Murrieta City Council
October 20, 2026

Engineer’s Report
City of Murrieta
Formation of
Willow Springs
Landscaping and Lighting District

Zone 31 of the Consolidated
Landscaping and Lighting District

FISCAL YEAR 2024/2025

Intent Meeting: November 7, 20 23
Public Hearing: January 16 , 20 24

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

ENGINEER'S REPORT STATEMENT

Formation of the Murrieta

Willow Springs Landscaping and Lighting District

Establishment of Annual Assessments; and
Concurrent Annexation and Consolidation of said District into the Murrieta Consolidated Landscaping and Lighting District as Zone 31

The District includes all parcels of land within:

Willow Springs (Tract 36779) & Willow Springs Commerce Center (PM 36733)

City of Murrieta,
County of Riverside,
State of California

This Report and the enclosed descriptions, improvements, budget, diagram(s) and assessments outline the proposed formation of Landscaping and L ighting District No. 31 (Willow Springs) — and includes each lot and parcel of land within sai d District, as the same existed at the time this Report was prepared and presented as part of the Re solution of Intention packet for the consideration of the Murrieta City Council. Referen ce is hereby made to the Riverside County Assessor’s Parcel Maps for a detailed description o f the lines and dimensions of each lot and parcel within the District. Upon successful formation, the District and the parcels therein shall be concurrently annexed and consolidated into the Murrieta Consolidated Landscaping and Lighting District as Zone No. 31. The undersigned respectful ly submits the enclosed Report as directed by the City Council of the City of Murrieta.

Dated this ____________ day of ______________, 2023.

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

TABLE OF CONTENTS

INTRODUCTION 1
OVERVIEW 1
BALLOT PROCEEDINGS 2
PART I — PLANS AND SPECIFICATIONS 5
DESCRIPTION OF THE DISTRICT 5
IMPROVEMENTS AND SERVICES 5
LANDSCAPING IMPROVEMENTS 6
PUBLIC STREET LIGHTING IMPROVEMENTS 6
EXCLUDED IMPROVEMENTS 7
PART II — METHOD OF APPORTIONMENT 8
BENEFIT ANALYSIS 8
LEGISLATIVE AUTHORITY 8
PROPOSITION 218 BENEFIT ANALYSIS 8
SPECIAL BENEFIT 9
STREET LIGHTING SPECIAL BENEFIT 9
LANDSCAPING SPECIAL BENEFIT 10
GENERAL BENEFIT 10
STREET LIGHTING GENERAL BENEFIT 10
LANDSCAPING GENERAL BENEFIT 11
ASSESSMENT METHODOLOGY 11
EQUIVALENT BENEFIT UNIT APPLICATION 12
PART III — ESTIMATE OF COSTS 14
CALCULATION OF ASSESSMENTS 14
DISTRICT BUDGET 14
ANNUAL INFLATIONARY ADJUSTMENT (A SSESSMENT RANGE FORMULA ) 16 PART IV — DISTRICT DIAGRAM 17
PART V — ASSESSMENT ROLL 19

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Introduction
Overview
Pursuant to the provisions of the Landscaping and Lighting Act of 1972, being Part 2 of Division 15 of the California Streets and Highways Code, com mencing 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 Murrieta, County of Riverside, State of California (the “City”), proposes to form a special benefit assessment district designated as:

Landscaping and Lighting District No. 31 (Willow Springs) (the “District”), which includes all lots and parce ls of land that will receive special benefits from the maintenance, servicing and operation of landsca ping and lighting improvements associated with, constructed, and installed in connection with the residential development known as Willow Springs (Tract 36779) and the non-residential development known as Willow Springs Commerce Center (PM 36733) (together “Willow Springs”) all w ithin the Adobe Springs Specific Plan (the “Specific Plan”) and the city limits of Murrieta. U pon successful formation of said District, the development and properties described herein shall concurrently be annexed and consolidated as Zone No. 31 within the Murrieta Consolidated Landsc aping and Lighting District (the “Consolidated District”). This Engineer’s Report (“Report”) has been prepared in connection with the formation of said District and the levy and col lection of annual assessments related thereto as required pursuant to Chapter 1, Article 4 of the 1972 Act and shall serve as the detailed engineer’s report for fiscal year 2024/2025 for the proposed new assessment district.

The City Council proposes to form the District, con currently annex said District into the Consolidated District, and levy and collect annual assessments on the County tax rolls commencing in fiscal year 2024/2025, to provide funding for the ongoing special benefit costs and expenses required to service, maintain and operate the street lighting and landscaping improvements associated with and resulting from the development of properties within the District.

The improvements to be provided by the District and the assessments described herein are made pursuant to the 1972 Act and the provisions of the California Constitution. The specific plans and specifications of the improvements to be maintained as part of the District and subsequently as part of the Consolidated District are on file in the Planning Department of the City of Murrieta and by reference these plans and specifications are made part of this Report.

To adequately provide for and fully fund the street lighting and landscaping improvements that are considered special benefit to properties within Willow Springs the City Council has determined that it is appropriate and in the public’s best interest to form Landscaping and Lighting District No. 31 (Willow Springs) and to levy assessments on the properties therein to address the estimated special benefit improvement costs including, but no t limited to, the estimated expenditures for regular annual maintenance and servicing of the imp rovements; incidental expenditures related to the operation and administration of the District and subsequently Zone No. 31 of the Consolidated District; and the collection of funds for operational reserves and/or for periodic maintenance and improvement rehabilitation projects as authorized by the 1972 Act.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

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

Each parcel within the District shall be assessed proportionately for only those improvements for which the parcel receives special benefit.

If any section, subsection, sentence, clause, phrase, portion, zone, or subzone of this Engineer’s Report is, for any reason, held to be invalid or un constitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining provisions of the Engineer’s Report and each section, subsection, sub division, sentence, clause, phrase, portion, zone, or subzone thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, portions, zones, or su bzones might subsequently be declared invalid or unconstitutional.

Ballot Proceedings
Pursuant to the provisions of Article XIIID, Sectio n 4 of the California Constitution, the City shall conduct a property owner protest ballot proceeding (referred to as “Ballot Proceeding”) for the proposed levy of new assessments as described in th is Report. In conjunction with this Ballot Proceeding, the City Council will conduct a noticed public hearing to consider public testimonies, comments, and written protests regarding the format ion of the District, the establishment of the District as Zone No. 31 within the Consolidated Dis trict, and levy of the proposed new assessments. Upon conclusion of the public hearing, property owner protest ballots received will be opened and tabulated to determine whether majori ty protest exists as defined in Article XIIID of the California Constitution:
“A majority protest exists if, upon the conclusion of the hearing, ballots submitted in opposition to the assessment exceed the ballots submitted in favor of the assessment. In tabulating the ballots, the ballots shall be weighted according to the prop ortional financial obligation of the affected property.”
After completion of the ballot tabulation, the City Council will confirm the results of the balloting.

If majority protest exists for the proposed Distric t assessments, further proceedings to form the District and implement the new assessments shall be abandoned at this time. If tabulation of the ballots indicate that majority protest does not exi st for the proposed new assessments and the assessment range formula presented and described he rein, the City Council may adopt this Report (as submitted or amended); approve the assessment diagram (District Diagram) contained herein; order the formation of the District and the concurrent annexation and consolidation of the District as Zone No. 31 of the Consolidated Distric t; order the improvements to be made; and confirm the new assessments.

The new assessments as approved, may be levied and collected on the County tax rolls commencing in fiscal year 2024/2025 together with t he assessments for other properties in the Consolidated District. For fiscal year 2024/2025 an d each subsequent fiscal year, an engineer’s annual levy report for the Consolidated District shall be prepared and presented to the City Council to address any proposed changes to any of the Zones within the Consolidated District, including this District referred to as Zone No. 31 of the Con solidated District, as well as any proposed changes to the improvements, budgets and assessment s for that fiscal year. The City Council shall hold a noticed public hearing regarding these matters prior to approving and ordering the City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

levy of assessments. At the discretion of the City Council, a separate engineer’s report for this District may be prepared and presented, but such a report is not required if the improvements, budgets and assessments for this District are included in the engineer’s annual levy report for the Consolidated District.

If in any fiscal year, the proposed annual assessments for Zone No. 31 of the Consolidated 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
Contains a general description of the District (Zon e No. 31 of the Consolidated District) and identifies the improvements and services that provi de special benefit to the parcels within the District. The specific plans and specifications for the street lighting and landscaping improvements are on file in the Planning Department of the City of Murrieta.

Part II — Method of Apportionment
Outlines the special and general benefits associate d with the street lighting and landscaping improvements to be provided within the District and the basis upon which the estimated costs to provide such improvements have been apportioned to each parcel of land therein in proportion to the estimated special benefit to be received.

Part III — Estimate of Costs
Identifies the estimated annual funding costs (Budget) required for the maintenance and operation of street lighting and landscaping improvements including, but not limited to, annual maintenance and service expenses, utility costs, and related in cidental expenses authorized by the 1972 Act.

This estimate of costs specifically identifies thos e costs associated with the special benefit to parcels and establish the initial maximum assessmen t for fiscal year 2024/2025 to be approved by the property owner(s) of record within the District as part of the Ballot Proceeding. This section also identifies and outlines an Assessment Range Fo rmula (inflationary adjust) that provides for an annual adjustment to the maximum assessment rate that establishes limits on future assessments, but also provides for reasonable cost adjustments due to inflation.

Part IV — District Diagram
A diagram showing the boundaries of the District and the parcels that receive special benefit from the improvements to be provided and maintained as p art of Zone No. 31 of the Consolidated District. The lines and dimensions of each lot, par cel, and subdivision of land contained in this diagram are inclusive of all parcels listed in Part V — Assessment Roll of this Report and the corresponding Riverside County Assessor’s Parcel Ma ps for said parcels 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 Riverside County Assessor’s Parcel Maps for a detailed description of the lines and di mensions of each lot and parcel of land within the District.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part V — Assessment Roll
A listing of the proposed assessment amounts for pa rcels within the District. The maximum assessment amount for each parcel represents that p arcel’s maximum assessment amount for fiscal year 2024/2025 (amount balloted) and is base d on the parcel’s calculated proportional special benefit as outlined in Part II — Method of Apportionment, and assessment rate (“Assessment per EBU”) established in Part III — Es timate of Costs. The assessment amount identified as the “Proposed First Year's Assessment ” represents the anticipated assessment amounts to be levied and collected on the County Tax Rolls for fiscal year 2024/2025. The actual assessment amounts to be levied and collected for f iscal year 2024/2025 shall be finalized and approved by the City Council together with the asse ssments for other properties in the Consolidated District.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part I — Plans and Specifications
Description of the District
The territory within this District, and subsequentl y Zone No. 31 of the Consolidated District, consists of the lots and parcels of land within the residential development known as Willow Springs (Tract 36779) and the non-residential development known as Willow Springs Commerce Center (PM 36733), both part of the City of Murriet a’s Adobe Springs Specific Plan. The development is generally located west of Winchester Road, north of Via Mira Mosa, and southwest of Benton Road. It is bordered by the sub division known as Murrieta Springs to the south and west.

The territory within the District totals approximat ely fifty acres (49.71 acres) of which approximately thirty-three acres are planned to be developed into taxable property. The District is comprised of fifty-one (51) parcels identified on the Riverside County Assessor’s Parcel Number (APN) Maps as Book 963, Page 07, Parcel 058, 059, and 060; Book 963, Page 52, Parcels 001- 019; Book 963, Page 53, Parcels 001-018; and Book 963, Page 54, Parcels 001-011. Within this territory, the residential development (Book 963, P ages 52, 53, and 54) is planned for two- hundred eighty-three (283) Single-Family Residentia l properties. The non-residential parcels (APNs 963-070-058, 059, 060) are planned for a 9.48 acre commercial/industrial commerce center. The District Diagram contained in Part IV o f this Report provides a visual representation of the District boundaries and the parcels therein.

The residential and non-residential properties rece ive special benefit from and shall be proportionately assessed for the costs and expenses associated with maintaining and servicing all landscaping and lighting improvements provided by the District, including three (3) street lights, over 18,200 square feet of sidewalk and 63,902 squa re feet of median and parkway landscape maintenance areas located along Winchester Road bordering the development.

Improvements and Services
The purpose of the District is to provide funding f or the continued maintenance, operation and servicing of local street lighting and landscaping improvements established or installed in connection with development of properties within Wi llow Springs that provide a particular and distinct benefit (special benefit) to those properties. The specific plans, specifications and detailed drawings of the improvements for the District are not included in this Report but are on file in the City’s Planning Department and by reference are incorporated and made a part of this Report.

As authorized by the 1972 Act, the expenses to be funded by the District assessments generally include, but are not limited to all materials, equi pment, utilities, labor and incidental expenses including administrative expenses required for the ordinary and usual maintenance, operation, and servicing of the street lighting and landscaping improvements and related facilities within the public right-of-ways and/or easements dedicated to the City for maintenance purposes, which may include the performance of periodic repairs, re placement and expanded maintenance activities as needed to provide for the growth, health, and beauty of landscaping and/or the proper operation and functioning of lighting, irrigation and drainage systems.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Landscaping Improvements
The landscape improvements associated with this Dis trict are considered local landscaping improvements installed in connection with the devel opment of properties within the District. The landscaping improvements to be funded by the assessments may include, but are not limited to:
turf; shrubs and plants; trees; ground cover (both hardscape and vegetation); weed and vector control; irrigation and drainage systems; ornamenta l lighting structures; related sidewalks, masonry walls or other fencing; entryway monuments or other ornamental structures and signs; and associated appurtenant facilities located within:
 The parkway areas located behind the sidewalk and the sidewalk itself on the northwest side of Winchester Road running the length of Willow Springs development. (Approximately 63,902 square feet of landscaped area, and 18,214 square feet of sidewalk.) The maintenance of these improvements may include, but is not limited to the regularly scheduled mowing, trimming, pruning, fertilization, pest cont rol, and weed abatement of the landscaped areas; installation, replacement and rehabilitation of the landscaping; repair or replacement of irrigation or drainage systems; and repair or repla cement of hardscape improvements, including the sidewalk, and other amenities.

The City’s Park and Recreation Department is curren tly responsible for overseeing the ongoing maintenance, servicing, and operation of the landscaping improvements within the Consolidated District and shall authorize and schedule such maintenance and servicing as needed and based on available funding.

Public Street Lighting Improvements
Public street lighting improvements to be funded by the District assessments may include, but are not limited to, electrical energy, lighting fixture s, poles, meters, conduits, electrical cable and associated appurtenant facilities associated with:
 Public street lighting and other public lighting f acilities along the northwest side of Winchester Road bordering Willow Springs development and other public areas associated with or necessary for the development of properties within the District.

Maintenance, operation, and servicing of the Distri ct lighting improvements may include, but is not limited to the furnishing of electric current or other illuminating agent; as needed maintenance, repair, and replacement of worn out electrical comp onents and light fixtures including bulbs, ballasts, photoelectric cells, meters, and/or elect rical cables; repair or replacement of damaged poles, ground wires, and conduits caused by acciden ts, vandalism, time, and weather; and monitoring of the Underground Service Alert (USA) network to prevent damage by excavation.

The City’s Park and Recreation Department is curren tly responsible for overseeing the ongoing maintenance, servicing, and operation of the local street lighting improvements for the Consolidated District and shall authorize and sched ule such maintenance and servicing as needed and based on available funding.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Excluded Improvements
Not included as District improvements are improvements located on private property and/or areas designated as Homeowner Association property or easements.  Open space parcel 963-070-062.
 Homeowner Association maintenance areas, located t hroughout the residential development, including parks, play areas, slopes, open areas, and community amenities.  The Eastern Municipal Water District lift station and lift station site.  The estimated 2.13 acres of commercial area entry streetscape, and 1.34 acres of commercial area slopes.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part II — Method of Apportionment
Benefit Analysis
Legislative Authority
Part 2 of Division 15 of the Streets and Highways C ode, the Landscaping and Lighting Act of 1972, permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, including the acquisit ion, 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 recei ved by each such lot or parcel from the improvements.”
Section 22574 provides for zones as follows:
“The diagram and assessment may classify various ar eas within an assessment district into different zones where, by reason of variations in t he 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 t he 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 expe nses 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 Dis trict have been identified and allocated to properties within the District based on special benefit. The improvements provided by this District and subsequently Zone No. 31 of the Consolidated District and for which properties are assessed are local public street lighting and landscaping im provements 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.

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,” City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

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 sha ll 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 imp rovement, 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 exc eeds the reasonable cost of the proportional special benefit conferred on that parcel.” Special Benefit
Street Lighting Special Benefit
The street lighting in the District (Zone No. 31 of the Consolidated District), 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 that serve in lar ge part to enhance traffic safety, such as traffic signals and intersection safety lights or the more sporadic lighting found on major thoroughfares outside the more concentrated development areas. Th ese localized streetlights tend to be more closely spaced and of a lower intensity than streetlights installed primarily for traffic safety. These low-level, lower-intensity streetlights within the District provide three main special benefits: (i) property security benefit, (ii) pedestrian safety b enefit, and (iii) parkway/roadway egress benefit.

Since traffic to and from these parcels is largely limited to the 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. While the street lighting located on the perimeter of a development serves primarily for accessing the properties within that District, it is recognized that such lighting may benefit pas s-through traffic as well and inherently there is some general benefits associated with those streetlights.

In addition, the streetlights within the District a re consistent with the City’s typical intensity and spacing standards for areas zoned for residential d evelopment and each parcel to be assessed is served directly by the system of streetlights pr oviding appropriate lighting within these respective development areas. Furthermore, the cost of maintaining and operating each light is substantially the same, regardless of the location of the light within the District. Consequently, it has been concluded that each parcel within the District receives substantially similar benefit from the streetlight improvements.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Landscaping Special Benefit
The ongoing maintenance of local public landscaping provides aesthetic benefits to the properties within the District and provides a more pleasant environment to walk, drive and live. The primary function of the landscaping improvements and relate d amenities is to serve as an aesthetically pleasing enhancement and green space for the benefi t of the properties and development for which the improvements were constructed and installed. These improvements are an integral part of the physical environment of parcels, and if the improvements are not properly maintained, it is these parcels that would be aesthetically burdened. In addition, the street landscaping associated with this District serves as both a physical buffer as well as a sound reduction buffer between the roadway and the properties associated with those improvements. As a result, the maintenance of the landscape improvements is a particular and dist inct benefit to the development and the properties therein.

General Benefit
Assessments are established on the basis of calculated proportional special benefit to properties within a district. Because general benefits are not assessable, general benefit costs must be excluded from the assessment calculation.

In reviewing the improvements to be maintained by t his District, the proximity of those improvements to properties within Willow Springs as well as nearby properties outside of the boundaries of this development, and the reasons for installing and constructing such improvements; it is apparent that the improvements and need to maintain those improvements are exclusively the result of developing the parcel s within Willow Springs and the condition of these improvements and the level of service associated with such improvements will directly affect only the properties within that development.

Street Lighting General Benefit
Collectively, there are a total of three (3) streetlights to be operated and maintained by the District (Zone No. 31 of the Consolidated District), all of which are located on the perimeter of the District.

These residential perimeter lights, in contrast to internal residential lights, arguably provide some illumination that extends beyond the boundaries of the development and the parcels being assessed. The lights may also enhance the safety of members of the public unassociated with an assessed parcel by illuminating traffic lanes and/or parking on streets, or that otherwise provides services to the general public. Although, in genera l, these streetlights exist solely due to the development of assessed parcels, and the primary pu rpose of these lights is to provide illumination to access the assessed parcels, the st reetlights may provide some level of general benefit in addition to the special benefits provided to the assessed parcels. We estimate that these general benefits constitute not more than twenty-five percent (25%) of the total benefit associated with these perimeter lights. Therefore, it is reaso nable to conclude that the total general benefit from the operation and maintenance activities assoc iated with the District streetlights does not exceed 25% of the direct annual operating expenses for all combined residential streetlights.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Landscaping General Benefit
Recognizing that in the absence of a special funding District, the City only has a general obligation to maintain areas within the public right-of-way at a level of service that provides for public safety and avoids negative impacts on adjacent roadways an d vehicles traveling on those roadways (“baseline service”). However, this baseline service level would typically be limited to occasional weed abatement and as-needed tree trimming, resulti ng in a far less visually pleasing environment than is created with the enhanced level s of service to be provided for this development through the District assessments. Conservatively, the cost to provide this baseline level of service is estimated to be less than $0.023760 per square foot for such streetscape areas and based on the approximately 63,902 square feet of landscaped area to be maintained for the District (Zone No. 31 of the Consolidated District) , this annual baseline maintenance cost is estimated to be no more than $1,519 per year. Since the baseline services, unlike the enhanced aesthetic services, provide substantial benefit to the general public and to properties in general, the cost of providing this baseline service is treated as a general benefit cost associated with the landscape maintenance services and is not assessed.

Although the improvements are located in the public right-of-way and thus available or visible to the public at large, these improvements were not re quired nor necessarily desired by any properties or developments that currently exist out side the boundaries of the development and the maintenance of these improvements and the level of maintenance provided only has a direct and particular impact on these properties (special benefit). Therefore, while the improvements may be visually appealing to the occasional motoris t and visitor to the area or visible to nearby properties, such benefits are considered to be inci dental and an indirect consequence of the special benefits to properties within the District. Furthermore, the maintenance of these improvements beyond that which is required to ensur e the safety and protection of the general public and real property in general, has no measura ble or quantifiable benefit (either special or general benefit) to properties outside the District or to the public at large.

Assessment Methodology
Based on the improvements described above and the p lanned development of property within Willow Springs it has been determined that each of the residential and non-residential parcels within this development will receive substantially similar and proportional special benefits from the improvements to be provided by this District and su bsequently Zone No. 31 of the Consolidated District. Therefore, utilizing the Equivalent Benef it Unit (the “EBU”) method of apportionment, which was previously established for the Consolidated District, is an appropriate calculation of the proportional special benefit for each lot or parcel within the District. This EBU method of apportionment uses the single-family home site as t he basic unit of assessment with the single- family residential property being assigned one (1) EBU. All other land uses are assigned proportionately weighted EBUs based on an assessmen t formula that equates the property’s specific development status, type of development (c ollectively referred to as “land use”), and property size as compared to a typical single-family home site.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Equivalent Benefit Unit Application
The EBU application by land use for the Consolidate d District and applicable in whole or in part to this District is described as follows:

Single-family Residential — This land use is defined as a fully subdivided res idential home site with or without structures. This land use is assessed 1.00 EBU per lot or parcel. This is the base value to which other land use types are compared and weighted (i.e. Equivalent Benefit Unit, 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 1.00 EBU per unit.

Planned Residential Development — This land use is defined as any property not fully subdivided with a specific number of proposed residential lots to be developed on the parcel. This land use type is assessed at 1.00 EBU per planned (proposed) residential lot.

Vacant Residential — This land use is defined as property currently zon ed for residential development, but a tentative or final tract map has not been submitted and/or approved. This land use is assessed at 0.50 EBU per acre. Parcels less than 2 acres are assigned a minimum of 1.00 EBU. Parcels over 100 acres are assigned a maximum of 50.00 EBU.

Vacant Non-Residential — This land use is defined as property currently zoned for commercial or industrial use, but not specifically approved for commercial or industrial development. This land use is assessed at 1.00 EBU per acre. Parcels less than one (1) acre are assigned a minimum of 1.00 EBU. Parcels over 50 acres are assigned a maximum of 50.00 EBU.

Developed Non-Residential — This land use is defined as property developed for either commercial or industrial use. This land use type is assessed at 4.00 EBU per gross acre except in Zone 3 of the Consolidated District. Parcels less than 0.25 acres are assigned a minimum of 1.00 EBU, but there is no maximum acreage cap. In Zone 3 Developed Non-residential properties are assessed at 1.00 EBU per gross acre including any possessor interest in a common area.

Planned Non-Residential Development — This land use is defined as any property designated for commercial or industrial use for which specific development plans have been submitted or approved, or were included and identified as part of a specific commercial or industrial development project, but for which development of the property has not commenced or completion is not anticipated prior to the end of the fiscal year. With the exception of Zone 3 within the Consolidated District, parcels or lots with this land use type are assessed at 2.00 EBUs per gross acre; parcels consisting of less than half an acre are assigned a minimum of 1.00 EBU; but there is no maximum acreage cap. In Zone 3 of the Consolidated District, planned non-residential properties are assessed at 1.00 EBU per gross acre including any possessory interest in a common area.

Recreational or Limited Non-Residential Use — This land use is defined as property used for recreational or non-residential 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 (10%) of the total acreage has been developed.

This land use is assessed at 2.00 EBUs per acre. Similar to Developed Non-Residential properties, there is no maximum acreage cap for this land use, but lots or parcels less than 0.5 acres are assigned a minimum of 1.00 EBU.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Exempt Parcels — This land use identifies properties that are not assessed and are assigned 0.00 EBU. This land use classification may include, but is not limited to, lots or parcels identified as public streets and other roadways, dedicated public easeme nts, open space areas and right-of-ways including greenbelts and parkways, utility right-of-ways, common areas, sliver parcels, 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 exempt from assessment.

Special Cases — In districts where multiple land use classificatio ns may be involved, there are usually one or more properties for which the standard land use classifications may not accurately identify the special benefits received from the improvements. For example, a parcel may be identified as a Vacant Residential property, however only a small percentage of the parcel’s total acreage can actually be developed. In this case, a proper calculation would be based on the parcel’s net acreage rather than the parcel’s gross acreage.

The following table provides a summary of land use types, applied to each land use type and the multiplying factor used to be applied for the calculation of each parcel’s individual EBU:

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part III — Estimate of Costs
Calculation of Assessments
An assessment amount per EBU 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:
 “Operational Reserve Fund (Transfer/Deduction),” r epresents an amount of available existing funds from the “Operational Reserve Fund Balance” b eing applied to pay a portion of the Special Benefit Expenses for the fiscal year.
 “Capital Improvement Fund (Transfer/Deduction),” r epresents an amount of available existing funds from the “Capital Improvement Fund Balance” b eing applied to pay a portion of the Special Benefit Expenses for the fiscal year. This amount is typically an amount to offset any “Capital Improvement Expenditure” budgeted for that fiscal year.

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 individu al 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 outli ned 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 “Balan ce to Levy” represents the total “Special Benefit Expenses.”
District Budget
The following budget for the District is based on an estimate of the expenses and related funding necessary for the ongoing operation, maintenance an d servicing of the District improvements identified in Part I of this Report and establishes the initial Maximum Assessment per EBU (Maximum Assessment Rate) for fiscal year 2024/2025 . Reference is made to the assessment roll included herein as Part V for individual parcel maximum assessments to be balloted.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Estimate of Costs
Murrieta Landscaping and Lighting District No. 31 ( Willow Springs) Tract No. 36779 & PM 36733
Maximum (1) Fiscal Year 2024/2025 (2)
Levy Components Budget / Assessment Budget / Assessment DIRECT EXPENSES Balloted Proposed
Operations and Maintenance
Landscape Electric 64520 $190 $185.13
Landscape Water 64660 3,520 3,517.52 Building Maintenance 62000 - - Landscape Maintenance 62040 20,940 20,937.96 Sidewalk 9,385 9,380.21
Street Lighting Energy Costs 64560 595 593.28 Miscellaneous/Contingency 61960 990 987.29 Other Contingency 62320 0 0.00
Transfer to Vehicle Fund 09046 850 845.79 Total Direct Expenses $36,470 $36,447.19

INCIDENTAL EXPENSES
District Administration Personnel 50120 $850 $847.76
District Administration Contract Services 60480 6,695 6,695.00 District Administration Overhead Allocation 61600 1,9 40 1,936.11 County Administration Fee 60520 200 195.90 Administration Expenses (subtotal) $9,675 $9,674.77
Operational Reserve Fund Collection $18,185 18,184.65
Capital Improvement/Rehabilitation Fund Collection 1 ,785 1,780.07 Fund Collections (subtotal) $19,970 $19,964.72
Total Incidental Expenses $29,655 $29,639.49
Total Annual Expenses $66,125 $66,086.68

GENERAL BENEFIT EXPENSES
General Benefit Street Lighting Improvement Costs ($ 150) ($148.32) General Benefit Landscape Improvement Costs (1,645) (1,642.05) General Benefit Expenses (City Funded) ($1,795) ($1,7 90.37) TOTAL SPECIAL BENEFIT EXPENSES $64,330 $64,296.30
BALANCE TO LEVY $64,330 $64,296.30

DISTRICT STATISTICS
Total Parcels 51 51
Total Parcels Levied 22 22
Total Equivalent Benefit Units (EBUs) 321.00 321.00
Calculated Levy per EBU $201.00 $200.30
Maximum Levy per EBU (Balloted Maximum Rate) $201.00 $201.00 Total Assessment Amount Balloted $64,521
Inflationary Factor Applied to Future Maximum Rates 3.00%

(1)
(2)
City of Murrieta
The Levy Components shown above for "Maximum Budget/Assessment Balloted" are based on the City's estim ate of expenses and funding for fiscal year 2024/2025, rounded up to the nearest five dollars. The Calculated Levy per EBU has been rounded up to the nearest dollar to establish the Maximum Levy per EBU (Balloted Maximum Rate ).

The Levy Components shown above for "Fiscal Year 2024/2025 Budget/Assessment Proposed" are based on th e City's estimate of the improvement expenses and funding requirements for fiscal year 2024/2025.

Note: This District's assessment does not include a ny other assessments, taxes or charges against the properties (i.e., Murrieta Park Tax and Murrieta Community Services District).

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Annual Inflationary Adjustment (Assessment Range Formula) It is recognized that the majority of the annual cost of providing the improvements will be impacted by inflation in subsequent years. In an effort to minimize this impact, a formula for an inflationary adjustment is included as part of the District assessments to be approved by the property owners as part of the District formation process. This for mula referred to as the “Assessment Range Formula,” establishes a set adjustment to the allowable maximum assessment rate which allows for annual adjustments to be made to the various budget items. This Assessment Range Formula is consistent with the inflationary adjustments pre viously approved for the Consolidated District and as authorized by Section 53750(2)(A) of the Gov ernment Code (also known as the “Proposition 218 Omnibus Implementation Act”).
“For purposes of Article XIIIC and Article XIIID of the California Constitution… A tax, fee or charge is not deemed to be increased by an agency action t hat adjusts the amount of a tax or fee or charge in accordance with a schedule of adjustments , including a clearly defined formula for inflation adjustment.”
The Assessment Range Formula provides for reasonable increases and inflationary adjustments to annual assessments without requiring costly noticing and mailing procedures, which could add to the overall costs and assessments within the District. The Consolidated District provides for an annual adjustment (increase) of three percent (3%) to the Maximum Rate per EBU for most zones.

This same 3% annual adjustment (increase) shall be applied to the Maximum Assessment Rate established in this Report.

Commencing with the second fiscal year (fiscal year 2025/2026) and each fiscal year thereafter, the Maximum Assessment Rate (initially established by this Report for fiscal year 2024/2025) will be recalculated and a new Maximum Assessment Rate w ill be established for the District (Zone No. 31 of the Consolidated District) each fiscal ye ar. This annual adjustment to the Maximum Assessment Rate shall be calculated independent of the annual budgets and proposed annual assessments. Although the adjusted maximum assessme nt rate will increase each year, the annual assessment rate adopted for the fiscal year may be less. If the budget and the corresponding assessment for that fiscal year do no t 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 a new or increased assessment other than the annual inflationary adjustment provided by the preceding Assessment Range Formula, the City must comply with the provisions of the Califor nia Constitution Article XIIID Section 4c, that requires a public hearing and certain protest proce dures 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.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part IV — District Diagram
A copy of the District Diagram (Boundary Map) for t he District is provided on the following page.

The parcels that comprise the Murrieta Landscaping and Lighting District No. 31 (Willow Springs) consists of all lots, parcels and subdivisions of l and listed on the Assessment Roll contained herein as Part V, the lines and dimensions of which are shown on the Riverside County Assessor’s parcel maps for the current year and are incorporated by reference herein and made part of this Report. The following District Diagram together wit h the Assessment Roll contained herein as Part V, constitute the Assessment Diagram for the Murrieta Landscaping and Lighting District No. 31 (Willow Springs) for fiscal year 2024/2025.

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

City of Murrieta
Engineer’s Report
Formation of Landscaping and Lighting District No. 31 (Willow Springs) Fiscal Year 2024/2025

Part V — Assessment Roll
Parcel identification for each lot or parcel within the District shall be the parcel as shown on the Riverside 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 as sessor parcels to be assessed within this District along with the assessment amounts is provi ded in the following:

963-070-058 PM 36733 Lot 58 2.65 Non-Residential 0.60 N/ A 2.40 $482.40 $480.72 963-070-059 PM 36733 Lot 59 3.56 Non-Residential 3.10 N/ A 12.40 2,492.40 2,483.72 963-070-060 PM 36733 Lot 60 6.01 Non-Residential 5.80 N/ A 23.20 4,663.20 4,646.96 963-520-001 PM 36779 Lot 1 1.38 Residential N/A 15 15.00 3 ,015.00 3,004.50 963-520-002 PM 36779 Lot 7 1.86 Residential N/A 26 26.00 5 ,226.00 5,207.80 963-520-003 PM 36779 Lot 14 0.58 Residential N/A 9 9.00 1, 809.00 1,802.70 963-520-004 PM 36779 Lot 15 0.44 Residential N/A 6 6.00 1, 206.00 1,201.80 963-520-005 PM 36779 Lot 16 1.35 Residential N/A 15 15.00 3,015.00 3,004.50 963-520-006 PM 36779 Lot 17 0.89 Residential N/A 9 9.00 1, 809.00 1,802.70 963-520-007 PM 36779 Lot 18 0.93 Residential N/A 10 10.00 2,010.00 2,003.00 963-520-008 PM 36779 Lot 19 0.23 Residential N/A 3 3.00 60 3.00 600.90 963-530-001 PM 36779 Lot 2 2.97 Residential N/A 26 26.00 5 ,226.00 5,207.80 963-530-002 PM 36779 Lot 5 2.37 Residential N/A 31 31.00 6 ,231.00 6,209.30 963-530-003 PM 36779 Lot 6 0.47 Residential N/A 6 6.00 1,2 06.00 1,201.80 963-530-004 PM 36779 Lot 8 0.94 Residential N/A 14 14.00 2 ,814.00 2,804.20 963-530-005 PM 36779 Lot 9 1.16 Residential N/A 15 15.00 3 ,015.00 3,004.50 963-530-006 PM 36779 Lot 10 0.95 Residential N/A 13 13.00 2,613.00 2,603.90 963-530-007 PM 36779 Lot 11 0.56 Residential N/A 7 7.00 1, 407.00 1,402.10 963-540-001 PM 36779 Lot 3 2.14 Residential N/A 22 22.00 4 ,422.00 4,406.60 963-540-002 PM 36779 Lot 4 2.41 Residential N/A 30 30.00 6 ,030.00 6,009.00 963-540-003 PM 36779 Lot 12 0.72 Residential N/A 10 10.00 2,010.00 2,003.00 963-540-004 PM 36779 Lot 13 1.10 Residential N/A 16 16.00 3,216.00 3,204.80 Total 35.66 9.50 283 321.00 $64,521.00 $64,296.30
Charged Parcels 22
Balloted
Maximum
Assessment
Proposed First
Year's
Assessment
Planned Non-
Residential
Assessable
Acreage
Planned
Residential
Units
APN Lot Identification Total
Acreage EBU Planned Land
Use