Written materials relating to an item on this agenda that are distributed to the legislative bodies within 72 hours before the item is to be considered at its regularly scheduled meeting will be made available for public inspection at the City Clerk’s Office, 300 West Third Street 4th Floor during customary business hours. Agenda reports are also on the City of Oxnard web site at www.oxnard.org.
In compliance with the Americans with Disabilities Act, if you require special assistance to participate in a meeting, please contact the City Clerk’s Office at 385-7803. Notice at least 72 hours prior to the meeting will enable the City to reasonably arrange for your accessibility to the meeting.
Agenda Item Time Estimates include: (Minutes for Presentation + Council Discussion + Public Comment)
AGENDA
OXNARD CITY COUNCIL
PUBLIC WORKS AND TRANSPORTATION COMMITTEE
Council Chambers, 305 West Third Street
February 25, 2025
Regular Meeting - 6:45 to 8:15 PM
Zoom details to call-in for public comment during a meeting:
1. Dial Phone Number: (888) 475-4499
2. Enter Meeting ID: 831 6973 6458
3. Passcode: 288107
If you wish to speak during public comments or a particular item on the agenda, please sign-on by following the zoom call-in steps listed above. Once the presiding officer calls for public speakers, press *9 to raise your hand to inform the City Clerk you would like to speak during the public speaking section for that particular item on the agenda, while in the zoom waiting room. Press *6 when asked to unmute. Listen to the instructions provided virtually on the phone while on hold in the zoom waiting room. Please note that there is a slight time delay when viewing the meeting via television.
IN ACCORDANCE WITH ASSEMBLY BILL 2449, MEMBERS OF THE LEGISLATIVE BODY MAY MEET IN- PERSON OR REMOTELY. TO PARTICIPATE REMOTELY VISIT WWW.OXNARD.ORG.
To find out how you may provide public comment, please refer to the instructions below or at www.https://www.oxnard.org/city-meetings/.
The public may view the meeting from home on Spectrum channel 10, Frontier channel 35, or YouTube at Youtube.com/oxnardnews.
Video recordings of the meeting are typically available online following the meeting at the City’s website at www.oxnard.org/city- meetings.
*Please see the link for the Measure M pre-recorded presentation video for each item listed on this agenda.
YOU MAY PARTICIPATE IN THE MEETING IN THE FOLLOWING WAYS:
1. ATTEND THE MEETING AT THE LOCATION LISTED ABOVE: Submit a speaker card to the City Clerk.
2. EMAIL COMMENTS OR SIGN UP TO SPEAK REMOTELY BEFORE THE MEETING
a. Submit a request to speak remotely by no later than 3 p.m. on the day of the meeting by using the form available at www.oxnard.org/citymeetings.
b. Submit an email to [email protected] no later than 3 p.m. on the day of the meeting (indicate the agenda item number in the subject line). All email correspondence will be forwarded to the legislative body prior to the start of the meeting and made part of the legislative record.
c. Contact the City Clerk’s Office at (805) 385-7803 to submit your request.
3. PROVIDING PUBLIC COMMENTS REMOTELY DURING THE MEETING
1 OXNARD CITY COUNCIL: PUBLIC WORKS AND TRANSPORTATION COMMITTEE February 25, 2025 - Page 2
a. To provide public comment during the meeting dial (888) 475-4499 and enter the Meeting ID and Passcode listed above as the Zoom details for this meeting. When the presiding officer announces the particular item on the agenda you want to speak on, press *9 to raise your hand while in the zoom waiting room. Once called on, press *6 to unmute your phone.
b. Public comments on agenda items will be taken following the announcement of the item. After the item is announced, members of the public may register or otherwise be recognized for the purpose of providing public comment.
Please review the Zoom instructions on the registration page to help ensure there are no technical difficulties during your comments and help you understand public comment procedures using Zoom. Detailed participation instructions can be found at www.oxnard.org/city-meetings.
In the event of a disruption which prevents a legislative body of the City of Oxnard from broadcasting a meeting using a call-in option or internet- based service option, or in the event of a disruption within the City’s control which prevents members of the public from offering public comment using the call-in option or internet-based service option, the legislative body shall take no further action on items appearing on a meeting agenda until public access to the meeting via the call-in option or internet-based service option is restored. However, if any of the broadcast options are disrupted, but any of the other broadcast options is still available to the public, the legislative body may take further action on items appearing on a meeting agenda without waiting for the disrupted broadcast option(s) to be restored.
A. ROLL CALL, POSTING OF AGENDA, FLAG SALUTE
Consideration of Teleconference Participation pursuant to Assembly Bill 2449.
B. PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA
A person may address the legislative body only on matters not appearing on the agenda and within the subject matter jurisdiction of the legislative body. Speaker requests shall be submitted as set forth on the first page of this agenda. Speakers are limited to three minutes. After 30 minutes, if all speakers have not had the opportunity to speak, the remaining speakers will be given an opportunity to speak prior to adjournment of the meeting. The legislative body cannot enter into a detailed discussion or take action on any items presented during public comments at this time. Such items may only be referred to the City Manager/Executive Director/Secretary for administrative action or scheduled on a subsequent agenda for discussion. Persons wishing to speak on public hearing items should do so at the time of the hearing.
C. CONSENT AGENDA
1. City Clerk Department
SUBJECT: Approval of Minutes.
RECOMMENDATION: That the Public Works and Transportation Committee approve the minutes of the February 11, 2025 regular meeting as presented.
Contact: Luly Lopez, (805) 385-7805
D. REPORTS
1. Public Works Department
SUBJECT: Maintenance and Funding Policy Workshop for Landscape Maintenance Districts. (30 minutes)
RECOMMENDATION: The Public Works and Transportation Committee:
1. Discuss key elements for a potential Maintenance and Funding Policy for Landscape Maintenance Districts; and
2. Recommend staff develop a Maintenance and Funding Policy for Landscape Maintenance Districts to be presented to the City Council for consideration.
Please click the following link to view the required Measure M pre-recorded presentation video:
https://youtu.be/SZ-z7e2f9uE
2 OXNARD CITY COUNCIL: PUBLIC WORKS AND TRANSPORTATION COMMITTEE February 25, 2025 - Page 3
Contact: Michael Wolfe, (805) 385-8055
E. ITEMS FOR FUTURE AGENDAS
F. ADJOURNMENT
3 PUBLIC WORKS AND TRANSPORTATION COMMITTEE
AGENDA REPORT
CONSENT AGENDA
AGENDA ITEM NO. C.1
DATE: February 25, 2025
TO: Public Works and Transportation Committee
FROM: Luly Lopez, City Clerk, (805) 385-7805, [email protected]
SUBJECT: Approval of Minutes.
RECOMMENDATION
That the Public Works and Transportation Committee approve the minutes of the February 11, 2025 regular meeting as presented.
BACKGROUND
Approval of minutes.
STRATEGIC PRIORITIES
This agenda item is a routine operational item or does not relate to the five strategic priorities adopted by City Council on March 16, 2021.
FINANCIAL IMPACT
There is no financial impact.
Prepared by: Luly Lopez, City Clerk
ATTACHMENTS
1. Minutes of the Public Works and Transportation Committee for February 11, 2025
4 MINUTES
OXNARD CITY COUNCIL
PUBLIC WORKS AND TRANSPORTATION COMMITTEE
February 11, 2025
A. ROLL CALL, POSTING OF AGENDA, FLAG SALUTE
At 6:50 p.m., Chair Luis Mc Arthur called to order the regular meeting of the Oxnard City Council Public Works and Transportation Committee in the City Hall Council Chambers at 305 West Third Street, Oxnard, California. The City Clerk called the roll and announced the posting of the agenda. Chair Luis Mc Arthur, Member Gabriela Basua and Member Gabe Teran were present.
Member Teran led the flag salute.
Staff members present were Alexander Nguyen, City Manager; Michelle McCarron, Assistant City Attorney; Michael Wolfe, Public Works Director; Tim Beaman, Assistant Public Works Director; Morgan Kessler, City Engineer; and Lourdes A. López, City Clerk.
Consideration of Teleconference Participation pursuant to Assembly Bill 2449.
B. PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA
No public comments were received.
C. CONSENT AGENDA
1. City Clerk Department
SUBJECT: Approval of Minutes.
RECOMMENDATION: That the Public Works & Transportation Committee approve the minutes of the January 28, 2025 regular meeting as presented.
No public comments were received.
It was moved by Member Teran, seconded by Member Basua, to approve the Information/Consent item as presented. VOTE: Teran, Basua, and Mc Arthur voted in favor; the motion passed 3-0.
D. REPORTS
1. Public Works Department
SUBJECT: Agreement 32500401 with Blackpointe Group Construction & Management, Inc. for Catch Basin Cleaning Services. (10 minutes)
RECOMMENDATION: That the Public Works and Transportation Committee recommend that the City Council approve and authorize the Mayor to execute an Agreement with Blackpointe Group Construction & Management, Inc. (Blackpointe) for an initial term of one year from March 5, 2025, to March 4, 2026, with the option for four consecutive one-year period extensions ending March 4, 2030, for a total contract amount not to exceed $1,750,000 for catch basin cleaning services. 5 OXNARD CITY COUNCIL: PUBLIC WORKS AND TRANSPORTATION COMMITTEE February 11, 2025 Page 2
Tim Beaman, Assistant Public Works Director presented and answered the Committee’s questions. No public comments were received.
It was moved by Member Teran, seconded by Member Basua, to approve the recommended action as presented. VOTE: Teran, Basua, and Mc Arthur voted in favor, the motion carried 3-0.
2. Public Works Department
SUBJECT: Annual Enterprise Pavement Impact Cost Reimbursement Study. (10 minutes)
RECOMMENDATION: That the Public Works and Transportation Committee recommend that the Annual Enterprise Pavement Impact Cost Reimbursement Study be forwarded to the City Council as a receive and file item.
Michael Wolfe, Public Works Director and Erik Helgeson, consultant with Bartle Wells Associates presented and answered the Committee’s questions. No public comments were received.
It was moved by Member Basua, seconded by Member Teran, to approve the recommended action as presented. VOTE: Basua, Teran, and Mc Arthur voted in favor, the motion carried 3-0.
E. ITEMS FOR FUTURE AGENDAS
No requests were made.
F. ADJOURNMENT
There being no further business on the agenda, and without objection, Chair Mc Arthur adjourned the meeting at 7:21 p.m.
________________________________ ________________________________ LOURDES A. LÓPEZ LUIS MC ARTHUR
City Clerk Mayor
6 PUBLIC WORKS AND TRANSPORTATION COMMITTEE
AGENDA REPORT
REPORTS
AGENDA ITEM NO. D.1
DATE: February 25, 2025
TO: Public Works and Transportation Committee
FROM: Michael Wolfe, Public Works Director, (805) 385-8055, [email protected]
SUBJECT: Maintenance and Funding Policy Workshop for Landscape Maintenance Districts. (30 minutes)
RECOMMENDATION
The Public Works and Transportation Committee:
1. Discuss key elements for a potential Maintenance and Funding Policy for Landscape Maintenance Districts; and
2. Recommend staff develop a Maintenance and Funding Policy for Landscape Maintenance Districts to be presented to the City Council for consideration.
Please click the following link to view the required Measure M pre-recorded presentation video:
https://youtu.be/SZ-z7e2f9uE
BACKGROUND
The Special Districts Division, within the Public Works Department, is responsible for the management of the City’s bonded assessment districts, landscape maintenance districts (“LMDs”), community facilities districts (“CFDs”), maintenance assessment districts (“MADs”), and waterways assessment districts (“WADs”). Each of these districts function under different provisions of the State Constitution, which enables their respective formation, the purposes for which they can be formed, basic administrative requirements, and the processes by which their assessments and special taxes can be levied. Out of these various assessment districts, the LMDs were formed under the provisions of the Landscape and Lighting Act of 1972 (Streets and Highways Code Sections 22500–22679) and carry specific requirements for management that differ from other types of assessment districts.
The formation of LMDs began in the City in the 1980s for the purpose of funding specific improvements and the perpetual maintenance of these improvements within each new development. These are funded via special assessments that are defined in each district's governing documents (“Formation Documents”). However, during the past thirty years, there have been various legislative and judicial changes that have impacted the way California cities can manage these LMDs.
To address the changes in the legal aspects and improve procedures related to maintaining LMDs, the City of Oxnard embarked on a process in 2015 that focused on the manner in which these assessment districts are managed. Through the creation of a new Special Districts Division, within the Public Works Department, the City reduced the total number of LMDs from 60 to 36 in Fiscal Year 2017/2018 and also created a Maintenance Assessment District Administration and Operational Manual to guide future staff in the management of these remaining LMDs. This Manual specifically included a “Statement of Goals and Policies for the use of 7 Maintenance Assessment Districts” (Statement) which lays out many of the concepts that staff is bringing to the Council for discussion. However, it is unclear if this Statement of Goals and Policies was ever adopted as official City policy by the City Council. Additionally, in regard to the management of LMDs, it is overly broad as it addresses a variety of district types, focuses largely on the formation of new districts without taking into account the variances between the different types of assessment districts, and does not provide specific direction for how the existing LMDs should be managed if they become insolvent or are in danger of becoming insolvent.
Therefore, staff is now requesting direction on key elements for a future policy document that will focus solely on the LMDs, provides direction on issues that are common to LMDs, and defines a policy for future use by staff.
DISCUSSION
Regardless of someone’s opinion of LMDs, the essence of a LMD is to be self-sufficient (with the exception of the required general benefit contribution) by providing funds to maintain specific improvements as outlined in the annual Engineer’s Report consistent with the Streets and Highway Code. LMDs that may have been set up many decades ago, and usually prior to legislative and legal changes, and without an annual cost inflator, often find themselves in a common situation of being overcome by inflation. Assuming the costs for maintenance services, that were fixed decades ago, would still be able to be fund the same level of service, is not reasonable. As such, LMDs can find themselves in a situation where their maximum annual assessment is not sufficient to provide the services originally contemplated when created, and therefore become underfunded.
Staff is seeking input for key elements of a policy that governs the City’s procedures regarding LMDs, especially in regard to the position the City will take when faced with underfunded or deficient districts that cannot afford to maintain their improvements. Decisions on these topics are necessary for at least 10 of the City’s LMDs that do not contain authorized inflationary adjustments for their assessments. Other topics that this policy can address include the frequencies of routine services such as landscaping, the prioritization of district and City funds, and the responsibility for funding the costs for administrative items such as balloting and capital projects. Therefore, staff is requesting discussion and direction on the following topics:
1. What position will the City take for underfunded districts that cannot afford to maintain their improvements?
2. What is the process for addressing a district with a negative fund balance?
3. Should LMDs be required to meet a specific reserve fund balance target?
4. Who can request a district to be balloted?
5. What is the internal city-process for approving new rates and who pays for the process?
6. Should district subsidies be allowed or restricted? If subsidies are allowed, should there be requirements for a district to meet prior to receiving them?
7. What happens if a district is polled and chooses not to ballot themselves?
These topics are commonly faced by cities throughout the State when managing LMDs and there are a number of different ways to approach them. For example, some cities follow a specific set of guidelines which governs the process for changing assessment levels, polling residents, and raising or lowering maintenance frequencies.
Other cities subsidize their pre-proposition 218 Landscape, Lighting, and Park Districts with the General Fund.
Due to the variety of options available, staff is seeking input and direction for the creation of a Maintenance and Funding Policy for Landscape Maintenance Districts within the City of Oxnard to be presented to the City Council for consideration.
Please note that during the Public Works and Transportation Committee Meeting, staff will bring forward the above topics for the Committee Members to discuss. Additionally, draft sections for the policy have been 8 prepared by staff and are attached to this staff report to assist with the discussion and consideration by the Committee.
STRATEGIC PRIORITIES
This agenda item supports the Infrastructure and Natural Resources strategy. The purpose of the Infrastructure and Natural Resources strategy is to preserve and improve our roads, utilities, parks, trees, water supply and natural resources through effective planning, prioritization, and an equitable and efficient use of available funding.
FINANCIAL IMPACT
There is no direct financial impact associated with this action.
Prepared by: Anthony Miller, Special Districts Manager
ATTACHMENTS
1. Sample Policy Text Responses
2. Draft Frequency & Manner of Service
3. Draft Funding Section
4. Draft Polling & Balloting Section
5. Presentation
9 Attachment 1. - Sample Policy Text Responses 1. What position will the City take for underfunded districts that cannot afford to maintain
their
improvements?
Examples of policy concepts: The cost to provide services exceeds the maximum rate: ● Reserves may be used to fund the shortfall ● Reduce routine services ● Reduce expenses ● A maximum levy may be applied ● Conduct outreach to determine interest in pursuing a Proposition 218 ballot ● Eliminating improvements; or ● Other City Council direction. 2. What is the process for addressing a district with a negative fund balance? Examples of policy concepts: A. District incurs a negative fund balance (cash flow): ● Council can choose to allow this through approving an engineers report showing the
insufficient
reserve
balance
as
the
negative
balance
will
be
temporary
until
assessments
are
received
● Staff can be required reduce expenses to a level that prevents a negative balance B. District incurs a negative fund balance (end of year): ● Staff can be required reduce expenses ● A maximum levy may be applied ● General fund subsidy/loan 3. Should LMDs be required to meet a specific reserve fund balance target? Examples of policy concepts: Streets and Highways Code allows a reserve but does not require it. ● Require a 47.4% reserve fund balance (not including any CIP/Project reserve) ● Endeavor to meet a 47.4% reserve fund balance (not including any CIP/Project reserve)
● Max assess to meet reserve fund balance ● In-lieu of max assessing reduce services to meet reserve fund balance 10 4. Who can request a district to be balloted? Examples of policy concepts: Affected Property Owners: The owners of parcels of real property that will be assessed or
taxed
in
connection
with
a
landscape
maintenance
district.
With
respect
to
an
increase
of
a
special
tax
that
must
be
approved
by
the
vote
of
registered
voters,
the
Affected
Property
Owners
are
the
registered
voters
who
would
comprise
the
electorate
at
the
election
on
such
increase.
5. What is the internal city-process for approving new rates and who pays for the process?
Examples of policy concepts: If a district is a candidate for adjusted assessment rates ● Notification is provided to district property owners ● Property owners may advocate for advocating adjusted assessments ● A baseline level of interest should be established prior to balloting ● If interest exists at XX% among district property owners, then balloting may occur
● If the ballot succeeds, the district may incur the costs of that ballot ● If the ballot fails, the city may incur the cost of the ballot, but services must be reduced
to
meet
district
financial
capacity.
Future
ballots
may
not
be
considered
by
the
City
Council
for
a
period
of
time
unless
unforeseen
circumstances
are
observed.
6. Should district subsidies be allowed or restricted? If subsidies are allowed, should there
be
requirements
for
a
district
to
meet
prior
to
receiving
them?
Examples of policy concepts: A. District cannot fund its maintenance requirements: ● Staff can be required reduce expenses ● A maximum levy may be applied ● Remove district improvements ● General fund subsidy/loan B. If a district has capped utility costs in its formation documents: ● Council can continue to allow this through approving an engineers report identifying
the
utility
subsidy
● Staff may be required to pursue methods to reduce utility usage prior to a subsidy being
approved
11 7. What happens if a district is surveyed and chooses not to ballot themselves? Examples of policy concepts: ● Staff can be required reduce expenses ● A maximum levy may be applied ● Remove district improvements ● General fund subsidy/loan 12 Attachment 2. - Draft Frequency & Manner of Service Frequency and Manner of Service
● Maintenance frequency and the manner in which District improvements and assets are maintained
shall
be
determined
by
each
District’s
ability
to
fund
those
costs.
● To provide services at the most competitive rates possible, staff will use all available procurement
methods
relevant
to
the
size,
scope,
and
nature
of
those
maintenance
activities.
● The City will seek to maintain improvements in each district in a manner that keeps them as
similar
to
their
original
character
[MM1]
as
possible,
within
the
constraints
of
funding
availability,
changes
to
the
boundaries
of
the
landscape
maintenance
district,
changes
to
the
physical
condition
of
the
improvements
or
the
surrounding
territory,
State
and
local
legal
requirements
and
legislation,
and
material
availability.
● The manner and frequency of service of District improvements may be altered to address unexpected
changes
in
funding
availability
as
a
result
of,
changes
in
service
costs
due
to
changes
in
contracted
service
providers,
physical
changes
to
the
District
boundaries
and/or
landscape,
state
and
local
requirements
and
legislation,
emergencies
which
require
work
to
address
imminent
threats
to
the
health
and
safety
of
the
public,
material
availability
or
other
factors.
● Service Levels will be generally indicated by the frequency of scheduled service visits.
However,
Service
Levels
do
not
indicate
the
total
number
of
times
a
district
will
be
visited
for
various
services
within
a
year.
Maintenance
activities,
inspections,
individual
service
requests,
projects,
and
other
tasks
that
occur
at
irregular
or
less
than
annual
intervals,
will
be
performed
on
an
as-needed
basis,
provided
sufficient
district
funds
and
labor
resources
are
available.
Service
Levels
for
landscape
maintenance
will
be
generally
defined
as
follows:
Level 1 – Intensive services - scheduled services provided more frequently than weekly Level 2 – 52 service visits annually - weekly scheduled service Level 3 – 26 Visits annually - every other week scheduled service Level 4 – 12 Visits annually - once a month scheduled service Level 5 – 6 Visits annually - once every other month scheduled service Level 6 – 4 Visits annually - once a quarter scheduled service 13 Attachment 3. - Draft Funding Section
Funding
● It is the intention of the City of Oxnard to ensure that its Landscape Maintenance Districts
operate
sustainably
and
independently
of
other
City
Funds
(such
as
the
General
Fund).
Districts
should
be
self
sufficient
to
the
extent
possible
and
should
not
be
designed
to
require
long-term
financial
support
from
other
City
funds.
● Property owners within landscape maintenance districts shall fund the ongoing maintenance
through
Required
Payments
collected
on
their
property
tax
bill.
To
the
extent
allowed
by
state
law,
a
Required
Payment
may
also
be
collected
prior
to
the
installation
of
improvements
to
support
the
creation
of
district
reserve
funds
so
long
as
these
funds
are
properly
identified
in
a
resolution
or
other
documentation
required
by
state
law.
Any
required
payment
shall
be
levied
in
accordance
with
applicable
law,
including,
but
not
limited
to,
Proposition
218.
Required
Payments
that
cannot
be
or
are
not
collected
on
the
property
tax
roll
may
be
collected
by
any
other
means
legally
available
to
the
City.
● In order to ensure that landscape maintenance districts have funds available between the beginning
of
each
fiscal
year
and
the
that
date
on
which
the
County
begins
transmitting
Required
Payment
funds
to
the
City,
City
staff
shall
endeavor
to
ensure
that
each
landscape
maintenance
district
maintain
Operating
Reserves
approximately
equal
to
47.4%
of
its
annual
budget.
Staff
shall
annually
evaluate
the
capacity
of
each
landscape
maintenance
district
to
reach
this
Operating
Reserve
funding
level.
● Districts that are found to be unable to fund all budgeted expenses and Operating Reserves
within
a
fiscal
year
shall
be
classified
as
Underfunded.
● Districts that are unable to fund all budgeted expenses at a minimal service level, their calculated
Operating
Reserve
Requirement,
and
are
found
to
have
a
projected
negative
cash
balance
position
within
a
fiscal
year
shall
be
classified
as
Deficient.
● Aside from contributions to fund general benefits, routine and temporary transfers/allowance
of
negative
balances
for
cash
flow
purposes,
and
contributions
for
the
payment
of
utilities
above
and
beyond
specific
utility
maximums
as
defined
within
a
district’s
Governing
Documents,
the
general
subsidy
of
district
expenses
by
the
City
is
prohibited.
The
City
shall
not
subsidize
any
landscape
maintenance
district
from
any
City
funding
source
that
has
not
been
specifically
set
aside
for
such
purpose
by
the
City
Council.
Any
exception
to
this
policy
must
be
set
forth
in
a
resolution
of
the
City
Council
and
shall
follow
the
process
established
within
SHC
Section
22657.
14 ● In the event that the projected end of year fund balance of a landscape maintenance district
shows
a
deficit
within
a
specific
fiscal
year,
the
reduction
of
services
and
the
levy
and
collection
of
the
Required
Payment
at
the
maximum
legally
allowable
rate
shall
be
prioritized
before
the
City
Council
is
asked
to
approve
a
subsidy.
In
the
event
that
a
negative
fund
balance
is
still
anticipated
within
a
district
after
these
actions
are
taken,
the
City
Council
may
approve
a
loan
to
the
District
in
question
as
described
in
Section
F.
● In the event that a district’s utility expenses are projected to exceed the maximum amount
able
to
be
charged
as
governed
by
that
district’s
Governing
Documents,
the
City
Council
may
choose
during
the
annual
budget
process
to
fund
the
expected
subsidy
amount
via
a
transfer
from
any
fund
it
chooses.
● Levy credits (where reserves are used to offset the required levy amount for the upcoming
fiscal
year),
shall
only
be
available
to
districts
which
are
not
classified
as
Underfunded
or
Deficient.
● Establishment or replenishment of Assigned Reserves shall be scheduled so as to take no more
than
5 years
and
can
be
accomplished
through
savings
from
the
prior
year’s
budget,
reduction
in
expenditures,
increasing
the
Required
Payment
up
to
the
maximum
rate,
or
any
combination
of
these
options.
● Unassigned Reserves can be used to fund any other project which may enhance each District’s
authorized
services
and
improvements
or
may
be
applied
as
a
levy
credit
if
not
allocated
for
use
during
the
creation
of
the
fiscal
year
budget.
● Each year the City will evaluate the total anticipated costs of providing the services for the
upcoming
fiscal
year.
This
evaluation
will
take
projected
increases
in
costs
as
well
as
cost
savings
into
consideration.
Examples
of
these
costs
may
include,
but
shall
not
be
limited
to,
routine
maintenance
contracts,
equipment
repair
(e.g.,
electric
pedestals,
irrigation
pumps,
etc.),
irrigation
parts
and
controllers,
weed
abatement,
tree
pruning,
radios
and
electronic
devices,
water,
electricity,
fertilizer,
vehicles
and
vehicle
maintenance,
other
administrative
costs
to
operate
the
district,
and
funding
Assigned
Reserves.
An
annual
budget
shall
be
developed
using
these
costs.
Subject
to
the
requirements
of
the
applicable
Governing
Documents
and
applicable
state
law,
the
total
costs
shall
be
divided
among
the
parcels
in
each
area
proportionally.
● Where the cost to provide the services and fund the operating reserves is less than the amount
that
can
be
raised
by
the
application
of
the
maximum
rate,
the
available
capacity
may
be
applied
to
establish
or
reestablish
Assigned
Reserves,
increase
the
service
levels
(for
routine
and
additional
work
services),
provide
one-time
professional
services
or
infrastructure
re-investments,
or
any
combination
thereof.
15 ● Where the cost to provide services exceeds the rate as requested by district residents or the
maximum
rate,
reserves
may
be
used
to
fund
the
shortfall
or
services
may
be
reduced
so
that
costs
do
not
exceed
the
maximum
rate,
except
for
in
a
landscape
maintenance
district
that
is
Underfunded
or
Deficient.
If
a
district
is
Underfunded
or
Deficient,
then
the
following
methods,
in
no
specific
order
of
preference,
may
be
taken
to
bridge
the
shortfall:
i. Reduce expenses and services specific to the district in question (expenses shared by
all
districts
shall
not
be
considered
an
appropriate
source
of
reductions);
ii. Use Unassigned Reserves; iii. Apply a maximum levy; iv. Notify the Affected Property Owners to determine if there’s a significant interest in
conducting
a
ballot
proceeding
to
increase
the
services
(e.g.,
increase
the
maximum
rate)
and
if
such
interest
exists,
conduct
such
ballot
proceeding/special
election
of
the
Affected
Property
Owners.
v. Remove maintenance responsibility of specified improvements from the district by
either
eliminating
district
funding
or
via
Council
approved
agreement,
subsidizing
their
maintenance
through
an
outside
funding
source;
vi. Eliminating maintenance services; or vii. Other City Council direction. 16 Attachment 4. - Draft Polling & Balloting Section Polling and Balloting
In the event that a landscape maintenance district is projected to be underfunded or deficient within
the
next
fiscal
year,
a
Proposition
218
ballot
procedure
may
be
necessary.
A
property
owner
led
poll
may
be
initiated
to
establish
the
presence
of
Significant
Interest
in
conducting
a
Proposition
218
ballot
proceeding.
The
following
procedure
shall
be
followed
to
initiate
a
Proposition
218
ballot
proceeding.
i. Staff will notify owners of property within the district with a written letter or through
other
means
as
determined
within
a
community
outreach
plan.
ii. Staff will conduct a community meeting, encourage property owners to develop a poll,
and
identify
a
lead
petitioner
from
within
the
district
to
conduct
the
poll.
The
cost
of
any
materials
necessary
to
conduct
the
poll
will
be
borne
solely
by
the
district
or
its
affected
property
owners.
a. If no lead petitioner is identified and no further interest in polling is conveyed
to
staff,
no
polling
will
be
pursued
and
reductions
in
maintenance
or
removal
of
improvements
from
the
district
will
be
initiated.
iii. When a lead petitioner is identified, affected property owners within the district will
be
polled,
the
results
of
which
will
be
submitted
to
City
staff
no
more
than
30 days
from
the
date
the
poll
is
opened.
iv. After the poll is closed, staff will validate signatures of the affected property owners
and
determine
if
the
results
indicate
the
establishment
of
Significant
Interest
(66%+1
of
the
total
poll
responses.)
a. If Significant Interest is not established, no ballot proceeding will be pursued
and
reductions
in
maintenance
or
removal
of
improvements
from
the
district
will
be
initiated.
b. If Significant Interest is established, the City Council will initiate Proposition
218
proceedings
for
the
affected
district.
v. In the event that a Proposition 218 ballot is pursued, the procedures below will be followed.
a. If the ballot proceeding fails and assessments are not changed, the City will
assume
the
cost
of
the
proceedings
and
reductions
in
maintenance
or
removal
of
improvements
from
the
district
will
be
initiated.
Future
Proposition
218
polling
and
balloting
may
not
be
pursued
for
three
years
unless
unanticipated
increases
in
assessment
need
are
identified.
b. If the ballot proceeding succeeds, the assessment will be changed to the identified
rate
and
the
total
cost
of
the
proceeding
will
be
borne
by
the
district.
17 Maintenance and Funding Policy
Workshop for Landscape
Maintenance Districts
February 25, 2025
ANTHONY MILLER
SPECIAL DISTRICTS MANAGER
18 Recommendation
Discuss keyelements for apotentialMaintenance andFunding Policy forLandscapeMaintenanceDistricts. 1 Recommend staffdevelop aMaintenance andFunding Policy forLandscapeMaintenance Districtsto be presented to theCity Council forconsideration. 2 That the Public Works and Transportation Committee:
19 Background
CommunityFacilitiesDistricts
Landscape
Maintenance Districts
WaterwaysAssessmentDistricts
MaintenanceAssessmentDistricts
Landscape and Lighting Act of
1972 (Streets and Highways Code
Sections 22500-22679)
First used by the City in the 1980s
They fund the maintenance of
specific improvements, defined in
an LMDs “Formation Documents”
20 Background
Legislative & Judicial Changes
City Actions Taken
1980s - Now: various rules have changed, impacting the
way the City can manage LMDs
FY 2015-16:
City reviewed it’s LMDs, WADs, and MADs
Created the Special Districts Division
FY 2016-17:
Created broad guidelines for managing LMDs
Reduced the number of LMDs to 36
21 Background
1010
50502727
58584141
13132424
1 & 21 & 2
3 & 43 & 4
5252
54544646
3939
47474242
4040
6060
4949
5353
33 1212
77 55
88 3030
2323 1111
1414
11 22
44 99
5555
2525
3737 1616
3131
3636 43435151
3232
2828
3838
34343333
3434
City of Oxnard GIS | March 2023
CITY OF OXNARD
SPECIAL DISTRICTS
City Boundary
Landscape Maintenance District ( District No. )
Community Facilities District ( District No. )
Waterway Assessment District ( Zone No. )
Maintenance Assessment District ( District No. )
22 Background
Some existing LMDs
will face insolvency
Council direction on key
LMD elements can
prevent future problems
Policy solely focused onLMDs can address theirrequirements specifically Staff Seeks Direction
23 Discussion
The purpose of
Landscape
Maintenance Districts
Older LMDs may not have
included cost adjustment
mechanisms
Original estimates eventuallyovercome by inflation
Assuming maintenance
costs won’t change is not
reasonable
LMDs can find themselvesunable to care for theirimprovements Provide enough funds tomaintain specificimprovements
24 Discussion
What position will the City take for underfunded
districts that cannot afford to maintain their
improvements?
What is the process for addressing a
district with a negative fund balance?
Should LMDs be required to meet aspecific reserve fund balance target? Who can request a district to be balloted?
25 Discussion
What is the internal city-process for approving
new rates and who pays for the process?
Should district subsidies be allowed or restricted? If
subsidies are allowed, should there be requirements
for a district to meet prior to receiving them?
What happens if a district is polled andchooses not to ballot themselves? 26 Discussion
Some cities follow set guidelinesfor polling residents, changingmaintenance frequencies, andchanging assessments Some cities subsidize their
pre-proposition 218 districts
with General Fund
Due to the variety of options, staff seeks input and direction for the creation of a Maintenance and Funding Policy for Landscape Maintenance Districts within the City of Oxnard. Draft policy examples are provided as attachments to this staff report.
Statewide Issue, multiple solutions
27 Financial Impact
There is no financial impactassociated with this action. 28