CITY COUNCIL STAFF REPORT
Meeting Date: July 13, 2026
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
TITLE: PUBLIC HEARING AND ADOPT RESOLUTION NO. __-26 APPROVING
THE ENGINEER'S REPORT, CONFIRMING DIAGRAM AND
ASSESSMENTS, AND ORDERING LEVY OF ASSESSMENTS FOR FY
2026-2027 IN ASSESSMENT DISTRICT NO. 22
SYNOPSIS
An Assessment District is a financial mechanism that allows for the levy of an assessment on a specific geographic area or parcels of real estate, which have been identified as receiving a direct special “benefit” from a public service or improvement. Assessment District No. 22 (“AD 22”) enables the City to provide levels of landscape maintenance and street lighting at an enhanced level within the scenic easements in the Grayson Woods and Gallery Walk Subdivisions. The properties within the AD 22 boundaries directly benefit from these landscape and lighting improvements. The annual assessments paid by property owners within AD 22 and contributions by the City fund the maintenance and services provided.
In order for the City to continue to levy and collect assessments within AD 22 for the 2026-2027 fiscal year, an annual report must be prepared and the City must hold a public hearing. Staff requests that the City Council hold the Public Hearing and adopt the Resolution approving the Engineer’s Report, confirming the diagram and assessment, and ordering the levy of assessments for Fiscal Year 2026-2027 for AD 22.
DISCUSSION
Background
AD 22 (Grayson Woods) was formed in 1997 pursuant to the provisions of the Landscaping and Lighting Act of 1972 and the California Streets and Highways Code. AD 22 was amended in 2002 to include Subdivision 8304, Gallery Walk.
In order for the City to continue to levy and collect assessments within the Assessment District for Fiscal Year 2026-2027 (“FY 26-27”), a report on the proposed maintenance program must be prepared and a public hearing conducted on the budget and proposed assessments. The Engineer of Work, SCI Consulting Group, has completed and filed the FY 26-27 Annual Report (“Engineer’s Report”) with the City Clerk. The Engineer’s Report (Attachment B) includes descriptions of the improvements to be maintained during the fiscal year, an estimate of costs, a map of Grayson Woods and Gallery Walk, and the levy of assessments upon the benefiting properties.
Analysis
On February 2, 2026, the City Council adopted Resolution No. 9-26, a Resolution directing the preparation and filing of the 2026-2027 Engineer’s Report for maintenance of AD 22.
On June 1, 2026, the City Council preliminarily approved the Engineer’s Report for AD 22 and adopted a Resolution of Intention (“ROI”) to levy and collect assessments. In addition, the ROI provided notice of the date, time, and place for a public hearing by the City Council on the levy of the assessments within AD 22.
The collection of assessments from properties within the boundaries of AD 22, together with the funds provided by the City, will ensure continued maintenance of the lighting and landscaping improvements within the boundaries of AD 22. Maintenance staff provides for the maintenance of improvements, including weekly mowing and edging of turf; maintaining and repairing irrigation systems; pruning; removing debris and graffiti; repairing streetlights; and weeding, as well as, paying for utility charges for water and electricity.
If AD 22 assessments are confirmed for FY 26-27, staff will continue to provide maintenance services for Grayson Woods and Gallery Walk. The assessment revenues total $63,890 for this year. Staff and the Engineer of Work are making every effort to control expenditures related to managing, maintaining, and servicing AD 22 landscape and lighting improvements.
The estimated cost for the preparation and filing of the annual report is not to exceed $9,200, a cost borne by the District and divided proportionately between Grayson Woods and Gallery Walk.
The assessment rate remains at $187.50 for Gallery Walk, and no new services or substantial changes in existing services are proposed.
The assessment rate for Grayson Woods remains at the maximum authorized amount of $359.00 and is unchanged from the prior fiscal year. Because the rate is already at the authorized maximum, no additional CPI increase is applied for FY 26-27.
FISCAL IMPACT
The City of Pleasant Hill contributes a percentage of funding each year from the General Fund toward landscape and lighting costs for both development areas. This contribution is intended to offset the portion of the landscape and lighting improvements that provide benefit to the general public in areas located adjacent to public roadways within the City’s right of way. The proposed General Fund contribution for FY 26-27 is $14,676 ($3,749 for Grayson Woods and $10,927 for Gallery Walk).
PUBLIC CONTACT
Public Contact was made through posting of the City Council agenda on the City’s official notice bulletin board, at the Pleasant Hill Senior Center, and at the Pleasant Hill Police Department. The agenda and staff report are posted on the City’s web page.
RECOMMENDED CITY COUNCIL ACTION
Move to open, conduct, and close the Public Hearing and adopt the Resolution Approving the Engineer’s Report, confirming the diagram and assessment, and ordering levy of assessment for FY 2026-2027.
ALTERNATIVES TO RECOMMENDED ACTION
Should AD 22 not be confirmed for FY 26-27, there would be a loss of $63,890 in assessment revenues to fund maintenance activities within AD 22. The City would need to fund these maintenance activities or services would need to be suspended or substantially reduced.
ATTACHMENT(S)
Proposed Resolution
Attachment A – Assessment District 22 Engineer’s Report Prepared by: Ann James, Public Works Director
Approved by: Ethan Bindernagel, City Manager