AGENDA
Meeting of the
Scotts Valley City Council
In-Person and Remote Access
Date: September 3, 2025
Time: 6:00 PM
CONTACT
INFORMATION
MEETING LOCATION POSTING
City of Scotts Valley
1 Civic Center Drive
Scotts Valley, CA 95066
(831) 440-5600
City Council Chambers
1 Civic Center Drive
Scotts Valley, CA 95066
OR
Zoom Video Conference
https://us02web.zoom.us/j/83295730901
Agenda posted on 8-29-
2025 at City Hall, SV
Senior Center, SV Public
Works Building, and on the
Internet
at: www.scottsvalley.gov
ELECTED OFFICIALS CITY STAFF MEMBERS
Derek Timm, Mayor
Allan Timms, Vice Mayor
Steve Clark, Council Member
Krista Jett, Council Member
Donna Lind, Council Member
Mali LaGoe, City Manager
Kirsten Powell, City Attorney
Rodolfo Onchi, Public Works Director
Stephanie Hill, Administrative Services Director
Cathie Simonovich, City Clerk
MEETING NOTICE AND AGENDA PACKET MATERIALS
Notice regarding City Council Meetings:
The City Council meets regularly on the 1st and 3rd Wednesday of each month at 6:00 PM in the City Hall Council Chambers located at 1 Civic Center Drive, Scotts Valley, CA 95066, and via Zoom Webinar remote access.
Agenda and Agenda Packet Materials:
The City Council agenda and the complete agenda packet are available for review by 5:00 PM the Friday before the Wednesday meeting on the Internet at the City’s website:
www.scottsvalley.gov and in the lobby of City Hall at 1 Civic Center Drive, Scotts Valley, CA.
Pursuant to Government Code §54957.5, materials related to an agenda item, submitted after distribution of the agenda packet, are available for public inspection in the lobby of City Hall during normal business hours, Monday-Friday, 8am-12 pm and 1-5 pm. In accordance with AB 1344, such documents will be posted on the City’s website at www.scottsvalley.gov.
Public Participation:
The meeting will be available on Zoom and livestreamed to the City of Scotts Valley’s YouTube channel: https://www.youtube.com/@cityofscottsvalley
For those wishing to participate via Zoom you can join the following ways:
Zoom Webinar meeting link: https://us02web.zoom.us/j/83295730901 Or dial one of these numbers: (669) 900-9128 or (669) 444-9171 Webinar ID: 832 9573 0901
City Council Meeting Agenda Page 2
Date: September 3, 2025
Whether attendance is in-person or remote, you will be given opportunities to provide public comment at the appropriate times throughout the meeting. The time limit is up to 3 minutes for an individual, or 5 minutes for someone who is representing a group of three or more, at the discretion of the Mayor. Please note that this is not a question-and-answer time, but simply a time to provide comments to the Council. At the appropriate times during the meeting for public comment, on items not on the agenda, and on specific agenda items, the Mayor will announce that public comment will be accepted.
How to comment via in-person attendance:
Please proceed to the public comment podium when the Mayor opens the item for public comment.
How to comment via Zoom Webinar:
Use the webinar attendee option to “raise hand” when the Mayor opens the item for public comment. The Clerk will unmute you when it is your turn. If you have joined via Zoom phone call, dial *9 or your phone to “raise your hand”, and the Clerk will unmute you when it is your turn.
CALL TO ORDER 6:00 PM
PLEDGE OF ALLEGIANCE and MOMENT OF SILENCE
ROLL CALL
SPECIAL SET MATTER
1. Mayor's Proclamation honoring Jacob's Heart Children's Cancer Support Services and declaring September 2025 as Childhood Cancer Awareness Month
2. O'Neill Sea Odyssey presentation
COMMITTEE REPORTS
Council members are appointed to committees which are either City committees or committees dealing with other jurisdictions. This portion of the agenda allows the committee member to present oral or written reports to the Council regarding their committee assignments. It also allows the Council to make comments and give the committee member direction, as required.
CITY MANAGER REPORT
PUBLIC COMMENT TIME
City Council Meeting Agenda Page 3
Date: September 3, 2025
This is the opportunity for individuals attending in person to make oral comments to the Council on any items within the purview of the Council, which are NOT part of the Agenda. No action on the item may be taken, but the Council may request the matter be placed on a future agenda. Written public comment may be emailed to the City Clerk by 5:00 PM on the day of the meeting at [email protected].
ALTERATIONS TO CONSENT AGENDA
Council can remove or add items to the Consent Agenda.
CONSENT AGENDA
The Consent Agenda is comprised of items which are intended to be non-controversial and are approved without discussion. Persons wishing to speak on any item may request the item be moved to the Regular Agenda by raising their hand to be recognized by the Mayor. An item will only be moved from the Consent Agenda to the Regular Agenda if a City Council Member requests it to be moved and a majority of the Council agrees.
1. Approve City Council minutes of 08-06-2025 (amended) and City Council minutes of 08-20-2025
2. Approve check register dated 08-14-2025 through 08-29-2025
3. Consideration of Sanitary Sewer Connection Request: APN 067-561-07, Miraflores Road
4. Mayor's Proclamation for September 9, 2025, as California's 175th anniversary of statehood
ALTERATIONS TO REGULAR AGENDA
Council can remove or add items to the Regular Agenda.
REGULAR AGENDA
Persons wishing to speak on any item may do so by raising their hand to be recognized by the Mayor.
1. Resolution Granting Consent to Santa Cruz County to Form the Santa Cruz Mountains Wine Improvement District
2. Future Council Agenda Items
CONVENE TO CLOSED SESSION
CLOSED SESSION SUBJECT(S)
City Council Meeting Agenda Page 4
Date: September 3, 2025
1. Conference with legal counsel regarding liability claim Legal Authority: Government Code Section 54956.9
Name of Case: Stribling Claim
Staff Present: City Manager, City Attorney, Public Works Director
2. Conference with Legal Counsel - Existing Litigation
Legal Authority: Government Code Section 54956.9
Number of Cases: 1 Case
Name of Case: Service Employees International Union Local 521 v. City of Scotts Valley, Unfair Practice Case No. SF-CE-2172-M
Staff Present: City Manager, City Attorney, Administrative Services Director
RECONVENE TO OPEN SESSION
REPORT ON ACTION TAKEN DURING CLOSED SESSION
ADJOURNMENT
ADA NOTICE
The City of Scotts Valley does not discriminate against persons with disabilities. The City Council Chambers is an accessible facility. If you wish to attend a City Council meeting and require assistance such as sign language, a translator, or other special assistance or devices in order to attend and participate at the meeting, please call the City Clerk's office at (831) 440-5600 five to seven days in advance of the meeting to make arrangements for assistance. If you require the agenda of a City Council meeting be available in an alternative format consistent with a specific disability, please call the City Clerk’s Office. The California State Relay Service (TTY/VCO/HCO to Voice: English 1-800-735-2929, Spanish 1-800-855-3000; or, Voice to TTY/VCO/HCO: English 1-800-735-2922, Spanish 1-800-855-3000), provides Telecommunications Devices for the Deaf and Disabled and will provide a link between the TDD caller and users of telephone equipment.
City Council Meeting Agenda Page 5
Date: September 3, 2025
PROCEDURAL INFORMATION FOR THE PUBLIC
THE FOLLOWING IS THE PROCEDURE COUNCIL SHOULD TAKE IN
APPROVAL OF A RESOLUTION:
1. Move the Resolution number for approval.
2. Second the motion.
3. Vote by body, a roll call vote is not required.
THE FOLLOWING IS THE PROCEDURE COUNCIL SHOULD TAKE IN
INTRODUCTION/ADOPTION OF AN ORDINANCE:
1. Move the Ordinance number for introduction (or adoption).
2. Move the Ordinance be introduced by title only and waive the reading of the text.
3. Read the Ordinance title.
4. Second the motion.
5. Vote by body, a roll call vote is not required.
THE FOLLOWING IS THE PROCEDURE COUNCIL SHOULD TAKE IN
PUBLIC COMMENT/PUBLIC HEARINGS:
Unless otherwise determined by the presiding officer of the meeting:
1. Three minutes allowed per individual to speak.
2. Five minutes allowed per individual representing a group of three or more. ❖❖❖❖❖❖❖❖
The City of Scotts Valley does not discriminate against persons with disabilities. The City Council Chambers is an accessible facility. If you wish to attend a City Council meeting and require assistance such as sign language, a translator, or other special assistance or devices in order to attend and participate at the meeting, please call the City Clerk's office at (831) 440-5602 five to seven days in advance of the meeting to make arrangements for assistance. If you require the agenda of a City Council meeting be available in an alternative format consistent with a specific disability, please call the City Clerk’s Office. The California State Relay Service (TTY/VCO/HCO to Voice: English 1-800-735-2929, Spanish 1-800-855-3000; Voice to TTY/VCO/HCO: English 1- 800-735-2922, Spanish 1-800-855-3000; or, from or to Speech-to-Speech, English & Spanish 1- 800-854-7787), provides Telecommunications Devices for the Deaf and Disabled and will provide a link between the TDD caller and users of telephone equipment.
MINUTES
Meeting of the
Scotts Valley City Council
Date: August 6, 2025
Time: 6:00 PM
CONTACT
INFORMATION
MEETING LOCATION POSTING
City of Scotts Valley City Council Chambers The agenda was posted 1 Civic Center Drive 1 Civic Center Drive on 8-1-2025at City Hall, Scotts Valley, CA Scotts Valley, CA 95066 SV Senior Center, SV 95066 OR Public Works Building,
(831) 440-5600 Zoom Video Conference and on the Internet https://us02web.zoom.us/j/83295730901 at www.scottsvalley.gov.
CALL TO ORDER 6:00 PM
The City Council meeting was called to order at 6:00 PM.
1. Mayor's Proclamation honoring Andrew Kim for his Eagle Scout Service Project
Mayor Timm presented the proclamation to Andrew Kim for his recent Eagle Scout Service Project.
PLEDGE OF ALLEGIANCE and MOMENT OF SILENCE
ROLL CALL
CITY STAFF MEMBERS PRESENT:
Mali LaGoe, City Manager
Kirsten Powell, City Attorney
Rodolfo Onchi, Public Works Director
Steve Walpole, Police Chief
Taylor Bateman, Community Development
Director
Stephanie Hill, Administrative Services Director
Cathie Simonovich, City Clerk
ELECTED OFFICIALS
PRESENT:
Derek Timm, Mayor
Allan Timms, Vice Mayor
Steve Clark, Council Member
Krista Jett, Council Member
Donna Lind, Council Member
SPECIAL SET MATTER
City Council Meeting Minutes
Date: August 6, 2025
CM Lind attended the Library Financing Authority meeting where they approved the fifth amendment to the Joint Powers Authority Agreement and approved the 2025- 2026 budget.
CM Lind attended wrap-up meetings for the Criminal Justice Council (CJC) and noted that the County will host the website going forward, and the funds have been distributed to the contributing agencies. CM Lind thanked the County Superintendent of Schools, Faris Sabah, for creating and maintaining the website for the CJC.
CM Lind attended a meeting of the Santa Cruz Metropolitan Transit District (METRO) where a proclamation was issued honoring Mike Rotkin's 46 years of service, and they adopted the 2025-2026 budget. CM Lind noted that there is a GoFundMe page to raise funds for community benches.
CM Lind attended the ribbon-cutting ceremony for the Chanticleer pedestrian/bike bridge, also known as the Whale Bridge. She thanked CM Clark and all those who made the bridge possible.
CM Lind attended the annual National Night Out and thanked the Police Department for this successful community event.
CM Jett attended a Town Center Subcommittee meeting where they discussed the physical road map, including streets and bike lanes.
CM Clark attended the ribbon-cutting ceremony for the Chanticleer pedestrian/bike bridge and had good conversations with representatives from the California Transportation Commission (CTC).
CM Clark attended a Regional Transit Commission (RTC) Executive Board meeting where they toured the branch rail/trail line with Executive Director Sarah Christensen.
CM Clark attended an ad hoc meeting of the RTC regarding the mobile home encroachments along the rail/trail line, between 17th Avenue and 41st Avenue.
CM Clark attended the Chamber of Commerce's Economic Development Committee meeting, and he continues to have conversations with the Chamber Board Members regarding the collaboration between the City and the Chamber as they embark on the recruitment of a new Executive Director.
CM Clark met with former Mayor Johnson to discuss possibilities for a beautification project along Scotts Valley Drive.
CM Clark continues to work with Scotts Valley businesses on the implementation of the Measure X business license tax restructuring.
COMMITTEE REPORTS
City Council Meeting Minutes
Date: August 6, 2025
Mayor Timm attended the Visit Santa Cruz County (VSCC) board meeting. This seat will likely rotate to Capitola at the City Selection meeting scheduled for next week. The VSCC offices will be moving from Water Street to the Museum of Art and History (MAH). The board discussed visitorship, and Mayor Timm noted that tourism has been relatively flat.
Mayor Timm noted that there will be a press conference on August 12 to thank Congressional Representative Panetta for assisting the City in securing $1M in federal funds for the purchase of the Town Center parcels.
Scotts Valley Police Department (SVPD) Events:
• The SVPD, along with neighboring agencies, conducted the Badges Traffic Safety Program on August 6 from 7:00 AM to 2:00 PM and issued 37 citations. • Operation Safe Passage will be in effect on the first day of school, August 7. • National Night Out, held on August 5, was a success.
• The Police Department also successfully led two sessions of the Junior Police Academy for middle school students over the summer.
Tradewinds Church Volunteer Workday: City Manager LaGoe gave a huge thank you to the volunteers from Tradewinds Church for their hard work on various maintenance projects at MacDorsa Park.
Infrastructure and Public Works Updates:
• The City of Santa Cruz and the Scotts Valley Water District Intertie Project are continuing the pavement work on La Madrona Drive. Saturday work has been approved and will continue throughout August.
• Staff is finalizing a recommendation to the City Council for the update to the Al Shugart Park Design and Construction Management Contract Award.
Recreation Department Events: City Manager LaGoe thanked the Maintenance Department, the Police Department, and the Recreation Department for the successful July 4th Parade which had a well-attended Kids Zone, and a successful Family Fun Day on July 19.
Basketball and Pickleball/Tennis Court Resurfacing Project: The contractor has completed the basketball courts and will move on to the Pickleball/Tennis courts.
CITY MANAGER REPORT
City Council Meeting Minutes
Date: August 6, 2025
Citywide Pavement Maintenance Project (PMP): This project is scheduled to begin on August 18 and will run through October.
Cal Recycle Grant: City Manager LaGoe congratulated the Public Works Department for securing an $85K grant from Cal Recycle to purchase recycling bins and install water bottle filling stations with drinking fountains throughout the City.
Strategic Plan 2024-2025: The final report for the 2024-2025 Strategic Plan is posted to the City's website and was sent out in the newsletter. 4575 SV Drive Project: The fencing is up around the old Seagate building at the corner of Scotts Valley Drive and Civic Center Drive. Construction on a new affordable housing project is expected to start later this week. The building will be demolished and new buildings constructed.
Town Center Environmental Impact Report and the Specific Plan: These reports are moving forward and there have been lots of long meetings reviewing documents with our consultants. City Manager LaGoe expressed her appreciation to the Water District for their input.
Press Conference: The City will be holding a press conference on August 12 at 2:00 PM to thank Congressional Representative Jimmy Panetta for his support in securing the $1M federal grant used to assist with the purchase of the Town Center parcels from the City of Santa Cruz.
Staffing Update: The City is excited to welcome a new Senior Planner, a New Senior Public Works Analyst, and a new Senior Wastewater Operator all within the next few weeks.
Reminders:
• Subscribe to the City's newsletter.
• Follow the City on social media.
Paul Chapin and Cynthia Dzendzel spoke in favor of a roof over the Bocce Ball Courts at Skypark.
Nick Drobac, Darvin Awe, Jackie Signor and Mark Dettle spoke in favor of permanently striping the 3rd tennis court with pickleball lines as part of the current resurfacing project.
Matthew Hakimi and Heather Lewis Sebring spoke in opposition to additional
PUBLIC COMMENT TIME
City Council Meeting Minutes
Date: August 6, 2025
permanent pickleball courts.
Mayor Timm noted that the Joint City/School District Committee plans to discuss the topic of using school facilities during non-school hours to provide more opportunities for pickleball and other sports. He also noted that the Parks and Recreation Commission has been discussing this issue, and this will be explored when the Skypark Master Plan is drafted.
City Manager LaGoe added that we received a lot of feedback on this topic through the recent development of the Citywide Parks Master Plan. The next step will be parkspecific plans, starting with a Skypark Master Plan. During this process there will be opportunities for the public to participate.
M/S: Lind/Clark
To approve the Consent Agenda with no alterations.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
1. Approve City Council minutes of 06-18-2025
2. Approve check register dated 06-14-2025 through 08-01-2025
3. Ratify appointment of Scotts Valley Senior Center Advisory Commission Member
4. Approve Professional Services Agreement with Environmental Innovations
5. Investment Report for the Quarter Ended June 30, 2025
6. Approve Fifth Amendment to the Joint Exercise of Powers Agreement Establishing the Santa Cruz County Library Financing Authority, and take related actions
1. Public Hearing for Pinewood Estates Landscape Maintenance Assessment District; Resolution No. 1213.39.2
Public Works Director Onchi presented this item and responded to questions from the Council and the public.
Mayor Timm opened the public hearing at 6:45 PM.
ALTERATIONS TO CONSENT AGENDA
CONSENT AGENDA
PUBLIC HEARINGS
City Council Meeting Minutes
Date: August 6, 2025
Vin Sion, a resident of Pinewood Estates, questioned whether all the landscaping tasks were being completed regularly and suggested that the assessment may need to be raised.
Mayor Timm closed the public hearing at 6:53 PM.
The Council directed staff to explore the process for increasing the assessment.
M/S: Clark/Lind
To approve Resolution No. 1213.39.2 ordering and authorizing the levy and collection of assessments therein pursuant to the Landscaping and Lighting Act of 1972 for the Pinewood Estates Landscaping Maintenance District.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
2. Public Hearing for Skypark Open Space Maintenance Assessment District No. 1; Resolution No. 1555.SP.37.2
Public Works Director Onchi presented this item and responded to questions from the Council and the public.
Mayor Timm opened the public hearing at 7:01 PM.
Heather Lewis Sebring, a Skypark resident, spoke regarding increasing the assessment.
Matthew Hakimi, a Skypark resident, urged the Council to pay attention to the ecological concerns throughout Skypark when instructing the landscape contractor to perform the maintenance.
Gillian McGlaze, a Skypark resident, expressed disappointment that the agreement with the current landscape vendor has been renewed. Ms. McGlaze is also concerned that the residents are paying to subsidize the maintenance on the linear trail when it is used by not just Skypark residents but the public as well. Ms. McGlaze further noted that there has been no contribution to the slope insurance in recent years, the documents indicate that lighting is paid with the assessment funds, and the overhead costs on the Engineer’s report are inconsistent.
Mayor Timm closed the public hearing at 7:09 PM.
The Council directed staff to work with the residents regarding potentially increasing the assessment. Council further directed staff to evaluate the actual costs to perform the maintenance, and to work towards addressing the concerns expressed by the residents.
M/S: Lind/Jett
To adopt Resolution No. 1555-SP-37.2 ordering and authorizing the levy and collection of assessments therein pursuant to the Landscaping and Lighting Act of 1972 for the Skypark Open Space Maintenance District.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
City Council Meeting Minutes
Date: August 6, 2025
M/S: Lind/Timms
To approve the Regular Agenda with no alterations.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
1. Letter to Governor Newsom requesting submission of a petition to the Environmental Protection Agency (EPA) regarding microplastics M/S: Lind/Timms
To authorize Mayor Timm to sign the letter and submit it to Governor Newsom.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
2. Future Council Agenda Items
None.
The meeting adjourned at 7:23 PM.
Attest:
Cathie Simonovich, City Clerk
Approved:
Derek Timm, Mayor
ADJOURNMENT
ALTERATIONS TO REGULAR AGENDA
REGULAR AGENDA
PLEDGE OF ALLEGIANCE and MOMENT OF SILENCE
ROLL CALL
CITY STAFF MEMBERS PRESENT:
Mali LaGoe, City Manager
Kirsten Powell, City Attorney
Steve Walpole, Police Chief
Rodolfo Onchi, Public Works Director
Taylor Bateman, Community Development
Director
Stephanie Hill, Administrative Services Director
Susie Pineda, Contract Planner
Cathie Simonovich, City Clerk
ELECTED OFFICIALS
PRESENT:
Derek Timm, Mayor
Allan Timms, Vice Mayor
Steve Clark, Council Member
Krista Jett, Council Member
Donna Lind, Council Member
SPECIAL SET MATTER
MINUTES
Meeting of the
Scotts Valley City Council
Date: August 20, 2025
Time: 6:00 PM
CONTACT
INFORMATION
MEETING LOCATION POSTING
City of Scotts Valley City Council Chambers The agenda was posted 1 Civic Center Drive 1 Civic Center Drive on 8-15-2025 at City Scotts Valley, CA Scotts Valley, CA 95066 Hall, SV Senior Center, 95066 OR SV Public Works Building,
(831) 440-5600 Zoom Video Conference and on the Internet https://us02web.zoom.us/j/83295730901 at www.scottsvalley.gov.
CALL TO ORDER 6:00 PM
The City Council meeting was called to order at 6:00 PM.
1. Promotion Ceremony of Explorer Sergeant and Swearing In Ceremony of Police Explorers
City Council Meeting Minutes
Date: August 20, 2025
COMMITTEE REPORTS
Police Chief Walpole performed the swearing-in ceremony for the Police Explorers Matthew Furuhjelm, Maya Samper Paton, and Skylar Ludlow; and the promotion ceremony for Jacob Brazil to Explorer Sergeant.
2. Central Coast Community Energy (3CE) annual presentation Das Williams, Senior Advisor for Policy and Legislative Affairs for Central Coast Community Energy (3CE), presented the 3CE annual update.
CM Clark attended the Regional Transportation Commission (RTC) meeting where the Commission tabled the Zero Emissions Passenger Rail Trail discussion of the special project concept report until December. Additionally, the Commission directed staff to work with the City of Santa Cruz and other agencies to explore using the harbor rail bridge for temporary bicycle and pedestrian travel.
CM Clark attended the Economic Development Committee meeting where they met with the developer of a proposed hotel project in Scotts Valley. The Committee is also engaging with the Arts Commission on projects to help improve city esthetics.
CM Clark noted that approximately 20,000 people attended the Art, Wine, and Beer Festival over the weekend. He thanked everyone who volunteered at the event, including City Manager LaGoe.
CM Clark announced that the Scotts Valley Chamber of Commerce has selected a new Executive Director, and she will be formally introduced to the City Council in the near future.
CM Clark attended a Seniors Council meeting and shared the good news that funds may be restored for the Senior Companion Program and the Senior Foster Grandparent Program. The Seniors Farmers Market Nutrition Program will be distributing benefit cards at the Felton Farmers Market on September 9, the Watsonville Farmers Market on September 5, and the Live Oak Farmers Market on September 14.
VM Timms attended the Economic Development Committee meeting and noted that it was a productive meeting.
CM Lind worked as a Chamber Ambassador on the planning committee for the Art, Wine, and Beer Festival. She thanked everyone who volunteered, including City Manager LaGoe.
CM Lind represented the City at the California National Day of Prayer when the taskforce visited Scotts Valley.
Mayor Timm thanked the City staff for all the help at the Art, Wine, and Beer Festival.
City Council Meeting Minutes
Date: August 20, 2025
CITY MANAGER REPORT
He heard positive feedback from community members, with many saying that they enjoyed the new layout.
Mayor Timm attended an Association of Monterey Bay Area Governments (AMBAG) meeting, and they discussed changes at the federal level that have affected their budget. They also heard an overview of the draft 2025 Coordinated Public Transit - Human Services Transportation Plan (Coordinated Plan).
Mayor Timm attended a City Selection Committee meeting where the Councilmember Gerry Jensen from the Capitola City Council will now serve as the County representative for Visit Santa Cruz County, representing Capitola, Scotts Valley, and Watsonville.
Mayor Timm attended a Complete Streets Collaborative meeting with Public Works Director Onchi, and they discussed how to make our County more bikeable and walkable. They heard great recommendations on how to improve Scotts Valley's streets.
Mayor Timm participated in the press conference for the purpose of thanking Congressional Representative Panetta for helping Scotts Valley Secure a $1M grant for the purchase of the Town Center parcels.
Art, Wine, and Beer Festival: City Manager LaGoe thanked the staff, particularly the Maintenance staff, the Recreation staff and the Police staff, including K-9 Sam, for their hard work to make the event a success.
Skypark Fields Closed: The fields have been aerated to alleviate the soil compaction and will be closed for 2 weeks.
Mt Hermon Accident: Today at approximately 3:00 PM a semi-truck hauling debris from the 4575 Scotts Valley Drive project overturned, forcing a hard closure of both eastbound lanes on Mt. Hermon Road. Both the Public Works Department and the Police Department responded to the incident.
Pavement Repair Project: This project has begun and will cover several sections that were identified in our pavement plan as priority for resurfacing. Staff is coordinating with the contractor on inspections, traffic control, and other items to ensure that the repairs are completed with minimal disruption to residents. Regular updates are posted on social media.
Basketball and Tennis/Pickleball Resurfacing: The court resurfacing of the basketball courts at Skypark and Hocus Pocus are complete, and now the tennis and pickleball courts at Skypark will be closed until approximately September 15 for resurfacing.
Skypark Big Kids Playground: The final design for the Skypark Big Kids Playground
City Council Meeting Minutes
Date: August 20, 2025
PUBLIC COMMENT TIME
will be presented to the Parks and Recreation Commission on August 21. The next step will be to bring a contract to City Council for approval, with the goal of starting construction later this fall.
Water District Intertie Project: The Saturday work that was reported at the last meeting has been delayed until this Saturday, August 23. Traffic controls will be in place on La Madrona between 9:00 AM and 4:00 PM.
United States Senator Alex Padilla: City Manager LaGoe met with Senator Padilla's field representative to discuss priorities for Scotts Valley and how the Senator's office can assist with those priorities.
Central Coast Community (3CE) Operations Board: City Manager LaGoe attended the 3CE Operations Board meeting last week.
Residence Inn: Staff continues to meet with the Marriott Residence Inn developer to finalize design and permits with the goal of breaking ground on the project this fall.
Town Center: The Town Center subcommittee continues to work on the Environmental Impact Report and the Specific Plan. City Manager LaGoe thanked everyone who attended the press conference thanking Congressional Representative Panetta for helping the City secure the $1M in grant funding to assist with the purchase of the parcels from the City of Santa Cruz.
Downtown Library Groundbreaking: City Manager LaGoe attended the groundbreaking event today to celebrate the new Santa Cruz Library. The project includes the new flagship library and approximately 124 affordable housing units.
New Senior Planner Brian Froelich: City Manager LaGoe introduced and welcomed the City's new Senior Planner, Brian Froelich.
Reminders:
• Sign up to receive the City's newsletter
• Follow the City on social media
Mayor Timm asked about the safety protocols in place for the 4575 Scotts Valley Drive project. City Manager LaGoe confirmed that staff will be following up with the developer.
VM Timms noted that the basketball courts look great.
City Council Meeting Minutes
Date: August 20, 2025
ALTERATIONS TO CONSENT AGENDA
Matthew Hakimi thanked the City Council, the City Manager, and the Police Chief for their service to the community. He requested relief from the pickleball noise.
Beth Hyytinen, a resident of Erba Lane, expressed concern about the safety measures in place surrounding the project at 4575 Scotts Valley Drive and noted that middle school students, including her grandson, were nearby when the semi-truck overturned on Mt. Hermon Road this afternoon. She requested that safety measures be put in place around the students' dismissal times.
Gillian McGlaze, a resident of Skypark, expressed concern that the minutes from the August 6 Skypark Assessment District public hearing did not indicate the directive for staff to evaluate how much it would cost to cover the maintenance district 100%. Ms.
McGlaze requested that this cost analysis be broken into two parts: 1) the maintenance and upkeep of the linear trail, and 2) the maintenance and upkeep of the greenbelts.
Ms. McGlaze also noted that the Scotts Valley Water District has a building that is adjacent to the linear trail and during wet weather the water runs off the roof and floods the linear trail. Finally, Ms. McGlaze has concerns about the pickleball courts due to noise and lack of parking.
David Alreck, a resident of Scotts Valley Drive, would like to know the safety measures surrounding the 4575 Scotts Valley Drive project. He would also like to see trafficcalming measures along Scotts Valley Drive and does not feel that the current plan of reducing lanes to increase the bike lanes is the right approach.
Mayor Timm requested that the minutes be pulled, revised (Skypark Assessment District public hearing), and brought back to the next meeting. He also requested that staff research the issue with the Scotts Valley Water District's structure that is adjacent to the linear trail. Regarding the cultural resource monitoring at 4575 Scotts Valley Drive, Director Bateman confirmed that there is a qualified archeologist overseeing the project. Finally, Mayor Timm requested that the Police Chief continue to address safety measures to protect students.
City Manager LaGoe noted that staff already started the work pursuant to the Council's directive given at the last meeting. The directive regarding the Skypark Assessment District was heard, and the research has begun.
M/S: Lind/Clark
To approve the Consent Agenda with the alteration of pulling the August 6, 2025, minutes and adding more detailed commentary regarding the direction that Council gave staff on the Skypark Assessment District public hearing agenda item. The minutes will be edited and included on the September 3, 2025, agenda.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
City Council Meeting Minutes
Date: August 20, 2025
PUBLIC HEARINGS
1. Approve City Council minutes of 08-06-2025
2. Approve check register dated 08-02-2025 through 8-13-2025
3. Denial of Claim filed by Carlos Lopez
4. Approval of 2025 Sewer System Management Plan (SSMP) Update
5. Authorization for City Manager to Execute Caltrans Federal-Aid Master Agreement and Program Supplements for Emergency Repair Projects
1. Public Hearing to consider the Planning Commission’s decision for a Land Division, Design Review, SB330 Application, Environmental Review and Cultural Resources Alteration Application for the Ridgewood West Development which includes demolition of an existing surface parking lot and construction of 19 townhome-style condominium units on a 1.04-acre project site on Erba Lane (APNs 022-481-18, & -22) in the Residential High Density (R-H) Zoning District.
Contract Planner Susie Pineda presented this item.
Mayor Timm opened the Public Hearing at 7:35 PM.
Applicant Darian Dennlar from City Ventures presented the proposed development project and answered questions. Samantha Hauser from City Ventures was also available to answer questions.
Erin Collins, Deputy Fire Marshal for the Scotts Valley Fire Protection District, noted that the Fire Department and the applicant had a conversation about Fire Department access and fire hydrant location. The initial concerns that the Fire Department had about the parking have been alleviated, the Fire Department's portion of the project has been approved, and they are happy to hear that the CC&Rs will require that the homeowners park in their garages.
Val Hajduk spoke on behalf of the Erba Lane Homeowner's Association (9 Erba Lane through 27 Erba Lane) and requested that the Fire Department employees do not park on Erba Lane when this development happens. She also has safety concerns regarding the Ridgewood West homeowners exiting their driveways.
Susan, a resident living on Ridgecrest Drive, has parking concerns, specifically the turning radius into Buildings 3 and 4, and also the small size of the garage making it hard to get in and out of the garages with larger vehicles.
CONSENT AGENDA
City Council Meeting Minutes
Date: August 20, 2025
Carla Anderson, a resident living on Erba Lane, disagrees that this is an underutilized lot, and she is concerned about the grove of oak trees and the wildlife. She would also like to know where the electric vehicle charging stations are located.
Beth Hyytinen, a resident living on Erba Lane, expressed concern for the immediate neighbors, specifically #9, #11, and #13, who will be impacted the most by this project.
Patricia Schroeck, a resident living on Ridgecrest Drive and President of the Homeowners Association (HOA), noted that the residents of Ridgecrest HOA have safety concerns regarding the driveways onto Erba Lane (Buildings 1 and 2). They would like to see additional setbacks from Erba Lane.
Written public comments received after the publication of the agenda were received from John and Mary Racioppi and the California Housing Defense Fund ("CalHDF").
These comments are attached.
Mayor Timm closed the public hearing at 8:20 PM.
CM Clark indicated that he would like to direct staff to work on parking mitigation plan and the Council determined that this should be listed as a Future Council Agenda Items request (see Regular Agenda Item 2).
The Council requested the following conditions:
1. In the Conditions, Covenants, and Restrictions (CC&Rs) for the Homeowners Association (HOA), ensure the City's ability to do enforcement in order to keep the garages for parking only.
2. Include ceiling storage racks in all garages.
3. Explore exterior bike lockers outside and add additional exterior bike racks, increasing the number from 6 to 10 racks.
4. Include storage of bikes in the garages that does not encroach on the designated (20'x20') parking area.
5. Include storage of trash receptacles in the garages that does not encroach on the designated (20'x20') parking area.
6. Explore additional sound-proofing options for the units that front Erba Lane.
M/S: Lind/Jett
To adopt Resolution No. 2068 Mitigated Declaration
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
M/S: Lind/Clark
To adopt Resolution 2068.1 to include the following conditions:
1. In the Conditions, Covenants, and Restrictions (CC&Rs) for the Homeowners Association (HOA), ensure the City's ability to do enforcement in order to keep the garages for parking only.
2. Include ceiling storage racks in all garages.
3. Explore exterior bike lockers outside and add additional exterior bike racks, increasing the number from 6 to 10 racks.
City Council Meeting Minutes
Date: August 20, 2025
ALTERATIONS TO REGULAR AGENDA
REGULAR AGENDA
4. Include storage of bikes in the garages that does not encroach on the designated (20'x20') parking area.
5. Include storage of trash receptacles in the garages that does not encroach on the designated (20'x20') parking area.
6. Explore additional sound-proofing options for the units that front Erba Lane.
Carried 4/0/0/1 (AYES: Timm, Clark, Jett, Lind; NOES: None; ABSENT: None; ABSTAIN: Timms)
M/S: Lind/Clark
To adopt Resolution No. 2068.2 to include the following conditions:
1. In the Conditions, Covenants, and Restrictions (CC&Rs) for the Homeowners Association (HOA), ensure the City's ability to do enforcement in order to keep the garages for parking only.
2. Include ceiling storage racks in all garages.
3. Explore exterior bike lockers outside and add additional exterior bike racks, increasing the number from 6 to 10 racks.
4. Include storage of bikes in the garages that does not encroach on the designated (20'x20') parking area.
5. Include storage of trash receptacles in the garages that does not encroach on the designated (20'x20') parking area.
6. Explore additional sound-proofing options for the units that front Erba Lane.
Carried 3/1/0/1 (AYES: Timm, Clark, Lind; NOES: Jett; ABSENT: None; ABSTAIN: Timms)
Mayor Timm requested that Regular Agenda Item No. 1 be moved prior to the Public Hearing.
M/S: Lind/Timms
To approve the Regular Agenda with alteration of moving the regular item prior to the Public Hearing.
Carried 5/0 (AYES: Timm, Timms, Clark, Jett, Lind)
1. Santa Cruz County Multi-Jurisdictional Hazard Mitigation Plan (MJHMP) As noted under Alterations to the Regular Agenda, this item was heard prior to the Public Hearing.
City Council Meeting Minutes
Date: August 20, 2025
CONVENE TO CLOSED SESSION
CLOSED SESSION SUBJECT(S)
RECONVENE TO OPEN SESSION
REPORT ON ACTION TAKEN DURING CLOSED SESSION
ADJOURNMENT
The City's consultant, Raini Ott Principal Planner for Dynamic Planning, presented this item and responded to questions from the Council Members.
Public comment was received from Matthew Hakimi who spoke about the tornado and also noted that the Town Center property is quite windy and dusty.
2. Future Council Agenda Items
CM Clark requested a future agenda item regarding a parking mitigation plan which encompasses Ridgecrest Drive, Erba Lane, MacDorsa Park, and portions of Civic Center Drive. A consensus was achieved by the Council Members to add this as a future agenda item.
The City Council convened to closed session at 9:00 PM to discuss the following items:
1. Conference with legal counsel regarding anticipated litigation Legal Authority: Government Code 54956.9(b)
Case Name: Purdue Direct Settlement - CL-1731530
Staff Present: City Manager, City Attorney
2. Conference with legal counsel regarding real property negotiations Legal Authority: Government Code Section 54956.8
Location: 2 lots between 201 and 241 Kings Village Road, Scotts Valley; APNs 022-601-05 and 022-601-13
Staff Present: City Manager, City Attorney
3. Conference with legal counsel regarding real property negotiations Legal Authority: Government Code Section 54956.8
Location: 1900 Green Hills Road, Scotts Valley; APN 024-301-01 Staff Present: City Manager, City Attorney
The City Council reconvened to open session at 9:21 PM.
Mayor Timm noted that there was nothing to report from the closed session meeting.
The meeting adjourned at 9:21 PM.
City Council Meeting Minutes
Date: August 20, 2025
Attest:
Cathie Simonovich, City Clerk
Approved:
Derek Timm, Mayor
apadatecr2 City of Scotts Valley llambert 08/29/2025 09:42 Page 1 A/P Check Register Checks from 08/14/2025 to 08/29/2025
Check Check Vendor Name Net Check Check CheckNumber Date Amount Status Type Cash Account: 999-10100-000-000-000000
134499 08/18/25 ACC BUSINESS 1,830.64 O Regular
134500 08/18/25 ACCENT CLEAN & SWEEP INC 2,739.00 O Regular134501 08/18/25 ACE PORTABLE SERVICES 337.19 O Payment Manager134502 08/18/25 AMAZON CAPITAL SERVICES 47.27 O Regular134503 08/18/25 ASSOCIATED SERVICES CO. 252.53 O Regular134504 08/18/25 AT&T 8.85 O Regular134505 08/18/25 AT&T 1,717.54 O Regular134506 08/18/25 AT&T MOBILITY 85.11 O Regular134507 08/18/25 BAKER TILLY US, LLP 675.00 O Regular134508 08/18/25 BATTERIES + BULBS #314 22.99 O Regular134509 08/18/25 CENTRAL COAST SYSTEMS 465.00 O Regular134510 08/18/25 CENTRAL HOME SUPPLY 1,052.16 O Regular134511 08/18/25 CHRISTOPHER DUMONCEAUX 284.04 O Regular134512 08/18/25 COMCAST 323.14 O Payment Manager134513 08/18/25 COMCAST 1,050.55 O Regular134514 08/18/25 DAWN BANKS 216.40 O Regular134515 08/18/25 ENTERPRISE FM TRUST 12,276.85 O Regular134516 08/18/25 EWING IRRIGATION PRODUCTS 1,243.82 O Payment Manager134517 08/18/25 INTERSTATE SALES 7,795.95 O Regular134518 08/18/25 INTERWEST CONSULTING GROUP 21,490.88 O Regular134519 08/18/25 JEREMY LONG 2,397.33 O Regular134520 08/18/25 K & D LANDSCAPING, INC. 3,711.00 O Regular134521 08/18/25 LOGAN & POWELL, LLP 17,267.27 O Regular134522 08/18/25 MARY LOUISE DEFALCO 24.00 O Regular134523 08/18/25 MID VALLEY SUPPLY 1,420.96 O Payment Manager134524 08/18/25 MISSION UNIFORM SERVICE 297.72 O Payment Manager134525 08/18/25 MONTEREY BAY AIR 4,960.00 O Regular134526 08/18/25 MONTEREY BAY ANALYTICAL SVCS 608.80 O Regular134527 08/18/25 MONTEREY REGIONAL 8,339.40 O Payment Manager134528 08/18/25 NBS GOVERNMENT FINANCE GROUP 431.25 O Regular134529 08/18/25 OREILLY AUTOMOTIVE,INC 201.68 O Regular134530 08/18/25 OLIN CORPORATION AS SOLE 4,736.10 O Regular134531 08/18/25 PACIFIC GAS & ELECTRIC CO 85,488.93 O Regular134532 08/18/25 PATRICK GRUBE 4,884.00 O Regular134533 08/18/25 PHILLIP D NEUMAN 35,828.44 O Regular134534 08/18/25 PURETEC INDUSTRIAL WATER 93.12 O Regular134535 08/18/25 RILEY PETERSON 207.28 O Regular134536 08/18/25 S.V. WATER DISTRICT - BULK 188.60 O Regular134537 08/18/25 SANTA CRUZ CO ENVIRONMENTAL 1,200.00 O Regular134538 08/18/25 SCARBOROUGH LUMBER 967.57 O Regular134539 08/18/25 SCOTTS VALLEY SPRINKLER 456.24 O Regular134540 08/18/25 SHARRON BARTH 63.20 O Regular134541 08/18/25 SONSRAY MACHINERY 2,117.04 O Regular134542 08/18/25 TALLEN CALIFORNIA, LLC 3,381.00 O Regular
apadatecr2 City of Scotts Valley llambert 08/29/2025 09:42 Page 2 A/P Check Register Checks from 08/14/2025 to 08/29/2025
Check Check Vendor Name Net Check Check CheckNumber Date Amount Status Type134543 08/18/25 THE PIED PIPER INC. 152.00 O Payment Manager134544 08/18/25 U.S. BANCORP OFFICE 1,300.62 O Regular134545 08/18/25 UNDERGROUND SERVICE ALERT 1,770.88 O Regular134546 08/18/25 WENDY OMEARA 6.00 O Regular134547 08/18/25 WIZIX TECHNOLOGY GROUP, INC 841.73 O Payment Manager134548 08/22/25 A SIGN ASAP 143.77 O Regular134549 08/22/25 ACC BUSINESS 1,838.87 O Regular134550 08/22/25 ACE PORTABLE SERVICES 816.21 O Payment Manager134551 08/22/25 ALLIANT 460.00 O Regular134552 08/22/25 ALVAREZ IND INC CLEAN BLDG 451.00 O Regular134553 08/22/25 AMAZON CAPITAL SERVICES 1,510.69 O Regular134554 08/22/25 AT&T 87.39 O Regular134555 08/22/25 AT&T 1,497.49 O Regular134556 08/22/25 AT&T MOBILITY 1,565.38 O Regular134557 08/22/25 BKF ENGINEERS 10,600.90 O Regular134558 08/22/25 BUSINESS WITH PLEASURE 23.26 O Regular134559 08/22/25 CALIFORNIA RESERVE PEACE 375.00 O Regular134560 08/22/25 CENTRAL HOME SUPPLY 2,455.36 O Regular134561 08/22/25 CITY OF SANTA CRUZ 9,554.18 O Regular134562 08/22/25 COMCAST 755.02 O Payment Manager134563 08/22/25 CYPRESS COAST FENCE 7,120.00 O Regular134564 08/22/25 DAT Q. NGUYEN 180.00 O Regular134565 08/22/25 DAWN BANKS 155.60 O Regular134566 08/22/25 ENGINEERING SOLUTIONS SERVICES 7,640.50 O Regular134567 08/22/25 GOOD CITY COMPANY 10,229.50 O Regular134568 08/22/25 HERWIT ENGINEERING 13,955.50 O Regular134569 08/22/25 HOUSEKEYS, INC. 18,750.00 O Regular134570 08/22/25 JUSTIN TAYLOR 2,220.66 O Regular134571 08/22/25 KOSMONT COMPANIES, INC 6,042.50 O Regular134572 08/22/25 LLOYDS TIRE SERVICE INC. 2,176.50 O Regular 134573 08/22/25 MARY LOUISE DEFALCO 26.00 O Regular134574 08/22/25 MCCAMPBELL ANALYTICAL, INC. 284.00 O Regular134575 08/22/25 MISSION UNIFORM SERVICE 363.62 O Payment Manager134576 08/22/25 MONTEREY BAY ANALYTICAL SVCS 5,906.60 O Regular134577 08/22/25 OREILLY AUTOMOTIVE,INC 14.26 O Regular 134578 08/22/25 PHILLIP D NEUMAN 155.00 O Regular134579 08/22/25 PHOENIX GROUP 298.80 O Regular134580 08/22/25 PLACEWORKS, INC. 8,407.50 O Regular134581 08/22/25 PRESS BANNER 242.50 O Regular134582 08/22/25 REGIONAL GOVERNMENT SERVICES 15,528.10 O Regular134583 08/22/25 SAN JOSE BMW VESPA 812.31 O Regular134584 08/22/25 SAN LORENZO VALLEY SCHOOL DIST 390.00 O Regular134585 08/22/25 SCARBOROUGH LUMBER 699.95 O Regular134586 08/22/25 SCOTTS VALLEY CAR WASH 58.97 O Regular134587 08/22/25 SCOTTS VALLEY SPRINKLER 58.13 O Regular
apadatecr2 City of Scotts Valley llambert 08/29/2025 09:42 Page 3 A/P Check Register Checks from 08/14/2025 to 08/29/2025
Check Check Vendor Name Net Check Check CheckNumber Date Amount Status Type134588 08/22/25 SHARRON BARTH 74.80 O Regular134589 08/22/25 STERICYCLE INC 262.40 O Regular134590 08/22/25 STRATEGIC CULTURE CORP 17,898.61 O Regular134591 08/22/25 SUN RIDGE SYSTEMS INC 30,753.00 O Regular134592 08/22/25 SYCAL ENGINEERING INC 2,455.51 O Regular134593 08/22/25 THE BANK OF NEW YORK MELLON 1,950.00 O Regular134594 08/22/25 TORO PETROLEUM CORP 7,223.01 O Regular134595 08/22/25 TRITON CONSTRUCTION 300.00 O Regular134596 08/22/25 U.S. BANK CORPORATE 12,937.57 O Regular134597 08/22/25 URBAN FIELD STUDIO OAKLAND 9,482.50 O Regular134598 08/22/25 VISIT SANTA CRUZ COUNTY 29,003.93 O Regular134599 08/22/25 WATSONVILLE DIESEL 3,043.48 O Payment Manager134600 08/22/25 WENDY OMEARA 74.00 O Regular 134601 08/22/25 ZERO MOTORCYCLES 274.46 O Regular134602 08/29/25 AFLAC-FLEX ONE 688.11 O Regular134603 08/29/25 BAY TREE, LLC 4,412.86 O Regular134604 08/29/25 DAVID J. POWERS & ASSOC 85,977.51 O Regular134605 08/29/25 DEPT OF JUSTICE 64.00 O Regular134606 08/29/25 GOLDFARB LIPMAN ATTORNEYS 790.00 O Regular134607 08/29/25 GOVERNMENTJOBS.COM, INC. 11,083.46 O Regular134608 08/29/25 LINDA KAEMPFER BAKER 150.00 O Regular134609 08/29/25 MBASIA 7,151.81 O Regular134610 08/29/25 MUTUAL OF OMAHA 1,238.95 O Regular134611 08/29/25 PRINICPAL LIFE INSURANCE CO 7,775.90 O Regular134612 08/29/25 PRODESSE PROPERTY GROUP 5,378.40 O Regular134613 08/29/25 ROD MARKELL 1,974.00 O Regular134614 08/29/25 STANDARD INSURANCE COMPANY 975.88 O Regular134615 08/29/25 WAGE WORKS 125.00 O Regularapadatecr2 City of Scotts Valley llambert 08/29/2025 09:42 Page 3 A/P Check Register Checks from 08/14/2025 to 08/29/2025
105 Checks total: 596,692.95
0 ACH total:0 EFTPS total:0 Wire transfer total:
12 Payment Manager total: 17,934.29
117 GRAND TOTALS 614,627.24
AGENDA ITEM 3.
DATE: 9/3/2025
City of Scotts Valley
CITY COUNCIL STAFF REPORT
DATE: 9/3/2025
TO: Honorable Mayor and City Council
FROM: Rodolfo Onchi, Public Works Director
APPROVED: Mali LaGoe, City Manager
SUBJECT: Consideration of Sanitary Sewer Connection Request: APN 067-561- 07, Miraflores Road
SUMMARY OF ISSUE
On February 19, 2014, the City Council adopted Resolution No. 1660.3 (attached), a policy for the consideration of sewer hookups for properties located outside the City limits. The policy provides that requests for sewer hookups will be reviewed and approved by the City Council on a case-by-case basis for connection to the sewer system through an extraterritorial service agreement.
The property owner Miraflores Road (APN 067-561-07) is requesting to connect to the City’s sanitary sewer system. Pursuant to the policy, the following criteria must be met to allow a sewer hookup outside of the City limits:
• There must be adequate capacity in the sewer treatment system to accommodate the additional hook up.
• Property must be located within the City’s sphere of influence. • If hook ups are allowed, the applicable fair share assessment for sewer capacity and hook up fee shall be paid.
• Prior to sewer connection, written approval from the Santa Cruz County Local Agency Formation Commission (LAFCO) is received in accordance with Government Code Section 56133.
There is adequate capacity in the sewer treatment system to accommodate this hook up. The property is located within the City’s sphere of influence. The applicant has agreed to pay his fair share assessment. Upon approval by the City of Scotts Valley, the LAFCO Commission will adopt a Resolution approving the extraterritorial service agreement involving the City of Scotts Valley.
FISCAL IMPACT
The City will receive $7,130 in wastewater connection fees to be deposited into the
Wastewater Fund. There is no General Fund impact.
STAFF RECOMMENDATION
Staff recommends City Council approve Resolution No. 1660.8 authorizing the connection of APN 067-561-07 to the City’s sanitary sewer system.
TABLE OF CONTENTS
1. Resolution No. 1660.8 Miraflores Road Sewer Connection
RESOLUTION NO. 1660.8
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SCOTTS VALLEY AUTHORIZING THE CONNECTION OF APN 067-561-07 TO THE CITY’S SANITARY
SEWER SYSTEM
WHEREAS, on February 19, 2014 the City Council adopted Resolution No. 1660.3, allowing for the consideration of sewer hooks for properties located outside the City limits; and
WHEREAS, the adopted policy sets criteria to be reviewed on a case by case basis for approval by the City Council including:
• There must be adequate capacity in the sewer treatment system to accommodate the additional hook up.
• Property must be located within the City’s sphere of influence. • If hook ups are allowed, the applicable fair share assessment for sewer capacity and hook up fee shall be paid.
• Prior to sewer connection, written approval from the Santa Cruz County Local Agency Formation Commission (LAFCO) is received in accordance with Government Code Section 56133; and
WHEREAS, the property owner of APN 067-561-07 has requested to connect to the City’s sanitary sewer system; and
WHEREAS, staff have reviewed the request and find it to meet the criteria established; and
WHEREAS, upon City Council approval, the LAFCO Commission will adopt a Resolution approving the extraterritorial service agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Scotts Valley that the connection of APN 067-561-07 to the City’s sanitary sewer system is hereby authorized through an extraterritorial service agreement The above and foregoing Resolution was duly and regularly adopted by the City Council of the City of Scotts Valley at a regular meeting held on the 3rd day of September 2025 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Approved:
Derek Timm, Mayor
Attest: ___________________________
Cathie Simonovich, City Clerk
Signed and sealed this 3rd day of September 2025
Derek Timm, Mayor
WHEREAS, California became the 31st state in the Union on September 9, 1850, also known as “Admission Day”; and
WHEREAS, California welcomes people from all walks of life. As a state of dreamers and doers, our collective drive for a better world, combined with our innovative and collaborative spirit, has helped drive progress over the last 175 years – from human rights and labor rights to science, technology and entertainment; and
WHEREAS, Californians have demonstrated their resiliency against adversity and tragedy, coming together to heal and rebuild, and through that community, finding moments of peace and unity; and
WHEREAS, With its vibrant culture and majestic beauty, California inspires joy in residents and visitors alike; and
WHEREAS, Here, everyone belongs. We celebrate all those who have chosen to pursue the California Dream, all those who are driven by grit, determination, and a relentless belief in what’s possible.
WHEREAS, California proudly celebrates its 175th anniversary of statehood on Tuesday, September 9, 2025, launching a yearlong commemoration extending through the summer of 2026, ending in the national celebration of the 250th anniversary of the signing of the Declaration of Independence; and
WHEREAS, This milestone offers all California residents the opportunity to reflect on their state’s transformative contributions to our nation over time—through groundbreaking innovation, cultural leadership, environmental perseverance, and the continuous commitment to equity, democracy, and opportunity for all; and
WHEREAS, The California’s Governor’s Office is leading efforts to honor this remarkable anniversary by celebrating the creativity and joy that defines the Golden State, while focusing on promoting civic engagement, uplifting community stories, and fostering partnerships to strengthen our shared future.
NOW, THEREFORE, I, Derek Timm, as Mayor of the City of Scotts Valley, on behalf of the entire City Council, do hereby proclaim September 9th 2025 as California’s 175th Anniversary of Statehood.
City of Scotts Valley
Mayor’s Proclamation
Proclaiming September 9, 2025
California’s 175th Anniversary of Statehood
AGENDA ITEM 1.
DATE: 9/3/2025
City of Scotts Valley
CITY COUNCIL STAFF REPORT
DATE: 9/3/2025
TO: Honorable Mayor and City Council
FROM: Mali LaGoe, City Manager
APPROVED: Mali LaGoe, City Manager
SUBJECT: Resolution Granting Consent to Santa Cruz County to Form the Santa Cruz Mountains Wine Improvement District
SUMMARY OF ISSUE
The County of Santa Cruz is working with the Santa Cruz Mountains Winegrowers Association (SCMWA) to form the SCMWID pursuant to the Property and Business Improvement District Law of 1994 (94 Law). The County has requested the inclusion of the City of Scotts Valley in the SCMWID by resolution (Attachment 2).
The SCMWID is a benefit assessment district proposed to create a revenue source to help fund Marketing & Brand Awareness and Business Improvement & Special Project efforts for wineries in the Santa Cruz Mountains. This approach has been used successfully in other wine regions throughout the country to provide the benefit of driving increased sales revenue directly to payors. The SCMWID includes all wineries, existing and in the future, located generally within the boundaries of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville, the towns of Los Gatos, Portola Valley, and Woodside, and portions of the unincorporated areas of the Counties of Santa Cruz, Santa Clara, and San Mateo.
Winery owners decided to pursue formation of the SCMWID in order to create a revenue source devoted to marketing SCMWID as a premier wine destination and increasing demand for visitation at assessed wineries in order to increase winery sales revenue. If established, the SCMWID would generate approximately $575,000 on an annual basis for promotion of wineries in the SCMWID.
Wine Improvement Districts
Wine Improvement Districts (WIDs) utilize the efficiencies of private sector operation in the market-based promotion of business districts. These special assessment districts allow assessed business owners to organize their efforts to increase sales and promotional efforts.
Business owners within the WID fund the WID, and those funds are used to provide services that are desired by and benefit the assessed businesses within the WID.
WID benefits:
• Funds cannot be diverted for other government programs; • They are customized to fit the needs of each destination; • They allow for a wide range of services; including destination marketing, business promotion activities, and sales lead generation;
• They are designed, created and governed by those who will pay the assessment; and • They provide a stable funding source for business promotion.
In California, WIDs are primarily formed pursuant to the Property and Business Improvement District Law of 1994 (94 Law). This law allows for the creation of special benefit assessment districts to raise funds within a specific geographic area. The key difference between WIDs and other special benefit assessment districts is that funds raised are returned to the private nonprofit corporation governing the WID.
MANAGEMENT DISTRICT PLAN
The Management District Plan (Attachment 3) includes the proposed boundary of the SCMWID, a service plan and budget and a proposed means of governance. The SCMWID will include all wineries, existing and in the future, located generally within the boundaries of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville, the towns of Los Gatos, Portola Valley, and Woodside, and portions of the unincorporated areas of the Counties of Santa Cruz, Santa Clara, and San Mateo.
The annual assessment rate is one percent (1%) of gross direct to consumer sales revenue on winery sales. Beginning in the second year of the SCMWID term, the assessment rate may be increased by the Owners’ Association to a maximum rate of two percent (2%) of gross direct to consumer sales revenue on winery sales. The maximum increase or decrease in a year shall be no more than one-half of one percent (0.5%). If the assessment rate is increased, it may subsequently be decreased but shall not be decreased below a minimum of one percent (1%) of gross direct to consumer sales revenue on winery sales.
Based on the benefit received, assessments will not be collected on wholesale, purchases made outside of the state of California, or purchases made pursuant to contracts executed prior to November 1, 2025. Revenue generated from the SCMWID is intended only to provide programs and services for assessed wineries, all of which are located in California. Sales made outside of the state of California are not subject to assessment due to a lack of benefit.
Assessment dollars will not be spent on any programs or activities to benefit individual wineries outside of the state of California. Assessment dollars may be spent outside of California to elevate the notoriety of the Santa Cruz Mountains as a premier winery destination with the desired outcome of increased in-person visitation to wineries paying the assessment.
The proposed SCMWID will have a five (5) year term, beginning November 1, 2025, or as soon as possible thereafter, and ending five (5) years from its start date. The assessment will be implemented beginning November 1, 2025. Once per year beginning on the anniversary of SCMWID formation there is a thirty (30) day period in which winery owners paying fifty percent
(50%) or more of the assessment may protest and begin proceedings to terminate the SCMWID.
The County or a third-party collection agency shall be responsible for collecting the assessment on a quarterly basis from each assessed winery. The County or a third-party collection agency shall forward the assessments to the Santa Cruz Mountains Winegrowers Association (SCMWA), which will have the responsibility of managing SCMWID programs as provided in the Management District Plan. The County or a third-party collection agency shall be paid a fee equal to two percent (2%) of the amount of assessment collected to cover its costs of collection and administration.
FISCAL IMPACT
There is no fiscal impact to the City by adopting this resolution of consent.
STAFF RECOMMENDATION
Adopt Resolution No. 2070, granting consent to the County of Santa Cruz (County) to establish the Santa Cruz Mountains Wine Improvement District (SCMWID) and include the City of Scotts Valley in the SCMWID.
TABLE OF CONTENTS
1. Resolution No. 2070 Consenting to Wine Improvement District
2. Santa Cruz County Resolution No. 159-2025 Requesting Consent SCMWID 8-5-2025
3. SCMWID Management District Plan 5-20-2025
4. SCMWID Muns Vinyard Support Letter
5. SCMWID Pelican Ranch Support Letter
1 RESOLUTION NO. 2070
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SCOTTS VALLEY, STATE OF
CALIFORNIA, GRANTING CONSENT TO THE COUNTY OF SANTA CRUZ TO FORM THE
SANTA CRUZ MOUNTAINS WINE IMPROVEMENT DISTRICT
WHEREAS, the County of Santa Cruz (County) is beginning the process to form the Santa Cruz Mountains Wine Improvement District (SCMWID) pursuant to the Property and Business Improvement District Law of 1994, Streets and Highways Code section 36600 et seq., for the benefit of driving increased business sales directly to assessed wineries; and
WHEREAS, the proposed SCMWID includes all wineries, existing and in the future, located generally within the boundaries of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville; the towns of Los Gatos, Portola Valley, and Woodside; and portions of the unincorporated areas of the Counties of Santa Cruz, Santa Clara and San Mateo; and WHEREAS, the County Board of Supervisors has requested consent to form the SCMWID in the City of Scotts Valley with adoption of County Resolution No. 2070, dated August 5, 2025; NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Scotts Valley, that:
Section 1: The above recitals are true and correct.
Section 2: The County is hereby granted consent to include the City of Scotts Valley in the SCMWID, for the formation of the SCMWID and future renewals.
Section 3: The Clerk of the City of Scotts Valley is hereby directed to transmit a certified copy of this Resolution to the Clerk of the County.
Section 4: This Resolution is effective upon its adoption.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Scotts Valley, State of California, held on this 3rd day of September, 2025 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
______________________________
Derek Timm, Mayor
ATTEST: ___________________________
Cathie Simonovich, City Clerk
1 RESOLUTION NO. 159-2025
RESOLUTION OF THE SANTA CRUZ COUNTY BOARD OF SUPERVISORS
REQUESTING CONSENT OF THE CITIES OF SANTA CRUZ, SARATOGA, SCOTTS VALLEY, CAPITOLA, AND WATSONVILLE; THE TOWNS OF LOS GATOS, PORTOLA VALLEY AND WOODSIDE; AND THE COUNTIES OF
SANTA CLARA AND SAN MATEO TO FORM THE SANTA CRUZ
MOUNTAINS WINE IMPROVEMENT DISTRICT
WHEREAS, the Board of Supervisors of the County of Santa Cruz desires to begin proceedings to form the Santa Cruz Mountains Wine Improvement District (SCMWID); and
WHEREAS, winery owners have requested that the Board form the SCMWID; and WHEREAS, a portion of the territory proposed to be included in the SCMWID lies within the boundaries of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville (cities); the towns of Los Gatos, Portola Valley, and Woodside (towns); and portions of the unincorporated areas of the counties of Santa Clara and San Mateo (counties), as shown on the map attached hereto as Exhibit A and incorporated herein by such attachment; and
WHEREAS, the area of the cities, towns, and counties which lies within the boundaries of the proposed SCMWID will, in the opinion of the Board, benefit from the improvements and activities, and the purpose sought to be accomplished by the work can best be accomplished by a single comprehensive scheme of work;
NOW, THEREFORE, BE IT RESOLVED BY THE SANTA CRUZ COUNTY BOARD OF SUPERVISORS THAT:
Section 1: The above recitals are true and correct.
Section 2: Consent of the cities, towns, and counties through their respective City Councils, Town Councils and Boards of Supervisors, is hereby requested to form the SCMWID, and to grant to the Santa Cruz County Board of Supervisors jurisdiction for all the purposes in connection with creation, operation, and future renewals of the proposed SCMWID.
Section 3: The Clerk of the Board is hereby directed to transmit a certified copy of this Resolution to the City Clerk of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville; to the Town Clerk of the towns of Los Gatos, Portola Valley, and Woodside; and to the County Clerk of the counties of Santa Clara and San Mateo.
PASSED AND ADOPTED by the Board of Supervisors of the County of Santa Cruz, State of California, this 5th day of August, 2025, by the following vote:
Docusign Envelope ID: 379CD258-E7AD-4838-B4E6-F4983EFB31E3 Adopted 8/5/2025 Board of Supervisors
DOC-2025-627 27.c
Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
2 AYES: Supervisors Koenig, De Serpa, Cummings, Martinez and Hernandez NOES: None
ABSENT: None
ABSTAIN: None
______________________________
Felipe Hernandez
Chair of the Board
ATTEST: ___________________________
Juliette Rezzato
Clerk of the Board
APPROVED AS TO FORM:
______________________________
Jason M. Heath
Office of the County Counsel
Docusign Envelope ID: 379CD258-E7AD-4838-B4E6-F4983EFB31E3 Resolution 159-2025
Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5 8/6/2025
8/6/2025
3 Exhibit A: SCMWID Boundary Map
Docusign Envelope ID: 379CD258-E7AD-4838-B4E6-F4983EFB31E3 Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
Certificate Of Completion
Envelope Id: 379CD258-E7AD-4838-B4E6-F4983EFB31E3 Status: Completed Subject: Complete with Docusign: Resolution Requesting Consent SCMWID.pdf Source Envelope:
Document Pages: 3 Signatures: 1 Envelope Originator:
Certificate Pages: 4 Initials: 0 Peter Detlefs
AutoNav: Enabled
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Time Zone: (UTC-08:00) Pacific Time (US & Canada)
701 Ocean Street
Santa Cruz, CA 95060
[email protected]
IP Address: 76.209.242.199
Record Tracking
Status: Original
7/11/2025 12:12:56 PM
Holder: Peter Detlefs
[email protected]
Location: DocuSign
Security Appliance Status: Connected Pool: FedRamp
Storage Appliance Status: Connected Pool: County of Santa Cruz Location: Docusign Signer Events Signature Timestamp
Jason M. Heath
[email protected]
County Counsel
County of Santa Cruz
Security Level: Email, Account Authentication
(None)
Signature Adoption: Pre-selected Style
Using IP Address: 63.194.190.100
Sent: 7/11/2025 12:13:27 PM
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Electronic Record and Signature Disclosure:
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ID: ea3475d9-678d-4b7b-b7e7-d291d83c0054
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Payment Events Status Timestamps
Electronic Record and Signature Disclosure
Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
ELECTRONIC RECORD AND SIGNATURE DISCLOSURE
From time to time, County of Santa Cruz (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronically through the DocuSign system. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to this Electronic Record and Signature Disclosure (ERSD), please confirm your agreement by selecting the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system.
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If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below.
Consequences of changing your mind
If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. Further, you will no longer be able to use the DocuSign system to receive required notices and consents electronically from us or to sign electronically documents from us.
All notices and disclosures will be sent to you electronically Electronic Record and Signature Disclosure created on: 2/28/2022 5:23:37 PM Parties agreed to: Jason M. Heath
Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through the DocuSign system all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us.
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You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows:
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Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
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Until or unless you notify County of Santa Cruz as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by County of Santa Cruz during the course of your relationship with County of Santa Cruz.
Docusign Envelope ID: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5
Certificate Of Completion
Envelope Id: 0E3885AE-3042-4ABB-8613-48F9E4D04FE5 Status: Completed Subject: Complete with Docusign: Resolution 159-2025 requesting consent to form the Santa Cruz Mountains...
Source Envelope:
Document Pages: 7 Signatures: 2 Envelope Originator:
Certificate Pages: 5 Initials: 0 Elizabeth Padilla
AutoNav: Enabled
EnvelopeId Stamping: Enabled
Time Zone: (UTC-08:00) Pacific Time (US &
Canada)
Stamps: 1 701 Ocean Street
Santa Cruz, CA 95060
[email protected]
IP Address: 63.194.190.100
Record Tracking
Status: Original
8/6/2025 2:55:29 PM
Holder: Elizabeth Padilla
[email protected]
Location: DocuSign
Security Appliance Status: Connected Pool: FedRamp
Storage Appliance Status: Connected Pool: County of Santa Cruz Location: Docusign Signer Events Signature Timestamp
Felipe Hernandez
[email protected]
Security Level: Email, Account Authentication
(None)
Signature Adoption: Uploaded Signature Image
Using IP Address: 63.194.190.100
Sent: 8/6/2025 3:05:24 PM
Viewed: 8/6/2025 3:06:11 PM
Signed: 8/6/2025 3:06:36 PM
Electronic Record and Signature Disclosure:
Accepted: 7/17/2023 11:30:46 AM
ID: 2a2f0d4d-8f3b-4197-9c0c-4b7e9be9c82a
Juliette Rezzato
[email protected]
Chief Deputy Clerk of the Board of Supervisors
County of Santa Cruz
Security Level: Email, Account Authentication
(None)
Signature Adoption: Pre-selected Style
Using IP Address: 63.194.190.100
Sent: 8/6/2025 3:06:37 PM
Viewed: 8/6/2025 3:26:15 PM
Signed: 8/6/2025 3:26:29 PM
Electronic Record and Signature Disclosure:
Accepted: 5/11/2022 7:47:21 AM
ID: 050883f5-a40c-4427-bdbd-fa282a697a25
CBD eSignature
[email protected]
County of Santa Cruz
Security Level: Email, Account Authentication
(None)
Using IP Address: 63.194.190.100
Sent: 8/6/2025 3:26:30 PM
Viewed: 8/6/2025 4:01:51 PM
Signed: 8/6/2025 4:02:21 PM
Freeform Signing
Electronic Record and Signature Disclosure:
Accepted: 6/20/2024 3:08:48 PM
ID: 4b7794de-1393-406f-a9a3-56a92d4b90d7
In Person Signer Events Signature Timestamp
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Peter Detlefs
[email protected]
Security Level: Email, Account Authentication
(None)
Sent: 8/6/2025 4:02:22 PM
Electronic Record and Signature Disclosure:
Accepted: 9/14/2023 11:24:46 AM
ID: 6a1b5ac8-5182-4b62-bb5f-250ad59f17f2
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Notary Events Signature Timestamp
Envelope Summary Events Status Timestamps
Envelope Sent Hashed/Encrypted 8/6/2025 3:05:24 PM
Certified Delivered Security Checked 8/6/2025 4:01:51 PM Signing Complete Security Checked 8/6/2025 4:02:21 PM
Completed Security Checked 8/6/2025 4:02:22 PM
Payment Events Status Timestamps
Electronic Record and Signature Disclosure
ELECTRONIC RECORD AND SIGNATURE DISCLOSURE
From time to time, County of Santa Cruz (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronically through the DocuSign system. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to this Electronic Record and Signature Disclosure (ERSD), please confirm your agreement by selecting the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system.
Getting paper copies
At any time, you may request from us a paper copy of any record provided or made available electronically to you by us. You will have the ability to download and print documents we send to you through the DocuSign system during and immediately after the signing session and, if you elect to create a DocuSign account, you may access the documents for a limited period of time (usually 30 days) after such documents are first sent to you. After such time, if you wish for us to send you paper copies of any such documents from our office to you, you will be charged a $0.00 per-page fee. You may request delivery of such paper copies from us by following the procedure described below.
Withdrawing your consent
If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below.
Consequences of changing your mind
If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. Further, you will no longer be able to use the DocuSign system to receive required notices and consents electronically from us or to sign electronically documents from us.
All notices and disclosures will be sent to you electronically Electronic Record and Signature Disclosure created on: 2/28/2022 5:23:37 PM Parties agreed to: Felipe Hernandez, Juliette Rezzato, CBD eSignature, Peter Detlefs
Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through the DocuSign system all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us.
How to contact County of Santa Cruz:
You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows:
To contact us by email send messages to: [email protected] To advise County of Santa Cruz of your new email address To let us know of a change in your email address where we should send notices and disclosures electronically to you, you must send an email message to us at [email protected] and in the body of such request you must state: your previous email address, your new email address. We do not require any other information from you to change your email address.
If you created a DocuSign account, you may update it with your new email address through your account preferences.
To request paper copies from County of Santa Cruz
To request delivery from us of paper copies of the notices and disclosures previously provided by us to you electronically, you must send us an email to [email protected] and in the body of such request you must state your email address, full name, mailing address, and telephone number. We will bill you for any fees at that time, if any.
To withdraw your consent with County of Santa Cruz
To inform us that you no longer wish to receive future notices and disclosures in electronic format you may:
i. decline to sign a document from within your signing session, and on the subsequent page, select the check-box indicating you wish to withdraw your consent, or you may; ii. send us an email to [email protected] and in the body of such request you must state your email, full name, mailing address, and telephone number. We do not need any other information from you to withdraw consent.. The consequences of your withdrawing consent for online documents will be that transactions may take a longer time to process..
Required hardware and software
The minimum system requirements for using the DocuSign system may change over time. The current system requirements are found here: https://support.docusign.com/guides/signer-guidesigning-system-requirements.
Acknowledging your access and consent to receive and sign documents electronically To confirm to us that you can access this information electronically, which will be similar to other electronic notices and disclosures that we will provide to you, please confirm that you have read this ERSD, and (i) that you are able to print on paper or electronically save this ERSD for your future reference and access; or (ii) that you are able to email this ERSD to an email address where you will be able to print on paper or save it for your future reference and access. Further, if you consent to receiving notices and disclosures exclusively in electronic format as described herein, then select the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system.
By selecting the check-box next to ‘I agree to use electronic records and signatures’, you confirm that:
You can access and read this Electronic Record and Signature Disclosure; and You can print on paper this Electronic Record and Signature Disclosure, or save or send this Electronic Record and Disclosure to a location where you can print it, for future reference and access; and
Until or unless you notify County of Santa Cruz as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by County of Santa Cruz during the course of your relationship with County of Santa Cruz.
2025-2030
SANTA CRUZ MOUNTAINS WINE IMPROVEMENT DISTRICT
MANAGEMENT DISTRICT PLAN
May 20, 2025 Prepared pursuant to the Property and Business Improvement District Law of 1994, Streets and Highways Code Section 36600 et seq.
Contents
I. OVERVIEW ........................................................................................................................................3 II. BACKGROUND ................................................................................................................................5 III. BOUNDARY.......................................................................................................................................6 IV. ASSESSMENT BUDGET AND SERVICES................................................................................8 A. Annual Service Plan............................................................................................................ 8 B. Annual Budget .................................................................................................................. 10 C. California Constitutional Compliance .............................................................................. 11 D. Assessment........................................................................................................................ 12 E. Overdue Charges and Interest........................................................................................... 13 F. Time and Manner for Collecting Assessments................................................................. 14 V. GOVERNANCE...............................................................................................................................15 A. Owners’ Association......................................................................................................... 15 B. Brown Act and California Public Records Act Compliance ............................................ 15 C. Annual Report................................................................................................................... 15 APPENDIX 1 – LAW....................................................................................................................................16 APPENDIX 2 – ASSESSED WINERIES* ...............................................................................................28 Prepared by
Civitas
(800)999-7781
www.civitasadvisors.com
SCMWID Management District Plan 3
May 20, 2025
I. OVERVIEW
Developed by wineries in the Santa Cruz Mountains and by the Santa Cruz Mountains Winegrowers Association (SCMWA), the Santa Cruz Mountains Wine Improvement District (SCMWID) is an assessment district proposed to provide specific benefits to payors, by funding marketing & brand awareness and business improvement & special projects efforts for assessed wineries. This approach has been used successfully in other wine regions throughout the country to provide the benefit of driving increased sales revenue directly to payors.
Location: The SCMWID includes all wineries, existing and in the future, located generally within the boundaries of the cities of Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville, the towns of Los Gatos, Portola Valley, and Woodside, and portions of the unincorporated areas of the Counties of Santa Cruz, Santa Clara, and San Mateo.
A detailed boundary description and a boundary map are included in Section III of this Management District Plan (Plan).
Services: The SCMWID is designed to provide specific benefits directly to payors by increasing winery sales and revenue therefrom. Marketing, brand awareness, business improvement, and special projects efforts will promote assessed wineries in the SCMWID to increase winery sales revenue.
Budget: The total SCMWID annual assessment budget for the initial year of its five (5) year operation is anticipated to be approximately $575,000. A similar budget is expected to apply to subsequent years, but this budget is expected to fluctuate as sales do, as wineries open and close, and if the assessment rate is increased or decreased pursuant to this Management District Plan (Plan).
Cost: The annual assessment rate is one percent (1%) of gross direct to consumer sales revenue on winery sales. Beginning in the second year of the SCMWID term, the assessment rate may be increased by the Owners’ Association to a maximum rate of two percent (2%) of gross direct to consumer sales revenue on winery sales. The maximum increase or decrease in a year shall be no more than one-half of one percent (0.5%). If the assessment rate is increased, it may subsequently be decreased but shall not be decreased below a minimum of one percent (1%) of gross direct to consumer sales revenue on winery sales.
Based on the benefit received, assessments will not be collected on wholesale, purchases made outside of the state of California, or purchases made pursuant to contracts executed prior to November 1, 2025. Revenue generated from the SCMWID is intended only to provide programs and services for assessed wineries, all of which are located in California. Sales made outside of the state of California are not subject to assessment due to a lack of benefit. Assessment dollars will not be spent on any programs or activities to benefit individual wineries outside of the state of California.
Assessment dollars may be spent outside of California to elevate the notoriety of the Santa Cruz Mountains as a premier winery destination with the desired outcome of increased in-person visitation to wineries paying the assessment.
SCMWID Management District Plan 4
May 20, 2025
Collection: The County of Santa Cruz (County) or a third-party collection agency shall be responsible for collecting the assessment on a quarterly basis (including any delinquencies, overdue charges and interest) from each assessed winery located in the boundaries of the SCMWID. The County or a third-party collection agency shall take all reasonable efforts to collect the assessments from each assessed winery.
Duration: The SCMWID will have a five (5) year life, beginning on November 1, 2025, or as soon as possible thereafter, and ending five (5) years from its start date. After five (5) years, the SCMWID may be renewed pursuant to the Property and Business Improvement District Law of 1994, Streets and Highways Code section 36600 et seq. (94 Law) if winery owners support continuing the SCMWID programs.
Management: The SCMWA shall serve as the Owners’ Association to provide improvements and activities for the SCMWID. The Owners’ Association is charged with managing funds and implementing programs in accordance with this Plan, and must provide annual reports to the County.
SCMWID Management District Plan 5
May 20, 2025
II. BACKGROUND
Wine Improvement Districts (WIDs) are an evolution of the traditional Business Improvement District (BID). BIDs utilize the efficiencies of private sector operation in the market-based promotion of business districts. BIDs allow business owners to organize their efforts to increase sales and promotional efforts. Business owners within the district fund a BID, and those funds are used to provide services that the businesses desire and benefit the businesses within the district.
Business Improvement District services may include, but are not limited to:
➢ Marketing of the District
➢ Business Promotion Activities
➢ Infrastructure Improvements
In California, BIDs are formed pursuant to the 94 Law. This law allows for the creation of special benefit assessment districts to raise funds within a specific geographic area. The key difference between BIDs and other special benefit assessment districts is that funds raised are managed by the private non-profit corporation governing the district.
There are many benefits to Business Improvement Districts:
➢ Funds cannot be diverted for other government programs; ➢ Services are customized to fit the needs of each district; ➢ They allow for a wide range of services, including those listed above; ➢ Business Improvement Districts are designed, created and governed by those who will pay the assessment; and
➢ They provide a stable funding source for business promotion.
The 94 Law is provided in Appendix 1 of this document.
SCMWID Management District Plan 6
May 20, 2025
III. BOUNDARY
The SCMWID includes all wineries, existing and in the future, located generally within the boundaries of the cities Santa Cruz, Saratoga, Scotts Valley, Capitola, and Watsonville, the towns of Los Gatos, Portola Valley, and Woodside, and portions of the unincorporated areas of the Counties of Santa Cruz, Santa Clara, and San Mateo. Specifically, the boundaries of the SCMWID are as follows:
Starting at the intersection of State Route 84 and State Route 1, the boundaries proceed south along the State Route 1 until intersecting the AVA boundaries at 122°16'44" W, 37°6'16" N. It follows the boundaries of the AVA boundaries until intersecting the City of Santa Cruz where it goes south along the city boundary line until intersecting with the county line of Santa Cruz County.
It proceeds along the county line until intersecting with State Route 1 where it heads north until intersecting State Route 152. It follows along State Route 152 until 121°41'38" W, 36°59'29" N where it starts to follow the AVA boundary line heading north. When it intersects with the city limits of San Jose it goes south and west around the city limits, until continuing northwest along the AVA lines.
When it intersects with Cinnabar Hills Road at 121°49'7" W, 37°10'28" N. It follows Cinnabar Hills Road and joins Bertram Road where it continues north mering with Almaden Road and continuing to head north. Upon intersecting with the city limits of San Jose and proceeding northwest until intersecting with W Valley Freeway and heading northwest along the W Valley Freeway until intersecting with the boundary line for the city of Campbell and heading south-west until rejoining the boundary for San Jose and heading west. It jumps and continues west when intersecting with the City of Cupertino. At 122°4’21" W, 37°18'2" N the boundary line joins the AVA and follows the AVA northwest. It avoids all areas that are in the city of Cupertino and heads northwest.
At 122°5'17" W, 37°19'41" N it begins to follow the boundaries of the city of Cupertino again, heading north until merging with Interstate 280 and heading north west along the line. Upon intersecting the city of Palo Alto it follows the city boundary line south and around until the coordinates of 122°12'6" W, 37°21'30" N, where the boundaries follow the AVA boundaries heading north until intersecting Alpine Road, where it proceeds north east. When intersecting with Golden Oak Drive it heads west until turning into Peak Lane and heading south at the intersection of Peak Lane and Cervantes Road and heading east on Cervantes Road.
At the intersection with Westridge Drive it heads south until intersecting with Portola Road. It travels along Portola Road north west until turning southwest at the intersection of Wayside Road. Once Wayside Road intersects with the AVA boundaries it turns and following the AVA boundaries north.
Once it intersects with Woodside Road and Interstate 280 the boundaries head north along Woodside Road until intersecting with Fernside Street where it heads north west along the city boundary line for Redwood City. At 122°16'46" W, 37°27'37" N, it stops following Redwood City's boundary line and proceeds southwest along the boundary line for the city of Woodside. Once it intersects with Interstate 280 it proceeds north west along the interstate until intersecting with State Route 92 where it heads west along the highway until reuniting with the AVA boundaries and proceeding southwest along the AVA boundary line to the starting point.
The term “winery” as used herein means: A business, primarily used for the retail marketing and sales of wine and related goods, open to all settings at which wine and related goods can be sold, including but not limited to: publicly available settings, by appointment only reservations, or private and exclusive tastings. The term wine tasting facility includes, but is not limited to, vineyard locations with
SCMWID Management District Plan 7
May 20, 2025
onsite tastings and hospitality and retail rooms on site at producing wineries, which must be agricultural facilities used for the processing (fermentation when combined with any two of the following: crushing, pressing, aging, blending or bottling) of wine grapes into wine or the refermenting of still wine into sparkling wine, as well as stand-alone tasting rooms in commercial areas.
All wine tasting facilities must possess a Type 02 Department of Alcohol Beverage Control license or a Type 17 (Beer and Wine Wholesaler) and Type 20 (Off-Sale Beer and Wine) License combination.
A complete listing of assessed wineries within the SCMWID can be found in Appendix 2. A map of the SCMWID boundaries is shown below.
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IV. ASSESSMENT BUDGET AND SERVICES
A. Annual Service Plan
Assessment funds will be spent to provide specific benefits conferred or privileges granted directly to the payors that are not provided to those not charged, and which do not exceed the reasonable cost to the County of conferring the benefits or granting the privileges. The privileges and services provided with the SCMWID funds are marketing & brand awareness and business improvement & special projects efforts available only to assessed wineries.
A service plan assessment budget has been developed to deliver services that benefit the assessed wineries. A detailed annual assessment budget will be developed and approved by the SCMWA. The chart below illustrates the initial annual assessment budget allocations. The total initial assessment budget is estimated to be $575,000.
Although actual revenues will fluctuate due to market conditions, the proportional allocations of the assessment budget shall remain the same. However, the County and the SCMWA Board shall have the authority to adjust budget allocations between the categories by no more than fifteen percent (15%) of the total budget per year. A description of the proposed improvements and activities for the initial year of operation is below. The same activities are proposed for subsequent years. In the event of a legal challenge against the SCMWID, any and all assessment funds may be used for the costs of defending the SCMWID. In the first year of operation, the costs of creating the SCMWID may be repaid by deducting repayment funds proportionally from budget categories. Repayment costs shall not exceed $75,000.
Each budget category includes all costs related to providing that service. For example, the marketing & brand awareness budget includes the cost of staff time dedicated to overseeing and implementing the marketing & brand awareness program. Staff time dedicated purely to administrative tasks is allocated to the administration & operations portion of the budget. The costs of an individual staff Marketing & Brand
Awareness, 55%,
$316,250
Business Improvement
& Special Projects, 10%,
$57,500
Administration
& Operations,
23%, $132,250
Contingency / Reserve, 10%,
$57,500
Collection Fee, 2%,
$11,500
Initial Annual Assessment Budget - $575,000
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member may be allocated to multiple budget categories. The staffing levels necessary to provide the services below will be determined by the SCMWA on an as-needed basis.
Marketing & Brand Awareness
A marketing & brand awareness program will promote the SCMWID as a premium winegrowing region and as a leader in the global wine community. The marketing & brand awareness program will have a central theme of promoting the SCMWID as a desirable place to experience Santa Cruz Mountains wineries, and as a desirable area to purchase wines and other estate produced products.
The program has the goal of increasing demand for visitation to the winegrowing region, retail sales, affinity for SCMWID grapes and wines, and recognition at and for assessed wineries, and may include but is not limited to the following activities:
• Advertising – across any and all media channels to promote assessed wineries on a local, regional or national level, including but not limited to: digital, print, television, radio and strategic brand partnerships;
• Media Relations – Promoting assessed wineries through development of media relations strategies, including but not limited to: media familiarization tours, proactive media pitching and influencer relations;
• Digital Marketing – Utilizing paid, earned and owned social media to increase awareness of and engagement with assessed wineries;
• Events – Developing and executing special events that attract potential customers to assessed wineries, enhancing community engagement and visibility; • Trade & Industry Engagement – Ensuring representatives are provided the opportunity to attend trade shows, meetings, industry conferences, road shows, and events to promote assessed wineries; Create programs that engage key trade and industry influencers with the Santa Cruz Mountains;
• Print Collateral – Preparing and producing collateral, promotional materials such as brochures, flyers and maps for assessed wineries;
• Brand Enhancement – Brand development initiatives to increase awareness and demand for assessed wineries;
• Consumer Analytics – Identify and leverage consumer demographic, geographic and psychographic data to target messaging that markets Santa Cruz Mountains as a premier, unique wine destination to attract customers to assessed wineries; and • Wine Club Signups – Promote wine club membership for assessed wineries to build customer loyalty and enhance the SCMWID brand.
Business Improvement & Special Projects
The business improvement & special projects program will seek to attract and retain wineries within the SCMWID, and fund special projects designed to promote and benefit the assessed wineries. This program aims to cultivate a thriving wine community by fostering collaboration among producers and enhancing the region’s appeal as a premier destination. Through targeted initiatives, the program will empower wineries to innovate and grow their businesses sustainably. The business improvement & special projects programs may include, but is not limited to:
• Customer Engagement Projects – Develop and execute special projects that drive customer engagement with assessed wineries to increase sales;
• Signage Program – Coordinate local signage for the Santa Cruz Mountains wine region; • Training Programs – Provide training and resources for assessed wineries focused on sales, hospitality, marketing, media relations, and operational best practices to enhance staff effectiveness;
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• Educational Programs – Create educational programs for assessed wineries with the goal of increasing visitation, sales, and brand value;
• Market Research and Evaluation – Conduct comprehensive market research, fund awareness and best practice studies, and maintain a robust district database to evaluate the SCMWID’s visibility and operational success among target market segments; • Guest Communication Support – Assist assessed wineries with the development of guest communications and point-of-sale materials to enhance customer interactions; • Advocacy – Advocate for business-friendly policies that facilitate capital investment and growth opportunities throughout the SCMWID; and
• Liaison Support – Designate personnel who will serve as a liaison between winery owners and government agencies to facilitate growth and business development on assessed wineries.
Administration & Operations
The administration & operations portion of the budget shall be utilized for administrative staffing costs, office costs, advocacy, and other general administrative costs such as insurance, legal, and accounting fees.
Contingency / Reserve
The budget includes a contingency line item to account for lower than anticipated assessments. If there are contingency funds collected, they may be held in a reserve fund or utilized for other programs, administration or renewal costs at the discretion of the Owners’ Association. Policies relating to contributions to the reserve fund, the target amount of the reserve fund, and expenditure of monies from the reserve fund shall be set by the Owners’ Association. Contingency/reserve funds may be spent on SCMWID programs or administrative and renewal costs in such proportions as determined by the Owners’ Association.
Collection Fee
The County or a third-party collection agency shall be paid a fee up to two percent (2%) of the amount of assessment collected to cover its costs of collection and administration.
B. Annual Budget
The total five (5) year assessment budget is projected at approximately $575,000 annually, or approximately $4,887,500 through 2030 if maximum assessment rate increases are adopted. This amount may fluctuate as winery sales do, as wineries open and close, and if the assessment rate is increased or decreased pursuant to this Plan.
The annual assessment rate is one percent (1%) of gross direct to consumer sales revenue on winery sales. Beginning in the second year of the SCMWID term, the assessment rate may be increased by the Owners’ Association to a maximum rate of two percent (2%) of gross direct to consumer sales revenue on winery sales. The maximum increase or decrease in a year shall be no more than one-half of one percent (0.5%). If the assessment rate is increased, it may subsequently be decreased but shall not be decreased below a minimum of one percent (1%) of gross direct to consumer sales revenue on winery sales.
The table below demonstrates the estimated maximum budget with the assumption that assessment rate will be increased at the earliest opportunity, as it is a required disclosure, it is not the anticipated course of action. Alternate courses of action may be taken in regard to implementing the assessment rate increase other than what is demonstrated in the chart below, within the parameters of this Plan.
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Estimated Annual Budget if Maximum Assessment Rates are Adopted C. California Constitutional Compliance
The SCMWID assessment is not a property-based assessment subject to the requirements of Proposition 218. Courts have found Proposition 218 limited the term ‘assessments’ to levies on real property.1 Rather, the SCMWID assessment is a business-based assessment, and is subject to Proposition 26. Pursuant to Proposition 26 all levies are a tax unless they fit one of seven exceptions.
Two of these exceptions apply to the SCMWID, a “specific benefit” and a “specific government service.” Both require that the costs of benefits or services do not exceed the reasonable costs to the County of conferring the benefits or providing the services.
1. Specific Benefit
Proposition 26 requires that assessment funds be expended on, “a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege.”2 The services in this Plan are designed to provide targeted benefits directly to assessed wineries, and are intended only to provide benefits and services directly to those wineries paying the assessment. These services are tailored not to serve the general public, businesses in general, or parcels of land, but rather to serve the specific wineries within the SCMWID. The activities described in this Plan are specifically targeted to increase sales for assessed wineries within the boundaries of the SCMWID, and are narrowly tailored. SCMWID funds will be used exclusively to provide the specific benefit of increased winery sales revenue directly to the assessees. Assessment funds shall not be used to feature non-assessed wineries in SCMWID programs, or to directly generate sales for non-assessed wineries. The activities paid for from assessment revenues are business services constituting and providing specific benefits to the assessed wineries.
The assessment imposed by this SCMWID is for a specific benefit conferred directly to the payors that is not provided to those not charged. The specific benefit conferred directly to the payors is an increase in winery sales revenue. The specific benefit of an increase in sales revenue for assessed wineries will be provided only to wineries paying the district assessment, with marketing, brand awareness, business improvement, and special projects efforts promoting wineries paying the SCMWID assessment. The marketing & brand awareness and business improvement & special projects efforts programs will be designed to increase sales revenue at each assessed winery. Because 1 Howard Jarvis Taxpayers Association v. City of San Diego (1999) 72 Cal App. 4th 230 2 Cal. Const. art XIII C § 1(e)(1)
Year
Marketing &
Brand
Awareness
Business
Improvement
& Special
Projects
Administration
& Operations
Contingency/
Reserve
Collection
Fee
Total
2025-2026 $316,250 $57,500 $132,250 $57,500 $11,500 $575,000 2026-2027 $474,375 $86,250 $198,375 $86,250 $17,250 $862,500 2027-2028 $632,500 $115,000 $264,500 $115,000 $23,000 $1,150,000 2028-2029 $632,500 $115,000 $264,500 $115,000 $23,000 $1,150,000 2029-2030 $632,500 $115,000 $264,500 $115,000 $23,000 $1,150,000 Total $2,688,125 $488,750 $1,124,125 $488,750 $97,750 $4,887,500
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they are necessary to provide the marketing & brand awareness and business improvement & special projects efforts that specifically benefit the assessed wineries, the administration and contingency services also provide the specific benefit of increased sales revenue to the wineries.
Although the SCMWID, in providing specific benefits to payors, may produce incidental benefits to non-paying businesses, the incidental benefit does not preclude the services from being considered a specific benefit. The legislature has found that, “A specific benefit is not excluded from classification as a ‘specific benefit’ merely because an indirect benefit to a nonpayor occurs incidentally and without cost to the payor as a consequence of providing the specific benefit to the payor.”3
2. Specific Government Service
The assessment may also be utilized to provide, “a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product.” 4 The legislature has
recognized that marketing and promotions services like those to be provided by the SCMWID are government services within the meaning of Proposition 265. Further, the legislature has determined that “a specific government service is not excluded from classification as a ‘specific government service’ merely because an indirect benefit to a nonpayor occurs incidentally and without cost to the payor as a consequence of providing the specific government service to the payor.”6
3. Reasonable Cost
SCMWID services will be implemented carefully to ensure they do not exceed the reasonable cost of such services. The full amount assessed will be used to provide the services described herein. Funds will be managed by the SCMWA and reports submitted on an annual basis to the County. Only assessed wineries will be featured in marketing materials, receive sales leads generated from SCMWIDfunded activities, be featured in advertising campaigns, and benefit from other SCMWID-funded services. The assessed winery list (Appendix 2) was compiled from records provided by each jurisdiction and complies with the requirements of the 94 Law. Pursuant to Streets and Highways Code Section 36615, the County Board of Supervisors’ (Board of Supervisors) determination of ownership is final and conclusive, with no obligation to obtain other information. Non-assessed wineries will not receive these, nor any other, SCMWID-funded services and benefits.
The SCMWID -funded programs are targeted directly to benefit assessed wineries. SCMWID funds shall only be spent to benefit the assessed wineries, and shall not be spent on that portion of any program which directly generates incidental sales for non-assessed wineries.
D. Assessment
The annual assessment rate is one percent (1%) of gross direct to consumer sales revenue on winery sales. Beginning in the second year of the SCMWID term, the assessment rate may be increased by the Owners’ Association to a maximum rate of two percent (2%) of gross direct to consumer sales revenue on winery sales. The maximum increase or decrease in a year shall be no more than one-half of one percent (0.5%). If the assessment rate is increased, it may subsequently be decreased but shall not be decreased below a minimum of one percent (1%) of gross direct to consumer sales revenue on winery sales.
3 Government Code § 53758(a)
4 Cal. Const. art XIII C § 1(e)(2)
5 Government Code § 53758(b)
6 Government Code § 53758(b)
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Based on the benefit received, assessments will not be collected on wholesale, purchases made outside of the state of California or purchases made pursuant to contracts executed prior to November 1, 2025. Revenue generated from the SCMWID is intended only to provide programs and services for assessed wineries, all of which are located in California. Sales made outside of the state of California are not subject to assessment due to a lack of benefit. Assessment dollars will not be spent on any programs or activities to benefit individual wineries outside of the state of California. Assessment dollars may be spent outside of California to elevate the notoriety of the Santa Cruz Mountains as a premier winery destination with the desired outcome of increased in-person visitation to wineries paying the assessment.
The assessment was calculated based on the total cost of the activities to be provided for the benefit of the wineries within the SCMWID with costs allocated based on the proportional benefit conferred to each winery. Activities funded by the SCMWID are specifically targeted to increase winery sales revenue at assessed wineries. All winery sales do not represent the same benefit to the payors. For example, a higher priced winery sale is of greater benefit than a lower priced winery sale because the assessee derives greater revenue. To account for this benefit differential and to make sure the benefits are proportional, an assessment formula based on a percentage of revenue has been selected. The proposed formula accurately reflects greater benefit to assessed wineries with higher priced winery sales.
The term “gross direct to consumer sales revenue” as used herein means: all direct-to-consumer (DTC) sales of wine, wine club shipments (whether shipped or picked up), tasting room sales, merchandise, food, revenue from orders placed via telemarketing, telephone, online, email, whether carried out at the time of purchase, shipped or picked up at a later date (pre-sales). “Gross direct to consumer sales revenue” shall not include any sales made outside of the state of California.
The assessment is levied upon and a direct obligation of the assessed winery. However, the assessed winery may, at its discretion, pass the assessment on to customers. The amount of assessment, if passed on to each customer, shall be disclosed in advance and separately stated from the amount charged and any other applicable taxes, and each customer shall receive a receipt for payment from the business. If the SCMWID assessment is identified separately it shall be disclosed as the “SCMWID Assessment.” The assessment is imposed solely upon, and is the sole obligation of the assessed winery even if it is passed on to customers. The California Department of Tax and Fee Administration (CDTFA) issued a written opinion that state sales tax applies to the revenue generated from business improvement district (BID) assessments on items where state sales tax is levied. In light of CDTFA’s opinion, businesses that pay both state sales tax and SCMWID assessments on sales are advised to collect sales tax on the assessment revenue.
Bonds shall not be issued.
E. Overdue Charges and Interest
The SCMWID shall reimburse the County or third-party collection agency for any costs associated with collecting unpaid assessments.
1. Original Delinquency
Any winery that fails to remit any assessment imposed by this Plan within the time required shall pay an overdue charge of ten percent (10%) of the amount of the assessment in addition to the assessment.
2. Continued Delinquency
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Any winery that fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first became delinquent shall pay a second delinquency overdue charge of ten percent (10%) of the assessment in addition to the assessment and the ten percent (10%) overdue charge first imposed.
3. Fraud
If the County or third-party collection agency determines that the nonpayment of any remittance due under this article is due to fraud, an overdue charge of twenty-five percent (25%) of the amount of the assessment shall be added thereto in addition to the overdue charges stated in subsections one (1) and two (2) of this section.
4. Interest
In addition to the overdue charges imposed, any winery who fails to remit any assessment imposed by this section shall pay interest at the rate of one-quarter of one percent (0.25%) per month or fraction thereof on the amount of the assessment, exclusive of overdue charges, from the date on which the remittance first became delinquent until paid.
F. Time and Manner for Collecting Assessments
The SCMWID assessment will be implemented beginning November 1, 2025 or as soon as possible thereafter, and ending five (5) years from its start date. The County or a third-party collection agency will be responsible for collecting the assessment on a quarterly basis (including any delinquencies, overdue charges and interest) from each winery located in each jurisdiction within the SCMWID. The County or a third-party collection agency shall take all reasonable efforts to collect the assessments from each winery. The County or a third-party collection agency shall forward the assessments collected to the Owners’ Association.
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V. GOVERNANCE
A. Owners’ Association
The Board of Supervisors, through adoption of this Plan, has the right, pursuant to Streets and Highways Code §36651, to identify the body that shall implement the proposed program, which shall be the Owners’ Association of the SCMWID as defined in Streets and Highways Code §36612. The Board of Supervisors has determined that SCMWA shall serve as the Owners’ Association for the SCMWID.
B. Brown Act and California Public Records Act Compliance An Owners’ Association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. The Owners’ Association is, however, subject to government regulations relating to transparency, namely the Ralph M. Brown Act and the California Public Records Act. These regulations are designed to promote public accountability. The Owners’ Association acts as a legislative body under the Ralph M. Brown Act (Government Code §54950 et seq.). Thus, meetings of the SCMWA Board and certain committees must be held in compliance with the public notice and other requirements of the Brown Act.
Accordingly, the Owners’ Association shall publicly report any action taken and the vote or abstention on that action of each member present for the action. The Owners’ Association is also subject to the record keeping and disclosure requirements of the California Public Records Act.
C. Annual Report
The SCMWA shall present an annual report at the end of each year of operation to the Board of Supervisors pursuant to Streets and Highways Code §36650 (see Appendix 1). The annual report shall include:
• Any proposed changes in the boundaries of the improvement district or in any benefit zones or classification of businesses within the district.
• The improvements and activities to be provided for that fiscal year. • An estimate of the cost of providing the improvements and the activities for that fiscal year. • The method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for that fiscal year.
• The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
• The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.
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APPENDIX 1 – LAW
CURRENT THROUGH ALL LEGISLATION OF THE 2024 REGULAR AND SPECIAL SESSIONS
STREETS AND HIGHWAYS CODE
DIVISION 18. PARKING
PART 7. PROPERTY AND BUSINESS IMPROVEMENT DISTRICT LAW OF 1994 CHAPTER 1. General Provisions
ARTICLE 1. Declarations
36600. Citation of part
This part shall be known and may be cited as the “Property and Business Improvement District Law of 1994.” 36601. Legislative findings and declarations; Legislative guidance
The Legislature finds and declares all of the following:
(a) Businesses located and operating within business districts in some of this state’s communities are economically disadvantaged, are underutilized, and are unable to attract customers due to inadequate facilities, services, and activities in the business districts. (b) It is in the public interest to promote the economic revitalization and physical maintenance of business districts in order to create jobs, attract new businesses, and prevent the erosion of the business districts. (c) It is of particular local benefit to allow business districts to fund business related improvements, maintenance, and activities through the levy of assessments upon the businesses or real property that receive benefits from those improvements.
(d) Assessments levied for the purpose of conferring special benefit upon the real property or a specific benefit upon the businesses in a business district are not taxes for the general benefit of a city, even if property, businesses, or persons not assessed receive incidental or collateral effects that benefit them. (e) Property and business improvement districts formed throughout this state have conferred special benefits upon properties and businesses within their districts and have made those properties and businesses more useful by providing the following benefits:
(1) Crime reduction. A study by the Rand Corporation has confirmed a 12-percent reduction in the incidence of robbery and an 8-percent reduction in the total incidence of violent crimes within the 30 districts studied.
(2) Job creation.
(3) Business attraction.
(4) Business retention.
(5) Economic growth.
(6) New investments.
(f) With the dissolution of redevelopment agencies throughout the state, property and business improvement districts have become even more important tools with which communities can combat blight, promote economic opportunities, and create a clean and safe environment. (g) Since the enactment of this act, the people of California have adopted Proposition 218, which added Article XIII D to the Constitution in order to place certain requirements and restrictions on the formation of, and activities, expenditures, and assessments by property-based districts. Article XIII D of the Constitution provides that property-based districts may only levy assessments for special benefits. (h) The act amending this section is intended to provide the Legislature’s guidance with regard to this act, its interaction with the provisions of Article XIII D of the Constitution, and the determination of special benefits in property-based districts.
(1) The lack of legislative guidance has resulted in uncertainty and inconsistent application of this act, which discourages the use of assessments to fund needed improvements, maintenance, and activities in property-based districts, contributing to blight and other underutilization of property. (2) Activities undertaken for the purpose of conferring special benefits upon property to be assessed inherently produce incidental or collateral effects that benefit property or persons not assessed. Therefore, for special benefits to exist as a separate and distinct category from general benefits, the incidental or collateral effects of those special benefits are inherently part of those
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special benefits. The mere fact that special benefits produce incidental or collateral effects that benefit property or persons not assessed does not convert any portion of those special benefits or their incidental or collateral effects into general benefits. (3) It is of the utmost importance that property-based districts created under this act have clarity regarding restrictions on assessments they may levy and the proper determination of special benefits. Legislative clarity with regard to this act will provide districts with clear instructions and courts with legislative intent regarding restrictions on property-based assessments, and the manner in which special benefits should be determined.
36602. Purpose of part
The purpose of this part is to supplement previously enacted provisions of law that authorize cities to levy assessments within property and business improvement districts, to ensure that those assessments conform to all constitutional requirements and are determined and assessed in accordance with the guidance set forth in this act.
This part does not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes. 36603. Preemption of authority or charter city to adopt ordinances levying assessments
Nothing in this part is intended to preempt the authority of a charter city to adopt ordinances providing for a different method of levying assessments for similar or additional purposes from those set forth in this part. A property and business improvement district created pursuant to this part is expressly exempt from the provisions of the Special Assessment Investigation, Limitation and Majority Protest Act of 1931 (Division 4 (commencing with Section 2800)).
36603.5. Part prevails over conflicting provisions
Any provision of this part that conflicts with any other provision of law shall prevail over the other provision of law, as to districts created under this part.
36604. Severability
This part is intended to be construed liberally and, if any provision is held invalid, the remaining provisions shall remain in full force and effect. Assessments levied under this part are not special taxes.
ARTICLE 2. Definitions
36606. “Activities”
“Activities” means, but is not limited to, all of the following that benefit businesses or real property in the district:
(a) Promotion of public events.
(b) Furnishing of music in any public place.
(c) Promotion of tourism within the district.
(d) Marketing and economic development, including retail retention and recruitment. (e) Providing security, sanitation, graffiti removal, street and sidewalk cleaning, and other municipal services supplemental to those normally provided by the municipality. (f) Other services provided for the purpose of conferring special benefit upon assessed real property or specific benefits upon assessed businesses located in the district. 36606.5. “Assessment”
“Assessment” means a levy for the purpose of acquiring, constructing, installing, or maintaining improvements and providing activities that will provide certain benefits to properties or businesses located within a property and business improvement district.
36607. “Business”
“Business” means all types of businesses and includes financial institutions and professions.
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36608. “City”
“City” means a city, county, city and county, or an agency or entity created pursuant to Article 1 (commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code, the public member agencies of which includes only cities, counties, or a city and county, or the State of California. 36609. “City council”
“City council” means the city council of a city or the board of supervisors of a county, or the agency, commission, or board created pursuant to a joint powers agreement and which is a city within the meaning of this part. 36609.4. “Clerk”
“Clerk” means the clerk of the legislative body.
36609.5. “General benefit”
“General benefit” means, for purposes of a property-based district, any benefit that is not a “special benefit” as defined in Section 36615.5.
36610. “Improvement”
“Improvement” means the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following:
(a) Parking facilities.
(b) Benches, booths, kiosks, display cases, pedestrian shelters and signs. (c) Trash receptacles and public restrooms.
(d) Lighting and heating facilities.
(e) Decorations.
(f) Parks.
(g) Fountains.
(h) Planting areas.
(i) Closing, opening, widening, or narrowing of existing streets. (j) Facilities or equipment, or both, to enhance security of persons and property within the district. (k) Ramps, sidewalks, plazas, and pedestrian malls.
(l) Rehabilitation or removal of existing structures.
36611. “Management district plan”; “Plan”
“Management district plan” or “plan” means a proposal as defined in Section 36622. 36612. “Owners’ association”
“Owners’ association” means a private nonprofit entity that is under contract with a city to administer or implement improvements, maintenance, and activities specified in the management district plan. An owners’ association may be an existing nonprofit entity or a newly formed nonprofit entity. An owners’ association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. Notwithstanding this section, an owners’ association shall comply with the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5 of the Government Code), at all times when matters within the subject matter of the district are heard, discussed, or deliberated, and with the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code), for all records relating to activities of the district. 36614. “Property”
“Property” means real property situated within a district.
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36614.5. “Property and business improvement district”; “District”
“Property and business improvement district,” or “district,” means a property and business improvement district established pursuant to this part.
36614.6. “Property-based assessment”
“Property-based assessment” means any assessment made pursuant to this part upon real property. 36614.7. “Property-based district”
“Property-based district” means any district in which a city levies a property-based assessment. 36615. “Property owner”; “Business owner”; “Owner”
“Property owner” means any person shown as the owner of land on the last equalized assessment roll or otherwise known to be the owner of land by the city council. “Business owner” means any person recognized by the city as the owner of the business. “Owner” means either a business owner or a property owner. The city council has no obligation to obtain other information as to the ownership of land or businesses, and its determination of ownership shall be final and conclusive for the purposes of this part. Wherever this part requires the signature of the property owner, the signature of the authorized agent of the property owner shall be sufficient. Wherever this part requires the signature of the business owner, the signature of the authorized agent of the business owner shall be sufficient. 36615.5. “Special benefit”
(a) “Special benefit” means, for purposes of a property-based district, a particular and distinct benefit over and above general benefits conferred on real property located in a district or to the public at large. Special benefit includes incidental or collateral effects that arise from the improvements, maintenance, or activities of property-based districts even if those incidental or collateral effects benefit property or persons not assessed. Special benefit excludes general enhancement of property value. (b) “Special benefit” also includes, for purposes of a property-based district, a particular and distinct benefit provided directly to each assessed parcel within the district. Merely because parcels throughout an assessment district share the same special benefits does not make the benefits general. 36616. “Tenant”
“Tenant” means an occupant pursuant to a lease of commercial space or a dwelling unit, other than an owner.
ARTICLE 3. Prior Law
36617. Alternate method of financing certain improvements and activities; Effect on other provisions
This part provides an alternative method of financing certain improvements and activities. The provisions of this part shall not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes. Every improvement area established pursuant to the Parking and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500) of this division) is valid and effective and is unaffected by this part.
CHAPTER 2. Establishment
36620. Establishment of property and business improvement district
A property and business improvement district may be established as provided in this chapter. 36620.5. Requirement of consent of city council
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A county may not form a district within the territorial jurisdiction of a city without the consent of the city council of that city. A city may not form a district within the unincorporated territory of a county without the consent of the board of supervisors of that county. A city may not form a district within the territorial jurisdiction of another city without the consent of the city council of the other city. 36621. Initiation of proceedings; Petition of property or business owners in proposed district
(a) Upon the submission of a written petition, signed by the property or business owners in the proposed district who will pay more than 50 percent of the assessments proposed to be levied, the city council may initiate proceedings to form a district by the adoption of a resolution expressing its intention to form a district. The amount of assessment attributable to property or a business owned by the same property or business owner that is in excess of 40 percent of the amount of all assessments proposed to be levied, shall not be included in determining whether the petition is signed by property or business owners who will pay more than 50 percent of the total amount of assessments proposed to be levied. (b) The petition of property or business owners required under subdivision (a) shall include a summary of the management district plan. That summary shall include all of the following:
(1) A map showing the boundaries of the district.
(2) Information specifying where the complete management district plan can be obtained. (3) Information specifying that the complete management district plan shall be furnished upon request.
(c) The resolution of intention described in subdivision (a) shall contain all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property or businesses within the district, a statement as to whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements do not need to be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities, and the location and extent of the proposed district. (2) A time and place for a public hearing on the establishment of the property and business improvement district and the levy of assessments, which shall be consistent with the requirements of Section 36623.
36622. Contents of management district plan
The management district plan shall include, but is not limited to, all of the following:
(a) If the assessment will be levied on property, a map of the district in sufficient detail to locate each parcel of property and, if businesses are to be assessed, each business within the district. If the assessment will be levied on businesses, a map that identifies the district boundaries in sufficient detail to allow a business owner to reasonably determine whether a business is located within the district boundaries. If the assessment will be levied on property and businesses, a map of the district in sufficient detail to locate each parcel of property and to allow a business owner to reasonably determine whether a business is located within the district boundaries.
(b) The name of the proposed district.
(c) A description of the boundaries of the district, including the boundaries of benefit zones, proposed for establishment or extension in a manner sufficient to identify the affected property and businesses included, which may be made by reference to any plan or map that is on file with the clerk. The boundaries of a proposed property assessment district shall not overlap with the boundaries of another existing property assessment district created pursuant to this part. This part does not prohibit the boundaries of a district created pursuant to this part to overlap with other assessment districts established pursuant to other provisions of law, including, but not limited to, the Parking and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500)). This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with another business assessment district created pursuant to this part. This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with a property assessment district created pursuant to this part. (d) The improvements, maintenance, and activities proposed for each year of operation of the district and the estimated cost thereof. If the improvements, maintenance, and activities proposed for each year of operation are the same, a description of the first year’s proposed improvements, maintenance, and activities
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and a statement that the same improvements, maintenance, and activities are proposed for subsequent years shall satisfy the requirements of this subdivision.
(e) The total annual amount proposed to be expended for improvements, maintenance, or activities, and debt service in each year of operation of the district. If the assessment is levied on businesses, this amount may be estimated based upon the assessment rate. If the total annual amount proposed to be expended in each year of operation of the district is not significantly different, the amount proposed to be expended in the initial year and a statement that a similar amount applies to subsequent years shall satisfy the requirements of this subdivision.
(f) The proposed source or sources of financing, including the proposed method and basis of levying the assessment in sufficient detail to allow each property or business owner to calculate the amount of the assessment to be levied against their property or business. The plan also shall state whether bonds will be issued to finance improvements.
(g) The time and manner of collecting the assessments.
(h) The specific number of years in which assessments will be levied. In a new district, the maximum number of years shall be five. Upon renewal, a district shall have a term not to exceed 10 years.
Notwithstanding these limitations, a district created pursuant to this part to finance capital improvements with bonds may levy assessments until the maximum maturity of the bonds. The management district plan may set forth specific increases in assessments for each year of operation of the district. (i) The proposed time for implementation and completion of the management district plan. (j) Any proposed rules and regulations to be applicable to the district. (k)
(1) A list of the properties or businesses to be assessed, including the assessor’s parcel numbers for properties to be assessed, and a statement of the method or methods by which the expenses of a district will be imposed upon benefited real property or businesses, in proportion to the benefit received by the property or business, to defray the cost thereof. (2) In a property-based district, the proportionate special benefit derived by each identified parcel shall be determined exclusively in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the activities. An assessment shall not be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on that parcel. Only special benefits are assessable, and a property-based district shall separate the general benefits, if any, from the special benefits conferred on a parcel. Parcels within a property-based district that are owned or used by any city, public agency, the State of California, or the United States shall not be exempt from assessment unless the governmental entity can demonstrate by clear and convincing evidence that those publicly owned parcels in fact receive no special benefit. The value of any incidental, secondary, or collateral effects that arise from the improvements, maintenance, or activities of a propertybased district and that benefit property or persons not assessed shall not be deducted from the entirety of the cost of any special benefit or affect the proportionate special benefit derived by each identified parcel.
(3) In a property-based district, properties throughout the district may share the same special benefits. In a district with boundaries that define which parcels are to receive improvements, maintenance, or activities over and above those services provided by the city, the improvements, maintenance, or activities themselves may constitute a special benefit. The city may impose assessments that are less than the proportional special benefit conferred, but shall not impose assessments that exceed the reasonable costs of the proportional special benefit conferred. Because one or more parcels pay less than the special benefit conferred does not necessarily mean that other parcels are assessed more than the reasonable cost of their special benefit. (l) In a property-based district, a detailed engineer’s report prepared by a registered professional engineer certified by the State of California supporting all assessments contemplated by the management district plan.
(m) Any other item or matter required to be incorporated therein by the city council. 36623. Procedure to levy assessment
(a) If a city council proposes to levy a new or increased property assessment, the notice and protest and hearing procedure shall comply with Section 53753 of the Government Code. (b) If a city council proposes to levy a new or increased business assessment, the notice and protest and hearing procedure shall comply with Section 54954.6 of the Government Code, except that notice shall be
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mailed to the owners of the businesses proposed to be assessed. A protest may be made orally or in writing by any interested person. Every written protest shall be filed with the clerk at or before the time fixed for the public hearing. The city council may waive any irregularity in the form or content of any written protest. A written protest may be withdrawn in writing at any time before the conclusion of the public hearing. Each written protest shall contain a description of the business in which the person subscribing the protest is interested sufficient to identify the business and, if a person subscribing is not shown on the official records of the city as the owner of the business, the protest shall contain or be accompanied by written evidence that the person subscribing is the owner of the business or the authorized representative. A written protest that does not comply with this section shall not be counted in determining a majority protest.
If written protests are received from the owners or authorized representatives of businesses in the proposed district that will pay 50 percent or more of the assessments proposed to be levied and protests are not withdrawn so as to reduce the protests to less than 50 percent, no further proceedings to levy the proposed assessment against such businesses, as contained in the resolution of intention, shall be taken for a period of one year from the date of the finding of a majority protest by the city council. (c) If a city council proposes to conduct a single proceeding to levy both a new or increased property assessment and a new or increased business assessment, the notice and protest and hearing procedure for the property assessment shall comply with subdivision (a), and the notice and protest and hearing procedure for the business assessment shall comply with subdivision (b). If a majority protest is received from either the property or business owners, that respective portion of the assessment shall not be levied. The remaining portion of the assessment may be levied unless the improvement or other special benefit was proposed to be funded by assessing both property and business owners. 36624. Changes to proposed assessments
At the conclusion of the public hearing to establish the district, the city council may adopt, revise, change, reduce, or modify the proposed assessment or the type or types of improvements, maintenance, and activities to be funded with the revenues from the assessments. Proposed assessments may only be revised by reducing any or all of them. At the public hearing, the city council may only make changes in, to, or from the boundaries of the proposed property and business improvement district that will exclude territory that will not benefit from the proposed improvements, maintenance, and activities. Any modifications, revisions, reductions, or changes to the proposed assessment district shall be reflected in the notice and map recorded pursuant to Section 36627. 36625. Resolution of formation
(a) If the city council, following the public hearing, decides to establish a proposed property and business improvement district, the city council shall adopt a resolution of formation that shall include, but is not limited to, all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property, businesses, or both within the district, a statement on whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements need not be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities and the location and extent of the proposed district. (2) The number, date of adoption, and title of the resolution of intention. (3) The time and place where the public hearing was held concerning the establishment of the district.
(4) A determination regarding any protests received. The city shall not establish the district or levy assessments if a majority protest was received.
(5) A statement that the properties, businesses, or properties and businesses in the district established by the resolution shall be subject to any amendments to this part. (6) A statement that the improvements, maintenance, and activities to be conferred on businesses and properties in the district will be funded by the levy of the assessments. The revenue from the levy of assessments within a district shall not be used to provide improvements, maintenance, or activities outside the district or for any purpose other than the purposes specified in the resolution of intention, as modified by the city council at the hearing concerning establishment of the district.
Notwithstanding the foregoing, improvements and activities that must be provided outside the
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district boundaries to create a special or specific benefit to the assessed parcels or businesses may be provided, but shall be limited to marketing or signage pointing to the district. (7) A finding that the property or businesses within the area of the property and business improvement district will be benefited by the improvements, maintenance, and activities funded by the proposed assessments, and, for a property-based district, that property within the district will receive a special benefit.
(8) In a property-based district, the total amount of all special benefits to be conferred on the properties within the property-based district.
(b) The adoption of the resolution of formation and, if required, recordation of the notice and map pursuant to Section 36627 shall constitute the levy of an assessment in each of the fiscal years referred to in the management district plan.
36627. Notice and assessment diagram
Following adoption of the resolution establishing district assessments on properties pursuant to Section 36625, the clerk shall record a notice and an assessment diagram pursuant to Section 3114. No other provision of Division 4.5 (commencing with Section 3100) applies to an assessment district created pursuant to this part. 36628. Establishment of separate benefit zones within district; Categories of businesses
The city council may establish one or more separate benefit zones within the district based upon the degree of benefit derived from the improvements or activities to be provided within the benefit zone and may impose a different assessment within each benefit zone. If the assessment is to be levied on businesses, the city council may also define categories of businesses based upon the degree of benefit that each will derive from the improvements or activities to be provided within the district and may impose a different assessment or rate of assessment on each category of business, or on each category of business within each zone. 36628.5. Assessments on businesses or property owners
The city council may levy assessments on businesses or on property owners, or a combination of the two, pursuant to this part. The city council shall structure the assessments in whatever manner it determines corresponds with the distribution of benefits from the proposed improvements, maintenance, and activities, provided that any propertybased assessment conforms with the requirements set forth in paragraph (2) of subdivision (k) of Section 36622. 36629. Provisions and procedures applicable to benefit zones and business categories
All provisions of this part applicable to the establishment, modification, or disestablishment of a property and business improvement district apply to the establishment, modification, or disestablishment of benefit zones or categories of business. The city council shall, to establish, modify, or disestablish a benefit zone or category of business, follow the procedure to establish, modify, or disestablish a property and business improvement district. 36630. Expiration of district; Creation of new district
If a property and business improvement district expires due to the time limit set pursuant to subdivision (h) of Section 36622, a new management district plan may be created and the district may be renewed pursuant to this part.
CHAPTER 3. Assessments
36631. Time and manner of collection of assessments; Delinquent payments
The collection of the assessments levied pursuant to this part shall be made at the time and in the manner set forth by the city council in the resolution levying the assessment. Assessments levied on real property may be collected at the same time and in the same manner as for the ad valorem property tax, and may provide for the same lien priority and penalties for delinquent payment. All delinquent payments for assessments levied pursuant to this part may be charged interest and penalties.
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36632. Assessments to be based on estimated benefit; Classification of real property and businesses; Exclusion of residential and agricultural property
(a) The assessments levied on real property pursuant to this part shall be levied on the basis of the estimated benefit to the real property within the property and business improvement district. The city council may classify properties for purposes of determining the benefit to property of the improvements and activities provided pursuant to this part.
(b) Assessments levied on businesses pursuant to this part shall be levied on the basis of the estimated benefit to the businesses within the property and business improvement district. The city council may classify businesses for purposes of determining the benefit to the businesses of the improvements and activities provided pursuant to this part.
(c) Properties zoned solely for residential use, or that are zoned for agricultural use, are conclusively presumed not to benefit from the improvements and service funded through these assessments, and shall not be subject to any assessment pursuant to this part. 36633. Time for contesting validity of assessment
The validity of an assessment levied under this part shall not be contested in an action or proceeding unless the action or proceeding is commenced within 30 days after the resolution levying the assessment is adopted pursuant to Section 36625. An appeal from a final judgment in an action or proceeding shall be perfected within 30 days after the entry of judgment.
36634. Service contracts authorized to establish levels of city services
The city council may execute baseline service contracts that would establish levels of city services that would continue after a property and business improvement district has been formed. 36635. Request to modify management district plan
The owners’ association may, at any time, request that the city council modify the management district plan. Any modification of the management district plan shall be made pursuant to this chapter. 36636. Modification of plan by resolution after public hearing; Adoption of resolution of intention
(a) Upon the written request of the owners’ association, the city council may modify the management district plan after conducting one public hearing on the proposed modifications. The city council may modify the improvements and activities to be funded with the revenue derived from the levy of the assessments by adopting a resolution determining to make the modifications after holding a public hearing on the proposed modifications. If the modification includes the levy of a new or increased assessment, the city council shall comply with Section 36623. Notice of all other public hearings pursuant to this section shall comply with both of the following:
(1) The resolution of intention shall be published in a newspaper of general circulation in the city once at least seven days before the public hearing.
(2) A complete copy of the resolution of intention shall be mailed by first class mail, at least 10 days before the public hearing, to each business owner or property owner affected by the proposed modification.
(b) The city council shall adopt a resolution of intention which states the proposed modification prior to the public hearing required by this section. The public hearing shall be held not more than 90 days after the adoption of the resolution of intention.
36637. Reflection of modification in notices recorded and maps
Any subsequent modification of the resolution shall be reflected in subsequent notices and maps recorded pursuant to Division 4.5 (commencing with Section 3100), in a manner consistent with the provisions of Section 36627. 36638. Assessment as government imposed fee on Civ C § 1770 transaction [Operative July 1, 2024]
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(a) A business assessment pursuant to this part is a fee imposed by a government on the transaction for purposes of paragraph (29) of subdivision (a) of Section 1770 of the Civil Code. (b) This section shall become operative on July 1, 2024.
CHAPTER 3.5. Financing
36640. Bonds authorized; Procedure; Restriction on reduction or termination of assessments
(a) The city council may, by resolution, determine and declare that bonds shall be issued to finance the estimated cost of some or all of the proposed improvements described in the resolution of formation adopted pursuant to Section 36625, if the resolution of formation adopted pursuant to that section provides for the issuance of bonds, under the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500)) or in conjunction with Marks-Roos Local Bond Pooling Act of 1985 (Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code). Either act, as the case may be, shall govern the proceedings relating to the issuance of bonds, although proceedings under the Bond Act of 1915 may be modified by the city council as necessary to accommodate assessments levied upon business pursuant to this part. (b) The resolution adopted pursuant to subdivision (a) shall generally describe the proposed improvements specified in the resolution of formation adopted pursuant to Section 36625, set forth the estimated cost of those improvements, specify the number of annual installments and the fiscal years during which they are to be collected. The amount of debt service to retire the bonds shall not exceed the amount of revenue estimated to be raised from assessments over 30 years.
(c) Notwithstanding any other provision of this part, assessments levied to pay the principal and interest on any bond issued pursuant to this section shall not be reduced or terminated if doing so would interfere with the timely retirement of the debt.
CHAPTER 4. Governance
36650. Report by owners’ association; Approval or modification by city council
(a) The owners’ association shall cause to be prepared a report for each fiscal year, except the first year, for which assessments are to be levied and collected to pay the costs of the improvements, maintenance, and activities described in the report. The owners’ association’s first report shall be due after the first year of operation of the district. The report may propose changes, including, but not limited to, the boundaries of the property and business improvement district or any benefit zones within the district, the basis and method of levying the assessments, and any changes in the classification of property, including any categories of business, if a classification is used.
(b) The report shall be filed with the clerk and shall refer to the property and business improvement district by name, specify the fiscal year to which the report applies, and, with respect to that fiscal year, shall contain all of the following information:
(1) Any proposed changes in the boundaries of the property and business improvement district or in any benefit zones or classification of property or businesses within the district. (2) The improvements, maintenance, and activities to be provided for that fiscal year. (3) An estimate of the cost of providing the improvements, maintenance, and activities for that fiscal year.
(4) The method and basis of levying the assessment in sufficient detail to allow each real property or business owner, as appropriate, to estimate the amount of the assessment to be levied against his or her property or business for that fiscal year.
(5) The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
(6) The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.
(c) The city council may approve the report as filed by the owners’ association or may modify any particular contained in the report and approve it as modified. Any modification shall be made pursuant to Sections 36635 and 36636.
The city council shall not approve a change in the basis and method of levying assessments that would impair an authorized or executed contract to be paid from the revenues derived from the levy of
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assessments, including any commitment to pay principal and interest on any bonds issued on behalf of the district.
36651. Designation of owners’ association to provide improvements, maintenance, and activities
The management district plan may, but is not required to, state that an owners’ association will provide the improvements, maintenance, and activities described in the management district plan. If the management district plan designates an owners’ association, the city shall contract with the designated nonprofit corporation to provide services.
CHAPTER 5. Renewal
36660. Renewal of district; Transfer or refund of remaining revenues; District term limit
(a) Any district previously established whose term has expired, or will expire, may be renewed by following the procedures for establishment as provided in this chapter. (b) Upon renewal, any remaining revenues derived from the levy of assessments, or any revenues derived from the sale of assets acquired with the revenues, shall be transferred to the renewed district. If the renewed district includes additional parcels or businesses not included in the prior district, the remaining revenues shall be spent to benefit only the parcels or businesses in the prior district. If the renewed district does not include parcels or businesses included in the prior district, the remaining revenues attributable to these parcels shall be refunded to the owners of these parcels or businesses. (c) Upon renewal, a district shall have a term not to exceed 10 years, or, if the district is authorized to issue bonds, until the maximum maturity of those bonds. There is no requirement that the boundaries, assessments, improvements, or activities of a renewed district be the same as the original or prior district.
CHAPTER 6. Disestablishment
36670. Circumstances permitting disestablishment of district; Procedure
(a) Any district established or extended pursuant to the provisions of this part, where there is no indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the district, may be disestablished by resolution by the city council in either of the following circumstances:
(1) If the city council finds there has been misappropriation of funds, malfeasance, or a violation of law in connection with the management of the district, it shall notice a hearing on disestablishment.
(2) During the operation of the district, there shall be a 30-day period each year in which assessees may request disestablishment of the district. The first such period shall begin one year after the date of establishment of the district and shall continue for 30 days. The next such 30-day period shall begin two years after the date of the establishment of the district. Each successive year of operation of the district shall have such a 30-day period. Upon the written petition of the owners or authorized representatives of real property or the owners or authorized representatives of businesses in the district who pay 50 percent or more of the assessments levied, the city council shall pass a resolution of intention to disestablish the district. The city council shall notice a hearing on disestablishment.
(b) The city council shall adopt a resolution of intention to disestablish the district prior to the public hearing required by this section. The resolution shall state the reason for the disestablishment, shall state the time and place of the public hearing, and shall contain a proposal to dispose of any assets acquired with the revenues of the assessments levied within the property and business improvement district. The notice of the hearing on disestablishment required by this section shall be given by mail to the property owner of each parcel or to the owner of each business subject to assessment in the district, as appropriate. The city shall conduct the public hearing not less than 30 days after mailing the notice to the property or business owners. The public hearing shall be held not more than 60 days after the adoption of the resolution of intention.
36671. Refund of remaining revenues upon disestablishment or expiration without renewal of district; Calculation of refund; Use of outstanding revenue collected after disestablishment of district
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(a) Upon the disestablishment or expiration without renewal of a district, any remaining revenues, after all outstanding debts are paid, derived from the levy of assessments, or derived from the sale of assets acquired with the revenues, or from bond reserve or construction funds, shall be refunded to the owners of the property or businesses then located and operating within the district in which assessments were levied by applying the same method and basis that was used to calculate the assessments levied in the fiscal year in which the district is disestablished or expires. All outstanding assessment revenue collected after disestablishment shall be spent on improvements and activities specified in the management district plan. (b) If the disestablishment occurs before an assessment is levied for the fiscal year, the method and basis that was used to calculate the assessments levied in the immediate prior fiscal year shall be used to calculate the amount of any refund.
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APPENDIX 2 – ASSESSED WINERIES*
Owner Name Business Name Address City, State,
Zip
Doon To Earth 10 Parade St., Suite
B
Aptos CA
95003
Armitage Wines 105 C Post Office
Dr
Aptos CA
95003
Salamandre Wine Cellars
L-Pship
108 Don Carlos Dr Aptos CA
95003
Saison Winery (Formerly
Partage)
11025 Alba Rd Ben Lomond
CA 95005
Sandar And Hem Wines 111 Corte Madera
Rd
Portola Valley
CA 94028
Kissed By An Angel
Wines
1210 Mount
Hermon Road
Scotts Valley
CA 95066
Left Bend Winery 12536 Spring
Blossom Ct.
Saratoga CA
95070
Maison Areion 140 Sunrise Drive Woodside CA
94062
Roudon-Smith Winery 14572 Big Basin
Way, Suite A
Saratoga CA
95070
Regan Vineyards &
Winery
1610 Green Valley
Rd
Corralitos CA
95076
La Vida Bella Vineyard 1624 Chardonnay
Ridge Rd
Aptos CA
95003
Ridge Vineyards 17100 Montebello
Rd
Cupertino CA
95014
Kings Mountain
Vineyards
187 Kings
Mountain Road
Woodside CA
94062
Lexington Wine
Co./Thomas Fogarty
Winery & Vineyards
19501 Skyline Blvd Woodside CA
94062
Mccarthy Family Estate
Vineyards
20108 Foster Road Los Gatos CA
95033
Birichino 204 Church Street Santa Cruz CA
95060
Gali Vineyards 21 W. Main St. Los Gatos CA
95030
Sante Arcangeli Family
Wines
216-A Stage Road Pescadero CA
94060
Domaine Eden 23000 Congress
Springs Rd
Saratoga CA
95070
Silver Mountain Vineyards 269 Silver
Mountain Dr
Los Gatos CA
95033
Santa Cruz Mountain
Vineyard
334 Ingalls St Suite
A
Santa Cruz CA
95060
SCMWID Management District Plan 29
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Equinox 334 Ingalls St, Unit
C
Santa Cruz CA
95060
Aptos Vineyard 400 Belle Monti
Avenue
Aptos CA
95003
Alfaro Family Vineyards
& Winery
420 Hames Road Corralitos CA
95076
Wargin Wines 5015 Soquel Dr Soquel CA
95073
Clos De La Tech 535 Eastview Way Woodside CA
94062
Windy Oaks Estate
Vineyards & Winery
550 Hazel Dell Rd Corralitos CA
95076
Neely Wine 555 Portola Road Portola Valley
CA 94028
Ferrari Ranch Wines 65 Magnifico Vita
Lane
Corralitos CA
95076
Charmant Vineyards 800 Larsen Road Aptos CA
95003
3P Winery L.L.C. 3P Winery 3490 Soquel San
Jose Rd
Soquel CA
95073
Alamitos Winery 23505 Alamitos Rd San Jose CA
95120
Amy Dilly Preaseau and
Jacques Noel Preaseau
Valley Vista Vineyards 110 Valley View
Rd
Watsonville
CA 95076
Anatum Winery Broaddus, Christopher
James
371 Falcon View
Terr
Watsonville
CA 95076
Aptos Creek Vineyard Aptos Creek Vineyard 520 Nisene
Meadows Ct
Aptos CA
95003
Aptos Vineyard Aptos Vineyard, LLC 105 Post Office Dr
Ste C
Aptos CA
95003-3953
Aptos Vineyard, LLC Aptos Vineyard 369 Silver
Mountain Dr
Los Gatos CA
95033
Armitage Wines Corp. Armitage Wines Corp 705 Canham Rd Scotts Valley CA 95066
Arpent, LLC Birichino 825 Walnut Ave Santa Cruz CA
95060
Bargetto's Santa Cruz
Winery, Inc.
Bargetto 3535 N Main St Soquel CA
95073
Beauregard Vineyards
LLC/Partage Wine Co. LLC
Beauregard
Vineyards/Partage Wine
Co. LLC
10 Pine Flat Rd Santa Cruz CA
95060
Beauregard, Andre Jacques West Cliff Wines 704 Soquel Ave Ste B
Santa Cruz CA
95062-2333
Bhoomanchi Vineyards LLC Bhoomanchi Vineyards 369 Silver Mountain Dr
Los Gatos CA
95033
SCMWID Management District Plan 30
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Big Basin Vineyards Big Basin Vineyards LLC 525 Pacific Ave Santa Cruz CA 95060-7175
Big Basin Vineyards LLC Big Basin Vineyards 830 Memory Ln Boulder Creek CA
95006
Bottle Jack Wines Ritchey Iv, John Lloyd 328 Ingalls St D Santa Cruz CA 95060-5882
Brooks, Thomas Edwin Tom Brooks Winery 90 Country Estates Dr
Santa Cruz CA
95060-9776
Brosseau Wines LLC First Growth Wine
Company
22090 Mt Eden
Road
Saratoga CA
95070
Bruce Cantz Four Gates Winery 503 Happy Valley
Rd
Santa Cruz CA
95065
Charmant 800 Larsen Road Aptos CA
95003
Christopher Broaddus Anatum 375 Falcon View
Ter
Watsonville
CA 95076
Clos De La Tech LLC Clos De La Tech 1000 Fern Hollow
Rd
La Honda CA
94020
Clos Tita Winery Estrada, David S 4 Kendall Ln Santa Cruz CA 95066
Coastal Range Vineyards Coastal Range Vineyards,
Inc.
420 Lost Pear Way
A 24X36 Structure
Santa Cruz CA
95065-9725
Coastal Range Vineyards,
Inc.
Inversion Wines 75 Mt Hermon Rd Scotts Valley,
CA 95066
Corralitos Ridge Vineyards
Corporation/Private Vine
Wines, LLC
Corralitios Ridge
Winery
815 Almar Ave
Unit H
Santa Cruz CA
95060
Craig, Anthony Sonnet Wine Cellars 369 Silver
Mountain Dr
Los Gatos CA
95033
David Bruce Winery, Inc. David Bruce Winery 21439 Bear Creek Rd
Los Gatos CA
95033
David Lee Moulton Burrell Schoolvineyards 24060 Summit Rd Los Gatos CA 95033
Dee Vine Wines Dee Vine Wines 34 Big Tree Wy Woodside CA 94062-3775
Devincenzi Cellars LLC/A
& A Los Gatos Winery LLC
24572 Hutchinson
Rd
Los Gatos CA
95033
Donald E. Naumann Naumann Vineyards 16505 Montebello
Rd
Cupertino CA
95014
Dorsa Management
Company, LLC
La Rusticana D'Orsa 15680 Kennedy Rd Los Gatos CA
95032
Equinox Jackson, Barry Cook 427 Swift St # C Santa Cruz CA 95062
Everett Family Farm LLC Everett Family Farm, LLC 2119 Old San Jose Rd
Soquel CA
95073
SCMWID Management District Plan 31
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Farm Day Family Winery,
LLC
Farm Day Family Winery,
LLC
18157 Wagner Rd Los Gatos CA
95032-6619
Fernwood Cellars, Inc. Fernwood Cellars, Inc. 7137 Redwood Retreat Rd
Gilroy CA
95020
Florez Wines J. G. Jelks Wines L.L.C. 2487 Freedom
Blvd Unit 3
Watsonville
CA 95076-
1049
Full Circle Wines LLC Full Circle Wines 7090 Mcadams Ln Felton CA 95018-9454
Gali Vineyards, Inc. Gali Vineyards 362 Old Smith Rd Watsonville CA 95076
Garage Winemaker LLC Baccarossa 19620 Redberry Dr Los Gatos CA 95303
Garrod Trust Cooper-Garrod Vineyards 22645 Garrod Rd Saratoga CA 95070
Ghost Oaks Winery Inc. El Vaquero Winery 18 Hangar Way
Unit C
Watsonville
CA 95076
Ghost Oaks Winery, Inc. El Vaquero Winery 2901 Freedom
Blvd
Corralitos CA
95076
Gliessman, Stephen Richard Condors Hope Ranch 144 De La Costa Ave
Santa Cruz CA
95060
Green Earth Zayante Green Earth Liangs Inc 420 Old Mount Rd Felton CA 95018
Griffin Hill Vineyards, LLC 18035 Skyline Blvd Los Gatos CA 95033
Hallcrest Vineyards, Inc. Hallcrest Vineyards 379 Felton Empire Rd
Felton CA
95018
Hartmann, Robert Frank Las Nietas Vineyard 335 Via Concha Aptos CA 95003-5604
Heart O The Mountain Heart O The Mountain
LLC
705 Canham Rd Scotts Valley
CA 95066-
2729
Henry M. And Linda J.
Mchenry
Mchenry Vineyard 6821 Bonny Doon
Rd
Santa Cruz CA
95060
Hicks, Alan Ainsley Ainsley Family Vineyard 2805 Pleasant Valley Rd
Aptos CA
95003-9785
Hillcrest Winery Rexford Winery 429 Ingalls St Santa Cruz CA 95060
Hoffacker, Bernhard Joseph Portola Hills Vineyard 801 La Honda Rd Woodside CA 94062-4808
Hovis, Linda Closs Linda Vista Wines 118 Via Novella Aptos CA 95003
Hwy 9 Winery, LLC Hwy 9 Winery 120 Gail Dr Felton CA
95018-9631
SCMWID Management District Plan 32
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Integrity Wines, Lp, Integrity
Wines, LLC, Gp/Reya
Cellars, LLC
12 Hands Winery/Reya
Cellars
135 Aviation Way
Ste
16 Watsonville
CA 95062
J. Edward Muns Muns Vineyard 25600 Loma Prieta
Ave
Los Gatos CA
95033
James & Margaret A. Alberti Alberti Vineyard 106 Richardson Rd Santa Cruz CA 95065
James D. Ross And Jenny N.
Ross
Rosscienda Vineyard 1172 Redwood
Heights Rd Bldg
Aptos CA
95003
James, Kathleen Ann Charles Usher 24110 Congress
Springs Rd
Saratoga CA
95070-9706
Jeffrey M. Barranti J.M. Barranti Vineyards 24842 Skyland Rd Los Gatos CA 95033
John D. Benedetti Sante Arcangeli Family
Wines
23 Blake Ave Corralitos CA
95076
John Lloyd Ritchey Iv Bottle Jack Cellars 1088 La Madrona Dr
Santa Cruz CA
95060
Kathryn Kennedy Winery Kathryn Kennedy Winery 13180 Pierce Rd Saratoga CA 95070
Kennedy Hill Associates
LLC
Kennedy Hill Associates
LLC
15050 Kennedy Rd Los Gatos CA
95032
King, David James People's Beverage
Company, The
1214 Fair Ave Santa Cruz CA
95060-5838
Kingston Family Vineyards
LLC
Kingston Family
Vineyards
520 La Mesa Dr Portola Valley
CA 94028
Kissed By An Angel Wines,
LLC
Kissed By An Angel
Wines
2535 7Th Ave Unit
4 Santa Cruz CA
95062
Kissed By An Angel Wines,
LLC
Kissed By An Angel
Wines, LLC
75 Mt Hermon Rd Scotts Valley,
CA 95066
La Barbera Family Winery
LLC
Labarbera Family Winery 6591 Woodcliff Ct San Jose CA
95120-4551
La Madrona Vineyard And
Winery
1851 La Madrona
Dr
Santa Cruz CA
95060
La Magnifico Vita, LLC Ferrari Ranch Wines 65 Magnifico Vita Ln
Watsonville
CA 95076-
0385
La Vida Bella Vineyard, LLC La Vida Bella Vineyard 44 Oak Tree Ln Aptos CA 95003
Lago Lomita Vineyards, LLC Lago Lomita Vineyards,
LLC
25200 Loma Prieta
Ave
Los Gatos CA
95033
Lester Company, LLC Lester Estate Wines 1950 Pleasant
Valley Rd
Aptos CA
95003
Lexington Hills LLC Lexington Hills 19802 Old Santa
Cruz
Hwy
Los Gatos CA
95033
SCMWID Management District Plan 33
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Little Ridge Vineyards, LLC Little Ridge Vineyard 153 Las Colinas Rd Corralitos CA 95076
Lokteff Winery & Vineyards,
LLC
Wrights Station Vineyard
& Winery
24250 Loma Prieta
Ave
Los Gatos CA
95033
Loma Prieta Winery L.L.C. Loma Prieta Winery 26985 Loma Prieta Way
Los Gatos CA
95033
Los Altos Vineyards, LLC. Byington 21850 Bear Creek
Rd
Los Gatos CA
95030
Lost Cellars, LLC Unwritten Wines 70 Tripp Ct Woodside CA 94062-4232
M E V Corporation Mount Eden Vineyards 23000 Congress
Springs Rd
Saratoga CA
95070
M.E.V. Corporation Mount Eden Vineyards 22020 Mount
Eden Rd
Saratoga CA
95070
Madson Wines LLC Madson Wines 328 Ingalls St Ste
G
Santa Cruz CA
95060
Margins Wine Cubby Margins Wine LLC 402 Ingalls St Ste
18 Santa Cruz CA
95060-5800
Margins Wine LLC Margins Wine 2487 Freedom
Blvd
Unit 3
Watsonville
CA 95076
Martella LLC/Thomas
Fogarty Winery, LLC
Martella Wines/Thomas
Fogarty Winery
5937 Alpine Rd Portola
Valley CA
94028
Martin Ranch Winery, Inc. Martin Ranch 6675 Redwood
Retreat Rd
Gilroy CA
95020
Mayo, Keegan Keoni Mayo Cellars 1008 Cayuga St Santa Cruz CA 95062-2422
Michael & Lynne
Muccigrosso
Muccigrosso
Vineyards
21450 Bear Creek
Rd
Los Gatos CA
95033
Michael V. & Lois E. Sones Sones Cellars 334 B Ingalls St Ste B
Santa Cruz CA
95060
Mindego Ridge Winery 9645 Alpine Rd La Honda CA
94020
Mja Vineyards LLC Mja Vineyard 328 Ingalls St Santa Cruz CA 95060
Monte Roble Vineyards
LLC/Silver Mountain
Vineyards
Left Bend/Silver
Mountain Vineyard
369 Silver
Mountain
Dr
Los Gatos CA
95033
Nazario Ranch Vineyards
LLC
Nazario Ranch Vineyards 22484 Eden Valley
Ct
Saratoga CA
95070-9757
Neely Wines 575 Portola Rd Portola Valley
CA 94028
SCMWID Management District Plan 34
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Nicholson Vineyards
Winery,
Inc.
Nicholson Vineyards
Winery,
Inc.
2800 Pleasant
Valley
Rd
Aptos CA
95003
Nicolas Vonderheyden (Gp)
-
Chaine D'Or Vineyards,
Limited
Partnership
Chaine D'Or Vineyards 140 Sunrise Dr Woodside CA
94062
Old Oak Vineyard, Inc. House Family Winery 13330 Old Oak Way
Saratoga CA
95070
Overshine Wine Co Overshine Cellars, LLC 103 Stockton Ave Capitola CA 95010
P &Amp; M Staiger Staiger, Marjorie 1300 Hopkins
Gulch Rd
Boulder Creek
CA 95006
Pacific Rim Marketing Pacific Rim Marketing Inc 1306 Via Tornasol Aptos CA 95003-5654
Partage Wine Co. LLC Partage Wine 346 N Santa Cruz
Ave
Los Gatos CA
95030-7243
Patland Estate Vineyards
LLC
Patland Estate Vineyards 110 Madera Ct Los Gatos CA
95032-5720
Patrick James And Molly
Claire Surgalski
16252 Niles Rd Los Gatos CA
95033
Pelio Vineyard, LLC Pelio Vineyard 14573 Big Basin
Way
Saratoga CA
95070
Peter Serventi Serventi Ranch 65 Litchfield Ln Watsonville CA 95076
Peter Thibodeau Thibodeau Vineyard 431 Coyote Ridge
Rd
Aptos CA
95003
Phil & Peggy Crews Pelican Ranch
Winery
2364 Bean Creek
Rd Dr
Scotts Valley
CA 95066
Picchetti Winery Inc Picchetti Winery Inc 13100 Montebello Rd
Cupertino CA
95014
Pleasant Valley Vineyards Handley, Cathy Lynn 600 Pleasant Vly Rd
Aptos CA
95003
Private Vine Wines Private Vine Wines, LLC 815 Almar Ave Unit H
Santa Cruz CA
95060-5873
Prolific Vines Vineyard LLC Prolific Vines 165 Happy Acres Rd
Los Gatos CA
95032-5704
R And W Pursuits LLC R & W Vineyards 15060 Montebello
Rd
Cupertino CA
95014
Rachael Henrichsen 1120 17Th Ave
Bldg
Rear
Santa Cruz CA
95062
Radonich Bros Vineyards
LLC
Radonich Bros Vineyards
LLC
25205 Apple Hill
Rd
Los Gatos CA
95033-9719
SCMWID Management District Plan 35
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Raffaelli Vineyards, LLC Raffaelli Vineyards 3357 Chardonnay Rd
Soquel CA
95073
Randal Lee West And Larae
West
Freedom Wineworks 2321 Freedom
Blvd
Watsonville
CA 95076
Ratka, Michael Patrick Split Barrel Cider 285 Allen Rd Woodside CA 94062-4401
Redwood Ridge Estate LLC Redwood Ridge Estate 21435 Summit Rd Los Gatos CA 95033-8400
Regan Vineyards Winery,
LLC
Regan Vineyards Winery,
LLC
1772 Seascape
Blvd
Aptos CA
95003-5864
Rhys Vineyards, LLC Rhys Vineyards 11715 Skyline Blvd Los Gatos CA 95033
Richard & Mary Kay Alfaro Alfaro Family Farm
& Vineyards
496 Hames Rd Corralitos CA
95076
Ridge Vineyards, Inc. Ridge Vineyards, Inc. 18100 Montebello Rd
Cupertino CA
95014
Robert J. Goldspink Granite Ridge
Vineyard
895 Granite Ridge
Dr
Santa Cruz CA
95065
Robert's Ranch Vineyards,
Inc.
Robert’s Ranch Vineyards,
Inc.
875 Roberts Rd Ben Lomond
CA 95005
Roy S. Fellom And Roy E.
Fellom
Fellom Ranch
Vineyards
17075 Montebello
Rd
Cupertino CA
95014
Russian Ridge Winery LLC Russian Ridge Winery 20245 Skyline Blvd Woodside CA 94062-3729
Saison 346 N Santa Cruz
Ave
Los Gatos CA
95030
Santa Cruz Cider Company Santa Cruz Cider
Company LLC
65 Hanger Wy C Watsonville
CA 95076-
2476
Santa Cruz Mountain
Vineyard LLC
Santa Cruz
Mountain Vineyard
334 A Ingalls St Santa Cruz CA
95060
Santa Cruz Vineyards Santa Cruz Vineyards LPship2300 Jarvis Rd Santa Cruz CA 95065
Sante Arcangeli Family
Wines
Sante Arcangeli Family
Wines LLC
154 Aptos Village
Way C1
Aptos CA
95003
Sante Arcangeli Family
Wines LLC
Sante Arcangeli Family
Wines
79 North St Pescadero CA
94060
Savannah-Chanelle
Vineyards, Inc.
23600 Congress
Springs Rd
Saratoga CA
95070
Schroeder Schroeder &Amp;
Deits LLC
Los Gatos Wines 19135 Overlook
Rd
Los Gatos CA
95030-4115
Scotts Valley Winery, LLC Scotts Valley Winery 2364 Bean Creek Rd
Scotts Valley
CA 95066
Silver Mountain Vineyards Silver Mountain Vineyards 328 Ingalls St D Santa Cruz CA 95060-5882
SCMWID Management District Plan 36
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Sonnet 69 Silver Mountain
Dr
Los Gatos CA
95033
Soquel Vineyards 8063 Glen Haven
Rd
Soquel CA
95073
Spanish Ranch Winery, LLC Spanish Ranch
Winery
24000 Spanish
Ranch Rd
Los Gatos CA
95033
Steelhead Engineering, Inc. 1850 Day Valley
Rd
Aptos CA
95003
Stockwell Cellars, Inc. Stockwell Cellars 1100 Fair Ave Bldg A
Santa Cruz CA
95060
Storrs Winery & Vineyard,
Ltd.
1560 Pleasant
Valley Rd
Aptos CA
95003
Storrs Winery & Vineyard,
Ltd.
Storrs Winery 303 Potrero St Ste
35,8
Santa Cruz CA
95060
Strategy Partners
International
Windy Oaks Estate 380 Sweetwood
Way
Corralitos CA
95076
Sunridge Wines LLC Sunridge Wines LLC 433 Sunridge Dr Scotts Valley CA 95066-
4938
Tanuki Cider Honda, Robert Satoshi 334 Ingalls St # B Santa Cruz CA 95060-5880
Testarossa Vineyards, LLC Testarossa
Vineyards
300 College Ave Los Gatos CA
95030
The Mountain Winery 14831 Pierce Road Saratoga
The Ragavan Family 2000
Living Trust
Valencia Wineries 45 Valencia Ct Portola Valley
CA 94028-
7923
The Schaadt Wine Group,
LLC
Regale Winery And
Vineyards
24040 Summit Rd Los Gatos CA
95033
Tmr Cellars LLC Tmr Cellars, LLC 416 Bahr Dr Ben Lomond CA 95005-
9643
Tomaino, Kathryn,
Vidovich,
John, Michael & Mary Jane
Vidovich Vineyards 18101 Montebello
Rd
Cupertino CA
95014
Us Grant 2300 Jarvis Rd Santa Cruz CA
95065
Walsh Wine LLC Ser 13 Mesa Way Watsonville
CA 95076-
9656
Walsh Wine LLC Ser 427 C Swift St Santa Cruz CA
95060
Wargin Wines Wargin Wines LLC 5015 Soquel Dr Soquel CA
95073
SCMWID Management District Plan 37
May 20, 2025
Owner Name Business Name Address City, State,
Zip
Wolff And Father Wines Wolff, Leonard Frank 514 Calabasas Rd Watsonville CA 95076-
0412
Woodside Farm Vineyard
LLC
Woodside Farm Vineyard 1 Vintage Ct Woodside CA
94062
Workman, Michael Lee Weener'S Leap Cellars 14918 Three Oaks Ct
Saratoga CA
95070-5500
*The list was developed with the most reliable information provided; however, the list may contain discrepancies. This list shall include any future to-be opened businesses. Any business that may have been missed in this list, but is still within the boundaries of the SCMWID, shall also be subject to assessment.
August 22, 2025
TO: City of Scotts Valley
RE: Support for the Santa Cruz Mountains Wine Improvement District I am writing in support of the formation of the Santa Cruz Mountains Wine Improvement District (SCMWID).
Muns Vineyard is a small, family-owned vineyard and winery, on the Loma Prieta ridge since 1997. We are proud to support the Santa Cruz Mountains AVA, have been involved with the Winegrowers Association (SCMWA) for over 20 years, and we believe that the Wine Improvement District is important to the continued viability of our AVA as a vibrant wine growing region that attracts visitors to enjoy all that the Santa Cruz Mountains has to offer – in Scotts Valley and throughout the mountains.
Through WBID-funded programs we can raise the visibility of the Santa Cruz Mountains as a wine region, attract more visitors to our wineries and local communities, and thereby benefit other local businesses. Consumers already support tourism districts, restaurant districts, etc. and these efforts have proven effective without driving customers away.
An Association model as we have currently that relies on member dues is susceptible to industry changes. A WBID will provide stable, predictable funding for sustained programs. This model has worked successfully in Temecula, Livermore, Amador County and Santa Barbara County, and it ensures long-term investment in the region’s growth. The WBID will help the Santa Cruz Mountains compete on a larger stage and allow us to tell our story more effectively, attract more visitors, and support not just wineries but the broader hospitality and tourism economy.
The recent closure of the Monterey County Vintners and Growers Association underscores the importance of forming a Wine Improvement District in Santa Cruz County. Without a sustainable, industry-led funding model, the long-term viability of our local wine industry could be at risk. Establishing the SCMWID ensures we have the resources, structure, and stability to promote and protect the Santa Cruz Mountains wine region for years to come.
I urge you to support the formation of the Santa Cruz Mountains Wine Improvement District. This is an investment in the future of our wine region and our community.
Thank you for your consideration,
Mary Lindsay
Muns Vineyard
25600 Loma Prieta Ave.
Los Gatos, CA 95033
408-234-2079
Aug 22, 2025
Scotts Valley City Council
1 Civic Center Drive
Scotts Valley, CA 95066
Subject: Establishing a Santa Cruz Mountains Wine Improvement District (SCMWID) Dear Members of the Scotts Valley City Council,
Dear Scotts Valley City Mayer, Derek Timm,
We, the owners of Pelican Ranch Winery, are writing to express strong support for the proposal to create a Santa Cruz Mountains Wine Improvement District (SCMWID). Our winery is proudly located in Scotts Valley (1997-2003, & 2019 - present), and our mission is to promote the unique character and potential of the Santa Cruz Mountains wine region.
The SCMWID will be a self-assessment initiated and governed by the wineries themselves, with oversight to ensure transparency and accountability. The assessment to be introduced is modest yet the long-term value of increased tourism and visibility will be huge. It directly will directly fund programs that benefit all participating wineries. Consumers already support regional promotion in many industries (e.g., tourism districts, restaurant districts, winery districts), and these efforts have proven effective in CA without driving customers away. Assessments will be collected by Santa Cruz County through existing tax processes. Individual winery sales or allocation data will never be disclosed, ensuring full confidentiality under California Revenue and Taxation Code.
The creation of the SCMWID would provide enormous benefit to our Scotts Valley community and some of these are briefly sketched next. The SCMWID will enhance our Regional Identity. This tool will elevate the profile of Santa Cruz Mountains wines through coordinated marketing and outreach efforts. The SCMWID will Support Local Business Growth. We predict this will enhance visitation and tourism to our community. That outcome will benefit not only wineries, but also restaurants, hotels, and small businesses. The SCMWID will Enhance Community Value. We believe this mechanism will reinforcing the region’s reputation for artisanal creativity while strengthening the local economy. The SCMWID will Leverage Collective Investment. It seems guaranteed that pooling resources from the participating wineries will achieve initiatives that no single winery could accomplish alone.
In closing we underscore that Pelican Ranch Winery has long been committed to producing highquality wines that reflect the character of our region, while also contributing to the cultural and economic vitality of Scotts Valley. We believe the SCMWID will serve as a vital step in ensuring the long-term success of our wine community.
We respectfully urge the Scotts Valley City Council to support the establishment of the Wine Improvement District for the Santa Cruz Mountains. By doing so, you will help safeguard a treasured and historic part of our local identity while generating broad benefits for residents, businesses, and visitors alike. Thank you for your leadership and for considering this important initiative.
Sincerely,
Phillip & Peggy Crews
Owners, & Head of Winemaking
PELICAN RANCH WINERY 2364 Bean Creek Road, Scotts Valley, CA P (831) 332-5359 E [email protected]