Item Coversheet

Agenda Item No: 14.






AGENDA REPORT

DATE:

November 19, 2019 

TO:

Mayor and City Council

FROM:

Sean P. Quinn, Interim City Manager

SUBJECT:Continued Public Hearing; and

Resolution 2019-262 of the City Council of the City of Fairfield Annexing of Territory (Storage Pro Development) to a Community Facilities District, Authorizing the Levy of a Special Tax, and Submitting Levy of Tax to Qualified Electors, City of Fairfield Community Facilities District No. 2012-2 (Public Safety Services, Open Space Operation, and Park Maintenance) Annexation No. 43; and

Resolution 2019-263 of the City Council of the City of Fairfield Declaring Results of a Special Annexation Election, Determining Validity of Prior Proceedings, and Directing Recording of Amended Notice of Special Tax Lien, City of Fairfield Community Facilities District No. 2012-2 (Public Safety Services, Open Space Operation, and Park Maintenance) Annexation No. 43 (Storage Pro Development)

RECOMMENDED ACTION 
Hold continued public hearing and adopt resolutions.
STATEMENT OF ISSUE 
The conditions of approval for the Storage Pro development (Project) require it to annex into Community Facilities District No. 2012-2 (CFD 2012-2). The district was formed by the City of Fairfield (City) to provide funding for public safety services, open space operation and park maintenance. The adoption of these resolutions will fulfill that requirement and complete the annexation.
DISCUSSION
By Resolution No. 2012-233, the City Council established CFD 2012-2, a Mello-Roos Community Facilities District with the intention that future development within the City of Fairfield (City) would annex into this district. The special taxes collected from the property owners within the district are to be used for the funding of public safety services, open space operation, and park maintenance in the Fairfield area.

The Project proposed for annexation is owned by Siemons Mailing Service and is located on the west side of Lopes Road, south of Fulton Drive. The Project includes the development of a storage facility and encompasses 5.05 acres. The boundary of the annexation includes the area within assessor’s parcel numbers 0180-130-16 and 0180-130-17 (as depicted on Exhibit A).

As part of the annexation process, the City contracts with Willdan Financial Services for the preparation of the necessary resolutions and balloting procedures for the annexation. This process is a specialty service that the City has contracted out since 1995 on an individual consultant services basis for each development requiring annexation into a Mello-Roos Community Facilities District.

Resolution No. 2019-223 was adopted on October 1, 2019, and set the public hearing for November 5, 2019, which was later continued to November 19, 2019. The adoption of the attached resolutions annexes the territory into CFD 2012-2, submits the levy of the special tax to the qualified electors, and declares the results of the special election. This is the final step in the annexation process; and since the conditions of approval for the development require it to annex into CFD 2012-2 and Siemons Mailing Service owns the parcel, a majority protest of the annexation is not anticipated.

Once the annexation is complete, the property owners of the Project will be required to pay annual special taxes for CFD 2012-2, beginning in Fiscal Year 2020/2021 as itemized on their property tax bill in accordance with the rate set forth in the Rate and Method of Apportionment of Special Tax.

FINANCIAL IMPACT
The estimated annual revenue received by the City for the CFD 2012-2 Fund (Fund 332) will be $5,392.69, which is based on the maximum special tax rate for Fiscal Year 2019/2020 for industrial property. Revenue of future industrial property will be based on the maximum special tax rate for Fiscal Year 2019/2020 of $0.025 per building square foot. The process for the annexation is funded by the developer, and no General Fund monies are used for this effort.
CITY COUNCIL WORKPLAN 
Community Safety
 Community Infrastructure Quality of Life
Financial and Operational Sustainability Economic Development Travis Air Force Base

City Council Goal this item supports: 
Financial and Operational Sustainability
 

Project:
One-time item not recommended for including in the Workplan
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION 
N/A
ALTERNATIVE ACTION 
If the City Council has any questions concerning the required annexation of this development, the annexation may be rescheduled until the next City Council meeting so staff may provide the necessary backup. However, if the annexation is not approved, the conditions of approval for this development would not be fulfilled and the development process would cease.
STAFF CONTACT 
Thomas Martian, Construction Manager
(707) 428-7478
tmartian@fairfield.ca.gov

COORDINATED WITH 
N/A
ATTACHMENTS:
Description
Attachment 1: Exhibit A - Boundary Map
Attachment 2: Proposed Resolution - Annexing Territory
Attachment 2a: Exhibit A - Ballot
Attachment 3: Proposed Resolution - Declaring Results
Attachment 3a: Exhibit A - Declaring Results
REVIEWERS:
ReviewerActionDate
Panganiban, RyanApproved11/8/2019 - 11:42 AM
Kaushal, PaulApproved11/8/2019 - 12:22 PM
Henry, AliciaApproved11/8/2019 - 3:29 PM
Henry, AliciaApproved11/12/2019 - 5:29 PM