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HomeMy WebLinkAboutResolution 2013-10 Initial Improvement Assessment & Maintenance Assessment for Tuscawilla Phase III Assessment Area CITY OF WINTER SPRINGS,FLORIDA INITIAL IMPROVEMENT ASSESSMENT RESOLUTION AND MAINTENANCE ASSESSMENT RESOLUTION FOR THE TUSCAWILLA (PHASE III) ASSESSMENT AREA ADOPTED JUNE 10, 2013 TABLE OF CONTENTS PAGE ARTICLE I DEFINITIONS AND CONSTRUCTION SECTION 1.01. DEFINITIONS .............................................................................2 SECTION 1.02. INTERPRETATION....................................................................8 SECTION1.03. FINDINGS....................................................................................8 ARTICLE II NOTICE AND PUBLIC HEARING SECTION 2.01. PUBLIC HEARING................................................................... 14 SECTION 2.02. NOTICE BY PUBLICATION ................................................... 14 SECTION 2.03. NOTICE BY MAIL.................................................................... 14 ARTICLE III ASSESSMENTS SECTION 3.01. DESCRIPTION OF PROPOSED ASSESSMENT AREA........ 15 SECTION 3.02. ASSIGNMENT OF BENEFIT UNITS...................................... 15 ARTICLE IV IMPROVEMENT ASSESSMENTS SECTION 4.01. ESTIMATED CAPITAL COST ................................................ 17 SECTION 4.02. IMPOSITION OF IMPROVEMENT ASSESSMENTS............ 17 SECTION 4.03. PREPAYMENT AMOUNTS..................................................... 17 SECTION 4.04. COMPUTATION OF IMPROVEMENT ASSESSMENTS...... 18 SECTION 4.05. INITIAL PREPAYMENT OPTION ..........................................20 SECTION 4.06. ADDITIONAL PREPAYMENT OPTION................................21 SECTION 4.07. MANDATORY PREPAYMENT...............................................22 SECTION 4.08. REALLOCATION .....................................................................24 SECTION 4.09. IMPROVEMENT ASSESSMENT ROLL.................................24 SECTION 4.10. APPLICATION OF IMPROVEMENT ASSESSMENT PROCEEDS................................................................................24 City of Winter Springs Resolution Number 2013-10 i ARTICLE V MAINTENANCE ASSESSMENTS SECTION 5.01. ESTIMATED MAINTENANCE COST....................................26 SECTION 5.02. IMPOSITION OF MAINTENANCE ASSESSMENTS............26 SECTION 5.03. COMPUTATION OF MAINTENANCE ASSESSMENTS......26 SECTION 5.04. MAINTENANCE ASSESSMENT ROLL.................................28 ARTICLE VI GENERAL PROVISIONS SECTION 6.01. METHOD OF COLLECTION...................................................29 SECTION 6.02. SEVERABILITY........................................................................29 SECTION 6.03. FUNDS AND ACCOUNTING..................................................29 SECTION 6.04. EVIDENCE OF PAYMENT......................................................29 SECTION 6.05. REPEAL OF PRIOR INCONSISTENT RESOLUTIONS........30 SECTION 6.06. EFFECTIVE DATE....................................................................30 APPENDIX A - DESCRIPTION OF TUSCAWILLA (PHASE III) ASSESSMENT AREA APPENDIX B - FORM OF NOTICE TO BE PUBLISHED APPENDIX C - FORM OF NOTICE TO BE MAILED City of Winter Springs Resolution Number 2013-10 ii CITY OF WINTER SPRINGS, FLORIDA RESOLUTION NO. 2013-10 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, RELATING TO THE CONSTRUCTION OF CERTAIN LOCAL IMPROVEMENTS; DESCRIBING THE PROPERTY TO BE LOCATED WITHIN THE PROPOSED TUSCAWILLA (PHASE III) ASSESSMENT AREA; DETERMINING THE ESTIMATED CAPITAL COST AND MAINTENANCE COST OF THE TUSCAWILLA (PHASE III) IMPROVEMENT PROJECT; DETERMINING THAT CERTAIN REAL PROPERTY WILL BE SPECIALLY BENEFITTED BY THE TUSCAWILLA (PHASE III) IMPROVEMENT PROJECT; ESTABLISHING THE METHOD OF ASSESSING THE CAPITAL COSTS AND MAINTENANCE COST OF THE TUSCAWILLA (PHASE III) IMPROVEMENT PROJECT AGAINST THE REAL PROPERTY THAT WILL BE SPECIALLY BENEFITTED THEREBY; DIRECTING THE CITY MANAGER TO PREPARE A TENTATIVE IMPROVEMENT ASSESSMENT ROLL AND A TENTATIVE MAINTENANCE ASSESSMENT ROLL BASED UPON THE METHODOLOGY SET FORTH HEREIN; ESTABLISHING A PUBLIC HEARING TO CONSIDER IMPOSITION OF THE PROPOSED IMPROVEMENT AND MAINTENANCE ASSESSMENTS AND THE METHOD OF THEIR COLLECTION; DIRECTING THE PROVISION OF NOTICE IN CONNECTION THEREWITH; PROVIDING FOR SEVERABILITY, REPEAL OF PRIOR INCONSISTENT RESOLUTIONS, AND AN EFFECTIVE DATE. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, AS FOLLOWS: City of Winter Springs Resolution Number 2013-10 Page I of 40 ARTICLE I DEFINITIONS AND CONSTRUCTION SECTION 1.01. DEFINITIONS. As used in this Resolution, the following terms shall have the following meanings, unless the context hereof otherwise requires. "Abutting Lot" means a Platted Lot within the Tuscawilla (Phase III) Assessment Area that abuts the Existing Subdivision Wall for at least ten (10) feet. "Adjusted Prepayment Amount" means the amount required to prepay the Improvement Assessment for each Tax Parcel located in the Tuscawilla (Phase III) Assessment Area as computed pursuant Section 4.03(B) hereof and revised annually pursuant to Section 4.04(E) hereof. "Annual Debt Service Component" means the amount computed for each Tax Parcel pursuant to Section 4.04(A) hereof. "Annual Maintenance Component" means the amount computed for each Tax Parcel pursuant to Section 5.03(A) hereof. "Assessments" means the Improvement Assessments and the Maintenance Assessments. "Benefit Unit" means the standard unit to be used in calculating the relative amount of special benefit to be derived from construction of the Tuscawilla (Phase III) City of Winter Springs Resolution Number 2013-10 Page 2 of 40 Improvement Project, as assigned to each Platted Lot within the Tuscawilla (Phase III) Assessment Area pursuant to Section 3.02 hereof. "Capital Cost" means all or any portion of the expenses that are properly attributable to the acquisition, design, construction, and installation (including demolition, environmental mitigation, easements and relocation) of the Tuscawilla (Phase III) Improvement Project, and imposition of the Improvement Assessments under generally accepted accounting principles; and including reimbursement to the City for any funds advanced for Capital Cost and interest on any interfund or intrafund loan for such purposes. "City" means the City of Winter Springs, Florida. "City Attorney" means the chief attorney of the City, or such person's designee. "City Commission" means the City Commission for the City. "City Investment Rate" means the interest rates described in Section 1.03(K) hereof. "City Manager" means the administrative and executive head of the City as set forth in Article V of the City's Charter, or his or her designee. "Excluded Parcels" means those parcels which (A) are used or planned for use as utilities infrastructure sites, road right-of-way, utility easements, open space, stormwater, retention or drainage purposes, (B) do not otherwise benefit from construction of the Tuscawilla (Phase III) Improvement Project, and (C) are either (1) Government Property City of Winter Springs Resolution Number 2013-10 Page 3 of 40 or (2) privately-owned and restricted by agreement to one of the uses described in (A) above. "Existing Subdivision Wall" means a 4.7-foot high brick style wall approximately 3,000 feet in total length along the southern and western boundary of the Tuscawilla (Phase III) Assessment Area adjacent to Winter Springs Boulevard and Northern Way, including eight existing and previously existing corner wall sections. "Final Resolution" means the resolution described in Sections 3.06 and 4.06 of the Ordinance which shall confirm, modify or repeal this Resolution and which shall be the final proceeding for the imposition of the Improvement Assessments and Maintenance Assessments within the Tuscawilla (Phase III) Assessment Area. "Fiscal Year" means the period commencing on October I of each year and continuing through the next succeeding September 30, or such other period as may be prescribed by law as the fiscal year for the City. "Government Property" means property owned by the United States of America, the State of Florida, a county, a special district, a municipal corporation, or any of their respective agencies. "Improvement Assessment" means an annual special assessment imposed against property located within the Tuscawilla (Phase III) Assessment Area to fund the Capital Cost of the Tuscawilla (Phase III) Improvement Project, and related expenses, computed in the manner described in Section 4.04 hereof. City of Winter Springs Resolution Number 2013-10 Page 4 of 40 "Improvement Assessment Collection Cost" means the estimated cost to be incurred by the City during any Fiscal Year in connection with the collection of Improvement Assessments. "Improvement Assessment Collection Cost Component" means the amount computed for each Tax Parcel pursuant to Section 4.04(B) hereof. "Improvement Assessment Roll" means a non-ad valorem assessment roll relating to the Capital Cost of the Tuscawilla (Phase III) Improvement Project, and related expenses. "Improvement Assessment Statutory Discount Amount" means the amount computed for each Tax Parcel pursuant to Section 4.04(C) hereof. "Initial Prepayment Amount" means the amount computed pursuant to Section 4.03(A) hereof for each Tax Parcel located in the Tuscawilla (Phase III) Assessment Area to prepay the Improvement Assessment in full. "Local Improvement" means a capital improvement program or plan for the construction or installation by the City for the special benefit of a neighborhood or other local area, for which special assessments may be imposed pursuant to the Ordinance. "Maintenance" means maintenance of the Tuscawilla (Phase III) Improvement Project, including cleaning, repairing, and similar services as well as the installation and maintenance of drought tolerant landscaping near the Existing Subdivision Wall. City of Winter Springs Resolution Number 2013-10 Page 5 of 40 "Maintenance Assessment" means an annual special assessment imposed against property located within the Tuscawilla (Phase III) Assessment Area to fund the Maintenance Cost of the Tuscawilla (Phase III) Improvement Project, and related expenses, computed in the manner described in Section 5.03 hereof. "Maintenance Assessment Collection Cost" means the estimated cost to be incurred by the City during any Fiscal Year in connection with the collection of Maintenance Assessments. "Maintenance Assessment Collection Cost Component" means the amount computed for each Tax Parcel pursuant to Section 5.03(B) hereof. "Maintenance Assessment Roll" means a non-ad valorem assessment roll relating to the Maintenance Cost of the Tuscawilla (Phase III) Improvement Project, and related expenses. "Maintenance Assessment Statutory Discount Amount" means the amount computed for each Tax Parcel pursuant to Section 5.03(C) hereof. "Maintenance Cost" means all or any portion of the expenses that are properly attributable to Maintenance under generally accepted accounting principles, including, without limiting the generality of the foregoing, reimbursement to the City for any funds advanced for Maintenance, and interest on any interfund or intrafund loan for such purpose. City of Winter Springs Resolution Number 2013-10 Page 6 of 40 "Operating Cost" means expenses that are properly attributable to Related Services, for which special assessments may be imposed pursuant to the Ordinance. "Ordinance" means Ordinance No. 98-704, the Local Improvement and Related Service Assessment Ordinance. "Platted Lot" means a building lot located in the Tuscawilla (Phase III) Assessment Area that is described on a map or plat recorded in the Seminole County Official Records. "Property Appraiser" means the Seminole County Property Appraiser. "Related Service" means the operation and maintenance of a Local Improvement. "Subdivision Enhancement Lot" means a Platted Lot within the Tuscawilla (Phase III) Assessment Area that is not an Abutting Lot "Tax Parcel" means a parcel of property to which the Property Appraiser has assigned a distinct ad valorem property tax identification number. "Tax Roll" means the real property ad valorem tax assessment roll maintained by the Property Appraiser for the purpose of the levy and collection of ad valorem taxes. "Tuscawilla (Phase III) Improvement Project" means the restorative work to be completed on the Existing Subdivision Wall and other related improvements in the Tuscawilla (Phase III) Improvement Area. City of Winter Springs Resolution Number 2013-10 Page 7 of 40 "Uniform Assessment Collection Act" means Sections 197.3632 and 197.3635, Florida Statutes, or any successor statutes authorizing the collection of non-ad valorem assessments on the same bill as ad valorem taxes, and any applicable regulations promulgated thereunder. SECTION 1.02. INTERPRETATION. Unless the context indicates otherwise, words importing the singular number include the plural number, and vice versa; the terms "hereof," "hereby," "herein," "hereto," "hereunder" and similar terms refer to this Resolution; and the term "hereafter" means after, and the term "heretofore" means before, the effective date of this Resolution. Words of any gender include the correlative words of the other gender, unless the sense indicates otherwise. SECTION 1.03. FINDINGS. It is hereby ascertained, determined and declared that: (A) Pursuant to Article VIII, Section 2(b) of the Florida Constitution, and Sections 166.021 and 166.041, Florida Statutes, the City Commission has all powers of local self-government to perform municipal functions and to render municipal services except when prohibited by law and such power may be exercised by the enactment of legislation in the form of City ordinances. (B) The City Commission may exercise any governmental, corporate, or proprietary power for a municipal purpose except when expressly prohibited by law, and the City Commission may legislate on any subject matter on which the Legislature may City of Winter Springs Resolution Number 2013-10 Page 8 of 40 act, except those subjects described in (a), (b), (c), and (d) of Section 166.021(3), Florida Statutes. The subject matter of paragraphs (a), (b), (c), and (d) of Section 166.021(3), Florida Statutes, is not relevant to imposition of assessments related to Local Improvements within the City. (C) The City Commission has enacted the Ordinance to provide for the creation of Assessment Areas (as defined in the Ordinance) and authorize the imposition of assessments to fund (1) the construction of Local Improvements to benefit the property located therein and (2) the cost of maintaining such Local Improvements. (D) The City Commission desires to create the Tuscawilla (Phase III) Assessment Area as an Assessment Area under the Ordinance to fund the Capital Cost and the Maintenance Cost of the Tuscawilla (Phase III) Improvement Project. The Tuscawilla (Phase III) Improvement Project provides Local Improvements and the Maintenance Cost constitutes the Operating Cost of a Related Service, as defined in the Ordinance and herein. (E) Tuscawilla (Phase III) Assessment Area consists of primarily Platted Lots zoned for single-family residential use. None of the property within the Tuscawilla (Phase III) Assessment Area is zoned for multi-family residential, commercial or other uses. (F) The Tuscawilla (Phase III) Improvement Project will provide a special benefit to all Platted Lots within the Tuscawilla (Phase III) Assessment Area by City of Winter Springs Resolution Number 2013-10 Page 9 of 40 improving and enhancing the aesthetics and the subdivision identity, thus enhancing the value, use and enjoyment of such property. Certain Platted Lots will derive additional special benefit from additional aesthetic and safety benefits due to their immediate proximity to the Existing Subdivision Wall. Due to their current use, the Excluded Parcels will not derive a special benefit from the Tuscawilla (Phase III) Improvement Project. (G) One Tax Parcel (Parcel Number 08-21-31-5GT-0000-0310) is currently undeveloped due to the high cost of environmental mitigation required for development and therefore will not derive a special benefit from the Tuscawilla (Phase III) Improvement Project. Accordingly, this Tax Parcel is excluded from the Tuscawilla (Phase III) Assessment Area. However, in the event this Tax Parcel is developed in the future, the City Commission intends to include such Tax Parcel in the Maintenance Assessment and will provide sufficient notice to the owner of such Tax Parcel and hold a public hearing in accordance with the requirements of the Ordinance and the Uniform Assessment Collection Act. (H) The City Commission has reviewed the report prepared for the City by NBS and a letter from Kim Coburn, a real estate professional familiar with the Tuscawilla (Phase III) Assessment Area. According to the NBS report, each Platted Lot within the Tuscawilla (Phase III) Assessment Area will derive an equal benefit based on the general aesthetics and subdivision identity provided by the Tuscawilla (Phase III) City of Winter Springs Resolution Number 2013-10 Page 10 of 40 Improvement Project, The City Commission hereby finds the NBS report, the letter from the real estate professional and the conclusions with respect to this benefit reasonable. Since all Platted Lots in the Tuscawilla (Phase I1I) Assessment Area benefit equally from this general subdivision enhancement component, it is fair and reasonable to assign one (1.0) Benefit Unit to each Platted Lot for this component. (1) According to the above-described NBS report, Platted Lots that abut the Existing Subdivision Wall for more than ten (10) feet will derive additional special benefit based on additional aesthetics and safety provided by the Tuscawilla (Phase 111) Improvement Project. The City Commission hereby finds the NBS report, the letter from the real estate professional and the conclusions with respect to this benefit reasonable. While these additional benefits are not precisely quantifiable, it is fair and reasonable to add 0.10 Benefit Unit to each Abutting Lot for additional aesthetic benefit and 0.10 Benefit Unit to each Abutting Lot for safety benefit. (J) While the letter from the real estate professional does mention a potential noise benefit from the Existing Subdivision Wall, due to the nature of the wall itself(not completely solid) and the minor nature of this potential benefit in relation to the overall special benefits, the City Commission hereby finds it reasonable not to assign any additional Benefit Units for this potential benefit category. (K) In order to reduce the financial impact the Improvement Assessment will have on the property owners in the Tuscawilla (Phase III) Assessment Area, the City has City of Winter Springs Resolution Number 2013-10 Page 11 of 40 decided to provide a 20-year internal loan to the property owners for their share of the Capital Cost. Based on current market conditions, the City has decided that the maximum interest rate that will be charged is 2.875% in years 1 through 5, 4.125% in years 6 through 10, 5.375% in years 11 through 15 and 6.875% in years 16 through 20, based on its expectation with respect to the average investment rate and the availability of funds over the term of the Improvement Assessment (20 years). The initial interest rate will be set to 2.875% for the first five years of the loan with subsequent interest rate resets occurring every five years thereafter based on the City's average investment rate and the availability of funds at such time and subject to the maximum interest rates described above. The actual amount of each Annual Assessment shall be calculated in accordance with Article IV hereof. (L) In order to further reduce the financial impact the Improvement Assessment will on the property owners in the Tuscawilla (Phase III) Assessment Area, the City will forego reimbursement of certain costs related to the creation of the Tuscawilla (Phase III) Assessment Area and contingencies related to the Tuscawilla (Phase III) Improvement Project. (M) The City Commission hereby finds and determines that the Improvement Assessments and Maintenance Assessments, to be imposed in accordance with this Resolution, provide an equitable method of funding (1) construction of the Tuscawilla (Phase III) Improvement Project, and (2) maintenance of the Tuscawilla (Phase III) City of Winter Springs Resolution Number 2013-10 Page 12 of 40 Improvement Project by fairly and reasonably allocating the cost based on the special benefit derived by the property, in the manner described in Section 3.02 hereof. City of Winter Springs Resolution Number 2013-10 Page 13 of 40 ARTICLE II NOTICE AND PUBLIC HEARING SECTION 2.01. PUBLIC HEARING. A public hearing will be conducted by the City Commission at 5:15 P.M., or as soon thereafter as the matter can be heard, on August 12, 2013, in the City Commission Chambers of City Hall located at 1126 East State Road 434, Winter Springs, Florida to consider (A) creation of the Tuscawilla (Phase III) Assessment Area, (B) imposition of the Assessments, and (C) collection of the Assessments pursuant to the Uniform Assessment Collection Act. SECTION 2.02. NOTICE BY PUBLICATION. Upon completion of the tentative Improvement Assessment Roll and the Maintenance Assessment Roll, the City Manager shall publish a notice of the public hearing authorized by Section 2.01 hereof in the manner and the time provided in Section 3.04 of the Ordinance. Such notice shall be in substantially the form attached hereto as APPENDIX B. SECTION 2.03. NOTICE BY MAIL. Upon completion of the Improvement Assessment Roll and the Maintenance Assessment Roll, the City Manager shall, at the time and in the manner specified in Section 3.05 of the Ordinance, provide first class mailed notice of the public hearing authorized by Section 2.01 hereof to each property owner proposed to be assessed at the address indicated on the Tax Roll. Such notice shall be in substantially the form attached hereto as APPENDIX C. City of Winter Springs Resolution Number 2013-10 Page 14 of 40 ARTICLE III ASSESSMENTS SECTION 3.01. DESCRIPTION OF PROPOSED ASSESSMENT AREA. The proposed Tuscawilla (Phase III) Assessment Area shall include the property located within the Tuscawilla Planned Unit Development, as more specifically identified in APPENDIX A attached hereto. The Tuscawilla (Phase III) Assessment Area is proposed for the purpose of enhancing the use and enjoyment of property located therein by funding the Tuscawilla (Phase III) Improvement Project. SECTION 3.02. ASSIGNMENT OF BENEFIT UNITS. To reflect the relative amount of special benefit to be derived from the Tuscawilla (Phase III) Improvement Project, the number of Benefit Units attributable to each Platted Lot within the Tuscawilla (Phase III) Assessment Area shall be determined in the manner set forth in this Section 3.02. (A) SUBDIVISION ENHANCEMENT. The City Commission hereby finds and determines that all Platted Lots within the Tuscawilla (Phase III) Assessment Area will derive a substantially equivalent special benefit from the aesthetic and subdivision identity provided by construction of the Tuscawilla (Phase III) Improvement Project, as described in Section 1.03(H) hereof. Accordingly, one (1.0) Benefit Unit will be assigned to each Platted Lot in the Tuscawilla (Phase III) Assessment Area. City of Winter Springs Resolution Number 2013-10 Page 15 of 40 (B) ADDITIONAL AESTHETIC AND SAFETY BENEFIT. The City Commission hereby finds and determines that in addition to the aesthetic and subdivision identity benefits described in Section 3.02(A) hereof, each Abutting Lot will derive an additional special benefit from aesthetics and safety provided by the Tuscawilla (Phase III) Improvement Project, as described in Section 1.03(I) hereof, such aesthetics and safety benefit being received in a substantially equal manner by all such Abutting Lots. Accordingly, in addition to the 1.0 Benefit Unit assigned to each Platted Lot pursuant to Section 3.02(A) hereof, 0.10 Benefit Unit will be assigned to each Abutting Lot for additional aesthetic benefit and 0.10 Benefit Unit will be assigned to each Abutting Lot for safety benefit. (C) BENEFIT UNIT SUMMARY. Based upon the assignments made in Sections 3.02(A) and (B) above, the following number of Benefit Units will be assigned to Platted Lots in the Tuscawilla (Phase III) Assessment Area: Subdivision Enhancement Lots 1.00 Benefit Units Abutting Lots 1.20 Benefit Units City of Winter Springs Resolution Number 2013-10 Page 16 of 40 ARTICLE IV IMPROVEMENT ASSESSMENTS SECTION 4.01. ESTIMATED CAPITAL COST. The estimated Capital Cost for the Tuscawilla (Phase III) Improvement Project is $129,401.80. The Capital Cost of the Tuscawilla (Phase III) Improvement Project will be funded through the imposition of Improvement Assessments against property located in the Tuscawilla (Phase III) Assessment Area. SECTION 4.02. IMPOSITION OF IMPROVEMENT ASSESSMENTS. The Improvement Assessments shall be imposed against all property located within the Tuscawilla (Phase III) Assessment Area, other than Excluded Parcels, for a period of twenty (20) years. The first annual Improvement Assessment will be included on the ad valorem tax bill to be mailed in October or November 2013. When imposed, the Improvement Assessments for each Fiscal Year shall constitute a lien upon the Tax Parcels located in the Tuscawilla (Phase III) Assessment Area, pursuant to the Ordinance. SECTION 4.03. PREPAYMENT AMOUNTS. (A) Upon adoption of the Final Resolution, an Initial Prepayment Amount for each Tax Parcel located within the Tuscawilla (Phase III) Assessment Area shall be calculated as the amount computed by (1) dividing the number of Benefit Units attributable to such Tax Parcel by the total number of Benefit Units attributable to Tax City of Winter Springs Resolution Number 2013-10 Page 17 of 40 Parcels within the Tuscawilla (Phase III) Assessment Area, and (2) multiplying the result by the estimated Capital Cost of the Tuscawilla (Phase III) Improvement Project. (B) Following the initial prepayment period described in Section 4.05 hereof, the Adjusted Prepayment Amount shall be set to the Initial Prepayment Amount for each Tax, other than those Tax Parcels as to which the Improvement Assessment has been prepaid. The Adjusted Prepayment Amount for each Tax Parcel shall be revised annually, as provided in Section 4.04(E)hereof. SECTION 4.04. COMPUTATION OF IMPROVEMENT ASSESSMENTS. The annual Improvement Assessment shall be computed for each Tax Parcel in the manner set forth in this Section 4.04 and collected on the ad valorem tax bill in the manner authorized by the Uniform Assessment Collection Act. (A) ANNUAL DEBT SERVICE COMPONENT. The "Annual Debt Service Component" shall be calculated for each Fiscal Year in which the Initial Prepayment Amount (or Adjusted Prepayment Amount, if applicable) of the Tax Parcel is outstanding as follows: (1) The City Manager shall first determine the City Investment Rate for such Fiscal Year in a manner described in Section 1.03(K) hereof. (2) The City Manager shall next calculate the amount of principal due for the Tax Parcel by dividing (a) the Tax Parcel's Initial Prepayment Amount (or Adjusted Prepayment Amount, if applicable), by (b) the number of remaining City of Winter Springs Resolution Number 2013-10 Page 18 of 40 years the Assessment is payable, which shall initially be for a period of twenty (20) years. (3) The City Manager shall then determine the interest payable by multiplying (a) the annual interest rate computed in (1) above, by (b) the Initial Prepayment Amount (or Adjusted Prepayment Amount, if applicable). (4) The Annual Debt Service Component is then calculated as the sum of the amount determined in (2) and (3) above. (B) IMPROVEMENT ASSESSMENT COLLECTION COST COMPONENT. The "Improvement Assessment Collection Cost Component" shall be computed each Fiscal Year for each Tax Parcel by (1) dividing (a) the Adjusted Prepayment Amount for such Tax Parcel, by (b) the sum of the aggregate Adjusted Prepayment Amount, and (2) multiplying the result by the Improvement Assessment Collection Cost. (C) IMPROVEMENT ASSESSMENT STATUTORY DISCOUNT AMOUNT. The "Improvement Assessment Statutory Discount Amount" shall be computed for each Tax Parcel as the amount allowed by law as the maximum discount for early payment of ad valorem taxes and non-ad valorem assessments, such amount to be calculated by deducting (1) the sum of (a) the Annual Debt Service Component, and (b) the Improvement Assessment Collection Cost Component, from (2) the amount computed by dividing (a) the sum of(i) the Annual Debt Service Component and (ii) the Improvement Assessment Collection Cost Component, by (b) the factor of 0.96. City of Winter Springs Resolution Number 2013-10 Page 19 of 40 (D) IMPROVEMENT ASSESSMENT. The annual Improvement Assessment for each Tax Parcel shall be computed as the sum of (1) the Annual Debt Service Component, (2) the Improvement Assessment Collection Cost Component, and (3) the Improvement Assessment Statutory Discount Amount. (E) REVISION OF ADJUSTED PREPAYMENT AMOUNT. Upon certification of the Improvement Assessment Roll each Fiscal Year, the Adjusted Prepayment Amount for each Tax Parcel shall be recomputed by deducting (1) the principal component of the Annual Debt Service Component determined in Section 4.04(A)(2) above and included on the Improvement Assessment Roll for the Tax Parcel, from (2) the Adjusted Prepayment Amount utilized to compute the annual Improvement Assessment included on the Improvement Assessment Roll for such Tax Parcel. SECTION 4.05. INITIAL PREPAYMENT OPTION. (A) Following adoption of the Final Resolution, the City Manager shall provide a first class mailed notice to the owner of each Tax Parcel subject to the Improvement Assessment of the owner's option to prepay all future annual Improvement Assessments. On or prior to the date specified in such notice, the owner of each Tax Parcel subject to the Improvement Assessment shall be entitled to prepay all future annual Improvement Assessments, upon payment of the Initial Prepayment Amount. (B) The amount of all prepayments made pursuant to this Section 4.05 shall be final. The City shall not be required to refund any portion of a prepayment if (1) the City of Winter Springs Resolution Number 2013-10 Page 20 of 40 actual Capital Cost of the Tuscawilla (Phase III) Improvement Project is less than the estimated Capital Cost upon which the Initial Prepayment Amount was computed, or (2) annual Improvement Assessments will not be imposed for the full number of years anticipated at the time of such prepayment, or (3) there is a subsequent increase in the total number of Benefit Units which would have decreased the amount of such prepayment. SECTION 4.06. ADDITIONAL PREPAYMENT OPTION. (A) Following the date specified in the notice provided pursuant to Section 4.05(A) hereof, or such later date as the City Commission may allow in its sole discretion, the owner of each Tax Parcel subject to the Improvement Assessments shall be entitled to prepay all future unpaid annual Improvement Assessments upon payment of an amount equal to the sum of(1) the Adjusted Prepayment Amount for such Tax Parcel, and (2) interest on the Adjusted Prepayment Amount from the most recent ad valorem tax bill computed at the City Investment Rate. (B) During any period commencing on the date the annual Improvement Assessment Roll is certified for collection pursuant to the Uniform Assessment Collection Act and ending on the next date on which unpaid ad valorem taxes become delinquent, the City may reduce the amount required to prepay the future unpaid annual Improvement Assessments for the Tax Parcel by the amount of the Improvement Assessment that has been certified for collection with respect to such Tax Parcel. City of Winter Springs Resolution Number 2013-10 Page 21 of 40 (C) Except as provided in Section 4.08 hereof, the amount of all prepayments made pursuant to this Section 4.06 shall be final. The City shall not be required to refund any portion of a prepayment if (1) the Capital Cost of the Tuscawilla (Phase III) Improvement Project is less than the amount upon which such Adjusted Prepayment Amount was computed, or (2) annual Improvement Assessments will not be imposed for the full number of years anticipated at the time of such prepayment. SECTION 4.07. MANDATORY PREPAYMENT. (A) The owner of a Tax Parcel subject to the Improvement Assessment shall immediately prepay all future unpaid annual. Improvement Assessments for such Tax Parcel if (1) the Tax Parcel is to be acquired by a public entity (other than the City) through condemnation, negotiated sale or otherwise, or (2) a tax certificate has been issued and remains outstanding in respect of the Tax Parcel and the City, at its sole option, elects to accelerate the Improvement Assessment. In the case of (1) above, the owner of the Tax Parcel must notify the City at least 30 days prior to the proposed acquisition date in order to allow the City sufficient time to determine whether acceleration is desired. Failure to provide such notice shall cause an automatic acceleration of such Improvement Assessment the effective date of which is 10 days prior to the proposed acquisition date. (B) The amount required to prepay the future unpaid annual Improvement Assessments will be equal to the sum of(1) the Adjusted Prepayment Amount for such City of Winter Springs Resolution Number 2013-10 Page 22 of 40 Tax Parcel, and (2) interest on the Adjusted Prepayment Amount from the most recent ad valorem tax bill computed at the City Investment Rate. (C) During any period commencing on the date the annual Improvement Assessment Roll is certified for collection pursuant to the Uniform Assessment Collection Act and ending on the next date on which unpaid ad valorem taxes become delinquent, the City may reduce the amount required to prepay the future unpaid annual Improvement Assessments for the Tax Parcel by the amount of the Improvement Assessment that has been certified for collection with respect to such Tax Parcel. (D) The amount of all prepayments made pursuant to this Section 4.07 shall be final. The City shall not be required to refund any portion of a prepayment if (1) the Capital Cost of the Tuscawilla (Phase III) Improvement Project is less than the amount upon which such Adjusted Prepayment Amount was computed, or (2) annual Improvement Assessments will not be imposed for the full number of years anticipated at the time of such prepayment. City of Winter Springs Resolution Number 2013-10 Page 23 of 40 SECTION 4.08. REALLOCATION. If a Tax Parcel consists of more than one Platted Lot, the Initial Prepayment Amount for such Tax Parcel (or Adjusted Prepayment Amount, if applicable) may be reallocated pro rata among the Platted Lots upon (1) application of the owner, and (2) assignment of a distinct ad valorem property tax identification number to each Platted Lot or any combination of Platted Lots by the Property Appraiser. SECTION 4.09. IMPROVEMENT ASSESSMENT ROLL. The City Manager is hereby directed to prepare a final estimate of the Capital Cost for the Tuscawilla (Phase III) Improvement Project, and to prepare the preliminary Improvement Assessment Roll in the manner provided in the Ordinance. The City Manager shall apportion the Capital Cost among the parcels of real property within the Tuscawilla (Phase III) Assessment Area as reflected on the Tax Roll in conformity with Article IV hereof. The estimate of Capital Cost and the Improvement Assessment Roll shall be maintained on file in the office of the City Manager and open to public inspection. The foregoing shall not be construed to require that the Improvement Assessment Roll be in printed form if the amount of the Improvement Assessment for each Tax Parcel can be determined by use of a computer terminal available to the public. SECTION 4.10. APPLICATION OF IMPROVEMENT ASSESSMENT PROCEEDS. Proceeds from the Improvement Assessments received during each Fiscal Year shall be applied by the City in the following order: payment of the Improvement City of Winter Springs Resolution Number 2013-10 Page 24 of 40 Assessment Collection Costs; payment of interest due on the loan from the City; payment of principal due on the loan from the City; and reimbursement of any amounts advanced by the City to pay principal and interest on the loan from the City. Any remaining proceeds will then be used for prepayment of the loan from the City. City of Winter Springs Resolution Number 2013-10 Page 25 of 40 ARTICLE V MAINTENANCE ASSESSMENTS SECTION 5.01. ESTIMATED MAINTENANCE COST. The estimated Maintenance Cost for the Tuscawilla (Phase III) Improvement Project is $7,812.60 per Fiscal Year. The Maintenance Cost of the Tuscawilla (Phase III) Improvement Project will be funded through the imposition of Maintenance Assessments against property located in the Tuscawilla (Phase III) Assessment Area. SECTION 5.02. IMPOSITION OF MAINTENANCE ASSESSMENTS. The Maintenance Assessments shall be imposed against all property located within the Tuscawilla (Phase III) Assessment Area, other than Excluded Parcels, for each Fiscal Year and shall be computed in accordance with this Article V. When imposed, the Maintenance Assessments for each Fiscal Year shall constitute a lien upon the Tax Parcels located in the Tuscawilla (Phase III) Assessment Area, pursuant to the Ordinance. SECTION 5.03. COMPUTATION OF MAINTENANCE ASSESSMENTS. The annual Maintenance Assessments shall be computed for each Tax Parcel in the manner set forth in this Section 5.03. (A) ANNUAL MAINTENANCE COMPONENT. The "Annual Maintenance Component" shall be calculated for each Fiscal Year for each Tax Parcel by (1) dividing (a) the Maintenance Cost by (b) the total number of Benefit Units attributable to Tax City of Winter Springs Resolution Number 2013-10 Page 26 of 40 Parcels within the Tuscawilla (Phase III) Assessment Area, and (2) multiplying the result by the number of Benefit Units attributable to the Tax Parcel. (B) MAINTENANCE ASSESSMENT COLLECTION COST COMPONENT. The "Maintenance Assessment Collection Cost Component" shall be computed each Fiscal Year for each Tax Parcel by (1) dividing (a) the Maintenance Assessment Collection Cost by (b) the total number of Benefit Units located in the Tuscawilla (Phase III) Assessment Area, and (2) multiplying the result by the number of Benefit Units attributable to the Tax Parcel. (C) MAINTENANCE ASSESSMENT STATUTORY DISCOUNT AMOUNT. The "Maintenance Assessment Statutory Discount Amount" shall be computed for each Tax Parcel as the amount allowed by law as the maximum discount for early payment of ad valorem taxes and non-ad valorem assessments, such amount to be calculated by deducting (1) the sum of (a) the Annual Maintenance Component and (b) the Maintenance Assessment Collection Cost Component, from (2) the amount computed by dividing (a) the sum of(i) the Annual Maintenance Component and (ii) the Maintenance Assessment Collection Cost Component, by (b) the factor of 0.96. (D) MAINTENANCE ASSESSMENT. The annual Maintenance Assessment for each Tax Parcel shall be computed as the sum of (1) the Annual Maintenance Component, (2) the Maintenance Assessment Collection Cost Component, and (3) the Maintenance Assessment Statutory Discount Amount. City of Winter Springs Resolution Number 2013-10 Page 27 of 40 SECTION 5.04. MAINTENANCE ASSESSMENT ROLL. The City Manager is hereby directed to prepare a final estimate of the Maintenance Cost for the Tuscawilla (Phase III) Improvement Project and to prepare the preliminary Maintenance Assessment Roll in the manner provided in the Ordinance. The City Manager shall apportion the Maintenance Cost among the parcels of real property within the Tuscawilla (Phase III) Assessment Area as reflected on the Tax Roll in conformity with Article V hereof. The estimate of Maintenance Cost and the Maintenance Assessment Roll shall be maintained on file in the office of the City Manager and open to public inspection. The foregoing shall not be construed to require that the Maintenance Assessment Roll be in printed form if the amount of the Maintenance Assessment for each Tax Parcel can be determined by use of a computer terminal available to the public. City of Winter Springs Resolution Number 2013-10 Page 28 of 40 ARTICLE VI GENERAL PROVISIONS SECTION 6.01. METHOD OF COLLECTION. The Assessments shall be collected pursuant to the Uniform Assessment Collection Act. SECTION 6.02. SEVERABILITY. If any section, subsection, sentence, clause, phrase, word, or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. SECTION 6.03. FUNDS AND ACCOUNTING. The moneys required to be accounted for pursuant to this Resolution may be deposited in a single bank account, and funds allocated to the various purposes established herein may be invested in a common investment pool, provided that adequate accounting records are maintained to reflect and control the restricted allocation of the moneys on deposit between the purposes described herein. SECTION 6.04. EVIDENCE OF PAYMENT. Payment in full of the Improvement Assessment imposed against any Tax Parcel shall operate as a release of the Improvement Assessment lien upon such Tax Parcel. Upon request, the City Manager may issue a written confirmation to evidence such payment; provided however, City of Winter Springs Resolution Number 2013-10 Page 29 of 40 that the issuance of written confirmation shall not be required to release the Improvement Assessment lien. The City may impose an administrative fee to defray the cost of providing written confirmation pursuant to this Section 6.04. SECTION 6.05. REPEAL OF PRIOR INCONSISTENT RESOLUTIONS. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. SECTION 6.06. EFFECTIVE DATE. This Resolution shall take effect immediately upon its passage and adoption. PASSED AND DULY ADOPTED by the City Commission of the City of Winter Springs, Florida, this 10th day of June, 2013. CITY COMMISSION OF WINTER SPRINGS, FLORIDA (SEAL) By: Cha es Lac ATTEST, By-: Andre zo-Luaces, City Clerk APPRO ED AS TO FORM BY THE WINTER RRINGS CITY ATTORNEY By: Anthony A. Garganese, City Attorney City of Winter Springs Resolution Number 2013-10 Page 30 of 40 APPENDIX A DESCRIPTION OF TUSCAWILLA (PHASE III) ASSESSMENT AREA City of Winter Springs Resolution Number 2013-10 Page 31 of 40 TUSCAWILLA (PHASE III) ASSESSMENT AREA (1) Tuscawilla Unit 12, as recorded in Plat Book 28, Pages 98-102, of the public records of Seminole County, Florida; and (2) Tuscawilla Unit 12A, as recorded in Plat Book 27, Page 22, of the public records of Seminole County, Florida; however, excluding parcel numbers 08-21-31-5GT- 0000-0310 and 08-21-31-5GT-OB00-0000. City of Winter Springs Resolution Number 2013-10 Page 32 of 40 APPENDIX B FORM OF NOTICE TO BE PUBLISHED City of Winter Springs Resolution Number 2013-10 Page 33 of 40 To Be Published on or Before July 23, 2013 [MAP OF TUSCAWILLA (PHASE III) ASSESSMENT AREA] NOTICE OF HEARING TO IMPOSE AND PROVIDE FOR COLLECTION OF NON-AD VALOREM ASSESSMENTS Notice is hereby given that the City Commission of Winter Springs, Florida, will conduct a public hearing to consider creation of the Tuscawilla (Phase III) Assessment Area, as shown above, and to impose non-ad valorem assessments against certain property located therein and collecting the assessments on the ad valorem tax bill. The hearing will be conducted by the City Commission at 5:15 P.M., or as soon thereafter as the matter can be heard, on August 12, 2013, in the City Commission Chambers of City Hall located at 1126 East State Road 434, Winter Springs, Florida. In accordance with the Americans with Disabilities Act, persons needing a special accommodation or an interpreter to participate in this proceeding should contact the City Clerk's office at (407) 327-1800 at least 48 hours prior to the date of the hearing. All affected property owners have a right to appear at the hearing and to file written objections with the City Commission within 20 days of this notice. Any person wishing to appeal any decision of the City Commission with respect to any matter considered will need a record and may wish to ensure that a verbatim record is made. The assessments have been proposed to fund capital and maintenance costs for restorative work to be completed on the existing subdivision wall along the southern and western boundary of the Tuscawilla (Phase III) Assessment Area, as well as installation of drought tolerant landscaping and related improvements, referred to as the "Tuscawilla (Phase III) Improvement Project." The assessment for each parcel of property within the Tuscawilla (Phase III) Assessment Area will be based upon level of benefit each platted lot receives from aesthetic and subdivision identity (all lots) and additional aesthetic benefit and enhanced safety (lots that abut the existing subdivision wall). A more specific description is set forth in the Initial Assessment Resolution adopted by the City Commission on June 10, 2013. Copies of the Initial Assessment Resolution, the plans and specifications for the project, and the preliminary assessment rolls are available for inspection at the office of the City Manager, located at 1126 East State Road 434, Winter Springs, Florida 32708. City of Winter Springs Resolution Number 2013-10 Page 34 of 40 Annual capital assessments for 20 years and maintenance assessments, for the life of the project, to fund the Tuscawilla (Phase III) Improvement Project will be collected on the ad valorem tax bill as authorized by Florida Statutes 197.3632 for a period of 20 years, commencing with the tax bill to be mailed in November 2013. Failure to pay the assessments will cause a tax certificate to be issued against the property which may result in a loss of title. Future annual capital assessments may be prepaid in whole at the option of the property owner. However, future annual maintenance assessments may not be prepaid. If you have any questions, please contact the City Manager's Office at (407) 327- 1800. WINTER SPRINGS, FLORIDA City of Winter Springs Resolution Number 2013-10 Page 35 of 40 APPENDIX C FORM OF NOTICE TO BE MAILED City of Winter Springs Resolution Number 2013-10 Page 36 of 40 ***** THIS IS NOT A BILL ***** WINTER SPRINGS,FLORIDA NOTICE OF HEARING TO IMPOSE AND PROVIDE FOR COLLECTION OF SPECIAL ASSESSMENTS IN THE TUSCAWILLA (PHASE HI) ASSESSMENT AREA To be mailed on or before June 23, 2013 [Property Owner Name] [Street Address] [City, State and zip] Re: Tax Parcel Number [Insert Number] Tuscawilla (Phase III) Assessment Area Dear Property Owner: The Tuscawilla (Phase III) Assessment Area is being created to fund capital and maintenance costs for restorative work to be completed on the existing subdivision wall along the southern and western boundary of the Tuscawilla (Phase III) Assessment Area, as well as installation of drought tolerant landscaping and related improvements, referred to as the "Tuscawilla (Phase III) Improvement Project." The construction and maintenance costs of the Tuscawilla (Phase III) Improvement Project will be funded by assessments against the property located within the Tuscawilla (Phase III) Assessment Area. The construction and maintenance assessments for each parcel of property are based on level of benefit each platted lot receives from aesthetic and subdivision identity (all lots) and additional aesthetic benefit and enhanced safety (lots that abut the existing subdivision wall). A more specific description of the assessment program is set forth in the Initial Assessment Resolution adopted by the City Commission on June 10, 2013. Copies of the Initial Assessment Resolution, the plans and specification for the Tuscawilla (Phase III) Assessment Area, and the preliminary assessment rolls including the capital and maintenance assessments are available for your review at the office of the City Manager, located at 1126 East State Road 434, Winter Springs, Florida 32708. Information regarding the assessment for your specific property, including the number of Benefit Units assigned to your property, is attached to this letter. City of Winter Springs Resolution Number 2013-10 Page 37 of 40 The City intends to issue internal debt to finance the capital costs of this assessment project. This will permit the capital cost attributable to your property to be amortized over a period of 20 years. The estimated principal amount of the debt required to finance construction of the improvements is approximately $ . However, you may choose to prepay your capital assessment in full ($ per Benefit Unit) and avoid the additional financing cost. Please do not send payment now. If the assessments are imposed, you will receive a separate notice of time and place for payment. If you do not choose to prepay during the period described in the next notice you will receive, the amount necessary to pay your assessment in full will be increased by your share of the financing cost. The City anticipates that financing costs will increase the prepayment amount by approximately_percent to $ per Benefit Unit. The annual assessment will include: • your share of the principal and interest on the debt (unless you choose to prepay that amount); • your share of the maintenance costs; • your share of the collection cost of the assessments; and • the maximum discount allowed for early payment under the Uniform Assessment Collection Act. The City expects to collect approximately $ per year for the purposes described in this notice. The City intends to include annual assessments on your ad valorem tax bill. Failure to pay your assessments will cause a tax certificate to be issued against the property which may result in a loss of title. A public hearing will be conducted by the City Commission at 5:15 P.M., or as soon thereafter as the matter can be heard, on August 12, 2013, in the City Commission Chambers of City Hall located at 1126 East State Road 434, Winter Springs, Florida for the purpose of receiving comments on the proposed assessments, including collection on the ad valorem tax bill. You are invited to attend and participate in the hearing. You may also file written objections with the City Commission prior to or during the hearing. If you decide to appeal any decision made by the City Commission with respect to any City of Winter Springs Resolution Number 2013-10 Page 38 of 40 matter considered at the hearing, you will need a record of the proceedings and may need to ensure that a verbatim record is made, including the testimony and evidence upon which the appeal is to be made. In accordance with the Americans with Disabilities Act, if you need a special accommodation or an interpreter to participate in this proceeding, please contact the City Clerk's office at (407) 327-1800 at least 48 hours prior to the date of the hearing. If you have any questions, please contact the City Manager's office at (407) 327-1800. WINTER SPRINGS, FLORIDA City of Winter Springs Resolution Number 2013-10 Page 39 of 40 * * * * * SEND NO MONEY NOW. THIS IS NOT AN INVOICE TUSCAWILLA (PHASE III) ASSESSMENT AREA [PROPERTY OWNER NAME] Tax Parcel Number [INSERT NUMBER] Total number of Benefit Units attributed to property: [INSERT NUMBER] Initial prepayment amount (if prepay prior to City financing): $[INSERT AMOUNT] Adjusted prepayment amount (if prepay after City financing): $[INSERT AMOUNT] Annual Capital Assessment: $[INSERT AMOUNT] Annual Maintenance Assessment: $[INSERT AMOUNT] Total Annual Assessment: $[INSERT AMOUNT] Number of annual capital payments: Expected date of first bill: November 2013 Total amount of annual payments: $[INSERT AMOUNT] * * * * * SEND NO MONEY NOW. THIS IS NOT AN INVOICE City of Winter Springs Resolution Number 2013-10 Page 40 of 40