ACTION:
____________________________
Clerk/Secretary
Department: Finance Item No: PH2
Prepared by: Liliana Montes, Sr. Management Analyst Meeting Date: June 14, 2022 Approved by:
Mike Sylvia, Finance Director
Patrick Johnson, City Manager Agenda Location: Public Hearing SUBJECT: COLLECTION OF DELINQUENT SEWER SERVICE CHARGES RECOMMENDATION:
1.Open, conduct, and close a public hearing to receive public testimony regarding delinquent sewer service charges.
2.Adopt City Council Resolution No. 2022- , approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2022/23 tax roll for unpaid sewer service charges.
3.Adopt Buena Sanitation District Resolution No. 2022- , approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2022/23 tax roll for unpaid sewer service charges.
CORRELATION TO CITY COUNCIL GOALS: Fiscal Responsibility.
PRIOR ACTION: On June 8, 2021, adopted City Council Resolution No. 2021-94, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2021/22 tax roll for unpaid sewer service charges; and adopted Buena Sanitation District Resolution No. 2021-11, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2021/22 tax roll for unpaid sewer service charges (Vote: 5-0) See Exhibit 7 for a complete list of City Council and Buena Sanitation District Board actions.
STATEMENT ON THE SUBJECT: Sewer service charges are levied upon every parcel of real property having a connection to the sewer system. On November 14, 2017, based upon an updated sewer rate study, the City Council and the Buena Sanitation District Board (District) conducted required proceedings and a public hearing to establish sewer service charges, payment due dates, and collection methods for Fiscal Years 2018/19 through 2022/23. Chapter 14.04 of the Vista Municipal Code and Chapter 4 of the Buena Sanitation District Code provide that sewer service charges are payable by July 1 of each fiscal year for which services will be provided. All sewer service charges not paid by July 1 are deemed delinquent.
The City Council and the District may, by adoption of a resolution approved by two-thirds of its members, provide that delinquent sewer charges be collected on the property tax roll each year. There is no penalty AGENDA
REPORT
CITY COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
SUCCESSOR AGENCY
BUENA SANITATION DISTRICT
JOINT POWERS FINANCING AUTHORITY
06/14/2022 PH2 1 of 13
Approved above recommendation, adopted City Council Resolution No. 2022-92; and 2) Buena Sanitation District Resolution No. 2022-14. Vote: 5-0
MEETING DATE: June 14, 2022 PAGE 2
SUBJECT: COLLECTION OF DELINQUENT SEWER SERVICE CHARGES to the rate payer for placing the delinquent charge on the tax roll. Action on this item does not affect the sewer service charge rates for Fiscal Year 2022/23 as the rates were set by ordinance in 2017; it only affects how the delinquent charges are going to be billed and collected.
Report of Delinquent Sewer Service Charges. Sewer service bills for Fiscal Year 2022/23 have been mailed to all City and District sewer customers; however, most customers prefer to have the charges placed on the property tax roll. As of the writing of this report, fees totaling $802,306.52 for the City and $274,390.00 for the District have been remitted.
The Finance Department has compiled a report of properties with unpaid sewer service charges for the period July 1, 2022, through June 30, 2023, which may now be placed on the Fiscal Year 2022/23 general property tax roll (Exhibits 3 and 4). These total $22,076,273.53 for 16,463 parcels in the City and $8,010,644.00 for 6,300 parcels in the District. The City and District will continue to accept payment from sewer service customers up through June 30, 2022, and any accounts paid in full by that date will not be placed on the property tax roll.
Several sewer service billings are done manually, thus they cannot be placed on the property tax roll.
These include sewer service customers, such as the County of San Diego and Vista Unified School District that do not receive property tax bills. These billings account for the remaining amount included in the proposed operating budget.
Several properties were manually billed during Fiscal Year 2021/22 for sewer service charges not placed on the 2021/22 tax roll and have unpaid balances. The unpaid prior period charges ($384,147.50 for the City, $25,220.30 for the District) have been compiled in a report, and can be placed on the Fiscal Year 2022/23 general property tax roll (Exhibits 5 and 6).
FISCAL IMPACT:
City Rates. City sewer service charge revenues for Fiscal Year 2022/23 are estimated at $24,247,924 in the proposed operating budget. As of the writing of this report, of the estimated total, $13,974,817, is a revenue source to the City Sewer Fund 501 to provide for operation and maintenance of the sewer system, the storm water program, and sewage treatment at the Encina Wastewater Treatment facility.
The remaining $10,273,107. provides for capital repair and replacement projects in Vista Sewer Capital Replacement Fund 503 as identified in the Capital Improvement Program Budget, along with the City’s share of the capital portion of the Encina Wastewater Authority budget.
District Rates. District sewer service charge revenues for Fiscal Year 2022/23 are estimated at $8,318,211 in the proposed operating budget. Of the estimated total, $5,403,305 is a revenue source to the Buena Sewer Fund 504 to provide for operation and maintenance of the sewer system, including sewage treatment at the Encina Wastewater Treatment facility, as well as a transfer to the City Sewer Fund 501 for the District’s share of the storm water program. The remaining $2,914,906 provides for capital repair and replacement projects in Buena Sewer Capital Replacement Fund 506 as identified in the Capital Improvement Program Budget, along with the District’s share of the capital portion of the Encina Wastewater Authority budget.
EXHIBITS:
1.City Council Resolution No. 2022- , approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2022/23 tax roll for unpaid sewer service charges
2.Buena Sanitation District Resolution No. 2022- , approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2022/23 tax roll for unpaid sewer service charges
3.Report of Vista Sewer Assessment for Fiscal Year 2022/23 (on file in the Office of the City Clerk) 06/14/2022 PH2 2 of 13
MEETING DATE: June 14, 2022 PAGE 3
SUBJECT: COLLECTION OF DELINQUENT SEWER SERVICE CHARGES
4. Report of Buena Sanitation Sewer Assessment for Fiscal Year 2022/23 (on file in the Office of the Clerk of the Board)
5.Report of Vista Sewer Delinquent Accounts – FY 2022/23 Assessment Fund 609526
6.Report of Buena Sewer Delinquent Accounts – FY 2022/23 Assessment Fund 694071
7.Prior City Council and Buena Sanitation District Board Actions 06/14/2022 PH2 3 of 13
00107800 1
RESOLUTION NO. 2022-
A RESOLUTION OF THE CITY COUNCIL OF THE CHARTERED CITY OF
VISTA, CALIFORNIA, APPROVING LIENS ON ASSESSOR'S PARCELS
WITHIN THE CITY OF VISTA TO BE COLLECTED WITH THE GENERAL PROPERTY TAXES ON THE FISCAL YEAR 2022/23 TAX ROLL FOR
UNPAID SEWER SERVICE CHARGES
The City Council of the City of Vista does resolve as follows:
1. Findings. The City Council hereby finds and declares the following:
A.Pursuant to Section 5471 of the Health & Safety Code ("Code"), a Sewer Service Charge ("Charge") on property within the City of Vista has been approved by Ordinance Nos. 2003-17 and 2017-19 to provide for the annual cost of operating and maintaining sewer systems ("Services") within the City.
B.Pursuant to Section 5473 of the Code, unpaid fees and charges for Services may be placed as a lien upon the parcels for which the Services have been or will be provided.
C.The Director of Finance/Treasurer has reviewed all unpaid fees and charges for the period of July 1, 2022, through June 30, 2023, and for prior service periods, in a report to the City Council ("Report"), a copy of which is on file in the Office of the City Clerk, and the Report has now been reviewed by the City Council.
D.A properly noticed hearing has been duly conducted by the City Council concerning the proposed collection of unpaid fees and charges along with the general property taxes for the 2022/23 fiscal year by placing a lien on each of the parcels that have been provided or will be provided the Services and for which the fees and charges are now unpaid, all as required by law.
2. Action.
A.The unpaid fees and charges for the Services for the period July 1, 2022, through June 30, 2023, and prior service periods, as set forth in the Report, are hereby confirmed. The total amount of unpaid fees and charges confirmed herein shall constitute a lien against each respective parcel of land as it appears on the assessment roll for 2022/23 fiscal year.
B.The City Clerk shall forward and file a certified copy of this Resolution, along with a copy of the confirmed Report, to the San Diego County Auditor with the request that the County Auditor add the total amount of unpaid fees and charges for each parcel to the property tax roll for 2022/23, and the amount of such charges shall be collected along with the general property taxes for the fiscal year.
[Continued on page 2.]
06/14/2022 PH2 4 of 13
EXHIBIT 1
RESOLUTION NO. 2022-
CITY COUNCIL OF THE CHARTERED CITY OF VISTA
PAGE 2
00107800 1
3.Adoption. PASSED AND ADOPTED at a meeting of the City Council held on June 14, 2022, by the following vote:
AYES:
NOES:
ABSTAIN:
APPROVED AS TO FORM:
WALTER C. CHUNG, ACTING CITY ATTORNEY
By:
JUDY RITTER, MAYOR
ATTEST:
KATHY VALDEZ, CITY CLERK
By:
APPROVED
Walter C. Chung
20220602105707
06/14/2022 PH2 5 of 13
00107801 1
RESOLUTION NO. 2022-
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BUENA
SANITATION DISTRICT, CALIFORNIA, APPROVING LIENS ON
ASSESSOR'S PARCELS WITHIN THE DISTRICT TO BE COLLECTED WITH THE GENERAL PROPERTY TAXES ON THE FISCAL YEAR 2022/23
TAX ROLL FOR UNPAID SEWER SERVICE CHARGES
The Board of Directors of the Buena Sanitation District does resolve as follows:
1. Findings. The Board of Directors (Board) hereby finds and declares the following:
A.Pursuant to Section 5471 of the Health & Safety Code ("Code"), a Sewer Service Charge ("Charge") on property within the Buena Sanitation District has been approved by Ordinance Nos. 2003-1 and 2017-1 to provide for the annual cost of operating and maintaining sewer systems ("Services") within the District.
B.Pursuant to Section 5473 of the Code, unpaid fees and charges for Services may be placed as a lien upon the parcels for which the Services have been or will be provided.
C.The Director of Finance/Treasurer has reviewed all unpaid fees and charges for the period of July 1, 2022, through June 30, 2023, and for prior service periods, in a report to the Board ("Report"), a copy of which is on file in the Office of the Clerk of the Board, and the Report has now been reviewed by the Board.
D.A properly noticed hearing has been duly conducted by the Board concerning the proposed collection of unpaid fees and charges along with the general property taxes for the 2022/23 fiscal year by placing a lien on each of the parcels that have been provided or will be provided the Services and for which the fees and charges are now unpaid, all as required by law.
2. Action.
A.The unpaid fees and charges for the Services for the period July 1, 2022, through June 30, 2023, and prior service periods, as set forth in the Report, are hereby confirmed. The total amount of unpaid fees and charges confirmed herein shall constitute a lien against each respective parcel of land as it appears on the assessment roll for 2022/23 fiscal year.
B.The Clerk of the Board shall forward and file a certified copy of this Resolution, along with a copy of the confirmed Report, to the San Diego County Auditor with the request that the County Auditor add the total amount of unpaid fees and charges for each parcel to the property tax roll for 2022/23, and the amount of such charges shall be collected along with the general property taxes for the fiscal year.
[Continued on page 2.]
06/14/2022 PH2 6 of 13
EXHIBIT 2
RESOLUTION NO. 2022-
BUENA SANITATION DISTRICT BOARD
PAGE 2
00107801 1
3. Adoption. PASSED AND ADOPTED at a meeting of the Board held on June 14, 2022, by the following vote:
AYES:
NOES:
ABSTAIN:
APPROVED AS TO FORM:
WALTER C. CHUNG, ACTING DISTRICT
COUNSEL
By:
JUDY RITTER, CHAIRPERSON
ATTEST:
KATHY VALDEZ, CLERK OF THE BOARD
By:
APPROVED
Walter C. Chung
20220602105707
06/14/2022 PH2 7 of 13
EXHIBIT 3
On file in the Office of the City Clerk
06/14/2022 PH2 8 of 13
EXHIBIT 3
EXHIBIT 4
On file in the Office of the Clerk of the Board
06/14/2022 PH2 9 of 13
EXHIBIT 4
FY 21/22 DELINQUENT VISTA SEWER ASSESSMENT ‐ TO BE PLACED ON 22/23 TAX ROLL Assessment District #609526
A P N Charge A P N Charge A P N Charge
1625121500 1,543.00$ 1732504940 463.00$ 1790943700 694.00$ 1642423400 1,486.00$ 1733102800 174.00$ 2195022600 694.00$ 1660514000 3,749.50$ 1741311600 1,880.00$
1660808507 1,711.00$ 1751360300 2,098.00$ TOTAL 384,147.50$ 1660808509 1,204.00$ 1791930700 243.00$
1660808512 694.00$ 1801731200 921.00$
1660808520 636.00$ 1801810954 1,486.00$
1660808521 636.00$ 1831707900 674.00$
1660808522 636.00$ 1732504909 397.00$
1660808553 346.00$ 1732504779 921.00$
1660808553 405.00$ 1732504769 694.00$
1660808554 751.00$ 1732504920 1,091.00$
1660808556 751.00$ 1634700223 694.00$
1660808558 578.00$ 1660808524 694.00$
1660808559 751.00$ 1660808525 694.00$
1660808560 751.00$ 1660808526 694.00$
1660808561 751.00$ 1660808541 977.00$
1642313800 261.00$ 1660808544 977.00$
1662313900 174.00$ 1660808568 977.00$
1711422200 1,080.00$ 1667712400 694.00$
1730804000 109,772.00$ 1694311000 347.00$
1732504701 1,261.00$ 1732504702 521.00$
1732504720 694.00$ 1732504718 1,073.00$
1732504721 694.00$ 1732504731 1,317.00$
1732504725 1,091.00$ 1732504759 636.00$
1732504727 1,261.00$ 1732504766 694.00$
1732504732 694.00$ 1732504774 694.00$
1732504734 1,261.00$ 1732504782 921.00$
1732504736 1,147.00$ 1732504901 397.00$
1732504760 636.00$ 1732504904 397.00$
1732504761 636.00$ 1732504908 1,091.00$
1732504906 1,091.00$ 1732504913 1,486.00$
1732504914 486.00$ 1732504915 1,543.00$
1732504925 680.00$ 1732504916 1,430.00$
1732504926 1,655.00$ 1732504924 578.00$
1732504932 521.00$ 1732504929 229.00$
1732504933 463.00$ 1734113702 694.00$
1732504938 405.00$ 1751373000 62,361.00$
1732504939 463.00$ 1763006100 145,102.00$
06/14/2022 PH2 10 of 13
EXHIBIT 5
FY21/22 DELINQUENT BUENA SEWER ASSESSMENT‐ TO BE PLACED ON 22/23 TAX ROLL Assessment District #694071
A P N Charge
1811216300 466.00$
1811216500 776.00$
1832203010 663.00$
2170240119 774.00$
2170240133 718.00$
2170240134 718.00$
2170240135 718.00$
2170240136 718.00$
2170240137 718.00$
2170240139 553.00$
2170240140 774.00$
2170240141 774.00$
2170240154 939.00$
2170240156 939.00$
2195322200 240.00$
1840810700 1,346.00$
1840810800 1,294.00$
1840811000 1,139.00$
1840811100 1,190.00$
1840811300 1,190.00$
1840811500 621.00$
1840811600 414.00$
1840811900 198.30$
1840812000 1,190.00$
1840812100 1,190.00$
1840812400 1,397.00$
1842812400 621.00$
1843026400 621.00$
2170240151 995.00$
2173400839 663.00$
2175013400 663.00$
TOTAL 25,220.30$
06/14/2022 PH2 11 of 13
EXHIBIT 6
EXHIBIT 7
PRIOR ACTIONS
COLLECTION OF DELINQUENT SEWER SERVICE CHARGES
On June 8, 2021, adopted City Council Resolution No. 2021-94, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2021/22 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2021-11, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2021/22 tax roll for unpaid sewer charges (Vote: 5-0) On May 26, 2020, adopted City Council Resolution No. 2020-83, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2020/21 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2020-20, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2020/21 tax roll for unpaid sewer charges (Vote: 5-0) On May 28, 2019, adopted City Council Resolution No. 2019-72, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2019/20 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2019-08, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2019/20 tax roll for unpaid sewer charges (Vote: 5-0) On June 12, 2018, adopted City Council Resolution No. 2018-106, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2018/19 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2018-13, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2018/19 tax roll for unpaid sewer charges (Vote:4-0, Rigby Absent)
On June 13, 2017, adopted City Council Resolution No. 2017-93, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2017/18 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2017-4, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2017/18 tax roll for unpaid sewer charges (Vote: 5-0) On June 14, 2016, adopted City Council Resolution No. 2016-98, approving liens on assessor’s parcels within the City of Vista to be collected with the general property taxes on the Fiscal Year 2016/17 tax roll for unpaid sewer charges; and adopted Buena Sanitation District Resolution No. 2016-9, approving liens on assessor’s parcels within the District to be collected with the general property taxes on the Fiscal Year 2016/17 tax roll for unpaid sewer charges (Vote: 5-0) On June 9, 2015, adopted City Council Resolution No. 2015-103, to collect unpaid sewer charges for the 2015/16 fiscal year, and prior periods, on the 2015/16 property tax roll; and adopted Buena Sanitation District Resolution No. 2015-8 to collect unpaid sewer service charges for the 2015/16 fiscal year, and prior periods, on the 2015/16 property tax roll (Vote: 5-0) On June 10, 2014, adopted City Council Resolution No. 2014-102, to collect unpaid sewer service charges for the 2014/15 Fiscal Year, and prior periods, on the 2014/15 property tax roll; and adopted Buena Sanitation District Resolution No. 2014-9, to collect unpaid sewer service charges 06/14/2022 PH2 12 of 13
EXHIBIT 7
for the 2014/15 Fiscal Year, and prior periods, on the 2014/15 property tax roll (Vote: 4-1, Campbell opposed).
On June 11, 2013, adopted City Council Resolution No. 2013-100, to collect unpaid sewer service charges for the 2013/14 Fiscal Year, and prior periods, on the 2013/14 property tax roll; and adopted Buena Sanitation District Resolution No. 2013-7, to collect unpaid sewer service charges for the 2013/14 Fiscal Year, and prior periods, on the 2013/14 property tax roll (Vote: 5-0).
On April 23, 2013, introduced and adopted City Council Ordinance No. 2013-4, establishing rates for sewer service charges for the Vista Sewer System; and, introduced and adopted Buena Sanitation District Board Ordinance No. 2013-1, establishing rates for sewer service charges for the Buena Sewer System (Vote: 4-1, Campbell opposed).
06/14/2022 PH2 13 of 13