Item 1.9 - LMD 86-1 for FY 2018/2019 and Set Date for Public Hearingc��Y F cW9r
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City of Poway
COUNCIL AGENDA REPORT
APPROVED a
APPROVED AS AMENDED ❑
(SEE MINUTES)
DENIED ❑
REMOVED ❑
CONTINUED
RESOLUTION NO, g�V1.g
DATE: June 5, 2018
TO: Honorable Mayor and Members of the City Council
FROM: Michael Obermiller, P.E., Director of Public Works
CONTACT: Eric Heidemann, Assistant DVtor of Public Works for Maintenance
Operations
eheidemann@poway.org
SUBJECT: Engineer's Report and Resolution Declaring the Intention to Levy and
Collect Assessments Within Poway Landscape Maintenance District 86-1
for Fiscal Year 2018-19 and Set Date for Public Hearing
Summary:
The California Landscape and Lighting Act of 1972 (ACT), and its amendments (Proposition 218
and SB 919) allow for the collection of assessments from parcels annexed into Landscape
Maintenance District (LIVID) 86-1 for the purpose of maintaining the District's public landscape
improvements. In order to collect assessments, Chapter 3 of the ACT requires a Resolution
(Attachment A) declaring the intention to levy and collect assessments and an Engineer's Report
(Attachment B). Fiscal Year 2018-19 assessment rates shall remain unchanged from the Fiscal
Year 2017-18 rates. Zone B contains one non-residential parcel that contributes in -lieu
assessments by providing equivalent maintenance services for the LMD improvements within the
adjacent public rights-of-way.
Recommended Action:
It is recommended that the City Council: 1) adopt the attached Resolution declaring the intention
to levy and collect assessments within Poway Landscape Maintenance District 86-1 for Fiscal
Year 2018-19; 2) approve the corresponding Engineer's Report outlining the assessments for
Fiscal Year 2018-19; 3) direct the City Clerk to publish the approved Resolution one week
following Council approval; and 4) set the public hearing for July 17, 2018.
Discussion:
Landscape Maintenance District 86-1 was formed on June 12, 1986, to maintain landscape
improvements required as conditions of approval for the various subdivisions included within the
District boundaries. Each subdivision and/or development listed below was required to annex
into the District as a condition of property development either through the final map process or by
Council Resolution.
The following provides a listing of the developments and associated properties in each proposed
District Zone for Fiscal Year 2018-19:
1 of 41 June 5, 2018, Item # 1.9
Engineer's Report: Intention to Collect within LMD 86-1 for FY2018-19; Set Public Hearing
June 5, 2018
Page 2
District 86-1, Zone A includes the following residential developments:
TRACT PROJECT NAME
TTMs
TTM
TTM
TTM
TTM
TTM
TTM
TTM
TTM
TTM
MDRA
MDRA
MDRA
TTM
TTM
PM
MAP
ROS
TTM
MDRA
TTM
TTM
4090R,
3545
4158
84-08
89-13
89-13R
89-13R
89-13R
98-02
99-03
98-71
01-38
05-59
00-02
02-01
4091 R, 4092R, 4093R
15384 (par 1, 2, 3 and 4)
15725
4063
86-01
04-02
87-05
88-15
Bridlewood
Piedmont Park
Stone Canyon Ranch
The Grove
Old Coach Collection
The Heritage, Phase I, Unit I
The Heritage, Phase I, Unit III
The Heritage, Phase I, Unit IV
North Point
Vision Homes
Kennedy Family Trust
Wells Trust
Garczynski
Malone
BBA Partners
Custom Homes
Milpitas -Fleming Associates
Seaman Gregg
Huntington Gate, I and II
Sedehi/Fard
Serenata
Green Valley Estates
District 86-1, Zone B includes the following non-residential development:
TPM 90-06
LDS Poway Chapel
Section 22624 of the Streets and Highways Code requires the City Council to approve an
engineering report and adopt a Resolution of intention prior to establishing a budget each year.
The Engineer's Report (Attachment B) outlines the proposed Fiscal Year 2018-19 budget and
resulting assessments.
The District currently has no approved escalation factor for increasing the maximum assessment
rates. Currently, LMD 86-1, Zone A does not have sufficient funding to continue at maintenance
service level A. Therefore, landscape maintenance services are being reduced to service level
B.
Fiscal Year 2018-19 assessments are proposed to remain at the Fiscal Year 2017-18 rate of
$243.04 per year ($20.25 per month) per benefit unit. There are currently 954 residential parcels
being assessed within LMD 86-1, Zone A.
On September 8, 1992, the City Council approved an agreement whereby the LDS Poway Chapel
is to maintain the LMD improvements adjacent to and constructed by the church. Zone B will
2 of 41 June 5, 2018, Item # 1.9
Engineer's Report: Intention to Collect within LMD 86-1 for FY2018-19; Set Public Hearing
June 5, 2018
Page 3
have no assessment levied, as the Church of Latter -Day Saints has agreed to maintain the rights-
of-way bordering their property for perpetuity. In addition, Green Valley Estates is currently
maintaining the landscaping along Lake Poway Road by an agreement with its homeowner's
association.
No new parcels were added to the District during Fiscal Year 2017-18. Under Assessment Law
[Article XIII D, Section 20)], those properties not receiving special benefit are not included on the
LMD 86-1 assessment roll.
Proposition 218, which was passed by the California voters on November 5, 1996, expands the
requirements for public notification and imposes the requirement of District balloting. Beginning
July 1, 1997, all existing, new or increased assessments shall comply with Article XIII D as added
to the California Constitution. All parcels currently assessed were annexed into the District by
owner consent at the time of development, making them exempt from the procedures and
approval process set forth in Section 4 of this Article. However, this does not preclude any
assessments that would be increased in future years. Subsequent increases in such
assessments shall be subject to the procedures and approval process set forth in Section 4 of
Article Xlll D.
In 2018, property owners within the Proposed District (referred to as Landscape Maintenance
District 18-2) received ballots for a proposed increase as specified under Assessment Law. The
Proposed District was balloted for an increase in assessments with annual cost indexing based
on the annual San Diego Consumer Price Index (SD -CPI) not to exceed 3%. The Proposed
District had a majority protest for the increase, and consequently, failed to pass the ballot.
Therefore, the assessment rate is proposed to remain unchanged from the Fiscal Year 2017-18
rate and is exempt from the procedures and approval process set forth in Section 4 of Article XI II
D.
The failure of an assessment increase by ballot for the District in Fiscal Year 2017-18 led to a
reduction of maintenance services. Although this District has received a reduced level of service
to meet the revenue received, the current contractor continues to maintain these areas with
proficient water management and plant preservation.
As required under Assessment Law (Landscape and Lighting Act of 1972 and its amendments),
an engineer's report and assessment recommendations must be presented for City Council
consideration and public comment on an annual basis. This Report (Attachment B) has been
found technically correct as presented.
Environmental Review:
This action is not subject to California Environmental Quality Act review
Fiscal Impact:
Revenues collected at $243.04 per benefit unit for Zone A for an estimated total of $231,860.16
will be used for the District's maintenance costs during Fiscal Year 2018-19. A General Fund
contribution of $46,767.06 for Zone A will be made based upon average square footage
maintenance costs for the landscaped medians and rights-of-way that provide general benefit to
the City.
3 of 41 June 5, 2018, Item # 1.9
Engineer's Report: Intention to Collect within LIVID 86-1 for FY2018-19; Set Public Hearing
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Page 4
Public Notification:
None
Attachments:
A. Resolution Declaring the Intention to Levy and Collect Assessments Within Poway
Landscape Maintenance district 86-1 for Fiscal Year 2018-19.
B. 2018-19 Engineer's Annual Levy Report
Reviewed/Approved By:
Wendy Kaserman
Assistant City Manager
Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
Tina M. White
City Manager
4 of 41 June 5, 2018, Item # 1.9
RESOLUTION NO. 18-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
POWAY, CALIFORNIA, DECLARING THE INTENTION TO LEVY
AND COLLECT ASSESSMENTS WITHIN POWAY LANDSCAPE
MAINTENANCE DISTRICT 86-1 FOR FISCAL YEAR 2018-19
WHEREAS, the City Council of the City of Poway desires to levy and collect assessments
within Poway Landscape Maintenance District 86-1 for the purpose of maintaining, servicing and
operating public landscape facilities located within the territory comprised of said district as shown in
Exhibit of the Engineer's Report that is on file in the City Clerk's Office, pursuant to the Landscape
and Lighting Act of 1972, and attached hereto;
WHEREAS, assessments will not increase from the Fiscal Year 2017-18 assessment rate of
$243.04 per benefit unit for Zone A;
WHEREAS, under Article XIII D, Section 4 of the California Constitution, a City general
benefit contribution has been calculated as the average General Fund expenditure on a persquare
foot basis for the maintenance of landscaped medians and rights-of-way. This general benefit
contribution for Zone A has been calculated to be $46,767.06;
WHEREAS, underArticle XIII D, Section 5(b) of Proposition 218 (adopted by general vote on
November 5, 1996), the collection of Fiscal Year 2018-19 assessments is exempt from the
procedures and approval process set forth in Section 4 of Article XIII D, in that the assessment was
imposed pursuant to a petition signed by the persons owning all of the parcels subject to the
assessment at the time the assessment was initially imposed; and
WHEREAS, the public interest and convenience require the maintenance, service and
operation of public landscaping and soundwalls within said territory.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Poway as
follows:
Section 1: The foregoing recitals are true and correct, and the City Council so finds and
determines.
Section 2: Proposed assessments are as detailed in the Engineer's Report for Poway
Landscape Maintenance District No. 86-1 for Fiscal Year 2018-19.
Section 3: Pursuant to the Streets and Highways Code, a public hearing will be held on
July 17, 2018, by the City Council to consider the levying and collection of the proposed
assessments.
Section 4: The City Clerk shall cause this Resolution to be published in the Poway News
Chieftain, a newspaper of general circulation in the City of Poway.
5 of 41 ATTACHMENT A June 5, 2018, Item # 1.9
Resolution No. 18 -
Page 2
PASSED, ADOPTED AND APPROVED by the City Council of the City of Poway,
California, at a regular meeting this 5th day of June 2018.
Steve Vaus, Mayor
ATTEST:
Nancy Neufeld, CMC, City Clerk
STATE OF CALIFORNIA )
) SS
COUNTY OF SAN DIEGO )
I, Nancy Neufeld, City Clerk of the City of Poway, California, do hereby certify under penalty
of perjury that the foregoing Resolution No. 18-*** was duly adopted by the City Council at a meeting
of said City Council held on the 5th day of June 2018, and that it was so adopted by the following
vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
Nancy Neufeld, CMC, City Clerk
City of Poway
6 of 41 June 5, 2018, Item # 1.9
27368 Via Industria
Suite 200
Temecula, CA 92590
T 951.587.3500 1 800.755.6864
F 951.587.3510 1 888.326.6864
Property Tax Information Line'
T. 866.807.6864
www.wilidan.com/Financial
AFFIDAVIT FOR THE ENGINEER'S ANNUAL LEVY REPORT
Landscape Maintenance District 86-1
City of Poway
San Diego County, State of California
This Report describes the District and services therein including the improvements,
budgets, parcels and assessments to be levied for Fiscal Year 2018/2019, as they existed
at the time of the passage of the Resolution of Intention. Reference is hereby made to the
San Diego 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 04�_ day of I 2018.
Willdan Financial Services
Assessment Engineer
On Behalf of the City of Poway
By: __
Susana Hernandez
Project Manager, District Administration Services
By:
Richard Kopecky
R. C. E. # 16742
N0. W42
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8 of 41 June 5, 2018, Item # 1.9
TABLE OF CONTENTS
1. OVERVIEW.........................................................................................................1
A. INTRODUCTION.................................................................................................1
B. COMPLIANCE WITH CURRENT LEGISLATION..............................................1
C. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT.......................................2
ll. DESCRIPTION OF THE DISTRICT....................................................................3
A. BOUNDARIES OF THE DISTRICT....................................................................3
B. DESCRIPTION OF THE DISTRICT IMPROVEMENTS......................................4
C. PROPERTIES BENEFITING FROM IMPROVEMENTS.....................................5
Ill. METHOD OF APPORTIONMENT......................................................................5
A. GENERAL..........................................................................................................5
B. BENEFIT ANALYSIS..........................................................................................6
C. ASSESSMENT METHODOLOGY......................................................................8
D. MAXIMUM ASSESSMENT RATE......................................................................9
IV. DISTRICT BUDGETS.........................................................................................9
A. DESCRIPTION OF BUDGET ITEMS..................................................................9
B. LMD 86-1 BUDGET..........................................................................................10
V. APPENDIX A - DISTRICT ASSESSMENT DIAGRAM.....................................11
Vl. APPENDIX B - 201812019 ASSESSMENT ROLL............................................12
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/. OVERVIEW
A. INTRODUCTION
The City of Poway ("City') annually levies and collects special assessments in order to maintain
the improvements within the Landscape Maintenance District 86-1 ("District") formed June 12,
1986, pursuant to the City of Poway Resolution No. 00-034 (Policies for Landscape Maintenance
Districts) and the Landscape and Lighting Act of 1972, Part 2 of Division 15 of the California
Streets and Highways Code ("1972 Act"), in compliance with the California Constitution Article
XIIID ("Article XIIID"). The 1972 Act and Article XIIID are collectively referred to herein as
"Assessment Law".
This Engineer's Annual Levy 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 improvements and services to be provided within the District. This Report
describes the District, any proposed changes to the District and it's improvements, the parcels
to be assessed, and the proposed assessments related thereto to fund the costs and expenses
required to service and maintain designated improvements within the District that provide special
benefits to those parcels for Fiscal Year 2018/2019. Annually, the City establishes the District's
assessments based on the special benefit received by the properties in the District and the
associated net special benefit expenses resulting from an estimate of the costs to maintain,
operate and service the improvements in conjunction with available revenues including fund
balances, general benefit contributions, additional City contributions, and current assessment
limits. Each parcel is assessed proportionately only for those improvements provided and for
which the parcel receives benefit based on an established method of apportionment.
The word "parcel," for the purposes of this Report, refers to an individual property assigned its
own Assessor's Parcel Number by the County of San Diego ("County") Assessor's Office. The
County Auditor/Controller uses Assessor's Parcel Numbers and specific Fund Numbers, to
identify on the tax roll, properties assessed for special district benefit assessments.
Following consideration of public comments and written protests at a noticed public hearing, and
review of the Report, the City Council may order amendments or confirm the Report as
submitted. Following final approval and confirmation of the assessments, the Council may order
the levy and collection of assessments for Fiscal Year 2018/2019 pursuant to the 1972 Act. In
such case, the assessment information will be submitted to the County Auditor/Controller and
included on the property tax roll for each benefiting parcel for Fiscal Year 2018/2019.
B. COMPLIANCE WITH CURRENT LEGISLATION
Pursuant to the 1972 Act, the City Council annually conducts a public hearing to accept public
comments and testimony, and to approve the annual assessments to be levied on the County
tax roll for the fiscal year. All assessments contained in this Report and to be approved by the
City Council have been prepared in accordance with the 1972 Act and are in compliance with
the provisions of Article XIIID of the Constitution of the State of California ("Proposition 218").
The City has reviewed the provisions of Article XIIID and has made the following findings and
determinations:
Pursuant to Article XIIID, Section 5, certain existing assessments are exempt from the
substantive and procedural requirements of Article XIIID, Section 4, and property owner balloting
10 of 41 June 5, 2018, Item # 1.9
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for the assessments is not required until such time that the assessments are increased. Since
the District assessments were imposed pursuant to a petition signed by the persons owning all
of the parcels subject to the assessments at the time the assessments were initially imposed,
Article XIIID Section 5 (b) exempts the existing assessment amounts (approved original
assessment rates including any applicable annual escalation factor) from the procedural
requirements of Article XIIID, Section 4.
The provisions of Article XIIID do not alter the non -conflicting provisions of the 1972 Act. As such,
the method of apportionment described in this Report utilizes commonly accepted assessment
engineering practices consistent with the 1972 Act and the provisions of Article XIIID. The
proposed assessments for the current fiscal year are less than or equal to the adjusted maximum
assessment rate previously approved and adopted for the District. The application of this
adjusted maximum assessment rate for the various land uses within the District is described in
more detail in Section III D of this Report. Any proposed assessment that exceeds the adjusted
maximum assessment rate is considered an increased assessment. Pursuant to the provisions
of Article XIIID, all new or increased assessments (the incremental increase) are subject to both
the substantive and procedural requirements of Article XIIID, Section 4.
C. 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;
• 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:
11 of 41 June 5, 2018, Item # 1.9
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• 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.
A DESCRIPTION OF THE DISTRICT
A. BOUNDARIES OF THE DISTRICT
The District Boundary Map and Assessment Diagram, which are incorporated herein by reference
and made a part of this Engineer's Report, are on file with the Special Districts Office of the Public
Works Department of the City of Poway and are available for public inspection during normal
business hours.
On February 25, 1992, by Council Resolution No. 92-039, Landscape Maintenance District 86-1
("District') was divided into two subzones: 86-1 Zone A ("Zone A") for residential and 86-1 Zone
B ("Zone B") for commercial. Assessments for LMD 86-1 Zone A will be calculated on a per unit
basis by dividing the required revenue by the total units within each district. The Church of Latter
Day Saints ("LDS Poway Chapel") is the only parcel within LMD 86-1 Zone B. By agreement, this
parcel is maintained by the church for perpetuity at no cost to the District.
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District 86-1 Zone A is comprised of the residential parcels within the following
developments:
District 86-1 Zone B (one non-residential unit) consists of:
B. DESCRIPTION OF THE DISTRICT IMPROVEMENTS
The improvements to be maintained by the District are defined as landscape improvements within
the right-of-ways and open space areas associated with the development of the subdivisions and
parcels within the District. The improvements are considered to be either installed in direct
connection with the development of those properties or were installed for the benefit of those
properties as a result of property development or potential development of those properties and
were considered necessary for the development of those properties to their full and best use.
These improvement areas within the District may include, but are not limited to landscaping
adjacent to the developments along portions of Espola Road, Titan Way, Painted Desert Road,
Woodland Parkway, Summer Sage Road, Lake Poway Road, Riparian Road, Sunset Drive, Del
Poniente Road and Twin Peaks Roads. Some of the District improvement areas are currently
maintained by the adjacent property owner or property owners through a Homeowner's
Association where property owners are not assessed for the maintenance of those improvements.
Walls and fences adjacent to private property are to be maintained by the adjacent property
owners. The City, prior to commencement of work, shall approve repairs or reconstruction of any
walls or fences adjacent to the District landscape areas. Should the property owners desire to
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include major repairs or reconstruction within the City's responsibilities, the property owners are
required to submit a petition to initiate the balloting process set forth in Article XIIID, Section 4.
Landscape maintenance performance standards and specifications have been developed by the
City to assure quality maintenance of landscape assessment district properties. A recent
evaluation of the level of quality has been conducted, and the current maintenance levels meet
the City's landscape maintenance standards.
The City has defined the following service levels on the basis of how frequent landscaping
maintenance is performed:
Service Level A: Maintenance once a week.
Service Level B: Maintenance once every other week.
Service Level C: Maintenance once a month.
Zone A is within Service Level B for Fiscal Year 2018/2019.
C. PROPERTIES BENEFITING FROM IMPROVEMENTS
The properties determined to receive benefit are those lots or parcels that, as a result of
development or redevelopment, finance, construct, install, and/or establish landscape
improvements within public right-of-ways or public easements (permanent public improvement)
or adjoining lots or parcels that, as a result of development or redevelopment, receive access or
are immediately adjacent to lots or parcels which contain landscape improvements maintained by
a landscape maintenance district.
Special benefit, as defined in the "Landscape and Lighting Act of 1972", applicable provisions of
"Proposition 218", and provisions of the "Proposition 218 Omnibus Implementation Act"
("Assessment Law') and in this Report, shall be assessed to those properties determined to
receive special benefit from the District's improvements.
//Z METHOD OF APPORTIONMENT
A. GENERAL
The 1972 Act permits the establishment of assessment districts by agencies for the purpose of
providing certain public improvements that 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.
The formula used for calculating assessments in this District therefore reflects the composition
of the parcels and the improvements and services provided to fairly apportion the costs based
on benefit to each parcel.
In addition, Article XIIID requires that a parcel's assessment may not exceed the reasonable cost
of the proportional special benefit conferred on that parcel. Article XIIID provides that only special
benefits are assessable and the City must separate the general benefits from the special
benefits. A special benefit is a particular and distinct benefit over and above general benefits
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conferred on the public at large, including real property within the district. The general
enhancement of property value does not constitute a special benefit.
B. BENEFIT ANALYSIS
Each of the improvements, the associated costs and assessments within the District has been
reviewed, identified and allocated based on the special benefit parcels receive from such
improvements pursuant to the provisions of Article XIIID and the 1972 Act. All improvements
associated with this District have been identified as necessary, required and/or desired for the
orderly development of the properties within the District to their full potential, consistent with the
proposed development plans. 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 maintenance and operation of
the improvements are of special benefit to the properties.
All the lots or parcels are established at the same time once the conditions regarding the
improvements and the continued maintenance are met. As a result, each lot or parcel within the
District receives a special and distinct benefit from the improvements and to the same degree.
Over time, the improvements continue to confer a particular and distinct special benefit upon the
lots or parcels within the District because of the nature of the improvements. The proper
maintenance of the improvements and appurtenant facilities reduces property related crimes,
especially vandalism, against properties in the District. All of the above mentioned factors also
contribute to a specific benefit to each of the parcels within the District.
The method of apportionment (method of assessment) is based on the premise that each
assessed parcel within the District receives benefit from the improvements. However, each
individual improvement element has its own distinct benefits both specific and general. The
special benefits associated with the improvements within the District are as follows:
Special Benefit
The special benefits associated with the landscaping improvements in the District 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 District resulting from well-
maintained improvements associated with the properties;
• Reduced criminal activity and property -related crimes (especially vandalism) against
properties in the District through well-maintained surroundings and amenities including
abatement of graffiti; and,
• Enhanced environmental quality of the parcels by moderating temperatures, providing
oxygenation and attenuating noise.
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General Benefit
Assessment Law mandates that the City assess for special benefit only, and the City shall
separate general benefit from special benefit. General benefit is defined as services
provided to the public -at -large. Special benefit is defined as services provided at a level
greater than the services provided to the public -at -large.
The City's general benefit to the public -at -large is determined as the average expenditure
from the General Fund for the maintenance of landscaped medians and right-of-ways,
calculated on a per square foot basis. The City shall make a general benefit contribution to
a district based on the City's average rate of expenditure from the General Fund for the
various types of improvements applied to the square footage of similar types of
improvements within the District.
No new improvements are proposed to be added for Fiscal Year 2018/2019:
The City shall annually conduct an audit to determine the average expenditure from the
General Fund for the maintenance of landscape improvements within the public right-of-
ways or public easements, calculated on a per square foot basis. The general benefit for
Fiscal Year 2018/2019 is determined to be:
$0.2831 per square foot for landscape medians,
$0.1176 per square foot for landscape right-of-ways, and
$0.3006 per square foot for landscape right-of-ways with soundwall
As part of the audit, the City shall determine the average expenditure from the General Fund
for the maintenance of District landscape improvements. Based on an increase of 3.01
percent in the San Diego Consumer Price Index (the average of All Urban Consumers and
Urban Wage Earners and Clerical Workers), comparable services provided by the City of
Poway staff for general landscape services, the general benefit for Fiscal Year 2018/2019
will increase from Fiscal Year 2017/2018, based on the contribution rate per square foot, at
a maximum for this District:
All other maintenance, operation, administrative, and incidental costs which exceed the
City's general benefit contribution to the public -at -large are of special benefit and assessed
to the District.
The City shall have an option as to how it will make the general benefit contributions to the
District. The City shall make its general benefit contribution by either:
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• providing irrigation water to the District for irrigation of LMD improvements in an
amount equal to the City's general benefit contribution, or
• paying directly to the District from the General Fund a dollar amount equal to the
City's general benefit contribution.
C. ASSESSMENT METHODOLOGY
The total cost of special benefit for maintenance of the public improvements funded by the District
will be assessed to the various parcels in the District in proportion to the benefit units assigned
to each parcel, in relationship to the total benefit units assigned to all parcels being assessed.
Residential Land Uses
All residential subdivisions shall be assessed proportional to special benefit received based on
one (1) benefit unit per residential dwelling unit.
Non-residential Land Uses
All non-residential parcels shall be assessed proportional to special benefit received based on
the average planned dwelling unit density throughout the urban areas of the City (four dwelling
units per acre), the equivalent of four (4) benefit units per acre.
Non-residential land uses typically provide services and/or employment opportunities for the City
that benefit all lands throughout the City. Since these non-residential land uses can occur
throughout the City, the planned, average density of residential dwelling units per acre for the
urban areas of the City has been calculated. The non-residential land uses are considered to
dislocate residential units. Therefore, the number of residential dwelling units dislocated, based
on the average dwelling units per acre, has been assigned to non-residential lands. This method
determines an equivalent benefit to residential land uses. Appendix B details the calculation of
the average residential units per acre planned within the urban areas of the City. Urban areas
have been defined as the parcels receiving water and sewer services.
In -Lieu Assessments
Under provisions of City policy, parcels may contribute in -lieu assessments by providing
equivalent maintenance services for District improvements within public right-of-ways or public
easements immediately adjacent to their lands.
No new parcels within the District are scheduled to contribute in -lieu assessments in Fiscal Year
2018/2019. The Church of Latter Day Saints has agreed to maintain the right-of-ways bordering
their property for perpetuity. Green Valley Estates is currently maintaining the landscaping along
Lake Poway Road by an agreement with its homeowner's association.
Non -benefiting Parcels
All public and private streets, avenues, lanes, roads, drives, courts, alleys, all public easements
and right-of-ways, all dedicated open space parcels, and District maintained parcels are
determined to not receive special benefit from the District's improvements and are therefore not
assessed. The Church of Latter Day Saints has agreed to maintain the right-of-ways bordering
their property for perpetuity. In addition, Green Valley Estates is currently maintaining the
landscaping along Lake Poway Road by an agreement with its homeowner's association.
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W I LLDAN
FINANCIAL SERVICES
Benefit Units (BUs)
As described above, the number of assessable benefit units attributable to each parcel receiving
special benefit has been calculated and can be found in the Assessment Roll (Appendix B).
The assessment methodology utilized is as described above. Based on this methodology, the
benefit units, and the Fiscal Year 2018/2019 proposed assessment for each parcel were
calculated and are shown in the Assessment Roll (Appendix B).
• The calculated Fiscal Year 2018/2019 assessment for Zone A is proposed to remain at
the Fiscal Year 2017/2018 assessment rate of $243.04 per benefit unit.
• Zone B's calculated Fiscal Year 2018/2019 assessment is proposed to remain at zero
dollars.
D. MAXIMUM ASSESSMENT RATE
The approved maximum assessment rate for the District was established and has remained at
$243.04 per benefit unit for Zone A. The District currently has no approved escalation factor for
increasing the maximum assessment rate for Zone A. The maximum assessment rate
establishes an approved upper limit on the annual assessment; however, the assessment rate
levied by the District may be less than the maximum amount in any given year if not required to
meet the budgetary needs for that year. If the long term budgetary needs of the District would
require an increase in the rate greater than the maximum assessment rate in order to meet those
needs, then any proposed increase in the maximum assessment rate would require property
owner balloting procedures as dictated by Article XIIID. In 2018, property owners received ballots
specified under Assessment Law. Zone A was balloted for an increase in assessments with
annual cost indexing based on the annual San Diego Consumer Price Index (SD -CPI). Zone A
did not have a consensus for the increase, and therefore, failed to pass the ballot
IV DISTRICT BUDGETS
A. DESCRIPTION OF BUDGET ITEMS
The 1972 Act provides that the estimated costs of the improvements shall include the total cost
of the maintenance and servicing of the improvements for the entire Fiscal Year 2018/2019,
commencing July 1, 2018 and ending June 30, 2019, including incidentals, which may include
reserves to operate the District.
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
the District is the total cost of maintenance and servicing with adjustments either positive or
negative for reserves, surpluses, deficits, and/or contributions.
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FINANCIAL SERVICES
:JEA1T11111B.1- 1:11111Zc]41
111 Actual figures per Finance Fiscal Year 2016/2017 activity sheets.
121 Approved budget.
131 Proposed budget.
141 Includes cost allocation City staff support services.
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W I LLDAN
FINANCIAL SERVICES
APPENDIX A - DISTRICT ASSESSMENT DIAGRAM
A District Diagram has been prepared for the District in the format required by the 1972 Act, and
is on file with the Special Districts Office of the Public Works Department, and by reference is
made part of this Report. The Assessment Diagram is available for inspection at the Special
Districts Office of the Public Works Department, during normal business hours.
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*11'W I LLDAN
FINANCIAL SERVICES
V. APPENDIX B - 2018/2019 ASSESSMENT ROLL
Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on
the County Assessor's Map for the year in which this Report is prepared.
Non -assessable lots or parcels include land principally encumbered by public or utility rights-
of-way and common areas. These parcels will not be assessed.
A listing of parcels assessed within the District along with the proposed assessment amounts
has been identified as "Fiscal Year 2018/2019 Assessment Roll," and is on file with the City
Clerk and is by reference made a part of this Report.
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2 01 812 01 9 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 1 of 20
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0=141 91KIN
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 2 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LIVID 86-1 Preliminary Roll Page 3 of 20
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City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
Willdan Financial Services LMD 86-1 Preliminary Roll Page 4 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wllcan Financial Services LMD 86-1 Preliminary Roll Page 5 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 6 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 7 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
W lldan Financial Services LMD 86-1 Preliminary Roll Page 8 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 9 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 10 of 20
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0):41117103
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 11 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 12 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
W lldan Financial Services LMD 86-1 Preliminary Roll Page 13 of 20
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U:U=I, 7► (47
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 14 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 15 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Rall
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 16 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 17 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86.1
Fiscal Year 2018/2019 Preliminary Roll
W Ildan Financial Services LMD 86-1 Preliminary Roll Page 18 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Willdan Financial Services LMD 86-1 Preliminary Roll Page 19 of 20
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APPENDIX C
City of Poway
Landscape Maintenance District 86-1
Fiscal Year 2018/2019 Preliminary Roll
Wlldan Financial Services LMD 86-1 Preliminary Roll Page 20 of 20
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