July 18, 2024, Item #10DATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA REPORT CityofPoway July 16, 2024 Honorable Mayor and Members of the City :t\pcil Eric Heidemann, Director of Public Works t("' Danielle McIntosh, Senior Management Analysif (858) 668-4729 or [email protected] CITY COUNCIL Resolution Establishing Assessments for Poway Landscape Maintenance District 83-1 to be Collected on the San Diego County Property Tax Roll for Fiscal Year 2024-25 On June 4, 2024, City Council adopted Resolution No. 24-024 declaring intention to levy and collect assessments within Landscape Maintenance District (LMD) 83-1 and set the public hearing for July 16, 2024. City Council is to consider approval of a resolution (Attachment A) authorizing the levy and collection of assessments for each affected parcel within LMD 83-1 for Fiscal Year (FY) 2024-25. FY 2024-25 assessment rates for LMD 83-1 Zone A, Zone B and Zone C are proposed to remain unchanged at the FY 2023-24 rates of $118.48, $235.75 and $496.16 per benefit unit year, respectively. Landscape maintenance service levels for Zones A, Band C will remain at level C and may be subject to adjustments depending on frequency and magnitude of unplanned events. Recommended Action: It is recommended City Council take public input, close the public hearing and adopt the Resolution. Discussion: LMD 83-1 was formed on June 14, 1983, to maintain landscape improvements required as conditions of approval for various subdivisions included within the boundaries of LMD 83-1. A map showing LMD 83-1 's boundaries is included as Attachment B. Each subdivision and/or development listed below was required to annex into the LMD 83-1 as a condition of property development either through final map process or by Council Resolution. LMD 83-1 Zone A includes the following residential developments: TRACT PROJECT NAME TTMs TTM TTM TTM 1 of 6 3495, 4113, 4191, 89-15 and TPM 89-18 3503 3533 3461 Rancho Arbolitos Adobe Ridge I and II The Colonies Casa Real, Unit 7
July 18, 2024, Item #10TRACT PROJECT NAME TTM 84-04R Country Creek TTM 84-07 Woodland Hills TTM 85-01 Rancho Espola TTM 86-04 Midland Estates TTM 86-05 Community 16 Villas (Poway 16) TTM 87-04 Park Village TTM 87-06 Cicero-Pacific TTM 88-05 Gateway/La Manda TTM 88-09 Carmel Vista TPM 89-09 Cusick TTM 99-01 Diroma Estates TPM 99-05 Spyglass TTM 02-03 Lamagna TPM 03-05 Lamagna LMD 83-1 Zone B includes the following non-residential (commercial) developments: TRACT PROJECT NAME TPM CUP 86-03 92-05 LMD 83-1 Zone C includes the following residential development: Twin Peaks Plaza Kindercare TRACT PROJECT NAME TTM 98-06 Kentfield Estates In 2018, the City initiated proceedings to form a proposed landscape maintenance district (referred to as LMD 18-1) within the boundaries of the existing LMD 83-1. Proposed LMD 18-1 would have added properties that previously were not assessed and established different benefit zones, and increased assessments currently imposed on properties in the existing LMD 83-1. Proposed LMD 18-1 was balloted for an increase in assessments with annual cost indexing based on the San Diego-Carlsbad Consumer Price Index for All Urban Consumers (CPI), not to exceed 3 percent. Proposed LMD 18-1 had a majority protest for the increase, and consequently failed to pass the ballot and was not formed. FY 2024-25 assessments for Zone A are proposed to remain unchanged at the FY 2023-24 rate of $118.48 per benefit unit per year; Zone B FY 2024-25 assessments are proposed to remain at the FY 2023-24 rate of $235.75 per benefit unit per year; and Zone C FY 2024-25 assessments are proposed to remain at the FY 2023-24 rate of $496.16 per benefit unit per year. LMD 83-1 currently has no approved escalation factor for increasing the maximum assessment rate. Failure of an assessment increase by ballot for LMD 83-1 in FY 2017-18, led to a reduction in maintenance services. Landscape maintenance service levels for Zones A, Band C will remain at level C and may be subject to further adjustments to align with assessment revenue and to accommodate unexpected repair needs that arise. Service level C consists of performing landscape maintenance (e.g., irrigation inspection, removal of trash and debris, trimming of shrubs, fertilizing, mowing, edging, pruning, and sweeping) for respective areas within LMD 83-1 on a monthly basis. 2 of 6
July 18, 2024, Item #10City Council's approved FY 2024-25 Engineer's Report is on file in the Office of the City Clerk, 13325 Civic Center Drive and the Department of Public Works, 14467 Lake Poway Road, Poway, California. Environmental Review: This action is not subject to review under California Environmental Quality Act (CEQA). Fiscal Impact: LMD 83-1 does not include a voter-approved inflater which puts pressure on service levels as expenses increase over time due to inflation while revenues do not. FY 2024-25 LM D 83-1 Zone A assessment rate remains unchanged from the FY 2023-24 rate of $118.48 per benefit unit per year. Revenue for LMD 83-1 Zone A is comprised of $164,806 from assessments, $3,588 in estimated interest earnings, $3,998 in miscellaneous revenue and $63,658 in General Fund contributions. FY 2024-25 LMD 83-1 Zone B assessment rate remains unchanged from the FY 2023-24 rate of$235.75 per benefit unit per year. Revenue for LMD 83-1 Zone B is comprised of $23,226 from assessments, $2,017 in estimated interest earnings and $16,474 in General Fund contributions. FY 2024-25 LMD 83-1 Zone C assessment rate remains unchanged from the FY 2023-24 rate of $496.16 per benefit unit per year. Revenue for LMD 83-1 Zone C is comprised of $12,900 from assessments, $2,497 in estimated interest earnings, and $3,428 in General Fund contributions. Estimated revenues including the planned use of reserves in Zone A are sufficient to cover planned service levels. Service levels may be subject to adjustments depending on the frequency and magnitude of unplanned events. Public Notification: A Notice of Public Hearing was published in the Poway News Chieftain on Thursday, June 20, 2024. Pursuant to Government Section 53753, all public notification requirements have been met. No responses have been received regarding proposed assessments at the time this report was written. Attachments: A. Resolution B. LMD 83-1 Map Reviewed/Approved By: Assistant City Manager 3 of 6 Reviewed By: Alan Fenstermacher City Attorney Approved By: c~1'9 City Manager
July 18, 2024, Item #10RESOLUTION NO. 24-A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POWAY, CALIFORNIA, ESTABLISHING ASSESSMENTS FOR POWAY LANDSCAPE MAINTENANCE DISTRICT NO. 83-1 TO BE COLLECTED ON THE SAN DIEGO COUNTY PROPERTY TAX ROLL FOR FISCAL YEAR 2024-25 WHEREAS, City Council of the City of Poway desires to have Landscape Maintenance District assessments collected on the San Diego County Property Tax Roll; WHEREAS, pursuant to provisions of City of Poway Resolution No. 00-034 (Policies for Landscape Maintenance Districts) and Assessment law being "Landscape and Lighting Act of 1972" (being part 2 of Division 15 of the California Streets and Highways Code), applicable provisions of "Proposition 218" (being Article XIII C of the California Constitution), and provisions of "Proposition 218 Omnibus Implementation Act" (being California Senate Bill 919), and in accordance with the Resolution of Intention, being City of Poway Resolution No. 24-024 adopted by City Council of the City of Poway, County of San Diego, State of California, in connection with proceedings for Landscape Maintenance District No. 83-1, the Assessment Engineer for the City of Poway has submitted an Engineer's Report for the District as required by California Street and Highways Code, Section 22565; WHEREAS, on June 4, 2024, at a regular meeting of Poway's City Council, amounts to be collected have been set forth in a public Engineer's Report; WHEREAS, on July 16, 2024, City Council held a duly advertised public hearing to solicit comments from the public, both for and against, relative to this matter; and WHEREAS, this action is authorized by laws of the State of California. NOW, THEREFORE, BE IT RESOLVED by City Council of the City of Poway as follows: SECTION 1: The Assessments Rates for three (3) zones are as follows: Zone A: Zone B: Zone C: $118.48 per benefit unit per year $235. 75 per benefit unit per year $496.16 per benefit unit per year SECTION 2: The sum of assessments to be collected on the Fiscal Year 2024-25 San Diego County Property Tax Roll to provide for maintenance of landscape improvements within Zones A, Band C of Landscape Maintenance District No. 83-1 are as follows: Zone A: Zone B: Zone C: $164,806 $23,226 $12,900 SECTION 3: Under assessment law, City of Poway's General Benefit Contribution has been calculated for Zone A as $63,658, for Zone Bas $16,474 and Zone C as $3,428. II 4of6 ATTACHMENT A
July 18, 2024, Item #10Resolution No. 24-Page 2 PASSED, APPROVED AND ADOPTED at a Regular Meeting of City Council of the City of Poway, California on the 16th day of July, 2024 by the following vote, to wit: AYES: NOES: ABSTAINED: ABSENT: DISQUALIFIED: Steve Vaus, Mayor ATTEST: Carrie Gallagher, CMC, City Clerk 5 of 6
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