Title:
Title
Reimbursement from Residual Construction-Fund Proceeds of Design and Related Costs that Landowners Advanced for Drainage Improvements in North Natomas Drainage Basin 5
End
FileID
File ID: 2019-01405
Location
Location: District 1
Recommendation:
Recommendation
Pass a Motion authorizing the disbursement of residual construction-fund proceeds for North Natomas Community Facilities District No. 2 to reimburse landowners in North Natomas Drainage Basin 5 for design and related costs they advanced.
Contact: Brian Wong, Debt Manager, (916) 808-5811; Claudia Lara, Treasury Analyst, (916) 808-2267, Office of the City Treasurer
Body
Presenter: None
Attachments:
1-Description/Analysis
Description/Analysis
Issue Detail: On January 12, 1999, the City of Sacramento entered into City Agreement No. 99-005 with six owners of land in North Natomas Drainage Basin 5 (together, the Developers):
* Kings Arena Limited Partnership (Kings)
* Buzz Oates Group (Buzz Oates)
* Sacramento Property Holdings, Inc.
* Alleghany Properties, Inc. (Alleghany)
* AAC Arena LLC
* The Cambay Group, Inc. (Cambay)
Among other things, the agreement obligated the Developers to bear, on a fair-share basis, "all design costs, engineering costs, and costs of plans and specifications, together with any and all costs incurred to acquire any property right necessary to construct" the drainage improvements in Basin 5 (the Advanced Design and Related Costs). Those fair-share payments are summarized in Exhibit E of City Agreement No. 99-005, in the column titled "Basin 5 Share of Costs." The agreement further provided that if a community facilities district were formed to fund the costs of the drainage improvements by issuing bonds, then the bond proceeds remaining after construction would be used to reimburse the Developers for the Advanced Design and Related Costs.
To finance the cost of constructing the drainage improvements, the City issued special-tax bonds through North Na...
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