Report Prepared by: Venus Rodriguez, Finance Officer
Title
SUBJECT: Authorization to Forgive Community Facilities District (CFD) Loans from the General Fund Totaling $1,710,991.71
REPORT IN BRIEF
Considers forgiving Community Facilities District loans from the General Fund totaling $1,710,991.71.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving Resolution 2022-25, a Resolution of the City Council of the City of Merced, California, Authorizing Forgiveness of the Loan Agreements between the City of Merced's General Fund and City of Merced's Community Facilities District Public Safety Police Fund, Fire Fund, and Parks Fund; and,
B. Authorizing the City Manager or the Deputy City Manager to execute any necessary documents; and,
C. Authorizing the Finance Officer to make necessary budget adjustments.
Body
ALTERNATIVES
1. Approve the action as recommended.
2. Request modification or amendment to the documents and provide direction to City staff regarding the same.
3. Decline to authorize action as recommended.
AUTHORITY
Merced City Charter, Section 200 Powers of City and Section XI Fiscal Administration
CITY COUNCIL PRIORITIES
As provided for in the FY 2021-22 Adopted Budget.
DISCUSSION
Background
In 2003, the City approved a policy requiring all new development within the City to annex to a Community Facilities District (CFD) for services pursuant to the Mello Roos Community Facilities Act of 1982, for the provision of certain services to new developments. The services to be provided may include all or a portion of the following: police and fire protection services, maintenance of parks, landscaping, parkways, open space and storm drain maintenance, and other services authorized or to be authorized by the Act or the City 's Municipal Code. The formation or annexation to the Community Facilities District is a condition of approval for new developments. This was in line with the concept "growth pays for growth" that the council had ...
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