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HomeMy WebLinkAboutOB 1 DEV AG 92-001 12-21-92OLD BUSINESS NO. 1 12-21-92 tt i ATE: DECEMBER 21, 1992 i n t e r- C O m TO: WILLIAM A. HUSTON, CITY MANAGER FROM: COMMUNITY DEVELOPMENT DEPARTMENT SUBJECT-' DEVELOPMENT. AGREEMENT 92-001 (LYON) RECOMMENDATION It is recommended that the City Council approve Development Agreement 92-001 by adopting Resolution No. 92-148, as submitted or revised. BACRGROUNDjDISCUSSION On December 7, 1992, the City Council Certified Addendum No. 4 to EIR 85-2 related to Zone Change 92-002 and Development Agreement 92-001 (Lyon) and held first reading of Ordinance No. 1102 to change the land use designation of Lot 12 of Tract 12870 from Medium Density Residential (M) to Medium -High Density Residential (MH). The City Council continued Development Agreement 92-001 to the December 21st meeting to allow the City Attorney to provide revised language related to paragraph 6, Liens and Encumbrances, based upon comments raised at the public hearing by Councilman Saltarelli. The City Attorney has proposed modified language related to the lien covering the property and each dwelling unit with the release of that lien on such unit upon payment of the contribution. CONCLUSION Based upon information presented at the December 7th Council meeting on this item and in light of the revisions proposed by the City Attorney, it is recommended that the City Council approve Development Agreement 92-001 by adopting Resolution No. 92 8, as submitted or revised. Daniel PFoK lanner Senior PlChristine A. Shingl on anner Assistant City Manger Attachments: Resolution No. 92-148 1 3 4 5 6 7 8 9 10 11; 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 92-148 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT 92-001 The City Council of the City of' Tustin does hereby resolve as follows: I. The City Council finds and determines as follows: A. That an application has been filed by The William Lyon Company, requesting approval of Development Agreement 92-001 establishing a mechanism for acceptance by the City of the applicant's agreement to provide 'a financial contribution for construction of park facilities. B. That a public hearing was duly noticed, called and held on said application by the Planning Commission on November 10, 1992 and the City Council on December 7, 1992 and continued to the December 21, 1992 meeting of the City Council. C. That an Environmental Impact Report (EIR 85-2) for the East Tustin Specific Plan has been certified with Addendum No. 4 in conformance with the requirements of the California Environmental Quality Act for the subject project. D. Development Agreement 92-001 is consistent with uses authorized in the East Tustin Specific Plan, as amended by Zone Change 92- 002. E. Development Agreement 92-001 is in conformity with the public necessity, convenience, general welfare and good land use practices in that it would provide a mechanism for financial contributions to be made by the applicant to the City for development of park facilities. F. Development Agreement 92-001 would not affect orderly development of the property in that any future development proposal for the property would be subject to the City's Design .Review and subdivision process. G. Development Agreement 92-001 would have a Positive fiscal impact on the City in that 2 3 a 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 2? 23 24 25 26 27 28 Resolution 92-148 Page 2 voluntary contributions would be made by the applicant to the City which would be used for development of park facilities. II. The City Council hereby approves Development Agreement 92-001, attached hereto as Exhibit A and incorporated herein by reference. PASSED AND ADOPTED at a regular meeting of the Tustin City Council, held on the 21st day of December, 1992. LESLIE ANNE PONTIOUS Mayor MARY E. WYNN City Clerk STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF TUSTIN 1 CERTIFICATION FOR RESOLUTION NO. 92-148 MARY E. WYNN, City Clerk and ex -officio Clerk of the City Council of the City of Tustin, California, does hereby certify that the whole number of the members of the City Council of the City of Tustin is 5; that the above and foregoing Resolution No. 92-148 was duly and regularly introduced, passed, and adopted at a regular meeting of the Tustin City Council, held on the 21st day of December, 1992. COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER:ABSENT: MARY E. WYNN City Clerk RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: City Clerk City of Tustin 300 Centennial Way Tustin, CA 92680 EXEMPT FROM RECORDING FEES PURSUANT TO GOVERNMENT CODE 6103 DEVELOPMENT AGREEMENT This Development Agreement is made this day of 1992, by and between The William Lyon Company, a California corporation, formerly known as Lyon Communities Inc. hereinafter referred to as ("Developer") and the City of Tustin, a municipal corporation hereinafter referred to as ( "City" ) RECITALS WHEREAS, Developer is the owner of approximately 14.14 acres of real property (the "Property") within the City of Tustin, which Property is more particularly described on Exhibit "A" attached and incorporated herein by reference; and WHEREAS, Developer has proposed, and City agrees to the payment of funds to construct the public park improvements ("the funds") in anticipation of proposed rezoning of the Property from medium density residential to medium-high density residential; and WHEREAS, this Development Agreement is adopted pursuant to Government Code Sections 65864 et. seq.; and THEREFORE BE IT RESOLVED, between Developer and City as follows: 1. Proposed Rezoning. Developer has proposed a rezoning of its property and an amendment to the East Tustin Specific Plan under which the Developer proposes to increase the existing allowable density from 18 dwelling units per acre to 25 dwelling units per acre on Lot 12 of Tract 12870. Developer agrees and understands that Developer must submit appropriate rezoning and specific 1 EXHIBIT A plan amendment entitlement applications which shall be subject to the full and unrestricted right of the City to grant, deny or conditionally approve said proposed rezoning without restriction. Developer further acknowledges that the existing zoning for the Property does not allow the construction of dwelling units in excess of 18 dwelling units per acre, as the existing zoning for the Property is medium density residential. 2. Agreement to Pay Park Funds. Developer hereby agrees to pay to City a contribution in the amount of $2,000 for each excess dwelling unit (that is each unit over and above units constructed in excess of 18 units per acre) up to, but not to exceed a maximum of $200,000. As used herein, the term "excess dwelling unit" shall mean each excess dwelling unit constructed by the Developer on the Property in excess of 254 dwelling units. In the event Developer does not receive zoning and specific plan approvals from City to build excess dwelling units, Developer shall have no obligation to pay the above stated funds to City. 3. Timinq of Pavment. To implement paragraph 2 above,, *Developer shall begin paying a "Prorata Per Unit Contribution" per excess dwelling unit at the initial start-up of construction of the project; that is, when the first building permit is obtained for the construction of a dwelling unit on the Property, Developer shall pay a Prorata Per Unit Contribution, and for each building permit thereafter issued to Developer by City. As used in the foregoing sentence, the term "Prorata Per Unit Contribution" shall mean an amount equal to the product of (a) $2,000, multiplied by (b) a fraction, the numerator of which is the total number of dwelling units in excess of 254 for which Developer receives tentative map approval from the City, and the denominator of which is the total number of dwelling units for which Developer receives tentative map approval from the City. If, for any reason, Developer and/or any and all successors -in -interest are unable or fails to build all of the excess dwelling units used in calculating the Prorata Per Unit Contributions, after completion of the project, City shall reimburse Developer, within thirty (30) days of demand therefore, an amount equal to the difference between (y) the actual amount paid by Developer to City in Prorata Per Unit Contributions, minus (z) the product of $2,000 multiplied by the actual number of excess dwelling units constructed by Developer and/or any and all successors -in - interest on the Property. 2 4. Use of Funds. City agrees to use all of the funds solely for construction of public park improvements within the East Tustin Specific Plan area in the City of Tustin. 5. Agreement Running with the Land. Developer's contingent obligation to pay the funds is for the benefit of City and all real property owned by City within the City of Tustin, and is intended to and shall run with the Property and inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns, including without limitation Developer's successors in ownership of the Property. An owner of the Property shall only be obligated to pay for payment of said funds during its period of ownership of the Property, and upon any transfer of ownership, shall be automatically released from all liability hereunder. 6. Liens and Encumbrances. The Property and each parcel and dwelling unit thereof shall be subject to a lien for the obligations prescribed in this Agreement. Upon payment of the Prorata Per Unit Contribution to City for each dwelling unit, the City shall, upon request, deliver to Developer a duly executed release of the lien prescribed herein as to such dwelling unit. In the event Developer does not receive zoning and specific plan approvals from City to build excess dwelling units, Developer shall have no obligation to pay. 7. Mortgage or Deed of Trust. The breach or the attempt to breach any of the covenants or other provisions contained herein, shall not defeat, affect or render invalid the lien or charge of any mortgage or deed of trust made in good faith and for valuable consideration; provided,' however, that all such covenants and other provisions shall remain in full force and effect, notwithstanding the foreclosure and subsequent foreclosure sale of any mortgage or deed of trust which shall hereafter constitute an encumbrance on the Property. 8. Periodic Review. This Agreement shall be subject to periodic review at least every 12 months, pursuant to Government Code Section 65865.1. 3 9. Term. This agreement shall remain in effect until all contributions have been paid in accordance with paragraph 3 above. 10. Hold Harmless and Defense. Developer agrees to and shall indemnify, save, defend and hold City, its officers, agents and employees, harmless from any liability arising from claims from the City's approval or execution of this Agreement. This foregoing provision applies to all damages and claims for damages suffered or alleged to have been suffered by reason of the operations referred to in this section, regardless of whether or not City preferred, supplied, or approved plans or specifications, or both, or all, for the project. 11. Notices. All notices under this Agreement shall be given to the following representatives of the parties, at. the addresses indicated below by personal service, or by registered certified United States mail, postage prepaid, return receipt requested, addressed as follows: If to City: City of Tustin 300 Centennial Way Tustin, California 92680 Attn: City Clerk Copy to: City Attorney If to Developer: The William Lyon Company 4490 Von Karman Avenue Newport Beach, California 92660 Attn: Mr. Chris Hawke 12. Assignment. Developer may, at its discretion, join and associate with other entities into joint -ventures, partnerships, or otherwise for the purpose of performing under this Agreement. The rights under this Agreement may be transferred or assigned in whole by Developer by written notice to the City within thirty ( 3 0 ) days after the effective date of such assignment. 4 13. Time is of the Essence. Time is of the essence of each provision of this Agreement of which time is an element. IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written. APPROVED AS TO FORM: James E. Rourke City Attorney lyon.dev City• City of Tustin By. Mayor DEVELOPER: The William Lyon Company By•_ Title 5 EXHIBIT A DEVELOPMENT AGREEMENT ZONE CHANGE 92-002 (LYON) LEGAL DESCRIPTION Lots 12, "L" and "N" of Tract 12870 6 AGENDA..,,. OLD BUSINESS NO. 2 12-21-92 NATE: DECEMBER 21, 1992 Inter -Com �T TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: WILLIAM A. HUSTON, CITY MANAGER SUBJECT: SPORTS COMPLEX FUNDING RECOMMENDATION: Pleasure of the City Council. BACKGROUND: The City Council directed that this item be placed on the agenda for a discussion about what options are available to accelerate completion of the Tustin Ranch Sports Complex. To date, City Council policy direction has been that the project would be constructed in two phases due to funding limitations. Design of the project has proceeded on the basis that it would be completed in two phases. The total projected cost is four million dollars, with each phase costing approximately two million dollars. The development agreement between the City and The Irvine Company for Tustin Ranch provides for dedication of land for parks. The Cit Council had decided during its consideration of the Tustin Ranch Specific Plan that land should be dedicated rather th land or a combination of cash private parks. It was known Ranch would. have to be improves funds) and/or some form of debt a report in February 1991 improvements and decided again: attached) . an cash in lieu of and land. Allowance was also made for at that time that City parks in Tustin on a cash basis (as the City accumulated financing. The City Council considered concerning options for funding park t debt financing ( a copy of the report is The two neighborhood parks in Tustin Ranch have been improved using development fees from Tustin Ranch residential projects. A combination of development fees and General Fund revenue has been accumulated for Tustin Ranch community parks. Most of the income in the Park Development Fund reserved for future community parks has been transferred from the General Fund. Sports Complex Funding December 21, 1992 Page two DISCUSSION: Below are options available to the City Council for accelerating completion of phase II of the sports complex project: 1. The Park Development Fund has a projected June 30, 1993 balance of $2,285,245. Of this amount, 1.6 million dollars is appropriated in the 1992-93 budget for the sports complex. Of the remaining balance, approximately $84,000 can only be expended for park projects in proximity to the development project that generated fees allocated to the Park Development Fund. These are non -Tustin Ranch residential projects and State law precludes use of the $84,000 for the sports complex. Of the remaining $601,245 balance ($2,285,245 less $1,600,000 and $84,000), approximately $400,000 is needed for the phase I sports complex improvements (leaving an available balance of $201,245). Current City Council policy requires that the New Development Tax (levied on residential projects) be allocated to the Park Development Fund. In 1992-93, it is estimated that $175,600 in New Development Tax will be collected. With the slow -down in development activity, it is not expected that the amount of New Development Tax collected in each of the next few fiscal years will exceed the 1992-93 amount. To date, New Development Tax proceeds have been used to construct the two neighborhood parks in Tustin Ranch. At best, it is projected that by the time the sports complex is under construction, an additional $376,845 ($201,245 balance after allowing an additional $400,000 for phase I improvements and including the 1993-94 estimated New Development Tax) will be available in the Park Development Fund. There is also the possibility of an additional $200,000 from the Lyon Development project recently approved by the City Council. Receipt of these funds will depend upon the start and phasing of the project. 2. The General Fund has a projected June 30, 199 3 fund balance of $2,972,503. This amount is reserved by City Council policy for cash flow requirements, interest earning and contingencies/emergencies. To reduce the General Fund balance below this amount, especially given the economy and real possibility that the State will take additional funds from the City next year, would create potentially serious financial problems for the City. Sports Complex Funding December 21, 1992 Page three 3. As indicated above, the City Council considered a report in 1991 which evaluated debt financing options as a means of raising capital to complete parks identified in the City's park master plan. The City Council rejected any sort of a bond issue. Whether to pursue this approach is a policy matter. 4. The City's Capital Projects Fund has a projected June 30, 199 3 balance of $21934,309. Over the years, the City Council has allocated General Fund operating revenue and/or balances not required for operating expenses to the Capital Projects Fund. These monies are reserved for current and future projects contained in the City's five year capital improvement plan. Historically, projects which cannot be funded from other sources of revenue (water, redevelopment, gas tax, etc.) due to legal or funding limitations, are budgeted in the Capital Projects Fund. This fund is important because it restricts the use of funds for necessary future projects and it helps give focus to the fact that capital improvement needs exceed sources of available funding. The City Council could appropriate these funds for the sports complex, however, it is important to keep in mind the implications of this option: ■ The City's ability to allocate and reserve funds for capital improvement projects has been severely affected by the loss of $1,065,000 per year in operating income to the State. There is every reason to believe that additional General Fund revenue will be lost to the State in 1993-94 and perhaps beyond. If Capital Projects Fund monies are allocated for the sports complex, it will limit the City's ability to complete needed future storm drain, signal and street improvement projects. ■ The City receives approximately $600, 000 per year in Proposition 111 and Measure M funds for street construction and maintenance projects. By law, the City is obligated to meet a Maintenance of Effort (MOE) test in order to receive these funds each year. The MOE is based on a formula which measures how much money the City allocated from its General Fund each year for street construction and Sports Complex Funding December 21, 1992 Page four maintenance during a base year period. Failure to expend General Fund monies in an amount equal to the MOE base year's calculation results in the loss of Proposition 111 and/or Measure M funds. The City's flexibility in meeting future years Proposition 111 and Measure M MOE requirements can be greatly enhanced by maintaining the Capital Projects Fund balance at as high a level as is feasible. This financial strategy is important because of the possibility of losing additional General Fund revenue to the State in 1993-94 and beyond. As revenue is lost to the State, the City's ability to meet its MOE is strained because of the trade-offs that must be made between dollars for operations (police, fire, recreation, etc.) and dollars for street -related capital improvement projects. It is possible that over the next few years, Capital Projects Fund monies will be needed to supplement General Fund revenue in order to meet the Proposition 111 and Measure M MOE requirements. As indicated above, failure to do so would result in the loss of up to $600,000 in annual revenue. Another consideration is that Capital Projects Fund monies are a primary source available to the City for matching Measure M and federal grant programs. Measure M funds beyond the City's annual entitlement (subject to the MOE) will be available on a competitive basis and with a matching requirement. It appears that federal funds will become available for street projects with a matching requirement. For the City to take advantage of these programs, it must have funds set aside to meet the matching requirement. 5. The Tustin Ranch Specific Plan and Development Agreement provide the mechanisms for dedication of park sites in Tustin Ranch. As the plan and agreement were finalized in 1986, the City and The Irvine Company agreed upon the type, size and location of Tustin Ranch parks based upon assumptions made in the 19801s. When those decisions were made, no one expected that a major recession would Sports Complex Funding December 21, 1992 Page five occur in the 1990's and that City revenue would be taken from the City by the State for the sole reason of balancing the State budget. These situations have hampered the City's ability to fund the construction and maintenance of new parks. The City has completed two neighborhood parks in Tustin Ranch. A third 3.0 -acre neighborhood park is designated on Pioneer Way. This park could potentially be 5.7 acres if additional parkland must be dedicated to meet the parkland/housing units ratio provided for in the Tustin Ranch Specific Plan. Whether the additional 2.7 acres must be dedicated will depend upon how many housing units are constructed in the remaining areas to be developed. At this point, it does not appear that the additional 2.7 acres will have to be dedicated because the actual number of housing units constructed most likely will be less than permitted by the Specific Plan. In addition to the sports complex, two other community level parks are planned for Tustin Ranch; a 17 -acre park at Jamboree Road and Portola Parkway and a 9 -acre park on Pioneer Way. A map showing these sites is attached. As a matter of policy, the City Council could decide to forego the third neighborhood park or a portion of one of two remaining community level parks. The proceeds from the sale of surplus park land could be allocated for phase II of the sports complex and any remaining proceeds could be designated for other future Tustin Ranch parks. If the City Council were interested in considering this option, staff could prepare a report which describes the approaches to this option. There are procedural and legal issues to resolve, but the concept of utilizing one City asset to improve another higher priority asset is feasible. The list of options are not mutually exclusive. The City Council could decide to use a combination of those options which it decides are viable. WAH Attachtnt sprtscom.wah 9 ACRE PICNIC/ NATURE CENTER 3 _ ;CRE "AMINO NLIGHBORH, PARK EAST TUSTIN PARK SITES - Future 11 A PROPOSED :re - NEIGHBORHOOD ration site COMPLETED only be NEIGHBORHOOD ited to City :ded per the © PROPOSED COMMUNITY 17 ACRE CULTURAL ARTS CENTER ,CRE SPORTS PARK RE - LAUREL GLEN NEIGHBORHOOD PARK CITY OF TUSTIN PARK PROJECTS FINANCING REPORT Prepared by: KELLING, NORTHCROSS & NOBRIGA, INC. Bond Management Services for Public Agencies February 4, 1991 CITY OF TUSTIN PARK PROJECTS FINANCING REPORT TABLE OF CON'T'ENTS Page 1. INTRODUCTION ... 1 2. EXECUTIVE SUMMARY ................................... 2 3. PROPOSED IMPROVEMENTS ............................... 3 A. Summary of Project Costs ............................... 3 B. Description of Projects ................................. 3 3 C. Summary of Project Maintenance Costs ....................... + 4. REVENUE SOURCES.....................................7 A. New Construction Tax ................................ . B. Redevelopment......................................7 z 5. FINANCING ALTERNATIVES ............................... 8 A. General Obligation Bonds ........................ • . g B. Excise Tax (Certificates of Participation) ...................... 8 C. Landscaping and Lighting Act of 1972 ........................ 9 j D. Mello-Roos........................................9 t 11 E. Comparison of Financing Alternatives ....................... 6. SUMMARY OF TAX IMPACTS .............................. 12 APPENDIX 1 - Park Projects and Maintenance Cash Flow Worksheets ........ 13 APPENDIX 2 - General Obligation Bond Worksheet ................... 16 APPENDIX 3 - Certificates of Participation (Excise Tax) Worksheet ......... 20 APPENDIX 4 - Landscaping and Lighting Act of 1972 Assessment Worksheet ... 25 f APPENDIX 5 - Mello -Roos Special Tax Worksheet ..................... APPENDIX 6 - Phasing Opportunities 29 T- INTRODUCTION The City of Tustin faces the challenge of providing expanded recreation services and park facilfties to a growing number of residents. Through the adoption of the Recreation Element in 1984 and the East Tustin Specific Plan in 1986, the Council approved the design concepts for each of the major community parks in Tustin Ranch and adopted goals and priorities for the remainder of the City. Although some of the major community park projects previously identified have been completed a significant portion remain unfunded as a result of the limited financial resources P g available. As a result the purpose of this plan is to assist the City of Tustin in identifying potential methods of financing these facilities and to developa financial strategy. This plan includes identification of potential revenue sources, description of proposed methods to finance the facilities, and schedule of anticipated expenditures, for both construction and acquisition costs. The plan focuses on the following, specific objectives: Developing a financing strategy; Recommending a financing plan that is both financially feasible and politically acceptable; Developing a plan that is equitable to the current and future residents of Tustin. To develop the financing plan for the park improvements and to assess their financial impact, Kelling, Northcross & Nobriga, Inc. ("KNN") performed the following tasks: 1. Interviewed City staff to determine available data, policy guidelines, revenue sources, anticipated expenditures and desired project schedules. 2. Review City documentation such as the annual budget, financial statements and previous staff reports related to the park projects. 3. Developed computer model projections of capital and operating costs and associated revenues, projected revenues and related fiscal impacts. During the preparation of this study, City personnel worked closely with KNN in obtaining the necessary background information, financial data, and providing materials required in the preparation of this report. Special acknowledgements go to Royleen White, Susan Jones and Ron Nault. II. EXECUTIVE SUNMARY The City of Tustin, in its goal of providing a responsive recreational services program, has identified eight specific capital improvement projects to be completed by the year 2000 at a projected cost of approximately $26.5 million. Although the City has identified a limited amount of revenue sources to partially fund these improvements, the majority of the improvements cannot be funded with existing financing resources. t The purpose of this study is to assist the City in determining a financing solution which ensures timely completion of the projects in a manner which protects the financial stability of the City. t Summary of Findings and Recommendations A. Findings 1. The estimated costs of the parks improvements, assuming completion of i such improvements over the 10 year period ending 2000, s estimated to be $26.5 million, including inflationary increases assumed at 5 % annually. € The total of estimated revenues available from identified sources, is $5.5 million. 2. The estimated costs for maintenance of all completed projects is estimated including inflation increases assumed at 5 % to be $33 million, include g ary annually. f 3. To fund the capital costs of the projects on a pay-as-you-go method would require an annual appropriation from the General Fund of approximately $2.4 million annually for the next 9 years. Additionally, the annual maintenance expenses would require a General fund appropriation, on average, of $1 million annually. t 4. To finance the project through the issuance of Certificates of Participation and appropriating for annual debt service payments would require an estimated, annual General Fund appropriation of $1.6 million through 2023. 5. The City can fund the improvements, net of cash resources available, by. utilizing either General Obligation Bonds, Excise Tax, or Mello -Roos Bonds, all of which require voter approval, or Landscaping and Lighting District Bonds which we recommend have voter approval. However in each case, a new revenue source is developed and dedicated for project financing, thereby protecting the City's General Fund. 6. Issuing securities supported by the tax revenues created by the Excise Tax would provide a vehicle for funding the maintenance expenses as well. 2• ' B. Recommendations 1. The City pursue placing a tax measure before the voters. 2. Preliminary to the election we strongly recommend that the City commission a voter opinion survey to determine taxpayer support for the projects and levels of taxation for which a majority vote could be attained. The voter opinion survey represents an effective method of obtaining the level of voter support for both the types of projects being recommended and tax threshold which would provide for a successful election. Typically the cost for such a survey is $15,000 and the entire process takes approximately 60 days. The process includes developing a list of questions relating to each project contemplated, estimated costs and providing a range of tax thresholds. A telephone survey of a statistical sampling of registered voters would then be conducted and survey results would be provided within 4 weeks. The survey results would indicate those projects which would likely receive the required level of voter support and the amount of tax which would be supported. This data would then be used in developing the contents of the actual ballot measure and campaign strategy. I Based upon the results of the voter survey, KNN and the City to implement a financing plan, which is responsive to the results of the survey. 4. The City encourage the establishment of citizens' committees and a public relations campaign to assist in passing a tax measure. 5. The Cityadopt a policy to commit future revenues from the New Construction Tax and receive a commitment from the Redevelopment Agency for funding of the Columbus -Tustin Gymnasium project. 6. The other financing alternatives evaluated are not being recommended because of either (1) the requirement for a two-thirds voter approval and/or (2) the significant financial impact upon the City's General Fund. These issues are more fully reviewed in Section V, Financing Alternatives. 7. Although assumptions used with respect to project costs, interest rates and residential construction activity, all of which are factors contributing to the ultimate tax rate impacts contained in this report, were developed on a conservative basis, please recognize that a prolonged economic downturn, along with possible pressure for higher State and Federal taxes, will certainly have a negative impact upon both the estimated amount of taxes reflected in this report and voter attitudes toward approving tax measures in general. 3 III. PROPOSED IMPROVEMENTS A. Summary The estimated cost of each improvement is shown below. These costs and project schedules represent the inflated costs at the time of the expected expenditure. Project Period Future Cosh pr�'ct _e_ $ 697529686 Gymnasium & Athletic Complex 1989- 1996 1994- 1998 59602,746 Community Center Picnic Area/Nature Center 1992- 1995 884'889 39785,979 Youth Facility 1998 -2000 1993- 1995 2,34730,1 Columbus -Tustin Gymnasium Neighborhood Park ##12763 1990/91 0 7909658 Neighborhood Park #13627 1994/95 2000 42 Site Acquisition -Tustin S.D. Total Costs S26.018.731 (1) Assumes 5% annual inflation. B. Description of Projects community Parks Three community parks are planned for all Tustin residents. The focus f the Tustinach of Chese ity arks has been identified in the Recreation Element which was radopted by with a Council in November 1984. When completed, the se parks exand a picnic/nature facility. high intensity sports complex, a community arts p Toprovide arks consistent with the community's needs, a Citizen's Task will be assembled provide design input for each park. Possible park features include: Gymnasium and Athletic Complex. The 20 acre Gymnasium and Athletic l Complex lightedisto be located on Jamboree Road and Robinson Drive. Proposed features may softball/soccer fields, tennis courts, a gymnasium, multipurpose court, or racquetball courts. The design of this park has been funded in the 1990/91 Capital Improvement Budget, but is temporarily on hold pending the funding for the construction. mmuni Center. The Community Center Complex, 17 acres located at Jamboree and Co �' Portola Parkway, may feature a 20,000 square foot multipurpose/cultural arts facility and open space. This park site features a knoll with citrus groves which, consistent with the East Tustin Plan, will be preserved. Picnic Area/Nature Center. A 9 acre, Picnic Area/Nature Facility is to be located on Pioneer Wayin the northern area of the Tustin Ranch. The proposed amenities may include 4 large group picnic facilities and a 5,000 square foot nature/community center. This park features an unusually large stand of redwood and cedar trees. This unique stand of 500 trees has been preserved and is also protected by the East Tustin Specific Plan. Each park will contain adequate parking and restroom facilities for the large number of participants expected to use them. Columbus Tustin Gymnasium According to the adopted Master Plan, Columbus Tustin's final phase of development will be the construction of a gymnasium. The planned building includes a 10,000 square foot activity gymnasium, 2 team locker facility, a large storage space (about 600 square feet), a 200 square foot mat room, restroom facilities for participants and spectators and a small office with some space for storing equipment. All other support facilities such as expanded parking facilities and a landscaped picnic/play areas will be completed by Summer 1991 in Phase2A of the development. Neighborhood Parks - Two additional neighborhood parks are planned for the enjoyment of Tustin Ranch residents. The . Tustin City Council has committed to fund these parks with the New Construction Tax generated by development in the Tustin Ranch. Neighborhood Park #12763. A three acre passive park located on Heritage and Myford is funded in the 1990/91 Capital Improvement Budget. This park was designed with input from a Neighborhood Task Force and is currently in working drawings. Construction should be completed by March 1992. Neighborhood Park #13627. The final neighborhood park is located on Pioneer Way in the northern area of the Tustin Ranch. This 5.7 acre passive park, although funded, has not been scheduled for design. Development of this park will be integrated with the completion of roads and occupied housing. Tentatively, that could be 1994. Youth Fa ilit Currently the City leases 6,000 square feet of class room space at Lambert School from Tustin Unified School District for youth programs, such as day camp, child care, and other children's programs. Since the lease is renewed annually, the possibility exists that the City could forfeit the use of the space due to increased enrollment at this school. Should the opportunity arise, the City may want to purchase a surplus school site as a permanent home for youth programs. This funding would be used for the acquisition and renovation of the site. Acquisition and Renovation of Tustin Unified School Building In 1987, the Tustin Unified School District declared the Administrative Office Building surplus. The building is located at 200 South "C" Street, adjoining Peppertree Park and the Tustin Area Senior Center. The School District has been notified of the City's interest in acquiring the property. 5 Cost estimates for use of the site as a recreation and community facility include acquisition and renovation of the 2 acre site including 19,000 square feet of building space. The building would provide an ideal complement to the adjacent Tustin Area Senior Center and the nearby Clifton C. Miller Community Center. C. Project Maintenance Costs Projected Annual Maintenance Cos st (U Gymnasium/ Athletic Complex $180'000 Community Center 000 Picnic Area/Nature Center 722, 000 Youth Facility 060 Columbus/Tustin Gymnasium 55,000 Neighborhood Park #12763 000 Neighborhood Park #13627 259600 Site Acquisition - Tustin School District 28,690 (1)Current dollars. Unit of Annual Measurement Cost PlUnit 17 acres $9,118/acre 5 acres 3,900/acre 9 acres 8,000/acre 69000 sq.ft. 1.51/sq.ft. 159000 sq.ft. 3*.67/sq.ft. 3 acres 8,000/acre 5.7 acres 8,000/acre 191,000 sq.ft 1.51/sq.ft. I IV. REVENUE SOURCES General Fund revenue is committed to provide recurring maintenance and operational costs for current parks and is unable to fund the park projects which have been identified. Special funds and other revenue sources are either inadequate or appropriated for other purposes. To provide revenues to pay for the parks improvements, the City has the following revenue streams which will provide funding: A. New Construction Tax The City currently levies a construction tax within the Tustin Ranch development area which is due and payable prior to the issuances of building permits for the construction of any residential, commercial, or industrial unit. Pursuant to the agreement with The Irvine Company, the revenues collected must be expended on projects within the Tustin Ranch area. Currently, the City commits a portion of the revenues to fund vehicle and equipment related to the services being provided in this area and has funded the construction of a neighborhood park. A projection of the amount of revenues from this tax, based upon assumed construction activity, indicates that approximately $2.7 million of additional, net revenue allocated for park projects. B. Redevelopment The City established a redevelopment agency in 1976. The original pro.ect area was identified as the Town Center Project Area. The original plan was amended in 1383 to include another project area, South Central. Under Redevelopment Law expenditures of tax increment are restricted to either public projects within the redevelopment plan area or projects which, if not within the plan area, must have a demonstrable benefit to such plan area. As a result, the only park project which conforms to these requirements is the Columbus - Tustin Gymnasium. Given the various projects which will be funded by the Redevelopment Agency it is assumed that 100% of the total project cost be funded from this source. Revenue Summary bource Projected Revenues 1990 - 2000 New Construction Tax $29731,218 Share of Tax Increment 2,823,000 Total 5 554.218 7 V. FINANCING ALTERNATIVES Prior to implementing any of the following alternatives, the City should commission a voter surveyto determine taxpayer support for the projects and levels of taxation for which the required threshold of voter approval could be obtained. This data would ultimately be used as the basis for determining the financing plan and strategy to be undertaken. A. General Obligation Bonds This alternative would require the City to place before the voters a ballot measure and, subject to a 2/3rd approval of the voters, issuing approximately $21 million of General Obligation Bonds in 4 series to fund the project cash deficit. Based upon our assumptions of future growth in assessed valuation and projected interest rates, the average, additional annual tax increase to the owner of a property assessed at $100,000 would be approximately $22 per year, for 30 years. The major disadvantages of this alternative are: 1. Requirement for 2/3rds affirmative votes. 2. Proceeds of the bonds can only be spent for acquisition of real property and improvements to real property. Therefore any expenses for furniture and equipment and for ongoing maintenance and operations would place an additional burden on the General Fund. B. Excise Tax (Certificates of Participation) This alternative would require the City to place before the voters a ballot measure and, subject to a majority approval of the voters, would provide the City a revenue stream sufficient to issue and amortize a series of Certificates of Participation sufficient to fund the projected deficit and to fund the associated maintenance and operations expenses. Issuance of the COPs requires the City to form either a non-profit corporation or a financing authority, each created by the City Council with councilmembers serving as members of the entity. The City and the entity enter into a lease agreement whereby the City agrees to lease purchase the park improvements for a period of 20 - 25 years. Funding for the improvements is provided through the issuance of Certificates of Participation, which are structured and marketed in the same manner as a municipal bond, and are secured by the semi- annual lease payments made by the City to the leasing entity, pursuant to the lease agreement. The City's lease obligation represents a requirement for the City to annually appropriate for its lease payments from any source of funds legally available (i.e., excise tax) to pay its obligations. E:3 Based upon our assumptions the estimated tax impact upon residents and businesses within the City are as follows: Single -Family Residential Multi -Family Residential Businesses Hotel/Motel Fundingof Capital Cost & M&O $115/year $115/year 20% surcharge of annual Bus. License tax 2 % surcharge of the annual transient occupancy tax C. Landscaping and Lighting Act of 1972 Funding of vital Cost On]x $75/year $75/year 20% surcharge of annual Bus. License tax 2 % surcharge of the annual transient occupancy tax This act provides ample authority for the City to establish a city-wide special assessment district to acquire, improve and maintain the park projects. While the formation process does not legally require an election, rather a protect hearing conducted by the City Council for all affected property owners, we would recommend that the Council place an advisory measure at a future election date as a method of evaluating community support for the improvements. Should the advisory measure receive majority voter approval we would then recommend that.a formal public hearing be conducted to confirm and levy the assessments. By virtue of the success of . the advisory measure the Council would be in a stronger political position to conduct the hearing. The very preliminary average estimated amounts of annual assessments are shown in Appendix 5 of this Financing Report. The amounts shown in Column 4 (Total Debt Service Per Parcel) top out at $175 per year starting in 2001, and the amounts shown in Column 7 (Total Debt Service plus Maintenance and Operation) top out at $310 in 2018. The assumptions which underlie these figures are shown in the footnotes to Table 1. Among them are the numbers of parcels in the City which are projected out only through 1995. To the extent that more parcels are created after the 1995 the average annual assessments will decrease. It must be noted that these parcel amounts are averages only. Actual per parcel amounts will be determined only after a more sophisticated evaluation is made by an assessment engineer and will be levied on the basis of relative benefits of the proposed improvements to the assessed parcels. D. Mello -Roos Bonds This alternative would require the City to place before the voters a ballot measure and, subject to a two-thirds approval of the voters, would provide the City the opportunity to fund both the improvements and the related operations and maintenance expenses. Again, these figures are averages only. Actual amounts will be dependent upon a tax formula (Rate and Method of Apportionment) to be devised which will probably take into account the development status, actual and potential, of all parcels to be specially taxed. Tax Collection Process The County would provide tax collection services for General Obligation Bonds, the residential portion of the Excise Tax, the annual assessments for the Landscaping and Lighting District and for the Mello -Roos alternatives. The Excise Tax for commercial and hotel/motel establishments would be collected through the City's current license fee collection system. 10 E. A Comparison of Financing Alternatives 11 GENERAL LANDSCAPING OBLIGATION EXCISE TAX & LIGHTING MELLO-ROOS BONDS (COP) ACT OF 1972 ACT BONDS VOTER 2/3 of votes cast Majority vote None -- Council 2/3 of votes cast within REQUIREMEN' T conducts protest the proposed district hearing of property owners SECURITY Ad valorem property Tax based on any First lien on all taxable Tax (from property tax reasonable method property within district lien) based on any except assessed value reasonable method except assessed value ELIGIBLE Acquisition or Proceeds can be spent Acquisition of park Acquisition of land, FACILITIES improvements to land for any community- land, improvements construction of or facilities; acquisition wide c a p i t a l and maintenance and facilities a n d of permanent improvement or operations expense acquisition of furnishings operating/maintenance equipment which must expense have a minimum useful life of 5 years; operation and maintenance of related park improvements MAXIAILTNI 25 years 30 years 30 years 40 years BOND TERM COST Lowest cost 10% higher cost, less 15 % higher cost than 10% higher cost, less COMPARISON efficient GO efficient ADVAN' TAGES Simple, inexpensive, Flexible - can be Assessment must relate Flexible - can be familiar to voters tailored to voters, to benefit received by tailored to voters, requires majority vote property owners; variety of eligible only; ability to fund ability to fund M & O facilities maintenance/operating expense DISADVANTAGES City-wide tax burden, Projects must be of Expense; long lead Long lead time district -wide vote, community -wide use time required required, expensive, limited eligible and benefit unfamiliar to voters facilities; cannot fund and additional costs of maintenance/operating f o r m a t i o n a n d expense administration 11 zi N v 0 NN N O 444 N N N O 69 en zzz � 00 O •• •y.0 Qn Z 12 13 R !_ n F• rp w A A r N N ^ N e► • r A M h S• 1 w �n f� • M1 � • e �'1 • P n • r o e o e e o e s e e e e r v • R 25 xv 0 0 0$ • • e e- ~ • A �i at • • %.w h r — Inw g a w R • — p �atw 00000,00 w • o � h • • . n • �p M O M 0 0 0 0 0 0 0 O A w w ^. « « a a at %D o a �• w w o • • e. 0 0 0 e o . w st o O ` r ~w m LU Ogg 3 = a Qv 000 O = w 0 • d W P • r ASM w . • r ,7 �'� v o .n n 0% v U6 LL C « « 4 m P- 0 p ooQ o r• • i''SS U a. e: ..; c .; 4w :.; : e s A leo rt Ltd Z.i. p p O C.p ^ 0 0 0 0 0 a _ P P p . r r M � • P O f•1 g 0 A 8 •n 0 0 0 0 0 0 . P .. .n r o M O �O 0 0 0 0 0 0 0 O ^ j e c o a 8 .+ 2SS 2255 3355 2S � _ � M N N g g �► M .. M w 1► � ee K IZ Z yZ, W < Z0 t IK 13 GENERAL OBLIGATION BONDS Background A City may submit to the voters a ballot measure authorizing the sale of general obligation bonds secured by an increase in the ad valorem property tax. The ballot measure must be approved by a two-thirds vote. Proposition 46, which was approved in the June 1986 election, amended Article XIIIA of the California Constitution so that general obligation bonds could again be authorized. Use of Funds The proceeds of general obligation bonds may be used to: 1) Purchase real property; 2) Build or purchase public facilities; 3) Permanently improve real property; 4) Make alterations or additions to buildings other than for maintenance or repairs; 5) Repair, restore or rebuild buildings damaged or destroyed by fire or other public calamity; 6) Acquire furniture, equipment or necessary apparatus of a permanent nature; 7) Construct sewers and drains. 16 LO V1 w 5 �o 1- I �O < ~ 5 z � g N H O w iM • .. Y r 111 � Y u �Yw � u G • oc Y V u 0 � u > u � ` � LU u � C `s s9 0 N ; O N �v � 1 1 1 1 GL a Q � J 0 0 f - i Kp W LK V 1. 1- M . §9§ X3,5 v. %a elf • M rA H r 17 w w w K w K K w' M K w w w w K w wk K K K w w K w rw w w qKq w K w M K F = ,p P �s F ^ '^ a rc oQ[ QQQ �QQj = A K 1+ h r•'. O n r n P r .p r .•n N O r. rn r� ^ G v G P y N N N M N M N O O O C O O 40 R O O O O S O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O J O O O O O O O O O O O K R M M w r K K w K w w M K ^ � � wo � F0 K M K K K w w R Ko a e .•„ N P • �. A n n ., .� g8 g8 r. N a a C s a s a s o s s o s s soave s 8 8 8 o R G 8 8 s O o p 0 Ci O o 0 0 0 0 0 p o o p o 0 0 0 0 0 0 0 0 0 0 fi o c o 0 0 0 0 0 O O � .rf 1n .n +f ++ A � A � n n A rw A A A n A A • p p 3 g t A Vf rf .ry h fr1 If A If I1 fn h h h A N N h n ^ A N N r ,� ri •� O O P T r vi �� r� N. �� �• .ri r� .i h vi �1 vi N ^ A A A f• r .r; ./f .y Q .w A A r� .w A rn r+ A P P P P P 0 �O O O • Y N N O O C r� rn r-. � �'1 P P P P• P P P P P — -. � � .� � r- F F F F r F F F F r F r• .- F O G O G O O G J N r'f 1n r r r 1n n � '�•�O O C O J O O O O O O O O O O O O O O O O O O O O , P P M N h N h M N N fPtl M N M N M P O• O` O' P Y • Y • ftl N r• N r. N N N N N N • M M Y • • Y Y Y • Y Y • .i Y i Y • • Y 0 0 o O G G$ g S 8 g$ L g 8$ S g F$$$ 8$ S S $$ o h h N M M h h N h M M M A h h M M M M fpp M H h M h 2 Vfr�f N fV M 1r. 1rf N .n � h N r N r h r N Vt lot p O O O r.f h M N ri 1 rr 10 fr r a 10 lot at n r 10 r0 .' F n 1► n F n n � n ' .. N fn, n F n n n 1n 1n h .n r .n r F F n n n n Of .rf fq frf h Y" Ot rte•. ea. O O • F A rq P N ./f P rp. N ^ ^ =• O • • O O O G C G Z O O : • • t v t • v • v • t � t � � � v •• • 3 • � • � • � t t- • • • t 3 � t t + � � t r• a • � 3 � t_ r f- r r 1� r� r r fr r• N r4 rf N of rq A A Pf A of A A A A A F r r F r A A A PI A n r F r r N r N A A Pf A A r n n n r n r r A A A A O_ 7 2 K K r. = P O n K K M K M F • F QQC� A A v i O h n M K K w K 8 8 8 8 ^ v. r. �•• i �; i M G M K E 8 h W% r. Y v MW K K K 8 8. 8 df d1 If i• FO i• • • A K K K K K 8 8 8 8 8 r nri L P K w K K w S. S. 8 8 8 W%qm W;WN A P M F ,O .n • .O • r 4p. ry r�1 ~ w K w w to 8 8 8 8. 8 'm r ^ O t N O f" .P..• • fV N N j. V • Y" Ot rte•. ea. O O • F A rq P N ./f P rp. N ^ ^ =• O f/1 O i t• Z P P n • * A V n ^ y r1 r i �-' • F r' F F • • O ^ O O i P P C .� M h I1 • • �p O N • F A n rf O t t • • A n +f of O t v F �. .. P v. r � ra pO. P1 v QQ .p l7 A a M1 .p r P � i r� P � 1/f fv O F • •4 P I� � M N n F .O �O C� r �p r4 P • P � • = M y A � � O � = 7 ® A rYyi Q' � � r• r.. r�1 f� Y• •�• ���i, ft t { e• G G N .rl O G n � •01 i F v� er r N O � P � P• • M n A .0 • t• G. o a .Pf .p P rr 1/1 • I`. � r i o � � •a• a O �. .r1 • y = • F • i N .O P P � P = � � f� �. t .n r N . r r• O r• n V V V V +. +f ^ W r W N n F • • � y P P O A t ~_ .O F h N N 7 P C O P P rr :n • ^ .O r 0, a P y _ r� 0.0 •�• 1 f��++ C C _ pCt O N C a G O O N h tr N _ O O O O O M N ^ N N N O G' rCv r N N N y>- o _ _ _ _ !. - _ N N r. N N A N N h 18 C g �+ .n O H O �o �n o• r+ ♦ N F P G �O .n F o r • r•. • Y P n • .�. .r. F • .o rc of �n • • a r• a n • N n .O N P n .� n P S • P H p o r - t P N P O • H N O O ♦ A O i 8 H f� r1 .R t n n N = = H s P P • • on P n • F F �O 111 h P O h h on N on N to n • F t - r C O v t - • 'C G a n h 1r. G v. J rG h- s t W. h W. O A .1 n • •, n N A t F- G • : v g N O O Y Ow F • O .� N F S • .n F M = = 1� A p G i �1 P • O • • • i i F n P O n F F wO w0 to O F • M C we M wn w • P h n N N — 8 H v O = O .e $ wn - ♦ • h n .p • e o O n o • = N 9-4 .o r o r •w N n n n F n o• �! w • wn h n P r Q! O P! • n = -• g C O rn N F • on w/1 • 111 a ♦ w F • r� F F 1i• i Y W% n r w0 w/1 n 111 Q • n P F we ♦ A A A N r i wn N- N M c W yN W N N H H P w0 P N F • r Pi n — n F _ +w'100 F nO • r F = = r'1 — h • F • h .� h n 111 F h A v. — M H on n A O O O C O IN; i •. N PI N .� P ♦i r= .o v i • n n n n .. s w.i• wo /•. N rr N i / N O N r N r* N oa w F .0 ri ri F r= w/1 �1 N 0 .c g P n Pr I1 i • t• �L t - O to 0 O i r. r•� - • O • O O O r h o - O• h N O O F wo • wn • O r• L .n I, 11 — O a • r F O wH • t n N N P P +1 M M M W F• � o n s r. F h f` A H h A 0 0 PR O n.. r1 t o• C rr A I. I. E o o c .n e O o I. — � O Fh A n h 0 0 0 0 0 A O • r� .o we v. A M — h M M rt h 0 0 0 0 0 �wpp .o F • F G P • F A h 0 0 0 0 0 .n n a • F n F F �+ r 0 8 8 8 8 u x C O O O O O O O O O O O O O O O O O O O O O O O O O O C O O O O O W U; - N A 1• P P • 111 O F P P O P Y P h M P H O O O * h .p F G O O O E O - N - S - = - - - - - - O H M M N � h M O N P P P P • wry w0 P O P P P Ai�^, P P O C O C wp/1 8 $ i A a • O — w'+ O C C G a P — — — • O • — — — — P — — O CCC C G — h h to O O h N h h h O O O h h h h M O O O O O N h to h h O h N h h h EXCISE TAX Background A City may submit to the voters a ballot measure proposing the imposition of an excise tax for the availability and privilege of use of certain public facilities which are available for the use and enjoyment of the entire community. The tax can be levied on any reasonable basis except on an ad valorem basis and requires a simple majority vote for approval. Collection of the tax is typically integrated with a utility billing system and the business license fee billing system. Funding the projects from this revenue source involves the issuance of Certificates of Participation. Annual repayment of the Certificates of Participation is made from the revenues derived from the collection of the Excise Tax. Uses of Funds Excise Tax proceeds can be used to finance, operate and/or maintain any public facility or improvement available for community -wide use, such as: 1) Parks; 2) Libraries; 3) Streets; 4) City Hall; and 5) Recreational facilities. OW - �I ••1 C - __ t t t t t � � ^ 1 L • t of •q ~ ^ • w O a • ~ ^ ^ h Iw 1 INK •` "• ° v s i at O 8 Ip •n •ry .^� ^ . w j •^ j wk La o+ 0. r 1 ^ 1 ^ ~Ct O � H • • � • t t t t t t = = : = r � r � � � $ 1 V t t t t t tWe := = == 1 1 y!r « • t t t t - t = _ '8 _ - U N t t• t • t• Ci .�� H !� 1 � k t ^• 1 � 1 y l<• �� O O��� E 8 � Q g j � � 8 $ $ Qp 8 8 Qp pp pp p qp PI h N O C C 88 Q O O O G O O 8 O #% F• w h h O p � p G � 8 88 `QRQ; OQ8 qp 1 AK rd le o p a I• w K R ««««««19 «« V O o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o e Z n n 1► � •s •► r► I� QOOppppp000000000 0 0 0 0 0 0 0 0 0 f C� 8888888888888888gggggg�ggggggg��s; • n • • • • P • • • P • P P P P P P P P P P P P P P P • P P P P . � - 1 OnFr•n nr0ri►rnr •^ n n^ P ' - 1 P P P w P t 1 ••, 1 1 1 1 PI /I h h " h h h h h h In .� In IM In In In r W. h In In In r In In In In h v► In +� s g o e o 0 0 0 0 0 0 0 0 0 0 0 0 G O 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O O O O O O O O O O O O O O O O O O O O O O O O O O O O O 0 z P ••. .n n n n n n n r r 1► •� •� w n r n r r •� r •� •� r n •. «« /� 1► N r �` n� r r•; I; n n n n n n n n n n r n n n n n n n n� i � 1 • • • • • • • - P P - - - - - - - - - • - - - - - - - - - - n n • • • • • s • • • „ „ n i r ^ „ ••n ^ ^ ^ ^ P r 1 .7 r n +� •n r r .n +. .n r • 1 S 1 1 ., .I ., ., ., ....., .... ., - - ^ •�• O I• r f` r f• f` 1. r r r r r r r r n r r r r r r r r r r r r n r r N ! r r P P P 1: f. N P F P N H H H P 1+ N P N P H N N N n N P N n P F P yl h n 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ? t h P G r n P O P O. P �� P P P• P P P P h nvn C O O O O O O O O O O O O O O 21 CM Of T%;STTN C/4S11 FLO ��1►10%xv4cING DEN' PERIOD S»(NGti 01 ENDING WMNUES 0 92 395.500 0 W-1uw-93 612.91S 0 11-Dac-93 612.975 0 lb -)w Ok 119.134 719.81• 143.594 31 -Der-94 719.572 211.394 )1-Dac-93 719.872 141.419 30-1ua-96 119.912 271.419 719.912 186.066 31 -DMC-96 001,0463x1,6-91 119,953 31 -Dec -97 719.933 379.684 30-102-91 119,996 604,694 31-D4c-99 719,996 459.250 30-100-99 720.041 744.230 041 430.330 720. )I -pec -99 743.5)0 30-1ue-2000 720,067 31- D► -2000 720.091 789.990 30 -jun -2001 720,133 1.2114.890 31 -L-ac-2001 720.135 714.693 30 -Jus -2002 720.116 1.299.693 31-(3662002 720,186 738,265 30 -jus -2003 720,2311 1.318.263 31 -pee -2003 720.239 740.400 10.1,30-2004 720.292 1.340.400 )1-1)aL-2004 720.292 720.960 30-1x6-2005 720.349 1.360.960 31- Dac-2005 720.349 699.910 30-Juo-2006 720.409 1.374.910 31-1)01`2006 720.401 677.365 10-1"-2007 720,469 1.397.363 31-D06-2007 720.469 632.960 30-16.-2001 720.333 1.427.%0 31-1)m--2008 720.333 626.333 30-Ju1r-2009 720.599 1.,&".333 31 -Dec -2009 720.399 397.793 30-1301-2010 720.669 1.412.793 31 -DOL -2010 720."8 $66.713 30-1ua-2011 720.739 1.311.713 31- Doo -2011 720.739 533.194 30-1us-2012 720,814 1.331.194 31 -Dec -7012 720.914 497.339 30-1ue-2013 720.991 1.382.339 31-D0c-2013 720.191 439.260 30 -Jus -2014 720.972 1.618.260 31-Dac-2014 720.972 416.390 30-Juo-2013 721,033 1."1.390 31-Dac-2013 721.033 371.119 30 -Jus -2016 721.143 1.711.111 31 -Doc -2016 721.143 322.403 30 -Jus -2017 721.233 1,732.403 31-D0c-2017 721.233 270,136 30-Jue-2018 721.327 1,795.S30 31-Dw-2018 721.327 213.114 30-Jue-2019 720.789 1.503.174 31 -DW -2019 720.70 167.911 30-J.u1-2020 720.361 1.520.809 31-D--2020 720.361 119.691 30-Juo-2021 720.040 914,698 31 -DW -2021 720.040 91.277 30-Juo-2022 719.793 999.024 31 -Doc -20n2 719.713 35.212 30 -Jus -2023 719.513 820.292 31-Uac-2023 719.393 27,168 30 -Jun -2024 339,991 118.169 31 -Dae -2024 339,991 0 N 43.769.337 49.786,343 \4\�% IN VLST MENT SURPLUS CUM30% NINGS (3) IDE 19.520 3V.o50 6 St.185 82.24% 102,013 121.290 142,932 162.710 111.130 187.316 203,633 213.49% 2211,163 234.473 25o,060 251.001 262.797 253.459 259,609 249.716 256.261 245,691 232.666 241.302 249.744 236.623 244.373 231.197 240.400 226.900 236.006 221.426 231.187 213.8V2 226.367 20!1.798 221.04% 203.421 213.313 196.998 209.19" 189.741 203.140 192.290 197.348 174.369 190.385 165.961 183.323 151.101 173.912 l4%.129 168,364 149.312 171.029 151.563 174,12V 172.359 191.22v 194.692 221.265 224.994 233.36% 241.027 265.901 Mao (2) E^R 0 0 0 0 O 0 0 0 O 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 u 0 0 0 0 0 O 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 17.977.225 FICM CONTIGEMCY Cp11r"G I1EN 617.320 617.320 .�Z0 $1.023 1.269.34S 1,939.303 671.160 1,939.503 902.091 2.741.556 3.420.419 439 678,853 3.x20. 721.183 4.76x.393 661.262 S,6ZS.633 311,995 3.937.630 3x6.223 t,.2��,�n 3x3,903 6.787.776 325.110 1,116.�t6 411%.911 7.605.497 210,264 7,513,761 $19.511 1,333,332 231.564 5,366,196 192.994 8,Ta9.t90 (311.2971 1,441.593 205,012 1.653.6"(329,791) 1.323.155 218.192 5.342.036 (352.336) 1.199.701 232.504 1,422.203 (379.!06) 8.041.399 241.077 1.291.476 (403.986) 7.917.490 263,014 5,152.504 (422.603) 1.729.199 213.44) 5.013.342 (449.996) 7.363.346 303.313 7.566.161 (456.001) 7.350.960 323.111 7.706.247 (5(30.9411 1.1%.4" 349.174 7.543:580 (552.327) 6.993.252 373.000 7.369.233 (317.333) 6,790.691 403,032 7.193.756 (620,412) 6.363,275 411,314 6.996.649 (671.699) 6.324.950 466.371 6.791,321 (714,999) 6.070.322 501.940 6.579,262 (765.933) 3.112.306 540,323 6,332.929 (924.1131 3.329.716 392.063 6.110.779 (974.069) 5.236.711 627.009 3.563.720 (926.094) 4,937.626 674,318 3.612.144 (633.073) 4.977.070 723,907 5.700.977 (649.876) 3.032.101 773.499 3.127,599 (92.299) 3.743.)01 129.993 6.514.294 (94.54 7) 6,489.74' 993.769 7.375.51; 124.299 7,499.81; 943.7%5 8.443.59' (211.351) 9.234.24 625.792 9.860.03 8.960.039 (1 ) ASwuwOS fo 0"me d COPS Edd from 1992-199% totalling 125.9 + (2) Iv( w 1.10846 pru+r..W by 1Aa Cur (No S.Si.n p -y % (3) 6 t as atio.ul6urs awrplus. 7 7 4'.) % 3.917.630 6.787.776 7.603.491 5.333.332 8.759.190 8,653.646 5.542.036 8,422.205 8.291.476 8,132.304 8,013,342 7.966.861 7.706.247 7.543.3%0 7,361,233 7,113.756 6.996.649 6.791.321 6.379,262 6.332.129 6.110,779 3.163.720 3.612.144 3.100.977 3.127,399 6.374,294 7.375,515 1.445.391 1.160.039 678,853 3.x20. 721.183 4.76x.393 661.262 S,6ZS.633 311,995 3.937.630 3x6.223 t,.2��,�n 3x3,903 6.787.776 325.110 1,116.�t6 411%.911 7.605.497 210,264 7,513,761 $19.511 1,333,332 231.564 5,366,196 192.994 8,Ta9.t90 (311.2971 1,441.593 205,012 1.653.6"(329,791) 1.323.155 218.192 5.342.036 (352.336) 1.199.701 232.504 1,422.203 (379.!06) 8.041.399 241.077 1.291.476 (403.986) 7.917.490 263,014 5,152.504 (422.603) 1.729.199 213.44) 5.013.342 (449.996) 7.363.346 303.313 7.566.161 (456.001) 7.350.960 323.111 7.706.247 (5(30.9411 1.1%.4" 349.174 7.543:580 (552.327) 6.993.252 373.000 7.369.233 (317.333) 6,790.691 403,032 7.193.756 (620,412) 6.363,275 411,314 6.996.649 (671.699) 6.324.950 466.371 6.791,321 (714,999) 6.070.322 501.940 6.579,262 (765.933) 3.112.306 540,323 6,332.929 (924.1131 3.329.716 392.063 6.110.779 (974.069) 5.236.711 627.009 3.563.720 (926.094) 4,937.626 674,318 3.612.144 (633.073) 4.977.070 723,907 5.700.977 (649.876) 3.032.101 773.499 3.127,599 (92.299) 3.743.)01 129.993 6.514.294 (94.54 7) 6,489.74' 993.769 7.375.51; 124.299 7,499.81; 943.7%5 8.443.59' (211.351) 9.234.24 625.792 9.860.03 8.960.039 (1 ) ASwuwOS fo 0"me d COPS Edd from 1992-199% totalling 125.9 + (2) Iv( w 1.10846 pru+r..W by 1Aa Cur (No S.Si.n p -y % (3) 6 t as atio.ul6urs awrplus. 7 7 4'.) % 3.917.630 6.787.776 7.603.491 5.333.332 8.759.190 8,653.646 5.542.036 8,422.205 8.291.476 8,132.304 8,013,342 7.966.861 7.706.247 7.543.3%0 7,361,233 7,113.756 6.996.649 6.791.321 6.379,262 6.332.129 6.110,779 3.163.720 3.612.144 3.100.977 3.127,399 6.374,294 7.375,515 1.445.391 1.160.039 (1 ) ASwuwOS fo 0"me d COPS Edd from 1992-199% totalling 125.9 + (2) Iv( w 1.10846 pru+r..W by 1Aa Cur (No S.Si.n p -y % (3) 6 t as atio.ul6urs awrplus. 7 7 4'.) % 3.917.630 6.787.776 7.603.491 5.333.332 8.759.190 8,653.646 5.542.036 8,422.205 8.291.476 8,132.304 8,013,342 7.966.861 7.706.247 7.543.3%0 7,361,233 7,113.756 6.996.649 6.791.321 6.379,262 6.332.129 6.110,779 3.163.720 3.612.144 3.100.977 3.127,399 6.374,294 7.375,515 1.445.391 1.160.039 w s " Z �w � o S � eri � � � Z � ^ � a � n • w • N n 1pwY _ a �Y l• O w w 'fes. at O ` ` $ ' O N ev n f�i N h h h ni f�i ni « h Ni !�i fr f•i f•i f�i f�i rr f�i fv h w� h h / H h p a^•^ P^, � w w^ h � � � h^^ w 1.O !� O P N A^♦ ♦ Z h ♦ ♦ ♦ ♦ • • ♦ •' P A P ^ pp^ w N • f •�+ O N ♦ �O ♦ i • / pp P p P • r A N h N h h M M N N fM N M H N h 8 P • 1 h hr1 WNr n P w P h N N N N h h h h h fr h h N N 1 P 1 / r O r+ w C N^^~ 1~O r si < h M h Pi N N h PI N N �► A^^ ri^ w V • ♦ ♦ • h r1 ^ ^j N N ; 1 W < $ / 1 / !- Y iiiC = f • ♦ • f ♦ f • • • • ♦ ♦ ♦ ♦ ♦ ♦ • ♦ • O p K O K K O / / V K f • ♦ ♦ _K tV V f O O O O O O O O O O O O O O O O C O O C O O C O O O O 8 8 8 88 88 N♦ O O (� h • f ♦ f f fv V t O O O ♦ ♦ ♦ ♦ • ♦ • v ♦ ♦ ♦ ♦ ♦ ♦ wi Y t t ♦ ♦ ♦ ♦ h M {Z1 8 i � v 88 88 88 88 88 pppp 88 8S 88 88 88 88 88 88 88 CCpp ppcQ pppp pCCp CCp+ H O O O O O O C Y O O O O O O O OOO CCoo ppoo O O O C G O O QQ QQ �Q` QQ Q Q Q N h N h N" e O O O e G N h i O OO G O G O G O N N N N h N fr fr N N NLU h h h h N f O h ftft h N N N fNr h N fr h C Ow w P w w w w w ~ • w ` • h h rf r1 r1 ff1 t1 Vj • • • w w w w P P w w • w w p a p P 1 + 1 ~ ^ Q ^ ~ ~ ~ h h h n w r1 ^ N h rf ^ Ot • • • f 1 / 1 A y Q? o e o e o 0 o e e o 0 0 0 0 0 0 0 0 0 0 0 0 0 o e o 0 0 0 0 0 < o o K Y � h ••• 0 0 0 0 0 0 2Y' r p P w �w w w w w P O•i ••• • • 0 0 0 0 0 0 i f_ r1 8 g 8 g a P 8 8 a P P 8 g a P P•••• r O O p O/ .Y ii y •^ _8 .8. _ P p a P P•• N Y M 8 8 8 < < H S ____�-•�., n 88888888888pg r i s Ct2 0 0 0 0 0 0 0 Op Cp • ^ n n n n ^^ 0 0 0 0 0 Z H w w O O O O O O to : .� 4tQ Ea}9� x ro h P Ct p h h« O O O O O O C h o. < • • • • • • • • � � P P P � t � i K � P P P P P P p O P • • • • • 1 iii • • O A Z N ♦ n A A- n A � r h � h h � M � A A ^ ^ ^ � h � 2 � • h � A u ..1 O N ^ • �n v r. • w w 'L h.. .^. N N h h h h h h h h h h h h fOr h h POiI h fOhY h N M 23 CITY OF TUSTIN CASH FLOW PARK FINANCI!"G ING.UDES )A&O COSTS YEAR END CUMULATIVE CUMUL ATWE INVESTMENT SURPLUS CoWnG'EN (DEFICIT) COPTI'f' .- 922.301 DEBT MAO (2) EARNINGS (31 922.301 PERIOD SERVICE (1) 21.669 922.301 ENDING REVENU 14,3011 959.971 1,912.272 30 -DOC -92 90%,9x0 0 56.461 2,171.932 2.171.932 0 27.172 96.158 919.661 430,675 27.172 I.13a.6i0 4.006.372 yp-Jre-93 9)0.673 0 120.197 3,078.770 3.022.270 31 -Dar -93 0 71.526 1.021.697 1,092.969 '/%.326 ►30,341 3,910,191 30-100_94 143.394 171.306 111.921 99-964 6,t92,964 1.092.969 169.791 981.766 6.!65.13 31 -Doc-94 211.594 206,969 7,763.136 30-1,0-95 1.093.007 169.791 866,173 5,4ay.379 1.093.007 141.119 232.vSa %,x38.379 31 -DOL -95 239.409 234,651 723.243 1.093.041 221.419 239.409 490.992 {,979.371 30-Jue-96 336.046 269.381 9.713.757 9.713.757 31 -Doc-96 1'093•Qi17 210.431 7)4,3!6 1.093.011 601.0+6 270.431 291.413 10.219.199 W)ue;97 379.634 505.442 10.890.205 1.093.011 289,311 306.376 671.006 10.!90,205 31 -DOC -97 1,093,1)1 604.694 326.706 11.269.919 30-1%0-91 459.250 289.381 179.614 11.963.977 1.093.131 307.407 331.093 694.159 11.963.977 31- D -C-99 74a.2S0 351,919 12,333.119 30-Juo-99 1.093.176 450.530 307.407 369.141 12.667.944 1.093.176 39.345 36v.994 134.226 12.667.944 31 -Deo -99 145.530 180.031 12,414.900 10-Jue-2000 1,093.222 14%,345 (1t3.0'►x) 12.322.171 7000 1,093.222 7119,890 174,347 12•!22,171 31 -Dei- 1,33,!90 365.972 337.271 1.093.270 394.663 12.609,924 1p-122°-2001 713.693 363.972 371.293 (212.)411 12.949.081 31-Daa-2001 1.093.270 394.270 339.259 12.949.011 1.093.321 1.299.693 3%4.270 3SI.472 12.701.751 30-1u0-2002 759.265 311.053 (247.3231 13.p4Z.323 31 -De -2002 1.093.321 403.4113 340.763 13.042.523 1.093.373 1.311.263 391.276 (227 995) 12.154,323 30-1u0-2003 403.414 3112.636 13.096.224 2003 1.093.373 740.400 423.631 13.096.224 31-Dac" 1.340,400 392.987 379.316 1,pq;,427 i23,63i (329.310) 12.766.914 30-1220-2004 1.093.421 720.960 3113.007 13.103.915 13.108.913 31 -Dec -200x 444,341 393.267 )42.000 1.093.494 1.360.960 9x4.941 (366.168) 12.742.147 30-Ju0-2005 1.093.434 699.910 3192.282 13.094,373 13.094.373 31 -Doc -2005 467,083 392.331 341.626 , 1.093.343 1.314.910 467.093 (414.090) 12.670.293 30-1u0-2� 677.365 380.101 13.010.914 13.010.914 31-D,e"2006 1.093.543 490.437 140.331 1.093.604 1.397.363 390.324 12.337,693 30-100-2007 49p.a3T 176.131 (473.667 12.976.360 1.093.604 632.960 514.439 339.667 12•�6•� 31-D06-2007 1.093.668 1.427.960 386.291 12.333.664 30-100'200! 626.331 314.939 (Sn,696) 12,619,326 1,093.66! 540,707 370.610 12,629.586 31-D.L-20a 1,446,333 3!0.61! 593.112 12.095.,► 30-Jm-2009 !.093.734 340.707 (593.161) 12.427.90! 1,093.7]4 391.793 567.743 362.872 12,427.909 31-I)m- 1.492.793 372.937 332.1112 1,093,903 567.74) (660.962) 11.766.946 30-100-2010 1.093.!03 566.115 353.00! 12.094.326 12.094.326 31 -Dec -2010 596.130 127.3111 1,09],1174 1,311,715 396.130 362.130 11.363,09! 30-Ju0-2011 533.194 340.953 (�'22S) 11.686.363 31-Dw-2011 1,093.974 623.936 321.263 11,616.363 1,093.949 1,531.194 623,936 350.391 10.866.922 30-100-2012 497.339 326.003 (319.3411 11.1110,779 31 -Dec -2012 1.093.949 637,233 311,937 11.190,779 1.094.026 1.392.339 637.233 335.423 10.274.714 30 -Ju" -2013 458.260 308.243 (906,0031 10.379,800 31 -Dec -2013 1,094,026 690.095 305.026 10.379.800 1,094,101 1.611.260 311.394 9.575.270 ;p-100-2014 416.3110 690.095 (1,004,3311 9,%69,333 2014 1.094.107 724.399 287,2511 9,869.231 31-D�" ►,661.310 296.095 294.369 1.094.190 724,599 1.754.914 30 -jun 1.094,190 371.111 262.644 (1,113.0251 9,036.969 9,0)6.96! -11-Dec-2015 1,094,190 160.929 2112.153 1,Q94•2n 1,711.111 760,829 271,109 470) 7.114.491 30-JUD-2016 322.403 234.433 (1.272. 8.092.329 31-D.r-2016 1.094,27! 791.971 267.931 3.012.329 1.094.368 I.7ST.a03 791.311 242.470 6,744,770 30-30,0-2017 1,094,36! 270.136 202.)43 (1.3)7.5391 6.995-092 6.995.099 31-D,c-'2017 839.914 250.327 1.094.x62 1.795.350 i3t.914 209.953 5.j79.477 30.1,4-2011 213.174 176.394 (1.113.621) 6,107.973 6,107,973 31-DeI-2011 1,09a.�2 !90.733 22t.jg7 1,093.924 1.505.174 193.239 4,902.063 30-100-2019 161.911 920.753 147.089 (1.205.0011 5,103.132 31-x"2019 1.093.924 924,793 202.167 5.103.132 1,093.503 1.520.10E 153.154 4,394,101 30-100-2020 119,69% 924.193 131.523 (721.0321 4,553,60b 2020 1.093.103 971,032 170.505 4.554.600 31- Dom- 974.69! 1)0.0311 1,7x1.132 30-1uo-2021 1.093.173 19.277 971.03: (1113.453) 3.975.471 1.093,173 112.233 1,975.411 31 -Doc -2021 99v.023 3,019.1113 134,319 116.264 3,172.322 30-J0m-2072 1.092.920 55.292 1.019.3114 95.116 (702.9491 3.265.476 2022 1,092.920 1,070.363 92.954 3.265.376 31-D�- %20.2112 97,965 1.921,396 V>-2023 1.092.720 1.070.563 (1.33%.030) 27,168 57.1122 1,391,612 1.391.612 31-D-2023 1.092.720 %18.369 1.123.091 X1.149 (535.7%4) 30-1220-2023 546.359 0 1.124.091 ------------ )1 -pec -2024 346,553 - -"---- ---- ----- 36.046.995 _-17,749.01! 1.3... 69.416.132 49.796.543 --------- --------- a( COP, 0014 1rQ0 1992-19914 taallgnt 525.11 nulllon. (2i f aw-rwsm Praraw t' U. Coq (w- --M'*")^"i'cMJulc). (3)6% an ,,ulauvc ,uRl- 24 LANDSCAPING AND LIGHTING ACT OF 1972 Background The Landscaping and Lighting Act of 1972 (Streets and Highways Code 22500-22 provides ample authority for the Cit to set u and maintain community y P special assessment districts to acquire, improv679e Y P� The process is very similar to setting up an improvement district for new development. No election is required, but the process is subject to a majority protest by property owners within the district. If a majority of property owners protest district formation hearing, a 4/5th vote of the City Council is required to implement the district It is unlikely, of course, that the Council would go ahead with implementation after a ma'orit ' protest. y If annual maintenance expenses are to be funded from the assessment, then there needs to be an annual public hearing. Furthermore, the annual maintenance expenses must be spread according to an assessment engineer's report prepared annually as well. The ex nse for preparing the annual maintenance assessment engineer's report can be passed on to the property owners in the assessment. P Pe y The assessment, in addition to maintenance expenses, may include (a) the costs of acquisition of land for parks, recreation and open space purposes and (b) the costs of install of park and recreational improvements. anon The City Council may determine that the costs of such acquisitions ' are greater than can be conveniently raised from a single annual ssessment and order improvements costs (not including maintenance and servicing expenses) be financed b the assessment bonds under either the 1911 or 1915 Act (term not to exceed 30 issuance of special issuance of notes (term not to exceed 10 years), The resolution ordering the issuance of bonds the or notes shall set forth the estimated costs of the acquisitions and improvements, specify o he number of annual installments of assessments and the fiscal years during which they be collected, and fix the maximum amount of each annual installment necessary to retire the bonds or notes. ds Thereafter the annual assessment installments are "automatically" included in the annual engineer's report along with the annual maintenance assessments. A district also may be formed just for the purpose of covering annual maintenance costs for improvements paid for or financed by any other means. The assessments, whether they be annual or in annual installments, may be apportioned by any formula or method which fairly distributes the costs in proportion to the esi benefits to be received by each parcel from the improvements. mated Use or Funds Assessments can be used to finance: 1) Installation of landscaping, public lighting, parr and recreational improvements; 2) Maintenance or servicing, or both, of any of the above; and 3) Acquisition of land for park, recreational, or open -space purposes. 25 CITY Or TUSTIN FLNM: TUSTMRCr PARK DEVELOPMENT PROJECTS FINANCING ASSESSMENT/MR BONDS PARCEL TAX SCENARIO rISCAL TOTAL DEBT YEAR SERVICE (1) 1991 0 1992 0 1993 0 1994 0 1995 %375,000 1996 375,000 1997 1,030,000 1998 1,030,000 1999 1,260,000 2000 1,260,000 2001 2,180,000 2002 2,180,000 2003 2.1BO,000 2004 2,180,000 2005 2,180,000 2006 2,180,000 2007 2,180,000 2008 2,180,000 2009 2,180,000 2010 2,180,000 2011 2,180,000 2012 2.180.000 2013 2,180,000 2014 2,180,000 2015 2,180,000 2016 2.180,000 2017 2,180,000 2018 2,180,000 2019 1,8051000 2020 1,805,000 2021 1,150,000 2022 1,150,000 2023 920,000 920 000 TOTAL DEBT NO. Or SERVICE PARCELS (2) PER PARCEL TOTAL DEBT SF RV I CE MSO COSTS (3) PLUS Mao 0 %?7,254 11,088 0 28,617 11,398 0 54,344 11,908 0 157,051 12,318 $30.14 339,582 12,444 30.14 476,819 12,444 82.77 540,863 12,444 82.77 579,163 12,444 101.25 614,814 12,444 101.25 697,089 12,444 175.18 731,94412,444 175.18 768,541 12,444 175.18 806,968 12,444 175.18 847,316 12,444 175.18 889,682 12,444 175.18 934,166 12,444 175.18 98p 875 12,444 175.18 1,029,918 12,444 175.18 1.081,414 12,444 175.18 1,135,485 12,444 175.18 1.192,259 12,444 175.18 1,251,872 12.444 175.18 1,314,466 12,444 175.18 1,380,189 12,444 175.18 1.449,199 12,444 175.18 1,521,659 12,444 175.18 1,597,742 12,444 175.18 1,677,629 12,444 145.05 1,761.510 12,444 145.05 1.849,586 12,444 92.41 1.942,065 12,444 92,41 2,039,168 12,444 73.93 2,141,126 12,444 73.93 2,248,183 12,444 24 -Jan -91 TOTAL DEBT SERVICE PLUS Mb0 PER PARCEL %27,254 28,617 54,344 157,051 714,582 851,819 1,570,863 1,609,163 1,874,814 1,957,089 2,911,944 2,948,541 2,986,968 3,027,316 3,069,682 3,114,166 3,160,875 3,209,918 3,261,414 3.315,485 3.372,259 3,431,872 3,494,466 3,560.189 3,629,199 3,701,659 3,777,742 3.857,629 3.566,510 3.654.586 3.092,065 3,189.168 3,061.126 3,16B.1B3 52.46 2.51 4.56 12.75 57.42 68.45 126.23 129.31 150.66 157.27 234.00 236.94 240.03 243.28 246.6E 250.25 254.01 257.95 262.09 266.43 270.99 275.79 280.82 286.10 291.64 297.47 303.58 310.00 286.60 293.68 248,48 256.28 245.99 254.60 2024 . two years beginning two years of interest 1 includes of bonds sot every ( )ludes debt service on four serd oPP would be structured to funroximately in 1992. Each series of bonds. The bonds would provide a total of period. Payments and a reserve fund. would each be amortized over a 25 year p 521 million in net proceeds and The onnu�l growth in parcels reflects the provided by the City. parcels. (Based on the development of undeveloped property into residcntinl Sr housing 5 each additional this schedule assume• areal.) City's housing projections, units would odd an additional P unit and 10 additional MF housing (3) From accompanying schedule. 7� MELLO-BOOS BONDS Background The Mello -Roos Community Facilities Act of 1982 (Government Code 53311-5336 provides an alternative method for financing a broad range of public facilities. A communis) facilities district is strictly a financing vehicle, not a separate community financing can be used to provide any land of facilities with a usefulllife f five � Mello -Roos which the City is authorized to construct, own, or operate. Years or more, The measure to authorize a special tax or bonds must be approved by a favorable two- thirds vote in the community facilities districts. The measure must specifya maximum and the method in which the tax will be apportioned. Different classes of o rt may tax rate at different rates, e.g., one rate for undeveloped land, one for residential, one for commercial, ed and so forth. In such a case, the tax paid by a given parcel can vary as its land use is converted clay from undeveloped to a more intensive use. erted Use of Funds Mello -Roos bonds can be used to finance: Facilities 1) Roads, water and sewer lines, flood control channels; 2) Local park, recreation, parkway and open -space facilities; P , 3) School sites and structures; 4) Libraries; 5) . Childcare facilities; and 6) Any other governmental facilities which the City is authorized b law to contribute revenue to, construct, own or operate. y Services 1) Police protection services; including criminal justice services; 2) Fire protection and suppression services and ambulance and paramedic services; 3) Recreation program services, library services and the operation and maintenance of parks, parkways and open space; and 4) Flood and storm protection services including the operation and maintenance of storm drainage systems. 27 FLNM: TUSTMRCf PARK DEVELOPMENT CITY OF TUSTIN ENT PROJECTS FINANCING ASSESSMENT/MR BONDS PARCEL TAX SCENARIO FISCAL TOTAL DEBT YEAR SERVICE (1) 1991 0 1992 0 1993 0 1994 0 1995 $375,000 1996 375,000 1997 1,030,000 1998 1,030,000 1999 1,260,000 2000 1,260,000 2001 2,180,000 2002 2,180,000 2003 2,180,000 2004 2,180,000 2005 2,180,000 2006 28180.000 2007 2,180,000 2008 2,1808000 2009 2,180,000 2010 2,180,000 2011 2,180,000 2012 2,180,000 2013 2,180,000 2014 2,180,000 2015 2,180,000 2016 2,180,000 2017 2,180,000 2018 2,180,000 2019 1,805,000 2020 1,So5,000 2021 1,150,000 2022 1,150,000 2023 920,000 920 000 TOTAL DEBT N0. OF SERVICE PARCELS (2) PER PARCEL TOTAL DEBT SERVICE M80 COSTS (3) PLUS MO 24 -Jan -91 TOTAL DEBT SERVICE PLUS 1480 PER PARCEL S27.254 x2'46 28,617 2.51 54,344 4.56 157,051 12.75 714,582 57.42 851,819 68.45 1,570,563 126.23 1,609,163 129.31 1,874,814 150.66 1,957,089 157.27 2,911,944 234.00 2,948,541 236.94 2,986,968 240.03 3,027,316 243.28 3,069,682 246.68 30114,166 250.25 3,160,875 254.01 3,209,918 257.95 3,261,414 262.09 3,315,485 266.43 3,372,259 270.99 3,431,872 275.79 3,4949466 280.82 3,560,189 286.10 3,629,199 291.64 3,701,659 297.47 3,777,742 303.58 3,857,629 310.00 3,566,510 286.60 3,654,586 293.68 3,092,065 248.48 3,189,168 256.28 3,061,126 245.99 3,168,183 254.60 2024 I beginning service on four series of bonds sold every two years beg two years of interest (1) Includes debt se roximately 1992. Each series of bonds would be tructpre�ide a total of app period. 'n The bonds year peri payments and s reserve f"r'd• would each be amortized over a 25 Y 521 million in net proceeds and The annual growth in parcels reflects the provided by the City. parcels. (Based on the development of undeveloped (2) 1991 figure rty into residential property s each additional SF housing ro ections, this schedule assume arce1.) City's housing P 1 unit and 10 additional MF housing units would add an additional p (3) From accompanying schedule. 0 $27,254 11,0 0 28,617 11,398 0 54,344 11,908 0 157,051 12,318 $30.14 339,582 12,444 30.14 476,819 12,444 82.77 540,863 12,444 82'77 ST9,163 12,444 101.25 614,814 12,444 101.25 697,089 12,444 175.18 731,944 12,444 175.18 768,541 12,444 175.18 806,968 12,444 175.18 847,316 12,444 175.18 889,682 12,444 175.18 934,166 12,444 175.18 980,875 12,444 175.18 1,029,918 12,444 175.18 1,081,414 12,4441,135,485 175.18 12,444 175.18 1,192,259 12,444 175.18 1,251,872 12,444 175.18 1,314,466 12,444 175.18 1,380,189 12,444 175.18 1,449,199 12,444 175.18 1,521,659 12,444 175.18 1,597,742 12,444 175.18 1,677,629 12,444 145.05 1,761,510 12,444 145.05 1.849,586 12,444 92.41 1,942,065 12,444 92.41 2. p39,168 12,444 73.93 2,141,126 12,444 73.93 2,248,183 12,444 24 -Jan -91 TOTAL DEBT SERVICE PLUS 1480 PER PARCEL S27.254 x2'46 28,617 2.51 54,344 4.56 157,051 12.75 714,582 57.42 851,819 68.45 1,570,563 126.23 1,609,163 129.31 1,874,814 150.66 1,957,089 157.27 2,911,944 234.00 2,948,541 236.94 2,986,968 240.03 3,027,316 243.28 3,069,682 246.68 30114,166 250.25 3,160,875 254.01 3,209,918 257.95 3,261,414 262.09 3,315,485 266.43 3,372,259 270.99 3,431,872 275.79 3,4949466 280.82 3,560,189 286.10 3,629,199 291.64 3,701,659 297.47 3,777,742 303.58 3,857,629 310.00 3,566,510 286.60 3,654,586 293.68 3,092,065 248.48 3,189,168 256.28 3,061,126 245.99 3,168,183 254.60 2024 I beginning service on four series of bonds sold every two years beg two years of interest (1) Includes debt se roximately 1992. Each series of bonds would be tructpre�ide a total of app period. 'n The bonds year peri payments and s reserve f"r'd• would each be amortized over a 25 Y 521 million in net proceeds and The annual growth in parcels reflects the provided by the City. parcels. (Based on the development of undeveloped (2) 1991 figure rty into residential property s each additional SF housing ro ections, this schedule assume arce1.) City's housing P 1 unit and 10 additional MF housing units would add an additional p (3) From accompanying schedule. PHASING OPPORTUNITIES Basic Improvements Community Parks (3) 46 acres Architecture and Engineering $5.750,000 7 Total Basic Improvements $ 69325,000 Secondary Level Improvemetits Gymnasium and Athletic Field Complex F -Tustin Ranch $2,780,000 20,000 sq, ft. Community Arts Center 5,000 sq. ft. Nature Center and 390721,000 Group Picnic Facilities Architecture and Engineering 5509000 640.200 • Total Secondary Improvements _7.042.200 Total Basic .and Secondary Improvements 11333673200 Basic improvements include rest rooms, play and picnic areas, hard surface courts, grading, irrigation systems, turf, landscape materials, concrete walkwa s and yligh fine Secondary level improvements include lighted sports fields Y security lighting. gymnasiums, and athletic field complexes and are usually found on command cultural centers, unity parks. This phasing plan assumes another funding source for the Columbus Tu ($2.1 million) and does not provide for the opportunities to purchase sten Gymnasium surplus school p ase the Tustin Unified School District Administration site or a su . � ool site for the replacement of the leased Lambert School ($6 million The plan also takes into consideration that the two neighborhood arks r funded by the New Construction Tax, p are The most cost-effective way to develop would be to construct the basic a improvements simultaneously. Construction costs such as mobilization nd secondary would have to be paid only once for each site instead of twice. The C ty co g, and surveying as $3 million by developing tile y e parks completely. y uld save as much All figures are in today's costs and are not adjusted for inflation. 29