Title
Ordinance Repealing Ordinance No. 2022-0002 and Levying Special Taxes for Fiscal Year 2026-2027 and Following Fiscal Years within the Delta Shores Community Facilities District No. 2019-01 (Improvements) [Passed for Publication 04/28/2026; Published 05/01/2026]
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FileID
File ID: 2026-00543
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Location
Location: District 8
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Recommendation
Recommendation: Adopt an Ordinance repealing Ordinance No. 2022-0002 and Levying Special Taxes for fiscal year 2026-2027 and following fiscal years within the Delta Shores Community Facilities District No. 2019-01 (Improvements) (CFD).
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Contact
Contact: Jessica Steinhauer, Senior Development Project Manager, (916) 808-8243, jsteinhauer@cityofsacramento.org; Eric Frederick, Special Districts Manager, (916) 808-5129, efrederick@cityofsacramento.org; Department of Finance
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Background
3-Schedule of Proceedings
4-Ordinance
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Description/Analysis
IssueDetail
Issue Detail: On April 14, 2026, Council adopted Resolution No. 2026-0086 calling for a special mailed ballot election on whether to:
(1) modify the rates and the method of apportionment of the special tax for Improvement Area No. 3 of the CFD (IA-3) and to make certain related changes to the existing rate and method of apportionment and manner of collection of the special tax for IA-3 as set forth in Exhibit B to Resolution No. 2026-0059 (Resolution of Consideration), adopted by Council on March 10, 2026;
(2) Amend the aggregate principal amount of Debt (as defined in the Resolution of Consideration) that may be incurred in and for IA-3 from $63.0 million to $43.4 million;
(3) Amend the appropriations limit in and for IA-3 from the amount of $63.0 million for fiscal year 2021-22 to $43.4 million for fiscal year 2025-26; and
(4) Amend the public facilities that are authorized to be financed in and for IA-3 to be those public facilities set forth in Exhibit C to the Resolution of Consideration.
Also on April 14, 2026, Council adopted Resolution No. 2026-0087 deeming it necessary to incur bonded indebtedness in and for Improvement Area No. 4 of the CFD (IA-4) and Resolution No. 2026-0088 calling for another special mailed ballot election on whether to:
(1) Authorize the incurrence of debt in and for IA-4 with a principal amount not exceeding $23.0 million and to annually levy a special tax within IA-4 to finance the acquisition and construction of certain public facilities; and
(2) Establish the appropriations limit for IA-4 for fiscal year 2025-26 in the amount of $23.0 million.
The special mailed ballot elections were held on April 17, 2026, and all votes received were in the affirmative for each election. As a result, Council adopted a Resolution of Change on April 28, 2026, thereby enacting the changes to IA-3 and authorizing the incurrence of debt for and the levy of the special tax in, IA-4 and established the appropriations limit for IA-4, all as described above (Resolution No. 2026-0094).
Also on April 28, 2028, Council passed for publication an ordinance repealing Ordinance No. 2022-0002 and levying special taxes within the CFD that will incorporate the amendments to the RMA for IA-3 (Second Amended RMA) and will incorporate the new RMA for IA-4, both as approved by the qualified electors of all taxable property in each respective improvement area. Staff now recommends that Council adopt that same ordinance.
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PolicyConsiderations
Policy Considerations: The attached ordinance reflects the approved modifications to the CFD as outlined above. Based on projected future home prices, the overall tax burden for future homeowners in the proposed IA-4 is estimated to be at or below the threshold outlined in the City’s adopted Policies and Procedures for Use of Special Assessment and Mello-Roos Community Facilities District Financing for Infrastructure and Public Facilities.
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EconomicImpacts
Economic Impacts: Not applicable.
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EnvironmentalConsiderations
Environmental Considerations: Under California Environmental Quality Act (CEQA) Guidelines, modifying the RMA of a CFD (a CFD being a financing mechanism) or of a designated improvement area therein without commitment to any specific projects which could result in significant impact to the environment does not constitute a project for purposes of CEQA and is therefore exempt from review (14 Cal. Code Regs. §15378(b)(4)).
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: The recommended actions are required by the Mello-Roos Community Facilities Act of 1982 to implement the changes to IA-3 and to levy a new special tax in IA-4 of the CFD as approved by the qualified electors of IA-3 and IA-4, respectively.
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FinancialConsiderations
Financial Considerations: There will be no impact to the City’s General Fund as a result of this action. It is anticipated that special tax bonds will be issued in the future to finance the acquisition and construction of certain public improvements, and those bonds will be secured solely by the levy of special taxes within each improvement area pursuant to each improvement area’s specific RMA. Bond sales for Improvement Area Nos.1 and 2 of the CFD have already occurred, and one or more bond sales will occur in IA-3 and IA-4 at some point in the future.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Not applicable.
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