Assessed County Parks DRAFT March 2024
58 ScottCountyPark Playground EngineeredWoodFiber N/A N/A 3 N/A 4,882 N/A $ 20.45 $ 99,834.10 $ 30.67 $ 149,751.16 1 3.84 251 ScottCountyPark Landscape Other N/A N/A 3 N/A 3,343 N/A $ 5.58 $ 18,641.45 $ 8.37 $ 27,962.17 5 3.84 15 ScottCountyPark ParkingLot N/A Gravel N/A 3 N/A 3,039 N/A $ 18.59 $ 56,490.35 $ 27.89 $ 84,735.52 1 3.84 159 ScottCountyPark Plaza N/A DecomposedGranite N/A 3 N/A 842 N/A $ 16.73 $ 14,093.21 $ 25.10 $ 21,139.81 5 3.84 41 ScottCountyPark Structure Restroom N/A N/A N/A 698 N/A $ - $ - $ - $ - 1 3.84 Not Assessed 157 ScottCountyPark Plaza N/A Concrete N/A 4 N/A 695 N/A $ 35.32 $ 24,556.76 $ 52.98 $ 36,835.14 5 3.84 145 ScottCountyPark Plaza N/A Concrete N/A 4 N/A 533 N/A $ 35.32 $ 18,838.72 $ 52.98 $ 28,258.08 5 3.84
- CITY OF WATSONVILLE -
WATSONVILLE PARKS ASSESSMENT REPORT
City Council| May 14, 2024
1 Page 417 of 522
AGENDA
1. Project Background
2. Project Goals
3. Process
4. Findings & Recommendations
2 Page 418 of 522
PROJECT BACKGROUND
OVERALL PARK AND RECREATION SYSTEM
OVERALL CITY PARKS EXISTING CONDITIONS
•24 of 26 City Parks
•5 County Parks
3 Page 419 of 522
PROJECT GOALS
Provide the City, County, and greater Watsonville community a tool to equitably allocate financial resources to improve park infrastructure. 4 Identify the current condition of the park system.
Develop a data-driven ranking methodology to prioritize park improvement needs.
Equip Park Staff with documentation of quantities, locations and conditions of park amenities, which can be updated in the future.
Provide planning level cost estimates for park improvements based on current conditions.
1 2
3 4
5
PROCESS
SAMPLE PARK
ASSESSMENT
COMMUNITY
OUTREACH
ESTABLISH
ASSESSMENT
CRITERIA
COUNCIL
PARKS & REC
COMMISSION
DEVELOP
RANKING
METHODOLOGY
PARK
ASSESSMENT
REPORT
29 PARK
CONDITION
ASSESSMENT
5 Page 421 of 522
PROCESS | CONDITION ASSESSMENT
6 Page 422 of 522
PROCESS | CONDITION RATING CRITERIA
1 Failed
Not Functional,
Unsafe
5 Excellent
New or Near New
2 Poor
Major Defects
3 Fair
Normal Wear,
Functional
4 Good
Light/Normal
Wear
7 Page 423 of 522
PROCESS | COST ESTIMATION
8 Page 424 of 522
PROCESS | PRIORITY RANKING
Park Community
Value Score (10%)
Park Priority
Score
Park
Ranking
Park Equity Score
(40%)
Access Score
(10%)
Age Score
(10%)
Disability Score
(10%)
Environmental Health
Score (10%)
Income Score (30%)
Population Density Score
(10%)
Racially Disadvantaged
Score (10%)
Safety Score
(10%)
Park Condition
Score (50%)
9 Page 425 of 522
PROCESS | PARK COMMUNITY VALUE SCORE
10 Page 426 of 522
PROCESS | PARK EQUITY SCORE
11 Access Score
(10%)
Percentage of People Under 18 Years
Old and 65 Years Old and Over Age Score
50% to 100% 1
45% to under 50% 2
35% to under 45% 3
25% to under 35% 4
0% to under 25% 5
Age Score
(10%)
Disability Score
(10%)
Environmental Health Score
(10%)
CalEnviroScreen Score Environmental
Health Score
40 to 100 1
30 to under 40 2
20 to under 30 3
10 to under 20 4
0 to under 10 5
Park Acreage Access Score
Under 2.5 Acres 1
2.5 Acres to under 5 Acres 2
5 Acres to under 10 Acres 3
10 Acres to under 20 Acres 4
Over 20 Acres 5
Percentage of People
with a Disability Disability Score
20% to 100% 1
15% to under 20% 2
10% to under 15% 3
5% to under 10% 4
0% to under 5% 5
PROCESS | PARK EQUITY SCORE
12 Income Score
(30%)
Safety Score
(10%)
Population Density Score
(10%)
Racially Disadvantaged Score
(10%)
Income Category Income Range Income
Rating
Extremely Low $0 to $39,999 1
Very Low $40,000 to $74,999 2
Low $75,000 to $99,999 3
Median $100,000 to $124,999 4
Moderate & Above $125,000 or more 5
Population Density Population
Density Score
10,000 or more people
per square mile 1
5,000 to under 10,000 people
per square mile 2
2,500 to under 5,000 people
per square mile 3
500 to under 2,500 people
per square mile 4
Under 500 people
per square mile 5
Percentage of Racially
Disadvantaged Individuals
Racially
Disadvantaged
Score
80% to 100% 1
60% to under 80% 2
40% to under 60% 3
20% to under 40% 4
0% to under 20% 5
City Parks
Reported Crimes Park Safety Score
25 or More Reported Crimes 1
15 to 24 Reported Crimes 2
11 to 14 Reported Crimes 3
6 to 10 Reported Crimes 4
0 to 5 Reported Crimes 5
County Parks
Reported Crimes Park Safety Score
10 or More Reported Crimes 1
8 to 9 Reported Crimes 2
6 to 7 Reported Crimes 3
4 to 5 Reported Crimes 4
0 to 3 Reported Crimes 5
Condition 3.24
Community Value 4.00
Equity 2.48
Access 1.00
Age 3.00
Income 3.28
Disability 3.00
Environmental 2.00
Population Density 2.00
Racially Disadvantaged 2.00
Safety 2.00
Acres of Park Land
within 0.5 mile 3
Category
Park Infrastructure Average Park
Condition Infrastructure
Rating Category Score
Replacement
Cost
Condition 1 &
2 Replacement
Cost
Amenity 3.00 2.79 $12,000 N/A
Barrier 3.67 3.33 $81,000 N/A
DogPark N/A N/A N/A N/A
Landscape 3.00 2.76 $106,000 $8,000
Lighting 4.00 3.09 $47,000 N/A
ParkingLot N/A N/A N/A N/A
Path 3.50 2.84 $46,000 N/A
Playground 2.50 2.34 $39,000 $7,000
PlayStructure 2.00 2.09 $186,000 $186,000
Plaza 3.50 3.24 $4,000 N/A
Signage N/A N/A N/A N/A
SportsCourt N/A N/A N/A N/A
SportsField N/A N/A N/A N/A
Structure N/A N/A N/A N/A
Utilities N/A N/A N/A N/A
WasteReceptacle 4.00 3.49 $3,000 N/A
ESTIMATED CONSTRUCTION COST $520,000 $201,000
TOTAL ESTIMATED COST $780,000 $83,000
March 2024 DRAFT
Watsonville Parks Assessment Report PARK SUMMARIES 46
PARK RANK & SCORES
City Park Priority Rank 22
Park Priority 3.01
CENSUS & ACCESS DATA
Census Tract 1224.02
Block Group BG2
Census Block 1008
Census Tract GeoID 6087122400
CONDITION ASSESSMENT
Note: See Figure 12 for a summary of meanings for each score Arista Park
CITY PARK | POCKET PARK | 0.3 ACRES | 52 ARISTA COURT
ARISTA PARK
PARK LIMITS
FINDINGS
PARK DESCRIPTION
PARK SCORES
CENSUS &
ACCESS DATA
PHOTOS
SITE MAP
CONDITION
& COST RESULTS
13 Page 429 of 522
FINDINGS
River Park
Priority Rank: 1
Condition: 2.56
Com. Value: 1.00
Equity: 2.30
Full Renov: $3.6M
Critical Items: $1.8M
Callaghan Park
Priority Rank: 2
Condition: 2.97
Com. Value: 1.00
Equity: 2.16
Full Renov: $6.2M
Critical Items: $1.7M
Las Brisas Park
Priority Rank: 24
Condition: 3.41
Com. Value: 3.00
Equity: 3.36
Full Renov: $1.8M
Critical Items: N/A
14 Page 430 of 522
FINDINGS
15 Estimated Cost to Replace All Park Infrastructure:
$78,967,000
Estimated Cost to Replace All Critical Infrastructure:
$28,934,000
Estimated Cost to Replace All Critical Infrastructure for the 5 Highest Priority Parks:
$4,185,000
FINDINGS | IMPLEMENTATION
16 Identify park infrastructure in critical condition and address them as funding becomes available
Begin preparing funding for park infrastructure with a condition rating of 3, in anticipation of the eventual deterioration in the future.
Update the park infrastructure database on an ongoing basis to accurately document quantity, location and condition. Target a comprehensive update every 10 years.
Develop and implement a planned maintenance program for infrastructure to extend the lifespan of existing parks.
1 2
3 4
FINDINGS | DEFERRED MAINTENANCE NEEDS
17 ITEM COSTS
Ramsay Park $33,500,000
City Plaza $6,500,000
All other Parks (1s and 2s) $29,000,000
Rec Facilities $25,000,000
TOTAL NEEDS $94,000,000
FINDINGS | NEXT STEPS
18 Leverage Measure R and CIP funds to:
1 Address deficiencies at River Park (Priority Rank #1) - Begin to address condition 1’s and 2’s, including fence repair - RFP for Park Master Plan for River Park
2 Finish additional projects at Callaghan Park (Priority Rank #2) - Begin to address condition 1’s and 2’s
- Court conversion
3 Prioritize condition 1’s and 2’s at all Parks
Maintain GIS Asset inventory
Develop Policies that institutionalize the Department’s commitment to Equity and Financial Sustainability
THANK YOU
19 Page 435 of 522
5/10/2024 7:11:40 PM
C:\Program Files\eSCRIBE\TEMP\19113739263\19113739263,,,Report - New Overlay Vista Montana Engineer's Rpt.docx Agenda Report
MEETING DATE: Tuesday, May 14, 2024
TO: City Council
FROM: PARKS & COMMUNITY SERVICES DIRECTOR CALUBAQUIB
THROUGH: CITY MANAGER MENDEZ
SUBJECT: RESOLUTION ACCEPTING 2024-2025 ANNUAL ENGINEER'S
REPORT FOR NEW ASSESSMENT OVERLAY FOR VISTA
MONTAÑA LLMAD AND ADOPTING PROPOSITION 218
ASSESSMENT BALLOT PROCEEDINGS PROCEDURES
RECOMMENDED ACTION:
Staff recommends that the City Council
1. Adopt a resolution declaring the intention to order the formation of the Vista Montaña No. 2 Landscape and Lighting Assessment District, approving the preliminary Engineer’s Report, providing notice of public hearing, and directing the mailing of assessment ballots; and
2. Adopt a resolution adopting Proposition 218 assessment ballot proceedings procedures.
BACKGROUND:
The Vista Montaña subdivision consists of 173 single family residential parcels, 80 townhome residential parcels, and 135 multi-family residential units. The developer, the Clarum Corporation, was required by Tentative Map Condition No. 74 to fund the maintenance of landscaping and associated improvements through a landscaping and Lighting assessment district. This resulted in the Vista Montaña Landscape and Lighting Maintenance Assessment District being formed in Fiscal Year 2003-04 to operate, maintain, repair, and replace the landscaping and associated improvements (subdivision's streetlights, landscaping, irrigation systems, open space, drainage systems, retaining walls, perimeter walls, and certain pedestrian/bike pathways as described in the Engineer’s Report) along Arce Street, Bridge Street, Cereze Street, Cipres Street, Cirvelo Street, E. Lake Avenue, Franich Drive, Manzana Street, Marcela Drive, Roble Street, Secoya Street, and Vista Montaña Drive.
The current assessment revenue has proven insufficient to meet the ongoing operational and maintenance needs and to build a reserve over time to fund eventual capital repair and/or replacement of landscaping and associated improvements. As a result, the City has reduced the level of maintenance in the landscaped areas. To address the funding
5/10/2024 7:11:40 PM
C:\Program Files\eSCRIBE\TEMP\19113739263\19113739263,,,Report - New Overlay Vista Montana Engineer's Rpt.docx needs and comply with Proposition 218 pertaining to new or increased assessments, the City's assessment engineer for assessment district proceedings, SCI Consulting Group, recommends the formation of a new landscaping and lighting assessment district to fund operation, maintenance, and repair (not replacement which will be funded by the original district) of the landscaping and associated improvements. The proposed district would become Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District and will overlay the existing district to provide supplemental revenue.
DISCUSSION:
Over the last several years, the City has been monitoring the revenue and expenses in the district. The current Fiscal year 2023-24 annual assessments of $560.28 (single family home), $448.22 (townhome), and $154.56 (apartment) have been unable to keep up with inflation or provide adequate revenue to operate, maintain, repair, and replace the landscaping and associated improvements within the district.
In the last year, the City engaged Vista Montaña residents regarding their concerns about maintenance in their neighborhood and the City’s concern that the reserve account is not adequate to fund replacement of landscaping and associated improvements. The City held meetings with residents on June 15, 2023 (approximately 5 attendees) and June 21, 2023 (approximately 75 attendees) to receive feedback on an overlay assessment to fully fund maintenance and fully replenish the reserve account. The general response to the preliminary annual overlay assessments of $1,433.72 (single family home), $1,146.96 (townhome), and $395.51 (apartment), including a cost-of-living increase provision, was that these amounts would not be approved by vote from residents. Following those meetings, the City formed an advisory group and invited Vista Montaña neighbors to volunteer to participate in focused discussions. This five-member group met with City staff twice a month from August through December and developed another overlay assessment option that the Vista Montaña residents could consider.
On January 24, 2024, the City held a follow-up meeting with residents (approximately 75 attendees). The main topic of this meeting was to present recommendations from the advisory committee group, plans for the next steps, and information regarding Proposition 218 voting procedures to approve an overlay assessment. During the meeting, City staff presented a second overlay assessment option that prioritizes funding adequate maintenance (higher level of maintenance than today) but compromises the reserve account by replenishing it with the original assessment district at a slower rate, leaving some risk to replacement of infrastructure improvements if they fail without sufficient funding accrued. The general response to the second preliminary annual overlay assessments option of $733.77 (single family home), $587.02 (townhome), and $169.67 (apartment), including a cost-of-living increase provision, was more positive than the original but would be more likely to be approved by vote if the amounts are implemented gradually over several years so that residents may better accommodate the assessment increases until the overlay fully funds the maintenance. City staff also learned that 55% of the residents in attendance expressed landscape maintenance as important or very important to them, meaning that the second overlay assessment option aligns with the residents’ supports for prioritizing maintenance over the reserve account.
5/10/2024 7:11:40 PM
C:\Program Files\eSCRIBE\TEMP\19113739263\19113739263,,,Report - New Overlay Vista Montana Engineer's Rpt.docx Based on feedback from the last meeting, City staff developed a third overlay assessment option that will gradually implement the second overlay assessment option over five years with assessments equaling 30% of the total proposed assessment the first year, 55% the second year, 80% the third year, 90% the fourth year, and 100% the fifth year. This third overlay assessment option was presented in a newsletter mailed out to all Vista Montaña residents in February and at another follow-up meeting with residents (10 attendees) on February 15, 2024.
On March 26, 2024, City Council adopted Resolution No. 47-24 initiating proceedings for the formation of a Landscaping and Lighting Assessment District to be known as Vista Montaña No. 2 Landscape and Lighting Assessment District that outlines the third overlay assessment option.
The Preliminary Engineer’s Report is now complete and filed with the City for approval.
The proposed assessments have been updated for properties to $718.88 (single family home), $575.10 (townhome/condominium), and $166.23 (apartment unit) and is printed on the official ballot included with an information guide. However, the City is committing to implement the new assessment gradually over a five-year period with assessments equaling 30% the first year, 55% the second year, 80% the third year, 90% the fourth year, and 100% the fifth year, as are listed in the table below. Starting in Fiscal Year 2025-26, an escalator will be built into the annual rates to allow for cost-of-living increases. If the new assessment is approved, the total estimated amount that would be raised for Fiscal Year 2024-25 is approximately $198,777 and will be levied annually on the property tax bills unless ended by the City Council.
Proposed Assessment Rates1 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 Single Family $ 222.33 $ 407.61 $ 592.89 $ 667.00 $ 718.88 Townhome/Condominium $ 177.87 $ 326.09 $ 474.31 $ 533.60 $ 575.10 Apartment Unit $ 51.41 $ 94.25 $ 137.09 $ 154.23 $ 166.23 Note 1 - Assessment rates for future fiscal years starting at FY 2025-26 are subject to increase by an amount equal to the annual change in the San Francisco Bay Area Consumer Price Index.
The process of increasing the assessment levels for a district such as this is governed by Proposition 218 and requires a ballot proceeding where the property owners would need to approve the increase. The procedure is laid out in Division 15, Part 2 of the California Streets and Highways Code as well as Section 53750 - 53754 of the Government Code.
It requires three steps: (1) adopt a resolution to initiate the proceedings and direct preparation of the Engineer’s Report (completed on March 26, 2024); (2) adopt a resolution approving an Engineer’s Report (which establishes assessment rates) and setting the date for a public hearing (tonight’s action); and (3) conducting the public hearing (proposed for July 9, 2024) at which time ballots will be tabulated and the outcome of the balloting proceeding will be known. The ballots, along with a formal
5/10/2024 7:11:40 PM
C:\Program Files\eSCRIBE\TEMP\19113739263\19113739263,,,Report - New Overlay Vista Montana Engineer's Rpt.docx notice, will be mailed to each property owner on or around May 23, 2024 – 45 days prior to the public hearing pursuant to law. The ballots can be returned any time up to the close of the hearing.
In accordance with the statutes, these proceedings are voted on by property owners (instead of registered voters). In addition, votes are weighted by the amount of the proposed assessment. For example, a property owner being assessed $222.33 has slightly more voting power than an owner being assessed $177.87.
The final Engineer's Report is scheduled for public hearing on July 9, 2024. Prior to the approval of the final Engineer's Report, the ballots received will be counted which is a process overseen by the City Clerk and open to the public. If greater than 50% of the weighted ballots received are in favor of the formation, then the City Council may adopt a resolution to approve the final Engineer's Report and order the improvements and formation of the new district.
STRATEGIC PLAN:
2-Infrastructure & Environment – Funding would be used for annual maintenance of LLMAD infrastructure.
4-Fiscal Health – The new formation will provide additional funding to support LLMAD operations.
6-Community Engagement & Well-Being – High levels of community engagement were enacted throughout the process to this point. The new formation would need to be approved by property owners to become effective.
FINANCIAL IMPACT:
There will be no direct fiscal impact to the City of Watsonville General Fund. All costs associated with this district will be borne by the district and for the benefit of the district residents.
ALTERNATIVE ACTION:
Council can choose not to accept the Engineers Report for new assessment overlay. This would result in the process not moving forward, including balloting. Residents would not have the opportunity to vote on this proposal. Funding and staff time utilized to get to this step would be forfeited. Improved landscape maintenance levels in the LLMAD would shift to safety issues only, resulting in unmaintained landscape areas as the City works to rebuild the LLMAD reserve.
ATTACHMENTS AND/OR REFERENCES (If any):
None.
Reso No. (CM)
Meeting Date: 051424 SWZ ______ RM ______ PCS ______1
RESOLUTION NO. (CM)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
WATSONVILLE DECLARING THE INTENTION TO ORDER THE
FORMATION OF THE VISTA MONTAÑA NO.2 LANDSCAPE AND
LIGHTING ASSESSMENT DISTRICT, APPROVING THE PRELIMINARY
ENGINEER'S REPORT, PROVIDING NOTICE OF PUBLIC HEARING,
AND DIRECTING THE MAILING OF ASSESSMENT BALLOTS
WHEREAS, by Resolution No. 47-24, approved on March 26, 2024, the City Council ordered the initiation of proceedings for the formation of Vista Montaña No. 2 Landscape and Lighting Assessment District pursuant to the Landscaping and Lighting Act of 1972 (Part 2 of Division 15 of the California Streets and Highways Code (commencing with § 22500 thereof) (“Act”); and
WHEREAS, Proposition 218 was adopted on November 6, 1996, adding Articles XIIIC and XIIID to the California Constitution, which impose certain procedural and substantive requirements relating to assessments (as defined).
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:
1. This action does not meet CEQA’s definition of a “project”, because the action does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
2. The above Recitals are in all respects true and correct.
3. Reference to Initiation. In accordance with direction from the City Council, SCI Consulting Group, (“Engineer of Work”), prepared an Engineer’s Report (“Report”) pursuant to the Act and Article XIIID of the California Constitution. The Report has been prepared, filed with the City Clerk, reviewed, and duly considered by the City Council and is hereby deemed sufficient and preliminarily approved. The Report shall stand as the Engineer’s Report for all subsequent proceedings under and pursuant to this Resolution.
Reso No. (CM)
Meeting Date: 051424 2
4. Description of the Improvements: The purpose of the Assessment District shall be for the installation, maintenance, and servicing of improvements. Within the District, the existing and proposed improvements (“Improvements”) are generally described as but not limited to regular maintenance and repair of all facilities within the agricultural buffer area on Bridge Street, including the landscaping, perimeter wall, and erosion control plantings within or adjacent to the detention basins and drainage swale; power for the street lighting within the District; regular maintenance, and repair of the parkway strip and street trees; operation, maintenance, and repair of the storm drain detention basins, drainage channel, drainage facilities, and erosion control measures within the agricultural buffer, including the storm drain culvert crossing Highway 152 and the inlet structure on the west side of Highway 152; regular maintenance and repair of the landscaping and perimeter walls; and administrative services to operate the District. “Services” include, but are not limited to personnel; electrical energy; utilities such as water; materials; contractual services; grading; clearing; removal of debris; installation or construction of walls, irrigation, drainage, hardscapes, trees, furnishings such as pots, bollards, tree grates, and appurtenant facilities as required to provide an aesthetically pleasing environment throughout the District; and other items necessary for the maintenance or servicing or both. “Maintenance” means the furnishing of services and materials for the ordinary and usual operations, maintenance and servicing of the landscaping, public park facilities and appurtenant facilities, including repair, removal or replacement of all or part of any of the landscaping, public park or appurtenant facilities; providing for the life, growth, health and beauty of the landscaping, including cultivation, irrigation, trimming, spraying, fertilizing and treating for disease or injury; and the removal of trimmings, rubbish, debris and other solid waste. “Servicing” means the furnishing of
Reso No. (CM)
Meeting Date: 051424 3
water for the irrigation of the landscaping, and recreational facilities or appurtenant facilities.
5. Reference to Engineer’s Report: The Report is hereby incorporated by reference. Reference is hereby made to the Report for a full and detailed description of the Improvements, the boundaries of the Assessment District, and the proposed assessments upon assessable lots and parcels of land within the Assessment District.
Reference is also hereby made to the Report for an estimate of the costs of the Improvements proposed to be financed from the proceeds of the proposed assessment.
6. Report of the Assessment Engineer: The Report is available for public review at the City of Watsonville, located at the City Clerk’s Office, 275 Main Street, 4th Floor Watsonville, CA 95076. The Engineer’s Report includes:
A. A description of the Improvements to be funded with assessment proceeds, services, and incidental costs; and
B. An estimate of the annual cost of such Improvements; and C. A description of the assessable parcels of land within the District and proposed to be subject to the assessment; and
D. A description of the proportionate special and general benefits conferred on property by the proposed assessment; and
E. A description of the boundaries of the proposed Assessment District; and F. A specification of the amount to be assessed upon various types of assessable land to fund the cost of the Improvements; and G. The proposed method and formula of assessing the costs and expenses of the Improvements to the properties which will specially benefit from the Improvements.
Reso No. (CM)
Meeting Date: 051424 4
7. Description of Assessment District: The Assessment District consists of the lots and parcels shown on the boundary map of the Assessment District on file with the City Clerk, and reference is hereby made to such map for further particulars.
8. Proposed Assessment Rate: It is the intention of this City Council to levy and collect assessments within the Assessment District. The estimated Fiscal Year 2024- 25 cost of providing the Improvements is $198,777. Said estimated cost results in a proposed Single-Family Equivalent (“SFE”) assessment rate of THREE HUNDRED FORTY-TWO DOLLARS AND SEVENTY-THREE CENTS ($342.73) for Zone A and THREE HUNDRED NINETY-EIGHT DOLLARS AND THIRTY-EIGHT CENTS ($398.38) for Zone B for Fiscal Year 2024-25. That equates to property assessment rates of $718.88 per SFE. However, the City is committing to implement the new assessment gradually over a five-year period with assessments equaling 30% the first year, 55% the second year, 80% the third year, 90% the fourth year, and 100% the fifth year. It is the further intention of the City to have the assessment collected on the tax roll in the same manner, by the same persons, and at the same time as, together with and not separately from, its general taxes.
9. Public Hearing: Notice is hereby given that the Public Hearing on the proposed assessment shall be held before the City Council of the City of Watsonville in the City Council Chambers, 275 Main Street, Top Floor, Watsonville, CA 95076 on Tuesday, July 9, 2024, at the hour of 4:30 P.M., or soon thereafter as the matter may be heard, for the purpose of this City Council’s determination of whether the Public interest, convenience, and necessity require the improvements and this City Council’s final action upon the report and the assessments therein. All interested persons shall be afforded the opportunity to hear and be heard. Any interested person may file a written protest with
Reso No. (CM)
Meeting Date: 051424 5
the City Clerk, or, having previously filed a protest, may file a written withdrawal of that protest, prior to the conclusion of the public input portion of the public hearing. A written protest shall state all grounds of objection. A protest by a property owner shall contain a description sufficient to identify the property owned by the signer thereof. The City Council shall consider all oral statements and all written protests made or filed by any interested person.
10. Notice and Ballot: The City Clerk hereby is authorized and directed to cause Notice of the hearing ordered under Section 8 hereof to be given in accordance with law by United States Mail, and such Notice shall be deemed to have been given when so deposited in the United States Mail. The envelope or cover of the mailing shall include the name of the City. The mailed Notice shall be given to all property owners of assessable parcels within the Assessment District by such mailing by name to those persons whose names and addresses appear on the last equalized secured property tax assessment roll of Santa Cruz County, or in the case of any public entity, the representative of such public entity at the address thereof known to the City Clerk. The Notice shall include, but not be limited to, the total amount of assessment proposed to be levied in the Assessment District for Fiscal Year 2024-25, the assessment proposed for the owner’s particular parcel(s) and the duration thereof and the reason for the assessment. Each Notice shall also contain the proposed assessment and the basis upon which the amount of the assessment was calculated. Each Notice shall also contain an assessment ballot, a summary of the procedures applicable to the completion, return and tabulation of assessment ballots, the date, time, and location of the public hearing and a statement that the existence of a majority protest will result in the assessment not
Reso No. (CM)
Meeting Date: 051424 6
being imposed. The Notice herein provided shall be mailed not less than forty-five (45) days before the date of the public hearing.
11. Additional Information: To obtain additional information about the proposed assessments, the Assessment District or the proposed Improvements, contact: Nick Calubaquib, Parks & Community Services Director, 231 Union Street, Watsonville, CA 95076, telephone number (831) 768-3240. The Engineer’s Report and other written material about the Assessment District may also be reviewed at the Office of the City Clerk during regular business hours.
12. Annual Assessments: The assessments are proposed to be levied annually.
If the proposed assessments are approved and confirmed by the City Council, the assessments will increase in future years by an amount up to the change in the San Francisco Bay Area Consumer Price Index (“CPI”) without a further vote or balloting process. In the event that the actual assessment rate for any given year is not increased by an amount equal to the CPI change, any such deferred assessment increase may be added to the total amount assessed in any subsequent year. In such event, the maximum authorized assessment amount shall be equal to the base year assessment as adjusted by the increase to the CPI, plus any and all CPI adjustments deferred in any and all prior years. In each subsequent year in which the assessments will be levied, an updated Engineer’s Report, including a proposed budget and assessment rate, shall be prepared.
The updated Engineer’s Report shall be considered by the City Council at a noticed public hearing. The updated Engineer’s Report shall serve as the basis for the continuation of the assessments.
13. The City Clerk shall certify to the adoption of this Resolution. *******************************
Fiscal Year 2024-25 ENGINEER’S REPORT
City of Watsonville
Vista Montaña No. 2
Landscape and Lighting Maintenance
Assessment District
March 2024
Pursuant to the Landscape and Lighting Act of 1972 and Article XIIID of the California Constitution
(This page Intentionally left blank)
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
City of Watsonville
City Council
Vanessa Quiroz-Carter, District 2, Mayor
Maria Orozco, District 3, Mayor Pro Tempore
Eduardo Montesino, District 1, Member
Kristal Salcido, District 4, Member
Casey Clark, District 5, Member
Jimmy Dutra, District 6, Member
Ari Parker, District 7, Member
City of Watsonville Staff
Tamara Vides, Assistant City Manager
Marissa Duran, Director of Finance
Nick Calubaquib, Director of Parks & Community Services Murray Fontes, P.E., Assistant Director of Public Works & Utilities/City Engineer Joseph Medina, Parks Superintendent
Engineer of Work
SCI Consulting Group
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Table of Contents
Introduction...................................................................................................... 4 Overview ...................................................................................................................... 4 Assessment Process ..................................................................................................... 4 Legislative Analysis....................................................................................................... 6 Plans and Specifications.................................................................................... 9 Description of Improvements ...................................................................................... 9 Estimate of Cost and Budget........................................................................... 11 Method of Apportionment......................................................................................... 13 Discussion of Benefit.................................................................................................. 14 Benefit Factors ........................................................................................................... 15 General versus Special Benefit................................................................................... 16 Benefit Finding ........................................................................................................... 18 Zones of Benefit ......................................................................................................... 20 Method of Assessment............................................................................................... 21 Residential Properties................................................................................................ 22 Other Properties......................................................................................................... 23 Consumer Price Index Adjustments........................................................................... 24 Assessment Statement ................................................................................... 25 Assessment Diagram....................................................................................... 27 Assessment Roll.............................................................................................. 29
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
List of Tables
Table 1 - Fiscal Year 2024-25 Estimate of Cost and Budget.............................................. 11 Table 2 - Assessment Rate Determination by Estimate of Costs...................................... 12 Table 3 – Residential Density and Assessment Factors.................................................... 23 Table 4 – Summary of Combined Cost Estimate............................................................... 25
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Introduction
Overview
The Vista Montaña Landscape and Lighting Maintenance Assessment District (“LLMAD”) was originally formed in Fiscal Year 2003-04 for the Vista Montaña Subdivision as a condition of approval for its development. The subdivision is located off East Lake Avenue and adjacent to Ann Soldo Elementary School and the Bay Village Subdivision. It includes 173 single-family residential parcels, 80 townhome residential parcels, 135 multi-family residential units and the surrounding common areas.
The current assessment revenue has proven insufficient to meet the ongoing operations, maintenance, and capital replacement needs of the LLMAD. As a result, the City of Watsonville has reduced the level of maintenance in the landscaped areas. Therefore, this Engineer’s Report (“Report”) proposes that the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District (“Assessment District”) be formed, including a cost-of-living increase provision, to provide additional funding for maintenance and services in the Vista Montaña LLMAD area as time goes on.
Assessment Process
This Engineer’s Report establishes the budget for the maintenance and services to be undertaken by the Assessment District that will be funded by the proposed Fiscal Year 2024-25 assessments and also determines the benefits received from the maintenance and services by property within the Assessment District as well as the method of assessment apportionment to lots and parcels. This Report and the proposed assessments have been made pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the "Act") and Article XIIID of the California Constitution (the “Article”).
Following the submittal of this Report to the City of Watsonville City Council (“Council”) for preliminary approval, the Council may, by Resolution, call for an assessment ballot proceeding and Public Hearing on the establishment of the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
If the Council approves such Resolution and calls for the mailing of notices and ballots, a notice of assessment and assessment ballot will be mailed to property owners at least 45 days prior to the date of the Public Hearing set by the Council. Such notice would include a description of the assessments as well as an explanation of the method of voting on the assessments. Each notice would include a ballot on which the property owner could mark his or her approval or disapproval of the assessments and a ballot return envelope.
After the ballots are mailed to property owners, a minimum 45-day time period must be provided for the return of the assessment ballots. Following this 45-day time period, a public hearing must be held for the purpose of allowing public testimony regarding the proposed assessments and services. At this hearing, the public would have the opportunity to provide input on this issue and would have a final opportunity to submit ballots. After the conclusion of the public input portion of the hearing, the hearing may be continued to a later time to allow time for the tabulation of ballots.
With the passage of Proposition 218 on November 6, 1996, The Right to Vote on Taxes Act, now Article XIIIC and XIIID of the California Constitution, the proposed assessments can be levied for Fiscal Year 2024-25 and future years, only if the ballots submitted in favor of the assessments are greater than the ballots submitted in opposition to the assessments. (Each ballot is weighted by the amount of proposed assessment for the property that it represents).
If it is determined, when the tabulation results are announced, that the assessment ballots submitted in opposition to the proposed assessments do not exceed the assessment ballots submitted in favor of the assessments (weighted by the proportional financial obligation of the property for which ballots are submitted) the Council may take action, by resolution, to approve the levy of the assessments for Fiscal Year 2024-25 and future fiscal years. If the assessments are so confirmed and approved, the levies will be submitted to the Santa Cruz County Auditor for inclusion on the property tax rolls for Fiscal Year 2024-25.
The procedures for levy of the assessments in future years commence with the creation of a budget for the upcoming fiscal year’s costs and services, an updated assessment roll listing all parcels and their proposed assessments for the upcoming fiscal year, and the preparation of an updated Engineer’s Report. After these documents are prepared and submitted, they could be reviewed and preliminarily approved by the Council at a public meeting. At this meeting, the Council could also call for the publication in a local newspaper of the intent to continue the assessment and set the date for a noticed public hearing. At the annual public hearing, members of the public could provide input to the Council prior to the Council’s decision on continuing the services and assessments for the next fiscal year.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Legislative Analysis
Proposition 218
This assessment is formed consistent with Proposition 218, The Right to Vote on Taxes Act, which was approved by the voters of California on November 6, 1996, and is now Article XIIIC and XIIID of the California Constitution. Proposition 218 provides procedures and requirements for benefit assessments to be levied to fund the cost of providing services, improvements, as well as maintenance and operation expenses to a public improvement that benefits the assessed property.
Proposition 218 describes several important requirements, including a property owner balloting, for the formation and continuation of assessments, and these requirements are satisfied by the process used to establish this assessment.
Silicon Valley Taxpayers Association, Inc. v Santa Clara County Open Space Authority
In July of 2008, the California Supreme Court issued its ruling in Silicon Valley Taxpayers Association, Inc. v. Santa Clara County Open Space Authority (“SVTA vs. SCCOSA”). This ruling is the most significant court case in further legally clarifying the substantive assessment requirements of Proposition 218. Several of the most important elements of the ruling included further emphasis that:
• Benefit assessments are for special, not general, benefit. • The services and/or improvements funded by assessments must be clearly defined.
• Special benefits are directly received by and provide a direct advantage to property in the assessment district.
Dahms v. Downtown Pomona Property
On June 8, 2009, the 4th District Court of Appeal amended its original opinion upholding a benefit assessment for property in the downtown area of the City of Pomona. On July 22, 2009, the California Supreme Court denied review. On this date, Dahms became good law and binding precedent for assessments. In Dahms, the court upheld an assessment that was 100% special benefit (i.e., 0% general benefit) on the rationale that the services and improvements funded by the assessments were directly provided to property in the assessment district. This Court also upheld discounts and exemptions from the assessment for certain properties.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Bonander v. Town of Tiburon
On December 31, 2009, the 1st District Court of Appeal overturned a benefit assessment approved by property owners to pay for placing overhead utility lines underground in an area of the Town of Tiburon. The Court invalidated the assessments on the grounds that the assessments had been apportioned to assessed property based in part on relative costs within sub-areas of the assessment district instead of proportional special benefits.
Beutz v. County of Riverside
On May 26, 2010, the 4th District Court of Appeal issued a decision on the Steven Beutz v.
County of Riverside (“Beutz”) appeal. This decision overturned an assessment for park maintenance in Wildomar, California, primarily because the general benefits associated with improvements and services were not explicitly calculated, quantified, and separated from the special benefits.
Golden Hill Neighborhood Association v. City of San Diego On September 22, 2011, the 4th District Court of Appeal issued a decision on the Golden Hill Neighborhood Association v. City of San Diego appeal. This decision overturned an assessment for street and landscaping maintenance in the Greater Golden Hill neighborhood of San Diego, California. The court described two primary reasons for its decision. First, like in Beutz, the court found the general benefits associated with services were not explicitly calculated, quantified, and separated from the special benefits. Second, the court found that the City had failed to record the basis for the assessment on its own parcels.
Compliance with Current Law
This Engineer’s Report is consistent with the requirements of Article XIIIC and XIIID of the California Constitution and with the SVTA decision because the assessments are for special, not general, benefit; the improvements to be funded are clearly defined; the improvements are directly available to and will directly benefit property in the Assessment District; and the improvements provide a direct advantage to property in the Assessment District that would not be received in absence of the Assessments.
This Engineer’s Report is consistent with Dahms because, similar to the Downtown Pomona assessment validated in Dahms, the services will be directly provided to property in the Assessment District. Moreover, while Dahms could be used as the basis for a finding of 0% general benefits, this Engineer’s Report establishes a more conservative measure of general benefits.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
This Engineer’s Report is consistent with Beutz, Dahms, and Greater Golden Hill because the improvements will directly benefit property in the Assessment District, and the general benefits have been explicitly calculated and quantified and excluded from the Assessments. The Engineer’s Report is consistent with Bonander because the Assessments have been apportioned based on the overall cost of the improvements and proportional special benefit to each property.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Plans and Specifications
The formula below describes the relationship between the final level of services, the baseline level of service based on existing funding, and the enhanced level of services funded by the assessment if it is approved. It should be noted, due to the fact that current operating costs are increasing at a faster rate than current funding sources, the baseline level of services is diminishing over time.
Final Level of
Service = Current Baseline Level of Service
+ Proposed Enhanced
Level of Service
Below is a more detailed description of these improvements that are provided for the special benefit of property in the Assessment District.
The existing Vista Montaña Landscape and Lighting Maintenance Assessment District provides capital repair and/or replacement, maintenance, and services in locations throughout its boundaries. The maintenance and services to be undertaken by the new formation of Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District, and the cost thereof paid from the levy of the annual assessment, will provide special benefit to Assessor Parcels within the District as defined in the Method of Assessment herein. Consistent with the Landscaping and Lighting Act of 1972, (the “Act”) the improvements, maintenance, and services are generally described as follows in the section below.
Description of Improvements
Within the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District, the improvements to be maintained from this new assessment are generally described as including, but not limited to:
• Regular maintenance and repair of all facilities within the agricultural buffer area on Bridge Street, including the landscaping, perimeter wall, and erosion control plantings within or adjacent to the detention basins and drainage swale. • Power for the street lighting within the District.
• Regular maintenance, and repair of the parkway strip and street trees.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
• Operation, maintenance, and repair of the storm drain detention basins, drainage channel, drainage facilities, and erosion control measures within the agricultural buffer, including the storm drain culvert crossing Highway 152 and the inlet structure on the west side of Highway 152.
• Regular maintenance and repair of the landscaping and perimeter walls. • Administrative services to operate the District.
“Services” include, but are not limited to: personnel; electrical energy; utilities such as water; materials; contractual services; grading; clearing; removal of debris; installation or construction of walls, irrigation, drainage, hardscapes, trees, furnishings such as pots, bollards, tree grates, and appurtenant facilities as required to provide an aesthetically pleasing environment throughout the District; and other items necessary for the maintenance or servicing or both including the facilities described below. “Maintenance” means the furnishing of services and materials for the ordinary and usual operations, maintenance and servicing of the landscaping, public park facilities and appurtenant facilities, including repair, removal or replacement of all or part of any of the landscaping, public park or appurtenant facilities; providing for the life, growth, health and beauty of the landscaping, including cultivation, irrigation, trimming, spraying, fertilizing and treating for disease or injury; and the removal of trimmings, rubbish, debris and other solid waste. “Servicing” means the furnishing of water for the irrigation of the landscaping, and recreational facilities or appurtenant facilities.
Incidental expenses include all of the following: (a) The costs of preparation of the report, including plans, specifications, estimates, diagram, and assessment; (b) the costs of printing, advertising, and the giving of published, posted, and mailed notices; (c) compensation payable to the County for collection of assessments; (d) compensation of any engineer or attorney employed to render services in proceedings pursuant to this part; (e) any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements; (f) any expenses incidental to the issuance of bonds or notes pursuant to Streets & Highways Code Section 22662.5; and (g) costs associated with any elections held for the approval of a new or increased assessment (Streets & Highways Code §22526).
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Estimate of Cost and Budget
The 1972 Act provides that the total costs for providing the maintenance and services of the Assessment District can be recovered in the assessment spread including incidental expenses. The latter can include engineering fees, legal fees, printing, mailing, postage, publishing, and all other costs identified with the Assessment District proceedings.
An estimate of Assessment District costs for Fiscal Year 2024-25 for maintenance and services is provided in Table 1 below.
Table 1 - Fiscal Year 2024-25 Estimate of Cost and Budget The new assessment will be implemented gradually over a five-year period with assessments equaling 30% the first year, 55% the second year, 80% the third year, 90% the fourth year, and 100% the fifth year. During this time frame, an escalator will be built into it to allow for cost-of-living increases when needed. See Figure 2 below.
Perimeter wall ( Split walls on far side of Agriculture Buffer) Maintenance $ 3,962
Plantings ( Indicated in blue on map )
End caps planting $ 30,880
End caps irrigation $ 4,758
Street buffer planting $ 33,618
Street buffer irrigation $ 5,180
Channel plantings $ 20,642
Channel irrigation $ 3,817
Street lighting
Electric costs $ 2,038 $ 2,038
Subdivision Landscape Strip & Trees ( in front of homes ) Plantings $ 8,032
Irrigation $ 1,031
Swale ( in yellow )
Maintenance $ 13,722
60" Culvert ( under Hwy 152 )
Maintenance $ 1,647
60" Inlet Structure ( W. side of 152 and on Bridge ) & Basin ( E. side of 152 ) Maintenance $ 8,233
Highway Landscape Strip
Maintenance $ 36,508
Irrigation $ 3,416
Perimeter Wall ( Hwy 152 )
Maintenance/Graffiti $ 1,400
District Operation
Annual cost $ 7,944 $ 7,944
Estimated Annual Expenditures $ 103,329 $ 93,481
Estimate of Maintenance and Services Zone A
Annual Maint
Zone B
Annual Maint
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Table 2 - Assessment Rate Determination by Estimate of Costs FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Percent Zone A Zone B Percent Zone A Zone B Percent Zone A Zone B Percent Zone A Zone B Percent Zone A Zone B Expenditures
Estimate of Maintenance and Services $103,329 $ 93,481 $103,329 $ 93,481 $103,329 $ 93,481 $103,329 $ 93,481 $103,329 $ 93,481 County Auditor's Fee $ 1,033 $ 935 $ 1,033 $ 935 $ 1,033 $ 935 $ 1,033 $ 935 $ 1,033 $ 935 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Revenues
Direct Benefit Assessments1 30% $ 31,309 $ 28,325 55% $ 57,399 $ 51,928 80% $ 83,490 $ 75,532 90% $ 93,926 $ 84,974 97% $101,231 $ 91,583 General Benefit Contribution2 70% $ 73,053 $ 66,091 45% $ 46,963 $ 42,487 20% $ 20,872 $ 18,883 10% $ 10,436 $ 9,442 3% $ 3,131 $ 2,832 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 Total $104,362 $ 94,415 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Total Rate Zone A Zone B Total Rate Zone A Zone B Total Rate Zone A Zone B Total Rate Zone A Zone B Total Rate Zone A Zone B Without General Benefit Contribution
Single Family $ 741.11 $ 342.73 $ 398.38 $ 741.11 $ 342.73 $ 398.38 $ 741.11 $ 342.73 $ 398.38 $ 741.11 $ 342.73 $ 398.38 $ 741.11 $ 342.73 $ 398.38 Townhome/Condominum $ 592.89 $ 274.19 $ 318.70 $ 592.89 $ 274.19 $ 318.70 $ 592.89 $ 274.19 $ 318.70 $ 592.89 $ 274.19 $ 318.70 $ 592.89 $ 274.19 $ 318.70 Apartment $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 $ 171.37 With General Benefit Contribution1
Single Family $ 222.33 $ 102.82 $ 119.51 $ 407.61 $ 188.50 $ 219.11 $ 592.89 $ 274.19 $ 318.70 $ 667.00 $ 308.46 $ 358.54 $ 718.88 $ 332.45 $ 386.43 Townhome/Condominum $ 177.87 $ 82.26 $ 95.61 $ 326.09 $ 150.80 $ 175.29 $ 474.31 $ 219.35 $ 254.96 $ 533.60 $ 246.77 $ 286.83 $ 575.10 $ 265.96 $ 309.14 Apartment $ 51.41 $ 51.41 $ 94.25 $ 94.25 $ 137.09 $ 137.09 $ 154.23 $ 154.23 $ 166.23 $ 166.23 Note 1: Assessment rates for future fiscal years starting at FY 2025-26 are subject to increase by an amount equal to the annual change in the San Francisco Bay Area Consumer Price Index (see Consumer Price Index Adjustment section of the Engineer's Report) Note 2: The City will contribute the minimum required General Benefit Contribution of 3% for future fiscal years starting in FY 2028-29 as described in the Benefit Findings section of the Engineer's Report FY 2024-25 Land Use Proposed Assessment Rates
Estimate of Maintenance and Services FY 2024-25
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Method of Apportionment
This section includes an explanation of the special benefits to be derived from the maintenance, operations, and repair activities, the criteria for the expenditure of assessment funds and the methodology used to apportion the total assessments to properties within the proposed Assessment District. The proposed Assessment District area consists of all Assessor Parcels included within the Vista Montaña boundary.
Pursuant to Proposition 218, the method used for apportioning the assessment is based upon the proportional special benefits conferred to the properties over and above the general benefits conferred to real property in the proposed Assessment District, or to the public at large. Special benefit is calculated for each parcel in the District using the following process:
1.) Identification of all benefit factors derived from the Improvements.
2.) Calculation of the proportion of these benefits that are general.
3.) Determination of the relative special benefit within different areas (zones of benefit) of the Assessment District, if any.
4.) Determination of the relative special benefit per property type.
5.) Calculation of the specific assessment for each individual parcel based upon special vs. general benefit, zones, property type and other supporting attributes.
The District consists of certain assessor parcels within the boundaries as defined by the Assessment Diagram referenced in this report and the parcels identified by the Assessor Parcel Numbers listed with the levy roll. The parcel list includes all privately and publicly owned parcels as shown. The method used for apportioning the Assessment is based upon the relative special benefits to be derived by the properties in the District over and above general benefits conferred on real property or to the public at large. The Assessment is apportioned to lots and parcels in proportion to the relative special benefit from the improvements.
The apportionment of special benefit is a two-step process: the first step is to identify the types of special benefit arising from the improvements and the second step is to allocate the Assessments to property based on the estimated relative special benefit for each type of property.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Discussion of Benefit
In summary, the Assessments can only be levied based on the special benefit to property.
This benefit is received by property over and above any general benefits. With reference to the requirements for assessments, Section 22573 of the Landscaping and Lighting Act of 1972 states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements." Proposition 218, as codified in Article XIIID of the California Constitution, has confirmed that assessments must be based on the special benefit to property and that the value of the special benefits must exceed the cost of the assessment:
"No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel." The following benefit categories summarize the types of special benefit to residential, commercial, industrial, and other lots and parcels resulting from the improvements to be provided with the assessment proceeds. These types of special benefit are summarized as follows:
1. Proximity to improved landscaped areas within the Assessment District
2. Access to improved landscaped areas within the Assessment District
3. Improved views within the Assessment District
4. Improved nighttime visibility and safety from streetlights
5. Creation of individual lots for residential and commercial use that, in absence of the Assessments, would not have been created.
In this case, the SVTA v. SCCOSA decision provides enhanced clarity to the definitions of special benefits to properties from similar improvements in three distinct areas:
Proximity
Expanded or improved access
Views
The SVTA v. SCCOSA decision also clarifies that a special benefit is a service or improvement that provides a direct advantage to a parcel and that indirect or derivative advantages resulting from the overall public benefits from a service or improvement are general benefits. The SVTA v. SCCOSA decision also provides specific guidance that park improvements are a direct advantage and special benefit to property that is proximate to a park that is improved by an assessment:
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
“The characterization of a benefit may depend on whether the parcel receives a direct advantage from the improvement (e.g. proximity to a park) or receives an indirect, derivative advantage resulting from the overall public benefits of the improvement (e.g. general enhancement of the district’s property values).” Proximity, improved access, and views, in addition to the other special benefits listed above further strengthen the basis of these assessments.
Moreover, the Dahms decision further clarified that certain services and improvements funded by assessments, that are over and above what otherwise would be provided and that other property in general and the public do not share or receive are 100% special benefit. The assessment-funded services upheld by Dahms included streetscape maintenance and security services.
Benefit Factors
The special benefits from the improvements are further detailed below:
Proximity to improved landscaped areas within the Assessment District Only the specific properties within close proximity to the improvements are included in the Assessment District. Therefore, property in the Assessment District enjoys unique and valuable proximity and access to the improvements that the public at large and property outside the Assessment District do not share.
In absence of the assessments, the improvements and the landscaping areas in the Assessment District would be degraded due to insufficient funding for maintenance, upkeep, and repair. Therefore, the assessments provide improvements that are over and above what otherwise would be provided. Improvements that are over and above what otherwise would be provided do not by themselves translate into special benefits but when combined with the unique proximity and access enjoyed by parcels in the Assessment District, they provide a direct advantage and special benefit to property in the Assessment District.
Access to improved outdoor and landscaped areas within the Assessment District
Since the parcels in the Assessment District are nearly the only parcels that enjoy close access to the improvements, they directly benefit from the unique close access to improved landscaping areas that are provided by the Assessments. This is a direct advantage and special benefit to property in the Assessment District.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Improved views within the Assessment District
The City, by maintaining permanent public improvements funded by the Assessments in the District, provides improved views to properties in the District. The properties in the District enjoy close and unique proximity, access and views of the specific improvements funded in the District; therefore, the improved and protected views provided by the Assessments are another direct and tangible advantage that is uniquely conferred upon property in the District.
Improved nighttime visibility and safety from streetlights Well maintained, effective street lighting provides special benefit to proximate parcels, within the range of the light, because it allows for use of the property in the evenings and night. Street lighting also provides special benefit as it increases safety and reduces the likelihood of crime on the proximate parcels.
Creation of Individual Lots for Residential Use that, in Absence of the Assessments, Would Not Have Been Created
In the District, the original owner/developer(s) of the property within the District agreed unanimously to the Assessments. The Assessments provide the necessary funding for improvements that were required as a condition of development and subdivision approval. Therefore, such Assessments allowed the original property to be subdivided and for development of the parcels to occur. As parcels were sold, new owners were informed of the Assessments through the title reports, and in some cases, through Department of Real Estate “White Paper” reports that the parcels were subject to assessment. Purchase of property was also an “agreement” to pay the Assessment.
Therefore, in absence of the Assessments, the lots within most of the District would not have been created. These parcels, and the improvements that were constructed on the parcels, receive direct advantage and special benefit from the Assessments.
General versus Special Benefit
Article XIIIC of the California Constitution requires any local agency proposing to increase or impose a benefit assessment to “separate the general benefits from the special benefits conferred on a parcel.” The rationale for separating special and general benefits is to ensure that property owners subject to the benefit assessment are not paying for general benefits. An assessment can fund special benefits but cannot fund general benefits. Accordingly, a separate estimate of the special and general benefit is given in this section.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
In other words:
There is no widely accepted or statutory formula for general benefit. General benefits are benefits from improvements or services that are not special in nature, are not “particular and distinct” and are not “over and above” benefits received by other properties. SVTA vs. SCCOSA provides some clarification by indicating that general benefits provide “an indirect, derivative advantage” and are not necessarily proximate to the improvements.
In this Report, the general benefit is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.
The starting point for evaluating general and special benefits is the current, baseline level of service. The Assessment will fund improvements “over and above” this general, baseline level and the general benefits estimated in this section are over and above the baseline.
A formula to estimate the general benefit is listed below:
General
Benefit =
Benefit to Real
Property Outside
the Assessment
District
+
Benefit to Real
Property Inside the
Assessment District
that is Indirect and
Derivative
+
Benefit to
the Public
at Large
Special benefit, on the other hand, is defined in the state constitution as “a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large.” The SVTA v. SCCOSA decision indicates that a special benefit is conferred to a property if it “receives a direct advantage from the improvement (e.g., proximity to a park).” In these Assessments, as noted, properties in the District have close and unique proximity, views and access to the improvements and uniquely improved desirability from the improvements and other properties and the public at large do not receive significant benefits because they do not have proximity, access, or views of the Improvements. Therefore, the overwhelming proportion of the benefits conferred to property is special and is only minimally received by property outside the Districts or the public at large.
Total
Benefit = General Benefit + Special
Benefit
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Benefit Finding
Quantification of General Benefit
In this section, the general benefit from landscaping and other types of improvements is liberally estimated and described, and then budgeted so that it is funded by sources other than the Assessment.
Benefit to Property Outside the Assessment Districts
Properties within the District receive almost all of the special benefits from the improvements because properties in the District enjoy unique close proximity and access to the improvements that is not enjoyed by other properties or the public at large.
However, certain properties within the proximity/access radius of the improvements, but outside of the boundaries of the District, may receive some benefit from the Improvements. Since this benefit is conferred to properties outside the District boundaries, it contributes to the overall general benefit calculation and will not be funded by the Assessments. The general benefit to property outside of the District is calculated with the parcel and data analysis performed by SCI Consulting Group.
Since certain properties outside the District enjoy close proximity and access to the improvements cannot be assessed by the District, this is a form of general benefit to other property. There are 4 parcels outside the District that are directly adjacent to areas where pathways and landscaped areas are maintained by the District. The benefits conferred to these properties do not include the Lot Creation benefit factor, therefore the benefit is reduced by 60%. The general benefit to property outside of the District is calculated as follows.
4 Parcels Outside District
259 Parcels In the District
40% Benefit Factor
4 4 + 259
Assumptions:
Calculation:
General Benefit to Property Ouside the District
x 40% = 0.61%
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Benefit to Property Inside the Assessment Districts that is Indirect and Derivative
The “indirect and derivative” benefit to property within the District is particularly difficult to calculate. A solid argument can be presented that all benefit within the District is special because the other improvements are clearly “over and above” and “particular and distinct” when compared with the baseline level of service and the unique proximity, access and views of the other improvements enjoyed by benefiting properties in the District.
Nevertheless, the SVTA vs. SCCOSA decision indicates there may be general benefit “conferred on real property located in the district.” A measure of the general benefits to property within the Assessment area is the percentage of land area within or directly abutting the District that is publicly owned and used for regional purposes such as regional parks, major roads, rail lines and other regional facilities because such properties used for regional purposes could provide indirect benefits to the public at large. The District boundaries are narrowly drawn to include only the residential areas within the neighborhood, and there are no regional facilities within the District. Therefore, the indirect and derivative general benefits to property within the District are zero.
Benefit To The Public At Large
The general benefit to the public at large can be estimated by the proportionate amount of time that the District’s improvements are used and enjoyed by individuals who are not residents, employees, customers, or property owners in the District. It should be noted that these improvements do not attract the public at large in the same way as park improvements, and they confer far less benefit to the public at large than do similar park improvements. In essence, the public does not visit an area to enjoy outdoor and landscaped area improvements in the same way as they may visit a park.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
However, certain outdoor and landscaped areas maintained by the District may provide some enhancement to views enjoyed by the public as they drive past. Approximately 6% of the outdoor and landscaped areas maintained by the District lie along the arterial street of East Lake Avenue that carry a high percentage of traffic not associated with people who are not residents or property owners within the District. While there are not statistics available as to what percentage of pass-by vehicle trips are by non-residents or nonproperty owners, a liberal factor of 90% is assumed. Finally, of all the types of benefits conferred by the improvements, passersby only benefit from views, which are estimated at 10% of the total benefits. Therefore, we find that ((90% of 6%) x 10%) = 0.54% of the benefits from the improvements are general benefits to the public at large. Furthermore, this report acknowledges that the collector street of Bridge Street may receive some traffic from the adjacent Bay Village Subdivision and therefore an additional 1% is added.
Summary of General Benefit
Using a sum of these three measures of general benefit, we find that approximately 2.15% of the benefits conferred by the improvements may be general in nature and should be funded by sources other than the assessment. This total general benefit finding has liberally been rounded up to 3.00%.
0.61% Outside the District
0.00% Inside the District
1.54% Public At Large
2.15% Total General Benefit
≈ 3.00%
Landscaping General Benefit Calculation
Zones of Benefit
Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District was formed to provide a funding source for the maintenance and services of landscaping and lighting improvements within the boundaries of the Assessment District. The boundaries of the Assessment District have been narrowly drawn to include only properties that will specially benefit from the maintenance and services and would receive a declining level of service if the Assessments were not approved.
The SVTA decision indicates:
In a well-drawn district — limited to only parcels receiving special benefits from the improvement — every parcel within that district receives a shared special benefit. Under section 2, subdivision (i), these benefits can be construed as being
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
general benefits since they are not “particular and distinct” and are not “over and above” the benefits received by other properties “located in the district.” We do not believe that the voters intended to invalidate an assessment district that is narrowly drawn to include only properties directly benefiting from an improvement. Indeed, the ballot materials reflect otherwise. Thus, if an assessment district is narrowly drawn, the fact that a benefit is conferred throughout the district does not make it general rather than special. In that circumstance, the characterization of a benefit may depend on whether the parcel receives a direct advantage from the improvement (e.g., proximity to park) or receives an indirect, derivative advantage resulting from the overall public benefits of the improvement (e.g., general enhancement of the district’s property values).
There are three components to the maintenance and services of improvements 1) landscaping, 2) street lighting, and 3) open space and agriculture buffer. The Engineer determined based on the proximity to the improvements, the Assessment District will consist of two maintenance zones: Zone A and Zone B. Zone A includes all the parcels within the Assessment District boundary. Zone B includes all single-family residential and townhome/condominium parcelsthat directly benefit from the maintenance of the “park strips” and landscaping in the “street end caps.”
Method of Assessment
As previously discussed, the proposed assessments will provide additional maintenance and services of existing improvements that will clearly confer special benefits to properties in the Assessment District. The allocation of special benefits to property is partially based on the type of property and the size of property. These benefits can also partially be measured by the occupants on property in the Assessment District because such parcel population density is a measure of the relative benefit a parcel receives from the improvements. It should be noted that many other types of “traditional” assessments also use parcel population densities to apportion the assessments. For example, the assessments for sewer systems, roads, and water systems are typically allocated based on the population density of the parcels assessed. Therefore, the apportionment of benefit is reasonably based on the type of parcel, the size of parcels, and the population density of parcels.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
The primary step in apportioning assessments is to determine the relative special benefit for each property. This process involves determining the relative benefit received by each property in relation to a single-family home or, in other words, on the basis of Single Family Equivalents (SFE). This SFE methodology is commonly used to distribute assessments in proportion to estimated special benefit and is generally recognized as providing the basis for a fair and appropriate distribution of assessments. For the purposes of this Engineer’s Report, all properties are designated an SFE value, which is each property’s relative benefit in relation to a single-family home on one parcel. In this case, the "benchmark" property is the single-family detached dwelling which is one Single Family Equivalent or one SFE.
Finally, the special benefits to be derived from the proposed assessments will be conferred on property and are not based on a specific property owner’s use of the improvements, a specific property owner’s occupancy of property, or the property owner’s demographic status such as age or number of dependents. However, it is ultimately people who value the special benefits described above and use and enjoy the Assessment District’s landscaped areas. In other words, the benefits derived to property are related to the average number of people who could potentially live on, work at, or otherwise could use a property, not how the property is currently used by the present owner. Therefore, the number of people who could or potentially live on, work at, or otherwise use a property is one indicator of the relative level of benefit received by a property.
In conclusion, the Assessment Engineer determined that the appropriate method of assessment apportionment should be based on the type and use of property, the relative size of the property, its relative population and usage potential, and its proximity to landscaped areas. This method is further described below.
Residential Properties
Certain residential properties in the District that contain a single residential dwelling unit are assigned one Single Family Equivalent or 1.0 SFE. Detached or attached houses and zero-lot line houses are included in this category of single-family residential property. If there is more than one single-family detached dwelling on a parcel, it will be charged one SFE per single-family detached dwelling.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Properties with more than one residential unit (other than parcels with more than one detached single-family dwelling as described above) are designated as multi-family residential properties. These properties benefit from the improvements in proportion to the number of dwelling units that occupy each property, the average number of people who reside in multi-family residential units versus the average number of people who reside in a single-family home and the relative size of each type of residential dwelling unit.
The population density factors for the area in the City of Watsonville encompassing the Assessment District, as depicted in the following table, provide the basis for determining the SFE factors for residential properties. Using the total population in a certain property type in the area from the 2022 American Community Survey 5-Year estimate and dividing it by the total number of such households, finds that approximately 2.80 persons occupy each single-family residence, whereas an average of 2.75 persons occupy each townhome/condominium. The ratio of 2.80 people on average for a single-family residence and 2.75 people per dwelling unit in a townhome/condominium unit results in a population density equivalent of 0.98 for townhomes/condominiums.
Next, the relative building areas are factored into the analysis because special benefits are related to the average size of a property, in addition to average population densities.
For a townhome/condominium, this calculation results in an SFE factor of 0.80 per dwelling unit. The single-family equivalency factor of 0.50 per dwelling unit for multifamily residential properties applies to such properties with two or more units.
Table 3 – Residential Density and Assessment Factors
Other Properties
Article XIIID stipulates that publicly owned properties must be assessed unless there is clear and convincing evidence that those properties receive no special benefit from the assessment.
Pop. Density SqFt SFE
Equivalent Factor Factor
Single Family Residential 1.00 1.00 1.00
Townhome/Condominium 0.98 0.82 0.80
Multi-Family Residential (2+ Units) 0.98 0.51 0.50
Type of Residential Property
Source: 2022 American Community Survey, City of Watsonville, and property dwelling size information from the Santa Cruz County Assessor data and other sources.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
All properties that are specially benefited are assessed. Other publicly owned property that is used for purposes similar to private residential, commercial, industrial, or institutional uses is benefited and assessed at the same rate as such privately owned property.
Miscellaneous, public right-of-way parcels, well, reservoir or other water rights parcels, limited access open space parcels, watershed parcels and common area parcels typically do not generate employees, residents, customers, or guests. Moreover, many of these parcels have limited economic value and, therefore, do not benefit from specific enhancement of property value. Such parcels are, therefore, not specially benefited and are not assessed.
Consumer Price Index Adjustments
The maximum assessment rate within the Assessment District may be increased by an amount equal to the annual change in the San Francisco Bay Area Consumer Price Index (“CPI”). In the event that the actual assessment rate for any given year is not increased by an amount equal to the CPI change, any such deferred assessment increase may be added to the total amount assessed in any subsequent year. In such event, the maximum authorized assessment amount shall be equal to the base year assessment as adjusted by the increase to the CPI, plus any and all CPI adjustments deferred in any and all prior years.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Assessment Statement
The City Council of the City of Watsonville, County of Santa Cruz, California, pursuant to the provisions of the Landscaping and Lighting Act of 1972 and Article XIIID of the California Constitution (collectively “the Act”), directed the formation of Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District; The Council directed the undersigned Engineer of Work to prepare and file a report presenting an estimate of costs, a diagram for the Assessment District and an assessment of the estimated costs of the maintenance and services upon all assessable parcels within the Assessment District, to which the description of the proposed maintenance and services are therein contained, reference is hereby made for further particulars; The undersigned, by virtue of the power vested in me under the Act and the order of the City Council of the City of Watsonville, hereby make the following assessment to cover the portion of the estimated cost of the maintenance and services, and the costs and expenses incidental thereto to be paid by the Assessment District.
The amount to be paid for the maintenance and services and the expense incidental thereto, to be paid by the Vista Montaña No. 2 Landscaping and Lighting District for Fiscal Year 2024-25 through Fiscal Year 2029-30 is intended to gradually implement the full assessment amount over five years with assessments equaling 30% the first year, 55% the second year, 80% the third year, 90% the fourth year, and 100% the fifth year:
Table 4 – Summary of Combined Cost Estimate
As required by the Act, an Assessment Diagram is hereto attached and made a part hereof showing the exterior boundaries of the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District. The distinctive number of each parcel or lot of land in the District is its Assessor Parcel Number appearing on the Assessment Roll.
FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Expenditures
Estimate of Maintenance and Services $ 196,809 $ 196,809 $ 196,809 $ 196,809 $ 196,809 County Auditor's Fee $ 1,968 $ 1,968 $ 1,968 $ 1,968 $ 1,968 Total $ 198,777 $ 198,777 $ 198,777 $ 198,777 $ 198,777 Revenues
Direct Benefit Assessments1 $ 59,633 $ 109,328 $ 159,022 $ 178,900 $ 192,814 General Benefit Contribution2 $ 139,144 $ 89,450 $ 39,755 $ 19,878 $ 5,963 Total $ 198,777 $ 198,777 $ 198,777 $ 198,777 $ 198,777 Note 1 - Assessment rates for future fiscal years starting at FY 2025-26 are subject to increase by an amount equal to the annual change in the San Francisco Bay Area Consumer Price Index (see Consumer Price Index Adjustment section of the Engineer's Report) Note 2 - General Benefit Contribution for future fiscal years starting at FY 2028-29, the City will contribute the minimum required General Benefit Contribution of 3%
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
INSERT
STAMP
And I do hereby assess and apportion the net amount of the cost and expenses of the improvements, including the costs and expenses incident thereto, upon the parcels and lots of land within the City of Watsonville, Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District, in accordance with the special benefits to be received by each parcel or lot, from the improvements, and more particularly set forth in the Cost Estimate and Method of Assessment hereto attached and by reference made a part hereof.
The assessment is made upon the parcels or lots of land within the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District in proportion to the special benefits to be received by the parcels or lots of land, from the improvements.
The assessment is subject to an annual adjustment tied to the Consumer Price Index for the San Francisco Bay Area as of December of each succeeding year (the CPI). In the event that the actual assessment rate for any given year is not increased by an amount equal to the CPI change, any such deferred assessment increase may be added to the total amount assessed in any subsequent year. In such event, the maximum authorized assessment amount shall be equal to the base year assessment as adjusted by the increase to the CPI, plus any and all CPI adjustments deferred in any and all prior years.
Each parcel or lot of land is described in the Assessment Roll by reference to its parcel number as shown on the Assessor's Maps of the County of Santa Cruzfor Fiscal Year 2024- 25 through Fiscal Year 29-30. For a more particular description of the property, reference is hereby made to the deeds and maps on file and of record in the office of the County Recorder of the County.
I hereby place opposite the Assessor Parcel Number for each parcel or lot within the Assessment Roll, the amount of the assessment for Fiscal Year 2024-25 through Fiscal Year 29-30 for each parcel or lot of land within the Montaña No. 2 Landscape and Lighting Maintenance Assessment District.
Dated: May 14, 2024
Engineer of Work
By
Edric W. H. Kwan, P.E.
License No. C062829
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Assessment Diagram
The boundaries of the Vista Montaña No. 2 Landscape and Lighting Maintenance Assessment District in the City of Watsonville are displayed on the following Assessment Diagram.
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
City of Watsonville / Vista Montaña No. 2
Landscape and Lighting Maintenance District
Engineer’s Report, FY 2024-25
Assessment Roll
An Assessment Roll (a listing of all parcels assessed within the Landscape and Lighting Maintenance Assessment District and the amount of the assessment) has been filed with the City Clerk and is, by reference, made part of this report and will be available for public inspection during normal office hours.
Each lot or parcel listed on the Assessment Roll is shown and illustrated on the latest County Assessor records and these records are, by reference made part of this report.
These records shall govern for all details concerning the description of the lots or parcels.
CITY OF WATSONVILLE
Vista Montaña Landscape and Lighting Maintenance Assessment District No. 2 Preliminary Report for Fiscal Year 202425
Parcels for Secured Property Tax Roll
Parcel Number Property Address Assessment
01755123 790 VISTA MONTANA DR $ 6,940.35
01774101 701 VISTA MONTANA DR $ 222.33
01774102 705 VISTA MONTANA DR $ 222.33
01774103 709 VISTA MONTANA DR $ 222.33
01774104 713 VISTA MONTANA DR $ 222.33
01774105 717 VISTA MONTANA DR $ 222.33
01774106 721 VISTA MONTANA DR $ 222.33
01774107 725 VISTA MONTANA DR $ 222.33
01774108 729 VISTA MONTANA DR $ 222.33
01774109 733 VISTA MONTANA DR $ 222.33
01774110 737 VISTA MONTANA DR $ 222.33
01774111 741 VISTA MONTANA DR $ 222.33
01774112 745 VISTA MONTANA DR $ 222.33
01774113 749 VISTA MONTANA DR $ 222.33
01774114 753 VISTA MONTANA DR $ 177.86
01774115 757 VISTA MONTANA DR $ 177.86
01774116 761 VISTA MONTANA DR $ 177.86
01774117 101 FRANICH DR $ 177.86
01774118 105 FRANICH DR $ 177.86
01774119 762 ARCE ST $ 177.86
01774120 758 ARCE ST $ 177.86
01774121 754 ARCE ST $ 177.86
01774122 750 ARCE ST $ 222.33
01774123 746 ARCE ST $ 222.33
01774124 742 ARCE ST $ 222.33
01774125 738 ARCE ST $ 222.33
01774126 734 ARCE ST $ 222.33
01774127 730 ARCE ST $ 222.33
01774128 726 ARCE ST $ 222.33
01774129 722 ARCE ST $ 222.33
01774130 718 ARCE ST $ 222.33
01774131 714 ARCE ST $ 222.33
01774132 710 ARCE ST $ 222.33
01774133 706 ARCE ST $ 222.33
01774134 702 ARCE ST $ 222.33
01774201 701 ARCE ST $ 222.33
01774202 705 ARCE ST $ 222.33
01774203 709 ARCE ST $ 222.33
01774204 713 ARCE ST $ 222.33
01774205 717 ARCE ST $ 222.33
01774206 721 ARCE ST $ 222.33
01774207 725 ARCE ST $ 222.33
01774208 729 ARCE ST $ 222.33
01774209 733 ARCE ST $ 222.33
01774210 739 ARCE ST $ 222.33
01774211 741 ARCE ST $ 222.33
01774212 745 ARCE ST $ 222.33
Parcel Number Property Address Assessment
01774213 749 ARCE ST $ 222.33
01774214 753 ARCE ST $ 177.86
01774215 757 ARCE ST $ 177.86
01774216 761 ARCE ST $ 177.86
01774217 121 FRANICH DR $ 177.86
01774218 135 FRANICH DR $ 177.86
01774219 762 ROBLE ST $ 177.86
01774220 758 ROBLE ST $ 177.86
01774221 754 ROBLE ST $ 177.86
01774222 750 ROBLE ST $ 222.33
01774223 746 ROBLE ST $ 222.33
01774224 742 ROBLE ST $ 222.33
01774225 738 ROBLE ST $ 222.33
01774226 734 ROBLE ST $ 222.33
01774227 730 ROBLE ST $ 222.33
01774228 726 ROBLE ST $ 222.33
01774229 722 ROBLE ST $ 222.33
01774230 718 ROBLE ST $ 222.33
01774231 714 ROBLE ST $ 222.33
01774232 710 ROBLE ST $ 222.33
01774233 706 ROBLE ST $ 222.33
01774234 702 ROBLE ST $ 222.33
01774301 701 ROBLE ST $ 222.33
01774302 705 ROBLE ST $ 222.33
01774303 709 ROBLE ST $ 222.33
01774304 713 ROBLE ST $ 222.33
01774305 717 ROBLE ST $ 222.33
01774306 721 ROBLE ST $ 222.33
01774307 725 ROBLE ST $ 222.33
01774308 729 ROBLE ST $ 222.33
01774309 733 ROBLE ST $ 222.33
01774310 737 ROBLE ST $ 222.33
01774311 741 ROBLE ST $ 222.33
01774312 745 ROBLE ST $ 222.33
01774313 749 ROBLE ST $ 222.33
01774314 753 ROBLE ST $ 177.86
01774315 757 ROBLE ST $ 177.86
01774316 761 ROBLE ST $ 177.86
01774317 147 FRANICH DR $ 177.86
01774320 762 CIPRES ST $ 177.86
01774321 758 CIPRES ST $ 177.86
01774322 754 CIPRES ST $ 177.86
01774323 750 CIPRES ST $ 222.33
01774324 746 CIPRES ST $ 222.33
01774325 742 CIPRES ST $ 222.33
01774326 738 CIPRES ST $ 222.33
01774327 734 CIPRES ST $ 222.33
CITY OF WATSONVILLE
Vista Montaña Landscape and Lighting Maintenance Assessment District No. 2 Preliminary Report for Fiscal Year 202425
Parcels for Secured Property Tax Roll
Parcel Number Property Address Assessment
01774328 730 CIPRES ST $ 222.33
01774329 726 CIPRES ST $ 222.33
01774330 722 CIPRES ST $ 222.33
01774331 718 CIPRES ST $ 222.33
01774332 714 CIPRES ST $ 222.33
01774333 710 CIPRES ST $ 222.33
01774334 706 CIPRES ST $ 222.33
01774335 702 CIPRES ST $ 222.33
01774337 163 FRANICH DR $ 177.86
01774401 156 FRANICH DR $ 177.86
01774402 152 FRANICH DR $ 177.86
01774403 148 FRANICH DR $ 177.86
01774404 144 FRANICH DR $ 177.86
01774405 140 FRANICH DR $ 177.86
01774406 136 FRANICH DR $ 177.86
01774407 132 FRANICH DR $ 177.86
01774408 128 FRANICH DR $ 177.86
01774409 124 FRANICH DR $ 177.86
01774410 120 FRANICH DR $ 177.86
01774411 116 FRANICH DR $ 177.86
01774412 112 FRANICH DR $ 177.86
01774413 108 FRANICH DR $ 177.86
01774414 104 FRANICH DR $ 177.86
01774415 160 FRANICH DR $ 177.86
01774416 164 FRANICH DR $ 177.86
01774417 168 FRANICH DR $ 177.86
01774418 172 FRANICH DR $ 177.86
01774419 176 FRANICH DR $ 177.86
01774420 180 FRANICH DR $ 177.86
01774421 184 FRANICH DR $ 177.86
01774422 188 FRANICH DR $ 177.86
01774423 179 FRANICH DR $ 177.86
01774424 761 CIPRES ST $ 177.86
01774425 757 CIPRES ST $ 177.86
01774426 753 CIPRES ST $ 177.86
01774427 749 CIPRES ST $ 222.33
01774428 745 CIPRES ST $ 222.33
01774429 741 CIPRES ST $ 222.33
01774430 737 CIPRES ST $ 222.33
01774431 733 CIPRES ST $ 222.33
01774432 729 CIPRES ST $ 222.33
01774433 725 CIPRES ST $ 222.33
01774434 721 CIPRES ST $ 222.33
01774435 717 CIPRES ST $ 222.33
01774436 713 CIPRES ST $ 222.33
01774437 709 CIPRES ST $ 222.33
01774438 705 CIPRES ST $ 222.33
Parcel Number Property Address Assessment
01774439 701 CIPRES ST $ 222.33
01775102 505 CIRVELO ST $ 222.33
01775103 509 CIRVELO ST $ 222.33
01775104 513 CIRVELO ST $ 222.33
01775105 517 CIRVELO ST $ 222.33
01775106 521 CIRVELO ST $ 222.33
01775107 525 CIRVELO ST $ 222.33
01775108 529 CIRVELO ST $ 222.33
01775109 533 CIRVELO ST $ 222.33
01775110 537 CIRVELO ST $ 222.33
01775111 541 CIRVELO ST $ 222.33
01775112 545 CIRVELO ST $ 222.33
01775113 131 MARCELA DR $ 177.86
01775114 135 MARCELA DR $ 177.86
01775115 139 MARCELA DR $ 177.86
01775116 143 MARCELA DR $ 177.86
01775117 147 MARCELA DR $ 177.86
01775118 151 MARCELA DR $ 177.86
01775119 155 MARCELA DR $ 177.86
01775120 159 MARCELA DR $ 177.86
01775121 163 MARCELA DR $ 177.86
01775122 167 MARCELA DR $ 177.86
01775123 171 MARCELA DR $ 177.86
01775124 175 MARCELA DR $ 177.86
01775125 166 MARCELA DR $ 177.86
01775126 542 MANZANA ST $ 177.86
01775127 538 MANZANA ST $ 177.86
01775128 534 MANZANA ST $ 177.86
01775129 530 MANZANA ST $ 222.33
01775130 526 MANZANA ST $ 222.33
01775131 522 MANZANA ST $ 222.33
01775132 518 MANZANA ST $ 222.33
01775133 514 MANZANA ST $ 222.33
01775134 510 MANZANA ST $ 222.33
01775135 506 MANZANA ST $ 222.33
01775139 123 MARCELA DR $ 177.86
01775140 119 MARCELA DR $ 177.86
01775141 115 MARCELA DR $ 177.86
01775142 111 MARCELA DR $ 177.86
01775143 107 MARCELA DR $ 177.86
01775144 546 CEREZE ST $ 222.33
01775145 542 CEREZE ST $ 222.33
01775146 538 CEREZE ST $ 222.33
01775147 534 CEREZE ST $ 222.33
01775148 530 CEREZE ST $ 222.33
01775149 526 CEREZE ST $ 222.33
01775150 522 CEREZE ST $ 222.33
CITY OF WATSONVILLE
Vista Montaña Landscape and Lighting Maintenance Assessment District No. 2 Preliminary Report for Fiscal Year 202425
Parcels for Secured Property Tax Roll
Parcel Number Property Address Assessment
01775151 518 CEREZE ST $ 222.33
01775152 514 CEREZE ST $ 222.33
01775153 510 CEREZE ST $ 222.33
01775154 506 CEREZE ST $ 222.33
01775157 127 MARCELA DR $ 177.86
01775201 505 MANZANA ST $ 222.33
01775202 509 MANZANA ST $ 222.33
01775203 513 MANZANA ST $ 222.33
01775204 517 MANZANA ST $ 222.33
01775205 521 MANZANA ST $ 222.33
01775206 525 MANZANA ST $ 222.33
01775207 529 MANZANA ST $ 222.33
01775208 533 MANZANA ST $ 222.33
01775209 537 MANZANA ST $ 222.33
01775210 541 MANZANA ST $ 222.33
01775211 545 MANZANA ST $ 222.33
01775212 546 CIRVELO ST $ 222.33
01775213 542 CIRVELO ST $ 222.33
01775214 538 CIRVELO ST $ 222.33
01775215 534 CIRVELO ST $ 222.33
01775216 530 CIRVELO ST $ 222.33
01775217 526 CIRVELO ST $ 222.33
01775218 522 CIRVELO ST $ 222.33
01775219 518 CIRVELO ST $ 222.33
01775220 514 CIRVELO ST $ 222.33
01775221 510 CIRVELO ST $ 222.33
01775222 506 CIRVELO ST $ 222.33
01775302 505 CEREZE ST $ 222.33
01775303 509 CEREZE ST $ 222.33
01775304 513 CEREZE ST $ 222.33
01775305 517 CEREZE ST $ 222.33
01775306 521 CEREZE ST $ 222.33
01775307 525 CEREZE ST $ 222.33
01775308 529 CEREZE ST $ 222.33
01775309 533 CEREZE ST $ 222.33
01775310 537 CEREZE ST $ 222.33
01775311 541 CEREZE ST $ 177.86
01775312 545 CEREZE ST $ 177.86
01775313 549 CEREZE ST $ 177.86
01775314 106 MARCELA DR $ 177.86
01775315 102 MARCELA DR $ 177.86
01775316 550 SECOYA ST $ 177.86
01775317 546 SECOYA ST $ 177.86
01775318 542 SECOYA ST $ 177.86
01775319 538 SECOYA ST $ 222.33
01775320 534 SECOYA ST $ 222.33
01775321 530 SECOYA ST $ 222.33
Parcel Number Property Address Assessment
01775322 526 SECOYA ST $ 222.33
01775323 522 SECOYA ST $ 222.33
01775324 518 SECOYA ST $ 222.33
01775325 514 SECOYA ST $ 222.33
01775326 510 SECOYA ST $ 222.33
01775327 506 SECOYA ST $ 222.33
01775402 505 SECOYA ST $ 222.33
01775403 509 SECOYA ST $ 222.33
01775404 513 SECOYA ST $ 222.33
01775405 517 SECOYA ST $ 222.33
01775406 521 SECOYA ST $ 222.33
01775407 525 SECOYA ST $ 222.33
01775408 529 SECOYA ST $ 222.33
01775409 533 SECOYA ST $ 222.33
01775410 537 SECOYA ST $ 222.33
01775411 541 SECOYA ST $ 222.33
01775412 545 SECOYA ST $ 222.33
01775413 549 SECOYA ST $ 222.33
01775414 553 SECOYA ST $ 222.33
Reso No. (CM)
Meeting Date: 051424 SWZ ______ RM ______ PCS ______1
RESOLUTION NO. (CM)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
WATSONVILLE ADOPTING PROPOSITION 218 ASSESSMENT
BALLOT PROCEEDINGS PROCEDURES
WHEREAS, Proposition 218 was adopted on November 6, 1996, adding Articles XIIIC and XIIID to the California Constitution; and
WHEREAS, Articles XIIIC and XIIID of the California Constitution impose certain procedural and substantive requirements relating to assessments (as defined); and WHEREAS, some of the requirements of Proposition 218 are unclear and require, or have required, judicial interpretation and/or legislative implementation; and WHEREAS, the City of Watsonville (“City”) believes it to be in the best interest of the City and its property owners to confirm and memorialize the City’s procedures and guidelines regarding implementation of the provisions of Proposition 218 and pertinent statutes relating to assessments.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WATSONVILLE, CALIFORNIA, AS FOLLOWS:
1. This action does not meet CEQA’s definition of a “project”, because the action does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
2. Statement of Legislative Intent. In adopting this resolution, it is the City Council’s intent to adopt assessment ballot proceedings, which are consistent and in compliance with Articles XIIIC and XIIID of the California Constitution and with Government Code Sections 53750 through 53754. It is not the intent of the City Council to vary in any way from the requirements of either the California Constitution or the laws
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of the State of California. If there is any inconsistency between a provision of this resolution and state law, state law will govern.
3. Definition of Assessment. Proposition 218 defines “assessment” as “any levy or charge by an agency upon real property that is based upon the special benefit conferred upon the real property by a public improvement or services, that is imposed to pay the capital cost of the public improvement, the maintenance and operation expenses of the public improvement or the cost of the service being provided.” “Assessment” includes, but is not limited to, “special assessment,” “benefit assessment,” “maintenance assessment,” and “special assessment tax.”
4. Assessment Ballot Proceeding. The following procedures shall be used in an assessment ballot proceeding that follows the requirements of Article XIIID, Section 4 of the California Constitution:
1. Amount of Assessment. The amount of each special assessment shall be each identified parcel’s proportionate share of the cost of the additional improvements and services based upon that parcel’s special benefit from the improvements and services. The amount shall be proportional to and no greater than the special benefits conferred on the property.
2. Engineer’s Report. The City Council shall direct the filing of an engineer’s report that shall comply with the applicable state statute authorizing the assessment and with Article XIIID, Section 4, of the California Constitution. The engineer’s report shall explain the special benefits conferred by the improvements and/or services funded by the assessments. The engineer’s report shall also provide the evidence upon which the City Council may find that a special benefit exists. If the improvement or service confers a general
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benefit, the engineer’s report shall describe the general benefit and an alternative funding source for any general benefits. The engineer’s report shall be prepared by a registered professional engineer certified by the State of California, (the “Assessment Engineer”). The cost of preparing the engineer’s report shall be included as a cost of the assessment.
3. Notice. The following guidelines shall apply to giving notice of an assessment:
a. The record owner(s) of each parcel to be assessed shall be determined from the last equalized property tax roll. If the property tax roll indicates more than one owner, each owner shall receive notice. Only property owners shall receive notice;
b. The notice shall be sent at least forty-five (45) days prior to the date set for the public hearing on the assessment;
c. The notice provided by this section and in accordance with Government Code Sections 53753(b) and (c) shall supersede and be in lieu of any other statutes requiring notice to levy or increase an assessment, including but not limited to the notice required by the state statute authorizing the assessment and Government Code section 54954.6; d. Failure of any person to receive notice shall not invalidate the proceedings;
e. The cost of preparing and providing notice shall be included as a cost of the assessment.
4. Assessment Ballot. The following guidelines shall apply to the assessment ballot:
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a. The ballot required by Article XIIID, section 4(d), of the California Constitution shall be mailed to all property owners of record subject to the proposed assessment at least forty-five (45) days prior to the date of the public hearing on the proposed assessment. This ballot shall comply with Government Code Sections 53753(b) and (c).
b. All ballots must be returned either by mail or by hand delivery; not later than the date for return of ballots stated on the notice and ballot described in this section. Mailed ballots must be returned to the City Clerk’s Office at 275 Main Street, 4th Floor, Watsonville, CA 95076; or, if delivered at the time and location of the public hearing, to be held on July 9, 2024, at 4:30 p.m. at the City Council Chambers, 275 Main Street, Top Floor, Watsonville, CA 95076, and handed to the City Clerk.
Ballots must be returned either by mail or by hand delivery prior to the conclusion of the public input portion of the public hearing. The City Clerk (the “Tabulator”) shall tabulate the ballots at the conclusion of the public input portion of the Public Hearing after the final call for ballots. c. Each ballot must be signed under penalty of perjury. In the event that more than one of the record owners of a parcel submits an assessment ballot, the amount of the proposed assessment to be imposed upon the parcel shall be allocated to each ballot submitted in proportion to the respective record ownership interests or, if the ownership interests are not shown on the record, as established to the satisfaction of the City Council or Assessment Engineer by documentation provided by the record owners. If two or more persons own a parcel subject to the
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assessment, any one owner may cast an assessment ballot for all owners.
d. If a parcel has multiple owners, any owner may request a proportional assessment ballot. If the ownership interest of the owner is not shown on the last equalized secured property tax assessment roll, such request must include evidence, satisfactory to the City, of the owner's proportional rights in the parcel. The Assessment Engineer will provide the proportional ballot to the owner at the address shown on the assessment roll. Any request for a ballot to be mailed to another location must include evidence, satisfactory to the City, of the identity of the person requesting the ballot. Each proportional ballot will be marked to identify it as a proportional ballot and to indicate the owner's proportional rights in the parcel. The Assessment Engineer will keep a record of each proportional ballot provided to an owner.
e. The City will only accept official ballots mailed or otherwise provided to owners by the Assessment Engineer.
f. If an assessment ballot is lost, withdrawn, destroyed or never received, the Assessment Engineer will mail or otherwise provide a replacement ballot to the owner upon receipt of a request delivered to the City or the Assessment Engineer. The replacement ballot will be marked to identify it as a replacement ballot or a replacement proportional ballot. Any request for a replacement or replacement proportional ballot to be mailed to another location must include evidence, satisfactory to the City or the Assessment Engineer, of the identity of the person requesting the
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ballot. The same procedure applies to replacement ballots or replacement proportional ballots, which are lost, withdrawn, destroyed, or never received.
g. If an assessment ballot is returned by the United States Post Office as undeliverable, the Assessment Engineer may mail a redelivered ballot to the current property owner, if updated ownership or owner mailing address can be determined. The redelivered ballot will be marked to identify it as a redelivered ballot.
h. An assessment ballot proceeding is not an election.
i. An assessment ballot is a disclosable “public record” as that phrase is defined by Government Code section 6252 during and after tabulation of the ballots.
j. The California Government Code requires that assessment ballots be signed by property owners. However, property owner names and corresponding votes will remain strictly confidential, except as necessary to count the votes or as may be required by California law. k. To complete an assessment ballot, the owner of the parcel or his or her authorized representative must (1) mark the appropriate box (or circle) supporting or opposing the proposed assessment, and (2) sign, under penalty of perjury, the statement on the ballot that the person completing the ballot is the owner of the parcel or the owner's authorized representative. Only one box (or circle) may be stamped or marked on each ballot. All incomplete or improperly marked ballots shall be
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disqualified from balloting. The Tabulator will retain all such invalid ballots.
l. After returning an assessment ballot to the City, or the Tabulator on behalf of the City, the person who signed the ballot may withdraw the ballot by submitting a written statement to the City directing the City to withdraw the ballot. Such statement must be received by the City or the Tabulator prior to the close of the public input portion of the public hearing on the proposed assessment. When ballots for the assessment are tabulated, the Tabulator will segregate withdrawn ballots from all other returned ballots. The Tabulator will retain all withdrawn ballots and will indicate on the face of such withdrawn ballots that they have been withdrawn.
m. In order to change the contents of a ballot that has been submitted, the person who has signed that ballot may (1) request that such ballot be withdrawn, (2) request that a replacement ballot be issued, and (3) return the replacement ballot fully completed. Each of these steps must be completed according to the procedures set forth above.
5. Tabulating Ballots. The following guidelines shall apply to tabulating assessment ballots:
a. The Tabulator shall tabulate the assessment ballots. The Tabulator shall follow the rules and procedures of the laws of the State of California, this resolution and any other rules and procedures of the City. If the Tabulator needs clarification, then they shall inquire of the City Council,
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who is the final arbiter. All ballots shall be accepted as valid except those in the following categories:
A photocopy of a ballot, a letter, or other form of a ballot that is not an official ballot provided by the City or the Assessment Engineer on behalf of the City;
An unsigned ballot, or ballot signed by an unauthorized individual;
A ballot which lacks an identifiable mark in the box for a “yes” or “no” vote or with more than one box marked;
A ballot which appears tampered with or otherwise invalid based upon its appearance or method of delivery or other circumstances;
A ballot for which the barcode representing the parcel number is damaged or obstructed, unless the parcel number or property ownership information is legible and allows the Tabulator to clearly determine the property(s) identified on the ballot. A ballot received after the close of the balloting time period. b. The Tabulator’s decision, after consultation with the City’s legal counsel, that a ballot is invalid shall be final and may not be appealed to the City Council.
c. In the event of a dispute regarding whether the signer of a ballot is the owner of the parcel to which the ballot applies, the City Council will make such determination from the official County Assessor records and any evidence of ownership submitted to the City Council prior to the
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conclusion of the public hearing. The City Council will be under no duty to obtain or consider any other evidence as to ownership of property and its determination of ownership will be final and conclusive. d. In the event of a dispute regarding whether the signer of a ballot is an authorized representative of the owner of the parcel, the City Council may rely on the statement on the ballot signed under penalty of perjury that the person completing the ballot is the owner's authorized representative and any evidence submitted to the City Council prior to the conclusion of the public hearing. The City Council will be under no duty to obtain or consider any other evidence as to whether the signer of the ballot is an authorized representative of the owner and its determination will be final and conclusive.
e. A property owner who has submitted an assessment ballot may withdraw the ballot and submit a new or changed ballot up until the conclusion of the public input portion of the public hearing on the assessment. Assessment ballots may be withdrawn and newer changed ballots submitted up until the conclusion of the public input portion of the public hearing on the assessment.
f. A property owner’s failure to receive an assessment ballot shall not invalidate the proceedings conducted under this section and section 4, Article XIIID, of the California Constitution.
g. The City shall retain all ballots for a period of two (2) years from the date of the public hearing.
6. Public Hearing.
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a. At the public hearing, the City Council shall hear all public testimony and protests regarding the proposed assessment and accept ballots until the close of the public input portion of the public hearing. b. Reasonable time limits may be imposed on both the length of the entire hearing and the length of each speaker’s testimony.
c. At the conclusion of the public input portion of the hearing, the Tabulator shall begin tabulation of the ballots at the direction of the City Council, including those received during the public hearing.
d. If it is not possible to tabulate the ballots on the day of the public hearing, or if additional time is necessary for public testimony, the City Council may continue the public hearing to a later date to receive additional testimony, information, or to finish tabulating the ballots. e. If according to the final tabulation of the ballots, ballots submitted against the assessment exceed the ballots submitted in favor of the assessment, weighted according to the proportional financial obligation of the affected property, a “majority protest” exists and the City Council shall not impose the assessment.
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Vista Montaña
LLMAD
Overlay Assessment Proposal
1 Page 490 of 522
Recommendation
Staff recommends that the City Council adopt:
1. Resolution declaring the intention to order the
formation of the Vista Montaña No. 2 Landscape and
Lighting Maintenance Assessment District, approving
the preliminary Engineer’s Report, providing notice of
public hearing, and directing the mailing of
assessment ballots.
2. Resolution adopting Proposition 218 assessment
ballot proceedings procedures
2 Page 491 of 522
Background
3 3 Page 492 of 522
What is a Landscape
& Lighting
Maintenance
Assessment District?
• LLMAD's are a flexible tool used by local
government agencies to pay for costs of the
subdivision.
• LLMAD establishment when subdivision was built.
• All services in these areas are directly funded by
property owners.
4 Page 493 of 522
What is the Vista
Montaña LLMAD?
• Conditioned with the approval
of the development to
maintain various facility
improvements surrounding the
neighborhood.
5 Page 494 of 522
What is the Vista Montaña LLMAD
A single-purpose special
district (independent of the
State, County, and City’s
General Fund).
Includes: Soundwalls, Retaining
Walls, Streetlights, Street
Signs, Drainage Channels,
Detention Basins, Drain inlets,
Culvert, Pedestrian
Pathways, Street Trees,
Landscaping
SOUNDWALLS STREETLIGHTS DRAINAGE
CHANNELS
DETENTION
BASIN
PEDESTRIAN &
BIKE PATHS
LANDSCAPED
AREAS 6
How is the Vista Montaña LLMAD funded?
Revenues come from an annual benefit assessment paid by Vista Montaña properties and collected by the County as part of homeowner property taxes.
Fees vary based on the LLMAD and type of residence, as determined by an annual Engineer's Report and increase
annually, based on the Consumer Price Index.
These fees pay for the ongoing Maintenance and future replacement (Reserve) of LLMAD services.
Funds can only be used for LLMAD expenses.
7 Page 496 of 522
0 50,000
100,000
150,000
200,000
250,000
04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 Maintenance Budget vs. Actual
Maintenance Budget Maint. Actual
8 Page 497 of 522
-120,000
-100,000
-80,000
-60,000
-40,000
-20,000
0 20,000
40,000
60,000
80,000
04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 Reserve Budget vs. Actual
Reserve Budget Reserve Actual 9 Page 498 of 522
Challenges
1. 2003 - Engineer’s Study underestimated annual maintenance costs for the LLMAD’s assets.
2. 2003 to 2016, 2020 - No annual Consumer
Price Index (CPI) fee adjustments implemented.
3. 2008 - Landscape improvement
project depleted the reserve, bringing the
account negative.
4. 2008 to Present - The cost of
annual maintenance has been higher than the amount collected for maintenance. 10 Page 499 of 522
Current Financial
Status • Budget not sufficient to support
current or enhanced maintenance
• Budget not sufficient to build the
reserve for future replacement. • Reserve balance = $72,000 • Original Engineers Study estimated balance should be
$887,000
• Full Financial History – Available on
the website
11 Page 500 of 522
Engagement Timeline
Several virtual
meetings held to
inform property
owners of financial
state of LLMAD.
Minimal engagement
and interest received.
2020–2022
Two meetings held to
inform property owners
of financial state of
LLMAD and proposed
rate increase.
June 2023
Update letter mailed.
Website updated with
FAQs
July 2023
Meetings with Advisory
Group, website updates
July 2023 – Jan.
2024
Newsletter update
mailed
Dec. 2023
Homeowner Meetings
Jan-Feb, 2024
Preliminary Engineers
Report
May 14, 2024
Ballots mailed and cast
May-June2024
2024-25 Ballots
counted and Engineers
Report Filed
July 9, 2024
Fees go into effect
July 2024
12 Page 501 of 522
Proposed
Overlay
Assessment
13 Page 502 of 522
Proposed Increase
• Met with Advisory Group for 7 months
• Created a proposal that prioritizes maintenance and lower fee • Goals:
• Build an Adequate Reserve a Reserve
• Current fees would be used to build a reserve
• New proposed fee (Overlay Assessment) = 100% for ongoing maintenance • Maintenance to be performed by contracted landscape company • Fee increased gradually over 5 years
• Proposed fee consists of:
• Bid received for landscape maintenance (approx. $155,000 per year) • City costs to maintain other infrastructure (Stormwater, Lights, Signs) 14 Page 503 of 522
Revised Proposed Increase
• What does this mean?
• Improved maintenance standards and accountability
• Transparent ongoing communication (Financial and Operations Reports) • Engage neighbors through annual meetings
• Capacity to build a more adequate reserve without shortchanging maintenance levels.
• Dedicated crew through contracted maintenance company • If approved, new fee and services would be effective July 2024 15 Page 504 of 522
What is
Needed
23/24
Budget
24/25
Engineers
Estimate
Increase
Maintenance $96,762 $196,809 $100,047
Reserve $56,890 $228,672 $171,782
Total $153,652 $425,481 $271,829
16 Original Proposal
Fee Proposal
17 156% 156% 156%
Fee Proposal Implementation
18 Page 507 of 522
Fee Proposal
19 *+ Annual C.I.P.
Fee Proposal
20 Proposed Assessment
Rates1 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 Single Family $ 222.33 $ 407.61 $ 592.89 $ 667.00 $ 718.88 Townhome/Condominium $ 177.87 $ 326.09 $ 474.31 $ 533.60 $ 575.10 Apartment Unit $ 51.41 $ 94.25 $ 137.09 $ 154.23 $ 166.23 Note 1 - Assessment rates for future fiscal years starting at FY 2025-26 are subject to increase by an amount equal to the annual change in the San Francisco Bay Area Consumer Price Index.
If Fee Increase does not Pass
• Annual assessment will remain in place.
• The goal of building a reserve will be prioritized.
•Ongoing maintenance will be reduced to ONLY
essential infrastructure and health and safety items.
No landscape maintenance will occur until
replacement reserve is replenished.
21 Page 510 of 522
Summary
of Options
22 NEW Gradual Increase Option -
Increase current LLMAD assessment to
have enhanced maintenance and a less
than adequate reserve and increased
over several years.
If Homeowners do not Approve
Compromised Option - Do not increase
fees and postpone all landscape
maintenance within the LLMAD until
replacement reserve is replenished.
Ballot Process
23 Page 512 of 522
Prop 218 Benefit Assessment Process
24 • Assessment amounts vary by parcel and are based on several unique parcel characteristics and factors:
• Each parcel owner will receive one ballot
• Each ballot is weighted in proportion to the parcel’s proposed assessment • Total assessment amount is the amount of ‘votes.’
• Only returned ballots are tabulated, and they are weighted based on their proposed assessment.
Prop 218 Benefit Assessment Process
25 • Decided by property owners in a mailed ballot proceeding. • Requires weighted majority of returned ballots (>50%). • Assessments based on type of property and number of dwelling units and adjusted by the amount of special benefit each property receives. • Common local funding option in the State of California.
Benefit Assessment Features
26 • The proposed assessment is based on the fiscal year 2024-25 budget. • If approved, the assessment would be paid on an annual basis. • In order for assessment-derived revenues to keep up with rising costs, an annual adjustment tied to the Consumer Price Index (CPI) may be applied to each succeeding year.
• In the event that the actual assessment rate for any given year is not increased by an amount equal to the CPI change, any such deferred assessment increase may be added to the total amount assessed in any subsequent year.
Benefit Assessment Features
27 • If approved, the authority to revise the assessment annually by CPI will rest with the City Council.
• The proposed assessment has “no sunset.”
• However, this assessment will only be charged if the City Council can justify the budgetary need.
• In addition to the possible increases described on the previous slide, the City Council may also maintain or lower the assessment rate in a certain fiscal year. • The City Council may also choose not to levy the assessment if funds are no longer needed.
What is the Process to Increase Funding
Proposition 218: Right to Vote on Taxes Act
Approved by California voters in 1996
Establish and Quantify General and Special Benefits in Engineer’s Report Determination of special benefit must be analyzed by a qualified licensed Professional Engineer
All parcels within the District receiving special benefit must be assessed Assessment must be proportional to the special benefit received Zones of benefits (Factors such as proximity and access to Improvements) 28 Page 517 of 522
What is the Process to Increase Funding
Proposition 218: Assessment Process
Adopt a resolution directing the preparation of the
Engineer’s Report (March 26, 2024)
Prepare the Engineers Report (March - April 2024)
Adopt a resolution preliminarily approving the Engineer’s Report (May 14, 2024)
Mail assessment ballot and notifications (May 23, 2024) Hold public hearing and close balloting period (June 2024) Adopt a resolution approving Final Engineer’s Report, ordering assessments, and confirming the assessment
diagram (July 9, 2024)
File the diagram and assessment with the County
(August 2024) 29 Page 518 of 522
Next Steps
30 Page 519 of 522
Engagement Timeline
Several virtual
meetings held to
inform property
owners of financial
state of LLMAD.
Minimal engagement
and interest received.
2020–2022
Two meetings held to
inform property owners
of financial state of
LLMAD and proposed
rate increase.
June 2023
Update letter mailed.
Website updated with
FAQs
July 2023
Meetings with Advisory
Group, website updates
July 2023 – Jan.
2024
Newsletter update
mailed
Dec. 2023
Homeowner Meetings
Jan-Feb, 2024
Preliminary Engineers
Report
May 14, 2024
Ballots mailed and cast
May-June2024
2024-25 Ballots
counted and Engineers
Report Filed
July 9, 2024
Fees go into effect
July 2024
31 Page 520 of 522
Recommendation
Staff recommends that the City Council adopt:
1. Resolution declaring the intention to order the
formation of the Vista Montaña No. 2 Landscape and
Lighting Maintenance Assessment District, approving
the preliminary Engineer’s Report, providing notice of
public hearing, and directing the mailing of
assessment ballots.
2. Resolution adopting Proposition 218 assessment
ballot proceedings procedures
32 Page 521 of 522
Questions/
Thoughts?
33 33