Agenda Item   

AGENDA STAFF REPORT

 

                                                                                                                        ASR Control  25-000615

 

MEETING DATE:

09/23/25

legal entity taking action:

Board of Supervisors

board of supervisors district(s):

5

SUBMITTING Agency/Department:

County Executive Office   (Approved)

Department contact person(s):

Louis McClure (714) 834-5999 

 

 

Christine Gardea (714) 834-3014

 

 

Subject:  Amend Reimbursement Agreement for proposed Community Facilities Districts

 

     ceo CONCUR

County Counsel Review

Clerk of the Board

          Concur

Approved Agreement to Form

Consent Calendar

 

 

3 Votes Board Majority

 

 

 

    Budgeted: N/A

Current Year Cost:  N/A

Annual Cost: N/A

 

 

 

    Staffing Impact:

No

# of Positions:           

Sole Source:   N/A

    Current Fiscal Year Revenue: N/A

   Funding Source:    Developer Deposits: 100%

County Audit in last 3 years: No

   Levine Act Review Completed: Yes

 

    Prior Board Action:         1/12/2021 #20

 

RECOMMENDED ACTION(S):

 

Approve Amendment No. 1 to the Reimbursement Agreement with RMV PA3 Development, LLC to extend the term through December 31, 2030, for the costs associated with analyzing and determining the appropriateness of forming and funding certain public facilities and improvements through future Community Facilities Districts in Planning Area 3 and authorize the County Executive Officer or designee to execute the Agreement.

 

 

 

 

SUMMARY:

 

Approval of the recommended action will allow the developer to fund the staffing and vendor costs associated with analyzing and determining the appropriateness of forming future Community Facilities Districts for the efficient financing of public infrastructure at the time of development.

 

 

BACKGROUND INFORMATION:

 

In November 2004, your Board approved the Ranch Plan Development Agreement (Development Agreement) between the County of Orange and RMV PA3 Development, LLC (Developer) allowing up to 14,000 dwelling units, as well as retail, office, and recreational uses within a development area of approximately 7,700 acres with approximately 15,000 acres retained in open space.  The Developer has proposed the formation of one or more community facilities districts (CFD) and financing of the public facilities and projects that are required pursuant to the Development Agreement, to be completed in phases, as development occurs.

 

The County formed three CFDs, 2015-1, 2016-1 and 2017-1, to finance improvements in Planning Area 2, known as the Village of Esencia. Development is in progress in Planning Area 3, and the County formed CFD 2021-1, 2023-1 and 2025-1 to finance improvements for phases of Planning Area 3.   It is anticipated that additional CFDs may be formed for Planning Area 3 beginning as early as 2026. 

 

On January 12, 2021, your Board approved a Reimbursement Agreement with the Developer to permit the County to undertake the analyses required to determine the appropriateness of forming CFDs to finance public facilities and improvements without incurring any cost.  Under the Reimbursement Agreement, the Developer will be required to periodically advance funds to the County to cover all costs associated with retaining the financing professionals, as well as County staff time.

 

The Reimbursement Agreement is set to expire on December 31, 2025. The County Executive Office requests your Board to approve the attached amendment to extend the terms of the Reimbursement Agreement for five years through December 31, 2030 and to allow unused funds to be returned to the Developer.

 

The County Executive Office will return to the Board if the formation of a CFD is appropriate for the financing of public facilities.

 

 

 

FINANCIAL IMPACT:

 

Staffing and vendor costs will be funded by the Reimbursement Agreement.

 

 

STAFFING IMPACT:

 

N/A

 

 

 

ATTACHMENT(S):

 

Attachment A - Amendment to Reimbursement Agreement
Attachment B - Reimbursement Agreement