July 16, 2024, Item #11DATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA REPORT July 16, 2024 Honorable Mayor and Members of the City Council Eric Heidemann, Director of Public Works f Danielle McIntosh, Senior Management Analys~~ (858) 668-4729 or [email protected] r YI' City of Poway CITY COUNCIL Resolution Establishing Assessments for Poway Landscape Maintenance District 86-1 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. 24-025 declaring intention to levy and collect assessments within Landscape Maintenance District (LMD) 86-1 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 86-1 for Fiscal Year (FY) 2024-25. FY 2024-25 assessment rate for LMD 86-1 Zone A is proposed to remain at the FY 2023-24 rate of $243.04 per benefit unit per year. Landscape maintenance service level for Zone A will remain at level Band may be subject to adjustments depending on frequency and magnitude of unplanned events. Within Zone A, the Green Valley Estates Homeowners Association currently has an agreement with the City to maintain rights-of-way bordering development along Lake Poway Road. Additionally, one non-residential parcel (which makes up Zone B with current service level A), also has an agreement with the City to maintain landscape improvements along the corner of Espola Road and Twin Peaks Road. As such, these parcels will not be levied. Recommended Action: It is recommended City Council take public input, close the public hearing and adopt the Resolution. Discussion: LMD 86-1 was formed on June 12, 1986, to maintain landscape improvements required as conditions of approval for various subdivisions included within the boundaries of LMD 86-1. A map showing LMD 86-1 's boundaries is included as Attachment B. Each subdivision and/or development listed below was required to annex into LMD 86-1 as a condition of property development either through the final map process or by Council Resolution. REMAINDER OF PAGE INTENTIONALLY LEFT BLANK 1 of 6
July 16, 2024, Item #11LMD 86-1 Zone A includes the following residential developments: TRACT PROJECT NAME TTMs 4090R,4091R,4092R,4093R Bridlewood TTM 3545 Piedmont Park TTM 4158 Stone Canyon Ranch TTM 84-08 The Grove TTM 89-13 Old Coach Collection TTM 89-13R The Heritage, Phase I, Unit I TTM 89-13R The Heritage, Phase I, Unit Ill TTM 89-13R The Heritage, Phase I, Unit IV TTM 98-02 North Point TTM 99-03 Vision Homes MORA 98-71 Kennedy Family Trust MORA 01-38 Wells Trust MORA 05-59 Garczynski TTM 00-02 Malone TTM 02-01 BBA Partners PM 15384 (par 1, 2, 3 and 4) Custom Homes MAP 15725 Milpitas-Fleming Associates ROS 4063 Seaman Gregg TTM 86-01 Huntington Gate, I and II MORA 04-02 Sedehi/Fard TTM 87-05 Serenata TTM 88-15 Green Valley Estates LMD 86-1 Zone B includes the following non-residential development: TRACT PROJECT NAME TPM 90-06 LOS Poway Chapel In 2018, the City initiated proceedings to form a proposed landscape maintenance district (referred to as LMD 18-2) within the boundaries of existing LMD 86-1. Proposed LMD 18-2, would have added properties that previously were not assessed and established different benefit zones, and increased assessments currently imposed on properties in existing LMD 86-1. Proposed LMD 18-2 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 18-2 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 FY 2023-24 rates of $243.04 per year per benefit unit per year. LMD 86-1 currently has no approved escalation factor for increasing the maximum assessment rate. Failure of an assessment increase by ballot for LMD 86-1 in FY 2017-18, led to a reduction in maintenance services. Landscape maintenance service level will remain at level B. Service level B 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 Zone A on a bi-monthly basis. Services may continue to be reduced to align with assessment revenue 2of6
July 16, 2024, Item #11and to accommodate unexpected repair needs that arise. Notably, with Zone A, the Green Valley Estates Homeowners Association currently has an agreement in place with the City to maintain rights-of-way bordering the development along Lake Poway Road. Therefore, an assessment will not be levied for these parcels. Zone B (non-residential) is comprised of a single property, The Church of Latter-Day Saints. Landscape improvements are being maintained by parcel owners under terms of an agreement with the City. Therefore, an assessment will not be levied for this zone. City 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 86-1 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 LMD 86-1 Zone A assessment rate remains unchanged from the FY 2023-24 rate of $243.04 per benefit unit per year. Revenue for LMD 86-1 Zone A is comprised of $230,888 from assessments, $6,948 in estimated interest earnings, $673 in miscellaneous revenue, and $60,130 in General Fund contributions. Estimated revenues are sufficient to cover planned service levels. Service levels may be subject to adjustments depending on 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 86-1 Map Reviewed/ Approved By: Wend aserman Assistant City Manager 3 of 6 Reviewed By: Alan Fenstermacher City Attorney Approved By: c~ City Manager
July 16, 2024, Item #11RESOLUTION NO. 24-A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POWAY, CALIFORNIA, ESTABLISHING ASSESSMENTS FOR POWAY LANDSCAPE MAINTENANCE DISTRICT NO. 86-1 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. 24-025 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. 86-1, 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 Assessment Rate is as follows: Zone A: $243.04 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 the maintenance of landscape improvements within Zone A of Landscape Maintenance District No. 86-1 is as follows: Zone A: $230,888 SECTION 3: Under assessment law, the City of Poway's General Benefit Contribution has been calculated for Zone A as $60, 130. 4of6 II II II ATTACHMENT A
July 16, 2024, Item #11Resolution 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
July 16, 2024, Item #110 J 0 a, "' ~ 6 of6 'i'-oseoo~ '/~ ~,.q 'lo City of 1&,... San Diego 0 ~ -z. 9, ;;' Stone Canyon <t-0 Espola Rd ::0 a. City of Poway s ii ii, :::, a. ::0 a. I rn "' -0 'O QJ .,, 0-ATTACHMENT B Lake Poway County of San Diego Lake Ramona