City Council

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 1 The Council may take up any agenda item at any time, regardless of the order listed. Action may be taken on any item on this agenda. Materials related to an item on this Agenda submitted to the Council after distribution of the agenda packet are available for public inspection at City Hall, 9955 Live Oak Boulevard, Live Oak, during normal business hours. Such documents are also available on the City of Live Oak’s website at www.liveoakcity.org, subject to staff’s availability to post the documents before the meeting. In compliance with the Americans with Disabilities Act, the meeting room is wheelchair accessible and disabled parking is available. If you have a disability and need disability-related modifications or accommodations to participate in this meeting, please contact the City Clerk’s office at (530) 695-2112 x107. Requests must be made at least 24 hours in advance. Pursuant to Governor Newsom’s Executive Orders N-25-20 and N-29-20, members of the Live Oak City Council or staff may participate in this meeting via a teleconference. In the interest of the maintaining appropriate social distancing, members of the public are encouraged to participate in the meeting in the following ways: • Remote Viewing: Members of the public can view a livestream of the meeting online at https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. • Public Comment: Members of the public can submit general public comments, as well as comment on specific agenda items in the following ways: o Email Public Comment: Public Comment can be submitted via email to the City Clerk at cmenchaca@liveoakcity.org during the meeting, prior to the close of public comment on an item, and read into the record during public comment. o eComment Feature: Public Comment will be accepted online between Wednesday, December 30th through Wednesday, January 6th through the eComment feature at: https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. LIVE OAK CITY COUNCIL REGULAR MEETING AGENDA JANUARY 6, 2021 6:00 PM MEETING LOCATION LIVE OAK COUNCIL CHAMBERS 9955 LIVE OAK BOULEVARD LIVE OAK, CALIFORNIA 95953 MEMBERS OF THE COUNCIL LUIS HERNANDEZ, MAYOR NANCY SANTANA, VICE MAYOR BOB WOTEN, COUNCILMEMBER LAKHVIR GHAG, COUNCILMEMBER J.R. THIARA, COUNCILMEMBER AARON PALMER, CITY MANAGER NICOLE ROSSER, CITY ATTORNEY

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 2 CALL TO ORDER ROLL CALL PLEDGE OF ALLEGIANCE AND INVOCATION CORRECTIONS AND/OR CHANGES TO THE AGENDA BY CITY MANAGER ONLY PRESENTATIONS AND RECOGNITIONS A. Recognition of Aleks Tica as Council Member B. Recognition of Bob Woten as Mayor PUBLIC COMMENT Any person wishing to address the City Council on general jurisdictional matters or consent calendar items may do so at this time. If you are commenting on an agenda item, your comments will be heard at the time that item is scheduled for discussion. The City Council adopted a time limit of three minutes per person. The Brown Act does not allow for Council discussion of items not on the agenda. Councilmembers may only a) refer the matter to staff; b) ask for additional information; c) request a report back; or d) provide a limited factual response for items not listed on the agenda. CONSENT ITEMS Consent Calendar is passed by one motion with exceptions and separate votes as noted. 1. Application to the California Department of Housing and Community Development (HCD) for the Local Early Action Planning (LEAP) Grants Program Recommendation: 1) Adopt resolution; and 2) Direct staff to submit an application to HCD for the LEAP Grant Program. (Kevin Valente, Planning Director) 2. Filing and Acceptance of State Required Annual Report Fiscal Year (FY) 2020-21 for Community Facilities District No. 92-1 of the City of Live Oak Recommendation: Accept and file. (Joe Aguilar, Finance Director) 3. Filing and Acceptance of State Required Annual Report FY 2020-21 for Community Facilities District No. 2004-1 of the City of Live Oak Recommendation: Accept and file. (Joe Aguilar, Finance Director) 4. AB 1600 (Development Impact Fees) Annual Financial Report of the City of Live Oak Recommendation: 1) Accept the Annual Report on Development Impact Fees; and 2) Adopt findings that funds held longer than five years are needed for future projects. (Joe Aguilar, Finance Director) BUSINESS ITEMS 5. 2021 Council Member Committee Assignments Recommendation: Approve the 2021 committee assignments as presented. (Aaron Palmer, City Manager)

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 3 ITEMS REMOVED FROM THE CONSENT AGENDA FOR COUNCIL CONSIDERATION AND ACTION UPDATES AND ANNOUNCEMENTS FROM THE CITY ATTORNEY AND CITY MANAGER COUNCILMEMBER COMMENTS (WRITTEN ONLY) ADJOURNMENT

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 1 The Council may take up any agenda item at any time, regardless of the order listed. Action may be taken on any item on this agenda. Materials related to an item on this Agenda submitted to the Council after distribution of the agenda packet are available for public inspection at City Hall, 9955 Live Oak Boulevard, Live Oak, during normal business hours. Such documents are also available on the City of Live Oak’s website at www.liveoakcity.org, subject to staff’s availability to post the documents before the meeting. In compliance with the Americans with Disabilities Act, the meeting room is wheelchair accessible and disabled parking is available. If you have a disability and need disability-related modifications or accommodations to participate in this meeting, please contact the City Clerk’s office at (530) 695-2112 x107. Requests must be made at least 24 hours in advance. Pursuant to Governor Newsom’s Executive Orders N-25-20 and N-29-20, members of the Live Oak City Council or staff may participate in this meeting via a teleconference. In the interest of the maintaining appropriate social distancing, members of the public are encouraged to participate in the meeting in the following ways: • Remote Viewing: Members of the public can view a livestream of the meeting online at https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. • Public Comment: Members of the public can submit general public comments, as well as comment on specific agenda items in the following ways: o Email Public Comment: Public Comment can be submitted via email to the City Clerk at cmenchaca@liveoakcity.org during the meeting, prior to the close of public comment on an item, and read into the record during public comment. o eComment Feature: Public Comment will be accepted online between Wednesday, December 30th through Wednesday, January 6th through the eComment feature at: https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. LIVE OAK CITY COUNCIL REGULAR MEETING AGENDA JANUARY 6, 2021 6:00 PM MEETING LOCATION LIVE OAK COUNCIL CHAMBERS 9955 LIVE OAK BOULEVARD LIVE OAK, CALIFORNIA 95953 MEMBERS OF THE COUNCIL LUIS HERNANDEZ, MAYOR NANCY SANTANA, VICE MAYOR BOB WOTEN, COUNCILMEMBER LAKHVIR GHAG, COUNCILMEMBER J.R. THIARA, COUNCILMEMBER AARON PALMER, CITY MANAGER NICOLE ROSSER, CITY ATTORNEY 1

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 2 CALL TO ORDER ROLL CALL PLEDGE OF ALLEGIANCE AND INVOCATION CORRECTIONS AND/OR CHANGES TO THE AGENDA BY CITY MANAGER ONLY PRESENTATIONS AND RECOGNITIONS A. Recognition of Aleks Tica as Council Member B. Recognition of Bob Woten as Mayor PUBLIC COMMENT Any person wishing to address the City Council on general jurisdictional matters or consent calendar items may do so at this time. If you are commenting on an agenda item, your comments will be heard at the time that item is scheduled for discussion. The City Council adopted a time limit of three minutes per person. The Brown Act does not allow for Council discussion of items not on the agenda. Councilmembers may only a) refer the matter to staff; b) ask for additional information; c) request a report back; or d) provide a limited factual response for items not listed on the agenda. CONSENT ITEMS Consent Calendar is passed by one motion with exceptions and separate votes as noted. 1. Application to the California Department of Housing and Community Development (HCD) for the Local Early Action Planning (LEAP) Grants Program Recommendation: 1) Adopt resolution; and 2) Direct staff to submit an application to HCD for the LEAP Grant Program. (Kevin Valente, Planning Director) 2. Filing and Acceptance of State Required Annual Report Fiscal Year (FY) 2020-21 for Community Facilities District No. 92-1 of the City of Live Oak Recommendation: Accept and file. (Joe Aguilar, Finance Director) 3. Filing and Acceptance of State Required Annual Report FY 2020-21 for Community Facilities District No. 2004-1 of the City of Live Oak Recommendation: Accept and file. (Joe Aguilar, Finance Director) 4. AB 1600 (Development Impact Fees) Annual Financial Report of the City of Live Oak Recommendation: 1) Accept the Annual Report on Development Impact Fees; and 2) Adopt findings that funds held longer than five years are needed for future projects. (Joe Aguilar, Finance Director) BUSINESS ITEMS 5. 2021 Council Member Committee Assignments Recommendation: Approve the 2021 committee assignments as presented. (Aaron Palmer, City Manager) 2

LIVE OAK CITY COUNCIL AGENDA – JANUARY 6, 2021 Page 3 ITEMS REMOVED FROM THE CONSENT AGENDA FOR COUNCIL CONSIDERATION AND ACTION UPDATES AND ANNOUNCEMENTS FROM THE CITY ATTORNEY AND CITY MANAGER COUNCILMEMBER COMMENTS (WRITTEN ONLY) ADJOURNMENT 3

City of Live Oak Report to City Council Meeting Date: January 6, 2021 Title: Recognition of Aleks Tica as Council Member 4

City of Live Oak Report to City Council Meeting Date: January 6, 2021 Title: Recognition of Bob Woten as Mayor 5

City of Live Oak Report to City Council Meeting Date: January 6, 2021 Title: Application to the California Department of Housing and Community Development (HCD) for the Local Early Action Planning (LEAP) Grants Program. Contact Information: (Kevin Valente, AICP, Planning Director) Location: Citywide Background: HCD is currently accepting applications for the LEAP Grants Program. The LEAP Grants Program set aside approximately $119 million dollars to provide funding to jurisdictions for the preparation and adoption of planning documents, process improvements that accelerate housing production, and facilitate compliance in implementing the sixth cycle of the regional housing need assessment. HCD has determined maximum award amounts for large, medium, and small localities, based on population. Based on population size, the City of Live Oak qualifies for a $65,000 grant award. It should be noted that this is a non-competitive, over the counter, grant opportunity that does not require a local match to receive the funds. Final grant applications due date is January 31, 2021. Analysis: City Planning staff is recommending using the LEAP grant funds for the preparation of the Accessory Dwelling Unit Ordinance and Housing Survey in compliance with the 5th Cycle Housing Element. Fiscal Impacts: None. No local match is required to receive the grant funds. Recommendation: City Council adopt the attached resolution and direct to staff to submit an application to HCD for the LEAP Grant Program. Attachments: Resolution 6

1 Resolution No. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LIVE OAK AUTHORIZING APPLICATION FOR, AND RECEIPT OF, LOCAL GOVERNMENT PLANNING SUPPORT GRANT PROGRAM FUNDS WHEREAS, pursuant to Health and Safety Code 50515 et. Seq, the Department of Housing and Community Development (Department) is authorized to issue a Notice of Funding Availability (NOFA) as part of the Local Government Planning Support Grants Program (hereinafter referred to by the Department as the Local Early Action Planning Grants program or LEAP); and WHEREAS, the City Council of the City of Live Oak desires to submit a LEAP grant application package (“Application”), on the forms provided by the Department, for approval of grant funding for projects that assist in the preparation and adoption of planning documents and process improvements that accelerate housing production and facilitate compliance to implement the sixth cycle of the regional housing need assessment; and WHEREAS, the Department has issued a NOFA and Application on January 27, 2020 in the amount of $119,040,000 for assistance to all California Jurisdictions. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Live Oak resolves as follows: SECTION 1. The City Manager is hereby authorized and directed to apply for and submit to the Department the Application package; SECTION 2. In connection with the LEAP grant, if the Application is approved by the Department, the City Manager of the City of Live Oak is authorized to submit the Application, enter into, execute, and deliver on behalf of the Applicant, a State of California Agreement (Standard Agreement) for the amount of $ 65,000, and any and all other documents required or deemed necessary or appropriate to evidence and secure the LEAP grant, the Applicant’s obligations related thereto, and all amendments thereto; and SECTION 3. The Applicant shall be subject to the terms and conditions as specified in the NOFA, and the Standard Agreement provided by the Department after approval. The Application and any and all accompanying documents are incorporated in full as part of the Standard Agreement. Any and all activities funded, information provided, and timelines represented in the Application will be enforceable through the fully executed Standard Agreement. Pursuant to the NOFA and in conjunction with the terms of the Standard Agreement, the Applicant hereby agrees to use the funds for eligible uses and allowable expenditures in the manner presented and specifically identified in the approved Application. 7

PASSED AND ADOPTED by the City Council of the City of Live Oak this 6 th day of January, 2021, by the following vote: AYES: NOES: ABSENT: NOT VOTING: APPROVED: Luis Hernandez, Mayor ATTEST: Clarissa Menchaca, City Clerk 8

City of Live Oak Report to City Council Meeting Date: January 6, 2021 Title: Filing and Acceptance of State Required Annual Report Fiscal Year (FY) 2020-21 for Community Facilities District No. 92-1 of the City of Live Oak Contact Information: (Joe Aguilar, Finance Director) Background: In 1992, the Council approved the establishment of Community Facilities District No. 92-1 for the purpose of financing expenses incurred by the City for municipal services and the costs associated with purchasing and constructing school sites for Live Oak Unified School District. A total of 226 properties are currently assessed tax levies for Community Facilities District No. 92-1. The funding arrangement provides for the School District to receive 66.7% of the available funds and the balance of 33.3% going to the City. Attached is the informational report that meets the statutory requirements (Government Code Section 50075.3 and 53411). The annual reports are prepared by NBS (an engineering and consulting firm) who also prepares the annual tax levy roll for the district. This report is only an informational report and does not affect the levying of taxes or the administration of the district. Fiscal Impacts: None. Recommendation: Accept and file. Attachments: CFD 92-1 Annual Report 9

nbsgov.com Prepared by: Corporate Headquarters 32605 Temecula Parkway, Suite 100 Temecula, CA 92592 Toll free: 800.676.7516 Fiscal Year 2020/21 Annual Report For: Community Facilities District No. 92-1 December 2020 10

TABLE OF CONTENTS 1. District Analysis .............................................................................................................. 1 1.1 Community Facilities District No 92-1 ....................................................................... 1 1.2 Levy............................................................................................................................ 1 1.3 Delinquencies ............................................................................................................ 2 2. Levy Analysis .................................................................................................................. 3 2.1 Special Tax Levy ......................................................................................................... 3 2.2 Special Tax Spread ..................................................................................................... 3 2.3 Maximum Tax ............................................................................................................ 4 3. Financial Status .............................................................................................................. 5 3.1 District Funds ............................................................................................................. 5 3.2 Delinquency Status and Foreclosure Covenant ........................................................ 5 Appendix A: Rate And Method Of Apportionment ................................................................. 6 Appendix B: Delinquency Summary ....................................................................................... 7 Appendix C: Final Budget for Fiscal Year 2020/21 ................................................................... 8 Appendix D: Fiscal Year 2020/2021 Final Billing Detail ............................................................ 9 11

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 1 1. DISTRICT ANALYSIS 1.1 Community Facilities District No 92-1 Community Facilities District No. 92-1 (the “District”) was formed on March 13, 1992 to finance the costs and expenses of providing municipal services for the City of Live Oak (the “City”). The services that are provided include: fire, law enforcement, recreation sites and structures, streets, and other governmental facilities. In addition to the services listed above, the District was also formed to finance the costs of purchasing and constructing elementary and secondary school sites and structures. Bonds have been authorized for the District, but the City has not issued any to date. 1.2 Levy The Fiscal Year 2020/21 levy consisted of 226 parcels for a total of $129,738.88. The levy for the District is broken down into two components. For parcels with a building permit issued through June 1996, the annual levy amount consists of a portion allocated to the Live Oak Unified School District (the “School District”) to pay for School District facilities maintenance, and a portion allocated to City facilities. For these parcels, the Fiscal Year 2020/21 breakdown is as follows: Property Classification Parcel Count School District Portion Levied City Portion Levied Total Amount Levied (1) Developed with Building Permits issued through June 1996 84 $18,329.19 $9,164.59 $27,493.78 (1) The amount shown is net of any rounding adjustments. For parcels that had a building permit issued after June 1996, their annual levy amount consists of the Developer Fee Conversion Tax (multiplied by the parcel’s square footage) plus a Base Amount that was determined on the date the building permit was issued. The School District’s portion is 66.67% of the combined total amount levied, and the City’s portion is 33.33% of the combined total amount. For these parcels, the Fiscal Year 2020/21 breakdown is as follows: Property Classification Parcel Count School District Portion Levied City Portion Levied Total Amount Levied (1) Developed with Building Permits issued after June 1996 142 $68,163.40 $34,081.70 $102,245.10 (1) The amount shown is net of any rounding adjustments. 12

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 2 1.3 Delinquencies As of December 9, 2020, the Fiscal Year 2019/20 delinquency rate for the District was 2.47%. NBS sent reminder and/or demand letters to delinquent property owners on behalf of the City. NBS will continue to monitor delinquencies and recommend the appropriate delinquency management actions to the City as needed. NBS Zaire Marin, Administrator Adina McCargo, Project Manager Stephanie Parson, Client Services Director 13

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 3 2. LEVY ANALYSIS 2.1 Special Tax Levy A summary of the total levy and breakdown of the levy components for Fiscal Year 2020/21 are shown in the table and chart below. Parcel Count Levy Amount 226 $129,738.88 2.2 Special Tax Spread The total levy and maximum special tax for Fiscal Year 2020/21 are shown in the table below. School District Levy $78,599.66 City Levy $35,353.37 Other Administrative Expenses $15,571.35 Delinquency Management Charges $214.50 FIGURE 1. FISCAL YEAR 2020/21 BUDGET Property Classification Parcel Count Total Amount Levied Maximum Special Tax Percentage of Maximum Developed with Building Permits issued through June 1996 84 $27,493.78 $27,493.78 100.00% Developed with Building Permits issued after June 1996 142 102,245.10 102,245.10 100.00% Totals: 226 $129,738.88 $129,738.88 100.00% 14

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 4 2.3 Maximum Tax The Fiscal Year 2020/21 maximum special tax compared to the prior year is shown in the table below. (1) Parcel count remained unchanged from Fiscal Year 2019/20 to Fiscal Year 2020/21. (2) In Fiscal Year 2020/21 and Fiscal Year 2019/20, the District was levied at 100% of the Maximum Special Tax. (3) Maximum Special Tax for parcels with Building Permits issued after June 1996 increase by $4 annually per payment schedule provided by City. Property Classification Parcel Count (1) FY 2020/21 Maximum Special Tax (2) FY 2019/20 Maximum Special Tax (2) Percent Change (3) Developed with Building Permits issued through June 1996 84 $27,493.78 $27,493.78 0.00% Developed with Building Permits issued after June 1996 142 102,245.10 101,677.10 0.56% Totals: 226 $129,738.88 $129,170.88 0.44% 15

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 5 3. FINANCIAL STATUS 3.1 District Funds District 6/30/2020 Balance (1) CFD 92-1 $80,137.00 (1) CFD 92-1 Funds available as of the listed date 3.2 Delinquency Status and Foreclosure Covenant Foreclosure Attorney Foreclosure Recap Delinquency Management Steps Taken None None Reminder and Demand Letters Sent There is no established foreclosure covenant for the District. 16

City of Live Oak Fiscal Year 2020/21 Annual Report - Community Facilities District No. 92-1 6 APPENDIX A: RATE AND METHOD OF APPORTIONMENT The following pages show the Rate and Method of Apportionment of the Special Tax. 17

CITY OII LI\4' OAI( CON,IMUNI'IY FA.CILITIES DISTRICT NO. 92-1 R¿.T'B ,A.ND NÍETI.IOD OF APPORTIONMENT O}.- SPEC]IÄL'I'A,Y CATIIGORY II -- SIlllCL/\L TAX FOR CITY OF LIVE OAI( F¡\CIIJTIES A Special Tax, cleterminecl as clescribed below, shall be leviecì each Fiscal Year by the City of L,ive Oak (the "Cityr') within the boundnries c¡f Comrnr.urity llacilities Distrìct No, 92-1 ("CFD No. 92-1") to ¡ray the Authorized C<¡sts of the CFD No. 92-I,itt accordance n'itlt the terms and conclitions set forth hcrcin, 1, Definitions. 'fhe fclllou'ing clefinitions shall apply: z\. rrAssessor's Parcel" ('rParcelrr) rnea.ns a parcel of lancl designated on a tllap of the Sutte¡ County Assessor ancl assigned a cliscrete iclentifuing number. 13, rrAutìrorizecl Costsrr rne¿urs all authorized costs ancl expense.s of tlte CIID set forth by Izrrv, zrnc[ all cots necessarJ to collect ancl adntinister the special tzLres, administer the CFD, and aclmjnister boncls, inclucling but not limited to luiicls to pay, cuuent clebt setvjce, on boncls, to accumlllate filnds for future debt service, to pay amounts delinqr"rent on bonds (or tcl become clelinquent basecì r-rpon past special tax delinqr-rencies), to replenish the reserve fund to its proper level (or to reimburse pÍì),ment to be nrade lion-r the reserve funcl based upon past special tax delincluencies), to pay clirectly for any authorized facilities or to accltnulate fiurds for that purpose. C. 'rlJoarclrr uLeiìns the City Council acting as the CFD's Govertdng Boarcì. D, rrcity" means the City of Live Oak. E. ,,CFD,, nleans the Commr.rnity tracilities District No, 92-L of. the Ciry of Live Oak. F-. trDer¡elolmrentAgreetlentAmortntrr ilteans: i. For those Parcels meeting the time schedule set forth in the Development hgreement, $1,000 per resiclential ut-tit inct'easing annnally (without compounding) at 4.'/5o/o per )tear) from January 1, t992; ii, Iìol those Parceìs not inclucìecl in the prececling paragraph "ì", $2,000 per singìe-farnily re siclential unit inclea.sing annually (ivithotrt conpouncling) at ¿L75(/o per year, frorn July 1,1992, anci $2,090 per multiple family le siclential unit increasing itnnually (without cotuporurcling) at 4.15% per \/ezlt') fro¡l JtllY 1,"1.992. 18

Lr. FI ',Fisc¿rl Yearl means the period starting on July l ancì enclilig oli tlte following June 30, except that the first Fiscal Year. sirall coltlnÌer'ìce on thù clate thc lloarcl adopts the Resolution of Lltention to form CIìD No. 9?-1 aucl sl-raìl cncl on the next succeecling June 30. " Iì.esiclentìal Property'r ('r Propertyrr) means ',ill Asscs-sor' ' s Pzircel rvrthin CFD No, 92-l that is zoned for lesideritial use. ,,Special'l'¿uirr ne¿ìns the special tiui or special taxes ¿uttltorizecl to be Ìevied ivithin CllD No. 92-1, J. r,'fax Ciollection Schecluleil nte¿ìrls docnment to be 1tt'epared annually by tlte Cit¡, ¡ol use by the Stitter County Aucljtor-Controller aticl 'lreasurer-Ta-r Collector in coìlecting the annual installments of. the Special Ta-r each Fiscal Year, K. ,''f'a-r-llxempt Propertyrrrneâns ally property tvìtirin CFD No.92-1 that in accorclance with Section 2 irereoil will not be t¿rxed, L. rr I-erritory to be but nclt incluclecl Tax Exernnt Prooertv: Governnental properly be ta-xecl except: Alnexeclrr means any territory that is within City boundaries within the bounclaries of CFD No. 92-1 upon fornation. 2 not ownecl by the state, federaì or other local governments rvill A, I[ a pr"rblic ûgency orvning propert],, including property helci in a trust for any beneficiary, that is exempt froln a special tax pursuant to Government Code Section 53340 grants a leasehold interest after January 1, 1988, or other possessory interest in the proPerty of a nonexempt person or entitl', the Special'Iâx shall, nohvithstancling Gclverrunent Code Section 53340, be levied on the leasehold or possessory interest and shall be payable by the owner of the leaseholcl or possessory interest. 13, If property not otherrvise exempt from a special taur js acquirecì by a public eniity-other than the City through a negotiatecl transactiou, or by gitt or cleviie, the Special T¿ur shall, notwithstanding Governrnent Code Section 53340, contiñue to be levied on the property acquirecl artd shall be enibrceable against the public entity that accprirecl the property. 19

J. ,1 . Cl. If property subject to a special tax is acquirecl by a pulllic eirtity through eniineiit clomaiu proccedings, the obligation tcl ¡ra1, tlie Spccial T¿x shall be fre¿rtecl pursu:int to Section 1265.25 of the Code of Civil Prclcedttre as il it were a sfecial amual âssessment. For this purpo,se, the present value of the clbligation to pay the Spccial 'f¿r-r to l)ay the principal ancl iuterest oil atlY inclebtedness incurrecl b1' the CFD prior to the clate of zrpportiontnent cletelrnìnecl pulsuant to Section 5082 of tlie lìevenlte ancl 'I'¡rx¿itlotr C-loclc shail be treatecl tìre same as a lixecl lien special asscssureut. D. Parcels that are not Ilesiclcntial 'PI'opcl'ty shall llot be taxecl. ol-t'ax RaLcs ¡urcl l--el'}ltllSlleci Tu. ¿\. r\t the beginnilig of each Fjscal Year, the City shall classity cach Assessot 's Parcel in CIID No, 92-1 as l-¿ux-Llxer-nPt Prope.rty or Resiclential Propelt-y. lJ. At the tintc ta-re.s ale ìcviccl eacir Iìiscitl \lear, the City shell cleterttlitte the Developnrent Agleenrent Amounl" applicable fclr such lìiscal Year. 'l'he Cìty rurâ1,, ir-L its complete discretion, Lecluce the Dcveloptnent ,Agleenetlt Allount otherrvise altplicable in ¿ìn,\, lìiscal Year if other sources of rcvemtes becolrte available to pa1, tlie Authorized Costs, if the ärnount ol Atlthorized Costs rec¡:ireci to ltc funded clcclines, ol for any other re¿tso11, Any sr"rch reduclirltt ir-r any FìscaÌ Year shall not affect the ma-rimtun Developtlent Agreement Amount rvhich may be calcuiated in any future ),ear such that sirnple and cornpouncling calculations, respectively, shaìl apply to all intervening Fiscal