Agenda packet — El Centro City Council, April 18, 2023 (part 2 of 2)

5. Lots or parcels within the District that are owned or used by any county, city, city and county, special district or any other local or regional governmental entity, the State of California or the United States shall be assessed unless the City demonstrates by clear and convincing evidence that such lots or parcels receive no special benefit from the proposed improvements.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By: _________________________
Martha Cardenas-Singh, Mayor
ATTEST:

By: __________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

OFFICE OF THE CITY ATTORNEY
By: __________________________
Elizabeth L. Martyn, City Attorney

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Packet Pg. 351 Attachment: Legacy Ranch LLD - Initiating Proceedings - 04-18-2023 (5896 : Adopt Resolution to Initiate the Proceedings for the Levy and 03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD
InitiationLevyandCollectionofAssmts 3

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

CITY OF EL CENTRO )
I, Norma Wyles, City Clerk of the City of El Centro, California, do hereby certify that the foregoing Resolution No. 23- was duly and regularly adopted at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAINED:

By ____________________________
Norma Wyles, City Clerk

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Packet Pg. 352 Attachment: Legacy Ranch LLD - Initiating Proceedings - 04-18-2023 (5896 : Adopt Resolution to Initiate the Proceedings for the Levy and City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Resolution
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
RESOLUTION (ID # 5895) DOC ID: 5895
Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Legacy Ranch
Landscaping & Lighting District
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution 23- , A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO FOR PRELIMINARY APPROVAL OF THE ENGINEER'S ANNUAL LEVY

REPORT REGARDING THE EL CENTRO LEGACY RANCH LANDSCAPING AND LIGHTING DISTRICT; AND THE LEVY AND COLLECTION OF ANNUAL ASSESSMENTS RELATED THERETO FOR FISCAL YEAR 2023-2024
FISCAL IMPACT:

Will be the first step in determining the coming year’s assessment for The District.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal # 1 - Financial & Governance Stability & Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Yes
BACKGROUND:

On an annual basis the El Centro Legacy Ranch Landscape and Lighting District determines the levy and collection of assessments needed for the coming year. This is based on an Engineer’s Report for the District. Prior to holding a public meeting on this issue, the items noted in the Resolutions presented to you in this document must be processed
CONCLUSION:

Staff recommends Adopting Resolution 23- , A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF EL CENTRO FOR PRELIMINARY APPROVAL OF THE

ENGINEER'S ANNUAL LEVY REPORT REGARDING THE EL CENTRO LEGACY RANCH LANDSCAPING AND LIGHTING DISTRICT; AND THE LEVY AND

COLLECTION OF ANNUAL ASSESSMENTS RELATED THERETO FOR FISCAL YEAR 2023-2024
ATTACHMENTS:
• Legacy Ranch LLD - Engineer's Report - Intent Meeting 04-18-2023 (PDF) • Legacy Ranch LL&D (PDF)
15 Packet Pg. 353
03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD_EngRpt
1 RESOLUTION NO. 23-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO FOR PRELIMINARY APPROVAL OF THE
ENGINEER’S ANNUAL LEVY REPORT REGARDING THE EL

CENTRO LEGACY RANCH LANDSCAPING AND LIGHTING
DISTRICT; AND THE LEVY AND COLLECTION OF ANNUAL

ASSESSMENTS RELATED THERETO FOR FISCAL YEAR
2023-2024
WHEREAS, the City Council of the City of El Centro, California (the “City” and the “ City Council”) has, by previous resolution, ordered the preparation of an Engineer’s report (“the Report”) regarding the assessment district designated as the Legacy Ranch Landscaping and Lighting District (the “District”), and the levy and collection of assessments related thereto for Fiscal Year 2023-2024, 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 (the “Act”); and
WHEREAS, there has now been presented to this City Council the Report as required by Chapter 3, Section 22623 of said Act; and
WHEREAS, the City Council has carefully examined and reviewed the Report as presented, and is preliminarily satisfied with the District, the improvements described therein, each of the budget items and documents as set forth therein, and is satisfied that the proposed annual assessments, on a preliminary basis, have been assigned 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 the Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

1. The preceding recitals are true and correct.

2. The Report, as presented, consists of the following:
• A Description of Improvements.
• A Diagram of the District.
• The proposed Annual Budget for the fiscal year (Costs and Expenses). • The Method of Apportionment that details the method of calculating each parcel’s proportional special benefits and annual assessment. • The District Roll containing the Levy for each Assessor Parcel Number within the District commencing Fiscal Year 2023-2024.

3. The District and the associated assessments as outlined in the Engineer’s Report are in compliance with the provisions of California Constitution Article XIIID.

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Packet Pg. 354 Attachment: Legacy Ranch LLD - Engineer's Report - Intent Meeting 04-18-2023 (5895 : Adopt Resolution for Preliminary Approval of the 03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD_EngRpt
2 4. 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.

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 of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By: ____________________________
Martha Cardenas-Singh, Mayor
ATTEST:

By: ___________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

OFFICE OF THE CITY ATTORNEY
By: ___________________________
Elizabeth L. Martyn, City Attorney

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

AYES:

NOES:

ABSENT:

ABSTAINED:

By___________________________
Norma Wyles, City Clerk

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Packet Pg. 355 Attachment: Legacy Ranch LLD - Engineer's Report - Intent Meeting 04-18-2023 (5895 : Adopt Resolution for Preliminary Approval of the

City of El Centro
Legacy Ranch
Landscape and Lighting District
2023/2024 ENGINEER’S REPORT
Intent Meeting: April 18, 2023
Public Hearing: May 16, 2023
27368 Via Industria, Suite 200
Temecula, California 92590
T. 951.587.3500 800.755.6864
F. 951.587.3510 888.326.6864
www.willdan.com

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Packet Pg. 356 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the

ENGINEER'S REPORT AFFIDAVIT
Legacy Ranch Landscaping and Lighting District
The District includes the parcels of land within the residential and commercial subdivisions known as
Legacy Ranch
City of El Centro,
County of Imperial, State of California
This Report identifies the parcels within Legacy Ranch Landscaping and Lighting District and relevant zones therein including the improvements, budgets, parcels and assessments to be levied for fiscal year 2023/2024, as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Imperial County Assessor’s maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2023.

Willdan Financial Services
Assessment Engineer
On Behalf of the City of El Centro
By: ________________________________
Michelle Laase
Project Manager, District Administration Services
By: ________________________________
Tyrone Peter
P.E. # C 81888

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Packet Pg. 357 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the

PRELIMINARY APPROVAL
This Engineer’s Report and the proposed assessments described herein have been preliminarily approved by the City Council of the City of El Centro on this ______ day of ____________, 2023.
_________________________________
Norma Wyles, CMC
City Clerk
City of El Centro

FINAL APPROVAL
This Engineer’s Report, the improvements and assessments described herein were approved and adopted by the City Council of the City of El Centro on this ______ day of ___________, 2023.
________________________________
Norma Wyles, CMC
City Clerk
City of El Centro

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TABLE OF CONTENTS
I. EXECUTIVE SUMMARY1
A. INTRODUCTION 1
II. PLANS AND SPECIFICATIONS2
A. DESCRIPTION OF THE DISTRICT 2
B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT 2
C. DESCRIPTION OF IMPROVEMENTS AND SERVICES 3
III. METHOD OF APPORTIONMENT6
A. GENERAL 6
B. PROPOSITION 218 BENEFIT ANALYSIS 6
C
. SPECIAL BENEFIT ANALYSIS 7
D. ASSESSMENT METHODOLOGY 9
E
. ASSESSMENT RANGE FORMULA 12
IV. DISTRICT BUDGET1
3 A. DESCRIPTION OF BUDGET ITEMS 13
B. PROPOSED BUDGET FISCAL YEAR 2023/2024 17
C. HISTORICAL RATES 18
V.DISTRICT DIAGRAM1
9 VI. 2023/2024 ASSESSMENT ROLL 20

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I. EXECUTIVE SUMMARY
A. INTRODUCTION
The City of El Centro (“City”) created the Legacy Ranch Landscaping and Lighting District (“District”) in order to provide for the ongoing maintenance, operation and servicing of park, certain perimeter landscaping, off-site landscaping improvements, and street lighting improvements installed in connection with development of properties within the District. This District provides the financial mechanism (annual assessments) by which the ongoing operation and maintenance of these improvements are funded. The District was formed in 2007 and annual assessments are levied pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (“1972 Act”) and in compliance with the substantive and procedural requirements of the “California State Constitution” Article XIIID (“Article XIIID”).

This Engineer’s Annual Levy Report (“Report”) describes the District and the proposed assessments for Fiscal Year 2023/2024. The annual budget for the maintenance and operation of the improvements is based on estimated expenses for the upcoming Fiscal Year. Parcels within the District are assessed proportionately for only those improvements and services that are a special benefit.

The District, boundaries, improvements and services, method of apportionment and assessments described in this Report are based on current development and improvement plans including direct expenditures, incidental expenses, and reserves associated with the maintenance and servicing of the improvements.

These detailed plans and specifications approved by the City are made part of this report by reference.

The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessment Number by the Imperial County Assessor’s Office.

The Imperial County Auditor/Controller uses Assessment Numbers and specific Fund Numbers to identify properties assessed on the tax roll for special district benefit assessments.

Following consideration of public comments and written protests at a noticed Public Hearing, the City Council may confirm the Report as submitted or amended and order the levy and collection of assessments for Fiscal Year 2023/2024 pursuant to the 1972 Act. The assessment information approved will be submitted to the County Auditor/Controller and included on the property tax roll for each benefiting parcel. The rates will be calculated during Fiscal Year 2022/2023 for Fiscal Year 2023/2024, and as approved will be submitted to the

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Imperial County Auditor/Controller to be included on the property tax roll for each parcel for Fiscal Year 2023/2024.

II. PLANS AND SPECIFICATIONS
A. DESCRIPTION OF THE DISTRICT
The District consists of all lots, parcels and subdivisions of land located in the development area described below:
 Legacy Ranch. The District encompasses an area of land of approximately thirty-seven acres (37 acres) in size. It is bordered on the east side by Farnsworth Road and on the west side by Third Street and is located between W. Dannenberg Road to the north and W. McCabe Road to the south. The location and borders of the District can be seen in section V of this Report.

The District includes:
 143 single-family residential lots, and
 A 1.5-acre community park which is located wholly within the residential subdivision of the District and is to be dedicated to the City. The park is adjacent to and south of Charles Elmore Drive and is surrounded by residential lots of the District on its three other sides.

B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT
As applicable or may be applicable to this District, the 1972 Act defines improvements to mean one or any combination of the following:
 The installation or planting of landscaping.
 The installation or construction of statuary, fountains, and other ornamental structures and facilities.
 The installation or construction of public lighting facilities.  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, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities.
 The maintenance or servicing, or both, of any of the foregoing.

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 The acquisition of any existing improvement otherwise authorized pursuant to this section.

Incidental expenses associated with the improvements including, but not limited to:
 The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
 The costs of printing, advertising, and the publishing, posting and mailing of notices;
 Compensation payable to the County for collection of assessments;  Compensation of any engineer or attorney employed to render services;  Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
 Any expenses incidental to the issuance of bonds or notes pursuant to Section 22662.5.
 Costs associated with any elections held for the approval of a new or increased assessment.

The 1972 Act defines "Maintain" or "Maintenance" to mean furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including:
 Repair, removal, or replacement of all or any part of any improvement.  Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury.
 The removal of trimmings, rubbish, debris, and other solid waste.  The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.

C. DESCRIPTION OF IMPROVEMENTS AND SERVICES
The purpose of this District is to ensure the ongoing maintenance, operation and servicing of park, landscaping, and lighting improvements established or installed in connection with development of properties within the District. The improvements to be maintained and funded through the District assessments are generally described as:

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Park Maintenance
 Park landscaping including trees, vegetation, irrigation systems and hardscape improvements located within the park which is to be dedicated to the City for maintenance;
 Grass field for open play;
 Playground equipment including a tot lot with a shade structure;  Pavilion for picnic area;
 Covered picnic area with picnic tables;
 Masonry including a park monument and a flagpole;
 Furnishings including a water fountain, benches and trash receptacles;  Security lighting throughout the park;
 Approximately 49,000 square feet of turf grass including a grass field of approximately 35,000 square feet inside of the park walk and 15,000 square feet outside of the park walk for open play;
 Trees of assorted varieties of approximately 24” box size;  Ornamental shrubs of approximately 5-gallon size;
 Ornamental vines of approximately 5-gallon size;
 Meandering concrete park walks along the perimeter of the park including concrete under pavilions, benches and memorial plaza;
 Concrete mow curbs;
 A tot lot with a shade structure and playground equipment;  A covered picnic area including picnic tables;
 A memorial park monument sign with a plaque on the north side of the park; and a flagpole;
 Water fountains;
 Park benches; and
 Trash receptacles; and
 All appurtenant facilities, equipment, materials and utilities related to the aforementioned improvements.

All parcels within the District are served by the park and can utilize the open entrance areas from Charles Elmore Drive.

Landscape Improvements
The landscaping improvements may include, but are not limited to, all landscaping material and facilities that benefit the properties within the District.

These improvements include turf, ground cover, shrubs, trees, plants, irrigation

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and drainage systems, ornamental lighting structures, entryway monuments, and associated appurtenant facilities located within the street right-of-ways and public areas including streetscape areas surrounding the development and at an off-site improvements location (retention basin) on the northeast corner of the Countryside North development. The following is a description of the landscape improvements:
 Perimeter landscape improvements along Farnsworth Lane frontage, consisting of trees no less than 24” box in size; planting areas of assorted shrubs, vines and groundcover of approximately 12,000 square feet, and turf of approximately 48,000 square feet. These improvements include those associated with landscaping for an Imperial Irrigation District easement located alongside Farnsworth Lane, on the eastern boundary of the development.
 Perimeter landscape improvements along Third Street frontage, consisting of trees no less than 24” box in size; planting areas of assorted shrubs, vines and groundcover of approximately 12,000 square feet; and turf of approximately 4,000 square feet.
 Perimeter landscape improvements along Valor Lane close to the main entry into the development, consisting of trees and planting areas of assorted shrubs, vines and groundcover of approximately 2,000 square feet.
 Off-site landscape maintenance for the 5,600 of retention basin landscaping that the development benefits from includes but is not limited to trash removal, weed clearing and other necessary landscape maintenance within the basin.

Public Street Lighting Improvements
The street lighting improvements may include but are not limited to electrical energy, lighting fixtures, poles, meters, conduits, electrical cable and associated appurtenant facilities associated with and located within the street right-of-ways and public areas surrounding the development:
 All public street lighting within the residential subdivision; which includes approximately 30 street-lights, including one close to the northwest corner of the park.
 Security lighting throughout the park.
 Public street lighting, traffic signals and other public lighting facilities on the streets surrounding or adjacent to the development and other public areas associated or necessary for development of properties within the District.

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III. METHOD OF APPORTIONMENT
A. 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 formula used for calculating assessments reflects the composition of the parcels, and the improvements and services provided, to fairly apportion the costs based on estimated benefit to each parcel.

In addition, pursuant to the Constitution, Article XIIID, Section 4, a parcel’s assessment may not exceed the reasonable cost of the proportional special benefit conferred on that parcel and provides that only special benefits may be assessed.

B. PROPOSITION 218 BENEFIT ANALYSIS
In conjunction with the provisions of the 1972 Act, the California Constitution Article XIIID addresses several key criteria for the levy of assessments, notably:

Article XIIID Section 2d defines District as follows:
“District means an area determined by an agency to contain all parcels which will receive a special benefit from a proposed public improvement or property-related service”;
Article XIIID Section 2i defines Special Benefit as follows:
“Special benefit” means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large.

General enhancement of property value does not constitute “special benefit.” Article XIIID Section 4a defines proportional special benefit assessments as follows:

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“An agency which proposes to levy an assessment shall identify all parcels which will have a special benefit conferred upon them and upon which an assessment will be imposed. The proportionate special benefit derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel.” This District was formed to establish and provide for the improvements that enhance the presentation of the surrounding properties and developments.

These improvements will directly benefit the parcels to be assessed within the District. The assessments and method of apportionment is based on the premise that the assessments will be used to construct and install landscape and lighting improvements within the existing Legacy Ranch District as well as provide for the annual maintenance of those improvements, and the assessment revenues generated by District will be used solely for such purposes.

The costs of the improvements have been identified and allocated to properties within the District based on special benefit. The improvements to be provided by this District and for which properties will be assessed have been identified as an essential component and local amenity that provides a direct reflection and extension of the properties within the District which the property owners and residents have expressed a high level of support.

The method of apportionment (method of assessment) set forth in the Report is based on the premise that each assessed property receives special benefits from the landscape and lighting improvements within the District, and the assessment obligation for each parcel reflects that parcel’s proportional special benefits as compared to other properties that receive special benefits.

To identify and determine the proportional special benefit to each parcel within the District, it is necessary to consider the entire scope of the improvements provided as well as the properties that benefit from those improvements. The improvements and the associated costs described in this Report, have been carefully reviewed and have been identified and allocated based on a benefit rationale and calculations that proportionally allocate the net cost of only those improvements determined to be of special benefit to properties within the District.

The various public improvements and the associated costs have been identified as either “general benefit” (not assessed) or “special benefit”.

C. SPECIAL BENEFIT ANALYSIS
Each of the improvements, the associated costs and assessments have been carefully reviewed, identified and allocated based on special benefit pursuant to the provisions of the Constitution and 1972 Act. The improvements associated

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with this District 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 proposed development plans. 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 of direct and special benefit to the properties.

The method of apportionment (method of assessment) is based on the premise that each assessed parcel within the District receives benefit from the improvements. The desirability and security of properties is enhanced by the presence of street lighting and well-maintained landscaping in close proximity to those properties.

The special benefits associated with all landscaping 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 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 parks 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; and  Enhanced environmental quality of the parcels by moderating temperatures, providing oxygenation and attenuating noise.

The special benefits of street lighting 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 and streets;

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 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; and
 Improved traffic circulation and reduced nighttime accidents and personal property loss.

The preceding special benefits contribute to a specific enhancement and desirability of each of the assessed parcels within the District.

Although the improvements include public easements, right-of-ways, streets and other amenities available or visible to the public at large, the construction and installation of these improvements are only necessary for the development of properties within the District and are not required nor necessarily desired by any properties or developments outside the District boundary. Therefore, any public access or use of the improvements by others is incidental and there is no measurable general benefit to properties outside the District or to the public at large.

D. ASSESSMENT METHODOLOGY
The method of apportionment for the District calculates the receipt of special benefit from the respective improvements based on the actual and use of the parcels within the District. The special benefit received by each lot or parcel is equated to the overall land use of the parcel based on the parcel’s actual land use or proposed planned development and is reliant upon the special benefit received from the improvements planned within the District. The development is a Single Family Residential development and it has been determined that all residential parcels benefit equally from the improvements.

Equivalent Benefit Units:

To assess benefits equitably, it is necessary to relate each property’s proportional special benefits to the special benefits of all other properties within the District. The Equivalent Benefit Unit method of assessment apportionment uses the single-family home site as the basic unit of assessment. A single-family home site equals one Equivalent Benefit Unit (EBU). All other land uses are converted to EBUs 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.

The EBU method of apportioning special benefits is typically seen as an appropriate and equitable assessment methodology for districts formed under the

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1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development.

EBU Application by Land Use:

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 all other land use types are compared and weighted against (i.e. Equivalent Benefit Unit or EBU).

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 is assessed 1.0 EBU per dwelling unit.

Planned-Residential Development: This land use is defined as any property not fully subdivided with a specific number of proposed residential lots or dwelling units to be developed on the parcel. This land use type is assessed at 1.0 EBU per planned (proposed) residential lot or dwelling unit.

Vacant Single-Family Residential: This land use is defined as property currently zoned for single-family detached residential development, but a tentative or final tract map has not been submitted and/or approved. This land use is assessed at 0.5 EBU per parcel.

Vacant Multi-Family Residential: This land use is defined as property currently zoned for multi-family residential development, but a tentative or final tract map has not been submitted and/or approved. This land use is assessed at 0.5 EBU per parcel.

Vacant Commercial: This land use is defined as property currently zoned for commercial use, but not specifically identified as commercial property. This land use is assessed at 1.0 EBU per acre. Parcels less than 1 acre are assigned a minimum of 1.0 EBU. Parcels over 50 acres are assigned a maximum of 50 EBU.

Developed Commercial: This land use is defined as property developed for either commercial or industrial use. This land use type is assessed at 4.0 EBU per gross acre. Parcels less than 0.25 acres are assigned a minimum of 1.0 EBU and there is no maximum acreage cap, as is the case with Vacant Commercial Property.

Recreational or Limited Commercial Use: This land use is defined as property used for recreational or commercial use that is not part of the improvements provided by the District. This land use classification may include, but is not limited to, golf courses, commercial parking lots or commercial properties where less than ten percent of the total acreage has been developed. This land use is assessed at 2.0 EBU per acre. Similar to Commercial properties, there is no

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maximum acreage cap for this land use but parcels less than 0.5 acres are assigned a minimum 1.0 EBU.

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, open space areas and right-of-ways including greenbelts and parkways; utility right-of-ways; common areas, sliver parcels and bifurcated lots or any other property that cannot be developed; park properties and other publicly owned properties that are part of the District improvements or that have little or no improvement value.

These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment.

The following table provides a listing of land use types, land use code designations, the Equivalent Benefit Unit factor applied to that land use type, and the multiplying factor used to calculate each parcel’s individual EBU.

The benefit formula applied to parcels within the District is based on the preceding Equivalent Benefit Unit (EBU) table. Each parcel's EBU correlates the parcel’s special benefit received as compared to all other parcels benefiting from the improvements.

The following formula is used to calculate each parcel’s EBU (proportional benefit).

Land Use Codes and Equivalent Benefit Units
Property Type Land Use
Code
Equivalent
Benefit
Unit
Multiplier
Single-Family Residential SFR 1.0 Lot/Parcel
Multi-Family Residential MFR 1.0 Dwelling Unit
Planned Residential Development PRD 1.0 Planned Residential Lot or Dwelling Unit Vacant Single-Family Residential SFV 0.5 Parcel
Vacant Multi-Family Residential MFV 0.5 Parcel
Vacant Commercial CMV 1.0 Acreage
Developed Commercial COM 4.0 Acreage
Recreational or Limited Commercial Use REC 2.0 Acreage
Exempt XMT 0.0 Parcel
The total number of Equivalent Benefit Units (EBUs) is the sum of all individual EBUs applied to parcels that receive a special benefit from the improvement. An assessment amount per EBU (Rate) for each improvement is established by taking the total cost of the improvement and dividing that amount by the total number of EBUs of all parcels benefiting from the improvement. This Rate is then applied back to each parcel’s individual EBU to determine the parcel’s proportionate benefit and assessment obligation for that improvement.

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Total Balance to Levy / Total EBU = Levy per EBU
Levy per EBU x Parcel EBU = Parcel Levy Amount
The total number of EBUs for the development within the District is 143.

E. 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, balloting of property owners is required pursuant to the Constitution Article XIIID Section 4. The property owner ballots include an Assessment to be approved, as well as the approval of an assessment range formula.

The Maximum Assessment is equal to the initial Assessment approved by property owners adjusted annually by the percentage increase in the local Consumer Price Index (CPI) in the San Diego-Carlsbad area for All Urban Consumers from January to January. For Fiscal Year 2023/2024, the percentage increase of the local CPI is 6.45%.

Beginning in the second fiscal year of the District (Fiscal Year 2008/2009) and each fiscal year thereafter, the Maximum Assessment will be recalculated and a new Maximum Assessment established.

The Maximum Assessment is adjusted annually and is calculated independent of the District’s annual budget and proposed annual assessment. Any proposed annual assessment (rate per EBU) less than or equal to this Maximum Assessment is not considered an increased assessment, even if the proposed assessment is much greater than the assessment applied in the prior fiscal year.

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Packet Pg. 371 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the 2023/2024 Legacy Ranch LLD Page 13 of 20
IV. DISTRICT BUDGET
A. DESCRIPTION OF BUDGET ITEMS
The following is a brief description of the costs associated with the improvements and services funded through the District.

DIRECT COSTS:

Landscaping Maintenance Costs/Labor — Includes all regularly scheduled labor and general maintenance cost including all wages, salaries, benefits and contract services required to properly maintain and ensure the satisfactory condition of all improvements and appurtenant facilities.

Landscaping Supplies— Includes all, materials, supplies, (e.g. pipe, fertilizer, insecticides, fuel, cleaning material etc.), and equipment, (e.g. communication, small tools, rentals, machinery etc.), required to operate, maintain and ensure the satisfactory condition of all improvements and appurtenant facilities.

Utilities — The furnishing of water and electricity required for the operation and maintenance of the improvements and facilities.

Miscellaneous Expenses — This item includes repairs to the improvements and facilities that are not included in the yearly maintenance costs. This may include repair of damaged amenities due to vandalism, storms, etc. Also, included may be planned upgrades or replacements of the improvements and equipment that provide a direct benefit to the District.

ADMINISTRATION COSTS:

District Administration — May include all or a portion of the administrative and professional service costs associated with the coordination of District services and operations including response to public concerns and education and procedures associated with the levy and collection of assessments. This budget item also includes the costs of contracting with professionals to provide administrative, legal or engineering services specific to the District.

County Administration Fee — This is the cost to the District for the County to collect assessments on the property tax bills.

LEVY BREAKDOWN:

Reserve Fund Collection/ (Transfer) — The 1972 Act pursuant to Chapter 1, Article 4 Section 22569 (a), provides for a District Reserve

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Fund. This Reserve Fund provides for the collection of funds to operate the District from the time period of July 1 (beginning of the Fiscal Year) through December 10th or when the County provides the City with the first installment of assessments collected from the property tax bills (typically January or February). Negative amounts shown for this budget item represent transfers from the Reserve Fund that reduces the Balance to Levy. Maintaining a fully funded Reserve eliminates the need for the City to transfer funds from non-District accounts to pay for operational expenses during the first half of the fiscal year and also provides the District with sufficient funds to address any unforeseen or unusual expenditures that may occur during the year.

Capital Improvement Fund Collection/(Transfer) – The 1972 Act pursuant to Chapter 5, beginning with Section 22660, provides for the District to establish by resolution an assessment installment plan for proposed improvements and expenditures that are greater than can be conveniently raised from a single annual assessment. Depending on the nature of the planned improvements, the collection of funds necessary to complete the project may be collected over a period up to thirty years, but typically not more than five years. The funds collected shall be accumulated in a separate improvement fund commonly referred to as a Capital Improvement Fund (CIF) and are not considered part of the regular maintenance of the improvements or the Reserve Fund.

Because the money accumulated in the Capital Improvement Fund is for a specific planned project (budgeted separately), the amount shown for this item in the annual budget will typically be a positive number representing the amount being collected that year as part of the Balance to Levy. A negative number (Contribution) should only occur after the project has been completed and excess funds are being credited back to the District’s regular accounts. The actual fund balances and expenditures for Capital Improvements are clearly identified under the Fund Balance Information section of the Budget.

General Fund Replenishment/(Transfer) — This item represents repayments of amounts that had been temporarily advanced to the District from other revenue sources (usually the General Fund) or represents funds being loaned to the District for the current Fiscal Year that must be repaid by future assessments. Similar to the Reserve Collection/ (Contribution) line item, this item directly impacts the Reserve Fund Balances either positively or negatively.

Repayments are shown as a positive number and represent additional money being collected in the current annual assessment to repay a prior loan. These loans are typically for capital improvement expenditures or unforeseen expenditures incurred in prior years and Reserve Fund monies

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were not sufficient to cover the expenses. To ensure the ongoing operation and maintenance of the improvements, the City may advance funds to the District as a temporary loan to meet current expenditures and collect repayment of the loan through the annual assessments the following year or possibly over several years. Generally, all available Reserve Funds are exhausted before a temporary loan is advanced to the District and the Beginning Reserve Fund Balance will be a negative number indicating the loan amount is still outstanding. A loan for the current fiscal year (Contribution) is shown as a negative number. If the District is expected to incur significant expenditures in the current fiscal year for special services or capital improvements (upgrades or refurbishing of the improvements) and the proposed assessment revenues (annual assessments) and/or available Reserve Funds are not sufficient to cover the expenditures, the City may advance funds to the District as a temporary loan to meet the proposed expenditures. Generally, all available Reserve Funds must be exhausted before a temporary loan is advanced to the District and any funds temporarily loaned in excess of the available Reserve Funds will be reflected as a negative Ending Reserve Fund Balance. This negative Reserve Fund Balance will be repaid and replenished through future assessment revenues.

Balance to Levy — This is the total amount to be levied and collected through assessments for the current fiscal year. The Balance to Levy represents the sum of Total Direct and Administration Costs, the Reserve Collection/ (Contribution), Replenishment/ (Contribution), and Other Revenue Sources.

DISTRICT STATISTICS:

Total Parcels — The total number of parcels within the District.

Total Parcels Levied — The total number of parcels within the District that are assessed. Non-assessable lots or parcels include properties that have been determined to receive no special benefits from the improvements and may include land principally encumbered by public or other right-of-ways or easements, common areas, and/or parcels that have restricted use or development potential.

Total Equivalent Benefit Units — The typical single-family residential parcel is assigned one (1.0) Equivalent Benefit Unit. Every other land-use or property type is converted to EBU’s 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 typical single-family residential parcel.

Levy per EBU — This amount represents the assessment rate being applied to each parcel. The Levy per EBU is the result of dividing the total

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Balance to Levy, by the sum of the Total Equivalent Benefit Units to be assessed.

RESERVE INFORMATION:

Reserve Balance — The Reserve Balance eliminates the need for the City to transfer funds from non-District accounts to pay for District charges during the first half of the fiscal year. The Reserve Balance allows the District to retain sufficient funds to operate the District from the time period of July 1 (beginning of the Fiscal Year) through January or February (when the County provides the City with the first installment of assessments collected from the property tax bills). Additional funds may be collected each year to ensure adequate operating funds are available or the funds may be used to reduce the Balance to Levy. Using reserve amounts in this way allows the Levy rate to remain fairly constant, although District costs may fluctuate. The Previous Reserve Balance reflects the projected funds available at the beginning of the current fiscal year (based on the projected revenues and expenses from the prior fiscal year). The Estimated Ending Reserve Balance reflects the projected funds that are anticipated at the end of the current fiscal year (assuming all revenues and expenditures occur as budgeted).

The budget to establish the proposed maximum assessment and the proposed assessment for fiscal year 2023/2024 is shown on the next page. As shown in the budget, the adjusted Maximum Assessment Rate per EBU is $598.01. For each fiscal year, the actual proposed assessment may be less than the adjusted maximum assessment.

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Packet Pg. 375 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the 2023/2024 Legacy Ranch LLD Page 17 of 20
B. PROPOSED BUDGET FISCAL YEAR 2023/2024
City of El Centro
Legacy Ranch Landscaping and Lighting Assessment
Fiscal Year 2023/2024
Fund Number: 92310
Levy Components Special Benefit Costs

ANNUAL MAINTENANCE (DIRECT COSTS)
Landscaping $27,000
Landscaping Supplies 3,000
Utilities Water 10,000
Utilities Electricity 2,500
Miscellaneous Expenses 3,000
Parks & Recreation Equipment 0
TOTAL LANDSCAPE AND LIGHTING MAINTENANCE $45,500

ADMINISTRATION COSTS
District Administration $3,500
Professional Fees for Administration 4,000
TOTAL ADMIN $7,500
TOTAL COSTS AND EXPENSES $53,000

LEVY ADJUSTMENTS
Reserve Fund Collection/ (Transfer) $12,636
Interest Income Credit (200)
Capital Improvement Fund Collection/(Transfer) 0
General Fund Replenishment/(Transfer) 0
TOTAL ADJUSTMENTS $12,436
BALANCE TO LEVY $65,036

ADDITIONAL INFORMATION
Total Parcels 146
Total Parcels Levied 143
Total Equivalent Benefit Units 143.00
Levy per EBU $454.80
Maximum Assessment per EBU (Prior Fiscal Year) $561.80
Maximum Assessment per EBU (Current Fiscal Year) $598.01 Percent Change 6.45%

RESERVE INFORMATION
Beginning Fund Balance 7/01/2023 $8,607
Collection/(Transfer) 12,636
Estimated Reserve Balance 6/30/2024 $20,843

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C. HISTORICAL RATES
Fiscal Year CPI Applied Rate Max Rate
2007/08 N/A $391.16 $392.00
2008/09 2.29% $400.97 $400.97
2009/10 3.85% $416.42 $416.43
2010/11 0.00% $416.42 $416.43
2011/12 1.32% $416.42 $421.92
2012/13 3.03% $354.55 $434.71
2013/14 1.60% $50.00 $441.68
2014/15 1.31% $50.00 $447.45
2015/16 1.85% $50.00 $455.74
2016/17 1.62% $50.00 $463.12
2017/18 1.97% $50.00 $472.22
2018/19 3.01% $49.83 $486.46
2019/20 2.58% $49.83 $498.99
2020/21 2.30% $173.36 $510.47
2021/22 1.69% $173.26 $519.11
2022/23 8.22% $259.88 $561.80
2023/24 6.45% $454.80 $598.01

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V. DISTRICT DIAGRAM
The Diagram for the Legacy Ranch Landscaping and Lighting District is on file with the City Clerk and by reference herein is made part of this Report. The parcels within the Legacy Ranch Landscaping and Lighting District consist of all lots, parcels and subdivisions of land shown on the Imperial Assessor’s parcel maps. The lines and dimensions shown on the County Assessor Parcel maps for the current year are incorporated by reference herein and made part of this Report.

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Packet Pg. 378 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the 2023/2024 Legacy Ranch LLD Page 20 of 20
VI. 2023/2024 ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District shall be the parcel as shown on the Imperial County Secured Roll for the year in which this Report is prepared and reflective of the Assessor’s Parcel Maps. A listing of the current assessor parcels to be assessed within this District along with the assessment amounts is provided in the Assessment Roll on file at the Office of the City Clerk.

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Packet Pg. 379 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the APN Situs Address Land Use EBU Max Assessment Charge
054-671-001-000 298 ROBERT J PORTER DR SFR 1.00 $598.01 $454.80 054-671-002-000 286 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-003-000 274 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-004-000 262 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-005-000 250 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-006-000 238 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-007-000 226 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-008-000 214 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-009-000 202 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-010-000 198 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-011-000 186 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-012-000 174 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-013-000 162 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-014-000 150 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-015-000 138 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-016-000 126 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-017-000 114 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-018-000 102 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-671-019-000 3801 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-020-000 3813 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-021-000 3827 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-022-000 3841 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-023-000 3853 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-024-000 3865 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-025-000 3877 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-671-026-000 3889 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-672-001-000 297 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-002-000 285 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-003-000 273 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-004-000 261 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-005-000 249 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-006-000 237 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-007-000 225 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-008-000 213 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-009-000 201 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-010-000 197 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-011-000 185 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-012-000 173 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-013-000 161 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-014-000 149 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-015-000 137 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-016-000 125 ROBERT J PORTER DR SFR 1.00 598.01 454.80 054-672-017-000 126 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-018-000 138 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-019-000 150 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-020-000 162 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-021-000 174 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-022-000 186 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-023-000 198 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-024-000 202 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-025-000 214 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-026-000 226 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-027-000 238 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-028-000 250 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-029-000 262 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-030-000 274 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-672-031-000 286 CHARLES ELMORE DR SFR 1.00 598.01 454.80 City of El Centro
Legacy Ranch Landscaping and Lighting Assessment
Preliminary Assessment Roll
Fiscal Year 2023/24
Willdan Financial Services Page 1 of 3

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Packet Pg. 380 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the APN Situs Address Land Use EBU Max Assessment Charge
City of El Centro
Legacy Ranch Landscaping and Lighting Assessment
Preliminary Assessment Roll
Fiscal Year 2023/24
054-672-032-000 298 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-001-000 297 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-002-000 285 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-003-000 273 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-004-000 261 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-005-000 249 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-007-000 197 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-008-000 185 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-009-000 173 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-010-000 161 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-011-000 149 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-012-000 137 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-013-000 125 CHARLES ELMORE DR SFR 1.00 598.01 454.80 054-673-014-000 3900 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-673-015-000 3912 RUPERT FRANKS DR SFR 1.00 598.01 454.80 054-673-016-000 3924 RUPERT FRANKS DR SFR 1.00 598.01 454.80 054-673-017-000 3936 RUPERT FRANKS DR SFR 1.00 598.01 454.80 054-673-018-000 3948 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-673-019-000 3947 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-020-000 3935 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-021-000 3923 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-022-000 3911 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-023-000 3900 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-024-000 3912 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-025-000 3924 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-026-000 3936 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-027-000 3948 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-673-028-000 3947 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-029-000 3935 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-030-000 3923 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-031-000 3924 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-032-000 3936 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-033-000 3948 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-673-034-000 3947 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-035-000 3935 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-036-000 3923 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-037-000 3911 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-038-000 3900 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-039-000 3912 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-040-000 3924 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-041-000 3936 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-673-042-000 3948 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-001-000 3952 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-002-000 3964 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-003-000 3976 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-004-000 3988 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-005-000 3998 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-006-000 3999 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-007-000 3989 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-008-000 3977 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-009-000 3965 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-010-000 3953 PAUL ROBINSON CT SFR 1.00 598.01 454.80 054-674-011-000 3952 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-012-000 3964 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-013-000 3976 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-014-000 3988 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-015-000 3998 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 Willdan Financial Services Page 2 of 3

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Packet Pg. 381 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the APN Situs Address Land Use EBU Max Assessment Charge
City of El Centro
Legacy Ranch Landscaping and Lighting Assessment
Preliminary Assessment Roll
Fiscal Year 2023/24
054-674-016-000 3999 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-017-000 3989 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-018-000 3977 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-019-000 3965 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-020-000 3953 ARTHUR HENNESAY CT SFR 1.00 598.01 454.80 054-674-021-000 3952 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-022-000 3964 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-023-000 3976 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-024-000 3988 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-025-000 3998 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-026-000 3999 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-027-000 3989 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-028-000 3977 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-029-000 3965 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-030-000 3953 JOHN VICKERS CT SFR 1.00 598.01 454.80 054-674-031-000 3952 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-032-000 3964 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-033-000 3976 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-034-000 3988 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-035-000 3998 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-038-000 3977 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-039-000 3965 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-040-000 3953 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-041-000 3941 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-042-000 3927 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-043-000 3913 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-044-000 3901 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-046-000 3999 RUBERT FRANKS DR SFR 1.00 598.01 454.80 054-674-047-000 3989 RUBERT FRANKS DR SFR 1.00 598.01 454.80 Total 143.00 $85,515.74 $65,036.40
Total Parcels 143
Willdan Financial Services Page 3 of 3

15.b
Packet Pg. 382 Attachment: Legacy Ranch LL&D (5895 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Resolution
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
RESOLUTION (ID # 5894) DOC ID: 5894
Adopt Resolution Declaring its Intention to Levy and Collect Annual Assessments related to the Legacy Ranch
Landscaping & Lighting District
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution 23- , A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO, CALIFORNIA, DECLARING ITS INTENTION TO LEVY AND COLLECT

ANNUAL ASSESSMENTS RELATED TO THE EL CENTRO LEGACY RANCH LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024 FISCAL IMPACT:

Will be the first step in determining the coming year’s assessment for The District.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal # 1 - Financial & Governance Stability & Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Yes
BACKGROUND:

Staff recommends Adopting Resolution 23- , A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA, DECLARING ITS

INTENTION TO LEVY AND COLLECT ANNUAL ASSESSMENTS RELATED TO THE

EL CENTRO LEGACY RANCH LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024
ATTACHMENTS:
• Legacy Ranch LLD - Intent Meeting - 04-18-2023 (PDF)
16 Packet Pg. 383
03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD
IntentiontoLevyandCollectionofAssmts 1
RESOLUTION NO. 23-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO, CALIFORNIA, DECLARING ITS INTENTION TO

LEVY AND COLLECT ANNUAL ASSESSMENTS RELATED

TO THE EL CENTRO LEGACY RANCH LANDSCAPING AND
LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024
WHEREAS, the City Council of the City of El Centro, California (the “City” and “City Council”), 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 (the “Act”) and by previous resolution, initiated proceedings for the Legacy Ranch Landscaping and Lighting District (“the District”) to levy and collect annual assessments to pay for the operation, maintenance and servicing of landscaping, lighting and all appurtenant facilities related thereto for Fiscal Year 2023- 2024; and
WHEREAS, the City Council desires to levy and collect the annual assessments against lots and parcels of land within the District to pay the cost and expenses related to the improvements described in Section 3 of this resolution; and
WHEREAS, the Engineer selected by the City Council has prepared and filed with the City Clerk for the City a report in connection with the District and levy of assessments for Fiscal Year 2023-2024 (beginning July 1, 2023 and ending June 30, 2024) in accordance with Chapter 1, Article 4 of the Act, and the Council did by previous resolution preliminarily approve such report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

1. The City Council hereby declares that it is its intention to seek the annual levy of the District in accordance with Chapter 3, Section 22624, over and including the land within the District boundary, and to levy and collect assessments on all such land to pay the costs of the maintenance and servicing of the landscaping improvements and all appurtenant facilities and operations related thereto for Fiscal Year 2023-2024. The territory included within the District is generally described in section 2 of this resolution and is designated as Legacy Ranch Landscaping and Lighting District.

2. The boundaries of the District are bordered on the east side by Farnsworth Road and on the west side by Third Street and is located between West Danenberg Drive to the north and West McCabe Road to the south.

3. The landscaping improvements may include, but are not limited to all landscaping material and facilities within the District. These improvements include turf, ground cover, shrubs, trees, plants, irrigation and drainage systems, ornamental lighting structures, masonry walls

16.a
Packet Pg. 384 Attachment: Legacy Ranch LLD - Intent Meeting - 04-18-2023 (5894 : Adopt Resolution Declaring its Intention to Levy and Collect Annual 03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD
IntentiontoLevyandCollectionofAssmts 2
or other fencing, entryway monuments, and associated appurtenant facilities located within the streetscape (and perimeter landscaping) surrounding the developments. The street lighting improvements may include but are not limited to electrical energy, lighting fixtures, poles, meters, conduits, electrical cable and associated appurtenant facilities. For specific improvements reference Fiscal Year 2023-2024 Engineer’s Report.

4. The proposed assessments for the District are outlined in the Engineer’s Annual Levy Report. The report details the proposed assessments necessary to provide for the annual operation, administration, services and maintenance of the improvements described in section 4 of this resolution and by reference said report is made part of this resolution.

5. The District and the associated assessments as outlined in the Engineer’s Report are in compliance with the provisions of California Constitution Article XIIID.

6. The City Council hereby declares its intention to conduct a public hearing concerning the District and the levy of assessments for the improvements related thereto in accordance with Chapter 3, Section 22626 of the Act.

7. Notice is hereby given that a public hearing on these matters will be held by the City Council on Tuesday, May 16, 2023, at 6:00 p.m. or as soon thereafter as feasible at the El Centro Council Chambers, 1275 Main Street in El Centro.

8. The City Clerk shall cause notice to be given of the time and place of the public hearing by causing the publishing of this resolution once in the local paper not less than ten (10) days before the date of the hearing and by posting a copy of this resolution on the official bulletin board customarily used by the City Council for the posting of notices.

9. Any interested person may file a written protest with the City Clerk prior to the conclusion of the hearing, or having previously filed protest, may file a written withdrawal of that protest.

A written protest shall state all grounds of objection and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the public hearing, all interested persons shall be afforded the opportunity to hear and be heard.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By: ____________________________
Martha Cardenas-Singh, Mayor

16.a
Packet Pg. 385 Attachment: Legacy Ranch LLD - Intent Meeting - 04-18-2023 (5894 : Adopt Resolution Declaring its Intention to Levy and Collect Annual 03/2023/cdz/A23-0043/Reso/ECLegacyRanchLLD
IntentiontoLevyandCollectionofAssmts 3
ATTEST:

By: ___________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

OFFICE OF THE CITY ATTORNEY
By: ___________________________
Elizabeth L. Martyn, City Attorney

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

AYES:

NOES:

ABSENT:

ABSTAINED:

By___________________________
Norma Wyles, City Clerk

16.a
Packet Pg. 386 Attachment: Legacy Ranch LLD - Intent Meeting - 04-18-2023 (5894 : Adopt Resolution Declaring its Intention to Levy and Collect Annual City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Resolution
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
RESOLUTION (ID # 5899) DOC ID: 5899
Adopt Resolution to initiate the Proceedings for the Levy and collection of assessments for the Town Center Landscaping & Lighting District
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution No. 23- , A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF EL CENTRO INITIATING PROCEEDINGS FOR THE LEVY AND COLLECTION OF

ASSESSMENTS FOR THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024 AND ORDERING THE

PREPARATION OF AN ENGINEER'S REPORT IN CONNECTION THEREWITH FISCAL IMPACT:

Will be the first step in determining the coming year’s assessment for The District.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal # 1 - Financial & Governance Stability & Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Yes
BACKGROUND:

On an annual basis the El Centro Town Center Landscape and Lighting District determines the levy and collection of assessments needed for the coming year. This is based on an Engineer’s Report for the District. Prior to holding a public meeting on this issue, the items noted in the Resolutions presented to you in this document must be processed
CONCLUSION:

Staff recommends Adoption of Resolution No. 23- , A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF EL CENTRO INITIATING PROCEEDINGS FOR THE

LEVY AND COLLECTION OF ASSESSMENTS FOR THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024

AND ORDERING THE PREPARATION OF AN ENGINEER'S REPORT IN

CONNECTION THEREWITH
17 Packet Pg. 387
Resolution (ID # 5899) Meeting of April 18, 2023
ATTACHMENTS:
• Town Center LLD - Initiating Proceedings - 04-18-2023 (PDF) 17 Packet Pg. 388
03/2023/cdz/A23-0042/Reso/ECTownCenterLLD
InitiationofLevy&CollectionofAssmts
1 RESOLUTION NO. 23-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO INITIATING PROCEEDINGS FOR THE LEVY

AND COLLECTION OF ASSESSMENTS FOR THE EL

CENTRO TOWN CENTER LANDSCAPING AND LIGHTING
DISTRICT FOR FISCAL YEAR 2023-2024 AND ORDERING
THE PREPARATION OF AN ENGINEER’S REPORT IN

CONNECTION THEREWITH
WHEREAS, the City Council of the City of El Centro, California (the “City Council”), 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 (“the Act”), desires to levy and collect annual assessments for the Town Center Landscaping and Lighting District (the “District”) to pay for the operation, maintenance and servicing of the landscaping improvements and all appurtenant facilities related thereto. The Act provides for the levy of such assessments by the County on behalf of the City pursuant to its Chapter 4, Article 2; 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 Willdan Financial Services as the engineer for the purpose of assisting with the annual levy of the District and to prepare and file an engineer’s report with the City Clerk in accordance with the Act.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

1. That the above recitals are true and correct.

2. That the City Council hereby proposes to levy and collect assessments against the lots and parcels of land within the District to pay for the costs and expenses of the improvements described in section 4 hereof for the fiscal year commencing July 1, 2023 and ending June 30, 2024, pursuant to the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the Streets and Highways Code (the “Act”) and as provided by Article XII D of the California Constitution.

3. That the general location and boundaries of the District are shown on maps on file in the office of the City Clerk, are incorporated herein by reference, and open to public inspection.

4. That the proposed improvements may be briefly described as follows: the operation, maintenance and servicing of street lighting, turf, ground cover, shrubs, trees, plants, irrigation and drainage systems, ornamental lighting structures, masonry walls or other fencing, entryway monuments, street lighting and associated appurtenant facilities located within the streetscape (and perimeter

17.a
Packet Pg. 389 Attachment: Town Center LLD - Initiating Proceedings - 04-18-2023 (5899 : Adopt Resolution to Initiate the Proceedings for the Levy and 03/2023/cdz/A23-0042/Reso/ECTownCenterLLD
InitiationofLevy&CollectionofAssmts
2 landscaping) surrounding the developments. Maintenance means the furnishing of services and materials for the ordinary and usual maintenance, operation and servicing of the street lighting, ornamental structures, landscaping and appurtenant facilities, including repair, removal or replacement of all or part of any of the street lighting, ornamental structures, landscaping or appurtenant facilities. Servicing means the furnishing of electricity for the street lighting and operation of the ornamental structures, landscaping, and appurtenant facilities, and water for the irrigation and control of the landscaping and the maintenance of any of the ornamental structures, landscaping, lighting and appurtenant facilities.

5. That the City Council hereby designates Willdan Financial Services as the Engineer for the purposes of these proceedings and orders the engineer to prepare and file with the City Clerk a written report in accordance with Article XIIID, Section 4 of the California Constitution and Article 4 (commencing with Section 22565) of Chapter 1 of the Act for Fiscal Year 2023-2024 commencing July 1, 2023 and ending June 30, 2024. Such report shall refer to the District by its distinctive designation.

6. That lots or parcels within the District that are owned or used by any county, city, city and county, special district or any other local or regional governmental entity, the State of California or the United States shall be assessed unless the City demonstrates by clear and convincing evidence that such lots or parcels receive no special benefit from the proposed improvements.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By_______________________________
Martha Cardenas-Singh, Mayor
ATTEST:

By _____________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

Office of the City Attorney
By __________________________________
Elizabeth L. Martyn, City Attorney

17.a
Packet Pg. 390 Attachment: Town Center LLD - Initiating Proceedings - 04-18-2023 (5899 : Adopt Resolution to Initiate the Proceedings for the Levy and 03/2023/cdz/A23-0042/Reso/ECTownCenterLLD
InitiationofLevy&CollectionofAssmts
3 STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

AYES:

NOES:

ABSENT:

ABSTAINED:

By ____________________________
Norma Wyles, City Clerk

17.a
Packet Pg. 391 Attachment: Town Center LLD - Initiating Proceedings - 04-18-2023 (5899 : Adopt Resolution to Initiate the Proceedings for the Levy and City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Resolution
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
RESOLUTION (ID # 5898) DOC ID: 5898
Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town Center Landscape & Lighting District
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO, FOR PRELIMINARY APPROVAL OF THE ENGINEER'S ANNUAL LEVY

REPORT REGARDING THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT; AND THE LEVY AND COLLECTION OF ANNUAL ASSESSMENTS RELATED THERETO FOR FISCAL YEAR 2023-2024
FISCAL IMPACT:

Will be the first step in determining the coming year’s assessment for The District.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal # 1 - Financial & Governance Stability & Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Yes
BACKGROUND:

Staff recommends adoption of Resolution No. 23- , RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF EL CENTRO, FOR PRELIMINARY APPROVAL OF THE

ENGINEER'S ANNUAL LEVY REPORT REGARDING THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT; AND THE LEVY AND

COLLECTION OF ANNUAL ASSESSMENTS RELATED THERETO FOR FISCAL YEAR 2023-2024
18 Packet Pg. 392
Resolution (ID # 5898) Meeting of April 18, 2023
ATTACHMENTS:
• Town Center LLD - Engineer's Report - 04-18-2023 (PDF) • Town Center LL&D (PDF)
18 Packet Pg. 393
03/2023/cdz/A23-0042/Reso/ECTownCenterLLD_EngRpt 1
RESOLUTION NO. 23-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL
CENTRO, PRELIMINARILY APPROVING THE ENGINEER’S

ANNUAL LEVY REPORT REGARDING THE EL CENTRO
TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT;

AND THE LEVY AND COLLECTION OF ANNUAL

ASSESSMENTS RELATED THERETO FOR FISCAL YEAR
2023-2024
WHEREAS, the City Council for the City of El Centro, California (“he “City Council”) has, by previous resolution, ordered the preparation of an engineer’s report “the “Report”) regarding the assessment district designated as the Town Center Landscaping and Lighting District (the “District”), and the levy and collection of assessments related thereto for Fiscal Year 2023- 2024, 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 (the “Act”); and WHEREAS, there has now been presented to this City Council the Report as required by Chapter 3, Section 22623 of the Act; and
WHEREAS, the City Council has carefully examined and reviewed the Report as presented and is preliminarily satisfied with the District, the improvements described therein and each of the budget items and documents as set forth therein and is satisfied that the proposed annual assessments, on a preliminary basis, have been assigned 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 the Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

1. That the above recitals are true and correct.

2. That the Report as presented consists of the following:
 A description of improvements;
 A diagram of the District;
 The proposed annual budget for the fiscal year (costs and expenses);  The method of apportionment that details the method of calculating each parcel’s proportional special benefits and annual assessment; and  The District roll containing the levy for each assessor parcel number within the District commencing Fiscal Year 2023-2024.

18.a
Packet Pg. 394 Attachment: Town Center LLD - Engineer's Report - 04-18-2023 (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual 03/2023/cdz/A23-0042/Reso/ECTownCenterLLD_EngRpt 2

3. That the District and the associated assessments as outlined in the Engineer’s Report are in compliance with the provisions of California Constitution Article XIIID.

4. That 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.

5. 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 of the City of El Centro, California held on the day of , 2023.

CITY OF EL CENTRO
By_____________________________
Martha Cardenas-Singh, Mayor
ATTEST:

By_____________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

Office of the City Attorney
By___________________________________
Elizabeth L. Martyn, City Attorney

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

AYES:

NOES:

ABSENT:

ABSTAINED:

By___________________________
Norma Wyles, City Clerk

18.a
Packet Pg. 395 Attachment: Town Center LLD - Engineer's Report - 04-18-2023 (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual

City of El Centro

Town Center
Landscaping and Lighting District

2023/2024 ENGINEER’S REPORT

Intent Meeting: April 18, 2023
Public Hearing: May 16, 2023
27368 Via Industria, Suite 200
Temecula, California 92590
T. 951.587.3500 800.755.6864
F. 951.587.3510 888.326.6864
www.willdan.com

18.b
Packet Pg. 396 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town

ENGINEER'S REPORT AFFIDAVIT

Town Center Landscaping and Lighting District
The District includes the parcels of land within the residential and commercial subdivisions known as
Town Center
City of El Centro
County of Imperial, State of California
This Report identifies the parcels within the District and relevant zones therein including the improvements, budgets, parcels and assessments to be levied for fiscal year 2023/2024, as they existed at the time of the passage of the Resolution of Intention.

Reference is hereby made to the Imperial County Assessor’s maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2023
Willdan Financial Services
Assessment Engineer
On Behalf of the City of El Centro
By: ________________________________
Michelle Laase
Project Manager, District Administration Services
By: ________________________________
Tyrone Peter
P.E. # C 81888

18.b
Packet Pg. 397 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town

18.b
Packet Pg. 398 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town

TABLE OF CONTENTS
INTRODUCTION 1
OVERVIEW 1
BALLOT PROCEEDINGS 2
PART I – PLANS AND SPECIFICATIONS 4
DESCRIPTION OF THE DISTRICT 4
IMPROVEMENTS AND SERVICES 4
STREET LIGHTING 5
LANDSCAPING IMPROVEMENTS 6
ZONES OF BENEFIT (ZONES) 7
ZONE 01 7
ZONE 02 8
ZONE 03 9
ZONE 04 9
PART II – METHOD OF APPORTIONMENT 11
BENEFIT ANALYSIS 11
LEGISLATIVE AUTHORITY 11
PROPOSITION 218 BENEFIT ANALYSIS 11
ASSESSMENT METHODOLOGY 16
EQUIVALENT BENEFIT UNIT APPLICATION 16
EQUIVALENT BENEFIT UNIT SUMMARY 17
PART III –ESTIMATED COST OF THE IMPROVEMENTS 19
CALCULATION OF ASSESSMENTS 19
ASSESSMENT RATES 20
ANNUAL INFLATIONARY ADJUSTMENT (ASSESSMENT RANGE FORMULA) 20 DISTRICT BUDGET 21
PART IV — DISTRICT DIAGRAM 22
PART V — ASSESSMENT ROLL 24

18.b
Packet Pg. 399 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town 2023/2024 Town Center LLD Page 1 of 24

INTRODUCTION

OVERVIEW
Pursuant to the provisions of the Landscape and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, commencing with Section 22500 (the “1972 Act”), and in compliance with the substantive and procedural requirements of Article XIIID of the California State Constitution (the “California Constitution”), the City Council of the City of El Centro, County of Imperial, State of California (the “City”), formed a special benefit assessment district designated as:

Town Center Landscaping and Lighting District
(the “District”), which includes all lots and parcels of land that will receive special benefits from the maintenance, servicing and operation of landscaping and lighting improvements associated with, constructed, and installed in connection with the development of the area known as Town Center. The District was formed in 2016 and annual assessments are levied pursuant to the 1972 Act and in compliance with the substantive and procedural requirements of the “California State Constitution” Article XIIID (“Article XIIID”).

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

18.b
Packet Pg. 400 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town 2023/2024 Town Center LLD Page 2 of 24

BALLOT PROCEEDINGS
In 2016, pursuant to the provisions of Article XIIID, Section 4 of the California Constitution, the City conducted a property owner protest ballot proceeding (referred to as “Ballot Proceeding”) for the proposed levy of new assessments. Tabulation of the ballots indicated that majority protest did not exist for the proposed new assessments and the assessment range formula presented and described therein. One hundred percent of the votes cast were in favor of the new assessments.

Commencing in fiscal year 2017/2018 and each subsequent fiscal year, an annual engineer’s report for the District 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. The City Council will hold a public hearing regarding these matters prior to approving and ordering the levy of assessments for that fiscal year and such public hearing shall be noticed pursuant to the 1972 Act if new or increased assessments are not proposed. If in any fiscal year, the proposed annual assessments for the District exceed the maximum assessments described herein, such an assessment would be considered a new or increased assessment and must be confirmed through a mailed property owner protest ballot proceeding before that new or increased assessment may be imposed.

This Report consists of five (5) parts:

Part I
Plans and Specifications: A description of the District boundaries and the proposed improvements associated with the District. The District is being formed with four zones of benefit (hereafter referred to as “Zones”), which are described in more detail in this section of the Report and applied in Part II (Method of Apportionment). A diagram showing the exterior boundaries of the District and the Zones established therein is attached and incorporated herein under Part IV (District Diagram). The plans for the street light installations and the landscaping improvements for the District are on file with the Public Works Department.

Part II
Method of Apportionment: A discussion of the general and special benefits associated with the overall street lighting and landscaping improvements to be provided within the District (Proposition 218 Benefit Analysis). This Part also includes a determination of the proportional costs of the special benefits and a separation of costs considered to be of general benefit (and therefore not assessed). This section of the Report also outlines the method of calculating each property’s proportional special benefit and annual assessment utilizing a weighted benefit of apportionment known as an Equivalent Benefit Unit.

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Part III
Estimate of Improvement Costs: An estimate of the annual funding required for the annual maintenance, servicing, and operation of the landscaping and lighting improvements within the District and specifically the costs associated with the improvements determined to be of special benefit to parcels within the District. The budget identifies an estimate of anticipated ongoing annual expenses to service, maintain, and operate the landscaping and lighting improvements within the District including, but not limited to, servicing of those improvements and related facilities, utility costs, related incidental expenses and collection of appropriate fund balances as authorized by the 1972 Act. The budget identifies and separates the general benefit costs associated with the improvements (not assessed) to establish the Net Special Benefit Expenses and the maximum assessment rate for each Zone of the District to be approved by the property owners of record in the Ballot Proceeding conducted in connection with the District formation. The maximum assessment rate for each Zone identified in the budget, establishes the initial maximum assessment rates for fiscal year 2023/2024 and shall be adjusted annually by an assessment range formula (inflationary adjust) which is also described in this section of the Report.

Part IV
District Boundary Map: A map showing the boundaries of the District and the Zones therein is provided in this Report and includes all parcels that receive special benefits from the improvements. Parcel identification, the lines and dimensions of each lot, parcel and subdivision of land within the District, are inclusive of all parcels as shown on the Imperial County Assessor's Parcel Maps as they existed at the time this Report was prepared and shall include all subsequent subdivisions, lot-line adjustments or parcel changes therein. Reference is hereby made to the Imperial County Assessor’s maps for a detailed description of the lines and dimensions of each lot and parcel of land within the District.

Part V
Assessment Roll: A listing of the proposed assessment amount for each parcel within the District. The proposed assessment amount for each parcel is based on the parcel’s calculated proportional special benefit as outlined in the method of apportionment and proposed assessment rate established in the District Budget. The assessment amounts for each property represent the maximum assessment amount for fiscal year 2023/2024 (amount balloted) and the proposed assessment amount to be levied and collected on the County Tax Rolls for fiscal year 2023/2024.

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PART I – PLANS AND SPECIFICATIONS

DESCRIPTION OF THE DISTRICT
The territory within this District consists of the lots and parcels of land within the City of El Centro that are part of the development and planned development of the non-residential, multi-family residential and/or mixed use properties in the area of the City known as Town Center, located east of State Highway 86 (Imperial Avenue), west of 8th Street, north of Bradshaw Avenue and generally south of Treshill Road.

The District boundary and the territory therein is comprised of thirty-four (34) parcels currently identified on the Imperial County Assessor’s Parcel Number (APN) Maps as Book 044, Page 62, Parcels 008, 009, 017, 018, 020, 022, 023, 026, 027, 031, 037 through 041, 044, 046 through 048, 050, 052 through 062, 064 through 066. These parcels total approximately one-hundred and thirty-eight (138) acres, but within this territory, parcels 044-620-044 and 044-620-052 are considered exempt from assessment as they incorporate an easement and the Town Center detention basin. Specifically:
 Parcel 044-620-044 is identified as an easement property located along the northern boundary of the District extending between Imperial Avenue and 12th Street. Although part of the Town Center development area and thus included in the District, this parcel cannot be developed independently if at all and therefore does not receive special benefit from the improvements and is exempt from assessment. Identified as Assessment Number 27 on the District Diagram contained in Part IV of this Report;
 Parcel 044-620-052 (12.39 acres) incorporates the Town Center detention basin and therefore does not receive special benefit from the improvements and is exempt from assessment. Identified as Assessment Number 26 on the District Diagram contained in Part IV of this Report;
Within the boundaries of the District, parcels have been identified and grouped into one of four designated benefit zones (“Zones”) based on the special benefits properties will receive from various District improvements to be maintained. A brief description of each Zone is provided later in this report under the “Zones of Benefit” heading. The District Diagrams contained in Part IV of this Report, provides a visual representation of the Zone boundaries showing the exterior boundaries of the District and Zones.

IMPROVEMENTS AND SERVICES
The purpose of the District is to provide funding for the continued maintenance, operation and servicing of the lighting and landscaping improvements that are in proximity to and provide a particular and distinct benefit (special benefit) to the properties and developments within the Town Center area (District). The specific plans, specifications and detailed drawings of the improvements within the District are not bound in this Report but are on file in the City’s Public Works Department and by reference are incorporated and made a part of this Report. As authorized by the 1972 Act, the improvements, services and expenses to be funded by the District assessments include, but are not limited to the furnishing of labor, materials, equipment, and utilities for the ordinary and usual maintenance, operation, and servicing of the streetlights,

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landscaping and related facilities within the public rights-of-way and/or easements dedicated to the City for maintenance purposes.

Street Lighting
The streetlights to be funded by the District are local streetlights located within the District and these streetlights are categorized as either:
 District-wide (Shared) Street Light Improvements, which are located on the main access streets within and adjacent to the District. These streetlights are located on both sides of Cruickshank Drive, the north side of Bradshaw Avenue, and the west side of 8th Street, and may include any future streetlights installed on these streets. These improvements are proportionately shared by all parcels within the District.  Zone-Specific Street Light Improvements, which includes street lighting on 12th Street, which benefits only those parcels that are accessed directly from 12th Street and/or are adjacent to the street. These streetlights are located on both sides of 12th Street and provide proportional special benefit to only specific properties within the District and these parcels are grouped into a Zone that reflects their difference in benefit from other District parcels.

Similarly, street lighting on 10th Street benefits only those parcels that are accessed directly from 10th Street and/or are adjacent to the street. These streetlights are currently being installed and will be located on both sides of 10th Street and provide proportional special benefit to only specific properties within the District. Parcels that receive special benefits from these lights are grouped into one of two Zones that reflects their difference in benefit from other District parcels.

The maintenance, operation, and servicing of the District lighting improvements generally include the furnishing of labor, materials, equipment and electricity for the ordinary and usual maintenance, operation, and servicing of streetlights within the public rights-of-way and easements dedicated to the City. These activities may include, but are not limited to:
 Furnishing of electric current or other illuminating agent.  Maintenance, repair, and replacement of light poles and fixtures, including changing light bulbs, painting, photoelectric sell repair or replacement, and repairing damage cause by accidents, vandalism, time, and weather.
 Electrical conduit and pull-box repair and replacement due to damage by construction and weather.
 Monitoring of the Underground Service Alert (USA) network, identification of proposed excavation in the vicinity of lighting electrical conduits, and marking the location of those underground conduits in the field to prevent damage by excavation.  Service, maintenance, repair, and replacement including replacing worn out electrical components and repairing damage due to accidents, vandalism, and weather.  Periodic repair and rehabilitation of the street lighting system including replacement of old equipment with new or reconditioned equipment; and repair, removal or replacement of related equipment as required including but not limited to lighting fixtures, poles, meters, conduits, electrical cable and relocation of street light facilities as necessary including the purchase and installation of related equipment and facilities.

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Landscaping Improvements
The landscaping to be funded by the District are local landscape improvement areas located within the District and these landscape improvements are categorized as either:
 District-wide Shared Landscape Improvements, include the landscaping and appurtenant amenities surrounding the detention basin located in the northeast portion of the District.

Water run-off from each parcel within the District flows into this detention basin and while the drainage and flood control related maintenance and servicing of this basin is funded by other revenue sources and not part of this District’s budget or assessments the landscaping and appurtenant amenities (fencing) that surround the detention basin benefit and are proportionately shared by all parcels within the District.  Zone-Specific Landscape Improvements, include the landscape improvements within the public right-of-ways adjacent to the Town Village Apartments which include the parkway areas between the curb and sidewalk on the north side of Bradshaw Avenue, the west side of 10th Street, and the south side of Cruickshank Drive; and the parkway returns located behind the sidewalks at the entryway/driveway areas to the development. These landscape areas are more specifically described as:
 The parkway area between the curb and sidewalk on the south side of Cruickshank Drive between the western boundary of the Town Village Apartments and 10th Street.

Approximately 1,525 square feet of landscaped area with 16 trees;  The parkway area between the curb and sidewalk on the west side of 10th St between Cruickshank Drive and Bradshaw Avenue. Approximately 3,175 square feet of landscaped area with 31 trees;
 The parkway areas located behind the sidewalk on the west side of 10th St at the two entryway/driveway locations for the Town Village Apartments (4 corner returns).

Approximately 720 square feet of landscaped area; and
 The parkway area between the curb and sidewalk on the north side of Bradshaw Avenue between 10th Street and the western boundary of the Town Village Apartments.

Approximately 1,600 square feet of landscaped area with 16 trees.

The landscape improvements to be maintained within the District (both District-wide or Zone-Specific) are considered local landscaping improvements installed in connection with the development or planned development of properties in the District and respective Zones. These landscaping improvements are an integral part of the subdivisions and development for which they were installed, creating a green amenity and aesthetically pleasing enhancement to the parcels served by the landscaping. Generally, the Zone-Specific landscaping improvements are a condition of development of the parcels in that respective Zone, and the properties within the Zone would not be developed or would not have been developed if the landscaping were not included.

The maintenance, operation, and servicing of the District landscape improvements include the furnishing of labor, materials, equipment, and utilities for the ordinary and usual maintenance, operation, and servicing of the landscaped areas within the public right-of-ways, easements, and/or public areas dedicated to the City as part of the development of properties within the District.

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The various landscape improvements associated with each Zone may include, but are not limited to various types of landscape amenities such as turf, ground cover, plants, shrubs, trees, and associated appurtenant facilities including, but not limited to irrigation and drainage systems, various types of groundcover, concrete paths or sidewalks, and fencing that may be maintained in whole or in part as part of the landscape improvements depending on available funding.

ZONES OF BENEFIT (ZONES)
In accordance with Chapter 1, Article 4, Section 22574 of the 1972 Act, this District utilizes Zones to address variations in the nature, location, and extent of the lighting and landscape improvements that provide special benefits to parcels in the District. Within the boundaries of the District, parcels are assigned to one of four benefit zones based on the improvements (District-wide shared improvements and/or Zone-Specific improvements) that provide special benefit to that property.

These Zones identify specific parcels and developments that receive special benefits from the maintenance, operation, and servicing of various District improvements. Each Zone reflects the improvements (street lighting and/or landscaping) associated with the parcels in that Zone in order to fairly and equitably apportion the net cost of providing those improvements to the properties that receive special benefits from the maintenance and operation of such improvements. By establishing and utilizing a Zone structure, similar properties with similar types of improvements will be assessed a proportional amount for the total annual expenses related to the maintenance, operation and servicing of the various improvements provided by the District and for which the properties receive special benefits. As development of properties continues to occur within the District and new improvements are installed, additional Zones may be created in the District and/or parcels may be reassigned to another Zone (balloted for a new or increased assessment) based on the benefits received from those new improvements.

The following is a brief description and summary of the Zones within the District at the time of formation (for fiscal year 2016/2017). A visual depiction of the Zone boundaries is provided on the District Diagram provided in Part IV of this Report.

Zone 01
Zone 01 is generally located in the western half of the District and at formation was comprised of twenty parcels including parcels 008, 009, 016, 017, 018, 020, 022, 023, 026 through 036, and 044 of Book 044 page 62 of the Imperial County Assessor’s Parcel Maps.

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Like the other parcels in the District, the parcels in Zone 01 are accessed directly or indirectly from the streets surrounding the District including Bradshaw Avenue and 8th Street as well as Cruickshank Drive and the street lighting improvements on those streets previously identified as “District-wide (Shared) Street Light Improvements” are an integral part of the development and use of each parcel within the District. Therefore, the parcels in Zone 01 proportionately benefit from and shall share in the costs to operate and maintain those street lighting improvements.

Likewise, these parcels along with the other parcels in the District are served by the detention basin located in the northeastern section of the District, which was necessary to address the water run-off from each parcel within the District and clearly required for the development and best use of those properties. Although the drainage and flood control related maintenance and servicing of this basin is not funded or a part of this District’s assessments, the landscaping and appurtenant amenities (fencing) that surround the detention basin are. Furthermore, because the installation and construction of this basin was necessary for each property in the District, the related landscape improvements and appurtenant amenities associated with this basin clearly benefit each parcel and the cost to provide these improvements shall be proportionately shared by all parcels within the District as “District-wide (Shared) Landscaping Improvements”, including those parcels in Zone 01.

Zone 02
Zone 02 is generally located in the northeastern portion of the District (north of Cruickshank Drive) and is comprised of seven parcels including parcels 037 through 041, 052, and 053 of Book 044 page 62 of the Imperial County Assessor’s Parcel Maps.

Like the other parcels in the District, the parcels in Zone 02 are accessed directly or indirectly from the streets surrounding the District including Bradshaw Avenue and 8th Street as well as Cruickshank Drive and the street lighting improvements on those streets previously identified as “District-wide (Shared) Street Light Improvements” are an integral part of the development and use of each parcel within the District. Therefore, the parcels in Zone 02 proportionately benefit from and shall share in the costs to operate and maintain those street lighting improvements.

Likewise, these parcels along with the other parcels in the District are served by the detention basin, which was necessary to address the water run-off from each parcel within the District and clearly required for the development and best use of those properties. Although the drainage and flood control related maintenance and servicing of this basin is not funded or a part of this District’s assessments, the landscaping and appurtenant amenities (fencing) that surround the detention basin are. Furthermore, because the installation and construction of this basin was necessary for each property in the District, the related landscape improvements and appurtenant amenities associated with this basin clearly benefit each parcel and the cost to provide these improvements shall be proportionately shared by all parcels within the District as “District-wide (Shared) Landscaping Improvements”, including those parcels in Zone 02.

In addition to the District-wide (Shared) Improvements, parcels in Zone 02 also benefit from the street lighting are on 12th Street which is used to access these properties and/or are adjacent to these properties. These streetlights are located on both sides of 12th Street and these lights provide proportional special benefit to only the adjacent parcels which comprise the Zone 02.

While the streetlights on the main access streets in the District serve all parcels in the District the street lighting on 12th Street serve and are directly associated with only the parcels in this Zone and therefore provide special benefit to these parcels.

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Zone 03
Zone 03 is generally located in the southeastern portion of the District (south of Cruickshank Drive and east of 10th Street) and at time of formation was comprised of parcels 044-620-049 and 044- 620-051 of the Imperial County Assessor’s Parcel Maps. They have both since been split into parcels 044-620-056 and 044-620-057. These two parcels in Zone 3 are currently undeveloped.

Like the other parcels in the District, the property in Zone 03 is accessed directly or indirectly from the streets surrounding the District including Bradshaw Avenue and 8th Street as well as Cruickshank Drive and the street lighting improvements on those streets previously identified as “District-wide (Shared) Street Light Improvements” are an integral part of the development and use of each parcel within the District. Therefore, the property within Zone 03 proportionately benefits from and shall share in the costs to operate and maintain those street lighting improvements. Likewise, this property along with the other parcels in the District is served by the detention basin, which was necessary to address the water run-off from each parcel within the District and clearly required for the development and best use of those properties. Although the drainage and flood control related maintenance and servicing of this basin is not funded or a part of this District’s assessments, the landscaping and appurtenant amenities (fencing) that surround the detention basin are. Furthermore, because the installation and construction of this basin was necessary for each property in the District, the related landscape improvements and appurtenant amenities associated with this basin clearly benefit each parcel and the cost to provide these improvements shall be proportionately shared by all parcels within the District as “District-wide (Shared) Landscaping Improvements”, including the property/parcels in Zone 03.

In addition to the District-wide (Shared) Improvements, property in Zone 03 will also benefit from the street lighting being installed on 10th Street which is used to access the property and/or is adjacent to the property. These streetlights are being installed on both sides of 10th Street and these lights provide proportional special benefit to only the adjacent properties/parcels which comprise both Zone 03 and Zone 04. While the streetlights on the main access streets in the District serve all parcels in the District the street lighting on 10th Street serve and are directly associated with only the Zone 03 and Zone 04 and therefore provide special benefit to only the property/parcels in these two Zones.

Zone 04
Zone 04 is generally located in the southcentral portion of the District (south of Cruickshank Drive and west of 10th Street) and is comprised of parcels 044-620-046 through 048 and 050 of Book 044 page 62 of the Imperial County Assessor’s Parcel Maps.

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Like the other parcels in the District, the property in Zone 04 (Town Village Apartments) is accessed directly or indirectly from the streets surrounding the District including Bradshaw Avenue and 8th Street as well as Cruickshank Drive and the street lighting improvements on those streets previously identified as “District-wide (Shared) Street Light Improvements” are an integral part of the development and use of each parcel within the District. Therefore, the property within Zone 04 proportionately benefits from and shall share in the costs to operate and maintain those street lighting improvements. Likewise, this property along with the other parcels in the District is served by the detention basin, which was necessary to address the water run-off from each parcel within the District and clearly required for the development and best use of those properties.

Although the drainage and flood control related maintenance and servicing of this basin is not funded or a part of this District’s assessments, the landscaping and appurtenant amenities (fencing) that surround the detention basin are. Furthermore, because the installation and construction of this basin was necessary for each property in the District, the related landscape improvements and appurtenant amenities associated with this basin clearly benefit each parcel and the cost to provide these improvements shall be proportionately shared by all parcels within the District as “District-wide (Shared) Landscaping Improvements”, including the property/parcels in Zone 04.

In addition to the District-wide (Shared) Improvements, property in Zone 04 will also benefit from the street lighting being installed on 10th Street which is used to access the property and/or is adjacent to the property. These streetlights are being installed on both sides of 10th Street and these lights provide proportional special benefit to only the adjacent properties/parcels which comprise both Zone 03 and Zone 04. While the streetlights on the main access streets in the District serve all parcels in the District the street lighting on 10th Street serve and are directly associated with only the Zone 03 and Zone 04 and therefore provide special benefit to only the property/parcels in these two Zones.

In addition to the District-wide (Shared) Improvements and the street lighting being installed on 10th Street, Zone 04 also benefits from the landscaping improvements being installed on the perimeter of the Zone (Town Village Apartments) on the west side of 10th Street, the north side of Bradshaw Avenue and the south side of Cruickshank Drive. These landscape improvements to be maintained through the District are being installed specifically in connection with the development and specifically for the Town Village Apartment project and these improvements provide a proportional special benefit to only this adjacent development (properties/parcels) which comprise Zone 04. As previously identified, these landscape areas include:
 The parkway area between the curb and sidewalk on the south side of Cruickshank Drive between the western boundary of the Town Village Apartments and 10th Street;  The parkway area between the curb and sidewalk on the west side of 10th St between Cruickshank Drive and Bradshaw Avenue;
 The parkway areas located behind the sidewalk on the west side of 10th St at the two entryway/driveway locations for the Town Village Apartments (4 corner returns); and  The parkway area between the curb and sidewalk on the north side of Bradshaw Avenue between 10th Street and the western boundary of the Town Village Apartments.

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PART II – METHOD OF APPORTIONMENT

BENEFIT ANALYSIS
Legislative Authority
Part 2 of Division 15 of the Streets and Highways Code, the 1972 Act, permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, including the acquisition, construction, installation and servicing of street lighting and landscape improvements and related facilities. The 1972 Act requires that the cost of these improvements be levied according to benefit rather than assessed value:

Section 22573 defines the net amount to be assessed as follows:
“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.”
Section 22574 provides for zones as follows:
“The diagram and assessment may classify various areas within an assessment district into different zones where, by reason of variations in the nature, location, and extent of the improvements, the various areas will receive differing degrees of benefit from the improvements.

A zone shall consist of all territory which will receive substantially the same degree of benefit from the improvements.”
The formulas used for calculating assessments and the designation of zones herein reflect the composition of parcels within the District and the improvements and activities to be provided, and have been designed to fairly apportion the entirety of the capital cost of the local public improvements and the maintenance and operation expenses of such improvements based on a determination of the proportional special benefits to each parcel, consistent with the requirements of the 1972 Act and the provisions of Article XIIID of the California Constitution (Proposition 218).

Proposition 218 Benefit Analysis
The costs of the proposed improvements for this District have been identified and allocated to properties within the District based on special benefit. The improvements provided by this District and for which properties are assessed are local public landscaping and lighting improvements and related amenities. The assessments and method of apportionment is based on the premise that these improvements would otherwise not have been required without the development of those parcels within the District.

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Article XIIID Section 2i defines Special Benefit as follows:
“Special benefit” means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large. General enhancement of property value does not constitute “special benefit.”
Article XIIID Section 4a defines proportional special benefit assessments as follows:
“An agency which proposes to levy an assessment shall identify all parcels which will have a special benefit conferred upon them and upon which an assessment will be imposed. The proportionate special benefit derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel.” Special Benefit
Street Lighting Special Benefit
The street lighting in the District (localized street lighting) is primarily useful for illuminating the sidewalks and parking lanes on the streets used specifically to access the properties and/or is adjacent to those properties that comprise the District. This lighting is distinct from lights that may be installed on major streets, but serve in large part to enhance traffic safety, such as the streetlights and traffic signals on State Highway 86 (Imperial Avenue) which is adjacent to the District. These localized streetlights tend to be more closely spaced and of a lower intensity than streetlights installed primarily for traffic safety such as those found on many major thoroughfares or intersections. These low-level, lower-intensity streetlights within the District provide three main special benefits: (i) property security benefit, (ii) pedestrian safety benefit, and (iii) parkway/roadway egress benefit. Because traffic in the District is largely limited to local traffic consisting of employees, patrons, residents and residents’ guests, it is reasonable to assume that essentially all pedestrians and parking vehicles in the lit areas will, after dark, be directly associated with the properties in the District and that the vehicular traffic in this area is primarily limited to vehicles accessing the District properties rather than pass-through traffic to other properties.

In addition, the streetlights within the District are consistent with the City’s typical intensity and spacing standards for areas zoned for non-residential, mixed use and/or high-density residential development areas and each parcel to be assessed is served directly by the system of streetlights providing appropriate lighting within the Town Village development area. Furthermore, the cost of maintaining and operating each light is substantially the same, regardless of the location of the light within the District. Consequently, we conclude that each parcel within the District receives substantially similar benefit from the street light improvements on Bradshaw Avenue, 8th Street and Cruickshank Drive regardless of their location within the District and each parcel within Zone 02, Zone 03 and Zone 04 receives substantially similar benefit from the street light improvements from the streetlights in proximity to those Zones, namely 12th Street and 10th Street and the only notable distinctions in proportional special benefit to each parcel is related to the development status of the parcel (developed versus undeveloped) and the comparable size of the property (proportional acreage).

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Landscaping Special Benefit
The ongoing maintenance of local public landscaped areas within the District provides aesthetic benefits to the properties within each respective Zone and provides a more pleasant environment to walk, drive, live, and work. The primary function of these landscape improvements and related amenities is to serve as an aesthetically pleasing enhancement and green space for the benefit of the immediately surrounding properties and developments for which the improvements were constructed and installed. These improvements are an integral part of the physical environment of parcels in associated Zones, and if the improvements are not properly maintained, it is these parcels that would be aesthetically burdened. In addition, the street landscaping (applicable in Zone 04) serve as both a physical buffer as well as a sound reduction buffer between the roadways and the properties associated with those improvements. As a result, the maintenance of the District landscaped improvements (both the District-wide shared and the Zone-specific improvements) are a particular and distinct benefit to the properties and developments within the District and respective Zones.

General Benefit
Street Lighting General Benefit
Collectively, there are a total of 57 streetlights within or adjacent to the District including:
 14 streetlights on Cruickshank Drive, located on both sides of the street;  11 streetlights on Bradshaw Avenue, located on the north side of the street only;  16 streetlights on 8th Street, 9 of which are located on the west side of the street adjacent to the District and 7 on the east side of the street that are considered to be a special benefit to the developments and properties on the east side of 8th Street;  8 streetlights on 12th Street, located on both sides of the street; and,  8 streetlights on 10th Street, located on both sides of the street.

Considering the special benefit discussion above, it is reasonable to conclude that the installation and purpose of local street lighting is to serve the properties in immediate proximity to those improvements and therefore the ongoing maintenance and operation of such local streetlights is a special benefit to those properties. This is most certainly the case with the internal streetlights within this District, namely those streetlights located on Cruickshank Drive, 12th Street, and 10th Street. These streetlights, 30 of the 50 lights (60%) clearly provide no special benefit to properties outside the District and because these are not pass-through traffic streets, these lights provide no quantifiable general benefit to the public at large. Therefore, it is reasonable to conclude that these streetlights and the cost of maintain and operating these lights is entirely a special benefit to the properties in the District and the respective Zones therein.

With respect to the streetlights on 8th Street (Lights on the perimeter of the District), as indicated above, there are a total of 16 streetlights on 8th Street that are located along the boundaries of the District. Nine (9) of these streetlights are located on the District side of the street (west side) and seven (7) on the opposite side of the street (east side). Clearly the streetlights on the west side of the street have been installed in connection with or were necessary for the development of properties in this District and provide special benefit to those properties. Presumably the streetlights on the east side of the street were installed in connection with and for the special benefit of the properties on the east side of 8th Street. Similar to the District’s internal streets

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discussed above, 8th Street (which terminates near the northern boundary of this District) is not considered a pass-through traffic street and these streetlights provide no quantifiable general benefit to the public at large. Furthermore, because both sides of the street have lights that are associated with the development areas on either side, it is reasonable to conclude that the nine lights on the west side of 8th Street and the cost of maintain and operating these lights is entirely a special benefit to the properties in the District.

Similar to the other District streets, Bradshaw Avenue (which terminates at 8th Street which is the western boundary of this District) is not considered a pass-through traffic street and these streetlights provide no quantifiable general benefit to the public at large. Unlike the other streetlights installed in connection with properties in this District, the eleven (11) streetlights on Bradshaw Avenue, located entirely on the District side of the street (north side only), may indirectly benefit the properties on the south side of the street, although that benefit is clearly general and not special. Most if not all of the properties on the south side of Bradshaw Avenue are not typically accessed from Bradshaw Avenue, but rather from streets south of Bradshaw Avenue including Imperial Avenue, El Dorado Avenue, and 12th Street. For the most part, these properties only abut Bradshaw Avenue along their back property line and in a few cases their side property line. Based on these considerations it is reasonable to conclude that no more than 30% of the benefit and related costs associated with the lights on Bradshaw Avenue would be attributable as a benefit to the properties south of Bradshaw Avenue (general benefit), with the remaining 70% of these street light improvement costs being a special benefit to properties in the District. Conservatively then, assuming 30% of these eleven (11) streetlights on Bradshaw Avenue might reasonably be considered general benefit lights (3.3 lights), these general benefit lights (assuming 4 lights) would be approximately 8% of the District’s total streetlights.

Therefore, it is reasonable to conclude from the above discussion, that conservatively no more than 10% of the District’s 50 lights and associated lighting costs is considered general benefit, and it is appropriate to assign 90 % of the total maintenance and operating costs for the streetlights as special benefit expenses.

Landscaping General Benefit
In reviewing the location and extent of the specific landscaped areas and improvements to be funded by District assessments and the proximity and relationship to properties to be assessed, it is evident these improvements are local improvements that were installed in connection with the development of properties within specific Zones (Zone 04) or are improvements that would otherwise be shared by and required for the future development of properties in the District. It is also evident that the maintenance these improvements and the level of maintenance provided only has a direct and particular impact on those properties (special benefit) and such maintenance beyond that which is required to ensure the safety and protection of the general public and property in general, has no identifiable benefit to the public at large or properties outside each respective Zone.

In the absence of a special funding District and Zones, the maintenance of the landscape improvement areas within the District would likely be limited to those services and activities necessary to ensure the safety and protection of vehicular traffic, the general public, and property in general and the City’s maintenance of these areas would likely be limited abatement and erosion control services. These services (“baseline level of service”) would typically be provided on an as needed basis (likely no more than twice annually). This baseline level of service would provide for public safety and avoid negative impacts on adjacent properties, roadways and

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vehicles traveling on those roadways, but would clearly result in a far less visually pleasing environment than is created with the enhanced levels of services associated with the District and which can be provided with the support of District special benefit assessments. Based on industry standard service costs the cost to provide this baseline level of service is estimated to be on average, approximately $0.015 per square foot for streetscape areas (improvement areas associated with Zone 04), and $0.005 per square foot for non-streetscape areas (district-wide shared improvement areas associated with the detention basin). Since the baseline services, unlike the enhanced aesthetic services funded by District assessments, would provide benefits to the general public and possibly properties outside of the District, the cost of providing this baseline level of service is identified as the general benefit cost associated with the improvement areas and landscape maintenance services. Utilizing this cost per square foot and the square footages of the improvement areas in the District and respective Zones, the following table summarizes the current estimated proportional general benefit costs calculated for each District Zone:

Estimated Landscape General Benefit Costs
Zones (1)
District-wide
Landscape Square
Footage
Zone-specific
Landscape Square
Footage
Total
Proportional
Square Footage
General Benefit
Cost (2)
Zone 01 12,073 - 12,073 $60
Zone 02 2,419 - 2,419 $12
Zone 03 1,520 - 1,520 $8
Zone 04 6,157 7,020 13,177 $135
Total Zone (3) 22,170 7,020 29,190 $215
(1) The District-wide Improvement Areas, which are proportionately shared by parcels in each Zone, total 22,170 square feet. The square footages shown in the table above for each Zone represents that Zone’s proportional square footage of the 22,170 square feet based on each Zone’s proportional Equivalent Benefit Units. (2) The General Benefit Costs presented in the table above and in the District Budget (Part III), are rounded to the nearest dollar. As with most maintenance costs, these General Benefit Costs will likely be impacted by inflation and in subsequent fiscal years, these costs and funding contribution may be adjusted annually for inflation, consistent with the inflationary adjustments applied for special benefit maintenance costs and the annual assessments. (3) Totals may not foot due to rounding.

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ASSESSMENT METHODOLOGY
The method of apportionment for this District calculates the receipt of special benefit from the respective improvements based on the land use of the parcels.

Equivalent Benefit Unit Application
To proportionally allocate special benefit to each parcel, it is necessary to correlate each property’s proportional benefit to other properties that benefit from the improvements and services being funded. In order to do this, the assessment methodology assigns each parcel a number of EBUs (Equivalent Benefit Units) based on its land use. Generally, one EBU is defined as the special benefit allocable to a single-family home (basic EBU unit). Although the single-family homeland use classification is not applicable to the parcels currently within this District, this basic EBU (base EBU) is used for most assessment districts as a means of comparing and establishing the proportional special benefit assigned to other land use classifications and that comparison and proportionality is still applicable for this District.

Single-Family Residential — This land use is defined as a fully subdivided single-family residential home site with or without a structure. As previously noted, the single-family residential parcel has been selected as the basic EBU unit for calculation of assessments and a single-family residential parcel is assigned 1.0 Equivalent Benefit Unit (1.0 EBU per lot or parcel).

Multi-Family Residential — This land use classification identifies properties that are used for residential purposes and contain more than one residential unit. The proportional special benefit and EBU for these parcels is based on acreage, at 4.0 EBUs per acre, which is reflective of the average proportional number of single-family homes developed on an acre of land (typically 4 single-family dwelling units per acre).

Developed Non-Residential — This classification includes developed properties including parking lots that are identified or zoned for commercial, industrial or other non-residential use including, but not limited to manufacturing, storage or warehousing, service stations or facilities, retail stores, restaurants, banks, offices, hotels, recreational facilities (excluding parks), and institutional facilities including, hospitals, churches or facilities utilized by other non-profit organizations, whether those facilities are publicly owned (non-taxable) or privately owned. Like Multi-Family Residential properties, the proportional special benefit and EBU for these parcels is based on acreage, at 4.0 EBUs per acre, which is reflective of the typically single-family dwelling unit development density per acre (typically 4 single-family dwelling units per acre).

Vacant/Undeveloped Property — This land use is defined as a parcel that is currently consider vacant or undeveloped land that can be developed, but for which the use and/or development of the property has not been fully determined. These parcels are assigned a proportional EBU that is based on 25% of the proportional benefit established for a developed property in the District.

The proportional special benefit and EBU for these parcels is based on acreage, at 1.0 EBU per acre.

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Special Case Property — In some District Zones there may be one or more properties that the standard land use classifications identified above do not accurately identify the use and special benefit received from the improvements. Properties that are typically classified as Special Case properties usually involve some type of development or land restrictions whether those restrictions are temporary or permanent and affect the properties proportional special benefit. Examples of such restrictions may include situations where only a portion (percentage) of the parcel’s total acreage is actually developed or could be developed. In such a case, the net usable acreage of the parcel rather than the gross acreage of the parcel may be applied to calculate the parcel’s proportional special benefit.

Exempt — means a lot, parcel of land, or Assessor’s Parcel that is considered to not specially benefit directly from improvements. This classification includes, but is not limited to, areas of public streets, private streets, and other roadways; and public easements or rights-of-way including landscaped parkways or easements; and utility rights-of-way or easements such as irrigation or drainage ditches, and channels or basins. These types of parcels (similar to the improvements) are typically the result of property development rather than the direct cause of development and have little or no need for the improvements. (These types of properties may or may not be assigned an Assessor’s Parcel Number by the County Assessor’s Office).

Also exempt from assessment are Assessor’s Parcels that may be identified as common areas (properties for which the surrounding parcels have a shared interest); bifurcated lots; small parcels vacated by the County or similar sliver parcels that cannot be developed independent of an adjacent parcel. These types of parcels are generally not separately assessed because they are functionally a part of another parcel that may be assessed for its own benefit and the benefit of the associated parcel.

EQUIVALENT BENEFIT UNIT SUMMARY
The following is a summary of the Equivalent Benefit Units applicable to the various land use classifications identified in each District Zone:

Zone 01
Land Use Classifications
Total
Parcels
Assessed
Parcels Units
Applied
Acreage EBUs
Developed Non-Residential 9 9 - 30.58 122.34
Vacant/Undeveloped 11 11 - 23.05 31.08
Exempt 1 - - 2.36 -
Total 21 20 - 56.00 153.42
Zone 02
Land Use Classifications
Total
Parcels
Assessed
Parcels Units
Applied
Acreage EBUs
Vacant/Undeveloped 6 6 - 30.74 30.74
Exempt 1 - - 12.39 -
Total 7 6 - 43.13 30.74

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Zone 03
Land Use Classifications
Total
Parcels
Assessed
Parcels Units
Applied
Acreage EBUs
Vacant/Undeveloped 2 2 - 19.33 19.33
Total 2 2 - 19.33 19.33
Zone 04
Land Use Classifications
Total
Parcels
Assessed
Parcels Units
Applied
Acreage EBUs
Multi-Family Residential 4 4 240.00 19.56 78.24
Total 4 4 240.00 19.56 78.24
District Totals
Land Use Classifications
Total
Parcels
Assessed
Parcels Units
Applied
Acreage EBUs
Multi-Family Residential 4 4 240.00 19.56 78.24
Developed Non-Residential 9 9 - 30.58 122.34
Vacant/Undeveloped 19 19 - 73.12 81.14
Exempt 2 - - 14.75 -
Total 34 32 240.00 138.01 281.72

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PART III –ESTIMATED COST OF THE IMPROVEMENTS

CALCULATION OF ASSESSMENTS
An assessment amount per EBU in each Zone is calculated by:

Taking the “Total Annual Expenses” (Total budgeted costs) and subtracting the “General Benefit Expenses (City Contribution)”, to establish the “Total Special Benefit Expenses”; Amount Budgeted – General Benefit Expenses = Special Benefit Expenses To the resulting “Special Benefit Expenses”, various “Funding Adjustments/Contributions” may be applied that may include, but are not limited to:
 “Unfunded Reserve Fund Collection”, represents an adjustment (reduction) in the amount to be collected for “Operational Reserve Funding” that was budgeted as part of the Total Annual Expenses.
 “Unfunded CIP/Rehabilitation Fund Collection”, represents an adjustment (reduction) in the amount to be collected for “CIP & Rehabilitation Reserve Fund Collection” that was budgeted as part of the Total Annual Expenses.
 “Reserve Fund Transfer/Deduction”, represents an amount of available existing funds from the “Operational Reserve Fund Balances” being applied to pay a portion of the Special Benefit Expenses for the fiscal year.
 “Additional City Contribution and/or Service Reductions”, represents a further adjustment that addresses the funding gap between the amount budgeted to provide the improvements and services (“Special Benefit Expenses”); and the amount that will be collected through the assessments. This funding gap may be addressed by an additional City contribution, reductions in service and service expenses, or a combination of the two.

These adjustments to the Special Benefit Expenses result in the net special benefit amount to be assessed “Balance to Levy”;
Special Benefit Expenses +/- Funding Adjustments/Contributions =Balance to Levy The amount identified as the “Balance to Levy” is divided by the total number of EBUs of parcels that benefit to establish the “Assessment Rate” or “Assessment per EBU” for the fiscal year. This Rate is then applied back to each parcel’s individual EBU to calculate the parcel’s proportionate special benefit and assessment for the improvements.

Balance to Levy / Total EBU = Assessment per EBU (Assessment Rate) Assessment per EBU x Parcel EBU = Parcel Assessment Amount Note: As part of these proceedings to form the District and ballot property owners for new assessments, the proposed maximum assessments outlined in this Report are intended to fully support the costs and expenses identified as “Special Benefit Expenses”. Therefore, the “Funding Adjustments/Contributions” referenced above are not applicable to the calculation of the assessments described in this Report and the “Balance to Levy” represents the total “Special Benefit Expenses”.

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ASSESSMENT RATES
The following shows the assessment rates applicable to each Zone for fiscal year 2023/2024 based on the budget and the method of apportionment presented previously.

Fiscal Year 2023/2024 Assessment Rates
Zones
Maximum
Assessment Rate (1)
Proposed Rate
FY 2023/2024
Zone 01 $53.42 $53.42 per EBU
Zone 02 $133.56 $133.54 per EBU
Zone 03 $128.22 $128.20 per EBU
Zone 04 $200.34 $200.32 per EBU
(1) The Maximum Assessment Rate for each Zone includes an inflationary adjustment as described below.

ANNUAL INFLATIONARY ADJUSTMENT (ASSESSMENT RANGE FORMULA) As part of the District formation, the assessments to be submitted to the property owners in the Ballot Proceeding shall include an annual inflationary adjustment referred to as an Assessment Range Formula, which is authorized by Section 53750(2) (A) of the Government Code, also known as the “Proposition 218 Omnibus Implementation Act”. The purpose of establishing an Assessment Range Formula is to provide for reasonable and inevitable increases in costs to provide the improvements and services over time due to inflation. The Assessment Range Formula for the Town Center Landscaping and Lighting District is defined by the following:

Commencing in the second fiscal year (Fiscal Year 2017/2018), and each fiscal year thereafter, the maximum assessment rate established herein for each Zone shall be adjusted annually by the greater of three percent (3%) or the percentage increase of the Local Consumer Price Index (CPI) from January to January. The Consumer Price Index used for this inflationary adjustment shall be for the San Diego-Carlsbad area, for All Urban Consumers during the preceding year, as developed by U.S. Bureau of Labor Statistics (or a reasonably equivalent index should the stated index be discontinued). For Fiscal Year 2023/2024, the percentage increase of the local CPI is

6.45%.

The adjusted maximum assessments shall be calculated each fiscal year independent of the annual budgets and proposed annual assessments. Although the adjusted maximum assessment rates will increase each year, the annual assessment rates adopted for the fiscal year may be less. If the budgets and the corresponding assessments for that fiscal year do not require an increase or the increase is less than the allowable adjusted maximum assessment rate, then the proposed assessments required to meet the expenditures may be applied. To impose new or increased assessments other than the annual inflationary adjustment provided by the preceding Assessment Range Formula, the District must comply with the provisions of the California Constitution 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 a ballot proceeding, must approve such a new or increased assessment before that assessment may be imposed.

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DISTRICT BUDGET
The following budget for the District and Zones is based on an estimate of the expenses and related funding necessary for the ongoing operation, maintenance and servicing of the District improvements identified in Part I of this Report and establishes the initial Maximum Assessment per EBU (Maximum Assessment Rate) for each respective Zone for Fiscal Year 2023/2024.

Reference is made to the assessment roll included herein as Part V for individual parcel maximum assessments to be balloted.
*
Totals may not foot due to rounding.

Zone 01 Zone 02 Zone 03 Zone 04
Hwy 86 12th St 10th St Town Village District
Area Area Area Apartments Totals
(East of 10th St) (West of 10th St)

DIRECT ANNUAL MAINTENANCE & OPERATING EXPENSES
Annual Lighting Maintenance and Operation Expenses $1,098 $719 $381 $802 $3,000 Annual Landscaping/Tree Maintenance Service Expenses 2,503 941 920 12,637 17,000 Landscape Water Expenses 147 32 19 1,301 1,500
Landscape Electrical & Regular Irrigation Maintenance 186 45 22 1,667 1,920 Landscape Appurtenants and Facility Maintenance 581 127 74 298 1,080 Total Direct Annual Maintenance & Operating Expenses $4,515 $1,863 $1,416 $16,706 $24,500

REHABILITATION/REPLACEMENT FUNDING (CIP RESERVES)
Lighting Rehab/Replacement Funding $0 $0 $0 $0 $0
Landscaping/Tree Rehab/Replacement Funding 0 0 0 0 0
Total Rehabilitation/Replacement Funding $0 $0 $0 $0 $0 TOTAL DIRECT ANNUAL FUNDING AND EXPENSES $4,515 $1,863 $1,416 $16,706 $24,500

GENERAL BENEFIT EXPENSES
Lighting General Benefit — City Funded ($185) ($37) ($23) ($94) ($340) Landscaping General Benefit — City Funded (60) (12) (8) (135) (215) Total General Benefit — City Funded ($246) ($49) ($31) ($229) ($555) TOTAL DIRECT ANNUAL SPECIAL BENEFIT EXPENSES $4,270 $1,814 $1,385 $16,476 $23,945

ANNUAL INCIDENTAL EXPENSES
Operational Reserve Funding $0 $0 $0 $0 $0
Annual District Administration 3,386 1,447 826 4,891 10,550 County Administration Fee 65 50 24 23 160
Total Incidental Expenses $3,450 $1,497 $849 $4,914 $10,710 TOTAL ANNUAL EXPENSES $7,720 $3,311 $2,235 $21,390 $34,655

LEVY ADJUSTMENTS
Reserve Fund Collection (Credit) $553 $827 $266 ($5,501) ($3,854) Revenue from Other Sources (78) (34) (23) (216) (350)
BALANCE TO LEVY * $8,195 $4,104 $2,478 $15,673 $30,451

DISTRICT STATISTICS
Total Parcels/Assessment Numbers 21 7 2 4 34
Total Assessable Parcels/Properties 20 6 2 4 32
Total Assessed Acreage 53.63 30.74 19.33 19.56 123.26
Total Benefit Units 153.42 30.74 19.33 78.24 281.72
Calculated Annual Assessment Rate per EBU $53.42 $133.54 $128.20 $200.32 Maximum Assessment Rate per EBU (Balloted) $53.42 $133.56 $128.22 $200.34 Total Assessment Amount $8,195 $4,104 $2,478 $15,673 $30,451

RESERVE INFORMATION
Beginning Projected Reserve Balance 07/01/2023 $21,806
Projected CIP Fund Balance 0
Collection/(Transfer) (3,854)
Ending Projected Reserve Balance 06/30/2024 $17,952

BUDGET ITEMS

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PART IV — DISTRICT DIAGRAM
A copy of the District Diagram (Boundary Map) for the District is provided on the following page.

The parcels that comprise the El Centro Town Center Landscaping and Lighting District consists of all lots, parcels and subdivisions of land listed on the Assessment Roll contained herein as Part V, the lines and dimensions of which are shown on the Imperial County Assessor’s parcel maps for the current year and are incorporated by reference herein and made part of this Report. The following District Boundary Map together with the Assessment Roll contained herein as Part V, constitute the Assessment Diagram for the El Centro Town Center Landscaping and Lighting District.

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DISTRICT DIAGRAM (BOUNDARY MAP)

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PART V — ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District shall be the parcel as shown on the Imperial County Secured Roll for the year in which this Report is prepared and reflective of the Assessor’s Parcel Maps. A listing of the current assessor parcels to be assessed within this District along with the assessment amounts is provided in the following:

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Packet Pg. 423 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town APN Situs Address Zone EBU Applied Rate Max Assessment Charge 044-620-008-000 NO SITUS AVAILABLE 01 1.38 $53.42 $73.72 $73.70 044-620-009-000 2299 N IMPERIAL AVE 01 3.68 $53.42 196.59 196.58 044-620-017-000 NO SITUS AVAILABLE 01 1.30 $53.42 69.45 69.44 044-620-018-000 225 ACAPULCO 01 42.44 $53.42 2,267.14 2,267.14 044-620-020-000 2101 N IMPERIAL AVE 01 5.52 $53.42 294.88 294.86 044-620-022-000 NO SITUS AVAILABLE 01 43.32 $53.42 2,314.15 2,314.14 044-620-023-000 NO SITUS AVAILABLE 01 2.68 $53.42 143.17 143.16 044-620-026-000 3019 N IMPERIAL AVE 01 8.29 $53.42 442.96 442.94 044-620-027-000 3049 N IMPERIAL AVE 01 5.08 $53.42 271.59 271.58 044-620-031-000 3095 N IMPERIAL AVE 01 7.04 $53.42 376.08 376.06 044-620-037-000 3037 N IMPERIAL AVE 02 0.98 $133.54 131.16 131.12 044-620-038-000 3039 N IMPERIAL AVE 02 0.94 $133.54 125.28 125.26 044-620-039-000 3041 N IMPERIAL AVE 02 0.91 $133.54 121.67 121.64 044-620-040-000 3043 N IMPERIAL AVE 02 1.01 $133.54 134.76 134.74 044-620-041-000 3087 N IMPERIAL AVE 02 2.91 $133.54 387.99 387.92 044-620-046-000 NO SITUS AVAILABLE 04 34.36 $200.32 6,883.68 6,882.98 044-620-047-000 NO SITUS AVAILABLE 04 21.44 $200.32 4,295.29 4,294.86 044-620-048-000 NO SITUS AVAILABLE 04 18.28 $200.32 3,662.22 3,661.84 044-620-050-000 NO SITUS AVAILABLE 04 4.16 $200.32 833.41 833.32 044-620-053-000 NO SITUS AVAILABLE 02 23.99 $133.54 3,204.10 3,203.62 044-620-054-000 2033 N IMPERIAL AVE 01 2.96 $53.42 158.12 158.12 044-620-055-000 NO SITUS AVAILABLE 01 4.00 $53.42 213.68 213.68 044-620-056-000 NO SITUS AVAILABLE 03 11.59 $128.20 1,486.07 1,485.82 044-620-057-000 NO SITUS AVAILABLE 03 7.74 $128.20 992.42 992.26 044-620-058-000 NO SITUS AVAILABLE 01 0.74 $53.42 39.53 39.52 044-620-059-000 NO SITUS AVAILABLE 01 0.49 $53.42 26.18 26.16 044-620-060-000 NO SITUS AVAILABLE 01 1.16 $53.42 61.97 61.96 044-620-061-000 NO SITUS AVAILABLE 01 3.81 $53.42 203.53 203.52 044-620-062-000 NO SITUS AVAILABLE 01 4.32 $53.42 230.77 230.76 044-620-064-000 NO SITUS AVAILABLE 01 5.31 $53.42 283.66 283.66 044-620-065-000 NO SITUS AVAILABLE 01 1.07 $53.42 57.16 57.14 044-620-066-000 NO SITUS AVAILABLE 01 8.82 $53.42 471.16 471.16 Total 281.72 $30,453.54 $30,450.66
Parcels 32
City of El Centro
Town Center Landscaping and Lighting Assessment
Preliminary Assessment Roll
Fiscal Year 2023/24
Willdan Financial Services Page 1 of 1

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Packet Pg. 424 Attachment: Town Center LL&D (5898 : Adopt Resolution for Preliminary Approval of the Engineer's Annual Levy Report regarding the Town City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Resolution
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
RESOLUTION (ID # 5897) DOC ID: 5897
Adopt Resolution Declaring its Intention to Levy and Collect Annual Assessments Related to the Town Center Landscape & Lighting District
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO DECLARING ITS INTENTION TO LEVY AND COLLECT ANNUAL

ASSESSMENTS RELATED TO THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024
FISCAL IMPACT:

Will be the first step in determining the coming year’s assessment for The District.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal # 1 - Financial & Governance Stability & Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Yes
BACKGROUND:

Staff recommends Adopting Resolution No. 23- , RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF EL CENTRO DECLARING ITS INTENTION TO LEVY

AND COLLECT ANNUAL ASSESSMENTS RELATED TO THE EL CENTRO TOWN CENTER LANDSCAPING AND LIGHTING DISTRICT FOR FISCAL YEAR 2023-2024 ATTACHMENTS:
• Town Center LLD - Intent Meeting - 04-18-2023 (PDF)
19 Packet Pg. 425
03/2023/cdz/A23-0042/Reso/ECTownCenterLLD/
IntentiontoLevy&CollectAssmts 1
RESOLUTION NO. 23-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL

CENTRO DECLARING ITS INTENTION TO LEVY AND

COLLECT ANNUAL ASSESSMENTS RELATED TO THE EL

CENTRO TOWN CENTER LANDSCAPING AND LIGHTING
DISTRICT FOR FISCAL YEAR 2023-2024
WHEREAS, the City Council of the City of El Centro, California (the “City Council”), 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 (the “Act”) and by previous resolution, initiated proceedings for the Town Center Landscaping and Lighting District (the “District”) to levy and collect annual assessments to pay for the operation, maintenance and servicing of landscaping, lighting and all appurtenant facilities related thereto for Fiscal Year 2023- 2024; and
WHEREAS, the City Council desires to levy and collect the annual assessments against lots and parcels of land within the District to pay the cost and expenses related to the improvements described in section 2 of this resolution; and
WHEREAS, the Engineer selected by the City Council has prepared and filed with the City Clerk a report in connection with the District and levy of assessments for Fiscal Year 2023-2024 (beginning July 1, 2023 and ending June 30, 2024) in accordance with Chapter 1, Article 4 of the Act, and the Council did, by previous resolution, preliminarily approve the report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA DOES HEREBY BE RESOLVE AS FOLLOWS:

1. That the above recitals are true and correct.

2. That the City Council hereby declares that it is its intention to seek the annual levy of the District in accordance with Chapter 3, Section 22624 over and including the land within the District boundary, and to levy and collect assessments on all such land to pay the costs of the maintenance and servicing of the landscaping improvements and all appurtenant facilities and operations related thereto for Fiscal Year 2023-2024. The territory included within the District is generally described in section 3 of this resolution and is designated as Town Center Landscaping and Lighting District.

3. That the boundaries of the District are located on east of State Highway 86 (Imperial Avenue), west of 8th Street, north of Bradshaw Avenue and generally south of Treshill.

4. That the landscaping improvements may include, but are not limited to all landscaping material and facilities within the District. These improvements include turf, ground cover, shrubs, trees, plants, irrigation and drainage systems, ornamental lighting structures, masonry walls or other fencing, entryway monuments, and associated appurtenant facilities located within the streetscape (and perimeter landscaping) surrounding the developments. The street lighting improvements may include but are

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IntentiontoLevy&CollectAssmts 2
not limited to electrical energy, lighting fixtures, poles, meters, conduits, electrical cable and associated appurtenant facilities. For specific improvements reference Fiscal Year 2023-2024 engineer’s report.

5. That the proposed assessments for the District are outlined in the engineer’s annual levy report. The report details the proposed assessments necessary to provide for the annual operation, administration, services and maintenance of the improvements described in section 4 of this resolution and by reference said report is made part of this resolution.

6. That the District and the associated assessments as outlined in the engineer’s report are in compliance with the provisions of California Constitution Article XIIID.

7. That the City Council hereby declares its intention to conduct a public hearing concerning the District and the levy of assessments for the improvements related thereto in accordance with Chapter 3, Section 22626 of the Act.

8. That the notice is hereby given that a public hearing on these matters will be held by the City Council on Tuesday, May 16, 2023 at 6:00 p.m. or as soon thereafter as feasible in the regular meeting chambers of the City Council located at 1275 Main Street, El Centro, California.

9. That the City Clerk shall cause notice to be given of the time and place of the public hearing by causing the publishing of this resolution once in the local paper not less than ten (10) days before the date of the hearing and by posting a copy of this resolution on the official bulletin board customarily used by the City Council for the posting of notices.

10. That any interested person may file a written protest with the City Clerk prior to the conclusion of the hearing, or having previously filed protest, may file a written withdrawal of that protest. A written protest shall state all grounds of objection and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the public hearing, all interested persons shall be afforded the opportunity to hear and be heard.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By: ____________________________
Martha Cardenas-Singh, Mayor
ATTEST:

By: ___________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

OFFICE OF THE CITY ATTORNEY

19.a
Packet Pg. 427 Attachment: Town Center LLD - Intent Meeting - 04-18-2023 (5897 : Adopt Resolution Declaring its Intention to Levy and Collect Annual 03/2023/cdz/A23-0042/Reso/ECTownCenterLLD/
IntentiontoLevy&CollectAssmts 3
By:___________________________________
Elizabeth L. Martyn, City Attorney

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

AYES:

NOES:

ABSENT:

ABSTAINED:

By ___________________________
Norma Wyles, City Clerk

19.a
Packet Pg. 428 Attachment: Town Center LLD - Intent Meeting - 04-18-2023 (5897 : Adopt Resolution Declaring its Intention to Levy and Collect Annual City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Public Works
El Centro, CA 92243 Category: Public Hearing
Prepared By: Abraham Campos
SCHEDULED Department Head: Abraham Campos
RESOLUTION (ID # 5848) DOC ID: 5848
Approve and authorize an agreement with Vic's Air
Conditioning & Electrical for Energy Conservation Facilities pursuant to California Government Code Section 4217
CITY MANAGER’S RECOMMENDATION:

1. Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF EL CENTRO MAKING CERTAIN FINDINGS TO APPROVE A CONSTRUCTION

SERVICES AGREEMENT WITH HOLTVILLE AIR CONDITIONING & ELECTRICAL, INC., DBA VIC'S AIR CONDITIONING & ELECTRICAL FOR ENERGY CONSERVATION FACILITIES.

2. Approve additional Measure P funding in the amount of $146,590 to supplement existing approved funding for construction costs related to the City Hall energy efficiency upgrades
FISCAL IMPACT:

No impact to the General Fund. Measure P funds in the amount of $1.3 million were allocated to cover design and construction costs for this project.

Current Approved Allocation:
$1,150,000 for Construction Costs
$ 150,000 for Design and Soft Costs
Proposed Construction Contract Amount
Proposal Amount $1,178,590.00
Contingency $ 118,000.00
Total $1,296,590.00
Proposed Revised Construction Budget
Approved Measure P funding $1,150,000.00
Proposed additional Measure P Funds $ 146,590.00
Revised Total Construction Budget $1,296,590.00
STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal #2 Environmental Sustainability and Infrastructure - Action 2.8. Ensure that infrastructure is thoughtfully designed and maintained to meet the current and future needs of the community while minimizing negative financial impacts.

DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

Staff has verified the contractor's and subcontractor's State License and DIR Registration which are current and in good standing. Business license and insurance will be obtained prior to notice to proceed being issued. 20 Packet Pg. 429
Resolution (ID # 5848) Meeting of April 18, 2023
BACKGROUND:

In the early summer of 2022, the City Hall AC began to fail and a temporary system was placed into operation on August 3, 2022. The temporary system continues to provide cooling to the three buildings at City Hall. On October 16, 2022, Council authorized additional funding to continue operating the rental temporary system.

The current system serves all three buildings, if it fails, all City Hall Buildings including the Council Chambers are affected. This has occurred a couple times in the past resulting in the need to close city hall and affect normal business operations. The equipment has been replaced in kind over the years. The current equipment is over 22 years old and functions in the same format as it did when installed in 1964.

On October 4, 2022 City approved Measure P funding in the amount of $1.3 million for completely renovating the AC system to provide redundancy and meet current design standards for air quality and comfort. On September 2022, staff received an HVAC evaluation report which provided cost estimates for different options to achieve Council's goals.

On January 17, 2023, NEI, the city's design consultant submitted an energy efficiency report showing the new system operating at a 34.2% energy savings compared to the existing system.

California Government Code 4217.10-4217.18 allows public agencies (cities, counties, schools, universities, special districts, and state government) to develop projects and acquire services for energy conservation at its facilities. These projects are delivered in a manner most closely related to design-build process. This code does not require public bidding and no RFQ/RFP is required. Section 4217.18 states “The provisions of this chapter shall be construed to provide the greatest possible flexibility to public agencies structuring agreements entered into hereunder so that the economic benefits may be maximized and financing and other costs associated with the design and construction of alternate energy projects may be minimized.” DISCUSSION:

The law allows the City to request proposals from qualified persons. City has procured and received a proposal from Vic's Mechanical Service Contractors out of Holtville for the installation of the proposed system in a design-build like format. The contract is awarded based on the contractor's experience, the technology to be used, the cost and other considerations. Once engaged, Vic's will coordinate with the City's design team and complete design from 65% to 100% and proceed directly to construction. Engaging the contractor at this point will allow for an accelerated process by allowing the procurement of long lead time items early in the process while providing equipment systems that have good customer service from the manufacturer in our service area.

City Council must determine that the benefits exceed the marginal costs of the services.

On April 3, 2023, Notice of Public Hearing was advertised on the local newspaper. 20 Packet Pg. 430
Resolution (ID # 5848) Meeting of April 18, 2023
CONCLUSION:

1. Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF EL CENTRO MAKING CERTAIN FINDINGS TO APPROVE A CONSTRUCTION

SERVICES AGREEMENT WITH HOLTVILLE AIR CONDITIONING & ELECTRICAL, INC., DBA VIC'S AIR CONDITIONING & ELECTRICAL FOR ENERGY CONSERVATION FACILITIES.

2. Approve additional Measure P funding in the amount of $146,590 to supplement existing approved funding for construction costs related to the City Hall energy efficiency upgrades
ATTACHMENTS:
• Resolution No. 23 - 00068550 (PDF)
• Resolution Exhibit A - Energy Consumption Savings Report (PDF) • Resolution Exhibit B - Vic's Proposal Option B (PDF)
• Notice of Public Hearing 00068548 (PDF)
• Proposed Agreement 00068615 (PDF)
20 Packet Pg. 431
02/2023/cdz/A23-0019/Reso/CityHallACProject_ServicesAgrmt 1 RESOLUTION NO. 23-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL

CENTRO MAKING CERTAIN FINDINGS TO APPROVE A

CONSTRUCTION SERVICES AGREEMENT WITH HOLTVILLE
AIR CONDITIONING & ELECTRICAL, INC., DBA VIC'S AIR

CONDITIONING & ELECTRICAL FOR ENERGY
CONSERVATION FACILITIES.

WHEREAS, the City of El Centro, California (City”) is the owner of the City Hall located at 1275 W. Main Street, El Centro, CA (“City Hall”); and WHEREAS, the City wishes to improve the functionality and redundancy of the City Hall HVAC System while achieving energy efficiency goals (the “Project”); and WHEREAS, the City’s Public Works Director retained the services of Nicklaus Engineering, Inc. (“Design Consultant”) for assessment of the City Hall heating and ventilation systems (“City Hall HVAC”); and
WHEREAS, based upon that assessment, the Design Consultant and City Staff recommend replacement of the City Hall HVAC with a new heating and ventilation system (“Energy Conservation Facilities”) to provide improved performance and deliver documented energy savings; and
WHEREAS, Government Code section 4217.12(a)(1) authorizes a public agency to enter into an energy service contract with respect to an energy conservation facility on terms that the public agency’s governing board determines are in the best interests of the public agency so long as the governing board of such public agency finds that the anticipated cost to the public agency for the energy provided by the energy conservation facility will be less than the anticipated marginal cost to the public agency of thermal, electrical or other energy that would have been consumed by the public agency in the absence of those purchases; and WHEREAS, Design Consultant, in cooperation with City staff, has analyzed the energy needs of City Hall as detailed in Exhibit A, attached and incorporated; and WHEREAS, Design Consultant has represented that Design Consultant’s provision of Energy Conservation Facilities at City Hall will result in a reduction in energy consumption or demand that will result in cost savings to the City; and WHEREAS, City Staff has requested and received a proposal from Holtville Air Conditioning & Electrical, Inc., dba Vic's Air Conditioning & Electrical (“Contractor”) for implementation of the Energy Conservation Facilities as detailed in Exhibit B; and WHEREAS, on April 18, 2023, pursuant to Government Code sections 4217.10 et seq., Council held a duly noticed public hearing at a regularly scheduled Council meeting, whereby the Council analyzed, assessed and adopted the findings set out in this Resolution in support of entering into a construction service contract with Contractor for provision of Energy Conservation Facilities, provided that the terms and conditions of such construction service contract are in the best interests of the City; and

20.a
Packet Pg. 432 Attachment: Resolution No. 23 - 00068550 (5848 : City Hall AC Energy Efficiency Upgrades) 02/2023/cdz/A23-0019/Reso/CityHallACProject_ServicesAgrmt 2 WHEREAS, the Project is exempt from CEQA pursuant to a Class 2 exemption (Section 15302 of the CEQA guidelines for repair and replacement of certain portions of the existing City Hall heating and ventilation systems.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

1. That the foregoing is true, correct and adopted hereby.

2. The City held a public hearing at a regularly scheduled meeting of the City Council for which notice was given by publication not less than two weeks in advance pursuant to Government Code Section 4217.12(a).

3. Based upon available information, including but not limited to reports, analysis and presentations by City staff, as reviewed by the Council in connection herewith, and as required by Government Code section 4217.12(a), the Council hereby finds and determines as follows:
a) The anticipated cost to the City for electrical energy and conservation services provided by the Energy Conservation Facilities that constitute the Project will be less than the anticipated marginal cost to the City of electrical energy that would have been consumed by the City in the absence of said projects and services; and b) It is in the best interests of the City to authorize the City Manager (the “Authorized Representative”) or designee to execute and deliver the construction agreement with Contractor, substantially in the form presented to this Council at this meeting and to take all necessary action to implement it.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023.

CITY OF EL CENTRO
By _______________________
Martha Cardenas-Singh, Mayor
ATTEST:

By ___________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

Office of the City Attorney
By _______________________________
Elizabeth L. Martyn, City Attorney

20.a
Packet Pg. 433 Attachment: Resolution No. 23 - 00068550 (5848 : City Hall AC Energy Efficiency Upgrades) 02/2023/cdz/A23-0019/Reso/CityHallACProject_ServicesAgrmt 3

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

CITY OF EL CENTRO )
I, Norma Wyles, City Clerk of the City of El Centro, California, do hereby certify that the forgoing Resolution No. 23- was duly and regularly adopted at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAINED:

By _________________________
Norma Wyles, City Clerk

20.a
Packet Pg. 434 Attachment: Resolution No. 23 - 00068550 (5848 : City Hall AC Energy Efficiency Upgrades) Date: January 17, 2023
Address: Abraham Campos, P.E.

El Centro City Hall, Engineering Department
1275 W. Main Street
El Centro, CA 92243

RE: El Centro City Hall HVAC Replacement
Dear Mr. Abraham Campos,
The purpose of this report is to show compliance with California Government code 4217.10, found in Chapter 3.2 of the Energy Conservation Contracts, under Division 5: Public Work and Public Purchases. The energy consumption and costs have been calculated using the Hourly Analysis Program version 5.11, which modelled the admin building, council chambers, and city hall. The program was used to model the existing air handlers, boiler, and chiller, and compare them to the proposed package rooftop method. Attached is the full report, and below are some key parameters from the report. The new system is calculated to be more energy efficient and cost effective, and meets the energy conservation measures specified California Government Code 4217.10.

Respectfully,
PH Mechanical Engineering
P. Eric Hein, P.E., C.P.D.

Principal
Current
HVAC
Proposed
HVAC
% Savings
from Current
Annual Cost $14,509 $9,544 34.2
Annual Cost per Sq.Ft. $0.951 $0.626 34.2
Annual Electric Consumption 83.3 MWh 68.2 MWh 18.1

20.b
Packet Pg. 435 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades) Annual Cost Summary
22335 EL CENTRO CITY HALL 01/17/2023
PH Mechanial 12:20PM
Table 1. Annual Costs
Component

NEW HVAC
($)

OLD HVAC
($)
Air System Fans00
Cooling 8,834 8,516
Heating 710 2,853
Pumps0 1,357
Heat Rejection Fans0 1,783
HVAC Sub-Total 9,544 14,509
Lights 5,038 5,038
Electric Equipment 5,325 5,325
Misc. Electric00
Misc. Fuel Use00
Non-HVAC Sub-Total 10,363 10,363
Grand Total 19,907 24,872
Table 2. Annual Cost per Unit Floor Area
Component

NEW HVAC
($/ft²)

OLD HVAC
($/ft²)
Air System Fans 0.000 0.000
Cooling 0.579 0.558
Heating 0.047 0.187
Pumps 0.000 0.089
Heat Rejection Fans 0.000 0.117
HVAC Sub-Total 0.626 0.951
Lights 0.330 0.330
Electric Equipment 0.349 0.349
Misc. Electric 0.000 0.000
Misc. Fuel Use 0.000 0.000
Non-HVAC Sub-Total 0.679 0.679
Grand Total 1.305 1.630
Gross Floor Area (ft²) 15259.0 15259.0
Conditioned Floor Area (ft²) 15259.0 15259.0
Note: Values in this table are calculated using the Gross Floor Area.

Table 3. Component Cost as a Percentage of Total Cost
Component

NEW HVAC
(%)

OLD HVAC
(%)
Air System Fans 0.0 0.0
Cooling 44.4 34.2
Heating 3.6 11.5
Pumps 0.0 5.5
Heat Rejection Fans 0.0 7.2
HVAC Sub-Total 47.9 58.3
Lights 25.3 20.3
Electric Equipment 26.7 21.4
Misc. Electric 0.0 0.0
Misc. Fuel Use 0.0 0.0
Non-HVAC Sub-Total 52.1 41.7
Grand Total 100.0 100.0
Hourly Analysis Program 5.11 Page 1 of 3

20.b
Packet Pg. 436 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades) Annual Energy and Emissions Summary
22335 EL CENTRO CITY HALL 01/17/2023
PH Mechanial 12:20PM
Table 1. Annual Costs
Component

NEW HVAC
($)

OLD HVAC
($)
HVAC Components
Electric 9,544 11,656
Natural Gas 0 2,853
Fuel Oil 0 0
Propane 0 0
Remote HW 0 0
Remote Steam 0 0
Remote CW 0 0
HVAC Sub-Total 9,544 14,509
Non-HVAC Components
Electric 10,363 10,363
Natural Gas 0 0
Fuel Oil 0 0
Propane 0 0
Remote HW 0 0
Remote Steam 0 0
Non-HVAC Sub-Total 10,363 10,363
Grand Total 19,907 24,872
Table 2. Annual Energy Consumption
Component NEW HVAC OLD HVAC
HVAC Components
Electric (kWh) 68,174 83,258
Natural Gas (*) 0 1,385
Fuel Oil (na) 0 0
Propane (na) 0 0
Remote HW (na) 0 0
Remote Steam (na) 0 0
Remote CW (na) 0 0
Non-HVAC Components
Electric (kWh) 74,022 74,024
Natural Gas (*) 0 0
Fuel Oil (na) 0 0
Propane (na) 0 0
Remote HW (na) 0 0
Remote Steam (na) 0 0
Totals
Electric (kWh) 142,195 157,282
Natural Gas (*) 0 1,385
Fuel Oil (na) 0 0
Propane (na) 0 0
Remote HW (na) 0 0
Remote Steam (na) 0 0
Remote CW (na) 0 0
(*) Energy Units differ among Buildings.

Hourly Analysis Program 5.11 Page 2 of 3

20.b
Packet Pg. 437 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades) Annual Energy and Emissions Summary
22335 EL CENTRO CITY HALL 01/17/2023
PH Mechanial 12:20PM
Table 3. Annual Emissions
Component NEW HVAC OLD HVAC
CO2 Equivalent (lb) 0 0
Table 4. Annual Cost per Unit Floor Area
Component

NEW HVAC
($/ft²)

OLD HVAC
($/ft²)
HVAC Components
Electric 0.626 0.764
Natural Gas 0.000 0.187
Fuel Oil 0.000 0.000
Propane 0.000 0.000
Remote HW 0.000 0.000
Remote Steam 0.000 0.000
Remote CW 0.000 0.000
HVAC Sub-Total 0.626 0.951
Non-HVAC Components
Electric 0.679 0.679
Natural Gas 0.000 0.000
Fuel Oil 0.000 0.000
Propane 0.000 0.000
Remote HW 0.000 0.000
Remote Steam 0.000 0.000
Non-HVAC Sub-Total 0.679 0.679
Grand Total 1.305 1.630
Gross Floor Area (ft²) 15259.0 15259.0
Conditioned Floor Area (ft²) 15259.0 15259.0
Note: Values in this table are calculated using the Gross Floor Area.

Table 5. Component Cost as a Percentage of Total Cost
Component

NEW HVAC
(%)

OLD HVAC
(%)
HVAC Components
Electric 47.9 46.9
Natural Gas 0.0 11.5
Fuel Oil 0.0 0.0
Propane 0.0 0.0
Remote HW 0.0 0.0
Remote Steam 0.0 0.0
Remote CW 0.0 0.0
HVAC Sub-Total 47.9 58.3
Non-HVAC Components
Electric 52.1 41.7
Natural Gas 0.0 0.0
Fuel Oil 0.0 0.0
Propane 0.0 0.0
Remote HW 0.0 0.0
Remote Steam 0.0 0.0
Non-HVAC Sub-Total 52.1 41.7
Grand Total 100.0 100.0
Hourly Analysis Program 5.11 Page 3 of 3

20.b
Packet Pg. 438 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades) Analysis Details
Project: 22335 EL CENTRO CITY HALL.EEA 3/24/2023
Prepared By: PH MECHANICAL ENGINEERING 8:45:39 AM

EXISTING VS NEW
Type of Analysis Public Sector Lifecycle Analysis
Type of Design Alternatives Mutually Exclusive
Length of Analysis 30 yrs
Discount Rate 0.00 %
1A. Summary of Results
Base Case EXISTING HVAC [EXISTING]
Challenger [Winner] NEW HVAC [NEW]
[EXISTING] Total Present Worth ($) $690,252
[NEW] Total Present Worth ($) $454,059
Net Present Worth Savings ($) $236,193
Savings-To-Investment Ratio (SIR) 999.999
Payback Period (yrs) 0.0 years
1B. Comparative Analysis Details
Cash Flow
(Present Worth $)
SIR and Payback Calculation
(Present Worth $)
Year Date [EXISTING]
Cash Flow
($)
[NEW]
Cash Flow
($)
Net
Present
Worth
Savings ($)
Operating
Cost
Savings
($)
Cumulative
Operating
Cost
Savings
($)
Additional
Investment
Cost
($)
Cumulative
Additional
Investment
Cost
($)
Year-End
SIR
0 Initial 0 0 0 0 0 0 0 0.000
1 1 14,509 9,544 4,965 4,965 4,965 0 0 999.999
2 2 14,944 9,830 5,114 5,114 10,078 0 0 999.999
3 3 15,392 10,125 5,267 5,267 15,345 0 0 999.999
4 4 15,854 10,429 5,425 5,425 20,770 0 0 999.999
5 5 16,330 10,742 5,588 5,588 26,358 0 0 999.999
6 6 16,819 11,064 5,755 5,755 32,113 0 0 999.999
7 7 17,324 11,396 5,928 5,928 38,041 0 0 999.999
8 8 17,844 11,738 6,106 6,106 44,147 0 0 999.999
9 9 18,379 12,090 6,289 6,289 50,436 0 0 999.999
10 10 18,930 12,453 6,478 6,478 56,914 0 0 999.999
11 11 19,498 12,826 6,672 6,672 63,586 0 0 999.999
12 12 20,083 13,211 6,872 6,872 70,458 0 0 999.999
13 13 20,686 13,607 7,078 7,078 77,536 0 0 999.999
14 14 21,306 14,016 7,291 7,291 84,827 0 0 999.999
15 15 21,946 14,436 7,509 7,509 92,336 0 0 999.999
16 16 22,604 14,869 7,735 7,735 100,071 0 0 999.999
17 17 23,282 15,315 7,967 7,967 108,038 0 0 999.999
18 18 23,980 15,775 8,206 8,206 116,243 0 0 999.999
19 19 24,700 16,248 8,452 8,452 124,695 0 0 999.999
20 20 25,441 16,735 8,705 8,705 133,401 0 0 999.999
21 21 26,204 17,237 8,967 8,967 142,367 0 0 999.999
22 22 26,990 17,755 9,236 9,236 151,603 0 0 999.999
23 23 27,800 18,287 9,513 9,513 161,116 0 0 999.999
24 24 28,634 18,836 9,798 9,798 170,914 0 0 999.999
25 25 29,493 19,401 10,092 10,092 181,006 0 0 999.999
26 26 30,378 19,983 10,395 10,395 191,400 0 0 999.999
27 27 31,289 20,582 10,707 10,707 202,107 0 0 999.999
28 28 32,228 21,200 11,028 11,028 213,135 0 0 999.999
29 29 33,195 21,836 11,359 11,359 224,494 0 0 999.999
30 30 34,190 22,491 11,699 11,699 236,193 0 0 999.999
Engineering Economic Analysis v3.1 Page 1 of 2

20.b
Packet Pg. 439 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades) Analysis Details
Project: 22335 EL CENTRO CITY HALL.EEA 3/24/2023
Prepared By: PH MECHANICAL ENGINEERING 8:45:39 AM
Cash Flow
(Present Worth $)
SIR and Payback Calculation
(Present Worth $)
Year Date [EXISTING]
Cash Flow
($)
[NEW]
Cash Flow
($)
Net
Present
Worth
Savings ($)
Operating
Cost
Savings
($)
Cumulative
Operating
Cost
Savings
($)
Additional
Investment
Cost
($)
Cumulative
Additional
Investment
Cost
($)
Year-End
SIR
Totals 690,252 454,059 236,193 236,193 0
Engineering Economic Analysis v3.1 Page 2 of 2

20.b
Packet Pg. 440 Attachment: Resolution Exhibit A - Energy Consumption Savings Report (5848 : City Hall AC Energy Efficiency Upgrades)

20.c
Packet Pg. 441 Attachment: Resolution Exhibit B - Vic's Proposal Option B (5848 : City Hall AC Energy Efficiency Upgrades)

20.c
Packet Pg. 442 Attachment: Resolution Exhibit B - Vic's Proposal Option B (5848 : City Hall AC Energy Efficiency Upgrades)

20.c
Packet Pg. 443 Attachment: Resolution Exhibit B - Vic's Proposal Option B (5848 : City Hall AC Energy Efficiency Upgrades) NOTICE OF PUBLIC HEARING – APPROVAL OF ENERGY EFFICIENCY PROJECT FOR CITY HALL FACILITIES

CITY OF EL CENTRO CITY HALL

CITY COUNCIL CHAMBERS
1275 W Main Street, El Centro, CA
NOTICE hereby is given that on April 18, 2023 at 6:00 PM or as soon thereafter as it may be heard, during the regularly scheduled City Council meeting, the El Centro City Council, will hold a public hearing to consider a resolution setting forth findings required by Government Code section 4217.10 et seq regarding anticipated energy cost savings and other benefits from entering into an Energy Efficiency Project contract with Vic’s Mechanical Service Contractors for construction of energy efficiency project at City Hall facilities.

Copies of the proposed resolution, agreement and supporting documents, including the energy efficiency analysis prepared by an outside consultant, are on file for review at the Office of the City Clerk, at City Hall, at 1275 W. Main Street, El Centro, CA. Such documents also will be available on the City website as part of the published agenda.

If approved, the agreement will be effective upon approval by the contractor and the City. At the public hearing, the City Council will hear and consider all comments regarding this proposed project.

Anyone wishing to protest this action must file a written response or may appear personally at the public hearing. Prior to the hearing, written comments in favor or against should be sent to City Clerk, City Hall at the address above. If you challenge the project in court, you may be held to raising only those issues you or someone else raised at the public hearing or in written correspondence to the City Clerk at or prior to the public hearing as described in this notice.

For further information regarding the proposed project, please contact Abraham Campos, Public Works Director, at (760) 336-3152 or [email protected] during normal business hours, which are Monday through Friday, between the hours of 8:00 a.m. and 5:00 p.m.

Norma Wyles
City Clerk
City of El Centro

20.d
Packet Pg. 444 Attachment: Notice of Public Hearing 00068548 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 1

CITY OF EL CENTRO

CITY HALL HVAC REHABILITATION AND MODERNIZATION PROJECT

CONSTRUCTION SERVICES AGREEMENT
This CONSTRUCTION SERVICES AGREEMENT (“Agreement”), is made and effective as of the last signature date set forth below ("Effective Date"), by and between the City of El Centro, a municipal corporation ("CITY"), and Holtville Air Conditioning & Electrical, Inc., dba Vic's Air Conditioning & Electrical, an active California Corporation ("CONTRACTOR"). In consideration of the mutual covenants and conditions set forth herein, the parties agree as follows:

I. SCOPE OF WORK
The CONTRACTOR shall perform within the time set forth in Article 2 of this Agreement and shall furnish all labor, materials, equipment, tools, utility services, and transportation and perform and complete all work required in connection with the construction of City of El Centro HVAC Energy Efficiency Project (hereinafter “Project”). The Scope generally is described as follows:

While City Hall functions remain in operation at all times, contractor’s work shall include:

1. Assist and coordinate with the City’s design engineer pre-construction and during construction to modify the scope as needed and obtain a building permit set of drawings and specifications.

2. Obtain a building permit from the City of El Centro building department.

3. Demolition of Chilled water system and boiler and associated infrastructure.

4. Furnish and install HVAC equipment

5. Fabricate and install ductwork in support of new HVAC equipment

6. Provide for Electrical/Fire Alarm infrastructure in support of new HVAC equipment.

7. Furnish and install wireless temperature control systems and associated infrastructure for new HVAC.

8. Modify, fabricate and install new structural steel members and perform roof penetrations to support the new HVAC system

9. Associated construction including protection of existing buildings, cleaning, patching of existing building after work is complete to match existing, including roof, walls, floors, ceilings, etc.

10. Provide 3rd party independent test and balance for the new HVAC systems

11. Provide shop drawings and As-built record drawings

12. Provide manufacturer warranty and 1-year workmanship guarantee for all work performed.

Furthermore, the City has obtained the services of Nicklaus Engineering Inc (Design Consultant) for design services. Contractor shall complete the work in general conformance with the approved Nicklaus Engineering Inc construction set and Technical specifications that form a part of this agreement. Contractor shall advice

20.e
Packet Pg. 445 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 2
City and Design Consultant prior to commencing work or expense of any value engineering options that may be considered by the city in order to accelerate construction, reduce cost or both.

By entering into this Agreement, CONTRACTOR acknowledges that there may be other contractors on the site whose work will be coordinated with that of its own.

CONTRACTOR expressly warrants and agrees that it will cooperate with other contractors and will do nothing to delay, hinder, or interfere with the work of other separate contractors, the CITY, the Construction Manager, the Design Consultant, or utilities. CONTRACTOR also expressly agrees that, in the event its work is hindered, delayed, interfered with, or otherwise affected by a separate contractor, its sole remedy will be a direct action against the separate contractor. To the extent allowed by law, the CONTRACTOR will have no remedy, and hereby expressly waives any remedy against the CITY, the Construction Manager, or the Design Consultant on account of delay, hindrance, interference or other events caused by a separate contractor.

II. TIME FOR PROJECT COMPLETION
All of CONTRACTOR’s work on the Project shall be completed within durations established for the individual activities as set forth in the Project Construction Schedule.

All work shall commence ten (10) calendar days after receiving a written Notice to Proceed from the CITY or Construction Manager, if a Construction Manager is employed by CITY on the Project. CONTRACTOR shall refer to the Project Plans and Specifications, all of which, as set forth below, are incorporated herein by reference, for contractual obligations regarding individual activity durations. The aggregate sum total work of all individual Prime Contractors to the CITY comprises the entire “Project” and shall be commenced and completed in conformance with the Project Construction Schedule. The entire Project shall be completed within 180 consecutive calendar days.

III. THE CONTRACT SUM
The CITY shall pay to the CONTRACTOR for the performance of this Agreement, subject to any additions and deductions provided in the Project documents, the sum of One Million One Hundred Seventy-Eight Thousand Five Hundred Ninety Dollars ($1,178,590.00).

IV. PROGRESS PAYMENTS
Based upon Applications for Payment submitted to the CITY by the CONTRACTOR and Certificates for Payment issued by the CITY the CITY shall make progress payments on account of the Contract Sum to the CONTRACTOR as provided in the General Conditions.

This Agreement is subject to the provisions of Article 1.7 (commencing at Section 20104.50) of Division 2, Part 3 of the Public Contract Code regarding prompt payment of contractors by local governments. Article 1.7 mandates certain procedures for the payment of undisputed and properly submitted payment requests within 30 days after receipt, for

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Packet Pg. 446 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 3
the review of payment requests, for notice to Contractor of improper payment requests, and provides for the payment of interest on progress payment requests that are not timely made in accordance with that Article. This AGREEMENT hereby incorporates the provisions of Article 1.7 as though fully set forth herein.

V. RETENTION OF SECURITIES
Public Contract Code Section 22300 permits the substitution of securities for any monies withheld by a public agency to ensure performance under a contract, at the request and expense of the CONTRACTOR.

VI. INDEMNITY, DEFENSE AND HOLD HARMLESS AGREEMENT
CONTRACTOR shall indemnify, defend with legal counsel approved by CITY, and hold harmless CITY, its officers, officials, employees and volunteers from and against all liability, loss, damage, expense, cost (including without limitation reasonable legal counsel fees, expert fees and all other costs and fees of litigation) of every nature arising out of or in connection with CONTRACTOR's negligence, recklessness or willful misconduct in the performance of work hereunder or its failure to comply with any of its obligations contained in this Agreement, except such loss or damage which is caused by the sole or active negligence or willful misconduct of the CITY. Should conflict of interest principles preclude a single legal counsel from representing both CITY and CONTRACTOR, or should CITY otherwise find CONTRACTOR’s legal counsel unacceptable, then CONTRACTOR shall reimburse the CITY its costs of defense, including without limitation reasonable legal counsels fees, expert fees and all other costs and fees of litigation. The CONTRACTOR shall promptly pay any final judgment rendered against the CITY (and its officers, officials, employees and volunteers) with respect to claims determined by a trier of fact to have been the result of the CONTRACTOR’s negligent, reckless or wrongful performance. It is expressly understood and agreed that the foregoing provisions are intended to be as broad and inclusive as is permitted by the law of the State of California and will survive termination of this Agreement.

CONTRACTOR obligations under this section apply regardless of whether or not such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by an Indemnitee. However, without affecting the rights of CITY under any provision of this agreement, CONTRACTOR shall not be required to indemnify and hold harmless CITY for liability attributable to the active negligence of CITY, provided such active negligence is determined by agreement between the parties or by the findings of a court of competent jurisdiction. In instances where CITY is shown to have been actively negligent and where CITY active negligence accounts for only a percentage of the liability involved, the obligation of CONTRACTOR will be for that entire portion or percentage of liability not attributable to the active negligence of CITY.

VII. PREVAILING WAGES

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Packet Pg. 447 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 4
A. Wage rates for this Project shall be in accordance with the “General Wage Determination Made by the Director of Industrial Relations Pursuant To California Labor Code, Part 7, Chapter 1, Article 2, Sections 1770, 1773 and 1773.1", for Imperial County. Wage rates shall conform with those available at the DIR websie at www.dir.ca.gov/OPRL/Pwd. and on the Project site.

B. The following Labor Code sections are hereby referenced and made a part of this Agreement:

1. Section 1775 - Penalty for Failure to Comply with Prevailing Wage Rates.

2. Section 1777.4 - Apprenticeship Requirements.

3. Section 1777.5 - Apprenticeship Requirements.

4. Section 1813 - Penalty for Failure to Pay Overtime.

5. Sections 1810 and 1811 - Working Hour Restrictions.

6. Section 1775 - Payroll Records.

7. Section 1773.8 - Travel and Subsistence Pay.

VIII. RECORD AUDIT
In accordance with Government Code, Section 8546.7, records of both the CITY and the CONTRACTOR shall be subject to examination and audit by the Auditor General for a period of three (3) years after final payment.

IX. CLAIM PROCEDURES UNDER PUBLIC CONTRACT CODE SECTION 9204 CONTRACTOR shall comply with the procedure set forth in Public Contracts Code section 9204 for any claim, as that term is defined therein, for one or more of the following:
1) a time extension, including, without limitation, for relief from damages or penalties for delay, 2) payment of money or damages arising from work done pursuant to this Agreement, and/or 3) payment of an amount disputed by the AGENCY under this Agreement.

X. CERTIFICATIONS
A. Contractor shall have a C-20 license from the Contractors State License Board of the State of California.

XI. FINAL PAYMENT
Final payment, constituting the entire unpaid balance of the Agreement Sum, shall be paid by the CITY to the CONTRACTOR no sooner than thirty-five (35) days after a Notice of Completion has been recorded, unless otherwise stipulated in the Notice of Completion, provided the work has then been completed, the Agreement fully performed, and a final Certificate for Payment has been issued by the CITY.

XII. CONTRACTOR'S FAILURE TO PROCURE COMPLETION OF PROJECT

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Packet Pg. 448 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 5
In the event CONTRACTOR fails to furnish tools, equipment, or labor in the necessary quantity or quality, or fails to prosecute the work or any part thereof contemplated by this Agreement in a diligent and workmanlike manner, and if the CONTRACTOR for a period of three (3) calendar days after receipt of written demand from CITY or its designated representative to do so, fails to furnish tools, equipment, or labor in the necessary quantity or quality, and to prosecute its work and all parts thereof in a diligent and workmanlike manner, or after commencing to do so within said three (3) calendar days, fails to continue to do so; then the CITY may exclude the CONTRACTOR from the premises, or any portion thereof, and take possession of said premises or any portion thereof, together with all material and equipment thereon, and may complete the work contemplated by this Agreement or any portion of said work, either by furnishing the tools, equipment, labor or material necessary, or by letting the unfinished portion of said work, or the portion taken over by the CITY to another contractor or by a combination of such methods. In any event, the procuring of the completion of said work, or the portion thereof taken over by the CITY, shall be a charge against the CONTRACTOR, and may be deducted from any money due or becoming due to CONTRACTOR from the CITY, or the CONTRACTOR shall pay the CITY the amount of said charge, or the portion thereof unsatisfied. The sureties provided for under this Agreement shall become liable for payment should CONTRACTOR fail to pay in full any said cost incurred by the CITY.

XIII. INSURANCE
Prior to the beginning of and throughout the duration of the Work, CONTRACTOR and its subcontractors shall maintain insurance in conformance with the requirements set forth below. CONTRACTOR will use existing coverage to comply with these requirements. If that existing coverage does not meet the requirements set forth herein, CONTRACTOR agrees to amend, supplement or endorse the existing coverage to do so.

CONTRACTOR acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. Any insurance proceeds available to CONTRACTOR or its subcontractors in excess of the limits and coverage identified in this Agreement and which is applicable to a given loss, claim or demand, will be equally available to CITY.

A. CONTRACTOR shall provide the following types and amounts of insurance:

Without limiting CONTRACTOR’s indemnification of CITY, and prior to commencement of Work, CONTRACTOR shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to CITY.

General liability insurance. CONTRACTOR shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $2,000,000 completed

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Packet Pg. 449 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 6
operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.

Automobile liability insurance. CONTRACTOR shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the CONTRACTOR arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.

Umbrella or excess liability insurance. CONTRACTOR shall obtain and maintain an umbrella or excess liability insurance that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
• A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectable in whole or in part for any reason;
• Pay on behalf of wording as opposed to reimbursement; • Concurrency of effective dates with primary policies; • Policies shall “follow form” to the underlying primary policies; and • Insureds under primary policies shall also be insureds under the umbrella or excess policies.

Workers’ compensation insurance. CONTRACTOR shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for CONTRACTOR’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, CONTRACTOR shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees.

CONTRACTOR shall submit to CITY, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of CITY, its officers, agents, employees and volunteers.

Pollution liability insurance. Environmental Impairment Liability Insurance shall be written on a CONTRACTOR’s Pollution Liability form or other form acceptable to CITY providing coverage for liability arising out of sudden, accidental and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for the hauling of waste from the project site to the final disposal location, including non-owned disposal sites.

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Packet Pg. 450 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 7
Products/completed operations coverage shall extend a minimum of three (3) years after project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The CITY, its officials, officers, agents, and employees, shall be included as insureds under the policy.

Builder’s risk insurance. Upon commencement of construction and with approval of CITY, CONTRACTOR shall obtain and maintain builder’s risk insurance for the entire duration of the Project until only the CITY has an insurable interest. The Builder’s Risk coverage shall include the coverages as specified below.

The named insureds shall be CONTRACTOR and CITY, including its officers, officials, employees, and agents. All Subcontractors (excluding those solely responsible for design Work) of any tier and suppliers shall be included as additional insureds as their interests may appear. CONTRACTOR shall not be required to maintain property insurance for any portion of the Project following transfer of control thereof to CITY. The policy shall contain a provision that all proceeds from the builder’s risk policy shall be made payable to the CITY. The CITY will act as a fiduciary for all other interests in the Project.

Policy shall be provided for replacement value on an "all risk" basis for the completed value of the project. There shall be no coinsurance penalty or provisional limit provision in any such policy. Policy must include: (1) coverage for any ensuing loss from faulty workmanship, Nonconforming Work, omission or deficiency in design or specifications; (2) coverage against machinery accidents and operational testing; (3) coverage for removal of debris, and insuring the buildings, structures, machinery, equipment, materials, facilities, fixtures and all other properties constituting a part of the Project; (4) Ordinance or law coverage for contingent rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by the supplier or receiving contractor), with sub-limits sufficient to insure the full replacement value of any key equipment item; (6) Ocean marine cargo coverage insuring any Project materials or supplies, if applicable; (7) coverage with sub-limits sufficient to insure the full replacement value of any property or equipment stored either on or off the Site or any staging area. Such insurance shall be on a form acceptable to CITY to ensure adequacy of terms and sub limits and shall be submitted to the CITY prior to commencement of construction.

Other provisions or requirements
Proof of insurance. CONTRACTOR shall provide certificates of insurance to CITY as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by CITY’s risk manager prior to commencement of performance. Current certification of insurance shall be kept on file with CITY at all times during the term of this

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Packet Pg. 451 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 8
contract. CITY reserves the right to require complete, certified copies of all required insurance policies, at any time.

Duration of coverage. CONTRACTOR shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by CONTRACTOR, his agents, representatives, employees or subcontractors.

CONTRACTOR must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. CITY and its officers, officials, employees, and agents shall continue as additional insureds under such policies.

Primary/noncontributing. Coverage provided by CONTRACTOR shall be primary and any insurance or self-insurance procured or maintained by CITY shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of CITY before the CITY’s own insurance or self-insurance shall be called upon to protect it as a named insured.

City’s rights of enforcement. In the event any policy of insurance required under this Agreement does not comply with these requirements or is canceled and not replaced, CITY has the right but not the duty to obtain the insurance it deems necessary and any premium paid by CITY will be promptly reimbursed by CONTRACTOR or CITY will withhold amounts sufficient to pay premium from CONTRACTOR payments. In the alternative, CITY may cancel this Agreement.

Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the CITY’s risk manager.

Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against CITY, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow CONTRACTOR or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. CONTRACTOR hereby waives its own right of recovery against CITY, and shall require similar written express waivers and insurance clauses from each of its sub consultants.

Enforcement of contract provisions (non estoppel). CONTRACTOR acknowledges and agrees that any actual or alleged failure on the part of the CITY to inform CONTRACTOR of non-compliance with any requirement imposes no additional obligations on the CITY nor does it waive any rights hereunder.

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Packet Pg. 452 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 9
Requirements not limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the CONTRACTOR maintains higher limits than the minimums shown above, the CITY requires and shall be entitled to coverage for the higher limits maintained by the CONTRACTOR. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the CITY.

Notice of cancellation. CONTRACTOR agrees to oblige its insurance agent or broker and insurers to provide to CITY with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage.

Additional insured status. General liability policies shall provide or be endorsed to provide that CITY and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies.

Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to CITY and approved of in writing.

Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that CONTRACTOR’s insurance shall apply separately to each insured against who claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.

Pass through clause. CONTRACTOR agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the project that is brought onto or involved in the project by CONTRACTOR, provide the same minimum insurance coverage and endorsements required of CONTRACTOR. CONTRACTOR agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. CONTRACTOR agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to CITY for review.

City’s right to revise requirements. The CITY reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the CONTRACTOR a ninety (90) day advance written notice of such change. If such change results in substantial additional cost to the CONTRACTOR, the CITY and CONTRACTOR may renegotiate CONTRACTOR’s compensation.

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Packet Pg. 453 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 10
Self-insured retentions. Any self-insured retentions must be declared to and approved by CITY. CITY reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by CITY.

Timely notice of claims. CONTRACTOR shall give CITY prompt and timely notice of claims made or suits instituted that arise out of or result from CONTRACTOR’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies.

Additional insurance. CONTRACTOR shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.

XIV. CONTRACTOR'S LICENSE; CITY BUSINESS LICENSE
CONTRACTOR must possess at the time of commencing work and throughout the Project duration, a Contractor's License, issued by the State of California, which is current and in good standing. CONTRACTOR shall ensure that any subcontractor working on the Project possesses at the time of commencing work and throughout the Project duration, a Contractor's License, issued by the State of California, which is current and in good standing.

CONTRACTOR shall have a current City business license at the time of commencement of work on the project.

XV. REGISTRATION REQUIREMENTS [applicable to public works projects] Pursuant to Section 1771.1(a) of the Labor Code:
“A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.” CONTRACTOR must be registered with the Department of Industrial Relations (DIR) of the State of California in order to be eligible to work on public works projects.

CONTRACTOR must ensure registration with the DIR that is active and in good standing.

No contractor or subcontractor may be listed on a bid proposal for a public works project (submitted on or after March 1, 2015) unless registered with the Department of Industrial

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Packet Pg. 454 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 11
Relations pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)].

No contractor or subcontractor may be awarded a contract for public work on a public works project (awarded on or after April 1, 2015) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5.

This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations.

The CONTRACTOR is not subject to public works requirements (including registration with the DIR) if the public works project is under $1,000, unless the CITY knows that the same CONTRACTOR will be awarded total project costs in excess of $1,000 for a given year.

XVI. CORPORATION IN GOOD STANDING
If CONTRACTOR is a corporation, the undersigned hereby represents and warrants that the corporation is duly incorporated and in good standing in the State of California, and that , whose title is , is authorized to act for and bind the corporation.

XVII. PROVISIONS REQUIRED BY LAW
Each and every provision of law and clause required by law to be inserted in this Agreement shall be deemed to be inserted herein and the Agreement shall be read and enforced as though it were included herein, and if through mistake or otherwise any such provision is not inserted, or is not currently inserted, then upon application of either party the Agreement shall forthwith be physically amended to make such insertion or correction.

XVIII. SUBSURFACE HAZARDOUS MATERIALS
A. In the event trenches or other excavations extend deeper than four (4) feet below the surface, the CONTRACTOR shall promptly, and before the following conditions are disturbed, notify the CITY in writing of any:

1. Material that the CONTRACTOR believes may be material that is hazardous waste, as defined in Section 25117 of the Health and Safety Code that is required to be removed to a Class I, Class II or Class III disposal site in accordance with the provisions of existing law.

2. Subsurface or latent physical conditions at the site differing from those indicated.

3. Unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in the Work or the character provided for in the CONTRACT.

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Packet Pg. 455 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 12
B. Upon receipt of said notification the CITY will investigate the conditions, and if it finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in the CONTRACTOR's cost of or the time required for performance of any part of the work, the CITY will issue a change order under the procedures described in the General Conditions.

C. In the event that a dispute arises between the CITY and the CONTRACTOR whether the conditions materially differ, or involve hazardous waste or cause a decrease or increase in the CONTRACTOR's cost of or time required for performance of any part of the work, the CONTRACTOR shall not be excused from any scheduled completion date provided for by the Agreement, but shall proceed with all work to be performed under the Agreement. The CONTRACTOR shall retain any and all rights provided either by Agreement or by law which pertain to the resolution of disputes and protests between the contracting parties.

XIX. LIQUIDATED DAMAGES
Pursuant to Government Code Section 53069.85, if work is not completed within the contract time or in strict accordance with the Project Schedule, it is understood, acknowledged and agreed that the CITY will suffer damage. It is therefore agreed that the CONTRACTOR shall pay to the CITY the sum of one thousand dollars ($1,000.00) for each and every calendar day of delay beyond the Contract Time, or beyond any completion schedule, construction schedule or Project milestones established in or pursuant to the Project Schedule, or beyond the time indicated in the Project Schedule for any individual Contract activity.

CONTRACTOR expressly understands, acknowledges and agrees that such liquidated damages can and shall be imposed if the CONTRACTOR does not meet each and every aspect of any activity schedule, completion schedule, construction schedule or Project milestones established in or pursuant to the Project Schedule. If the CITY accepts work or makes any payment under this Agreement after a default by reason of delays, the acceptance of such work and/or payment(s) shall in no respect constitute a waiver or modification of any provisions regarding Contract Time, a completion schedule, the Project Schedule or the accrual of liquidated damages. In the event the same is not paid, the CONTRACTOR further agrees that the CITY may deduct the amount thereof from any money due or that may become due the CONTRACTOR under the Agreement. This Article does not exclude recovery of damages under provisions of the Contract Documents, and is expressly in addition to the CITY’s ability to seek other damages.

CONTRACTOR is to refer to Project Construction Schedule for duration of individual activities. Liquidated damages may be assessed if any individual activity duration exceeds the time indicated for that activity on the Project Construction Schedule.

XX. BONDS

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Packet Pg. 456 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 13
CONTRACTOR shall furnish Performance and Payment Bonds, each in the amount of 100% of the cost of the Project, as security for the faithful performance and payment of all CONTRACTOR’s obligations under the Contract Documents. These Bonds shall remain in effect at least until one (1) year after the filing date of Notice of Completion, except as otherwise provided by law or regulation or by the Contract Documents.

Licensed Surety - All Bonds shall be in the form provide by the City and shall be provided by sureties which are admitted insurers in the State of California and are subject to regulation by the Department of Insurance, and which also satisfy the requirements stated in section 995.660 of the Code of Civil Procedure, except as provided otherwise. All Bonds signed by an agent must be accompanied by a certified copy of such agent’s authority to act. Surety companies must be duly licensed or authorized in the jurisdiction in which the Project is located to issue Bonds for the limits so required.

Bankrupt or Insolvent Surety - If the surety on any Bond furnished by CONTRACTOR is declared bankrupt or becomes insolvent or its right to do business is terminated in any state where any part of the WORK is located, CONTRACTOR shall within seven (7) Days thereafter substitute another Bond and Surety, which must be acceptable to the City.

XXI. COMPONENT PARTS OF THE CONTRACT
This Agreement entered into consists of the following CONTRACT DOCUMENTS, attached and incorporated as if full set forth herein.
[The below list is an example of the types of document to list but is not intended to be all inclusive]
Exhibit A
Exhibit B List of Subcontractors
General Information
Corporate Certification
Non-Collusion Declaration Certificate Re. Worker’s Compensation Drug/Alcohol Testing Requirements
Faithful Performance Bond Plans and Specifications
Labor and Materials Payment Bond
Drawings
Change Orders
Shop Drawings Transmittals
Project Construction Schedule Contractor’s Certificate Regarding Non-Asbestos Containing Materials Contractor’s Certification of Qualification
For License Classification
Public Contract Code 9204

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Packet Pg. 457 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) 03/2023/cdz/A23-0019/Agreement/CityHallHVacProject 14
All of the above named CONTRACT DOCUMENTS are intended to be complementary.

Work required by one of the above named CONTRACT DOCUMENTS and not by others shall be done as if required by all.

XXII. ENTIRE CONTRACT
This Agreement constitutes the entire contract of the parties. No other agreements or contracts, whether oral or written, pertaining to the work to be performed, exist between the parties. This Agreement can be modified only by an amendment in writing, signed by both parties.

CONTRACTOR CITY
Holtville Air Conditioning City of El Centro
& Electrical, Inc., dba Vic’s Air Conditioning
& Electrical
By: ____________________________ By: ____________________________

Title: __________________________ Title: __________________________ Date: __________________________ Date: __________________________ ATTACHMENTS:

Exhibit A
Exhibit B
List of Subcontractors
General Information
Non-collusion Declaration
Corporate Certification
Drug/Alcohol Testing Requirements
Workers’ Compensation Certificate
Contractor’s Certification of Qualification for License Classification Public Contract Code 9204
Faithful Performance Bond
Labor and Materials Bond

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Packet Pg. 458 Attachment: Proposed Agreement 00068615 (5848 : City Hall AC Energy Efficiency Upgrades) City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Community Services
El Centro, CA 92243 Category: Public Hearing
Prepared By: Stacy Mendoza
SCHEDULED Department Head: Adriana Nava
ACTION ITEM (ID # 5925) DOC ID: 5925
Discussion and necessary action regarding a Substantial Amendment to 2019-2020 Annual Action Plan for the
allocation of Community Development Block Grant - COVID-19 (CDBG-CV) funds to the Restaurant Meals for Seniors Program
CITY MANAGER’S RECOMMENDATION:

Approval of an Amendment to the 2019-2020 Annual Action Plan subject to the 5-day public review period and authorize the Interim City Manager to submit a letter to HUD to request authorization for the amendments.

FISCAL IMPACT:

This is an amendment to the CDBG 2019-2020 Annual Action Plan, wherein the CDBG-COVID-19 (CDBG-CV) funding was programmed and allocated to various activities.

Funding in the amount of $39,883 will be re-allocated from the Business Thermometers, Protective Equipment, and Micro Loans activities to the Area Agency on Aging's Restaurant Meals for Seniors Program.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal #3: Community Health, Safety, and Welfare
Action 3.2: Collaborate with regional agencies and organizations to invest in and improve public health services and facilities.

DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

N/A
BACKGROUND:

On March 27, 2020, the United States Congress passed the Coronavirus Aid, Relief, and Economic Security Act, also known as the CARES Act (H.R. 748). The bill provided $5 billion for CDBG Programs to rapidly respond to COVID-19 and the economic and housing impacts caused by the virus. The City of El Centro was allocated $333,375 in Community Development Block Grant - Coronavirus (CDBG-CV) funding as part of the Round 1 allocations.

The CDBG-CV funds allocated under the CARES Act may be used for a range of eligible activities that prevent, prepare for, and respond to COVID-19. The proposed activities must meet one of the three National Objectives as required by CDBG regulations:
21 Packet Pg. 459
Action Item (ID # 5925) Meeting of April 18, 2023
• Benefit low-and-moderate income persons.
• Aid in the prevention or elimination of slums or blight, and • Meet an urgent need.

For the purpose of an expedited use of the CDBG-CV funding, the CARES Act provided additional flexibilities as follows:
• Eliminated the 15 percent cap on the amount of grant funds that can be used for public services activities;
• Removed the requirement to hold in-person public hearings in order to comply with national and local social gathering requirements; • Allowed grantees to be reimbursed for COVID-19 response activities regardless of the date the costs were incurred;
• Allowed grantees to reduce the public hearing notification to five days; and • Allowed grantees to reduce the public comment period for amendments to five days.

On June 2, 2020, City Council approved an amendment to the 2019-2020 Annual Action Plan to allocate the funding received in Round 1. For this round of funding, Council opted to allocate funds for a Microenterprise Loan Program, the purchase of digital thermometers for City businesses, purchase of Personal Protective Equipment for distribution to the homeless population, and Program Administration.

On September 11, 2020, the City received notification from HUD regarding an additional allocation of $330,246 of CDBG-CV funding through Round 3. On January 5, 2021, Council took action to allocate these funds to the Area Agency on Aging (AAA) for a Restaurant Meals for Seniors Program, utility billing assistance, and rental assistance.

Prior to the utility and rental assistance programs being established, staff was contacted by the County of Imperial advising they had received $23,901,435 in funding for both utility billing and rent assistance. The funding received by the Imperial County was available to the residents of El Centro. Because the County already had this type of program established and could help El Centro residents, they strongly recommended that the City re-allocate the CDBG-CV funding for these programs to other needed services or activities. Subsequently, on January 18, 2022, Council took action to re-allocate the funding set aside from these two activities to the Homeless Day Center.

Since the time of Council making their allocations, the Restaurant Meals for Seniors Program has been operational and successful in serving clientele. They reached the end of their original allocation and through a minor amendment, received an increase of $27,520. This minor amendment was done at a staff level as permitted per CDBG guidelines and Citizen Participation Plan, as it was less than 25% of the original allocation. The program continues to expeditiously serve the public and it is anticipated that it will expend all allocated funding by the end of May 2023.

The CDBG-CV funding does have an upcoming three-year expenditure deadline on July 30, 2023, at which time 80% of the allocated funding ($530,897) must be expended.

Because the Restaurant Meals for Seniors Program is well subscribed and actively spending their funding in a timely manner, staff feels that the re-allocation of this funding 21 Packet Pg. 460
Action Item (ID # 5925) Meeting of April 18, 2023
to the program would be helpful in demonstrating the City’s commitment to delivering eligible activities and attempting to expend funds as expeditiously as possible.

Because the Restaurant Meals for Seniors Program is approaching the end of their allocated funding, this increase will allow the program to continue providing this much needed service to the senior community in El Centro.

It should be noted that the City is currently behind schedule on expending CDBG-CV funding based on HUD’s milestones. This is in large part due to the delay in the opening of the Homeless Day Center, which stalled the expenditure of large level of funding allocated to that program. Staff has discussed the potential ramifications with the City’s HUD representative who has advised that at this time, direction provided in HUD Federal Register Notice dated August 20, 2020, is that unexpended funding will be recaptured by HUD in the amount equivalent to the difference between the total amount expended at the end of the three-year period and the 80% limit. However, the Notice also provides that HUD may authorize an extension of the expenditure requirement of the overall period of performance if the grantee provides evidence of extenuating circumstances that would warrant the extension and that the City would meet all program requirements within the extended expenditure period. Staff is working with the City’s HUD representative on the extension request. At this time there is no solidified process to request the extension and HUD has advised that they will keep us updated as that is developed. Staff anticipates that HUD will require the preparation and submittal of a Workout Plan to HUD detailing the anticipated scheduling and specific dollar disbursements of the deficient activity(ies), and performance benchmarks. The final 100% expenditure deadline is July 30, 2026.

Below is a summary of the current activity funding and recommended re-allocations:

Round Activity Current
allocation
Recommend
ed
Increase/Dec
rease
New
allocation
Comments
1 Micro-enterprise
Loan
Program
$172,480 ($10,980) $161,500 Staff has issued twelve
loans totaling $118,000.

The volume of applications
has significantly
decreased with the last
being submitted in Dec.
2022. With this
recommended decrease in
funding, $30,000 remains
available for future loans.
1 Digital
Thermo-meters for
Businesses
$33,700 ($5,903) $27,797 Program is complete and
the activity has been
closed. The remaining
balance of $5,903 is
available for re-allocation.
1 Personal $33,000 ($23,000) $10,000 Code Enf. staff continues 21 Packet Pg. 461
Action Item (ID # 5925) Meeting of April 18, 2023
Protective
Equipment
to distribute the PPE to
homeless; however, due to
the wide availability and
the decrease in PPE
mandates, the need to
purchase has greatly
decreased. Staff
recommends a decrease
in allocation of $23,000.
1 Program
Admin
$66,675 $0 $66,675 No recommended
changes.
3 Homeless
Day Center
$220,164 $0 $220,164 No recommended
changes.
3 Restaurant
Meals for
Seniors
$137,602 $39,883 $177,485 This program has been
highly successful and is
currently nearing the end
of the activity funding. The
allocation of additional
funding will allow the
program to continue
serving the community and
assist the City in meeting
upcoming expenditure
deadlines.

Total $663,621 Net zero $663,621
CONCLUSION:

It is staff's recommendation that the City Council open the public hearing for this item and receive any public comments on the substantial amendment. It would then be staff's recommendation that the Council approve the amendment subject to a 5-day public review period, which will be from April 19, 2023 through April 23, 2023. Upon conclusion of the 5-day public review period, the amendment will be submitted to HUD for their review and approval.

ATTACHMENTS:
• Table 5 2019-20 as of 041123 (XLSX)
• Table 5 2019-20 amended AAA Substantial Amendment 041823 (PDF) 21 Packet Pg. 462
Summary of CDBG Projects for FY 2019-2020 Amended March 29, 2023 2019
Allocation
State CDBG
Program Income
Reprogrammed
Funds

CDBG-CV
Funds
Housing
Community Services Dept. -
Lead Based Paint Abatement Program Housing $ 5,000 $ 5,000 Community Services Dept. -
Asbestos Testing/Abatement Program Housing $ 10,000 $ 10,000 Community Services Dept. -
Off Site Improvements Program Housing $ 10,000 $ 10,000 Community Services Dept. -
Housing Rehab Program Housing $ 96,000 $ 115,155
SUBTOTAL $ 121,000 $ 140,155
Public Services
Community Services Dept. -
Fair Housing Public Services $ 46,417 $ 46,417
Catholic Charities - Senior Nutrition Public Services $ 12,000 $ 7,500 $ 4,500 Catholic Charities - House of Hope Public Services $ 8,500 $ 8,500 IV LGBT Resource Center - Youth Cadet/Color
Guard Public Services $ 5,000 $ 5,000
Spread the Love Charity - Housing Assistance &
Family Reunification Public Services $ 4,991 $ 4,991
EC PAL - Project ECPAL Rec Program Public Services $ 7,500 $ 7,500 CV-Homeless Outreach - Protection Equipment Public Services $ 33,000 Catholic Charities - Homeless Day Center Public Services $ 220,164 Restaurant Prog. Providing Meals for Seniors Public Services $ 137,602 SUBTOTAL $ 84,408 $ 79,908 $ 4,500 $ - $ 390,766
Code Enforcmenet
Community Development Dept. -
Code Enforcement Code Enforcment $ 82,480 $ 82,480
SUBTOTAL $ 82,480 $ 82,480
Public Facilities / Infrastructure
Carlos Aguilar Field 2 Improvements
Public Facilities/
Infrastructure $ 171,964 $ 123,631 $ 19,500 $ 28,833
SUBTOTAL $ 171,964 $ 123,631 $ 19,500 $ 28,833 $ -
Economic Development
CV-Infrared Thermometers for City Business Economic Dev. $ 33,700 CV-Microenterprise Loan Program Economic Dev. $ 172,480 SUBTOTAL $ 206,180
Planning & Administration
Community Services Dept. -
Program Administration Administration $ 112,544 $ 106,544 $ 6,000 $ 66,675 SUBTOTAL $ 112,544 $ 106,544 $ 6,000 $ 66,675
TOTAL FY 2019-2020
CDBG FUNDED PROJECTS $ 572,396 $ 532,718 $ 30,000 $ 28,833 $ 663,621

PROGRAM NAME PROGRAM
TYPE

FUNDING
AMOUNT

PROPOSED FUNDING SOURCE

21.a
Packet Pg. 463 Attachment: Table 5 2019-20 as of 041123 (5925 : Substantial Amendment - AAA Senior Meals Program) Summary of CDBG Projects for FY 2019-2020 Amended 04/18/2023 2019
Allocation
State CDBG
Program Income
Reprogrammed
Funds

CDBG-CV
Funds
Housing
Community Services Dept. -
Lead Based Paint Abatement Program Housing $ 5,000 $ 5,000 Community Services Dept. -
Asbestos Testing/Abatement Program Housing $ 10,000 $ 10,000 Community Services Dept. -
Off Site Improvements Program Housing $ 10,000 $ 10,000 Community Services Dept. -
Housing Rehab Program Housing $ 96,000 $ 115,155
SUBTOTAL $ 121,000 $ 140,155
Public Services
Community Services Dept. -
Fair Housing Public Services $ 46,417 $ 46,417
Catholic Charities - Senior Nutrition Public Services $ 12,000 $ 7,500 $ 4,500 Catholic Charities - House of Hope Public Services $ 8,500 $ 8,500 IV LGBT Resource Center - Youth Cadet/Color
Guard Public Services $ 5,000 $ 5,000
Spread the Love Charity - Housing Assistance &
Family Reunification Public Services $ 4,991 $ 4,991
EC PAL - Project ECPAL Rec Program Public Services $ 7,500 $ 7,500 CV-Homeless Outreach - Protection Equipment Public Services $ 10,000 Catholic Charities - Homeless Day Center Public Services $ 220,164 Restaurant Prog. Providing Meals for Seniors Public Services $ 177,485 SUBTOTAL $ 84,408 $ 79,908 $ 4,500 $ - $ 407,649
Code Enforcmenet
Community Development Dept. -
Code Enforcement Code Enforcment $ 82,480 $ 82,480
SUBTOTAL $ 82,480 $ 82,480
Public Facilities / Infrastructure
Carlos Aguilar Field 2 Improvements
Public Facilities/
Infrastructure $ 171,964 $ 123,631 $ 19,500 $ 28,833
SUBTOTAL $ 171,964 $ 123,631 $ 19,500 $ 28,833 $ -
Economic Development
CV-Infrared Thermometers for City Business Economic Dev. $ 27,797 CV-Microenterprise Loan Program Economic Dev. $ 161,500 SUBTOTAL $ 189,297
Planning & Administration
Community Services Dept. -
Program Administration Administration $ 112,544 $ 106,544 $ 6,000 $ 66,675 SUBTOTAL $ 112,544 $ 106,544 $ 6,000 $ 66,675
TOTAL FY 2019-2020
CDBG FUNDED PROJECTS $ 572,396 $ 532,718 $ 30,000 $ 28,833 $ 663,621

PROGRAM NAME PROGRAM
TYPE

FUNDING
AMOUNT

PROPOSED FUNDING SOURCE

21.b
Packet Pg. 464 Attachment: Table 5 2019-20 amended AAA Substantial Amendment 041823 (5925 : Substantial City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Public Works
El Centro, CA 92243 Category: Resolution
Prepared By: Catherine Gutierrez
SCHEDULED Department Head: Abraham Campos
RESOLUTION (ID # 5890) DOC ID: 5890
Approval of Resolution authorizing the City Manager to apply for and manage grants from CalRecycle on behalf of the City of El Centro
CITY MANAGER’S RECOMMENDATION:

Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL

CENTRO AUTHORIZING SUBMITTAL OF APPLICATION(S) FOR ALL CALRECYCLE GRANT

AND PAYMENT PROGRAMS FOR WHICH THE CITY OF EL CENTRO IS ELIGIBLE FISCAL IMPACT:

No impact to the General Fund.

STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

Goal 1. Financial and Governance Stability and Sustainability DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

NA
BACKGROUND:

CalRecycle each year provides funding to jurisdictions via grants. The Imperial Valley Resource Management Agency (IVRMA) has advised the City of El Centro to update existing Resolution 16-24 in order to remain eligible for future CalRecycle grant funding.

CalRecycle requires each jurisdiction to adopt a resolution declaring certain authorizations related to the administration of the payment and grant program.

On May 3, 2016 Council adopted Resolution No. 16-24, however, authorizations are effective from the date of adoption through a maximum of five (5) years.

DISCUSSION:

The authorization term of Resolution No. 16-24 has expired. The attached resolution updates and supersedes Resolution No. 16 -24 for the next five (5) years.

CONCLUSION:

Adopt Resolution No. 23- , RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL

CENTRO AUTHORIZING SUBMITTAL OF APPLICATION(S) FOR ALL CALRECYCLE GRANT

AND PAYMENT PROGRAMS FOR WHICH THE CITY OF EL CENTRO IS ELIGIBLE ATTACHMENTS:
• Resolution No. 23 - (PDF)
22 Packet Pg. 465
03/2023/cdz/A23-0055/Reso/CalRecycleGrantProgram
RESOLUTION NO. 23 -

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

EL CENTRO AUTHORIZING SUBMITTAL OF

APPLICATION(S) FOR ALL CALRECYCLE GRANT AND

PAYMENT PROGRAMS FOR WHICH THE CITY OF EL

CENTRO IS ELIGIBLE
WHEREAS, Public Resources Code sections 48000 et seq., 14581, and 42023.1(g), authorize the Department of Resources Recycling and Recovery (“CalRecycle)” to administer various grant and payment programs in furtherance of the State of California’s efforts to reduce, recycle and reuse solid waste generated in the state thereby preserving landfill capacity and protecting public health and safety and the environment; and WHEREAS, in furtherance of this authority, CalRecycle is required to establish procedures governing the administration of the payment programs; and administration of the application, awarding, and management of the grant programs; and WHEREAS, CalRecycle’ s procedures for administering payment and grant programs require, among other things, an applicant’s governing body to declare by resolution certain authorizations related to the administration of the payment and grant program; and WHEREAS, authorizations are effective from the date of adoption through a maximum of five (5) years; and
WHEREAS, by Resolution No. 16-24, the City Council of the City of El Centro, California (“City Council”) authorized City Manager to submit and administer payment programs and related authorizations on behalf of the City of El Centro; and WHEREAS, this Resolution updates and supersedes Resolution No. 16-24.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL CENTRO, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

1. That the foregoing is true, correct and adopted.

2. That Resolution No. 16-24 is repealed in its entirety.

3. That the City of El Centro is authorized to submit an application to CalRecycle for any and all grant and payment programs offered.

4. That the City Manager or designee is hereby authorized and empowered to execute in the name of the City of El Centro all documents, including but not limited to,

22.a
Packet Pg. 466 Attachment: Resolution No. 23 - (5890 : Calrecycle/Grant Payments Programs Resolution) 03/2023/cdz/A23-0055/Reso/CalRecycleGrantProgram
applications, agreements, amendments and requests for payment, necessary to secure funds and implement the approved grant or payment project.

5. This Resolution is effective immediately upon adoption shall remain in full force and effect from the date of adoption through April 17, 2028, (maximum of five (5) years.) PASSED AND ADOPTED at a regular meeting of the City Council of the City of El Centro, California held on day of , 2023.

CITY OF EL CENTRO
By _____________________
Martha Cardenas-Singh, Mayor
ATTEST:

By _____________________________
Norma Wyles, City Clerk
APPROVED AS TO FORM:

Office of the City Attorney
By________________________________
Elizabeth L. Martyn, City Attorney

STATE OF CALIFORNIA )
COUNTY OF IMPERIAL ) ss

CITY OF EL CENTRO )
I, Norma Wyles, City Clerk of the City of El Centro, California do hereby certify that the foregoing Resolution No. 23- was duly and regularly adopted at a regular meeting of the City Council of the City of El Centro, California, held on the day of , 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAINED:

By__________________________
Norma Wyles, City Clerk

22.a
Packet Pg. 467 Attachment: Resolution No. 23 - (5890 : Calrecycle/Grant Payments Programs Resolution) City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: Finance
El Centro, CA 92243 Category: Financial
Prepared By: Karla Chaparro
SCHEDULED Department Head: Karla Chaparro
ACTION ITEM (ID # 5900) DOC ID: 5900
Budget Update Presentation - Fiscal Year 2023
CITY MANAGER’S RECOMMENDATION:

For Discussion
FISCAL IMPACT:

As discussed
STRATEGIC PLANNING PROGRAM 2022-2027 RELATION:

The general fund budget includes allocations to fund the operations directly involved in the strategic plan goals of; Financial & Governance Stability, Environmental Sustainability, Community Health, Safety & Welfare, Recreation & Lifelong Learning, City Beautification, Engagement & Civic Pride and Economic Opportunity.

DUE DILIGENCE CHECK FOR CONTRACTORS/CONSULTANTS: DID THE

DEPARTMENT VERIFY CURRENT EL CENTRO BUSINESS LICENSE,
CONTRACTORS LICENSE, REFERENCE CHECKS, INSURANCE, ETC:

N/A
BACKGROUND:

It is the policy of the City of El Centro to monitor its financial performance by comparing and analyzing actual results with budgeted results on a periodic basis. The following is a discussion of budget results as of December 31, 2022 with 50% of fiscal year 2023 elapsed.

DISCUSSION:

GENERAL FUND
FISCAL YEAR 2022
The results for fiscal year ending June 30, 2022 included the following: revenues totaled $35.2 million. This was $2.8 million more than the amount received in fiscal year 2021 and represents an increase of 8.56%. The increase was mainly from sales tax, transient occupancy tax and revenue from other agencies. Expenditures totaled $31.9 million, which was $4.6 million more than the amount in the prior fiscal year. The increase is mainly due to the return of recreational activities after a halt due to the COVID pandemic. In fiscal year 2022, the fund balance for the General Fund increased by $3.2 million to $21.4 million as of June 30, 2022.

FISCAL YEAR 2023
Revenues
As of December 31, 2023, fifty percent (50%) of the fiscal year has elapsed. The City 23 Packet Pg. 468
Action Item (ID # 5900) Meeting of April 18, 2023
has received year to date revenues in the total amount of $15.8 million, which is approximately 46% of total projected revenues. Revenues are below the 50% projection, as some of the revenue sources come in during the second half of the fiscal year (i.e. franchise tax).

Overall, it is projected that revenues will slightly exceed amount budgeted for this fiscal year due to increases in sales taxes to be received.

Expenditures
As of December 31, 2022, expenditures totaled approximately $16.2 million or 45.6% of the total revised budget expenditures. This is conservative and within the acceptable range expected at this time of the year. There are some divisions that have expenditures that are above the 50% mark, however, that is because they have payments that were due at the beginning of the fiscal year or expenditures needing deposited funds transferred in via budget amendment.

Non-departmental division - 71%
• $1.3 million - Liability/property insurances paid in full the first month of the fiscal year.
• $168,000 - LAFCO dues paid in full the first month of the fiscal year.

IVRMA - 100%
• $83,000 - IVRMA Membership dues paid in full the first month of the fiscal year.

Planning EIR’s - 79%
• $55,000 - Budget Adjustment to transfer in previously deposited funds was requested and completed in February 2023.

Fund Balance
Based on year to date revenues and expenditures, the fund balance through December 31, 2022 is $21 million.

The projected fund balance through December 31, 2022 in the amount of $21 million is designated as follows:
$ 1,620,313 - Reserve for Economic Unknowns (10%)
$ 2,745,000 - Designation for Accrued Leave Liability
$16,650,937 - Undesignated/Unreserved
$21,016,250
Summary - Mid-Year Review - General fund
The results of operations during the first six months of fiscal year 2023 indicate that revenues are on track and are comparable to the levels received during the same time period in previous fiscal years. Ongoing operating expenditures are within the 23 Packet Pg. 469
Action Item (ID # 5900) Meeting of April 18, 2023
acceptable levels expected at this time of the fiscal year. Overall, the financial results for the first six months of the fiscal year look adequate and are deemed to be on track.

The fund balance for the general fund has been designated as per the City’s financial policy. The designations address contingency, Accrued Leave Liability and Undesignated/Unreserved.

Next year’s budget preparations are underway and City Departments have submitted their budget requests for fiscal year 2024. There will be a citywide effort to contain expenditures in light of the forecasted revenues.

ENTERPRISE FUNDS
Revenues for water and wastewater funds are on track. Expenditures are within the levels expected at mid-year.
23 Packet Pg. 470
Action Item (ID # 5900) Meeting of April 18, 2023 23
Packet Pg. 471
Action Item (ID # 5900) Meeting of April 18, 2023
CONCLUSION:

As discussed.
23 Packet Pg. 472
City Council of the City of El Centro Meeting: 04/18/23 11:30 AM 1275 Main Street Department: City Manager's Office
El Centro, CA 92243 Category: Support
Prepared By: Cynthia De Zilwa
SCHEDULED Department Head: Cedric Cesena
ACTION ITEM (ID # 5939) DOC ID: 5939
Letter of Support - AB 918 (Eduardo Garcia) - Imperial Valley Healthcare District
CITY MANAGER’S RECOMMENDATION:

Discussion and direction from City Council regarding the request for a Letter of Support for AB 918 (Garcia) and support the bill as amended.

BACKGROUND:

With financial issues at the two healthcare districts and ECRMC, the City Council and ECRMC Board explored a countywide health care district which would provide economies of scale and possible funding options. The opinion of many healthcare experts is that the viability of each district would be enhanced by joining with the others to provide healthcare services. Assemblymember Eduardo Garcia introduced AB 918, which provided a framework for such a countywide district with legislation similar to that done in Riverside County for Desert Healthcare District. We are now working with the Assemblymember’s staff to revise that bill for the proposed countywide Imperial Valley Healthcare District. As presently proposed, the bill itself would create such a countywide district by action of the State Legislature with a board composition specified as 2 representatives from the Heffernan Board, 2 from Pioneer’s Memorial Healthcare District, 2 from ECRMC, and one from the County. Other members could be considered. That initial board then would divide the District into seven (7) zones using the criteria in the California Voting Rights act to assure appropriate representation.

Assuming passage of the legislation, the assets and liabilities of each healthcare district and ECRMC would be transferred to the new District, assuming bondholder consent.

The District would have the power to levy special tax or transactions and use tax (with voter approval) or a benefit assessment, as governed by Proposition 218. A financing vote would be scheduled for the November 2024 general election.

The legislation does not impact existing MOU’s or other contracts, physician agreements, licensure or current reimbursements.

DISCUSSION:

Heffernan Memorial Healthcare District has expressed support for the approach, along with the City of El Centro and UCSD.

CONCLUSION:

Staff is requesting direction on request for a Letter of Support for AB 918. Fact sheet will be provided at City Council meeting.

ATTACHMENTS:
• Letter of Support AB 918 (PDF)
24 Packet Pg. 473
April 18, 2023
Assembly Member Cecilia M. Aguiar-Curry,
Chair of the Local Government Committee
1020 N Street, Room 157
Sacramento, CA 95814
RE: AB 918 – Imperial Valley Healthcare District (Eduardo Garcia) – LETTER OF SUPPORT The City of El Centro strongly endorses Assembly Bill 918, which proposes a Countywide Healthcare District in Imperial Valley. The three healthcare districts in Imperial Valley; Heffernan Memorial Healthcare District, El Centro Regional Medical Center Board, and Pioneers Memorial Healthcare District to establish the Imperial Valley Healthcare District.

Imperial County faces a significant challenge regarding inadequate access to healthcare providers and services. Various stakeholders have identified several obstacles, such as a shortage of primary care providers, limited medical and surgical specialties, lengthy wait times for medical care, insufficient urgent care services, and a lack of transportation. These challenges pose a significant threat to the health and well-being of our community.

The legislative creation of a new healthcare district is the most effective solution to address these persistent issues. Creating a new healthcare district provides a significant opportunity to improve access to necessary medical care for the residents of Imperial County.

By supporting this bill, we can help improve healthcare access in our community, which is essential for the well-being of all residents in Imperial County. The City of El Centro fully supports this critical measure, and look forward to working with you to ensure its passage. For more questions, do not hesitate to contact me at, [email protected]. I appreciate your consideration.

Sincerely,
Martha Cardenas-Singh
Mayor
cc: Assemblymember Eduardo Garcia

24.a
Packet Pg. 474 Attachment: Letter of Support AB 918 (5939 : Letter of Support - AB 918 (Garcia) - Imperial Valley Healthcare District)

El Centro City CouncilApril 18, 2023

El Centro City Council
April 18, 2023