Item 248/2024
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: William E. Murray
Dept:
City Manager Dept: Public Works
Date: 6/25/2024
Subject: Approval of the Fiscal Year 2024-25 Downtown Assessment District Budget; Adoption of a Resolution Initiating Proceedings for the Levying of Assessments for Fiscal Year 2024-25; Adoption of a Resolution Approving the Engineer’s Report; and Adoption of a Resolution of Intention Fixing a Time and Date for a Public Hearing. (Action Item)
OBJECTIVE
For the City Council to (1) approve the proposed Fiscal Year 202 4-25 Budget for the Downtown Assessment District No. 1 (MSAD); (2) Adopt a Resolution initiating proceedings for the levying of assessments for Fiscal Year 2024-25; (3) Adopt a Resolution approving the Engineer’s Report; and (4) Adopt a Resolution of Intention fixing a time and date for a public hearing.
BACKGROUND
In 1977, the City Council formed the District per the Landscape and Lighting Act of 1972 (Act). Through an annual assessment, the District funds the construction and maintenance of special public improvements along Main Street such as planters, sidewalks, and streetlights. The Act requires that the City Council initiate the proceedings for the annual levy of assessments. To comply with these requirements, the following actions need to take place:
Approval of FY24-25 assessment district budget (Attachment 1) Adoption of a resolution initiating procedures for levying assessment (Attachment 2) Adoption of a resolution approving the Engineer’s Report (Attachment 3) Adoption of a resolution of intention to levy and collect assessments and to fix a date and time for a public hearing (Attachment 4).
DISCUSSION
On March 14, 2024, the Downtown Commission approved the FY24-25 Budget and is hereby submitting it to City Council for final review. Total expenses for FY 2024-25 are $47,582. The proposed assessment reflects no increase from the previous year and remains at $19.92 per linear-foot, which is the maximum assessment allowed by the method of apportionment, and equivalent to a $498 levy for the typical 25 -foot storefront on Main Street. The following Item 248/2024
action is for City Council to adopt the remaining resol utions, thereby initiating proceedings for the annual assessment, ordering the preparation of and approving an Engineer’s Report, and finally setting a public hearing for July 9, 2024 at 6:30 p.m.
FINANCIAL IMPACT
The FY2024-25 assessment revenue as dete rmined in the attached Engineer’s Report is $27,200. Estimated expenses for FY2024 -25 is $47,582. The operating deficit of $20,382 will be covered by the existing fund balance of $60,800.
RECOMMENDATION
It is recommended that the City Council:
Approve the proposed Budget for the Downtown Assessment District No. 1 for 20 24- 25;
Adopt the attached Resolution initiating proceedings for the Downtown Assessment District No. 1, and direct the Engineer to prepare the required report;
Adopt the attached Resolution approving the Engineer’s Report for the Downtown Assessment District No. 1; and
Adopt the attached Resolution of Intention to levy and collect assessments for the Downtown Assessment District No. 1, and set a public hearing for July 9, 2024, at 6:30 p.m.
By: Alexa Viramontes, Sr. Administrative Analyst
ATTACHMENTS
1. Downtown Assessment Budget
2. Resolution Initiating Proceedings
3. Resolution Approving Engineer's Report
4. Resolution of Intent for Public Hearing
5. Downtown Assessment District Engineer's Report