Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation

Recommendations 2

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  Each local agency that established the CFD should create an oversight 9 committee and an audit committee to provide for an independent, transparent view of the manner in which CFD funds are being expended. (F.1, F.2) REPORT
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  Audit report information, as delineated in California Government Code, 1982 § 10 53343.1, should be made available to the CFD taxpayers on a website after each fiscal year for each CFD number. (F.1, F.2) REPORT 11 REQUIRED RESPONSES The California Penal Code § 933 requires the governing body of any public REPORT agency which the Grand Jury has reviewed, and about which it has issued a final report, 12 to comment to the Presiding Judge of the Superior Court on the findings and recommendations pertaining to matters under the control of the governing body. Such REPORT comment shall be made no later than 90 days after the Grand Jury publishes its report 13 (filed with the Clerk of the Court). Additionally, in the case of a report containing findings and recommendations pertaining to a department or agency headed by an elected REPORT County official (e.g. District Attorney, Sheriff, etc.), such elected official shall comment 14 on the findings and recommendations pertaining to the matters under that elected official’s control to the Presiding Judge with an information copy sent to the Board of Supervisors. REPORT 15 Furthermore, California Penal Code § 933.05, subdivisions (a), (b), and (c), provides as follows, the manner in which such comment(s) are to be made: REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT (a) As to each Grand Jury finding, the responding person or entity shall indicate one of 2 the following: REPORT (1) The respondent agrees with the finding 3 (2) The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an REPORT explanation of the reasons therefore. 4 (b) As to each Grand Jury recommendation, the responding person or entity shall report REPORT one of the following actions: 5 (1) The recommendation has been implemented, with a summary regarding the implemented action. REPORT 6 (2) The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation. REPORT (3) The recommendation requires further analysis, with an explanation and the 7 scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being REPORT investigated or reviewed, including the governing body of the public agency when 8 applicable. This time frame shall not exceed six months from the date of publication of the Grand Jury report. REPORT (4) The recommendation will not be implemented because it is not warranted or 9 is not reasonable, with an explanation therefore. REPORT (c) If a finding or recommendation of the Grand Jury addresses budgetary or personnel 10 matters of a county agency or department headed by an elected officer, both the agency or department head and the Board of Supervisors shall respond if requested by REPORT the Grand Jury, but the response of the Board of Supervisors shall address only those 11 budgetary /or personnel matters over which it has some decision making authority. The response of the elected agency or department head shall address all aspects of the findings or recommendations affecting his or her agency or department. REPORT 12 Comments to the Presiding Judge of the Superior Court in compliance with Penal Code section 933.05 are required for Findings F.1, F.2 and F.3 and for REPORT Recommendations R.1 and R.2 from the following organizations: 13 Orange County Board of Supervisors REPORT The mayors and city councils of the following cities: 14 City of Anaheim REPORT City of Brea 15 City of Buena Park REPORT City of Cypress 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT City of Dana Point 2 City of Fullerton REPORT City of Hunting Beach 3 City of Irvine REPORT City of Mission Viejo 4 City of Orange REPORT City of Placentia 5 City of San Clemente REPORT 6 City of Seal Beach City of Tustin REPORT 7 Public Agencies: Bonita Public Facilities Financing Authority– REPORT 8 A Joint Powers Authority under the Newport Mesa Unified School District and the City of Newport Beach REPORT Brea Olinda Unified School District 9 Capistrano Unified School District REPORT 10 Fullerton Joint Union High School District Fullerton School District REPORT 11 Irvine Unified School District La Habra Redevelopment Agency – REPORT 12 A Redevelopment Agency under the City of La Habra Laguna Beach Unified School District REPORT 13 Los Alamitos Unified School District REPORT Newport-Mesa Unified School District 14 Orange Unified School District REPORT Placentia – Yorba Linda Unified School District 15 Saddleback Unified School District REPORT Tustin Unified School District 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT REFERENCES 2 California Government Code (1982). Mello-Roos Community Facilities Act of 1982. Sacramento, CA. REPORT 3 REPORT 4 REPORT 5 REPORT 6 REPORT 7 REPORT 8 REPORT 9 REPORT 10 REPORT 11 REPORT 12 REPORT 13 REPORT 14 REPORT 15 REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT APPENDIX: ORANGE COUNTY CFDS LONG TERM DEBT 2 Community Name/ REPORT Facilities Original Bond Principal Governance/Control CFD 3 Districts - Mello Value Outstanding Number Roos REPORT 4 Multiple capital Aliso Viejo improvements,public 2005-01 $34,070,000 $33,945,000 REPORT works (Glenwood) 5 Multiple capital REPORT improvements,public 6 06-2 $9,060,000 $8,250,000 works (Platinum Triangle) REPORT 7 Multiple capital improvements, public 08-1 $28,630,000 $27,095,000 REPORT works (Platinum 8 Triangle) Multiple capital REPORT Anaheim improvements, public 1989-1 $4,220,000 $1,045,000 9 works((Sycamore Canyon) REPORT Multiple capital 10 improvements, public 1989-2 $6,990,000 $1,725,000 works((The Highlands) REPORT 11 Multiple capital improvements, public 1989-3 $9,085,000 $1,530,000 REPORT works((The Summit) 12 REPORT 13 Bonita Canyon Public Facilities K-12 School Facility 98-1 $38,330,000 $37,735,000 REPORT Financing 14 Authority REPORT 15 REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT Multiple capital 4 improvements, public 1988-1 $2,580,000 $1,900,000 works((Fairway Ctr) REPORT Multiple capital 5 improvements, public 1990-1 $1,478,000 $158,000 works(Imperial Ctr REPORT East) 6 Multiple capital Brea improvements, public 1996-1 $3,235,000 $1,765,000 REPORT works(Downtown) 7 Multiple capital improvements, public 1997-1 $6,665,000 $5,165,000 REPORT works(Olinda Heights) 8 Multiple capital REPORT improvements, public 2008-2 $8,145,000 $8,095,000 9 works(Brea Plaza area) REPORT 10 K-12 School Facility 95-1 $2,300,000 $2,300,000 Brea Olinda Unified School K-12 School Facility ( REPORT District Olinda 95-1 $6,440,444 $4,995,000 11 Height)Refunding REPORT Multiple capital 12 Buena Park improvements, public 2001-1 $7,655,000 $6,655,000 works(Mall) REPORT 13 K-12 School Facility 87-1 $71,810,000 $41,025,000 REPORT (Refunding) 14 Capistrano Unified School K-12 School Facility 88-1 $12,755,000 $2,570,000 District (Refunding) REPORT 15 K-12 School Facility 90-2 $49,675,000 $47,335,000 (Talega) REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT K-12 School Facility 90-2 $44,980,000 $40,820,000 4 (Talega)Refunding K-12 School Facility REPORT 92-1 $31,360,000 $18,410,000 (Las Flores) 5 K-12 School Facility 98-2 $119,099,491 $107,499,491 (Ladera) REPORT 6 K-12 School Facility (Rancho Madrina Sch. 2004-1 $7,085,000 $6,725,000 Facs & Cap Imp) REPORT 7 Multiple capital REPORT improvements, public Cypress 1 $9,705,000 $3,785,000 8 works (Sorrento Homes) REPORT 9 Multiple capital improvements, public REPORT Dana Point 2006-1 $8,710,000 $0 works (Headlands Rev 10 Dev.) Multiple capital REPORT improvements, public 11 2006-1 $17,885,000 $17,885,000 works (Headlands Rev Dev)(Refunding) REPORT 12 Multiple capital REPORT improvements, public 1 $21,375,000 $0 13 works (Amerige Heights) Fullerton REPORT Multiple capital 14 improvements, public 1 $19,040,000 $19,040,000 works (Amerige Heights) (Refunding) REPORT 15 REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT 4 Fullerton Joint K-12 School Facility Union High (District & Buena Park 2005-1 $2,050,000 $1,785,000 School District Sch. Facs ) REPORT 5 Other, multiple REPORT 2000-1 $1,195,000 $960,000 educational use 6 Fullerton School District K-12 School Facility 2001-1 $9,725,000 $7,757,500 REPORT Parks, open space 2001-1 $9,725,000 $3,878,750 7 Multiple capital REPORT improvements, public 8 works 1990-1 $2,155,000 $1,145,000 (Goldenwest/Ellis REPORT Area)(Refunding) 9 Multiple capital improvements, public 2000-1 $16,000,000 $13,330,000 REPORT works(Grand Coast 10 Resort) Huntington Beach Multiple capital REPORT improvements, public 11 2002-1 $4,900,000 $4,670,000 works(McDonnell Centre Business PK) REPORT 12 Multiple capital improvements, public 2003-1 $25,000,000 $21,595,000 REPORT works(Huntington Ctr 13 Bella Terra) REPORT 14 Multiple capital improvements, public Irvine 2005-2 $24,375,000 $21,540,000 works(Columbus REPORT Grove) 15 REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos Multiple capital REPORT improvements, public 4 2005-2 $16,975,000 $16,975,000 works(Columbus Grove) Refunding REPORT 5 K-12School facility 86-1 $96,565,000 $73,685,000 REPORT (Bond) Refunding 6 K-12School facility (S Irvine Communities) 01-1 $103,475,000 $99,715,000 REPORT Refunding 7 Multiple capital improvements, public REPORT works(Northwood 04-1 $9,000,000 $8,745,000 8 Master Planned Community) REPORT Multiple capital 9 improvements, public works (Woodbury 04-2 $38,000,000 $35,903,130 REPORT Master IA A Planned 10 Irvine Unified Community) School District REPORT Multiple capital 11 improvements, public works (Woodbury 04-2 $23,935,000 $21,610,000 Master IA B Planned REPORT Community) 12 K-12 School facility (Portola Springs) 06-1 $13,075,000 $6,715,000 REPORT (Refunding) 13 K-12 school facility (Qualified School 09-1 $25,000,000 $25,000,000 REPORT Construction Bond ) 14 K-12 school facility 09-1 $63,640,000 $63,640,000 REPORT (Series A) 15 K-12 school facility 09-1 $50,000,000 $50,000,000 (Series B) REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT Multiple capital La Habra 4 improvements, public Redevelopment 1990-1 $3,185,000 $154,000 works (Marketplace) Agency REPORT (Refunding) 5 K-12 school facility REPORT 98-1 $9,970,000 $0 (Refunding) 6 Laguna Beach Multiple capital Unified School improvements, public District 98-1 $9,330,000 $9,330,000 REPORT works (Crystal Cove) 7 (Refunding) REPORT K-12School facility 90-1 $3,240,000 $0 8 Los Alamitos Refunding Unified School K-12School facility REPORT District 90-1 $3,240,000 $0 Refunding Measure K 9 REPORT Flood Control, Storm 10 Mission Viejo Drainage(LaPaz 92-1 $2,060,000 $1,670,000 channel) (Refunding) REPORT 11 K-12School facility REPORT Newport-Mesa 90-1 $20,735,000 $0 Refunding 12 Unified School K-12School facility District 90-1 $9,720,000 $9,720,000 Refunding REPORT 13 REPORT 14 REPORT 15 REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos Multiple capital REPORT improvements, public 4 works(Serrano 91-2 $35,330,000 $0 Heights Pub Imp) REPORT (Series A) Refund 5 Multiple capital improvements, public REPORT works (Serrano 91-2 $2,200,000 $0 6 Heights Pub Imp) Orange (Series B) Refund Multiple capital REPORT improvements, public 7 works (Serrano 91-2 $28,810,000 $28,810,000 Heights Pub Imp) REPORT Refund 8 Multiple capital improvements, public 06-1 $24,975,000 $24,945,000 REPORT works (Del Rio) 9 Multiple capital REPORT improvements, public 10 86-1 $32,335,000 $11,665,000 works (Rancho Santa Margarita) Refund REPORT 11 Multiple capital improvements, public REPORT works(Rancho Santa 86-2 $10,975,000 $598,000 12 Margarita/Saddleback) Refund REPORT Orange County Bridges and 13 Highways(Rancho 86-2 $8,005,000 $1,100,000 Santa Margarita) Refund REPORT Commercial 14 development Bus Pk 87-1 $762,808 $743,414 (Refunding) REPORT Multiple capital 15 improvements, public 87-2 $24,080,000 $4,530,000 works(Portola Hills) REPORT Refund 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT Multiple capital 4 improvements, public 87-3 $49,697,035 $10,988,000 works(Mission Viejo) Refund REPORT Multiple capital 5 improvements, public 87-4 $71,435,333 $25,179,820 works(Foothill Ranch) REPORT Refund 6 K-12 School 87-4 $10,815,000 $5,865,000 facility(Foothill Ranch) REPORT 7 Multiple capital improvements, public 87-5A $8,863,770 $924,268 REPORT works(Rancho Santa 8 Margarita) Refund Multiple capital REPORT improvements, public 9 87-5B $27,396,720 $7,639,334 works(Rancho Santa Margarita) Refund REPORT 10 Multiple capital improvements, public 87-5C $15,221,979 $5,363,907 works(Rancho Santa REPORT Margarita) Refund 11 Multiple capital REPORT improvements, public 87-5D $12,042,509 $4,746,180 12 works(Rancho Santa Margarita) Refund REPORT Multiple capital 13 improvements, public 87-5E $12,780,000 $5,385,000 works(Rancho Santa REPORT Margarita) Refund 14 Multiple capital improvements, public 87-6 $9,330,000 $1,860,000 REPORT works(Baker Ranch) 15 Refund REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos Multiple capital REPORT improvements, public 4 87-7 $17,425,000 $3,475,000 works(Los Alisos) Refund REPORT Street construction 5 and improvement 87-8 $30,412,976 $10,894,283 (Coto de Caza) REPORT Refunding 6 Multiple capital improvements, public 87-9 $4,050,000 $805,000 works(Los Alisos) REPORT Refund 7 Multiple capital REPORT improvements, public 87-9 $2,335,000 $475,000 8 works(Santa Teresita) Multiple capital REPORT improvements, public 88-1 $207,845,000 $31,455,000 9 works(Aliso Viejo) Refund Multiple capital REPORT improvements, public 10 88-2 $1,775,000 $340,000 works(Lomas Laguna) Refund REPORT Multiple capital 11 improvements, public 99-1 $22,560,000 $19,505,000 works(Lomas Laguna) REPORT Refund 12 Multiple capital improvements, public 2001-1 $28,890,000 $25,130,000 REPORT works(Ladera Ranch) 13 Refund Multiple capital REPORT improvements, public 2001-1 $32,565,000 $29,315,000 14 works(Ladera Ranch) Refund REPORT Multiple capital 15 improvements, public 2002-1 $68,280,000 $64,495,000 works(Ladera Ranch) REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT Multiple capital 4 improvements, public 2003-1 $57,185,000 $54,825,000 works(Ladera Ranch) REPORT Multiple capital 5 improvements, public 2004-1 $75,645,000 $71,745,000 works(Ladera Ranch) REPORT 6 K-12 school facility REPORT (Santiago Hills) 88-1 $4,625,000 $900,000 7 Refunding K-12 school facility (Sycamore Canyon) 89-1 $4,250,000 $740,000 REPORT Refunding 8 K-12 school facility Orange Unified 89-2 $9,095,000 $1,780,000 Refunding REPORT School District K-12 school facility 9 Tremont School & City 2005-1 $654,000 $6,385,000 Facs REPORT K-12 school facility 10 (Del Rio Riverbend) 2005-2 $5,920,000 $5,785,000 Refunding REPORT 11 Placentia 89-1 $0 REPORT 12 Placentia - K-12 school facility 1 $5,505,000 $0 Yorba Linda K-12 school facility REPORT Unified School 1 $6,730,000 $6,730,000 Refunding 13 District REPORT K-12 school facility 88-1 $2,365,000 $1,490,000 14 K-12 school facility Saddleback 88-1 $8,635,000 $5,280,000 (Town Center) Valley Unified REPORT K-12 school facility School District 15 (Rancho Cielo) 88-2 $3,525,000 $1,270,000 Refunding REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos K-12 school facility REPORT (Robinson Ranch) 89-1 $8,250,000 $3,190,000 4 Refunding K-12 school facility 89-2 $15,686,602 $6,731,602 REPORT Refunding 5 K-12 school facility (Rancho Trabuco) 89-2 $3,208,398 $1,890,000 REPORT Refunding 6 K-12 school facility 89-3 $12,213,718 $5,238,718 Refunding REPORT K-12 school facility 7 (Rancho Trabuco) 89-3 $891,282 $525,000 Refunding K-12 school facility REPORT (Dove Canyon) 89-4 $4,465,000 $535,000 8 Refunding K-12 school facility REPORT (Dove Canyon) 89-4 $970,000 $955,000 9 Refunding REPORT Multiple capital 10 San Clemente improvements, public 99-1 $5,005,000 $4,850,000 works Refund REPORT 11 K-12 school facility Santa Ana Central Park(School REPORT Unified School Facs, Irvine Ranch 2004-1 $11,785,000 $11,355,000 12 District WD & Orange County Fire Authority) REPORT 13 Water supply, storage, REPORT 99-1 $63,480,000 $58,290,000 distribution (Talega) 14 Santa Refunding Margarita Multiple capital REPORT Water District improvements, public 99-1 $38,710,000 $37,920,000 15 works(Talega A&B) Refund REPORT 16 2014-2015 Orange County Grand Jury REPORT 1 Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT Multiple capital 4 improvements, public 2002-01 $3,985,000 $3,610,000 works(Heron Point) REPORT Seal Beach Multiple capital 5 improvements, public works(Pacific 2005-01 $8,800,000 $8,595,000 REPORT Gateway Business 6 Ctr.) REPORT Flood control, storm 7 drainage (Tustin 04-1 $11,415,000 $9,845,000 Legacy/ john Laing REPORT Homes) 8 Multiple capital improvements, public REPORT 04-1 $9,350,000 $9,350,000 works (Tustin Legacy/ 9 john Laing Homes)Refunding REPORT Multiple capital 10 improvements, public 06-1 $53,570,000 $52,580,000 Tustin works (Legacy & REPORT Columbia Villages 11 Zones 1&2) Multiple capital REPORT improvements, public 12 06-1 $1,675,000 $1,600,000 works (Legacy & Columbia Villages REPORT Zones 1&2) 13 Multiple capital REPORT improvements, public 07-1 $13,680,000 $13,550,000 14 works (Legacy/Retail Center) REPORT 15 K-12 Schools Facility- Tustin Unified (Tustin 88-1 $64,615,000 $47,955,000 School District Ranch)Refunding REPORT 16 2014-2015 Orange County Grand Jury REPORT Mello-Roos: Perpetual Debt Accumulation and Tax Assessment Obligation 1 REPORT 2 Community Name/ Facilities Original Bond Principal Governance/Control CFD REPORT Districts - Mello Value Outstanding Number 3 Roos REPORT K-12 Schools Facility- 97-1 $87,697,675 $83,332,675 4 Sr Series A Refunding REPORT K-12 Schools Facility- 97-1 $14,090,000 $13,220,000 5 Sr Series B Refunding K-12 Schools Facility- REPORT Elementary, Middle, 06-1 $13,560,000 $13,545,000 6 High (Columbus Square) K-12 school facility REPORT 07-1 $90,500,000 $90,500,000 Refunding 7 Total Total Original Bond Principal REPORT Districts CFDs Value Outstanding 8 32 119 $2,701,562,740 $1,909,301,072 (Grand Jury, 2014-2015) REPORT 9 REPORT 10 REPORT 11 REPORT 12 REPORT 13 REPORT 14 REPORT 15 REPORT 16 2014-2015 Orange County Grand Jury