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Home My WebLink About13 APPROVAL OF RESO 15-70 FOR TUSD COMMUNITY FACILITIES DIST. NO. 15-2 O� Agenda Item 1 3 Reviewed: J ( y. AGENDA REPORT City Managers"'/ Ott% Finance Director 91/A MEETING DATE: SEPTEMBER 15, 2015 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: JEFFREY PARKER, CITY MANAGER SUBJECT: APPROVAL OF RESOLUTION 15-70 MAKING SPECIFIED FINDINGS AND AUTHORIZING AND DIRECTING THE CITY MANAGER TO CAST BALLOTS AND TO EXECUTE ALL DOCUMENTS AND TAKE SUCH ACTIONS AS ARE NECESSARY FOR FORMATION OF TUSTIN UNIFIED SCHOOL DISTRICT COMMUNITY FACILITIES DISTRICT NO. 15-2. SUMMARY: Approval of the attached City Council Resolution Number 15-70 would authorize the City Manager to cast ballots and execute all documents necessary for the Tustin Unified School District (TUSD) to call a combined special tax and bond election to be held within the boundaries of Community Facilities District No. 15-2 ("CFD 15-2") to effect certain real property owned by the City. Approval of the Resolution implements the City's agreement to cooperate with TUSD in the formation of CFD No. 15-2 and for the development of specified TUSD school facilities. RECOMMENDATION: It is recommended that the Council adopt the Resolution attached hereto as Exhibit A, and entitled "A Resolution of the City Council of the City of Tustin, California, Making Specified Findings and Authorizing and Directing the City Manager to Cast Ballots and to Execute All Documents and Take Such Actions as are Necessary For Formation of Tustin Unified School District Community Facilities District No. 15-2". FISCAL IMPACT: The establishment of TUSD's CFD 15-02 would impose special tax upon property owned by the City in the Tustin Legacy to support the issuance by TUSD of bonds. Funds from the issuance of the bonds would be used as partial funding of specified school facilities that would benefit the City-owned Property, thus partially or wholly offsetting the liability imposed by the TUSD special tax. 1112004.1 TUSD COMMUNITY FACILITIES DISTRICT September 15, 2015 Page 2 CORRELATION TO STRATEGIC PLAN: Approval of the Resolution would advance Strategic Plan Goal D ["Continue to work collaboratively with agencies within and outside Tustin on issues of mutual interest and concern (e.g., Tustin Unified School District)"] by providing funding for schools needed to support residential development within Tustin Legacy. BACKGROUND AND DISCUSSION: At the request of the City, and at no cost to the City, TUSD initiated proceedings for the formation and authorization of Special Taxes and Bonds of the TUSD Community Facilities District 15-2 ("TUSD/CFD") subject to approval of a School Facilities Implementation, Funding and Mitigation Agreement, Site Conveyance Agreement and a Joint Community Financing Agreement (collectively the "Agreements") by the City and TUSD. On August 24, 2015, the TUSD Board of Directors approved each of the Agreements, and the City Council approved the agreements at its meeting on August 25, 2015. As part of the Agreements, TUSD has agreed to use the proceeds of the bonds issued pursuant to the TUSD/CFD as partial funding for schools to serve residential properties in the Tustin Legacy area. (The Agreements provide for other sources of funds that will be used to provide the remaining resources needed to construct the school facilities.) Residents in the areas impacted by the CFD will have priority to attend the schools constructed with those funds. Before the bonds can be issued, however, the City must waive certain timing provisions that apply to CFDs and authorize the City Manager to vote in the combined special tax and bond election because the City is the owner of the property affected by this TUSD/CFD. The attached Resolution 15-70 would provide the City Manager with needed authority to implement those steps and to take any other actions necessary to facilitate the CFD. Attachments: 1. Resolution 15-70 1112004.1 TUSD COMMUNITY FACILITIES DISTRICT September 15, 2015 Page 3 Exhibit A Resolution 15-70 1112004.1 RESOLUTION NO. 15-70 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, MAKING SPECIFIED FINDINGS AND AUTHORIZING AND DIRECTING THE CITY MANAGER TO CAST BALLOTS AND TO EXECUTE ALL DOCUMENTS AND TAKE SUCH ACTIONS AS ARE NECESSARY FOR FORMATION OF TUSTIN UNIFIED SCHOOL DISTRICT COMMUNITY FACILITIES DISTRICT NO. 15-2 WHEREAS, the City of Tustin ("City") and Tustin Unified School District ("TUSD") entered into various agreements wherein the City agreed to cooperate with TUSD in the formation of Community Facilities District No. 15-2 of the TUSD ("CFD No. 15-2") pursuant to the terms and provisions of the Mello-Roos Community Facilities Act of 1982, as amended (the "Act") and for the development of specified TUSD school facilities. WHEREAS, the Board of Education of TUSD ("Board") has undertaken proceedings and declared the necessity to issue bonds on behalf of CFD No. 15-2 and called a combined special tax and bond election to be held within the boundaries of CFD No. 15-2 on September 28, 2015 ("Election"), to effect certain real property owned by the City as such property is depicted with the boundary map of CFD No. 15-2 in Exhibit "A", attached hereto and incorporated herein by this reference (the "Property"). WHEREAS, in order to accommodate the scheduling of the Election, the City has been requested to execute and provide to TUSD, acting on behalf of CFD No. 15-2, a waiver and consent form in order to shorten time between the time of calling of the Election and the date of the Election pursuant to the Act. WHEREAS, the City Council desires to adopt this Resolution to provide for those matters contained herein relating to CFD No. 15-2 and the Election. THE CITY COUNCIL OF THE CITY OF TUSTIN DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: A. The foregoing recitals are true and correct and are incorporated herein. B. The City has examined the relevant documentation concerning the Property and confirms that the City is the sole owner of the Property for purposes of adoption of this Resolution. C. The City Council authorizes and directs that the waiver and consent of the City, as owner of the Property, for purposes of Section 53326 of the Act, shall be executed and delivered by the City to TUSD, acting on behalf of CFD No. 15-2 Resolution No. 15-70 Page 1 of 1 i i 12258.1 and delegates to Jeffrey C. Parker, City Manager ("City Manager"), the authority to execute and deliver such form, as reviewed and approved as to form by the City Attorney. D. The City Council authorizes the City Manager to act as the City's designated voting representative for purposes of casting any ballots with respect to the Property as part of the Election. The City Manager is authorized to provide confirmation of identity and take other related actions as necessary to cast the ballots in the Election and to otherwise participate therein. Such ballots may be cast as a mailed ballot or as a walk-in election as TUSD, acting on behalf of CFD No. 15-2, shall determine. E. The City Manager and City Clerk and when required, the Mayor, are each authorized and directed to execute and deliver all other documents and to take those actions necessary to cause or facilitate the authority and directives set out in this Resolution, provided that such documents are reviewed and approved as to form by the City Attorney. To the extent this Resolution authorizes an officer of the City to execute any document or to take any action, that execution or action may be taken by a person designated by such officer to act in his or her behalf, but only in the event such officer is absent or otherwise unavailable. F. This Resolution shall take effect on the day it is adopted. PASSED AND ADOPTED by the City Council of the City of Tustin at a regular meeting on the 15th day of September, 2015. CHARLES E. PUCKETT, Mayor ATTEST: JEFFREY C. PARKER, City Clerk Resolution No. 15-70 Page 2 of 2 1112258.1 STATE OF CALIFORNIA ) ORANGE COUNTY CITY OF TUSTIN I, Jeffrey C. Parker, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, do hereby certify that the whole number of the members of the City Council of the City of Tustin is five; that the above and foregoing Resolution No. 15-70 was duly passed and adopted at a regular meeting of the Tustin City Council, held on the 15`h day of September, 2015, by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: JEFFREY C. PARKER, City Clerk Resolution No. 15-70 Page 3 of 3 1112258.1 Exhibit A - Boundary Map of CFD No. 15-2 ___________________ Resolution No. 15-70 Page 4 of 4 1112258.1