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Council annexes Fifth Street townhomes into Calimesa CFD for public safety and parks services

2669775 · March 18, 2025
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Summary

The Calimesa City Council approved Resolution 2025-08 to annex the Fifth Street townhomes into Community Facilities District (CFD) No. 1, restoring funding for police, fire/paramedic and park maintenance tied to the new development; one councilmember recused from the vote.

The Calimesa City Council adopted Resolution 2025‑08 on March 17 to annex the Fifth Street townhomes project into the City of Calimesa Public Services Community Facilities District (CFD) No. 1 as annexation area No. 5, a move staff said is designed to fund law enforcement, fire/paramedic and park‑maintenance needs associated with new development.

City staff described CFD No. 1 as established in February 2006 to cover enhancements tied to growth so that new development contributes to those specific services rather than supplanting existing revenue. Staff said Aldo Development and other large projects have previously annexed into CFD No. 1.

The Fifth Street townhomes tentative map was approved by the planning commission on July 22, 2024; staff said the project was eligible for development by right within the city’s residential infill priority overlay zone and therefore required only planning commission approval.

Council action: Councilmember recused himself because his residence is within 500 feet of the project location; the council then voted to adopt Resolution 2025‑08. The motion carried with a recorded tally of four yes votes, zero no votes and one recusal. Staff noted Lynn Gruber (financial advisor) and Mary Anne Goodkind (bond counsel) were available to answer technical questions related to the annexation and financing.

Why it matters: Annexation into a CFD assigns a financing mechanism that the city and developer said is intended to pay for the incremental public‑safety and park maintenance costs associated with the new housing, rather than using general fund revenue.

What’s next: With the resolution adopted, staff and the developer will complete administrative steps to finalize the annexation and integrate the project into CFD 1’s administrative and billing mechanisms. Staff also noted the underlying entitlements for the project were previously approved by the planning commission.

Ending: Council thanked the project representatives for attending the meeting. No additional public testimony on the annexation was recorded at the meeting.