For City Council Meeting [April 23, 2019]
TO: Honorable Mayor and City Council
APPROVAL: Sean Grayson, Interim City Administrator
FROM: Robb Steel, Assistant CA/Development Services Director
Title
Request City Council to Adopt Resolution No. 7501 Appropriating Expenditures of $67,378.09 for the Costs of Forming a Community Facilities District for the Lytle Creek Ranch Project.
(ACTION)
Body
BACKGROUND:
On July 25, 2017, the City Council approved a Deposit and Reimbursement Agreement with Lytle Development Company ("Lytle"). The City Council concurrently approved professional service agreements and purchase orders with Fieldman, Rolapp and Associates as financial advisor ($30,000), Aleshire & Wynder for bond counsel services ($30,000), and Willdan Inc. for special tax consulting services ($35,000). Under the Deposit and Reimbursement Agreement, Lytle bears all costs associated with the financing and the Initial Deposit required was $80,000. On December 14, 2017, Lytle deposited $80,000 with the City. The City may request additional deposits as necessary to pay the incurred expenses.
ANALYSIS/DISCUSSION:
The parties have incurred modest expenditures to date during the early formation stages ($12,621.91 for FRA). While the revenues were received and expenditures incurred in fiscal year 2017/18, the residual budget was not carried over to fiscal year 2018/19. The attached Budget Resolution appropriates the residual deposit of $67,378.09 to General Fund Account No. 010-500-4255-3001 to pay the consultant costs associated with the formation of the CFD. Lytle previously deposited monies to pay these costs, and this is simply a budgeting adjustment to authorize expenditure of the existing funds on deposit.
ENVIRONMENTAL IMPACT:
The requested action is not a "Project" as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a "Project" means the whole of an action, which has a potential for resulting in either a direc...
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