Amador County – The Ione City Council on Tuesday will discuss the default on a Mello Roos bond that affects the Castle Oaks Subdivision, and 99 of its parcels owned by JTS Communities Incorporated. JTS missed a $453,000 dollar tax payment on its Castle Oaks Community Facilities District Number 3 in April, and the city of Ione in May notified JTS and partners that a correction would be needed in 45 days. City Manager Kim Kerr reported in May to the Board that the delinquency had occurred, and on May 21st, Kerr mailed a letter on behalf of the city to Stone & Youngberg LLC of San Diego; S&Y Capital Group of Los Angeles; Tower Investments LLC of Woodland; and Jack Sweigart and Larry Carter of JTS, based in Sacramento. The letter told the “initial purchasers” that they were “delinquent in the payment of the second installment of Special Taxes” for this fiscal year, for the Edgebrook and Castle Oaks Phase 2 Improvement Area Number 3. 2006 bonds for CFD Number 3 totaled $10.8 million dollars. Kerr in the letter said if delinquent taxes “are not paid in full within 45 days, the initial purchasers will be required” to “tender bonds in the amount of such delinquency.” Kerr in a report to the Ione City Council dated last Thursday said if the special taxes are not paid by July 6th, “or Restricted Bonds are not tendered, then the city needs to cause the Trusted to cancel Restricted Bonds.” A summary from the county tax collector’s office said 99 parcels in CFD 3 were delinquent on payments. That included 96 parcels owned by JTS Communities, and 3 parcels listed as owned by Jack T. and Victoria Sweigart. The summary said a total of $906,000 dollars was due, and $453,000 dollars in payments were delinquent for the 99 parcels, or half of the total due for the fiscal year. Kerr said County Tax Collector Michael Ryan notified the city of the non-payment by JTS Communities and its partners. Kerr and staff contacted city attorney Brian Forbath and financial consultant Shayne Morgan about the default. Kerr said staff researched and her report listed information on foreclosure proceedings, “for the benefit of the owners of the bonds.” Staff is working to “determine whether other property owners have not paid their Community Facilities District Special Taxes as well and the procedures to resolve the delinquency for each area. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
Monday, 15 June 2009 00:55
Ione City Council
Amador County – The Ione City Council on Tuesday will discuss the default on a Mello Roos bond that affects the Castle Oaks Subdivision, and 99 of its parcels owned by JTS Communities Incorporated. JTS missed a $453,000 dollar tax payment on its Castle Oaks Community Facilities District Number 3 in April, and the city of Ione in May notified JTS and partners that a correction would be needed in 45 days. City Manager Kim Kerr reported in May to the Board that the delinquency had occurred, and on May 21st, Kerr mailed a letter on behalf of the city to Stone & Youngberg LLC of San Diego; S&Y Capital Group of Los Angeles; Tower Investments LLC of Woodland; and Jack Sweigart and Larry Carter of JTS, based in Sacramento. The letter told the “initial purchasers” that they were “delinquent in the payment of the second installment of Special Taxes” for this fiscal year, for the Edgebrook and Castle Oaks Phase 2 Improvement Area Number 3. 2006 bonds for CFD Number 3 totaled $10.8 million dollars. Kerr in the letter said if delinquent taxes “are not paid in full within 45 days, the initial purchasers will be required” to “tender bonds in the amount of such delinquency.” Kerr in a report to the Ione City Council dated last Thursday said if the special taxes are not paid by July 6th, “or Restricted Bonds are not tendered, then the city needs to cause the Trusted to cancel Restricted Bonds.” A summary from the county tax collector’s office said 99 parcels in CFD 3 were delinquent on payments. That included 96 parcels owned by JTS Communities, and 3 parcels listed as owned by Jack T. and Victoria Sweigart. The summary said a total of $906,000 dollars was due, and $453,000 dollars in payments were delinquent for the 99 parcels, or half of the total due for the fiscal year. Kerr said County Tax Collector Michael Ryan notified the city of the non-payment by JTS Communities and its partners. Kerr and staff contacted city attorney Brian Forbath and financial consultant Shayne Morgan about the default. Kerr said staff researched and her report listed information on foreclosure proceedings, “for the benefit of the owners of the bonds.” Staff is working to “determine whether other property owners have not paid their Community Facilities District Special Taxes as well and the procedures to resolve the delinquency for each area. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
