A Resolution of the Board of Supervisors of the County of Orange, California, Determining

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF ORANGE, CALIFORNIA, DETERMINING THAT SPECIAL TAXES SHALL CEASE TO BE LEVIED ON PROPERTY IN COMMUNITY FACILITIES DISTRICT NO. 88-2 (LOMAS LAGUNA) COUNTY OF ORANGE AND DIRECTING THE RECORDATION OF A NOTICE OF CESSATION OF SPECIAL TAX

July 26, 2016

WHEREAS, the Board of Supervisors of the County of Orange (the “Board of Supervisors”) has conducted proceedings under and pursuant to the Mello-Roos Community Facilities Act of 1982, Chapter 2.5 Part 1 of Division 2 of Title 5, commencing with Section 53311 of the California Government Code (the “Act”), to form Community Facilities District No. 88-2 (Lomas Laguna) of the County of Orange (the “District”), to authorize the levy of special taxes upon the real property within the District, and to issue bonds secured by the special taxes in an aggregate principal amount not to exceed $5,700,000 to finance certain public improvements authorized to be funded by the District; and

WHEREAS, the property within the District is subject to the lien of a special tax (the “Special Tax”) as set forth in the Notice of Special Tax Lien recorded in the Official Records of Orange County, California on August 2, 1990, as Document No. 90-410827; and

WHEREAS, on March 1, 1989, the County of Orange (the “County”) issued, for the District, $2,130,000 principal amount of Community Facilities District No. 88-2 of the County of Orange (Lomas Laguna) Special Tax Bonds, Series 1989 (the “1989 Bonds”) to finance public improvements authorized to be funded by the District, which improvements have been fully completed; and

WHEREAS, on June 18, 1998, the Board of Supervisors, acting as the legislative body for the South Orange County Public Financing Authority, issued $25,855,000 of South Orange County Public Financing Authority Special Revenue Bonds, 1998 Series A (Portola Hills/Lomas Laguna) (the “1998 Bonds”) for the purposes of refunding the 1989 Bonds, Series A of 1988 Special Tax Bonds of Community Facilities District No. 87-2 of the County of Orange (Portola Hills), and Series A of 1991 Special Tax Bonds of Community Facilities District No. 87-2 of the County of Orange (Portola Hills); and

WHEREAS, the 1998 Bonds have been paid in full and all obligations of the District have been satisfied; and

WHEREAS, the Board of Supervisors, as the legislative body for the District, desires to make a determination pursuant to Section 53330.5 of the California Government Code that the Special Taxes authorized to be levied on property in the District shall cease to be levied, and to authorize and direct the recordation of a Notice of Cessation of Special Tax in connection therewith.

NOW, THEREFORE, BE IT RESOLVED, that the Board of Supervisors of the County of Orange, California, acting as the Legislative Body of Community Facilities District No. 88-2 (Lomas Laguna) of the County of Orange, does resolve, declare, determine, and order as follows:

SECTION 1.Determination to Cease Levying Special Taxes. The Board of Supervisors, in its capacity as the legislative body of the District, hereby determines that the special taxes previously authorized to be levied on property in the District shall cease to be levied.

SECTION 2.Recordation of Notices of Cessation of Special Taxes. The Notice of Cessation of Special Taxes, attached hereto as Exhibit 1, is hereby approved. The Clerk of the Board is hereby authorized and directed to execute the Notice of Cessation of Special Tax and to record it in the Office of the County Recorder for the County of Orange.

NOTICE OF CESSATION OF SPECIAL TAX

The Board of Supervisors of the County of Orange

Community Facilities District No. 88-2

(Lomas Laguna), of the County of Orange

The Board of Supervisors of the County of Orange, State of California, (the “Board of Supervisors”) as the legislative body of Community Facilities District No. 88-2 (Lomas Laguna) of the County of Orange (the “District”), hereby gives notice in accordance with Government Code Section 53330.5 that:

1.The Board of Supervisors has established the District pursuant to the Mello-Roos Community Facilities Act of 1982, Chapter 2.5 Part 1 of Division 2 of Title 5, commencing with Section 53311 of the California Government Code.

2.Pursuant to Government Code Section 53330.5, on July 26, 2016, the Board of Supervisors, acting as the legislative body of the District, adopted Resolution No. 16-075 determining that special taxes shall cease to be levied on property in the District.

3.The obligation of parcels in the District to pay the special taxes has ceased and the lien imposed by the by the Notice of Special Tax Lien recorded on August 2, 1990, as Document No. 90-410827 in the records of the County Recorder of Orange County, State of California is extinguished.

4.The map of the boundaries of the District was recorded on May 24, 1988, in book 41 of Maps of Assessment and Community Facilitates Districts at Page 4 (Document No. 88242693) in the office of the County Recorder for the County of Orange, State of California.

Page 1 of 3

Resolution No. 16-075, Item No. 41

Cessation of Special Tax for District 88-2