City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2025-00830 5/27/2025 Item 15.
Neighborhood Landscaping District Fiscal Year (FY) 2025/26 Annual Assessments [Published 05/16/2025]
File ID: 2025-00830
Location: District 1; District 2; District 5; District 6; District 7; District 8 Recommendation: Conduct a public hearing and upon conclusion, adopt a Resolution confirming the budget, assessment diagram, and levying the assessment for FY2025/26 for the Neighborhood Landscaping District (District).
Contact: Brent Mueller, Senior Development Project Manager, (916) 808-5715, [email protected]; Eric Frederick, Special Districts Manager, (916) 808-5129, [email protected]; Department of Finance
Presenter Brent Mueller, Senior Development Project Manager, (916) 808-5715, [email protected], Department of Finance
Attachments:
1-Description/Analysis
2-Background
3-Schedule of Proceedings
4-Resolution
5-Exhibit A (District Map)
6-Exhibit B (FY2025/26 Subdivision Budgets & Parcel Assessments) Description/Analysis
Issue Detail: The District is a special assessment district formed under the California Landscaping and Lighting Act of 1972 (California Streets and Highways Code § 22500 et seq.) (1972 Act).
Subdivisions included in the District are levied an annual assessment to fund the maintenance of landscaping improvements located adjacent to and/or along the frontage of those subdivisions. A map showing the subdivisions included in the District is provided in Exhibit A to the attached resolution.
The District is required by the 1972 Act to present an annual assessment and diagram (i.e., a map showing all parcels of real property within the District) to Council for confirmation, both of which were
File ID: 2025-00830 5/27/2025 Item 15.
provided in the Engineer’s Annual Report approved by Council on May 13, 2025 (Resolution No. 2025-0123). Council also approves the annual budget for the District per City Code section
3.124.190. Confirmation of the assessment and diagram will authorize the City to levy and collect assessments in an amount sufficient to provide funding for maintenance of the landscaped areas adjacent to the subdivisions in the District for FY2025/26. Additional information on this District is provided in the Background section of this report.
Policy Considerations: The actions in the recommended resolution are required by the 1972 Act and City Code Chapter 3.124 for annual proceedings of an existing district.
Economic Impacts: None.
Environmental Considerations: California Environmental Quality Act (CEQA): Under the CEQA Guidelines, continuing administrative activities of an assessment district and creation of government funding mechanisms or other government fiscal activities which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment do not constitute a project and are therefore exempt from CEQA review (14 Cal. Code Regs. § 15378 (b)(2), (b)(4)).
Sustainability: Not applicable.
Commission/Committee Action: None.
Rationale for Recommendation: The recommended action supports funding, via property-based assessments, for maintenance of landscaping improvements located adjacent to or along the frontage of residential subdivisions within the District.
Financial Considerations: The total District assessment is projected to be $362,783 for FY2025/26 in support of a projected operating budget of $386,743, with the difference being paid from available fund balance. This equates to a weighted average proposed assessment of $120.90 per single family parcel, which is an increase of $3.79 or 3.24% over the weighted average actual assessment levied in FY2024/25. The assessments and the method by which they were derived are detailed in the Annual Report.
The 34 subdivisions in the District each have assessments that vary based on their operational needs, and for each subdivision the assessments proposed to be levied are at or below their FY2025/26 maximum authorized amounts. As discussed in more detail in the Background section of this report, the maximum authorized assessment varies for each subdivision. In 16 of the 34 subdivisions the maximum authorized assessment does not increase. In the remaining 18 subdivisions the maximum authorized assessment is subject to an annual increase determined by the percentage change in the Consumer Price Index (CPI) - San Francisco All Urban Consumers for
File ID: 2025-00830 5/27/2025 Item 15.
the previous year, but not to exceed either 3% or 4% depending on the subdivision. For each subdivision in the District, the FY2025/26 costs and a breakdown of the maximum authorized assessment and proposed actual assessment per single-family lot is provided in Exhibit B to the Resolution.
It is projected that three subdivisions will end FY2024/25 with a negative fund balance. Infrastructure Finance staff continues to work with the Department of Public Works (who manages performance of the maintenance work) to develop funding and maintenance solutions for these subdivisions. The FY2025/26 Proposed Budget reflects a plan to continue to balance the budget of those three subdivisions and ensure each subdivision in the District stays within budget.
The assessments and the method by which they were derived are detailed in the Engineer’s Annual Report on file with the Infrastructure Finance Division of the Finance Department.
Local Business Enterprise (LBE): Not applicable.
ATTACHMENT 2
BACKGROUND
On July 23, 1991, the City Council approved formation of the Neighborhood Landscaping District (District), formerly known as the Subdivision Landscaping Maintenance District. At the time of formation, the initial District included the Laguna Verde and Laguna Parkway subdivisions, located in Council District 8. Since then, the City Council has annexed 32 additional subdivisions to the District for a total of 34 subdivisions. A map showing the location of all 34 subdivisions is included as Exhibit A to the Resolution.
District services include the maintenance of landscaping improvements located adjacent to and/or along the frontage of residential subdivisions. The annual assessments fund the costs for the maintenance of these improvements and costs for the District’s administration activities, including billing. For 18 of the subdivisions, at the time the subdivisions were annexed to the District, the City Council authorized a provision to mitigate cost increases by automatically increasing the maximum annual assessment each year based on the annual average increase in the CPI, San Francisco Area - All Urban Consumers. However, this automatic increase cannot exceed 3% in four of these subdivisions and cannot exceed 4% in the other 14 subdivisions. For FY2025/26, the change in the prior year annual average CPI was 2.76%.
Therefore, the annual maximum assessments for all 18 subdivisions subject to the automatic increase will be increased by 2.76%. The remaining 16 subdivisions do not have an automatic CPI increase provision and their maximum annual assessment does not increase above the amount set forth at the time the subdivision annexed to the District.
At the conclusion of the public hearing, staff will recommend Council adopt the District budget and assessment diagram, and levy the assessments. The total property owner assessment in FY2025/26 is projected to be $362,783.
ATTACHMENT 3
SCHEDULE OF PROCEEDINGS
NEIGHBORHOOD LANDSCAPING DISTRICT
FY2025/26 SCHEDULE
March 25, 2025 Council Directed Filing of Engineer’s Report
May 13, 2025 Council Approved Engineer’s Annual Report, Adopted Resolution of Intention and Set Date for Public Hearing
May 16, 2025 Notice of Public Hearing Published
May 27, 2025 Hold Public Hearing
Council Approves District Budget & Orders Annual Levy of Assessments
August 2025 Assessments to County for Placement on Tax Roll
RESOLUTION NO.
Adopted by the Sacramento City Council
Resolution Confirming Budget, Diagram, and Levying Assessment for the Neighborhood Landscaping District for Fiscal Year (FY) 2025/26 (Pursuant to Landscaping and Lighting Act of 1972)
BACKGROUND
A. The Neighborhood Landscaping District (District), as depicted in Exhibit A, was established by the City Council and approved by the Laguna Verde and Laguna Parkway Subdivision property owners on July 23, 1991. City Council subsequently annexed 32 additional subdivisions to the District.
B. The City Council established the District under the Landscaping and Lighting Act of 1972 (California Streets and Highways Code § 22500 et seq.) (the 1972 Act) and City Code Chapter 3.124, and has previously levied assessments on property in the District to pay for landscaping maintenance services and related services to be provided within the District, all in accordance with the 1972 Act and City Code Chapter 3.124.
C. On March 25, 2025, the City Council directed the Supervising Engineer of the Department of Public Works, designated by the City Council as the Engineer of Work for the District, to file an Engineer’s Annual Report in accordance with the provisions of the 1972 Act (Resolution No. 2025-0073).
D. On May 13, 2025, the City Council adopted a resolution approving the Engineer’s Annual Report filed by the Engineer of Work and declaring its intention to levy and collect assessments within the District for FY2025/26, and set a public hearing for May 27, 2025 (Resolution No. 2025-0123). Notice of the hearing was given on May 16, 2025, in accordance with the 1972 Act and City Code Chapter
3.124.
E. The maximum authorized assessments for some of the subdivisions within the District will be increasing for FY2025/26 according to the annual increase methodology previously adopted by the City Council. In 17 of the subdivisions, the proposed assessments for FY2025/26 are higher than the actual assessments levied in FY2024/25, however in all cases the proposed assessments are at or below their maximum authorized amounts, as shown on Exhibit B.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. The City Council finds and determines that the background statements A through E are true and correct.
Section 2. The City Council confirms the annual budget for the District, as set forth in Exhibit B and as provided in the Engineer’s Annual Report for the District.
Section 3. The City Council confirms the assessment diagram and the assessment roll set forth in the Engineer’s Annual Report for the District and levies the assessments set forth in the assessment roll in the Engineer’s Annual Report.
Section 4. The City Council hereby authorizes the City Manager or the City Manager’s designee to make any necessary budgetary adjustments associated with the approval of the Engineer’s Annual Report and levy of assessments for FY2025/26.
Section 5. Exhibits A and B are part of this resolution.
Table of Contents:
Exhibit A – District Map
Exhibit B – FY2025/26 Subdivision Budgets & Parcel Assessments
EXHIBIT A
EXHIBIT A-1
NEIGHBORHOOD LANDSCAPING DISTRICT
LOCATION MAP LEGEND
1 9
Arlington Park #1 Villa Palazzo
Arlington Park Creekside #2
Arlington Park Creekside #3 10
Arlington Park Creekside #4 Windemere Estates
Wickford Square
2 11
Jacinto Village #3 East Land Park Village
Shasta Meadows
12 3 Del Paso Nuevo #1 & #3
Laguna Vista
13 4 Chardonnay
Cameron 5
Laguna Vega 14
Sheldon Farms Kelton
Sheldon Whitehouse
15 5 Sunrise 94
Laguna Verde #1
Laguna Verde #2 16
Laguna Parkway Jones Ranch
Newport Cove
17 6 Elder Place
Regency Place
Stonewood 18
Zorba Court
7 Brookfield Meadows #2 19
Colony Brookfield Evergreen Phase I
Liberty Lane
20 8 66th Street Subdivision
Carriage Estates
EXHIBIT B
NEIGHBORHOOD LANDSCAPING DISTRICT SUBDIVISION BUDGET AND PARCEL ASSESSMENTS FUND 2205, FOR FY2025/26
The annual budget for each individual subdivision is as follows:
EXHIBIT B (Continued)
The following is a breakdown of the actual cost per single-family lot in each subdivision.