-1 (Norris Canyon) (the "CFD") pursuant to the Mello- Roos Community Facilities Act of 1982, as amended, Chapter 2.5 of Part 1 of Division 2 of Title 5 of the California Government Code (the "Act"), for the purpose of financing certain public improvements (the"Facilities") as further provided in that Resolution; and WHEREAS, this Board estimates the amount required for the financing of a portion of the costs of. the Facilities to be the sum of not to exceed$7,220,000; and WHEREAS, in order to finance a portion of the costs of the Facilities it is necessary to incur bonded indebtedness in the amount of not to exceed $7,220,000 on behalf of the CFD. NOW,THEREFORE, IT IS ORDERED as follows: 1. Bonded Debt. It is necessary to incur bonded indebtedness within the boundaries of the proposed CFD in the amount of up to $7,220,000 to finance the costs of a portion of the Facilities. 2. Purposes of Bonded Debt. The bonded indebtedness is proposed to be incurred for the purpose of financing the costs of the Facilities, including acquisition and improvement costs and all costs incidental to or connected with the accomplishment of said purposes and of the financing thereof, as permitted by Section 53345.3 of the Act. 3. Terms of Bonds. This Board, acting as legislative body for the CFD, intends to authorize the issuance and sale of bonds in the maximum aggregate principal amount of not to exceed $7,220,000, bearing interest payable semi-annually or in such other manner as this Board shall determine, at a rate not to exceed the maximum rate of interest as may be authorized by applicable law at the time of sale of such bonds, and maturing not to exceed 40 years from the date of the issuance of the bonds. 4. Public Hearing. Tuesday, June 5, 2001, at 10:00 a.m., or as soon as possible thereafter, .in the Board Chambers, 651 Pine Street, Martinez, California, be, and the same are hereby appointed and fixed as the time and place when and where this Board, as legislative body for the CFD, will conduct a public hearing on the proposed debt issue and consider and finally determine whether the public interest, convenience and necessity require the issuance of bonds of the of the County on behalf off the CFD. 5. Notices of Hearing. The Clerk of the Board is hereby directed to cause notice of the public hearing to be given by publication one time in a newspaper of general circulation circulated within the CFD. The publication of the notice shall be completed at least seven (7) days before the date specified above for the public hearing. The Clerk of the Board shall also cause notice of the hearing to be given to each property owner within the CFD by first class mail, postage prepaid, to each such owner's addresses as it appear on the most recent tax records of Contra Costa County or as otherwise known to the Clerk of the Board to be correct. Such mailing shall be completed not less than fifteen days before the date of the hearing. Each of the notices shall be substantially in the form specified in Section 53346 of the Act. PASSED AND ADOPTED at the regular meeting of the Board of Supervisors of the County of Contra Costa, State of California, on this 1st day of May, 2001, by the following vote to wit: AYES: SUPERVISOR GIOIA, GERBER, De SAULNIER, GLOVER, and UILKEMA NOES: NONE ABSENT: NONE ATTEST: John Sweeten County Administrator and Clerk of the Board of Supervisors y, i By: // O` Deputy Clerk