Agenda packet, regular meeting — West Covina City Council, July 2, 2024

CITY OF WEST COVINA

CITY COUNCIL/SUCCESSOR AGENCY
JULY 2, 2024, 7:00 PM
REGULAR MEETING
CITY HALL COUNCIL CHAMBERS
1444 W. GARVEY AVENUE SOUTH
WEST COVINA, CALIFORNIA 91790
Mayor Brian Calderón Tabatabai
Mayor Pro Tem Tony Wu
Councilwoman Letty Lopez-Viado
Councilman Ollie Cantos
Councilwoman Rosario Diaz
Please turn off all cell phones and other electronic devices prior to entering the Council Chambers

AMERICANS WITH DISABILITIES ACT
The City complies with the Americans with Disabilities Act (ADA). If you will need special assistance at Council meetings, please call (626) 939-8433 (voice) or (626) 960-4422 (TTY) from 8 to 5 Monday through Thursday. Do call at least one day prior to the meeting date to inform us of your particular needs and to determine if accommodation is possible. For sign language interpreter services at Council meetings, please request no less than four working days prior to the meeting.

AGENDA MATERIAL
Agenda material is available for review at the City Clerk's Office, Room 317 in City Hall, 1444 W. Garvey Avenue South, West Covina and at www.westcovina.org. Any writings or documents regarding any item on this agenda, not exempt from public disclosure, provided to a majority of the City Council that is distributed less than 72 hours before the meeting, will be made available for public inspection in the City Clerk’s Office, Room 317 of City Hall located at 1444 W. Garvey Avenue South, West Covina, during normal business hours.

NOTICE
The City Council will regularly convene on the first and third Tuesday of the month. The West Covina Community Development Commission, West Covina Public Financing Authority and the West Covina Community Services Foundation are agencies on which the City Council serves as members. Agendas may contain items for these boards, as necessary.

PUBLIC COMMENTS

ADDRESSING THE CITY COUNCIL
(Per WCMC 2-48, Ordinance No. 2150)
Any person wishing to address the City Council on any matter listed on the agenda or on any other matter within their jurisdiction should complete a speaker card that is provided at the entrance to the Council Chambers and submit the card to the City Clerk.

Please identify on the speaker card whether you are speaking on an agenda item or non-agenda. Requests to speak on agenda items will be heard prior to requests to speak on non-agenda items. All comments are limited to five (5) minutes per speaker.

Oral Communications may be limited to thirty (30) minutes, unless speakers addressing agenda items have not concluded.

Any testimony or comments regarding a matter set for a Public Hearing will be heard during the hearing.

RULES OF DECORUM
Excerpts from the West Covina Municipal Code and Penal Code pertaining to the Rules of Decorum will be found at the end of agenda.

AGENDA
AGENDA

CITY OF WEST COVINA

CITY COUNCIL/SUCCESSOR AGENCY

TUESDAY JULY 2, 2024, 7:00 PM

REGULAR MEETING

INVOCATION
Led by Rabbi Ralph Resnick from Temple Ami Shalom

PLEDGE OF ALLEGIANCE
Led by Councilman Cantos

ROLL CALL

REPORTING OUT FROM CLOSED SESSION

PRESENTATIONS
Proclamation Recognizing Park and Recreation Month
Certificate of Recognition presented to One Veg World

CITY MANAGER'S REPORT
City Manager's report on current City projects.

ORAL COMMUNICATIONS - Five (5) minutes per speaker
Please step forward to the podium and state your name and city of residence for the record when recognized by the Mayor.

CONSENT CALENDAR
All matters listed under CONSENT CALENDAR are considered to be routine and can be acted on by one roll call vote.

There will be no separate discussion of these items unless members of the City Council/Community Development Commission request specific items to be removed from the Consent Calendar for separate discussion or action.

APPROVAL OF MEETING MINUTES
1) CONSIDERATION OF APPROVAL OF THE JUNE 18, 2024, CITY COUNCIL/SUCCESSOR AGENCY REGULAR SESSION MEETING MINUTES AND THE JUNE 18, 2024, CITY COUNCIL/SUCCESSOR AGENCY REGULAR CLOSED SESSION MEETING MINUTES.

That the Council approve the June 18, 2024, City Council/Successor Agency Regular Session Meeting Minutes and the June 18, 2024, City Council/Successor Agency Regular Closed Session Meeting Minutes.

CITY CLERK'S OFFICE
2) CONSIDERATION OF RESOLUTIONS RELATING TO THE NOVEMBER 5, 2024 ELECTION Adopt the following Resolutions relating to the November 5, 2024 General Municipal Election:

Adopt the following Resolutions relating to the November 5, 2024 General Municipal Election:

RESOLUTION NO. 2024-47 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, CALLING FOR THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024 FOR THE

ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS OF THE

LAWS OF THE STATE OF CALIFORNIA RELATING TO GENERAL LAW CITIES RESOLUTION NO. 2024-48 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF

THE COUNTY OF LOS ANGELES TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 5, 2024 WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THAT DATE PURSUANT TO SECTION 10403 OF THE

CALIFORNIA ELECTIONS CODE
RESOLUTION NO. 2024-49 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, ADOPTING REGULATIONS FOR CANDIDATES FOR ELECTIVE OFFICE PERTAINING TO CANDIDATES’ STATEMENTS SUBMITTED TO THE VOTERS FOR AN ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024

COMMUNITY DEVELOPMENT
3) CONSIDERATION OF FISCAL YEAR 2024-25 ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NOS. 1 & 2
It is recommended that the City Council adopt the following resolutions:

RESOLUTION NO. 2024-34 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA SETTING THE ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO. 1 FOR THE FISCAL YEAR BEGINNING JULY 1, 2024
RESOLUTION NO. 2024-35 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA SETTING THE ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO. 2 FOR THE FISCAL YEAR BEGINNING JULY 1, 2024
4) CONSIDERATION OF RENEWAL OF LANDSCAPE MAINTENANCE DISTRICTS 4, 6 AND 7 — ORDERING OF AND PRELIMINARY APPROVAL OF THE CONSOLIDATED ENGINEER'S REPORT
It is recommended that the City Council adopt the following actions:

1. Adopt the following resolution(s):

RESOLUTION NO. 2024-36 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO. 4
RESOLUTION NO. 2024-38 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO.6
RESOLUTION NO. 2024-40 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY RESOLUTION NO. 2024-40 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO. 7

2. Following adoption of Resolutions Nos. 2024-36, 2024-38, and 2024-40, adopt the following resolution(s):

INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING SUCH

ASSESSMENTS
RESOLUTION NO. 2024-39 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR LANDSCAPE MAINTENANCE DISTRICT NO. 6, DECLARING ITS

INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING SUCH

ASSESSMENTS
RESOLUTION NO. 2024-41 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR LANDSCAPE MAINTENANCE DISTRICT NO. 7, DECLARING ITS

INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING SUCH

ASSESSMENTS
5) CONSIDERATION OF RESOLUTION DECLARING INTENT TO COLLECT CITYWIDE SEWER SERVICE CHARGE ON COUNTY TAX ROLL FOR FISCAL YEAR 2024-25 It is recommended that the City Council adopt the following resolution:

RESOLUTION NO. 2024-44 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, DECLARING ITS INTENTION TO COLLECT THE

CITYWIDE SEWER SERVICE CHARGE ON THE COUNTY TAX ROLL FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING THE METHOD OF COLLECTION FOR JULY 16, 2024
6) CONSIDERATION OF RENEWAL OF THE CITYWIDE LIGHTING AND MAINTENANCE

DISTRICT - ORDERING OF AND PRELIMINARY APPROVAL OF THE ENGINEER'S REPORT Staff recommends that City Council take the following actions:

1. Adopt the following resolution:

RESOLUTION NO. 2024-42 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF WEST COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH THE CITY’S CITYWIDE LIGHTING AND

MAINTENANCE DISTRICT

2. Following adoption of Resolution No. 2024-42, adopt the following resolution:

RESOLUTION NO. 2024-43 - A RESOLUTION OF THE CITY COUNCIL OF THE RESOLUTION NO. 2024-43 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR THE CITY’S CITYWIDE LIGHTING AND

MAINTENANCE DISTRICT, DECLARING ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25

AND SETTING A PUBLIC HEARING REGARDING SUCH ASSESSMENTS

END OF CONSENT CALENDAR

HEARINGS

PUBLIC HEARINGS
7) PROGRAM YEAR (PY) 2024 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)

ACTION PLAN
It is recommended that the City Council take the following actions:

1. Approve the proposed Program Year (PY) 2024 CDBG Action Plan; and Designate the City Manager, or the City Manager’s designee, as the official representative of the City to administer the programs, to execute and submit all required agreements, certifications, and documents required by the U.S. Department of Housing and Urban Development (HUD), and to execute all subrecipient agreements for the use of funds approved in the PY 2024 Annual Action Plan; and

2. Authorize the City Manager to negotiate and execute all necessary documents, in such final form as approved by the City Attorney, to carry out the City Council's direction.

3. 4. Approve the following resolution:

RESOLUTION NO. 2024-45 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF

WEST COVINA, CALIFORNIA, ADOPTING A BUDGET AMENDMENT FOR THE FISCAL
YEAR COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025 (PY 2024

CDBG ACTION PLAN)
8) PUBLIC HEARING TO CONSIDER WEST COVINA AUTO PLAZA
BUSINESS IMPROVEMENT DISTRICT FISCAL YEAR 2024-2025 ANNUAL REPORT

AND ASSESSMENT
It is recommended that the City Council conduct the public hearing and then adopt the following resolution:

RESOLUTION NO. 2024-32 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, CONFIRMING THE ANNUAL REPORT FILED BY THE WEST

COVINA AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT ADVISORY BOARD AND

LEVYING AN ANNUAL ASSESSMENT FOR THE WEST COVINA AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2024-2025

CITY MANAGER'S OFFICE
9) OVERVIEW OF PROPOSED "PATHWAY HOME" PROJECT
It is recommended that the City Council receive and file this report.

MAYOR/COUNCILMEMBERS REPORTS
AB 1234 Conference and Meeting Report (verbal, if any)
(In accordance with AB 1234, Councilmembers shall make a brief report or file a written report on any meeting/event/conference attended at City expense.)

CITY COUNCIL REQUESTS FOR REPORTS, STUDIES OR INVESTIGATION (Per City of West Covina Standing Rules 4.f - Requests for reports, studies, or investigations that are not readily available must be placed on the City Council/Successor Agency agenda as items of business and must be approved by a majority of the City Council/Successor Agency Board.)

CITY COUNCIL COMMENTS

ADJOURNMENT
Next Tentative City Council Meeting
Regular Meeting July 16, 2024 7:00 PM

RULES OF DECORUM
The following are excerpts from the West Covina Municipal Code:

Sec. 2-48. Manner of addressing council; time limit; persons addressing may be sworn.

Each person addressing the council shall step up to the rostrum, shall give his or her name and city of residence in an audible tone of voice for the record and unless further time is granted by the council, shall limit his or her address to five (5) minutes. a.
b. The city council may establish a limit on the duration of oral communications.

All remarks shall be addressed to the council as a body and not to any member thereof. No person, other than the council and the person having the floor, shall be permitted to enter into any discussion, either directly or through a member of the council, without the permission of the presiding officer. No question shall be asked of a councilmember except through the presiding officer. c.

The presiding officer may require any person to be sworn as a witness before addressing the council on any subject. Any such person who, having taken an oath that he or she will testify truthfully, willfully and contrary to such oath states as true any material matter which he knows to be false may be held to answer criminally and subject to the penalty prescribed for perjury by the provisions of the Penal Code of the state.
d.

Sec. 2-50. Decorum--Required.

While the council is in session, the members shall preserve order and decorum, and a member shall neither, by conversation or otherwise, delay or disrupt the proceedings or the peace of the council nor interrupt any member while speaking or refuse to obey the orders of the council or its presiding officer, except as otherwise herein provided. a.

Members of the public shall not willfully disrupt the meeting or act in a manner that actually impairs the orderly conduct of the meeting.

For the purposes of this code, “willfully disrupt” includes, but is not limited to, continuing to do any of the following after being warned by the Mayor that continuing to do so will be a violation of the law:
a. Addressing the Mayor and City Council without first being recognized. b. Persisting in addressing a subject or subjects, other than that before the Mayor and City Council. c. Repetitiously addressing the same subject.
d. Failing to relinquish the podium when directed to do so.

From the audience, interrupting or attempting to interrupt, a speaker, the Mayor, a council member, or a staff member or shouting or attempting to shout over a speaker, the Mayor, a council member or a staff member. e.

As a speaker, interrupting or attempting to interrupt the Mayor, a council member, or a staff member, or shouting over or attempting to shout over the Mayor, a council member, or a staff member. Nothing in this section or any rules of the council shall be construed to prohibit public criticism of the policies, procedures, programs, or services of the City or of the acts or omissions of the City Council. It shall be unlawful to violate the provisions of this Section. f.
b.

If any subsection, sentence, clause, or phrase or word of this Section 2-50 is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Section. The City Council hereby declares that it would have passed this section and each subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more subsections, sentences, clauses, phrases or words had been declared invalid or unconstitutional.

Sec. 2-52. Persons authorized to be within council area.

No person, except city officials, their representatives and members of the news media shall be permitted within the rail in front of the council chamber without the express consent of the council.

The following are excerpts from the Penal Code
148(a) (1) Every Person who willfully resists, delays, or obstructs any public officer, peace officer, or an emergency medical technician, as defined in Division 2.5 (commencing with Section 1797) of the Health and Safety code, in the discharge or attempt to discharge any duty of his or her office or employment, when no other punishment is prescribed, shall be punished by a fine not exceeding one thousand dollars ($1,000), or by imprisonment in a county jail not to exceed one year, or by both that fine and imprisonment. 403 Every person who, without authority of law, willfully disturbs or breaks up any assembly or meeting that is not unlawful in its character, other than an assembly or meeting referred to in Section 303 of the Penal Code or Section 18340 of the Elections Code, is guilty of a misdemeanor.

AGENDA ITEM NO. 1

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: CONSIDERATION OF APPROVAL OF THE JUNE 18, 2024, CITY

COUNCIL/SUCCESSOR AGENCY REGULAR SESSION MEETING MINUTES AND THE JUNE 18, 2024, CITY COUNCIL/SUCCESSOR AGENCY REGULAR CLOSED SESSION MEETING MINUTES.

RECOMMENDATION:

That the Council approve the June 18, 2024, City Council/Successor Agency Regular Session Meeting Minutes and the June 18, 2024, City Council/Successor Agency Regular Closed Session Meeting Minutes.

BACKGROUND:

That the City Council adopt the attached minutes.

Prepared by: Lisa Sherrick, Assistant City Clerk
Attachments
Attachment No. 1 - 6/18/2024 Closed Session Minutes Draft Attachment No. 2 - 6/18/2024 Regular Session Minutes Draft CITY COUNCIL GOALS & OBJECTIVES: Enhance City Image and Effectiveness ATTACHMENT NO. 1

CITY OF WEST COVINA

CITY COUNCIL/SUCCESSOR AGENCY
JUNE 18, 2024, 6:00 PM

REGULAR MEETING - CLOSED SESSION
MANAGEMENT RESOURCE CENTER 3RD FLOOR
1444 W. GARVEY AVENUE SOUTH
WEST COVINA, CALIFORNIA 91790
Mayor Brian Calderón Tabatabai
Mayor Pro Tem Tony Wu
Councilwoman Letty Lopez-Viado
Councilman Ollie Cantos
Councilwoman Rosario Diaz

MINUTES

CALL TO ORDER
A Regular Session Meeting was called to order by Mayor Calderón Tabatabai on Tuesday, June 4, 2024, at 6:05 p.m., in the Management Resource Center, 1444 West Garvey Avenue South, West Covina, California.

ROLL CALL
Council Members

Present: Council Members Rosario Diaz, Ollie Cantos, Letty Lopez-Viado, Mayor Pro Tem Wu, Mayor Brian Calderón Tabatabai

Absent: None
ATTACHMENT NO. 1
City Staff: Paulina Morales, Acting City Manager, Thomas Duarte, City Attorney, Stephanie Sikkema, Finance Director, Michael Wroniak, Collins + Collins, Peter O.

Nguyen, Libert Cassidy Whitmore (Via Telephone).

PUBLIC COMMENTS ON ITEMS ON THE AGENDA
None

CLOSED SESSION

1. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION - Pursuant to Government Code § 54956.9(d)(2)
Number of Cases: One (1)

2. CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code § 54957.6
City Negotiators: Morales, Duarte
Employee Organizations
• Confidential Employees
• Maintenance & Crafts Employees
• Non-Sworn
• W.C. Police Officers’ Association
• W.C. Firefighters’ Management Assoc.
• W.C. Firefighters’ Association, I.A.F.F., Local 3226
• General Employees
• Mid-Management Employees
• W.C. Police Management Association
Unrepresented Employee Group
• Department Heads

REPORTING OUT
City Attorney Thomas Duarte reported that no action was taken during the Closed Session Meeting.
-This Section is intentionally left blank -
ATTACHMENT NO. 1

ADJOURNMENT
A motion to adjourn the Regular Closed Meeting was made by Mayor Calderón Tabatabai, and the meeting was adjourned at 7:00 p.m. The next regularly scheduled Regular Closed City Council Meeting will be held on Tuesday, July 2, 2024, at 6:00 p.m. in the Management Resource Center 3rd Floor, 1444 West Garvey Avenue South, West Covina, California.

Submitted By:
____________________________
Lisa Sherrick
Assistant City Clerk
__________________________
Brian Calderón Tabatabai
Mayor
ATTACHMENT NO. 2

CITY OF WEST COVINA

CITY COUNCIL/SUCCESSOR AGENCY
JUNE 18, 2024, 7:00 PM

REGULAR MEETING

CITY HALL COUNCIL CHAMBERS
1444 W. GARVEY AVENUE SOUTH
WEST COVINA, CALIFORNIA 91790
Mayor Brian Calderón Tabatabai
Mayor Pro Tem Tony Wu
Councilwoman Letty Lopez-Viado
Councilman Ollie Cantos
Councilwoman Rosario Diaz

MINUTES

CITY OF WEST COVINA

CITY COUNCIL/SUCCESSOR AGENCY
CALL TO ORDER:

A Regular Session Meeting was called to order by Mayor Brian Calderón Tabatabai on Tuesday, June 18, 2024, at 7:01 p.m., in the Council Chambers, 1444 West Garvey Avenue South, West Covina, California.

INVOCATION:

Led by Pastor Samuel Martinez from Amazing Love Ministries ATTACHMENT NO. 2

PLEDGE OF ALLEGIANCE
Led by Mayor Calderón Tabatabai

ROLL CALL

Present: Council Members Cantos, Diaz, Lopez-Viado Mayor Pro Tem Wu, Mayor Calderón Tabatabai

Absent: None

REPORTING OUT FROM CLOSED SESSION
City Attorney Thomas Duarte reported that no action was taken during the Closed Session Meeting.

PRESENTATIONS
• Proclamation Recognizing Juneteenth
• Proclamation Recognizing Pride Month
• Certificate Recognizing David Beeken
• Certificate Recognizing West Covina Girls Soccer Team

CITY MANAGER'S REPORT
City Manager's report on current City projects.

ORAL COMMUNICATIONS - Three (3) minutes per speaker
Valerie Munoz
Vicki Scheliga
Sue Augino
Herman
Ted Hwang
John Shewmaker
Glen Hammond
Eddie
R. Robinson
(Illegible) Days Inn
Gonzalo Lopez
Rita
Sam Patel
Andreas Lopez
Glenn Kennedy
Bill Elliot
Wilson Lee
Jacqueline Caceras
Gloria Angeles
Laura Galindo
Caelyn Oei
Brian Gutierrez
ATTACHMENT NO. 2

CONSENT CALENDAR
ACTION: Motion by Councilwoman Diaz and Second by Councilwoman LopezViado, 5-0 to: Approve Consent Calendar Items 1-3 and 5 and 6. (Item 4 was pulled for discussion by was pulled by Mayor Pro Tem Wu).

ACTION: Motion by Mayor Pro Wu and Second by Mayor Calderón Tabatabai, 5-0 to: Approve Consent Calendar Item 4. (Item 4 was pulled for discussion by was pulled by Mayor Pro Tem Wu).

APPROVAL OF MEETING MINUTES
1) CONSIDERATION OF APPROVAL OF THE JUNE 4, 2024, CITY

COUNCIL/SUCCESSOR AGENCY REGULAR SESSION MEETING MINUTES AND THE JUNE 4, 2024, CITY COUNCIL/SUCCESSOR AGENCY REGULAR CLOSED SESSION MEETING MINUTES.

Carried 5-0 to: approve the June 4, 2024, City Council/Successor Agency Regular Session Meeting Minutes and the June 4, 2024, City Council/Successor Agency Regular Closed Session Meeting Minutes.

COMMISSION SUMMARY OF ACTIONS
2) CONSIDERATION OF MINUTES FOR COMMUNITY AND SENIOR SERVICES

COMMISSION MEETINGS
Carried 5-0 to: receive and file the minutes of the Community and Senior Services Commission for the special meeting held on July 25, 2023, and regular meetings held on September 12, 2023, November 14, 2023, January 9, 2024, and March 14, 2024.

CITY MANAGER'S OFFICE
3) CONSIDERATION OF A RESOLUTION OF INTENTION TO LEVY ASSESSMENTS

FOR THE AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2024-25
Carried 5-0 to:

1. 1. Approve the Annual Report for Fiscal Year 2024-2025 for the West Covina Auto Plaza Business Improvement District.

2. Adopt the following resolution:

RESOLUTION NO. 2024-31 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF WEST COVINA, CALIFORNIA, DECLARING ITS INTENTION TO

LEVY AN ASSESSMENT WITHIN THE BUSINESS IMPROVEMENT AREA

KNOWN AS THE WEST COVINA AUTO PLAZA BUSINESS IMPROVEMENT ATTACHMENT NO. 2
DISTRICT FOR FISCAL YEAR 2024-25 AND SETTING THE TIME AND PLACE

FOR A PUBLIC HEARING THEREON

COMMUNITY DEVELOPMENT
4) CONSIDERATION OF CONSTRUCTION AGREEMENT FOR CITYWIDE SIDEWALK, CURB & GUTTER REPAIRS - PROJECTS NOS. 21014 & 21015 Carried 5-0 to:

1. Award the construction agreement for the Citywide Sidewalk, Curb & Gutter Repairs (Projects Nos. 21014 & 21015) to C J Concrete Construction, Inc. as the lowest responsible bidder.

2. Authorize the City Manager to negotiate and execute an agreement with C J Concrete Construction, Inc. for $250,258.00, in such final form as approved by the City Attorney.

3. Authorize the City Manager to negotiate and execute any amendments up to 15% of the awarded contract amount.

4. Find that the project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15302 (Replacement or Reconstruction); and

5. Adopt the following resolution.

RESOLUTION NO. 2024-34 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF WEST COVINA, CALIFORNIA, ADOPTING A BUDGET AMENDMENT FOR THE FISCAL YEAR COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025 (FY 2023-24 CITYWIDE SIDEWALK, CURB & GUTTER REPAIRS)

FINANCE DEPARTMENT
5) CONSIDERATION OF THE THIRD QUARTER FINANCIAL REPORT AND BUDGET AMENDMENT FOR FISCAL YEAR 2023-24
Carried 5-0 to:

1. Receive and file the Third Quarter Financial Report for Fiscal Year 2023-24; and

2. Adopt the following resolution:

RESOLUTION NO. 2024-35 - A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF WEST COVINA, CALIFORNIA, ADOPTING A BUDGET AMENDMENT FOR THE FISCAL YEAR COMMENCING JULY 1, 2023 AND ENDING JUNE 30, 2024 (THIRD QUARTER FINANCIAL REPORT)
ATTACHMENT NO. 2
-THIS SPACE IS INTENTIONALLY LEFT BLANKPUBLIC SERVICES 6) APPROVAL OF PURCHASE ORDER FOR FORD FLEET CARE FY 2024-25

Carried 5-0 to:

1. Authorize the City Manager to issue a purchase order to Ford Fleet Care utilizing the Sourcewell Cooperative Purchasing Agreement for Fiscal Year 2024-25.

2. Authorize the City Manager to execute any purchase order change orders within the FY2024-25 budget for Fund 365, Fleet Management.

END OF CONSENT CALENDAR

DEPARTMENTAL REGULAR MATTERS

CITY MANAGER'S OFFICE
7) CONSIDERATION OF MICROTRANSIT PILOT PROJECT
Carried 5-0 to:

1. Authorize the City Manager to execute the Measure M Grant Agreement with the Los Angeles County Metropolitan Transportation Authority (Metro) for Visionary Project Seed Funding;

2. Authorize the City Manager to negotiate and execute a Transit as-a-Service (TaaS) Service Order with Nomad Transit, LLC, a wholly owned subsidiary of Via Transportation, Inc., and to approve a project budget not to exceed $1,098,484, to carry out a turnkey microtransit pilot program for a 12-month period, in such final form as approved by the City Attorney;

3. Authorize the City Manager to negotiate any amendments to the agreements in such form as approved by the City Attorney;

4. Provide direction regarding the proposed plan for the delivery of transit services; and

5. Approve the following resolution:

RESOLUTION NO. 2024-33 - A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF WEST COVINA, CALIFORNIA, ADOPTING A BUDGET
AMENDMENT FOR THE FISCAL YEAR COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025 (METRO VSF MICROTRANSIT PILOT)
ATTACHMENT NO. 2

MAYOR/COUNCILMEMBERS REPORTS
NONE

CITY COUNCIL REQUESTS FOR REPORTS, STUDIES OR INVESTIGATION • Mayor Pro Tem Wu – Asked the City Attorney to look into possibly shutting down the 5 Star Motel and take legal action against the County. Second by Councilwoman Lopez-Viado (4-1, No Calderón Tabatabai)
• Council requests an interactive workshop between residents and the County along with a presentation by the County at the next Council Meeting. Second by Councilwoman Lopez-Viado, no objection.

CITY COUNCIL COMMENTS
None

ADJOURNMENT
A motion to adjourn the Regular Meeting was made by Councilman, and the meeting was adjourned at 9:57 p.m. The next regularly scheduled Regular City Council Meeting will be held on Tuesday, July 2, 2024, at 7:00 p.m. in the Council Chambers, 1444 West Garvey Avenue South, West Covina, California.

Submitted by:
____________________
Lisa Sherrick
Assistant City Clerk
__________________________
Brian Calderón Tabatabai
Mayor

AGENDA ITEM NO. 2

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: CONSIDERATION OF RESOLUTIONS RELATING TO THE NOVEMBER 5, 2024

ELECTION
RECOMMENDATION:

Adopt the following Resolutions relating to the November 5, 2024 General Municipal Election:

RESOLUTION NO. 2024-47 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, CALLING FOR THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024 FOR THE

ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS OF THE LAWS OF

THE STATE OF CALIFORNIA RELATING TO GENERAL LAW CITIES
RESOLUTION NO. 2024-48 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF

LOS ANGELES TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 5, 2024 WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THAT DATE PURSUANT TO SECTION 10403 OF THE CALIFORNIA ELECTIONS CODE RESOLUTION NO. 2024-49 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, ADOPTING REGULATIONS FOR CANDIDATES FOR ELECTIVE OFFICE PERTAINING TO CANDIDATES’ STATEMENTS SUBMITTED TO THE VOTERS FOR AN ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024
BACKGROUND:

The City's general municipal elections are held on the first Tuesday after the first Monday in November of even-numbered years to coincide with the statewide general elections. The date for the 2024 election is November 5, 2024. Pursuant to Ordinance No. 2328, members of the City Council for Districts 1 and 3 were elected in the year 2020 and then in each fourth year thereafter. The four-year terms expire in 2024 and therefore must be voted upon in the 2024 election.

DISCUSSION:

West Covina's General Municipal Election will be held on November 5, 2024, to select one Member of the West Covina's General Municipal Election will be held on November 5, 2024, to select one Member of the City Council to represent District 1 and one Member of the City Council to represent District 3, each for the full term of four years. In accordance with the requirements of the California Elections Code, the City Council must adopt certain resolutions pertaining to the General Municipal Election.

Proposed Resolution No. 2024-47 calls for and gives notice of the election. Proposed Resolution No. 2024-48 requests that the Los Angeles County Board of Supervisors consolidate the City's General Municipal Election with the Statewide General Election to be held on November 5, 2024. Proposed Resolution No. 2024-49 outlines regulations relating to candidates' statements for the November 5, 2024 election, including the requirement that a candidate filing a statement pay in advance to the City his or her pro rata share of the estimated costs of printing, handling, translating, and mailing the candidate statements filed, as estimated by the Registrar-Recorder/County Clerk. Once actual costs are determined by the Registar-Recorder/County Clerk, candidates may be billed for additional expenses or refunded for excess paid. Proposed Resolution No. 2024-50 also provides that candidate statements shall not exceed 200 words. However, pursuant to California Elections Code section 13307, the City Council may authorize an increase in the limitation on words for the candidate statement from 200 to 400 words. Proposed Resolution No. 2024-50 also authorizes online candidate statements.

Online Candidate Statements
Pursuant to California Elections Code section 13307(c)(1), if the elections official who is conducting the election permits electronic distribution of a candidate's statement, the governing body may permit each candidate for nonpartisan elective office in the local agency to prepare a candidate's statement for the purpose of electronic distribution. Pursuant to California Elections Code section 13307(c)(2), a candidate's statement prepared for electronic distribution shall be posted on the Internet website of the elections official, and may be included in a voter's pamphlet that is electronically distributed by the elections official, but shall not be included in a voter's pamphlet that is printed and mailed to voters. In 2022, the Los Angeles County Registrar-Recorder/County Clerk launched an Online Candidate Statement Pilot in Los Angeles County that permitted candidates running for County offices and judicial positions to pay for a candidate statement that would be posted online, but would not be printed in the hard copy sample ballot/voter guide. The pilot later expanded to a program that included cities, school districts, and other local jurisdictions that were on the ballot for the March 2024 election cycle. For the March 2024 election, online candidate statements were published on a dedicated page of the www.lavote.gov website for a reduced fee of approximately $280. The Registar-Recorder/County Clerk is allowing online candidate statements for the November 2024 election cycle. To allow this option for candidate statements, City Council authorization is required. If authorized by the Council, candidates will have the option to have their candidate statements published only online or to have their candidate statements printed in the hard copy sample ballot/voter guide. If a candidate elects to pay to have their candidate statement printed in the hard copy sample ballot/voter guide, their statement will also be published online at no additional cost. The cost to publish a candidate statement only online in the November 2024 election is estimated at $280. The cost to print the candidate statement in the hard copy sample ballot/voter guide is estimated at $400 per column.

Registered voters of the City interested in running for the open seats must complete the nomination process prescribed by the California Elections Code. The nomination period is Monday, July 15, 2024 through Friday, August 9, 2024. The filing period is extended to Wednesday, August 14, 2024 if the incumbent does not file nomination papers.

LEGAL REVIEW:

The City Attorney's Office has reviewed the resolutions and approved them as to form.

OPTIONS:

The City Council has the following options:

1. Approve staff's recommendation; or

2. Provide alternative direction.

Prepared by: Lisa Sherrick, Assistant City Clerk
Fiscal Impact
FISCAL IMPACT:

In FY2022-23, the City spent $314,265 on election services. The estimated cost for the 2024 election is $308,000 and has been included in the FY2024-25 Budget:

Account No. Account Name FY2024-25 Budget
110.501.12.03.00.00.61.61180 Elections $310,000
Additionally, each candidate filing a statement is required to pay in advance to have their statement included in the Official Sample Ballot Booklet. In the event of underpayment, the candidate must pay the balance of the cost incurred. In the event of overpayment, the excess amount will be refunded to the candidate. The Candidate Statement advances are held in a deposit account.

Attachments
Attachment No. 1 - Resolution No. 2024-47 Calling the 2024 Election Attachment No. 2 - Resolution No. 2024-48 Requesting Consolidation of Election Attachment No. 3 - Resolution No. 2024-49 Requesting Candidate Statements CITY COUNCIL GOALS & OBJECTIVES: Enhance City Image and Effectiveness ATTACHMENT NO. 1
RESOLUTION NO. 2024-47

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, CALLING FOR THE

HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE
HELD ON TUESDAY, NOVEMBER 5, 2024 FOR THE

ELECTION OF CERTAIN OFFICERS AS REQUIRED BY

THE PROVISIONS OF THE LAWS OF THE STATE OF

CALIFORNIA RELATING TO GENERAL LAW CITIES
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, under the provisions of the laws relating to general law cities in the State of California, a General Municipal Election will be held on November 5, 2024, for the election of municipal officers.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Pursuant to the requirements of the laws of the State of California relating to general law cities, there is called and ordered to be held in the City of West Covina, California, on Tuesday, November 5, 2024, a General Municipal Election for the purpose of electing one Member of the City Council to represent District 1 and one Member of the City Council to represent District 3, each for the full term of four years.

SECTION 2. The ballots to be used at the election shall be in form and content as required by law.

SECTION 3. The Assistant City Clerk is authorized, instructed and directed to coordinate with the County of Los Angeles Registrar-Recorder/County Clerk to procure and furnish any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election.

SECTION 4. The vote centers for the election shall be open at 7:00 a.m. of the day of the election and shall remain open continuously from that time until 8:00 p.m. of the same day when the vote centers shall be closed, except as provided in Sections 4005 and 14401 of the California Elections Code. Vote centers shall also be open on such other dates and times as determined by the County of Los Angeles RegistrarRecorder/County Clerk in accordance with Section 4005 of the California Elections Code.

SECTION 5. In all particulars not recited in this resolution, the election shall be held and conducted as provided by law for holding municipal elections.

SECTION 6. Notice of the time and place of holding the election is given and the Assistant City Clerk is authorized, instructed and directed to give further or additional notice of the election, in the time, form and manner required by law.

SECTION 7. The City Council authorizes the Assistant City Clerk to administer said election and authorizes all reasonable and actual election expenses to be paid by the City upon presentation of a properly submitted bill.

SECTION 8. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-47 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 2
RESOLUTION NO. 2024-48

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, REQUESTING THE BOARD

OF SUPERVISORS OF THE COUNTY OF LOS ANGELES

TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION
TO BE HELD ON NOVEMBER 5, 2024 WITH THE

STATEWIDE GENERAL ELECTION TO BE HELD ON THAT
DATE PURSUANT TO SECTION 10403 OF THE

CALIFORNIA ELECTIONS CODE
The City Council of the City of West Covina hereby finds and declares as follows:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Pursuant to Section 10403 of the California Elections Code, the Board of Supervisors of the County of Los Angeles is hereby requested to consent and agree to the consolidation of the General Municipal Election with the Statewide General Election on Tuesday, November 5, 2024, for the purpose of electing one Member of the City Council to represent District 1 and one Member of the City Council to represent District 3, each for the full term of four years.

SECTION 2. The County of Los Angeles Board of Supervisors is requested to issue instructions to the Registrar-Recorder/County Clerk to take any and all steps necessary for the holding of the consolidated election.

SECTION 3. The City of West Covina acknowledges that the consolidated election will be held and conducted in the manner prescribed in Section 10418 of the California Elections Code. The election shall be held in all respects as if there were only one election, and only one form of ballot shall be used. The election will be held and conducted in accordance with the provisions of law regulating the statewide election.

SECTION 4. The County of Los Angeles Registrar-Recorder/County Clerk is authorized to canvass the returns of the General Municipal Election.

SECTION 5. The City of West Covina recognizes that additional costs will be incurred by the County of Los Angeles by reason of the consolidation and agrees to reimburse the County of Los Angeles for any costs incurred upon the presentation of a properly submitted bill.

SECTION 6. The Assistant City Clerk is hereby directed to file a certified copy of this resolution with the County of Los Angeles Board of Supervisors and the County of Los Angeles Registrar-Recorder/County Clerk.

SECTION 7. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-48 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 3
RESOLUTION NO. 2024-49

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ADOPTING REGULATIONS

FOR CANDIDATES FOR ELECTIVE OFFICE PERTAINING
TO CANDIDATES’ STATEMENTS SUBMITTED TO THE

VOTERS FOR AN ELECTION TO BE HELD ON TUESDAY,
NOVEMBER 5, 2024
The City Council of West Covina hereby finds and declares as follows:

WHEREAS, the City Council of the City of West Covina called a General Municipal Election to be held on November 5, 2024 for the purpose of electing one Member of the City Council to represent District 1 and one Member of the City Council to represent District 3; and
WHEREAS, Section 13307 of the California Elections Code provides that the governing body of any local agency may adopt certain regulations pertaining to materials prepared by any candidate for a municipal election, including cost of the candidate’s statement; and
WHEREAS, Section 13307(c)(1) of the California Elections Code provides that if the elections official who is conducting the election permits electronic distribution of a candidate’s statement, the governing body of a local agency may permit each candidate for nonpartisan elective office in the local agency to prepare a candidate’s statement for the purpose of electronic distribution; and
WHEREAS, Section 13307(c)(2) of the California Elections Code provides that a candidate’s statement prepared pursuant to subdivision (c) shall be posted on the internet website of the elections official, and may be included in a voter’s pamphlet that is electronically distributed by the elections official, but shall not be included in a voter’s pamphlet that is printed and mailed to voters; and
WHEREAS, Section 13307(d) of the California Elections Code authorizes the local agency to require each candidate filing a candidate’s statement to pay in advance to the local agency his or her estimated pro rata share as a condition to having his or her statement included in the voter’s pamphlet.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Pursuant to Section 13307(a) of the California Elections Code, each candidate for elective office to be voted for at the election to be held in the City of West Covina on November 5, 2024 may prepare a candidate’s statement on an appropriate form provided by the Assistant City Clerk. The statement may include the name, age and occupation of the candidate and a brief description of no more than 200 words of the candidate’s education and qualifications expressed by the candidate himself or herself.

Words will be counted in accordance with the word count standards set forth in Section 9 of the California Elections Code. The statement shall not include the party affiliation of the candidate, nor membership or activity in partisan political organizations. The statement shall be filed in typewritten (hard copy) and electronic format in the Office of the City Clerk at the time the candidate’s nomination papers are filed. The statement may be withdrawn, but not changed, during the period for filing nomination papers and until 5:00 p.m. of the next working day after the close of the nomination period. The statement shall comply with all provisions of law, including, but not limited to, Sections 13307 and 13308 of the California Elections Code.

SECTION 2. Pursuant to Section 13307(c) of the California Elections Code, the City Council of the City of West Covina authorizes the preparation of candidate statements by candidates for nonpartisan elective office for the purpose of electronic distribution. Candidates will prepare statements for electronic distribution pursuant to Section 13307(a) of the California Elections Code. A statement prepared pursuant to this section shall be posted on the internet website of the County Elections Official. Pursuant to Section 13307.7(a) of the California Elections Code, candidates shall provide payment of the requisite fee to cover the duties and procedures set forth in Sections 13307(b) and (d) of the California Elections Code.

SECTION 3. A candidate may request to have their candidate statement translated in Spanish and included in the official sample ballot booklet and/or distributed electronically, at the candidate’s expense. The County of Los Angeles RegistrarRecorder/County Clerk only includes English and Spanish candidate statements in the official sample ballot booklet for candidates who have made such request. Further, the County of Los Angeles Registrar-Recorder/County Clerk provides translations of candidate statements in languages required by the federal Voting Rights Act of 1965.

Such booklets are sent only to voters who have requested translated materials.

SECTION 4. The Assistant City Clerk shall work with the County RegistrarRecorder/County Clerk to estimate the total cost of printing, handling, translating, mailing, and electronically distributing candidates’ statements filed, including the costs incurred as a result of complying with the Voting Rights Act of 1965 as amended, and require each candidate filing a statement to pay in advance to the City of West Covina his or her estimated pro rata share as a condition of having his or her statement included in the voter information guide or electronically distributed. The estimate is just an approximation of the actual cost that varies from one election to another election and may be significantly more or less than the estimate, depending on the actual number of candidates filing statements. Accordingly, the City of West Covina is not bound by the estimate and may, on a pro rata basis, bill the candidate for additional actual expense or refund any excess paid depending on the final actual cost. In the event of underpayment, the Assistant City Clerk shall require the candidate to pay the balance of the cost incurred. In the event of overpayment, the Assistant City Clerk shall prorate the excess amount among the candidates and refund the excess amount paid within 30 days of the election. The Assistant City Clerk shall include on the receipt for payment the information required pursuant to Section 13307(d) of the California Elections Code regarding the estimated payment.

SECTION 5. No candidate will be permitted to include additional materials in the sample ballot booklet.

SECTION 6. The Assistant City Clerk shall provide each candidate or the candidate’s representative a copy of this resolution at the time the nominating papers are issued.

SECTION 7. All previous resolutions establishing City Council policy on candidate’s statements are repealed.

SECTION 8. This resolution shall apply only to the election to be held on November 5, 2024 and shall then be repealed.

SECTION 9. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-49 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
AGENDA ITEM NO. 3

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: CONSIDERATION OF FISCAL YEAR 2024-25 ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NOS. 1 & 2
RECOMMENDATION:

It is recommended that the City Council adopt the following resolutions:

RESOLUTION NO. 2024-34 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA SETTING THE ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO. 1 FOR THE FISCAL YEAR BEGINNING JULY 1, 2024
RESOLUTION NO. 2024-35 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA SETTING THE ASSESSMENT RATE FOR WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO. 2 FOR THE FISCAL YEAR BEGINNING JULY 1, 2024
BACKGROUND:

Landscape Maintenance District No. 1 (“LMD1”) and Landscape Maintenance District No. 2 (“LMD2”) (collectively referred to as “Districts”) were formed in 1970, as a planned community development known as Woodside Village that began with “clustered” housing units on smaller lots and numerous open space areas. This combination of small lots and open space areas were developed to provide more cost-effective housing and create a park-like setting. In order to pay for maintenance of the open space areas, the Districts were formed as ad valorem (Latin word for “according to value”) assessment districts pursuant to the Municipal Improvement Act of 1911. LMD1 is generally located south of Amar Road, east of Azusa Avenue between Temple Avenue and Shadow Oak Drive and consists of 872 properties (Attachment No. 4). LMD2 is generally located north of Amar Road, between Lark Ellen Avenue and Azusa Avenue and consists of 787 properties (Attachment No. 5).

The assessments within an ad valorem district are based on property value rather than benefit as in other districts, which were formed pursuant to the Landscaping and Lighting Act of 1972. In 1972, Proposition 92 capped the assessment rates for ad valorem districts at their 1972 rate, which for LMD1 was 18.75 cents per 100 dollars of assessed value.

In July 2021, Governor Newsom signed Senate Bill (SB) 431 that allowed the City of West Covina to access existing funds in the Districts. It expanded the Districts’ eligible uses of its funds that the Municipal Improvement Act of 1911 restricted, allowing those funds to be used pursuant to the Landscaping and Lighting Act of 1972.

DISCUSSION:

Rates
For FY 2024-25, the LMD1 assessment rate is proposed to be maintained at the current rate of $0.1188 per 100 dollars of assessed property value. At this rate, the annual assessment for a home and property valued at $400,000 would be $475.20. The total projected revenue is $776,400 including $83,700 in interest, which will continue to fund the current maintenance. Attachment No. 3 shows the history of assessment rates in this district for the last 15 years. There have been no increases in assessment rates over the last fifteen years.

The LMD2 assessment rate is proposed to be maintained at the current rate of $0.0660 per 100 dollars of assessed value. At this rate, the annual assessment for a home and property valued at $400,000 would be $264.00. The total projected revenue is $276,700 including $22,200 in interest, which will continue to fund the current maintenance activities. Attachment No. 3 shows the history of assessment rates in this district for the last 15 years. There have been no increases in assessment rates over the last eight years.

Maintenance
LMD1 contains landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas includes fire clearing along the entire slope and irrigation maintenance and repairs.

LMD2 contains lighted paseos landscaped hillside slopes vegetated with plants, shrubbery, and trees.

The current scope of work for the operations, maintenance, and care of these areas includes fire clearing along the entire slope, and irrigation maintenance and repairs. Increased scope of work for LMD2 is recommended to include the modification of the paseo lighting to LED for energy cost savings, repair and replacement of light standards, hardscape repair and replacement of off grade, cracked and broken areas, tree trimming of the hillside trees on a trimming cycle, and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery. It is estimated that the budget required for the increased lighting, hardscape, and landscaping scope is approximately double the existing LMD2 budget.

In FY 23-24, the City entered into a new landscaping contract that increased the scope of services to include the entire hillside that will be trimmed to a maximum of 4 feet in height. The previous contract scope only addressed 4 feet from the sidewalk or property line. The vendor has commenced work to address the deferred landscaping needs in the districts and will be maintaining the new scope moving forward. For FY 24-25, the districts will include a 5-year tree trimming cycle. Currently, trees in the districts are addressed on an as-needed basis.

If determined that rates are to be increased, it would require a vote by the affected property owners.

Pending completion of further analysis, this report recommends that assessment rates be maintained at their current levels for FY 2024-25.

OPTIONS:

The City Council has the following options:

1. Approve staff’s recommendation; or

2. Reduce the assessment rates; LMD1 and LMD2’s reserves will be depleted at a faster pace requiring the City’s General Fund to subsidize the district; or

3. Provide alternative direction.

ENVIRONMENTAL REVIEW:

This item is statutorily exempt from the provisions of the California Environmental Quality Act (“CEQA”) pursuant to Section 15273 (Rates, Tolls, Fares, and Charges) and generally exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines in that it consists of the continuing maintenance and operations of landscaping and irrigation within the districts, which does not have the potential for causing a significant effect on the environment
Prepared by: Michael Ackerman P.E.

Fiscal Impact
FISCAL IMPACT:

For FY 2024-25, the LMD1 assessment rate is proposed to be maintained at the current rate of 11.88 cents per 100 dollars of assessed value. The projected income from the recommended rates is $692,700.

The LMD2 assessment rate is proposed to be maintained at the current rate of 6.60 cents per 100 dollars of assessed value. The projected income from the recommended rate is $254,500.

Furthermore, a portion of LMD2 overlaid by Landscape Maintenance District No. 4 (LMD4). LMD4 benefit assessment district was formed in 1975 to encompass the previously remaining undeveloped areas of the Woodside Village planned community development. As a result, a portion of the assessment collected from LMD2 is reimbursed to LMD4. In turn, this benefit assessment within the overlaid portion of LMD4 is reduced proportionately to reflect this reimbursement. For FY 2024-25, the reimbursement is $9,000 to reflect the appropriate share of the actual assessment collections. LMD4 rates will be adopted by the City Council separately.

For FY 2024-25, below are the Capital Improvement Projects for existing maintenance:

District Project Amount
LMD1 Hardscape improvements, repair and replacement of lights and tree trimming, removal, and replacement
$110,000
LMD2 Hardscape improvements, repair and replacement of lights and tree trimming, removal, and replacement
$220,000
Attachments
Attachment No. 1 - Resolution No. 2024-34
Attachment No. 2 - Resolution No. 2024-35
Attachment No.3 - 15 Rate History
Attachment No.4 - LMD1 Map
Attachment No.5 - LMD2 Map
Attachment No.6 - LMD1 Financial Report
Attachment No.7 - LMD2 Financial Report
Attachment No.8 - LMD1 10 Year Projection
Attachment No.9 - LMD2 10 Year Projection
CITY COUNCIL GOALS & OBJECTIVES: Enhance City Image and Effectiveness ATTACHMENT NO. 1
RESOLUTION NO. 2024-34

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, SETTING THE

ASSESSMENT RATE FOR WEST COVINA LANDSCAPE
MAINTENANCE DISTRICT NO. 1 FOR FISCAL YEAR
BEGINNING JULY 1, 2024

THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. As applicable, the assessment levied on the real property is exempt from the application of Article XIII A, Section 1 (A) and Article XIII C of the Constitution of the State of California and is levied for the benefit of the residents of the City of West Covina Landscape Maintenance District No. 1 (“LMD1”).

SECTION 2. The amount of funds necessary to be raised by the assessment, upon the assessable property within LMD1, for the current Fiscal Year beginning July 1, 2024, is hereby fixed as follows:

For the cost of maintaining and operating the open space, improvements, and facilities thereon within the LMD1 in the amount of $808,209 including a Capital Improvement Project.

SECTION 3. For the purpose of raising the funding necessary to be raised by the assessment upon the assessable property within LMD1, as revenue to maintain and operate the open space, improvements and facilities within the LMD1, the rate is hereby fixed and the assessment is hereby set on all assessable real property in the LMD1 for the Fiscal Year beginning July 1, 2024, at the rate of 0.1188 cents upon 100 dollars of assessed value of said assessable real property as assessed by the County Assessor and equalized by the Assessment Appeals Board of the County of Los Angeles and with respect to certain property as assessed by the State Board of Equalization and equalized by said Board as follows:

Estimated Assessed Value of Land within Entire District $583,080,808 Benefit Assessment Rate $0.1188 per one hundred dollars No separate tax is being levied upon the assessable property within any zone in LMD1 for the Fiscal year beginning July 1, 2024, and no funds are being raised to finance special services within LMD1.

SECTION 4. The City Council finds that the levy and collection of these assessments is statutorily exempt from the California Environmental Quality Act under § 15273 of the Guidelines. In addition, the capital improvements proposed for LMD1 are of minor nature and, therefore, categorically exempt from the requirements for environmental compliance.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderon Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California do hereby certify that the foregoing Resolution No. 2024-34 was duly adopted by the City Council of the City of West Covina, California, at their regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 2
RESOLUTION NO. 2024-35

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, SETTING THE

ASSESSMENT RATE FOR WEST COVINA LANDSCAPE
MAINTENANCE DISTRICT NO. 2 FOR FISCAL YEAR
BEGINNING JULY 1, 2024

THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 2. The amount of funds necessary to be raised by the assessment, upon the assessable property within LMD2, for the current Fiscal Year beginning July 1, 2024, is hereby fixed as follows:

For the cost of maintaining and operating the open space, improvements, and facilities thereon within the LMD2 in the amount of $729,697 including a Capital Improvement Project.

SECTION 3. For the purpose of raising the funding necessary to be raised by the assessment upon the assessable property within LMD2, as revenue to maintain and operate the open space, improvements and facilities within the LMD2, the rate is hereby fixed and the assessment is hereby set on all assessable real property in the LMD2 for the Fiscal Year beginning July 1, 2024, at the rate of $0.0660 upon 100 dollars of assessed value of said assessable real property as assessed by the County Assessor and equalized by the Assessment Appeals Board of the County of Los Angeles and with respect to certain property as assessed by the State Board of Equalization and equalized by said Board as follows:

Estimated Assessed Value of Land within Entire District $385,606,061 Benefit Assessment Rate $0.0660 per hundred dollars
No separate tax is being levied upon the assessable property within LMD2 for the Fiscal Year beginning July 1, 2024, and no funds are being raised to finance special services within LMD2.

SECTION 4. The City Council finds that the levy and collection of these assessments is statutorily exempt from the California Environmental Quality Act under § 15273 of the Guidelines. In addition, the capital improvements proposed for LMD2 are of minor nature and, therefore, categorically exempt from the requirements for environmental compliance.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderon Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California do hereby certify that the foregoing Resolution No. 2024-35 was duly adopted by the City Council of the City of West Covina, California, at their regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO.3
Fiscal Year Rate per $100 of
Assessed Value
Assessments for
Assessed Value of
$400,000
Rate per $100 of
Assessed Value
Assessment for
Assessed Value of
$400,000
2024-2025
Proposed $0.1188 $475.20 $0.0660 $264.00
2023-2024 $0.1188 $475.20 $0.0660 $264.00
2022-2023 $0.1188 $475.20 $0.0660 $264.00
2021-2022 $0.1188 $475.20 $0.0660 $264.00
2020-2021 $0.1188 $475.20 $0.0660 $264.00
2019-2020 $0.1188 $475.20 $0.0660 $264.00
2018-2019 $0.1188 $475.20 $0.0660 $264.00
2017-2018 $0.1188 $475.20 $0.0660 $264.00
2016-2017 $0.1188 $475.20 $0.0660 $264.00
2015-2016 $0.1188 $475.20 $0.0643 $257.20
2014-2015 $0.1188 $475.20 $0.0643 $257.20
2013-2014 $0.1188 $475.20 $0.0643 $257.20
2012-2013 $0.1188 $475.20 $0.0643 $257.20
2011-2012 $0.1188 $475.20 $0.0630 $252.00
2010-2011 $0.1188 $475.20 $0.0630 $252.00
LMD 1 LMD 2
West Covina
Landscape Maintenance District No. 1 and No. 2
15 Year Rate History
ATTACHMENT NO.

Landscape Maintenance
District 1
Legend
City of West Covina Boundary
Maintenance District 1
Park
Open Space
Parcels
575 287.5 0 575 Feet
¯
ATTACHMENT NO.

Landscape Maintenance
District 2
Legend
City of West Covina Boundary
Maintenance District 2
Parks
Open Space
Parcels
300 150
¯
0 300 Feet
ATTACHMENT NO.6
$3,750,552 $3,750,552
Revenues
$692,700 $692,700
83,700 83,700
Total Projected Revenue $776,400 $776,400
Personnel Services $45,292 $90,584
Materials and Services
Maintenance Contracts 361,436 722,872
Utilities (electricity & water) 201,301 402,602
Maintenance Supplies 14,379 28,757
Property & Liability Insurance 18,802 37,603
Administration & Overhead 57,000 114,000
Total Direct Maintenance $698,209 $1,396,418
Capital Improvement $110,000 $220,000
Total Operating and Capital Budget $808,209 $1,616,418
$3,718,743 $2,910,534
Note: The variance is the amount needed to support the recommended increased scope of work for Landscape Maintenance District 1. The recommended scope of work includes tree trimming of the hillside trees on a trimming cycle and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery.

Ending Fund Balance
City of West Covina
Landscape Maintenance District No. 1
Fiscal Year 2024-25
Financial Report
Estimated Costs for Landscape Maintenance
Existing Maintenance Optimal Maintenance
Previous Fiscal Year Fund Balance
Assessment Income (Total Balance to Levy)
Interest
Expenditures
Direct Maintenance
ATTACHMENT NO.7
$792,709 $792,709
Revenues
$254,500 $254,500
22,200 22,200
Total Projected Revenue $276,700 $276,700
Personnel Services $31,048 $62,096
Materials and Services
Maintenance Contracts 202,953 405,906
Utilities (electricity & water) 55,920 111,840
Maintenance Supplies 6,487 12,974
Property & Liability Insurance 96,945 193,890
Administration & Overhead 107,344 214,688
Total Direct Maintenance $500,697 $1,001,394
Fund Transfer (1) $9,000 $9,000
Capital Improvement (2) $220,000 $440,000
Total Operating and Capital Budget $729,697 $1,450,394
Ending Fund Balance $339,712 -$380,985
City of West Covina
Landscape Maintenance District No. 2
Fiscal Year 2024-25
Estimated Costs for Landscape Maintenance
Existing Maintenance Optimal Maintenance
Previous Fiscal Year Fund Balance
Assessment Income (Total Balance to Levy)
Interest
Expenditures
Direct Maintenance
(2) The variance is the amount needed to support the recommended increased scope of work for Landscape Maintenance District 2.

The recommended scope of work includes the modification of the paseo lighting to LED for energy cost savings, repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken areas, tree trimming of the hillside trees on a trimming cycle, and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery.
(1) The Fund Transfer of $9,000 is transferred to LMD4
ATTACHMENT NO.8
Percent Increase 1% 1% 1% 1% 1% 1% 1% 1% 1% 1%Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 32-34Assessment Income $692,700 $699,627 $706,623 $713,690 $720,826 $728,035 $735,315 $742,668 $750,095 $757,596Interest(1) 83,700 7,437 7,427 7,403 7,363 7,308 7,237 7,149 7,045 6,923 Prior Year Balance 3,750,552 3,718,743 3,713,634 3,701,268 3,681,415 3,653,841 3,618,304 3,574,559 3,522,353 3,461,430Total Funding $4,526,952 $4,425,807 $4,427,685 $4,422,360 $4,409,604 $4,389,183 $4,360,855 $4,324,376 $4,279,493 $4,225,948Operating Exp. 698,209 712,173 726,417 740,945 755,764 770,879 786,297 802,023 818,063 834,424CIP 110,000 0 0 0 0 0 0 0 0 0 Total Cost $808,209 $712,173 $726,417 $740,945 $755,764 $770,879 $786,297 $802,023 $818,063 $834,424Ending Balance $3,718,743 $3,713,634 $3,701,268 $3,681,415 $3,653,841 $3,618,304 $3,574,559 $3,522,353 $3,461,430 $3,391,524 Assess. Per $400k
Assessed Valuation(2) $475.20 $475.20 $475.20 $475.20 $475.20 $475.20 $475.20 $475.20 $475.20 $475.20 Rate Per $100 Assessed Valuation $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 $0.1188 Notes: (1) Interest is 0.4% of one- half of the previous year ending balance. (2) 1% increase in assessed valuation each year is allowable.

West Covina Landscape Maintenance District No. 1
10 Year Fiscal Projection
ATTACHMENT NO.9
Percent Increase 2% 1% 1% 1% 1% 1% 1% 1% 1% 1%Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34Assessment Income $254,500 $257,045 $259,615 $262,212 $264,834 $267,482 $270,157 $272,858 $275,587 $278,343Interest(1) 22,200 679 661 643 625 607 589 571 553 535 Prior Yr. Balance 792,709 339,712 330,712 321,712 312,712 303,712 294,712 285,712 276,712 267,712Total Funding $1,069,409 $597,436 $590,989 $584,567 $578,171 $571,801 $565,458 $559,142 $552,852 $546,590Operating Exp. 500,697 510,711 520,925 531,344 541,971 552,810 563,866 575,143 586,646 598,379Fund Transfers 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000CIP 220,000 0 0 0 0 0 0 0 0 0 Total Cost $729,697 $519,711 $529,925 $540,344 $550,971 $561,810 $572,866 $584,143 $595,646 $607,379Ending Balance $339,712 $330,712 $321,712 $312,712 $303,712 $294,712 $285,712 $276,712 $267,712 $258,712 Assess. Per $400k
Assessed Valuation(2) $264.00 $264.00 $264.00 $264.00 $264.00 $264.00 $264.00 $264.00 $264.00 $264.00 Rate per $100
Assessed Valuation $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660Notes: (1) Interest is 0.4% of one- half of the previous year ending balance. (2) 1% increase in assessed valuation each year is allowable.

West Covina Landscape Maintenance District No. 2
10 Year Fiscal Projection
AGENDA ITEM NO. 4

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: CONSIDERATION OF RENEWAL OF LANDSCAPE MAINTENANCE DISTRICTS 4, 6 AND 7 — ORDERING OF AND PRELIMINARY APPROVAL OF THE CONSOLIDATED

ENGINEER'S REPORT
RECOMMENDATION:

It is recommended that the City Council adopt the following actions:

1. Adopt the following resolution(s):

RESOLUTION NO. 2024-36 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO. 4
RESOLUTION NO. 2024-38 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO.6
RESOLUTION NO. 2024-40 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH LANDSCAPE MAINTENANCE DISTRICT NO. 7

2. Following adoption of Resolutions Nos. 2024-36, 2024-38, and 2024-40, adopt the following resolution(s):

RESOLUTION NO. 2024-37 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR LANDSCAPE MAINTENANCE DISTRICT NO. 4, DECLARING ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND

SETTING A PUBLIC HEARING REGARDING SUCH ASSESSMENTS
RESOLUTION NO. 2024-39 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR LANDSCAPE MAINTENANCE DISTRICT NO. 6, DECLARING ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND

SETTING A PUBLIC HEARING REGARDING SUCH ASSESSMENTS

SETTING A PUBLIC HEARING REGARDING SUCH ASSESSMENTS
RESOLUTION NO. 2024-41 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR LANDSCAPE MAINTENANCE DISTRICT NO. 7, DECLARING ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND

SETTING A PUBLIC HEARING REGARDING SUCH ASSESSMENTS
BACKGROUND:

The Landscaping and Lighting Act of 1972 (California Streets and Highways Code section 22500 et seq.) (the "Act") specifies the procedures for renewal of landscape maintenance districts.

Landscape Maintenance District No. 4 (“LMD4”) was established in 1975. This district is in the southeasterly part of the City. The assessments collected are used to maintain landscaping, irrigation, hardscape (e.g., sidewalks, walls, etc.), and area lighting on 130 acres of public open space within the boundaries of the district. To encourage innovative housing types and neighborhood designs and to preserve the ridge lines in the San Jose Hills, this area was originally developed with relatively narrow street rights-of-way and small lot sizes. The resulting surplus land was converted to landscaped slope areas and park-like "green belt" areas containing walkways, landscaping, and lighting.

Landscape Maintenance District No. 6 (“LMD6”) was established in 1980 at the request of the owner of the development in lieu of forming a Homeowners’ Association. LMD6 is generally located in the easterly end of the City known as South Hills. The funds collected by the LMD6 are used to maintain landscaping and irrigation in public open space areas within its boundaries. LMD6 contains 238 single-family dwellings, approximately 12 acres of landscaped and irrigated areas, and approximately 65 acres of natural area.

Landscape Maintenance District No. 7 (“LMD7”) was established in 1980 at the request of the owner of the development in lieu of forming a Homeowners' Association. LMD7 is generally located in the easterly end of the City. The funds collected by the district are used to maintain landscaping and irrigation in public open space areas within its boundaries. Currently, LMD7 contains 372 improved and 8 unimproved single-family residential parcels. When development is 100 percent complete, LMD7 will contain 380 developed single-family residential parcels, 25 acres of landscaped and irrigated area, and 105 acres of natural area.

DISCUSSION:

The initial step of the renewal process is to adopt the resolution ordering the Engineer’s Report. The assessment engineer, Willdan, has prepared a Consolidated Report for LMD4, LMD6 and LMD7 which includes plans and specifications for improvements, estimated costs, assessment diagrams, and assessments spread to cover the estimated costs for each district. The report was prepared in accordance with the Act.

The next step in the renewal process is the preliminary approval of the Engineer’s Report and adoption of the Resolution of Intention concerning the levy and collection of assessments for LMD4, LMD6 and LMD7. The Act also requires the Resolution of Intention to give notice of, and fix a time and place for a public hearing regarding the proposed assessments.

Staff recommends holding the required public hearing on July 16, 2024. At the public hearing, the City Council will consider all written and oral comments regarding the level of assessments, and the maintenance and capital improvement work proposed for LMD4, LMD6 & LMD7.

The renewal process requires that a public notice, in the form of the resolution of intention, be posted and published in a locally circulated newspaper, but does not require notices to be mailed to each resident.

Upon the conclusion of the hearing, the City Council should adopt a resolution confirming the diagram and assessment levy; either as proposed or as changed by the City Council. and assessment levy; either as proposed or as changed by the City Council.

Staff recommends that the assessment rates be maintained at their current levels for Fiscal Year 2024-25:

The annual assessment rates for LMD4 will be maintained at $348.02 for a single dwelling unit and $464 for a duplex unit.

The annual assessment rates for LMD6 will be maintained at $650 per lot annually ($54.16 per month).

The annual assessment rates for LMD7 will be maintained at $464.06 per developed lot and $139.22 per undeveloped lot.

LEGAL REVIEW:

The City Attorney has reviewed the resolutions and approved them as to form.

OPTIONS:

The City Council has the following options:

1. Approve staff’s recommendations; or

2. Provide alternative direction.

ENVIRONMENTAL REVIEW:

This item is statutorily exempt from the provisions of the California Environmental Quality Act (“CEQA”) pursuant to Section 15273 (Rates, Tolls, Fares, and Charges) and generally exempt from CEQA pursuant to Section15061 (b) (3) of the CEQA Guidelines in that it consists of the continuing maintenance and operations of landscaping and irrigation within the districts, which does not have the potential for causing a significant effect on the environment.

Prepared by: Michael Ackerman P.E.

Fiscal Impact
FISCAL IMPACT:

The Fiscal Year 2024-25 Consolidated Engineer’s Report for LMD4, 6 and 7 recommends that the assessment rates be maintained at their current levels.

The annual assessment rates for LMD4 will be maintained at $348.02 for a single dwelling unit and $464 for a duplex unit. The projected income from the recommended rates is $1,162,827.

The annual assessment rate for LMD6 is based on a special uniform benefit to the property owners and is recommended to remain at its current level of $650 per lot annually ($54.16 per month). The total projected revenue from the recommended rates is $154,700.

The annual assessment rates for LMD7 will be maintained at $464.06 per improved lot and $139.22 per unimproved lot. The total projected revenue is $173,744.

There are no legal requirements or formal guidelines for the amount of reserves in an assessment district.

Ongoing improvements such as irrigation system improvements, enhancement to existing landscaping, tree trimming, and other extras are being eliminated to maintain the operating budget within projected revenues from the capped assessment rates.

For Fiscal Year 2024-25, below are the projects scheduled:

Projects
District Description Estimated Costs
LMD 4 Replacement of Hardscape, repair and replacement of light standards and conversion of existing light fixtures to LED fixtures; as well as comprehensive tree removal and replacement
$275,000
LMD 6 $110,000
LMD 7 $110,000
Attachments
Attachment No. 1 - Resolution No. 2024-36 (LMD4 Ordering Preparation and Filing of Report) Attachment No. 2 - Resolution No. 2024-37 (LMD4 Resolution of Intention) Attachment No. 3 - Resolution No. 2024-38 (LMD6 Ordering Preparation and Filing of Report) Attachment No. 4 - Resolution No. 2024-39 (LMD6 Resolution of Intention) Attachment No. 5 - Resolution No. 2024-40 (LMD7 Ordering Preparation and Filing of Report) Attachment No. 6 - Resolution No. 2024-41 (LMD7 Resolution of Intention) Attachment No.7 - 15 Year Rate History
Attachment No.8 - Consolidated Engineer's Report
Attachment No.9 - 10 Year Fiscal Projection: LMD4
Attachment No.10 - 10 Year Fiscal Projection: LMD6
Attachment No.11 - 10 Year Fiscal Projection: LMD7
CITY COUNCIL GOALS & OBJECTIVES: Achieve Fiscal Sustainability and Financial Stability A Creative and Active Community
A Well-Planned Community
Enhance City Image and Effectiveness
ATTACHMENT NO. 1
RESOLUTION NO. 2024-36

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ORDERING THE

PREPARATION AND FILING OF A REPORT REGARDING
THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED

IN CONNECTION WITH LANDSCAPE MAINTENANCE
DISTRICT NO. 4
The City Council of the City of West Covina hereby finds and declares as follows:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-36 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 2
RESOLUTION NO. 2024-37

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, PRELIMINARILY
APPROVING THE ENGINEER’S REPORT FOR
LANDSCAPE MAINTENANCE DISTRICT NO. 4,

DECLARING ITS INTENTION TO LEVY AND COLLECT

ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL
YEAR 2024-25 AND SETTING A PUBLIC HEARING

REGARDING SUCH ASSESSMENTS
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, the City’s Landscape Maintenance District No. 4 (the “District”) has been established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways Code Section 22500 et seq.) (the “Act”) to fund the maintenance and servicing of certain public landscaping and appurtenant facilities in the City; and WHEREAS, in connection with the District, the City annually levies an assessment against real property; and
WHEREAS, by its Resolution No. 2024-36, adopted July 2, 2024, the City Council directed Willdan Financial Services, as assessment engineer (the “Engineer”), to prepare and file a report regarding the District; and
WHEREAS, the Engineer has filed said report, entitled “City of West Covina, Landscape Maintenance Districts 4, 6 and 7, Fiscal Year 2024/2025 Consolidated Engineer’s Report” (the “Consolidated Report”) and the Consolidated Report is on file and available for public inspection in the Office of the City Clerk and is incorporated herein by reference; and
WHEREAS, the City Council desires to continue with proceedings to levy the assessment in connection with the District for Fiscal Year 2024-25 as described in the Consolidated Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The portion of the Consolidated Report relating to the District is preliminarily approved.

SECTION 2. The City Council declares its intention to levy and collect assessments within the District for Fiscal Year 2024-25 and notes that:
(a) The distinctive name of the District is the “City of West Covina Landscape Maintenance District No. 4.”
(b) The District is generally located in the southeasterly part of the City. (c) The existing and proposed improvements are generally described as landscaping, irrigation, hardscape, and paseo lighting on 130 acres of public open space within the boundaries of the District. No substantial changes are proposed to the nature of the improvements.
(d) Reference is made to the Consolidated Engineer’s Report, on file with the City Clerk, for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein, and the proposed assessments upon assessable lots and parcels of land within the District.
(e) The rate of this assessment is not proposed to increase from the rate levied in Fiscal Year 2023-24.

SECTION 3. A public hearing is set for Tuesday, July 16, 2024, at 7:00 p.m. in the City Council Chambers located at 1444 West Garvey Avenue South in the City of West Covina, to take the testimony on the issue of whether or not the assessments should be approved.

SECTION 4. The City Clerk shall give notice of said public hearing in the time, form, and manner as required by law, including but not limited to publication of this resolution in accordance with Streets and Highways Code Sections 22552 and 22553.

SECTION 5. The City Council finds that the levy and collection of these assessments is statutorily exempt from the California Environmental Quality Act (CEQA) under Section 15273 of the CEQA Guidelines, as none of the proceeds will be used for capital expenses but will be used instead for operation and maintenance.

SECTION 6. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-37 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 3
RESOLUTION NO. 2024-38

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ORDERING THE

PREPARATION AND FILING OF A REPORT REGARDING
THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED

IN CONNECTION WITH LANDSCAPE MAINTENANCE
DISTRICT NO. 6
The City Council of the City of West Covina hereby finds and declares as follows:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-38 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 4
RESOLUTION NO. 2024-39

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, PRELIMINARILY
APPROVING THE ENGINEER’S REPORT FOR
LANDSCAPE MAINTENANCE DISTRICT NO. 6,

DECLARING ITS INTENTION TO LEVY AND COLLECT

ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL
YEAR 2024-25 AND SETTING A PUBLIC HEARING

REGARDING SUCH ASSESSMENTS
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, the City’s Landscape Maintenance District No. 6 (the “District”) has been established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways Code Section 22500 et seq.) (the “Act”) to fund the maintenance and servicing of certain public landscaping and appurtenant facilities in the City; and WHEREAS, in connection with the District, the City annually levies an assessment against real property; and
WHEREAS, by its Resolution No. 2024-38, adopted July 2, 2024, the City Council directed Willdan Financial Services, as assessment engineer (the “Engineer”), to prepare and file a report regarding the District; and
WHEREAS, the Engineer has filed said report, entitled “City of West Covina, Landscape Maintenance Districts 4, 6 and 7, Fiscal Year 2024/2025 Consolidated Engineer’s Report” (the “Consolidated Report”) and the Consolidated Report is on file and available for public inspection in the Office of the City Clerk and is incorporated herein by reference; and
WHEREAS, the City Council desires to continue with proceedings to levy the assessment in connection with the District for Fiscal Year 2024-25 as described in the Consolidated Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The portion of the Consolidated Report relating to the District is preliminarily approved.

SECTION 2. The City Council declares its intention to levy and collect assessments within the District for Fiscal Year 2024-25 and notes that:
(a) The distinctive name of the District is the “City of West Covina Landscape Maintenance District No. 6.”
(b) The District is generally located in the easterly part of the City of West Covina on the westerly-facing slopes of the San Jose Hills. (c) The existing and proposed improvements are generally described as landscaping and irrigation in public open space areas within the boundaries of the District. No substantial changes are proposed to the nature of the improvements.
(d) Reference is made to the Consolidated Engineer’s Report, on file with the City Clerk, for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein, and the proposed assessments upon assessable lots and parcels of land within the District.
(e) The rate of this assessment is not proposed to increase from the rate levied in Fiscal Year 2023-24.

SECTION 6. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-39 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 5
RESOLUTION NO. 2024-40

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ORDERING THE

PREPARATION AND FILING OF A REPORT REGARDING
THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED

IN CONNECTION WITH LANDSCAPE MAINTENANCE
DISTRICT NO. 7
The City Council of the City of West Covina hereby finds and declares as follows:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-40 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 6
RESOLUTION NO. 2024-41

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, PRELIMINARILY
APPROVING THE ENGINEER’S REPORT FOR
LANDSCAPE MAINTENANCE DISTRICT NO. 7,

DECLARING ITS INTENTION TO LEVY AND COLLECT

ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL
YEAR 2024-25 AND SETTING A PUBLIC HEARING

REGARDING SUCH ASSESSMENTS
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, the City’s Landscape Maintenance District No. 7 (the “District”) has been established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways Code Section 22500 et seq.) (the “Act”) to fund the maintenance and servicing of certain public landscaping and appurtenant facilities in the City; and WHEREAS, in connection with the District, the City annually levies an assessment against real property; and
WHEREAS, by its Resolution No. 2024-40, adopted July 2, 2024, the City Council directed Willdan Financial Services, as assessment engineer (the “Engineer”), to prepare and file a report regarding the District; and
WHEREAS, the Engineer has filed said report, entitled “City of West Covina, Landscape Maintenance Districts 4, 6 and 7, Fiscal Year 2024/2025 Consolidated Engineer’s Report” (the “Consolidated Report”) and the Consolidated Report is on file and available for public inspection in the Office of the City Clerk and is incorporated herein by reference; and
WHEREAS, the City Council desires to continue with proceedings to levy the assessment in connection with the District for Fiscal Year 2024-25 as described in the Consolidated Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The portion of the Consolidated Report relating to the District is preliminarily approved.

SECTION 2. The City Council declares its intention to levy and collect assessments within the District for Fiscal Year 2024-25 and notes that:
(a) The distinctive name of the District is the “City of West Covina Landscape Maintenance District No. 7.”
(b) The District is generally located in the easterly part of the City on the northfacing slopes of the San Jose Hills. (c) The existing and proposed improvements are generally described as to landscaping and irrigation in public open space areas within the boundaries of the District. No substantial changes are proposed to the nature of the improvements.
(d) Reference is made to the Consolidated Engineer’s Report, on file with the City Clerk, for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein, and the proposed assessments upon assessable lots and parcels of land within the District.
(e) The rate of this assessment is not proposed to increase from the rate levied in Fiscal Year 2023-24.

SECTION 6. The City Clerk shall certify the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-41 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO.7
LMD 4 LMD 6
Per AU Zone (1) Per Unit Developed Lot Undeveloped Lot
2024/25
Proposed $464.00 $650.00 $464.06 $139.22
2023/24 $464.00 $650.00 $464.06 $139.22
2022/23 $464.00 $650.00 $464.06 $139.22
2021/22 $464.00 $650.00 $464.06 $139.22
2020/21 $464.00 $650.00 $464.06 $139.22
2019/20 $464.00 $650.00 $464.06 $139.22
2018/19 $464.00 $650.00 $464.06 $139.22
2017/18 $464.00 $650.00 $464.06 $139.22
2016/17 $464.00 $650.00 $464.06 $139.22
2015/16 $464.00 $650.00 $454.96 $136.49
2014/15 $464.00 $650.00 $454.96 $136.49
2013/14 $464.00 $650.00 $454.96 $136.49
2012/13 $464.00 $650.00 $446.04 $133.81
2011/12 $464.00 $650.00 $437.29 $131.19
2010/11 $464.00 $650.00 $428.72 $128.62
(1) LMD4 has nine (9) separate zones of benefit with varying assessment rates from $49.16 to $464.00 per assessment unit. The zone shown in the table is for a single parcel with a duplex and is the highest assessment per parcel.

West Covina
Landscape Maintenance District's No. 4, 6 & 7
15 Rate History
Fiscal Year
LMD 7
City of West Covina
Landscape Maintenance
Districts 4, 6 and 7
FISCAL YEAR 2024/2025
CONSOLIDATED ENGINEER’S REPORT
Intent Meeting: July 2, 2024
Public Hearing: July 16, 2024
27368 Via Industria
Suite 110
Temecula, CA 92590
T 951.587.3500 | 800.755.6864
F 951.587.3510
www.willdan.com
ATTACHMENT NO.8

ENGINEER'S REPORT AFFIDAVIT
Landscape Maintenance Districts
4, 6 and 7
City of West Covina
County of Los Angeles, State of California
This Consolidated Engineer’s Report describes Districts 4, 6 and 7 including the improvements, budgets, parcels, and assessments to be levied for Fiscal Year 2024/2025 as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Los Angeles County Assessor’s maps for a detailed description of the lines and dimensions of parcels within the Districts. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2024.

Willdan Financial Services
Assessment Engineer
On Behalf of the City of West Covina
By: __________________________
Chonney Gano
Project Manager
By: __________________________
Tyrone Peter
PE # C 81888

TABLE OF CONTENTS
I. OVERVIEW 1
A. INTRODUCTION 1
B. COMPLIANCE WITH CURRENT LEGISLATION 2
II. PLANS AND SPECIFICATIONS 5
A. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT 5
B. DISTRICT OVERVIEW 6
C. DESCRIPTION OF DISTRICT IMPROVEMENTS 8
III. METHOD OF APPORTIONMENT 11
A. GENERAL 11
B. BENEFIT ANALYSIS 11
C. ASSESSMENT METHODOLOGY 13
IV. ESTIMATE OF COSTS 17
A. CAPITAL IMPROVEMENT FUND 17
B. PROPOSED INCREASE SCOPE OF WORK 17
C. SUMMARY OF COSTS 19
V. DISTRICT BOUNDARY DIAGRAMS 20
VI. ASSESSMENT ROLL 21
2024/2025 Landscape Maintenance Districts Page 1
I. OVERVIEW
A. INTRODUCTION
The City of West Covina (“City”), under the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code (“1972 Act”) and the provisions of the California Constitution Article XIII D (“Constitution”), annually conducted a public hearing and levies and collects special assessments in order to provide and maintain the facilities, improvements and services for the districts designated as:

Landscape Maintenance Districts (“Districts”)
The City formed the following districts:
• Landscape Maintenance District No. 4 (“LMD 4”) (Formed in 1975) • Landscape Maintenance District No. 6 (“LMD 6”) (Formed in 1980) • Landscape Maintenance District No. 7 (“LMD 7”) (Formed in 1980) The Districts were created at the request of the owner of the developments in lieu of forming a Homeowner’s Association. The funds collected by LMD 4 are used to maintain landscaping, irrigation, hardscape, and paseo lighting on 130 acres of public open space within the boundaries of LMD 4. The funds collected by LMD 6 are used to maintain landscaping and irrigation in public open space areas within its boundaries. The funds collected by LMD 7 are used to maintain landscaping and irrigation in public open space areas within its boundaries.

For Fiscal Year 2023/2024, Zone A10 was created in LMD 4 for exempt properties.

This Engineer’s Report (“Report”) has been prepared pursuant to Chapter 1, Article 4 and Chapter 3 of the 1972 Act, and presented to the City Council for their consideration and approval of the proposed improvements and services to be provided within the Districts; and the levy and collection of the annual assessments for Fiscal Year 2024/2025.

This Report describes the Districts, the improvements, and the proposed assessments to be levied against properties in connection with the benefits the properties will receive from the maintenance and servicing of the Districts improvements for Fiscal Year 2024/2025. The annual assessments to be levied on properties within the Districts provide a funding source for the continued operation and maintenance of local landscape improvements installed in connection with the development of properties within the Districts. Each fiscal year, the City establishes the District’s assessments based on an estimate of the costs to maintain, operate and service the landscape improvements and based upon available revenues including fund balances, City contributions and assessment limits. The costs of the 2024/2025 Landscape Maintenance Districts Page 2
improvements and the proposed annual assessments budgeted and assessed against properties within the Districts may include: the estimated expenditures for regular annual maintenance and repairs; incidental expenditures related to the operation and administration of the Districts; deficits or surpluses from prior years; revenues from other sources; and the collection of adequate funds for operational reserves or periodic expenditures including installments collected for long-term improvement projects. Each parcel is assessed proportionately for only those improvements, services, and expenses for which the parcel will receive special benefit.

For the purposes of this Report, the word “parcel” refers to an individual property assigned its own Assessor Parcel Number by the Los Angeles County Assessor’s Office. The Los Angeles County Auditor/Controller uses Assessor Parcel Numbers and specific Fund Numbers to identify properties assessed for special district benefit assessments on the tax roll.

At a noticed annual Public Hearing, the City Council will accept all public comments and written protests regarding the Districts and the annual levy of assessments.

Upon conclusion of the Public Hearing, the City Council will consider all public comments and review the Report. The City Council may order amendments to the Report or confirm the Report as submitted. Following final approval of the Report and confirmation of the assessments the Council will, by Resolution, order the improvements to be made and confirm the levy and collection of assessments pursuant to the 1972 Act. The assessments as approved will be submitted to the County Auditor/Controller to be included on the property tax roll for each parcel.

B. COMPLIANCE WITH CURRENT LEGISLATION
On November 5, 1996, California voters approved Proposition 218 (The Right to Vote on Taxes Act) (“Prop 218”) that established specific requirements for the ongoing imposition of taxes, assessments, and fees. The provisions of this proposition are now contained in the California Constitution as Articles XIIIC and XIIID can be summarized in four general areas:

1. Strengthens the general and special tax provisions of Proposition 13 and Proposition 62.
2024/2025 Landscape Maintenance Districts Page 3

2. Extends the initiative process to all local taxes, assessments, fees, and charges.

3. Adds substantive and procedural requirements to assessments.

4. Adds substantive and procedural requirements to property-related fees and charges.

Prop 218 required that beginning July 1, 1997, all new and existing assessments (with some exceptions) must conform to new substantive and procedural requirements. However, certain assessments are exempted from these requirements until they are increased.

Generally, these exemptions include:
(a) Assessments used exclusively to fund sidewalks, streets, sewers, water, flood control, drainage systems, or vector control.
(b) Assessments imposed pursuant to a petition signed by the persons owning all of the parcels subject to the assessment at the time the assessment is initially imposed.
(c) Assessments used exclusively for bond repayments, the cessation of which would violate the Contract Impairment Clause of the U.S. Constitution. (d) Assessments previously approved by a majority of voters.

LMD 4 and the related assessments were established in 1975 at the request of the owner of the property, the initial LMD 4 assessments were not required to conform with the Article XIIID substantive and procedural requirements. The maximum assessment rate for LMD 4 at the time of the passage of Prop 218 was $464.00 previously approved by the City Council in Fiscal Year 1989/1990. For Fiscal Year 2023/2024 a Land Use audit was completed to ensure all land use classes will be assessed based on the methodology in place for the District.

LMD 6 and the related assessments were established in 1980 at the request of the owner of the property, the initial LMD 6 assessments were not required to conform with the Article XIIID substantive and procedural requirements. The maximum assessment rate for LMD 6 at the time of the passage of Prop 218 was $650.00 previously approved by the City Council in Fiscal Year 1984/1985.

LMD 7 and the related assessments were established in 1980 at the request of the owner of the property, the initial LMD 7 assessments were not required to conform with the Article XIIID substantive and procedural requirements. The maximum assessment rate for LMD 7 at the time of the passage of Prop 218 was $644.00 previously approved by the City Council in Fiscal Year 1985/1986. 2024/2025 Landscape Maintenance Districts Page 4
Any subsequent increases to the above-mentioned Districts assessments above the maximum rate previously approved by City Council prior to November 5, 1996 will be subject to the procedures and approval process of Section 4 of Article XIIID of the California Constitution. There will be no assessment on any parcel that was not charged after the passage of Proposition 218 unless that new assessment was from a parcel change from a previously assessed parcel. 2024/2025 Landscape Maintenance Districts Page 5
II. PLANS AND SPECIFICATIONS
A. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT
As applicable or may be applicable to the Districts, the 1972 Act defines improvements to mean one or any combination of the following:
• The installation or planting of landscaping.
• The installation or construction of statuary, fountains, and other ornamental structures and facilities.
• The installation or construction of public lighting facilities. • The installation or construction of any facilities which are appurtenant to any of the foregoing, or which are necessary or convenient for the maintenance or servicing thereof, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities. • The maintenance or servicing, or both, of any of the foregoing. • The acquisition of any existing improvement otherwise authorized pursuant to this section.

Incidental expenses associated with the improvements including, but not limited to:
• The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
• The costs of printing, advertising, and the publishing, posting, and mailing of notices;
• Compensation payable to the County for collection of assessments; • Compensation of any engineer or attorney employed to render services; • Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
• Any expenses incidental to the issuance of bonds or notes pursuant to Section 22662.5.
• Costs associated with any elections held for the approval of a new or increased assessment.

The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including:
• Repair, removal, or replacement of all or any part of any improvement. • Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury.
2024/2025 Landscape Maintenance Districts Page 6
• The removal of trimmings, rubbish, debris, and other solid waste. • The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.

B. DISTRICT OVERVIEW
Landscape Maintenance District No. 4
LMD 4 is located in the southeasterly part of the City of West Covina. The District consists of residential, commercial properties and approximately 130 acres of public open space. The District contains relatively narrow street right-of-ways and small lot sizes as well as landscaped slope areas and park-like "green belt" areas containing walkways, landscaping, and lighting.

Zones of Benefit
The parcels, lots, subdivisions and developments within the LMD 4 are identified and grouped into ten (10) zones of benefit referred to as “Zones”. Each Zone reflects the landscape improvements associated with the development of properties in that Zone, in order to fairly and equitably apportion the net cost of providing those improvements to the properties that receive special benefits from the service and activities associated with those improvements. Most of the parcels in the District are identified as single-family and multi-family residential properties.

All parcels receive special benefits from the improvements because of the increased desirability of a parcel that is located in an area with landscaping, and open space areas. Public agency parcels within the District will not be used for residential occupancies or commercial/industrial workplaces, and therefore, do not receive special benefit and will not be assessed. The assessments proposed to be levied on each property do not exceed the reasonable cost of proportional special benefit conferred on each property from the funded improvements.

The following is a brief description of the District Zones:

Zone A1
Parcels in this zone are commercial properties, which are located at the intersections of major arterial roadways. These parcels benefit from the District improvements to a lesser degree due to their proximity to the open space areas.

Nonetheless, the parcels are benefited by aesthetically pleasing landscaping and open space areas which enhance the desirability of living in the District, because its promotion of evening business and industry vitality, and contribution to a positive nighttime visual image.

Zone A2
Parcels in this zone are condominium type homes with open space areas located along the fringes of the zone. Due to the nature and higher density of the parcels and the higher intensity of the property use, the parcels derive benefits such as providing a more peaceful and relaxed lifestyle due to the surrounding open space areas. Each parcel is assessed per dwelling unit.
2024/2025 Landscape Maintenance Districts Page 7
Zone A3
Parcels in this zone are made up of condominiums and apartment complexes with smaller areas of open space within the zone. Due to the denser housing within this zone, Zone A3 is distinctly benefited by the interspersed open space areas within the zone. Although open space areas are smaller than in other zones, the incorporation of such areas into Zone A3’s higher-intensity property uses peculiarly benefits Zone A3’s parcels by providing aesthetically pleasing landscaping and enhancing the desirability of living in Zone A3. Each parcel is assessed per dwelling unit.

Zone A4
Parcels in this zone are condominium type homes. The open space areas are in close proximity to the condominiums in this zone, thus providing the zone’s parcels with benefits such as the enhancement of quality of life within the community characterized by openness, landscape and natural vistas, wildlife and relaxed, peaceful living. Each parcel is assessed per dwelling unit.

Zone A5
Parcels in this zone are made up of detached single-family homes with large open space areas in close proximity. Zone A5 parcels derive a benefit particular to their zone, based on the significant size and proximity of the open space areas to the parcels. The large open spaces in the vicinity of the parcels contribute to lower housing density due to the dedication of acreage for landscaping and natural areas, which thereby reduce the number of buildable parcels. Each parcel is assessed per dwelling unit.

Zone A6
Parcels in this zone are made up of detached single-family homes with open space areas located along the fringes of the zone. Having the open space areas along the perimeter of the zone is advantageous to the parcels within Zone A6 due to the open space areas’ positive results on the parcels, such as attracting natural flora and fauna, providing a more peaceful and relaxed lifestyle. Each parcel is assessed per dwelling unit.

Zone A7
Parcels in this zone are made up of detached single-family homes. The open space areas are in close proximity to the single-family homes. These open space areas are connected with paseos that include concrete walkways and lights. These paseos provide for safe pedestrian travel within the zone and into adjacent Zone A9. Each parcel is assessed per dwelling unit.

Zone A8
Parcels in this zone are made up of fourplexes with open space areas located along the fringes of the zone that provide a barrier from the major arterial roadway.

The strategic location of open space areas at the fringe create an aesthetically pleasing yet practical perimeter around the zone, which provides a more peaceful and relaxed lifestyle by attracting natural flora and fauna to Zone A8 parcels which, 2024/2025 Landscape Maintenance Districts Page 8
because of the close proximity to major arterial roadways, would not otherwise receive such benefit. Moreover, the higher-intensity property use receives a significant benefit from the natural vistas and landscaping provided by the open space areas. Each parcel is assessed per dwelling unit.

Zone A9
Parcels in this zone are made up of duplexes. The open space areas are in close proximity to the duplexes and are connected by paseos. The paseos are improved with concrete walkways and lights. These paseos provide for safe pedestrian travel within the zone and into adjacent Zone A7 and promote social interaction. Each parcel is assessed per dwelling unit.

Zone A10
Parcels in this zone are made up of exempt properties. Exempted parcels include all publicly owned property that do not benefit from the District Improvements such as: public streets, public avenues, public lanes, public roads, public drives, public courts, public alleys, all public easements, and right-of-ways, all public parks, public greenbelts and parkways, and all public property being used for public purposes.

Landscape Maintenance District No. 6
LMD 6 is located in the easterly end of the City known as South Hills on the westerly-facing slopes of the San Jose Hills. The District contains 238 single-family dwellings, approximately 12 acres of landscaped and irrigated area, and approximately 65 acres of natural area.

Landscape Maintenance District No. 7
LMD 7 is generally located in the easterly end of the City on the north-facing slopes of the San Jose Hills. Currently, the District contains 372 developed single-family residential parcels, approximately 19.5 acres of landscaped and irrigated areas and 92 acres of natural area that is only 98 percent developed. When development is 100 percent complete, the District will contain 380 developed single familyresidential parcels, 25 acres of landscaped and irrigated area, and 105 acres of natural area.

LMD 7 contains zone classifications based on development status. Zone C1 consists of undeveloped parcels. Zone C2 consists of developed parcels. These properties receive the greater benefit from the services provided.

C. DESCRIPTION OF DISTRICT IMPROVEMENTS
Landscape Maintenance District No. 4
The existing facilities to be maintained and serviced in LMD 4 include public open space area, lighting, parkway, and manufactured slopes and appurtenant facilities.

There are approximately 130 acres of open space within the District. LMD 4 2024/2025 Landscape Maintenance Districts Page 9
contains lighted paseos and approximately 30 to 50-foot landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas include 3 to 5 feet of fire clearing at the tops and toes of slopes and irrigation maintenance repairs.

The District will fund the costs in connection with the district maintenance and servicing including, but not limited to, personnel, electrical energy, water, materials, contracting services, and other expenses necessary for the satisfactory operation of these facilities. The facilities and improvements which have been constructed within the District and which will be maintained and serviced are described as follows:

Landscaping and Appurtenant Facilities
Facilities include but are not limited to landscaping, planting, shrubbery, trees, irrigation system, hardscape, fixtures, sidewalk maintenance resulting from landscape growth and appurtenant facilities, in public rightof-way, parkways, and dedicated easements within the boundaries of said District.

Lighting and Appurtenant Facilities
Facilities include but are not limited to poles, fixtures, bulbs, conduits, conductors, equipment including guys, anchors, posts and pedestals, metering devices and appurtenant facilities as required to provide lighting in the public right-of-way and dedicated easements within the boundaries of said District.

The detailed plans and specifications of the District improvements are on file in the office of the City Public Works Department and by reference are made part of this Report.

Landscape Maintenance District No. 6
The existing facilities to be maintained and serviced in LMD 6 include public open space, manufactured slopes, and appurtenant facilities. There are approximately 12 acres of landscaped and irrigated area and 65 acres of natural open space within the District. LMD 6 contains approximately 30 to 50-foot landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas includes 3 to 5-feet of fire clearing at the tops and toes of slopes and irrigation maintenance repairs.

The District will fund the costs in connection with the District maintenance and servicing including, but not limited to, personnel, electrical energy, water, materials, contracting services, and other expenses necessary for the satisfactory operation of these facilities. The facilities are described as follows:
2024/2025 Landscape Maintenance Districts Page 10
Landscaping and Appurtenant Facilities
Facilities include but are not limited to trees, irrigation system, hardscape, fixtures, sidewalk maintenance resulting from landscape growth and appurtenant facilities, in open spaces and dedicated easements within the boundaries of the District.

The detailed plans and specifications of the District improvements are on file in the office of the City Public Works Department and by reference are made part of this Report.

Landscape Maintenance District No. 7
The existing facilities to be maintained and serviced in LMD 7 include public open spaces and manufactured slopes and appurtenant facilities. Upon completion, the District will contain 25 acres of landscaped and irrigated areas and 105 acres of natural open space. LMD 7 contains landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas include 3 to 5 feet of fire clearing at the tops and toes of slopes and irrigation maintenance and repairs.

Landscaping and Appurtenant Facilities
Facilities include but are not limited to trees, irrigation system, hardscape, fixtures, sidewalk maintenance resulting from landscape growth and appurtenant facilities, in public open space areas and dedicated easements within the boundaries of the District.

The detailed plans and specifications of the District Improvements are on file in the office of the City Public Works Department and by reference are made part of this Report.
2024/2025 Landscape Maintenance Districts Page 11
III. METHOD OF APPORTIONMENT
A. GENERAL
The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements which include the construction, maintenance and servicing of public lights, landscaping, and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value:

Section 22573 defines the net amount to be assessed as follows:
“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.” Furthermore, Article XIII D Section 4 of the Constitution states that:
“The proportionate special benefit derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of the public improvement, the maintenance and operation expenses of the public improvement, or the cost of the property related service being provided.” The formula used for calculating assessments reflects the composition of the parcels and the improvements and services provided within the Districts to fairly apportion the costs based on estimated special benefit to each parcel.

B. BENEFIT ANALYSIS
Each of the improvements, the associated costs and assessments of the Districts have been reviewed, identified, and allocated based on special benefit pursuant to the provisions of the Constitution and 1972 Act. The improvements associated with each District have been identified as necessary, required and/or desired for the orderly development of the properties within the Districts to their full potential, consistent with the proposed development plans and applicable portions of the development. As such, these improvements would be necessary and required of individual property owners for the development of such properties, and the ongoing operation, servicing and maintenance of these improvements would be the financial obligation of those properties. Therefore, the improvements and the annual costs of ensuring the maintenance and operation of the improvements are of special benefit to the properties in the Districts.

The method of apportionment (method of assessment) is based on the premise that each assessed parcel within the Districts receives special benefit from the improvements where the parcel is located as well as from adjacent landscaping and public street lighting improvements. The desirability and security of properties 2024/2025 Landscape Maintenance Districts Page 12
is enhanced by the presence of street lighting, well maintained landscaping and open space areas in close proximity to those properties.

The special benefits of landscaping and open space improvements within the Districts are specifically:
• Enhanced desirability of properties through association with the improvements.
• Improved aesthetic appeal of properties providing a positive representation of the area.
• Enhanced adaptation of the urban environment within the natural environment from adequate green space, open space areas, and landscaping.
• Environmental enhancement through improved erosion resistance, dust and debris control, and fire prevention.
• Increased sense of pride in ownership of property within the Districts resulting from well-maintained improvements associated with the properties.
• Reduced criminal activity and property-related crimes (especially vandalism) against properties in the Districts through well-maintained surroundings and amenities including abatement of graffiti. • Enhanced environmental quality of the parcels by moderating temperatures, providing oxygenation, and attenuating noise.

The special benefits of street lighting are the convenience, safety, and security of property, improvements, and goods. Specifically:
• Enhanced deterrence of crime and the aid to police protection. • Increased nighttime safety on roads and streets.
• Improved ability of pedestrians and motorists to see. • Improved ingress and egress to property.
• Reduced vandalism and other criminal act and damage to improvements or property.
• Improved traffic circulation and reduced nighttime accidents and personal property loss.
• Increased promotion of business during nighttime hours in the case of commercial properties.

The preceding special benefits contribute to a special enhancement and desirability of each of the assessed parcels within the Districts. Although the improvements may include landscaping and lighting improvements and other amenities available or visible to the public at large, the construction and installation of these improvements are only necessary for the development of properties within 2024/2025 Landscape Maintenance Districts Page 13
the Districts and are not required nor necessarily desired by any properties or developments outside the Districts boundary. Therefore, any public access or use of the improvements by others is incidental and there is no measurable general benefit to properties outside the Districts or to the public at large.

C. ASSESSMENT METHODOLOGY
The method of apportionment for the Districts calculates the receipt of special benefit from the respective improvements based on the actual or proposed land use of the parcels. The special benefit received by each lot or parcel is equated to the overall land use of the parcel based on the parcel’s actual land use or proposed planned development and is reliant upon the special benefit received from the improvements planned for each District.

To identify and determine the special benefit to be received by each parcel, it is necessary to consider the entire scope of each District improvements as well as individual property development within the Districts. The costs associated with the improvements shall be fairly distributed among the parcels based upon the special benefit received by each parcel. Additionally, in compliance with the Constitution, each parcel’s assessment may not exceed the reasonable cost of the proportional special benefit conferred to that parcel. The benefit formula used to determine the assessment obligation is therefore based upon both the improvements that benefit the parcels as well as the proposed land use of each property as compared to other parcels that benefit from those specific improvements.

Assessment Units
To assess benefits equitably, it is necessary to relate the different types of parcel improvements to each other. The Assessment Unit (“AU”) method of assessment apportionment uses the single-family home site as the basic unit of assessment.

A single-family home site equals one AU. Every other land use is converted to AUs based on an assessment formula that equates the property’s specific development status, type of development (land use), and size of property, as compared to a single-family home site.

The AU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size, and development.

The following formula is used to calculate each parcel’s AU (proportional benefit) for LMD 4 and LMD 6.

Parcel Type AU x Acreage/Dwelling Units/Parcel/Lot = Parcel AU The total number of Assessment Units (“AU’s”) is the sum of the individual AUs applied to the parcels that receive a special benefit from the improvements. An assessment amount per AU (“Rate”) is established by taking the total cost of the 2024/2025 Landscape Maintenance Districts Page 14
improvements (including administration costs) and dividing that amount by the total number of AUs of the parcels benefiting from the improvements. This Rate is then applied back to each parcel’s individual AU to determine the parcel’s proportionate benefit and assessment obligation.

Total Balance to Levy / Total AU = Rate per AU
Rate per AU x Parcel AU = Parcel Levy Amount
Landscape Maintenance District No. 4
Single-Family Residential – This land use is defined as fully subdivided residential home site with or without a structure or planned single-family residential lot as identified by a submitted or approved tentative tract map of final tract map.

This land use is assessed, 1.0 AU per lot or parcel. This is the base value that other land use types are compared and weighted against (i.e., Assessment Unit or AU).

Multi-Family Residential – This land use is defined as a fully subdivided residential parcels that includes duplexes, apartments and condominiums identified by a submitted or approved tentative tract map or final tract map. This land use is assessed, 1.0 AU per dwelling unit.

Developed Commercial – This land use is defined as property developed for either commercial or industrial use. This type of property receives greater benefit than Single Family or Multi-Family property due to typically larger lot size in relation to residential properties. The commercial properties within Zone A1 are grouped into three different areas with predesignated assessment units at the time of formation. For any newly developed commercial properties, they will be assessed,

4.0 AU per acreage with a minimum of 4.0 AU.

Exempt Parcels – This land use identified properties that are not assessed and are assigned 0.0 AU. This land use classification may include, but is not limited, to lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space area and right-of-ways; common areas, sliver parcels and bifurcated lots or any other property that cannot be developed; park properties and other publicly owned properties that are part of the District improvements and are therefore exempted from assessment.

The following table provides a listing of land use types, land use code designations, the Equivalent Benefit Unit factor applied to that land use type, and the multiplying factor used to calculate each parcel’s individual AU.
2024/2025 Landscape Maintenance Districts Page 15
Land Use Codes and Assessment Units
Property Type Land Use Code Assessment
Units Multiplier
Single Family Residential SFR 1.00 Lot/Parcel
Multi-Family Residential MFR 1.00 Unit
Developed Commercial COM 4.00 Acre
Exempt Parcel EXE 0.00 Parcel
The benefit formula applied to parcels within LMD 4 is based on the preceding AU table. Each parcel’s AU correlates the parcel’s special benefit received as compared to the other parcels benefiting from the improvements.

The following table summarizes the assessment rates for LMD 4.

City of West Covina
Landscape Maintenance District No. 4
FY 2024/2025 Preliminary Assessment Summary and Comparison Zone % of
Budget
Parcel
Count
Assessment
Units
FY 2023/24
Assessment
Rates
FY 2024/25
Proposed
Assessment
Rates
Total
Assessment
A1 1.91% 30 451.00 $49.16 $49.16 $22,171.16
A2 1.45% 216 216.00 $77.89 $77.89 16,824.24
A3 5.74% 326 1,353.00 $49.33 $49.33 66,743.49
A4 9.96% 498 498.00 $232.48 $232.48 115,775.04
A5 3.52% 157 157.00 $260.98 $260.98 40,973.86
A6 6.13% 246 246.00 $289.99 $289.99 71,337.54
A7 44.98% 1,503 1,503.00 $348.02 $348.02 523,074.06
A8 15.69% 118 472.00 $386.66 $386.66 182,503.52
A9 10.61% 133 266.00 $464.00 $464.00 123,424.00
A10 0.00% 3 0.00 $0.00 $0.00 0.00
Total 100.00% 3,230 5,162.00 $1,162,826.91

BENEFIT ZONE LEGEND
A1 Commercial Property
A2 Condos (Triangle Area, East of Azusa Ave. and north of Woodgrove Park) A3 Condos Minimum Maintenance Benefit
A4 Condos Medium Maintenance Benefit
A5 Single Family Triangle Area (Special Area, West of Azusa Ave and north of Amar Rd.)
A6 Single Family Medium Maintenance Benefit
A7 Single Family Maximum Maintenance Benefit
A8 Fourplex Minimum Maintenance Benefit
A9 Duplex Minimum Maintenance Benefit
A10 Exempt Parcels
2024/2025 Landscape Maintenance Districts Page 16
Landscape Maintenance District No. 6
Single-Family Residential – This land use is defined as fully subdivided residential home site with or without a structure or planned single-family residential lot as identified by a submitted or approved tentative tract map of final tract map.

This land use is assessed, 1.0 AU per lot or parcel. This is the base value that other land use types are compared and weighted against (i.e., Assessment Unit or AU).

The following table summarizes the assessment rates for Single Family Residential properties in LMD 6 and compares the proposed assessment with last year's assessment.

City of West Covina
Landscape Maintenance District No. 6
FY 2024/2025 Preliminary Assessment Summary and Comparison Land Use Class Parcel
Count AU
FY 2023/2024
Assessment
Rate
FY 2024/2025
Proposed
Assessment Rate
Total
Assessment
Single Family Residential 238 238.00 $650.00 $650.00 $154,700.00 Total 238 238.00 $154,700.00
Landscape Maintenance District No. 7
The following table summarizes the different assessment rates for the different zone classifications in LMD 7 and compares the proposed assessment with the prior year's assessment.

City of West Covina
Landscape Maintenance District No. 7
FY 2024/2025 Preliminary Assessment Summary and Comparison Zone Parcel Count
FY 2023/2024
Assessment
Rate
FY 2024/2025
Proposed
Assessment Rate
Total
Assessment
C1 8 $139.22 $139.22 $1,113.76
C2 372 $464.06 $464.06 172,630.32
Total 380 $173,744.08
2024/2025 Landscape Maintenance Districts Page 17
IV. ESTIMATE OF COSTS
The 1972 Act provides that the estimated costs of the improvements shall include the total cost of the improvements, including incidental expenses.

The 1972 Act also provides that the amount of any surplus, deficit, or contribution be included in the estimated cost of improvements. The net amount to be assessed on the lots or parcels within each District are the total cost of maintenance, and servicing with adjustments either positive or negative for reserves, surpluses, deficits, and/or contributions.

A. CAPITAL IMPROVEMENT FUND
For Fiscal Year 2024/2025, below are the Capital Improvement Projects for Districts 4, 6 and 7.

Projects
District Description
Estimated
Costs
LMD 4 Replacement of hardscape, repair and replacement of light standards and conversion of existing light fixtures to LED fixtures; as well as comprehensive tree removal and
replacement.
$275,000
LMD 6 $110,000
LMD 7 $110,000
B. PROPOSED INCREASE SCOPE OF WORK
Located in the budgets is the proposed increase in scope of maintenance work at optimal levels for the Districts.

Landscape Maintenance District No. 4
LMD 4 contains lighted paseos and approximately 30 to 50-foot landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas include 3 to 5 feet of fire clearing at the tops and toes of slopes and irrigation maintenance repairs.

Increased scope of work for LMD 4 is recommended to include the modification of the paseo lighting to LED for energy cost savings, repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken areas, tree trimming of the hillside trees on a trimming cycle, and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery. It is estimated that the budget required for the increased lighting, hardscape, and landscaping scope is approximately double the existing budget.

Landscape Maintenance District No. 6
LMD 6 contains approximately 30 to 50-foot landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas include 3 to 5-feet of fire clearing at the tops and toes of slopes and irrigation maintenance repairs. Increased scope of work for 2024/2025 Landscape Maintenance Districts Page 18
the LMD 6 is recommended to include the repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken areas, tree trimming of the hillside trees on a trimming cycle, and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery. It is estimated that the budget required for the increased lighting, hardscape, and landscaping scope is approximately double the existing budget.

Landscape Maintenance District No. 7
LMD 7 contains landscaped hillside slopes vegetated with plants, shrubbery, and trees. The current scope of work for the operations, maintenance, and care of these areas include 3 to 5 feet of fire clearing at the tops and toes of slopes and irrigation maintenance and repairs. Increased scope of work for LMD 7 is recommended to include tree trimming of the hillside trees on a trimming cycle and landscape maintenance including trash removal and clearing of the hillside plants and shrubbery. It is estimated that the budget required for the increased and landscaping maintenance and operations scope is approximately double the existing budget.
2024/2025 Landscape Maintenance Districts Page 19
C. SUMMARY OF COSTS
Levy Component LMD 4 LMD 6 LMD 7
DIRECT COSTS Existing
Maintenance
Optimal
Maintenance
Existing
Maintenance
Optimal
Maintenance
Existing
Maintenance
Optimal
Maintenance
Personnel Services $91,152 $182,304 $34,072 $68,145 $107,654 $215,308 Maintenance Contracts 523,881 1,047,761 142,884 285,769 102,425 204,850 Utilities (electricity & water) 594,360 1,188,720 60,479 120,958 57,978 115,955 Maintenance Supplies 5,550 11,099 0 0 0 0
Property and Liability Insurance 31,771 63,543 12,006 24,011 11,831 23,662 NPDES 75,000 150,000 5,000 10,000 5,000 10,000
Capital Improvement Project 275,000 550,000 110,000 220,000 110,000 220,000 Total Direct Costs $1,596,714 $3,193,427 $364,442 $728,883 $394,887 $789,774

ADMINISTRATION COSTS
Levy Administration and Professional Services $3,993 $3,993 $2,320 $2,320 $2,345 $2,345 County Collection Fee 857 857 110 110 145 145
City Overhead and Administration 139,825 279,650 32,272 64,544 46,786 93,572 Total Administration Costs $144,674 $284,500 $34,701 $66,973 $49,276 $96,062

COLLECTIONS/(CREDITS) APPLIED TO LEVY
TOTAL DIRECT AND ADMIN COSTS $1,741,388 $3,477,927 $399,143 $795,857 $444,163 $885,836 Reserve Collection/(Transfer) ($303,561) ($1,765,100) ($134,443) ($421,157) ($160,419) ($492,092) Capital Improvement Fund Collection/(Transfer) (275,000) (550,000) (110,000) (220,000) (110,000) (220,000) General Benefit Contribution 0 0 0 0 0 0
General Fund/Other Revenue (Contributions) 0 0 0 0 0 0
Total Collections/(Credits) ($578,561) ($2,315,100) ($244,443) ($641,157) ($270,419) ($712,092) Balance to Levy (Budgeted) $1,162,827 $1,162,827 $154,700 $154,700 $173,744 $173,744

FUND BALANCE INFORMATION
Estimated Beginning Fund Balance $1,396,083 $1,396,083 $141,806 $141,806 $297,831 $297,831 Reserve Fund Adjustments (303,561) (1,765,100) (134,443) (421,157) (160,419) (492,092) Interest 41,200 41,200 6,300 6,300 9,100 9,100
1911 Act District Adjustments 9,000 9,000 0 0 0 0
Capital Improvement Adjustments (275,000) (550,000) (110,000) (220,000) (110,000) (220,000) Estimated Ending Reserve Balance $867,722 ($868,817) ($96,337) ($493,051) $36,512 ($405,161) 2024/2025 Landscape Maintenance Districts Page 20
V. DISTRICT BOUNDARY DIAGRAMS
A diagram showing the exterior boundaries of the Districts, boundaries of any open space within the Districts, and the lines and dimensions of each lot or parcel of land within the Districts is on file in the office of the City Public Works Department and incorporated herein by reference. The lines and dimensions shown on the Los Angeles County Assessor’s parcel maps for the current year are incorporated by reference and made part of this Report.
2024/2025 Landscape Maintenance Districts Page 21
VI. ASSESSMENT ROLL``
Parcel identification, for each lot or parcel within the Districts, shall be the parcel as shown on the Los Angeles County Assessor Parcel Maps and/or the Los Angeles County Secured Tax Roll for the year in which this Report is prepared. The proposed assessment for each parcel within the Districts has been prepared in accordance with the assessment rates presented in the budget and the method of apportionment described in this report and has been presented to the City Clerk under a separate cover.

Non-assessable lots or parcels may include government owned land; public utility owned property, land principally encumbered with public right-of-ways or easements and dedicated common areas.

The assessment information for each parcel as outlined in this Report and confirmed by the City Council, shall be submitted to the County Auditor/Controller, and included on the property tax roll for Fiscal Year 2024/2025. If the parcels or assessment numbers within the Districts and referenced by this Report are re-numbered, re-apportioned or changed by the County Assessor’s Office after approval of the Report, the new parcel or assessment numbers with the appropriate assessment amount will be submitted to the County Auditor/Controller. If the parcel change made by the County includes a parcel split, parcel merger or tax status change, the assessment amount submitted on the new parcels or assessment numbers will be based on the method of apportionment and assessment rates approved in this Report by the City Council.

ATTACHMENT NO.9
Percent Increase 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34 34-35 Assessment Income $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827 $1,162,827Interest (1) 41,200 1,735 1,091 386 0 0 0 0 0 0 0 Transfer In From LMD 2 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000Prior Year Balance 1,396,083 867,722 545,569 192,856 (191,074) (606,512) (1,053,696) (1,533,260) (2,045,852) (2,592,133) (3,172,775)Total Funding $2,609,110 $2,041,284 $1,718,487 $1,365,069 $980,753 $565,315 $118,131 ($361,433) ($874,025) ($1,420,306) ($2,000,948) Maintenance Costs (2) 1,466,388 1,495,716 1,525,630 1,556,143 1,587,266 1,619,011 1,651,391 1,684,419 1,718,107 1,752,469 1,787,519 Capital Improvements 275,000 0 0 0 0 0 0 0 0 0 0
Total Cost $1,741,388 $1,495,716 $1,525,630 $1,556,143 $1,587,266 $1,619,011 $1,651,391 $1,684,419 $1,718,107 $1,752,469 $1,787,519Ending Balance $867,722 $545,569 $192,856 ($191,074) ($606,512) ($1,053,696) ($1,533,260) ($2,045,852) ($2,592,133) ($3,172,775) ($3,788,467) Assessment Rate Varies Varies Varies Varies Varies Varies Varies Varies Varies Varies Varies Notes: (1) Interest is approximately 0.4% of one-half of the previous year ending balance. (2) 2% increase in maintenance cost each year due to inflation.

City of West Covina
Landscape Maintenance District No. 4
10 Year Fiscal Projection
ATTACHMENT NO.10
Percent Increase 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34 34-35Assessment Income $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 $154,700 Interest (1) 6,300 0 0 0 0 0 0 0 0 0 0
Prior Year Balance 141,806 (96,337) (236,563) (382,687) (534,828) (693,106) (857,643) (1,028,565) (1,205,999) (1,390,077) (1,580,929) Total Funding $302,806 $58,363 ($81,863) ($227,987) ($380,128) ($538,406) ($702,943) ($873,865) ($1,051,299) ($1,235,377) ($1,426,229)Maintenance Costs(2) 289,143 294,926 300,824 306,841 312,978 319,237 325,622 332,134 338,777 345,553 352,464 Capital Improvements 110,000 0 0 0 0 0 0 0 0 0 0
Total Cost $399,143 $294,926 $300,824 $306,841 $312,978 $319,237 $325,622 $332,134 $338,777 $345,553 $352,464Ending Balance ($96,337) ($236,563) ($382,687) ($534,828) ($693,106) ($857,643) ($1,028,565) ($1,205,999) ($1,390,077) ($1,580,929) ($1,778,693) Assessment of Highest Zone(3) $650 $650 $650 $650 $650 $650 $650 $650 $650 $650 $650 Notes: (1) Interest is approximately 0.4% of one-half of the previous year ending balance. (2) 2% increase in maintenance cost each year due to inflation. (2) Previously approved maximum highest rate of $650, may not be increased further without vote.

City of West Covina
Landscape Maintenance District No. 6
10 Year Fiscal Projection
ATTACHMENT NO.11
Percent Increase 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34 34-35Assessment Income $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 $173,744 Interest (1) 9,100 73 0 0 0 0 0 0 0 0 0
Prior Year Balance 297,831 36,512 (130,517) (304,436) (485,309) (673,273) (868,472) (1,071,050) (1,281,154) (1,498,935) (1,724,547) Total Funding $480,675 $210,329 $43,227 ($130,692) ($311,564) ($499,529) ($694,728) ($897,306) ($1,107,410) ($1,325,191) ($1,550,803)Maintenance Costs (2) 334,163 340,846 347,663 354,616 361,709 368,943 376,322 383,848 391,525 399,356 407,343 Capital Improvements 110,000 0 0 0 0 0 0 0 0 0 0
Total Cost $444,163 $340,846 $347,663 $354,616 $361,709 $368,943 $376,322 $383,848 $391,525 $399,356 $407,343Ending Balance $36,512 ($130,517) ($304,436) ($485,309) ($673,273) ($868,472) ($1,071,050) ($1,281,154) ($1,498,935) ($1,724,547) ($1,958,146)Developed Lot Rate (3) $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 $464.06 Undeveloped Lot Rate (4) $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 $139.22 Notes: (1) Interest is approximately 0.4% of one-half of the previous year ending balance. (2) 2% increase in maintenance cost each year due to inflation.(3) Zone 2, developed lots(4) Zone 1, undeveloped lots Landscape Maintenance District No. 7
City of West Covina
10 Year Fiscal Projection
AGENDA ITEM NO. 5

It is recommended that the City Council adopt the following resolution:

RESOLUTION NO. 2024-44 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, DECLARING ITS INTENTION TO COLLECT THE CITYWIDE SEWER SERVICE CHARGE ON THE COUNTY TAX ROLL FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING THE METHOD OF COLLECTION FOR JULY 16, 2024 BACKGROUND:

From 1968 to 1978, the City of West Covina funded the costs of sewer maintenance and operation through the Improvement Act of 1911, which provided an ad valorem (according to value) levy used to pay for these costs. With the passage of Proposition 13, the revenues generated from the 1911 Act were reduced considerably and made it necessary to find an alternative method of funding sewer maintenance and operation costs. In Fiscal Year 1978-79, the City Council established the Citywide Sewer Service Charge pursuant to Section 38902 of the Government Code as the alternative method.

The Sewer Service Charge funds the maintenance and operation of the City’s sewer system, assuring that lines are clear and flowing properly. This includes routine video inspections, jetting, and cleaning of sewer lines. The fees also fund capital improvements including rehabilitation/replacement of sewer mainlines and appurtenances and purchase of sewer maintenance equipment.

The Sewer Service Charge is based on general land use categories: residential and non-residential. A fixed fee is charged for each dwelling unit for residential property and every 667 square feet of floor area for other types of non-residential developments. Additionally, properties not connected to the sewer main lines are exempt from the charge.

DISCUSSION:

State law requires that a specific procedure be followed to collect the Citywide Sewer Service Charge on State law requires that a specific procedure be followed to collect the Citywide Sewer Service Charge on the annual property tax bill. The initial step is to adopt a resolution setting a date for a public hearing on the proposed rates and method of collection. The process requires that a public notice be published in a locally circulated newspaper announcing the public hearing. Mailing notices to each property owner is only required when the charges are increased above the current sewer service rate.

Although sewer charges are exempt from voter approval under Proposition 218, if a new or increased sewer charge is to be imposed, the City Council must conduct a protest hearing 45 days after mailing notice to property owners. If more than 50% of the property owners protest against the fees, the fees may not be imposed. In addition, the property owners are given an opportunity to voice their concerns about the method of collection. The most efficient and least costly method of collecting the Citywide Sewer Service Charge is to place it on the annual property tax bill. The Citywide Sewer Service Charge will then be collected at the same time and in the same manner as the general property taxes.

The proposed Sewer Service Charge will remain the same as Fiscal Year 2023-24 at $82.02 per unit. To view the Sewer Assessment Roll and other documents pertaining to the Sewer District, please visit the City's website's Engineering Division page, labeled Landscape Maintenance Districts, or visit website.

LEGAL REVIEW:

The City Attorney's Office has reviewed the resolution and approved it as to form.

OPTIONS:

The City Council has the following options:

1. Approve staff’s recommendation; or

2. Provide alternative direction.

Fiscal Impact
FISCAL IMPACT:

For Fiscal Year 2024-25, the Citywide Sewer Service Charge rates are proposed to remain at $82.02 per unit per year. The projected fund balance for the current year (FY 2023-24) is $9,057,669. The projected revenues for FY 2024-25 inclusive of $3,867,024 in assessments, $244,700 in interest income and $351,100 in ad valorem is $4,462,824. Therefore, total funds available for FY 2024-25 are $13,520,493.

The preliminary operating budget for Fiscal Year 2024-25 is $4,367,813. This includes an administration and overhead charge of $150,882. The administration and overhead costs are derived from support services provided by various departments including; City Manager’s office, City Attorney’s office, City Clerk’s office, Finance Department, and Human Resources Department. Support services include, but not limited to payroll, personnel recruitment, insurance claims, audits, budgets, and purchasing.

Fiscal Year 2024-25, Sewer Capital Improvement Projects:

Project FY 2024/2025
Status
FY 2024/2025
Budget
Total Project
Budget
CIPP Lining Program In Progress $152,600 $457,800
Sewer System Controls &
Power
Upcoming 315,900 432,544
Lift Station at Quail
Valley/Cameron
Upcoming 200,000 200,000
Sewer Master Plan Update Upcoming 500,000 500,000
Closed Circuit TV Inspection Upcoming 100,000 100,000
Sewer Main Replacement Area
116-1
Upcoming 666,000 666,000
Sewer Main Replacement Area
161-1
Upcoming 143,900 143,900
Total: $2,078,400 $2,500,244
The Preliminary Financial Report for Fiscal Year 2024-25 contains the following components:

1. Budget and Revenue Summary

2. Capital Improvement Project Fund

3. Proposed Assessment Rate

4. Revised Projected Reserve (Fiscal Year 2024-25)

5. Preliminary Sewer Charge Roll
There are no legal requirements or formal guidelines for the amount of reserves.

Attachments
Attachment No. 1 - Resolution No. 2024-44
Attachment No.2 - 15 Year Rate History
Attachment No.3 - Preliminary Financial Report for Fiscal Year 2024-25 Attachment No.4 - Sewer Maintenance Capital Improvement Program from 2016 Sewer System Management Plan
Attachment No.5 - 10 Year Fiscal Projection
Attachment No.6 - Sewer Capacity Evalution (Edited in October 2016) CITY COUNCIL GOALS & OBJECTIVES: A Well-Planned Community ATTACHMENT NO. 1
RESOLUTION NO. 2024-44

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, DECLARING ITS

INTENTION TO COLLECT THE CITYWIDE SEWER

SERVICE CHARGE ON THE COUNTY TAX ROLL FOR
FISCAL YEAR 2024-25 AND SETTING A PUBLIC

HEARING REGARDING THE METHOD OF COLLECTION
FOR JULY 16, 2024
The City Council of the City of West Covina finds and declares as follows:

WHEREAS, on June 26, 1978, in accordance with Section 38902 of the California Government Code, the City Council adopted Resolution No. 5726, establishing a sewer service charge exclusively for sewer operation, maintenance, and capital costs. The City collects the sewer service charge as part of the property tax roll; and WHEREAS, on April 27, 1987, the City Council adopted Resolution No. 8019, amending Resolution No. 5726 to adjust the schedule of charges so that the fees collected bear a reasonable relationship to the cost of providing the services; and WHEREAS, on June 6, 2017, the City Council adopted Resolution No. 2017-55, adopting a five-year schedule of annual sewer service charges for Fiscal Years 2017-18, 2018-19, 2019-20, 2020-21, and 2021-22; and
WHEREAS, the five-year schedule was adopted following proceedings conducted pursuant to Article XIII D, Section 6(a) of the California Constitution, which was added to the California Constitution in 1996 as part of Proposition 218; and WHEREAS, in accordance with California Health & Safety Code section 5473, a report has been filed with the City Clerk containing a description of each parcel of real property receiving sewer services and the amount of the charge for each parcel for the year, computed in conformity with the charges adopted by the City Council (the “Report”); and
WHEREAS, there is no proposed increase to the rate of the sewer service charge for Fiscal Year 2024-25; and
WHEREAS, California Health & Safety Code section 5473 et seq. requires the City Council to conduct a public hearing regarding collecting the sewer service charge as part of the tax roll.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The City Council intends to collect the sewer service charge for Fiscal Year 2024-25 at the following rate:

Rate: $82.02 per unit
Residential: One dwelling unit equals one unit
Commercial: 667 sq. ft. of floor area equals one unit
SECTION 2. As authorized by California Health & Safety Code section 5473, the City Council intends to have the City’s sewer service charge collected on the tax roll in the same manner, and by the same persons, and at the same time as, together with and not separately from, the City’s general taxes.

SECTION 3. On July 16, 2024, at 7:00 p.m. in the City Council Chambers located at 1444 West Garvey Avenue South in the City of West Covina, the City Council will conduct a public hearing on the Report (the “Hearing”). At the Hearing, the City Council will hear and consider all objections or protests, if any, to the Report.

SECTION 4. The City Clerk shall give notice of said Hearing in the time, form, and manner as required by law.

SECTION 5. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-44 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO.2
Fiscal Year Per Dwelling
Unit/Month
Per Dwelling
Unit/Year
2024-25 $6.84 $82.02
2023-24 $6.84 $82.02
2022-23 $6.84 $82.02
2021-22 $6.84 $82.02
2020-21 $6.51 $78.12
2019-20 $6.20 $74.40
2018-19 $5.91 $70.86
2017-18 $5.62 $67.49
2016-17 $4.69 $56.24
2015-16 $4.61 $55.30
2014-15 $4.59 $55.02
2013-14 $4.54 $54.48
2012-13 $4.44 $53.31
2011-12 $4.36 $52.26
2010-11 $4.19 $50.25
West Covina
Citywide Sewer Service Charges
15 Year Rate History
2020/2021 City of West Covina - Citywide Lighting and Maintenance District Page 1

City of West Covina

Citywide Sewer Service Charge

FISCAL YEAR 2024/2025

PRELIMINARY FINANCIAL REPORT

Intent Meeting: July 2, 2024
Public Hearing: July 16, 2024
27368 Via Industria
Suite 200
Temecula, CA 92590
T. 951.587.3500|800.755.6864
F. 951.587.3510|888.326.6864
Property Tax Information Line
T.866.807.6864
www.willdan.com
Attachment No. 3
2024/2025 Citywide Sewer Service Charge Page 1

BUDGET AND REVENUE SUMMARY
(1) See Capital Improvement Project Fund Section
2024/2025 Citywide Sewer Service Charge Page 2

CAPITAL IMPROVEMENT PROJECT FUND
For Fiscal Year 2024/2025, below are the Capital Improvement Projects:

Project FY 2024/2025
Status
FY 2024/2025
Budget
Total Project
Budget
CIPP Lining Program In Progress $152,600 $457,800
Sewer System Controls & Power Upcoming 315,900 432,544
Lift Station at Quail Valley/Cameron Upcoming 200,000 200,000 Sewer Master Plan Update Upcoming 500,000 500,000
Closed Circuit TV Inspection Upcoming 100,000 100,000
Sewer Main Replacement Area 116-1 Upcoming 666,000 666,000 Sewer Main Replacement Area 161-1 Upcoming 143,900 143,900 Total: $2,078,400 $2,500,244
2024/2025 Citywide Sewer Service Charge Page 3

ASSESSMENT RATE
For FY 2024/2025, the rate will remain the same as FY 2023/2024 at $82.02 per unit.

Residential 1 DU = 1 unit
Commercial 667 sq ft = 1 unit

REVISED PROJECTED RESERVE
Projected Reserve Fiscal Year 2024/2025
Fund Balance (as of 6/30/24) $9,057,669
Projected Revenue for FY 2024/2025 4,462,824
Appropriations (Operating & Capital) for FY 2024/2025 (6,446,213) Projected Fund Balance (as of 6/30/25) $7,074,280

PRELIMINARY SEWER CHARGE ROLL
The FY 2024/2025 preliminary sewer charge roll is voluminous, has been submitted to the City Clerk, and is hereby included by reference.

Memorandum
January 31, 2017
Sewer System Revenue Sufficiency Analysis
Filename: Technical Memo 01‐31‐2017 V6
Page | 5
Outstanding Debt Service
Based on review of the City’s financial documents, as well as discussions with the City, it is our understanding that the City does not have any outstanding sewer related debt. For the purpose of this Analysis, any forecasted future debt is assumed to have a 1.50X debt service coverage requirement.

General Assumptions
In order to develop the financial and rate projections, certain assumptions were made with regard to elements of the Analysis. A summary of those assumptions is presented below.

Growth
Based on discussion with the City, the Utility is mostly built‐out. As such, it was assumed that growth in the Utility’s customer base, and requisite flows, would be 0.0% per year during the forecast period.

Operating Projections
For the purposes of forecasting Operating requirements of the Utility, the following escalation factors are use for the various budget line‐items.
 Personnel Services – 5.0%
 Materials & Services – 3.0%
 Capital Assets – 2.0%
 Allocations – 3.0%
Table 3
Sewer Maintenance Capital Improvement Program
Project Description FY 2016‐17 FY 2017‐18 FY 2018‐19 FY 2019‐20 FY 2020‐21 FY 2021‐22 FY 2022‐23 FY 2023‐24 FY 2024‐25 Cameron Avenue Sewer Rehabilitation
$       900,000 $            ‐ $            ‐ $           ‐ $                    ‐ $            ‐ $            ‐ $               ‐ $                ‐ Azusa Lift Station Construction       600,000 ‐        ‐     ‐            ‐         ‐      ‐             ‐     ‐ Closed Circuit TV inspection       100,000    100,000           100,000        100,000      100,000           100,000         100,000           100,000            100,000 New Sewer Maintenance Truck and
Camera
190,000 ‐        ‐     ‐            ‐         ‐      ‐             ‐     ‐ Sewer Cured In Place Pipe Lining       152,600    152,600           152,600        152,600      152,600           152,600         152,600           152,600            152,600 82‐1; Sewer Main Replacement Area 82
‐       1,345,200 ‐     ‐            ‐         ‐      ‐             ‐     ‐ POWER; Install Emergency Backup
Power at City Lift Stations
‐      64,800 ‐     ‐            ‐         ‐      ‐                         64,800            259,200 SCADA; Install SCADA Controls at City
Lift Stations
‐      56,700             56,700 ‐                   56,700     56,700 ‐                         56,700    56,700 4‐1; Sewer Main Replacement Area 4           ‐ ‐                  286,400 ‐            ‐         ‐      ‐             ‐     ‐ 80‐1; Sewer Main Replacement Area 80           ‐ ‐        ‐     ‐            ‐         ‐      ‐             ‐     ‐ 116‐3; Sewer Main Replacement Area           ‐ ‐                  254,000 ‐            ‐         ‐      ‐             ‐     ‐ 62‐2; Sewer Main Replacement Area 62           ‐ ‐        ‐            191,800 ‐         ‐      ‐             ‐     ‐ 116‐2; Sewer Main Replacement Area           ‐ ‐        ‐            825,000 ‐         ‐      ‐             ‐     ‐ 132‐1; Sewer Main Replacement Area           ‐ ‐        ‐            390,700 ‐         ‐      ‐             ‐     ‐ 117‐1; Sewer Main Replacement Area           ‐ ‐        ‐     ‐                 939,100      ‐ ‐             ‐     ‐ 82‐3; Sewer Main Replacement Area 82           ‐ ‐        ‐     ‐            ‐                   804,200 ‐             ‐     ‐ 82‐4; Sewer Main Replacement Area 82           ‐ ‐        ‐     ‐            ‐                   399,200 ‐             ‐     ‐ 62‐1; Sewer Main Replacement Area 62           ‐ ‐        ‐     ‐            ‐         ‐          1,359,800 ‐     ‐ 82‐2; Sewer Main Replacement Area 82           ‐ ‐        ‐     ‐            ‐         ‐      ‐                   1,391,400 ‐ 116‐1; Sewer Main Replacement Area           ‐ ‐        ‐     ‐            ‐         ‐      ‐             ‐                666,000 161‐1; Sewer Main Replacement Area           ‐ ‐        ‐     ‐            ‐         ‐      ‐             ‐                143,900 Total $    1,942,600 $    1,719,300 $       849,700 $    1,660,100 $    1,248,400 $    1,512,700 $    1,612,400 $        1,765,500 $        1,378,400 ATTACHMENT NO.4
Percent Increase 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34Assessment Income $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 $3,867,024 Interest (1) 244,700 14,149 13,615 12,811 11,727 10,355 8,685 6,708 4,414 1,793 Property Tax Revenue (Ad Valorem) 351,100 351,100 351,100 351,100 351,100 351,100 351,100 351,100 351,100 351,100 Prior Year Balance 9,057,669 7,074,280 6,807,706 6,405,632 5,863,741 5,177,580 4,342,567 3,353,979 2,206,952 896,476 Total Funding $13,520,493 $11,306,553 $11,039,445 $10,636,568 $10,093,592 $9,406,059 $8,569,376 $7,578,811 $6,429,490 $5,116,393Maintenance Costs (2) 4,367,813 4,498,847 4,633,813 4,772,827 4,916,012 5,063,492 5,215,397 5,371,859 5,533,015 5,699,005Capital Improvements 2,078,400 0 0 0 0 0 0 0 0 0 Total Cost $6,446,213 $4,498,847 $4,633,813 $4,772,827 $4,916,012 $5,063,492 $5,215,397 $5,371,859 $5,533,015 $5,699,005Ending Balance $7,074,280 $6,807,706 $6,405,632 $5,863,741 $5,177,580 $4,342,567 $3,353,979 $2,206,952 $896,476 ($582,613)Cash Flow (1,983,389) (266,575) (402,073) (541,892) (686,160) (835,013) (988,588) (1,147,027) (1,310,477) (1,479,088)Over/Under 7,074,280 6,807,706 6,405,632 5,863,741 5,177,580 4,342,567 3,353,979 2,206,952 896,476 (582,613)Charges per Unit $82.02 $82.02 $82.02 $82.02 $82.02 $82.02 $82.02 $82.02 $82.02 $82.02 Notes: (1) Interest is 0.4% of one-half of the previous year ending balance. (2) 3% increase in maintenance cost each year due to inflation.

West Covina Citywide Sewer Charges
10 Year Fiscal Projection
ATTACHMENT NO.5
Appendix ‘O’
City of West Covina

SEWER SYSTEM CAPACITY EVALUATION
2008-2009, Edited October 2016
The City’s previous system capacity analysis was completed in 2009. Since there have been no significant capital improvements since then, the hydraulic model was not updated in this SSMP report. The primary purpose of this Appendix is to capture the methodology that was used in developing the 2009 sewer capacity analysis. The primary update of this Appendix is the cost of the recommended Capital Improvement Projects. The updated (2016 dollars) estimate project costs are provided in Appendix ‘P’. These estimates reflect the cost to replace select pipe segments at certain locations as determined by operating condition.

Appendix ‘P’ includes a more detailed list of recommended CIP projects that considers both calculated pipe operating condition as well as feasibility of updating adjacent pipe segments of differing capacity thresholds as part of the same project rather than as separate projects.

The exhibits of the recommended project locations provided in Appendix ‘O-1’ have not been updated in this report as the hydraulic model has not changed.

Introduction and Summary
The City owns and operates its local wastewater collection system consisting of approximately 227 miles of gravity flow sewer pipelines and two segments of force main (varying in size from 4-inch to 18-inch pipe) and 5,187 manholes. The existing sewer system discharges to trunk sewers that are owned and operated by the County Sanitation Districts of Los Angeles County and to the adjacent Cities of Baldwin Park and Covina, and some areas of unincorporated county.

The purpose of this evaluation is to identify deficiencies in the existing sewer mainline system, recommend alternatives to eliminate the deficiencies, prioritize the deficient reaches, and provide the City with a basis on which to build a future infrastructure management system.

The 227 miles of local sewer were modeled using HYDRA 6.4 by PIZER. Of the total length, approximately 19,096 feet of the existing system were identified as being critically capacity deficient (Greater than 85% full). These are grouped as priority-one projects requiring timely resolution. The deficient reaches of sewer mainlines are located within SMZs 4, 62, 80, 82, 116, 117, 132 and 161. Please refer to exhibit maps A, B, & C in this Appendix ‘O-1’ for the deficient reach locations. The cost to repair the deficient reaches is estimated to be $8,820,000. Those pipe segments classed as seriously capacity deficient, approximately 30,048 feet of the existing system ( between 64% and 85% full), are grouped as priority-two projects requiring resolution in the near future. The deficient reaches of sewer mainlines are located within SMZs 2, 4, 5, 62, 74, 75, 80, 81, 82, 83, 105, 116, 117, 132, 139, 140, 151, 153 and 161. Please refer to exhibit maps A, B, & C in this Appendix ‘O-1’ for the deficient reach locations. The cost to repair the deficient reaches is estimated to be $11,840,000.

ATTACHMENT NO.6
Appendix ‘O’
The modeling function was performed utilizing generally accepted sewage generation coefficients in the Los Angeles county region, and land use zoning as shown on a CAD file map identified as: “annZoning CAD Map 04-06” received on December 29, 2008. The zoning map was utilized as representative of the City’s current development condition. This map was overlaid on the sewer system map, developed as part of this project, thereby allowing the modeler to apply the sewage generation coefficients for the respective land zoning within each SMZ throughout the City. This method resulted in defining the cumulative sewage generated and carried through the piping within each SMZ and delivered to the receiving system. However, there was no flow monitoring performed to otherwise validate the modeling data result. In months and years ahead, as maintenance inspections are performed, the modeled areas nearing capacity should be closely monitored for signs of exceeding capacity in order to avoid SSOs, and to refine design parameters for replacement.

As future land use changes occur in the General Plan, the model should be updated to reflect consequences of such changes. The model should also be updated to reflect flow monitoring results as well as the construction of new relief facilities, upgrades, and/or the construction of new sewer lines in order to be fully representative of the community sewer system.

Study Approach
The following tasks were performed in the preparation of this Sewer System Capacity Evaluation Report.

1. The City provided copies of existing sewer system as-built construction plans for use in preparing the initial GIS sewer system mapping and attributes base and for the exhibit maps A, B & C of this Appendix ‘O-1’.

2. The City provided an electronic CAD file of its land use zoning map for use in creating an overlay map of the parcels and sewer maintenance zones in the city system.

3. Willdan developed a computer model (Pizer Hydra) of the City wastewater collection system utilizing the above data.

4. Analysis of the existing wastewater collection system capacity and determination of any capacity deficiencies (refer to the deficiency criteria section of this report and see the exhibit maps in this Appendix ‘O-1’).

5. Development of recommendations for system improvements to correct deficiencies.

6. Preparation of cost estimates for the recommended improvements.

7. Preparation of evaluation findings and recommendations to correct identified deficiencies in a Sewer System Capacity Evaluation Report (this Appendix).

System Criteria and Alternatives
In designing or evaluating a wastewater collection system, the engineer must establish certain criteria upon which to base the design. These include such things as available pipe sizes, Appendix ‘O’
materials, slope, bury or cover, connections, etc. Such criteria are established to ensure that the wastewater collection system can operate effectively under all flow conditions. Each pipe segment must be capable of carrying the peak flows without surcharging the system.

Surcharging the system occurs when the pipe is flowing under pressure. However, many of the initial design assumptions are unnecessary in the analysis of a collection system when the pipe already exists and its diameter and slope are fixed.

In the analysis of an existing sewer system, the Hydra program compares the capacity of each pipe in the system with the peak wastewater flow projected for that particular link or reach of pipe. If the existing pipe size is surcharged, the Hydra program automatically increases the pipe diameter to the next largest standard pipe size that will carry the design flow without being surcharged. At a minimum, all pipes should be 8 inches or larger in diameter and the velocity of flow in the pipe should be greater than 2 feet per second (ft/s). This velocity will prevent deposition of solids in the sewer and help to re-suspend any materials that may have already settled in the pipe. The minimum corresponding slopes to maintain 2 ft/s for various pipe sizes are shown in Table 1.

Table 1
Minimum Pipe Slopes ft/ft
Sewer Size Slope
8” 0.0028
10” 0.0021
12” 0.0016
15” 0.0012
18” 0.0010
It is important to note that the slopes listed above assume the depth of flow in the pipe is 0.64 percent full. If there is insufficient flow to create this condition, greater slopes than those shown may be required in order to maintain the minimum self cleaning velocity condition.

The design and analysis of gravity sewer pipes is typically based upon the depth to diameter ratio (d/D). Common design criteria for proposed new sewer design is 0.50 (50% full) for 8 to 15-inch diameter pipes and 0.75 (75% full) for 18-inch and larger pipes. The area above the water surface (residual capacity) helps to keep the sewage aerated, reducing the possibility of septic conditions and odors. Existing wastewater systems are typically allowed to flow with less residual capacity because development and redevelopment has occurred or is foreseeable in the near future.

This report establishes the hydraulic design criteria for existing sewer pipes by classifying “over capacity” pipes as any with a d/D greater than 0.64. This d/D ratio was arrived at by taking 75 percent of the depth to diameter ratio of a pipe having maximum stable flow capacity, which is at a d/D of 0.85 (75% of 85% is 64%). The area above a d/D of 0.85 is considered hydraulically unstable. This reduction results in approximately 35 percent of the pipe’s full flow capacity being reserved for variations in discharges, periodic peaking of Appendix ‘O’
flow, seasonal variations and minor or temporary obstructions. Again, this residual capacity helps to keep the sewage aerated, reducing the possibility of septic conditions and odors.

The residual capacity allows for the possibility that actual wastewater flows may be slightly higher than anticipated, especially during the hours when instantaneous or intermittent peaks may occur. These peaks are generally observed between the hours of 6:00 a.m. and 8:00 a.m.

Monday thru Friday and between the hours of 9:00 a.m. and 11:00 a.m. Saturday and Sunday. Peak flows may also be observed during rainfall events due to inflow and infiltration conditions.

Exhibit maps A, B, & C in Appendix ‘O-1’ shows the pipes that are capacity deficient per the

0.64 criteria and also shows the pipes that are deficient per the 0.50 criteria. Only the pipes that exceed the 0.64 criteria are recommended for correction projects.

The design capacity of a gravity pipeline is the calculated capacity of the pipeline based on the Manning formula:

Q=1.486 R2/3 S
1/2 /n where, Q = flow in cubic feet per second
R = hydraulic radius in feet = A/ P
A = cross-sectional area of the pipe in square feet
P = wetted perimeter in feet
S = slope of the pipe in feet of rise per foot of length n = Manning’s friction factor
Sewer system capacity is established using a Manning’s fiction factor of 0.013 for vitrified clay pipe.

Alternatives
The following alternatives were considered in developing the recommended schedule of deficiency correction projects.

1. Construction of a parallel sewer facility to carry the excess sewage flow is an obvious solution to most of the deficiencies; however, this solution is not necessarily the most economical or practical approach. In some instances rerouting of tributary areas or the construction of a single relief sewer line can be planned in such a way that it will relieve several main sewer lines thereby avoiding the construction of parallel or replacement facilities and the related cost.

2. In other instances, replacement of the existing sewer with a larger size may be the preferred alternative. The replacement or upsizing of the line may include open trench installation or pipe bursting (if surrounding condition are conducive), and the use of temporary bypass pumping. The decision as to which correction alternative to construct is typically made just prior to the design phase after careful consideration of all design constraints such as existing utilities and the costs associated with potential Appendix ‘O’
utility relocation to provide additional space for the construction of a replacement sewer line.

The engineer’s opinion of budget figures (See Appendix ‘P’) was prepared based on the cost to remove and replace the existing sewer with a larger size, as this is the most conservative cost approach.

It is suggested the where the depth of flow exceeds the design criteria of 0.64 d/D, but does not exceed the maximum stable flow capacity of 0.85 d/D, that consideration be given to allowing these sewers to flow in a slightly overloaded condition in lieu of building a more costly relief facility. This overloading occurs only during peak flow conditions that are short in duration. However, the City should frequently monitor these sewers in order to under take a future corrective action as the overloading problem becomes worse.

Analysis of Existing Sewer System
The City’s sewer system was modeled using Pizer Hydra Ver. 6.4. The Hydra program is designed to provide analysis of both the existing sewer system and the design of any new sewer lines.

After defining (laying out) the existing sewer system, the network was divided into 179 SMZ’s or sewer drainage areas, based upon city sewer records, for input into the computer model. The input data consisted of a numerical designation for each manhole and length of sewer pipe between manholes, the slope of the line, and flow line elevation of each manhole.

Computation of Wastewater Inflows
Once the schematic of the sewer system network was established, data was compiled on each SMZ, General Plan land uses (zoning), and related factors that affect the volume of wastewater generated. Next, it was necessary to compute the area of each type of land use; e.g., low-density residential, medium-density residential, high-density residential, commercial, industrial, schools, etc., within each drainage boundary. The unit flow coefficients (see Table 2) were then applied to the computed areas of land use within each SMZ. The unit flow coefficients, when applied to the land use areas, provide peak flow rates for each particular land use category. The wastewater inflows calculated for the various land use categories within the SMZ were then accumulated to provide the calculated peak flow for the entire drainage area. The accumulation of estimated wastewater flow is accomplished totally within the computer program.

Table 2
Unit Flow Coefficients for Peak Flow Rates
Zone Cu. Ft. per
sec. per acre
Gallons per
day per acre
R-1 0.004 2585
R2 0.008 5171
R3 0.012 7756
Appendix ‘O’
R-P,
Commercial 0.015 9695
Manufacturing 0.021 13573
Institutional 0.015 9695
Flow Monitoring
There was no flow monitoring performed under the contract services for preparation of this SSMP. However, flow confirmation work can be undertaken at any time in the future.

Typically, as maintenance inspection findings indicate changed pipeline capacity conditions for those pipe segments near capacity as indicated in the modeling evaluation results. Flow monitoring results can be used to verify and/or calibrate the sewer flow modeling work for a SMZ as affected by changes in development or observed manhole inspections of flow conditions. Also, additional future flow monitoring is recommended at near capacity locations, during periods of rain, to verify or deny potential inflow and infiltration problems, and to refine design parameters, especially for the higher density residential zones.

For each site monitored, the flow data should be reviewed and compared to the contributing SMZ area. The peak monitored flow rate must be compared to the design flow rate and the shape of the outflow curve compared to the SMZ modeled result. An expected difference between the monitored flow and the design flow is between 150 to 250 percent. This difference is expected because the design flow rate includes the maximum flow rate expected from each development type which contains both wet weather inflow/infiltration and design peaking safety factors.

Summary of Findings and Recommendations
Within the initial introduction and summary section, both the critically deficient (> 85% full) and seriously deficient (between 64% and 85% full) pipe segments were described and referenced. Before undertaking design and construction or identifying further project priorities, the performance of select flow monitoring is recommended at crucial locations, especially during periods of rain to verify or deny any potential inflow and infiltration problems. Also to confirm the actual in-system flow conditions which can and do vary do to water usage and customer practices in waste disposal. The findings identified in this evaluation and report are for planning guidance in addressing the sewer system capacity conditions. Further pre-design refinement and analysis will be necessary before initiation of a final design of improvements for the facilities is under taken.

In the event of any land use changes to the General Plan, upon which this study was based, the model should be updated to reflect the consequences of such changes. The model should also be updated to reflect the construction of new sewer lines.

Appendix ‘O’
Recommended Deficiency Correction Projects
Presented in the engineer’s opinion of cost (Appendix ‘P’) is a remove and replace approach to correct the identified deficient pipe segments. This is usually a conservative approach to costing and should be refined by thorough engineering evaluation and assessment of the specific conditions and replacement options before proceeding with a specific correction project.

The following criteria for defining and prioritizing relief facility need was used:

Priority 1
Sewers with critical deficiencies of d/D > 0.85, are recommended for correction first.

Sewers meeting these criteria are ranked highest.

Priority 2
Sewers with critical deficiencies of 0.64 < d/D < 0.85 are recommended for correction second. Sewers meeting these criteria are ranked lower.

Priority 3
Sewers with a d/D < 0.64 are not capacity deficient; therefore, are not ranked here.

Sewer System Improvements Costs
The unit prices shown in the engineer’s opinion of cost (see Appendix ‘P’) represent the anticipated construction cost only as applicable for mid 2016. Bid prices received on jobs of similar nature in Southern California area were one source of information used to derive the cost figure. In addition, manufacturers, suppliers of material and equipment, and local contractors were consulted on various cost items. An additional 35% of construction cost is added to cover the cost of contingencies, design engineering, contract administration and construction observation.

The engineer’s opinion of cost does not include an adjustment for inflation. Construction costs can be expected to fluctuate as corresponding changes occur in the national or local economy. One available indicator of these changes is the Engineering News-Record Construction Cost Index for the Los Angeles metropolitan area. This index is compiled from actual construction cost data for materials and labor and is reported in Engineering NewsRecord magazine. It is suggested that this index be used to update the unit prices presented in Appendix ‘P’ and in adjusting the estimate from the date of the initial estimates.

Appendix ‘O’
Financing of Improvements
General
Funding considerations are often the deciding factor in scoping and implementation of a project. There are, of course, numerous methods or mix of methods, which could be used to finance the implementation of a sewer system capital improvement plan (CIP), and the ongoing operations and maintenance activities. Among these methods are:

1. Pay-as-You-Go Financing (rates, fees and charges based)

2. State Assistance Programs

3. Municipal Securities

4. Improvement Districts

5. Federal Assistance Programs
In the discussion that follows, the above funding options are briefly described and their adaptability to specific circumstances of a sewer system CIP are noted. In evaluating specific funding programs, services of financial and legal experts in such issues are recommended.

Methods of Financing

1. Pay-as-You-Go Financing:

Development of cash reserves or capital improvement funds, from an agency’s revenue base, is often referred to as "pay-as-you-go" funding. This method avoids interest payments on other types of debt financing. Under this form of financing, the initial capital cost of a project must be accumulated in advance of construction, which can cause a delay in project implementation. If delay is not a crucial factor, this is a cost effective method due to the absence of debt financing costs. This method has sometimes been used together with various forms of short-term financing to construct needed sewer infrastructure.

2. State Assistance Programs:

Under the rules and regulations of the Federal Water Pollution Control Act (Clean Water Act or CWA) and the Federal Safe Drinking Water Act (SDWA), the State has enacted the Clean Water State Revolving Fund (CWSRF) and the Drinking Water Revolving Fund (DWSRF), respectively. These programs are funded by Federal grants, State funds and Revenue bonds. The CWSRF Loan Program provides low-interest loan funding for construction of publicly-owned wastewater treatment facilities, sewers, sewer interceptors, water recycling facilities, as well as implementation of non-point source (NPS) projects or programs. There are different types of funding assistance available under these programs.

Appendix ‘O’
www.waterboards.ca.gov/water_issues/programs/grants_loans/srf/ The Department of Water Resources administers the State bond law programs for Water supply/Water quality, Water conservation, Flood management and Regional water management. www.grantsloans.water.ca.gov
The State Water Resources Control Board administers the State revolving fund loans, Water recycling grants & loans, Small community grants, Agricultural drainage loans, Agricultural drainage management loans, Clean beaches initiative grants, Agricultural water quality grants, Areas of special biological significance (ASBS) grants, Storm water grants, and Santa Monica bay restoration commission grants. www.waterboards.ca.gov
The State Department of Public Health administers the DWSRF, Proposition 84 funding for public water systems, and Proposition 50 for the water security, clean drinking water, coastal and beach protection act of 2002 loans. www.cdph.ca.gov

Various types of infrastructure improvement/construction loans can be arranged through the California Infrastructure and Economic Development Bank (IBank) www.ibank,ca,gov
Limited amounts of public works grant funds have been available to agencies from the State Office of Economic Development. Use of such grant funds must result in the creation of new, permanent jobs in the private sector. In order to ensure that the funds are ultimately assisting those in most need, projects eligible for consideration must be those in areas designated eligible for HUD Urban Development Action Grants (UDAG), EDA Sudden or Long-term Economic Deterioration, or EDA Designated Special Impact Area.

3. Municipal Securities:

Historically, general obligation bonds (GOB’s) had been a prevalent method of financing various public works improvements. They are secured by an agency’s total assets and payable from ad valorem taxes levied on all taxable properties within the agency’s boundary. However, the Jarvis-Gann Amendment (Proposition 13 of 1978) prohibits the levying of ad valorem property taxes beyond pre-existing authorizations and levels (preJuly 1, 1978). Therefore, authorization and issuance of GOB’s is not considered feasible under current law.

An option to GOB’s is the issuance of a specific type note or bond form, such as a revenue anticipation note (RAN) or a tax anticipation note (TAN) or a certificate of participation (COP) or various combinations of available authorities that can be used to fund public infrastructure needs. These types of municipal securities (Munis) are generally tax-exempt and commonly used to fund public works infrastructure and facilities. Many states also exempt their securities from their own taxes, which makes those securities particularly attractive investments for their own residents.

Appendix ‘O’
TAN’s and RAN’s are instruments backed by anticipated taxes or revenues respectively.

When these types of notes are considered for funding of needed infrastructure, a specified source of tax or revenue stream is identified and pledged for repayment of the debt. For example, with sewer facilities, all or a portion of the sewer service revenue fees/charges could be used as backing for the debt instrument selected. Then other local revenue sources could be considered for ongoing operations and maintenance (O&M) or some acceptable mix and match of funds specified to secure the debt and accomplish the O&M.

COP’s are another form of municipal funding instrument available. These generally require the facility improvement being funded to be named as security for the investment with a lease back of the facility by the municipality. In turn, the municipality pledges some revenue stream(s) that would be used to repay the investor held notes.

When Munis are being considered for funding of improvements, consultation with an experienced and qualified financing consultant and bond counsel are a must.

4. Improvement Districts:

In general, special assessment district procedures have been established by statute to provide for financing of construction and/or acquisition of public works improvements, such as sewer systems, and for assessing the cost of such improvements to the benefiting properties. Under all assessment proceedings, the cost of the work is assessed against properties within the benefited area. The assessments are levied in specific amounts against each individual property on the basis of the benefit each parcel receives. The property owner may pay the assessment in cash during the cash collection period of 30 days. But, if any assessments are not paid in cash during that period, bonds are usually issued to represent the unpaid assessments and the benefited properties are assessed on their annual property tax bill over a usual period of 10 to 20 years.

The City of West Covina utilizes Government Code Section 38902 to establish sewer service charges. While an assessment district proceeding may be a reasonable and equitable means for financing sewer system improvements, further evaluation and stakeholder involvement is a usual practice to determine the viability and practicality of utilizing such financing method.

5. Federal Assistance Programs:

There are, and have been, a series of federal grant and loan programs which may be applicable to public infrastructure projects. However, the qualification criteria for such programs vary from time to time and their funding or continuation is subject to congressional appropriations. Therefore, such programs should not be considered as a likely source of funds unless a funding commitment letter has been received.

Historically, federal programs administered by the Economic Development Administration (EDA) provide financial and technical assistance to aid the economic development of areas with high unemployment or low family income levels.

Communities must make long-range plans for economic growth in order to be eligible for EDA financial assistance, in the form of grants and loans for public works and Appendix ‘O’
development that generates jobs and economic opportunity. Typical public works projects include construction of roads, water and sewer lines, and public facilities. To determine the status requires timely monitoring.

Under the rules and regulations of the Housing and Community Development Act of 1974, the Community Development Block Grant (CDBG) program can fund housing and community development needs. This includes part or all of improvements necessary to upgrade existing sewer facilities. Those qualifying geographic areas within the City that have the greatest overall deficiency in physical infrastructure receive the highest priority according to CDBG criteria. When the sewer system has a defined deficiency, then it is appropriate to use CDBG funds to meet health and safety standards as well as to encourage up-grading of abutting housing and physical environment.

The primary statutory objective of the CDBG program is to develop viable communities by providing decent housing and a suitable living environment and by expanding economic opportunities, principally for persons of low- and moderate-income.

Communities receiving CDBG funds through the State may use the funds for many kinds of community development activities including, but not limited to:
 acquisition of property for public purposes;
 construction or reconstruction of streets, water and sewer facilities, neighborhood centers, recreation facilities, and other public works;  demolition;
 rehabilitation of public and private buildings;
 public services;
 planning activities;
 assistance to nonprofit entities for community development activities; and  assistance to private, for profit entities to carry out economic development activities (including assistance to micro-enterprises).
www.hcd.ca.gov/ca/cdbg/about/html
The United State Department of Agriculture Rural Development Program provides communities with population less than 50,000 a variety of direct-guaranteed-loans and /or grants. These include water and wastewater system improvement funding. www.rurdev.usa.gov/ca
Appendix ‘O’
APPENDIX ‘O-1’
Sewer System Capacity Analysis
Deficient Pipes Exhibits

AGENDA ITEM NO. 6

MAINTENANCE DISTRICT - ORDERING OF AND PRELIMINARY APPROVAL OF

THE ENGINEER'S REPORT
RECOMMENDATION:

Staff recommends that City Council take the following actions:

1. Adopt the following resolution:

RESOLUTION NO. 2024-42 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ORDERING THE PREPARATION AND FILING OF A REPORT REGARDING THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED IN CONNECTION WITH THE CITY’S CITYWIDE LIGHTING AND MAINTENANCE DISTRICT

2. Following adoption of Resolution No. 2024-42, adopt the following resolution:

RESOLUTION NO. 2024-43 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR THE CITY’S CITYWIDE LIGHTING AND MAINTENANCE DISTRICT,

DECLARING ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL YEAR 2024-25 AND SETTING A PUBLIC HEARING REGARDING

SUCH ASSESSMENTS
BACKGROUND:

The Landscaping and Lighting Act of 1972 (California Streets and Highways Code section 22500 et seq.) (the "Act") specifies the procedures for renewal of landscape maintenance districts. The Citywide Lighting and Maintenance District was established in 1976. As the name implies, this District encompasses the entire City. Prior to Fiscal Year 1997-1998, the Citywide District funded a variety of public improvements and services which included: street tree maintenance, median maintenance, park maintenance, municipal pool maintenance, area lighting maintenance, traffic signal maintenance, traffic engineering, and street lighting engineering. Since the passage of Proposition 218 in November 1996 and the subsequent property owner approval in July 1997, the Citywide District assessment currently funds only those services that have been designated as a "Special Benefit", which is the maintenance of most of the streetlights and street trees within the City.

DISCUSSION:

The first step in the process is the adoption of a resolution ordering the preparation of an Engineer's Report for the District.

The Engineer's Report, prepared by Willdan Financial Services, has been completed and filed with the Office of the City Clerk and includes plans and specifications for improvements, estimated costs, an assessment diagram, and assessment spread for the estimated costs.

The City's General Fund finances a portion of the Citywide District through the City's payment of assessments on City-owned properties in the amount of about $55,467. In addition, the Successor Agency of the City of West Covina is projected to pay an assessment amount of approximately $127 to the Citywide District for the parcels owned by the former Redevelopment Agency. At this time, this is an enforceable obligation cost of the Successor Agency, and paid through the Recognized Obligation Payment Schedule (ROPS) funds.

Since the assessments for the Citywide Lighting and Maintenance District were approved in a mail ballot election in July 1997 in accordance with Proposition 218, the renewal for the Citywide District can be completed in accordance with the requirements of the Act, provided the assessment rates and/or the assessment methodology do not change. The voter-approved rates for the Citywide District included a provision for not more than a 2.00% annual increase based on the Consumer Price Index (CPI). The CPI for a one-year period from March 2023 to March 2024 for the Los Angeles, Long Beach, and Anaheim areas is 4.03%. Therefore, current rates are set at the max increase of 2.00% or $60.00. The necessity for any increases will be evaluated as part of the Engineer's Report.

The Citywide Lighting and Maintenance District funds the operation and maintenance of assessable (special benefit) street trees and street lighting. These funds are used for the operations and maintenance of streetlights, trimming of street trees, and removal and replacement of diseased street trees. Last year, the City entered into a new contract for median and landscaping services that addresses increased scope of landscape and median maintenance needs.

The next step in the renewal process is the preliminary approval of the Engineer’s Report and adoption of Resolution of Intention concerning the levy and collection of assessments for the District. Also, a date for a public hearing must be set as required in the Act. Staff is recommending setting a public hearing date of July 16, 2024. At the public hearing, the City Council will consider any written and oral comments regarding the level of assessments and proposed maintenance and capital improvement work within the District. The public hearing requires a public notice, in the form of the Resolution of Intention, be posted and published in a locally circulated newspaper, but does not require notices be mailed to each resident.

Upon the conclusion of the hearing, the City Council should adopt a resolution confirming the Engineer’s Report and assessment levy either as proposed or as modified by the City Council.

LEGAL REVIEW:

The City Attorney has reviewed the resolutions and approved them as to form.

OPTIONS:

The City Council has the following options:

1. Approve staff’s recommendation; or

2. Provide alternative direction.

Prepared by: Michael Ackerman P.E.

Fiscal Impact
FISCAL IMPACT:

For FY 2024-25, the Engineer’s Report for the Citywide Lighting and Maintenance District proposes to use the voter approved adjustment to increase the assessment rates by 2.00% from their current levels, which is $58.85, to $60.00. This rate would generate an additional $37,988, in assessments. This is the amount of increase allowed under Proposition 218.

The total projected income from the recommended rates is $1,983,181. The estimated operating costs for the district in FY2024-25 is $2,048,832.

Since the City of West Covina is not exempt from assessments for this district, the City’s total assessment is about $55,594. The City pays this assessment using General Funds within the non-departmental operating budget.

There are no legal requirements or formal guidelines for the amount of reserves in an assessment district.

Attachments
Attachment No. 1 - Resolution No. 2024-42 (Ordering Preparation and Filing of Report) Attachment No. 2 - Resolution No. 2024-43 (Resolution of Intention) Attachment No.3 - 15 Year Rate History
Attachment No.4 - Citywide Lighting and Landscape Engineer's Report Attachment No.5 - 10 Year Fiscal Projection
CITY COUNCIL GOALS & OBJECTIVES: A Well-Planned Community ATTACHMENT NO. 1
RESOLUTION NO. 2024-42

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ORDERING THE

PREPARATION AND FILING OF A REPORT REGARDING
THE FISCAL YEAR 2024-25 ASSESSMENT TO BE LEVIED
IN CONNECTION WITH THE CITY’S CITYWIDE LIGHTING

AND MAINTENANCE DISTRICT
The City Council of the City of West Covina hereby finds and declares as follows:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council orders Willdan Financial Services, as assessment engineer, to prepare and file with the City Clerk a report on the assessment in connection with the District for Fiscal Year 2024-25. Such report shall include all information required by Section 22565 et seq. of the Act
SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-42 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 2
RESOLUTION NO. 2024-43

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, PRELIMINARILY
APPROVING THE ENGINEER’S REPORT FOR THE CITY’S

CITYWIDE LIGHTING AND MAINTENANCE DISTRICT,

DECLARING ITS INTENTION TO LEVY AND COLLECT

ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL
YEAR 2024-25 AND SETTING A PUBLIC HEARING

REGARDING SUCH ASSESSMENTS
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, the City’s Citywide Lighting and Maintenance District (the “District”) has been established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways Code Section 22500 et seq.) (the “Act”) to fund the maintenance and servicing of certain public street lighting and street trees in the City; and WHEREAS, in connection with the District, the City annually levies an assessment against real property; and
WHEREAS, by its Resolution No. 2024-42, adopted July 2, 2024, the City Council directed Willdan Financial Services, as assessment engineer (the “Engineer”), to prepare and file a report regarding the District; and
WHEREAS, the Engineer has filed said report, entitled “City of West Covina, Citywide Lighting & Maintenance District, Fiscal Year 2024/2025 Engineer’s Report” (the “Report”) and the Report is on file and available for public inspection in the Office of the City Clerk and is incorporated herein by reference; and WHEREAS, the City Council desires to continue with proceedings to levy the assessment in connection with the District for Fiscal Year 2024-25 as described in the Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The Report is preliminarily approved.

SECTION 2. The City Council declares its intention to levy and collect assessments within the District for Fiscal Year 2024-25 and notes that:
(a) The distinctive name of the District is the “City of West Covina Citywide Lighting and Maintenance District.”
(b) The boundaries of the District are the same as the boundaries of the City. (c) The existing and proposed improvements are generally described as street lights, street trees, and appurtenant facilities throughout the City. No substantial changes are proposed to the nature of the improvements. (d) Reference is made to the Engineer’s Report, on file with the City Clerk, for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein, and the proposed assessments upon assessable lots and parcels of land within the District. (e) The rate of the assessment is proposed to adjust upwards by 2.00% from the rate levied in Fiscal Year 2023-24. Such adjustment is made according to a schedule of adjustments approved by property owners in a mail ballot proceeding pursuant to Article XIII D of the California Constitution and, therefore, does not constitute an “increase” requiring additional mail ballot proceedings.

SECTION 5. The City Council finds that the levy and collection of these assessments is statutorily exempt from the California Environmental Quality Act (CEQA) under Section 15273 of the CEQA Guidelines, as none of the proceeds will be used for capital expenses, but will be used instead for operation and maintenance.

SECTION 6. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-43 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO.3
Fiscal Year Assessment
2024-25
Proposed $60.00
2023-24 $58.85
2022-23 $57.68
2021-22 $56.54
2020-21 $55.45
2019-20 $53.34
2018-19 $52.29
2017-18 $52.29
2016-17 $51.28
2015-16 $50.41
2014-15 $50.15
2013-14 $49.66
2012-13 $48.69
2011-12 $47.73
2010-11 $46.81
West Covina
Citywide Lighting and Maintenance District
15 Year Rate History
For a Typical Single-Family Residential Property
City of West Covina
Citywide Lighting & Maintenance
District
FISCAL YEAR 2024/2025 ENGINEER’S REPORT
Intent Meeting: July 2,2024
Public Hearing: July 16, 2024
27368 Via Industria
Suite 200
Temecula, CA 92590
T. 951.587.3500|800.755.6864
F. 951.587.3510|888.326.6864
Property Tax Information Line
T.866.807.6864
www.willdan.com
ATTACHMENT NO.4

ENGINEER'S REPORT AFFIDAVIT
Citywide Lighting and Maintenance District
City of West Covina
County of Los Angeles, State of California
This Report describes the District including the improvements, budgets, parcels and assessments to be levied for Fiscal Year 2024/2025 as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Los Angeles County Assessor’s maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2024.

Willdan Financial Services
Assessment Engineer
On Behalf of the City of West Covina
By: ________________________________
Chonney Gano, Project Manager
District Administration Services
By: ________________________________
Tyrone Peter
PE # C 81888

TABLE OF CONTENTS
OVERVIEW...............................................................................................................................1 PROPOSITION 218 COMPLIANCE ......................................................................................3 I. PLANS AND SPECIFICATIONS....................................................................................4 A. DESCRIPTION OF WORK..........................................................................................4 B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT.............................................5 C. DESCRIPTION OF IMPROVEMENTS AND SERVICES.........................................6 II. METHOD OF APPORTIONMENT..................................................................................7 A. PROPOSITION 218 BENEFIT ANALYSIS................................................................7 B. BENEFIT ANALYSIS...................................................................................................8 C. ASSESSMENT METHODOLOGY..............................................................................9 D. ASSESSMENT RANGE FORMULA ...................................................................... 155 III. ESTIMATE OF COSTS................................................................................................ 166 A. CAPITAL IMPROVEMENT PROJECT FUND....................................................... 166 B. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF OPERATING COSTS .............................................................................................................................. 177 C. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF TOTAL COSTS .............................................................................................................................. 188 IV. BOUNDARY MAP........................................................................................................ 200 V. ASSESSMENT ROLL...................................................................................................211 FY 2024/2025 Citywide Lighting and Maintenance District Page 1

OVERVIEW
The City of West Covina (“City”), annually levies and collects assessments in order to provide and maintain facilities, improvements and services within the Citywide Lighting and Maintenance District (“District”). The District was established in 1976 pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code (“1972 Act”). Prior to Fiscal Year (“FY”) 1997-98 the District funded a variety of public improvements and services which included: street tree maintenance, median maintenance, park maintenance, municipal pool maintenance, area lighting maintenance, traffic signal maintenance, traffic engineering, and street lighting engineering. Since the passage of Proposition 218 (“Proposition”) in November 1996 and the subsequent property owner approval in July 1997, the District assessment currently funds only those services that have been designated as a "Special Benefit", which is the maintenance of most of the streetlights and street trees within the City.

These funds are used for the operations and maintenance of streetlights, trimming of street trees, and removal and replacement of diseased street trees.

The Engineer’s Report (“Report”) has been prepared pursuant to Chapter 1, Article 4 and Chapter 3 of the 1972 Act, and presented to the City Council for their consideration and approval of the proposed improvements and services to be provided within the District and the levy and collection of annual assessments for FY 2024/2025.

This Report describes the District, the improvements and the proposed assessments to be levied against properties in connection with the benefits the properties will receive from the maintenance and servicing of the District improvements for FY 2024/2025. The annual assessments to be levied on properties within the District provide a funding source for the continued operation and maintenance of local landscape improvements installed in connection with the development of properties within the District. Each fiscal year, the City establishes the District’s assessments based on an estimate of the costs to maintain, operate and service the landscape improvements and based upon available revenues including fund balances, City contributions and assessment limits. The costs of the improvements and the proposed annual assessments budgeted and assessed against properties within the District may include: the estimated expenditures for regular annual maintenance and repairs; incidental expenditures related to the operation and administration of the District; deficits or surpluses from prior years; revenues from other sources; and the collection of adequate funds for operational reserves or periodic expenditures including installments collected for long-term improvement projects. Each parcel is assessed proportionately for only those improvements, services and expenses for which the parcel will receive special benefit.

The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessor’s Parcel Number (“APN”) by the Los Angeles County (“County”) Assessor’s Office. The County Auditor/Controller uses Assessor’s Parcel Numbers and specific Fund Numbers to identify properties to be assessed on the tax roll for the special benefit assessments.

FY 2024/2025 Citywide Lighting and Maintenance District Page 2 At a noticed annual Public Hearing, the City Council will accept all public comments and written protests regarding the District and the annual levy of assessments. Upon conclusion of the Public Hearing, the City Council will consider all public comments and review the Report. The City Council may order amendments to the Report or confirm the Report as submitted. Following final approval of the Report and confirmation of the assessments the Council will, by Resolution, order the improvements to be made and confirm the levy and collection of assessments pursuant to the 1972 Act. The assessments as approved will be submitted to the County Auditor/Controller to be included on the property tax roll for each parcel.

While the budgets outlined in this Report reflect the estimated costs necessary to fully and adequately provide for the maintenance and operation of the improvements within the District, many of these estimated costs and associated services cannot be funded by the current assessment revenues and contributions from the City. To fully fund the improvements, it may be necessary to increase assessment revenues by a percentage greater than the currently approved inflationary adjustment, which is no greater than the percentage increase of the Los Angeles-Long Beach-Anaheim Consumer Price Index (“CPI”) as published by the Department of Labor’s Bureau of Labor Statistics or 2% whichever is less. (As of January 2018, the Los AngelesRiverside-Orange County Consumer Price Index region name changed to LosAngeles-Long Beach-Anaheim Consumer Price Index). This will require the support of the property owners for new or increased assessments through a ballot proceeding conducted under the provisions of the California Constitution Article XIIID.

In FY 2017/2018, the City conducted a property owner protest ballot proceeding for a proposed Maximum Assessment increase of 12%. Based on the results of the protest ballot, the City Council declined to adopt the new Maximum Assessment increase.

As required by the 1972 Act, this Engineer’s Report describes the improvements to be operated, maintained and serviced by the District, an estimated budget for the District improvements, and the proposed assessments to be levied upon each assessable lot or parcel within the District for FY 2024/2025.

This Report consists of five (5) parts:

Part I
Plans and Specifications: A general description of the District and the improvements for which parcels are assessed. The proposed assessments as outlined in this Report are based on the improvements that provide a special benefit to the properties within the District. The plans and specifications contained in this Report generally describe the nature, location and extent of the improvements.

Part II
Method of Apportionment: A description of how the proportionate amount of the assessments is to be charged in proportion to the benefits received by each lot or parcel within the boundaries of the District.

FY 2024/2025 Citywide Lighting and Maintenance District Page 3 Part III
Estimate of Costs: An estimate of the annual costs to properly operate, maintain, and service the landscape improvements and appurtenant facilities. This budget includes an estimate of the maintenance costs and incidental expenses including, but not limited to: labor, materials, equipment and administration expenses as well as the collection of appropriate funding necessary to properly support the improvements. Not all services and costs identified in these budgets can be supported by the current assessment revenues and City contributions, and as such, City staff shall make the determination of which services and activities shall be provided based on available revenues.

Part IV
Boundary Map: A diagram showing the boundaries of the District is provided in this Report and includes all parcels determined to receive special benefits from the improvements. Parcel identification, the lines and dimensions of each lot, parcel and subdivision of land within the District are shown on the Los Angeles County Assessor's Parcel Maps and shall include any subsequent lot line adjustments or parcel changes therein. Reference is hereby made to the Los Angeles County Assessor’s Parcel Maps for a detailed description of the lines and dimensions of each lot and parcel of land within the District. A diagram showing the overall boundaries of the District is on file with the City Clerk and the Office of the City Engineer, and by reference is made part of this Report.

Part V
Assessment Roll: A listing of the assessment amount associated with each parcel within the District. The assessments presented herein are unchanged from the previous fiscal year.

PROPOSITION 218 COMPLIANCE
On November 5, 1996, California voters approved Proposition 218. This Proposition amended the California Constitution and was the latest in a series of initiatives reducing the revenue-raising discretion of California local governments. The provisions of the Proposition, now California Constitution Articles XIIIC and XIIID, can be summarized in four general areas:

1. Strengthens the general and special tax provisions of Proposition 13 and Proposition 62.

2. Extends the initiative process to all local taxes, assessments, fees, and charges.

3. Adds substantive and procedural requirements to assessments.

FY 2024/2025 Citywide Lighting and Maintenance District Page 4

4. Adds substantive and procedural requirements to property-related fees and charges.

Proposition 218 required that beginning July 1, 1997, all new and existing assessments (with some exceptions) must conform to new substantive and procedural requirements.

However, certain assessments are exempted from these requirements until they are increased.

The assessments for the District were approved in a mailed ballot election in July 1997 in accordance with the Article XIIID substantive and procedural requirements. Any subsequent increases in the assessments above those initially approved by the mailed election will be subject to the procedures and approval process of Section 4 of Article XIIID of the California Constitution.

I. PLANS AND SPECIFICATIONS
A. DESCRIPTION OF WORK
The existing facilities to be maintained and serviced include street lighting facilities and street trees.

Landscaping and Appurtenant Facilities
Facilities include but are not limited to: trees, irrigation system, hardscape, fixtures, sidewalk maintenance resulting from landscape growth and appurtenant facilities, in public right-of-way, parkways, and dedicated easements within the boundaries of the District.

Lighting and Appurtenant Facilities
Facilities include but are not limited to: poles, fixtures, bulbs, conduits, conductors, equipment including guys, anchors, posts and pedestals, metering FY 2024/2025 Citywide Lighting and Maintenance District Page 5 devices and appurtenant facilities as required to provide lighting in the public right-of-way and dedicated easements within the boundaries of the District.

The public lighting system shall be maintained to provide adequate illumination.

Electricity for streetlights shall be furnished by the Southern California Edison Company, and it shall be adequate for the intended purpose. Rates for power shall be those authorized by the California Public Utilities Commission. “Maintenance” means the furnishing of services and materials for the ordinary and usual operation, maintenance and servicing of the landscaping, public lighting facilities and appurtenant facilities, including repair, removal or replacement of all or part of any of the landscaping, public lighting facilities 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; the removal of trimmings, rubbish, debris, and other solid waste.
“Servicing” means the furnishing of water for the irrigation of landscaping and the maintenance of any of the public lighting facilities and furnishing of electrical energy for the public lighting facilities or for the lighting or operation of landscaping or appurtenant facilities.

B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT
As applicable or may be applicable to this proposed District, the 1972 Act defines improvements to mean one or any combination of the following:

The installation or planting of landscaping.

The installation or construction of statuary, fountains, and other ornamental structures and facilities.

The installation or construction of public lighting facilities.

The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities.

The maintenance or servicing, or both, of any of the foregoing.

The acquisition of any existing improvement otherwise authorized pursuant to this section.

Incidental expenses associated with the improvements including, but not limited to:

The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment;
FY 2024/2025 Citywide Lighting and Maintenance District Page 6 The costs of printing, advertising, and the publishing, posting and mailing of notices; Compensation payable to the County for collection of assessments; Compensation of any engineer or attorney employed to render services; Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements;
Any expenses incidental to the issuance of bonds or notes pursuant to Section 22662.5.

Costs associated with any elections held for the approval of a new or increased assessment.

The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including:

Repair, removal, or replacement of all or any part of any improvement.

Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury.

The removal of trimmings, rubbish, debris, and other solid waste.

The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti.

C. DESCRIPTION OF IMPROVEMENTS AND SERVICES
The following outlines the various improvements associated with the properties and developments throughout the District. The detailed plans and specifications of the District improvements are on file in the office of the City Public Works Department and by reference are made part of this Report.

There are currently no ongoing Capital Improvement Projects:

FY 2024/2025 Citywide Lighting and Maintenance District Page 7 II. METHOD OF APPORTIONMENT
A. PROPOSITION 218 BENEFIT ANALYSIS
The costs of the proposed improvements have been identified and allocated to properties within the District based on special benefit. The improvements provided by this District and for which properties are assessed are local public landscape improvements and related amenities that were installed in connection with the development of the properties or would otherwise be required for the development of properties within each respective Zone of the District. The assessments and method of apportionment is based on the premise that these improvements would otherwise not have been required without the development of those parcels within the District.

Article XIIID Section 2(d) defines District as follows:
“District means an area determined by an agency to contain all parcels which will receive a special benefit from a proposed public improvement or property-related service”; Article XIIID Section 2(i) defines Special Benefit as follows:
“Special benefit” means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large. General enhancement of property value does not constitute “special benefit.” Article XIIID Section 4(a) defines proportional special benefit assessments as follows:
“An agency which proposes to levy an assessment shall identify all parcels which will have a special benefit conferred upon them and upon which an assessment will be imposed. The proportionate special benefit derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel.” The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements which include the construction, maintenance, and servicing of public lights, landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these improvements be levied according to benefit rather than assessed value”:
“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.”
Pursuant to Section 22574 of the 1972 Act permits the designation of zones of benefits within any individual assessment district if "by reason of variation in the nature, location, and extent of the improvements, the various areas will receive different degrees of benefit from the improvements." Thus, the 1972 Act requires the levy of a true "assessment" rather than a "special tax.”
In addition, Proposition 218 the "Right to Vote on Taxes Act" which was approved on the November 1996 Statewide Ballot, requires that a parcel's assessment may not exceed the reasonable cost of the proportional special benefit conferred on that FY 2024/2025 Citywide Lighting and Maintenance District Page 8 parcel. Proposition 218 provides that only special benefits are assessable and the City must separate the general benefits from the special benefits.

The formula used for calculating assessments in this District reflects the composition of the parcels, and the improvements and services provided in order to fairly apportion the costs based on estimated benefit to each parcel.

B. BENEFIT ANALYSIS
The assessment is proposed to be levied to defray the cost of the operation, servicing, and maintenance of street trees and street lighting and appurtenant facilities, including but not limited to, personnel, electrical energy, utilities such as water, materials, contracting services, and other items necessary for the satisfactory operation of these services.

Street Lighting Benefit:

Proper maintenance and operation of the street lighting system benefits in proximity adjacent to the lights by providing security, safety and community character, and vitality. The amount of benefit received will vary with the different land use on the property. There are three (3) categories from which the total special benefit of a parcel is derived:

1. Security and Safety Benefit. The prevention of crime, the alleviation of the fear of crime, and the prevention of traffic accidents in a community.

2. Community Character and Vitality Benefit. The promotion of social interaction, promotion of business and industry, and the contribution to a positive night time visual image for the community.

3. Lighting Intensity Benefit. As the lighting levels increase, so do the benefits associated with the lighting. Lighting Standards usually require approximately twice the level of lighting in commercial/industrial areas than in residential areas.

Parcels, which are located on streets with streetlights, receive a special lighting benefit. Parcels which are located on private streets receive a substantially reduced benefit from local lighting, parcel which do not have any local streetlights receive no benefit from street lighting.

Lighting at the street intersection, which is defined as safety lighting, is considered to be the minimum lighting requirement for vehicular safety; therefore, safety lighting represents the general benefit portion of street lighting. Additionally, lights, which are on arterials of the City, which do not have parcels fronting on them, are considered a general benefit. Those general benefit portions of the City's lighting budget will not be assessed.

FY 2024/2025 Citywide Lighting and Maintenance District Page 9 Benefit Zones. Most parcels within the City front on streets with streetlights and therefore receive a direct lighting benefit. However, there are some areas in the City, which have a higher level of lighting and these have been designated as additional Benefit Zones.

Zone A. The Civic Center and Plaza at West Covina areas receive a higher level of street lighting.

Zone B. The properties along Glendora Avenue from Walnut Creek Parkway to the I-10 Freeway receive a higher level of street lighting than Zone A.

Those parcels which also have public lighting in adjacent alleyways receive an equal amount of benefit for the alley lights as for the streetlights, therefore, these parcels are assessed two times the benefit of the basic local lighting. The parcels that front streets without streetlights do not receive a local lighting benefit and therefore are not assessed.

Street Trees:

Trees, landscaping, hardscaping and appurtenant facilities, if well maintained, provide beautification, shade and enhancement of the desirability of the surroundings.

The City maintains street trees throughout the City. The trees are located within the public right-of-way and provide aesthetically pleasing environment, shade, beautification, and according to some authorities’ air purification and sound attenuation. These positive attributes increase the desirability of properties located on streets that have trees on them.

More importantly, proper maintenance of these facilities, especially routine trimming of street trees and removal/replacement of deceased trees, is essential to the safety of the users of adjacent properties.

Parcels that are located on streets which do not have trees do not benefit and are not assessed. Street trees on arterials of the City that do not have parcels fronting on them are considered a general benefit. There are approximately seven hundred and eighty-four (784) such trees out of approximately twenty-seven thousand forty-eight (27,048) street trees in the City, or 2.90%. Therefore, 2.90% of the City street tree budget will be funded through the City’s General Fund account.

C. ASSESSMENT METHODOLOGY
The methods of apportionment utilized for the District calculates the receipt of special benefit from the respective improvements based on the actual or proposed land use of the parcels. The special benefit received by each lot or parcel is equated to the overall land use of the parcel based on the parcel’s actual land use or proposed planned development and is reliant upon the special benefit received from the improvements planned or existing within the District.

FY 2024/2025 Citywide Lighting and Maintenance District Page 10 To identify and determine the special benefit to be received by each parcel, it is necessary to consider the entire scope of the improvements. The costs associated with the improvements shall be fairly distributed among the parcels based upon the special benefit received by each parcel. Additionally, in compliance with Section 4 of Article XIIID, each parcel’s assessment may not exceed the reasonable cost of the proportional special benefit conferred to that parcel. The benefit formula used to determine the assessment obligation is therefore based upon both the improvements that benefit the parcels of the District as well as the proposed land use of each property as compared to other parcels that benefit from those specific improvements.

Equivalent Dwelling Units:

Since the assessments will be levied against parcels of property as shown on the tax rolls, the final charges must be assigned by Assessor's Parcel Number. If assessments were to be spread just by parcel, not considering land use or parcel size, a single-family parcel would be paying the same as a fifty (50) unit apartment parcel or a large commercial establishment in a similar zone and this would not be equitable and would not satisfy the Proposition 218 requirements.

The single-family residential parcel has been selected as the basic unit for calculation of assessment since it represents an estimated 80% of the parcels in the City.

Therefore, the single-family residential parcel is defined as an Equivalent Dwelling Unit (“EDU”). A methodology has been developed to calculate the EDUs for other residential land uses and for non-residential parcels. Every land-use is converted to EDUs: parcels containing apartments are converted to EDUs based on the number of dwelling units on each parcel of land; commercial and industrial parcels are converted based on the lot size of each parcel of land.

The EDU method is usually seen as more appropriate and equitable for landscaping and lighting districts, as the benefit to each parcel from the improvements being maintained extends beyond the front of their property. Therefore, assessments are apportioned as a function of land-use type and whether a property is developed or not. This may be more clearly shown by taking an example of condominiums. Under the current method of assessment, the frontage along the whole condominium complex is measured, and then is divided by the number of units within the complex.

This spreads a relatively small assessment to each of the condominiums, which is not commensurate with the benefit each one of them receives.

EDU Application:

Single-Family Residential - The single-family residential parcel has been selected as the basic unit for calculation of the benefit assessment. The basic unit shall be called an Equivalent Dwelling Unit (EDU). Parcels zoned for single-family residential uses are assessed 1 EDU.

FY 2024/2025 Citywide Lighting and Maintenance District Page 11 Multi-Family Residential - Multiple residential (including condominiums) land use equivalencies are determined based on the number of dwelling units on each parcel.

Due to population density and size of structure relative to the typical single-family residence, each dwelling unit defined as multi-family residential, including condominiums, would be 0.75 EDU. Benefits to a multi-family residential property do not increase proportionately as the number of units increase. Therefore, the population per unit decreases as the residential land use density increases and there is a corresponding reduction in benefit to a parcel. Also, as the number of dwelling units increases, the average value per rental unit decreases. Therefore, there is a reduced benefit to a parcel as the number of dwelling units increases. By decreasing the equivalency as the number of units increases, a reasonable benefit assessment is achieved. Therefore, the equivalency is reduced to 0.5 EDU per dwelling unit, for five (5) through fifteen (15) dwelling units (as parcels with 5 to 15 units are considered "high medium density" as opposed to the "low density" of duplexes, triplexes and fourplexes), and the equivalency is reduced to 0.25 EDU per dwelling unit for more than 15 units, which are considered to be "high density". Fifteen units are established as the limit of the "high medium density" category as State law (California Title 25, Section 42) requires that apartment complexes with 16 or more dwelling units have a manager located on the premises, which is an indication of "high density".

Mobile Homes - Mobile home parks, and mobile homes located within mobile home parks, are converted to EDUs based on the population density and size of structure relative to a single-family residence. Therefore, mobile home parks and mobile homes located within mobile home parks would be assessed 0.5 EDU per mobile home. No decrease would be applied to this factor, as mobile homes are all separate dwellings with no common walls.

Non-Residential - In converting improved non-residential properties to EDUs, the factor used is the City of West Covina's average density for single-family residential areas, which are five (5) dwelling units per acre. All properties developed for nonresidential uses are therefore assigned 5 EDUs per acre for the first five (5) acres. It is our experience, based upon a review of large non-residential parcels, that the utilization of that portion of non-residential property greater than 5 acres more closely resembles that of vacant land as it is typically undeveloped. Therefore, after the first 5 acres, each additional acre will be charged 25% of 5 EDUs which results in 1.25 EDUs per acre, similar to vacant land as described below.

Vacant Property:

Vacant property is described, as parcels with no improved structures. These properties receive benefits based on their land, as this is the basis of their value.

Based on the opinions of professional appraisers, appraising current market property values for real estate in Southern California, the land value portion of the property typically ranges from 20 to 30 percent of the property's total value. Additionally, the utilization of vacant property is significantly less than improved property, and vacant FY 2024/2025 Citywide Lighting and Maintenance District Page 12 property has a traffic generation rate of 0. Therefore, it is recommended that vacant property be assessed at the rate of 25 percent of improved property.

Vacant Residential - Parcels defined as residential parcels, which do not have structures on the parcels, are assessed 25% of the parcel with a single-family dwelling thereon. The parcel will be assessed 0.25 EDU per parcel.

Vacant Non-Residential - Parcels defined as parcels which are not residential parcels and which do not have structures on the parcel area assessed based upon the acreage of the parcel. The parcels will be assessed at the rate of 25% of the developed non-residential properties, or 1.25 EDU per acre or any portion thereof, with a minimum of 0.25 EDU per parcel and up to a maximum of 5 acres (6.25 EDUs) per parcel, as parcels over five (5) acres may be considered as open space, and no longer receive any benefit.

Public Property - Article XIIID of the California Constitution requires that all benefiting public properties be assessed for their fair share of the benefit. Public property, which is developed and used for residential or business purposes will be assessed the same as private property with the same use. Schools will be assessed as Commercial/Industrial uses. Parks will be assessed as vacant property.

Exempt - Excepted from the assessment would be the areas of public streets, public avenues, public lanes, public roads, public drives, public courts, public alleys, public easements, and right-of-way, public greenbelts, parkways and that portion of property that is not developed and used for business purposes similar to private commercial, industrial and institutional activities. Also, excepted from assessments would be utility right-of-way, common areas (such as in condominium complexes), landlocked parcels and small parcels vacated by the City as these parcels have little or no value and therefore do not benefit from the improvements.

The land use classification for each parcel has been based on the Los Angeles County Assessor's Roll.

LAND USE CODES AND EQUIVALENT DWELLING UNITS
Land Use Codes Total EDU
Single-Family Residential (SFR) 1.0 per unit
Condominiums 0.75 per unit
Multi-Family Residential 0.75 per unit for
the first 4 units

0.5 per unit over 4
and up to 15 units

0.25 per unit
over 15 units
Mobile Home Parks 0.5 per DU
Commercial/Industrial and Other
Non-Residential (including Schools)

5.0 per acre for
the first 5 acres

1.25 per acre over
5 acres
Vacant SFR 0.25 per parcel
Vacant (25% of Non-Residence
EDUs) (includes Parks) 1.25 per acre (5 acre maximum)
FY 2024/2025 Citywide Lighting and Maintenance District Page 13 Benefit Factors:

There are varying levels of benefit to property from the operation and maintenance of street lighting and street trees based on the different types of property use. Because the benefit to the property varies depending on the type of land use of the property, a Benefit Factor is applied to the EDU formula for each property for each type of improvement to obtain Benefit Units for each Property.
(Equivalent Dwelling Unit) x (Benefit Factor) = Benefit Units The following table outlines the Benefit Factors for street lighting:

STREET LIGHTING BENEFIT FACTORS
Residential Commercial/Industrial
Security & Safety 1 1
Community Character & Vitality 1 1
Lighting Intensity 1 2
Total 3 4
Schools will receive a residential benefit factor, as they tend to be in residential areas and benefit similarly to residential property. Parks are assessed as vacant land and receive a non-residential benefit factor.

Benefit Units:

The budget for basic lighting is $1,288,679. The proposed applied basic lighting assessment rate is estimated at $13.70 per BU, which includes the costs of basic lighting and associated capital improvements and contribution to reserves totaling $1,420,106. Accordingly, a single-family residential parcel’s assessment would equal 3 BU x $13.70/BU = $41.10. The following table provides a preliminary summary of Street Lighting Benefit Units (BU's) for the City.
(1) Government properties are assessed as Vacant Non-SFR land use.

Note: Zones A & B have different benefit factors. See following tables.

FY 2024/2025 Citywide Lighting and Maintenance District Page 14 Lighting Benefit Zone A:

The budget for Zone A lighting is $53,773. The proposed applied preliminary basic lighting assessment rate is estimated at $41.66 per BU, which includes the costs of Zone A lighting and associated capital improvements, and contribution to reserves totaling $72,224. The following table shows the preliminary summary of the BUs in Zone A.
(1) Totals may not foot due to rounding.

Lighting Benefit Zone B:

The budget for Zone B lighting is $17,423 and is additional to the budget for Zone A. The proposed applied preliminary basic lighting assessment rate is estimated at $24.28 per BU plus $41.66 per BU for Zone A, for a total applied assessment rate of $65.94 per BU, which includes the costs lighting and associated capital improvements, and contribution to reserves totaling $8,750. The following table shows the preliminary summary of the BUs in Zone B.

ZONE B BENEFIT UNITS
Land Use Parcels Acreage EDU's Benefit Factor Benefit
Units
Commercial 24 6.15 30.74 4 122.95
Vacant Non-SFR 3 2.48 3.10 4 12.39
Totals (1) 27 8.63 33.84 135.34
(1) Totals may not foot due to rounding.

No additional factors have been assigned for street trees; therefore, the Benefit Unit factors are the same as the EDU factors for each land use.

Street Tree Benefit:

The total budget for Street Trees is $688,956. The proposed applied preliminary assessment rate is estimated at $18.90 per BU, which includes the costs of street tree maintenance and associated capital improvements, and contribution to reserves totaling $616,354. A single-family residential parcel’s assessment would be equal to 1 BU x $18.90/BU = $18.90. The following table provides a preliminary summary of Street Tree Benefit Units (BUs) for the City.

ZONE A BENEFIT UNITS
Land Use Parcels Acreage EDU's Benefit Factor Benefit Units Commercial 43 69.94 280.72 4 1,122.89
Vacant Non-SFR 17 50.58 152.69 4 610.76
Totals (1) 60 120.52 433.41 1,733.65
FY 2024/2025 Citywide Lighting and Maintenance District Page 15 (1) Government properties are assessed as Vacant Non-SFR land use.

Assessment Rate Summary:

The following table summarizes the Applied and Maximum Assessment rates for parcels in each of the zones of benefits:

ASSESSMENT RATE SUMMARY
Benefit Category Applied Rate Per
Benefit Unit
Maximum Rate Per
Benefit Unit
Basic Local Lighting $13.70 $13.7093
Light Zone A $41.66 $41.6681
Light Zone B $65.94 $65.9463
Street Tree Benefit $18.90 $18.9093
*Note: City will apply the Applied Rate per benefit unit.

D. ASSESSMENT RANGE FORMULA
Any new or increased assessment requires certain noticing and meeting requirements by law. Prior to the passage of Proposition 218 (California Constitution Articles XIIIC and XIIID), legislative changes in the Brown Act defined a "new or increased assessment" to exclude certain conditions. These conditions included "any assessment that does not exceed an assessment formula or range of assessments previously adopted by the agency or approved by the voters in the area where the assessment is imposed." This definition and conditions were later confirmed through Senate Bill 919 (the Proposition 218 implementing legislation).

The purpose of establishing an assessment range formula is to provide for reasonable increases and inflationary adjustment to annual assessments without requiring costly noticing and mailing procedures, which could add to the District costs and assessments. As part of the District formation, balloting of property owners is required pursuant to the Article XIIID Section 4. The property owner ballots include an Assessment to be approved, as well as the approval of an assessment range formula.

The Maximum Assessment is equal to the initial Assessment approved by property owners adjusted annually by the percentage increase of the Local Consumer Price Index (“CPI”) for Los Angeles-Long Beach-Anaheim for All Urban Consumers from March to March up to 2%. As of January 2018, the Los Angeles-Riverside-Orange FY 2024/2025 Citywide Lighting and Maintenance District Page 16 County Consumer Price Index region name changed to Los-Angeles-Long BeachAnaheim Consumer Price Index. Each Fiscal Year, the Maximum Assessment will be recalculated, and a new Maximum Assessment established. For Fiscal Year 2024/2025, CPI increased 4.03%, therefore percentage increase is 2%.

The Maximum Assessment is adjusted annually and is calculated independent of the annual budgets and proposed assessments established for each Zone of the District.

Any proposed annual assessment (rate per EBU) less than or equal to this Maximum Assessment (for each Zone) is not considered an increased assessment, even if the proposed assessment is much greater than the assessment applied in the prior Fiscal Year.

III. ESTIMATE OF COSTS
The total estimate of costs for maintenance of the proposed improvements for FY 2024/2025, as defined under Section 22569 of the 1972 Act, are those as hereinafter set forth. Said cost estimates include the total District costs for constructing or installing any proposed improvements and for maintenance and servicing the existing improvements including incidental expenses; the amount of any surplus or deficit in the maintenance fund to be carried over from the previous year; any annual installments to be collected over more than a single year; as well as the amount of any contributions to be made from any other sources.

A. CAPITAL IMPROVEMENT PROJECT FUND
For FY 2024/2025, there are no planned capital improvements.

FY 2024/2025 Citywide Lighting and Maintenance District Page 17 B. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF OPERATING COSTS
Note: The variance is the amount needed to support the recommended increased scope of work for Citywide Lighting and Maintenance District. The recommended scope of work includes the repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken sidewalks and ADA ramps, tree trimming, maintenance, and/or removal of the street trees on a citywide cycle, and landscape maintenance including trash removal and clearing of the median plants, shrubbery, and irrigation.

Note: Adjustments for budget to equal assessment amount. *Totals may not foot due to rounding
FY 2024/2025 Citywide Lighting and Maintenance District Page 18 C. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF TOTAL COSTS
The City's budget for the operation and services costs details the estimated costs and fund balances for FY 2024/2025 as available at the time of preparation of this Report.

The 1972 Act provides that the total cost 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 related costs identified with the district proceedings.

The 1972 Act requires that a special fund be set-up for the revenue and expenditures of the district. Funds raised by assessment shall be used only for the purpose as stated herein. A contribution to the District by the City may be made to reduce assessments, as the City Council deems appropriate. Any balance or deficit remaining on July 1st must be carried over to the next fiscal year.

Also located in the budget is the proposed increase in scope of maintenance work at optimal levels. Increased scope of work for Citywide Lighting and Maintenance District is recommended to include the repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken sidewalks and ADA ramps, tree trimming, maintenance, and/or removal of the street trees on a citywide cycle, and landscape maintenance including trash removal and clearing of the median plants, shrubbery, and irrigation. It is estimated that the budget required for the increased lighting, hardscape, and landscaping scope is approximately double the existing LMD budgets.

As costs have risen, maintenance has suffered. A full study of what a proper level of maintenance would cost is needed to ascertain what a proper level of maintenance would cost and explore how to properly set the assessment rate. Such a study will take several months and, if rates are to be increased, would require a vote by the affected property owners.

Pending completion of a further analysis, this report recommends that assessment rates be maintained at their current levels for Fiscal Year 2024/2025.

FY 2024/2025 Citywide Lighting and Maintenance District Page 19 (1) See Capital Project Fund Section III. A.

Note: The variance between Existing Maintenance and Optimal Maintenance is the amount needed to support the recommended increased scope of work for Citywide Lighting and Maintenance District. The recommended scope of work includes the repair and replacement of light standards, hardscape repair and replacement of off-grade, cracked and broken sidewalks and ADA ramps, tree trimming, maintenance, and/or removal of the street trees on a citywide cycle, and landscape maintenance including trash removal and clearing of the median plants, shrubbery, and irrigation . *Totals may not foot due to rounding
2023/2024 Citywide Lighting and Maintenance District Page 20 IV. BOUNDARY MAP
A diagram showing the exterior boundaries of the District, boundaries of any zone within the District and the lines and dimension of each lot or parcel of land within the district is on file in the Office of the City Engineer. 2023/2024 Citywide Lighting and Maintenance District Page 21 V. ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District shall be the parcel as shown on the Los Angeles County Secured Roll for the year in which this Report is prepared and reflective of the Assessor’s Parcel Maps. A listing of the proposed lots and parcels to be assessed within this District along with the assessment amounts shall be submitted to the City Clerk, under a separate cover, and by reference is made part of this Report.

ATTACHMENT NO.5
Percent Increase 2% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Fiscal Year 24-25 25-26 26-27 27-28 28-29 29-30 30-31 31-32 32-33 33-34Assessment Income $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 Interest (1) 12,600 316 144 0 0 0 0 0 0 0
Total Revenues $1,995,781 $1,983,497 $1,983,325 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 $1,983,181 Prior Year Balance 210,862 157,811 71,987 (34,701) (162,434) (311,276) (481,438) (673,133) (886,578) (1,121,988)Total Funding $2,206,643 $2,141,308 $2,055,312 $1,948,480 $1,820,747 $1,671,905 $1,501,743 $1,310,048 $1,096,603 $861,193Maintenance Costs (2) 2,048,832 2,069,320 2,090,014 2,110,914 2,132,023 2,153,343 2,174,876 2,196,625 2,218,591 2,240,777 Total Cost $2,048,832 $2,069,320 $2,090,014 $2,110,914 $2,132,023 $2,153,343 $2,174,876 $2,196,625 $2,218,591 $2,240,777Ending Balance $157,811 $71,987 ($34,701) ($162,434) ($311,276) ($481,438) ($673,133) ($886,578) ($1,121,988) ($1,379,584)Typical Assessment for SFR (3) $60.00 $60.00 $60.00 $60.00 $60.00 $60.00 $60.00 $60.00 $60.00 $60.00 Notes: (1) Interest is 0.4% of one-half of the previous year ending balance. (2) 1% increase in maintenance cost each year due to inflation.(3) Previously approved maximum highest rate of $60.00, may not be increased further without approval West Covina Citywide Lighting and Maintenance District
10 Year Existing Plus 2% Projected Fiscal Projection
AGENDA ITEM NO. 7

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: PROGRAM YEAR (PY) 2024 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)

ACTION PLAN
RECOMMENDATION:

It is recommended that the City Council take the following actions:

2. Authorize the City Manager to negotiate and execute all necessary documents, in such final form as approved by the City Attorney, to carry out the City Council's direction.

3. 4. Approve the following resolution:

RESOLUTION NO. 2024-45 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ADOPTING A BUDGET AMENDMENT FOR THE FISCAL YEAR COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025 (PY 2024 CDBG

ACTION PLAN)
BACKGROUND:

The Community Development Block Grant (CDBG) program is a flexible program of the U.S. Department of Housing and Urban Development (HUD) that provides communities with resources to address a wide range of unique community development needs. Beginning in 1974, the CDBG program is one of the longest continuously run programs at HUD. The CDBG program provides annual grants on a formula basis to 1,209 general units of local government and states.

The CDBG program works to ensure decent affordable housing, to provide services to the most vulnerable in our communities, and to create jobs through the expansion and retention of businesses.

CDBG is an important tool for helping local governments tackle serious challenges facing their communities. The CDBG program has made a difference in the lives of millions of people and their communities across the nation.

The annual CDBG appropriation is allocated between states and local jurisdictions called "non-entitlement" and "entitlement" communities respectively. Entitlement communities are comprised of central cities of Metropolitan Statistical Areas (MSAs); metropolitan cities with populations of at least 50,000; and qualified urban counties with a population of 200,000 or more (excluding the populations of entitlement cities). States distribute CDBG funds to non-entitlement localities not qualified as entitlement communities.

HUD determines the amount of the City’s grant by using a formula comprised of several measures of community need, including the extent of poverty, population, housing overcrowding, age of housing, and population growth lag in relationship to other metropolitan areas. West Covina is a direct entitlement community and uses these federal funds to create transformative impacts and to improve the lives of residents, especially those with low and moderate income levels.

According to 24 CFR 570.4, the policies and procedures used to determine CDBG allocations are described in Sections 106 and 107 of the Housing and Community Development Act of 1974. For the Entitlement Program, there are two formulas: "A" and "B". HUD calculates the amount of funds that each entitlement grantee would receive under each of the two formulas. Formula A calculates funds to a jurisdiction based on its metropolitan area’s share of three factors across all US metropolitan areas. The factors are:

1. Population, weighted at 25%;

2. People in poverty, weighted at 50%; and

3. Overcrowded units, weighted at 25%.

Formula B also calculates funds to a jurisdiction based on its metropolitan area’s share of three factors across all US metropolitan areas, but the factors are somewhat different. The Formula B factors are:

1. Population growth lag since 1960, weighted at 20%;

2. People in poverty, weighted at 30%; and

3. Pre-1940 housing units, weighted at 50%.

In recent years, West Covina has utilized these funds for Code Enforcement, the Domestic Violence Victim Advocate (Police Department), Senior Meals Program, the Business Assistance Loan Program, the Housing Preservation Program, Public Infrastructure Projects, and to fund various public service providers (i.e., food banks, homeless advocates, meals on wheels, etc.).

As a condition of receiving the funds, HUD requires the City to prepare an annual Action Plan, which details the activities the City plans to undertake with the funds in the respective year. This Action Plan is to be consistent with the five-year CDBG Consolidated Plan, which is a strategic and visioning document on the use of these funds. The City Council adopted its most recent 5-year CDBG Consolidated Plan on April 6, 2021, which is valid through PY 2024. The City's proposed PY 2024 CDBG Action Plan is included as Attachment No. 2 of this report.

As a basis for the Consolidated Plan, an assessment and prioritization of community needs, relative to the use of CDBG funds, was required. The categories of community need identified in the current Consolidated Plan are: (1) Economic Development, (2) Homelessness, (3) Infrastructure Improvements, (4) Owner Occupied Housing, (5) Public Facilities, (6) Non-Homeless Special Needs, (7) Public Services, and (8) Rental Housing (Attachment No. 1).

To facilitate prioritization and to evaluate the categories, HUD utilizes four levels of priority: High, Medium, Low, and No Such Need. A High Priority means that activities in that category will be funded by CDBG funds. A Medium Priority means activities in that category may be funded by CDBG funds. A Low Priority means CDBG funds will not be used to fund activities in a particular category.

The City Council established the PY 2020-2024 Consolidated Plan Priorities through actions at the April 6, 2021 City Council meeting, as outlined in Table 1. The City Council amended the priorities on March 1, 2022. The priorities were affirmed by the City Council on February 6, 2024 for the PY 2024 Action Plan.

Table 1
Table 1
PY 2020-2024 Consolidated Plan Priorities
Categories of Need Priority Level
Economic Development High
Homelessness High
Infrastructure Improvements High
Owner-Occupied Housing High
Public Facilities High
Rental Housing High
Non-Homeless Special Needs Medium
Public Services Medium
The categories shown as ‘Medium’ and ‘Low’ do not indicate that these are not priorities of the City of West Covina; however, with limited CDBG funds, the City Council determined the other categories as a priority for use of CDBG funding during this term.

DISCUSSION:

As directed by the City Council on February 6, 2024, City staff drafted the proposed PY 2024 CDBG Action Plan (Attachment No. 2) to incorporate the City’s approved PY 2020-2024 Consolidated Plan Priorities, as amended.

In PY 2024, the City will receive $807,958 in CDBG funds, with additional program income estimated at $20,000 through repayments of CDBG-funded loans to the City’s Housing Preservation Program.

Unobligated funds from prior years in the amount of $211,713 are proposed to be utilized. Staff estimates available resources in the amount of $1,039,671. The proposed budget is shown below in Table 2.

Table 2
Proposed PY 2024 CDBG Action Plan Budget
Project/Activity PY 2024 Proposed

1. Housing Preservation Program $ 545,000

2. Economic Development 200,000

3. Planning and Administration 164,500

4. Public Services 130,171
Total $ 1,039,671
Determination of Caps
Planning and Administration: By statute, capped at 20% of the sum of allocation and current year (PY 2024) program income. PY 2024 program income, to be received through repayment to the Housing Preservation Program, is estimated at $20,000.

Public Services: By statute, capped at 15% of the sum of allocation and prior year (PY 2023) program income. PY 2023 program income, received through repayment to the Housing Preservation Program, is $59,850 as of the writing of this report.

Housing Preservation Program
The Program will provide eligible, moderate-income West Covina homeowners low-interest home improvement loans of up to $25,000. To be eligible, a single-family home must be the primary residence and the homeowner must have resided in the home for a minimum of twelve (12) months.

Economic Development
Activities will include the implementation of a storefront improvement program to fund facade improvements that will improve the exterior of eligible businesses. Also planned is an activity to provide economic development technical assistance to for-profit businesses, including workshops, assistance in developing business plans, marketing, and referrals to lenders or technical resources.

Public Services
The City published a Notice of Funding Availability in March 2024, and received 11 funding requests totaling $210,000 from public service providers serving West Covina residents. There was a twelfth application submitted, but it was later withdrawn. Descriptions of services provided by applicants are included as Attachment No. 3.

With an interest in mitigating the impact on the General Fund, staff earmarked funding for City projects which have been allocated at status quo levels over several years. This will offset City program expenses that would otherwise be supported by the City's General Fund. All City projects are designated with a double asterisk (**) in Table 3. A decrease in CDBG funding to these programs would result in an increased burden on the General Fund in order to maintain current service levels. To respond to public comments made in recent years, a new activity is also being proposed for PY 2024: The Emergency Assistance Program. The Program is proposed as a public service to make emergency grant payments made over a period of up to three consecutive months to the provider of such items or services as food, clothing, housing (rent or mortgage), or utilities on behalf of an individual or family experiencing an emergency, consistent with 24 CFR 570.207(b)(4).

Housing Rights Center
Staff also recommends funding the Housing Rights Center. As a CDBG recipient, HUD requires grantees to provide services that promote and support fair housing in the community. Funding the Housing Rights Center addresses this HUD requirement.

Staff recommends funding the projects (Projects Nos. 5 through 9) as shown below in Table 3.

Ad Hoc Committee Recommendations
The CDBG Ad Hoc Committee of the Community and Senior Services Commission (Ad Hoc Committee) evaluated the remaining applicants (Projects No. 10 through No. 15). Applicants made presentations to the Ad Hoc Committee on June 10, 2024. The Ad Hoc Committee then developed recommendations to allocate the balance of $30,171 in CDBG funds (shown in Table 3). The recommendations are included in the proposed Action Plan and presented for the consideration of the City Council.

Table 3 details proposed PY 2024 funding by activity.

Table 3
Proposed PY 2024 CDBG Funding
Project/Activity PY 2024 Proposed
Funding

1. Housing Preservation Program $545,000

2. Storefront Improvement Program 100,000

3. Economic Development Technical
Assistance 100,000

4. Administration 164,500

5. Senior Meals Program (**) 60,000

6. Domestic Violence Victim Advocate (**) 20,000

7. Careship (**) 5,000

8. Emergency Assistance Program (**) 5,000

9. Housing Rights Center 10,000

10. Senior Assistance Program (YWCA) 5,000

11. Action Food Pantry 5,000

12. ESGV Coalition for the Homeless 5,000

13. Shepherd's Pantry 5,000
14 . Project 29:11 (Food Pantry) 5,171

15. Assistance League (Op School Bell) 5,000
Plan Total $1,039,671
As required, the draft PY 2024 CDBG Action Plan was available for a 30-day public review period, which began on May 31, 2024. As of the writing of this report, no public comments have been received.

LEGAL REVIEW:

The City Attorney's Office has reviewed the resolution and approved it as to form.

OPTIONS:

The City Council has the following options:

1. Approve staff’s recommendation; or

2. Provide alternative direction.

Fiscal Impact
FISCAL IMPACT:

The proposed total PY 2024 Action Plan is $1,039,671. In PY 2024, the City is to receive $807,958 in CDBG funds. With additional program income estimated at $20,000, through repayments of CDBG-funded loans to the City’s Housing Preservation Program, staff estimates a total amount of available resources to be approximately $827,958. Previously unobligated funds will make up the difference of $211,713.

Table 4
Funding Source PY 2024 Amount
PY 2024 CDBG Funds $ 807,958
Housing Preservation Program Loan Repayments 20,000
Previously unobligated funds 211,713
Total $ 1,039,671
Table 4
Summary of Proposed PY 2024 CDBG Action Plan
This CDBG Action Plan is recorded within Special Revenue Fund No. 131,Community Dev. Block Grant. If the action plan is approved, the PY 2024 Budget will be amended to incorporate these amounts within Fund 131.

Attachments
Attachment No. 1 - Descriptions of Categories of Need in Table 1 Attachment No. 2 - PY 2024 DRAFT CDBG Action Plan
Attachment No. 3 - PY 2024 CDBG PSP Applicants
Attachment No. 4 - Budget Amendment Resolution
Attachment No. 5 - PY 2024 CDBG Action Plan - Slides
CITY COUNCIL GOALS & OBJECTIVES: Protect Public Safety
Maintain Good Intergovernmental Relations
Expand Economic Development Opportunities
ATTACHMENT NO. 1
Descriptions of Categories of Need in Table 1,
Consolidated Plan Priorities
This attachment describes the Categories of Need shown in Table 1 of the staff report.

1. Economic Development: Activities to address these needs will be funded by the Community & Economic Development non-housing funds. Community & Economic Development activities and the new Business Assistance Program will address this category of need.

2. Homelessness: The allocation of CDBG funds to public services can address a portion of these needs.

3. Infrastructure Improvements: Improvements such as street rehabilitation and replacement of curbs and gutters will be funded during the Consolidated Plan cycle. (For example, projects may include street improvements.)

4. Owner-Occupied Housing: Owner housing needs will be addressed by the Housing Preservation Program (HPP).

5. Public Facilities: Public facilities may be funded during the Consolidated Plan cycle – 2020 to 2025. (For example, projects may include: accessibility improvement or parks and recreation facilities and youth centers.)

6. Rental Housing: Rental housing needs are addressed by the Section 8 rental assistance program and the affordable housing developments funded by the CED Low and Moderate Income Housing Fund.

7. Public Services: A high priority was assigned to public services because CDBG funds can help to address the needs of the elderly, frail elderly, youth and other low/moderate income populations. These needs can be addressed by the 15% allocation of CDBG funds to public services. (For example, public services may include: youth services, transportation services, and crime awareness.)

8. Non-Homeless Special Needs: The allocation of CDBG funds to public services can address a portion of the non-homeless needs. (Non-homeless special needs populations include: the elderly, persons with HIV/AIDS, disabled, homebound, and mentally ill).

City of
West Covina
Action Plan for
Housing and Community Development
One Year Use of Funds
PY 2024 (July 1, 2024 – June 30, 2025)
Prepared for:

The U.S. Department of Housing and Urban Development
Lead Agency
City of West Covina
City Manager’s Office
1444 W. Garvey Avenue
West Covina, California 91790
(626) 939-8401
DRAFT

Table of Contents
Executive Summary 1
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b) 1 The Process 5
PR-05 Lead & Responsible Agencies 24 CFR 91.200(b) 5
AP-10 Consultation – 24 CFR 91.100, 91.200(b), 91.215(l) 6 AP-12 Participation 11
Annual Action Plan 13
Expected Resources 13
AP-15 Expected Resources – 91.220(c)(1,2) 13
AP-20 Annual Goals and Objectives 16
Projects 18
AP-35 Projects – 91.220(d) 18
AP-38 Project Summary 20
AP-50 Geographic Distribution – 91.220(f) 27
Affordable Housing 29
AP-55 Affordable Housing – 91.220(g) 29
AP-60 Public Housing – 91.220(h) 30
AP-65 Homeless and Other Special Needs Activities – 91.220(i) 31 AP-75 Barriers to affordable housing – 91.220(j) 35
AP-85 Other Actions – 91.220(k) 37
Program Specific Requirements 40
AP-90 Program Specific Requirements – 91.220(l)(1,2,4) 40 List of Tables
Table 1 – Responsible Agencies 5
Table 2 – Agencies, groups, organizations who participated 8 Table 3 – Other local /regional/federal planning efforts 10 Table 4 – Citizen Participation Outreach 11
Table 5 – Expected Resources – Priority Table 14
Table 6 – Goals Summary 16
Table 7 – Goal Descriptions 18
Table 8 – Project Information 20
Table 9 – Geographic Distribution 27
Table 10 – One Year Goals for Affordable Housing by Support Requirement 29 Table 11 – One Year Goals for Affordable Housing by Support Type 29 List of Attachments
Citizen Participation Comments 42
List of Grantee Unique Appendices
Proof of Publications 44
LMI Census Block Group Map 46
Annual Action Plan
2024
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Executive Summary
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b)

1. Introduction
Located in the San Gabriel Valley, West Covina is a densely developed urban community encompassing 16 square miles. The US Census estimates the West Covina had a population of 109,501 persons as of April 1, 2020. This document constitutes the City of West Covina’s fifth year Annual Action Plan to implement its Five-Year Consolidated Plan (PY 2020 – PY 2024) for the use of Community Development Block Grant (CDBG) funds. This PY 2024 Annual Action Plan was prepared using the eConPlanning Suite system developed by the U.S. Department of Housing and Urban Development (HUD). The system prescribes the structure and contents of this document, following HUD's Consolidated Planning regulations. This Action Plan covers the planning period of July 1, 2024 through June 30, 2025. A public hearing was conducted on February 6, 2024 to discuss the Draft PY 2024 Action Plan, which was released for a 30-day public review on May 31, 2024.

2. Summarize the objectives and outcomes identified in the Plan Listed below are City of West Covina’s objective and outcome categories for CDBG funded activities in accordance with the Federal Register Notice dated March 7, 2006. During this Consolidated Plan period, the City will fund activities in two objective/outcome categories – SL-1 and SL-3.

SL–1 Improve Availability/Accessibility for the Purpose of Creating a Suitable Living Environment • Fair Housing Services
• Child Care Services
• Senior Services
• Other Public Services
SL–3 Improve Sustainability for the Purpose of Creating a Suitable Living Environment • Neighborhood Improvement Program
The Neighborhood Improvement Program supported improvements such as: street and alley improvements, sidewalks, and street lighting and accessibility improvements.

Annual Action Plan
2024
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3. Evaluation of past performance
The PY 2015-2019 Consolidated Plan established the following high priorities for CDBG funding:
• Support a Neighborhood Improvement Program for infrastructure improvements • Support public facilities funding
• Support funding for fair housing and tenant/landlord counseling services • Address the needs of homeless families with children; homeless individuals; and chronically homeless persons
• Support public services funding
The City allocated CDBG funds to address each of the five high priorities listed above.

The City compared the cumulative proposed and actual accomplishments for PY 2015-2019. Actual accomplishments over the four year-period exceeded the proposed accomplishments by a ratio of 1.33 to 1, when proposed accomplishments were weighted for actual funding. Three public services had accomplishments slightly less than the 4-year weighted accomplishments: Senior Meals Program, Careship Program, and Housing Rights Center. The Neighborhood Improvement Program supported improvements such as: street and alley improvements, sidewalks, and street lighting and accessibility improvements.

4. Summary of Citizen Participation Process and consultation process Public Hearings: Citizen participation is one of the most important components of the planning process.

To solicit public input during the development of the Consolidated Plan, the City Council conducted two public hearings.

The purpose of the first public hearing, which occurred on February 6, 2024, was to obtain the public’s input on West Covina’s housing and community development needs. The notice of the public hearing explained the CDBG Program, available funding, and the scope of eligible activities. The City encouraged the participation of all residents. A summary of the meeting is presented in Table 4 – Citizen Participation Outreach. The purpose of the second public hearing, which will occur on July 2, 2024, will be to consider approval of the PY 2024 Action Plan. Following the hearing, a summary of the meeting will be presented in Table 4 – Citizen Participation Outreach.

Housing and Community Development Needs Survey: The proposed Action Plan is intended to be consistent with the recently adopted Consolidated Plan. As part of the development of the PY 2020- 2024 Consolidated Plan, which was approved on April 6, 2021, the City conducted a survey as another means of obtaining public participation. The survey was posted on the City’s website. Seventy-nine (79) responses were received. Seventy-six (76) responses were from West Covina residents, 61 of which indicate they have lived in West Covina for over 10 years. The survey asked respondents to indicate Annual Action Plan
2024
3 OMB Control No: 2506-0117 (exp. 09/30/2021)
their priority housing and non-housing community development needs (High, Medium, Low, No Need, and Don’t Know) for activities in the community under seven categories. CDBG funds are limited. With the limited funding, the City supports programs that provide resources to address some of the activities mentioned below. However, the City will seek other funds or partners to address the priority needs during the Consolidated Plan period.

In summary, the seven categories and top three activities receiving the most High Need ratings in the survey are listed below:

Infrastructure Activities

1. Water quality improvements

2. Tree planting

3. Street and road improvements
Housing Activities

1. First-time home-buyer assistance

2. Energy efficient home improvements

3. Heating/cooling HVAC replacement or repairs
Housing Types for Special Needs Populations

1. Rental assistance for persons at-risk of homelessness

2. Shelters for youth

3. Permanent supportive housing such as subsidized housing that offers services for persons with mental disabilities
Community and Public Facilities

1. Parks and recreational facilities

2. Homeless shelters

3. Facilities for abused/neglected children
Community and Public Services

1. Neighborhood crime prevention programs

2. Children afterschool/summer camp programs & services

3. Park and recreation programs
Services and Facilities for Special Needs Groups
Annual Action Plan
2024
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1. Veterans

2. Seniors (65+)

3. Victims of domestic violence
Business and Economic Development Activities

1. Retention of existing businesses

2. Attraction of new businesses

3. Expansion of existing businesses

5. Summary of public comments
This could be a brief narrative summary or reference an attached document from the Citizen Participation section of the Con Plan.

During the pre-development hearing on February 6, 2024. No comments were received during the comment period. No public comments were made at the hearing. During the hearing, a councilmember asked whether the City could apply for County of Los Angeles Measure H funding to match the City's commitment of CDBG funds for activities to address homelessness. Staff stated that Measure H funds are now flowing through the local Councils of Governments (COG) and that, as of the time of the hearing, there were no opportunities to submit such applications, but would evaluate opportunities for funding as the COG made them available.

A hearing will take place on July 2, 2024, to consider the PY 2024 Action Plan. The public comment period begins on May 31, 2024 when the draft will be made available. Comments received during the comment period and hearing will be included in the final Action Plan.

6. Summary of comments or views not accepted and the reasons for not accepting them All comments received were accepted.

7. Summary
The City of West Covina has undertaken diligent and good faith efforts in outreaching to all segments of the community that may benefit from the CDBG Programs.

Annual Action Plan
2024
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PR-05 Lead & Responsible Agencies – 91.200(b)

1. Agency/entity responsible for preparing/administering the Consolidated Plan Describe the agency/entity responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source.

Agency Role Name Department/Agency
Lead Agency WEST COVINA
CDBG Administrator WEST COVINA City Manager's Office
HOPWA Administrator
HOME Administrator
HOPWA-C Administrator
Table 1 – Responsible Agencies
Narrative (optional)
The City's CDBG programs are administered by the City Manager's Office.

Consolidated Plan Public Contact Information
Kelly McDonald
Assistant to the City Manager
City Manager's Office
City of West Covina
1444 W. Garvey Avenue So.

West Covina, CA 91790
(626) 939-8494 - phone
[email protected]
Annual Action Plan
2024
6 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-10 Consultation – 91.100, 91.200(b), 91.215(l)

1. Introduction
As part of the Action Plan development, the City undertook an outreach program to consult and coordinate nonprofit agencies, affordable housing providers, and government agencies regarding the needs of the low- and moderate-income community. The outreach program has been summarized in the Executive Summary.

Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l))
During the development of the Action Plan, the City coordinated with the Los Angeles County Development Authority. The Development Authority provided information on the number of families receiving Section 8 rental assistance; the number of elderly and disabled assisted families; and the number of families on the Section 8 Waiting List. The City also coordinated with the Baldwin Park Housing Authority.

The private and governmental health, mental health, and service agencies that were consulted included:

United Way of America; Southern California Association of Governments; Los Angeles County Department of Public Health, (Childhood Lead Poisoning Prevention Program and Division of HIV and STD Programs); Los Angeles County Department of Mental Health; Los Angeles County Department of Public Social Services (DPSS); Office of Statewide Health Planning and Development; Substance Abuse and Mental Health Services Administration; Area Agency on Aging, State Independent Living Council (SILC); and Office of the California Attorney General. With regard to economic development, the City coordinated with the State Employment Development Department, County of Los Angeles Workforce Investment Board, West Covina Workforce Services Office, and the Community Development Commission’s economic development efforts.

Specific agencies were also contacted to obtain data in preparation of this Action Plan. For example, the State Developmental Services Department and State Social Services Department were contacted to obtain data and housing resources for persons with disabilities.

Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness.

The Continuum of Care Strategy was consulted to provide information on homelessness and resources available. Several agencies that provide housing and supportive services for the homeless and those at risk of becoming homeless were identified. The City coordinates on an ongoing basis with the following Annual Action Plan
2024
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homeless providers: the East San Gabriel Valley Coalition for the Homeless Emergency Food and Shelter Program, YWCA – WINGS Women’s Shelter, and San Gabriel Valley Council of Governments.

Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration of HMIS The City's HUD entitlement allocation does not include ESG funds.

2. Describe Agencies, groups, organizations and others who participated in the process and describe the jurisdiction’s consultations with housing, social service agencies and other entities
Annual Action Plan
2024
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Table 2 – Agencies, groups, organizations who participated 1 Agency/Group/Organization Los Angeles County Development Authority Agency/Group/Organization Type Housing
What section of the Plan was addressed by
Consultation?
Housing Need Assessment
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
The City requested information on Section 8
assisted households. Improved coordination is
possible because baseline data provides the City
a basis to monitor a reduction in rental assistance
needs.
2 Agency/Group/Organization LOS ANGELES HOMELESS SERVICES AUTHORITY Agency/Group/Organization Type Housing
What section of the Plan was addressed by
Consultation?
Homeless Needs - Chronically homeless
Homeless Needs - Families with children
Homelessness Needs - Veterans
Homelessness Needs - Unaccompanied youth
Homelessness Strategy
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
2023 Homeless Count (177) was used as a basis
to estimate the City's unsheltered homeless (46).

Baseline data provides improved way to monitor
if homelessness is reduced over time. The results
of the 2024 Count have not been released as of
the development of this draft.
3 Agency/Group/Organization Los Angeles County Department of Public Health Childhood Lead Poisoning Prevention Program
Agency/Group/Organization Type Services-Children
What section of the Plan was addressed by
Consultation?
Lead-based Paint Strategy
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
Agency's website was consulted for data on the
incidence of LBP poisoning. Information collected
can be shared with the community to warn
families of the dangers of lead-based paint.
4 Agency/Group/Organization State Independent Living Council Agency/Group/Organization Type Services-Persons with Disabilities Annual Action Plan
2024
9 OMB Control No: 2506-0117 (exp. 09/30/2021)
What section of the Plan was addressed by
Consultation?
Non-Homeless Special Needs
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
Agency's multi-year plan was reviewed to gather
insights on priority needs, services, and planned
programs. Improved coordination provides the
City information to share with the disabled
community.
5 Agency/Group/Organization Los Angeles County Department of Public HealthDivision of HIV and STD Program Agency/Group/Organization Type Services-Persons with HIV/AIDS What section of the Plan was addressed by
Consultation?
Homeless Needs - Chronically homeless
Homelessness Strategy
Non-Homeless Special Needs
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
Agency's was contacted to obtain data on the
incidence of HIV and AIDS and programs directed
at addressing these needs. Improved
coordination allows the City information to share
with the disabled community.
6 Agency/Group/Organization Federal Communications Commission Agency/Group/Organization Type Services - Broadband Internet Service Providers Services - Narrowing the Digital Divide
What section of the Plan was addressed by
Consultation?
Market Analysis
Briefly describe how the
Agency/Group/Organization was consulted.

What are the anticipated outcomes of the
consultation or areas for improved
coordination?
Agency's website was consulted for data
regarding fixed broadband residential providers
in West Covina.

Identify any Agency Types not consulted and provide rationale for not consulting The City consulted with all agencies that could provide valuable input to the development of the Action Plan.

Annual Action Plan
2024
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Other local/regional/state/federal planning efforts considered when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
Continuum of Care
2021-2023 State Plan
for Independent
Living (SPIL)
State Independent Living
Council (SILC)
The Action Plan has goals in support of SPIL
because many of West Covina's senior are
frail and disabled and on the Section 8
Waiting List.

HIV/AIDS Strategy
2020 and Beyond
Division of HIV and STD
Programs, Los Angeles County
Department of Public Health
The Action Plan has included information
from this Plan.

Area Plan 2024-2028 State Department of Aging
The Action Plan has goals in support of the
Area Plan which stated that the greatest
economic need is among minority seniors
with poverty incomes.

Table 3 – Other local / regional / federal planning efforts Narrative (optional)
City of West Covina departments that may have an interest in the CDBG Program were invited to participate in the Consolidated Plan process.

Housing is a key element of the Consolidated Plan. The City cooperates and coordinates with the State Department of Housing and Community Development by submitting the Annual Housing Element Progress Report.

Annual Action Plan
2024
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AP-12 Participation – 91.105, 91.200(c)

1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting Citizen Participation Outreach
Sort
Order
Mode
of
Outreach
Target of
Outreach
Summary of
response/
attendance
Summary of
comments
received
Summary of
comments
not
accepted
and reasons
URL (If applicable)
1 Public
Hearing
Nontargeted/
broad
community
Approximately 10
persons attended
the Public Hearing
held on February
6, 2024. The
hearing was livestreamed on the
City YouTube
channel and is
archived for later
viewing.

Staff gave an overview of the
Action Plan process and
CDBG funding. Priorities to
guide the PY 2024 Action
Plan were presented and
approved during the predevelopment hearing on
February 6, 2024. No
comments were received
during the comment period.

No public comments were
made at the hearing. During
the hearing, a
councilmember asked
whether the City could apply
for County of Los Angeles
Measure H funding to match
the City's commitment of
CDBG funds for activities to
address homelessness. Staff
stated that Measure H funds
are now flowing through the
local Councils of
Governments (COG) and
that, as of the time of the
hearing, there were no
opportunities to submit such
applications, but would
evaluate opportunities for
funding as the COG make
them available.

All
comments
were
received
and
accepted.
www.westcovina.org
Annual Action Plan
2024
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Table 4 – Citizen Participation Outreach
Sort
Order
Mode
of
Outreach
Target of
Outreach
Summary of
response/
attendance
Summary of
comments
received
Summary of
comments
not
accepted
and reasons
URL (If applicable)
2 Public
Hearing
Nontargeted/
broad
community
Public Hearing will
be held on July 2,
2024 to consider
proposed Action
Plan. The hearing
will be livestreamed on the
City YouTube
channel and is
archived for later
viewing.

TBD TBD www.westcovina.org
Annual Action Plan
2024
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Expected Resources
AP-15 Expected Resources – 91.220(c)(1,2)
Introduction
For PY 2024, the City is allocated $807,958 in CDBG funds. Estimated income in the amount of $20,000 in program income will result in total available resources of $827,958. The available CDBG funds have been allocated to projects that contribute to achieving the priority needs and goals established by the 5- Year Strategic Plan. The projects are consistent with the citizen input received during the development of the recently approved Consolidated Plan. The priorities have been approved by the City Council. The proposed budget for the listed projects is $1,039,671. The balance will be made up through unobligated funds in the line-of-credit with HUD ($211,713).

Anticipated Resources
Table 5 - Expected Resources – Priority Table
Program Source
of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Remainder
of ConPlan
$
Narrative
Annual Description
Allocation
: $
Program
Income:
$
Prior
Year
Resources
: $
Total:
$
CDBG public -
federal
Acquisition
Admin and
Planning
Economic
Development
Housing
Public
Improvements
Public Services
807,958 20,000 211,713 1,039,671 0
Not accounted
for in the table
are current
obligations of
$755,157 to
Friendship Park
Improvements,
Phase II and
$1,000,000 for
the Replacement
of HVAC Units
and Roof at the
Senior Center.

Annual Action Plan
2024
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Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied The City and HUD share an interest in leveraging HUD resources to the maximum extent feasible in order to address priority needs and associated goals.

Park Dedications Fees, Park Impact Fees, and Park Bond Funds received from Los Angeles County may help leverage the use of CDBG funds for eligible park improvements.

The City will seek other sources of funding to leverage the CDBG resources. The City’s Capital Improvement Program may leverage CDBG funds in street rehabilitation projects. State Gas Tax funds to support street rehabilitation.

Federal USDA, Older Americans Act, City General Fund, and participant donations augment funding for the Senior Nutrition Program, which is partially funded by CDBG.

Local Return funds from Los Angeles County Proposition C, Measure M and Measure R, as well as Transportation Development Act (TDA#) funds support removal of architectural barriers. They also support a Dial-A-Ride and citywide shuttle service, subsidized Uber rides for the elderly and disabled, and transit-related capital improvements.

The City will expend State Housing funds for contracted services for the homeless, including outreach, case management, and substance abuse treatment.

Volunteer services and private donations provided additional resources to leverage CDBG funds for public service activities.

Annual Action Plan
2024
15 OMB Control No: 2506-0117 (exp. 09/30/2021)
If appropriate, describe publically owned land or property located within the jurisdiction that may be used to address the needs identified in the plan The City presently has no land that could be used to address the community’s needs. However, the City does explore opportunities to partner with non-profits to address unmet housing needs. The Community and Economic Development Department does post on its webpage an Available Property List (APL) for businesses seeking to locate in West Covina.

Discussion
See discussion above.

Annual Action Plan
2024
16 OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Goals and Objectives
AP-20 Annual Goals and Objectives
Goals Summary Information
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs
Addressed
Funding Goal Outcome
Indicator
1 Encourage
economic
development
2020 2024 Improve
economic
conditions
City-Wide Economic
Development
CDBG:
$200,000
Facade
treatment/business
building
rehabilitation: 2
Business
Businesses
assisted: 10
Businesses Assisted
2 Improve
owneroccupied
housing stock
2020 2024 OwnerOccupied
Housing
City-Wide Improve the
owner
occupied
housing stock
CDBG:
$545,000
Homeowner
Housing
Rehabilitated: 22
Household Housing
Unit
3 Achieve fair
housing for all
2020 2024 Eliminate
housing
discrimination
City-Wide Eliminate
housing
discrimination
CDBG:
$10,000
Public service
activities other
than
Low/Moderate
Income Housing
Benefit: 75 Persons
Assisted
4 Improve the
well-being of
low income
persons
2020 2024 NonHomeless
Special Needs
City-Wide Public Service
Programs
CDBG:
$130,171
Public service
activities other
than
Low/Moderate
Income Housing
Benefit: 4211
Persons Assisted
5 Effective grant
administration
2020 2024 Effective grant
administration
City-Wide Effective grant
administration
CDBG:
$164,500
Other: 1 Other
Table 6 – Goals Summary
Annual Action Plan
2024
17 OMB Control No: 2506-0117 (exp. 09/30/2021)
Goal Descriptions
1 Goal Name Encourage economic development
Goal
Description
In PY 2024, an activity to improve storefronts, through facade and other improvements, is proposed to be implemented. Also, an activity to provide economic development technical assistance is proposed to be launched. 2 Goal Name Improve owner-occupied housing stock
Goal
Description
The Program will provide eligible, moderate-income West Covina homeowners a low-interest home improvement loan of up to $25,000. To be eligible, a singlefamily home must be the primary residence and the homeowner must have resided in the home for a minimum of twelve (12) months. 3 Goal Name Achieve fair housing for all
Goal
Description
The City will fund fair housing services as a public service 4 Goal Name Improve the well-being of low income persons Goal
Description
The City will financially support organizations that provide vital public services. 5 Goal Name Effective grant administration
Goal
Description
The City will administer its CDBG program including preparation of the Action Plan and CAPER for PY 2024.

Annual Action Plan
2024
18 OMB Control No: 2506-0117 (exp. 09/30/2021)
Projects
AP-35 Projects – 91.220(d)
Introduction
The City's planned actions include economic development, owner-occupied housing rehabilitation; providing fair housing services; providing services to low-income persons including homeless and the elderly. In PY 2024, with the recent hiring of an Economic Development Manager, the City will implement two new activities directed at economic development: the Storefront Improvement and Economic Development Technical Assistance Programs. To respond to public comments made in recent years, a new activity is also being proposed for PY 2024: The Emergency Assistance Program. The Program is proposed as a public service to make emergency grant payments made over a period of up to three consecutive months to the provider of such items or services as food, clothing, housing (rent or mortgage), or utilities on behalf of an individual or family experiencing an emergency, consistent with 24 CFR 570.207(b)(4).

Planned projects are listed in below.

Projects
# Project Name
1 Economic Development
2 Housing Preservation Program
3 Fair Housing
4 Grant Administration
5 Domestic Violence Victim Advocate
6 Senior Meals Program
7 SGV YWCA Senior Citizens Assistance
8 ESGV Coalition for the Homeless
9 Assistance League of Covina Valley
10 Careship
11 Action Food Pantry
12 Project 29:11
13 Shepherd's Pantry
14 Emergency Assistance Program
Table 7 - Project Information
Describe the reasons for allocation priorities and any obstacles to addressing underserved needs
The available CDBG funds was allocated to projects that contribute to achieving the priority needs and goals established by the 5-Year Strategic Plan. The projects are consistent with the citizen input received during the development of the recently approved Consolidated Plan. The priorities have been approved Annual Action Plan
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19 OMB Control No: 2506-0117 (exp. 09/30/2021)
by the City Council.

Applications for Funding: The City solicited proposals from community-based organizations, nonprofits, City departments, and citizens interested in applying for funds and providing services to the West Covina community. The application form requests a description of the need and/or problem to be addressed by the project. This application process provides another means of identifying priority needs. Applications were reviewed by the CDBG Ad hoc Committee of the Community and Senior Services Commission. The requested amounts, which exceed the total available, are reflected in this draft. The Committee will hear presentations from applicants on June 10, 2024. Funding recommendations from the Committee will be considered by the City Council on July 2, 2024 as part of the proposed Action Plan. Approved funding amounts will be included in the final Action Plan when submitted to HUD.

The greatest challenge in meeting the underserved needs of low- and moderate-income persons is having limited financial resources. CDBG-CV funds enabled the City to fund services for which need dramatically increased because of COVID-19. It also freed regular CDBG to fund other eligible public services at a higher level. to The City will continue to use CDBG funding to support public service agencies that address the special needs of the underserved, including the elderly and frail elderly and persons belonging to protected classes that have been the victims of housing discrimination.

The City also proactively seeks additional resources to better meet the underserved needs.

Annual Action Plan
2024
20 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-38 Project Summary
Project Summary Information
1 Project Name Economic Development
Target Area City-Wide
Goals Supported Encourage economic development
Needs Addressed Improve/upgrade public facilities & infrastructure Economic Development
Funding CDBG: $200,000
Description Activities that promote economic development.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
10,000 low- and moderate-income persons
Location Description City-wide
Planned Activities Implementation of a storefront improvement activity, as well as an activity to provide technical assistance to for-profit businesses, including workshops, assistance in developing business plans, marketing, and referrals to lenders or technical resources. 2 Project Name Housing Preservation Program
Target Area City-Wide
Goals Supported Improve owner-occupied housing stock
Needs Addressed Improve the owner occupied housing stock Funding CDBG: $545,000
Description Loans made to eligible participants for the purpose of rehabilitation and improvement to owner-occupied housing.

Target Date 6/30/2026
Estimate the number
and type of families that
will benefit from the
proposed activities
22 low and moderate income families
Annual Action Plan
2024
21 OMB Control No: 2506-0117 (exp. 09/30/2021)
Location Description City-wide
Planned Activities The Program will provide eligible, moderate-income West Covina homeowners a low-interest home improvement loan of up to $25,000. To be eligible, a single-family home must be the primary residence and the homeowner must have resided in the home for a minimum of twelve (12) months.
3 Project Name Fair Housing
Target Area City-Wide
Goals Supported Achieve fair housing for all
Needs Addressed Eliminate housing discrimination
Funding CDBG: $10,000
Description The Housing Rights Center will offer West Covina residents services from our four program areas, (1) Discrimination Complaint Investigation, (2) Landlord Tenant Counseling, (3) Education and Outreach, and (4) Legal Services.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
80 low- and moderate-income persons
Location Description City-wide. Admin office: 3255 Wilshire Blvd #1150, Los Angeles CA Planned Activities The City will contract with the Housing Rights Center to provide fair housing services.
4 Project Name Grant Administration
Target Area City-Wide
Goals Supported Effective grant administration
Needs Addressed Effective grant administration
Funding CDBG: $164,500
Description CDBG Program Administration
Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
N/A
Annual Action Plan
2024
22 OMB Control No: 2506-0117 (exp. 09/30/2021)
Location Description Admin office: 1444 W. Garvey Ave. So., West Covina, CA Planned Activities Admin office: 1444 W. Garvey Ave. So., West Covina, CA 5 Project Name Domestic Violence Victim Advocate
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $20,000
Description This program follows up with victims of all domestic violence victim cases in West Covina.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
1,400 low- and moderate income persons
Location Description City-wide. Admin office: Police Department, 1444 W Garvey Ave S, West Covina, CA
Planned Activities This program follows up with victims of all domestic violence victim cases in West Covina.
6 Project Name Senior Meals Program
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $60,000
Description This program serves meals in a congregate setting at the West Covina Senior Center.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
500 low- and moderate-income persons
Location Description 2501 E Cortez, West Covina, CA.

Planned Activities This program serves meals in a congregate setting at the West Covina Senior Center.

Annual Action Plan
2024
23 OMB Control No: 2506-0117 (exp. 09/30/2021)
7 Project Name SGV YWCA Senior Citizens Assistance
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description This program connects seniors with a broad array of services that enable them to stay at their homes for as long as possible.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
60 low- and moderate-income persons
Location Description City-wide. 2501 E Cortez, West Covina, CA. Admin office: 101 S Barranca, Covina, CA
Planned Activities Access to services such as transportation, case management, information and assistance, in-home and other services. 8 Project Name ESGV Coalition for the Homeless
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description Emergency assistance provided to homeless persons.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
300 low- and moderate-income persons
Location Description 15701 Hill St, La Puente, CA 91744 Planned Activities ESGVCH operates the Emergency Assistance Center which provides walk-in emergency services to homeless and at-risk homeless individuals and families.
9 Project Name Assistance League of Covina Valley
Target Area City-Wide
Annual Action Plan
2024
24 OMB Control No: 2506-0117 (exp. 09/30/2021)
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description The program will provide school clothing, shoes and supplies to children and young people from low income families so they can attend school regularly
Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
350 low- and moderate-income persons
Location Description 636 E San Bernardino Rd, Covina, CA Planned Activities The program will provide school clothing, shoes and supplies to children and young people from low income families so they can attend school regularly
10 Project Name Careship
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description This program assists with the cost of childcare.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
5 low- and moderate-income families
Location Description Admin office: 1305 E Cameron, West Covina, CA Planned Activities This program assists with the cost of childcare 11 Project Name Action Food Pantry
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Annual Action Plan
2024
25 OMB Control No: 2506-0117 (exp. 09/30/2021)
Description The program is comprised of a food bank which strives to relieve hunger.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
166 low- and moderate-income persons
Location Description 17880 W Covina Blvd, Covina, CA
Planned Activities The Pantry provides groceries, which are both purchased and donated. Volunteers pick up, unload, and sort the food into nutritionally balanced packages. Seniors and disabled persons receive food twice a month, the homeless once a week and other families once a month.
12 Project Name Project 29:11
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,171
Description Funds will support the food bank operation of the program.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
425 low- and moderate-income families
Location Description 250 E San Bernardino Rd, Covina, CA Planned Activities Funds will support the food bank operation of the program. 13 Project Name Shepherd's Pantry
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description Funds will be used to support the food bank Target Date 6/30/2025
Annual Action Plan
2024
26 OMB Control No: 2506-0117 (exp. 09/30/2021)
Estimate the number
and type of families that
will benefit from the
proposed activities
1,000 low- and moderate-income families
Location Description 657 E. Arrow Hwy, Unit J, Glendora, CA 91740 Planned Activities Funds will be used to support the food bank 14 Project Name Emergency Assistance Program
Target Area City-Wide
Goals Supported Improve the well-being of low income persons Needs Addressed Public Service Programs
Funding CDBG: $5,000
Description Emergency grant payments made over a period of up to three consecutive months to the provider of such items or services as food, clothing, housing (rent or mortgage), or utilities on behalf of an individual or family.

Target Date 6/30/2025
Estimate the number
and type of families that
will benefit from the
proposed activities
5 low- and moderate income families will benefit from the program Location Description Admin office: 1444 W. Garvey Ave. So, West Covina, CA Planned Activities Emergency grant payments made over a period of up to three consecutive months to the provider of such items or services as food, clothing, housing (rent or mortgage), or utilities on behalf of an individual or family.

Annual Action Plan
2024
27 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-50 Geographic Distribution – 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed West Covina has two distinct geographic areas where assistance will be directed: City-wide and Area Benefit Neighborhoods.

In PY 2024, the full CDBG investment for Economic Development, Housing Preservation, Fair Housing, and Public Service Programs will be made on a city-wide basis.

In prior years, CDBG investment for the Neighborhood Improvement Program has mostly been made in Area Benefit Neighborhoods; that is, in block groups where 51% or more of the population have lowand moderate-incomes. Based on the most recent data, the City has 22 block groups with 51% or more the population having low/moderate incomes. Please see the Appendices for a map that highlights these areas.

In PY 2024, there are no new activities under the Neighborhood Improvement Program. Two activities approved and funded in prior years are expected to proceed.

Amendments may occur during the program year that will redistribute funds to activities on an area benefit basis.

Geographic Distribution
Target Area Percentage of Funds
City-Wide 100
Area Benefit Neighborhoods 0
Table 9 - Geographic Distribution
Rationale for the priorities for allocating investments geographically CDBG-eligible area benefit neighborhoods, within which area benefit basis projects are eligible are highlighted on the map, included in the appendices. Economic Development, Housing Preservation, Fair Housing, and Public Service Programs are available on a city-wide basis to low- and moderate-income Annual Action Plan
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28 OMB Control No: 2506-0117 (exp. 09/30/2021)
persons. Eligible block groups are listed below.

Tract Block Group(s)
• CT 4053.01 BG 1, 2
• CT 4053.02 BG 2
• CT 4055.00 BG 2, 3
• CT 4062.00 BG 1, 2, 3
• CT 4065.00 BG 5
• CT 4066.02 BG 2, 4
• CT 4067.01 BG 1, 3
• CT 4067.02 BG 1, 2, 3
• CT 4068.00 BG 1, 3
• CT 4080.04 BG 1
• CT 4081.33 BG 2
• CT 4081.37 BG 2
• CT 4081.41 BG 1
Discussion
See discussion above.

Annual Action Plan
2024
29 OMB Control No: 2506-0117 (exp. 09/30/2021)
Affordable Housing
AP-55 Affordable Housing – 91.220(g)
Introduction
Section 8 provides rental assistance to 615 families through programs administered by the Los Angeles County Development Authority (509) and Baldwin Park Housing Authority (106).

Of the 615 families, 552 are disabled or elderly. There are 237 families on the Section 8 Waiting List of the two housing authorities.

One Year Goals for the Number of Households to be Supported Homeless 0
Non-Homeless 0
Special-Needs 0
Total 0
Table 10 - One Year Goals for Affordable Housing by Support Requirement One Year Goals for the Number of Households Supported Through Rental Assistance 600
The Production of New Units 0
Rehab of Existing Units 22
Acquisition of Existing Units 0
Total 622
Table 11 - One Year Goals for Affordable Housing by Support Type Discussion
Refer to discussion above.

Annual Action Plan
2024
30 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-60 Public Housing – 91.220(h)
Introduction
The City does not have public housing; however, Los Angeles County Development Authority and the Baldwin Park Housing Authority administer the Section 8 Housing Choice Voucher program within West Covina. There are currently 615 West Covina families receiving Section 8 rental assistance and approximately 237 more residents on the waiting list. The amount of time spent on the waiting list often varies and can be as long as several years.

Actions planned during the next year to address the needs to public housing Not applicable to the City of West Covina.

Actions to encourage public housing residents to become more involved in management and participate in homeownership
Not applicable to the City of West Covina. The Los Angeles County Development Authority encourages the participation of public housing residents through Resident Councils. The role of a Resident Council (RC) is to improve the quality of life and resident satisfaction in self-help initiatives to enable residents to create a positive living environment for individuals and families living in public housing. The Baldwin Park Housing Authority (BPHA) owns and administers Mc Neil Manor, a “project-based public housing unit. Mc Neil Manor is a 12-unit low-income senior (62 years or older) housing development.

If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance
The Los Angeles County Development Authority is not a troubled PHA. LACDA has officially achieved "High Performer" status under HUD's Section 8 Management Assessment Program (SEMAP); therefore, is not designated as a "troubled" agency. Units are inspected, repaired, and maintained on a regular basis. The Baldwin Park Housing Authority is no designated as a "troubled" agency.

Discussion
The Development and Housing Authorities have prepared five-year Strategic Plans and an Annual Plans. The Plans guide the actions of the Housing Authority in addressing the needs of extremely low and very low income families and include goals to increase the supply of affordable housing, promote self-sufficiency and asset development, ensure equal opportunity and affirmatively further fair housing, and in achieving consistency with each jurisdiction’s Consolidated Plan. The City will continue to monitor the Development and Housing Authority’s Plans and provide input as it pertains to West Covina residents in an effort to increase the supply of affordable housing.

Annual Action Plan
2024
31 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction
The City plans to allocate CDBG public service funds to agencies that address the needs of the homeless such as emergency/transitional shelter, food insecurity and other basic needs. For the past several years, the City of West Covina has partnered with the Los Angeles Homeless Services Authority (LAHSA) to host and participate in the County-wide Homeless Count to better understand the number of homeless in the community as well as the region. In 2018, 277 unsheltered homeless persons were counted, up from the 158 counted in 2017 and the 48 counted in 2016. The results of the 2019 was 147 and the 2020 count results were 124. In 2021, HUD exempted the Los Angeles Continuum of Care from the Count. In 2022, the count dropped to 112. In 2023, the count was 177, which included 120 from raw data and 57 from a multiplier applied by LAHSA and their researchers. As of the writing of this report, the 2024 Count results have not been announced.

Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including
Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
In April 2022, the City contracted the Los Angeles Centers for Alcohol and Drug Abuse (LA CADA) to provide homeless outreach and case management services. The contract was extended in 2023 for one year, then in 2024 for four years. In PY 2024, the City will fund its contract with LA CADA using State Housing Funds. LA CADA provides two full-time Outreach Navigators who work with the City's law enforcement outreach team to visit established encampments throughout the City, including all other designated homeless occupied areas, i.e., City Parks, abandoned buildings, parking lots etc. Services include substance use harm reduction, providing hygiene assistance and supplies, necessary clothing, water and snacks. Outreach Team transports clients to non-emergency medical transportation, established shower facilities, etc.

The Outreach Team conducts an American Society of Addictive Medicine (ASAM) triage. After conducting an ASAM triage, clients may be transported to either detox or residential treatment based upon outcome of assessment. LA CADA furnishes the City eight treatment beds.

The Team provides on-going intensive case management, which focuses primarily on entering clients into HMIS and conducting necessary follow-up. Ancillary case management services include procuring required government documents and linkage to medical, dental and mental health care.

County Measure H funds are administered by the SGV Council of Governments. In PY 2024, the City will be member of a cohort of Cities that will receive outreach services provided by LA CADA. The City will Annual Action Plan
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32 OMB Control No: 2506-0117 (exp. 09/30/2021)
receive an additional team for a full day each week.

The City is currently a member of the Police Department Program’s Mental Evaluation Team (MET) which is comprised of four (4) cities: Azusa, Covina, Glendora, and West Covina, which provide mental health services to homeless in each of our communities. One day per week, a mental health professional is dedicated to the City of West Covina to assist individuals throughout the community that have been displaced temporarily or are permanently homeless.

The City funds a two police officers for homeless outreach. In addition to the parks-related duties, this team are the first responders to homeless calls, and proactively seek contacts with the homeless (building trust relationships, which can help deescalate crisis situations and help individuals to accept social services). The team received specialized training in crisis communication, social services, etc., and is connected to the local and regional social service network, expanding upon longstanding partnerships that the City has with other agencies, hospitals, churches, etc. The target population is primarily street level and sheltered homeless, as well as those in need of mental health services. The team is supplemented by an existing partnership with Los Angeles County, who assigns a County Mental Health Clinician to our area, rotating among cities regionally. Police Officers focus a portion of their time at City parks and in the community to provide outreach to those homeless individuals in need of supportive services. In addition, they enforce park operating hours, and be able to mitigate illegal activity in the parks.

Addressing the emergency shelter and transitional housing needs of homeless persons The City provides CDBG funds to the East San Gabriel Valley Coalition for the Homeless. This agency provides advocacy, motel vouchers, gas vouchers, hot meals, showers, lunches, clothing, travel needs, rehabilitation and mental health placements, Winter Shelter, mail and message service and refers clients to partner agencies for further assistance. The Coalition has administered a transitional housing program. The program was discontinued due to lack of funding.

The City agreement with LA CADA includes eight (8) designated beds at its facilities Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again
The YWCA – WINGS Women’s Shelter is in West Covina. It is a 32-bed shelter for battered women and Annual Action Plan
2024
33 OMB Control No: 2506-0117 (exp. 09/30/2021)
their children.

The City is not a direct provider of homeless services. It does refer homeless persons to emergency shelters, transitional housing and supportive housing operated by public and private agencies located near the city. The City also amended the Zoning Code to indicate where emergency shelters may be located by right.

Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs.

The City does not receive funding from the Federal sources that require the implementation of supportive housing programs for persons returning from mental and physical health institutions. The City does not receive funds from sources that require the development and implementation of a Discharge Coordination Policy. However, the City has knowledge of the County’s discharge coordination policies.

The City jail houses suspects awaiting court appearances or as long as it takes to book them and release them on a citation. Currently, any suspect in custody displaying medical and/or mental illness is taken for appropriate care either to a hospital or County jail facility where services can be provided. Suspects are also allowed to utilize a phone to make arrangements to be picked up.

Los Angeles County Department of Mental Health (DMH) regulations require the discharge planning process for Acute Care Hospitals, State Mental Hospitals, and Institutions for Mental Disease programs must address all the individual needs of homeless clients at treatment initiation. Housing resources on discharge include: independent living with rental assistance, family reunification, living with roommates, PSH, and nursing homes.

California law requires hospitals/regional hospital associations to have protocols for homeless patients.

The Hospital Association of Southern California, National Health Foundation, and Illumination Foundation's Recuperative Care Program must provide post-hospital healthcare services to homeless patients moving from acute care. Services include housing location assistance, residential medical and social support.

Los Angeles County Department of Health Services (DHS) regulations require health care facilities to provide appropriate housing location and supportive services to avoid discharge into homelessness.

Programs include: the Recuperative Care Program, nursing facilities, board and care, family reunification, permanent supportive housing, and affordable housing. DHS also funds 24/7 ES medical Annual Action Plan
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34 OMB Control No: 2506-0117 (exp. 09/30/2021)
services where Case Managers work with patients to obtain housing, services, and benefits.

Discussion
See discussions above.

Annual Action Plan
2024
35 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-75 Barriers to affordable housing – 91.220(j)
Introduction:

The City’s 2021-2029 Housing Element describes constraints and barriers to maintenance, development and preservation of affordable housing.

Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment
The City is committed to removing governmental constraints that hinder the production of housing and offers a “one-stop” streamlined permitting process to facilitate efficient entitlement and building permit processing. The 2021-2029 Housing Element recommends the following policies to mitigate the barriers to affordable housing:
• Support innovative public, private and non-profit efforts toward the development of affordable housing.
• Periodically review and revise the City’s development standards, if necessary, to facilitate quality housing that is affordable to all income levels.
• When feasible, consider reducing, subsidizing, or deferring development fees to facilitate the provision of affordable housing.
• Continue the provision of incentives, including the density bonus incentive program, which encourages developers to include affordable units in their projects. • Encourage production of accessory dwelling units as an additional source of infill housing opportunities.
• Identify funding to subsidize land costs for housing developments that include affordable units. • Provide flexibility in development standards to accommodate alternative approaches to provide affordable housing such as mixed-use projects.

Reduce Development Constraints: As part of the comprehensive Development Code update the City will review residential and mixed-use regulations to identify development standards or procedures that may constrain the development of affordable housing and housing for persons with special needs.

Specific Code amendments will include:
• Supportive housing - AB 2162 (2018) amended State law to require that supportive housing be a use by-right in zones where multi-family and mixed uses are permitted, including non-residential zones permitting multi-family uses, if the proposed housing development meets specified criteria.
• Low barrier navigation centers - AB 101 (2019) added the requirement that low barrier navigation centers meeting specified standards be allowed by-right in areas zoned for mixed use Annual Action Plan
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36 OMB Control No: 2506-0117 (exp. 09/30/2021)
and in non-residential zones permitting multi-family uses pursuant to Government Code §65660 et seq.

Priority Processing for Affordable and Special Needs Housing: Affordable housing developers often face constraints in developing affordable housing projects. One way the City can assist such developers is by providing fast-track/priority processing for low-income and special needs housing projects. This service can encourage affordable housing development by allowing developers to go through the approval and permitting process quicker keeping costs down and units affordable. It is important that following the construction of the project that units are monitored to ensure that subsequent tenants are households with special needs and/or lower income.

Accessory Dwelling Units: Allowing for the development of accessory dwelling units (ADUs) offers an important affordable housing option for lower-income households and others such as seniors, caregivers, or young adults. ADUs can also provide property owners with an additional source of income.

Recent changes to State law encourage ADU production, and the City amended local ADU regulations in 2020 in conformance with State law. The City will continue to monitor legislation and update City ADU regulations as necessary to ensure consistency with State law. In addition, the City will promote ADU development in the following ways:
• Assist property owners with ADU applications
• Post informational ADU flyers in City Hall, on the Planning Department website and other public places
Discussion:

In April of each year, the City transmits an Annual Housing Element Progress Report to the State Department of Housing and Community Development. The Report describes all the actions taken to implement the programs included in the adopted Housing Element.

Annual Action Plan
2024
37 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-85 Other Actions – 91.220(k)
Introduction:

The following narratives describe the actions the City will undertake in PY 2024 to address underserved needs, foster and maintain affordable housing, reduce lead-based paint, reduce the number of povertylevel families, develop the institutional structure, and enhance coordination between public and private housing and social service agencies.

Actions planned to address obstacles to meeting underserved needs The City will continue to use CDBG funding to support public service agencies that address the special needs of the underserved, including the elderly and frail elderly and persons belonging to protected classes that have been the victims of housing discrimination.

Actions planned to foster and maintain affordable housing The City’s housing stock contains six affordable multifamily projects and six affordable senior projects.

These units should be monitored and discussions with the property managers and/or owners should occur to address the development’s long-term affordability status. The following actions will be taken:
• Monitor the affordable housing projects to ensure compliance with rent restrictions • Maintain a list of the affordable housing inventory
Actions planned to reduce lead-based paint hazards
To increase an awareness of lead-based paint hazards, the City will notify applicants to the Housing Preservation Program to the dangers of lead based paint hazards poses by including informational an pamphlet and advise of the requirement for testing on rehabilitation projects where paint may be disturbed as part of the physical and online loan application packages.

Actions planned to reduce the number of poverty-level families The City will carry out the following anti-poverty actions in coordination with its affordable housing plan:
• The City will continue to support the Section 8 Housing Choice Voucher Program and public housing units located within the community.
• The City will coordinate with the Los Angeles County Development Authority and Baldwin Park Housing Authority to increase the number of families that receive rental assistance. • The City will work with the Housing Authorities to encourage families receiving Section 8 rental assistance to participate and graduate from the Family Self-Sufficiency Program (FSS). The City will periodically request information from the Housing Authority on FSS participation and Annual Action Plan
2024
38 OMB Control No: 2506-0117 (exp. 09/30/2021)
graduation levels.

Through the Careship program, the City will provide funding for child care services. Access to childcare is a policy that contributes to helping the working poor to make ends meet and avoid poverty.

In regard to broadband internet access, the 2022 ACS 1-year Estimates (S2801) indicate that 32,066 of the 34,104 (or 94 percent) of residences in West Covina have a subscription to broadband internet. The same table shows that 32,627 or 95.7% of households have one or more computing devices. West Covina is served by six internet service providers including 1 cable, 1 5G, 1 fiber, 2 satellite, and 1 LTE provider.

Actions planned to develop institutional structure
The Public Services Department, Community and Economic Development Department, and Police Department are the key departments involved in the Consolidated Plan and Action Plan process. The Public Services and Community and Economic Development Departments are responsible for capital improvements to facilities (i.e., senior center, parks, streets). The Police Department carries out a public service. The City Manager's Office is responsible for general administration.

To strengthen internal coordination and timeliness of expenditures, the City Manager's Office, Public Services Department, Community and Economic Development Department and Finance Department meet monthly. The purpose of the meetings is to strengthen the delivery of projects in neighborhoods so that there are tangible physical and quality of life benefits resulting from the expenditure of CDBG and other funds.

The City also coordinates on a regular basis with the following housing providers:
• Los Angeles County Development Authority (Section 8)
• City of Baldwin Park Housing Authority (Section 8)
• Community and Economic Development Department (Housing Rehabilitation/Preservation) • Housing Rights Center (Fair Housing)
City activities include: collection of information regarding clients served, geographic distribution of clients served, and review and comment on Public Housing Agency Plans.

Coordination with health providers involves the periodic collection of lead-based incident statistics from the County of Los Angeles, Department of Health Services, Childhood Lead Poisoning Prevention Program. In addition, the City will continue to obtain information from the Los Angeles County Department of Health Services, Office of AIDS Programs and Policy.

Coordination with social service agencies is accomplished through the CDBG public service programs. This involves a notice of funding availability, evaluation of applications submitted including Annual Action Plan
2024
39 OMB Control No: 2506-0117 (exp. 09/30/2021)
needs to be addressed, and monitoring and performance evaluation of funded social service agencies.

To strengthen the institutional structure for carrying out its Consolidated Plan and Action Plan, the City will strengthen the working relationship by providing input to and coordinating with the Los Angeles County Development Authority and Baldwin Park Housing Authority. Efforts to strengthen the institutional structure involve review of the five-year and annual plans of each authority.

Actions planned to enhance coordination between public and private housing and social service agencies
During Program Year 2024, the City will continue its coordination efforts with:
• Los Angeles County Homeless Services Authority (LAHSA) • Southern California Association of Governments (SCAG) • San Gabriel Valley Council of Governments (SGVCOG)
• Baldwin Park Housing Authority
• Los Angeles County Development Authority
In January 2018, LAHSA conducted a homeless count. 264 unsheltered homeless persons were counted in West Covina, up from the 165 counted in 2017. There were 147 persons counted in the 2019 Count and 124 in 2020. Due to COVID-19, there was no count in 2021. The Count dropped to 112 in 2022. In 2023, the count was 177, which included 120 from raw data and 57 from a multiplier applied by LAHSA and their researchers. Results for the 2024 Count have not been released as of the writing of this report.

The City will continue to participate in the meetings and task forces of the SCAG and the SGVCOG.

The City will review the Annual Plans of the Development and Housing Authorities and provide input as appropriate.

Discussion:

Refer to the above narratives.

Annual Action Plan
2024
40 OMB Control No: 2506-0117 (exp. 09/30/2021)
Program Specific Requirements
AP-90 Program Specific Requirements – 91.220(l)(1,2,4)
Introduction:

Overall Benefit - PY 2024 will be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income.

Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out.

1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 0

2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 0

3. The amount of surplus funds from urban renewal settlements 0

4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0

5. The amount of income from float-funded activities 0
Total Program Income: 0
Other CDBG Requirements

1. The amount of urgent need activities 0

2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income. Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan. 70.00% PY 2024 will be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income.

Annual Action Plan
2024
41 OMB Control No: 2506-0117 (exp. 09/30/2021)

ATTACHMENTS

Annual Action Plan
2024
42 OMB Control No: 2506-0117 (exp. 09/30/2021)
Citizen Participation Comments
Annual Action Plan
2024
43 OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Action Plan
2024
44 OMB Control No: 2506-0117 (exp. 09/30/2021)
Grantee Unique Appendices
Annual Action Plan
2024
45 OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Action Plan
2024
46 OMB Control No: 2506-0117 (exp. 09/30/2021)
ATTACHMENT NO. 3
PY 2024 CDBG PUBLIC SERVICE PROJECT APPLICANT DESCRIPTIONS Note: Descriptions shown in italics were taken from the applications of the respective service providers in which they respond to the question, “Describe your program (purpose, goal, etc.).”

1. Senior Meals Program - City of West Covina: The Congregate Meal Program serves meals at the West Covina Senior Center 4 days per week. Meals served must provide at least 1/3 of the recommended dietary allowances. Staff meets on a monthly basis with the County dietician to ensure this objective is met for participants. The seniors are receiving an estimated 40-50% of the required nutrients from the meals provided by the program. Annually the program serves approximately 35,000 meals. The program provides meals to seniors for a suggested $3 donation. Participants are encouraged to donate what they can regardless of the amount. In previous years, the program has been recognized by the Los Angeles County Local Area Agency on Aging as a Distinguished Site recipient. Currently, senior nutrition program participants are receiving 4 hot meals Monday-Thursday and 1 frozen meals and a snack bag with milk, juice, and fruit for Friday weekly.

2. Domestic Violence Victim Advocate – West Covina Police Department: The City’s Victim Advocate is partially funded from CDBG, and is responsible for following up with victims of all domestic violence cases that occur in West Covina, as well as some other crimes involving children and domestic situations.

The Victim Advocate guides domestic violence victims through the criminal justice and social service networks. An independent evaluation conducted by Cal State Los Angeles validated her work, citing her as the most useful service offered to domestic violence victims at the Police Department. She serves as the liaison to County Adult Protective Services, the Domestic Violence Council, and other agencies and service networks. This project is a public service eligible for CDBG funding under 24 CFR § 570.201(e). Service amounts vary somewhat from year to year due to crime trends (beyond the Police Department’s control).

3. Careship - City of West Covina: The Careship program's primary purpose is to assist moderate to low-income West Covina residents enrolled full-time in a licensed childcare facility operated by the City of West Covina will be considered for the program. A new and separate Application is required prior to each session plus the backup documentation.

4. Emergency Assistance Program – City of West Covina: The Program is proposed as a public service to make emergency grant payments made over a period of up to three consecutive months to the provider of such items or services as food, clothing, housing (rent or mortgage), or utilities on behalf of an individual or family experiencing an emergency, consistent with 24 CFR 570.207(b)(4).
2 5. Housing Rights Center: Through the Fair Housing Program, the Housing Rights Center will actively support and promote freedom of residence to the end that all West Covina residents have the opportunity to secure the housing they desire and can afford, without discrimination based on their race, color, religion, gender, sexual orientation, national origin, familial status, marital status, disability, ancestry, age, source of income or other characteristics protected by law. A component of this program includes addressing problems that arise between landlords and tenants, (e.g., payment of rent, lease agreements, and habitability), which are often intertwined with issues of discrimination. HRC will continue to offer West Covina residents services from our four program areas, (1) Discrimination Complaint Investigation, (2) Landlord/Tenant Counseling, (3) Education and Outreach, and (4) Legal Services.

6. Action Food Pantry: ACTION Food Pantry provides food and clothing to the extremely low-, low-, and middle-income families. ACTION provides food and clothing to the homeless and elderly

7. ESGV Coalition for the Homeless - Emergency Food and Shelter: Emergency Assistance Center (EAC) has been a fixture of the San Gabriel Valley for 30 years. The EAC is a drop in center that provides daily necessities (i.e., clothing, hygiene and food), in addition to life's everyday needs we provide assistance with DMV vouchers (CA IDs), a P.O. Box to receive mail, Tap cards with a 20/ monthly ride subsidy (as long as they qualify) and advocacy/ referrals for housing or various other placement options.

8. Project 29:11: Food Bank – The Food Bank is open on Fridays. Because so many still out of work and those that are working are having a hard time putting food on their family's table because of the increase of cost of living, our clients can come once a week. Each family receives a cart of fresh produce, a variety of dairy products, pastries, breads, meats and an assortment of other food. We are also able to provide dippers, baby formula, car seats, strollers and other baby items. Last year we were able to help 13,343families with food. This represents 47,660 adults and children. The average weight of food we give each family is 60 to 70 pounds. Clothing Rack – Our Clothing Rack has remained closed. We hope to reopen it again. Turkey Giveaway – On the Tuesday of the Thanksgiving week we were able to help 350 families have a complete Thanksgiving dinner. Not only did they all get a turkey, a bag of food but also a roasting pan. Community Christmas Party - This year we were able to hold our annual Christmas. We were able to give gifts to 630 children and a large bag of food to 210 families. We hope the resources we provide will give our clients the opportunity to use their money for rent and/or utilities to help them to stay in a home.

9. Assistance League of Covina Valley: Operation School Bell (OSB) is the major program of Assistance League of Covina Valley (ALCV) and National Assistance League. Assistance League of Covina Valley is a nonprofit philanthropic organization dedicated to helping break the cycle of poverty in local communities by improving literacy and providing basic needs to economically disadvantaged families. ALCV has been a chartered member of National Assistance League since 1970 and Operation School Bell has been a continuous program of the organization since 1985. The purpose of Operation School Bell is to provide underprivileged students with new school attire. Inadequate clothing can be one 3 part of a sad equation that leads students to skip school, develop academic and behavioral issues and eventually drop out of school. Studies show that when students are dressed as their peers they are more likely to attend school regularly, seek post-secondary education and enjoy more successful and financially secure futures. Operation School Bell serves students who are referred from 81 schools in the East San Gabriel Valley area of Los Angeles County, CA. The students are from families whose income is at or below the poverty level and includes those who are in foster care or are homeless. California Census data shows that 3% of low- income students are homeless. Students and their families are also referred from domestic abuse shelters and other community service agencies that assist with family crises. Assistance League of Covina Valley does not discriminate according to income, ethnicity, gender, physical disability or any other basis.

Elementary school children are dressed at ALCV's facility where they receive one-on-one attention from volunteer members. Each child is fitted with two pairs of navy pants, skorts or jeggings, two white polo shirts, new shoes, six pairs of socks, six pairs of underwear, a hooded sweatshirt, a filled backpack, a family hygiene kit and a voucher with which to select gently-used clothing from ALCV's adjacent Thrift Shop. Students in middle schools and high schools are treated to scheduled shopping trips to a local department store where they select their own school clothing with the help of parents/guardians. ALCV members are present to check students in as they arrive, pay for purchases at the checkout stand and put the items into attractive, reusable bags. Receipts are retained, labeled with the names of the students and given to ALCV's treasurer. In the Spring, graduating seniors are offered an additional opportunity to shop for appropriate attire to wear for graduation, other senior and for college and employment interviews. An average of 1,000 students are dressed annually through ALCV's Operation School Bell program. The cost to dress an elementary school student is $150 and the cost to dress a middle school or high school student is $175. To date, a total of 989 students have been dressed through OSB - 336 of whom reside in the City of West Covina. Dressing begins each year in August and continues until May 31, which is the end of our fiscal year. The number of students we are able to dress each year is limited only by the success of fundraising efforts and local schools' commitment to identify and refer all students and families in need to our organization.

10. Shepherd’s Pantry: Founded in 2004 as a free emergency food delivery service operated out of a rental storage unit, by 2005 Shepherd’s Pantry needed a walkin-food facility and leadership to help develop their pantry operations. The team looked to Cory’s Kitchen which was established in 2001 in Irwindale. Cory’s Kitchen’s culture encompassed emotional and spiritual support in addition to providing food; this approach was incorporated into Shepherd’s Pantry operations. In 2019 the two food pantries merged into the company now known as Shepherd’s Pantry with three locations in Glendora, Irwindale and El Monte (formerly in La Puente). Our mission is: To provide food, resources and services from a faith-based perspective to those in need. We value the dignity of all individuals and strive to promote their independence. Our vision is: To alleviate hunger and to improve the well-being of those living in the San Gabriel Valley.

We meet our mission by incorporating other services such as personalized case management, haircuts, homeless food support, home food delivery and a clothing pantry. In 2021 Shepherd’s Pantry created the Shepherd’s Help Fund-Going Beyond food. The pandemic and economy highlighted the fact that many of those 4 who come to us for food also have other greater needs. The Shepherd’s Help Fund’s goal is to prevent homelessness by assisting with various expenses, providing case management, and equipping people with tools and skill to help them achieve self-sufficiency and independence. Shepherd’s Pantry provides $40,000 in assistance annually through it Help Fund. Last year we assisted West Covina Residents with over $3,000 through our Help Fund.

11. YWCA of San Gabriel Valley - Senior Citizens Assistance Program (SCAP):

The activity will be Case Management and Information & Referral/Assistance Services to connect seniors with a broad array of social services that enable them to remain independent and in their homes for as long as possible. Services are based on the concept of linking clients to a culturally competent, locally accessible and cost-effective integrated continuum of supportive services. In addition, our agency has strives to respond in a timely manner to client’s requests for service, and within several hours if the request is urgent.

These services include but are not limited to:
• Access and linkage to services such as transportation, congregate/home delivered meals, food banks, medical equipment
• Assistance in applying to programs such as Medi-Cal, In-Home Supportive Services, and utility assistance
• Income application assistance for Social Security, Security Supplemental Income (SSI) General Relief, Cal-Fresh
• Linkage to community services such as legal services (Bet Tzedek is at YWCASGV site every other month), mental health services, etc. • Access to available housing resources (assist with affordable housing applications/wait lists, Share Collaborative Housing) and linkage to housing advocacy through Housing Rights Center
• Arrange in-home visits/appointments
• Community education and related programming that help to coordinate and integrate services for seniors and other community members such as informational seminars/lectures, health programs, etc.

ATTACHMENT NO. 4
RESOLUTION NO. 2024-45

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

WEST COVINA, CALIFORNIA, ADOPTING A BUDGET

AMENDMENT FOR THE FISCAL YEAR COMMENCING
JULY 1, 2024 AND ENDING JUNE 30, 2025 (PY 2024 CDBG

ACTION PLAN)
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, on May 7, 2024, the City Manager presented to the City Council a proposed budget for Fiscal Year 2024-25 in compliance with Section 2-151(m) of the West Covina Municipal Code; and
WHEREAS, the City held meetings and community workshops and conducted an online budget survey in order to solicit input from the public regarding the proposed budget; and
WHEREAS, on June 4, 2024, the City Council adopted a budget for the 2024-2025 Fiscal Year; and
WHEREAS, amendments must periodically be made to the budget to conform to changed circumstances following adoption of the budget.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The City Council hereby approves Budget Amendment No. 2025-03, attached hereto as Exhibit A, for Fiscal Year 2024-25.

SECTION 2. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 2nd day of July, 2024.

Brian Calderón Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, Assistant City Clerk of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-45 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 2nd day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk
Exhibit A
City of West Covina
Fiscal Year 2024-25
Budget Amendment No. 2025-03
PY 2024 CDBG Action Plan
Fund No. - Name Current
Budget
Proposed
Amendment
Amended
Budget
Fund 131 - COMMUNITY DEV BLOCK GRANT
Revenue 268,989 770,682 1,039,671
Expenditures 268,989 770,682 1,039,671
Net Change in Fund Balance 0 0 0

CITY COUNCIL MEETING
JULY 2, 2024
CONSIDERATION OF PROGRAM YEAR (PY) 2024 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ACTION PLAN
ATTACHMENT NO. 5

PRIORITIZATION
2020-2024

CONSOLIDATED
PLAN
Categories of Need Priority Level
Economic Development High
Homelessness High
Infrastructure Improvements High
Rental Housing High
Owner-Occupied Housing High
Public Facilities High
Non-Homeless Special Needs Medium
Public Services Medium
PY 2024 PROPOSED CDBG ACTION PLAN BUDGET
Project/Activity PY 2024
Proposed

1. Housing Preservation Program $ 545,000

2. Economic Development 200,000

3. Planning and Administration 164,500

4. Public Services 130,171
Total $ 1,039,671

PROPOSED
PY 2024
CDBG

FUNDING
Project/Activity PY 2024 Proposed

1. Housing Preservation Program $ 545,000

2. Storefront Improvement Program 100,000

3. Economic Development Technical Assistance 100,000

4. Administration 164,500

5. Senior Meals Program (**) 60,000

6. Domestic Violence Victim Advocate (**) 20,000

7. Careship (**) 5,000

8. Emergency Assistance Program (**) 5,000

9. Housing Rights Center 10,000

10. Senior Assistance Program (YWCA) 5,000

11. Action Food Pantry 5,000

12. ESGV Coalition for the Homeless 5,000

13. Shepherd's Pantry 5,000

14. Project 29:11 (Food Pantry) 5,171

15. Assistance League (Op School Bell) 5,000

OPTIONS
The City Council has the following options:
 Approve staff’s recommendation.
 Provide alternative direction.

AGENDA ITEM NO. 8

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: PUBLIC HEARING TO CONSIDER WEST COVINA AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT FISCAL YEAR 2024-2025 ANNUAL REPORT

AND ASSESSMENT
RECOMMENDATION:

It is recommended that the City Council conduct the public hearing and then adopt the following resolution:

RESOLUTION NO. 2024-32 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST

COVINA, CALIFORNIA, CONFIRMING THE ANNUAL REPORT FILED BY THE WEST COVINA AUTO

PLAZA BUSINESS IMPROVEMENT DISTRICT ADVISORY BOARD AND LEVYING AN ANNUAL

ASSESSMENT FOR THE WEST COVINA AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2024-2025
BACKGROUND:

The Parking and Business Improvement Area Law of 1989 (Streets and Highways Code Section 36500 et seq.) (PBIA Law) establishes the framework for business improvement districts (BID). The State wanted to make it possible for groups of businesses to band together and invest in their commercial neighborhoods for the purposes of revitalization, stability, and growth. On June 1, 1993, the City Council adopted Ordinance No. 1923, which established the West Covina Auto Plaza Business Improvement District (Auto Plaza BID). The City created this BID at the request of the businesses located in the area.

Each year, the City Council holds a noticed public hearing before deciding to renew the BID for another year.

The assessment revenue is collected from businesses located within the Auto Plaza BID and is used to pay for the capital costs, operation and maintenance of a LED reader board sign located in the West Covina Auto Plaza, adjacent to the I-10 freeway, and for the operation and maintenance of the Auto Plaza entry monument sign and landscaping located at the southeast corner of Azusa Avenue and Garvey Avenue South. Assessment revenue is also used for landscaping maintenance along the I-10 freeway immediately facing and parallel to the Auto Plaza dealerships.

On April 19, 1994, the City Council appointed an Advisory Board consisting of the owners (and/or their representatives) of the auto dealerships located at the Auto Plaza. The function of the Advisory Board is to make recommendations to the City Council on the expenditure of revenues derived from the levy of assessments, on the classification of businesses, and on the method and basis of levying the assessments. Pursuant to the PBIA Law, for each fiscal year that assessments will be levied, the Advisory Board is required cause a report to be prepared containing the following: (1) any proposed changes in the boundaries of the BID or in any benefit zones within the containing the following: (1) any proposed changes in the boundaries of the BID or in any benefit zones within the area, (2) the improvements and activities to be provided for that fiscal year, (3) an estimate of the cost of providing the improvements and the activities for that fiscal year, (4) the method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for that fiscal year, (5) the amount of any surplus or deficit revenues to be carried over from a previous fiscal year, and (6) the amount of any contributions to be made from sources other than assessments levied.

The purpose of this item is to request that the City Council conduct the required public hearing and then adopt the resolution to confirm the Advisory Board's annual report as originally filed and levy the assessment for FY 2024-25.

DISCUSSION:

On June 5, 2024, the Auto Plaza BID Advisory Board held its annual meeting and approved the Annual Report. The Annual Report was filed with the City Clerk as required by the PBIA Law. The Annual Report is included as Attachment No. 2 to this report.

At the June 18, 2024 City Council meeting, the City Council approved the Annual Report and adopted Resolution 2024-31, declaring the intention to levy the annual assessment and setting the public hearing for July 2, 2024, at 7:00 p.m. in the City Council Chambers.

The Annual Report includes a total budget of $117,968, with an assessment of $16,524.00 per dealership site. The gross estimated annual cost for operating expenditures including programming, maintenance, electricity, and insurance for the readerboard sign, landscaping, landscape maintenance, taxes and preparation costs, is $58,484. The annual loan repayment is $59,027, totaling $117,511 in annual expenditures. The Advisory Board voted to assess themselves $16,524.00 (the same as last year), which would generate $115,668.00 for FY 2024-25. In addition, $2,300 will be generated in interest income, for a total revenue of $117,968 for FY 2024-2025. As the annual expenditures are $117,511, the assessments will cover the total annual expenditures, with a surplus of $457. An assessment of $16,524.00 for each of the seven (7) dealership sites in the Auto Plaza BID will be placed on the tax rolls by the County of Los Angeles Department of Auditor-Controller.

At the conclusion of the hearing, the City Council may order changes in the proposed assessment, the proposed improvements to be funded, and/or the proposed boundaries of the BID. If the Council determines to levy the assessment as proposed, it may adopt the attached resolution (Attachment No. 1), which confirms the Annual Report and levies the assessment for FY 2024-25. Adoption of the resolution places direct assessments on the auto dealers of the West Covina Auto Plaza BID. The BID boundaries are included as Exhibit A to the resolution.

LEGAL REVIEW:

The City Attorney’s Office has reviewed the resolution and approved it as to form.

Prepared by: Gerardo Rojas, Economic Development Project Coordinator Fiscal Impact
FISCAL IMPACT:

There is no impact to City funds by adopting the attached resolution that levies the assessment for the There is no impact to City funds by adopting the attached resolution that levies the assessment for the Auto Plaza BID. All costs are covered by assessments collected from the West Covina Auto Plaza Business Improvement District dealerships. In addition, the Auto Plaza BID is charged a nominal administrative fee for City staff’s time to administer the West Covina Plaza BID and monitor the annual budget.

Attachments
Attachment No. 1 - Resolution No. 2024-32
Attachment No. 2 - West Covina Auto Plaza Annual Report - 2024-2025 CITY COUNCIL GOALS & OBJECTIVES: Expand Economic Development Opportunities Enhance City Image and Effectiveness
ATTACHMENT NO. 1
RESOLUTION NO. 2024-32

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF WEST COVINA, CALIFORNIA, CONFIRMING THE

ANNUAL REPORT FILED BY THE WEST COVINA AUTO

PLAZA BUSINESS IMPROVEMENT DISTRICT

ADVISORY BOARD AND LEVYING AN ANNUAL

ASSESSMENT FOR THE WEST COVINA AUTO PLAZA

BUSINESS IMPROVEMENT DISTRICT FOR FISCAL
YEAR 2024-2025
The City Council of the City of West Covina hereby finds and declares as follows:

WHEREAS, in adopting the Parking and Business Improvement Area Law of 1989 (California Streets & Highways Code sections 36500 et seq.), the California Legislature authorized cities to levy assessments on businesses in order to promote economic revitalization and tourism, create jobs, attract new businesses, and prevent erosion of business districts; and
WHEREAS, on June 1, 1993, the City Council adopted Ordinance No. 1923, which established the West Covina Auto Plaza Business Improvement District (“District”) for purposes of levying an assessment within the District to fund the construction, operation and maintenance of an electronic readerboard to be located adjacent to the I10 freeway and benefit the West Covina Auto Plaza dealerships to be assessed. The District was established with one hundred percent (100%) property owner consent; and WHEREAS, on April 19, 1994, the City Council appointed the owners and/or their representatives of the auto dealerships located in the West Covina Auto Plaza as the advisory board of the District as required by California Streets and Highways Code section 36530 (“Advisory Board”); and
WHEREAS, on June 16, 2015, the Advisory Board modified the benefits zones within the District, increasing the number of benefit zones from six (6) dealership sites to seven (7) dealership sites. The boundaries and benefit zones of the District are set forth in Exhibit A, attached hereto and incorporated herein; and WHEREAS, the Advisory Board has caused the annual report for Fiscal Year 2024-25 required by California Streets and Highways Code section 36533 to be prepared and filed with the City Clerk; and
WHEREAS, the City Council has approved said annual report; and WHEREAS, the City Council proposes to levy and collect an assessment within the District for Fiscal Year 2024-25; and
WHEREAS, on June 18, 2024, the City Council adopted Resolution No. 2024-31, a resolution of intention to levy the assessment within the District for FY 2024-25 and setting the date for a public hearing for July 2, 2024, in accordance with the requirements of California Streets and Highways Code section 36534; and WHEREAS, the City Council has conducted a public hearing as required by California Streets and Highways Code section 36535; and WHEREAS, the City Council now desires to confirm the annual report as filed by the Advisory Board and adopt this Resolution to levy the assessment for the 2024-2025 Fiscal Year.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Annual Report. The City Council hereby confirms the annual report on the District as originally filed by the Advisory Board in accordance with California Streets and Highways Code section 36535. The report shall be kept on file in the City Clerk’s Office.

SECTION 2. Assessment. An annual assessment for the District for Fiscal Year 2024-25 shall be levied pursuant to California Streets and Highways Code section 36500 et seq. The boundaries of the District are set forth in Exhibit A. The amount of the annual assessment is $16,524.00. Pursuant to California Streets and Highways Code section 36531, new businesses commenced after the effective date of the resolution levying the assessment will be exempt from the levy of the assessment for Fiscal Year 2024-25.

SECTION 3. Types of Activities to Be Funded. The assessment revenue collected through the levy of the annual assessment will be used for financing the operation and maintenance of an LED readerboard sign located in the West Covina Auto Plaza adjacent to the San Bernardino Interstate 10 Freeway as well as financing of the operation and maintenance costs for the entry monument to the Auto Plaza, which includes the sign and landscaping located at the southwest corner of Azusa Avenue and Garvey Avenue South.

SECTION 4. Method and Basis of Levy. The method and basis of levying the assessment will be pursuant to Ordinance No. 1923, which was adopted by the City Council on June 1, 1993.

SECTION 5. Certification; Effective Date. The City Clerk shall certify to the adoption of this Resolution and shall enter the same in the book of original resolutions and it shall become effective immediately.

APPROVED AND ADOPTED this 18th day of July, 2024.

Brian Calderon Tabatabai
Mayor

APPROVED AS TO FORM ATTEST
Thomas P. Duarte Lisa Sherrick
City Attorney Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2024-32 as duly adopted by the City Council of the City of West Covina at a regular meeting thereof held on the 18th day of July, 2024, by the following vote of the City Council:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Sherrick
Assistant City Clerk

EXHIBIT A

WEST COVINA AUTO PLAZA BUSINESS IMPROVEMENT DISTRICT BOUNDARIES

EB IMAGE NOT TO SCALE
N

WEST COVINA AUTO PLAZA

BUSINESS IMPROVEMENT DISTRICT BOUNDARIES
New Proposed Benefit Zones

DEALERSHIPS
1 Envision Toyota of West Covina
2 Norm Reeves Honda Super Store
3 Tesla West Covina
4 Performance Ford
5 Envision Mercedes Benz of West Covina
6 Envision Audi of West Covina
7 Former DriveTime

APN LOT SIZE
8478-007-025, 30, 31 4.17 acres
8478-007-028, 34, 38, 8478-008-015 5.52 acres
8474-004-047, 048 2.27 acres
8478-004-046, 49 3.42 acres
84 78-004-042 4.16 acres
84 78-004-026 3.72 acres
8474-007-039, 040 2.23 acres
ATTACHMENT NO. 2

WEST COVINA AUTO PLAZA

BUSINESS IMPROVEMENT DISTRICT

ANNUAL REPORT
FOR
FISCAL YEAR 2024-2025

1. Any proposed changes in the boundaries of the business improvement district area.

None.

2. The improvements and activities to be provided for Fiscal Year 2024-2025.

Financing the operation and maintenance of an LED readerboard sign located in the West Covina Auto Plaza adjacent to the San Bernardino Interstate 10 Freeway as well as financing of the operation and maintenance costs for the entry monument to the Auto Plaza, which includes the sign and landscaping located at the southwest corner of Azusa Avenue and Garvey Avenue South. Financing also includes landscape maintenance along Interstate 10 Freeway immediately facing and parallel to the Auto Plaza Dealerships.

3. Estimate of the cost of providing the improvements and the activities for Fiscal Year 2024-2025.

Gross estimated annual cost for operating expenditures including programming, maintenance, electricity, and insurance for the readerboard sign, landscaping, landscape maintenance, taxes and preparation costs, amongst other costs is $58,484. The principal loan amount is $59,027 (paid in two installments). Annual expenditures total $117,511.

The Advisory Board voted to assess themselves $16,524.00 (the same as last year) which would generate $115,668.00 for FY 2024-2025. In addition, $2,300 will be generated in interest income, for a total revenue of $117,968 for FY 2024-2025. As the annual expenditures are $117,511, the assessment will cover the total annual expenditures with a surplus of $457. An assessment of $16,524.00 for each of the seven (7) dealership sites in the business improvement district will be placed on the tax rolls by the County of Los Angeles Department of Auditor-Controller.

4. Method and basis of levying the assessment for Fiscal Year 2024-2025.

The method and basis of levying the assessment will be pursuant to Ordinance No. 1923, which was adopted by the City Council on June 1, 1993.

5. Amount of any surplus or deficit revenues to be carried over from Fiscal Year 2024- 2025.

FY 2024-2025 is anticipated to have a surplus of $457.

6. Amount of any contributions to be made from sources other than the assessments levied.

None.

FY 2024-2025
Adopted Budget
Actual as of
5/31/2024 % of Budget Projected Proposed Budget
Fund Balance
Beginning Balance as of July 1 (6,023) $ (6,023) $ (6,023) $ (4,606) $

REVENUES
Revenues from Assessments 115,668 119,417 103% 119,417 115,668 Interest Income / Other 0 2,360 100% 2,360 2,300
TOTAL REVENUES 115,668 $ 121,777 $ 105% 121,777 $ 117,968 $

EXPENDITURES
Operating Expenditures
Professional Services (EMI-Programming*) 4,800 4,452 93% 4,864 7,400 Accounting 8,500 7,461 88% 7,461 8,000
Insurance 10,500 7,099 68% 7,099 7,500
Project Improvements 5,000 3,662 73% 3,662 5,000
Other Services 3,500 2,273 65% 2,483 0
Subtotal Other Contractual Services 27,500 $ 20,495 $ 75% 20,705 $ 20,500 $ Electricity 12,500 11,050 88% 12,250 12,500
Telephone 800 669 84% 731 800
Equipment M & R (EMI-Maintenance) 10,700 9,693 91% 10,588 10,700 Admin and Overhead 8,500 0 0% 8,500 4,000
Interest Expense (Sign Repayment) 3,696 1,710 46% 3,696 2,584 Total Operating Expenditures 68,496 $ 48,069 $ 70% 61,334 $ 58,484 $ Non-Operating (Sign-Loan)
Sign Loan Interest 0 1,710 100% 3,143 2,020
Sign Loan Principal 55,330 27,803 50% 55,884 57,007
Total Non-Operating Expenditures 55,330 $ 29,513 $ 53% 59,026 $ 59,027 $ TOTAL EXPENDITURES 123,826 $ 77,583 $ 63% 120,360 $ 117,511 $ REVENUES LESS EXPENDITURES (8,158) $ 44,194 $ 1,417 $ 457 $ ENDING FUND BALANCE (14,182) $ 38,171 $ (4,606) $ (4,149) $ Loan Balance (171,043) $ (143,240) $ (115,159) $ (58,153) $ Fund Balance Less Loan Balance 156,861 $ 181,411 $ 110,553 $ # 54,003 $ Six Month Operating Reserve* 34,248 $ 34,248 $ 30,667 $ 29,242 $ ASSESSMENT PER DEALER (7)*** 16,524 $ 16,524 $
2023-2024 (92% of Year Complete)

EXHIBIT A
AGENDA ITEM NO. 9

AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: July 2, 2024
TO: Mayor and City Council
FROM: Paulina Morales, City Manager
SUBJECT: OVERVIEW OF PROPOSED "PATHWAY HOME" PROJECT
RECOMMENDATION:

It is recommended that the City Council receive and file this report.

BACKGROUND:

After declaring a state of emergency on homelessness in January 2023, the Los Angeles County Board of Supervisors authorized efforts to streamline hiring, contracting, purchasing, grants, and real estate processes to address homelessness.” Los Angeles County (County) has been expanding efforts to resolve homeless encampments. The County is mobilizing and coordinating all efforts to scale up and fast-track the provision of outreach, interim housing, permanent housing, and supportive services to reduce unsheltered homelessness – with funding from Measure H.

Pathway Home
Pathway Home is an encampment resolution program that is a critical component of the County’s comprehensive response to the local emergency on homelessness. By leveraging emergency powers and partnerships with local jurisdictions, Pathway Home is a full-circle solution that brings people off the streets into immediately available interim housing accompanied by a comprehensive suite of supportive services and, ultimately, into safe, permanent homes.

Pathway Home begins with outreach teams developing trusting relationships with people at an encampment, helping them get treatment for immediate medical needs, and offering them a more diverse array of immediate options for interim housing, including at partner hotels and other forms of shelter that align with their needs and preferences.

After transported to interim housing, participants receive a room, three meals a day and supportive services, such as on-site case management and connections to physical and mental healthcare, substance use disorder treatment, benefits enrollment, life skills development, and more. To facilitate their transition to permanent housing, the County connects them with housing navigation to help them throughout the lease-up process, and time-limited subsidies for individuals who require them.

Partners and Roles
The County mobilizes all partners needed to successfully implement a solution, including Hotel owner/operator (contracts for 2 years in a lease agreement. 100% of hotel rooms are leased for “interim housing” for persons experiencing homelessness).

Onsite Management Partners
County resources (Department of Mental Health for clinical, case management) Wrap-around Service Providers (courts, workforce development, mental health, veterinarian, etc) City partner provides support. The City partner does not pay for operating costs and the County pays the Transient Occupancy Tax (TOT) to the City as required.

The roles of partners in a Pathway Homes Operation are summarized below.

Partner Role/Responsibility
Hotel Owner/Operator Resides onsite, property management Onsite Managment Company
(Service Providor)
Organizes all resources, 24/7 security, case management, logistics, neighbor complaints
County Resources Several Departments are organized to provide wellness programs for individuals based upon individual needs
City - Public Works When encampment is cleared, assist with debris removal City - Police Respond to calls for service at motel site City - Fire Respond to calls for service at motel site
Locations
Pathway Home Locations are required to be
Located within the community to be best served
Enclosed on all sides (with a secure gate to restrict access) Hotel owner/operator must maintain to the same standard as a hotel (cleaning, security, etc) Limit potential zoning conflicts (further away from residential areas) There are 15 Pathway Home Operations across the County:

1. Unincorporated Lennox/Inglewood/Hawthorne (Hawthorne)

2. Unincorporated West Rancho Dominguez (Lynwood)

3. Hawthorne

4. Unincorporated East Gardena (Los Angeles)

5. Pomona

6. Lynwood

7. Hilary Evacuees (El Monte)

8. Unincorporated Walnut/Firestone (Lynwood)

9. Compton

10. Long Beach

11. Hawthorne #2

12. Santa Monica

13. Unincorporated West Rancho Dominguez/Victoria (Lynwood)

14. Signal Hill/Long Beach

15. Monrovia/Duarte
Operations
Participants of the Pathway Home program who receive a room will have to abide by the following; No guests are allowed on site
Animals are welcome
Residents may come and go from the facility; leaving the room key with security upon leaving the premises.

Residents sign a 90-day agreement while they transition to permanent housing. This time is often extended because individual needs/circumstances frequently warrant additional time.

Pathway Home is not permanent. Residents live onsite as they progress through the process towards permanent supportive housing.

An agreement with a hotel will last for two (2) years with the possibility of two (2) six (6) month extensions. Measure H that funds this program sunsets June 2027.

Pathway Home is referral-based, interim housing solution only. The facility does not take walk-ins or out-of-area relocations. Participants will be based off the referral list developed by the City and County. Target the most difficult encampments and the people living in them.

DISCUSSION:

Next Steps
The County is working with Cities to develop subregional partnerships to address encampment resolution and interim housing solutions. The County is contemplating locating an operation at the Five Star Inn in West Covina and seeking City's partnership through support of this endeavor. Currently, the County is negotiating with the property owner, as well as a contractor to provide supportive services.

If the operation proceeds, the City would be asked to develop a referral list of potential participants for the program and work with the County to include individuals from the Puente, Avocado Heights, Valinda unincorporated areas of Los Angeles County. The result of West Covina’s 2023 Point in Time Count was 177 individuals with 99 of them unsheltered. The Five Star Inn has seventy-four (74) rooms. The County indicated that Pathway Homes would be able to take 30% of the unsheltered individuals in West Covina into the program.

It is anticipated that the County, through a Pathway Homes operation at the Five Star, could expend $14 - $16 million providing service over the two-year term at Five Star Inn; both for the hotel contract and the service provider contract.

Prepared by: Kelly McDonald, Assistant to the City Manager Attachments
Attachment No. 1 - Pathway Homes Presentation
CITY COUNCIL GOALS & OBJECTIVES: Address Homeless Issues Overview of Pathway Homes
ATTACHMENT NO. 1
Overview of “Pathway Home”
 Background
 Locations
 Interim Housing Solution to Address Homelessness
 Roles & Responsibilities of Partners
 How the Program Works
What is Pathway Home?
Why is the County doing this?
 After declaring a state of emergency on homelessness in January 2023, the LA County Board of Supervisors authorized efforts to streamline hiring, contracting, purchasing, grants, and real estate processes to address homelessness. The message was clear - “all hands on deck”
 Los Angeles County has been expanding efforts to resolve homeless encampments  They are mobilizing and coordinating all efforts to scale up and fast-track the provision of outreach, interim housing, permanent housing, and supportive services to reduce unsheltered homelessness – with funding from Measure H
How does Pathway Home work?
 Pathway Home begins with outreach teams developing trusting relationships with people at an encampment, helping them get treatment for immediate medical needs, and offering them a more diverse array of immediate options for interim housing, including at partner hotels and other forms of shelter that align with their needs and preferences.  After they’ve been transported to interim housing, participants will receive a room, three meals a day and supportive services, such as on-site case management and connections to physical and mental healthcare, substance use disorder treatment, benefits enrollment, life skills development, and more.
 To facilitate their transition to permanent housing, the County will connect them with housing navigation to help them throughout the lease-up process, and time-limited subsidies for individuals who require them.

How does Pathway Home work
Partner Role/Responsibility
Hotel Owner/Operator Resides onsite, property management Onsite Management Company Organize all resources, 24/7 security, case management, logistics, neighbor complaints
County Resources Several departments are organized to
provide wellness programs for individuals
based upon individual needs.

City – Public Works When encampment is cleared, assist with debris removal
City – Police Respond to calls for service at hotel site City – Fire Respond to calls for service at hotel site
What are the design requirements of a
location?
 Located within the community best served
 Enclosed on all sides (with a secure gate to restrict access)  Hotel owner/operator must maintain to the same standard as a hotel (cleaning, security, etc)  Limit potential zoning conflicts (further away from residential areas) Locations
15 operations

1. Unincorporated Lennox/Inglewood/Hawthorne

2. Unincorporated West Rancho Dominguez

3. Hawthorne

4. Unincorporated East Gardena (Los Angeles)

5. Pomona

6. Lynwood

7. Hilary Evacuees

8. Unincorporated Walnut/Firestone (Lynwood)

9. Compton (Long Beach)

10. Long Beach

11. Hawthorne #2

12. Santa Monica

13. Unincorporated West Rancho Dominguez/Victoria (Lynwood)

14. Signal Hill/Long Beach

15. Monrovia/Duarte
City Background
 City of West Covina regularly responds to calls about illegal encampments  West Covina H.O.P.E Team
 West Covina contracts with LA CADA to provide outreach and case work services  West Covina 2023 Homeless Count: 177 total
Persons in Improvised Dwellings Unsheltered Persons Total 57 42 99
Location: Five Star Inn
2748 E Garvey Ave South
Five Star Inn Motel
74 Rooms
Currently under
Renovation –
Anticipated
Completion July 2024
Who does this program benefit?
 Referral-based, interim housing solution only -
 No walk-ins
 No out-of-area relocations (will serve West Covina and surrounding unincorporated areas) West Covina would be able to house 30% of our unsheltered population  If the operation proceeds, the City of West Covina will be asked to provide referrals  Target the most difficult encampments and the people living in them  For those who receive a room -
 No guests on site
 Animals welcome
 Residents may come and go from the facility
 Residents sign a 90-day agreement while they transition to permanent housing. This time is often extended because individual needs/circumstances frequently warrant additional time What Pathway Home is NOT?
 Not permanent
 Agreement w/ hotel will last for 2 years (possible extensions)  Residents live onsite as they progress thru process towards permanent supportive housing  Not a means to transport homeless individuals from out of the area  Not a final solution to end homelessness
Next Steps
 County is seeking our partnership in addressing encampment resolution and interim housing solutions
 County is seeking feedback regarding the proposed operation  Public Outreach
 If a partnership is reached, the City will use its communications tools (Website, direct mail to nearby properties) to ensure awareness
Resources & Links
 Los Angeles County
 Pathway Home - https://homeless.lacounty.gov/pathway-home/  Year One Success, Video Link - https://homeless.lacounty.gov/emergency/year-one/  City of West Covina
 Homeless Services Webpage - https://www.westcovina.org/residents/homeless-solutions-for-westcovina  Plan to Prevent & Combat Homelessness -
https://www.westcovina.org/home/showpublisheddocument/15618/636682191175230000 Questions?
Paulina Morales
[email protected]
626-939-8401

West Covina City CouncilJuly 2, 2024

West Covina City Council
July 2, 2024