For City Council Meeting June 10, 2025
TO: Honorable Mayor and City Council
FROM: Tanya Williams, City Manager
AUTHOR: Scott Williams, Director of Finance
Title
Request the City Council to Adopt Resolution No. 8363 Authorizing the Issuance of the Proposed City of Rialto Community Facilities District No. 2020-1 (El Rancho Verde) Special Tax Bonds, Series 2025, and Approving Certain Documents in Connection Therewith.
(ACTION)
Body
RECOMMENDATION
Staff recommends that the City Council adopt Resolution authorizing the issuance of the City of Rialto Community Facilities District No. 2020-1 (El Rancho Verde) special tax bonds, series 2025, in an aggregate amount of not to exceed $21,000,000, authorizing the execution and delivery of a first supplemental fiscal agent agreement, a continuing disclosure agreement, and a bond purchase agreement; approving a preliminary official statement and a final official statement; and authorizing certain other actions in connection therewith.
BACKGROUND
Mello-Roos Districts
Cities in California commonly use community facilities district financing as a method of financing infrastructure and services for new development. Commonly referred to as a "Mello-Roos District," this land-secured financing permits the City to issue bonds to pay for public facilities and service costs associated with development. Debt service on the bonds is paid from special taxes levied on real property within the Community Facilities District (CFD) boundary. The bonds are issued on a tax-exempt basis at the federal and state levels, providing low-cost financing for a portion of the overall project costs, with some or all of this benefit passed along to the homebuyers.
City Council Policy
The Mello-Roos Act provides that prior to initiating the CFD proceedings, the City Council must adopt a statement of local goals and policies concerning the use of the Mello-Roos Act. On November 1, 2005, the City Council adopted a policy for new development and a...
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