City of Gonzales
CITY ATTORNEY
STAFF REPORT
TO: Honorable Mayor Rios and City Council
DATE: July 22, 2024
FROM: Michael Rodriquez, City Attorney
THROUGH: Carmen Gil, City Manager
SUBJECT: Resolutions of the City Council of the City of Gonzales Confirming Diagrams and Assessments and Levying Annual Assessments Pursuant to the Benefit Assessment Act of 1982 and the Landscaping and Lighting Act of 1972
RECOMMENDATION
Consider and adopt:
1. Resolution No. 2024-43, A Resolution of the City Council of the City of Gonzales Confirming Diagrams and Assessments and Levying Annual Assessments Pursuant to the Benefit Assessment Act of 1982 for Fiscal Year 2024-2025 - California Breeze Benefit Assessment District Nos. 1, 2 and 3;
2. Resolution No. 2024-44, A Resolution of the City Council of the City of Gonzales Confirming Diagram and Assessments and Levying Annual Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Fiscal Year 2024-2025 - California Breeze Parks and Open Spaces Maintenance Assessment District;
3. Resolution No. 2024-45, A Resolution of the City Council of the City of Gonzales Confirming Diagrams and Assessments and Levying Annual Assessments Pursuant to the Benefit Assessment Act of 1982 for Fiscal Year 2024-2025 - Canyon Creek Benefit Assessment District Nos. 1, 2 and 3;
4. Resolution No. 2024-46, A Resolution of the City Council of the City of Gonzales Confirming Diagrams and Assessments and Levying Annual Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Fiscal Year 2024-2025 - Canyon Creek Parks and Open Spaces Maintenance Assessment District Nos. 1, 2 and 3;
AGENDA
ITEM
21 5. Resolution No. 2024-47, A Resolution of the City Council of the City of Gonzales Confirming Diagrams and Assessments and Levying Annual Assessments Pursuant to the Benefit Assessment Act of 1982 for Fiscal Year 2024-2025 - Gonzales Industrial Park Benefit Assessment District;
6. Resolution No. 2024-48, A Resolution of the City Council of the City of Gonzales Confirming Diagram and Assessments and Levying Annual Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Fiscal Year 2024-2025 - Gonzales Industrial Park Landscape Maintenance Assessment District;
7. Resolution No. 2024-49, A Resolution of the City Council of the City of Gonzales Confirming Diagram and Assessments and Levying Annual Assessments Pursuant to the Benefit Assessment Act of 1982 for Fiscal Year 2024-2025 - Cipriani Estates Benefit Assessment District;
8. Resolution No. 2024-50, A Resolution of the City Council of the City of Gonzales Confirming Diagram and Assessments and Levying Annual Assessments Pursuant to the Landscaping and Lighting Act of 1972 for Fiscal Year 2024-2025 - Cipriani Estates Parks and Open Spaces Maintenance Assessment District.
BACKGROUND
By law, the City is required to schedule annual hearings to set assessments to pay for the costs and expenses of operating, maintaining and servicing public improvements and facilities located within each of the assessment districts that have been previously established by the City. The City’s Designated Engineer of Work, Harris & Associates (“Harris”), has prepared Engineer’s Reports containing information about each of the assessment districts, the improvements to be served through the collection of the assessments, and the actual amount of each assessment on each impacted parcel. Copies of the Preliminary Engineer’s Reports were filed with the City Clerk on or about May 15, 2024 and were and are available for review upon request.
REVIEW & ANALYSIS
On June 3, 2024, the City Council approved Resolutions 2024-18 through 2024-25 providing preliminary approval of the Engineer’s Reports for each of the involved districts and setting the public hearing date for consideration of the assessments for each district as July 22, 2024. Public notice for the hearing for each of the district resolutions was published on July 10, 2024. The attached resolutions, if approved, will provide final approval of the Engineer’s Report for each district, authorize the levy and collection of said assessments, and order the maintenance, operating and/or servicing of the improvements identified in each Engineer’s Report. Labor, overhead and staff costs are also included in the proposed assessments.
At the time the Reports were received the CPI for the previous year was unavailable so a placeholder of 5% was used for preliminary calculations. Since that time, the applicable CPI has been determined as
3.767% and has been used in finalizing all assessment calculations.
Consideration and action on the eight (8) resolutions should only be taken after the public hearing for each district (or groupings of districts) has been completed. Once the resolutions have been approved, Staff has been directed to forward the documents to the County so that the assessments can be paid through the property tax roll system.
The assessments set forth below have been identified for each of the districts for Fiscal Year 2024-2025.
Details on how the fees were calculated are included in each respective Engineer’s Report. Harris is recommending that the City adjust the maximum assessments (the highest assessment that could be levied in any given year during the life of a district) for the Canyon Creek, Cipriani, and Industrial Park Districts by the CPI for the previous year, established at 3.767%. The California Breeze Benefit Assessment Districts do not have provisions for annual CPI adjustments. There is no change in the proposed Fiscal Year 2024-2025 annual assessments from last year for the California Breeze, Canyon Creek, Cipriani Estates and Gonzales Industrial assessment districts. The proposed assessment amounts to be collected in the upcoming year should be adequate to address relevant labor and material costs. (Except in California Breeze, where fiscal year costs exceed allowable maximum assessments that as noted above, cannot be increased.) The Council may need to consider increased assessments in upcoming years to establish and maintain capital reserve fund balances.
The fees for 2024-2025 will be as follows:
California Breeze Benefit Assessment District No. 1 - Per House $187.00 No. 1 - Commercial $141.14
No. 2 - Per House $185.34
No. 3 - Per House $234.68
California Breeze Parks and Open Spaces
Maintenance Assessment District Phase 1 - Per House $227.00 Phase 1 - Commercial $88.90
Phase 2 - Per House $227.00
Phase 3 - Per House $271.76
Canyon Creek Benefit Assessment District No. 1 - Per House $600.00 No. 2 - Per House $600.00
No. 3 - Per House $600.00
No. 3 MDR1- Per Unit $600.00
Canyon Creek Parks and Open Spaces
Maintenance Assessment District No. 1 - Per House $600.00 No. 2 - Per House $600.00
No. 3 - Per House $486.00
No. 3 MDR - Per Unit $486.00
Gonzales Industrial Park Benefit
Assessment District Per Acre $1,305.00
Gonzales Industrial Park Landscape
Maintenance Assessment District Per Acre $440.00
Cipriani Estates Benefit Assessment District Per House $750.00 Lots 1-7 - $1,052.04 (base assessment plus
additional Storm Drain Maintenance charge)
Cipriani Estates Parks and Open Spaces
Maintenance Assessment District Per House $610.00
All funds collected for each district will be used for the routine maintenance and operation of the public improvements and facilities identified in each Engineer’s Report, labor, overhead, and staff costs, and for maintaining capital reserve fund balances.
Staff recommends that the Council adopt each of the resolutions confirming district diagrams and assessments and levying said assessments in the respective Benefit and Landscape Maintenance Assessment Districts.
Note should be made of the fact that an election to increase the assessments in the California Breeze 1 Medium Density Residential Unit
benefit and parks and open space assessment districts pursuant to the procedures set forth in Proposition 218 is occurring simultaneously with the two status quo California Breeze resolutions before the Council this evening. If the increased assessments are approved by a majority of the voters, there will be no need to take action on Resolutions Nos 2024-43 and 2024-44.
Explain Recommendation and How it Supports the Vision.
Gonzales will continue to be a safe, clean, family-friendly community, diverse in its heritage, and committed to working collaboratively to preserve and retain its small town charm.
Explain: The assessments fund the maintenance of various improvements located within the involved subdivisions. Regular and routine maintenance of such improvements helps to preserve the safe and attractive environment the City strives to provide for its citizens.
Explain how the Recommendation Directly Implements the Mission The City Council and Staff of the City of Gonzales will realize our Vision by providing the leadership, commitment and resources necessary to provide excellent services that enhance the quality of life of our diverse community. X Yes ____No ____NA
Explain: Collection of the assessments will provide financing for the maintenance of a variety of improvements that enhance the quality of life in both the involved subdivisions and the City as a whole.
City services will be delivered in a cost-effective, respectful and friendly manner to ensure the safety and well being of the residents and the promotion of business, recreational, housing and employment opportunities in an environmentally sustainable manner. X Yes ___No ___NA Explain: The proposed assessments will allow the City to maintain a variety of improvements that ensure residential safety and promote local housing opportunities by maintaining a healthy housing stock.
Strong fiscal policies allow us to provide appropriate infrastructure for:
• Public Safety X Yes ____ No NA
• Housing X Yes ____ No NA
• Recreation Yes ____ No X NA
• Environment Yes ____ No X NA
• Education Yes ____ No X NA
Explain: The creation and annual collection of assessments enables the City to maintain improvements vital to public safety and the ongoing well-being of portions of the City’s housing stock.
ALTERNATIVES
None at this time.
BUDGET IMPACT
The City will have to incur the cost of subdivision improvement maintenance if the assessments are not approved and levied.
CONCLUSION
The Council should open the public hearings, receive comment, and then consider adoption of the resolutions that are the final step in the City’s annual process of levying assessments in various assessment districts established in previous years as a means of covering the costs of maintenance of various subdivision improvements.
Attachments:
1. Proof of Publication Annual Assessment Districts
2. Resol 2024-43 Ca Breeze Benefit
3. Ca Breeze Benefit Report
4. Resol 2024-44 Ca Breeze P&OS
5. Ca Breeze P&OS Report