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HomeMy WebLinkAboutStaff Report 4.C 06/20/2016DATE: June 20, 2016 Agenda Item #4.0 TO: Honorable Mayor and Members of the City Council through City Manager FROM: Dan St. John, KASCE — Director; Public Works & Utilities Ron DeNicola — Public Works Parks Manager SUBJECT: Public Meeting to Hear Testimony Regarding the Annual Assessments for the Landscape Assessment Districts and Adopt Resolution Describing Improvements and Directing Preparation of Engineer's Report for Fiscal Year 2016-2017 Annual Assessment for Landscape Assessment Districts; Resolution Providing Preliminary Approval of Engineer's Report for Landscape Assessment Districts, Fiscal Year 2016-2017; and Resolution Setting a Public Hearing to Order the Levy and Collection of Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Landscape Assessment Districts, Fiscal Year 2016-2017 RECOMMENDATION It is recommended that the City Council hold a public meeting, and adopt the following resolutions: 1. Resolution Describing Improvements and Directing Preparation of Engineer's Report for Fiscal Year 2016-2017Annual Assessment for Landscape Assessment Districts 2. Resolution Providing Preliminary Approval of Engineer's Report for Landscape Assessment Districts, Fiscal Year 2016-2017 3, Resolution Setting a Public Hearing to Order the Levy and Collection of Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Landscape Assessment Districts, Fiscal Year 2016-2017. BACKGROUND The City Council has established LADs for 47 subdivisions of which four are inactive that feature public landscaped areas, as identified in the conditional tentative map approval prior to development of the subdivision. These districts are formed to maintain various amenities on common landscaped areas and islands, medians and frontage strips, pathways, riparian mitigations, sound walls, and fences, including irrigation systems within the specific sub- division. The annual maintenance costs are spread among all of the private parcels within each LAD district. Each year, as required by the California Streets and Highway Code (SHC) Section 22620 through 22631, the City Council must initiate a process to set the annual assessments for the Landscape Assessment Districts in order to assure sufficient funds are provided for the necessary landscape maintenance. The process requires a Public Meeting to hear testimony and approve the three subject resolutions contained herein, which is scheduled for June 20, 2016. Further, a Public Hearing is required and is scheduled for July 18, 2016. The Public Hearing will allow the City Council to hear any public comment, confirm or modify the proposed assessments, and approve the Engineer's Report. With respect to the actions recommended to be taken on June 20, 2016, please note, portions of the approval legislation will be segmented into separate resolutions for specific landscape assessment districts (LADS) pursuant to Title 2, Cal. Code of Regulations, section 18709, to deal with the likelihood that certain Council members may recuse themselves from making decisions on LAD assessments for properties within 500' of real property in which Council members have ownership or other interests. The proposed action meets Council Goal: "Improve and enhance fiscal stability and sustainability". DISCUSSION The Landscape and Lighting Act of 1972, which is codified in the above referenced section of the California Streets and Highway Code requires the following steps: • Adopt resolution describing new improvements, which there are none, and order preparation of engineer report. • Approve engineer report, consisting of Exhibits A and B, which summarize fund balances, projected levies, maintenance costs, per parcel assessments, increases/decreases, and expenditure details including number of parcels per LAD. • Adopt resolution setting a Public Hearing to order the levy and collection of the annual LAD parcel assessments. The above steps can be accomplished by adopting the subject three resolutions. At the July 18, 2016 public hearing, Council may adopt a resolution confirming the assessments for FY 16/17. This must occur before August 10 to make assessments valid for FY 16/17. Delay in approving the recommended resolutions may prevent assessment collections by Sonoma County, which has an August 10 deadline for submission of assessments. No changes in assessments other than those LADS with a built-in 2% annual escalator are recommended. Through concerted water conservation efforts, reduced maintenance costs, and competitive bidding over the course of the last several years, staff has turned LADs with negative fund balances in a positive direction. Staff expects this trend to continue. Based on Attachment 4, Exhibit A of the Engineer's Report, there are ten LADs projected to have a negative fund balance at the end of FYI 7, four of which are inactive. Deficits in the remaining seven accounts are projected to be reduced by year-end. Over half of the LADs are projected to have a high ending fund balance defined as greater than 6 -months of operating costs. Some of the higher fund balances will be expended on special projects or upgrades slated for the next year. Some of the LADs have project needs that have been deferred during the drought. During 2 the next year, staff will develop strategies to lower these high fund balances over the next few years. Because there are no increases in assessments proposed other than those with "built-in" escalators, there is no requirement to mail a ballot or notice to LAD property owners. However, there will be public notice provided 10 days prior to the public hearing. FINANCIAL IMPACTS The Landscape Assessment Districts Fund 2510 has an estimated beginning balance of $358,033. The amount budgeted for FY 2016-2017 expenditures is $353,658 as reflected in the City's proposed FY 16/17 Budget. The estimated fund balance at year-end, June 2017, is $396,547. ATTACHMENTS 1. Resolution Describing Improvements and Directing Preparation of Engineer's Report for the Fiscal Year 2016-2017 Annual Assessment for Landscape Assessment Districts. 2. Resolution of Preliminary Approval of Engineer's Report for Landscape Assessment Districts for FY 2016-2017, 3. Resolution Setting a Public Hearing to Order the Levy and Collection of Assessments Pursuant to the Landscaping and Lighting Act of 1971 for Landscape Assessment Districts, Fiscal Year 2016-2017. 4. Exhibit A of Engineer's Report: Subdivision Landscape Assessment Districts FY 16-17 Assessment Summary/Expenditures and Revenues ® Item 5 is large in volume and is not attached to this report, but may be viewed in the City Clerk's office. 5. Exhibit B of Engineer's Report: LAD Descriptions and Maps 6. Map: Conflict of Interest Boundaries with LAD Boundaries Attachment 1 RESOLUTION DESCRIBING IMPROVEMENTS AND DIRECTING PREPARATION OF ENGINEER'S REPORT FOR FISCAL YEAR 2016-2017 ANNUAL ASSESSMENT FOR LANDSCAPE ASSESSMENT DISTRICTS WHEREAS, pursuant to the provisions of the Landscaping and Lighting Act of 1972, Streets and Highways Code sections 22500 et seq., the City Council has established Landscape Assessment Districts and authorized levy and collection of assessments, listed in Exhibit A of the Engineer's Report, on file with the City Clerk. NOW, THEREFORE, BE IT RESOLVED that: The public interest, convenience and necessity require, and it is the intention of said Council to undertake proceedings for the levy and collection of assessments upon the several parcels of land in said districts, for Fiscal Year 2016-2017 maintenance. The improvements to be constructed or installed, including the maintenance thereof, are more particularly described for each district in Exhibit B of the Engineer's Report, Descriptions and Maps. 2. The maintenance costs or expenses of said improvements are to be made chargeable upon said districts; the exterior boundaries of each district are the composite of each consolidated area, as more particularly shown on a map thereof on file in the office of the City Clerk, to which reference is hereby made for further particulars. Said maps for each district indicate by a boundary line the extent of the territory included in said district and of any zone thereof and shall govern for all details as to the extent of each assessment district. The boundary lines are also generally depicted in Exhibit B of the Engineer's Report, Descriptions and Maps. 3, The City Engineer of the City of Petaluma shall be the Engineer of Work, and is hereby directed to prepare and file with the City Clerk a report on the districts specifying the fiscal year to which the report applies, and, with respect to that year, presenting the following: a) Description of the existing improvements and proposed new improvements, if any, to be made within the assessment district or within any zone thereof; b) An estimate of the costs of said proposed new improvements, if any to be made; the costs of maintenance of any existing improvements, together with the incidental expenses in connection therewith; c) A diagram showing the exterior boundaries of the assessment district and the lines and dimensions of each lot or parcel of land within the district as such lot or parcel of land is shown on the County Assessor's map for the fiscal year to which the report applies, each of which lots of parcels of land shall be identified by a distinctive number on said diagram; and .19 d) A proposed assessment of the total amount of the estimated costs and expenses of the proposed new improvements, if any, including the maintenance of any existing improvements upon the several parcels of land in said district in proportion to the estimated benefits to be received by such parcels of land from said improvements, including the maintenance, and of the expenses incidental thereto. 4. The Director of Public Works and Utilities and the Director of Finance of Petaluma are hereby designated as the persons to answer inquiries regarding any protest proceedings to be had herein, and may be contacted during regular office hours at the Petaluma City Hall, P.O. Box 61, 11 English Street, Petaluma, CA 94952, or by calling 707-778-4303. Attachment 2 RESOLUTION PROVIDING PRELIMINARY APPROVAL OF ENGINEER'S REPORT FOR LANDSCAPE ASSESSMENT DISTRICTS FISCAL YEAR 2016-2017 WHEREAS, the City Council of Petaluma adopted its Resolution Describing Improvements and Directing Preparation of Engineer's Report for Fiscal Year 2016-2017 Annual Assessments for Landscape Assessment Districts, pursuant to the Landscaping and Lighting Act of 1972, Streets and Highways Code sections 22500 et seq.; and WHEREAS, said Resolution referred the proposed improvements to the Engineer of Work, and directed said Engineer of Work to prepare and file with City Clerk a written report on the LAD, all as therein more particularly described ("Engineer's Report"); and WHEREAS, the Engineer of Work has prepared and filed the Engineer's Report with the City Clerk, and the Engineer's Report has been presented to the City Council for consideration; and WHEREAS, the Landscape Assessment Districts (LAD) are listed in Exhibits A and B of the Engineer's Report; and WHEREAS, the City Council has duly considered the Engineer's Report and each and every part thereof, and finds that said Engineer's Report is sufficient and does not require modification. NOW, THEREFORE, BE IT RESOLVED that: 1. The plans and specifications for the existing improvements within the assessment districts listed in Exhibit A of the Engineer's Report, or within any zone thereof, contained in said report are hereby approved. 2. The Engineer's estimate of the itemized and total costs and expenses of said improvements, if any, maintenance, and the incidental expenses in connection therewith, contained in said report are hereby approved. The diagram contained in the Engineer's Report showing the exterior boundaries of the assessment districts referred to and described, the boundaries of any zones therein, the lines and dimensions of each lot or parcel of land within said districts as such lot or parcel of land is shown on the County Assessor's maps for the fiscal year to which the report applies, each of which lot or parcel of land has been given a separate number upon said diagram, is hereby preliminarily approved. 3 4. Each proposed assessment of the total amount of the estimated costs and expenses of the proposed improvements upon the several parcels of land in each district is in proportion to the estimated benefits to be received by such parcels, respectively, from said improvements, including the maintenance or servicing, or both thereof, and of the expenses incidental thereto, as contained in the Engineer's Report and is hereby approved. 5. Said report will stand as the Engineer's Report for all of the individual districts as listed in Exhibit A of the Engineer's Report, for the purpose of all subsequent proceedings to be had pursuant to said Resolution. 7 Attachment 3 RESOLUTION SETTING A PUBLIC HEARING TO ORDER THE LEVY AND COLLECTION OF ASSESSMENTS PURSUANT TO THE LANDSCAPING AND LIGHTING ACT OF 1972 FOR LANDSCAPE ASSESSMENT DISTRICTS FISCAL YEAR 2016-2017 WHEREAS, on June 20, 2016, the City Council of Petaluma adopted a Resolution Describing Improvements and Directing Preparation of Engineer's Report for Fiscal Year 2016- 2017 Annual Assessments for Landscape Assessment Districts, pursuant to the Landscaping and Lighting Act of 1972, Streets and Highways Code sections 22500 et seq.; and WHEREAS, pursuant to said Resolution, the designated Engineer of Work has prepared and filed with the City Clerk the written Engineer's Report for the districts listed in Exhibit A of the Engineer's Report, called for under said Act and by said Resolution; and WHEREAS, the Engineer's Report has been submitted to and preliminarily approved by the City Council in accordance with said Act. NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED AND ORDERED: 1. The public interest and convenience require, and it is the intention of the City Council to order the levy and collection of assessments for fiscal year 2016-2017, pursuant to the provisions of the Landscaping and Lighting Act of 1972, Streets and Highways Code sections 22500 et seq., for the construction or installation of the improvements, if any, including maintenance, more particularly described for each district in Exhibit B of the Engineer's Report, Descriptions and Maps. 2. The cost and expenses of said improvements, if any, for each assessment district, including maintenance, are to be made chargeable upon the specified assessment district, the exterior boundaries of which district are the composite and consolidated area as more particularly described on a map thereof on file in the office of the City Clerk, to which reference is hereby made for further particulars. Said map indicates by a boundary line the extent of the territory included in each of the districts and of any zone thereof and the general location of said districts. 3. The Engineer's Report approved by this Council and on file with the City Clerk is hereby referred to for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein, and the proposed assessments upon assessable lots and parcels of land within the districts. 4. Notice is hereby given that Monday, July 18, 2016, at the hour of 7:00 PM, in the regular meeting place of said Council, Council Chambers, City Hall, 11 English Street, Petaluma, California, is hereby appointed and fixed as the time and place for a hearing by this Council on the question of the levy and collection of the proposed assessments for each district for the construction or installation of said improvements, if any, including the maintenance, at which time the City Council will: (i) consider all oral or written protests made or filed by any interested person at or before the conclusion of the public hearing relating to or opposing said improvements, the boundaries of each assessment district and any zone therein, the proposed diagram or the proposed assessments, the Engineer's estimate of the cost thereof; and (ii) consider and finally act upon the Engineer's Report for the districts. 5. The City Clerk is hereby directed to give notice of said hearing by causing a copy of this resolution to be published once in a newspaper of general circulation circulated in said City, and by conspicuously posting a copy thereof upon the official bulletin board customarily used by the Council for the posting of notices, said posting and publication to be had and completed at least ten (10) days prior to the date of hearing specified herein. 6. The Director of Public Works and Utilities and/or the Director of Finance of said City are hereby designated as the persons to answer inquiries regarding any protest proceedings to be had herein, and may be contacted during regular office hours at the Petaluma City Hall, P.O. Box 61, 11 English Street, Petaluma, CA 94952, or by calling 707-778-4303. 9 5/26/ City of Petaluma Attachment Exhibit A Engineer's Report Landscape Assessment Districts FY 16-17 Assessment Summary # of Parcels Assessed Project Number Landscape District Beginning Assessments Balance Levied Total Sources Maintenance & Admin. Costs Ending Balance FYI 6-17 Net Assessment Per Parcel FYI 5-16 Net Assessmetn Per Parcel % 77777777- 7 $ 3,6505 .7 0 74 LAD076600 ANNA'S MEADOWS $ 17,585 $ 1,110 $ 18,695 $ 7,707 $ 10,987 $ 15.00 $ 15.00 0.0% 44 LAD076800 LIBERTY FARMS $ (6,590) $ 8,026 $ 1,436 $ 6,981 $ (5,544) $ 182.42 $ 178.84 2.0% 40 LAD076900 CORONA CREEK 2 $ 16,456 $ 4,000 $ 20,456 $ 2,751 $ 17,705 $ 100.00 $ 100.00 0.0% 100 ILAD077000 AMERICANA $ 16,805 $ 3,700 $ 20,505 $ 3,641 $ 16,864 $ 37.00 $ 37.00 0.0% 14 LAD077100 KINGSFIELD $ 2,358 $ 700 $ 3,058 $ 609 $ 2,449 -9--50 00 $ 50.00 0.0% 151 LAD077200 CASA DEL ORO $ 9,287 $ 3,656 $ 12,943 $ 1,656 $ 11,288 $ 24.21 $ 23.74 2.0% 185 LAD077500 MCNEAR LANDING $ 1,270 $ 13,950 $ 15,220 $ 12,399 $ 2,821 -$-7 5. 0 0 $ 75.00 0.0% 41 LAD077600 FAIRWAY MEADOWS $ (6,687) $ 8,200 $ 1,513 $ 5,395 $ (3,882) $ 200.00 $ 200.00 0.0% 83 LAD077700 GLENBROOK $ 789 $ 4,055 $ 4,844 $ 2,999 $ 1,845 $ 48.86 $ 48.86 0.0% 177 LAD077900 MEADOW PARK $ 81,713 $ 21,611 $ 103,323 $ 52,576 $ 50,748 $ 122.09 $ 119.70 2.0% 44 LAD078000 TWIN CREEKS $ (4,595) $ 9,900 $ 5,305 $ 5,574 $ (269) $ 225.00 $ 225.00 0.0% 82 LAD078100 PARK PLACE $ 11,484 $ 2,421 $ 13,906 $ 509 $ 13,397 $ 29.53 $ 28.95 2.0% 59 110 78 LAD078200 LAD078300 LAD078400 WOODSIDE VILLAGE SHELTER HILLS SPRING MEADOWS $ 9,576 $ $ 4,503 $ $ 2,996 $ 3,194 2,080 - $12,770 $ $ 6,583 2,996 $ 2,505 $ 643 $ 1,730 $ 10,266 $ 5,940 $ 1,266 $ 54.14 $ 18.91 $ - $ -F-1 $ 54.14 8.91 - 0.0% 0.0% 0.0% 19 LAD078500 ST JAMES ESTATES $ 10,427 $ 2,850 $ 13,277 $ 3,177 $ 10,100 $ 150.00 $ 150.00 0.0% 71 LAD078600 VILLAGE EAST $ 23,040 $ 1,775 $ 24,815 $ 1,473 $ 23,342 $ 25.00 $ 25.00 0.0% 79 LAD078700 VILLAGE MEADOWS $ 11,531 $ 9,896 $ 21,427 $ 6,676 $ 14,751 $ 119.23 -$-1 16.8 9 2.0% 200 LAD078800 CROSS CREEK $ 7,762 $ 10,000 $ 17,762 $ 7,860 $ 9,902 $ 50.00 $ 50.00 0.0% 167 LAD079000 WESTRIDGE $ (7,418) $ 12,622 $ 5,205 $ 6,147 $ (943) $ 75.58 --$-74. 10 2.0% 445 LAD079100 SONOMA GLEN SF $ (69,910) $ 32,130 $ (37,781) $ 14,439 $ (52,220) $ 81.18 $ 79.59 2.0% SONOMA GLEN TH $ 53.04 $ 52.00 2.0% 180 LAD079200 MOUNTAIN VALLEY $ 20,756 $ 12,060 $ 32,816 $ 10,244 $ 22,572 $ 67.00 $ 67.00 0.0% 117 LAD070300 KINGSMILL $ 8,908 $ 11,680 $ 20,588 $ 10,511 $ 10,077 $ 96.53 $ 94.64 2.0% 75 LAD079400 COUNTRY CLUB ESTATES $ 16,024 IF 7,900 $ 23,924 $ 5,715 $ 18,208 $ 100.00 $ 100.00 0.0% 124 LAD079500 C ADER FARMS $ 26,218 $ 26,533 $ 52,751 $ 20,846 $ 31,906 $ 213.98 $ 209.78 2.0% 53 LAD079501 CADER FARM HIGHLAND IF (20,210) $ 6,625 $ (13,585) $ 3,422 $ (17,007) $ 125.00 $ 125.00 0.0% 21 LAD079600 CRANE GLEN $ 1,152 $ 1,490 $ 2,643 $ 748 $ 1,895 -f-7o. 97 $ 69.58 2.0% 30 3 203 12 LAD079700 ILAD079800 LAD079900 LAD092600 HILLVIEW OAKS TATUM GRAYSTONE CREEK MAGNOLIA TERRACE $ (3,127) $ $ (66) $ $ 30,662 $ $ 4,169 $ - 45 20,300 - $ $ $ $ (3,127) $ (2 1) $ 50,962 $ 41169 --9--30 35 16,057 $ (3,127) $ (57) $ 34,905 $ 4,139 $ $ 15.00 $ 100.00 $ - $ $ $ $ 15.00 100.00 - 0.0% 0.0% 0.0% 0.0% 28 LAD092700 WISTERIA $ 6,429 $ 1,680 $ 8,109 $ 1,362 $ 6,747 $ 60.00 $ 60.00 0.0% 42 LAD092900 WESTVIEW ESTATES $ 23,537 $ 5,125 $ 28,662 $ 8,455 $ 20,208 $ 125.00 $ 125.00 0.0% 236 LAD093000 WILLOW GLEN $ (17,733) $ 30,680 $ 12,947 $ 16,430 $ (3,483) $ 130.00 $ 130.00 0.0% 19 LAD093100 STONERIDGE $ 23,338 $ 665 $ 24,003 $ 3,114 $ 20,890 -S---35 00 $ 35.00 0.0% 97 LAD093200 LANSDOWNE $ (784) $ 6,790 $ 6,006 $ 4,700 $ 1,306 -$--70 00 -f-70 00 0.0% 37 LAD093500 WASHINGTON CK VILLAGE $ 7,855 $ 12,839 $ 20,694 $ 12,673 $ 8,021 $ 347.00 $ 347.00 0.0% 78 LAD093600 TURNBRIDGE $ 8,891 $ 9,795 $ 18,686 $ 5,418 $ 13,268 $ 125.58 $ 125.58 0.0% 92 LAD093700 STRATFORD PLACE $ 36,359 $ 11,847 $ 48,206----%- 26,736 $ 21,470 $ 128.77 $ 128.77 0.0% 216 L 09380 SOUTHGATE $ (20,187) T 61,636 $ 41,448 $ 30,942 $ 10,507 $ 285.35 $ 285.35 0.0% 59 LAD093900 RIVERVIEW $ 60,280 $ 4,725 $ 65,005 $ 26,917 $ 38,088 $ 75.00 $ 75.00 0.00/( LAD100100 UNALLOCATED Is Is _ $ _ $ _ Is _ $ _ 0.0% City of Petaluma Attachment Exhibit A Engineer's Report Landscape Assessment Districts FY 16-17 Assessment Summary # of Parcels Assessed Project Number Landscape District Beginning Balance Assessments Levied Total Sources Maintenance & Admin. Costs FY16-17 Net Ending Assessment Per Balance Parcel FYI 5-16 Net Assessmetn Per Parcel % 9 LAD100110 SEQUOIA ESTATES $ (249) $ - $ (249) $ 35 $ (284) $ - $ 0.0% 45 LAD100120 SYCAMORE HEIGHTS $ 8,724 $ 1,544 $ 10,268 -I 475 $ 9,793 $ 34.32 $ 34.32 0.0% 326 LAD100130 ADOBE CREEK $ (100) $ (1 $ - $ (100) $ - $ - 0.0% LAD100140 BENSON ESTATES $ 966 $ �$E214J36 $ - $ 966 $ - $ - 0.0% LAD100150 FACTORY OUTLET $ 2,436 $ $ 392,084 $ - $ 750,117 $ 353,570 $ 2,436 $ - 9 396,547 $ - 0.0% 4,389 TOTALS $ 358,033 5/26/2016 1:39 PM Att 4 Exh A Eng Rpt Assess Summary