2021-12-15 City Council Item No. 13.3 - 2019-1 Meadow Run_Presentation Regular MEETING - Additional Meeting MaterialsCity of Menifee
Community Facilities District No. 2019-1
(Meadow Run)
Special Tax Bonds, Series 2022Item 13.3
December 15, 2021
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Table of Contents
Financing Overview
Authorizing Resolution
Financing Details and Tentative Schedule
Financing Overview
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Aerial Map
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CFD 2019-1 Formed on November 6, 2019
Located in the southwestern portion of the City, on the southeast corner of Holland Road and Bradley Road
Property within CFD acquired by Meritage Homes in 2019
Planned for 65 residential units
Development Status as of November 1, 2021:
40 Homes Completed and Conveyed to Individual Homeowners
2 Model Homes Owned by Developer
23 Under Construction
Meritage Homes holds more than 20% of the properties subject to maximum Fiscal Year 2021-22 special tax levy
Required to provide cash deposit of approximately $117,000
Meritage currently expects to complete/convey all homes by end of second quarter of 2022.
Project and Development Summary
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Financing Overview
Not to Exceed Par Amount of $4,000,000 Approved at Formation
Proposed 2022 Special Tax Bonds are Expected to be Issued in a
Par Amount of $2,675,000 (Subject to Prevailing Market Conditions)
2022 Bonds secured by special taxes levied in the District
Proceeds to finance public improvements benefitting the
development within the CFD
Estimated Special Tax for Homeowners: Approximately $2,153 to
$2,434 starting in FY2022-23
Annual Assigned Special Tax will increase at approximately 2% per
year
Authorizing Resolution
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Items Subject to City Council Approval
Resolution of the City Council of the City of Menifee
Authorizing the Issuance of the 2022 Special Tax Bonds in an Amount
Not to Exceed $3,500,000
Approving Certain Documents and Taking Certain Other Actions
Preliminary Official Statement
Bond Indenture
Continuing Disclosure Certificate
Bond Purchase Agreement
Acknowledgment of Good Faith Estimates
Financing Details and Tentative Schedule
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Current Estimated Par Amount: $2,675,000
Final Maturity of 2051 (30-year term)
Sources & Uses and Proposed Debt Service
Sources of Funds
Par Amount $2,675,000
Premium 272,208
Total Sources $2,947,208
Uses of Funds
Project Fund $2,504,696
Reserve Fund 205,970
Cost of Issuance 189,000
Underwriter Discount 42,750
Rounding 4,792
Total Uses $2,947,208
All numbers are preliminary, subject to change
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Estimated Costs of Issuance
All numbers are preliminary, subject to change
Estimated Costs of Issuance for CFD 2019-1 Bonds
Role Party Total
Underwriter Stifel $42,750
Staff Time City 25,000
Disclosure Counsel Stradling 35,000
Bond Counsel Stradling 40,000
Municipal Advisor Urban Futures 37,500
Special Tax Consultant Spicer Consulting 25,000
Appraiser Kitty Siino & Associates 16,500
Trustee Wilmington 5,000
Printer To be Determined 3,000
Miscellaneous --2,000
TOTAL Estimated Costs of Issuance $231,750
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Tentative Schedule
Date Description
December 15th City Council Meeting to Approve Financing
December 22nd Post Preliminary Official Statement
(Make Available to Prospective Investors)
January 6th Pricing of Bonds
January 26th Settlement of Bonds (Date of Issuance)
All numbers are preliminary, subject to change
Assuming Council Approval this Evening, the Bonds are Expected
to be sold in January 2022