City Council Staff Report Page 1 of 3 June 23, 2026
Staff Report
Agenda Item No. 5.1
DATE: June 23, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Conduct a Public Hearing, Confirm the Assessments and Order the Levy and Collection of Assessments for the Landscape and Lighting Assessment District No. 3 for Fiscal Year 2026-2027
EXECUTIVE SUMMARY
The City Council annually conducts proceedings to levy and collect assessments that support the maintenance and operation of Landscape and Lighting Assessment District (LLAD) No. 3. LLAD No. 3 provides funding for the maintenance and operation of public landscaping, irrigation, lighting, traffic signals, street maintenance, and other related improvements throughout the City.
The annual assessment process for Fiscal Year (FY) 2026–2027 is now at its final stage.
Staff recommends that the City Council:
1. Conduct a public hearing regarding the proposed FY 2026–2027 assessments for LLAD No. 3;
2. Consider all public testimony and any written protests received;
3. Confirm the assessments for FY 2026–2027; and
4. Adopt a Resolution confirming the assessments and ordering the levy and collection of assessments for LLAD No. 3 for FY 2026–2027.
STRATEGIC PLAN ALIGNMENT
This agenda item is aligned with the following:
Goal D: Create a healthy, sustainable community and maintain and improve the City’s infrastructure.
BACKGROUND
Pursuant to the Landscaping and Lighting Act of 1972, the City Council is required to annually review and levy assessments for LLAD No. 3. Previous steps in this process included the preparation of the Annual Engineer’s Report and the City Council's declaration of its intention to levy and collect assessments for FY 2026–2027. The next Agenda Item No. 5.1
City Council Staff Report Page 2 of 3 June 23, 2026
and final step is to conduct a public hearing, consider any public testimony or protests received, and confirm and levy the assessments for FY 2026–2027.
On April 14, 2026, the City Council adopted Resolution No. 2026-039 initiating proceedings for the levy of assessments for FY 2026–2027 and directing NBS Government Finance Group to prepare and file the Annual Engineer’s Report with the City Clerk.
On May 26, 2026, the City Council adopted Resolution No. 2026-069 and Resolution No. 2026-070 approving the Annual Engineer’s Report, declaring its intention to levy and collect assessments for FY 2026–2027, and setting June 23, 2026, as the date for the required public hearing.
Notice of the public hearing was published in accordance with the requirements of the Landscaping and Lighting Act of 1972.
DISCUSSION
The Annual Engineer’s Report for LLAD No. 3 has been prepared and filed with the City Clerk. The report identifies the improvements and services to be maintained, the estimated costs associated with those services, the assessment methodology, and the proposed assessments for FY 2026–2027.
At this meeting, the City Council will conduct the required public hearing regarding the proposed assessments. Following the conclusion of the public hearing, the City Council may consider all public testimony and any written protests received. If a majority protest does not exist, the City Council may confirm the assessments and order the levy and collection of assessments for FY 2026–2027.
Approval of the attached Resolution will confirm the assessments as described in the Annual Engineer’s Report and authorize City staff, with the assistance of NBS Government Finance Group, to prepare and submit the levy of assessments to Alameda County to place the assessments on the FY 2026–2027 secured property tax roll.
FISCAL IMPACT
For FY 2026–2027, the total estimated maintenance and administrative costs for LLAD No. 3 are $3,929,698.31. The proposed assessments are projected to generate $2,676,236.36, and the City's contribution toward general and citywide benefit costs is estimated at $772,040.00.
To address the remaining funding shortfall and fully fund the estimated FY 2026-2027 maintenance and operational costs, the City will need to provide an additional $481,421.95, for a combined total contribution of $1,253,461.95.
Agenda Item No. 5.1
City Council Staff Report Page 2 of 3 June 23, 2026
Agenda Item No. 5.1
City Council Staff Report Page 3 of 3 June 23, 2026
RECOMMENDATION
Staff recommends that the City Council:
1. Conduct a public hearing regarding the proposed FY 2026–2027 assessments for LLAD No. 3;
2. Consider all public testimony and any written protests received;
3. Confirm the assessments for FY 2026–2027; and
4. Adopt a Resolution confirming the assessments and ordering the levy and collection of assessments for LLAD No. 3 for FY 2026–2027.
Prepared by: Diana Cangco, City Engineer
Submitted by: Marilou Ayupan, Public Works Director
Attachments
1. Draft Resolution
2. PowerPoint Presentation