SJAFCA MISSION STATEMENT - Reduce and Manage the Region’s Flood Risk 1
PROPOSED MOSSDALE TRACT
ENHANCED INFRASTRUCTURE FINANCING DISTRICT –
INFRASTRUCTURE FINANCING PLAN
City of Manteca
June 21, 2022
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Reduce and Manage the Region’s Flood Risk
Presentation Overview
• Project objectives and proposed solution
• Requested Action
• High Level Overview of Infrastructure Financing Plan (IFP) • Key Messages
• Next Steps in EIFD Formation Process
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Project Objectives
• Protect life and property
• Comply with State Urban Level of Flood Protection
(ULOP/Senate Bill 5)
• Allow for responsible development / investment
• Allow for re-development
• Protect economy
• Resiliency for changing conditions
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Annualized Damages & Life Loss
Damages and Life Loss:
Without-Project vs. With-Project
• 2018 Climate & Development Conditions:
• Without-Project (Existing Development)
• Damages = $46M/year
• Life Loss = 1.2 lives/year
• With-Project (Existing Development)
• Damages = $4M/year
• Life Loss = 0.7 lives/year
• 2065 Climate & Development Conditions:
• Without-Project (Growth prevented due to SB5 restrictions) • Damages = $170M/year
• Life Loss = 6.7 lives/year
• With-Project (Includes additional development and growth projections) • Damages = $37M/year
• Life Loss = 1.1 lives/year
Annualized Damages
Annualized Life Loss
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Reduce and Manage the Region’s Flood Risk
Urban Level of Protection (ULOP)
• Senate Bill 5 (2007)
• Establishes ULOP as – the “level of protection that is necessary to withstand flooding that has a 1-in-200 chance of occurring in any given year using criteria … developed by DWR.” • Links flood management and land use authority
• Must be achieved by 2028 (for Mossdale Tract)
• RD 17 levees protecting Mossdale Tract don’t comply with ULOP • Land use agency responsible for findings that ULOP exists, or can be achieved by 2028 (Adequate Progress)
• Cities of Lathrop & Manteca, for the areas within Mossdale Tract, made ULOP Adequate Progress findings in June 2016
• City of Stockton made a similar finding (Weston Ranch Area) in September 2018 5 ATTACHMENT 3
Reduce and Manage the Region’s Flood Risk
ULOP cont’d.
Consequences of Non-Compliance with ULOP
• Increased Estimated Annual Damages & Life Loss
• Restrictions on development
• No new residential dwellings
• No discretionary permits for re-development
• Result is stymied economic development, reduced investment and deterioration of value – addressed in 2015 UOP Economic Study
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Reduce and Manage the Region’s Flood Risk
Proposed Solution
• Levee improvements to meet ULOP
• Levee height raises, slope stability improvements, underseepage improvements (cutoff walls and seepage berms), erosion repairs, right-of-way acquisition, encroachment / pipe remediation & rehabilitation and an extension of the Dryland Levee in Manteca • SJAFCA proposes $270 million, locally-funded project to meet requirements.
Funding Sources identified in last APR:
• Regional development impact fee (DIF)
• “Overlay” assessment district (OAD)
• Unspent funds from RD 17’s LSRP
• Enhanced Infrastructure Financing District (EIFD)
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Requested Action
• Approval of EIFD Infrastructure Financing Plan
• EIFD Law requires:
• Preparation of an Infrastructure Financing Plan (IFP) for review by all residents, property owners and affected taxing entities. • All participating entities must approve the IFP before the EIFD can be formed. • Requested action today reflects the Stockton’s approval of the Final IFP 8 ATTACHMENT 3
Proposed
Boundary of
the EIFD
• Reflects the Area of Benefit of ULOP • Consistent with the Area subject to the Regional Levee
Impact Fee and
Proposed Overlay
Assessment District
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Infrastructure Financing Plan & Key Messages
10 • The EIFD does not impose a new tax
• Portion of existing tax on new / increased Assessed Value after FY 2021/22 allocated to the EIFD to fund the Project.
• Draft IFP has been available for review and comment by the following • Property owners within the proposed boundaries.
• Affected taxing entities (Lathrop, Manteca, Stockton and San Joaquin County). • Mossdale Tract EIFD Public Financing Authority.
• Members of the public.
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Reduce and Manage the Region’s Flood Risk
Infrastructure Financing Plan Outreach
11 •Outreach to date:
• 3 direct mailings to property owners and residents
• 3 direct mailings to affected taxing entities
• Direct mailings to planning commissions, councils and board of supervisors • Published notices of each of the public hearings
• Posted notices of each of the public hearings
• Informational briefings (study sessions / workshops) with each participating agency board.
• No comments received on Draft IFP to date; as such, we have prepared a Final IFP for Participating Agency approval.
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Infrastructure Financing Plan
12 •Rate of allocation to the EIFD is based on approved Infrastructure Financing Plan • Maximum Rates: Initial rates through 2029 & 20% rates beyond Affected Taxing Entity 2030 - 2032 2033 - 2043 2044 -2061 Maximum Tax Rate Scenario
City of Lathrop 10.0% 20.0% 20.0% 20.0%
City of Manteca 5.0% 20.0% 20.0% 20.0%
City of Stockton 1.0% 20.0% 20.0% 20.0%
San Joaquin County 47.3% 20.0% 20.0% 20.0%
Variable Tax Rate Scenario
City of Lathrop 10.0% 13.0% 9.5% 4.5%
City of Manteca 5.0% 13.0% 9.5% 4.5%
City of Stockton 1.0% 13.0% 9.5% 4.5%
San Joaquin County 47.3% 13.0% 9.5% 4.5%
EIFD Contribution Rate
Initial Years
(2021-2029)
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Reduce and Manage the Region’s Flood Risk
Estimated Annual General Fund Fiscal Impacts (After EIFD Allocation) 13 $15,414,000
$18,306,000
$10,861,000
$37,498,000
$17,831,000
$14,204,000
$6,624,000
$15,827,000
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
$40,000,000
$45,000,000
$50,000,000
Lathrop Manteca Stockton San Joaquin County
Annual Revnues and Expenditures
Mossdale Tract EIFD
Fiscal Impact Results by ATE at Buildout (2060) - Max Tax Rate Scenario Annual Revenues Annual Expenditures
Annual General Fund
Surplus/Deficit =
($2,417,000)
Annual General Fund
Surplus/Deficit =
$4,102,000
Annual General Fund
Surplus/Deficit =
$4,237,000)
Annual General Fund
Surplus/Deficit =
$21,671,000)
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Reduce and Manage the Region’s Flood Risk
Estimated Annual General Fund Fiscal Impacts: City of Manteca 14 Annual Fiscal Impacts to the City of Manteca’s General Fund Prior to EIFD Allocation and After EIFD Allocation under Maximum Tax Rate and Variable Tax Rate Scenarios
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Reduce and Manage the Region’s Flood Risk
Next Steps – IFP Approval Schedule
15 Week 1Week 2Week 3Week 4Week 1Week 2Week 3Week 4Week 1Week 2Week 3Week 4Week 1Week 2Week 3Week 4 Public Financing Authority Meetings
Public Hearing No. 1 4/21
Public Hearing No. 2 5/26
Public Hearing No. 3 (Consideration of EIFD formation) 7/21 Affected Taxing Entity EIFD Workshops
City of Lathrop 5/2
City of Manteca 4/18
City of Stockton 5/3
San Joaquin County 5/24
Affected Taxing EIFD IFP Adoption Consideration
City of Lathrop 7/11
City of Manteca 6/21
City of Stockton 6/14
San Joaquin County 6/21
Workshop or hearing date
1 2 3 4
TASKS
April May June July
• Final IFP to be presented to each of the participating entities for approval.
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Requested Action
16 • Adopt a Resolution approving the Mossdale Tract Enhanced Infrastructure Financing District (EIFD) Infrastructure Financing Plan (IFP)
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Questions?
SJAFCA MISSION STATEMENT - Reduce and Manage the Region’s Flood Risk 17 ATTACHMENT 3