CITY OF SALINAS
PRELIMINARY ENGINEER’S REPORT
MONTE BELLA MAINTENANCE DISTRICT
FISCAL YEAR 2026-27
MONTEREY COUNTY, CALIFORNIA
May 2026
PREPARED BY
101 Progress, Suite 250
Irvine, CA 92618
www.weareharris.com
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
TABLE OF CONTENTS
Engineer’s Certification ................................................................................................. 1 Part I - Overview ........................................................................................................... 4 Part II - Plans and Specifications ................................................................................... 5 Part III – Cost Estimate ................................................................................................ 10 Part IV – District Benefits ............................................................................................ 16 Part V – Method of Apportionment ............................................................................ 20 Part VI – Assessment Diagram .................................................................................... 24 Part VII – Assessment Roll ........................................................................................... 25 Appendix A – Monte Bella Capital Improvement Plan ............................................... 26 Appendix B – District Boundary .................................................................................. 27 Appendix C – Park Service Area .................................................................................. 28 Appendix D – Assessment Roll .................................................................................... 29
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
1 ENGINEER’S CERTIFICATION
AGENCY: THE CITY OF SALINAS
PROJECT: MONTE BELLA MAINTENANCE DISTRICT
TO: THE CITY COUNCIL OF THE
CITY OF SALINAS
STATE OF CALIFORNIA
ENGINEER’S REPORT FOR FISCAL YEAR 2026-27
Pursuant to Part 2 of Division 15 of the Streets and Highways Code of the State of California, Article XIIID of the California Constitution (Proposition 218), a nd the Proposition 218 Omnibus Implementation Act and in accordance with the Resolution of Initiation, adopted by the City Council of the City of Salinas, State of California, in connection with the proceedings for:
MONTE BELLA MAINTENANCE DISTRICT
(Hereinafter referred to as the “District”),
I, Tamorah Bryant, authorized representative of the District, the duly appointed Assessment Engineer submit the following Report which consists of the following seven (7) parts and Appendices:
PART I
Overview: Provides the background and reason for the District.
PART II
Plans and Specifications: Plans and specifications for the improvements are as set forth on the lists thereof, attached hereto, and are on file in the Office of the City Engineer and are incorporated herein by reference.
PART III
Cost Estimate: An estimate of the costs of the proposed improveme nts, including incidental costs and expenses in connection therewith, is as set forth o n the lists thereof, attached hereto, and are on fi le in the Office of the City Clerk and incorporated herein by reference.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
2 PART IV
District Benefits: A discussion of the benefits provided by the District identifies, separates and quantifies the general and special benefits received by each p arcel in the District, for the services received an d the improvements provided.
PART V
Method of Apportionment: The method of apportionment of assessments, indica ting the proposed assessment of the net amount of the costs and expen ses of the improvements to be assessed upon the several lots and parcels of land within the District, in proportion to the estimated benefits to be received by such lots and parcels.
PART VI
Assessment Diagram: The Diagram of the District Boundaries showing the exterior boundaries of the Assessment District and the lines and dimensions of each lot or parcel of land within the Assessment District. The lines and dimensions of each lot or parcel within the Assessment District are those lines and dimensions shown on the maps of the Assessor of the County of Monterey for the fiscal year to which this Report applies. The Assessor's maps and records are incorporated by reference herein and made part of this Report.
PART VII
Assessment Roll: An assessment of the estimated cost of the improve ments on each benefited lot or parcel of land within the District.
Appendices
Appendix A Monte Bella Capital Improvement Plan
Appendix B District Boundary
Appendix C Park Service Area
Appendix D Assessment Roll
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
3 In conclusion, it is my opinion that the costs and expenses of the District have been assessed to the lots and parcels within the boundaries of the District i n proportion to the estimated benefits to be receiv ed by each lot or parcel from the services provided an d in conformance with the assessment methodology adopted by the City Council for the levying of assessments.
DATED: May 15, 2026
_____________________________________________
Tamorah Bryant, P.E., Assessment Engineer
R.C.E. No. C67205
Engineer of Work
State of California
I HEREBY CERTIFY that the enclosed Engineer's Repor t, together with Assessment Roll and Assessment Diagram thereto attached, was filed with me on the ____ day of ______ 2026.
Patricia M. Barajas, City Clerk
City of Salinas
Monterey County, California
By
I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll and Assessment Diagram thereto attached, was approved and confirmed by the City Council of the City of Salinas, California, on the ____ day of ______ 2026.
Patricia M. Barajas, City Clerk
City of Salinas
Monterey County, California
By
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
4 PART I – OVERVIEW
The City of Salinas (the “City”) established the Mo nte Bella Maintenance District to provide a source of funding for the on-going maintenance of the ameniti es that were installed for the benefit of the parce ls located in the Monte Bella development (the “Develo pment”) and within the District. The District was created under Article II, Chapter 21C of the City o f Salinas Municipal Code, the Landscaping and Light ing Act of 1972 of the State of California (the “1972 Act”), and the Benefit Assessment Act of 1982 (the “1982 Act”). As required, the City prepares an Engineer’ s Report annually and holds a public hearing to all ow property owners within the District to address the City Council prior to the annual levy of the assessments.
This Engineer’s Report (the “Report”) sets forth the proposed assessments for Fiscal Year 2026-27 for the Monte Bella Maintenance District (the “District”). The District was created in 2004, after the passag e of Proposition 218 in 1996, which established Article XIIID of the State Constitution and the District is subject to the legal requirements of Proposition 218. The District assessments include built-in inflationary factor based on the annual change in the Consumer Price Index (“CPI”). The assessment may be levied each year up to the maximum assessment rates. Proposed asses sments that are greater than the maximum assessment rates require a property-owner vote approving of the new rates before being levied. For Fiscal Year 2026-27, the assessment rate remains the same as it was in FY 2025-2026 while the maximum assessment rates are increasing by the inflation factor of 3.8%. Part V of this Report provides a discussion of the inflation factor in more detail.
The estimated cost of maintenance services for Fiscal Year 2026-27 are detailed in Part III of this Re port.
All assessable parcels identified as being within the District share in both the cost and the benefits of the improvements. The costs and expenses associated wit h the improvements in the District are equitably spread among all benefiting parcels within the Dist rict and only parcels that receive special benefit from the improvements are assessed in proportion to bene fit received. The funds collected from the assessments are dispersed and used for the services and operation provided within the District. A discussion of District benefits is provided in Part IV of this Report, the method of apportioning Dist rict costs to the parcels of land within the District is provided in Part V of this Report and Appendix D lists the assessment amount for each parcel in the District for Fiscal Year 2026-27.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
5 PART II – PLANS AND SPECIFICATIONS
All of the improvements are allowed under the Salin as Municipal Code and the Lighting and Landscape Act of 1972 (the “Act”). The continued maintenance of these improvements shall be budgeted and reviewed each fiscal year and fully or partially funded through the annual assessments.
The assessments provide a dedicated source of funding for the maintenance and operation of the District improvements, including landscaping along the street corridors within the Development and along portions of Sconberg Parkway, Freedom Parkway and Williams Road that are directly adjacent to the Development.
Other improvements maintained by the District include local street lighting (including energy costs), routine street maintenance and associated appurtenances located within the public right-of-ways.
There are five distinct types of improvements in the District which are: street landscaping; street lighting; parks, open space and detention basin landscaping; street maintenance; and public improvements. Each type of improvement is budgeted and assessed as a District benefit zone (“Benefit Zone”).
Street Landscaping
The District provides maintenance, servicing and op eration of approximately 458,075 square feet of landscaping along the street corridors within the M onte Bella Development and along portions of Sconberg Parkway, Freedom Parkway and Williams Road that are directly adjacent to the Development.
The street landscaping improvements include, but are not limited to, ground cover, trees and shrubs, and irrigation systems within the street right of ways. Maintenance, servicing and operation includes the costs of necessary repairs, replacements, water, electrical current, trimming and pruning, care supervision and any and all other items necessary for the proper maintenance and operation of the improvements. Table 1 includes street landscaping improvements that are maintained by the District.
Table 1: Street Landscaping Improvements
Street Landscaping Area
Monte Bella Boulevard Both sides of the roadway from Sconberg Parkway to Williams Road Tuscany Boulevard Both sides of the entire length o f the roadway Padova Drive Both sides of the entire length of the roadway Pavia Way Both sides of the entire length of the ro adway Palermo Drive Both sides of the entire length of the roadway Williams Drive
The southeast side of the roadway from Freedom Park way to the southwestern corner boundary of the District
Freedom Parkway
The southwest side of the roadway and the center is land from Williams Road to Sconberg Parkway
Sconberg Parkway
The northwest side of the roadway and the center is land from Freedom Parkway to Alisal Road
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
6 The District also provides routine tree pruning services within the landscaped areas of the boulevards and local streets of the District and within the Park. The improvement costs associated with tree trimming will be assessed to the benefited District parcels and reserved for over an anticipated five year pruning cycle.
Street Lighting
The District currently provides maintenance, servic ing and operation of 359 street lights. Maintenance , servicing and operation includes the costs of neces sary repairs, replacements, care supervision and an y and all other items necessary for the proper mainte nance and operation of the improvements. The following Table 2 shows the number of street lights by lumens that is in operation in the District:
Table 2: Street Lights in Operation
Street Light Type No. of Lights 6,300 Lumens 327
9,500 Lumens 30
22,000 Lumens 2
Total Lights: 359
A map containing the location of the street lighting and traffic signal facilities is on file in the office of the Director of Development and Engineering Services for the City and is made part of this Report by reference.
Park, Open Space, Detention Basin and Bioswale Landscaping The District provides maintenance, servicing and operation of 8.2 acres of park landscaping, 6,816 square feet of local open space landscaping and 65,190 square feet of detention basin landscaping that will also serve as a local park. This maintenance, servicing and operation is in accordance with NPDES requirements of the City of Salinas stormwater permit. Maintenan ce, servicing and operation includes the costs of necessary repairs, replacements, water, electrical current, trimming and pruning, care supervision and any and all other items necessary for the proper maintenance and operation of the improvements. Tabe 3 on the following page outlines the location of pa rk, open space and detention basin landscaping improvements.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
7 Table 3: Parks, Open Space and Detention Basin Landscaping Improvements Amenity Landscape Area Location Community Park 8.20 Acres The community park is located east of Monte Bella B oulevard between Tuscany Boulevard and Palermo Drive
Open Space 0.16 Acres
Three open space areas are located at the southeast end of Del Monte Avenue, the east end of Courtside Drive and the eas t end of Argentine Drive
Detention Basins 1.50 Acres
One on-site detention basin is located on the south west corner of Monte Bella Boulevard and Sconberg Parkway. There are two off-site detention basins. One is located adjacent to the o n-site detention basin across Sconberg Parkway and the other is loca ted at the southeasterly corner of Williams Road and Freedom P arkway
A map containing the location of the park, open space and retention basin landscaping is on file in the office of the Director of Development and Engineering Services for the City and is made part of this Report by reference.
On June 4, 2019 City Council accepted the Monte Bella
Subdivision Phase 6 improvements for maintenance and
responsibility. The development requires continuous
landscape maintenance of bioswales at several locations that are now maintained by the Monte Bella
Maintenance District. The approximate locations of the
bioswales are shown in the following illustration:
Approximate locations of bioswales that are
maintained by the Monte Bella Maintenance District
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
8 Street Maintenance
The District provides maintenance, servicing and op eration of 1,876,255 square feet of street improvements within the Development. Maintenance, s ervicing and operation include the costs of necessary repairs, replacements, scheduled slurry s ealing and overlays, care supervision and any and a ll other items necessary for the proper maintenance an d operation of the improvements. The collector streets and the local streets within the District are listed below.
Table 4: Collector and Local Streets Maintained by the District
Collector Streets • Freedom Parkway
• Monte Bella Boulevard
• Padova Drive
• Palermo Drive
• Sconberg Parkway
• Tuscany Boulevard
• Williams Road
Local Streets • Arezzo Circle
• Bellagio Way
• Bologna Court
• Bologna Way
• Campania Circle
• Campania Way
• Canelli Court
• Capri Way
• Cassino Circle
• Cassino Way
• Etna Circle
• Genoa Circle
• Genoa Way
• Marsala Circle
• Marsala Way
• Modena Street
• Modena Way
• Napoli Circle
• Palermo Court
• Palermo Drive
• Pavia Place
• Pavia Way
• Pavia Circle
• Piazza Circle
• Piazza Drive
• Pisa Circle
• Rossano Circle
• Rossano Court
• Rossano Way
• Sardinia Drive
• Siena Way
• Spoleto Circle
• Spoleto Street
• Spoleto Way
• Trivoli Way
• Tuscany Circle
• Tuscany Way
• Venice Way
• Verona Court
• Venice Circle
• Verona Way
Slurry sealing and overlay schedules are largely de pendent on the extent of use and deterioration of t he streets and the composition of the street material used. It has been determined that the slurry sealing of the streets will be required after the first five y ears and every eight years thereafter. The street o verlay has been determined to be required on a twenty year cycle. A reserve has been established for the cost of these major maintenance and repair projects and funded through the annual assessments.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
9 Public Improvements
On June 21, 2022, City Council accepted the Monte B ella Subdivision Phase 6 public improvements for maintenance and responsibility and accepted the following streets into the City’s street system: Palermo Drive, Pavia Circle, Pavia Way, Pisa Circle, Venice Way, Venice Circle, Rossano Way, Rossano Circle, Campania Circle, Freedom Parkway and Sconberg Parkway. The subdivision is located north of Sconberg Parkway between Monte Bella Boulevard and Freedom Parkway and consists of 78 residential lots on 22.34 acres of land. The final map for Monte Bella Subdivision Phase 6 is on file in the Office of the Recorder of Monterey County and incorporated herein by reference.
The required public improvements for this subdivision consisted of the following:
• Installation of public utilities, including water, sanitary sewer, gas, electricity, cable, and telephone services accessible to each designated lot;
• All necessary storm drain facilities and stormwater mitigation facilities in accordance with the City’s National Pollution Discharge Elimination System (NPDES Permit); • Fire hydrants;
• Construction of curbs and gutters, sidewalks, curb ramps, pavement, street/traffic signs, pavement markings and street lighting;
• Installation of street monumentation, survey monuments for legal lot lines, street trees and landscaping.
Construction of the required public improvements began in October 2019 and was satisfactorily completed on June 14, 2022, prior to City Council acceptance on June 21, 2022.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
10 PART III – COST ESTIMATE
Estimated costs for Fiscal Year 2026-27 for the construction, operation, servicing and maintenance of the facilities described in Part III are shown in the following Table 5:
Table footnotes:
Adopted Amended Proposed Forecasted Forecasted
Budget Budget Budget Budget Budget
FY 2025-26 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Maintenance
Landscaping 2 $161,000 $155,445 $149,325 $153,805 $158,419 Tree Pruning $0 $0 $50,000 $51,500 $53,045
Other Equipment Rentals $20,000 $27,159 $20,600 $21,218 $21,855 Other Maintenance, Repairs, and Equipment $20,000 $21 ,125 $20,600 $21,218 $21,855 In-House Inspection - Street Light Maintenance $66,7 50 $66,750 $68,753 $70,815 $72,940 Supplies and Contingencies $6,500 $20,555 $6,695 $6,896 $7,103 Engineering Services $0
$13,875 $0 $0 $0
Subtotal Maintenance: $274,250 $304,909 $315,973 $325,4 52 $335,215 Utilities
Landscape Water $30,000 $25,000 $30,900 $31,827 $32,782 Electricity - Street Lighting/Landscape Lighting Controllers $10,000 $15,000 $10,300 $10,609 $10,927
Subtotal Utilities: $40,000 $40,000 $41,200 $42,436 $43, 709 Administrative Expenses
Agency Administrative Expenses $35,000 $35,000 $36,050 $37,132 $38,245 Professional Fees 3 $20,000 $6,000 $7,674 $7,904 $8,141 Other Charges and Contingencies $41,450 $24,791 $24,79 1 City's Collection Fee 4 $8,550 $8,550 $8,550 $8,550 $8,550 Subtotal Administrative Expenses: $105,000 $74,341 $77 ,065 $53,585 $54,936 Capital Improvements 5 $0 $0 $561,000 $561,000 $0
TOTAL EXPENDITURES: $419,250 $419,250 $995,237 $982,473 $433,861 Balance to Levy $583,673 $583,673 $583,673 $583,673 $583 ,673 Operating Reserve From/(To) ($4,349) ($5,921) $9,639 ($ 3,033) $26,569 Capital Reserve From/(To) ($231,948) ($228,804) $206,2 61 $204,562 ($375,555) Debt Service Transfer Out $0 $0 $0 $0 $0
General Fund Contribution to Parks $0 $0 $127,333 $131, 153 $135,087 Estimated Interest Earnings $71,874
$70,302 $68,331 $66,118 $64,086
TOTAL REVENUE AND LEVY ADJUSTMENTS: $419,250 $419,250 $995,237 $982,473 $433,861 Total Parcels 868 868 868 868 868
Total Parcels Levied 855 855 855 855 855
Total EBU 921.66 921.66 921.66 921.66 921.66
Levied Rate Per EBU $645.50 $645.50 $645.50 $645.50 $645 .50 Maximum Rate Per EBU $1,433.10 $1,433.10 $1,487.55 $1,5 32.17 $1,578.13 Total Assessments Levied $583,673 $583,673 $583,673 $58 3,673 $583,673 Assessment Revenue at Maximum Rates $1,312,318 $1,312 ,318 $1,351,688 $1,392,238 $1,434,005 Capacity for Additional Revenue $728,645 $728,645 $768 ,014 $808,565 $850,332 Operating Reserve Fund
Beginning Operating Reserve Fund Balance 7 $209,625 $209,625 $217,119 $210,736 $216,930 Operating Surplus/(Deficit) $4,349 $5,921 ($9,639) $3,0 33 ($26,569) Interest (1.5%) $3,144 $1,572 $3,257 $3,161 $3,254
Projected Year Ending Operating Reserve Fund Balance: $217,119 $217,119 $210,736 $216,930 $193,615 Capital Reserve Fund
Beginning Capital Reserve Fund Balance $4,581,980 $4, 581,980 $4,338,286 $4,197,100 $4,055,494 Capital Reserve Fund Adjustment ($312,423) ($312,423) ($206,261) ($204,562) $375,555 Interest (1.5%) 8 $68,730 $68,730 $65,074 $62,956 $60,832 Projected Year Ending Capital Reserve Fund Balance: $4,338,286 $4,338,286 $4,197,100 $4,055,494 $4,491,881 Projected Year Ending Combined Fund Balance: $4,555, 405 $4,555,405 $4,407,836 $4,272,424 $4,685,497 1 DISTRICT STATISTICS
ASSESSMENT RATES 6
ASSESSMENT REVENUE
FUND BALANCE INFORMATION
EXPENDITURES 1
REVENUE AND LEVY ADJUSTMENTS
1 Estimated expenditures for FY 26-27 are equal to the greater of the prior years' budgeted amount or projected amount increased by 3% unless noted otherwise.
Estimated expenditures for FY 27-28 and FY 28-29 are equal to the previous year's amount increased by 3% unless noted otherwise. 2 Landscaping and other maintenance costs are based on the Smith & Enright agreement approved by Council on June 25, 2024, and 0.5 FTE Park Maintenance Worker. 3 Professional Fees are based on Harris & Associates district administration contract. 4 The budgeted city collection fee amount for FY 26-27 through FY 28-29 is based on the current number of assessed parcels in the district at a rate of $10 per assessed parcel. 5 Source: City Council Adopted Capital Improvement Plan for FY 22-23 to FY 27-28 for the District. 6 FY 26-27 maximum assessment rates are increased by 3.8%, which is the greater of 3.0% or the increase in CPI for the San Francisco region from April 2025 to April 2026 of 3.8% For FY 27-28 and FY 28-29, maximum assessment rates are increased by 3% from the previous year. 7 In any fiscal year, the operating reserve adjustment is calculated so that the resulting year ending balance in the operating reserve fund equals 50% of projected expenditures for the following fiscal year. 8 FY 26-27 budgeted and projected interest earnings for the capital reserve fund and the operating reserve fund are combined and reported in the capital reserve fund.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
11 Benefit Zones
Table 6 below presents proposed Fiscal Year 2026-27 expenditures for each Benefit Zone and totals for the District.
Parks and Total
Street Street Open Space Street Budget
Landscaping Lighting Landscaping Maintenance FY 2026-27 Maintenance
Landscaping $66,957 $0 $82,368 $0 $149,325
Tree Pruning $50,000 $0 $0 $0 $50,000
Other Equipment Rentals 0 0 0 20,600 20,600
Other Maintenance and Repairs 6,867 6,867 0 6,867 20,600 In-House Inspection - Street Light Maintenance 0 68,7 53 0 0 68,753 Supplies and Contingencies 4,677
0 2,018 0 6,695
Subtotal Maintenance: $128,501 $75,619 $84,386 $27,467 $ 315,973 Utilities
Landscape Water $21,588 $0 $9,312 $0 $30,900
Electricity - Street Lighting/Landscape Lighting Controllers 4,120 6,180 0 0 10,300
Subtotal Utilities: $25,708 $6,180 $9,312 $0 $41,200
Administrative Expenses
Agency Administration $9,165 $8,554 $9,165 $9,165 $36,05 0 Professional Fees 1,951 1,821 1,951 1,951 7,674
Other Charges and Contingencies 6,303 5,882 6,303 6,303 24,791 City Collection Fee 2,174
2,029 2,174 2,174 8,550
Subtotal Administrative Expenses: $19,593 $18,286 $19, 593 $19,593 $77,065 Capital Improvements $140,250 $140,250 $140,250 $140,250 $561,000 TOTAL EXPENDITURES: $314,052 $240,335 $253,540 $187,310 $995,237 Balance to Levy $157,917 $55,742 $148,137 $221,877 $583, 673 Operating Reserve From/(To) 3,858 2,222 2,515 1,045 9,63 9 Capital Reserve From/(To) 99,358 151,601 (59,227) (50,5 45) 206,261 Additional City Contribution 0 131,153 127,333 135,087 1 27,333 Estimated Interest Earnings 52,920 30,770 34,783 14,933 68,331 TOTAL REVENUE AND LEVY ADJUSTMENTS: $314,052 $371,487 $253,540 $322,397 $995,237 Total Parcels 868 868 868 868 868
Total Parcels Levied 855 855 854 855 855
Total EBU 921.66 921.66 860.16 921.66 921.66
Levied Rate Per EBU $171.34 $60.48 $172.22 $241.46 $645. 50 Maximum Rate Per EBU $1,487.55
Total Assessments Levied $157,917 $55,742 $148,137 $221 ,877 $583,673 Assessment Revenue at Maximum Rates $1,351,688
Capacity for Additional Revenue $768,014
Operating Reserve Fund
Beginning Operating Reserve Fund Balance $86,901.21 $ 50,042 $56,645 $23,530 $217,119 Operating Surplus/(Deficit) (3,858) (2,222) (2,515) (1, 045) (9,639) Interest (3%) 828 773 828 828 3,257
Projected Ending Operating Reserve Fund Balance: $83 ,871 $48,594 $54,958 $23,313 $210,736 Capital Reserve Fund
Beginning Capital Reserve Fund Balance $1,736,390 $99 9,906 $1,131,837 $470,154 $4,338,286 Capital Reserve Fund Adjustment (99,358) (151,601) 59, 227 50,545 (206,261) Interest (3%) 52,092 29,997 33,955 14,105 65,074
Projected Ending Capital Reserve Fund Balance: $1,68 9,124 $878,302 $1,225,019 $534,804 $4,197,100 Projected Year Ending Combined Fund Balance: $1,772, 995 $926,896 $1,279,977 $558,117 $4,407,836
ASSESSMENT RATES
ASSESSMENT REVENUE
FUND BALANCE INFORMATION
EXPENDITURES
REVENUE AND LEVY ADJUSTMENTS
DISTRICT STATISTICS
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
12 Glossary of Budget Items
A glossary of definitions for the multi-year budget table is provided below.
Expenditures
Maintenance
• Landscaping. Includes all contracted labor, materia l and equipment required to properly maintain the landscaping improvements within the Di strict. The District also provides routine tree pruning services within the landscaped areas o f the boulevards and local streets of the District and within the Park. The improvement costs associated with tree trimming will be assessed to the benefited District parcels and reserved for over an anticipated five year pruning cycle.
• Tree Trimming. Includes all labor, material and equipment required to provide routine tree pruning services within the landscaping improvements within the District. • Street Sweeping . Includes all contracted labor, material and equipm ent required to properly maintain the streets within the District.
• Other Maintenance and Repairs . Includes unforeseen maintenance and repair costs t hat are not included in the yearly maintenance contracts. This may include repair of damaged amenities due to vandalism, storms, frost and planned upgrades of the improvements including all renovation costs. Examples of upgrades are replacement of plan t materials and/or renovation of irrigation or ornamental lighting systems.
• In-House Inspection - Street Light Maintenance . Includes all repair and replacement costs required to operate the local street lighting, including costs related to City staff who provide services such as work monitoring, project documentation, and inspection. • Supplies and Contingencies . Includes cost of supplies and contingency for any additional unforeseen costs not included above.
Utilities
• Landscape Water. The cost of water required for the operation and maintenance of landscaping facilities.
• Electricity – Street Lighting/ Landscape Lighting C ontrollers. The cost of electricity required for the operation and maintenance of ornamental lighting, irrigation facilities and street lights.
Administrative Expenses
• Agency Administration. General administration expenses. • Professional Fees. The costs of contracting with professionals to provide services specific to the Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
13 levy administration and any additional administrati ve, legal or engineering services specific to the District.
• City Collection Fee. The cost to collect District assessments, including the fee the County charges to collect the assessments on the property tax bills. The charge is $10 per levied parcel. • Capital Improvements. The amount planned for constructing, repairing or replacing capital items in the District based on the City’s FY 2026-27 Adopted CIP Budget Document, which is available online at https://www.cityofsalinas.org/files/sharedassets/city/v/1/finance/ documents/fy-24-25-adopted-cip-budget.pdf , which are summarized in Appendix A of this Report.
Revenue and Levy Adjustments
Balance to Levy. The total assessment amount that is levied in a Benefit Zone or in the District.
Operating Reserve From/(To). The amount transferred from the Operating Reserve Fund to make up for all or part of a funding deficit in the District or the amount of the funding surplus in the District that is transferred to the Operating Reserve Fund.
Capital Reserve From/(To). The amount transferred from the Capital Reserve Fund to pay current year capital expenditures or the amount transferred to the Capital Reserve Fund to pay for future planned capital expenditures.
Additional City Contribution. The amount, if any, that the City contributes to the District to help cover the cost of services in the District.
Estimated Interest Earnings. The combined estimated annual interest to be earne d on funds held in the Operating Reserve Fund and the Capital Reserve Fund.
General Fund Contribution for Parks : This item accounts for the general benefit porti on of the maintenance costs for parks and the special benefit to parcels outside the District boundary.
The General Fund Contribution for Parks, shown on the District budget pages, accounts for the portion of special benefit conferred to parcels outside the District and within a half mile radius of the parks, as well as the general benefit portion.
District Statistics
Total Parcels. The total number of parcels within the boundaries of the District.
Total Parcels Levied. The total number of parcels that are in a Benefit Zone or in the District.
Total EBU. The total number of equivalent benefit units that are in a Benefit Zone or in the District.
Assessment Rates
Levied Rate per EBU. The rate per equivalent benefit unit levied in a Benefit Zone or in the District.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
14 Maximum Rate per EBU. The maximum rate per equivalent benefit unit that can be levied in the District.
Assessment Revenue
Total Assessments Levied. The total amount levied on all assessed parcels in a Benefit Zone or in the District.
Assessment Revenue at Maximum Rates. The total amount that can be levied on all assessed parcels in a Benefit Zone or in the District.
Capacity for Additional Revenue. If the total assessments levied are less than asse ssment revenue at maximum rates, this is the additional amount of rev enue can be generated if the assessments are increased up to the maximum rates.
Fund Balance Information
Operating Reserve Fund. Pursuant to Section 22569 of the 1972 Act, the operating reserve fund is utilized to operate the District from the time period of Jul y 1 (beginning of the fiscal year) through December when the County provides the City with the first in stallment of assessments collected from the property tax bills, thereby eliminating the need for the City to transfer funds from non-district accounts to pay for District charges during the first six (6) months of the fiscal year.
Capital Reserve Fund. The fund used to collect a portion of the total cost of a major improvement over several years, thereby reducing the short-term financial impact to the property owners.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
15 PART IV – DISTRICT BENEFITS
Authorizing Legislation
The Salinas Municipal Code and the Landscape and Li ghting Act (the “Act”) allows the City to establish maintenance districts for the purpose of providing certain public improvements which provide a special benefit to the parcels, including the construction, maintenance, and servicing of street lights, traff ic signals, and landscaping facilities. The Salinas Municipal Code expands the types of improvements to be maintained to include “sanitary sewer system facili ties, storm drainage facilities and any other works , utility or appliances necessary or convenient for providing any other public service”.
Section 22573 of the Act requires that maintenance assessments be levied according to benefit rather than according to the assessed value of property. This section states:
“The net amount to be assessed upon lands within a n assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the est imated benefits to be received by each such lot or parcel from the improvements.”
— Streets and Highways Code Section 22573
Furthermore, Section 22574 of the Act permits the d esignation of zones of benefit within any individua l assessment district if “by reason of variations in the nature, location, and extent of the improvement s, the various areas will receive different degrees of benefit from the improvements.” Proposition 218
On November 5, 1996, Proposition 218, the “Right to Vote on Taxes Act,” was approved by California voters on the statewide ballot, which added Article XIIID to the California Constitution requiring tha t a parcel’s assessment must not exceed the reasonable cost of the proportional special benefit conferred on that parcel. Proposition 218 provides that only special benefits are assessable and the City must separate the general benefits from the special benefits. In addition, Proposition 218 also requires that public ly owned property which benefits from the improvements be assessed, unless there is clear and definite evidence that those properties receive no special b enefit. Exempted from the assessment would be the areas of public streets, public avenues, public lanes, public roads, public drives, public courts, public alleys, public easements and rights-of-ways, public greenbelts and public parkways.
The amount to be assessed may be apportioned by any formula or method which fairly distributes the amount among all assessable lots or parcels. Additionally, it is required that the City separate the general benefits from the special benefits, because only special benefits may be assessed. The quantification and separation of general benefit from special benefits follows.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
16 General Benefits
Although the improvements may be visible to passersby or to the public at large, the improvements were installed as a requirement of the development and are designed for the benefit of those properties. Since the District improvements related to street landsca ping, street lighting, and street maintenance are entirely located within the District or immediately adjacent to the benefited parcels, it has been determined that there is little or no general benefit to the public at large.
As mentioned above, the City will contribute funds from the general fund to account for park usage by residents living outside the District. This contri bution was determined by identifying and separating the special and general benefit portions of the costs to maintain the parks.
Previous public outreach efforts by agencies in Cal ifornia 1 have reported that in general, the most-used park is also the closest, typically a 15 minute wal k which equates to an approximately half-mile radius. A general benefit from use of the park is received by the public and parcels located beyond the special benefit area. Surveys and studies provide insights into park usage, however specific percentages can vary.
In general, it has been suggested that 20 to 40% of park visitors may travel from greater than a half-mile (15 minute walk or 5 minute car ride). This genera l benefit must be identified and funded by a revenu e source outside of the assessment. As shown in Part III, the City will contribute funds from the gener al fund to account for park usage by residents living outside the District. This contribution was determined by identifying and separating the special and general benefit portions of the costs to maintain the parks.
The parks were installed as a condition of developm ent and as a part of the specific developments surrounding the parks. It could be inferred that t he parcels could not exist had the condition not be en met and receive a special benefit from the construction of the park.
The proximity and access to parks serve as an exten sion of the useable land area for property within t he service radius, and the parcels within the service area clearly receive a direct advantage and special benefit from the improvements. The Parks confer a special benefit to the parcels within a half-mile radius, of which those developments are located and can be assessed. There are also parcels outside the District boundary that receive special benefit from the park improvements. The parcels within the District may only be assessed for their share of special benefit from the park improvements. The share of special benefit received by parcels outside the District must be funded by sources other than District assessments, they cannot be assessed to the parcels within the District.
Special Benefits
The method of apportionment (assessment methodology ) approved at the time the District was formed is based on the premise that each of the assessed p arcels within the District receives benefit from th e improvements maintained and financed by annual assessments. Specifically, the assessments are for the maintenance of improvements installed as part of the original improvement. The desirability of properties within the District are enhanced by the presence of street lights and well-maintained streets and landscaping in close proximity to those properties.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
17 Landscaping. The special benefits associated with the open spac e and street landscaping improvements are specifically:
• Enhanced desirability of properties through associa tion with the improvements within the area.
• Improved aesthetic appeal of properties providing a positive representation of the area. • Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping.
• Environmental enhancement through improved erosion resistance, dust and debris control and reduced noise and air pollution.
• Increased sense of pride in ownership of property r esulting from well-maintained improvements associated with the properties.
• Reduced vandalism and criminal activity resulting f rom well-maintained surroundings and amenities.
• The special enhancements of the properties that results from the above benefits.
Street Lighting. The special benefits associated with the street lighting improvements are specifically:
• Enhanced deterrence of crime and the aid to police protection. • Increased nighttime safety on roads and streets.
• Improved ability of pedestrians and motorists to see. • Improved ingress and egress to property.
• Reduced vandalism and other criminal act and damage to improvements or property. • Improved traffic circulation and reduced nighttime accidents and personal property loss. • Improved aesthetic appeal of properties providing a positive representation of the area.
Street Maintenance. The special benefits associated with the street m aintenance improvements are specifically:
• Improved traffic safety within the community.
• Improved ingress and egress to property.
• Improved protection of property and life that accompanies well maintained streets. • Improved aesthetic appeal of the streets providing a positive representation of the area and desirability of the property.
Parks. The special benefits associated with the park maintenance improvements are specifically:
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
18 • Condition of development.
• Proximity and access to Park amenities.
All of the preceding special benefits contribute to a specific enhancement and desirability of each of the assessed parcels within the District.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
19 PART V – METHOD OF APPORTIONMENT
The Method of Assessment outlines the formula by which property that receives special benefit from the improvements and services provided will be assessed annually. The costs associated with the maintenance and operation of the landscaping and ir rigation improvements including the Engineer’s Report, printing and mailing legal assessment notic es, County collection fees and legal fees and appurtenances are spread to all developed and undeveloped parcels on a pro-rata area development unit.
Equivalent Benefit Units
The single family detached residential property type has been selected as the basic unit for calculation of special taxes and is defined as one Equivalent Benefit Unit (EBU) as this is common practice in developing special tax methodologies.
Every land-use is converted to EBU's. Government-o wned parcels are assigned EBU's based on lot size.
Undeveloped parcels are assigned EBU’s based on lot size unless a final map showing the approved number of residential units for the parcel has been approved, in which Since the average single family lot is .12 acres, the conversion factor for the parcels is 8.33 EBU per acre.
The EBU method is seen as the most appropriate and equitable method of spread of benefit to each parcel from the improvements since it is based on land-use type and parcel size. A methodology has been developed to calculate the EBU's for non-residentia l parcels. Property within the District is assigne d to one of the following categories and assigned EBU’s as follows:
Single Family Residential (SFR). Parcels zoned, or approved for single family deta ched home residential uses are assigned 1 EBU per dwelling unit, including vacant parcels.
Government Owned (GOV). Parcels owned by a government entity, such as pub lic schools and utilities, area assessed in the same manner as privately owned parcels. In converting government owned properties to EBU's, the EBU Factor used is equal t o the residential dwelling unit density 8.33 dwelli ng units per acre.
Undeveloped/Vacant (GOV). For parcels that are undeveloped or vacant, are a ssigned EBU’s based on lot size at a rate of 8.33 equivalent benefit units per acre unless a final map with lots approved for single family residential units, in which case the assigne d EBU’s are equal to the number of approved single family units shown on the final map.
In the case of APN 153-671-010-000, assessable acreage has been reduced from 13.48 to 7.38, to exclude the open space acreage associated with this parcel. Additionally, this parcel will not be assessed for the maintenance, servicing and operation of District’s park and open space landscaping improvements.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
20 Exempt (EXE). Exempt property is determined to receive no direc t and special benefit from the District improvements and is therefore not assessed. Public Parks and Open Space parcels within the District, although not exempt under Article XIIID Section 4, will not be assessed since the landscape benefit contributed by Public Park and Open Space parcels is considered to be equal to or greater than the benefit received by the parcels from other District Improvements.
There total number of EBU for each type of District improvement is shown in Table 7 below.
Table 7: EBUs for each Improvement Type
Improvement Type EBUs
Street Landscaping 922 .58
Street Lighting 922 .58
Park and Open Space Landscaping 861 .08
Street Maintenance 922 .58
Parks and Open Spaces Landscaping
For Parks and Open Space Landscaping, the apportion ment of General versus Specific Benefit requires further consideration. As discussed in the previous section, it can be inferred that parks and open s pace landscaping provide benefits as presented in Table 8.
Table 8: Parks and Open Spaces General and Specific Benefits
Zones of Benefit. Two special benefit zones have been identified for each Park District: Zone A – parcels located in the district and within half a mile of the park, and Zone B – parcels located outside of the district and within half a mile of the park. Appendix C contains a map of the benefit zones.
Benefit General
1 The general public and parcels located
beyond the half mile benefit area of the
park receive a benefit from use of the park.
Percentage 25%
Benefit Special
(Benefit to Property)
1 All parcels within the District receive a
special benefit from being able to develop
due to meeting the condition of
development.
1 2 Parcels located within half a mile receive a
special benefit due to proximity and access
to the park.
1 TOTAL 2
Percentage 75%
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
21 Benefit Factor. Zone A: Parcels located in the district and within half a mile of the park receive benefits #1, and #2 as listed above, and have a benefit factor of 100% (2 out of 2 special benefits). Zone B: Parcels located outside of the district and within a half m ile of the park receive benefit #2 as listed above, and have a benefit factor of 50% (1 out of 2 special be nefits). Note that Zone B must be funded by a sour ce other than the assessment.
Proportional Benefit Unit. A Proportional Benefit Unit is created by applying the appropriate benefit factor to the number of parcels in each benefit zon e. Funding for the General Benefit proportion (25%) must be provided by a source other than the assessm ent. The Benefit Zone A proportion (47%) can be applied to the EBUs identified within the District. Benefit Zone B proportion (28%) must be provided by a source other than the assessment. Assessment totals for General and Specific Benefit proportion are summarized in Table 9.
Table 9: Assessment Totals based on Special and General Benefit Units
As previously discussed, funding for the General Be nefit portion must be from a funding source outside of the assessment. The City’s general fund will pr ovide funding in the amount of $130,617. The proportion of the assessment attributable to Benefi t Zone A of $115,830 will be distributed across the Total Equivalent Benefit Units identified for the District.
Assessments
The maximum assessment rate is subject to annual escalation to account for inflation.
Annual Inflation Factor
The maximum annual assessment rate will increase each year at a rate equal to the greater of 3% or the annual change in the Consumer Price Index, All Urban Consumers, for the San Francisco-Oakland-Hayward area, measured from April to April. The actual ass essments levied in any fiscal year will be as appro ved by the City Council and may not exceed the maximum annual assessment rate without receiving property owner approval for the increase pursuant to Article XIII D of the California State Constitution. For FY 2026- 27, the CPI increase is 3.8%, therefore the annual inflation factor to be applied to the maximum assessment rate is 3.8%.
Parks & Open Space Landscaping
Gross Assessment $240,250
General Benefit 25%* $60,063
Specific Benefit 75% $180,188
Zone A 47% $112,918
Zone B 28%* $67,270
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
22 Maximum Assessment Rate
The maximum assessment rate for Fiscal Year 2026-27 equals:
FY 2026-27 Maximum Assessment Rate = FY 2025-2026 Maximum Assessment Rate x Annual Inflation Factor FY 2026-27 Maximum Assessment Rate = $1,433.10 per EBU x 1.038 = $1,487.55 per EBU Annual Assessment Rate
For each Benefit Zone, the assessment rate required such improvement type is calculated as follows:
Assessment Rate = Balance to Levy ÷ Total Equivalent Benefit Units For the District, the assessment rate required is c alculated by adding the assessment rates of the fou r Benefit Zones:
Fiscal Year 2026-27 Assessments
The Fiscal Year 2026-27 assessment rate is equal to 43% of the maximum assessment rate.
Street
Landscaping
Street
Lighting
Parks &
Open Space
Landscaping
Street
Maintenance
City Admin
Fee District Total
Gross Assessment $300,762 $227,931 $240,250 $174,020 $52 ,274 $995,237 General Fund Contribution $0 $0 $127,333 $0 $0 $127,333 Total Assessment $157,917 $55,742 $148,137 $213,327 $8,5 50 $583,673 Total EBUs 921.66 921.66 860.16 921.66 921.66
Rate per EBU $171.34 $60.48 $172.22 $231.46 $10.00 $645.50 Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
23 PART VI – ASSESSMENT DIAGRAM
The District assessment diagram is on file with the City’s Office of the City Clerk and is available for public inspection.
The lines and dimensions of each lot or parcel with in the District are those lines and dimensions show n on the maps of the Assessor of the County of Monter ey for the fiscal year to which this Report applies .
The Assessor's maps and records are incorporated by reference herein and made part of this Report.
Monte Bella Maintenance District Boundaries
A reduced copy of the Assessment Diagram is provided as Appendix B.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
24 PART VII – ASSESSMENT ROLL
The assessment set forth for each parcel is shown on the Assessment Roll for the District provided on the following pages and submitted separately, as "Asses sment Roll for City of Salinas, Monte Bella Maintenance District, Fiscal Year 2026-27”, which i s provided under separate cover, and is on file in the Office of the City Clerk.
The Assessment Roll, shown in Appendix D, lists all assessed parcels within the boundaries of the District.
A list of names and addresses of the owners of all parcels within this District is shown on the last equalized Property Tax Roll of the Assessor of the County of Monterey, which by reference is hereby made a part of this report. This list is keyed to the Assessor's Parcel Numbers as shown on the Assessment Roll on file in the office of the City Clerk of the City of Salinas.
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
25 APPENDIX A – PLANNED CAPITAL IMPROVEMENTS
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2023-24
26 APPENDIX B – DISTRICT BOUNDARY
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
27 APPENDIX C – PARK SERVICE AREA
Service Area (Half-mile)
Note:
1. Service Area does not include undeveloped or agricu ltural areas outside the District boundary or Alisa l High School.
Benefit Zone B
Benefit Zone A
Engineer’s Report
Monte Bella Maintenance District
City of Salinas
Fiscal Year 2026-27
28 APPENDIX D – ASSESSMENT ROLL
The Assessment Roll is shown on the following pages.