HomeMy WebLinkAbout8 Grays Crossing Resolution t _ .
Agenda Item #8A
RESOLUTION NO.
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
ESTABLISHING TRUCKEE DONNER PUBLIC UTILITY
DISTRICT COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING), AUTHORIZING THE LEVY OF A
SPECIAL TAX THEREIN AND ESTABLISHING AN ANNUAL
APPROPRIATIONS LIMIT
WHEREAS, on June 16, 2004, pursuant to a petition filed by Gray's Crossing, LLC(the
"Petitioner"),the Board of Directors (the `Board of Directors") of the Truckee Donner Public Utility
District (the "Public Utility District")adopted a resolution (the "Resolution of Intention") stating its
intention to form Truckee Donner Public Utility District Community Facilities District No. 04-1
(Gray's Crossing) (the"Community Facilities District')pursuant to the Mello-Roos Community
Facilities Act of 1982, as amended(the"Act'); and
WHEREAS, a copy of the Resolution of Intention, setting forth a description of the proposed
boundaries of the Community Facilities District, the facilities to be financed by the Community
Facilities District and the rate and method of apportionment of the special tax proposed to be levied
within the Community Facilities District,is on file with the Clerk of the Public Utility District(the
"District Clerk") and is incorporated herein by reference; and
WHEREAS,the proposed boundaries of the Community Facilities District, as set forth in the
Resolution of Intention, were amended by a resolution adopted by the Board of Directors on July 21,
2004,which resolution approved an amended map of the boundaries of the Community Facilities
District(the "Amended Map")and a copy of which resolution is on file with the District Clerk and is
incorporated herein by reference; and
WHEREAS, on June 16, 2004, the Board of Directors also adopted a resolution stating its
intention to incur bonded indebtedness in an amount not to exceed $35,000,000 for the purpose of
financing(i)the cost of purchasing, constructing, expanding,improving or rehabilitating the facilities
listed on Appendix A to the Resolution of Intention, and all appurtenances and appurtenant work
associated with the foregoing(collectively the"Facilities") and(ii)the incidental expenses to be
incurred in connection with financing the Facilities, including costs associated with the creation of
the Community Facilities District and the issuance of bonds, the establishment and replenishment of
bond reserve and special reserve funds (the"Incidental Expenses"); all as more fully described in
said resolution; and
WHEREAS, notice was published and mailed as required by law relative to the intention of
the Board of Directors to form the Community Facilities District and to incur bonded indebtedness in
an amount not to exceed $35,000,000; and
WHEREAS, there has been filed with the Board of Directors a report containing a
description of the facilities necessary to meet the needs of the Community Facilities District and an
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WHEREAS, the Board of Directors has held a public hearing as required by law to
determine whether it should proceed with the formation of the Community Facilities District, issue
bonds to pay for the Facilities and the Incidental Expenses and authorize the rate and method of
apportionment of a special tax to be levied within the Community Facilities District for the purposes
described in the aforesaid resolutions; and
WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to the
formation ofthe Community Facilities District,the levy of a special tax and the issuance of bonds to
pay for the cost of the proposed Facilities and Incidental Expenses were heard, and a full and fair
hearing was held; and
WHEREAS, at the public hearing evidence was presented to the Board of Directors on the
matters before it,and the proposed special tax to be levied within the Community Facilities District
was not precluded by a majority protest of the type described in Government Code Section 53324,
and the Board of Directors is sufficiently advised as to all matters relating to the formation of the
Community Facilities District, the levy of the special tax and the issuance of bonded indebtedness;
and
WHEREAS,there have been fewer than twelve registered voters residing in the proposed
boundaries of the Community Facilities District for the statutory period and the qualified electors in
the Community Facilities District are the landowners within the Community Facilities District; and
WHEREAS, on the basis of all of the foregoing, the Board of Directors has determined at
this time to proceed with the establishment of the Community Facilities District and to call an
election therein to authorize(i) the levy of special taxes pursuant to the rate and method of
apportionment of the special tax, as set forth in Attachment A hereto, (ii) the issuance of bonds to
pay for the Facilities and the Incidental Expenses, and (iii)the establishment of an appropriations
limit for the Community Facilities District;
NOW, THEREFORE, THE BOARD OF DIRECTORS OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT DOES HEREBY RESOLVE, DETERMINE AND ORDER AS
FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. A community facilities district designated "Truckee Donner Public Utility
District Community Facilities District No. 04-1 (Gray's Crossing)"is hereby established pursuant to
the Act. The Board of Directors hereby finds and determines that all prior proceedings taken with
respect to the establishment of the Community Facilities District were valid and in conformity with
the requirements of law, including the Act. This finding is made in accordance with the provisions of
Section 53325.1(b) of the Act.
Section 3. The boundaries of the Community Facilities District are established as shown
on the Amended Map, which is on file in the office of the District Clerk and which supercedes the
map that was recorded on June 25, 2004 in the Book of Maps of Assessment and Community
Facilities Districts in the Office of the County Recorder of Nevada County in Book No. 1, at
Page 126, as Instrument No. 2004-0026182.
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Section 4. The facilities authorized to be provided for the Community Facilities District
are those identified as the"Facilities" in the recitals of this resolution.
Section 5. It is the intention of the Board of Directors, subject to the approval of the
qualified electors of the Community Facilities District, to levy the proposed special tax at the rates
set forth in Attachment A hereto on all non-exempt property within the Community Facilities District
sufficient to pay for(i)the Facilities, (ii)the principal and interest and other periodic costs on the
bonds proposed to be issued to finance the Facilities, including the establishment and replenishment
of reserve funds, any remarketing, credit enhancement and liquidity facility fees and other expenses
of the type permitted by Section 53345.3 of the Act; and (iii)the other Incidental Expenses, including
the costs of forming the Community Facilities District and administering the levy and collection of
the special tax and all other administrative costs of the special tax levy and bond issues. The Public
Utility District expects to incur, and in certain cases has already incurred,incidental expenses in
connection with the creation of the Community Facilities District, the issuance of bonds, the levying
and collecting of the special tax, the completion and inspection of the Facilities and the annual
administration of the bonds and the Community Facilities District. The rate and method of
apportionment of the special tax is described in detail on Attachment A hereto and incorporated
herein by this reference, and the Board of Directors hereby finds that Attachment A contains
sufficient detail to allow each landowner within the Community Facilities District to estimate the
maximum amount that may be levied against each parcel. As described in greater detail in the
Report, which is incorporated by reference herein, the special tax is based generally on the lard use,
location and,in some cases, area of each parcel of real property within the Community Facilities
District and, accordingly, is hereby determined to be reasonable. The special tax shall be levied on
each assessors parcel for a period not to extend beyond fiscal year 2043-2044. The special tax is
apportioned to each parcel on the foregoing basis pursuant to Section 53325.3 of the Act, and such
special tax is not on or based upon the ownership of real property. Under no circumstances shall the
special tax levied against any parcel used for private residential purposes be increased by more than
10% as a consequence of delinquency or default by the owner of any other parcel or parcels within
the District.
The Assistant General Manager of the Public Utility District, 11570 Donner Pass Road,
Truckee, California 96160, telephone number(530) 582-3934, will be responsible for preparing
annually, or authorizing a designee to prepare, a current roll of special tax levy obligations by
assessor's parcel number and will be responsible for estimating future special tax levies pursuant to
Section 53340.2 of the Act.
Section 6. In the event that a portion of the property within the Community Facilities
District shall become for any reason exempt, wholly or partially, from the levy of the special tax
specified on Attachment A, the Board of Directors shall, on behalf of the Community Facilities
District, increase the levy (to the extent necessary and permitted by law and these proceedings) upon
the remaining property within the Community Facilities District which is not exempt in order to yield
the required debt service payments on any outstanding bonds of the Community Facilities District or
to prevent the Community Facilities District from defaulting on any of its other obligations or
liabilities. The amount of the special tax will be set in accordance with the rate and method of
apportionment of the special tax attached hereto as Attachment A.
Section 7. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of
the Streets and Highways Code, a continuing lien to secure each levy of the special tax shall attach to
all non-exempt real property in the Community Facilities District, and this lien shall continue in force
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and effect until the special tax obligation is prepaid and permanently satisfied and the lien canceled
in accordance with law or until collection of the special tax by the Community Facilities District
ceases.
Section 8. It is hereby further determined that there will be no ad valorem property tax
levied on property within the Community Facilities District for the exclusive purpose of paying the
principal of or interest on bonds or other indebtedness incurred to finance the construction of capital
facilities which provide the same services to the territory of the Community Facilities District as are
proposed to be provided by the Facilities to be financed by the Community Facilities District.
Section 9. The Public Utility District may accept advances of funds or work-in-kind
from any source, including, but not limited to,the Petitioner and other private persons or private
entities, for any authorized purpose, including,but not limited to, paying any cost incurred by it in
creating the Community Facilities District. The Public Utility District may enter into an agreement
with the person or entity advancing the funds or work-in-kind,to repay all or a portion of the funds
advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work-
in-kind, as determined by the Board of Directors, with or without interest.
Section 10. Written protests against the establishment of the Community Facilities
District have not been filed by one-half or more registered voters within the boundaries of the
Community Facilities District or by the property owners of one-half(1/2) or more of the area of land
within the Community Facilities District. The Board of Directors hereby finds that the proposed
special tax has not been precluded by a majority protest pursuant to Section 53324 of the Act.
Section 11. The annual appropriations limit (as defined in Section 8(h) of Article XIII B
of the California Constitution) of the Community Facilities District is hereby established at
$35,000,000.
Section 12. An election is hereby called for the Community Facilities District on the
propositions of levying the special tax on the property within the Community Facilities District and
establishing the appropriations limit for the Community Facilities District pursuant to
Section 53325.7 of the Act and shall be consolidated with the election on the proposition of incurring
bonded indebtedness, pursuant to Section 53351 of the Act. The language of the proposition to be
placed on the ballot is attached hereto as Attachment B.
Section 13. The date of the election for the Community Facilities District on the
proposition of incurring the bonded indebtedness, authorizing the levy of the special tax and
establishing the appropriations limit for the Community Facilities District shall be July 21, 2004.
The District Clerk shall conduct the election. Except as otherwise provided by the Act, the election
shall be conducted by personally delivered or mailed ballot and in accordance with the provisions of
law regulating elections of the Public Utility District insofar as such provisions are determined by the
District Clerk to be applicable.
It is hereby found that there have been fewer than twelve persons registered to vote within the
territory of the Community Facilities District for each of the ninety days preceding the close of the
public hearing described above; and, pursuant to Section 53326 of the Government Code, each
landowner who is the owner of record on the date hereof or the authorized representative thereof
shall have one vote for each acre or portion thereof that he or she owns within the Community
Facilities District.
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Section 14. The preparation of the Report is hereby ratified. The Report, as submitted, is
hereby approved and is made a part of the record of the public hearing regarding the formation of the
Community Facilities District, and is ordered to be kept on file with the transcript of these
proceedings and open for public inspection.
ADOPTED and APPROVED by the Board of Directors of the Truckee Donner Public
Utility District on this 21" day of July, 2004 by the following vote:
AYES:
NOTES:
ABSENT:
ABSTAIN:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By:
President of the Board of Directors
ATTEST:
District Clerk
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ATTACHMENT A
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
A Special Tax applicable to each Assessor's Parcel in the Truckee Donner Public Utility District
Community Facilities District No. 04-1 (Gray's Crossing) [herein "CFD No. 04-F] shall be levied
and collected according to the tax liability determined by the Board of Directors or its designee,
through the application of the appropriate amount or rate for Taxable Property, as described below.
All of the property in CFD No. 04-1, 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, including
property subsequently annexed to the CFD unless a separate Rate and Method of Apportionment is
adopted for the annexation area.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Acre" 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 or other parcel map recorded with the County.
"Act" 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 California Government Code.
"Administrative Expenses" means any or all of the following: the fees and expenses of any fiscal
agent or trustee (including any fees or expenses of its counsel) employed in connection with any
Bonds, and the expenses of the TDPUD carrying out its duties with respect to CFD No. 04-1 and the
Bonds, including, but not limited to, levying and collecting the Special Tax, the fees and expenses of
legal counsel, charges levied by the County Auditor's Office, Tax Collector's Office, and/or
Treasurer's Office, costs related to annexing property into the CFD, costs related to property owner
inquiries regarding the Special Tax, amounts needed to pay rebate to the federal government with
respect to the Bonds, costs associated with complying with any continuing disclosure requirements
for the Bonds and the Special Tax, and all other costs and expenses of the TDPUD in any way related
to the establishment or administration of the CFD.
"Administrator" means the person or firm designated by the TDPUD to administer the Special Tax
according to this Rate and Method of Apportionment of Special Tax.
"Affordable Unit"means any Unit within CFD No. 04-1 which is subject to (i) a deed-restricted cap
limiting the appreciation that can be realized by the owner of the Unit for thirty (30) years, or
(ii) another such deed restriction that replaces the 30-year appreciation cap in future years. In the
Fiscal Year after the Fiscal Year in which the deed-restriction on an Affordable Unit expires, such
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Unit shall be taxed as Single Family Detached Property or Single Family Attached Property, as
applicable.
"Assessor's Parcel" or "Parcel" means a lot or parcel, including an airspace parcel for a
condominium unit or Loft Unit, shown on an Assessor's Parcel Map with an assigned Assessor's
Parcel number.
"Assessor's Parcel Map" means an official map of the County Assessor designating parcels by
Assessor's Parcel number.
"Association Property" means any property within the CFD that is owned by a homeowners
association, excluding such property under the pad or footprint of a Unit. Association Property shall
also include property designated as open space in a recorded Final Map whether or not such property
has yet been dedicated to a homeowners association, public agency, or private land trust.
"Board of Directors" or "Board" means the Board of Directors of the TDPUD.
"Bonds" means bonds or other debt (as defined in the Act), whether in one or more series, issued,
insured or assumed by CFD No. 04-1 related to public infrastructure and/or improvements that are
authorized to be funded by CFD No. 04-1.
"Building Square Footage" means the total gross square footage of the floor area of a
non-residential building determined by calculating the combined floor area contained within the
building's exterior walls including the area of an addition where floor area is increased. Parking
areas and exterior walkways shall not be included in the calculation of Building Square Footage.
"Capitalized Interest" means funds in any capitalized interest account available to pay debt service
on Bonds.
"Center for the Arts Property" means the property on which a building permit has been issued for
construction of the"Center for the Arts" required pursuant to the Development Agreement, subject to
the limitation set forth in Section G below.
"CFD Formation"means the date on which the Resolution of Formation to form CFD No. 04-1 was
adopted by the Board of Directors.
"Church Property" means, in any Fiscal Year, any Parcel in CFD 04-1 that meets both of the
following criteria: (i) the Parcel is owned by a religious organization which is exempt from ad
valorem property tax, and (ii) a building permit has been issued for construction of a building on the
Parcel that will be used solely as a place of worship. The amount of Church Property within the CFD
shall be subject to the limitation set forth in Section G below.
"County" means the County of Nevada.
"Developed Property" means, in any Fiscal Year, the following:
for Single Family Detached Property, all parcels for which a Final Map was recorded
prior to May 1 of the preceding Fiscal Year
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• for Single Family Attached Property, all parcels for which a building permit for new
construction of a residential structure was issued prior to May 1 of the preceding
Fiscal Year
• for Golf Course Property, all Parcels that make up the Golf Course Property if the
certificate of occupancy for the proshop or clubhouse associated with the golf course
was issued at least twenty-four (24) months in advance of May I of the preceding
Fiscal Year
• for Non-Residential Property, all parcels for which a building permit for new
construction of a non-residential structure (which may include Loft Units) was issued
prior to May 1 of the preceding Fiscal Year
"Development Agreement" means the Development Agreement executed between the Town and
Gray's Crossing LLC on March 25, 2004.
"Excess Public Property" means the acres of Public Property that exceed the acreage exempted in
Section G below. In any Fiscal Year in which a Special Tax must be levied on Excess Public
Property pursuant to Step 5 in Section E below, Excess Public Property shall be those Assessor's
Parcel(s) that most recently became Public Property based on the dates on which Final Maps
recorded creating such Public Property or, if an Assessor's Parcel became Public Property other than
through a Final Map, as determined by the Administrator.
"Expected Affordable Units"means a total of 36 Units within CFD No. 04-1 that are expected to be
Affordable Units. If, in any Fiscal Year, the Administrator identifies a total number of Affordable
Units within CFD No. 04-1 that exceeds 36 Units, only the first 36 Units for which building permits
were issued shall remain exempt from the Special Tax pursuant to Section G below. Affordable
Units for which permits are issued after building permits for the 36 Expected Affordable Units have
been issued shall be taxed as follows: (i) based on the size of the lot if the Unit is Single Family
Detached Property, as Single Family Attached Property if the Unit meets the definition set forth for
such property below, or(iii) as a Loft Unit if the Unit is located above a retail establishment.
"Expected Land Uses" means the total number of Units and size of SIT) Lots expected to be
constructed within the CFD as determined from time to time by the Administrator after applying the
steps in Section D below. At CFD Formation, the Expected Land Uses were those expected to be
reflected in the Tentative Map, The Expected Land Uses at CFD Formation are summarized in
Attachment 1 hereto; the Administrator shall update Attachments 1 and 2 each time a change occurs
to the land use plans for property in the CFD.
"Expected Maximum Special Tax Revenues" means the amount of annual revenue that would be
available if the Maximum Special Tax was levied on the Expected Land Uses. The Expected
Maximum Special Tax Revenues as of CFD Formation are shown in Attachment 1 of this Rate and
Method of Apportionment of Special Tax.
"Final Bond Sale" means the last series of Bonds that will be issued on behalf of CFD No. 04-1
(excluding any Bond refundings), as determined in the sole discretion of the TDPUD.
"Final Map" means a final map, or portion thereof, recorded by the County pursuant to the
Subdivision Map Act (California Government Code Section 66410 et seq.) that creates individual
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lots on which building permits for new construction may be issued without further subdivision and
for which no further subdivision is anticipated pursuant to the Tentative Map.
"Fiscal Year" means the period starting July 1 and ending on the following June 30.
"Fitness Facility Property" means any Assessor's Parcels within the CFD that meets both of the
following criteria (i) a building permit has been issued for construction of a swim or fitness facility
on the Parcel, and (ii) based on the size of the Parcel, no other buildings can be constructed on the
Parcel.
"Fractional Unit" means a single family detached unit or a single family attached unit for which
multiple owners may each purchase a fractional share of ownership (also referred to as a timeshare
unit by the California Department of Real Estate).
"Golf Course Property" means any property within CFD No. 04-1 that is used as a golf course,
including but not limited to, a driving range, clubhouse, pro shop, parking, outbuildings, and other
golf-related amenities. Golf Course Property shall also include any property within the CFD that is
used or expected to be used for a swim and/or fitness facility if such facility is located on the same
Assessor's Parcel as the clubhouse, pro shop or other golf-related buildings.
"Lodging Unit" means a unit that is (i) offered for rent to the general public on an overnight or
limited stay basis, as defined in the Development Agreement, and (ii) constructed within the
geographic area labeled Neighborhood Commercial in Attachment 2. If Fractional Units are built
within the Neighborhood Commercial area, all such units shall be taxed at the same rate as other
Units of Single Family Attached Property within the CFD.
"Loft Unit" means a residential Unit located above and attached to a commercial establishment,
which shall not under any circumstance include a residential Unit within which the owner of such
Unit operates an at-home business operation.
"Maximum Special Tax" means the greatest amount of Special Tax that can be levied on an
Assessor's Parcel in any Fiscal Year determined in accordance with Section C below, as may be
adjusted pursuant to Step 3in Section D below.
"Non-Residential Property" means, in any Fiscal Year, all Parcels of Taxable Property which are
not Single Family Detached Property, Single Family Attached Property, Golf Course Property, Loft
Units, Association Property, Excess Public Property, or Undeveloped Property. As discussed below,
Loft Units shall be taxed separately from the non-residential Building Square Footage on the Parcel.
"Proportionately" means, for Developed 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 Developed Property, and for Undeveloped Property that the ratio of the
actual Special Tax to the Maximum Special Tax is equal for all Assessor's Parcels of Undeveloped
Property.
"Public Property" means any property within the boundaries of CFD No. 04-1 that is owned by the
federal government, the State of California, the County, the Town, the TDPUD, or other public
agency.
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"Rental Property" means, in any Fiscal Year, all Parcels within the CUD for which a building
permit was issued for construction of a residential structure with multiple Units that share common
walls, all of which are offered or are expected to be offered for rent to the general public and/or
employees. Fractional Units and Loft Units within the CFD shall at no time be categorized as Rental
Property. Lodging Units shall also be categorized as Rental Property for purposes of this Rate and
Method of Apportionment of Special Tax.
"SFD Lot"means an individual residential lot, identified and numbered on a recorded Final Map, on
which a building permit has been or is permitted to be issued for construction of a single family
detached unit without further subdivision of the lot and for which no further subdivision of the lot is
anticipated pursuant to the Tentative Map.
"Single Family Attached Property" means, in any Fiscal Year, all Parcels of Developed Property
for which a building permit was issued for construction of a residential structure consisting of two or
more Units that share common walls and are offered or expected to be offered as for-sale units,
including, but not limited to, such residential structures that meet that statutory definition of a
condominium contained in Civil Code Section 1351.
"Single Family Detached Property" means, in any Fiscal Year, all Parcels of Developed Property
for which a building permit was issued or is permitted to be issued for construction of a Unit that
does not share a common wall with another Unit, including detached Fractional Units.
"Special Tax" means a Special Tax levied in any Fiscal Year to pay the Special Tax Requirement.
"Special Tax Requirement" means the amount necessary in any Fiscal Year to: (i) pay principal
and interest on Bonds which is due in the calendar year that begins in such Fiscal Year; (ii) create
and/or replenish reserve funds for the Bonds; (in) cure any delinquencies in the payment of principal
or interest on Bonds which have occurred in the prior Fiscal Year or, based on existing delinquencies
in the payment of Special Taxes, are expected to occur in the Fiscal Year in which the tax will be
collected; (iv) pay Administrative Expenses; and (v)pay the costs of public improvements and public
infrastructure authorized to be financed by CFD No. 04-1. The amounts referred to in clauses (i)
and (it) of the preceding sentence may be reduced in any Fiscal year by: (i) interest earnings on or
surplus balances in funds and accounts for the Bonds to the extent that such earnings or balances are
available to apply against debt service pursuant to a Bond indenture, Bond resolution, or other legal
document that sets forth these teens; (ii) proceeds received by CFD No. 04-1 from the collection of
penalties associated with delinquent Special Taxes; and (iii) any other revenues available to pay debt
service on the Bonds as determined by the Administrator.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 04-1
which are not exempt from the Special Tax pursuant to law or Section G below.
"Tax Zone" means one of the two mutually exclusive geographic areas defined below and identified
in Attachment 2 of this Rate and Method of Apportionment of Special Tax, and any subsequent Tax
Zones created to contain property annexed into the CFD after CFD Formation.
"Tax Zone #l" means the geographic area that is specifically identified in Attachment 2 of this Rate
and Method of Apportionment of Special Tax as Tax Zone#L
"Tax Zone #2" means the geographic area that is specifically identified in Attachment 2 of this Rate
and Method of Apportionment of Special Tax as Tax Zone#2.
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"TDPUD" means the Truckee Donner Public Utility District.
"Tentative Map" means the tentative subdivision map for the Gray's Crossing Planned
Development approved by the Town on February 5, 2004.
"Town"means the incorporated Town of Truckee.
"Undeveloped Property"means, in any Fiscal Year, all Parcels ofTaxable Property within the CFD
that are not Developed Property.
"Unit" means (i) for Single Family Detached Property, an individual single-family detached unit,
(ii) an individual Loft Unit, and (iii) for Single Family Attached Property, an individual residential
unit within a duplex, triplex, fourplex, townhome, or condominium structure.
B. DATA FOR ANNUAL .ADMINISTRATION
On or about July 1 of each Fiscal Year, the Administrator shall identify the current Assessor's Parcel
numbers for all Parcels of Taxable Property. The Administrator shall also determine: (i) whether
each Assessor's Parcel of Taxable Property is Developed Property or Undeveloped Property, (ii) for
Developed Property, which Parcels are Single Family Detached Property, Single Family Attached
Property, Loft Units, Golf Course Property and Non-Residential Property, (iii) for Parcels of Single
Family Attached Property, the number of Units on each Parcel, (iv) for Single Family Detached
Property,the size of each residential lot within Final Maps that have been recorded, (v) whether there
are Parcels of Rental Property, Excess Public Property, or Parcels with Affordable Units, and (vi)the
Special Tax Requirement.
For Single Family Attached Property, the number of Units shall be determined by referencing the site
plan, condominium plan, or other development plan. For Non-Residential Property that includes
Loft Units, the Administrator shall reference the condominium map or other such development plan
to determine the Building Square Footage, or if such map or plan is not available, the Administrator
shall determine the Building Square Footage associated with the Loft Units and subtract the square
footage thereof from the total Building Square Footage to determine the square footage that will be
subject to the Maximum Special Tax for Non-Residential Property. If, in any Fiscal Year, an
Assessor's Parcel includes both Developed Property and Undeveloped Property, the Administrator
shall determine the Acreage associated with the Developed Property, subtract this Acreage from the
total Acreage of the Assessor's Parcel, and use the remaining Acreage to calculate the Special Tax
that will apply to Undeveloped Property within the Assessor's Parcel.
In addition, the Administrator shall, on an ongoing basis, monitor whether changes in land use have
been proposed that will affect the Expected Land Uses and whether Final Maps that have been
proposed for approval by the Town are consistent with the Expected Land Uses. If changes to the
Expected Land Uses are proposed, the Administrator shall apply the steps set forth in Section D
below.
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C. MAXIMUM SPECIAL TAX
1. Single Family Detached Property
The Maximum Special Tax for Single Family Detached Property for Fiscal Year 2004-05 is shown in
Table I below:
TABLE
TDPUD CFD No.2004-1
Maximum Special Tax for Single Family Detached Property
Maximum Special Tax in Maximum Special Tax
Tax Zone#1 in Tax Zone#2
Type of Property Lot Size Fiscal Year2004-OS * Fiscal Year 2004-05
Single Family Greater than $3,300 per $4,125 per
Detached Property- 22,000 square feet SFD Lot SFD Lot
Single Family 20,001 to 22,000 S3,200 per $4,000 per
Detached Property square feet SFD F,ot SFD Lot
Single Family 18,001 to 20,000 S3,100 per $3,875 per
_Detached Property square feet SFD Lot SFD Lot
Single Family 16,001 to 8,000 $3,000 per $3,750 per
Detached Pro es s uar�t�eet SFD Lot SFD Lot
Single Family 14,001 t $2,900 per S3,625 per
Detached Pro ert s uar SFD Lot SFD Lot
Single Family 12,001 to 14,000 $2,800 per S3,500 per
Detached Property square feet SFD Lot SFD Lot
Single Family 8,000 o 12,000 , $3,375 per
Detached Property square feet SFD Lot SFD Lot
Single Family Less than $1,800 per $1,800 per
Detached Pro -ert 8,000 square feet SFD Lot SFD Lot
On July 1, 2005 and on each July 1 thereafter, the Maximum Special Taxes shown in Table 1
above shall be increased by an amount equal to two percent (2%) of the amount in effect for
the prior Fiscal Year.
The square footage of SFD Lots shall be detennined by reference to County Assessor's Parcel Maps
or, to the extent such Maps do not reflect square footage of the SFD Lots, by reference to the lot size
summary provided by the engineering firm that produced the Final Map.
2. Single Family Attached Property
The Maximum Special Tax for Single Family Attached Property for Fiscal Year 2004-05 is $1,800
per Unit. On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be
increased by an amount equal to two percent(2%) of the amount in effect for the prior Fiscal Year.
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DOCSOC/10533290/22925-0010
3. Loft Units
The Maximum Special Tax for Loft Units for Fiscal Year 2004-05 is $1,200 per Unit. On July 1,
2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an amount equal
to two percent (2%) of the amount in effect for the prior Fiscal Year.
4. Non-Residential Property
The Maximum Special Tax for Non-Residential Property for Fiscal Year 2004-05 is $2.50 per square
foot of Building Square Footage. On July 1, 2005 and on each July 1 thereafter, this Maximum
Special Tax shall be increased each Fiscal Year thereafter by an amount equal to two percent(2%) of
the amount in effect the prior Fiscal Year.
5. Golf Course Property
The Maximum Special Tax assigned to Golf Course Property for Fiscal Year 2004-05 is $200,000.
On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased each
Fiscal Year thereafter by an amount equal to two percent(2%) of the amount in effect the prior Fiscal
Year. If the Golf Course Property is fully contained within one Assessor's Parcel, the Maximum
Special Tax identified above shall be collected from the Parcel. If the Golf Course Property is spread
over more than one Assessor's Parcel, the following steps shall be applied in the first Fiscal Year in
which the Golf Course Property is Developed Property to determine the Maximum Special Tax to be
assigned to each Parcel:
Step l: Multiply the total Maximum Special Tax assigned to the Golf Course
Property by filly percent(50%);
Step 2: Determine the combined Acreage of all Assessor's Parcels on which the
clubhouse, pro shop, driving range, parking lot, and other outbuildings are
located;
Step 3: Divide the amount determined in Step I by the Acreage identified in Step 2 to
calculate a per-acre Special Tax;
Step 4: Multiply the per-acre Special Tax calculated in Step 3 by the Acreage of each
Assessor's Parcel on which the clubhouse, pro shop, driving range, parking
lot, and other outbuildings are located to calculate the Maximum Special Tax
for each of the Parcels;
Step 5: Determine the combined Acreage of all Assessor's Parcels of Golf Course
Property that were not included in the Acreage calculated in Step 2 above;
Step 6: Divide the amount determined in Step I by the Acreage calculated in Step 5
to calculate a per-acre Special Tax;
Step 9: Multiply the per-acre Special Tax calculated in Step 6 by the Acreage of each
Assessor's Parcel included in the figure determined in Step 5 to calculate the
Maximum Special Tax for each of the Parcels.
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DOCSOC/1 053329v3/22 92 5-001 0
The Maximum Special Tax determined for each Assessor's Parcel of Golf Course Property
pursuant to the steps set forth above shall be increased on July I of the following Fiscal Year,
and on each July I thereafter, by an amount equal to two percent(2%) of the amount in effect
the prior Fiscal Year. If an Assessor's Parcel of Golf Course Property is further subdivided
or otherwise reconfigured, the Maximum Special Tax assigned to the Parcel shall be
allocated to the new Parcels on an Acreage basis.
6. Undeveloped Property
The Maximum Special Tax for Undeveloped Property for Fiscal Year 2004-05 is $17,500 per Acre.
On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an
amount equal to two percent(2%) of the amount in effect for the prior Fiscal Year,
D. BACK-UP FORMULA
The Maximum Special Taxes set forth in Section C above were calculated based on the Expected
Land Uses at CFD Formation. The Administrator shall review Tentative Map revisions and other
changes to the land uses within the CFD and compare the revised land uses to the Expected Land
Uses to evaluate the impact on the Expected Maximum Special Tax Revenues. In addition, the
Administrator shall review Final Maps to ensure they reflect the number and size of SFD Lots that
were anticipated in the Tentative Map.
If, prior to the Final Bond Sate, a change to the Expected Land Uses (a "Land Use/Entitlement
Change") is proposed that will result in a reduction in the Expected Maximum Special Tax
Revenues, no action will be needed pursuant to this Section D as long as the reduction in Expected
Maximum Special Tax Revenues does not reduce debt service coverage on outstanding Bonds below
the amount committed to in the Bond documents. Upon approval of the Land Use/Entitlement
Change, the Administrator shall update Attachment I to show the reduced Expected Maximum
Special Tax Revenues, and the reduced Expected Maximum Special Tax Revenues shall be the
amount used to by the TDPUD to make future decisions with respect to Bonds.
If a proposed Eand Use/Entitlemcnt Change would reduce the debt service coverage required on
outstanding Bonds or if the Land Use/Entitlement Change is proposed after the Final Bond Sale,the
following steps shall be applied:
Step 1: By reference to Attachment I (which will be updated by the Administrator
each time a Land Use/Entitlement Change has been processed according to
this Section D), the Administrator shall identify the Expected Maximum
Special Tax Revenues for CFD No. 04-1;
Step 2: The Administrator shall calculate the Maximum Special Tax revenues that
could be collected from property in the CFD if the Land Use/Entitlement
Change is approved;
Step 3: If the amount determined in Step 2 is higher than that calculated in Step 1, the
Land Use/Entitlement Change may be approved without further action. If the
revenues calculated in Step 2 are less than those calculated in Step 1, and if
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DOCSOC/I 053329v3/22925-0010
(a) The landowner does not withdraw the request for the Land
Use/Entitlement Change that was submitted to the Town; or
(b) Before approval of the Land Use/Entitlement Change, the landowner
requesting the Land Use/Entitlement Change does not prepay a
portion of the Special Tax for the CFD in an amount that corresponds
to the lost Maximum Special Tax revenue, as determined by applying
the steps set forth in Section FI below;
then, the amount of the prepayment determined in Step 3.b shall be allocated on a per-acre
basis and included on the next property tax bill for all Assessor's Parcels within the property
affected by the Land Use/Entitlement Change. The amount allocated to each Assessor's
Parcel shall be added to and, until paid, shall be a part of, the Maximum Special Tax for the
Assessor's Parcel.
If multiple Land Use/Entitlement Changes are proposed at one time (which may include
approval of multiple Final Maps at one time), the Administrator may consider the combined
effect of all the Land Use/Entitlement Changes to detennine if there is a reduction in
Expected Maximum Special Tax Revenues that necessitates implementation of Step 3.b. If,
based on this comprehensive analysis, the Administrator determines that there is a reduction
in Expected Maximum Special Tax Revenue, and all of the Land Use/Entitlentent Changes
are being proposed by the same land owner, the Administrator shall determine the required
prepayment (pursuant to Step 3.b) by analyzing the combined impact of all of the proposed
Land Use/Entitlement Changes. Notwithstanding the foregoing, if the Administrator
analyzes the combined impacts of multiple Land Use/Entitlement Changes, and the Town
subsequently does not approve one or more of the Land Use/Entitlement Changes that was
proposed, the Administrator shall once again apply the three steps set forth above to
determine the combined impact of those Land Use/Entitlement Changes that were approved
simultaneously by the Town.
If, based on the comprehensive analysis, the Administrator determines that there is a
reduction in Expected Maximum Special Tax Revenue, and the Land Use/Entitlement
Changes are not all being proposed by the same land owner, the Administrator shall consider
the proposed Land Use/Entitlement Changes individually to determine the required
prepayment from each owner.
E. METHOD OF LEVY OF THE SPECIAL TAX
Each Fiscal Year, the Administrator shall determine the Special Tax Requirement to be collected in
that Fiscal Year, and the Special Tax shall be levied according to the steps outlined below.
Step 1: The Special Tax shall be levied Proportionately on each Parcel of Developed
Property within the CFD that is Single Family Detached Property, Single
Family Attached Property, or a Loft Unit up to 100% of the Maximum
Special Tax for each Parcel for such Fiscal Year until the amount levied on
such Developed Property is equal to the Special Tax Requirement prior to
applying any Capitalized Interest that is available in the CFD accounts.
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DOCSOC/1053329v3/2292 5-001 0
Step 2: If additional revenue is needed after Step 1, and after applying Capitalized
Interest to the Special Tax Requirement, the Special Tax shall be levied
Proportionately on each Parcel of Developed Property within the CFD that is
Non-Residential Property up to 100% of the Maximum Special Tax for such
Developed Property for such Fiscal Year determined pursuant to Section C.
Step 3: If additional revenue is needed after Step 2, the Special Tax shall be levied
Proportionately on each Parcel of Developed Property within the CFD that is
Golf Course Property up to 100% of the Maximum Special Tax for such
Developed Property for such Fiscal Year determined pursuant to Section C.
Step 4: If additional revenue is needed after Step 3, 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.
Step S: If additional revenue is needed after Step 4, the Special Tax shall be levied
Proportionately on each Parcel of Association Property within the CFD, up to
100% of the'Maximum Special Tax for Undeveloped Property for such Fiscal
Year determined pursuant to Section C.
Step 6: If additional revenue is needed after Step 5, the Special Tax shall be levied
Proportionately on each Assessor's Parcel of Excess Public Property,
exclusive of property exempt from the Special Tax pursuant to Section G
below, up to 100% of the Maximum Special Tax for Undeveloped Property
for such Fiscal Year determined pursuant to Section C.
F. COLLECTION OF SPECIAL TAX
The Special Taxes for CFD No. 04-1 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 provided further that the TDPUD 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 for Fractional Units may be billed
either directly to individual fractional share owners or to a homeowners association, which shall then
bill the individual fractional share owners; non-payment of Special Taxes billed by the homeowners
association shall result in interest and penalties, and the fractional ownership shall be subject to
foreclosure proceedings as set forth in the Bond covenants.
The Special Tax shall be levied and collected until principal and interest on Bonds have been repaid,
TDPUD's costs of constructing or acquiring authorized facilities from Special Tax proceeds have
been paid, and all administrative expenses have been reimbursed. However, in no event shall a
Special Tax be levied after Fiscal Year 2043-44. 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.
G. EXEMPTIONS
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DOCSOC/1 053329v3/22925-0010
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no
Special Tax shall be levied on up to 42.2 acres of Public Property, 237.7 acres of Association
Property, 2 acres of property on which Lodge Units have been or, based on building permits that
have been issued, are expected to be built, 0.67 of an acre of Center for the Arts Property, Fitness
Facility Property, and 9 acres of Church Property. A separate amount of public acreage may be
exempted each time property annexes into CFD No. 04-1. and such additional exemption shall only
apply to property within the annexation area. A Special Tax may be levied on Excess Public
Property pursuant to Step 5 of Section E; however, a public agency may prepay or cause the
prepayment of the special tax obligation on land conveyed to it that would be classified as Excess
Public Property.
In addition, no Special Tax shall be levied in any Fiscal Year on Rental Property or Affordable Units.
H. PREPAVMENT OF SPECIAL TAX
The following definitions apply to this Section H:
"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 such 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 Outstanding Bonds for purposes of this prepayment formula.
"Previously Issued Bonds" means all Bonds that have been issued on behalf of the CFD
prior to the date of prepayment.
"Public Facilities Requirements" means either $24,000,000 in 2004 dollars, which shall
increase on January 1, 2005, and on each January 1 thereafter by the percentage increase, if
any, in the construction cost index for the San Francisco region for the prior twelve (12)
month period as published in the Engineerine News Record or other comparable source if the
Engineering News Record is discontinued or otherwise not available, or such other number as
shall be determined by the TDPUD to be an appropriate estimate of the net construction
proceeds that will be generated from all Bonds that have been or are expected to be issued on
behalf of CFD No. 2004-1. The Public Facilities Requirements shown above may be
adjusted or a separate Public Facilities Requirements identified each time property annexes
into CFD No. 04-1; at no time shall the added Public Facilities Requirement for that
annexation area exceed the amount of public improvement costs that are expected to be
supportable by the Maximum Special Tax revenues generated within that annexation area. In
addition, the Public Facilities Requirement may be adjusted if the total number of Units
authorized to be constructed within the CFD is increased by the Town; this adjustment to the
Public Facilities Requirement shall not exceed the amount of public improvement costs that
are expected to be supportable by the Maximum Special Tax revenues generated by the
additional number of Units approved by the Town.
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DOCSOC/1053 329v3/22925-001 0
"Remaining Facilities Costs" means the Public Facilities Requirements (as defined above),
minus public facility costs funded by Outstanding Bonds (as defined above), developer
equity, and/or any other source of funding.
The Special Tax obligation applicable to an Assessor's Parcel in the CFD 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 TDPUD with written notice of intent to prepay.
Within 30 days of receipt of such written notice, the TDPUD or its designee shall notify such owner
of the prepayment amount for such Assessor's Parcel. Prepayment must be made not less than 75
days prior to any redemption 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 Remaining Facilities Amount
plus Redemption Premium
plus Defeasance Requirement
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 TDPUD or, in the event of a
prepayment pursuant to Step 3.b in Section D, compute the amount by which
the Maximum Special Tax revenues would be reduced by the Land
Use/Entitlement Change and use the amount of this reduction as the figure for
purposes of this Step 1.
Step 2. Divide the Maximum Special Tax from Step 1 by the then-current Expected
Maximum Special Tax Revenues for the CFD.
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
"Bond Redemption Amount").
Step 4. Compute the current Remaining Facilities Costs (if any).
Step 5. Multiply the quotient computed pursuant to Step 2 by the amount determined
pursuant to Step 4 to compute the amount of Remaining Facilities Costs to be
prepaid (the "Remaining Facilities Amount").
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DOCSOC/1053329v3/22925-0010
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 "Redemption 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, which, depending on the Bond offering document, may be as early as
the next interest payment date.
Step 8: Compute the amount of interest the TDPUD 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 "Defeasance Requirement").
Step 10. Determine the costs of computing the prepayment amount, the costs of
redeeming Bonds, and the costs of recording any notices to evidence the
prepayment and the redemption (the Administrative Fees and Expenses").
Step 11. If and to the extent so provided in the indenture pursuant to which the
Outstanding Bonds to be redeemed were issued, a reserve find credit shall be
calculated as a reduction in the applicable reserve fund for the Outstanding
Bonds to be redeemed pursuant to the prepayment (the "Reserve 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 `PrepaymentArneunt").
A partial prepayment may be made in an amount equal to any percentage of full prepayment desired
by the party making a partial prepayment. The Maximum Special Tax that can be levied on an
Assessor's Parcel after a partial prepayment is made is equal to the Maximum Special Tax that could
have been levied prior to the prepayment, reduced by the percentage of a full prepayment that the
partial prepayment represents, all as detennined by or at the direction of the Administrator.
1. INTERPRETATION OF SPECIAL TAX FORMULA
The TDPUD reserves the right to make minor administrative and technical changes to this
document that do not materially affect the rate and method of apportioning Special Taxes. In
addition, the interpretation and application of any section of this document shall be left to the
TDPUD's discretion. Interpretations may be made by the TDPUD by ordinance or resolution for
purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment of
Special Tax.
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DOCSOC/10533290/22925-0011 0
ATTACHMENT
EXPECTED LAND USES.AND
EXPECTED MAXIMUM SPECIAL TAX REVENUES
AT CFD FORMATION
I
Number of Maximum Special
Expected Tax Total Expected
Lots/Units/ Per Unit/ Maximum
Expected Land Uses Acres/ Square Foot, Special Tax
Building FY 2004-05 * Revenues *
Square Feet
TAX ZONE#1
i
SFD Lots Greater than 22,000 Square Feet 2 $3,300 per SFD Lot $6,600
SFD Lots, 20,001 to 22,000 Square Feet 4 $3,200 per SFD Lot $11800
SFD Lots, 18,001 to 20,000 Square Feet 12 $3,100 per SFD Lot $37200
SFD Lots, 16,001 to 18,000 Square Feet ( 32 $3,000 per SFD Lot $96:000
SFD Lots, 14,001 to 16,000 Square Feet 46 $2,900 per SFD Lot $133,400
SFD Lots, 12,001 to 14,000 Square Feet 5 $2,800 per SFD Lot $14,000
SFD Lots, 8,000 to 12,000 Square Feet 0 $2,700 per SFD Lot $0
i SFD Lots Less than 8,000 S uare Feet 61 1 $1,800 per SFD Lot $109,800
TAX LONE#2
i
SFD Lots Greater than 22,000 Square Feet 10 $4,125 per SFD Lot $41,250
SFD Lots, 20,001 to 22,000 Square Feet 7 $4,000 per SFD Lot $28,000
SFD Lots, 1 8,00 1 to 20,000 Square Feet 19 $3,875 per SFD Lot $73,625
SFD Lots, 16,001 to 18,000 Square Feet 100 $3,750 per SFD Lot $375,000
SFD Lots, 14,001 to 16,000 Square Feet 118 $3,625 per SFD Lot $427,750
SFD Lots, 12,001 to 14,000 Square Feet 43 $3,500 per SFD Lot $150,500
SFD Lots, 8,000 to 12,000 Square Feet 10 $3,375 per SFD Lot $33,750
SFD Lots Less than 8,000 Square Feet 0 $1,800 per SFD Lot $0
i
Single Family Attached Units 107 $1,800 per Unit $192,600
Loft Units i 21 $1,200 per Unit $25,200
Non-Residential Building Square Footage 40,700 $2.50 per square foot $101,750
N/A
Golf Course N/A $200,000
Total Expected Maximum Special Tax Revenues $2,059,225
*Figures are shown in fiscal year 2004-05 dollars and will escalate two percent(2%)per year thereafter.
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DOCSOC/1053329v3/22925-0010
ATTACHMENT 2
TRUCKEE DON'NER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1
(CiRAY'S CROSSING
IDENTIFICATION OF TAX ZONES
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DOCSOC/1053329v3/22925-0010
IDENTIFICATION OF TAX ZONES FOR
'w JO REND PROPOSED COMMUNITY FACILITIES DISTRICT NO,041
(GRAY'S CROSSING)
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COUNTY OF NEVADA
STATE OF CALIFORNIA
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VICINITY MAP
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ATTACHMENT B
BALLOT PROPOSITION
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1 (GRAY'S CROSSING)
SPECIAL ELECTION
MEASURE SUBMITTED TO VOTE OF VOTERS: Shall Truckee
Donner Public Utility District Community Facilities District No. 04-1
(Gray's Crossing) (the "Community Facilities District") incur an
indebtedness and issue bonds in the maximum aggregate principal
amount of $35,000,000, with interest at a rate or rates not to exceed
the maximum interest rate permitted by law, the proceeds of which
will be used to finance the costs of planning, designing, constructing,
acquiring, modifying, expanding, improving, furnishing, equipping or
rehabilitating certain real and other tangible property with an estimated
useful life of five years or longer, consisting of certain water supply
and distribution and fire suppression facilities; electrical supply and
distribution facilities; street improvements; public plazas, parks and
trails; sanitary sewer facilities; storm drains and flood control YES
facilities; utility facilities and mitigation associated with the foregoing
as well as appurtenances and appurtenant work (collectively, the NO
"Facilities") and to finance the incidental expenses associated
therewith (the "Incidental Expenses'), all as further provided in the
resolution of the Board of Directors of the Truckee Donner Public
Utility District establishing the Community Facilities District (the
"Resolution of Formation'), and shall a special tax with a rate and
method of apportionment as provided in the Resolution of Formation
be authorized to be levied, and shall the annual appropriations limit of
Community Facilities District No. 04-1 (Gray's Crossing) be
established in the amount of$35,000,000?
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DOCSOC/1053329v3/22925-0010
Agenda Item #813
RESOLUTION NO.
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT, ACTING
AS THE LEGISLATIVE BODY OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES
DISTRICT NO. 04-1 (GRAY'S CROSSING), DETERMINING
IT NECESSARY TO INCUR BONDED INDEBTEDNESS
WITHIN SAID COMMUNITY FACILITIES DISTRICT
WHEREAS, on June 16, 2004,pursuant to a petition filed by Gray's Crossing, LLC (the
"Petitioner"), the Board of Directors (the`Board of Directors") of the Truckee Donner Public Utility
District (the "Public Utility District")adopted a resolution stating its intention to form Truckee
Donner Public Utility District Community Facilities District No. 04-1 (Gray's Crossing) (the
"Community Facilities District")pursuant to the Mello-Roos Community Facilities Act of 1982, as
amended (the "Act"); and
WHEREAS, a copy of said resolution, setting forth a description of the proposed boundaries
of the Community Facilities District, the facilities to be financed by the Community Facilities
District and the rate and method of apportionment of the special tax proposed to be levied within the
Community Facilities District,is on file with the Clerk of the Public Utility District(the"District
Clerk")and is incorporated herein by reference; and
WHEREAS,the proposed boundaries of the Community Facilities District, as set forth in the
Resolution of Intention, were amended by a resolution adopted by the Board of Directors on July 21,
2004, which resolution approved an amended map of the boundaries of the Community Facilities
District and a copy of which resolution is on file with the District Clerk and is incorporated herein by
reference; and
WHEREAS, on June 16, 2004, the Board of Directors also adopted a resolution stating its
intention to incur bonded indebtedness in an amount not to exceed $35,000,000 for the purpose of
financing(i)the cost of purchasing,constructing, expanding, improving or rehabilitating certain
water supply and distribution and fire suppression facilities; electrical supply and distribution
facilities; street improvements; public plazas, parks and trails; sanitary sewer facilities; storm drains
and flood control facilities; utility facilities and mitigation associated with the foregoing as well as
appurtenances and appurtenant work(collectively,the"Facilities") and(ii)the incidental expenses
incurred and to be incurred in connection with financing the Facilities,including costs associated
with the creation of the Community Facilities District and the issuance of bonds and the
establishment and replenishment of bond reserve and special reserve funds (the"Incidental
Expenses"), all as more fully described in said resolution; and
WHEREAS, notice was published and mailed as required by law relative to the intention of
the Board of Directors to form the Community Facilities District and to incur bonded indebtedness in
an amount not to exceed$35,000,000 within the boundaries of the Community Facilities District; and
WHEREAS, the Board of Directors has held a public hearing as required by law to
determine whether it should proceed with the formation of the Community Facilities District, issue
bonds to pay for the Facilities and the Incidental Expenses and authorize the rate and method of
I
DOCSOC/1053415v1/22 92 5-001 0
apportionment of a special tax to be levied within the Community Facilities District for the purposes
described in the aforesaid resolutions; and
WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to the
formation of the Community Facilities District,the levy of a special tax and the issuance of bonds to
pay for the cost of the proposed Facilities and Incidental Expenses were heard, and a full and fair
hearing was held; and
WHEREAS, the Board of Directors desires to make the necessary findings to incur bonded
indebtedness within the Community Facilities District, to declare the purpose for such indebtedness,
and to authorize the submittal of a combined ballot proposition to the qualified electors of the
Community Facilities District,being the land owners within the Community Facilities District,all as
authorized and required by law; and
NOW,THEREFORE, THE BOARD OF DIRECTORS OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT, ACTING AS THE LEGISLATIVE BODY OF TRUCKEE
DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING),DOES HEREBY RESOLVE,DETERMINE AND ORDER AS
FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. In order to finance the Facilities and Incidental Expenses, it is necessary to
incur bonded indebtedness in a maximum aggregate principal amount not to exceed $35,000,000
within the Community Facilities District.
Section 3. The aforesaid bonded indebtedness is to be incurred for the purpose of
financing the costs of planning, designing, constructing, acquiring, modifying, expanding, improving,
furnishing, equipping or rehabilitating the Facilities and financing the Incidental Expenses.
Section 4. All of the property within the Community Facilities District, as established
pursuant to the Resolution of Formation, with the exception of property exempted from the special
tax pursuant to the provisions of the rate and method of apportionment attached to the Resolution of
Formation, shall pay for the bonded indebtedness pursuant to the levy of the special tax authorized by
the Resolution of Formation.
Section 5. The maximum term of the Bonds to be issued shall in no event exceed
40 years; and the bonds shall bear interest at rates (not in excess of the maximum rate permitted by
law)determined at the time of sale thereof.
Section 6. An election is hereby called for the Community Facilities District on the
proposition of incurring bonded indebtedness pursuant to Section 53351 of the Act and shall be
consolidated with the election on the propositions of levying the special tax on the property within
the Community Facilities District and establishing an appropriations limit for the Community
Facilities District pursuant to Section 53325.7 of the Act. The language of the proposition to be
placed on the ballot is attached hereto as Attachment A.
Section 7. The date of the election for the Community Facilities District on the
proposition of incurring the bonded indebtedness, authorizing the levy of the special tax and
2
DOCSOC/1053415v1/22925-0010
establishing the appropriations limit for the Community Facilities District shall be July 21,2004.
The District Clerk shall conduct the election. Except as otherwise provided by the Act, the election
shall be conducted by personally delivered or mailed ballot and in accordance with the provisions of
law regulating elections of the Public Utility District insofar as such provisions are determined by the
District Clerk to be applicable. It is hereby found that there have been fewer than twelve persons
registered to vote within the territory of the Community Facilities District for each of the ninety days
preceding the close of the public hearing described above; and,pursuant to Section 53326 of the
Government Code, each landowner who is the owner of record on the date hereof or the authorized
representative thereof shall have one vote for each acre or portion thereof that he or she owns within
the Community Facilities District.
ADOPTED and APPROVED by the Board of Directors of the Truckee Donner Public
Utility District on this 2 1"day of July, 2004 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By:
President of the Board of Directors
ATTEST:
District Clerk
3
DOCSOC/1053415v1/22 92 5-0 01 0
ATTACHMENT A
BALLOT PROPOSITION
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1 (GRAYS CROSSING)
SPECIAL ELECTION
MEASURE SUBMITTED TO VOTE OF VOTERS: Shall Truckee
Donner Public Utility District Community Facilities District No. 04-1
(Gray's Crossing) (the "Community Facilities District") incur an
indebtedness and issue bonds in the maximum aggregate principal
amount of$35,000,000, with interest at a rate or rates not to exceed
the maximum interest rate permitted by law, the proceeds of which
will be used to finance the costs of planning, designing, constructing,
acquiring, modifying, expanding, improving, furnishing, equipping or
rehabilitating certain real and other tangible property with an estimated
useful life of five years or longer, consisting of certain water supply
and distribution and fire suppression facilities; electrical supply and
distribution facilities; street improvements; public plazas, parks and
trails; sanitary sewer facilities; storm drains and flood control YES
facilities; utility facilities and mitigation associated with the foregoing
as well as appurtenances and appurtenant work (collectively, the NO
"Facilities") and to finance the incidental expenses associated
therewith (the "Incidental Expenses"), all as further provided in the
Resolution of the Board of Directors of the Truckee Donner Public
Utility District establishing the Community Facilities District (the
"Resolution of Formation"), and shall a special tax with a rate and
method of apportionment as provided in the Resolution of Formation
be authorized to be levied, and shall the annual appropriations limit of
Community Facilities District No. 04-1 (Gray's Crossing) be
established in the amount of$35,000,000?
A-1
DOCSOC/1053415v I/22925-0010
Agenda Item #8C
RESOLUTION NO.
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT, ACTING
AS THE LEGISLATIVE BODY OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES
DISTRICT NO. 04-1 (GRAY'S CROSSING), CALLING A
SPECIAL ELECTION
WHEREAS, on this date,the Board of Directors (the "Board of Directors") of the Truckee
Donner Public Utility District (the"Public Utility District") adopted a resolution entitled "Resolution
of the Board of Directors of the Truckee Donner Public Utility District Establishing Truckee Donner
Public Utility District Community Facilities District No. 04-1 (Gray's Crossing), Authorizing the
Levy of a Special Tax Therein and Establishing an Annual Appropriations Limit" (the"Resolution of
Formation"), which established the Truckee Donner Public Utility District Community Facilities
District No. 04-1 (Gray's Crossing) (the "Community Facilities District"), authorized the levy of a
special tax therein, and established an annual appropriations limit; and
WHEREAS, on this date,the Board of Directors, acting as the legislative body of the
Community Facilities District, also adopted a resolution entitled"Resolution of the Board of
Directors of the Truckee Donner Public Utility District, Acting as the Legislative Body of the
Truckee Donner Public Utility District Community Facilities District No. 04-1 (Gray's Crossing),
Determining it Necessary to Incur Bonded Indebtedness Within Said Community Facilities District,"
which declared the necessity to incur bonded indebtedness in the maximum amount of$35,000,000;
and
WHEREAS, pursuant to the provisions of said resolutions, the propositions to authorize the
levy of a special tax within the Community Facilities District, to establish an appropriations limit of
the Community Facilities District and to authorize the incurring of bonded indebtedness are to be
submitted to the qualified electors of the Community Facilities District as required by the Mello-
Roos Community Facilities Act of 1982, as amended(the "Act");
NOW,THEREFORE, THE BOARD OF DIRECTORS OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT,ACTING AS THE LEGISLATIVE BODY OF TRUCKEE
DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING), DOES HEREBY RESOLVE, DETERMINE AND ORDER AS
FOLLOWS:
Section 1. Pursuant to the Act the propositions to authorize the levy of a special tax
within the Community Facilities District, establish an appropriations limit of the Community
Facilities District and authorize the incurring of a bonded indebtedness shall be combined into one
ballot proposition and submitted to the qualified electors of the Community Facilities District as
provided herein.
Section 2. The Board of Directors has heretofore found that fewer than twelve persons
have been registered to vote within the territory of the Community Facilities District for each of the
ninety days preceding the close of the public hearing heretofore held by the Board of Directors for
the purposes of these proceedings. Accordingly, the vote shall be by the land owners of the
Community Facilities District, and each owner of record at the close of such public hearings, or the
-1-
DOCSOC/t053423v2/22925-0010
authorized representative thereof, shall have one vote for each acre or portion of an acre that he or
she owns within the Community Facilities District.
Section 3. The date of the election shall be July 21, 2004, and the Clerk of the Public
Utility District(the"District Clerk") shall conduct the election. The election shall be conducted by
personally delivered or mailed ballots and in accordance with the provisions of law regulating
elections of the Public Utility District insofar as such provisions are determined by the District Clerk
to be applicable. The voted ballots shall be returned to the District Clerk not later than 9:00 p.m. on
July 21, 2004;provided that if all of the qualified electors have voted prior to such time, the election
may be closed by the District Clerk.
Section 4. The form of the ballot for the election is attached hereto as Exhibit A and by
this reference incorporated herein. The District Clerk shall cause to be delivered to each of the
qualified electors of the Community Facilities District a ballot in said form. Each ballot shall
indicate the number of votes to be voted by the respective elector based upon the number of acres of
land owned by such elector as set forth above. The identification envelope for return of the ballot
shall be enclosed with the ballot, shall have the postage prepaid and shall contain(a)the name and
address of the landowner,(b) a declaration, under penalty of perjury, stating that the elector is the
owner of record, or the authorized representative thereof, and is the person whose name appears on
the identification envelope, (e)the printed name, signature and address of the elector, (d) the date of
signing and place of execution of the declaration described above and(e)a notice that the envelope
contains an official ballot and is to be opened only by the canvassing board. Analysis and arguments
with respect to the ballot proposition are hereby waived.
Section 5. The District Clerk shall accept the ballots of the qualified electors in the
office of the District Clerk to and including 9:00 p.m. on July 21, 2004 whether said ballots shall be
personally delivered or received by mail.
Section 6. There is on file with the District Clerk a written instrument executed by each
of the qualified electors of the Community Facilities District requesting a shortening of the time for
the special election in order to expedite the process of formation of the Community Facilities District
and waiving any requirement for analysis and arguments in connection therewith.
ADOPTED and APPROVED by the Board of Directors of the Truckee Donner Public
Utility District on this 21"day of July, 2004 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By:
President of the Board of Directors
ATTEST:
District Clerk
-2-
DOCSOC/I053423v2/22925-0010
EXHIBIT A
OFFICIAL BALLOT
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1 (GRAY'S CROSSING)
July 21, 2004
SPECIAL ELECTION
This ballot is for a special, landowner election. You must return this ballot in the enclosed
envelope to the office of the District Clerk of the Truckee Donner Public Utility District no later than
9:00 p.m. on July 21, 2004, either by mail or in person. The District Clerk's offices are located at
11570 Donner Pass Road, Truckee, California 96160.
INSTRUCTIONS TO VOTERS:
To vote on the measure, make a "+", "x" or other distinguishing mark on the line after the
word "Yes"or on the line after the word "No." If you wrongly mark, tear or deface this ballot,return
it to the District Clerk and obtain another.
MEASURE SUBMITTED TO VOTE OF VOTERS: Shall Truckee
Donner Public Utility District Community Facilities District No. 04-1
(Gray's Crossing) (the "Community Facilities District") incur an
indebtedness and issue bonds in the maximum aggregate principal
amount of $35,000,000, with interest at a rats or rates not to exceed
the maximum interest rate permitted by law, the proceeds of which
will be used to finance the costs of planning, designing, constructing,
acquiring, modifying, expanding, improving, furnishing, equipping or
rehabilitating certain real and other tangible property with an estimated
useful life of five years or longer, consisting of certain water supply
and distribution and fire suppression facilities; electrical supply and
distribution facilities; street improvements; public plazas, parks and
trails; sanitary sewer facilities; storm drains and flood control YES
facilities; utility facilities and mitigation associated with the foregoing
as well as appurtenances and appurtenant work (collectively, the NO
"Facilities") and to finance the incidental expenses associated
therewith (the "Incidental Expenses"), all as further provided in the
Resolution of the Board of Directors of the Truckee Donner Public
Utility District establishing the Community Facilities District (the
"Resolution of Formation"), and shall a special tax with a rate and
method of apportionment as provided in the Resolution of Formation
be authorized to be levied, and shall the annual appropriations limit of
Community Facilities District No. 04-1 (Gray's Crossing) be
established in the amount of$35,000,000?
A-1
DOCSOC/1053423 v2/22925-0010
By execution in the space provided below, you also indicate your waiver of the time limit pertaining
to the conduct of the election and any requirement for analysis and arguments with respect to the
ballot measure, as such waivers are described and permitted by Sections 53326(a) and 53327(b) of
the Mello-Roos Community Facilities Act of 1982.
GRAY'S CROSSING, LLC
By: EAST WEST RESORT DEVELOPMENT V,
L.P., L.L.P., its Manager
By: HP HOLDING CORP.,its General Partner
By:
Blake L. Riva, Vice President
Number of Votes: 758
A-2
DOCSOC/I 053423v2/22925-0010
Agenda Item #9
RESOLUTION NO.
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT, ACTING
AS THE LEGISLATIVE BODY OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES
DISTRICT NO. 04-1 (GRAY'S CROSSING), DECLARING THE
RESULTS OF A SPECIAL ELECTION AND APPROVING
CERTAIN RELATED ACTIONS
WHEREAS, the Board of Directors (the`Board of Directors") of the Truckee Donner Public
Utility District(the "Public Utility District"), acting as the legislative body of the Truckee Donner
Public Utility District Community Facilities District No. 04-1 (Gray's Crossing) (the"Community
Facilities District"), called and duly held an election of the Community Facilities District pursuant to
resolutions adopted by the Board of Directors on July 21, 2004, for the purpose of presenting to the
qualified electors within the Community Facilities District a proposition (the"Proposition") for
(a) the authorization of bonds in a principal amount not to exceed $35,000,000, (b) the levy of a
special tax in accordance with the rate and method set forth in the resolution forming the Community
Facilities District and(c) the establishment of an appropriations limit for the Community Facilities
District; and
WHEREAS, there has been presented to this Board of Directors a Certificate of the Clerk of
the Public Utility District(the"District Clerk") as to the Results of the Canvass of the Election
Returns, a copy of which is attached hereto as Attachment"A";
NOW,THEREFORE, THE BOARD OF DIRECTORS OF THE TRUCKEE DONNER
PUBLIC UTILITY DISTRICT, ACTING AS THE LEGISLATIVE BODY OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES
DISTRICT NO. 04-1 (GRAY'S CROSSING), DOES HEREBY RESOLVE, DETERMINE
AND ORDER AS FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. Two-thirds or more of the votes cast by the qualified electors of the
Community Facilities District at the special election held on July 21, 2004 on the Proposition were
cast in favor of the Proposition, and the Proposition carried. The Board of Directors, acting as the
legislative body of the Community Facilities District,is hereby authorized to issue, from time to time
as it determines appropriate, bonds for the benefit of the Community Facilities District for the
purposes set forth in the Proposition and to take the necessary steps to levy the special tax authorized
by the Proposition.
Section 3. The District Clerk is hereby authorized and directed to execute and cause to
be recorded in the office of the County Recorder of Nevada County a notice of special tax lien in the
form required by law, said recording to occur no later than fifteen days following adoption of this
Resolution.
DOCSOCl1053215v1/2 2 92 5-00 1 0
ADOPTED and APPROVED by the Board of Directors of the Truckee Donner Public
Utility District on this 2 1" day of July, 2004.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By:
President of the Board of Directors
ATTEST:
District Clerk
2
DOCSOC/1053215v 1122 92 5-001 0
ATTACHMENT "A"
CERTIFICATE OF DISTRICT CLERK
AS TO RESULTS OF THE CANVAS OF ELECTION RETURNS
STATE OF CALIFORNIA )
ss.
COUNTY OF NEVADA )
As Clerk of the Truckee Donner Public Utility District,I do hereby certify that I have
examined the returns of the special election for Truckee Donner Public Utility District Community
Facilities District No. 04-1 (Gray's Crossing) (the "Community Facilities District"). With my
concurrence, the election was conducted on July 21,2004. On or prior to said date I had mailed or
personally delivered to the landowners listed on the latest equalized assessment roil prepared by the
Nevada County Assessor prior to July 21, 2004 or otherwise known by me to own property within
the boundaries of the Community Facilities District. Each of these landowners was given one vote
for each acre, or portion thereof,that the landowner owns within the Community Facilities District.
I further certify that the results of said election and the number of votes cast for and against
the Proposition are as follows:
YES: 758
NO:
TOTAL NUMBER OF VOTES CAST: 758
Dated this 21't day of July, 2004.
District Clerk,
Truckee Donner Public Utility District
A-I
DOCSOC/1053215v1/2 2 92 5-00 1 0
Agenda Item #10
ORDINANCE NO._
ORDINANCE OF THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT, ACTING
AS THE LEGISLATIVE BODY OF TRUCKEE DONNER
PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES
DISTRICT NO. 04-1 (GRAY'S CROSSING), AUTHORIZING
THE LEVY OF A SPECIAL TAX WITHIN SAID
COMMUNITY FACILITIES DISTRICT
WHEREAS, on June 16,2004, the Board of Directors(the"Board of Directors")of the
Truckee Donner Public Utility District(the"Public Utility District")adopted a resolution entitled
"Resolution of the Board of Directors of the Truckee Donner Public Utility District Declaring its
Intention to Establish Truckee Donner Public Utility District Community Facilities District No. 04-1
(Gray's Crossing) and to Authorize the Levy of Special Tax Within Said Community Facilities
District"stating its intention to form Truckee Donner Public Utility District Community Facilities
District No. 04-1 (Gray's Crossing) (the"Community Facilities District") pursuant to the Mello-Roos
Community Facilities Act of 1982, as amended(the"Act")in order to finance certain facilities and
incidental expenses to be incurred in connection with financing the foregoing; and
WHEREAS, the Board of Directors has held a noticed public hearing concerning the
establishment of the Community Facilities District, as required by the Act; and
WHEREAS, subsequent to said hearing,the Board of Directors adopted resolutions entitled
"Resolution of the Board of Directors of the Truckee Donner Public Utility District Establishing
Truckee Donner Public Utility District Community Facilities District No. 04-1 (Gray's Crossing),
Authorizing the Levy of a Special Tax Therein and Establishing an Annual Appropriations Limit"
(the "Resolution of Formation"), `Resolution of the Board of Directors of the Truckee Donner Public
Utility District, Acting as the Legislative Body of the Truckee Donner Public Utility District
Community Facilities District No. 04-I (Gray's Crossing), Determining it Necessary to Incur Bonded
Indebtedness Within Said Community Facilities District,"and "Resolution of the Board of Directors
of the Truckee Donner Public Utility District, Acting as the Legislative Body of the Truckee Donner
Public Utility District Community Facilities District No. 04-1 (Gray's Crossing), Calling a Special
Election," which resolutions established the Community Facilities District, authorized the levy of a
special tax therein and called an election within the Community Facilities District on the propositions
of levying a special tax, authorizing the issuance of bonds and establishing an appropriations limit;
and
WHEREAS, an election was held within the Community Facilities District at which the
qualified electors approved by more than a two-thirds vote the proposition of levying a special tax,
issuing bonds and establishing an appropriations limit;
NOW, THEREFORE, THE BOARD OF DIRECTORS OF THE TRUCKEE DONNER
PUBLIC UTILITY DISTRICT, ACTING AS THE LEGISLATIVE BODY OF TRUCKEE
DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING), DOES ORDAIN AS FOLLOWS:
DOCSOC/1053429v2/22925-0010
Section 1. The above recitals are all true and correct.
Section 2. By the passage of this Ordinance, the Board of Directors authorizes and levies
a special tax within the Community Facilities District at the rates and in accordance with the method
of apportionment set forth in Attachment A to the Resolution of Formation and which,for reference
purposes, is attached hereto as Attachment A and incorporated by reference (the "Rate and Method").
Section 3. The General Manager of the Public Utility District, or his designee(the
"Authorized Officer of the Public Utility District"), shall be responsible for annually preparing, or
causing the preparation of, the current roll of special tax levy obligations by assessor's parcel number
on non-exempt property within the Community Facilities District. The Board of Directors or, to the
maximum extent permitted by law, the Authorized Officer of the Public Utility District is authorized
to determine the specific special tax to be levied on each parcel of land in the Community Facilities
District,in the manner and as provided in the Rate and Method. In connection with the foregoing,
the Authorized Officer of the Public Utility District shall take any and all steps necessary in order to
deliver to the Nevada County Tax Collector, on or before the date specified in Section 53340, a
certified list of all parcels subject to the special tax levy, including the amount of the tax to be levied
on each parcel for the applicable tax year. The special tax to be levied shall not exceed the maximum
rates set forth in the Rate and Method, but the special tax may be levied at lower rates.
Section 4. Properties of entities of the state, federal or other local governments shall be
exempt from the above-referenced special taxes only to the extent set forth in the Rate and Method,
and otherwise shall be subject to tax consistent with the provisions of Section 53317.3 of the Act in
effect as of the date of adoption of this Ordinance.
Section 5. All of the collections of the special taxes shall be used only as provided for in
the Act and the Resolution of Formation. The special taxes shall be levied only so long as needed to
accomplish the purposes described in the Resolution of Formation.
Section 6. The special taxes shall be collected in the same manner as ordinary
ad valorem taxes are collected and shall be subject to the same penalties and the same procedure and
sale in cases of delinquency as provided for ad valorem taxes as such collection procedure may be
modified by law or this Board of Directors from time to time. Notwithstanding the foregoing, the
General Manager of the Public Utility District may collect, or cause to be collected, one or more
installments of the special taxes by means of direct billing of the property owners within the
Community Facilities District if, in the judgment of the General Manger, such means of collection
will reduce the burden of administering the Community Facilities District or is otherwise appropriate
in the circumstances. In such event, the special taxes shall become delinquent if not paid when due
as set forth in any such respective billing to the property owners.
Section 7. The President of the Board of Directors, acting on behalf of the Community
Facilities District, shall sign this Ordinance and the Clerk of the Public Utility District shall attest to
the President's signature and then cause the same to be published within fifteen(15)days after its
passage at least once in a newspaper of general circulation published and circulated in the
Community Facilities District, or by posting in three public places in the Community Facilities
District, or by publishing it in a newspaper of general circulation printed and published and
circulated in the Public Utility District.
2
DOCSOC/I 053429v2/22925-001 0
INTRODUCED and ADOPTED and APPROVED by the Board of Directors of the
Truckee Donner Public Utility District on July 21, 2004 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By:
President of the Board of Directors
ATTEST:
District Clerk
3
DOCSOC/I 053429v2/22925-001 0
ATTACHMENT A
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 04-1
(GRAY'S CROSSING)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
A Special Tax applicable to each Assessor's Parcel in the Truckee Donner Public Utility District
Community Facilities District No. 04-1 (Gray's Crossing) [herein "CFD No. 04-1"1 shall be levied
and collected according to the tax liability determined by the Board of Directors or its designee,
through the application of the appropriate amount or rate for Taxable Property, as described below.
All of the property in CFD No. 04-1, 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, including
property subsequently annexed to the CFD unless a separate Rate and Method of Apportionment is
adopted for the annexation area.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Acre" 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 or other parcel map recorded with the County.
"Act" 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 California Government Code.
"Administrative Expenses" means any or all of the following: the fees and expenses of any fiscal
agent or trustee (including any fees or expenses of its counsel) employed in connection with any
Bonds, and the expenses of the TDPUD carrying out its duties with respect to CFD No. 04-1 and the
Bonds, including, but not limited to, levying and collecting the Special Tax, the fees and expenses of
legal counsel, charges levied by the County Auditor's Office, Tax Collector's Office, and/or
Treasurer's Office, costs related to annexing property into the CFD, costs related to property owner
inquiries regarding the Special Tax, amounts needed to pay rebate to the federal government with
respect to the Bonds, costs associated with complying with any continuing disclosure requirements
for the Bonds and the Special Tax, and all other costs and expenses of the TDPUD in any way related
to the establishment or administration of the CFD.
"Administrator" means the person or firm designated by the TDPUD to administer the Special Tax
according to this Rate and Method of Apportionment of Special Tax.
"Affordable Unit" means any Unit within CFD No. 04-1 which is subject to (i) a deed-restricted cap
limiting the appreciation that can be realized by the owner of the Unit for thirty (30) years, or
(ii) another such deed restriction that replaces the 30-year appreciation cap in future years. In the
Fiscal Year after the Fiscal Year in which the deed-restriction on an Affordable Unit expires, such
Unit shall be taxed as Single Family Detached Property or Single Family Attached Property, as
applicable.
A-1
DOCSOC/1 053429v2/22925-001 0
"Assessor's Parcel" or "Parcel' means a lot or parcel, including an airspace parcel for a
condominium unit or Loft Unit, shown on an Assessor's Parcel Map with an assigned Assessor's
Parcel number.
"Assessor's Parcel Map" means an official map of the County Assessor designating parcels by
Assessor's Parcel number.
"Association Property" means any property within the CFD that is owned by a homeowners
association, excluding such property under the pad or footprint of a Unit. Association Property shall
also include property designated as open space in a recorded Final Map whether or not such property
has yet been dedicated to a homeowners association, public agency, or private land trust.
"Board of Directors" or"Board" means the Board of Directors of the TDPUD.
"Bonds" means bonds or other debt (as defined in the Act), whether in one or more series, issued,
insured or assumed by CFD No. 04-1 related to public infrastructure and/or improvements that are
authorized to be funded by CFD No. 04-1.
"Building Square Footage" means the total gross square footage of the floor area of a
non-residential building determined by calculating the combined floor area contained within the
building's exterior walls including the area of an addition where floor area is increased. Parking
areas and exterior walkways shall not be included in the calculation of Building Square Footage.
"Capitalized Interest" means fiords in any capitalized interest account available to pay debt service
on Bonds.
"Center for the Arts Property" means the property on which a building permit has been issued for
construction of the"Center for the Arts"required pursuant to the Development Agreement, subject to
the limitation set forth in Section G below.
"CFD Formation"means the date on which the Resolution of Formation to form CFD No. 04-1 was
adopted by the Board of Directors.
"Church Property" means, in any Fiscal Year, any Parcel in CFD 04-1 that meets both of the
following criteria: (i) the Parcel is owned by a religious organization which is exempt from ad
valorem property tax, and (ii) a building permit has been issued for construction of a building on the
Parcel that will be used solely as a place of worship. The amount of Church Property within the CFD
shall be subject to the limitation set forth in Section G below.
"County" means the County of Nevada.
"Developed Property" means, in any Fiscal Year, the following:
for Single Family Detached Property, all parcels for which a Final Map was recorded
prior to May 1 of the preceding Fiscal Year
A-2
DOCSOC/1053429v2/22925-0010
• for Single Family Attached Property, all parcels for which a building pen-nit for new
construction of a residential structure was issued prior to May 1 of the preceding
Fiscal Year
• for Golf Course Property, all Parcels that make up the Golf Course Property if the
certificate of occupancy for the proshop or clubhouse associated with the golf course
was issued at least twenty-four (24) months in advance of May I of the preceding
Fiscal Year
• for Non-Residential Property, all parcels for which a building permit for new
construction of a non-residential structure (which may include Loft Units) was issued
prior to May I of the preceding Fiscal Year
"Development Agreement" means the Development Agreement executed between the Town and
Gray's Crossing LLC on March 25, 2004.
"Excess Public Property" means the acres of Public Property that exceed the acreage exempted in
Section G below. In any Fiscal Year in which a Special Tax must be levied on Excess Public
Property pursuant to Step 5 in Section E below, Excess Public Property shall be those Assessor's
Parcel(s) that most recently became Public Property based on the dates on which Final Maps
recorded creating such Public Property or, if an Assessor's Parcel became Public Property other than
through a Final Map, as determined by the Administrator.
"Expected Affordable Units"means a total of 36 Units within CFD No. 04-1 that are expected to be
Affordable Units. If, in any Fiscal Year, the Administrator identifies a total number of Affordable
Units within CFD No. 04-1 that exceeds 36 Units, only the first 36 Units for which building permits
were issued shall remain exempt from the Special Tax pursuant to Section G below. Affordable
Units for which permits are issued after building permits for the 36 Expected Affordable Units have
been issued shall be taxed as follows: (i) based on the size of the lot if the Unit is Single Family
Detached Property, as Single Family Attached Property if the Unit meets the definition set forth for
such property below, or(iii) as a Loft Unit if the Unit is located above a retail establishment.
"Expected Land Uses" means the total number of Units and size of SIT) Lots expected to be
constructed within the CFD as determined from time to time by the Administrator after applying the
steps in Section D below. At CFD Formation, the Expected Land Uses were those expected to be
reflected in the Tentative Map. The Expected Land Uses at CFD Formation are summarized in
Attachment I hereto; the Administrator shall update Attachments 1 and 2 each time a change occurs
to the land use plans for property in the CFD.
"Expected Maximum Special Tax Revenues" means the amount of annual revenue that would be
available if the Maximum Special Tax was levied on the Expected Land Uses. The Expected
Maximum Special Tax Revenues as of CFD Formation are shown in Attachment 1 of this Rate and
Method of Apportionment of Special Tax.
"Final Bond Sale" means the last series of Bonds that will be issued on behalf of CFD No. 04-1
(excluding any Bond refundings), as determined in the sole discretion of the TDPUD.
"Final Map" means a final map, or portion thereof, recorded by the County pursuant to the
Subdivision Map Act (California Government Code Section 66410 et seg.) that creates individual
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DOCSOC1053429v2(22925-0010
lots on which building permits for new construction may be issued without further subdivision and
for which no further subdivision is anticipated pursuant to the Tentative Map.
"Fiscal Year" means the period starting July 1 and ending on the following June 30.
"Fitness Facility Property" means any Assessor's Parcels within the CFD that meets both of the
following criteria (i) a building permit has been issued for construction of a swim or fitness facility
on the Parcel, and (it) based on the size of the Parcel, no other buildings can be constructed on the
Parcel.
"Fractional Unit" means a single family detached unit or a single family attached unit for which
multiple owners may each purchase a fractional share of ownership (also referred to as a timeshare
unit by the California Department of Real Estate).
"Golf Course Property" means any property within CFD No. 04-1 that is used as a golf course,
including but not limited to, a driving range, clubhouse, pro shop, parking, outbuildings, and other
golf-related amenities. Golf Course Property shall also include any property within the CFD that is
used or expected to be used for a swim and/or fitness facility il'such facility is located on the same
Assessor's Parcel as the clubhouse, pro shop or other golf-related buildings.
"Lodging Unit" means a unit that is (i) offered for rent to the general public on an overnight or
limited stay basis, as defined in the Development Agreement, and (it) constructed within the
geographic area labeled Neighborhood Commercial in Attachment 2. If Fractional Units are built
within the Neighborhood Commercial area, all such units shall be taxed at the same rate as other
Units of Single Family Attached Property within the CFD.
"Loft Unit" means a residential Unit located above and attached to a commercial establishment,
which shall not under any circumstance include a residential Unit within which the owner of such
Unit operates an at-home business operation.
"Maximum Special Tax" means the greatest amount of Special Tax that can be levied on an
Assessor's Parcel in any Fiscal Year determined in accordance with Section C below, as may be
adjusted pursuant to Step 3 in Section D below.
"Non-Residential Property" means, in any Fiscal Year, all Parcels of Taxable Property which are
not Single Family Detached Property, Single Family Attached Property, Golf Course Property, Loft
Units, Association Property, Excess Public Property, or Undeveloped Property. As discussed below,
Loft Units shall be taxed separately from the non-residential Building Square Footage on the Parcel.
"Proportionately" means, for Developed 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 Developed Property, and for Undeveloped Property that the ratio of the
actual Special Tax to the Maximum Special Tax is equal for all Assessor's Parcels of Undeveloped
Property.
"Public Property" means any property within the boundaries of CFD No. 04-1 that is owned by the
federal government, the State of California, the County, the Town, the TDPUD, or other public
agency.
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"Rental Property" means, in any Fiscal Year, all Parcels within the CFD for which a building
permit was issued for construction of a residential structure with multiple Units that share common
walls, all of which are offered or are expected to be offered for rent to the general public and/or
employees. Fractional Units and Loft Units within the CFD shall at no time be categorized as Rental
Property. Lodging Units shall also be categorized as Rental Property for purposes of this Rate and
Method of Apportionment of Special Tax.
"SFD Lot" means an individual residential lot, identified and numbered on a recorded Final Map, on
which a building permit has been or is permitted to be issued for construction of a single family
detached unit without further subdivision of the lot and for which no further subdivision of the lot is
anticipated pursuant to the Tentative Map.
"Single Family Attached Property" means, in any Fiscal Year, all Parcels of Developed Property
for which a building permit was issued for construction of a residential structure consisting of two or
more Units that share common walls and are offered or expected to be offered as for-sale units,
including, but not limited to, such residential structures that meet that statutory definition of a
condominium contained in Civil Code Section 1351.
"Single Family Detached Property" means, in any Fiscal Year, all Parcels of Developed Property
for which a building permit was issued or is permitted to be issued for construction of a Unit that
does not share a common wall with another Unit, including detached Fractional Units.
"Special Tax" means a Special Tax levied in any Fiscal Year to pay the Special Tax Requirement.
"Special Tax Requirement" means the amount necessary in any Fiscal Year to: (i) pay principal
and interest on Bonds which is due in the calendar year that begins in such Fiscal Year; (ii) create
and/or replenish reserve funds for the Bonds; (iii) cure any delinquencies in the payment of principal
or interest on Bonds which have occurred in the prior Fiscal Year or, based on existing delinquencies
in the payment of Special Taxes, are expected to occur in the Fiscal Year in which the tax will be
collected; (iv) pay Administrative Expenses; and(v)pay the costs of public improvements and public
infrastructure authorized to be financed by CFD No, 04-1. The amounts referred to in clauses (i)
and (ii) of the preceding sentence may be reduced in any Fiscal Year by: (i) interest earnings on or
surplus balances in funds and accounts for the Bonds to the extent that such earnings or balances are
available to apply against debt service pursuant to a Bond indenture, Bond resolution, or other legal
document that sets forth these terms; (ii) proceeds received by CFD No. 04-1 from the collection of
penalties associated with delinquent Special Taxes; and (iii) any other revenues available to pay debt
service on the Bonds as determined by the Administrator.
"Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 04-1
which are not exempt from the Special Tax pursuant to law or Section G below.
"Tax Zone" means one of the two mutually exclusive geographic areas defined below and identified
in Attachment 2 of this Rate and Method of Apportionment of Special Tax, and any subsequent Tax
Zones created to contain property annexed into the CFD after CFD Formation.
"Tax Zone #1" means the geographic area that is specifically identified in Attachment 2 of this Rate
and Method of Apportionment of Special Tax as Tax Zone#1.
"Tax Zone #2" means the geographic area that is specifically identified in Attachment 2 of this Rate
and Method of Apportionment of Special Tax as Tax Zone#2.
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DocsoG I 053429v2n2925-0010
"TDPUD"means the Truckee Donner Public Utility District.
"Tentative Map" means the tentative subdivision map for the Gray's Crossing Planned
Development approved by the Town on February 5, 2004.
"Town" means the incorporated Town of Truckee.
"Undeveloped Property" means, in any Fiscal Year, all Parcels of Taxable Property within the CFD
that are not Developed Property.
"Unit" means (i) for Single Family Detached Property, an individual single-family detached unit,
(ii) an individual Loft Unit, and (iii) for Single Family Attached Property, an individual residential
unit within a duplex, triplex, fourplex, townhome, or condominium structure.
B. DATA FOR ANNUAL ADMINISTRATION
On or about July I of each Fiscal Year, the Administrator shall identify the current Assessor's Parcel
numbers for all Parcels of Taxable Property. The Administrator shall also determine: (i) whether
each Assessor's Parcel of Taxable Property is Developed Property or Undeveloped Property, (ii) for
Developed Property, which Parcels are Single Family Detached Property, Single Family Attached
Property, Loft Units, Golf Course Property and Non-Residential Property, (iii) for Parcels of Single
Family Attached Property, the number of Units on each Parcel, (iv) for Single Family Detached
Property, the size of each residential lot within Final Maps that have been recorded, (v) whether there
are Parcels of Rental Property, Excess Public Property, or Parcels with Affordable Units, and (vi) the
Special Tax Requirement.
For Single Family Attached Property, the number of Units shall be determined by referencing the site
plan, condominium plan, or other development plan. For Non-Residential Property that includes
Loft Units, the Administrator shall reference the condominium map or other such development plan
to determine the Building Square Footage, or if such map or plan is not available, the Administrator
shall determine the Building Square Footage associated with the Loft Units and subtract the square
footage thereof from the total Building Square Footage to determine the square footage that will be
subject to the Maximum Special Tax for Non-Residential Property. If, in any Fiscal Year, an
Assessor's Parcel includes both Developed Property and Undeveloped Property, the Administrator
shall determine the Acreage associated with the Developed Property, subtract this Acreage from the
total Acreage of the Assessor's Parcel, and use the remaining Acreage to calculate the Special Tax
that will apply to Undeveloped Property within the Assessor's Parcel.
In addition, the Administrator shall, on an ongoing basis, monitor whether changes in land use have
been proposed that will affect the Expected Land Uses and whether Final Maps that have been
proposed for approval by the Town are consistent with the Expected Land Uses. If changes to the
Expected Land Uses are proposed, the Administrator shall apply the steps set forth in Section D
below.
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C. MAXIMUM SPECIAL TAX
1. Single Family Detached Property
The Maximum Special Tax for Single Family Detached Property for Fiscal Year 2004-05 is shown in
Table I below:
TABLE
TDPUD CFD No.2004-1
Maximum Special Tax for Single Family Detached Property
Maximum Special Tax in Maximum Special Tax
Tax one#1 in Tax Zone#2
T e of Pro per Lot Size Fiscal Year 2004-05 * Fiscal Year 2004-05
Single Family Greater than $3,300 per $4,125 per
Detached Property 22.000 s uare feet SFD Lot SFD Lot
Single Family 20,001 to 22,000 $3,200 per $4,000 per
Detached Property square feet SFD Lot SFD Lot
Single Family 18,001 to 20,600 $3,100 per $3,875 per
Detached Property square feet i SFD Lot SFD Lot
Single Family 16,001 to 18,000 $3,000 per $3,750 per
Detached Property square feet SFD Lot SFD Lot
Single Family 14,001 to 16,000 $2,900 per $3,625 per
Detached Property square feet SFD Lot SFD Lot
Single Family 12,001 to 14,000 $2,800 per $3,500 per
Detached Property square feet SFD Lot SFD Lot
Single Family 8,000 to 12,000 $2,700 per $3,375 per
Detached Property square feet SFD Lot SFD Lot
j Single Family l Less than $1,800 per $1,800 per
Detached Pro ert 8,000 square feet i SFD Lot SFD Lot
On July 1, 2005 and on each July 1 thereafter, the Maximum Special Tuxes shown in Table I
above shall be increased by an amount equal to two percent (2%) of the amount in effect for the
prior Fiscal Year.
The square footage of SFD Lots shall be determined by reference to County Assessor's Parcel Maps
or, to the extent such Maps do not reflect square footage of the SFD Lots, by reference to the lot size
summary provided by the engineering firm that produced the Final Map.
2. Single Family Attached Property
The Maximum Special Tax for Single Family Attached Property for Fiscal Year 2004-05 is $1,800
per Unit. On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be
increased by an amount equal to two percent (2%) of the amount in effect for the prior Fiscal Year.
3. Loft Units
The Maximum Special Tax for Loft Units for Fiscal Year 2004-05 is $1,200 per Unit. On July 1,
2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an amount equal
to two percent(2%) of the amount in effect for the prior Fiscal Year.
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DOCSOG1053429v2,'22925-0010
4. Non-Residential Property
The Maximum Special Tax for Non-Residential Property for Fiscal Year 2004-05 is $2.50 per square
foot of Building Square Footage. On July 1, 2005 and on each July 1 thereafter, this Maximum
Special Tax shall be increased each Fiscal Year thereafter by an amount equal to two percent (2%) of
the amount in effect the prior Fiscal Year.
5. Golf Course Property
The Maximum Special 'Fax assigned to Golf Course Property for Fiscal Year 2004-05 is $200,000.
On July 1, 2005 and on each July I thereafter, this Maximum Special Tax shall be increased each
Fiscal Year thereafter by an amount equal to two percent(2%) of the amount in effect the prior Fiscal
Year. if the Golf Course Property is hilly contained within one Assessor's Parcel, the Maximum
Special Tax identified above shall be collected from the Parcel. If the Golf Course Property is spread
over more than one Assessor's Parcel, the following steps shall be applied in the first Fiscal Year in
which the Golf Course Property is Developed Property to determine the Maximum Special Tax to be
assigned to each Parcel:
Step I: Multiply the total Maximum Special Tax assigned to the Golf Course
Property by fifty percent(50%);
Step 2: Determine the combined Acreage of all Assessor's Parcels on which the
clubhouse, pro shop, driving range, parking lot, and other outbuildings are
located;
Step 3: Divide the amount determined in Step 1 by the Acreage identified in Step 2 to
calculate a per-acre Special Tax;
Step 4: Multiply the per-acre Special Tax calculated in Step 3 by the Acreage of each
Assessor's Parcel on which the clubhouse, pro shop, driving range, parking
lot, and other outbuildings are located to calculate the Maximum Special Tax
for each of the Parcels;
Step 5: Determine the combined Acreage of all Assessor's Parcels of Golf Course
Property that were not included in the Acreage calculated in Step 2 above;
Step 6: Divide the amount determined in Step I by the Acreage calculated in Step 5
to calculate a per-acre Special Tax;
Step 9: Multiply the per-acre Special Tax calculated in Step 6 by the Acreage of each
Assessor's Parcel included in the figure determined in Step 5 to calculate the
Maximum Special Tax for each of the Parcels.
The Maximum Special Tax determined for each Assessor's Parcel of Golf Course Property
pursuant to the steps set forth above shall be increased on July 1 of the following Fiscal Year,
and on each July I thereafter, by an amount equal to two percent(2%) of the amount in effect
the prior Fiscal Year. If an Assessor's Parcel of Golf Course Property is further subdivided
or otherwise reconfigured, the Maximum Special Tax assigned to the Parcel shall be
allocated to the new Parcels on an Acreage basis.
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DOCSOCI1053429v2/22925-0010
6. Undeveloped Property
The Maximum Special Tax.for Undeveloped Property.for Fiscal Year 2004-05 is $17,500 perAcre.
On July 1, 2005 and on each July I thereafter, this Maximum Special Tax .shall be increased by
an amount equal to two percent(2%) of the amount in effect for the prior Fiscal Year.
D. BACK-UP FORMULA
The Maximum Special Taxes set forth in Section C above were calculated based on the Expected
Land Uses at CFD Formation. The Administrator shall review Tentative Map revisions and other
changes to the land uses within the CFD and compare the revised land uses to the Expected Land
Uses to evaluate the impact on the Expected Maximum Special Tax Revenues. In addition, the
Administrator shall review Final Maps to ensure they reflect the number and size of SFD Lots that
were anticipated in the Tentative Map.
If, prior to the Final Bond Sale, a change to the Expected Land Uses (a "Land Use/Entitlement
Change") is proposed that will result in a reduction in the Expected Maximum Special Tax
Revenues, no action will be needed pursuant to this Section D as long as the reduction in Expected
Maximum Special Tax Revenues does not reduce debt service coverage on outstanding Bonds below
the amount committed to in the Bond documents. Upon approval of the Land Use/Entitlement
Change, the Administrator shall update Attachment 1 to show the reduced Expected Maximum
Special Tax Revenues, and the reduced Expected Maximum Special Tax Revenues shall be the
amount used to by the TDPUD to make future decisions with respect to Bonds.
If a proposed Land Use/Entitlement Change would reduce the debt service coverage required on
outstanding Bonds or if the Land Use/Entitlement Change is proposed after the Finial Bond Sale,the
following steps shall be applied:
Step 1: By reference to Attachment I (which will be updated by the Administrator
each time a Land Use,/Entitlement Change has been processed according to
this Section D), the Administrator shall identify the Expected Maximum
Special Tax Revenues for CFD No. 04-1;
Step 2: The Administrator shall calculate the Maximum Special Tax revenues that
could be collected from property in the CFD if the Land Use/Entitlement
Change is approved;
Step 3: If the amount determined in Step 2 is higher than that calculated in Step 1, the
Land Use/Entitlement Change may be approved without further action. If the
revenues calculated in Step 2 are less than those calculated in Step 1, and if..
(a) The landowner does not withdraw the request for the Land
Use/Entitlement Change that was submitted to the Town; or
(b) Before approval of the Land Use/Entitlement Change, the landowner
requesting the Land Use/Entitlement Change does not prepay a
portion of the Special Tax for the CFD in an amount that corresponds
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DOCSOC/1053429v2/22925-0010
to the lost Maximum Special Tax revenue, as detennined by applying
the steps set forth in Section H below;
then, the amount of the prepayment determined in Step 3.b shall be allocated on a per-acre
basis and included on the next property tax bill for all Assessor's Parcels within the property
affected by the Land Use/Entitlement Change. The amount allocated to each Assessor's
Parcel shall be added to and, until paid, shall be a part of, the Maximum Special Tax for the
Assessor's Parcel.
If multiple Land Use/Entitlement Changes are proposed at one time (which may include
approval of multiple Final Maps at one time), the Administrator may consider the combined
effect of all the Land Use/Entitlement Changes to determine if there is a reduction in
Expected Maximum Special Tax Revenues that necessitates implementation of Step 3.b. If,
based on this comprehensive analysis, the Administrator determines that there is a reduction
in Expected Maximum Special Tax Revenue, and all of the Land Use/Entidernent Changes
are being proposed by the same land owner, the Administrator shall determine the required
prepayment (pursuant to Step 3.b) by analyzing the combined impact of all of the proposed
Land Use/Entitlement Changes. Notwithstanding the foregoing, if the Administrator
analyzes the combined impacts of multiple Land Use/Entitlement Changes, and the Town
subsequently does not approve one or more of the Land Use/Entitlement Changes that was
proposed, the Administrator shall once again apply the three steps set forth above to
determine the combined impact of those Land Use/Entitlement Changes that were approved
simultaneously by the Town.
If, based on the comprehensive analysis, the Administrator determines that there is a
reduction in Expected Maximum Special Tax Revenue, and the Land Use/Entitlement
Changes are not all being proposed by the same land owner, the Administrator shall consider
the proposed Land Use/Entitlement Changes individually to determine the required
prepayment from each owner.
E. METHOD OF LEVY OF THE SPECIAL TAX
Each Fiscal Year, the Administrator shall determine the Special Tax Requirement to be collected in
that Fiscal Year, and the Special Tax shall be levied according to the steps outlined below.
Step l: The Special Tax shall be levied Proportionately on each Parcel of Developed
Property within the CFD that is Single Family Detached Property, Single
Family Attached Property, or a Loft Unit up to 100% of the Maximum
Special Tax for each Parcel for such Fiscal Year until the amount levied on
such Developed Property is equal to the Special Tax Requirement prior to
applying any Capitalized Interest that is available in the CFD accounts.
Step 2: If additional revenue is needed after Step 1, and after applying Capitalized
Interest to the Special Tax Requirement, the Special Tax shall be levied
Proportionately on each Parcel of Developed Property within the CFD that is
Non-Residential Property up to 100% of the Maximum Special Tax for such
Developed Property for such Fiscal Year determined pursuant to Section C.
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DOCSOC/1053429v2/22925-0010
Step 3: If additional revenue is needed after Step 2, the Special Tax shall be levied
Proportionately on each Parcel of Developed Property within the CFD that is
Golf Course Property up to 100% of the Maximum Special Tax for such
Developed Property for such Fiscal Year determined pursuant to Section C.
Step 4: If additional revenue is needed after Step 3, 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.
Step 5: If additional revenue is needed after Step 4, the Special Tax shall be levied
Proportionately on each Parcel of Association Property within the CFD, up to
100% of the Maximum Special Tax for Undeveloped Property for such Fiscal
Year determined pursuant to Section C.
Step 6: If additional revenue is needed after Step 5, the Special Tax shall be levied
Proportionately on each Assessor's Parcel of Excess Public Property,
exclusive of property exempt from the Special Tax pursuant to Section G
j below, up to 100% of the Maximum Special Tax for Undeveloped Property
for such Fiscal Year determined pursuant to Section C.
F. COLLECTION OF SPECIAL TAX
The Special Taxes for CFD No. 04-1 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 provided further that the TDPUD 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 for Fractional Units may be billed
either directly to individual fractional share owners or to a homeowners association, which shall then
bill the individual fractional share owners; non-payment of Special Taxes billed by the homeowners
association shall result in interest and penalties, and the fractional ownership shall be subject to
foreclosure proceedings as set forth in the Bond covenants.
The Special Tax shall be levied and collected until principal and interest on Bonds have been repaid,
TDPL'D's costs of constructing or acquiring authorized facilities from Special Tax proceeds have
been paid, and all administrative expenses have been reimbursed. However, in no event shall a
Special Tax be levied after Fiscal Year 2043-44. 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.
G. EXEMPTIONS
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no
Special Tax shall be levied on up to 42.2 acres of Public Property, 237.7 acres of Association
Property, 2 acres of property on which Lodge Units have been or, based on building permits that
have been issued, are expected to be built, 0.67 of an acre of Center for the Arts Property, Fitness
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DOCSOC/1053429v2/22 9 2 5-00 1 0
Facility Property, and 9 acres of Church Property. A separate amount of public acreage may be
exempted each time property annexes into CFD No. 04-1, and such additional exemption shall only
apply to property within the annexation area. A Special Tax may be levied on Excess Public
Property pursuant to Step 5 of Section E; however, a public agency may prepay or cause the
prepayment of the special tax obligation on land conveyed to it that would be classified as Excess
Public Property.
In addition, no Special Tax shall be levied in any Fiscal Year on Rental Property or Affordable Units.
H. PREPAYMENT OF SPECIAL TAX
The following definitions apply to this Section H:
"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 such 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 Outstanding Bonds for purposes of this prepayment formula.
"Previously Issued Bonds" means all Bonds that have been issued on behalf of the CFD
prior to the date of prepayment.
"Public Facilities Requirements" means either $24,000,000 in 2004 dollars, which shall
increase on January 1, 2005, and on each January 1 thereafter by the percentage increase, if
any, in the construction cost index for the San Francisco region for the prior twelve (12)
month period as published in the Engineering News Record or other comparable source if the
Engineering News Record is discontinued or otherwise not available, or such other number as
shall be determined by the TDPUD to be an appropriate estimate of the net construction
proceeds that will be generated from all Bonds that have been or are expected to be issued on
behalf of CFD No. 2004-1. The Public Facilities Requirements shown above may be
adjusted or a separate Public Facilities Requirements identified each time property annexes
into CFD No. 04-1; at no time shall the added Public Facilities Requirement for that
annexation area exceed the amount of public improvement costs that are expected to be
supportable by the Maximum Special Tax revenues generated within that annexation area. In
addition, the Public Facilities Requirement may be adjusted if the total number of Units
authorized to be constructed within the CFD is increased by the Town; this adjustment to the
Public Facilities Requirement shall not exceed the amount of public improvement costs that
are expected to be supportable by the Maximum Special Tax revenues generated by the
additional number of Units approved by the Town.
"Remaining Facilities Costs" means the Public Facilities Requirements (as defined above),
minus public facility costs funded by Outstanding Bonds (as defined above), developer
equity, and/or any other source of funding.
The Special Tax obligation applicable to an Assessor's Parcel in the CFD 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
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DOCSOC/1053429v2/22925-0010
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 TDPUD with written notice of intent to prepay.
Within 30 days of receipt of such written notice, the TDPUD or its designee shall notify such owner
of the prepayment amount for such Assessor's Parcel. Prepayment must be made not less than 75
days prior to any redemption 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 Remaining Facilities Amount
plus Redemption Premium
plus Defeasance Requirement
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 TDPUD or, in the event of a
prepayment pursuant to Step 3.b in Section D, compute the amount by which
the Maximum Special Tax revenues would be reduced by the Land
Use/Entitlement Change and use the amount of this reduction as the figure for
purposes of this Step 1.
Step 2. Divide the Maximum Special Tax from Step 1 by the then-current Expected
Maximum Special Tax Revenues for the CFD.
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
"Bond Redemption Antount'�.
Step 4. Compute the current Remaining Facilities Costs (if any).
Step 5. Multiply the quotient computed pursuant to Step 2 by the amount determined
pursuant to Step 4 to compute the amount of Remaining Facilities Costs to be
prepaid (the "Remaining 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 "Redemption 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, which, depending on the Bond offering document, may be as early as
the next interest payment date.
A-13
DOCSOC/1053429v2/22925-0010
Step S: Compute the amount of interest the TDPUD 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: 'rake the amount computed pursuant to Step 7 and subtract the amount
computed pursuant to Step 8 (the "Defeasance Requirement'}.
Step 10. Determine the costs of computing the prepayment amount, the costs of
redeeming Bonds, and the costs of recording any notices to evidence the
prepayment and the redemption (the "Administrative Fees and Expenses").
Step IL If and to the extent so provided in the indenture pursuant to which the
Outstanding Bonds to be redeemed were issued, a reserve fund credit shall be
calculated as a reduction in the applicable reserve fund for the Outstanding
Bonds to be redeemed pursuant to the prepayment (the "Reserve 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 "Prepayment Amount").
A partial prepayment may be made in an amount equal to any percentage of fiill prepayment desired
by the party making a partial prepayment. The Maximum Special Tax that can be levied on an
Assessor's Parcel after a partial prepayment is made is equal to the Maximum Special Tax that could
have been levied prior to the prepayment, reduced by the percentage of a full prepayment that the
partial prepayment represents, all as determined by or at the direction of the Administrator.
I. INTERPRETATION OF SPECIAL TAX FORMULA
The TDPUD reserves the right to make minor administrative and technical changes to this
document that do not materially affect the rate and method of apportioning Special Taxes. In
addition, the interpretation and application of any section of this document shall be left to the
TDPUD's discretion. Interpretations may be made by the TDPUD by ordinance or resolution for
purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment of
Special Tax.
A-14
DOCSOC/1 053429v2/22925-001 0
ATTACHMENT
EXPECTED LAND USES AND
EXPECTED MAXIMUM SPECIAL TAX REVENUES
AT CFD FORMATION
Number of
Expected Maximum Special
Lots/Units/ Tax Total Expected
Acres/ Per Unit/ Maximum
Building Square Foot, Special Tax
Expected Land Uses Square Feet FY 2004-05 * Revenues
TAX ZONE#I
I
SFD Lots Greater than 22,000 Square Feet 2 $3,300 per SFD Lot $6,600
SFD Lots, 20,001 to 22,000 Square Feet 4 $3,200 per SFD Lot $12,800
SFD Lots, 18,001 to 20,000 Square Feet 12 $3,100 per SFD Lot $37,200
SFD Lots, 16,001 to 18,000 Square Feet ( 32 $3,000 per SFD Lot $96,000
SFD Lots, 14,001 to 16,000 Square Feet 46 $2,900 per SFD Lot $133,400
SFD Lots, 12,001 to 14,000 Square Feet 5 $2,800 per SFD Lot $14,000
SFD Lots, 8,000 to 12,000 Square Feet 0 $2,700 per SFD Lot $0
SFD Lots Less than 8,000 Square Feet 1 61 $1,800 per SFD Lot $109,800
TAX ZONE#2
SFD Lots Greater than 22,000 Square Feet 10 $4,125 per SFD Lot $41,250
SFD Lots, 20,001 to 22,000 Square Feet 7 $4,000 per SFD Lot $29,000
SFD Lots, 18,001 to 20,000 Square Feet 19 $3,875 per SFD Lot $73,625
SFD Lots, 16,001 to 18,000 Square Feet 100 $3,750 per SFD Lot $375,000
SFD Lots, 14,001 to 16,000 Square Feet 118 $3,625 per SFD Lot $427,750
SFD Lots, 12,001 to 14,000 Square Feet 43 $3,500 per SFD Lot $150,500
SFD Lots, 8,000 to 12,000 Square Feet 10 j $3,375 per SFD Lot $33,750
SFD Lots Less than 8,000 Square Feet 0 $1,800 per SFD Lot $0
Single Family Attached Units 107 $1,800 per Unit $192,600
Loft Units 21 $1,200 per Unit $25,200
Non-Residential Building Square Footage ( 40,700 $2.50 per square foot $101,750
N/A
Golf Course N/A $200,000
Total Expected Maximum Special Tax Revenues $2,059,225
I
*Figures are shown in fiscal year 2004-05 dollars and will escalate two percent(2016)per year thereafter.
A-15
DOCSOC/1053429v2/22925-0010
ATTACHMENT
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
COMMUNITY FACILITIES DISTRICT No.04-1
(GRAY'S CROSSING)
IDENTIFICATION of TAX ZONES
A-16
DOCSOC/1053429v2/22925-0010
IDENTIFICATION OF TAX ZONES FOR
xsuo PROPOSED COMMUNITY FACILITIES DISTRICT NO.64.1
(GRAY'S CROSSING)
TRUCKEE DONNER PUILIC UTILITY DISTRICT
> ' COUNTY OF NEVADA
,t STATE OF CALIFORNIA
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