CFD Formation/City Utility Tax Sample Clauses

CFD Formation/City Utility Tax. { TC "4.8. CFD Formation/City Utility Tax" \f C \l "2" }. At Owner’s option, the Owner may petition the City to establish a CFD that levies a special tax that offsets the negative fiscal impacts, to the extent permitted by the legislation authorizing the CFD, that would be associated with the absence of the Utility Tax (“Services CFD”). If the Utility Tax is extended on a permanent basis with no sunset provision, then no Services CFD will be required. If the Utility Tax is adopted with a sunset provision, then the Services CFD shall be established at the maximum rate, which at present, is estimated at $191/unit per year. If the City, with concurrence of Owner, devises another financing mechanism to cover the Project’s fiscal impact, then no Services CFD will be required. If the Services CFD is created, the amount of the special tax will be reduced on an annual basis by the City to reflect the actual fiscal impact of the Project. The actual fiscal impact of the Project is presently set at an amount of $191/unit but subject to change depending upon subsequent discretionary annexation actions taken by LAFCO. Owner shall disclose the Services CFD and Utility Tax terms to all prospective purchasers in a disclosure document that shall be submitted to the City for approval not less than sixty (60) days prior to marketing of the Project for sale to the public. The disclosure shall confirm that the Services CFD will be subject to the maximum annual inflator factor as provided by law.
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Related to CFD Formation/City Utility Tax

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