Agenda packet — Atascadero City Council, May 12, 2026 (part 2 of 3)

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 2

2. EXECUTIVE SUMMARY
Pursuant to the provisions of the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500 (hereafter referred to as the “1972 Act”), and in compliance with the substantive and procedural requirements of the California State Constitution Article XIIID (hereafter referred to as “Article XIIID”), the City Council of the City of Atascadero, County of San Luis Obispo, State of California (hereafter referred to as “City”), executed the proceedings required for the establishment of the special benefit assessment district designated as:

Landscaping and Lighting District No. 03 (De Anza Estates) (hereafter referred to as the “District”), which includes the lots and parcels of land within the residential subdivision known as De Anza Estates, Tract 2498 within the City limits of the City. This Engineer’s Report (hereafter referred to as the “Report”) has been prepared in connection with the levy and collection of annual assessments related thereto for Fiscal Year 2026/27, as required pursuant to Chapter 1, Article 4 of the 1972 Act.

The City Council formed the District, and provided for the levy and collection of annual assessments on the County tax rolls to provide ongoing funding for the costs and expenses required to service and maintain the landscaping and lighting improvements associated with and resulting from the development of properties within the District. The improvements to be provided by the District and the assessments described herein are made pursuant to the 1972 Act and the substantive and procedural provisions of Article XIIID.

This Report describes the District, the improvements, and the proposed assessments to be levied against properties in connection with the special benefits the properties will receive from the maintenance and servicing of the District improvements. The annual assessments will provide a funding source for the continued operation and maintenance of public landscaping and lighting improvements installed in connection with the development of properties within the District.

The improvements and assessments described in this Report are based on the planned development of properties within the District and represent an estimate of the direct expenditures, incidental expenses, and fund balances that will be necessary to maintain and service the improvements. The boundaries of the District, the proposed improvements, the method of apportionment, and assessments described herein are based on current development plans and specifications for Tract 2498; and by reference these plans and specifications are made part of this Report.

The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessor’s Parcel Number (APN) by the San Luis Obispo County Assessor’s Office. The San Luis Obispo County Auditor/Controller uses Assessor’s Parcel Numbers and specific Fund Numbers to identify properties to be assessed on the tax roll for the special benefit assessments.

As part of the District formation, the City of Atascadero conducted a Property Owner Protest Ballot proceeding for the proposed levy of a new assessment pursuant to the provisions of the California Constitution, Article XIIID Section 4. In conjunction with this ballot proceeding, the City Council conducted a noticed public hearing on August 9, 2005 to consider public testimonies, comments and written protests 5/12/26 | Item E5 | Attachment 8

Page 127 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 3 regarding the formation of the District and levy of assessments. Upon conclusion of the public hearing, property owner protest ballots received were opened and tabulated to determine whether majority protest existed (ballots were weighted based on assessment amounts), and by resolution the City Council confirmed the results of the ballot tabulation. Tabulation of the ballots indicated that majority protest did not exist for the proposed assessments and the assessment range formula presented and described herein, the City Council approved the Report (as submitted or amended), ordered the formation of the District, and approved the levy and collection of assessments. The assessments for Fiscal Year 2005/2006 were submitted to the San Luis Obispo County Auditor/Controller for inclusion on the property tax roll for each parcel.

Each subsequent fiscal year, an Engineer’s Report shall be prepared and presented to the City Council describing the District any changes to the District or improvements and the proposed budget and assessments for that fiscal year and the City Council shall hold a noticed public hearing regarding these matters prior to approving and ordering the proposed levy of assessments. If the proposed assessments for the District exceed the maximum assessment described herein (as approved by the property owners), the new or increased assessment must be confirmed through another property owner protest ballot proceeding before such an assessment may be imposed. It should be noted that an increased assessment to an individual property resulting from changes in development or land use does not constitute an increased assessment.
5/12/26 | Item E5 | Attachment 8

Page 128 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 4

3. PLANS AND SPECIFICATIONS

3.1 Description of the District
The territory within the District consists of the lots, parcels and subdivisions of land within the proposed residential subdivision known as the De Anza Estates, Tract 2498, which encompasses an area of land totaling approximately seventy-six acres (75.84 acres).

This subdivision is planned to include twenty-six (26) Single-Family Residential Units and sixty (60) Modified Housing/Senior Housing Units at build-out. The planned subdivision is situated in the northern portion of the City of Atascadero northeast of Highway 101 and is generally located:
 At the North end of El Camino Real;
 North and East of U.S. HWY 101; and,
 South and West of the Salinas River.

3.2 Improvements and Services Authorized by the 1972 Act As generally defined by the 1972 Act and applicable to this District, the improvements and associated assessments may include one or more of the following:
1) The installation or planting of landscaping;
2) The installation or construction of statuary, fountains, and other ornamental structures and facilities; 3) The installation or construction of public lighting facilities including, but not limited to street lights and traffic signals;
4) The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof; 5) The installation of park or recreational improvements, including, but not limited to, all of the following:
a) Land preparation, such as grading, leveling, cutting and filling, sod, landscaping, irrigation systems, sidewalks, and drainage.
b) Lights, playground equipment, play courts, and public restrooms. 6) The acquisition of land for park, recreational, or open-space purposes or any existing improvement otherwise authorized pursuant to this section.
7) The maintenance or servicing, of any of the foregoing including the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement including but not limited to:
a) Repair, removal, or replacement of all or any part of any improvements; b) Grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities; c) Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; d) The removal of trimmings, rubbish, debris, and other solid waste; 5/12/26 | Item E5 | Attachment 8

Page 129 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 5 e) The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti;
f) Electric current or energy, gas, or other illuminating agent for any public lighting facilities or for the lighting or operation of any other improvements; g) Water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements.
8) Incidental expenses associated with the improvements including, but not limited to:
a) The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
b) The costs of printing, advertising, and the publishing, posting and mailing of notices; c) Compensation payable to the County for collection of assessments; d) Compensation of any engineer or attorney employed to render services; e) Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
f) Costs associated with any elections held for the approval of a new or increase assessment.

3.3 Description of Improvements and Services
The purpose of this District is to ensure the ongoing maintenance, operation and servicing of local landscaping and street lighting improvements established or installed in connection with development of properties within the District. The improvements may consist of all or a portion of the public landscaped areas, street lighting and appurtenant facilities within and adjacent to the District (Tract 2498). These improvements generally include, but are not limited to the materials, equipment, utilities, labor, appurtenant facilities and expenses necessary for the ongoing maintenance and operation of public street lighting as well as landscaped parkways, medians, slopes, trails, park areas, drainage basins, open space areas and other designated easements or rights-of-way constructed and installed as part of the development plans and agreements approved for the development of each lot and parcel within the District. The improvements to be maintained and funded entirely or partially through the District assessments are generally described as:
 Streetscape landscaping including street trees located on the perimeter of the development and interior streets of Tract 2498 that are within the public rights-of-way or easements and dedicated to the City for maintenance;
 Open space areas and fuel modification areas within or adjacent to the District boundaries;  Park areas, recreational equipment, trails and landscaped drainage facilities developed and constructed as part of developing properties within Tract 2498;
 Specifically not included as District improvements are those improvements located on private property, improvements and facilities that may be provided or maintained by an agency other than the City; improvements and facilities that may be provide by another assessment or tax levied by the City or any improvement provided and maintained by a Homeowner’s Association or similar entity.  Public lighting facilities including street lighting, safety lighting and ornamental lighting installed as part of the residential development or landscaped improvement areas;  Appurtenant facilities, equipment, materials and utilities related to the aforementioned improvements;  Specifically not included as District improvements are those improvements located on private property, improvements and facilities that may be provided or maintained by an agency other than the City; 5/12/26 | Item E5 | Attachment 8

Page 130 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 6 improvements and facilities that may be provide by another assessment or tax levied by the City or any improvement provided and maintained by a Homeowner’s Association or similar entity.

Those portions of the District improvements that may be identified as general benefit or will be funded in whole or in part by other revenue sources as part of the approved development agreements, will not be included as part of the District assessments. The net annual cost to provide and maintain the improvements determined to be of special benefit shall be allocated to each property in proportion to the special benefits received.

3.3.2 PUBLIC LIGHTING IMPROVEMENTS
The approved development plans for Tract 2498 do not include any proposed streetlight facilities. 5/12/26 | Item E5 | Attachment 8

Page 131 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 7

4. ESTIMATE OF COSTS
BUDGET Total Budget
Costs Not
Assessed
2026/27
Assessment

DIRECT COSTS
Annual Costs
Landscape Services $6,500 ($900) $5,600
Landscape Supplies 600 0 600
Landscape Utilities 1,930 0 1,930
City Landscape Services 2,560 0 2,560
Other Maintenance Services 500 0 500
Total Annual Direct Costs $12,090 ($900) $11,190

CAPITAL EXPENDITURES
Special Projects $14,500 $0 $14,500
Total Annual Special Projects $14,500 $0 $14,500

ADMINISTRATION EXPENSES
Annual Administration Expenses
City Annual Administration $2,270 $0 $2,270
Engineer's Report & Services 5,360 0 5,360
Public Noticing 350 0 350
Total Administration $7,980 $0 $7,980
TOTAL DIRECT & ADMINISTRATION COSTS $34,570 ($900) $33,670

CAPITAL RESERVE COLLECTIONS/(USES)
Landscape Rehabilitation/Replacement $2,938 $0 $2,938
Trail and Pathway Rehabilitation/Replacement 1,000 (500) 500 Park and Open Space Rehabilitation/Replacement 707 0 707 Tree Rehabilitation/Replacement 1,207 0 1,207
Park Rehabilitation/Replacement 762 0 762
Total Annual Capital Reserve Collections/(Uses) $6,614 ($500) $6,114

LEVY ADJUSTMENTS
Interest Income - Improvement Fund ($2,157) $0 ($2,157) Interest Income - Operating Reserve Fund (453) 0 (453)
Contribution from Other Sources (1,400) 0 (1,400)
Reserve Collection/(Use) (16,407) 0 (16,407)
Total Levy Adjustments ($20,417) $0 ($20,417)
BALANCE TO LEVY $20,767 ($1,400) $19,367

DISTRICT STATISTICS
Total Parcels 89
Parcels Levied 86
Total EBU (1) 63.50
Levy per EBU $305.00
Maximum Levy per EBU $1,730.51

FUND BALANCE INFORMATION
Beginning Operating Reserve Balance $16,051
Operational Reserve Interest 453
Surplus Transfer from Improvement Fund 20,342
Operational Reserve Collection/(Use) (20,417)
Estimated Ending Operating Reserve Balance $16,429

Beginning Improvement Fund Balance $89,912
Improvement Fund Interest 2,157
Surplus Transfer to Operations Fund (20,342)
Improvement Fund Collection/(Use) 6,614
Estimated Ending Improvement Fund Balance $78,341
(1) Levy per EBU rate does not include the County of San Luis Obispo fee of $2.00 per parcel. 5/12/26 | Item E5 | Attachment 8

Page 132 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 8

5. METHOD OF ASSESSMENT

5.1 General
The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, which include the construction, maintenance, and servicing of public lights, landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value:
“The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
The method of apportionment described in this Report for allocation of special benefit assessments utilizes commonly accepted engineering practices and have been established pursuant to the 1972 Act and the provisions of Article XIIID. The formulas used for calculating assessments reflects the composition of parcels within the District and the improvements and services provided, to fairly apportion the costs based on the special benefits to each parcel.

5.2 Benefit Analysis
Each of the proposed improvements, the associated costs and assessments have been carefully reviewed, identified and allocated based on special benefit pursuant to the provisions of the 1972 Act and Article XIIID. The improvements provided by this District and for which properties will be assessed have been identified as necessary, required and/or desired for the orderly development of the properties within the District to their full potential, consistent with the development plans and applicable portions of the City General Plan. As such, these improvements would be necessary and required of individual property owners for the development of such properties and the ongoing operation, servicing and maintenance of these improvements would be the financial obligation of those properties. Therefore, the improvements and the annual costs of ensuring the maintenance and operation of the improvements are a distinct and special benefit to the properties within the District. Any improvement or portion thereof that is considered to be of general benefit shall be funded by other revenue sources and not included as part of the special benefit assessments allocated to properties within the District.

5.2.1 SPECIAL BENEFIT
The method of apportionment (method of assessment) established herein is based on the premise that each assessed parcel within the District receives special benefits from the improvements and the desirability and security of those properties is enhanced by the presence of public lighting and well-maintained landscaping in close proximity to those properties.

The special benefits associated with landscape improvements are specifically:
 Enhanced desirability of properties through association with the improvements.  Improved aesthetic appeal of properties providing a positive representation of the area and properties.  Enhanced adaptation of the urban environment within the natural environment from adequate green 5/12/26 | Item E5 | Attachment 8

Page 133 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 9 space and landscaping.
 Environmental enhancement through improved erosion resistance, dust and debris control, and fire prevention.
 Increased sense of pride in ownership of property within the District resulting from well-maintained improvements associated with the properties.
 Enhanced quality of life through well-maintained green space and landscaped areas.  Reduced criminal activity and property-related crimes (especially vandalism) against properties in the District through well-maintained surroundings and amenities including abatement of graffiti.  Enhanced environmental quality of the parcels by moderating temperatures, providing oxygenation and attenuating noise.

The special benefits of street lighting and other public lighting facilities are the convenience, safety, and security of property, improvements, and goods. Specifically:
 Enhanced deterrence of crime and the aid to police protection.  Increased nighttime safety on roads, streets and public areas.  Improved ability of pedestrians and motorists to see.  Improved ingress and egress to property.
 Reduced vandalism and other criminal act and damage to improvements or property.  Improved traffic circulation and reduced nighttime accidents and personal property loss.

The preceding special benefits contribute to the esthetic value and desirability of each of the assessed parcels within the District and thereby provide a special enhancement of the properties. Furthermore, it has been determined that the lack of funding to properly service and maintain the District improvements would have a negative impact on the properties within the District.

5.2.2 GENERAL BENEFIT
Upon reviewing each of the District improvements, the proximity of those improvements to both properties within the District and those outside the District as well as the reasons for installing, constructing and maintaining such improvements, it is evident that the properties within the District receive special benefit from those improvements. While the District improvements clearly include public areas, easements, rights-of-way and other amenities available or visible to the public at large, the landscaped areas, trails, detention basin as well as the need to increase maintenance activities within the open space areas resulted solely from the development of properties within the District and would otherwise not have been required nor necessarily desired by any properties or developments outside the District and any public access or use of the improvements by others is incidental. Therefore, it has been determined that these improvements and the ongoing maintenance, servicing and operation of those improvements provide no measurable general benefit to properties outside the District or to the public at large. However, while this development has facilitated a need for increased maintenance of the open space area associated with Tract 2498, it is also recognized that land conservation and ensuring adequate open space areas within the City does have some indirect, but not quantifiable, benefit to the community at large. Therefore, while the entire cost to maintain the open space area as well as the Horse Arena facility have been incorporated into the District budget, the annual cost to maintain the arena and a portion of the 5/12/26 | Item E5 | Attachment 8

Page 134 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 10 open space area are not included in the proposed special benefit assessments. Should the City require maintenance of these areas, the associated costs will be funded by other revenue sources available to the City.

5.3 Assessment Methodology
The method of apportionment for the District calculates the receipt of special benefit from the respective improvements based on the actual or proposed land use of the parcels within the District. The special benefit received by each lot or parcel is equated to the overall land use of parcels within the District based on the parcel’s actual land use or proposed development.

The costs associated with the improvements shall be fairly distributed among the parcels based upon the special benefit received by each parcel. Additionally, in compliance with the Article XIIID Section 4, each parcel’s assessment may not exceed the reasonable cost of the proportional special benefit conferred to that parcel. The benefit formula used to determine the assessment obligation is therefore based upon both the improvements that benefit the parcels within the District as well as the proposed land use of each property as compared to other parcels that benefit from those specific improvements.

To identify and determine the special benefit to be received by each parcel and their proportionate share of the improvement costs it is necessary to consider the entire scope of the planned improvements as well as individual property development within the District. Upon review of the proposed improvements it has been determined that each of the residential parcels within the District receives special benefits from the improvements to be funded by annual assessments and based on the planned property development a single zone of benefit is appropriate for the allocation of the assessments and proportional benefit.

5.3.1 EQUIVALENT BENEFIT UNITS:

A single-family home site equals one Equivalent Benefit Unit (EBU) and the other land uses are converted to a weighted EBU based on an assessment formula that equates the property’s specific development status, type of development (land use), and size of the property, as compared to a single- family home site.

Although the Equivalent Benefit Unit method of apportioning special benefit is most commonly used and applied to districts that have a wide range of land use classifications (residential and non-residential use), this District is comprised of only residential properties and the following apportionment analysis of special benefit addresses only residential land uses. Not all land use types described in the following are necessarily applicable to the development of properties within this District, but are presented for comparison purposes to support the proportional special benefit applied to those land use types within the District.

5.3.2 EBU APPLICATION BY LAND USE:
(1) Single-family Residential — This land use is defined as a fully subdivided residential home site with or without a structure. This land use is assessed 1.00 EBU per lot or parcel. This is the base value 5/12/26 | Item E5 | Attachment 8

Page 135 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 11 that the other properties are compared and weighted against regarding special benefit. (2) Multi-family Residential — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the property. (This land use typically includes apartments, duplexes, triplex etc., but does not generally include condominiums, town-homes or mobile home parks). Based on average population densities and size of the structure as compared to a typical single-family residential unit, multi-family residential parcels shall be proportionately assessed for the parcel’s total number of residential units utilizing a sliding benefit scale. Although multi-family properties typically receive similar benefits to that of a single-family residential, it would not be reasonable to conclude that on a per unit basis, the benefits are equal. Studies have consistently shown that the average multi-family unit impacts infrastructure approximately 75% as much as a single-family residence (Sample Sources: Institute of Transportation Engineers Informational Report Trip Generation, Fifth Edition; Metcalf and Eddy, Wastewater Engineering Treatment, Disposal, Reuse, Third Edition). These various studies indicate that most public improvements and infrastructure are utilized and impacted at reduced levels by multi-family residential units and a similar reduction in proportional benefit is appropriate. Furthermore, it is also reasonable to conclude that as the density (number of units) increases the proportional benefit per unit tends to decline because the unit size and people per unit usually decreases.

Based on these considerations and the improvements provided by this District, an appropriate allocation of special benefit for multi-family residential properties as compared to a single- family residential is best represented by the following special benefit assignment: 0.75 EBU per unit for the first 50 units; 0.50 EBU per unit for units 51 through 100; and 0.25 EBU per unit for remaining units.
(3) Condominium/Town-home Units — Condominiums and town-homes tend to share attributes of both single-family residential and multi-family residential properties and for this reason are identified as a separate land use classification. Like most single-family residential properties, these properties are not usually considered rental property and generally, the County assigns each unit a separate APN or assessment number. However, condominiums and town-homes often have similarities to multi-family residential properties in that they are generally zoned medium to high density and in some cases may involve multiple units on a single APN. In consideration of these factors, it has been determined that an appropriate allocation of special benefit for condominiums, town-homes and similar residential properties is best represented by an assignment of 0.75 EBU per unit regardless of whether each unit is assigned an individual APN or there are multiple units assigned to an APN. (There is no adjustment for parcels with more than five units). (4) Modified Housing/Senior Housing Units — Modified Housing or Senior Housing is generally defined as residential units that would typically be classified as Condominiums or Town-homes, but have specific deed restrictions that may limit the size or use of all units within the development. This classification is not applicable to individual single-family residential parcels unless all single-family residential parcels within that particular development or subdivision have the same restrictions. (For example: One or more single-family units within a subdivision that are deed restricted as “Affordable Housing” or “Senior Housing” does not qualify for this land use classification, unless all the units within that development have the same or similar deed restrictions.) Since this classification generally involves Condominium or Town-home type properties, that are generally 5/12/26 | Item E5 | Attachment 8

Page 136 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 12 assigned 0.75 EBU, it has been determined that an appropriate allocation of special benefit for modified housing units or senior housing units is best represented by an assignment of 0.625 EBU per unit regardless of whether each unit is assigned an individual APN or there are multiple units assigned to a single APN.
(5) Planned-Residential Development — This land use is defined as any property for which a tentative or final tract map has been filed and approved (a specific number of residential lots and units has been identified) and the property is expected to be subdivided within the fiscal year or is part of the overall improvement and development plan for the District. This land use classification often times involves more than a single parcel (e.g. the approved tract map encompasses more than a single APN). Each parcel that is part of the approved tract map shall be assessed proportionately for the proposed or estimated residential type and units to be developed on that parcel as part of the approved tract map. Accordingly, each parcel is assigned an appropriate number of benefit units that reflects the development of that property at build-out. (The EBU assigned to each parcel shall represent the combination of single-family, condominium, multi-family units to be developed).
(6) Vacant Residential — This land use is defined as property currently zoned for residential development, but a tentative or final tract map for the property has not yet been approved. Based upon the opinions of professional appraisers who appraise market property values for real estate in California, the land value portion of a property typically ranges from 20 to 30 percent of the total value of a developed residential property (the average is about 25 percent). Although the assessed value of an individual property is not a direct reflection of the property’s special benefit, this general correlation between land value and structure value does provide a reasonable basis for apportioning special benefit for vacant residential properties. Utilizing this twenty-five percent (25%) apportionment and the number of single-family residential units typically developed per acre of land (an average of 4 residential units per acre) an Equivalent Benefit Unit of 1.00 EBU per acre (4 units per acre x 25%) is derived and presents an appropriate apportionment of special benefit for vacant residential properties. Recognizing that the full and timely utilization of vacant property is reduced as the size of the property increases, it has been determined that the maximum EBU assigned to a vacant residential parcel shall not exceed 25.00 EBU (parcels in excess of 25 acres are assigned 25.00 EBU). Parcels less than one acre, shall be assigned a minimum of 1.00 EBU (similar to a vacant lot within a residential tract). (7) Exempt Parcels — This land use identifies properties that are not assessed and are assigned 0.00 EBU. This land use classification may include but is not limited to:
 Lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County);
 Dedicated public easements including open space areas, utility rights-of- way, greenbelts, parkways, parks or other publicly owned properties that are part of the District improvements or may provide other benefits to private properties within the District;  Private properties that cannot be developed independently from an adjacent property, such as common areas, sliver parcels or bifurcated lots or properties with very restrictive development use;
5/12/26 | Item E5 | Attachment 8

Page 137 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 13 These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment, but shall be reviewed annually by the assessment engineer to confirm the parcels’ current development status. Government owned properties or public properties are not necessarily exempt properties and shall be subject to special benefit assessment unless it qualifies for an exempt status.
(8) Special Cases — In many districts where multiple land use classifications are involved, there are usually one or more properties for which the standard land use classifications do not accurately identify the special benefits received from the improvements. For example, a parcel may be identified as a Vacant Residential property, however only a small percentage of the parcel’s total acreage can actually be developed. In this case, an appropriate calculation would be based on the net acreage that can be utilized rather than the gross acreage of the parcel.

The following table provides a summary of land use classifications and the Equivalent Benefit Unit calculations previously outlined.

Property Type
Equivalent
Benefit Units Multiplier
Single-family Residential 1.00 Per Unit/Lot/Parcel
Multi-family Residential

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Condominium/Townhome Units 0.75 Per Unit
Modified Housing/Senior Housing Units 0.625 Per Unit
Planned Residential Development

1.00 Per Planned SF Residential Lot

0.75 Per Planned Condominium

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Vacant Residential Land 1.00 Per Acre
Exempt Parcels 0.00 Per Parcel
The following formula is used to calculate each parcel’s EBU (proportional benefit).

Parcel Type EBU x Acres or Units = Parcel EBU
The total number of Equivalent Benefit Units (EBU’s) is the sum of the individual EBU's applied to parcels that receive special benefit from the improvements. An assessment amount per EBU (Assessment Rate) for the improvements is established by taking the total cost of the improvements and dividing that amount by the total number of EBU’s of the parcels benefiting from the improvements. This Rate is then applied back to each parcel’s individual EBU to determine the parcel’s proportionate benefit and assessment obligation for the improvements.

Total Balance to Levy / Total EBU = Levy per EBU
Levy per EBU x Parcel EBU = Parcel Levy Amount
5/12/26 | Item E5 | Attachment 8

Page 138 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 14

5.4 Assessment Range Formula
Any new or increased assessment requires certain noticing and meeting requirements by law. Prior to the passage of Proposition 218 (California Constitution Articles XIIIC and XIIID), legislative changes in the Brown Act defined a "new or increased assessment" to exclude certain conditions. These conditions included "any assessment that does not exceed an assessment formula or range of assessments previously adopted by the agency or approved by the voters in the area where the assessment is imposed." This definition and conditions were later confirmed through Senate Bill 919 (Proposition 218 implementing legislation).

The purpose of establishing an Assessment Range Formula is to provide for reasonable increases and inflationary adjustment to annual assessments without requiring costly noticing and mailing procedures, which could add to the District costs and assessments. As part of the District formation, the notice and assessment ballots presented to the property owners for approval included a maximum assessment amount for Fiscal Year 2005/2006 (initial maximum assessment), identification of the corresponding maximum assessment rate and a summary of the Assessment Range Formula described herein.

The Assessment Range Formula for this District shall be applied to future assessments and is generally defined:
 If the proposed annual assessment (levy per EBU) for the upcoming fiscal year is less than or equal to the adjusted Maximum Assessment Rate, then the proposed annual assessment is not considered an increased assessment.
 The Maximum Assessment Rate is equal to the (Initial) Maximum Assessment Rate established for Fiscal Year 2005/2006 adjusted annually by the greater of, three percent (3%) or the annual percentage change in the Consumer Price Index (CPI) of “All Urban Consumers” for the San Francisco-OaklandHayward Area from February to February. The Maximum Assessment rate was increased by 3.000% for Fiscal Year 2026/27.

Beginning with Fiscal Year 2006/2007 and each fiscal year thereafter, the Maximum Assessment Rate is recalculated and a new Maximum Assessment Rate is established for the fiscal year utilizing the Assessment Range Formula described above. The Maximum Assessment Rate has been calculated independent of the District’s annual budget and proposed assessment. The annual percentage change in CPI is based on available data provided by the U.S. Department of Labor; Bureau of Labor Statistics at the time the annual Report is prepared. Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living. In January 2018, BLS introduced a new geographic area sample for the CPI. As part of the change the index for this area was renamed from San Francisco-Oakland-San Jose to San Francisco-Oakland-Hayward. The metropolitan area is comprised of Alameda, Contra Costa, Marin, San Francisco, San Mateo Counties in the State of California. This CPI will be used going forward.

Any proposed annual assessment (rate per EBU) less than or equal to the calculated (adjusted) Maximum Assessment Rate is not considered an increased assessment, even if the proposed assessment is significantly greater than the assessment applied in the prior fiscal year. Likewise, modifications to the method of apportionment that increase the proportional special benefit assigned to a particular land use classification would be considered an increased assessment. Conversely, reductions in the proportional 5/12/26 | Item E5 | Attachment 8

Page 139 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 15 special benefit assigned to a land use classifications are permitted. Changes in land use or size of an individual property resulting in an assessment increase, is not considered an increased assessment.

To impose a new or increased assessment other than the annual inflationary adjustment provided by the preceding Assessment Range Formula, the City must comply with the provisions of Article XIIID Section 4c, that requires a public hearing and certain protest procedures including mailed notice of the public hearing and property owner protest balloting. Property owners through the balloting process must approve a proposed new or increased assessment before such an assessment may be imposed. 5/12/26 | Item E5 | Attachment 8

Page 140 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 16

6. ASSESSMENT DIAGRAM
The parcels within the Landscaping and Lighting District No. 03 De Anza Estates consist of the lots, parcels and subdivisions of land located in the planned residential development known as De Anza Estates, Tract 2498. The District covers approximately seventy-six acres (75.84 acres) in the northern portion of the City of Atascadero.

The following map is based on the District Diagram, the San Luis Obispo County Assessor’s Maps and the San Luis Obispo County Assessor’s information and identifies the parcels of land within the proposed District, as the same existed at the time the District was formed. The combination of the District Diagram on file with the City Clerk and the Assessment Roll contained in this Report constitute the District Assessment Diagram.
5/12/26 | Item E5 | Attachment 8

Page 141 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 03 (De Anza Estates) 17

7. ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District is based on the Assessment Diagram presented herein and is based on available parcel maps and property data from the San Luis Obispo County Assessor’s Office at the time the Engineer’s Report was prepared. A listing of the lots and parcels to be assessed within this District along with the assessment amounts is provided herein.

Non-assessable lots or parcels may include, but are not limited to public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space areas, rights-of-way, common areas; landlocked parcels, small parcels vacated by the County, bifurcated lots, and any other property that cannot be developed or has little or no value. These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment.

If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the fiscal year, a corrected parcel number and/or new parcel numbers will be identified and resubmitted to the County Auditor/Controller. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate described in this Report as approved by the City Council. Therefore, if a single assessor’s parcel has a status change in development, other land use change, or subdivides into multiple assessor’s parcels, the assessment amounts applied to each of the new assessor’s parcels shall be recalculated and applied according to the approved method of apportionment and assessment rate rather than a proportionate share of the original assessment amount.
5/12/26 | Item E5 | Attachment 8

Page 142 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 3
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 049-044-002 755 N FERROCARRIL RD
Single Family
Residential 1.000 $1,730.51 $305.00
049-044-003 765 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-004 805 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-005 905 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-006 955 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-007
1025 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-008
1055 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-009
1155 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-010
1255 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-011
1305 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-012
1355 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-013
1200 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-014
1100 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-015
1000 N FERROCARRIL
RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-016 950 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-017 860 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-018 850 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-019 870 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-020 880 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-044-021 705 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-022 725 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-023 750 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-024 740 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-025 720 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-026 700 DE ANZA CT
Single Family
Residential 1.000 1,730.51 305.00
049-044-033 655 N FERROCARRIL RD
Single Family
Residential 1.000 1,730.51 305.00
049-046-002 503 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-003 505 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-004 507 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-005 509 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 1 of 3 04/08/2026 03:02:27PM 5/12/26 | Item E5 | Attachment 8

Page 143 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 3
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 049-046-006 511 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-007 513 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-008 515 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-009 517 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-010 519 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-011 521 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-012 524 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-013 526 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-014 528 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-015 530 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-016 532 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-017 534 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-018 536 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-019 538 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-020 540 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-021 542 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-022 572 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-023 574 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-024 576 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-025 578 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-026 580 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-027 582 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-028 584 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-029 586 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-030 588 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-031 590 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-032 592 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-033 551 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-034 553 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-035 555 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-036 557 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-037 559 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-038 561 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-039 563 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-040 565 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-041 567 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-042 595 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-043 597 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-044 599 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-045 603 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-046 605 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 049-046-047 601 N FERROCARRIL RD Senior Housing Units 0.625 1,081.57 190.62 Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 2 of 3 04/08/2026 03:02:27PM 5/12/26 | Item E5 | Attachment 8

Page 144 of 335 ends

Page 145 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E6
Department: Administrative
Services
Date: 5/12/26
Placement: Consent
TO: JAMES R. LEWIS, CITY MANAGER
FROM: JERI RANGEL, DIRECTOR OF ADMINISTRATIVE SERVICES
PREPARED BY: DAWN PATTERSON, FINANCE ANALYST
SUBJECT: Las Lomas (Woodridge) Assessment Districts
RECOMMENDATION:

Council:

1. Adopt Draft Resolution A, initiating proceedings for the levy and collection of annual assessments for Atascadero Street and Storm Drain Maintenance District No. 02 (Las Lomas [Woodridge]) for fiscal year 2026/2027.

2. Adopt Draft Resolution B, accepting and preliminarily approving the Engineer’s Annual Levy Report regarding the Atascadero Street and Storm Drain Maintenance District No. 02 (Las Lomas [Woodridge]).

3. Adopt Draft Resolution C, declaring the City’s intention to levy and collect annual assessments within Atascadero Street and Storm Drain Maintenance District No. 02 (Las Lomas [Woodridge]) in fiscal year 2026/2027, and to appoint a time and place for the public hearing on these matters.

4. Adopt Draft Resolution D, initiating proceedings for annual levy of assessments for the Atascadero Landscaping and Lighting Maintenance District No. 02 (Las Lomas [Woodridge]) for fiscal year 2026/2027 pursuant to the provisions of Part 2 of Division 15 of the California Streets and Highways Code.

5. Adopt Draft Resolution E, for preliminary approval of the Annual Engineer’s Levy Report for the Atascadero Landscaping and Lighting Maintenance District No. 02 (Las Lomas [Woodridge]) for fiscal year 2026/2027.

6. Adopt Draft Resolution F, declaring the City’s intention to levy and collect assessments for the Atascadero Landscaping and Lighting Maintenance District No. 02 (Las Lomas [Woodridge]) for fiscal year 2026/2027.

DISCUSSION:

The City Council formed and began assessing Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) in 2005. This district was formed to provide funding for future routine maintenance of the streets, storm drains and sidewalks in the Woodridge subdivision.

Page 146 of 335 ends

5/12/26 | Item E6 | Staff Report
The City Council also formed and began assessing Atascadero Landscape and Lighting Maintenance District No. 02 (Woodridge) in 2005. This district was formed to provide for funding and maintenance of street trees, open space, park area, medians, walkways, paths and other landscape and lighting improvements within the Woodridge subdivision.

The Woodridge subdivision is now known as Las Lomas. The Assessment Districts were formed and named when the area was known as the Woodridge development. All references to Woodridge are now understood to mean the development known as Las Lomas.

NBS, an independent financial consultant, was hired to prepare the engineer’s report for the two districts. The engineer’s report and the levies must be approved by Council annually. This is done in a two-step process. Tonight, there are three resolutions for each district (a total of 6 resolutions in all) that must be passed in order to continue the assessments within the districts. The resolutions passed tonight will also establish the date and time for the public hearing. The public hearing is tentatively scheduled for June 9, 2026, at 6:00 p.m. or soon thereafter, at which time the final resolutions will be presented to the Council for passage.

The proposed assessments for fiscal year 2026/2027 are less than the Maximum Assessment Rate. In accordance with the formula voters of the district adopted in 2005, the City may increase the Maximum Assessment Rate for inflation by the greater of the Consumer Price Index (CPI) or

3.0%. The Maximum Assessment Rate was increased by 3% (CPI) this year for both districts.

An Assessment Information Notice was mailed to all property owners recently. The notice provided the date of the upcoming June 9, 2026, Public Hearing, information on how to participate in the meeting, staff contact information, and the proposed and current levies for both districts.

Staff has reviewed the short and long-term costs to maintain the districts and recommends an increase of $10 for the Landscaping and Lighting District and an increase of $14 for the Street and Storm Drain Maintenance District to keep pace with CPI. The Landscaping and Lighting District levy is about 14% of the allowable maximum annual assessment and the Street and Storm Drain District is about 47% of the allowable maximum annual assessment.

The Landscape and Lighting District is experiencing increased costs due to the aging landscape and increases in costs of labor and utilities. City staff works to maximize efficiencies and minimize levy increases. City staff expect modest levy increases in future years in order to continue providing the existing service levels.

At the direction of the homeowners in attendance at meetings held December 14, 2017, and April 11, 2018, the City staff set the levy for the Street and Storm Drain (SSD) Benefit Assessment

Page 147 of 335 ends

5/12/26 | Item E6 | Staff Report
District at an amount that will cover short-term maintenance but will not be sufficient for longterm maintenance and repair.

This Assessment District levy amount is sufficient only for the annual operating costs and a periodic surface treatment (slurry seal) of the roads. As discussed at the aforementioned meetings and the Public Hearings, Neighborhood meetings, and Annual Notices since, these funds will only be enough to cover road maintenance costs through fiscal year 2032/33. Beyond that time, the roads will require more in-depth road rehabilitation projects that will require significant funding. The estimated cost of that work is just under $1,000,000 using current dollars and is the financial obligation of the residents of the Benefit Assessment District. As 2034 approaches, a bond issue or other financing mechanism will need to be approved and paid for by the residents to fund the longer-term improvements needed to maintain the District. This information was included in the Assessment Information Notice that was mailed to the property owners.

District Amount Per EBU
Assessment
Fiscal Year 2025-26
Amount Per EBU
Proposed
Assessment Fiscal
Year 2026-27
Atascadero Street and Storm Drain
Maintenance District No. 02 Las Lomas $ 450.00 $ 464.00 Atascadero Landscaping and Lighting
Maintenance District No. 02 Las Lomas $ 337.00 $ 347.00 FISCAL IMPACT:

Annual assessments for 2026/2027 will total $107,532 for road/drainage system maintenance and $80,417 for landscape and lighting maintenance. These amounts will be assessed to the owners of parcels in Las Lomas (Woodridge). The City General Fund will contribute $1,830 for the fiscal year 2026/2027 for 25% of the maintenance costs of the trails and open space.

REVIEWED BY OTHERS:

This item has been reviewed by the Administrative Services Director.

Page 148 of 335 ends

5/12/26 | Item E6 | Staff Report

REVIEWED AND APPROVED FOR COUNCIL AGENDA
James R. Lewis, City Manager
ATTACHMENT(S):

1. Draft Resolution A - initiating proceedings for the levy and collection of annual assessments for Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) for fiscal year 2026/2027

2. Draft Resolution B - accepting and preliminarily approving the Engineer’s Annual Levy Report regarding the Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge)

3. Draft Resolution C - declaring the City’s intention to levy and collect annual assessments within Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) in fiscal year 2026/2027, and to appoint a time and place for the public hearing on these matters

4. Engineer’s Annual Levy Report - for the levy and collection of fiscal year 2026/2027 assessments for Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge)

5. Draft Resolution D - initiating proceedings for annual levy of assessments for the Atascadero Landscaping and Lighting Maintenance District No. 02 (Woodridge) for fiscal year 2026/2027 pursuant to the provisions of Part 2 of Division 15 of the California Streets and Highways Code

6. Draft Resolution E - preliminary approval of the Annual Engineer’s Levy Report for Atascadero Landscaping and Lighting Maintenance District No. 02 (Woodridge) for fiscal year 2026/2027

7. Draft Resolution F - declaring the City’s intention to levy and collect assessments for the Atascadero Landscaping and Lighting Maintenance District No. 02 (Woodridge) for fiscal year 2026/2027

8. Engineer’s Annual Levy Report - for the levy and collection of fiscal year 2026/2027 assessments for Atascadero Landscaping and Lighting District No. 02 (Woodridge)

Page 149 of 335 ends

5/12/26 | Item E6 | Attachment 1

DRAFT RESOLUTION A

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, INITIATING PROCEEDINGS FOR THE

LEVY AND COLLECTION OF ANNUAL ASSESSMENTS FOR

ATASCADERO STREET AND STORM DRAIN MAINTENANCE
DISTRICT NO. 02 (WOODRIDGE) FOR FISCAL YEAR 2026/2027
The City Council of the City of Atascadero (hereafter referred to as “City Council”) hereby finds, determines, resolves and orders as follows:

WHEREAS, the City Council pursuant to the provisions of the Benefit Assessment Act of 1982, Chapter 6.4 of the California Government Code, beginning with Section 54703 (hereafter referred to as the “1982 Act”) formed an assessment district to be designated as Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) (hereafter referred to as the “District”), for the purpose of funding the ongoing operation, maintenance and servicing of public streets, sidewalks, storm drain and flood control facilities installed in conjunction with the development of properties known as Tract 2525-1; and to levy and collect annual assessments related thereto. The 1982 Act provides for the formation of such an assessment district pursuant to Article 3 Section 54710, and provides for the levy and collection of assessments by the County on behalf of the City pursuant to Article 4 Section 54718; and WHEREAS, the City Council has retained NBS as the Engineer of Work, for the purpose of assisting with the administration of the District, the establishment of annual assessments, and to prepare and file an Engineer’s Report with the City Clerk in accordance with the 1982 Act; and in accordance with the requirements of the California Constitution, Articles XIIIC and XIIID.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero as follows:

SECTION 1. The City Council hereby orders the Engineer to prepare and file an Engineer’s Annual Levy Report concerning the levy of assessments for properties within the District as specified by Article 4 Section 54716 of the 1982 Act.

SECTION 2. The District improvements include the ongoing operation, administration, maintenance and servicing of the public streets, drainage and flood control systems and appurtenant facilities authorized pursuant to the 1982 Act that were installed as part of property development and associated with the District. Said improvements may include, but are not limited to pavement, curbs, sidewalks, hardscape, bridges, fencing, signage, drains, pipes, inlets, outlets, catch basins, drainage basins, manholes, and associated appurtenant facilities located within the public street right-of-ways and other public easements within the District.

SECTION 3. The territory within Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) consists of lots, parcels and subdivisions of land located in the development known as Tract 2525-1.

Page 150 of 335 ends

5/12/26 | Item E6 | Attachment 1
PASSED AND ADOPTED at a regular meeting of the City Council held on the ___th day of _____, 2026.

On motion by Council Member and seconded by Council Member , the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 151 of 335 ends

5/12/26 | Item E6 | Attachment 2

DRAFT RESOLUTION B

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, ACCEPTING AND PRELIMINARILY
APPROVING THE ENGINEER’S ANNUAL LEVY REPORT REGARDING

THE ATASCADERO STREET AND STORM DRAIN MAINTENANCE
DISTRICT NO. 02 (WOODRIDGE)
The City Council of the City of Atascadero (hereafter referred to as “City Council”) hereby finds, determines, resolves and orders as follows:

WHEREAS, the City Council has, by previous Resolution, ordered the preparation of an Engineer’s Annual Levy Report (hereafter referred to as the “Report”) regarding the assessment district to be designated as the Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) (hereafter referred to as the “District”), and the levy and collection of assessments related thereto, pursuant to the provisions of the Benefit Assessment Act of 1982, Chapter 6.4 of the California Government Code, beginning with Section 54703 (hereafter referred to as the “1982 Act”); and
WHEREAS, there has now been presented to this City Council the Report as specified by Article 4 Section 54716 of said 1982 Act; and
WHEREAS, the City Council has carefully examined and reviewed the Report as presented, and is preliminarily satisfied with the District and the budget items and documents as set forth therein, and is satisfied that the proposed assessments have been spread in accordance with the special benefits received from the improvements, operation, administration, maintenance and services to be performed within the District, as set forth in said Report.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero as follows:

SECTION 1. The preceding recitals are true and correct.

SECTION 2. That the Report as presented, consists of the following:
a. A Description of Improvements.
b. A Boundary Diagram of the District.
c. The Method of Apportionment that details the method of calculating each parcel’s proportional special benefits and annual assessment. d. The proposed Budget (Costs and Expenses) and the duration and collection of assessments.
e. The District Roll containing the Levy for each Assessor Parcel Number within the District for fiscal year 2026/2027.

Page 152 of 335 ends

5/12/26 | Item E6 | Attachment 2
SECTION 3. The Report is hereby approved on a preliminary basis and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection.

SECTION 4. The Maximum Assessment described in the Report is hereby approved on a preliminary basis.

SECTION 5. The City Clerk shall certify to the passage and adoption of this Resolution, and the Minutes of this meeting shall so reflect the presentation of the Report.

PASSED AND ADOPTED at a regular meeting of the City Council held on the ___ day of _____, 2026.

On motion by Council Member and seconded by Council Member , the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 153 of 335 ends

5/12/26 | Item E6 | Attachment 3

DRAFT RESOLUTION C

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, DECLARING ITS INTENTION TO LEVY

AND COLLECT ANNUAL ASSESSMENTS WITHIN ATASCADERO
STREET AND STORM DRAIN MAINTENANCE DISTRICT NO. 02
(WOODRIDGE) IN FISCAL YEAR 2026/2027, AND TO APPOINT A TIME

AND PLACE FOR THE PUBLIC HEARING ON THESE MATTERS
The City Council of the City of Atascadero (hereafter referred to as “City Council”) hereby finds, determines, resolves and orders as follows:

WHEREAS, the City Council pursuant to the provisions of the Benefit Assessment Act of 1982, Chapter 6.4 of the California Government Code, beginning with Section 54703 (hereafter referred to as the “1982 Act”) did by previous Resolution approve the levy and collection of annual assessments to pay for the operation, maintenance and servicing of public streets, drainage and flood control systems and appurtenant facilities related thereto for the assessment district designated as Atascadero Street and Storm Drain Maintenance District No. 02 (Woodridge) (hereafter referred to as the “District”); and
WHEREAS, the Engineer selected by the City Council has prepared and filed with the City Clerk a Report in connection with the proposed District, and the levy of assessments for Fiscal Year 2026/2027 (July 1, 2026 and ending June 30, 2027) in accordance with Chapter 1, Article 4 of the 1982 Act and in accordance with the requirements of the California Constitution, Articles XIIIC and XIIID, and the City Council did by previous Resolution preliminarily approve such Report.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero as follows:

SECTION 1. The City Council hereby declares its intention to seek the annual levy of the District pursuant to the 1982 Act, over and including the land within the District boundary, and to levy and collect special benefit assessments on parcels of land within the District to pay for the costs and expenses associated with the operation, maintenance, repair and servicing of public streets, drainage and flood control systems and appurtenant facilities related thereto.

Page 154 of 335 ends

5/12/26 | Item E6 | Attachment 3
SECTION 3. The proposed territory within Street and Storm Drain Maintenance District No. 02 (Woodridge) consists of lots, parcels and subdivisions of land located in the development known as Tract 2525-1.

SECTION 4. The proposed assessments for the District are outlined in the Engineer’s Report. The Report details the proposed assessments necessary to provide for the annual operation, administration, services and maintenance of the improvements described in Section 2 of this Resolution.

SECTION 5. Notice is hereby given that a Public Hearing on these matters will be held by the City Council on Tuesday, June 9, 2026, at 6:00 p.m. or as soon thereafter as feasible in the regular meeting chambers of the City Council located at 6500 Palma Avenue, Atascadero, California. At the Public Hearing, all interested persons shall be given an opportunity to hear and be heard on the proposed assessment to be levied for fiscal year 2026/2027 as contained in the Engineer’s Report on file in the City Clerk’s Office.

SECTION 6. The City Clerk shall give notice of the filing of the report and the time and place of the Public Hearing by publishing in a local newspaper one time at least 10 days prior to the Public Hearing.

PASSED AND ADOPTED at a regular meeting of the City Council held on the ___th day of _____, 2026.

On motion by Council Member and seconded by Council Member , the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 155 of 335 ends

Fiscal Year 2026/27 Engineer’s Report For:

Street and Storm Drain Maintenance
District No. 02 Las Lomas (Woodridge)
May 2026
5/12/26 | Item E6 | Attachment 4

Page 156 of 335 ends

CITY OF ATASCADERO
Street and Storm Drain Maintenance District No. 02
Las Lomas (Woodridge)
6500 Palma Avenue
Atascadero, CA 93422
Phone – (805) 461-5000
Fax – (805) 461-7612

CITY COUNCIL
Charles Bourbeau, Mayor
Mark Dariz, Mayor Pro Tem
Susan Funk, Council Member
Seth Peek, Council Member
Heather Newsom, Council Member

AGENCY STAFF
Jim Lewis, City Manager
Jeri Rangel, Administrative Services Director
Cindy Chavez, Deputy Director of Administrative Services NBS
Corina Chavez, Project Manager
Danielle Robison, Administrator
5/12/26 | Item E6 | Attachment 4

Page 157 of 335 ends

TABLE OF CONTENTS

1. Engineer’s Letter ............................................................................................................. 1

2. Executive Summary ........................................................................................................ 2

3. Plans and Specifications .................................................................................................. 4

3.1 Benefiting Properties within the District ................................................................ 4

3.2 Funding Authorized by the 1982 Act ....................................................................... 4

3.3 Description of Improvements and Services ............................................................ 4

4. Estimate of Costs ............................................................................................................ 8

5. Method of Assessment ................................................................................................... 9

5.1 General .................................................................................................................... 9

5.2 Benefit Analysis ....................................................................................................... 9

5.3 Assessment Methodology ..................................................................................... 10

5.4 Assessment Range Formula .................................................................................. 13

6. Assessment Diagram ..................................................................................................... 16

7. Assessment Roll ............................................................................................................ 17 5/12/26 | Item E6 | Attachment 4

Page 158 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 1

1. ENGINEER’S LETTER
WHEREAS, on March 24, 2005 by Resolution No. 2005-048, the City Council of the City of Atascadero (the ”City”), State of California, in accordance with and pursuant to the provisions of the Benefit Assessment Act of 1982, being Chapter 6.4 of the California Government Code, commencing with Section 54703 (hereafter referred to as the “1982 Act”), and in compliance with the substantive and procedural requirements of the California State Constitution Article XIIID (hereafter referred to as the “California Constitution”), established the City of Atascadero Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) (the “District”); and
WHEREAS, on May 12, 2026 the City Council, adopted its Resolution Initiating Proceedings for the Annual Levy of Assessments and Ordering the Preparation of an Engineer’s Report for the District; and WHEREAS, the Resolution Initiating Proceedings directed NBS to prepare and file a report describing the general nature, location, and extent of the improvements to be maintained; an estimate of the costs of the maintenance, operations, and servicing of the improvements for the District for the referenced fiscal year; a diagram for the District, showing the area and properties to be assessed; and an assessment of the estimated costs of the administration, maintenance, operations, and servicing the improvements, assessing the net amount upon all assessable lots and/or parcels within the District in proportion to the special benefit received.

NOW THEREFORE, the assessments as detailed in this Engineer’s Report and as summarized in the table below are made to cover the portion of the estimated costs of maintenance, operation and servicing of the improvements to be paid by the assessable real property within the District in proportion to the special benefit received. The following table summarizes the proposed assessment for Fiscal Year 2026/27:

FY 2026/27 Summary of Assessment
Description Amount
Estimated Annual Costs $711,730
Capital Reserve Collection/(Uses) 114,270
Levy Adjustments (718,468)
Balance to Levy $107,532
Fiscal Year 2026/27 Maximum Rate $983.56
Fiscal Year 2026/27 Proposed Applied Rate $464.00
I, the undersigned, respectfully submit the enclosed Engineer’s Report and, to the best of my knowledge, information, and belief, the Engineer’s Report, Assessments, and the Assessment Diagram herein have been prepared, computed, and levied in accordance with the assessment methodology adopted, approved, and ordered by the City Council of the City of Atascadero and the 1982 Act.

City Engineer
5/12/26 | Item E6 | Attachment 4

Page 159 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 2

2. EXECUTIVE SUMMARY
Pursuant to the provisions of the Benefit Assessment Act of 1982, being Chapter 6.4 of the California Government Code, commencing with Section 54703 (hereafter referred to as the “1982 Act”), and in compliance with the substantive and procedural requirements of the California State Constitution Article XIIID (hereafter referred to as the “California Constitution”), the City Council of the City of Atascadero, County of San Luis Obispo, State of California (hereafter referred to as “City”), proposed to form and levy special benefit assessments for the district designated as:

Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) (hereafter referred to as the “District”), which includes the lots and parcels of land within the residential subdivision known as Las Lomas (Woodridge), Tract 2525-1 within the City limits of the City. This Engineer’s Report (hereafter referred to as the “Report”) has been prepared in connection with the levy and collection of annual assessments related thereto for Fiscal Year 2026/27.

The City Council formed the District, and provided for the levy and collection of annual assessments on the County tax rolls to provide ongoing funding for the costs and expenses required to service and maintain the street and storm drain improvements and facilities associated with and resulting from the development of properties within the District. The improvements to be provided by the District and the assessments described herein are made pursuant to the 1982 Act and the substantive and procedural provisions of the California Constitution.

This Report describes the District, the improvements, and the proposed assessments to be levied against properties in connection with the special benefits the properties will receive from the maintenance and servicing of the District improvements and facilities. The annual assessments described herein will provide a funding source for the continued operation and maintenance of streets, storm drain system and appurtenant facilities installed in connection with the development of properties within the District.

The improvements and assessments described in this Report are based on the development of properties within the District and represent an estimate of the direct expenditures, incidental expenses, and fund balances that will be necessary to maintain and service the streets and storm drain system that provides special benefits to properties within the District. The structure of the District (organization), the improvements, the method of apportionment, and assessments described herein are based on current development plans and specifications for Tract 2525-1; and by reference these plans and specifications are made part of this Report.

As part of this District’s formation, the City conducted a Property Owner Protest Ballot proceeding for the proposed levy of a new assessment pursuant to the provisions of the California Constitution, Article XIIID Section 4. In conjunction with this ballot proceeding, the City Council conducted a noticed public hearing to consider public testimonies, comments and written protests regarding the formation of the District and 5/12/26 | Item E6 | Attachment 4

Page 160 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 3 levy of assessments. Upon conclusion of the public hearing, property owner protest ballots received were opened and tabulated to determine whether majority protest existed (ballots were weighted based on assessment amounts), and by resolution the City Council confirmed the results of the ballot tabulation.

The tabulation of the ballots indicated that majority protest did not exist for the proposed assessments and the assessment range formula presented and described herein; therefore, the City Council approved the Report (as submitted or amended), ordered the formation of the District, and approved the levy and collection of assessments. The assessments for Fiscal Year 2005/2006 were submitted to the San Luis Obispo County Auditor/Controller for inclusion on the property tax roll for each parcel.

Each subsequent fiscal year, a Report shall be prepared and presented to the City Council describing any changes to the improvements, proposed services, the annual budget or assessments for that fiscal year and the City Council may hold a noticed public hearing regarding these matters prior to approving and ordering the proposed levy of assessments. If the proposed assessments for the District exceed the maximum assessment described herein (as approved by the property owners), the new or increased assessment must be confirmed through another property owner protest ballot proceeding before such an assessment may be imposed. It should be noted that an increased assessment to an individual property resulting from changes in development or land use does not constitute an increased assessment. 5/12/26 | Item E6 | Attachment 4

Page 161 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 4

3. PLANS AND SPECIFICATIONS

3.1 Benefiting Properties within the District
The territory within the District consists of the lots, parcels and subdivisions of land within the residential subdivision known as the Las Lomas (Woodridge), Tract 2525-1, which encompasses an area of land totaling approximately one hundred and eleven acres (111.20 acres).

This residential subdivision includes one hundred forty-three (143) single-family residential units; thirtyfive (35) condominium/senior housing units; and a single, one hundred (100) unit multi-family residential project at build-out. Due to parcel splits the multi-family residential project is spread over three parcels.

The planned subdivision is situated in the southeast portion of the City of Atascadero and is generally located:
 South and east of Halcon Road;
 East of Highway 101 and El Camino Real
 South and west of the Southern Pacific Railroad Tracks; and  North of Salinas Road and Santa Cruz Road

3.2 Funding Authorized by the 1982 Act
As generally defined by the Benefit Assessment Act of 1982 and applicable to this District, the City may impose a benefit assessment to finance the maintenance and operation costs of the following services:
 Drainage and Flood Control;
 Streets and Roads.

In addition to imposing a benefit assessment for the annual maintenance and operation of the District improvements, the City may also authorize an assessment or utilize existing assessment revenues to finance the installation, construction or replacement of drainage and flood control facilities as well as the street and road improvements (with some limitations). While such activities are permitted under the 1982 Act, the budget and assessments for this District only provide for normal maintenance and operation of the improvements. Since most major rehabilitation/construction projects result from unforeseen damages, the extent and cost of such projects are not easily predicted and to accumulate funds as part of the normal annual assessments would not be reasonable. If such funding becomes necessary, the City may present a new or increased assessment to the property owners to support the projects.

3.3 Description of Improvements and Services
The purpose of this District is to fund the activities necessary to maintain and service the local streets and the drainage and flood control systems constructed and installed in connection with development of properties within the residential subdivision known as Las Lomas (Woodridge), Tract 2525-1 pursuant to approved development plans and agreements. The improvements may consist of all or a portion of the public streets, drainage and flood control facilities associated with Tract 2525-1 and the maintenance of these improvements may include but are not limited to the materials, equipment, labor, and incidental expenses deemed necessary to keep these improvements in satisfactory condition. The maintenance of the improvements and related activities shall be funded entirely or partially through the District assessments. Not 5/12/26 | Item E6 | Attachment 4

Page 162 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 5 all improvements have been fully accepted by the City. It is anticipated that will occur within the next fiscal year at which time the costs of maintenance for those improvements will be charged to the district. The District improvements and services are generally described as:
 Street maintenance that may include but is not limited to the repair and servicing of street surfaces, curbs, gutters, bridges, driveway approaches, sidewalks, barricades, delineation, signage or other facilities within the public street rights-of-way installed in connection with the development of properties in Tract 2525-1 and that have been dedicated to the City;  Storm drain and flood control maintenance that may include but is not limited to inspection, repair and servicing of drainage basins, inlets, catch basins, manholes, outlets, drywells, pumps, filters and storm drain pipes installed in connection with the development of properties of Tract 2525-1 as well as any off-site improvements and facilities directly associated with the aforementioned infrastructure that is deemed necessary to service or protect the properties including waste water treatment;
 The appurtenant, equipment, materials and service contracts related to the aforementioned improvements and facilities;
 Specifically excluded are those improvements or facilities: located on private property or common areas; that may be provided or maintained by an agency other than the City; that may be provided by another assessment or tax levied by the City; or that may be provided and maintained by a Homeowner’s Association or similar entity.

Detailed maps and descriptions of the location and extent of the specific improvements to be maintained by the District are on file in the Office of Public Works and by reference are made part of this Report. Those portions of the District improvements that may be identified as general benefit or will be funded in whole or in part by other revenue sources as part of the approved development agreements, will not be included as part of the District assessments. The net annual cost to provide and maintain the improvements determined to be of special benefit shall be allocated to each property in proportion to the special benefits received.

STREET MAINTENANCE
The street maintenance program may include, but is not limited to: the repair of potholes, cracks or other failures in the asphalt surface; repair or replacement of curbs, gutters, driveway approaches and sidewalks as required as part of maintaining the streets; repair or installation of street signs, barricades, fencing or other delineation; mechanized sweeping and cleaning of the streets and gutters; slurry sealing, overlays and re-striping of the street surfaces. The specific activities and timing of various street and road maintenance services shall be determined by the City’s Public Works Department as necessary to extend the life of the streets or to improve traffic circulation and safety as available funding permits. Specifically, the street improvements for this District are identified as:
 Approximately 290,610 square feet of asphalt street surface located on the various interior streets identified as Calle Milano, Eliano Street, Via Cielo, Avion Road, Alcotan Lane, and Azor Lane;  Approximately 13,750 linear feet of curb and gutter along Calle Milano, Eliano Street, Via Cielo, Avion Road, Alcotan Lane, and Azor Lane;
 Approximately 1,480 linear feet of curb and gutter in and around the median islands on Calle Milano and at Via Cielo;
5/12/26 | Item E6 | Attachment 4

Page 163 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 6  Approximately 145 driveway approaches, 45,264 square feet of sidewalks and various street signs within the District;
 Specifically not included as part of the street maintenance program are the costs associated with major replacements or reconstruction. Although the District assessments will provide funding for regular maintenance and servicing of the improvements that will extend the useful life of the street improvements, the assessments are not intended to fund major replacements or reconstruction of the street surfaces or adjacent improvements such as curbs, gutters or driveway approaches. The costs of extensive replacement or reconstruction activities such as grinding and resurfacing of the asphalt; and replacement of curbs, gutters driveway approaches and sidewalks is significantly more than the amount that can reasonably be collected annually under the provisions of the 1982 Act. When such repairs or activities are deemed necessary, the City will consider various financing options including new or increased assessments for property owner approval.

The Public Works Department shall authorize the operational activities and maintenance of the public street and right-of-way improvements, facilities and services that may include, but are not limited to:
 Regular street sweeping services necessary to control dirt and debris on street surfaces and gutters;
 Annual inspection of street surface and repair of potholes and surface cracks as needed;  Periodic slurry or overly of street surfaces and driveway approaches (typically one or the other once every five years);
 Periodic re-striping of traffic lanes, bike lanes, street parking areas, crosswalks and intersections (typically in conjunction with slurry or overly activities);  Graffiti abatement of public improvements within the street rights-of-way that are maintained by the District including but not limited to sandblasting, repainting and repair of fences, walls, barricades, sidewalks and signage as needed;
 Annual inspection and periodic repair or replacement of decorative street- pavers as needed;  Annual inspection and minor repairs of curbs, gutters, driveway approaches and sidewalks including partial segment replacements as needed to ensure pedestrian and vehicle safety or the integrity of the street;
 Annual inspection and periodic repair or rehabilitation of street signs and traffic control devices;  Annual inspection and repair of barricades, street-fencing, delineation or retaining walls within the street rights-of-way as needed.

A portion of the services described above are not performed on an annual basis but rather on a periodic basis, such as slurry sealing or overlaying the asphalt streets, and the funds necessary for these activities are collected in installments as part of the annual assessments. The monies collected each year for these services will be accumulated in a special fund of the District (Reserve Fund or Capital Improvement Fund).

The monies accumulated for these activities shall be spent when sufficient funds have been accumulated to perform the services deemed necessary by the City (approximately every five years). This process of accumulating funds (installments) shall continue until such time the District is dissolved; or the City determines that such funding procedures require modification. Changes in the process of accumulating funds that would result in an increase to the annual assessment rate must be presented to the property owners for approval prior to imposing such an increase. 5/12/26 | Item E6 | Attachment 4

Page 164 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 7

STORM DRAIN AND FLOOD CONTROL MAINTENANCE
The storm drain and flood control system associated with the District may include but is not limited to: drainage basins and bio-filters; channel ways; storm drain inlets, catch basins, manholes, outlets; drywells, pumps, filters and pipes. The storm drain system to be maintained primarily involves on-site facilities (within the District boundaries) but may also include off-site improvements such as water treatment equipment, facilities or services mandated or required by Federal, State or County regulations for water pollution control. The annual assessments for this District are intended to support a storm drain and flood control maintenance program that will adequately regulate and control storm water runoff resulting from the development of properties within the District. This maintenance program may include but is not limited to:
inspection and documentation of the system; cleaning, servicing or repair of the facilities and equipment; and the partial replacement or rehabilitation of equipment and facilities. The storm drain and flood control system includes but is not limited to:
 Approximately 175,550 square feet of drainage basin area;  Twenty-four (24) inlets, outlets and manholes located throughout Tract 2525-1;  Approximately 4,965 linear feet of storm drain pipe ranging from 18 inches to 36 inches in diameter.

The Public Works Department shall authorize and schedule the operational activities and maintenance of the storm drain and storm water pollution treatment infrastructure, facilities and services that may include, but are not limited to:
 Cleaning of storm drain inlets, catch basins, manholes and pipes as needed;  Stencil maintenance and documentation of facilities as required by Federal, State or County regulations;
 Cleaning and landscape maintenance of the drainage basins, bio-filter areas or channel ways as needed;
 Debris removal and pest control in and around the storm drain facilities as needed;  Minor repairs and maintenance of the storm drain inlets, catch basins and outlets as needed;  Street sweeping services necessary to control debris and water flow for the storm drain system; and,
 The operational costs related to NPDES compliance requirements.

A portion of the services described above are not performed on an annual basis but rather on a periodic basis such as minor repairs to the storm drain inlets, catch basins and outlets, and the funds necessary for these activities are collected in installments as part of the annual assessments. The monies collected each year for these services will be accumulated in a special fund of the District (Reserve Fund or Capital Improvement Fund). The monies accumulated for these activities shall be spent as needed to perform the services deemed necessary by the City. This process of accumulating funds (installments) shall continue until such time the District is dissolved; or the City determines that such funding procedures require modification. Changes in the process of accumulating funds that would result in an increase to the annual assessment rate must be presented to the property owners for approval prior to imposing such an increase.
5/12/26 | Item E6 | Attachment 4

Page 165 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 8

4. ESTIMATE OF COSTS
Budget
2026/27
(1) Levy per EBU rate does not include the County of San Luis Obispo fee of $2.00 per parcel Assessment

DIRECT COSTS
Streets, Roads & Storm Drain Improvements
Street Maintenance $8,600
Drainage Maintenance Services 3,830
Inspection & Operational Services - Roads, Drainage 0
Asphalt Slurry Seal 523,000
Curbs, Gutters, and Sidewalk Repairs 168.000
Total Annual Direct Costs $703,430

ADMINISTRATION EXPENSES
City Annual Administration $1,880
City Operational Services 2,100
Engineer's Report & Services 4,170
Public Noticing 150
Total Annual Administration Costs $8,300
TOTAL DIRECT & ADMINISTRATION COSTS $711,730

CAPITAL RESERVE COLLECTIONS/(USES)
Collection for Street Surface Activities $97,500
Collection for Repair Activities: Curbs, Gutters, Approaches & Sidewalks 12,500 Collection for Debris Removal 1,250
Collection for Storm Drain Infrastructure 3,020
Total Annual Capital Reserve Collections/(Uses) $114,270

LEVY ADJUSTMENTS
Interest Income - Improvement Fund ($16,607)
Interest Income - Operating Reserve Fund (533)
Reserve Fund Collection (Use) (701,328)
Total Levy Adjustments ($718,468)

BALANCE TO LEVY $107,532

DISTRICT STATISTICS
Total Parcels 191
Parcels Levied 181
Total EBU (1) 231.75
Levy per EBU $464.00
Maximum Levy per EBU $983.56

FUND BALANCE INFORMATION
Beginning Operating Reserve Balance $13,449
Operational Reserve Interest 533
Surplus Transfer from Improvement Fund 717,963
Operational Reserve Collection (Use) (718,468)
Ending Operating Reserve Balance $13,477

Beginning Improvement Fund Balance $1,006,549
Improvement Fund Interest 16,607
Surplus Transfer to Operations Fund (717,963)
Improvement Fund Collection 114,270
Ending Improvement Fund Balance $419,463
5/12/26 | Item E6 | Attachment 4

Page 166 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 9

5. METHOD OF ASSESSMENT

5.1 General
The 1982 Act permits the establishment of assessment districts by agencies for the purpose of providing for the maintenance, operation and servicing of drainage and flood control improvements as well as streets, roads and appurtenant facilities. The 1982 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value:
“The amount of the assessment imposed on any parcel of property shall be related to the benefit to the parcel which will be derived from the provision of the service”.

Furthermore:
“The annual aggregate amount of the assessment shall not exceed the estimated annual cost of providing the service, except that the legislative body may, by resolution, determine that the estimated cost of work authorized … is greater than can be conveniently raised from a single annual assessment and order that the estimated cost shall be raised by an assessment levied and collected in installments…. The revenue derived from the assessment shall not be used to pay the cost of any service other than the service for which the assessment was levied.”
The method of apportionment described in this Report for allocation of special benefit assessments utilizes commonly accepted engineering practices in compliance with the provisions of the 1982 Act and the California Constitution. The formulas used for calculating assessments reflects the composition of parcels within the District and the improvements and services provided, to fairly apportion the costs based on the special benefits to each parcel.

5.2 Benefit Analysis
Each of the proposed improvements and services, and the associated costs and assessments have been carefully reviewed, identified and allocated based on special benefit pursuant to the provisions of the 1982 Act and the California Constitution. The street and storm drain improvements associated with this District were necessary and essential requirements for the orderly development of the properties within the District to their full potential, consistent with the development plans and applicable portions of the City General Plan. As such the ongoing operation, servicing and maintenance of those improvements would otherwise be the direct financial obligation of each individual property owner. Since each parcel to be assessed within the District could not have been developed in the absence of these improvements and facilities, each parcel has a direct investment in the proper maintenance of the improvements that is over and above any general benefits that may be conferred by such improvements and services.

The ongoing maintenance and servicing of the District improvements is an integral part of the appearance, use and preservation of the properties within the District and such services to be funded by annual assessments confer a particular and distinct special benefit to those parcels. The proper maintenance of streets and appurtenant facilities allows individual parcels to be used to their fullest extent by ensuring the safe and efficient movement of people and goods to and from the benefiting properties Likewise, the maintenance and servicing of the storm drain system ensures proper water flow and control of excess 5/12/26 | Item E6 | Attachment 4

Page 167 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 10 water during periods of rain, which is essential to preservation and protection of private property.

Together the maintenance and servicing of the streets and storm drain system contributes to a specific enhancement of each of the parcels within the District and the absence of adequate maintenance and servicing of the District improvements could eventually have a negative impact on properties within the District.

Although the improvements may include public streets and storm drain facilities that connect to similar facilities outside the District boundaries, it is clear that the construction and installation of these improvements were only necessary for the development of properties within the District. As such, these improvements were not required nor necessarily desired by any properties or developments outside the District boundary and any public access or use of the improvements by others is incidental. Therefore, it has been determined that the ongoing maintenance, servicing and operation of the District improvements provide no measurable general benefit to properties outside the District or to the public at large, but clearly provide distinct and special benefits to properties within the District. Any improvement or portion thereof (particularly off-site storm drain facilities) that may be considered general benefit shall be funded by other revenue sources and not included as part of the special benefit assessments allocated to properties within this District. However, the costs associated with installation or improvement of any offsite facilities that benefit the parcels within this District as well as other properties (shared benefit) may be allocated to the parcels within the District based on their proportional special benefit from such improvements.

5.3 Assessment Methodology
The costs associated with the improvements and services shall be fairly distributed among the parcels based upon the special benefit received by each parcel. Additionally, in compliance with the California Constitution Article XIIID Section 4, each parcel’s assessment may not exceed the reasonable cost of the proportional special benefit conferred to that parcel. The benefit formula used to determine the assessment obligation is therefore based upon both the improvements that benefit the parcels within the District as well as the proposed land use of each property as compared to other parcels that benefit from those specific improvements.

The method of apportionment established for this District and described herein, reflects the proportional special benefit each property receives from the improvements and services based on the actual or proposed land use of that parcel as compared to other properties within the District based on similarities and differences in parcel land use.

EQUIVALENT BENEFIT UNITS:

To assess benefits equitably it is necessary to relate each property’s proportional special benefits to the special benefits of the other properties within the District. The method of apportionment established for most districts formed under the 1982 Act utilizes a weighted method of apportionment known as an Equivalent Benefit Unit (EBU) methodology that uses the single-family home site as the basic unit of assessment. A single-family home site equals one Equivalent Benefit Unit (EBU) and the other land uses are converted to a weighted EBU based on an assessment formula that equates the property’s specific development status, type of development (land use), and size of the property, as compared to a singlefamily home site. 5/12/26 | Item E6 | Attachment 4

Page 168 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 11 Although the Equivalent Benefit Unit method of apportioning special benefit is most commonly used and applied to districts that have a wide range of land use classifications (residential and non-residential use), this District is comprised of only residential properties and the following apportionment analysis of special benefit addresses only residential land uses. Not all land use types described in the following are necessarily applicable to the development of properties within this District, but are presented for comparison purposes to support the proportional special benefit applied to those land use types within the District.

EBU APPLICATION BY LAND USE:
(1) Single-family Residential — This land use is defined as a fully subdivided residential home site with or without a structure. This land use is assessed 1.0 EBU per lot or parcel. This is the base value that the other properties are compared and weighted against (i.e. Equivalent Benefit Unit “EBU”). (2) Multi-family Residential — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the property. (This land use typically includes apartments, duplexes, triplex etc., but does not generally include condominiums, town-homes or mobile-home parks). Based on average population densities and size of the structure as compared to a typical single-family residential unit, multi-family residential parcels shall be proportionately assessed for the parcel’s total number of residential units utilizing a sliding benefit scale. Although multi-family properties typically receive similar benefits to that of a single-family residential, it would not be reasonable to conclude that on a per unit basis, the benefits are equal. Studies have consistently shown that the average multi-family unit impacts infrastructure approximately 75% as much as a single-family residence (Sample Sources: Institute of Transportation Engineers Informational Report Trip Generation, Fifth Edition; Metcalf and Eddy, Wastewater Engineering Treatment, Disposal, Reuse, Third Edition). These various studies indicate that most public improvements and infrastructure are utilized and impacted at reduced levels by multi-family residential units and a similar reduction in proportional benefit is appropriate. Furthermore, it is also reasonable to conclude that as the density (number of units) increases, the proportional benefit per unit tends to decline because the unit size and people per unit usually decreases.

Page 169 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 12 per unit regardless of whether each unit is assigned an individual APN or there are multiple units assigned to an APN. (There is no adjustment for parcels with more than five units). (4) Planned-Residential Development — This land use is defined as any property for which a tentative or final tract map has been filed and approved (a specific number of residential lots and units has been identified) and the property is expected to be subdivided within the fiscal year or is part of the overall improvement and development plan for the District. This land use classification often times involves more than a single parcel (e.g. the approved tract map encompasses more than a single APN). Each parcel that is part of the approved tract map shall be assessed proportionately for the proposed or estimated residential type and units to be developed on that parcel as part of the approved tract map. Accordingly, each parcel is assigned an appropriate number of benefit units that reflects the development of that property at build-out. (The EBU assigned to each parcel shall represent the combination of single-family, condominium, multi-family units to be developed). (5) Vacant Residential — This land use is defined as property currently zoned for residential development, but a tentative or final tract map for the property has not yet been approved. Based upon the opinions of professional appraisers who appraise market property values for real estate in California, the land value portion of a property typically ranges from 20 to 30 percent of the total value of a developed residential property (the average is about 25 percent). Although the assessed value of an individual property is not a direct reflection of the property’s special benefit, this general correlation between land value and structure value does provide a reasonable basis for apportioning special benefit for vacant residential properties. Utilizing this twenty-five percent (25%) apportionment and the number of single-family residential units typically developed per acre of land (an average of 4 residential units per acre) an Equivalent Benefit Unit of 1.0 EBU per acre (4 units per acre x 25%) is derived and presents an appropriate apportionment of special benefit for vacant residential properties. Recognizing that the full and timely utilization of vacant property is reduced as the size of the property increases, it has been determined that the maximum EBU assigned to a vacant residential parcel shall not exceed 25.0 EBU (parcels in excess of 25 acres are assigned 25.0 EBU). Parcels less than one acre, shall be assigned a minimum of 1.0 EBU (similar to a vacant lot within a residential tract).
(6) Exempt Parcels — This land use identifies properties that are not assessed and are assigned 0.0 EBU. This land use classification may include but is not limited to:
 Lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County);
 Dedicated public easements including open space areas, utility rights-of- way, greenbelts, parkways, parks or other publicly owned properties that are part of the District improvements or may provide other benefits to private properties within the District.;  Private properties that cannot be developed independently from an adjacent property, such as common areas, sliver parcels or bifurcated lots or properties with very restrictive development use.

These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment, but shall be reviewed annually by the assessment engineer to confirm the parcels current development status. Government owned properties or public 5/12/26 | Item E6 | Attachment 4

Page 170 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 13 properties are not necessarily exempt properties and shall be subject to special benefit assessment unless it qualifies for an exempt status.
(7) Special Cases — In many districts where multiple land use classifications are involved, there are usually one or more properties for which the standard land use classifications do not accurately identify the special benefits received from the improvements. For example, a parcel may be identified as a Vacant Residential property, however only a small percentage of the parcel’s total acreage can actually be developed. In this case, an appropriate calculation would be based on the net acreage that can be utilized rather than the gross acreage of the parcel.

The following table provides a summary of land use classifications and the Equivalent Benefit Unit calculations previously outlined.

Property Type
Equivalent
Benefit Units Multiplier
Single-family Residential 1.00 Per Unit/Lot/Parcel
Multi-family Residential

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Condominium/Townhome Units 0.75 Per Unit
Planned Residential
Development

1.00 Per Planned SF Residential Lot

0.75 Per Planned Condominium

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Vacant Residential Land 1.00 Per Acre
Exempt Parcels 0.00 Per Parcel
The following formula is used to calculate each parcel’s EBU (proportional benefit).

Total Balance to Levy / Total EBU = Levy per EBU
Levy per EBU x Parcel EBU = Parcel Levy Amount

Page 171 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 14 assessment that does not exceed an assessment formula or range of assessments previously adopted by the agency or approved by the voters in the area where the assessment is imposed." This definition and conditions were later confirmed through Senate Bill 919 (Proposition 218 implementing legislation).

The purpose of establishing an Assessment Range Formula is to provide for reasonable increases and inflationary adjustment to annual assessments without requiring costly noticing and mailing procedures, which could add to the District costs and assessments. As part of the District formation, the notice and assessment ballots presented to the property owners for approval included a maximum assessment amount for fiscal year 2005/2006 (initial maximum assessment), identification of the corresponding maximum assessment rate and a summary of the Assessment Range Formula described herein.

The Assessment Range Formula for this District shall be applied to the future assessments and is generally defined:
 If the proposed annual assessment (levy per EBU) for the upcoming fiscal year is less than or equal to the adjusted Maximum Assessment Rate, then the proposed annual assessment is not considered an increased assessment.
 The Maximum Assessment Rate is equal to the (Initial) Maximum Assessment Rate established for Fiscal Year 2005/2006 adjusted annually by the greater of, three percent (3%) or the annual percentage change in the Consumer Price Index (CPI) of “All Urban Consumers” for the San Francisco-Oakland-San Jose Area from February to February. The Maximum Assessment rate was increased by 3.000% for Fiscal Year 2026/27.

Beginning with Fiscal Year 2006/2007 and each fiscal year thereafter, the Maximum Assessment Rate has been recalculated and a new Maximum Assessment Rate established for the fiscal year utilizing the Assessment Range Formula described above. The Maximum Assessment Rate is calculated independent of the District’s annual budget and proposed assessment. The annual percentage change in CPI is based on available data provided by the U.S. Department of Labor; Bureau of Labor Statistics at the time the annual Report is prepared. Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living. In January 2018, BLS introduced a new geographic area sample for the CPI. As part of the change the index for this area was renamed from San Francisco-Oakland-San Jose to San Francisco-Oakland-Hayward. The metropolitan area is comprised of Alameda, Contra Costa, Marin, San Francisco, San Mateo Counties in the State of California. This CPI will be used going forward.

To impose a new or increased assessment other than the annual inflationary adjustment provided by the preceding Assessment Range Formula, the City must comply with the provisions of the California Constitution Article XIIID Section 4c, that requires a public hearing and certain protest procedures including 5/12/26 | Item E6 | Attachment 4

Page 172 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 15 mailed notice of the public hearing and property owner protest balloting. Property owners through the balloting process must approve a proposed new or increased assessment before such an assessment may be imposed.
5/12/26 | Item E6 | Attachment 4

Page 173 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 16

6. ASSESSMENT DIAGRAM
The parcels within the Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) consist of the lots, parcels and subdivisions of land located in the residential development known as Las Lomas (Woodridge), Tract 2525-1. The District covers approximately one hundred and eleven acres (111.20 acres) in the southeast portion of the City of Atascadero.

Page 174 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Street and Storm Drain Maintenance District No. 02 Las Lomas (Woodridge) 17

7. ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District is based on the Assessment Diagram presented herein and is based on available parcel maps and property data from the San Luis Obispo County Assessor’s Office at the time the Engineer’s Report was prepared. A listing of the proposed lots and parcels to be assessed within this District along with the assessment amounts is provided herein.

Non-assessable lots or parcels may include but are not limited to public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space areas, rights-ofway, common areas; landlocked parcels, small parcels vacated by the County, bifurcated lots, and any other property that cannot be developed or has little or no value. These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment.

Page 175 of 335 ends

City of Atascadero
Street & Storm Drain Maintenance No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-311-014 9341 DECHADO WAY MFR 17.770 $17,478.0086 8,245.28 045-311-015 9261 LOS OLIVOS CIR MFR 24.830 24,422.0008 11,521.12 045-311-016 9110 CIRUELA WAY MFR 19.900 19,573.0091 9,233.60 045-312-001 9510 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-002 9520 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-003 11400 ELIANO ST SFR 1.000 983.5683 464.00
045-312-004 11390 ELIANO ST SFR 1.000 983.5683 464.00
045-312-005 11380 ELIANO ST SFR 1.000 983.5683 464.00
045-312-006 11370 ELIANO ST SFR 1.000 983.5683 464.00
045-312-007 11360 ELIANO ST SFR 1.000 983.5683 464.00
045-312-008 11350 ELIANO ST SFR 1.000 983.5683 464.00
045-312-009 11340 ELIANO ST SFR 1.000 983.5683 464.00
045-312-010 11320 ELIANO ST SFR 1.000 983.5683 464.00
045-312-011 11310 ELIANO ST SFR 1.000 983.5683 464.00
045-312-012 11305 ELIANO ST SFR 1.000 983.5683 464.00
045-312-013 11325 ELIANO ST SFR 1.000 983.5683 464.00
045-312-014 11335 ELIANO ST SFR 1.000 983.5683 464.00
045-312-015 11355 ELIANO ST SFR 1.000 983.5683 464.00
045-312-016 11365 ELIANO ST SFR 1.000 983.5683 464.00
045-312-017 11385 ELIANO ST SFR 1.000 983.5683 464.00
045-312-018 11395 ELIANO ST SFR 1.000 983.5683 464.00
045-312-019 11405 ELIANO ST SFR 1.000 983.5683 464.00
045-312-020 11415 ELIANO ST SFR 1.000 983.5683 464.00
045-312-021 11425 ELIANO ST SFR 1.000 983.5683 464.00
045-312-022 11435 ELIANO ST SFR 1.000 983.5683 464.00
045-312-023 9400 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-024 9410 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-025 9420 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-026 9430 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-027 9440 CALLE MILANO ST SFR 1.000 983.5683 464.00 045-312-028 9450 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-029 9460 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-030 9470 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-031 9480 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-032 9490 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-033 9500 CALLE MILANO SFR 1.000 983.5683 464.00 045-312-034 9510 CALLE MILANO RD SFR 1.000 983.5683 464.00 045-312-035 9520 CALLE MILANO RD SFR 1.000 983.5683 464.00 045-312-036 9535 AZOR LN SFR 1.000 983.5683 464.00
045-312-037 9525 AZOR LN SFR 1.000 983.5683 464.00
045-312-038 9515 AZOR LN SFR 1.000 983.5683 464.00
045-312-039 9505 AZOR LN SFR 1.000 983.5683 464.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 1 of 5 04/08/2026 03:00:51PM 5/12/26 | Item E6 | Attachment 4

Page 176 of 335 ends

City of Atascadero
Street & Storm Drain Maintenance No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-312-040 9495 AZOR LN SFR 1.000 983.5683 464.00
045-312-041 9485 AZOR LN SFR 1.000 983.5683 464.00
045-312-042 9475 AZOR LN SFR 1.000 983.5683 464.00
045-312-043 9465 AZOR LN SFR 1.000 983.5683 464.00
045-312-044 9470 AZOR LN SFR 1.000 983.5683 464.00
045-312-045 9480 AZOR RD SFR 1.000 983.5683 464.00
045-312-046 9500 AZOR LN SFR 1.000 983.5683 464.00
045-312-047 9520 AZOR LN SFR 1.000 983.5683 464.00
045-312-048 9530 AZOR LN SFR 1.000 983.5683 464.00
045-312-049 9540 AZOR LN SFR 1.000 983.5683 464.00
045-312-050 9550 AZOR LN SFR 1.000 983.5683 464.00
045-312-051 9515 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-052 9505 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-053 9495 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-054 9485 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-055 9475 ALCOTAN RD SFR 1.000 983.5683 464.00
045-312-056 9500 ALCOTAN RD SFR 1.000 983.5683 464.00
045-313-001
11455 MONTE VERDE
DR SFV 1.000 983.5683 464.00
045-313-002 9500 VIA CIELO SFR 1.000 983.5683 464.00
045-313-003 9550 VIA CIELO SFR 1.000 983.5683 464.00
045-313-004 9600 VIA CIELO RD SFR 1.000 983.5683 464.00 045-313-005 9650 VIA CIELO RD SFR 1.000 983.5683 464.00 045-313-006 9700 VIA CIELO RD SFR 1.000 983.5683 464.00 045-313-007 9655 VIA CIELO RD SFR 1.000 983.5683 464.00 045-313-008 9625 VIA CIELO SFR 1.000 983.5683 464.00
045-313-009 9575 VIA CIELO SFR 1.000 983.5683 464.00
045-313-010 9565 VIA CIELO SFR 1.000 983.5683 464.00
045-313-011 9555 VIA CIELO SFR 1.000 983.5683 464.00
045-313-012 9505 VIA CIELO SFR 1.000 983.5683 464.00
045-313-013 9515 VIA CIELO SFR 1.000 983.5683 464.00
045-313-014 9525 VIA CIELO SFR 1.000 983.5683 464.00
045-313-015 9535 VIA CIELO SFR 1.000 983.5683 464.00
045-313-018 9350 VIA CIELO SFR 1.000 983.5683 464.00
045-313-019 9402 VIA CIELO LN SFR 1.000 983.5683 464.00 045-313-020 9450 VIA CIELO SFR 1.000 983.5683 464.00
045-313-021 11450 MONTE VERDE SFR 1.000 983.5683 464.00 045-313-026 9250 VIA CIELO SFR 1.000 983.5683 464.00
045-313-027 9300 VIA CIELO SFR 1.000 983.5683 464.00
045-314-001 11290 ELIANO ST SFR 1.000 983.5683 464.00
045-314-002 11280 ELIANO ST SFR 1.000 983.5683 464.00
045-314-003 11270 ELIANO ST SFR 1.000 983.5683 464.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 2 of 5 04/08/2026 03:00:51PM 5/12/26 | Item E6 | Attachment 4

Page 177 of 335 ends

City of Atascadero
Street & Storm Drain Maintenance No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-314-004 11260 ELIANO ST SFR 1.000 983.5683 464.00
045-314-005 11250 ELIANO ST SFR 1.000 983.5683 464.00
045-314-006 11240 ELIANO ST SFR 1.000 983.5683 464.00
045-314-007 11220 ELIANO ST SFR 1.000 983.5683 464.00
045-314-008 11215 ELIANO ST SFR 1.000 983.5683 464.00
045-314-009 11225 ELIANO ST SFR 1.000 983.5683 464.00
045-314-010 11235 ELIANO ST SFR 1.000 983.5683 464.00
045-314-011 11245 ELIANO ST SFR 1.000 983.5683 464.00
045-314-012 11255 ELIANO ST SFR 1.000 983.5683 464.00
045-314-013 11265 ELIANO ST SFR 1.000 983.5683 464.00
045-314-014 11275 ELIANO ST SFR 1.000 983.5683 464.00
045-314-015 11285 ELIANO ST SFR 1.000 983.5683 464.00
045-314-016 11290 AVION RD SFR 1.000 983.5683 464.00
045-314-017 11280 AVION RD SFR 1.000 983.5683 464.00
045-314-018 11270 AVION RD SFR 1.000 983.5683 464.00
045-314-019 11260 AVION RD SFR 1.000 983.5683 464.00
045-314-020 11250 AVION RD SFR 1.000 983.5683 464.00
045-314-021 11240 AVION RD SFR 1.000 983.5683 464.00
045-314-022 11230 AVION RD SFR 1.000 983.5683 464.00
045-314-023 11210 AVION RD SFR 1.000 983.5683 464.00
045-314-024 11200 AVION RD SFR 1.000 983.5683 464.00
045-314-025 11205 AVION RD SFR 1.000 983.5683 464.00
045-314-026 11215 AVION RD SFR 1.000 983.5683 464.00
045-314-027 11225 AVION RD SFR 1.000 983.5683 464.00
045-314-028 11235 AVION RD SFR 1.000 983.5683 464.00
045-314-029 11245 AVION RD SFR 1.000 983.5683 464.00
045-314-030 11255 AVION RD SFR 1.000 983.5683 464.00
045-314-031 11275 AVION RD SFR 1.000 983.5683 464.00
045-314-032 11285 AVION RD SFR 1.000 983.5683 464.00
045-314-033 11295 AVION RD SFR 1.000 983.5683 464.00
045-315-001 11210 ELIANO ST SFR 1.000 983.5683 464.00
045-315-002 11190 ELIANO ST SFR 1.000 983.5683 464.00
045-315-003 11180 ELIANO ST SFR 1.000 983.5683 464.00
045-315-004 11170 ELIANO ST SFR 1.000 983.5683 464.00
045-315-005 11160 ELIANO ST SFR 1.000 983.5683 464.00
045-315-006 11150 ELIANO ST SFR 1.000 983.5683 464.00
045-315-007 11140 ELIANO ST SFR 1.000 983.5683 464.00
045-315-008 11130 ELIANO ST SFR 1.000 983.5683 464.00
045-315-009 11120 ELIANO ST SFR 1.000 983.5683 464.00
045-315-010 11105 ELIANO ST SFR 1.000 983.5683 464.00
045-315-011 11115 ELIANO ST SFR 1.000 983.5683 464.00
045-315-012 11125 ELIANO ST SFR 1.000 983.5683 464.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 3 of 5 04/08/2026 03:00:51PM 5/12/26 | Item E6 | Attachment 4

Page 178 of 335 ends

City of Atascadero
Street & Storm Drain Maintenance No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-315-013 11100 AVION RD SFR 1.000 983.5683 464.00
045-315-014 11165 ELIANO ST SFR 1.000 983.5683 464.00
045-315-015 11185 ELIANO ST SFR 1.000 983.5683 464.00
045-315-016 11195 ELIANO ST SFR 1.000 983.5683 464.00
045-315-017 11205 ELIANO ST SFR 1.000 983.5683 464.00
045-315-018 11180 AVION RD SFR 1.000 983.5683 464.00
045-315-019 11170 AVION RD SFR 1.000 983.5683 464.00
045-315-020 11160 AVION RD SFR 1.000 983.5683 464.00
045-315-021 11150 AVION RD SFR 1.000 983.5683 464.00
045-315-022 11130 AVION RD SFR 1.000 983.5683 464.00
045-315-023 11110 AVION RD SFR 1.000 983.5683 464.00
045-315-024 11105 AVION RD SFR 1.000 983.5683 464.00
045-315-025 11115 AVION RD SFR 1.000 983.5683 464.00
045-315-026 11125 AVION RD SFR 1.000 983.5683 464.00
045-315-027 11135 AVION RD SFR 1.000 983.5683 464.00
045-315-028 11145 AVION RD SFR 1.000 983.5683 464.00
045-315-029 11155 AVION RD SFR 1.000 983.5683 464.00
045-315-030 11165 AVION RD SFR 1.000 983.5683 464.00
045-315-031 11175 AVION RD SFR 1.000 983.5683 464.00
045-315-032 11185 AVION RD SFR 1.000 983.5683 464.00
045-315-033 11195 AVION RD SFR 1.000 983.5683 464.00
045-316-041 9350 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-042 9352 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-043 9354 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-044 9356 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-045 9358 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-046 9360 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-047 9362 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-048 9364 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-049 9366 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-050 9368 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-051 9369 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-052 9367 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-053 9365 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-054 9363 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-055 9361 RIBERENA CIR CON 0.750 737.6762 348.00 045-316-056 9355 RANADA CIR CON 0.750 737.6762 348.00
045-316-057 9357 RANADA CIR CON 0.750 737.6762 348.00
045-316-058 9359 RANADA CIR CON 0.750 737.6762 348.00
045-316-059 9361 RANADA CIR CON 0.750 737.6762 348.00
045-316-060 9363 RANADA CIR CON 0.750 737.6762 348.00
045-316-061 9371 CADENCIA CT CON 0.750 737.6762 348.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 4 of 5 04/08/2026 03:00:51PM 5/12/26 | Item E6 | Attachment 4

Page 179 of 335 ends

City of Atascadero
Street & Storm Drain Maintenance No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-316-062 9373 CADENCIA CT CON 0.750 737.6762 348.00
045-316-063 9375 CADENCIA CT CON 0.750 737.6762 348.00
045-316-064 9377 CADENCIA CT CON 0.750 737.6762 348.00
045-316-065 9379 CADENCIA CT CON 0.750 737.6762 348.00
045-316-066 9381 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-067 9383 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-068 9385 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-069 9387 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-070 9389 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-071 9388 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-072 9386 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-073 9384 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-074 9382 CIELO AZUL CT CON 0.750 737.6762 348.00 045-316-075 9380 CIELO AZUL CT CON 0.750 737.6762 348.00 181 Accounts 231.750 $227,941.9524 107,532.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 5 of 5 04/08/2026 03:00:51PM 5/12/26 | Item E6 | Attachment 4

Page 180 of 335 ends

5/12/26 | Item E6 | Attachment 5

DRAFT RESOLUTION D

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, INITIATING PROCEEDINGS FOR

ANNUAL LEVY OF ASSESSMENTS FOR THE ATASCADERO
LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT NO. 02
(WOODRIDGE) FOR FISCAL YEAR 2026/2027 PURSUANT TO THE
PROVISIONS OF PART 2 OF DIVISION 15 OF THE CALIFORNIA

STREETS AND HIGHWAYS CODE
The City Council of the City of Atascadero (hereafter referred to as “City Council”) hereby finds, determines, resolves and orders as follows:

WHEREAS, the City Council has, by previous Resolutions, formed the Atascadero Landscaping and Lighting Maintenance District No. 02 (Woodridge) (hereafter referred to as “District”) pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (hereafter referred to as the “Act”) that provides for levy and collection of assessments by the County of San Luis Obispo for the City of Atascadero to pay the maintenance and services of lighting facilities, landscaping, and appurtenant facilities and operations related thereto; and WHEREAS, the District and the associated assessments are in compliance with the provisions of California Constitution Article XIIID; and WHEREAS, the City Council has retained NBS for the purpose of assisting with the Annual Levy of the District and to prepare and file a report with the City Clerk in accordance with the Act.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero as follows:

SECTION 1. Engineer’s Annual Levy Report: The City Council hereby orders NBS to prepare the Engineer’s Annual Levy Report concerning the levy of assessments for the District in accordance with Chapter 3, Section 22622 of the Act.

SECTION 2. Proposed Improvements and Any Substantial Changes in Existing Improvements: The improvements within the District include the ongoing operation, administration, maintenance, servicing and incidental expenses related to the dedicated landscape areas, public street lighting and appurtenant facilities authorized pursuant to the Act that were installed as part of property development and associated with the District. Said improvements may include, but are not limited to the materials, equipment, utilities, labor, appurtenant facilities and expenses necessary for the ongoing maintenance and operation of public street lighting as well as landscaped parkways, medians, slopes, trails, park areas, drainage basins, open space areas and other designated easements or right-of-ways constructed and installed as part of the development plans and agreements approved for the development of each lot and parcel within the District. The Engineer's Annual Levy Report describes any new improvements or substantial changes in existing improvements.

Page 181 of 335 ends

5/12/26 | Item E6 | Attachment 5
PASSED AND ADOPTED at a regular meeting of the City Council held on the ___th day of _____, 2026.

On motion by Council Member and seconded by Council Member , the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 182 of 335 ends

5/12/26 | Item E6 | Attachment 6

DRAFT RESOLUTION E

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, FOR PRELIMINARY APPROVAL OF
THE ENGINEER’S ANNUAL LEVY REPORT FOR THE ATASCADERO
LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT NO. 02
(WOODRIDGE) FOR FISCAL YEAR 2026/2027
The City Council of the City of Atascadero (hereafter referred to as “City Council”) does resolve as follows:

WHEREAS, the City Council has, by previous Resolutions, ordered the preparation of an Engineer's Annual Levy Report (hereafter referred to as the “Report”) for the district known and designated as the Atascadero Landscaping and Lighting Maintenance District No. 02 (Woodridge) (hereafter referred to as the “District”) pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division of the Streets and Highways Code of California, beginning with Section 22500 (hereafter referred to as the “Act”); and WHEREAS, the District and the associated assessments are in compliance with the provisions of California Constitution Article XIIID; and WHEREAS, the City Council has now been presented with the Report as required by Chapter 1, Article 4, Section 22566 of said Act; and
WHEREAS, the City Council has carefully examined and reviewed the Report as presented and is preliminarily satisfied with the Report, each of the budget items and documents as set forth therein and is satisfied on a preliminary basis that the proposed assessments have been spread in accordance with the benefits received from the improvements, operation, maintenance, and services to be performed within each benefit zone as set forth in said Report.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero as follows:

SECTION 1. The above recitals are true and correct.

SECTION 2. That the presented Report consists of the following:
a. A Description of the Improvements
b. The Annual Budget (Costs and Expenses of Services, Operation, and Maintenance) c. The Method of Apportionment that details the method of calculating each parcel’s proportional special benefits and annual assessment.
d. The District Roll containing the proposed assessment for each parcel within the District for Fiscal Year 2026/2027.

Page 183 of 335 ends

5/12/26 | Item E6 | Attachment 6
SECTION 3. The Report is hereby approved on a preliminary basis and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection.

SECTION 4. That the City Clerk shall certify to the passage and adoption of this Resolution, and the minutes of this meeting shall so reflect the presentation of the Report.

PASSED AND ADOPTED at a regular meeting of the City Council held on the ___th day of _____, 2026.

On motion by Council Member and seconded by Council Member , the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 184 of 335 ends

5/12/26 | Item E6 | Attachment 7

DRAFT RESOLUTION F

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ATASCADERO, CALIFORNIA, DECLARING ITS INTENTION TO LEVY

AND COLLECT ASSESSMENTS FOR THE ATASCADERO
LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT NO. 02
(WOODRIDGE) FOR FISCAL YEAR 2026/2027
The City Council of the City of Atascadero (hereafter referred to as “City Council”) does resolve as follows:

WHEREAS, The City Council has by previous Resolution initiated proceedings for fiscal year 2026/2027 regarding the levy and collection of assessments for the Atascadero Landscaping and Lighting District No. 02 (Woodridge) (hereafter referred to as the “District”). Pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2, Division 15 of the California Streets and Highways Code (commencing with section 22500) (hereafter referred to as the “Act”), assessments for the District shall be levied and collected by the County of San Luis Obispo for the City of Atascadero to pay the maintenance and services of the improvements and facilities related thereto; and
WHEREAS, the proposed District assessments for fiscal year 2026/2027 are less than or equal to the maximum assessments previously approved in accordance with the requirements of the California Constitution, Article XIIID; and
WHEREAS, there has now been presented to this City Council an Engineer’s Annual Levy Report (hereafter referred to as the “Engineer’s Report”), and said Engineer’s Report has been filed with the City Clerk in accordance with the Act; and WHEREAS, the City Council has examined and reviewed the Engineer’s Report as presented and is satisfied with the Report, each of the budget items and documents as set forth therein and is satisfied that the proposed assessments contained therein, have been spread in accordance with the benefits received from the improvements, operation, maintenance and services to be performed within the District, as set forth in said Report.

NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Atascadero pursuant to Chapter 3, Section 22624 of the Act, as follows:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council hereby declares its intention to seek the annual levy and collection of assessments within the District pursuant to the Act, over and including the lands, lots and parcels within the District boundary. The City Council further declares its intention to levy and collect assessments on such land to pay the annual costs and expenses of the improvements and services described in Section 4 of this Resolution, for fiscal year 2026/2027.

Page 185 of 335 ends

5/12/26 | Item E6 | Attachment 7
SECTION 3. The boundaries of the District are described in the Engineer’s Report and are consistent with the boundary established and described in the original formation documents, on file with the City Clerk, and incorporated herein by reference. The District is within the boundaries of the City of Atascadero, within the County of San Luis Obispo, State of California and includes the territory known as Woodridge and referred to as the “Atascadero Landscaping and Lighting District No. 02”.

SECTION 4. The improvements within the District include the ongoing maintenance, operation and servicing of local landscaping and street lighting improvements established or installed in connection with development of properties within the District. These improvements generally include, but are not limited to the materials, equipment, utilities, labor, appurtenant facilities and expenses necessary for the ongoing maintenance and operation of public street lighting as well as landscaped parkways, medians, slopes, trails, park areas, drainage basins, open space areas and other designated easements or right-of-ways constructed and installed as part of the development plans and agreements approved for the development of each lot and parcel within the District.

SECTION 5. The proposed assessments for fiscal year 2026/2027, as outlined in the Engineer’s Report, do not exceed the maximum assessment approved by the property owners through a property owner balloting proceeding conducted in 2005. As such, the proposed assessments do not constitute an increased assessment and do not require additional property owner approval in accordance with the requirements of the California Constitution, Article XIIID.

SECTION 6. The City Council hereby declares its intention to conduct a Public Hearing concerning the District and the levy of assessments in accordance with Chapter 3, Section 22626 of the Act.

SECTION 7. Notice is hereby given that a Public Hearing on these matters will be held by the City Council on Tuesday, June 9, 2026, at 6:00 p.m., at the City Council Chambers, 6500 Palma Avenue, Atascadero, California or as soon thereafter as feasible. At the Public Hearing, all interested persons shall be given an opportunity to hear and be heard on the proposed assessment to be levied for fiscal year 2026/2027 as contained in the Engineer’s Report on file in the City Clerk’s Office.

SECTION 8. The City Clerk shall give notice of the time and place of the Public Hearing to all property owners within the District pursuant to Sections 22626, 22552 and 22553 of the Act and 6061 of the Government Code by publishing this Resolution of Intention in a local newspaper one time at least 10 days prior to the Public Hearing.

PASSED AND ADOPTED at a regular meeting of the City Council held on the ___th day of _____, 2026.

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 186 of 335 ends

Fiscal Year 2026/27 Engineer’s Report For:

Landscaping and Lighting District
District No. 02 Las Lomas (Woodridge)
May 2026
5/12/26 | Item E6 | Attachment 8

Page 187 of 335 ends

CITY OF ATASCADERO
Landscaping & Lighting District No. 02
Las Lomas (Woodridge)

6500 Palma Avenue
Atascadero, CA 93422
Phone – (805) 461-5000
Fax – (805) 461-7612

CITY COUNCIL
Charles Bourbeau, Mayor
Mark Dariz, Mayor Pro Tem
Susan Funk, Council Member
Seth Peek, Council Member
Heather Newsom, Council Member

Page 188 of 335 ends

TABLE OF CONTENTS

1. Engineer’s Letter ............................................................................................................. 1

2. Executive Summary ........................................................................................................ 2

3. Plans and Specifications .................................................................................................. 4

3.1 Description of the District ....................................................................................... 4

3.2 Improvements and Services Authorized by the 1972 Act ....................................... 4

3.3 Description of Improvements and Services ............................................................ 5

4. Estimate of Costs ............................................................................................................ 8

5. Method of Assessment ................................................................................................... 9

5.1 General .................................................................................................................... 9

5.2 Benefit Analysis ....................................................................................................... 9

5.3 Assessment Methodology ..................................................................................... 11

5.4 Assessment Range Formula .................................................................................. 14

6. Assessment Diagram ..................................................................................................... 16

7. Assessment Roll ............................................................................................................ 17 5/12/26 | Item E6 | Attachment 8

Page 189 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 1

1. ENGINEER’S LETTER
WHEREAS, on March 24, 2005 by Resolution No. 2005-051, the City Council of the City of Atascadero (the “City”), State of California, in accordance with and pursuant to the Landscape and Lighting Act of 1972, Part 2, Division 15 of the California Streets and Highways Code (commencing with Section 22500 (the “1972 Act”) established the City of Atascadero Landscaping and Lighting District No. 02 Las Lomas (Woodridge) (the “District”); and
WHEREAS, on May 12, 2026 the City Council, under the 1972 Act, adopted its Resolution Initiating Proceedings for the Annual Levy of Assessments and Ordering the Preparation of an Engineer’s Report for the District; and
WHEREAS, the Resolution Initiating Proceedings directed NBS to prepare and file a report describing the general nature, location, and extent of the improvements to be maintained; an estimate of the costs of the maintenance, operations, and servicing of the improvements for the District for the referenced fiscal year; a diagram for the District, showing the area and properties to be assessed; and an assessment of the estimated costs of the administration, maintenance, operations, and servicing the improvements, assessing the net amount upon all assessable lots and/or parcels within the District in proportion to the special benefit received.

FY 2026/27 Budget Summary
Description Total Costs
Costs Not
Assessed
Proposed
Assessment
Total
Benefit
Units
Maximum
Rate
Proposed
Rate Per
BU
Annual Maintenance $90,430 ($1,580) $88,850
Special Project 15,000 0 15,000
Administration 7,270 0 7,270
Capital Reserve Collections/(Use) (433) (250) (683)
Levy Adjustments (30,020) 0 (30,020)
Total $82,247 ($1,830) $80,417 231.75 $2,442.46 $347.00 I, the undersigned, respectfully submit the enclosed Engineer’s Report and, to the best of my knowledge, information, and belief, the Engineer’s Report, Assessments, and the Assessment Diagram herein have been prepared, computed, and levied in accordance with the assessment methodology adopted, approved, and ordered by the City Council of the City of Atascadero and the 1972 Act.

City Engineer
5/12/26 | Item E6 | Attachment 8

Page 190 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 2

Landscaping and Lighting District No. 02 Las Lomas (Woodridge) (hereafter referred to as the “District”), which includes the lots and parcels of land within the residential subdivision known as Las Lomas (Woodridge), Tract 2525-1 within the City limits of the City. This Engineer’s Report (hereafter referred to as the “Report”) has been prepared in connection with the levy and collection of annual assessments related thereto for Fiscal Year 2026/27, as required pursuant to Chapter 1, Article 4 of the 1972 Act.

The improvements and assessments described in this Report are based on the planned development of properties within the District and represent an estimate of the direct expenditures, incidental expenses, and fund balances that will be necessary to maintain and service the improvements. The boundaries of the District, the proposed improvements, the method of apportionment, and assessments described herein are based on current development plans and specifications for Tract 2525-1; and by reference these plans and specifications are made part of this Report.

As part of the District formation, the City of Atascadero conducted a Property Owner Protest Ballot proceeding for the proposed levy of a new assessment pursuant to the provisions of the California Constitution, Article XIIID Section 4. In conjunction with this ballot proceeding, the City Council conducted a noticed public hearing on May 24, 2005 to consider public testimonies, comments and written protests regarding the formation of the District and levy of assessments. Upon conclusion of the public hearing, 5/12/26 | Item E6 | Attachment 8

Page 191 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 3 property owner protest ballots received were opened and tabulated to determine whether majority protest existed (ballots were weighted based on assessment amounts), and by resolution the City Council confirmed the results of the ballot tabulation. Tabulation of the ballots indicated that majority protest did not exist for the proposed assessments and the assessment range formula presented and described herein, the City Council approved the Report (as submitted or amended), ordered the formation of the District, and approved the levy and collection of assessments. The assessments for Fiscal Year 2005/2006 were submitted to the San Luis Obispo County Auditor/Controller for inclusion on the property tax roll for each parcel.

Page 192 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 4

3. PLANS AND SPECIFICATIONS

3.1 Description of the District
The territory within the District consists of the lots, parcels and subdivisions of land within the residential subdivision known as the Las Lomas (Woodridge), Tract 2525-1, which encompasses an area of land totaling approximately one hundred and eleven acres (111.20 acres).

This residential subdivision includes one hundred forty-three (143) single-family residential units; thirtyfive (35) condominium/senior housing units; and a single one hundred (100) unit multi-family residential project at build-out. Due to parcel splits the multi-family residential project is spread over three parcels.

Page 193 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 5 c) Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; d) The removal of trimmings, rubbish, debris, and other solid waste; e) The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti;
f) Electric current or energy, gas, or other illuminating agent for any public lighting facilities or for the lighting or operation of any other improvements; g) Water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements.
8) Incidental expenses associated with the improvements including, but not limited to:
a) The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
b) The costs of printing, advertising, and the publishing, posting and mailing of notices; c) Compensation payable to the County for collection of assessments; d) Compensation of any engineer or attorney employed to render services; e) Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
f) Costs associated with any elections held for the approval of a new or increased assessment.

3.3 Description of Improvements and Services
The purpose of this District is to ensure the ongoing maintenance, operation and servicing of local landscaping and street lighting improvements established or installed in connection with development of properties within the District. The improvements may consist of all or a portion of the public landscaped areas, street lighting and appurtenant facilities within and adjacent to the District (Tract 2525-1). These improvements generally include, but are not limited to the materials, equipment, utilities, labor, appurtenant facilities and expenses necessary for the ongoing maintenance and operation of public street lighting as well as landscaped parkways, medians, slopes, trails, park areas, drainage basins, open space areas and other designated easements or rights-of-way constructed and installed as part of the development plans and agreements approved for the development of each lot and parcel within the District. The improvements to be maintained and funded entirely or partially through the District assessments are generally described as:
 Streetscape landscaping including street trees located on the perimeter of the development and interior streets of Tract 2525-1 that are within the public rights-of-way or easements and dedicated to the City for maintenance;
 Open space areas and fuel modification areas within or adjacent to the District boundaries;  Park areas, recreational equipment, trails and landscaped drainage facilities developed and constructed as part of developing properties within Tract 2525-1;  Public lighting facilities including street lighting, safety lighting and ornamental lighting installed as part of the residential development or landscaped improvement areas  Appurtenant facilities, equipment, materials and utilities related to the aforementioned improvements;
5/12/26 | Item E6 | Attachment 8

Page 194 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 6  Specifically not included as District improvements are those improvements located on private property, improvements and facilities that may be provided or maintained by an agency other than the City; improvements and facilities that may be provide by another assessment or tax levied by the City or any improvement provided and maintained by a Homeowner’s Association or similar entity.

3.3.1 LANDSCAPE IMPROVEMENTS
The landscape improvements for the District may include, but are not limited to turf, ground cover, shrubs and plants, trees, irrigation and drainage systems, ornamental lighting, masonry walls or other fencing, hardscape improvements, monuments, and associated appurtenant facilities located within the landscape easements or public rights-of-way. Specifically, the landscape improvement areas for this District are identified as:
 Approximately 34,420 square feet of streetscape landscaping and trees within the public rights-ofway along or adjacent to Halcon Road, Calle Milano, Via Cielo and Eliano Street including but not limited to approximately 27,200 square feet of parkway landscaping and 7,220 square feet of median landscaping;
 Approximately 220,850 square feet (5.07 acres) of landscaped slope areas within the District boundaries and adjacent to the residential properties, open space areas, drainage basins and streets of Tract 2525-1;
 Approximately 175,550 square feet (4.03 acres) of landscaped area in and around the two (2) drainage basins within Tract 2525-1;
 Approximately 106,460 square feet of non-irrigated open space area within the District;  Approximately 1,981,980 square feet of non-irrigated open space area within the boundaries of the District associated with the development of the residential properties within Tract 2525-1;  Approximately 225 street trees located within the public rights-of-way of the streets within Tract 2525-1 including but not limited to Calle Milano, Via Cielo, Eliano Street, Avion Road, Azor Lane and Alcotan Lane;
 Approximately 1,910 square feet of paths and trails, 45,265 square feet sidewalks and 6,100 linear feet of fencing within and adjacent to the various landscape improvement areas.

3.3.2 PUBLIC LIGHTING IMPROVEMENTS
The lighting improvements may include but are not limited to the cost of providing electrical energy and servicing of lighting fixtures, poles, meters, conduits, electrical cable and associated appurtenant facilities associated with:
5/12/26 | Item E6 | Attachment 8

Page 195 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 7  There are five (5) public streetlights currently planned for Tract 2525-1. These streetlights are located on Calle Milano between Halcon Road and Eliano Street (The entryway to the residential properties within the District);
 Lighting facilities may also include but are not limited to safety lights, security lights or ornamental lights located within the various landscape improvement areas installed as part of the District’s landscape improvements.
5/12/26 | Item E6 | Attachment 8

Page 196 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 8

4. ESTIMATE OF COSTS
Total Costs Not 2026/27
BUDGET Budget Assessed Assessment

DIRECT COSTS
Annual Costs
Landscape Services $65,000 (1,580) $63,420
Landscape Supplies 2,000 0 2,000
Landscape Utilities 13,580 0 13,580
City Landscape Services 6,700 0 6,700
Other Maintenance Services 3,150 0 3,150
Total Annual Direct Costs $90,430 ($1,580) $88,850

CAPITAL EXPENDITURES
Special Projects $15,000 $0 $15,000
Total Annual Special Projects $15,000 $0 $15,000

ADMINISTRATION EXPENSES
Annual Administration Expenses
City Annual Administration $1,560 $0 $1,560
Engineer's Report & Services 5,360 0 5,360
Public Noticing 350 0 350
Total Administration $7,270 $0 $7,270
TOTAL DIRECT & ADMINISTRATION COSTS $112,700 ($1,580) $111,120

CAPITAL RESERVE COLLECTIONS/(USES)
Landscape Rehabilitation/Replacement $3,128 $0 $3,128
Median Rehabilitation/Replacement 138 0 138
Open Space Rehabilitation/Replacement 1,000 (250) 750
Tree Rehabilitation/Replacement (9,194) 0 (9,194)
Slope Rehabilitation/Replacement 3,754 0 3,754
Other Rehabilitation/Replacement 741 0 741
Total Annual Capital Reserve Collections/(Uses) ($433) ($250) ($683)

LEVY ADJUSTMENTS
Interest Income - Improvement Fund ($2,200) $0 ($2,200) Interest Income - Operating Reserve Fund (1,720) 0 (1,720) Contribution from Other Sources (1,830) 0 (1.830)
Reserve Collection/(Use) (24,270) 0 (24,270)
Total Levy Adjustments ($30,020) $0 ($30,020)
BALANCE TO LEVY (1) $82,247 ($1,830) $80,417

DISTRICT STATISTICS
Total Parcels 191
Parcels Levied 181
Total EBU (1) 231.75
Levy per EBU $347.00
Maximum Levy per EBU $2,442.46

FUND BALANCE INFORMATION
Beginning Operating Reserve Balance $64,226
Operational Reserve Interest 1,720
Surplus Transfer from Improvement Fund 28,773
Operational Reserve Collection (Use) (30,020)
Estimated Ending Operating Reserve Balance $64,699

Beginning Improvement Fund Balance $109,676
Improvement Fund Interest 2,200
Surplus Transfer to Operations Fund (28,773)
Improvement Fund Collection/(Use) (433)
Estimated Ending Improvement Fund Balance $82,670
(1) Does not include even penny rounding or County of San Luis Obispo fee of $2.00 per parcel. 5/12/26 | Item E6 | Attachment 8

Page 197 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 9

5. METHOD OF ASSESSMENT

The special benefits associated with landscape improvements are specifically:
 Enhanced desirability of properties through association with the improvements. 5/12/26 | Item E6 | Attachment 8

Page 198 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 10  Improved aesthetic appeal of properties providing a positive representation of the area and properties.
 Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping
 Environmental enhancement through improved erosion resistance, dust and debris control, and fire prevention.
 Increased sense of pride in ownership of property within the District resulting from wellmaintained improvements associated with the properties.  Enhanced quality of life through well-maintained green space and landscaped areas.  Reduced criminal activity and property-related crimes (especially vandalism) against properties in the District through well-maintained surroundings and amenities including abatement of graffiti.  Enhanced environmental quality of the parcels by moderating temperatures, providing oxygenation and attenuating noise.

5.2.2 GENERAL BENEFIT
In reviewing each of the District improvements, the proximity of those improvements to both properties within the District and those outside the District as well as the reasons for installing and constructing such improvements, it is evident that the improvements are solely the result of developing properties within the District and the ongoing maintenance and operation of these improvements will directly affect the properties within the District. Although the improvements include public areas, easements, rights-ofway and other amenities available or visible to the public at large, the construction and installation of these improvements (except portions of the open space areas) were only necessary for the development of properties within the District and were not required nor necessarily desired by any properties or developments outside the District boundary and any public access or use of the improvements by others is incidental. Therefore, it has been determined that the improvements and the ongoing maintenance, servicing and operation of those improvements provide no measurable general benefit to properties outside the District or to the public at large, but clearly provide distinct and special benefits to properties within the District. With respect to the open space areas, these areas are an integral part of property development within the District and clearly provide a direct and special benefit those properties. However, it is 5/12/26 | Item E6 | Attachment 8

Page 199 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 11 also recognized that the majority of this open space area is located on the perimeter of the District and is directly accessible from surrounding properties and the public at large. Therefore, it has been determined that up to twenty-five percent (25%) of the costs to maintain this area shall be allocated as general benefit and not assessed as part of the District’s special benefit assessments

5.3.1 EQUIVALENT BENEFIT UNITS:

5/12/26 | Item E6 | Attachment 8

Page 200 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 12

Equivalent Benefit Unit “EBU”).
(2) Multi-family Residential — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the property. (This land use typically includes apartments, duplexes, triplex etc., but does not generally include condominiums, town-homes or mobile home parks). Based on average population densities and size of the structure as compared to a typical single-family residential unit, multi-family residential parcels shall be proportionately assessed for the parcel’s total number of residential units utilizing a sliding benefit scale. Although multi-family properties typically receive similar benefits to that of a single-family residential, it would not be reasonable to conclude that on a per unit basis, the benefits are equal. Studies have consistently shown that the average multi-family unit impacts infrastructure approximately 75% as much as a single-family residence (Sample Sources: Institute of Transportation Engineers Informational Report Trip Generation, Fifth Edition; Metcalf and Eddy, Wastewater Engineering Treatment, Disposal, Reuse, Third Edition). These various studies indicate that most public improvements and infrastructure are utilized and impacted at reduced levels by multi-family residential units and a similar reduction in proportional benefit is appropriate. Furthermore, it is also reasonable to conclude that as the density (number of units) increases the proportional benefit per unit tends to decline because the unit size and people per unit usually decreases.

Based on these considerations and the improvements provided by this District, an appropriate allocation of special benefit for multi-family residential properties as compared to a single- family residential is best represented by the following special benefit assignment: 0.75 EBU per unit for the first 50 units; 0.50 EBU per unit for units 51 through 100; and 0.25 EBU per unit for remaining units.
(3) Condominium/Town-home Units — Condominiums and town-homes tend to share attributes of both single-family residential and multi-family residential properties and for this reason are identified as a separate land use classification. Like most single-family residential properties, these properties are not usually considered rental property and generally, the County assigns each unit a separate APN or assessment number. However, condominiums and town-homes often have similarities to multi-family residential properties in that they are generally zoned medium to high density and in some cases may involve multiple units on a single APN. In consideration of these factors, it has been determined that an appropriate allocation of special benefit for condominiums, town-homes and similar residential properties is best represented by an assignment of 0.75 EBU per unit regardless of whether each unit is assigned an individual APN or there are multiple units assigned to an APN. (There is no adjustment for parcels with more than five units). (4) Planned-Residential Development — This land use is defined as any property for which a tentative or final tract map has been filed and approved (a specific number of residential lots and units has been identified) and the property is expected to be subdivided within the fiscal year or is part of the overall improvement and development plan for the District. This land use classification often times involves more than a single parcel (e.g. the approved tract map encompasses more than a 5/12/26 | Item E6 | Attachment 8

Page 201 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 13 single APN). Each parcel that is part of the approved tract map shall be assessed proportionately for the proposed or estimated residential type and units to be developed on that parcel as part of the approved tract map. Accordingly, each parcel is assigned an appropriate number of benefit units that reflects the development of that property at build-out. (The EBU assigned to each parcel shall represent the combination of single-family, condominium, multi-family units to be developed).
(5) Vacant Residential — This land use is defined as property currently zoned for residential development, but a tentative or final tract map for the property has not yet been approved. Based upon the opinions of professional appraisers who appraise market property values for real estate in California, the land value portion of a property typically ranges from 20 to 30 percent of the total value of a developed residential property (the average is about 25 percent). Although the assessed value of an individual property is not a direct reflection of the property’s special benefit, this general correlation between land value and structure value does provide a reasonable basis for apportioning special benefit for vacant residential properties. Utilizing this twenty-five percent (25%) apportionment and the number of single-family residential units typically developed per acre of land (an average of 4 residential units per acre) an Equivalent Benefit Unit of 1.00 EBU per acre (4 units per acre x 25%) is derived and presents an appropriate apportionment of special benefit for vacant residential properties. Recognizing that the full and timely utilization of vacant property is reduced as the size of the property increases, it has been determined that the maximum EBU assigned to a vacant residential parcel shall not exceed 25.00 EBU (parcels in excess of 25 acres are assigned 25.00 EBU). Parcels less than one acre, shall be assigned a minimum of 1.00 EBU (similar to a vacant lot within a residential tract). (6) Exempt Parcels — This land use identifies properties that are not assessed and are assigned 0.00 EBU. This land use classification may include but is not limited to:
 Lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County);
 Dedicated public easements including open space areas, utility rights-of- way, greenbelts, parkways, parks or other publicly owned properties that are part of the District improvements or may provide other benefits to private properties within the District;  Private properties that cannot be developed independently from an adjacent property, such as common areas, sliver parcels or bifurcated lots or properties with very restrictive development use;
These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment, but shall be reviewed annually by the assessment engineer to confirm the parcels’ current development status. Government owned properties or public properties are not necessarily exempt properties and shall be subject to special benefit assessment unless it qualifies for an exempt status.
(7) Special Cases — In many districts where multiple land use classifications are involved, there are usually one or more properties for which the standard land use classifications do not accurately identify the special benefits received from the improvements. For example, a parcel may be identified as a Vacant Residential property, however only a small percentage of the parcel’s 5/12/26 | Item E6 | Attachment 8

Page 202 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 14 total acreage can actually be developed. In this case, an appropriate calculation would be based on the net acreage that can be utilized rather than the gross acreage of the parcel The following table provides a summary of land use classifications and the Equivalent Benefit Unit calculations previously outlined.

Property Type
Equivalent
Benefit Units Multiplier
Single-family Residential 1.00 Per Unit/Lot/Parcel
Multi-family Residential

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Condominium/Townhome Units 0.75 Per Unit
Planned Residential Development

1.00 Per Planned SF Residential Lot

0.75 Per Planned Condominium

0.75 Per Unit for the First 50 Units

0.50 Per Unit for Units 51-100

0.25 Per Unit for all Remaining Units
Vacant Residential Land 1.00 Per Acre
Exempt Parcels 0.00 Per Parcel
The following formula is used to calculate each parcel’s EBU (proportional benefit).

Total Balance to Levy / Total EBU = Levy per EBU
Levy per EBU x Parcel EBU = Parcel Levy Amount

Page 203 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 15 amount for Fiscal Year 2005/2006 (initial maximum assessment), identification of the corresponding maximum assessment rate and a summary of the Assessment Range Formula described herein.

The Assessment Range Formula for this District shall be applied to future assessments and is generally defined:
 If the proposed annual assessment (levy per EBU) for the upcoming fiscal year is less than or equal to the adjusted Maximum Assessment Rate, then the proposed annual assessment is not considered an increased assessment.
 The Maximum Assessment Rate is equal to the (Initial) Maximum Assessment Rate established for Fiscal Year 2005/2006 adjusted annually by the greater of, three percent (3%) or the annual percentage change in the Consumer Price Index (CPI) of “All Urban Consumers” for the San Francisco-Oakland-Hayward Area from February to February. The Maximum Assessment rate was increased by 3.000% for Fiscal Year 2026/27.

Beginning with Fiscal Year 2006/2007 and each fiscal year thereafter, the Maximum Assessment Rate has been recalculated and a new Maximum Assessment Rate is established for the fiscal year utilizing the Assessment Range Formula described above. The Maximum Assessment Rate is calculated independent of the District’s annual budget and proposed assessment. The annual percentage change in CPI is based on available data provided by the U.S. Department of Labor; Bureau of Labor Statistics at the time the annual Report is prepared. Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living. In January 2018, BLS introduced a new geographic area sample for the CPI. As part of the change the index for this area was renamed from San Francisco-Oakland-San Jose to San Francisco-Oakland-Hayward. The metropolitan area is comprised of Alameda, Contra Costa, Marin, San Francisco and San Mateo Counties in the State of California. This CPI has and will be used in all subsequent reports or until such time there is a revision per the BLS and approval from the City Council.

Page 204 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 16

6. ASSESSMENT DIAGRAM
The parcels within the Landscaping and Lighting District No. 02 Las Lomas (Woodridge) consist of the lots, parcels and subdivisions of land located in the planned residential development known as Las Lomas (Woodridge), Tract 2525-1. The District covers approximately one hundred and eleven acres (111.20 acres) in the southeast portion of the City of Atascadero.

Page 205 of 335 ends

City of Atascadero
2026/27 Engineer’s Report – Lighting and Landscaping District No. 02 Las Lomas (Woodridge) 17

Page 206 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-311-014 9341 DECHADO WAY MFR 17.770 $43,402.65 $6,166.18 045-311-015 9261 LOS OLIVOS CIR MFR 24.830 60,646.48 8,616.00 045-311-016 9110 CIRUELA WAY MFR 19.900 48,605.11 6,905.30 045-312-001 9510 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-002 9520 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-003 11400 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-004 11390 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-005 11380 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-006 11370 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-007 11360 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-008 11350 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-009 11340 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-010 11320 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-011 11310 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-012 11305 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-013 11325 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-014 11335 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-015 11355 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-016 11365 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-017 11385 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-018 11395 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-019 11405 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-020 11415 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-021 11425 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-022 11435 ELIANO ST SFR 1.000 2,442.46 347.00
045-312-023 9400 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-024 9410 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-025 9420 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-026 9430 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-027 9440 CALLE MILANO ST SFR 1.000 2,442.46 347.00 045-312-028 9450 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-029 9460 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-030 9470 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-031 9480 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-032 9490 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-033 9500 CALLE MILANO SFR 1.000 2,442.46 347.00 045-312-034 9510 CALLE MILANO RD SFR 1.000 2,442.46 347.00 045-312-035 9520 CALLE MILANO RD SFR 1.000 2,442.46 347.00 045-312-036 9535 AZOR LN SFR 1.000 2,442.46 347.00
045-312-037 9525 AZOR LN SFR 1.000 2,442.46 347.00
045-312-038 9515 AZOR LN SFR 1.000 2,442.46 347.00
045-312-039 9505 AZOR LN SFR 1.000 2,442.46 347.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 1 of 5 04/08/2026 03:02:11PM 5/12/26 | Item E6 | Attachment 8

Page 207 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-312-040 9495 AZOR LN SFR 1.000 2,442.46 347.00
045-312-041 9485 AZOR LN SFR 1.000 2,442.46 347.00
045-312-042 9475 AZOR LN SFR 1.000 2,442.46 347.00
045-312-043 9465 AZOR LN SFR 1.000 2,442.46 347.00
045-312-044 9470 AZOR LN SFR 1.000 2,442.46 347.00
045-312-045 9480 AZOR RD SFR 1.000 2,442.46 347.00
045-312-046 9500 AZOR LN SFR 1.000 2,442.46 347.00
045-312-047 9520 AZOR LN SFR 1.000 2,442.46 347.00
045-312-048 9530 AZOR LN SFR 1.000 2,442.46 347.00
045-312-049 9540 AZOR LN SFR 1.000 2,442.46 347.00
045-312-050 9550 AZOR LN SFR 1.000 2,442.46 347.00
045-312-051 9515 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-052 9505 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-053 9495 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-054 9485 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-055 9475 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-312-056 9500 ALCOTAN RD SFR 1.000 2,442.46 347.00
045-313-001
11455 MONTE VERDE
DR SFV 1.000 2,442.46 347.00
045-313-002 9500 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-003 9550 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-004 9600 VIA CIELO RD SFR 1.000 2,442.46 347.00 045-313-005 9650 VIA CIELO RD SFR 1.000 2,442.46 347.00 045-313-006 9700 VIA CIELO RD SFR 1.000 2,442.46 347.00 045-313-007 9655 VIA CIELO RD SFR 1.000 2,442.46 347.00 045-313-008 9625 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-009 9575 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-010 9565 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-011 9555 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-012 9505 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-013 9515 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-014 9525 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-015 9535 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-018 9350 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-019 9402 VIA CIELO LN SFR 1.000 2,442.46 347.00 045-313-020 9450 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-021 11450 MONTE VERDE SFR 1.000 2,442.46 347.00 045-313-026 9250 VIA CIELO SFR 1.000 2,442.46 347.00
045-313-027 9300 VIA CIELO SFR 1.000 2,442.46 347.00
045-314-001 11290 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-002 11280 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-003 11270 ELIANO ST SFR 1.000 2,442.46 347.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 2 of 5 04/08/2026 03:02:11PM 5/12/26 | Item E6 | Attachment 8

Page 208 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-314-004 11260 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-005 11250 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-006 11240 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-007 11220 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-008 11215 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-009 11225 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-010 11235 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-011 11245 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-012 11255 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-013 11265 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-014 11275 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-015 11285 ELIANO ST SFR 1.000 2,442.46 347.00
045-314-016 11290 AVION RD SFR 1.000 2,442.46 347.00
045-314-017 11280 AVION RD SFR 1.000 2,442.46 347.00
045-314-018 11270 AVION RD SFR 1.000 2,442.46 347.00
045-314-019 11260 AVION RD SFR 1.000 2,442.46 347.00
045-314-020 11250 AVION RD SFR 1.000 2,442.46 347.00
045-314-021 11240 AVION RD SFR 1.000 2,442.46 347.00
045-314-022 11230 AVION RD SFR 1.000 2,442.46 347.00
045-314-023 11210 AVION RD SFR 1.000 2,442.46 347.00
045-314-024 11200 AVION RD SFR 1.000 2,442.46 347.00
045-314-025 11205 AVION RD SFR 1.000 2,442.46 347.00
045-314-026 11215 AVION RD SFR 1.000 2,442.46 347.00
045-314-027 11225 AVION RD SFR 1.000 2,442.46 347.00
045-314-028 11235 AVION RD SFR 1.000 2,442.46 347.00
045-314-029 11245 AVION RD SFR 1.000 2,442.46 347.00
045-314-030 11255 AVION RD SFR 1.000 2,442.46 347.00
045-314-031 11275 AVION RD SFR 1.000 2,442.46 347.00
045-314-032 11285 AVION RD SFR 1.000 2,442.46 347.00
045-314-033 11295 AVION RD SFR 1.000 2,442.46 347.00
045-315-001 11210 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-002 11190 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-003 11180 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-004 11170 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-005 11160 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-006 11150 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-007 11140 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-008 11130 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-009 11120 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-010 11105 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-011 11115 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-012 11125 ELIANO ST SFR 1.000 2,442.46 347.00
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 3 of 5 04/08/2026 03:02:11PM 5/12/26 | Item E6 | Attachment 8

Page 209 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-315-013 11100 AVION RD SFR 1.000 2,442.46 347.00
045-315-014 11165 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-015 11185 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-016 11195 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-017 11205 ELIANO ST SFR 1.000 2,442.46 347.00
045-315-018 11180 AVION RD SFR 1.000 2,442.46 347.00
045-315-019 11170 AVION RD SFR 1.000 2,442.46 347.00
045-315-020 11160 AVION RD SFR 1.000 2,442.46 347.00
045-315-021 11150 AVION RD SFR 1.000 2,442.46 347.00
045-315-022 11130 AVION RD SFR 1.000 2,442.46 347.00
045-315-023 11110 AVION RD SFR 1.000 2,442.46 347.00
045-315-024 11105 AVION RD SFR 1.000 2,442.46 347.00
045-315-025 11115 AVION RD SFR 1.000 2,442.46 347.00
045-315-026 11125 AVION RD SFR 1.000 2,442.46 347.00
045-315-027 11135 AVION RD SFR 1.000 2,442.46 347.00
045-315-028 11145 AVION RD SFR 1.000 2,442.46 347.00
045-315-029 11155 AVION RD SFR 1.000 2,442.46 347.00
045-315-030 11165 AVION RD SFR 1.000 2,442.46 347.00
045-315-031 11175 AVION RD SFR 1.000 2,442.46 347.00
045-315-032 11185 AVION RD SFR 1.000 2,442.46 347.00
045-315-033 11195 AVION RD SFR 1.000 2,442.46 347.00
045-316-041 9350 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-042 9352 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-043 9354 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-044 9356 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-045 9358 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-046 9360 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-047 9362 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-048 9364 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-049 9366 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-050 9368 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-051 9369 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-052 9367 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-053 9365 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-054 9363 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-055 9361 RIBERENA CIR CON 0.750 1,831.85 260.24 045-316-056 9355 RANADA CIR CON 0.750 1,831.85 260.24
045-316-057 9357 RANADA CIR CON 0.750 1,831.85 260.24
045-316-058 9359 RANADA CIR CON 0.750 1,831.85 260.24
045-316-059 9361 RANADA CIR CON 0.750 1,831.85 260.24
045-316-060 9363 RANADA CIR CON 0.750 1,831.85 260.24
045-316-061 9371 CADENCIA CT CON 0.750 1,831.85 260.24
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 4 of 5 04/08/2026 03:02:11PM 5/12/26 | Item E6 | Attachment 8

Page 210 of 335 ends

City of Atascadero
Landscaping & Lighting Maint Dist No. 2
Final Billing Detail Report for Fiscal Year 2026/27
APN Address Land Use Benefit Units Max Assessment Grand Total 045-316-062 9373 CADENCIA CT CON 0.750 1,831.85 260.24
045-316-063 9375 CADENCIA CT CON 0.750 1,831.85 260.24
045-316-064 9377 CADENCIA CT CON 0.750 1,831.85 260.24
045-316-065 9379 CADENCIA CT CON 0.750 1,831.85 260.24
045-316-066 9381 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-067 9383 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-068 9385 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-069 9387 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-070 9389 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-071 9388 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-072 9386 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-073 9384 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-074 9382 CIELO AZUL CT CON 0.750 1,831.85 260.24 045-316-075 9380 CIELO AZUL CT CON 0.750 1,831.85 260.24 181 Accounts 231.750 $566,040.77 $80,416.88
Slight variances may occur due to rounding
Copyright © 2013 by NBS Page 5 of 5 04/08/2026 03:02:11PM 5/12/26 | Item E6 | Attachment 8

Page 211 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E7
TO: JAMES R. LEWIS, CITY MANAGER
FROM: TERRIE BANISH, DIRECTOR COMMUNITY SERVICES & PROMOTIONS PREPARED BY: TERRIE BANISH, DIRECTOR COMMUNITY SERVICES & PROMOTIONS SUBJECT: Atascadero Tourism Business Improvement District (ATBID) Board Appointment of Three Board Members for New Term
RECOMMENDATIONS:

Council appoint Patricia Harden, Chris Oh and Nikki Inman to the ATBID Advisory Board for the term expiring June 30, 2028.

DISCUSSION:

In 2013, the lodging businesses in Atascadero requested the Council establish a Tourism Business Improvement District in order to levy annual assessments that would fund tourism promotions and marketing programs to promote the City as a tourism destination. The City Council established the ATBID, appointed Board Members, and levied assessments beginning June 1, 2013.

When the initial Advisory Board was appointed, it was comprised of three members serving threeyear terms and two members serving two-year terms. In 2015, the Municipal Code was changed to clarify that, after the initial formation, all subsequent Board Members will serve two-year staggered terms. The terms of the Board Member positions currently held by Patricia Harden, Chris Oh, and Amar Sohi are set to expire on June 30, 2026.

Once Board Member terms are close to expiring, the ATBID’s Rules and Procedures lay out the nomination process that must be followed. Before the expiration of terms, a letter is mailed out to each Lodging Business notifying them of a meeting for the purpose of making nominations for the Board seats that are scheduled to be vacant in July. At this meeting, lodging business owners are nominated, and a written ballot election determines the nominees to be recommended to the City Council. The results of the nomination meeting are then forwarded to the City Clerk to be placed on the Council’s agenda as a recommendation for filling the Board vacancies.

Department: Community
Services &
Promotions
Date: 5/12/26
Placement: Consent

Page 212 of 335 ends

5/12/26 | Item E7 | Staff Report
The Atascadero Municipal Code § 3-16.07 (b) states that membership on the ATBID Board is limited to Lodging Business owners or employees or other representatives holding the written consent of a Lodging Business owner within the ATBID area, who has fully paid its assessment at the time of the appointment and remain fully paid during the term of the membership on the Board.

The ATBID Advisory Board is comprised of five members with four (4) members representing lodging owners in a commercial zone with twenty-five (25) rooms or more and one (1) member representing Vacation Rental/ Bed & Breakfast/Short Term Rental properties that are not considered hotels under the City’s zoning code.

This year, letters were mailed out to each of the Lodging Businesses on January 20, 2026, and the Lodging Business nomination meeting was held February 18, 2026. As a result of the meeting, Patricia Harden with Springhill Suites Marriott, Chris Oh with The Carlton Hotel and Nikki Inman with Holiday Inn Express were selected by the hoteliers to fill the hotel board positions to be recommended to the City Council for appointments to the ATBID Board. Amar Sohi with Holiday Inn Express did not renew his term. Once appointed, the following would be the new ATBID Board going forward:

TOURISM BUSINESS IMPROVEMENT DISTRICT (TBID)
(2-Year Terms)

BOARD MEMBER LODGING FACILITY TERM EXPIRES
6/30/2028

TERM EXPIRES
6/30/2027
Patricia Harden Springhill Suites
Marriott
X
Nikki Inman Holiday Inn Express X
Chris Oh The Carlton X
Sarah Maggelet Templeton Vaca
Rentals
X
Clint Pearce Hilton Home 2 Suites X
FISCAL IMPACT:

None.

ALTERNATIVE:

Council may reject the recommendation of the lodging business owners and request a new recommendation from the lodging business owners.

Page 213 of 335 ends

5/12/26 | Item E7 | Staff Report
REVIEWED BY OTHERS:

This item has been reviewed by the Administrative Services Director and the City Clerk’s Office.

REVIEWED AND APPROVED FOR COUNCIL AGENDA
James R. Lewis, City Manager
ATTACHMENT(S):

None

Page 214 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E8
Department: Human
Resources
Date: May 12, 2026
Placement: Consent
TO: JAMES R. LEWIS, CITY MANAGER
FROM: RACHEL HUNTER, HUMAN RESOURCES MANAGER
PREPARED BY: RACHEL HUNTER, HUMAN RESOURCES MANAGER
SUBJECT: Reclassification of Existing Position and Update Salary Schedule RECOMMENDATIONS:

Council:

1. Authorize the City Manager to reclass the position of Senior Property Evidence Specialist to Property Evidence Technician.

2. Authorize the City Manager to execute a Side Letter with the Atascadero Police Association for the existing Memorandum of Understanding (MOU), dated July 1, 2024, through June 30, 2027, adding the title of Property Evidence Technician at the salary range attached.

3. Amend the fiscal year 2025-2026 and 2026-2027 monthly salary schedules as attached.

DISCUSSION:

City staff continue to look for better and more efficient ways to deliver many and varied City services in a cost-effective manner. At the core of this continual improvement are the City employees who manage these services. The City is very fortunate to have recruited and retained highly skilled and professional employees that keep the City running, and organizing personnel for each department is an important component of optimizing City services and functions.

To improve the City’s function and service by making appropriate updates, the following adjustments are being made in the 2026 Budget:

Reclassification to New Position/New Title
 Senior Property Evidence Specialist reclassified to Property Evidence Technician Property Evidence Technician
The Senior Property Evidence Specialist position recently became vacant and in keeping with the City’s good management practices, the department evaluated the position and identified opportunities for increased efficiency. As a result, a reclassification of the vacated Senior Property Evidence Specialist position to a Property Evidence Technician position is proposed.

Page 215 of 335 ends

5/12/2026 | Item E8 | Staff Report
This reclassification supports both operational efficiency and fiscal responsibility. Following the reevaluation of the position, the department identified an opportunity to realign the role with the experience and technical skill set that best supports reenvisioned ongoing operational needs.

This adjustment ensures appropriate supervision, training, and performance expectations while maintaining seamless continuity of operational needs of the department’s current workload and case management.

This change will reduce personnel costs and create ongoing salary savings, allowing the department to better allocate limited resources without compromising the integrity, security, or accountability of property and evidence management.

ALTERNATIVES TO THE STAFF RECOMMENDATION:

Council may give direction to the City Manager not to make any changes to the current title and staffing within the Police Department.

FISCAL IMPACT:

The reclassification of the Property Evidence Technician position has an estimated cost of $37,000 in fiscal year 2025-2026 due to an overlap of the positions. An annual savings of approximately $77,000 is expected, starting in fiscal year 2026-2027.

REVIEWED BY OTHERS:

This item has been reviewed by the Administrative Services Director and the Assistant City Manager.

REVIEWED AND APPROVED FOR COUNCIL AGENDA
_______
James R. Lewis, City Manager
ATTACHMENTS:

1. Side Letter for the Atascadero Police Association

2. Updated 2025-2026 Citywide Full Time Salary Schedule

3. Updated 2026-2027 Citywide Full Time Salary Schedule

Page 216 of 335 ends

5/12/26 | Item E8 | Attachment 1
Side Letter of Agreement
City of Atascadero
And
Atascadero Police Association
May 13, 2026
Pursuant to the provisions of the Meyers-Milias-Brown Act (“MMBA”), and Sections 1.4.b and

6.2 of the Memorandum of Understanding (“MOU”) between the City of Atascadero (“City”) and the Atascadero Police Association (“Association”) effective July 1, 2024 through June 30, 2027 (“MOU”), this Side Letter of Agreement (“Side Letter Agreement”) is entered into on May 13, 2026, between the City and the Association as an amendment to the MOU. The Association and the City are collectively referred to herein as the “parties.” It is understood and agreed that the specific provisions contained in this Side Letter Agreement shall supersede any previous agreements, whether oral and written, regarding the matters contained herein.

Except as provided herein, all wages, hours and other terms and conditions of employment presently enjoyed by the Association in the MOU shall remain in full force and effect.

The City and Association have met and conferred in good faith concerning the terms and conditions of this Side Letter Agreement and its implementation and agree to the following:

Section 1.2 Recognition:
a. The City of Atascadero recognizes the Association as the recognized and exclusive representative for the following classification:

Property Evidence Classification
 Property Evidence Technician
 Senior Property Evidence Specialist
 Senior Property Evidence Specialist – EMD
For purposes of this MOU, positions with a POST or EMD designation are hereinafter included in any reference to Police Officer, Police Corporal, Police Sergeant, Senior Property Evidence Specialist, Public Safety Dispatcher, and Public Safety Supervisor.

Section 4.1 Salary:

Page 217 of 335 ends

5/12/26 | Item E8 | Attachment 1
Monthly Salary Effective May 13, 2026:

Monthly Salary Effective July 1, 2026
f. Each Public Safety Dispatcher, Senior Property Evidence Specialist, or Public Safety Dispatch Supervisor having the Emergency Medical Dispatch (EMD) Certification will receive the following amounts more in base salary per month than those positions within the same classification without an EMD Certificate:

Section 4.3 Continuous Service Pay
Employees in the Public Safety Dispatcher, and Public Safety Dispatch Supervisor and Senior Property Evidence Specialist classifications, after five years of continuous service in the classification and satisfactory or better evaluations, shall receive five percent (5%) in additional pay to their base salary.

Section 4.4 Retirement
CalPERS Non-Sworn Miscellaneous Members (as defined by CalPERS) a. Non-Sworn Safety Member employees (as defined by CalPERS) are provided retirement benefits through the California Public Employees Retirement System (CalPERS).

Step A Step B Step C Step D Step E
EMD Pay $ 50.00 $ 52.50 $ 55.13 $ 57.89 $ 60.78

Page 218 of 335 ends

5/12/26 | Item E8 | Attachment 1
TIER 1
Non-sworn Miscellaneous Member employees including Police Officer Recruit, Community Services Officer, Property Evidence Technician, Public Safety Dispatch Supervisor, Public Safety Dispatcher, Senior Property Evidence Specialist, hired on or before July 14, 2012 are provided benefits pursuant to the 2.5% @ 55 Benefit Formula (Government Code Section 21354.4), Final Compensation 1 Year (G.C. Section 20042) and Unused Sick Leave Credit (G.C. Section 20965). The City will pay 0% (zero percent) of the Non-sworn Miscellaneous Member employee contribution of 8% (eight percent).

Non-sworn Miscellaneous Member employees will pay the employee contribution of 8% (eight percent).

TIER 2
Non-sworn Miscellaneous Member employees including Police Officer Recruit, Community Services Officer, Property Evidence Technician, Public Safety Dispatch Supervisor, Public Safety Dispatcher, Senior Property Evidence Specialist, , hired between July 14, 2012 and December 31, 2012, and Non-sworn Miscellaneous Member employees hired on or after January 1, 2013 who meet the definition of a Classic Member under CalPERS, are provided benefits pursuant to the 2% @ 55 Benefit Formula (G.C. Section 21354), Final Compensation 3 Year (G.C. Section 20037) and Unused Sick Leave Credit (G.C. Section 20965). The City will pay 0% (zero percent) of the Non-sworn Miscellaneous Member employee contribution of 7% (seven percent). Non-sworn Miscellaneous Member employees will pay the employee contribution of 7% (seven percent).

TIER 3
Pursuant to the California Public Employees’ Pension Reform Act of 2013 (PEPRA), Nonsworn Miscellaneous Member employees including Police Officer Recruit, Community Services Officer, Property Evidence Technician, Public Safety Dispatch Supervisor, Public Safety Dispatcher, Senior Property Evidence Specialist, hired on or after January 1, 2013 who meet the definition of a CalPERS new member under PEPRA are provided benefits pursuant to 2% @ 62 Benefit Formula (G.C. Section 7522.20) with Final Compensation 3 Year (G.C. Section 20037). The Non-sworn Miscellaneous Member employee will pay a member contribution rate of 50% (fifty percent) of the expected normal cost rate.

Section 5.3 Uniform Allowance:
a. The City shall provide an annual uniform allowance of one thousand two hundred dollars ($1,200) for employees who hold the following positions: Police Officer, Police Corporal, Police Sergeant, Community Services Officer, and Property Evidence Technician Senior Property Evidence Specialist.
b. The City will make an upfront lump sum payment of the current fiscal year’s uniform

Page 219 of 335 ends

5/12/26 | Item E8 | Attachment 1
allowance no later than the second pay day in July for employees who hold the following positions: Police Officer, Police Corporal, Police Sergeant, Community Services Officer, and Property Evidence Technician Senior Property Evidence Specialist. c. For employees who hold the following positions: Police Officer, Police Corporal, Police Sergeant, Community Services Officer, and Property Evidence Technician Senior Property Evidence Specialist. - upon initial hire the employee will receive a prorated amount based upon the number of days remaining until July 1. The City would at the same time advance the new employee an amount that when added to his initial uniform allowance would equal the annual uniform allowance. The amount advanced upon hire would then be deducted from the employee’s first full uniform allowance check, the following July. (Example: If, in fiscal year 2024/2025 an employee worked six months in the first fiscal year, he/she would receive $1,200 in that first year and $600 in the second fiscal year. ($1,200 2025/2026 uniform allowance less repayment of ½ of 2024/2025 uniform allowance advanced to the employee upon hire) All subsequent years the employee would receive the full $1,200 until separation from the City.) d. When a Community Services Officer, Property Evidence Technician Senior Property Evidence Specialist, Police Officer, Police Corporal or Police Sergeant separates from the City, the Uniform Allowance will be prorated based upon the number of days employed in the then current fiscal year and any amounts owed to the City will be deducted from his/her final check. .

All other provisions of the 2024-2027 MOU shall remain in full force and effect.

Atascadero Police Association City of Atascadero
By: ____________________________
APA
By: ____________________________
James R Lewis, City Manager
Date: ____________________________ Date: ____________________________ By: ____________________________
APA
By: ____________________________
Charles Bourbeau, Mayor
Date: ____________________________ Date: ____________________________

Page 220 of 335 ends

CLASSIFICATION STEP A STEP B STEP C STEP D STEP E
Account Clerk II 4,372.96 4,591.61 4,821.19 5,062.25 5,315.36 Accounting Specialist - Confidential 6,006.69 6,307.02 6,622.37 6,953.49 7,301.16 Administrative Assistant 5,188.81 5,448.25 5,720.66 6,006.69 6,307.02 Administrative Assistant - Confidential 5,448.25 5,720.66 6,006.69 6,307.02 6,622.37 Administrative Services Director 13,657.92 14,340.82 15,057.86 15,810.75 16,601.29 Assistant City Manager 13,657.92 14,340.82 15,057.86 15,810.75 16,601.29 Assistant Planner 6,006.69 6,307.02 6,622.37 6,953.49 7,301.16 Associate Civil Engineer 7,985.50 8,384.78 8,804.02 9,244.22 9,706.43 Associate Civil Engineer - Registered 8,804.02 9,244.22 9,706.43 10,191.75 10,701.34 Associate Planner 6,783.90 7,123.10 7,479.26 7,853.22 8,245.88 Battalion Chief 11,798.23 12,388.14 13,007.55 13,657.93 14,340.83 Building Inspector I 5,860.19 6,153.20 6,460.86 6,783.90 7,123.10 Building Inspector II 6,622.37 6,953.49 7,301.16 7,666.22 8,049.53 Building Permit Technician 4,821.19 5,062.25 5,315.36 5,581.13 5,860.19 Chief Building Official 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 City Manager 19,218.07 20,178.97 21,187.92 22,247.32 23,359.69 Code Enforcement Officer 5,860.19 6,153.20 6,460.86 6,783.90 7,123.10 Community Development Director 13,324.79 13,991.03 14,690.58 15,425.11 16,196.37 Community Services & Promotions Director 13,007.55 13,657.92 14,340.82 15,057.86 15,810.75 Community Services Officer 4,773.73 5,012.42 5,263.04 5,526.19 5,802.50 Deputy Administrative Services Director 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Deputy City Manager 12,085.98 12,690.28 13,324.79 13,991.03 14,690.58 Deputy Public Works Director 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Deputy Public Works Director/Utilities Manager 10,701.34 11,236.41 11,798.23 12,388.14 13,007.55 Economic Development Manager 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Finance Analyst 8,384.78 8,804.02 9,244.22 9,706.43 10,191.75 Finance Technician 5,315.36 5,581.13 5,860.19 6,153.20 6,460.86 Finance Technician- Confidential 5,448.25 5,720.66 6,006.69 6,307.02 6,622.37 Fire Captain 8,587.80 9,017.19 9,468.05 9,941.45 10,438.52 Fire Captain Specialist I 8,759.56 9,197.54 9,657.42 10,140.29 10,647.30 Fire Captain Specialist II 8,931.31 9,377.88 9,846.77 10,339.11 10,856.07 Fire Captain/Paramedic 9,618.34 10,099.26 10,604.22 11,134.43 11,691.15 Fire Captain/Paramedic/Specialist I 9,790.09 10,279.59 10,793.57 11,333.25 11,899.91 Fire Captain/Paramedic/Specialist II 9,961.85 10,459.94 10,982.94 11,532.09 12,108.69 Fire Chief 15,057.86 15,810.75 16,601.29 17,431.35 18,302.92 Fire Engineer 7,241.85 7,603.94 7,984.14 8,383.35 8,802.52 Fire Engineer Specialist I 7,386.69 7,756.02 8,143.82 8,551.01 8,978.56 Fire Engineer Specialist II 7,531.52 7,908.10 8,303.51 8,718.69 9,154.62 Fire Engineer/OIC 7,386.69 7,756.02 8,143.82 8,551.01 8,978.56 Fire Engineer/OIC/Specialist I 7,531.52 7,908.10 8,303.51 8,718.69 9,154.62 Fire Engineer/OIC/Specialist II 7,676.36 8,060.18 8,463.19 8,886.35 9,330.67 Fire Engineer/Paramedic 8,110.87 8,516.41 8,942.23 9,389.34 9,858.81

MONTHLY SALARY
Approved May XX, 2026
Effective May XX, 2026
5/12/26 | Item E8 | Attachment 2

Page 221 of 335 ends

Fire Engineer/Paramedic/OIC 8,255.71 8,668.50 9,101.93 9,557.03 10,034.88 Fire Engineer/Paramedic/OIC/Specialist I 8,400.55 8,820.58 9,261.61 9,724.69 10,210.92 Fire Engineer/Paramedic/OIC/Specialist II 8,545.38 8,972.65 9,421.28 9,892.34 10,386.96 Fire Engineer/Paramedic/Specialist I 8,255.71 8,668.50 9,101.93 9,557.03 10,034.88 Fire Engineer/Paramedic/Specialist II 8,400.55 8,820.58 9,261.61 9,724.69 10,210.92 Firefighter 6,728.77 7,065.21 7,418.47 7,789.39 8,178.86 Firefighter Specialist I 6,863.35 7,206.52 7,566.85 7,945.19 8,342.45 Firefighter Specialist II 6,997.92 7,347.82 7,715.21 8,100.97 8,506.02 Firefighter/FEO 6,863.35 7,206.52 7,566.85 7,945.19 8,342.45 Firefighter/FEO/Specialist I 6,997.92 7,347.82 7,715.21 8,100.97 8,506.02 Firefighter/FEO/Specialist II 7,132.50 7,489.13 7,863.59 8,256.77 8,669.61 Firefighter/Paramedic 7,536.22 7,913.03 8,308.68 8,724.11 9,160.32 Firefighter/Paramedic/FEO 7,670.80 8,054.34 8,457.06 8,879.91 9,323.91 Firefighter/Paramedic/FEO/Specialist I 7,805.37 8,195.64 8,605.42 9,035.69 9,487.47 Firefighter/Paramedic/FEO/Specialist II 7,939.95 8,336.95 8,753.80 9,191.49 9,651.06 Firefighter/Paramedic/Specialist I 7,670.80 8,054.34 8,457.06 8,879.91 9,323.91 Firefighter/Paramedic/Specialist II 7,805.37 8,195.64 8,605.42 9,035.69 9,487.47 GIS Business Analyst 6,622.37 6,953.49 7,301.16 7,666.22 8,049.53 Human Resources Manager 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Inspector 5,448.25 5,720.66 6,006.69 6,307.02 6,622.37
Lead Maintenance Worker 5,062.25 5,315.36 5,581.13 5,860.19 6,153.20 Lead WWTP Operator 6,783.90 7,123.10 7,479.26 7,853.22 8,245.88 Lead Zookeeper 4,941.72 5,188.81 5,448.25 5,720.66 6,006.69 Maintenance Supervisor 5,860.19 6,153.20 6,460.86 6,783.90 7,123.10 Maintenance Worker I 3,966.40 4,164.72 4,372.96 4,591.61 4,821.19 Maintenance Worker II 4,591.61 4,821.19 5,062.25 5,315.36 5,581.13 Office Assistant II 4,065.57 4,268.85 4,482.29 4,706.40 4,941.72 Office Assistant III 4,372.96 4,591.61 4,821.19 5,062.25 5,315.36 Planning Manager 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Plans Examiner/Building Inspector 6,783.90 7,123.10 7,479.26 7,853.22 8,245.88 Police Chief 15,425.11 16,196.37 17,006.19 17,856.50 18,749.33 Police Commander 12,085.98 12,690.28 13,324.79 13,991.03 14,690.58 Police Corporal 8,123.90 8,530.10 8,956.61 9,404.44 9,874.66 Police Corporal - Intermediate POST 8,327.00 8,743.35 9,180.52 9,639.55 10,121.53 Police Corporal- Advanced POST 8,530.10 8,956.61 9,404.44 9,874.66 10,368.39 Police Level 3 Reserve Officer 7,459.00 7,831.95 n/a n/a n/a Police Officer 7,459.00 7,831.95 8,223.55 8,634.73 9,066.47 Police Officer - Advanced POST 7,831.95 8,223.55 8,634.73 9,066.47 9,519.79 Police Officer - Intermediate POST 7,645.48 8,027.75 8,429.14 8,850.60 9,293.13 Police Officer Recruit 5,802.50 n/a n/a n/a n/a
Police Records Clerk 5,188.81 5,448.25 5,720.66 6,006.69 6,307.02 Police Records Supervisor 6,783.90 7,123.10 7,479.26 7,853.22 8,245.88 Police Sergeant 9,718.58 10,204.51 10,714.74 11,250.48 11,813.00 Police Sergeant - Advanced POST 9,961.54 10,459.62 10,982.60 11,531.73 12,108.32 Police Sergeant - Supervisory POST 10,204.51 10,714.74 11,250.48 11,813.00 12,403.65 Property Evidence Technician 5,664.32 5,947.54 6,244.92 6,557.17 6,885.03 Public Safety Dispatch Supervisor 7,405.63 7,775.91 8,164.71 8,572.95 9,001.60 Public Safety Dispatch Supervisor
- EMD 7,455.63 7,828.41 8,219.84 8,630.84 9,062.38
5/12/26 | Item E8 | Attachment 2

Page 222 of 335 ends

Public Safety Dispatch Supervisor
- EMD with Longevity 7,825.91 8,217.21 8,628.08 9,059.49 9,512.46 Public Safety Dispatch Supervisor
w/ Longevity 7,775.91 8,164.71 8,572.95 9,001.60 9,451.68 Public Safety Dispatcher 5,802.50 6,092.63 6,397.26 6,717.12 7,052.98 Public Safety Dispatcher - EMD 5,852.50 6,145.13 6,452.39 6,775.01 7,113.76 Public Safety Dispatcher - EMD
with Longevity 6,142.63 6,449.76 6,772.25 7,110.87 7,466.41 Public Safety Dispatcher w/Longevity 6,092.63 6,397.26 6,717.12 7,052.98 7,405.63 Public Works Analyst 8,384.78 8,804.02 9,244.22 9,706.43 10,191.75 Public Works Director 13,657.92 14,340.82 15,057.86 15,810.75 16,601.29 Public Works Inspector 6,153.20 6,460.86 6,783.90 7,123.10 7,479.26 Public Works Operations Manager 8,804.02 9,244.22 9,706.43 10,191.75 10,701.34 Recreation Coordinator 5,188.81 5,448.25 5,720.66 6,006.69 6,307.02 Recreation Supervisor 6,409.45 6,729.92 7,066.42 7,419.74 7,790.73 Senior Building Inspector 7,479.26 7,853.22 8,245.88 8,658.17 9,091.08 Senior Planner 8,049.53 8,452.01 8,874.61 9,318.34 9,784.26 Senior Recreation Coordinator 5,720.66 6,006.69 6,307.02 6,622.37 6,953.49 Systems Administrator III 7,666.22 8,049.53 8,452.01 8,874.61 9,318.34 Technical Support Specialist II 5,315.36 5,581.13 5,860.19 6,153.20 6,460.86 Website and Social Media Technician 5,188.81 5,448.25 5,720.66 6,006.69 6,307.02 WWTP Operator I 5,062.25 5,315.36 5,581.13 5,860.19 6,153.20 WWTP Operator II 5,860.19 6,153.20 6,460.86 6,783.90 7,123.10 WWTP Operator in Training 4,372.96 4,591.61 4,821.19 5,062.25 5,315.36 Zoo Director 9,943.17 10,440.32 10,962.34 11,510.46 12,085.98 Zoo Education Curator 3,966.40 4,164.72 4,372.96 4,591.61 4,821.19 Zoo Supervisor 5,188.81 5,448.25 5,720.66 6,006.69 6,307.02 Zookeeper I 3,966.40 4,164.72 4,372.96 4,591.61 4,821.19 5/12/26 | Item E8 | Attachment 2

Page 223 of 335 ends

CLASSIFICATION STEP A STEP B STEP C STEP D STEP E
Account Clerk II 4,504.14 4,729.35 4,965.82 5,214.11 5,474.82 Accounting Specialist - Confidential 6,186.89 6,496.23 6,821.04 7,162.09 7,520.19 Administrative Assistant 5,344.49 5,611.71 5,892.30 6,186.92 6,496.27 Administrative Assistant - Confidential 5,611.70 5,892.29 6,186.90 6,496.25 6,821.06 Administrative Services Director 14,067.64 14,771.02 15,509.57 16,285.05 17,099.30 Assistant City Manager 14,067.64 14,771.02 15,509.57 16,285.05 17,099.30 Assistant Planner 6,186.92 6,496.27 6,821.08 7,162.13 7,520.24 Associate Civil Engineer 8,225.06 8,636.31 9,068.13 9,521.54 9,997.62 Associate Civil Engineer - Registered 9,068.13 9,521.53 9,997.61 10,497.49 11,022.36 Associate Planner 6,987.41 7,336.78 7,703.62 8,088.80 8,493.24 Battalion Chief 12,152.16 12,759.76 13,397.75 14,067.64 14,771.02 Building Inspector I 6,035.99 6,337.79 6,654.68 6,987.41 7,336.78 Building Inspector II 6,821.08 7,162.13 7,520.24 7,896.25 8,291.06 Building Permit Technician 4,965.82 5,214.11 5,474.82 5,748.56 6,035.99 Chief Building Official 10,241.45 10,753.52 11,291.20 11,855.76 12,448.55 City Manager 20,784.31 21,823.53 22,914.71 24,060.45 25,263.47 Code Enforcement Officer 6,035.99 6,337.79 6,654.68 6,987.41 7,336.78 Community Development Director 13,724.52 14,410.75 15,131.29 15,887.85 16,682.24 Community Services & Promotions Director 13,397.75 14,067.64 14,771.02 15,509.57 16,285.05 Community Services Officer 4,916.93 5,162.78 5,420.92 5,691.97 5,976.57 Deputy Administrative Services Director 10,241.45 10,753.52 11,291.20 11,855.76 12,448.55 Deputy City Manager 12,448.55 13,070.97 13,724.52 14,410.75 15,131.29 Deputy Public Works Director 10,241.45 10,753.52 11,291.20 11,855.76 12,448.55 Deputy Public Works Director/Utilities Manager 11,022.36 11,573.48 12,152.15 12,759.76 13,397.75 Economic Development Manager 10,241.45 10,753.52 11,291.20 11,855.76 12,448.55 Finance Analyst 8,636.31 9,068.13 9,521.54 9,997.62 10,497.50 Finance Technician 5,474.82 5,748.56 6,035.99 6,337.79 6,654.68 Finance Technician- Confidential 5,611.70 5,892.29 6,186.90 6,496.25 6,821.06 Fire Captain 8,845.43 9,287.70 9,752.09 10,239.69 10,751.67 Fire Captain Specialist I 9,022.34 9,473.46 9,947.13 10,444.49 10,966.71 Fire Captain Specialist II 9,199.25 9,659.21 10,142.17 10,649.28 11,181.74 Fire Captain/Paramedic 9,906.88 10,402.22 10,922.33 11,468.45 12,041.87 Fire Captain/Paramedic/Specialist I 10,083.79 10,587.98 11,117.38 11,673.25 12,256.91 Fire Captain/Paramedic/Specialist II 10,260.70 10,773.74 11,312.43 11,878.05 12,471.95 Fire Chief 15,509.57 16,285.05 17,099.30 17,954.27 18,851.98 Fire Engineer 7,459.11 7,832.07 8,223.67 8,634.85 9,066.59 Fire Engineer Specialist I 7,608.29 7,988.70 8,388.14 8,807.55 9,247.93 Fire Engineer Specialist II 7,757.47 8,145.34 8,552.61 8,980.24 9,429.25 Fire Engineer/OIC 7,608.29 7,988.70 8,388.14 8,807.55 9,247.93 Fire Engineer/OIC/Specialist I 7,757.47 8,145.34 8,552.61 8,980.24 9,429.25 Fire Engineer/OIC/Specialist II 7,906.66 8,301.99 8,717.09 9,152.94 9,610.59 Fire Engineer/Paramedic 8,354.20 8,771.91 9,210.51 9,671.04 10,154.59

MONTHLY SALARY
Approved May XX, 2026
Effective July 1, 2026
5/12/26 | Item E8 | Attachment 3

Page 224 of 335 ends

Fire Engineer/Paramedic/OIC 8,503.39 8,928.56 9,374.99 9,843.74 10,335.93 Fire Engineer/Paramedic/OIC/Specialist I 8,652.57 9,085.20 9,539.46 10,016.43 10,517.25 Fire Engineer/Paramedic/OIC/Specialist II 8,503.39 8,928.56 9,374.99 9,843.74 10,335.93 Fire Engineer/Paramedic/Specialist I 8,652.57 9,085.20 9,539.46 10,016.43 10,517.25 Fire Engineer/Paramedic/Specialist II 8,801.75 9,241.84 9,703.93 10,189.13 10,698.59 Firefighter 6,930.63 7,277.16 7,641.02 8,023.07 8,424.22 Firefighter Specialist I 7,069.24 7,422.70 7,793.84 8,183.53 8,592.71 Firefighter Specialist II 7,207.86 7,568.25 7,946.66 8,343.99 8,761.19 Firefighter/FEO 7,069.24 7,422.70 7,793.84 8,183.53 8,592.71 Firefighter/FEO/Specialist I 7,207.86 7,568.25 7,946.66 8,343.99 8,761.19 Firefighter/FEO/Specialist II 7,346.47 7,713.79 8,099.48 8,504.45 8,929.67 Firefighter/Paramedic 7,762.31 8,150.43 8,557.95 8,985.85 9,435.14 Firefighter/Paramedic/FEO 7,900.92 8,295.97 8,710.77 9,146.31 9,603.63 Firefighter/Paramedic/FEO/Specialist I 8,039.53 8,441.51 8,863.59 9,306.77 9,772.11 Firefighter/Paramedic/FEO/Specialist II 7,900.92 8,295.97 8,710.77 9,146.31 9,603.63 Firefighter/Paramedic/Specialist I 8,039.53 8,441.51 8,863.59 9,306.77 9,772.11 Firefighter/Paramedic/Specialist II 8,178.14 8,587.05 9,016.40 9,467.22 9,940.58 GIS Business Analyst 6,821.08 7,162.13 7,520.24 7,896.25 8,291.06 Human Resources Manager 10,440.32 10,962.34 11,510.46 12,085.98 12,690.28 Inspector 5,611.71 5,892.30 6,186.92 6,496.27 6,821.08
Lead Maintenance Worker 5,214.11 5,474.82 5,748.56 6,035.99 6,337.79 Lead WWTP Operator 6,987.41 7,336.78 7,703.62 8,088.80 8,493.24 Lead Zookeeper 5,089.99 5,344.49 5,611.71 5,892.30 6,186.92 Maintenance Supervisor 6,035.99 6,337.79 6,654.68 6,987.41 7,336.78 Maintenance Worker I 4,085.39 4,289.66 4,504.14 4,729.35 4,965.82 Maintenance Worker II 4,729.35 4,965.82 5,214.11 5,474.82 5,748.56 Office Assistant II 4,187.54 4,396.92 4,616.77 4,847.61 5,089.99 Office Assistant III 4,504.14 4,729.35 4,965.82 5,214.11 5,474.82 Planning Manager 10,440.32 10,962.34 11,510.46 12,085.98 12,690.28 Plans Examiner/Building Inspector 6,987.41 7,336.78 7,703.62 8,088.80 8,493.24 Police Chief 15,887.85 16,682.24 17,516.35 18,392.17 19,311.78 Police Commander 12,448.55 13,070.97 13,724.52 14,410.75 15,131.29 Police Corporal 8,327.00 8,743.35 9,180.52 9,639.55 10,121.53 Police Corporal - Intermediate POST 8,535.18 8,961.94 9,410.04 9,880.54 10,374.57 Police Corporal- Advanced POST 8,743.35 9,180.52 9,639.55 10,121.53 10,627.61 Police Level 3 Reserve Officer 7,682.77 8,066.91 n/a n/a n/a Police Officer 7,682.77 8,066.91 8,470.26 8,893.77 9,338.46 Police Officer - Advanced POST 8,066.91 8,470.26 8,893.77 9,338.46 9,805.38 Police Officer - Intermediate POST 7,874.84 8,268.58 8,682.01 9,116.11 9,571.92 Police Officer Recruit 5,976.57 n/a n/a n/a n/a
Police Records Clerk 5,344.49 5,611.71 5,892.30 6,186.92 6,496.27 Police Records Supervisor 6,987.41 7,336.78 7,703.62 8,088.80 8,493.24 Police Sergeant 10,010.14 10,510.65 11,036.18 11,587.99 12,167.39 Police Sergeant - Advanced POST 10,260.39 10,773.41 11,312.08 11,877.68 12,471.56 Police Sergeant - Supervisory POST 10,510.65 11,036.18 11,587.99 12,167.39 12,775.76 Property Evidence Technician 5,834.23 6,125.94 6,432.24 6,753.85 7,091.54 Public Safety Dispatch Supervisor 7,627.79 8,009.18 8,409.64 8,830.12 9,271.63 Public Safety Dispatch Supervisor
- EMD 7,677.79 8,061.68 8,464.77 8,888.01 9,332.41
5/12/26 | Item E8 | Attachment 3

Page 225 of 335 ends

Public Safety Dispatch Supervisor
- EMD with Longevity 8,059.18 8,462.14 8,885.25 9,329.52 9,795.99 Public Safety Dispatch Supervisor
w/ Longevity 8,009.18 8,409.64 8,830.12 9,271.63 9,735.21 Public Safety Dispatcher 5,976.57 6,275.40 6,589.17 6,918.63 7,264.56 Public Safety Dispatcher - EMD 6,026.57 6,327.90 6,644.30 6,976.52 7,325.34 Public Safety Dispatcher - EMD
with Longevity 6,325.40 6,641.67 6,973.76 7,322.45 7,688.57 Public Safety Dispatcher w/Longevity 6,275.40 6,589.17 6,918.63 7,264.56 7,627.79 Public Works Analyst 8,636.31 9,068.13 9,521.54 9,997.62 10,497.50 Public Works Director 14,067.64 14,771.02 15,509.57 16,285.05 17,099.30 Public Works Inspector 6,337.79 6,654.68 6,987.41 7,336.78 7,703.62 Public Works Operations Manager 9,068.13 9,521.53 9,997.61 10,497.49 11,022.36 Recreation Coordinator 5,344.49 5,611.71 5,892.30 6,186.92 6,496.27 Recreation Supervisor 6,601.73 6,931.82 7,278.41 7,642.33 8,024.45 Senior Building Inspector 7,703.62 8,088.80 8,493.24 8,917.90 9,363.80 Senior Planner 8,291.06 8,705.61 9,140.89 9,597.93 10,077.83 Senior Recreation Coordinator 5,892.30 6,186.92 6,496.27 6,821.08 7,162.13 Systems Administrator III 7,896.25 8,291.06 8,705.61 9,140.89 9,597.93 Technical Support Specialist II 5,474.82 5,748.56 6,035.99 6,337.79 6,654.68 Website and Social Media Technician 5,344.49 5,611.71 5,892.30 6,186.92 6,496.27 WWTP Operator I 5,214.11 5,474.82 5,748.56 6,035.99 6,337.79 WWTP Operator II 6,035.99 6,337.79 6,654.68 6,987.41 7,336.78 WWTP Operator in Training 4,504.14 4,729.35 4,965.82 5,214.11 5,474.82 Zoo Director 10,241.45 10,753.52 11,291.20 11,855.76 12,448.55 Zoo Education Curator 4,085.39 4,289.66 4,504.14 4,729.35 4,965.82 Zoo Supervisor 5,344.49 5,611.71 5,892.30 6,186.92 6,496.27 Zookeeper I 4,085.39 4,289.66 4,504.14 4,729.35 4,965.82 5/12/26 | Item E8 | Attachment 3

Page 226 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E9
Department: Administrative
Services
Date: 5/12/26
Placement: Consent
TO: JAMES R. LEWIS, CITY MANAGER
FROM: JERI RANGEL, ADMINISTRATIVE SERVICES DIRECTOR
PREPARED BY: CINDY CHAVEZ, DEPUTY DIRECTOR OF ADMINISTRATIVE SERVICES SUBJECT: Adoption of Capital Asset Policy
RECOMMENDATION:

Council adopt Draft Resolution establishing the City of Atascadero Capital Asset Policy.

DISCUSSION:

The City maintains a wide range of capital assets including infrastructure, buildings, vehicles, equipment, and land, all which support essential public services. Historically, capitalization practices and thresholds have been applied through established administrative procedures.

Recognizing Council’s ongoing priority to enhance staff efficiency, the planning and implementation efforts for the City’s new accounting and asset management systems underscored the need for a more formal and comprehensive policy governing capital assets.

Establishing a Council-adopted Capital Asset Policy will enhance consistency in the identification, valuation, and financial reporting of the City’s capital assets and streamline the process. This policy will continue to support internal controls and transparency and ensure continued alignment with Governmental Accounting Standards Board (GASB) requirements and industry best practices.

The effort required to track a large volume of low-value items offers minimal financial benefit while significantly increasing administrative workload. Maintaining detailed asset listings for such items does not materially improve decision making or audit usefulness. Supported by guidance from the Government Finance Officers Association (GFOA) and consistent with the practices of peer jurisdictions, the City is proposing the adoption of higher capitalization thresholds. This will allow staff to focus resources on monitoring assets that meaningfully impact financial reporting.

Rising equipment costs over time further reinforce the need to modernize capitalization thresholds, while accountability for all assets, regardless of value, will continue to be maintained through internal controls.

Overall, the proposed Capital Asset Policy will serve as a foundational element of the City’s financial management framework. It will sustain audit readiness, support accurate long term capital planning, and promote the continued prudent stewardship of public resources. This

Page 227 of 335 ends

5/12/26 | Item E9 | Staff Report
approach reflects Council’s strong leadership and continued commitment to fiscal responsibility and operational efficiency.

The proposed Capital Asset Policy includes the following key components:
• Establishes capitalization thresholds for major asset categories. • Defines capital assets, capital projects, improvements, and maintenance distinctions. • Requires documentation and tracking of assets throughout their lifecycle. • Establishes depreciation methodologies consistent with GASB guidance. • Provides direction for asset disposals and retirements. • Ensures compliance with applicable accounting standards and enhances audit transparency.

Adoption of this policy will streamline financial processes, ensure consistent application across departments, and support the City’s transition to standardized depreciation practices.

ALTERNATIVES TO THE STAFF RECOMMENDATION:

1. Request modifications to the policy and direct staff to return with revisions.

2. Decline to adopt the policy.

FISCAL IMPACT:

None
REVIEWED BY OTHERS:

This item has been reviewed by the Administrative Services Director.

REVIEWED AND APPROVED FOR COUNCIL AGENDA
James R. Lewis, City Manager
ATTACHMENTS:

1. Draft Resolution Establishing the City of Atascadero Capital Asset Policy

2. Exhibit A – Capital Asset Policy

Page 228 of 335 ends

5/12/26 | Item E9 | Attachment 1

DRAFT RESOLUTION

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ATASCADERO,

ESTABLISHING THE CITY OF ATASCADERO CAPITAL ASSET POLICY WHEREAS, the City of Atascadero is committed to maintaining clear and comprehensive financial policies that promote transparency, accountability, and sound fiscal management for the benefit of the City Council and the community; and,
WHEREAS, establishing a Capital Asset Policy provides consistent guidelines for identifying, recording, and managing the City’s capital assets in accordance with applicable Government Accounting Standards; and,
WHEREAS, the adoption of such a policy ensures accurate financial reporting, supports long‑ term planning, and strengthens the City’s stewardship of public resources; and WHEREAS, City staff has prepared the proposed Capital Asset Policy and recommends its adoption by the City Council.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Atascadero:

SECTION 1. Approval. The City Council of the City of Atascadero, at a regular session assembled on May 12, 2026, hereby adopts the City of Atascadero Capital Asset Policy, attached hereto as Exhibit A and incorporated herein by reference.

SECTION 2. Effective Date. This Resolution shall take effect July 1, 2026, and shall remain in full force and effect until amended or rescinded by the City Council.

PASSED AND ADOPTED at a regular meeting of the City Council held this 12th day of May, 2026.

On motion by ______ and seconded by _____, the foregoing Resolution is hereby adopted in its entirety on the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

CITY OF ATASCADERO:
________________________________
Charles Bourbeau, Mayor
ATTEST:

Lara K. Henderson, City Clerk

Page 229 of 335 ends

EXHIBIT A
Working together to serve, build community and enhance quality of life.

City of Atascadero
Capital Asset Policy
May 12, 2026
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 230 of 335 ends

i
Capital Asset Policy
Table of Contents
Section I – PURPOSE AND AUTHORITY............................................................................1 Section II – SCOPE ..........................................................................................................1 Section III – DEFINITIONS ...............................................................................................2 Section IV – ROLES AND RESPONSIBILITIES ...................................................................3 Administrative Services Department.................................................................................3 Other City Departments ...................................................................................................3 Internal Control and Segregation of Duties ........................................................................4 Section V - CAPITALIZATION THRESHOLDS ....................................................................4 Section VI - VALUATION ..................................................................................................5 Section VII – COMPONENTIZATION........................................................................... 6 Section VIII – DEPRECIATION.........................................................................................6 Section IX – AGGREGATE PURCHASES...........................................................................7 Section X – ACQUISITION, SELF-CONSTRUCTED ASSETS AND CIP................................7 Self-Constructed Assets...................................................................................................8 Construction in Progress (CIP)..........................................................................................8 Section XI – INTANGILE ASSETS .....................................................................................8 Easements/Right-of-Way..................................................................................................8 Computer Software..........................................................................................................8 Other Intangibles .............................................................................................................8 Section XII – RIGHT-TO-USE ASSETS...............................................................................9 Leases (GASB 87).............................................................................................................9 SBITA (GASB 96)...............................................................................................................9 Public-Private/Public-Public Partnerships (PPPs) ..............................................................9 Section XIII – ACCEPTANCE OF PUBLIC IMPROVEMENTS...............................................9 Section XIV – COSTS SUBSEQUENT TO ACQUISITION............................................... 10 Section XV – INVENTORY .............................................................................................. 10 Frequency...................................................................................................................... 10 Process ......................................................................................................................... 10 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 231 of 335 ends

ii
Section XVI – FEDERAL AND GRANT FUNDED PROPERTY.......................................... 11 Section XVII – IMPAIRMENTS AND ASSET RETIREMENT OBLIGATIONS....................... 11 Impairments (GASB 42) .................................................................................................. 11 Asset Retirement Obligations (GASB 83) ......................................................................... 11 Insurance Recoveries..................................................................................................... 12 Section XVIII – TRANSFERS, DISPOSALS, AND SALES............................................... 12 Authorization and Process.............................................................................................. 12 Accounting Retirements ................................................................................................. 12 Lost or Stolen Assets...................................................................................................... 12 Section XIX – FINANCIAL REPORTING ..................................................................... 13 Section XX – REVIEW AND UDPATES....................................................................... 13 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 232 of 335 ends

CITY OF ATASCADERO

CAPITAL ASSET POLICY
I. PURPOSE AND AUTHORITY
The purpose of this Capital Asset Policy is to ensure that the City of Atascadero’s assets are acquired, safeguarded, controlled, disposed of, and accounted for in accordance with state and federal regulations, generally accepted accounting principles, internal control standards, and audit requirements.

This policy reinforces accountability and transparency in how the City manages public resources. It ensures the City’s financial statements accurately reflect the condition and use of long-term assets. The policy is practical for both sta and auditors to use, provides consistency across all departments, and aligns with the City’s overall governance and internal control structure.

This Policy is adopted pursuant to applicable GASB standards, including but not limited to:
 GASB 34 – Basic Financial Statements and Infrastructure Reporting  GASB 42 – Impairment of Capital Assets
 GASB 51 – Accounting and Financial Reporting for Intangible Assets  GASB 83 – Asset Retirement Obligations
 GASB 87 – Leases
 GASB 89 – Accounting for Interest Cost Incurred Before the End of a Construction Period
 GASB 96 – Subscription-Based Information Technology Arrangements (SBITA) II. SCOPE
This policy applies to all City departments, divisions, programs, and component units that acquire, construct, operate, maintain, or dispose of capital assets. This policy applies to all property whether tangible (land, buildings, improvements, equipment, vehicles, infrastructure) or intangible (easements, software) which is purchased, constructed, 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 233 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
2 donated, leased or other right-to-use arrangements (GASB 87), and subscription-based Information Technology (IT) arrangements (GASB 96).

This policy also governs federal or grant-funded assets and requires adherence to Title 2 CFR 200.313 (Property Standards) and grantor-specific terms on acquisition, use, inventory, and disposition. Departments must review grant requirements prior to making any purchase and coordinate with Administrative Services to ensure the City’s records and financial reporting comply with both grant obligations and GASB standards.

III. DEFINITIONS
Asset Retirement Obligation (ARO): A legally enforceable obligation associated with the retirement of a tangible capital asset, requiring recognition and measurement in accordance with GASB 83.

Capital Asset: A tangible or intangible asset used in operations that has a useful life exceeding two years and meets the City’s applicable capitalization threshold.

Capitalization Threshold: The minimum cost at which an acquisition is recorded as a capital asset rather than expensed.

Construction in Progress (CIP): Costs accumulated for projects or purchases that are not yet complete. Upon substantial completion, the balance of that asset is reclassified to the appropriate capital asset class.

Developer-Donated Assets:Infrastructure or other capital assets accepted by the City from developers and recorded at either historical cost or fair value at the time of acceptance, in accordance with applicable standards.

Historical Cost: The total expenditures incurred to acquire, construct, and place an asset into service, net of any discounts, rebates, or allowances and reduced by salvage proceeds.

Donated assets are recorded at their fair value on the date of acceptance.

Impairment: A significant and unexpected decline in the service utility of a capital asset, requiring recognition and disclosure per GASB 42.

Public-Private Partnership (PPP): A contractual arrangement in which a government, as the transferor, grants a governmental or nongovernmental operator the right to use or operate a non-financial asset (such as infrastructure) to deliver public services for a specified period, in an exchange or exchange-like transaction.
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 234 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
3 Right-to-Use Asset: An intangible asset recognized under GASB 87 for leases and under GASB 96 for SBITAs. The asset is measured and amortized in accordance with the requirements of the applicable standard.

Subscription Based Information Technology Arrangement (SBITA): A contractual agreement in which a government entity obtains the right to use a vendor’s IT software, alone or together with related tangible IT assets, for a defined subscription term.

Useful Life: The period during which an asset is expected to provide service to the City, and the timeframe used as the basis for calculating depreciation.

IV. ROLES AND RESPONSIBILITIES
Administrative Services Department
The Administrative Services Department is responsible for administering this policy, ensuring compliance with all applicable accounting and regulatory standards, and updating the policy as guidance evolves. Core responsibilities include:
 Maintaining complete and accurate capital asset records  Establishing and periodically reviewing asset useful lives  Ensuring compliance with GASB pronouncements and relevant federal and state requirements
 Administering capitalization thresholds and related procedures  Coordinating and overseeing periodic physical inventories  Reviewing and recording asset impairments, retirements, public-private partnerships (PPPs), and right-to-use assets
 Preparing financial statement note disclosures and supporting schedules Other City Departments
Departments are responsible for safeguarding City assets, implementing this policy within their operational activities, and providing complete, accurate, and timely information to Administrative Services to ensure proper accounting and financial reporting. When special funding or grant requirements impose additional conditions (e.g., federal property standards), those requirements are incorporated into this policy and further detailed in departmental procedures and grant documentation. Departmental responsibilities include:
 Protecting assets under departmental control and maintaining adequate safeguards 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 235 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
4  Ensuring assets are used solely for authorized City purposes  Promptly notifying Administrative Services of acquisitions, transfers, disposals, impairments, or other changes in asset condition
 Maintaining supplemental tracking logs for sensitive or federally funded assets, including those below capitalization thresholds (e.g., minor asset tracking).

Internal Control and Segregation of Duties:Custodial and operational control resides with departments, while financial reporting and accounting control is maintained by Administrative Services. This segregation of duties strengthens internal controls by reducing the risk of error or fraud, enhancing auditability, and promoting consistency in Citywide financial reporting. Departments are responsible for conducting physical inventories and maintaining operational asset records, whereas Administrative Services consolidates, verifies, and records asset transactions in the City’s financial system.

V. CAPITALIZATION THRESHOLDS
Assets with an estimated useful life greater than two years that meet the established capitalization thresholds below are recorded as capital assets; all others are expensed.

Asset Class Threshold
Land $0 (all land is capitalized)
Land Improvements $50,000
Buildings and Improvements $25,000
Infrastructure $100,000
Construction in Progress (CIP) Determined by the final class threshold.

Machinery, Equipment, and Vehicles $25,000
Furniture and Fixtures $25,000
Technology Assets (computers, printers, etc.) $10,000
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 236 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
5 Asset Class Threshold
Computer Software, Right-to-Use Assets, and Other
Intangible Assets $50,000
These thresholds align with those used by many municipalities across California while maintaining practical, scalable ranges appropriate for the City of Atascadero. The intent is to ensure that capital asset reporting focuses on items of material financial significance and to minimize administrative eort spent tracking assets that are not materially impactful.

Capitalization thresholds are applied to the unit cost of an asset. Costs associated with components of a single, integrated asset are treated as part of the whole unless separately capitalized under the City’s componentization policy (Section VII). Bulk purchases of identical low-value items are generally expensed unless the aggregate grouping meets the criteria for capitalization under GASB’s aggregation guidance (Section IX).

VI. VALUATION (HISTORICAL COST)
Capital assets are recorded at historical cost, which includes:
 Purchase price, including applicable sales tax
 Freight and shipping charges
 Installation and testing costs
 Professional services (e.g., architectural and engineering fees)  Permits and insurance during construction
 Other expenditures incurred to place the asset into service Discounts, allowances, and rebates are deducted from the asset’s cost. Assets exchanged through trade-in transactions are removed from the capital asset system, and the replacement asset is recorded at its full acquisition cost.

Donated assets are recorded at their fair market value as of the date of acceptance, plus any ancillary costs needed to place the asset into service. Departments accepting donations must provide Administrative Services with suicient written documentation such as valuations, asset descriptions, and location information in order to establish the capital asset record.
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 237 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
6 Capitalization is limited to costs necessary to acquire the asset and place it into service.

Since training does not extend the asset’s life, increase its capacity, or improve eiciency beyond original design, it must be recorded as an operating expense and should not be capitalized. Routine maintenance keeps an asset in a usable, working state, does not add significant new capabilities, and does not extend the useful life beyond its original expectation, and therefore is also expensed and not capitalized.

VII. COMPONENTIZATION
Where practical, major components will be recorded as separate capital assets, each with its own useful life and depreciation schedule. This practice improves valuation accuracy and simplifies tracking future replacements.

When a component is replaced, the old component will be retired, removing its historical cost and accumulated depreciation from the asset records. The new component will be capitalized, provided the replacement meets the City’s capitalization threshold. If a building is recorded as a single, non-componentized asset, replacement of subcomponents may be treated as repairs and expensed, unless the replacement increases capacity, improves eiciency, or extends the useful life of the overall building (see Section XIV).

VIII. DEPRECIATION
The City uses the straight-line method of depreciation for all depreciable assets.

Depreciation begins when an asset is placed into service, and the City records a full year of depreciation in the year the asset becomes operational, regardless of the specific month placed into service. Land, certain land improvements with permanent benefits such as grading or fill not subject to deterioration, inexhaustible works of art, and historical treasures are asset types that are not depreciated. The annual depreciation amount remains constant over the asset’s established useful life, unless otherwise directed by Administrative Services based on updated asset information or life-extending improvements.

Useful Life Ranges:

Asset Class Useful Life
Buildings and Improvements 5–50 years
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 238 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
7 Asset Class Useful Life
Infrastructure 5–100 years
Machinery, Equipment and Vehicles 2–30 years
Furniture and Fixtures 2–10 years
Technology Assets (computers, printers, etc.) 2–10 years Computer Software, Right-to-Use Assets, and Other Intangible Assets 2–10 years Administrative Services may set specific useful lives for capital assets considering vendor recommendations, engineering assessments, industry standards, and the City’s historical experience with similar assets. These assigned useful lives ensure that depreciation accurately reflects the asset’s expected service capacity.

Administrative Services may approve documented exceptions to standard useful lives when justified by actual usage patterns, asset condition, environmental exposure, operational intensity, or applicable legal or contractual limitations. Approved exceptions must be supported with appropriate documentation and retained with the asset record.

IX. AGGREGATE PURCHASES
The City will capitalize aggregate purchases of low-value units when the items, although individually below the capitalization threshold, are significant in total. This requirement applies when similar assets are acquired as a group, near the same time, and for a single operational objective. Examples include but are not limited to bulk purchases of laptops or computers, oice furniture sets acquired together, and specialized equipment purchased in coordinated batches. Management will evaluate these grouped purchases to determine whether the collective cost meets the City’s definition of ‘significant’. When it does, the group will be recorded as a capital asset, ensuring the City’s financial statements fairly represent long-term resources and comply with GASB.
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 239 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
8 X. ACQUISITION, SELF-CONSTRUCTED ASSETS AND CONSTRUCTION IN PROGRESS All capital acquisitions must follow the City’s established purchasing procedures, including budget authorization, procurement requirements, and purchase order processing.

Administrative Services is responsible for validating that the purchase qualified as a capital asset, establishing the appropriate useful life, and recording the asset in the City’s financial system. All lease and subscription agreements must be submitted to Administrative Services for a right-to-use evaluation in accordance with relevant GASB guidance.

Self-Constructed Assets: For assets constructed by City sta, all costs are accumulated in the related project accounts. Capitalizable costs may include direct labor at fully allocated rates, materials and supplies, equipment usage and administrative overhead that is directly attributable to construction activities and originates outside the construction cost center. Upon the project’s completion and readiness for service, the accumulated construction costs are transferred to the appropriate capital asset class. Consistent with GASB Statement No. 89, interest costs incurred during construction are expensed, not capitalized.

Construction in Progress (CIP): CIP represents new construction, major improvements, purchases, or capital activities that are not yet complete or not fully processed by fiscal yearend. CIP is used only when the project is expected to exceed the capitalization threshold of the resulting asset class and when the asset is not yet substantially complete or in services at year-end. When the project reaches substantial completion and is placed into service, the CIP balance for that asset is reclassified to the appropriate capital asset category.

XI. INTANGIBLE ASSETS
Easements/Right-of-Way: Permanent easements shall be capitalized regardless of cost, as they convey perpetual rights that meet the criteria for intangible assets. Right-of-way acquisitions are capitalized when they meet the City’s capitalization threshold for land-related intangibles.

Computer Software: Software accounting follows GASB’s distinction between development stages. Preliminary project stage activities-such as needs assessments and feasibility studies-are expensed. Post-implementation activities-including maintenance, patches, and minor updates-are also expensed. Software acquired as part of an integrated system may be grouped with hardware when the combined system functions as one 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 240 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
9 operational unit and when the combined acquisition meets the capitalization threshold (see Section IX on aggregate purchases).

Other Intangibles: Intangible assets lacking physical substance, used in operations, and meeting the asset definition under GASB 51 such as certain rights, licenses, trademarks, permits, or internally developed software will be capitalized.

XII. RIGHT-TO-USE-ASSETS
Leases (GASB 87):

A right-to-use lease asset and corresponding lease liability must be recognized for all non-cancelable lease terms greater than 12 months. The lease asset is measured at the present value of required payments and amortized over the shorter of the lease term or the asset’s useful life. Short-term leases (12 months or less) are expensed as incurred. The threshold is $50,000. Departments must submit all lease contracts to Administrative Services for review and recording.

SBITA (GASB 96):

A subscription asset and liability must be recognized for qualifying software subscription arrangements with non-cancelable terms greater than 12 months and meeting the $50,000 threshold. The subscription asset is amortized over the subscription term. Short-term arrangements are expensed as incurred. Departments must submit all agreements to Administrative Services for review.

Public-Private/Public-Public Partnerships (PPPs):

Administrative Services evaluates PPPs and other complex arrangements that convey control to determine whether recognition of right-to-use assets or other capital assets and related liabilities is required.

XIII. ACCEPTANCE OF PUBLIC IMPROVEMENTS (DEVELOPER DONATIONS) Public infrastructure constructed by developers and formally accepted by the City shall be recorded at the developer’s actual construction cost (historical cost). When such costs cannot be reasonably determined, assets shall be recorded at fair value as of the acceptance date. Land contributed as part of a development project shall be recorded separately as a non-depreciable asset.
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 241 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
10 Departments must submit standardized asset information including asset type, quantities, location, acceptance date, and associated costs to Administrative Services to ensure timely and accurate entry into the financial system. This documentation supports proper valuation of donated assets and enables depreciation to begin promptly when assets are placed into service.

XIV. COSTS SUBSEQUENT TO ACQUISITION (MAINTENANCE VS. CAPITAL) Subsequent expenditures shall be capitalized when they meet the applicable asset class threshold and result in one or more of the following:
a) an extension of the asset’s useful life,
b) an increase in capacity or operating eiciency, or
c) the addition of a major component.

Examples include roadway base reconstruction, bridge seismic retrofits, and significant building system replacements such as roofs, HVAC systems, or electrical upgrades.

Routine maintenance activities such as repainting, standard flooring replacement, or minor road repair are expensed as they occur. These activities preserve existing service levels but do not increase service potential or extend useful life; therefore, they do not meet capitalization criteria.

All capitalization determinations must be supported by appropriate documentation demonstrating how the expenditure aects future service potential. Departments should consult with Administrative Services when classification is uncertain.

XV. INVENTORY
Frequency
• Capital Assets: Perform a comprehensive verification annually, or as directed by Administrative Services.
• Federal/Grant-Funded Assets: Inventory every two years in accordance with Title 2 CFR 200.313.

Process
Administrative Services will supply each department its inventory listings at the end of each fiscal year. Departments are responsible for:
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 242 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
11 • verifying the physical existence of each asset,
• updating serial numbers, locations, and other identifying details, • documenting disposals and transfers, and
• timely returning signed and completed inventory forms to Administrative Services.

Administrative Services reconciles discrepancies, updates the capital asset records, and conducts follow-up procedures for missing or unverified items. Departments will also maintain a Minor Asset Tracking Log for sensitive or high-risk items below capitalization thresholds via the Asset Management Software platform.

XVI. FEDERAL AND GRANT-FUNDED PROPERTY
Assets acquired with federal funds must comply with Title 2 CFR 200.313 (Property Standards), including requirements for asset records, internal controls, physical inventory frequency, and disposition procedures. Departments are responsible for reviewing applicable grant agreements prior to initiating any equipment purchases and coordinating with Administrative Services to ensure accurate reflection of ownership, use restrictions, and reporting obligations within the City’s financial system.

When grantor requirements dier from City policy such as a lower asset-tracking threshold, departments must follow the stricter requirement while maintaining consistency with Citywide capital asset accounting and reporting standards.

XVII. IMPAIRMENTS AND ASSET RETIREMENT OBLIGATIONS (ARO) Impairments (GASB 42)
A capital asset must be evaluated for impairment when there is a significant and unanticipated decline in service utility resulting from events such as physical damage, technological obsolescence, environmental or legal changes, or fundamental shifts in usage. When an impairment is identified, the City shall recognize the loss in accordance with GASB 42, documenting the triggering event, the measurement approach, and any potential recovery. Administrative Services performs annual assessments and conducts reviews whenever a triggering event occurs.
5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 243 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
12 Asset Retirement Obligations (GASB 83)
An Asset Retirement Obligation must be recognized when the City has a legally enforceable duty to retire a tangible capital asset. The liability and corresponding deferred outflow of resources are recorded upon the obligating event such as acquisition, construction, or placement into service and updated as cost estimates change. Departments must coordinate with the City Attorney and City Manager’s Oice to identify legal obligations, technical requirements, and other assumptions.

Insurance Recoveries
When an impairment involves an insurable event, recoveries shall be recognized and disclosed in accordance with GASB 42 and the City’s accounting procedures. Departments must coordinate with Risk Management and Administrative Services to ensure that recognition, classification, and disclosure of insurance proceeds are accurate and consistent.

XVIII. TRANSFERS, DISPOSALS AND SALES
Authorization and Process:

Departments must submit an Idle Equipment Report to Administrative Services when proposing the transfer, disposal, or sale of a capital asset. The report must include all required details including asset number, description, serial number, location, condition, date, and proposed method of disposition in accordance with the City’s Purchasing Policy.

Administrative Services is responsible for authorizing the disposition method and ensuring compliance with City procedures, including proper financial recording.

Accounting Requirements
Upon retirement of an asset, Administrative Services will remove the asset and its accumulated depreciation from the City’s capital asset records and recognize any resulting gain or loss. For assets sold or auctioned, proceeds must be deposited into the fund that originally financed the purchase. Departments must forward all supporting sale documentation (such as auction reports or receipts) to Administrative Services to facilitate accurate retirement entries.

Lost or Stolen Assets
Missing assets must be reported immediately. Departments are required to complete an Idle Equipment Form and coordinate with the Police Department or Risk Management when 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 244 of 335 ends

City of Atascadero
Capital Asset Policy
May 12, 2026
13 applicable. Administrative Services will update capital asset records and determine whether additional disclosure or documentation is required.

XIX. FINANCIAL REPORTING
Administrative Services is responsible for reporting capital assets in the City’s Financial Statements, including beginning balances, additions, disposals, transfers, depreciation expense, and ending balances by function or program. The accompanying notes disclose capitalization methodologies, useful lives, impairment evaluations, right-to-use assets, SBITAs, and all other disclosures required under GASB.

Administrative Services also maintains detailed subsidiary ledgers and schedules by asset class and fund to support financial reporting, audit requirements, budgeting, risk management, and insurance valuations. Departments play a critical role in year-end reporting by submitting complete and timely documentation including acceptance records for developer-constructed assets, disposal forms, and updated inventory verification to ensure the accuracy and completeness of capital asset records.

XX. REVIEW AND UPDATES
Administrative Services conducts periodic reviews of this policy and updates it as necessary to reflect changes in GASB standards, federal and state guidance, operational requirements, and recognized best practices. Updates may include revisions to capitalization thresholds, adjustments to estimated useful lives, or enhancements to procedures designed to strengthen eiciency, internal controls, and compliance. 5/12/26 | Item E9 | Attachment 1 | Exhibit A

Page 245 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E10
Department: Public Works
Date: 5/12/26
Placement: Consent
TO: JAMES R. LEWIS, CITY MANAGER
FROM: NICK DE BAR, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER PREPARED BY: RYAN HAYES, DEPUTY DIRECTOR OF PUBLIC WORKS SUBJECT: Special Inspections and Materials Testing Contract Award for Public Safety Facilities Project
RECOMMENDATION:

Council award a professional services agreement for $193,537 to GeoSolutions for Special Inspections and Materials Testing for the Public Safety Facilities Project (City Proj. No. C2021B01).

DISCUSSION:

BACKGROUND
For decades it has been widely recognized that the existing Fire and Police Department facilities were outdated and in the case of Fire Station #1, no longer compliant with current standards. In November 2020, City residents passed Measure D-20 which provided ongoing funding for necessary improvements at Fire Station #1, Fire Station #2 and Police Headquarters.

Following passage of Measure D-20, the City elected to deliver the project utilizing the Design-Build process and contracted with Vanir and TenOver Studios to complete a space needs analysis, preliminary design and the preparation of bridging documents. These documents were advertised as part of the RFQ/RFP process, which ultimately resulted in the experienced Design-Build team of F&H Construction and LDA being selected to provide design and construction services for the Public Safety Facilities Project.

Since January 2025, the F&H team has been working closely with City staff and the City’s program manager, Vanir, to complete construction plans and specifications. Plans are now nearing final approval, with construction commencing in early May at Fire Station #2 and Police Headquarters, and in June at Fire Station #1.

As with any building project, the Public Safety Facilities are required to be designed and constructed in compliance with the California Building Code (CBC). Additionally, all three facilities are classified as Essential Services Facilities, which are mandated under the California Health and Safety Code to adhere to even more stringent structural safety and design regulations. While the City’s Building and Public Works Departments will be providing project inspections services, Special Inspections and Materials Testing is beyond the expertise of City staff and is required by the CBC to be contracted to a third party.

ANALYSIS
Staff prepared a Request for Proposal (RFP) and solicited proposals in April 2026 from qualified consultants to provide Special Inspections and Materials Testing Servicesfor the project. Services to be provided by the consultant are extensive, but generally include verification of grading and compaction, retaining wall

Page 246 of 335 ends

5/12/26 | Item E10 | Staff Report
construction, base and finish material type and quality, masonry, structural steel, structural anchors and sheer load diaphragms.

City staff sent emails to multiple geotechnical engineering and testing firms notifying them of RFP issuance, with proposals from four qualified consultants: GeoSolutions, Earth Systems Pacific, Salem Engineering Group and DC Inspections. Proposals were individually reviewed and scored by a technical selection committee comprised of three members, including the City’s project manager, the Chief Building Official, and the Vanir construction manager. The selection committee considered experience with similar projects, responsiveness to City needs, experience of key personnel, and other factors. Of particular importance to staff on this project is the ability to provide all necessary inspection services, quality of inspection staff, ability to respond quickly (full staffed local office), and demonstrated flexibility to construction schedule adjustments. After reviewing the proposals, the selection committee agreed that Earth Systems Pacific and GeoSolutions were the most qualified consultant to provide the Special Inspections and Materials Testing services for this project. There was a significant discrepancy between the two highest ranking consultants on expected number of staff hours required for the project. After discussions with both consultants, the selection committee agreed that GeoSolutions provides the best combination of qualifications, availability and value to the City.

GeoSolutions provided a detailed fee estimate worksheet with their proposal that included labor hours/costs and reimbursable expenses for the work scope identified in the City’s request for proposals.

City staff reviewed GeoSolutions work scope and fee and have determined that it is reasonable.

FISCAL IMPACT:

Awarding the Special Inspections and Materials Testing contract to GeoSolutions will expend $193,537 in Sales Tax Measure D-20 funds that have been budgeted for the Public Safety Facilities Project. A total of $6,750,000 in D-20 Funds are currently budgeted for soft costs associated with the Project. The Special Inspections and Materials Testing contract is included in the “Construction Inspection/Testing/Administration” line item in the Estimated Expenditures table below. The tables below summarize the estimated project soft cost expenditures and funding sources:

ESTIMATED EXPENDITURES
Program and Construction Management (Vanir) $ 2,874,900 Preliminary Studies and DBE Design Support 336,200
Fire Station #1 Temporary Facilities (Manufactured Home, Steel Building)
356,000
Fire Station #1 Temporary Facilities Construction Contract 354,600 Fire Station #1 Temp Facilities - Additional Utility and Other Costs 85,000 Fire Station #2 Temp Facilities (Manufactured Home and Site Improvements)
360,500
Project Permitting and Third-Party Plan Review 250,000
Construction Inspection / Testing / Administration 507,800 City-supplied Furniture, Fixtures and Equipment (FF&E) 850,000 Contingency 2.5% 775,000
Total Estimated Expenditures: $ 6,750,000

Page 247 of 335 ends

5/12/26 | Item E10 | Staff Report
ALTERNATIVES:

Council may direct staff to resolicit for Special Inspections and Materials Testing services for the project, but staff does not recommend this since the proposals received were from highly qualified firms and very competitive.

REVIEWED BY OTHERS:

This item has been reviewed by the Administrative Services Director and City Attorney.

REVIEWED AND APPROVED FOR COUNCIL AGENDA
James R. Lewis, City Manager
ATTACHMENT(S):

None

BUDGETED FUNDING SOURCES
Budgeted D-20 Funds 6,500,000
Budget Adjustment (Council Approved 1/27/26) 250,000
Total Budgeted Funding Sources: $6,750,000

Page 248 of 335 ends

CITY OF ATASCADERO
CITY COUNCIL STAFF REPORT Item E11
Department: Public Works
Date: 05/12/26
Placement: Consent
TO: JAMES R. LEWIS, CITY MANAGER
FROM: NICK DE BAR, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER PREPARED BY: JOE MURPHY, ASSOCIATE CIVIL ENGINEER
SUBJECT: Design Contract Amendment for Del Rio Road/US 101 Interchange Operational Improvement Project
RECOMMENDATION:

Council approve a contract amendment with Wallace Group not to exceed $484,049 to provide design engineering and prepare bidding documents for the revised Del Rio Road/US 101 Interchange Operational Improvement Project (City Proj. No. C2015T01).

REPORT IN BRIEF:

This report provides a background summary of the Del Rio Road/US 101 Interchange Operational Improvement Project and its design transformation from a series of three roundabouts to the current concept plan comprised of lane additions, signal modifications, intersection improvements, and realignment of Ramona Road. While portions of this concept plan have been completed in conjunction with development on El Camino Real near Del Rio Road, the remaining improvements are proposed to be constructed in three phases to accommodate planned development projects in the vicinity, provide funding flexibility, and streamline Caltrans permitting. Wallace Group has been serving as the City’s contract design engineer for the project and has provided a revised scope of work to their contract for completion of final design and bidding documents for all three phases of the project to advance to “shovel ready” status.

DISCUSSION:

BACKGROUND
During the review and approval phase for the Walmart/Del Rio Marketplace Annex Project that began in 2008, the City analyzed the project’s impact on the Del Rio Road/US 101 Interchange. A traffic analysis study performed by the City’s traffic consultant (W-Trans) indicated the traffic capacity of the interchange would need to be expanded to accommodate the Walmart/Del Rio Marketplace project at build out. The study analyzed options to increase capacity and recommended converting the three signalized intersections to roundabouts at the Del Rio Road intersections with northbound and southbound US 101 ramps and El Camino Real over the other option of reconstructing the two-lane bridge overpass to add a third left-turn lane. The Walmart/Del Rio Marketplace Annex Project was approved through the Del Rio Road Commercial Area Specific Plan (Del Rio Specific Plan) in June 2012 and conditioned Walmart to construct a number of public improvements including the proposed Del Rio Road roundabout at El Camino

Page 249 of 335 ends

Atascadero City CouncilMay 12, 2026

Atascadero City Council
May 12, 2026