Annual Report For the Fiscal Year Ending June 30, 2017

Transcription

1 - Annual Report For the Fiscal Year Ending June 30, 2017 Western Municipal Water District Series 2011 Special Tax Refunding Bonds Community Facilities District No Prepared for: December 2017

2 Table of Contents Sections Tables Appendices Section 1. District Profile and Fund Balances 1 Section 2. Special Tax and Owner Information 3 Section 3. Payment History 4 Section 4. Senate Bill Table 1-1. Fund Balances 1 Table 2-1. Assigned Annual Special Tax Rates 3 Table 2-2. Special Tax Breakdown 3 Table 2-3. Property Breakdown by Development Status 3 Table 3-1. District Special Tax Delinquency 4 Table 4-1. Improvement Fund Balance 6 Appendix A. Debt Service Schedule A-1 Appendix B. Budget Figures B-1 Appendix C. Levy Report C-1 CUSIP Numbers Year CUSIP Year CUSIP Year CUSIP Year CUSIP BL BQ BU BY BM BR BV BZ BN BS BW BP BT BX3 The information herein for Community Facilities District No of Western Municipal Water District, (the District or CFD 99-1 ) was prepared by Albert A. Webb Associates and the Western Municipal Water District, as Administrators. Except as otherwise noted all information is as of June 30, 2017.

3 1. District Profile and Fund Balances Community Facilities District No Series 2011 Special Tax Refunding Bonds Location The District consists of approximately gross acres in the City of Murrieta. The District is located at the northwestern corner of Nighthawk Way and Washington Avenue. The District is fully developed with 161 single family residences. Project Description The District was formed to pay certain water and sewer facilities fees such as planning, designing, acquiring, constructing and improving water and sewer facilities and to pay certain school facilities fees, including classrooms, non-classrooms campus facilities, on-site office space, central support and administrative facilities, interim housing, transportation facilities and school buses needed by Murrieta Valley Unified School District. Bond Profile and Principal Amount of Bonds Outstanding The Community Facilities District No of Western Municipal Water District, Series 2011 Special Tax Refunding Bonds (the Bonds ) refunded the outstanding Series 2000 Special Tax Bonds, previously issued by Murrieta County Water District. The Refunding Bonds were issued September 29, 2011 in the principal amount of $2,220,000, with interest rates ranging from 1.125% to 5.250%. Interest on the Bonds is payable semi-annually on April 1 and October 1. The final maturity of the Bonds is October 1, The principal amount of Bonds outstanding as of June 30, 2017, was $1,770, Fund Information The Fund Balances of the Bonds as of June 30, 2017 are shown in Table 1-1 below. Table 1-1 Fund Balances As of June 30, 2017 Fund Description Fund Balance Reserve Fund $181, Administrative Expense Fund $44, Special Tax Fund $140, Rebate Account $11, Interest Account $0.00 Prepayment Account $0.00 Principal Account $0.00 Total $378, Special Tax Fund The moneys deposited to the Special Tax Fund are transferred to the Administrative Expense Account as requested. Transfers are then made from the Special Tax Fund to the Interest Account on or before each Interest Payment Date, April 1 and October 1, so that the balance in the Interest Account is equal to the amount of interest becoming due and payable on the Bonds on such date. Transfers are then made from the Special Tax Fund to the Principal Account on or before the Principal Payment Date on October 1, so that the balance in the Principal Account is equal to the principal amount of the Bonds required to be redeemed on such date. On the first Business Day following each Interest Payment Date, moneys remaining on deposit in the Interest and Principal Accounts shall be transferred to the Special Tax Fund. Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

4 1. District Profile and Fund Balances Reserve Funds The Reserve Fund must be maintained at the Reserve Requirement which is defined as that amount as of any date of calculation, the lesser of (i) ten percent (10%) of the initial principal amount of the Bonds, (ii) Maximum Annual Debt Service on the Outstanding 99-1 Bonds, or (iii) one hundred twenty-five percent (125%) of average Annual Debt Service on the Outstanding 99-1 Bonds. Any money in the Reserve Fund will be used and withdrawn by the 99-1 Fiscal Agent for the purpose of paying the interest on or principal of the 99-1 Bonds in the event there is insufficient money in the Interest and Principal Accounts available for this purpose, or in the event the 99-1 Special Tax on a parcel is prepaid pursuant to the 99-1 Fiscal Agent Agreement. The Reserve Fund will then be replenished by increasing the next year s special tax levy to the extent permitted by law. The balance in the Reserve Fund as of June 30, 2017 was $181,584.70, and the Reserve Requirement was $179, Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

5 2. Special Tax and Owner Information Special Tax A special tax is collected each year to pay the principal and interest obligations on the Bonds of the District. The amount collected each year is determined by the special tax formula and can vary from year to year, but shall not exceed the maximum authorized (or permitted) special tax rates. The amount levied for the tax year is $204, The assigned special tax rates for the tax year are in the tables below. Table 2-1 Assigned Annual Special Tax Rates Classification Maximum Special Tax Rate (1) Developed Property $2, /Parcel Undeveloped Property $4,200.73/Taxable Acres (1) Tax Rates shall be increased by an amount equal to 2.00% of the amount in effect for the prior Fiscal Year. Table 2-2 Special Tax Breakdown Classification Applied Special Tax Rate Percent of Maximum Special Tax Developed $1, % Undeveloped N/A N/A Largest Property Owner Based on the Total Annual Levy There are no individual property owners within the Community Facilities District whose annual levy constitutes 5% or more of the total annual levy amount. Table 2-3 Property Breakdown by Development Status Parcel Total Special Taxes Percent of Total Total AV Percent of Development Status Count Special Taxes Total AV (1) Developed 161 $204, % $76,957, % (1) Assessed Values reported as of August 17, 2017 per the Riverside County Equalized Roll. Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

6 3. Payment History Delinquency Rate for the Fiscal Year As of June 30, 2017, the Fiscal Year delinquency rate was 0.31% Information Concerning Delinquent Parcels The District s Special Tax Delinquency information as of June 30, 2017 is illustrated in Table 3-1 below. Table 3-1 District Special Tax Delinquency Fiscal Year Special Tax Levy Special Tax Collected Delinquent Parcels Delinquent Amount Percent Delinquent $209, $208, $ % $209, $209, $ % $205, $204, $ % Status of Foreclosure Actions There are no foreclosure actions pending and there have been no foreclosure sales in the District. Foreclosure Covenant Pursuant to Section of the Act, the Water District, in the event any Special Tax or installment thereof or any interest thereon is not paid when due, the Water District may order the institution of a Superior Court action to foreclose the lien therefore. In such an action, the real property subject to the unpaid amount may be sold at judicial foreclosure sale. This foreclosure sale procedure is not mandatory under the Act. Under the Fiscal Agent Agreement the Water District will on or about July 15 of each Fiscal Year, compare the amount of Special Taxes theretofore levied in CFD 99-1 to the amount of 99-1 Special Tax Revenues theretofore received by the Water District, and; Individual Delinquencies: If the Water District determines that any single parcel subject to the 99-1 Special Tax in District is delinquent in the payment of Special Taxes in the aggregate amount of $2,500 or more, then the Water District shall send or cause to be sent a notice of delinquency (and a demand for immediate payment thereof) to the property owner within 45 days of such determination, and (if the delinquency remains uncured) foreclosure proceedings shall be commenced by the Water District within 90 days of such determination to the extent permissible under the County s Teeter Plan program and applicable law. Aggregate Delinquencies: If the Water District determines that (i) the total amount of delinquent Special Tax for the prior Fiscal Year for the District, (including the total of individual delinquencies above), exceeds 5% of the total 99-1 Special Tax due and payable for the prior Fiscal Year, or (ii)) there are ten (10) or fewer owners of real property within the District, determined by reference to the latest available secured property tax roll of the County or other official records of the County, then the Water District shall notify or cause to be notified property owners who are then delinquent in the payment of Special Taxes (and demand immediate payment of the delinquency) within 45 days of such determination, and shall commence foreclosure proceedings within 90 days of such determination against each parcel of land in the District with a Special Tax delinquency. Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

7 4. Senate Bill 165 Community Facilities District No. 99-1, Series 2011 Special Tax Refunding Bonds Senate Bill 165 shall be cited as the Local Agency Special Tax and Bond Accountability Act. This Act requires that any local special tax/local bond measure subject to voter approval contain a statement indicating the specific purposes of the special tax, that the proceeds of the special tax be applied to those purposes, the creation of an account into which the proceeds shall be deposited, and an annual report containing specified information concerning the use of the proceeds. The Act only applies to bonds issued on or after January 1, 2001 in accordance with Sections and of the California Government Code. Some of the requirements of the Act are handled at the formation (bond issuance) of the Special Tax District and others are handled through annual reports. This section of the report intends to comply with Sections and of the California Government Code that states: The chief fiscal officer of the issuing local agency shall file a report with its governing body no later than January 1, after the bonds have been issued and at least once a year thereafter. The Annual report shall contain all of the following: (a) The amount of special taxes that have been collected and expended. Fiscal Year Revenues (1) Assessments and Interest Income Received $ 202,458 Total Assessments and Interest Income Received $ 202,458 Fiscal Year Expenditures (1) Bond Principal 10/1/2016 $ 95,000 Bond Interest 10/1/ ,781 Bond Interest 4/1/ ,356 Transfer to Admin Expense Funds 29,859 Total Expenditures $ 206,996 Beginning Special Tax Fund Balance $ 145,014 Ending Special Tax Fund Balance 140,475 Net Change in Special Tax Fund Balance 6/30/2017 $ (4,539) Due to additional transactions occurring subsequent to the required reporting period of June 30, 2017, the District is providing the following activities through October 31, 2017 (month of Bond Principal Due Date related to FY17 levy). Special Tax Fund activities from 7/1/ /31/2017 Beginning Special Tax Fund Balance at 7/1/2017 $ 140,475 Add: Assessments, Transfers and Interest Income Received 6,132 Less: Bond Interest Payment 10/1/2017 (40,356) Less: Bond Principal Payment 10/1/2017 (95,000) Ending Special Tax Fund Balance at 10/31/2017 $ 11,251 (1) This is unaudited financial information. (b) The status of any project required or authorized to be funded as identified in subdivision (a) of Section and Section The Community Facilities District No of the Murrieta County Water District Series 2000 Special Tax Bonds was formed to fund certain water and sewer facilities to pay the costs of planning, designing, acquiring, constructing and improving water and sewer facilities, school facilities meaning those grades K through 12 school facilities, including classrooms, non-classroom campus facilities, on-site office space, central support and administrative facilities, interim housing, transportation facilities and buses needed by Murrieta Valley Unified School District. The Series 2000 Special Tax Bonds were refunded by Western Municipal Water District Series 2011 Special Tax Refunding Bonds. Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

8 4. Senate Bill 165 The following table shows the Initial Amount deposited to the Improvement Fund, the amount expended, the District s June 30, 2017 Improvement Fund balance and the project status. Table 4-1 Improvement Fund Balance As of June 30, 2017 District Name Initial Amount Deposited to Improvement Fund Amount Expended June 30, 2017 Balance Project Status CFD 99-1 Not Applicable Not Applicable Not Applicable Completed The Improvements were completed prior to the Issuance of the 2011 Special Tax Refunding Bonds; therefore there is no Improvement Fund. Annual Report for Fiscal Year ending June 30, 2017 Western Municipal Water District Community Facilities District No

9 APPENDIX A Debt Service Schedule

10 Debt Service Schedule - Current Western Municipal Water District CFD 99-1 (Original) Payment Date Interest Rate Principal Principal Outstanding Interest Semi Annual Debt Service Annual Debt Service Call Premium 4/1/2012 $2,220, $45, $45, % 10/1/ % $85, $2,135, $45, $130, $175, % 4/1/2013 $2,135, $44, $44, % 10/1/ % $90, $2,045, $44, $134, $179, % 4/1/2014 $2,045, $43, $43, % 10/1/ % $90, $1,955, $43, $133, $177, % 4/1/2015 $1,955, $42, $42, % 10/1/ % $90, $1,865, $42, $132, $175, % 4/1/2016 $1,865, $41, $41, % 10/1/ % $95, $1,770, $41, $136, $178, % 4/1/2017 $1,770, $40, $40, % 10/1/ % $95, $1,675, $40, $135, $175, % 4/1/2018 $1,675, $38, $38, % 10/1/ % $100, $1,575, $38, $138, $177, % 4/1/2019 $1,575, $37, $37, % 10/1/ % $105, $1,470, $37, $142, $179, % 4/1/2020 $1,470, $35, $35, % 10/1/ % $105, $1,365, $35, $140, $175, % 4/1/2021 $1,365, $32, $32, % 10/1/ % $110, $1,255, $32, $142, $175, % 4/1/2022 $1,255, $30, $30, % 10/1/ % $115, $1,140, $30, $145, $176, % 4/1/2023 $1,140, $28, $28, % 10/1/ % $120, $1,020, $28, $148, $176, % 4/1/2024 $1,020, $25, $25, % 10/1/ % $125, $895, $25, $150, $176, % 4/1/2025 $895, $22, $22, % 10/1/ % $130, $765, $22, $152, $175, % 4/1/2026 $765, $19, $19, % 10/1/ % $140, $625, $19, $159, $179, % 4/1/2027 $625, $16, $16, % 10/1/ % $145, $480, $16, $161, $177, % 4/1/2028 $480, $12, $12, % 10/1/ % $150, $330, $12, $162, $174, % 4/1/2029 $330, $8, $8, % 10/1/ % $160, $170, $8, $168, $177, % 4/1/2030 $170, $4, $4, % 10/1/ % $170, $0.00 $4, $174, $178, % Totals: $2,220, $1,142, $3,362, $3,362, Bond Issue Date: 9/29/2011 Original Bond Principal: $2,220, Albert A. Webb Associates Page 1 of 1 Execution Time: 11/20/2017 5:39:38 PM

11 APPENDIX B Budget Figures

12

13 APPENDIX C Levy Report

14 Fiscal Year Assessment Roll Western Municipal Water District APN Levy APN Levy $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, APN Levy $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, CFD 99-1 APN Levy $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, Albert A. Webb Associates Page 1 of 2 Execution Time: 10/12/ :54:24 AM

15 Fiscal Year Assessment Roll Western Municipal Water District CFD 99-1 APN Levy APN Levy APN Levy APN Levy $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, $1, Total 161 $204, Albert A. Webb Associates Page 2 of 2 Execution Time: 10/12/ :54:24 AM

16 Corporate Headquarters 3788 McCray Street Riverside, CA Palm Desert Office Cook St., Bldg. I - #801B Palm Desert, CA Murrieta Office Kalmia Street #160 Murrieta, CA