Item 19 - Intent to Conduct Proceedings for Abandonment of Community Facilities
AGENDA REfORT SUMMARY
TO: Honorable Mayor and Members of the City Council
FROM: James L, Bowersox, City Man~ ^
INITIATED B~ohn D, Fitch, Assistant City Manager~)t
) arren H, Shafer, Director of Redevelo ment Services
DATE: November 28, 1995
SUBJECT: A Resolution of Consideration of the City Council of the City of Poway,
Declaring its Intention to Conduct Proceedings for the Abandonment of
Community Facilities District No. 90-1 of the City of Poway (Tech Business
Center) , the Termination of the Existing SpeCial Tax of Community
Facilities District No. 90-1 and the Termination of the Authority of
Community Facilities District No, 90-1 to Issue Bonded Indebtedness
ABSTRACT
In April 1990, the City formed Community Facilities District (CFD) No, 90-1 at the
request of the property owner, Tech Business Center, This report responds to the
request of Tech Business Center to have the City initiate consideration of the
-- abandonment of CFD 90-1,
ENVIRONMENTAL REVIEW
This action is not subject to CEQA review,
FISCAL IMPACT
The cost of conducting the abandonment is estimated to be approximately $3,000, plus
expenses. In their Petition to the City Council to abandon the CFD, the property
owners indicated their willingness to pay these expenses (Attachment 1), Therefore,
the City would not incur any cost,
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
A copy of this report will be sent to Neville Bothwell, Tech Business Center, If the
Resolution of Consideration is approved, all registered voters and property owners in
CFD 90-1 will be notified of the public hearing,
RECOMMENDATION
It is recommended that the City Council approve the attached Resolution of
Consideration setting January 9, 1996 as the date of a public hearing on the
abandonment of CFD 90-1,
ACTION
c:\data\agenda\cfd90.'.cov
Nay 28 1995 ITEM 19
1 of 10
--- --~~-~--~----,
AGENDA REPORT
CITY OF POWAY
This report is included on the Consent Calendar. There wi l L be no separate discussion of the report
pri or to approval by the Ci ty Counei l unless meri:>ers of the Counei l, staff or publ it request h to
be removed from the Consent Calendar and discussed separateLy. If you wiSh to have this report
pulled for discussion, please fHl out a sl ip indicating the report ruDer and give it to the City
Clerk prior to the beginning of the City CCKIlCll meeting.
TO: Honorable Mayor and Members of the City Council
FROM: James L, Bowersox, City Man~ A
INITIATED BY: John 0, Fitch, Assistant City Manage~l1'
~warren H, Shafer, Director of Redevelo ment Services
DATE: November 28, 1995
SUBJECT: A Resolution of Consideration of the City Council of the City
of Poway, Declaring its Intention to Conduct Proceedings for
the Abandonment of Community Facilities District No. 90-1 of
the City of Poway (Tech Business Center), the Termination of
the Existing Special Tax of Community Facilities District No.
90-1 and the Termination of the Authority of Community
Facilities District No, 90-1 to Issue Bonded Indebtedness
BACKGROUND:
In April 1990, the City formed Community Facilities District (CFD) No, 90-1 at
the request of the property owner, Tech Business Center, Whil e the CFD was
formed and authority to issues bonds was approved by the City Council, no bonds
were ever issued, In a letter and petition dated October 11, 1995, Tech Business
Center requested that the City initiate consideration of the abandonment of CFD
90-1,
FINDINGS:
As a result of a recent property transaction, the issue of the status of CFD 90-1
was raised, In researching the question of how to separate the obligations of
the CFD from a parcel, it was determined that the only way was to dissolve the
entire district, This lead to the request by Tech Business Center for the City
to consider the abandonment of CFD 90-1. This procedure requires that a petition
representing at least 25% of the property in the district be brought forward
requesting the City Counc il to conduct the proceedings for abandonment
(Attachment 1), The City Council would then be required to consider adopting the
attached Resolution of Consideration (Attachment 2) which sets a Public Hearing
on the proposed abandonment for January 9, 1996, Among other thi ngs, the
resolution requires the City Clerk to notify all property owners and each
registered voter in the CFD of the hearing, If after that hearing the election
to dissolve the district is approved, then the district and the authority to
issue bonds will be abandoned, Approval of the Resolution of Consideration by
the City Council allows the process to go forward to the public hearing,
NQY 2 8 1995 ITEM 19 ..
2 of 10
- -
Community Facilities District 90-1
November 28, 1995
Page 2
ENVIRONMENTAL REVIEW
This action is not subject to CEQA review,
FISCAL IMPACT
The cost of conducting the abandonment is estimated to be approximately $3,000,
plus expenses. In their Petition to the City Council to abandon the CFD, the
property owners indicated their will ingness to pay these expenses (see Attachment
1) , Therefore, the City would not incur any cost,
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
A copy of this report will be sent to Neville Bothwell, Tech Business Center,
If the Resolution of Consideration is approved, all regi stered voters and
property owners in CFD 90-1 will be notified of the public hearing,
RECOMMENDATION
It is recommended that the City Council approve the attached Resol ut i on of
Consideration setting January 9, 1996 as the date of a public hearing on the
abandonment of CFD 90-1,
Attachments: (1) Letter and Petition Requesting the Abandonment of CFD 90-1
(2) Resolution
e:\c;ty\rda\cfd90-'.rpt
3 of 10
TECH BUSINESS CENTER LLC
Mailing Address:
Fax No.: (619) 223-2865 3575 Kenyon Street P.O. Box 80036
Telephone: (619) 223-1663 San Diego, CA 92110 San Diego, CA 92138
October 11, 1995
Mr, James Bowersox
City Manager
City of Poway
P.O, Box 789
Poway, CA 92074-0789
Dear Mr. Bowersox,
Weare submitting herewith a petition requesting that the City Council initiate the
abandonment of the Tech Business Center Community Facilities District No. 90-1. This
follows the procedures outlined in the letter of Stradling, Yocca, Carlson, & Rauth to Mr.
Warren Shafer of the City of Poway dated Oct, 6, 1995. As the only landowner in the
District No, 90-1, we represent more than the requisite 25%.
We note the estimated legal fees and costs of $3,000 for which we will be responsible.
Your early attention to this matter would be appreciated,
Yours very truly,
TECH BUSINESS CENTER LLC
By: Bothwell International Ltd.
~~ --
Neville F, Bothwell
cc: Mr. Warren Shafer
NB: mb \bowersox
Nay 2 8 1995 ITEM 19
4 of 10 Attachment 1
- -
PETITION TO TIlE CITY COUNCIL OF THE CITY OF POW A Y
REQUESTING THE ABANDONMENT OF COMMUNITY FACILITIES
DISTRICT {COMMUNITY FACILITIES DISTRICT NO. 90-1 OF THE
CITY OF POWAY (TECH BUSINESS CENTER))
As the owner of the land described in Exhibits A & B hereto representing in excess of
twenty-five percent (25 %) of the sum of the area of the land described in the exhibits,
located in the City of Poway, we hereby request that the City Council of the City of
Poway institute proceedings to abandon the community facilities district known as
"Community Facilities District No, 90-1 of the City of Poway (Tech Business Center)"
pursuant to provisions of the "Mello-Roes Community Facilities Act of 1982."
As owner, we agree to advance to the City the amounts necessary to pay for the costs
related to the abandonment of the District,
- TECH BUSINESS CENTER LLC
By: Techbilt Construction Corp.
Managing Member
D,~ t ,/.. ,1995 -tZ>'~"
. Paul K. Tchang, P esident
BOTHWELL INTERNATIONAL LTD.
Member
Date tJt;r/f .1995 ~~ -." ~
Neville F. Bothwell, General Partner
NB:mb\petition
Nay 2 8 1995 ITEM 19 ..
5 of 10
B -
. ~ -
l ~
. -
a ; -
- ~ l-f--
I . il 31
o i\' co
c:J") .~
1-;\ ----
__I T
~::: --
O. {.~.I . x
11(." "
"'7' t ~ J 1 ill ""..
~ i-c -.
r~~1
~"
. ' .
f- i ~ . ~ z!
U ~..::: :::: r_'"
::: ~ ~,i
_ ,::;; ~_,Q ,:" r'
....... -c .... , v-,
~ ~ y N ^
f- ro ~:':: ;::::::::::::::::::::::::-::::::::::::::::::i::. .:.:-:.:.:.:-:.:.:.:.:.:.:-:-:...--.-:-:-.--------/!: C/):i
> i< M:lO 3MOJ.S t CI)"
(f) ;::> :::: - ~ :::: ;; r.'"
::::: n - - :::: Q ,..... ".
- 0 ---- '-.. <( 1 z
<<>>0 .,
O 0.. ;: t a: ;l;i \,.....;
:-:- -:-::::; ~ i U)'
~ 'Hi () ~ J ~ : ~::
CI) 0 i ;::: ~ gil ro' .
..J.. ... - .1... ,.
W <<~> ~~
~<( ~ \
. . . . .
.... ...., >---
- >. ~:::- ~ ~ ,:::: ~
f- .....jf ~ - ,} '", ~
._ ...._ II-- ..... "
-UJ" -
- U :;:: a. UJ .... r~~
I .. ,.....
~:> ~ . r
_-_' <( l-" ,. ,..... ,
- .;.:':> CIl ,,",' "". .. '
.. :> .J
U CJ t 0 <:J I '~ -
_ .:~ a.. <:J " : 0
I ".'. . w ' 0
<! ---- j'::: (f) , a: Ii""
.. .,. ' ~
..... :-:: a.. '" ~ ~ I' ,
I :::: a.. -. '-' " ~ -
l..l... ~ :,:: cr:' "\' I I' u.
~ .-+ () . ' I -
O;(f) ""5' ' 13-'10
" I ~ ' . '1
>- .<., ,,~ ; "
.;::: ~ 'I ~
'I. . ' -
f- .:-: '. -
~.;. 1-
:: j <
,", .1
---- f: tf. -::
Z f - :, (j
~. . . .
r ~
:J .:: - CIl
> m ~ · ~ ~ ~
~ ;:', I_I_'~""" - ~
0::::::: (133l::l18 NOS13N ^ 1l::l3l^ll::lO::l) 0
o 3^Il::lO l::l31N3:) H:)31 1;5
U . ~
<(
a
z
.. ::J
o 0
Z aJ
UJ tJ
CJ a:
ill t;;
6 of 10 -' 6 Nay 281995 ITEM 19
-- -
I
LEGAL DESCRIPTION
COMMUNITY FACILITIES DISTRICT NO, 90-1
PARCELS 1 THROUGH 4 OF PARCEL MAP NO. 5750, BEING A PORTION OF THE
S.E. 1/4 OF THE S.w, 1/4 OFSEC. 19 AND THE N,E. 1/4 OF THE N,W, 1/4 OF SEC.
30, T-14-S, R-1-W, S.B,B.M.
AND THE S.E. 1/4 OF THE S,E. 1/4 OF SEC, 24, T-14-S, R-2-W, S.B,B,M,
AND LOT 41N SEC. 19, T-14-S, R-1-W, S,B,B,M,
ALSO THOSE PORTIONS OF LOTS 1 AND 2 OF SEC, 30, T-14 -S, R-1 W, S,B.B.M.,
L YtNG N'L Y OF THE N'L Y BOUNDARY OF THAT STRIP OF LAND KNOWN AS
BEELER CANYON ROAD AS SHOWN ON SHEET 1 OF RECORD OF SURVEY MAP
NO, 6420, EXCEPTING THEREFROM THAT PORTION OF THE E'L Y 300.00 FEET OF
SAID LOT 1 LYING S'L Y OF THE FOLLOWING DESCRIBED LINE:
COMMENCING AT THE S.WL Y CORNER OF PARCEL 1 OF PARCEL MAP NO. 5750,
ALSO BEING ON THE E'L Y LINE OF SAID LOT 1; THENCE N 00 17' 33" W ALONG
THE BOUNDARY OF SAID PARCEL 1, 232,00 FEET TO THE POINT OF BEGINNING;
THENCE S '59047' 36" W 346.11 FEET TO THE W'L Y LINE OF SAID E'L Y 300.00 \'
FEET.
EXHIBIT B
.
NOY 28 1995 ITEM 19 I
7 of 10
RESOLUTION NO,
A RESOLUTION OF CONSIDERATION OF THE CITY COUNCIL OF THE CITY OF POWAY,
DECLARING ITS INTENTION TO CONDUCT PROCEEDINGS FOR THE ABANDONMENT
OF COMMUNITY FACILITIES DISTRICT NO. 90-1 OF THE CITY OF POWAY
(TECH BUSINESS CENTER), THE TERMINATION OF THE EXISTING SPECIAL TAX OF
COMMUNITY FACILITIES DISTRICT NO, 90-1 AND THE TERMINATION OF THE AUTHORITY
OF COMMUNITY FACILITIES DISTRICT NO, 90-1 TO ISSUE BONDED INDEBTEDNESS
WHEREAS, on April 3, 1990, the City Council of the City of Poway (the "City
Council") adopted Resolution No, 90-076 stating its intention to form Community
Facil ities District No, 90-1 of the City of Poway (Tech Business Center)
("Community Facilities District No. 90-1" or the "District") pursuant to the
Mello-Roos Community Facilities Act of 1982, as amended (the "Act"); and
WHEREAS, on April 3, 1990, the City Council also adopted Resolution No, 90-
077 stating its intention to incur bonded indebtedness in the amount of
$22,000,000 within proposed Community Facilities District 90-1 for the purpose
of financing the construction, acquisition, modification, expansion or
rehabilitation of certain real and other tangible property with an estimated
useful life of 5 years or longer, including roadway and street improvements and
water, sewer and drainage facilities (including reservoirs, pump stations and
transmission lines), public trails, parks and fire fighting equipment, both
onsite and offsite, all as more fully described in Resolution No, 90-067 adopted
by the City Council on April 3, 1990 (the "Facilities") to serve the area within
Community Facilities District No, 90-1; and
WHEREAS, on May 8, 1990, the City Council held a noticed public hearing as
required by law to determine whether it should proceed with the formation of
Community Facilities District No, 90-1, issue bonds to pay for the Facilities and
authorize the rate and method of apportionment of a special tax to be levied
within Community Facilities District No. 90-1 for the purpose of paying for the
Facilities to be provided within Community Facilities District No, 90-1, creating
or replenishing any necessary reserve funds, paying the annual costs associated
with the bonds proposed to be issued to finance the Facilities, including, but
not 1 imited to, the principal and interest on the bonds, and payi ng any
incidental expenses of the District as set forth in the Act and Resolution No,
90-077; and
WHEREAS, on May 8, 1990, the City Council adopted Resolution No, 90-089
which established Community Facilities District No, 90-1, authorized the levy of
a special tax within Community Facilities District No, 90-1 and called an
election within Community Facilities District No, 90-1 for May 22, 1990 on the
proposition of incurring bonded indebtedness and levying a special tax; and
WHEREAS, on May 8, 1990, the City Council also adopted Resolution No, 90-
090 which determined the necessity to incur bonded indebtedness in the amount of
$22,000,000 within Community Facilities District No. 90-1 and called an election
with i n Community Facilities District No, 90-1 for May 22, 1990, on the
proposition of incurring bonded indebtedness and levying a special tax; and
Nay 2 8 1995 ITEM 19 _I
8 of 10 Attachment 2
-
Resolution No, 95-
Page 2
WHEREAS, on May 22, 1990, an election was held within Community Facilities
District No. 90-1 at which the qualified electors approved by more than a two-
thirds vote the proposition of incurring bonded indebtedness of $16,000,000 and
levying a special tax as set forth in Resolution No. 90-089; and
WHEREAS, on July 17, 1990, the City Council adopted Ordinance No. 321
authorizing the levy of special tax within Community Facilities District No, 90-1
("Ordinance No, 321"); and
WHEREAS, the owners (the "Owners") of not less than 25 percent of the
territory within Community Facilities District No, 90-1 have filed a written
petition with the City requesting that the City should institute proceedings to
abandon the District, thereby terminating the right of the District to levy the
special tax currently described in Ordinance No. 321 and the right of the
District to issue any of the bonds heretofore authorized pursuant to Resolution
No, 90-090 of the City Council; and
WHEREAS, the boundaries of the District are as depicted on the map entitled
"Proposed Boundaries of Conrnunity Facilities District No. 90-1 of the City of
Poway (Tech Business Center)," recorded with the County Recorder of the County
of San Diego in the book of maps of assessment and community facilities districts
at Book 24, Page 11 (the "Map); and
WHEREAS the City Council has determined that the petition submitted by the
Owner complies with the requirements of Section 53332 of the Act and that the
publ ic convenience and necessity require the District to consider the abandonment
of the District; and
WHEREAS, the City Council has determined that as of the date hereof, the
District has not issued any indebtedness pursuant to the Act, or otherwise, and
that, therefore, no proceeds of special taxes of the District are being used to
retire any debt incurred pursuant to the Act; and
WHEREAS, the Ci ty Counci 1 now deems it appropri ate, in 1 ight of the
foregoing, and intends to take the initial steps necessary to consider the
proposed abandonment of Community Facilities District No, 90-1 by adopting this
resolution as required by Section 53334 of the Act,
NOW, THEREFORE, the City Counc il of the City of Poway act i ng in its
capacity as the Legislative Body of Community Facilities District No, 90-1 does
ordain as follows:
Sect i on 1. The above recitals are all true and correct,
Section 2. The proposed abandonment of Community Facilities District No,
90-1 and, in connection therewith, the termination of the special tax
authorization and bond authorization of Community Facilities District No, 90-1
(collectively, the "Amendments") shall apply to all territory within the
District, the boundaries of which were established by and are described in the
Resolution of Formation and the Map recorded with the County Recorder for the
County of San Diego,
NOY 2 8 1995 ITEM 19
9 of 10
--- --- ---------- ---------..--- ----- --------------,
Resolution No, 95-
Page 3
Section 3, A public hearing (the "Hearing") on the proposed Amendments
shall be held at 7 p.m" or as soon thereafter as practicable, on January 9, 1996
at the regular meeting place of the City Council, the City Council Chambers,
13325 Civic Center Drive, Poway, Cal ifornia 92064, Should the City Council
determine to submit the proposed Amendments to the qualified electors of the
District following the Hearing, a special election will be held to authorize the
Amendments, If the election is held, the proposed vot i ng procedure at the
election would be a landowner vote with each landowner who is the owner of record
at the close of the protest hearing, or authorized representative thereof, having
one vote for each acre or portion of an acre of land that he or she owns within
the District or if at least 12 persons, who need no necessarily be the same 12
persons, have been registered to vote within the District for each of the 90 days
preceding the close of the Hearing, then the vote shall be by the registered
voters of the District, with each voter having one vote,
Section 4, At such time and place set forth above for the Hearing, the
City Counc il shall recei ve test imony as to whether the Di stri ct shall be
abandoned as set forth in this resolution,
Section 5. At the time and place set forth above for the Hearing, any
interested person, including all persons owning lands or registered to vote
within the District, may appear and be heard,
Section 6. The City Clerk is hereby directed to publish a notice (the
"Notice") of the Hearing pursuant to Section 6061 of the Government Code in a
newspaper of general circulation published in the area of the District. The
Notice shall contain the information required by Section 53335 of the Act, the
time and place of the Hearing, a statement that the testimony of all interested
persons or taxpayers will be heard, a description of the protest rights of the
registered voters and landowners to the proposed Amendments and a description of
the proposed voting procedure for the election required by the Act. Such
publication shall be completed at least 7 days prior to the date of the Hearing,
Section 7, The City Clerk is hereby directed to send a copy of the Notice
of the Hearing by first-class mail, postage prepaid, to each registered voter and
to each landowner within the District as sho~n on the last equalized assessment
roll, or otherwise known to the City Clerk to be a current owner of land within
the Di stri ct. Said mailing shall be completed not less than fifteen (IS) days
prior to the date of the Hearing.
Section 8, This Resolution shall take effect from and after its date of
adoption,
PASSED, ADOPTED AND APPROVED, by the City Council of the City of Poway at
a regular meeting thereof this 28th day of November, 1995,
Don Higginson, Mayor
ATTEST:
Marjorie K, Wahlsten, City Clerk Nay 28 1995 ITEM 19
10 of 10