Agenda Item: 1
CITY OF SANTA CLARITA
AGENDA REPORT
SPECIAL MEETING ITEMS
CITY MANAGER APPROVAL:
DATE: July 12, 2022
SUBJECT: REVISED TESORO DEL VALLE PROPERTY TAX TRANSFER
RESOLUTION
DEPARTMENT: Community Development
PRESENTER: Patrick Leclair
RECOMMENDED ACTION
City Council adopt a joint resolution revising the exchange of property tax revenue for the proposed Tesoro Del Valle Annexation Area.
BACKGROUND
On November 12, 2019, the City Council adopted Resolution No. 19-57 (attached) to initiate annexation proceedings for the Tesoro del Valle Annexation Area with the Local Agency Formation Commission (LAFCO). The application was submitted to LAFCO on January 28, 2020.
Following the submission of the application to LAFCO, a joint resolution was drafted by the County of Los Angeles (County) to provide for a transfer of property tax revenue from the County to the City of Santa Clarita (City) adopted by the City on July 14, 2020. Upon review of the joint resolution, it was identified that approximately 21 parcels included in the Tesoro del Valle Annexation boundary were omitted from the joint resolution. The County has prepared a revised joint resolution to include all omitted parcels.
JOINT RESOLUTION
The revised joint resolution would provide for the transfer of property tax revenue from the County to the City in the amount of $376,681 identified for the General Fund, and $198,529 identified for the Public Library Fund. For each fiscal year thereafter, the proposed joint resolution provides for the transfer of specified ratios of annual property tax increment attributable to each of the respective tax rate areas.
In addition, the County has included additional information in the joint resolution that addresses
the transfer of certain infrastructure and responsibilities to the City upon annexation. The responsibilities discussed in this joint resolution include the transfer of: flood plain responsibilities; watershed management; special districts; roadway maintenance responsibilities; zoning and implementation responsibilities related to the entitled Tesoro Highlands project; 820 above moderate income units for the Regional Housing Needs Assessment (RHNA) allocation for the Tesoro Highlands project; and clarifying plan check responsibilities for the Tesoro Highlands project.
Additional items that will be addressed by later Council action include the transfer of the Historic Tesoro Adobe Park to the City and the handling of solid waste franchise rights upon annexation.
Upon approval of this matter by the City Council, the Los Angeles County Board of Supervisors will schedule a hearing to consider the joint resolution. Subsequent steps for the Tesoro del Valle Annexation call for up to two LAFCO hearings prior to completion of this annexation. The first is a general public hearing anticipated for September 2022, followed by a “protest hearing” in November 2022 should it be necessary. This annexation is anticipated to be complete by the end of November 2022.
ALTERNATIVE ACTION
Other actions as determined by the City Council.
FISCAL IMPACT
The service expenditures related to this annexation are offset by the revenue to be collected from within the annexation area. This annexation is fiscally neutral and will not have a negative impact on the City of Santa Clarita.
ATTACHMENTS
Revised Joint Tax Transfer Resolution
Tesoro del Valle Annexation Boundary Map
Resolution 19-57