REPORT TO THE CITY COUNCIL FROM: SCOTT L. MOZIER, PE, Director Public Works Department BY: JILL M. GORMLEY, TE, Assistant Director Public Works Department, Traffic & Engineering Services Division ADRIAN GONZALEZ, Supervising Engineering Technician Public Works Department, Land Planning Section SUBJECT ..Title RESOLUTION - Of Intention to Annex Final Tract Map No. 6475 as Annexation No. 007 to the City of Fresno Community Facilities District No. 18 and to Authorize the Levy of Special Taxes; and setting the public hearing for Thursday, April 23, 2026, at 9:30 am (Located on the northwest corner of North Armstrong Avenue and East McKinley Avenue). (Council District 5) ..Body RECOMMENDATION Adopt Resolution of Intention to Annex Final Tract Map No. 6475 to the City of Fresno Community Facilities District No. 18 (CFD No. 18). EXECUTIVE SUMMARY The landowner (Millrose Properties California, LLC) has petitioned the City of Fresno (City) to have Final Tract Map No. 6475 (53 Lot Single-Family Home Subdivision) annexed to Community Facilities District No. 18 - Public Safety Services (CFD No. 18), to provide funding for the Services (as hereafter defined) pertaining to police and fire safety, protection, and suppression services associated with the proposed development. The cost for these Services is $164.00 per lot annually for Fiscal Year 2026-2027. Final Tract Map No. 6475 is located entirely within City limits. The Resolution of Intention begins the process, sets the required public hearing for Thursday, April 23, 2026, at 9:30 am, and defines the steps required to complete the annexation (see attached Location Map). BACKGROUND Subdivision: 6475 Developer: Lennar Homes Number of Lots: 53 Maximum Special Tax Per Lot: $164.00 On December 1, 2022, the Council of the City of Fresno adopted Council Resolution No. 2022-279 forming CFD No. 18 to fund Services pertaining to police and fire safety, protection, and suppression services, as defined under the City of Fresno Special Tax Financing Law, Chapter 8, Division 1, Article 3, of the Fresno Municipal Code (City Law). The landowner, Millrose Properties California, LLC, along with Darryl Denius, an agent representing the landowner, has petitioned (including waivers) the City of Fresno to have Final Tract Map No. 6475 annexed to CFD No. 18 to provide the funding for the Services pertaining to police and fire safety, protection, and suppression services associated with the planned development (see attached Location Map). Final Tract Map No. 6475 is the first phase of Tentative Tract Map No. 6475 (TT6475) and is located entirely within City limits. The attached Resolution initiates the annexation process, sets the public hearing on this matter for Thursday, April 23, 2026, at 9:30 am, sets the total Maximum Special Tax for the Public Safety Services to be provided by CFD No. 18 annually for Fiscal Year 2026-2027 at $164.00 per lot and sets the Special Tax to be adjusted upward annually by 2% or by the rise of the Construction Cost Index (CCI), if it exceeds 2% for the San Francisco Region. Annexations to existing community facilities districts are permitted under City Law. The legislative body must follow certain prescribed procedures as outlined below: * Adoption of a Resolution of Intention to Annex to CFD No. 18 * Required 7-day minimum Notice of Public Hearing * Public hearing on Annexation and Levy of Special Tax * Call a Special Mailed-Ballot Election on the proposed Special Tax * Declare the Results of the Election * Formal Adoption of Special Tax Levy (if election passes) The attached Resolution has been approved as to form by the City Attorney's Office. ENVIRONMENTAL FINDINGS Pursuant to the definition in California Environmental Quality Act Guidelines Section 15378, this action is not a project. LOCAL PREFERENCE Local preference was not implemented, as this item does not include a bid or award of a construction or services contract. FISCAL IMPACT No City funds will be involved. All costs for services will be borne by the property owners within the subject tract. Attachments: Location Map Levine Act Disclosure Statement Form Resolution of Intention