CITY OF SAN CLEMENTE PUBLIC FINANCING AUTHORITY REASSESSMENT REFUNDING REVENUE BONDS $14,235,000

Transcription

1 CITY OF SAN CLEMENTE PUBLIC FINANCING AUTHORITY REASSESSMENT REFUNDING REVENUE BONDS $14,235,000 Orange County, California Dated: July 18, 2007 Base CUSIP + : /2015 ANNUAL CONTINUING DISCLOSURE INFORMATION STATEMENT AS OF DECEMBER 23, Via Industria Suite 200 Temecula, CA T F

2 LIST OF PARTICIPANTS AUTHORITY BOARD OF DIRECTORS/CITY COUNCIL Bob Baker, Mayor Kathleen Ward, Mayor Pro Tem Chris Hamm Lori Donchak Tim Brown CITY OF SAN CLEMENTE James Makshanoff City Manager 100 Avenida Presidio San Clemente, CA DISTRICT ADMINISTRATION DISCLOSURE CONSULTANT & DISSEMINATION AGENT Willdan Financial Services* Temecula, California (951) UNDERWRITER UBS Investment Bank BOND COUNSEL Rutan & Tucker, LLP Costa Mesa, CA TRUSTEE/FISCAL AGENT /ESCROW AGENT Fe Tuzon The Bank of New York Mellon Trust Company, N.A. Los Angeles, CA (213) * In its role as Disclosure Consultant and Dissemination Agent, Willdan Financial Services has not passed upon the accuracy, completeness or fairness of the statements contained herein.

3 I. INTRODUCTION Pursuant to an Official Statement dated July 18, 2007, the City of San Clemente Public Financing Authority (the Authority ) issued $14,235,000 Reassessment Refunding Revenue Bonds (the Bonds ) principally to (i) acquire the $14,235,000 City of San Clemente Reassessment District No Limited Obligation Improvement Bonds (the Program Obligations ) being issued by the City of San Clemente (the City ) for the purpose of refunding certain outstanding assessment district bonds issued by the City, (ii) to acquire a municipal bond debt service reserve insurance policy (the Reserve Policy ) from Financial Security Assurance Inc., (the Reserve Policy Provider or the Bond Insurer ) to be used along with Bond proceeds as a reserve fund for the Bonds, and (iii) to pay the costs of issuance of the Bonds. The City of San Clemente (the City ), which comprises approximately square miles, is located in southern Orange County adjacent to San Diego County. The City of San Clemente Reassessment District No (the Reassessment District ) consists of approximately 534 acres of land located in the northern portion of the City, adjacent to the southerly boundary of the City of San Juan Capistrano and to an unincorporated portion of the County of Orange. The Program Obligations are limited obligation improvement bonds of the City, payable solely from (i) annual installments (the Reassessment Installments ) of unpaid special reassessments (the Reassessments ) on certain parcels of property (the Reassessment Parcels ) levied within the Reassessment District by the City and (ii) the funds pledged therefore under the Fiscal Agent Agreement, dated June 1, 2007 (the Fiscal Agent Agreement ) by and between the Authority, the City and The Bank of New York Trust Company, N.A. (the Fiscal Agent ). The Program Obligations are not a debt of the State of California, or any of its political subdivisions, and neither the Authority, the City, the State of California, nor any of its political subdivisions is liable. The Program Obligations do not constitute indebtedness within the meaning of any constitutional or statutory debt limit or restriction. This Annual Continuing Disclosure Information Statement is being provided pursuant to a covenant made by the Authority for the benefit of the holders of the Bonds and includes the information specified in a Continuing Disclosure Certificate. For further information and a more complete description of the Authority, the City, the Program Obligations and the Bonds, reference is made to the Official Statement. 2014/2015 San Clemente PFA RAD 98-1 Page 1 of 6

4 The information set forth herein has been furnished by the Authority and the City and by sources, which are believed to be accurate and reliable but is not guaranteed as to accuracy or completeness. Statements contained in this Annual Continuing Disclosure Information Statement which involve estimates, forecasts, or other matters of opinion, whether or not expressly so described herein, are intended solely as such and are not to be construed as representations of fact. Further, the information and expressions of opinion contained herein are subject to change without notice and the delivery of this Annual Continuing Disclosure Information Statement will not, under any circumstances, create any implication that there has been no change in the affairs of the Authority, the City or any other parties described herein. THIS REPORT IS OF A FACTUAL NATURE WITHOUT SUBJECTIVE ASSUMPTIONS, OPINIONS, OR VIEWS AND MAY NOT BE RELIED UPON AS ADVICE OR RECOMMENDATION TO PURCHASE OR SELL ANY PRODUCT OR UTILIZE ANY PARTICULAR STRATEGY RELATING TO THE ISSUANCE OF MUNICIPAL SECURITIES OR PURCHASE OF FINANCIAL PRODUCTS. WILLDAN FINANCIAL SERVICES AND ITS EMPLOYEES (COLLECTIVELY "WILLDAN") DO NOT RECOMMEND ANY ACTIONS AND ARE NOT ACTING AS AN ADVISOR TO ANY MUNICIPAL ENTITY, BOARD, OFFICER, AGENT, EMPLOYEE OR OBLIGATED PERSON PURSUANT TO SECTION 15B OF THE EXCHANGE ACT. PRIOR TO ACTING ON ANY INFORMATION OR MATERIAL CONTAINED IN THIS COMMUNICATION, YOU SHOULD DISCUSS IT WITH APPROPRIATE INTERNAL OR EXTERNAL ADVISORS AND EXPERTS AND ONLY RELY UPON THEIR ADVICE. 2014/2015 San Clemente PFA RAD 98-1 Page 2 of 6

5 II. BOND INFORMATION A. PRINCIPAL OUTSTANDING Bond Issue As of June 30, 2015 As of September 3, 2015 City of San Clemente Public Financing Authority Reassessment Refunding Revenue Bonds City of San Clemente Reassessment District No Limited Obligation Improvement Bonds (Program Obligations) $11,075,000 $10,490,000 $11,565,000 $11,015,000 B. FUND BALANCES Fund As of June 30, 2015 Reserve Fund (1) $1,123,623 Reserve Requirement $1,099,885 Program Fund $13,208,644 Principal Fund $0 Interest Fund $31 Surplus Fund (2) $0 Redemption Fund $1 Cost of Issuance Fund $0 (1) Reserve Fund is funded by a cash amount of $863,738 and a Reserve Facility Insurance Policy in the stated amount of $259,885. (2) The Surplus Fund is closed. 2014/2015 San Clemente PFA RAD 98-1 Page 3 of 6

6 III. FINANCIAL INFORMATION THE CITY S ANNUAL FINANCIAL STATEMENT IS PROVIDED SOLELY TO COMPLY WITH THE SECURITIES EXCHANGE COMMISSION STAFF S INTERPRETATION OF RULE 15C2-12. NO FUNDS OR ASSETS OF THE CITY ARE REQUIRED TO BE USED TO PAY DEBT SERVICE ON THE BONDS AND THE CITY IS NOT OBLIGATED TO ADVANCE AVAILABLE FUNDS FROM THE CITY TREASURY TO COVER ANY DELINQUENCIES. INVESTORS SHOULD NOT RELY ON THE FINANCIAL CONDITION OF THE CITY IN EVALUATING WHETHER TO BUY, HOLD OR SELL THE BONDS. The audited financial statements for the City for the fiscal year ended June 30, 2015 will be separately filed with the Municipal Securities Rulemaking Board's Electronic Municipal Market Access website ( EMMA ) and are hereby incorporated by reference into this Annual Continuing Disclosure Information Statement. Neither the audited nor the unaudited financial statements were available at the time of this report. The audited financial statements for the City for the fiscal year ended June 30, 2015 are expected to be filed by January 31, /2015 San Clemente PFA RAD 98-1 Page 4 of 6

7 IV. OPERATING INFORMATION A. VALUE TO DEBT The following table sets forth the assessed value of the Reassessment Parcels and the value-to-lien by ratio categories. Value to-lien Category Number of Parcels 2015/2016 Aggregate Assessed Value (1) Aggregate Reassessment Lien (2) Percent of Aggregate Reassessment Lien Greater than 20:1 1,030 $878,058,017 $10,938, % 10:1 to 20: ,169 52, % Less than 10: ,107 23, % Totals 1,037 $879,096,293 $11,015, % (1) Based on the outstanding principal of the Program Obligations as of September 3, Source: Assessed Values Orange County 2015/2016 Secured Property Roll, as compiled by Willdan Financial Services. B. DELINQUENCY STATUS The following table sets forth a summary of the delinquent Assessments within the District for the past five (5) fiscal years. Fiscal Year No. of Parcels Levied No. of Parcels Delinquent % of Parcels Delinquent Annual Assessment Amount Annual Delinquent Assessment Amount (1) Percent of Annual Assessment Delinquent 2010/11 1, % $1,083,331 $ % 2011/12 1, % $1,062,151 $ % 2012/13 1, % $1,120,978 $2, % 2013/14 1, % $1,123,245 $1, % 2014/15 1, % $1,116,543 $1, % (1) Delinquent amount as of September 15, Amount delinquent does not include penalties, interest or fees. Source: Orange County Tax Collector, as compiled by Willdan Financial Services. C. FORECLOSURE STATUS There are no foreclosure proceedings on delinquent parcels in the District as of the date of this report. 2014/2015 San Clemente PFA RAD 98-1 Page 5 of 6

8 D. CDIAC REPORTING The Annual Report to the California Debt and Investment Advisory Commission (CDIAC) for Fiscal Year 2014/2015 is attached. E. REPORTING OF SIGNIFICANT EVENT No significant event was required to be noticed for Fiscal Year 2014/ /2015 San Clemente PFA RAD 98-1 Page 6 of 6

9

10

11

12

13