AGENDA REPORT
REQUEST FOR CITY COUNCIL ACTION
DATE: 4/3/2019
TO: Honorable Mayor and City Council Members
FROM: Administrative Services Department
SUBJECT:
Title
City Council consideration of Resolution No. 2019-010, declaring intention to annex territory to Community Facilities District No. 2016-3 (Maintenance Services) of the City of Corona, and adopting a map of the area proposed to be annexed thereto (Annexation No. 12).
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RECOMMENDED ACTION:
Recommended action
That the City Council adopt Resolution No. 2019-010, declaring intention to annex territory to Community Facilities District No. 2016-3 (Maintenance Services) of the City of Corona, and adopting a map of the area proposed to be annexed thereto (Annexation No. 12).
Body
ANALYSIS:
The proposed development is comprised of one parcel totaling 32 acres, located on the southwest corner of Rincon Street and Lincoln Avenue. Gross Acreage is approximately 35.50 acres, as shown in Exhibit “A” (“Subject Parcel”) of the Resolution No. 2019-010. The developer proposes to construct three industrial building totaling 731,000 square feet on the Subject Parcel.
As a condition of approval for LLA 2018-003, the Subject Parcel is required to be annexed into Community Facilities District No. 2016-3 (“CFD No. 2016-3”) in order to pay for the maintenance of master-planned lighting, streets and operation of storm drainage facilities in the area, the owners of the Subject Parcel, Corona Industrial Park, LLC have submitted a petition to the City requesting that the Subject Parcel be annexed to CFD No. 2016-3.
CFD No. 2016-3 was formed by the City Council on December 7, 2016 pursuant to the provisions of the Mello-Roos Community Facilities Act of 1982 (“Act”). The initial step in the process to annex the Subject Parcel to CFD No. 2016-3 is for the City Council to adopt Resolution No. 2019-010, which declares the City’s intention to conduct proceedings for the proposed annexation and set the public hearing for May 15, 2019. Should Resolution No. 2019-010 be approved, and annexation process proceed, the City Council will be presented with more information regarding the special taxes to be levied on the Subject Parcel, and the maintenance services to be provided by CFD No. 2016-3 at the public hearing.
COMMITTEE ACTION:
Not applicable.
STRATEGIC PLAN:
Not applicable.
FISCAL IMPACT:
The proposed annexation will establish Tax Zone 13 within CFD No. 2016-3. The Subject Parcel will be assessed as commercial units and will benefit from the existing and future street lighting, streets and storm drainage services for this area.
The proposed annexation will result in approximately $18,499 of additional special tax revenues per year, from the planned thirty-two net acres at build-out, based on the annual rate of $578 per acre.
The total annexation cost including City Attorney fees, assessment engineer fees, publication, and City staff time is borne by the property owner.
ENVIRONMENTAL ANALYSIS:
This action is exempt pursuant to Section 15061(b)(3) of the Guidelines for the California Environmental Quality Act (CEQA), which states that a project is exempt from CEQA if the activity is covered by the general rule that CEQA applies only to projects that have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the adoption of the resolutions may have a significant effect on the environment, the action is not subject to CEQA. This action merely declares the City’s intent to annex the Subject Parcel to CFD No. 2016-3 and there is no possibility that adopting the above resolution will have a significant effect on the environment. Therefore, no environmental analysis is required.
PREPARED BY: LIEN-CHI CANTUBA, FINANCIAL ANALYST III
REVIEWED BY: JENNIFER SCHAEFER, FINANCE MANAGER
REVIEWED BY: KERRY D. EDEN, ASSISTANT CITY MANAGER/ADMINISTRATIVE SERVICES DIRECTOR
SUBMITTED BY: MICHELE NISSEN, ACTING CITY MANAGER