Agenda Item: 7
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
CITY MANAGER APPROVAL:
DATE: December 9, 2025
SUBJECT: LANDSCAPE AND LIGHTING DISTRICT ANNEXATION L-101
RESOLUTIONS OF INTENT AND INITIATING PROCEEDINGS
DEPARTMENT: Administrative Services
PRESENTER: Andrew Adams
RECOMMENDED ACTION
City Council:
1. Adopt a resolution to approve the Engineer’s Report declaring its intention to annex parcels, including Riverview Community (Master Case 21-205); River Walk Mixed Use (Master Case No. 25-008); Sierra West Senior Living Facility (Master Case 18-235); Newhall Avenue McDonalds (Master Case 22-244); and various other parcels into the Santa Clarita Landscape and Lighting District (LLD), Streetlight Maintenance District Zone B.
2. Adopt a resolution to initiate proceedings, make certain designations in connection with the annexation of parcels into the LLD, and to levy assessments beginning in Fiscal Year 2026-27.
3. Set a public hearing for February 24, 2026, at a time and place to hear comments on this proposed action, and close the time period to receive ballots.
BACKGROUND
The action before the City Council is the initiation of proceedings for Santa Clarita Landscaping and Lighting District (LLD) Annexation No. 2025-1 (SMD Annexation L-101). This action includes approving the draft Engineer’s Report (ER) for the purpose of annexing specific parcels into Street Lighting Zone B of the City of Santa Clarita’s (City) LLD, established under Part 2, Division 15 of the California Streets and Highways Code, the Landscaping and Lighting Act of 1972 (1972 Act), and Article XIIID of the California Constitution (Proposition 218).
The Santa Clarita LLD consists of Street Lighting Zones A and B and numerous Landscaping Zones. Pursuant to Chapter 2, Article 2 of the 1972 Act, the City Council may annex territory
and levy assessments for the maintenance, operation, and administration of the District. Section 22608 of the 1972 Act provides that annexation proceedings, including resolutions, reports, notices, and protest rights, apply only to the territory proposed for annexation.
The SMD Annexation L-101 encompasses approximately 81.914 acres, consisting of 14 planned developments, each tied to a specific Master Case entitlement. Certain parcels currently within Street Lighting Zone A are being transferred to Zone B, while all remaining identified parcels— currently outside any lighting district—will be annexed directly into Zone B. The parcels proposed for transfer include APNs: 2803-010-033; 2831-007-001; 2831-012-041; 2831-012- 022; 2831-012-023; 2831-012-024; 2831-012-027; 2836-011-018; 2844-001-032; 2844-001-034; 2844-001-046; 2849-024-019; and 2849-024-029.
The draft ER establishes maximum annual assessments for each parcel, to be levied beginning in Fiscal Year (FY) 2026–27, based on the proportional special benefits received from the City’s maintenance and operation of public streetlighting improvements within Zone B. These improvements include the operation, maintenance, and servicing of approximately 18,750 streetlights, 17,791 of which were transferred to City ownership following the 2018 CPUC- approved acquisition from Southern California Edison.
The SMD Annexation L-101 includes MC Developments
• MC 18-235: Sierra West Senior Living Facility
• MC 25-008: River Walk Mixed Use
• MC 21-165: Single-Family Residence, Atwood Boulevard
• MC 21-205: Riverview Community
• MC 21-238: Garden Terrace Restaurant, Lyons Avenue and Main Street • MC 21-239: Commercial Expansion, Walnut Street
• MC 22-004: Starbucks Drive-Thru, McBean Parkway
• MC 22-026: Commercial Building, Pine Street
• MC 22-034: Jack in the Box Remodel, Crossglade Avenue • MC 22-244: McDonald’s, Newhall Avenue
• MC 23-027: School District Facility, Ruether Avenue
• MC 24-117: Car Wash, Center Pointe Parkway
• MC 24-212: Automated Car Wash, Valley Center Drive
• MC 25-089: Hartwell Mixed Use
Streetlighting Improvements and Benefits
Streetlighting improvements funded through Zone B include:
• Installation, operation, maintenance, and servicing of streetlights, traffic signals, and appurtenant facilities within City rights-of-way.
• Energy costs for streetlight operation.
• Debt service on bonds issued for the acquisition and conversion of streetlights.
Streetlighting provides a distinct special benefit by enhancing nighttime visibility, improving vehicular and pedestrian safety, reducing property-related crimes, and supporting commercial viability and residential livability for nearby parcels. The general benefit portion of the
streetlighting system is estimated at 14.5 percent, which is not assessed to parcels but covered by other City funds.
Method of Assessment
Assessments are based on proportional special benefits, consistent with the 1972 Act and Proposition 218. The Equivalent Benefit Unit (EBU) methodology is used to assign proportional benefit values to residential and non-residential parcels, considering factors such as People Use, Intensity, and Security Benefit. Residential parcels are benchmarked to a single-family unit (1 EBU), with multi-family or commercial parcels weighted proportionally.
Proposition 218 Ballot Proceedings
Upon approval of the Resolution of Intention and the draft ER, the City will initiate the Proposition 218 ballot process. Ballots will be mailed to affected property owners at least 45 days prior to the public hearing. A public hearing is scheduled for February 24, 2026, where the City Council will consider testimony, written protests, and weighted ballot results. If a majority protest exists, the annexation cannot proceed. If no majority protest exists, the Council may confirm the annexation and assessments, which will apply beginning FY 2026–27.
ALTERNATIVE ACTION
Other direction as determined by the City Council.
FISCAL IMPACT
Costs associated with preparation of the Engineer’s Report and balloting process are $10,000 and will be borne by the applicants conditioned to annex into the LLD.
ATTACHMENTS
SMD Annexation L101 - Resolution of Initiation
SMD Annexation L101 - Resolution of Intent
SMD Annexation No. 2025-1 Engineer's Report (available in the City Clerk's Reading File)