EXHIBIT A - Chapter 7.82

Community Facilities District No. 1
(Disaster Fire Protection)

RATE, METHOD OF APPORTIONMENT, AND MANNER OF COLLECTION OF SPECIAL TAX

BASIS OF SPECIAL TAX LEVY

The annual special tax shall be levied on each separate parcel within Community Facilities District No. 1 (Disaster Fire Protection), City of Berkeley, Alameda County, California ("CFD No. 1") as shown on the Alameda County Assessor’s records, subject to the rates specified below as established by the City of Berkeley ("City").

DETERMINATION OF PARCELS SUBJECT TO SPECIAL TAX

All special taxes shall be based on parcels included in the County Assessor’s Secured Property Tax Roll as of March 1 of each year.

Using said Roll, the City shall annually determine the parcels subject to the special tax and the amount of the tax. All parcels lying within the City limits of the City shall be subject to the special tax, except as follows:

a.    Federal or state-owned parcels, and parcels owned by local agencies;

b.    Parcels owned by very low income persons, as defined below.

The City shall make all reasonable efforts to correctly identify the parcels subject to the special tax. However, it shall be the responsibility of each individual parcel owner to bring to the City’s attention any errors in such identification of which they become aware.

ANNUAL COSTS

Annual costs for any fiscal year shall be the total of the following:

a.    Debt service to be paid from special taxes collected during such fiscal year (less earnings on the bond reserve fund and special tax fund that are transferred to the bond redemption fund under the documents pursuant to which the CFD No. 1 bonds were issued;

b.    Administrative expenses for such fiscal year;

c.    Any amounts needed to replenish the reserve fund for CFD No. 1 bonds to the level required under the documents pursuant to which the bonds were issued;

d.    Payment for facilities authorized to be financed by the CFD No. 1 special tax.

MAXIMUM ANNUAL SPECIAL TAX RATE

In any fiscal year the maximum annual special tax rate shall be $0.0125 per square foot of building area, as defined below.

CALCULATION OF ANNUAL SPECIAL TAX

The special tax shall be levied for each fiscal year in an amount sufficient to pay annual costs, as defined above. The following formula shall be used to determine the special tax for each taxable parcel:

a.    Determine the annual costs for the fiscal year;

b.    Determine the total square footage of building area for all taxable parcels in CFD No. 1; and

c.    Divide the costs determined in a. above by the total square footage of building area determined in b. above. The rate so calculated, or the maximum rate specified above, whichever is smaller, shall be multiplied by the square footage of building area calculated for each taxable parcel to obtain the special tax for each such taxable parcel for the fiscal year; provided, however, that the special tax levied on any parcel shall not be increased by more than 10 percent as a consequence of delinquency or default in the payment of the special tax by the owner of any other parcel.

TERM OF SPECIAL TAX

The special tax shall be levied and collected in CFD No. 1 for fiscal years 2001-02 through 2020-21 (twenty years).

PREPAYMENT

A parcel owner may prepay the special tax on their parcel by satisfying the following formula:

Amount of Prepayment = Maximum Special Tax Rate X Building Area X Remaining Years

(Where Remaining Years = fiscal year 2020/21 less the most recent fiscal year for which the special tax has been paid)

MANNER OF COLLECTION

The special tax will be collected in the same manner and at the same time as ad valorem property taxes.

EXEMPTION FOR VERY LOW INCOME PERSONS

The special tax shall not apply to any property owned by any person or persons whose combined total personal income, from all sources, for the previous calendar year, does not exceed that level which shall constitute "very low income," as may be established by resolution of the City Council. Any property owner claiming the exemption shall be required to demonstrate their entitlement thereto annually by submitting an application and supporting documentation to the City Manager or their designee in the manner and at the time established in regulations and/or guidelines hereafter promulgated by the City Manager, subject to review by the City Council in its discretion. Such applications shall be on forms provided by the City Manager or their designee, and shall provide and/or be accompanied by such information as the City Manager shall require including, but not limited to, federal income tax returns and W-2 forms.

BUILDING AREA DEFINED

a.    Building means any structure having a roof supported by columns or by walls and designated for the shelter or housing of any person, chattel or property of any kind. The word "building" includes the word "structure."

b.    Structure means anything constructed or erected, the use of which requires location on the ground or attachment to something having location on the ground.

c. Area means the total gross horizontal areas of all floors, including usable basements and cellars, below the roof and within the outer surface of the main walls of buildings (or the center lines of party walls separating such buildings or portions thereof) or within lines drawn parallel to and two feet within the roof line of any building or portion thereof without walls (which includes, notwithstanding subsection 3 of this definition, the area of all porches), and including pedestrian access walkways or corridors, but excluding the following:

1.    Areas used for off-street parking spaces or loading berths, and driveways and maneuvering aisles relating thereto;

2.    Areas which are outdoor or semi-outdoor areas included as part of the building to provide a pleasant and healthful environment for the occupants thereof and the neighborhood in which the building is located. This exempted area is limited to stoops, balconies and to natural ground areas, terraces, pools and patios which are landscaped and developed for active or passive recreational use, and which are accessible for us by occupants of the building; and

3.    Arcades, porticoes and similar open areas which are located at or near street level, are accessible to the general public, and are not designed or used as sales, display, storage, service or production areas.