View Exhibit A — Oakland City Council, April 14, 2025

1 THE RENEWED AND EXPANDED LAUREL DISTRICT
COMMUNITY BENEFIT DISTRICT - 2025
(LDCBD)

MANAGEMENT DISTRICT PLAN

Prepared pursuant to the City of Oakland’s
Business Improvement Management District Ordinance of 1999 # 12190, Under Municipal Code Chapter 4.48
for the Laurel District Association

DECEMBER 9, 2024

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2 TABLE OF CONTENTS

I. Management District Plan Summary ...................................................................................3 II. The Laurel District CBD Boundaries .....................................................................................8 III. Renewed and expanded 20-year LDCBD Work Plan and Budget ..................................... 11 IV. Renewed and expanded LDCBD Assessment Formula ..................................................... 16 V. Publicly Owned Parcels ..................................................................................................... 20 VI. LDCBD District Governance............................................................................................... 20 VII. Renewed and expanded Rules and Regulations ............................................................... 21 VIII. Implementation Timetable ............................................................................................... 21 Appendix 1: Year 1 – CBD Assessment Roll .................................................................................. 22 Attachment 1: Certified Assessment Engineer’s Report

3 I. MANAGEMENT DISTRICT PLAN SUMMARY

The Laurel District Community Benefit District (LDCBD or District) is a P roperty and Business Improvement District proposed to be renewed and expanded for a 20-year period by the Laurel District Association, who has professionally managed the district since 2005. Understanding that the timeline for formation in time for Fiscal Year 2025-2026 is upon us now, the Laurel District Association Renewal Committee felt that the time had come to renew this special benefits district and that the services provided by the District must be continued to support current businesses and potential new businesses, restaurants , and mixed -use development as the Laurel District continues to grow.

We are now proposing a 20-year term since this will be the third time the district has been formed since its creation. The renewal process is time consuming, tedious and expensive. The newly amended enabling ordinance under the City of Oakland, has recently been updated to allow for a longer term, while retaining a provision that allows for an annual disestablishment if the district fails to successfully provide services supported by the district property owners.

The purpose of renewing the LDCBD is to continue to provide and manage activities, services and improvements for the Laurel District, an important, historic, and beautiful East Bay Area business center, including cleaning services, demand creation, cultural events, public space development, marketing and promotion, social media, landscaping and beautification services, District administration services, programs, and improvements. The LDCBD is a benefit assessment district that will enable the LDCBD property owners and businesses, working as a unit, to fund needed property and business-related improvement programs, and services above what is provided by the City of Oakland and that benefit LDCBD property owners and businesses.

Name: The name of the renewed and expanded property assessment district is the Laurel District Community Benefit District 2025, which we will refer to throughout the document as the LDCBD or District.

Location: The renewed and expanded LDCBD is in the Laurel District of Oakland and will include parcels in the current Laurel District PBID with minor expansions on 35 th Avenue running southward, including parcels on both sides of 35 th Avenue, ending at the 580 freeway. (See map on page 9)

Benefit Zones: There will be one benefit zone within the renewed and expanded LDCBD.

Year 1 Annual Revenue Generation - 2026
Special Benefit first year revenues (assessments) $256,150 General Benefit $6,568
Total First Year Budget $262,718

4 Proposed First Year Laurel District Community Benefit District Budget - 2026

Category of Services Percentage of
budget
1st Year Allocation
(rounded off)
Civil Sidewalks/Safety and Cleanliness 40% $102,000
District Identity and Placemaking 30% $ 77,000
Administration 25% $ 64,000
Contingency/Reserve 5% $ 13,150
Total 1st year Budget 100% $ 256,150

All services listed below are special benefits and supplemental to current City services.

1. CIVIL SIDEWALKS/SAFETY AND CLEANLINESS/BEAUTIFICATION – 40% Examples of this category of special benefit services and costs may include, but are not limited to:
• Regular sidewalk and gutter sweeping
• Regular sidewalk power washing
• Private security or OPD overtime officers, and homeless outreach workers • Personnel to manage in-house or contracted maintenance and/or security teams • Beautification of the district
• Enhanced trash emptying (over and above city services) • Timely graffiti removal, within 72 hours as necessary • Installation and maintenance of planters throughout the district • Streetscape improvements for walkability

2. DISTRICT IDENTITY AND PLACEMAKING 30%
Examples of this category of special benefit services and costs may include, but are not limited to:
• Branding of the Laurel District so a positive image is promoted to the public -at-large and surrounding residents
• Web site and merchant directory maintenance and updates • Business attraction
• Social media, public relations
• Enhancing the current holiday and seasonal decorations • Banner programs
• Public art displays
• Public space design and improvements
• Events and programming to increase foot traffic and district awareness

3. ADMINISTRATION/PROGRAM MANAGEMENT- 25%
Examples of this category of special benefit services and costs may include, but is not limited to:
• Staff and administrative costs, contracted or in-house • Business and property owner support services and advocacy • Directors and Officers and General Liability Insurance • Government and public relations

5 • Office related expenses, rent
• Financial reporting and accounting
• Compliance
• Legal work
• Grant writing

4. CONTINGENCY/CITY AND COUNTY FEES/RESERVE – 5%
Examples of this category of special benefit services and costs include, but is not limited to:
• Delinquencies, City/County fees
• Contingency

Finance: The LDCBD is a Benefit assessment district consisting of real property (120 parcels and 101 property owners, and a few r esidential condominiums). No bonds shall be issued to fund LDCBD programs.

Budget: LDCBD property assessment revenue for Year 1 is projected to be $ 256,150. The Assessment Engineer has determined that general benefits equate to 2½ % of the total adjusted LDCBD program costs resulting in a gross budget of $262,718 including $ 6,568 in general benefits. General benefit costs shall be derived from non-assessment revenue sources such as grants, program income, credits, interest, memberships, and other sources.

The categories of services , activities, and improvements and their percentages represent the costs to be funded with a renewed and expanded assessment that District property owners will vote on by mail ballot pursuant to Section 4 of Article XIII D of the California Constitution (also referred to as “Proposition 218”), in the Winter or Spring of 2025.

The data to be used for the assessment methodology in the final plan includes the following:

• 374,558 in gross building square footage
• 10,152 linear feet for the frontage
• 780,764 in gross lot square footage
• 22,670 in residential condo building square footage

General Benefit:
“General Benefit” as defined by the Property and Business Improvement District Law of 1994 (“Law”), means “for purposes of a property -based district, any benefit that is not a ‘special benefit’.”
“Special Benefit” as defined by the California State Constitution and the Law 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.” Special benefits exclude general enhancement of property value under the Law, a special benefit “ includes incidental or collateral effects that arise from the improvements, maintenance, or activities of property -based districts even if those incidental or collateral effects benefit property or persons not assessed.”

6 The general benefits of the renewed and expanded LDCBD for the first year will equal $ 6,568, representing 2½ % of the total District budget of $262,718.

Annual Costs:

Annual Costs to each property owner based upon their parcel’s lot size, linear frontage and building square footage. In the case of residential condominiums, only building square footage.

Method of Financing:

The financing of the LDCBD is based upon the levy of special assessments on real properties that receive special benefits from the improvements and activities based upon which Benefit Zone they are located within. There will be four factors used in the determination of proportional costs to the parcels in the District. These four factors are:

1. Linear frontage (excluding alleys)

2. Lot size or the footprint of the parcel

3. Building square footage

4. Current & future residential condominiums that may be constructed within the District, (residential condominiums in the District will be assessed for their actual unit building square footage only)

YEAR ONE ASSESSMENT RATES FOR THE RENEWED AND EXPANDED LAUREL DISTRICT

Building Square Footage
Annual Cost
Lot Square Footage Annual
Cost
Linear Frontage
Annual Cost
$0.12 $0.15 $9.00

Annual Cap:

Assessment rate increases are capped at a maximum of 8% per year, subject to approval by the LDCBD Owner Association Board of Directors and approval by resolution of the City Council of Oakland. The basis for any annual increase i s conditioned upon increased costs of running the District, including, but not limited to, increases in labor costs, insurance costs, vehicle and gas costs, special projects, etc. The assessment budget may increase with the addition of new buildings within the District boundaries that increase the total number of properties assessed.

Establishment:

Establishment of the LDCBD is a four-step process.

First, a Management District Plan must be endorsed by the LDCBD Renewal Committee and accompanied by an Assessment Engineer’s report. The Renewal Committee will submit it to the Board of the LDA for review and approval.

Second, a petition signed by LDCBD property owners representing at least 30% of the total assessments to be levied must be submitted to the City. Based on the plan, property owners who will pay more than $76,845 in assessments to be levied must sign the petition submitted to the

7 City (including the City -owned properties in the District) to initiate proceedings to form the District. The petition must include a summary of the Management District Plan, as specified in Streets and Highways Code section 36621. The plan, which must include the content specified in Streets and Highways Code section 36622, must be filed with the City Clerk.

Third, the City Council must adopt a resolution of intention expressing its intention to form the LDCBD.

Fourth, a notice of the hearing must be mailed to affected property owners in accordance with Streets and Highways Code section 36623 and Section 4 of Article XIII D of the California Constitution. The protest and hearing proceeding must be overseen by the City of Oakland. The assessment must be supported by the Management District Plan and the Assessment Engineer’s report. After the hearing, if there is no majority protest (i.e., number of weighted ballots in support exceeds those opposed ), the City Council may adop t a resolution of formation that constitutes the levy of assessment for the years referred to in the Management District Plan.

Based upon this plan, $76,845 in petitions of support must be submitted to the City to initiate the mail balloting procedure as required for property assessment districts as per the Law.

Returned ballots in support of the LDCBD formation must outweigh those in opposition based on the amount of assessment to be levied to each benefitting parcel.

Duration:

As allowed by the local enabling ordinance, the District will have a renewed term of twenty (20) years from January 1, 2026, to December 31, 20 45. The renewed and expanded District operations are expected to begin on January 1, 2026. If the District is not renewed and expanded in 2045, the special benefit activities funded by the LDCBD will end on December 31, 2045. If the property owners desire to continue the CBD after the twenty-year period ends, they can renew the District under the same process to form the District, for a term up to 20-years.

Furthermore, under the current enabling ordinance, if the district is not providing special benefits as per this plan, the property owners may initiate a disestablishment of the district annually, which, if the required petition threshold is met, may trigg er a balloting process to disestablish the District.

8 II. LDCBD BOUNDARIES

Boundaries: There are 120 parcels owned by 101 property owners in the proposed LDCBD 2026.

The following text will define the boundaries of the renewed and expanded Laurel District CBD.

Parcels in the commercial corridors of the LDCBD 2025 will include the following:
▪ Northern Boundary: The two parcels at the southeastern and southwestern corners of the intersection of Midvale Avenue and MacArthur Blvd. (Parcels 28-956-01 and 28-957- 12)
▪ Southern Boundary: The two parcels at the southwestern and southeastern corners of the intersection of MacArthur Blvd. and High Street (Parcels 30-1982-123-1 and 30-1982- 118-1).
▪ Eastern Boundary: Starting at the parcel at the southeastern corner of the intersection of Midvale Avenue and MacArthur Blvd (parcel 28-957-12), running southward to include all parcels on the east side of MacArthur from Midvale Avenue to the parcel at the southeastern corner of the intersection of MacArthur Blvd and High Street (parcel 30 - 1982-118-1). The eastern boundary will also include the parcel directly to the east of the parcel at the southeastern corner of the intersection of MacArthur and 35 th Avenue, (parcel 28-957-34-44).
▪ Western Boundary: Starting at the parcel at the southwestern intersection of Midvale Avenue and MacArthur, (parcel 28-956-01) running southward on 35th Avenue to include all parcels on the west side of MacArthur Blvd up to 35 th Avenue, continuing westward including the parcels from 35th Avenue and MacArthur on the west side of 35 th Avenue ending at the 580 freeway, including the garden parcel at 28-952-14. Crossing the street to parcel 30 -1980-01 at the 580 and 35 th Avenue and continuing eastward to the southwestern inte rsection of 35 th Avenue and MacArthur, continuing southward including the parcels on the west side of MacArthur terminating at the parcel at the southwestern intersection of High Street and MacArthur, (parcel 30-1982-123-1)

9 General Boundaries:

The renewed and expanded LDCBD is located predominantly in the core area of The Laurel District and includes all parcels on each side of MacArthur Blvd from High Street to Midvale Avenue, as well as along the parcels at the intersection 35th Avenue and MacArthur westward to the 580 freeway.

Boundary Description:

The renewed and expanded LDCBD encompasses approximately 19 blocks in The Laurel District as detailed below.

Benefit Zones:

The LDCBD consists of one Benefit Zone.

District Boundary Rationale : The LDCBD boundaries are comprised of the commercial core parcels as well as the commercial, mixed -use and multi -family parcels and residential condominium units throughout the District.

Summation:

A list of all parcels included in the renewed and expanded established LDCBD is shown in Appendix 1, attached to this report and identified by their respective A County assessor parcel numbers. The boundary of the renewed and expanded established LDCBD is shown on the map on page 9 of this plan.

All identified parcels within the District boundaries shall be assessed to fund special benefit activities, services and improvements as outlined in this plan and the Assessment Engineer’s Report. All LDCBD-funded services, activities, and improvements provided within the District boundaries shall confer special benefit s to assessed parcels. Each assessed parcel within the LDCBD will proportionately and specially benefit from the District funded activities, services, and improvements. These services, activities, and improvements are intended to improve commerce, employment, rents and occupancy rates , and investment viability of assessed parcels , and businesses and residents located on those parcels, within the LDCBD. The LDCBD confers special benefits on each individually assessed parcel by creating demand, improving aesthetics and marketing goods and services available from assessed parcels, and the businesses and residential parcels located on those parcels, within the District.

10 11

III. RENEWED AND EXPANDED 20-YEAR LDCBD WORK PLAN AND
BUDGET

Overview:

The activities, services, and improvements to be funded by the LDCBD will include Civil Sidewalks, District Identity and Placemaking, Administration Services, and Contingency. The property uses of the properties within the District boundaries include a unique mix of retail, restaurant, services, mixed use, multi-family units and other commercial and residential uses. District-funded activities, services and improvements will provide special benefits as described below to assessed parcels and an array of land uses within the District boundaries.

The purpose of this District is to fund activities, services and improvements to assessed parcels within the District boundaries above and beyond what is currently funded by tax revenues or other funding sources. The City of Oakland does not currently provide many of these supplemental programs and services.

The projected special benefit cost allocation of the District assessment revenues for the 20-year District term , assuming an 8% maximum annual assessment rate adjustment, is shown in the Table on page 14 of this Plan.

Work Plan Details:

The special benefits to be provided by the LDCBD are all designed to contribute to the cohesive commercial, mixed use and residential fabric and to promote economic development within the District. The assessed parcels in the LDCBD will specially benefit from the District activities and improvements by increasing commerce, creating business and property demands, and improving economic development. The District goals are: to improve sanitation, beautification, landscaping, and to attract new businesses and retain existing businesses, and ultimately to increase commerce and improve the economic viability of each assessed parcel.

12 YEAR 1 – RENEWED AND EXPANDED BUDGET
(ASSESSMENT REVENUES/SPECIAL BENEFIT COSTS):

Special Benefit Budget Category Analysis:

The Management District Plan gives the property owners greater flexibility in determining the type and frequency of special benefit s that will be annually allocated. Services that are needed one year may not be needed the next . Therefore, “bundles” or categories of special benefit funding are created and divided into four broad categories.

13 • Legal work
• Grant writing

4. CONTINGENCY/CITY AND COUNTY FEES/RESERVE – 5%
Examples of this category of special benefit services and costs include, but is not limited to:
• Delinquencies, City/County fees
• Contingency
The categories of services and their percentages represent the service plan the District property owners will be voting on when the District comes up for a mail ballot, in the Spring of 2026.

Proposed First Year Laurel District Community Benefit District Budget - 2026

Program and Activity Budget:

Each identified assessed parcel within the LDCBD will be assessed the full amount of the proportionate special benefit conferred upon it based on the level of District funded services, activities and improvements provided. The projected District special benefit (assessment) cost allocation budget for Year 1 is shown in the Table above.

The District shall adhere to the budget and Management District Plan during the term of the LDCBD. While some variation is permissible to account for unexpected circumstances, the funding allocated to each funding category expressed as a percentage of the total budget, shall not vary by more than 10% of total budget from each year’s percentage in the Management District Plan. Any variation that exceeds 10% of the total budget shall be subject to review and approval by the District board and the City Council. Any surplus or unspent funds, per category, shall be accumulated year by year over the life of the LDCBD.

14 A 20-year projected LDCBD budget is shown in the following Table with 8% increase:

YEAR 1-10 PROJECTED DISTRICT ASSESSMENT BUDGET SUMMARY (SPECIAL BENEFIT COSTS) Year Civil Sidewalks District Identity and
Placemaking Administration Contingency Total
% 40% 30% 25% 5% 100%
1 $ 102,000 $ 77,000 $ 64,000 $ 13,150 $ 256,150 2 $ 110,160 $ 83,160 $ 69,120 $ 14,202 $ 276,642 3 $ 118,973 $ 89,813 $ 74,650 $ 15,338 $ 298,773 4 $ 128,491 $ 96,998 $ 80,622 $ 16,565 $ 322,675 5 $ 138,770 $ 104,758 $ 87,071 $ 17,890 $ 348,489 6 $ 149,871 $ 113,138 $ 94,037 $ 19,322 $ 376,368 7 $ 161,861 $ 122,189 $ 101,560 $ 20,867 $ 406,478 8 $ 174,810 $ 131,964 $ 109,685 $ 22,537 $ 438,996 9 $ 188,795 $ 142,522 $ 118,460 $ 24,340 $ 474,116 10 $ 203,898 $ 153,923 $ 127,936 $ 26,287 $ 512,045 11 $ 220,210 $ 166,237 $ 138,171 $ 28,390 $ 553,009 12 $ 237,827 $ 179,536 $ 149,225 $ 30,661 $ 597,249 13 $ 256,853 $ 193,899 $ 161,163 $ 33,114 $ 645,029 14 $ 277,402 $ 209,411 $ 174,056 $ 35,763 $ 696,632 15 $ 299,594 $ 226,164 $ 187,980 $ 38,624 $ 752,362 16 $ 323,561 $ 244,257 $ 203,019 $ 41,714 $ 812,551 17 $ 349,446 $ 263,798 $ 219,260 $ 45,051 $ 877,555 18 $ 377,402 $ 284,901 $ 236,801 $ 48,655 $ 947,760 19 $ 407,594 $ 307,694 $ 255,745 $ 52,548 $ 1,023,580 20 $ 440,202 $ 332,309 $ 276,205 $ 56,751 $ 1,105,467 *Assumes 8% max assessment rate increase per year with no new buildings constructed.

The Assessment Engineer (see attached Engineer’s Report) has found that the general benefits (i.e., general benefits to assessed parcels within the District, the general public and surrounding parcels outside the LDCBD) of the renewed and expanded programs, services and improvements) represent 2 ½ % of the total benefits generated and in turn, 2 ½ % ($6,568) of the total adjusted costs of the LDCBD-funded improvements, activities and services provided.

Total Year 1 adjusted costs are estimated at $262,718. General benefits are factored at 2 ½ % of the total adjusted costs (see Finding 2 in the attached Engineer’s Report) with special benefits set at 97.5%. Article XIII D Section 4( a) of the California Constitution limits the levy of property assessments to costs attributed to special benefits only. The 2 ½ % general benefit cost is computed to be $ 6,568 with a resultant 97.5% special benefit computed at $256,150. Based on current property data and land uses, this is the maximum amount of Year 1 revenue that can be derived from property assessments from the subject District. All general benefits will be funded from sources other than District assessments.

15 Year 1 Annual Revenue Generation - 2026
Special Benefit first year revenues (assessments) $ 256,150 General Benefit $6,568
Total First Year Budget $262,718

The renewed and expanded LDCBD assessment rates may increase annually for each individual parcel during the 20-year effective operating period not to exceed 8% per year, and not to exceed the reasonable cost of the proportional special benefits conferred on each assessed parcel. These rates will be approved by the Owners’ Association Board of Directors and of the Oakland City Council. Any accrued interest and delinquent payments will be expended within the budgeted categories.

The Owners’ Association Board of Directors (Laurel District Association), which has managed the district effectively and efficiently since 2006, shall continue as the Owners Association and shall determine the percentage increase (ranging from 0-8%)to the annual assessment and the value of the special benefits conferred on each parcel each year . The Owners’ Association Executive Director or staff shall communicate the annual increase to the City each year in which the District operates, at a time determined in the Administration Contract held between the Owners’ Association and the City of Oakland.

Bonds: No bonds are to be issued in conjunction with the renewed and expanded District.

Pursuant to Section 36671 of the Streets and Highways Code, any funds remaining after the 20th year of operation will stay with the District upon renewal of the District or will be returned to owners if the District is not renewed in 2045. If the District is not renewed or is terminated, unexpended funds will be returned to the property owners in the same proportion in which they were collected. District assessments may be used to pay for the costs related to the renewal of the LDCBD at the time of renewal.

Manner of Collection:

Assessments for the County of Alameda Property Tax Year calendar year beginning January 1, 2026 and ending December 31, 2045, shall be collected at the same time and in the same manner as ad valorum taxes paid to the County of Alameda (Operation Years 2026 - 2045). The District assessments shall appear as a separate line item on the property tax bills issued by the Alameda County Tax Assessor.

16 IV. Renewed and Expanded Assessment Formula

The LDCBD programs and services described in this Management District Plan will be funded through benefit assessments against real property in the LDCBD. Non-assessment revenues will fund the costs associated with general benefits conferred on assessed parcels within the District, the public at large and surrounding parcels outside of the LDCBD boundaries. The assessment formula has been developed to ensure that no parcel will be assessed an amount that exceeds the cost of the proportional special benefit that an assessed parcel derives from the activities, services, and improvements to be funded by the renewed and expanded assessments. The assessment rates are based on the anticipated benefit to be derived by each individual parcel within the LDCBD.

The “Basic Benefit Units” will be expressed as a combined function of lot size square footage (Benefit Unit “A”) , street frontage (Benefit Unit “B”) , and building square footage (Benefit unit “C”). Based on the shape of the renewed and expanded LDCBD, as well as the nature of the District activities, services, and improvements , it is determined that all identified assessed properties will gain a direct and proportionate degree of special benefit based on the respective amount of lot size area, street frontage and building square footage.

For the array of land uses within the District, the interactive application of lot size area, street frontage, and building square footage quantities are a common method of fairly and equitably spreading special benefit costs to parcels that receive District-funded services, activities, and improvements.

Lot Size: is a direct measure of the current and future development capacity of each parcel and its corresponding impact or draw on District-funded activities. The targeted weight of this factor, land area, should generate approximately 46% of total first year District revenue.

Street Frontage is a direct measure of the static utilization of each parcel and its corresponding impact or draw on District funded activities, many of which are linear in nature (i.e., Landscaping, Sanitation and Beautification). The targeted weight of this factor should generate approximately 36% of total District revenue.

Building Square Footage is a direct measure of the current and future improvements to the land area of each parcel and its corresponding impact or draw on District funded activities. The targeted weight of this factor should generate approximately 18% of the total District revenue.

Assessing for building square footage is an appropriate gauge of the impact of employees, visitors, shoppers, and clients on a specific parcel.

Commercial Condominium (non-residential portion of mixed-use buildings) - Parcels Defined:

Ground floor commercial condominiums will be treated as independent “mini” commercial buildings and assessed based on their actual building square footage, the footprint of land they cover or lot size of the commercial condominium, and the amount of direct primary street frontage on the exterior of the building.

17 Residential Condominium Unit Parcels Defined:

Though there are currently less than 20 residential condominium units in the LDCBD, there will be more built in the next twenty years. When built, the building square footage will be defined as the livable building square footage within the walls of the condominium residential unit parcel. They are included in a special category to designate their unique special benefits relative to the other commercial parcels within the LDCBD. Unlike the other commercial parcels in the District, including commercially operated apartment buildings, residential condominium parcels are assessed for building square footage only, and are not assessed for linear frontage and lot square footage.

These residential condominium individual parcels will be assessed for their building square footage only at the rate of $0.12 per square foot per year for the first year of the LDCBD, or possibly higher if assessments have been increased annually as provided in this plan and completed in future years. The rationale for assessing future residential condominiums only for the building square footage rate is provided below.

Residential condominium parcels are assessed less than multi-unit, market rate apartment rental buildings due to special benefit s required by each parcel as described below. The multi -unit apartment buildings are commercial properties in which the tenant and property owner have an economic relationship as opposed to residential condominium buildings where individual property owners own separate “air space parcels” on a single floor. Future residential apartment buildings can be bought or sold just as comm ercial buildings whereas residential condominium individual units are separately owned and must be individually bought and sold . Distinctions between residential apartment buildings with tenants and residential condominium building with individual parcel owners are explained as follows:

• The Davis Sterling Act establishes rules and regulations for residential condominium owners based upon “separate interests” (i.e., ownership rights), as opposed to renters who only have a possessory interest.
• Generally, residential condominium unit owners demonstrate greater care for their property and concerns about quality-of-life issues due to their investment in real estate. • Residential owners have the right to vote on assessments in a Proposition 218 hearing, tenants do not have that right.
• Residential condominium owners are required to contribute to legally established Homeowners Associations to oversee building maintenance, tenants are not. • Residential tenants may have their dwelling units sold or have their rent raised.

The assessment methodology has been written to confer special benefits to future residential condominium individual assessed parcels since residential condominium owners have expectations about the care and maintenance of the building and its surroundings compared to the interest of residential tenants who have a possessory not an ownership interest.

18 Data generated from County records and validated by request of owner verification by mail Lot Square Footage 780,764
Linear Frontage 10,152
Building Square Footage 374,558
Residential Condominiums Sq. Ft. 22,670

YEAR 1 – PROJECTED LDCBD ASSESSMENT REVENUE

Lot Sq. Ft.

Assessment

Linear
Frontage
Assessment
Building Square
Footage
Assessment

Residential
Condo
Total

Revenue $117,115 $ 91,368 $ 44,945 $2,720 $256,150
% of
Total 46% 36% 17.5% .05% 100%

The number of Benefit Units for each identified benefiting parcel within the renewed and expanded LDCBD was computed from data extracted from the Alameda County Assessor records and maps as well as property verification forms mailed out to each parcel owner in the renewed and expanded District. These data sources delineate current land uses, property areas and dimensions of record for each tax parcel.

The assessment formula for the Renewed and expanded established LDCBD is as follows:

Assessments = Land Area (Unit A) Sq Ft x Unit A Rate, plus Street Frontage (Unit B) Lin Ft x Unit B Rate, plus
Building Square footage (Unit C) Sq ft x Unit C rate

YEAR 1 – Assessment Rates

Lot Square
Footage Assessment

Unit A
Linear Frontage
Assessment

Unit B
Building Square
Footage Assessment

Unit C
Residential
Condominium Bldg.

Square footage
Assessment
$ 0.15 per square foot $9.00 per linear foot $0.12 per square foot $.12 per square foot

19 Changes to Frontage, Building or Lot Parcel Size:

Any size changes to the building or lot square footage will increase or decrease the assessment levied on that parcel from year-to-year. All three land adjustments including, but not limited to lot splits, consolidations, subdivisions, street dedications, and right-of-way setbacks shall have their assessment adjusted upon final City approval of such parcel adjustments.

Other Future Development:

Other than future maximum rates with the frontage, building or parcel size assessment methodology delineated in this report, per State law (Government Code Section 53750), future assessments may be adjusted for any given parcel if such an adjustment is attributable to events other than an increased rate or revised methodology, such as a change in the density, intensity, or nature of the use of land. Any change in assessment formula methodology or rates other than as described in this Plan would require a new Proposition 218 proceeding to approve any such changes.

LDCBD – 10-year Maximum Assessment Rates – 8%

Year Lot Square Foot
Assessment
Linear Frontage
Assessment
Building Square
Footage Assessment
Residential
Condominium
Y1 $ 0.150 $ 9.000 $ 0.120 $ 0.120 Y2 $ 0.162 $ 9.720 $ 0.130 $ 0.130 Y3 $ 0.175 $ 10.498 $ 0.140 $ 0.140 Y4 $ 0.189 $ 11.337 $ 0.151 $ 0.151 Y5 $ 0.204 $ 12.244 $ 0.163 $ 0.163 Y6 $ 0.220 $ 13.224 $ 0.176 $ 0.176 Y7 $ 0.238 $ 14.282 $ 0.190 $ 0.190 Y8 $ 0.257 $ 15.424 $ 0.206 $ 0.206 Y9 $ 0.278 $ 16.658 $ 0.222 $ 0.222 Y10 $ 0.300 $ 17.991 $ 0.240 $ 0.240

SAMPLE LDCBD FIRST YEAR ANNUAL ASSESSMENT CALCULATION –

EXAMPLE: A 5,000 sq. ft. lot with 50 linear feet of street frontage in The Laurel District, and a 2,500 square foot building
Lot size square footage: 5,000 x $0.15 cents per square foot = $750.00 plus Linear Frontage: 50 linear feet x $9.00 per linear foot = $450.00 plus Building Square Footage 2,500 x $0.12 cents per square foot = $ 300.00 equals

TOTAL YEAR 1 ASSESSMENT: $1,500.00
Cost Per Month: $125.00
Cost Per Day: $4.11
Residential Condominium Assessments in the LDCBD:

20 Actual Building square footage of the Residential Condo x $0.12 per year x condo building square footage = Annual Assessment

Example, a 1,000 square foot residential condominium x $.12 = $ 120.00 per year or TOTAL YEAR 1 ASSESSMENT: $120.00
Cost Per Month: $10.00
Cost Per Day: $0.0328

V. Publicly Owned Parcels

Proposition 218 states that “parcels within a District that are owned or used by any agency, the State of California or the United States shall not be exempt from assessment unless the agency can demonstrate by clear and convincing evidence that those publicly owned parcels in fact receive no special benefit.”

There are no publicly owned parcels within the District, all of which are identified as assessable and for which special benefit services will be provided.

VI. LDCBD GOVERNANCE

The governance or management of a LDCBD requires an owner’s association, or private nonprofit entity under contract with the City to carry out the LDCBD improvements, maintenance and activities in the Management District Plan. The statute and enabling ordinance require that the owners’ associations carry out specific additional functions. This includes preparation of an annual report to the City Council on the LDCBD activities for the past fiscal year and those renewed and expanded for the next fiscal year. The owner’s association may also recommend to the City Council, from time to time, changes to the LDCBD boundaries, assessment formula, or LDCBD activities, services, and improvements. These changes are all subject to public notification and, in some cases, petition/balloting requirements.

The LDCBD is currently managed by its Owners Association, Laurel District Association, (LDA), which has managed the District since 2006. The Board of the LDA shall serve as volunteers on the Board of Directors which shall enter into a disbursement agreement with the City to administer the District services on a day-to-day basis.

Meetings of the Owners’ Association and its standing Committees shall be subject to the California Brown Act open meetings and records provisions as well as public records statutes.

Disestablishment:

Under the current enabling ordinance, and Section 36600 of the California Streets and Highway Code, if the CBD or PBID is not providing special benefits as per this plan, the property owners may initiate a disestablishment of the District annually, which, if the required petition threshold is met, may trigger a balloting process to disestablish the District.

21 VII. RENEWED AND EXPANDED RULES AND REGULATION APPLIED TO THE

DISTRICT

There are no specific rules or regulations applied to the LDCBD or its Owners’ Association.

VIII. IMPLEMENTATION TIMETABLE

The table below provides a rough timeline for the establishment of the LDCBD.

Task Estimated Timeline

Submittal of the renewed and expanded Management District Plan to City staff

Early November 2024
Mail out petitions and summary of management plan to all property owners

December 2024

Submittal of the Engineer’s report to City staff

Late December 2024

Work on petition drive, holding public meetings as needed

December –
January 2025

Submit 30% threshold of weighted petitions to the City

January –
February 2025

The Oakland City Council adopts resolution of intention expressing its intention to form the LDCBD.

March –
April 2025

Ballots mailed out by City Clerk including package of materials and public hearing date

April –
May 2025

Public Hearing held, testimony given, ballots opened and counted by City Clerk; if there is no majority protest, Council adopts a resolution of formation

May –
June 2025
First assessments from the renewed and expanded LDCBD January 2026

22 APPENDIX 1

YR 1

ASSESSMENT ROLL
APN Annual Assessment
028 -0952-014-00 $3,795.45
028 -0955-002-01 $1,434.00
028 -0955-003-04 $4,598.52
028 -0955-006-05 $2,252.37
028 -0956-001-00 $2,491.20
028 -0956-002-00 $755.40
028 -0956-006-04 $4,305.45
028 -0956-013-03 $3,799.80
028 -0956-025-00 $113.16
028 -0956-026-00 $129.96
028 -0956-027-00 $115.56
028 -0956-028-00 $89.64
028 -0956-029-00 $110.88
028 -0956-030-00 $129.96
028 -0956-031-00 $115.56
028 -0957-012-00 $2,076.75
028 -0957-034-00 $189.24
028 -0957-035-00 $182.76
028 -0957-036-00 $182.76
028 -0957-037-00 $182.76
028 -0957-038-00 $182.76
028 -0957-039-00 $182.76
028 -0957-040-00 $1,770.39
028 -0957-041-00 $190.32
028 -0957-042-00 $199.32
028 -0957-043-00 $240.24
028 -0957-044-00 $182.76
030 -1898-008-01 $4,867.92
030 -1898-011-00 $1,112.76
030 -1898-012-00 $1,325.82
030 -1898-013-00 $1,313.25
030 -1898-014-00 $1,231.20
030 -1903-011-00 $1,912.29
030 -1903-012-01 $2,349.51
030 -1903-014-00 $342.00
030 -1903-015-01 $3,398.10
030 -1907-012-00 $1,892.01
030 -1907-013-00 $924.15

23 030 -1907-014-00 $1,243.95
030 -1907-015-00 $1,230.45
030 -1907-016-00 $1,198.05
030 -1907-017-00 $3,160.56
030 -1912-012-00 $2,030.10
030 -1912-013-00 $900.00
030 -1912-014-00 $1,404.00
030 -1912-015-00 $1,611.48
030 -1912-019-01 $6,848.43
030 -1917-012-00 $1,768.05
030 -1917-013-00 $903.27
030 -1917-014-00 $1,249.14
030 -1917-015-00 $1,249.14
030 -1917-016-00 $798.90
030 -1917-017-00 $1,121.04
030 -1917-018-00 $2,721.87
030 -1980-001-00 $4,465.20
030 -1980-020-01 $4,784.25
030 -1980-021-00 $306.00
030 -1980-022-00 $315.00
030 -1980-023-00 $288.00
030 -1980-055-00 $4,077.66
030 -1980-057-00 $3,438.00
030 -1980-058-01 $3,181.35
030 -1980-059-00 $11,251.44
030 -1980-060-00 $1,617.60
030 -1980-061-00 $1,515.96
030 -1980-062-00 $1,140.00
030 -1980-063-00 $2,391.60
030 -1980-132-01 $3,480.00
030 -1980-134-02 $2,236.95
030 -1980-135-00 $1,296.00
030 -1980-136-00 $1,260.00
030 -1980-137-00 $1,351.74
030 -1980-138-00 $1,283.34
030 -1980-139-00 $1,920.00
030 -1980-140-00 $1,632.00
030 -1980-141-00 $1,468.80
030 -1980-142-02 $2,274.00
030 -1980-144-00 $2,160.00
030 -1980-163-00 $1,127.25
030 -1980-164-00 $4,195.71
030 -1981-059-01 $2,100.00
030 -1981-060-00 $1,497.00
030 -1981-061-00 $1,250.16
030 -1981-063-01 $5,100.96
030 -1981-064-00 $17,658.96
030 -1981-065-00 $870.45

24 030 -1981-066-00 $1,201.05
030 -1981-067-00 $854.25
030 -1981-068-00 $870.00
030 -1981-069-00 $600.45
030 -1981-070-00 $894.96
030 -1981-091-00 $2,274.84
030 -1981-092-00 $819.90
030 -1981-093-00 $2,799.42
030 -1981-094-00 $2,490.93
030 -1981-097-00 $3,730.50
030 -1981-098-01 $3,378.66
030 -1981-099-00 $2,093.64
030 -1981-113-00 $2,310.45
030 -1981-114-00 $2,458.86
030 -1981-115-00 $894.54
030 -1981-116-00 $2,238.60
030 -1981-117-00 $3,591.27
030 -1981-118-00 $1,200.00
030 -1981-119-00 $1,434.30
030 -1981-128-00 $1,668.12
030 -1981-129-00 $2,880.00
030 -1981-130-02 $2,901.93
030 -1981-131-00 $1,632.15
030 -1981-132-00 $1,176.00
030 -1981-133-00 $3,379.50
030 -1981-135-00 $4,294.50
030 -1981-150-01 $4,532.16
030 -1981-151-00 $1,447.17
030 -1981-152-00 $3,061.65
030 -1981-154-01 $2,079.00
030 -1981-155-00 $1,000.26
030 -1981-157-00 $4,936.53
030 -1982-118-01 $3,881.22
030 -1982-123-01 $8,100.60
TOTAL $256,149.96

Oakland City CouncilApril 14, 2025

Oakland City Council
April 14, 2025