CONSIDER BALLOTS FOR THE PROPOSED SAN JOAQUIN AREA FLOOD
CONTROL AGENCY MOSSDALE TRACT OVERLAY ASSESSMENT DISTRICT
FORMATION AS RELATED TO CITY-OWNED PROPERTIES
RECOMMENDATION
Consider ballots for the proposed San Joaquin Area Flood Control Agency (SJAFCA) Mossdale Tract Assessment District formation, as related to City-owned properties, and authorize the City Manager to execute ballots for City-owned properties in response to the proposed annual assessment.
Summary
The City of Stockton is a Member Agency of the San Joaquin Area Flood Control Agency (SJAFCA). SJAFCA’s mission is to reduce and manage the region’s flood risk.
Toward that end, the Agency has objectives and priority actions that include delivering projects and programs to improve flood protection.
On April 18, 2024, the SJAFCA Board of Directors adopted a resolution of intention to form an assessment district to provide of the local cost share for a ~$473M levee improvement project to provide an Urban Level of Flood Protection (ULOP) to the Mossdale Tract Area, in compliance with CA Senate Bill 5. This action initiated an assessment ballot proceeding pursuant to the Benefit Assessment Act of 1982 (Government Code §54703 et seq.), Article XIII D of the California Constitution, and the Proposition 218 Omnibus Implementation Act (Government Code §53750 et seq.). A summary of the 10 assessed parcels with assessments totaling $2,731.78 and map showing these parcels is included in Attachment A. Copies of the single ballot (up to 10 parcels are listed per ballot) and Notice are included as Attachments B & C.
DISCUSSION
Background
SJAFCA, a joint powers authority of the City of Stockton, San Joaquin County, the San Joaquin County Flood Control and Water Conservation District, the City of Lathrop and the City of Manteca, is responsible for reducing flood risk for the greater-Stockton metropolitan region through planning, financing and implementing projects and programs to improve flood protection.
SJAFCA’s priorities include advancing flood protection improvements to provide an Urban Level of Flood Protection (200-year), as defined by the California Department of Water Resources, in the Mossdale Tract Area of the County. The Mossdale Tract area includes Weston Ranch in south Stockton, the City of Lathrop west of the San Joaquin River, the western portions of the City of Manteca and the unincorporated portions of the County between the cities. Since 2018, SJAFCA has been working with the Cities of Lathrop, Manteca and Stockton and San Joaquin County to advance the funding program for 200-Year improvements to the levee system protecting the area. This would include improvements to the existing Reclamation District 17 (RD 17) levees to ensure they meet Urban Levee Design Criteria as well as the construction of an extension to the dryland levee south of Manteca to the east (the Project). Seventy-seven percent of the cost for the ~$473M Project is expected to be paid by state and federal agencies.
Figure 1 following provides a diagram showing the extent of the proposed improvements.
Figure 1
To secure state and federal funding, SJAFCA must pay the remaining thirty-three percent of project costs (local cost share). To generate the required local cost share, SJAFCA and its member agencies have implemented the following:
• Mossdale Tract Regional Development Impact Fee Program; and, • Mossdale Tract Area Enhanced Infrastructure Financing District.
The proposed Mossdale Overlay Assessment District is the third component of SJAFCA’s plan to fund the local cost share.
As part of the resolution of intention to form the Assessment District adopted by SJAFCA, SJAFCA preliminarily approved an Engineer’s Report that describes the methodology for determining the amount of benefit received by each property. The Preliminary Engineer’s Report (Attachment D) is available on the SJAFCA website at https://www.sjafca.org/OAD
. Each property’s assessment is proportional to the amount of benefit received from the services funded provided by the assessment. The benefit to each property is the avoidance of flood damage to land and structures resulting from 200-year levee improvements and maintenance. The factors used to determine each property’s assessment include land use type, parcel size, structure type and size, location of the property, and flood depth.
Under California law, only property owners within the proposed assessment district boundary are eligible to vote on the proposed assessment. This includes public agencies. Each property’s vote is weighted by the amount of its proposed assessment.
The assessment will not be imposed if the weighted votes against the assessment are greater than the weighted votes in favor.
If the assessment is not approved by property owners, the community will lose eligibility for state and federal funding and the ability to implement the improvements. As a result, flood risk would increase over time, and the area would be subject to the regulatory impacts of SB 5 and related development and redevelopment moratorium. It would also place the community at risk of FEMA remapping and the associated flood insurance mandate in the future.
Present Situation
The City of Stockton owns 10 parcels that will receive benefit from the services provided by the Mossdale Tract Overlay Assessment District. The proposed annual assessments for all parcels totals $2,731.78 (Attachment A summary). The maximum authorized Assessment Rate may be increased in future years by an annual inflationary escalator based on the annual change in the Consumer Price Index, subject to a minimum of 0 percent and a maximum of 4 percent in any given year, upon approval by the SJAFCA Board of Directors. The City has been mailed one ballot (there are up to 10 parcels listed per ballot) that is being presented to the City Council for consideration.
FINANCIAL SUMMARY
As noted above, the City is the owner on record for 10 parcels that will receive benefit from the services provided by Mossdale Tract Overlay Assessment District. If the assessment is approved by property owners and SJAFCA approves the formation of the Assessment District, the City would be directly billed by SJAFCA for the assessment on an annual basis. As described above, the maximum authorized Assessment Rate may be increased in future years by an annual inflationary escalator based on the annual change in the Consumer Price Index, subject to a minimum of 0 percent and a maximum of 4 percent in any given year, upon approval by the SJAFCA Board of Directors after a noticed Public Hearing.
There is no immediate fiscal impact to the City as a result of taking action related to the ballots. The fiscal impact will depend upon the outcome of the ballot proceeding and any subsequent action taken by SJAFCA.
If approved, the initial fiscal impact to the City is estimated to be $2,731.38 in the first year, with an unknown annual escalator not-to-exceed four percent (4%). Funds will be appropriated through the FY 2024-25 budget process and budgeted accordingly during subsequent years.
Attachment A - Summary of Assessments for City of Stockton Owned Parcels and Map of Parcels and Assessment District Boundary
Attachment B - Assessment Ballots for City-owned parcels Attachment C - Ballot Notice and Information Guide
Attachment D – Mossdale Tract Overlay Assessment Preliminary Engineer’s Report