Item 7 - Engineer's Report and Reso Declaring the Intention to Levy and Collect Assessments; LMD 86-3 FY 2020-21DATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA REPORT CityofPoway CITY COUNCIL June 16, 2020 Honorable Mayor and Members of the City Co~r_cil Eric Heidemann, Director of Public Works 1 ~ f Will Wiley, Assistant Director of Public Works for Maintenance Operations (858) 668-4705 or WWiley@poway.org Engineer's Report and Resolution Declaring the Intention to Levy and Collect Assessments Within Poway Landscape Maintenance District 86-3 for Fiscal Year 2020-21 and Set Date for Public Hearing 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 (LMD) 86-3 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 2020-21 assessment rates shall remain unchanged from the Fiscal Year 2019-20 rates. Recommended Action: It is recommended that the City Council adopt the Resolution. Discussion: Landscape Maintenance District 86-3 was formed on May 20, 1986, to maintain landscape improvements required as conditions of approval for the various subdivisions or developments 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. District 86-3, Zone A includes the following residential developments: TRACT PROJECT NAME TM TTM TTM 1 of 26 3994 88-03 94-02 The Pond Sycamore Springs Poway Oaks June 16, 2020, Item #7
District 86-3, Zone B includes the following non-residential (commercial) developments: TRACT PROJECT NAME TPM 90-04 TTM 90-05 Under Bldg. Permit DR 98-07/VAR98-11 TPM 01-06 DR 05-05 Wal-Mart Creekside Plaza Stein Mart Plaza (New Tenant) Poway Hyundai Hillside Village Apartments Solara Apartments Section 22624 of the Streets and Highways Code requires the City Council to approve an Engineer's 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 2020-21 budget and resulting assessments. There are currently 159 residential (Zone A), and 16 non-residential; 205.936 commercial units; and two multi-residential, low-income housing apartments (Zone B) assessable parcels in LMD 86-3. Fiscal Year 2020-21 assessment rates are proposed to remain unchanged from the Fiscal Year 2019-20 rates of $163.00 per benefit unit per year ($13.58 per month) for Zone A and $75.31 per benefit unit per year ($6.28 per month) for Zone B. Proposition 218, 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. However, this does not exempt assessment increases in future years. Subsequent increases in such assessments shall be subject to the procedures and approval process set forth in Section 4 of Article XIII D. Zone A is being assessed at the approved maximum assessment rate of $163.00 per benefit unit and Zone Bis being assessed less than the maximum at $75.31 per benefit unit. In 1998, property owners within the District received ballots for a proposed increase as specified under Assessment Law. Both Zones were balloted for an increase in assessments with annual cost indexing based on the annual San Diego-Carlsbad Consumer Price Index, All Urban Consumers. Zone A had a majority protest for the increase, and therefore, failed to pass the ballot. As such, the assessment rate is proposed to remain unchanged from the Fiscal Year 1997-98 rate. The failure of an assessment increase by ballot for Zone A in Fiscal Year 1998-99 led to a reduction of maintenance services. In Fiscal Year 2019-20 the service level was reduced in Zone A from level B to a level C. Zone B passed the 1998-99 ballot allowing for the option of an annual increase based on the San Diego-Carlsbad Consumer Price Index, All Urban Consumers on an as needed basis. Because projected revenues are sufficient to fund anticipated budgetary needs, no increase to Zone B (non-residential) parcel assessments is requested at this time. The assessment rate levied by the District for Zone B may be less than the maximum amount in any given year if not required to meet 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 XIII D. 2of26 June 16, 2020, Item #7
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 $163.00 per benefit unit for Zone A and $75.31 per benefit unit for Zone B, for an estimated total of $42,295.50, will be used for the District's maintenance costs during Fiscal Year 2020-21. A General Fund contribution of $8,243.00 ($1,374.00 for Zone A and $6,869.00 for Zone B) will be made based upon average square footage maintenance costs for landscaped medians and rights-of-way that provide general benefit to the City. Public Notification: None. Attachments: A. Resolution B. 2020-21 Engineer's Annual Levy Report Reviewed/ Approved By: Wenaserman Assistant City Manager 3 of 26 Reviewed By: Alan Fenstermacher City Attorney App roved By: City Manager June 16, 2020, Item #7
RESOLUTION NO. 20-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 86-3 FOR FISCAL YEAR 2020-21 AND APPROVING THE ENGINEER'S REPORT WHEREAS, the City Council of the City of Poway desires to levy and collect assessments within Poway Landscape Maintenance District 86-3 for the purpose of maintaining, servicing and operating public landscape facilities located within the territory comprised of said district as shown in the Engineer's Report, included in the staff report as Attachment B, that is on file in the Office of the City Clerk, pursuant to the Landscape and Lighting Act of 1972; WHEREAS, assessments will not increase from the Fiscal Year 2019-20 assessment rate of $163.00 per benefit unit for Zone A and $75.31 per benefit unit for Zone B; 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 per square foot basis for the maintenance of landscaped medians and rights-of-way. The total general benefit contribution for Zones A and B has been calculated to be $8,243.00; WHEREAS, under Article XIII D, Section 5(b) of Proposition 218 (adopted by general vote on November 5, 1996), the collection of Fiscal Year 2020-21 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 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. SECTION 2: Proposed assessments are as detailed in the Engineer's Report for Poway Landscape Maintenance District No. 86-3 for Fiscal Year 2020-21 included in the staff report as Attachment B and attached hereto. SECTION 3: Notice is hereby given that a public hearing is scheduled in the regular meeting place of the City Council, being the Council Chambers, City Hall, on the following date and time: Tuesday, July 21, 2020, at 7:00 p.m. At that time this legislative body will hear protests or objections in reference to the annual levy of assessments and to any other matters contained in this resolution. Any persons who wish to object to the proceedings or the annual levy should file a written protest with the City Clerk prior to the time set for the public hearing. If there is a majority protest against the levy of an annual assessment that is increased from the previous year, the proposed increase in the assessments 4of26 ATTACHMENT A June 16, 2020, Item #7
Resolution No. 20-Page 2 shall be abandoned. A majority protest exists if, upon the conclusion of the hearing, written protests filed and not withdrawn, represent property owners owning more than 50 percent of the assessable area of land within the District. SECTION 4: The City Clerk is hereby authorized and directed to give notice as required by law by causing a copy of this Resolution to be published in the Poway News Chieftain, a newspaper of general circulation in the City of Poway, not less than ten ( 10) days prior to the date set for the public hearing. PASSED, ADOPTED AND APPROVED at a Regular Meeting of the City Council of the City of Poway, California on the 16th day of June 2020 by the following vote, to wit: AYES: NOES: ABSENT: DISQUALIFIED: Steve Vaus, Mayor ATTEST: Faviola Medina, CMC, City Clerk 5 of26 June 16, 2020, Item #7
City of Poway Landscape Maintenance Assessment District 86-3 2020/2021 ENGINEER'S ANNUAL LEVY REPORT INTENT MEETING:JUNE 16, 2020 PUBLIC HEARING: JULY21, 2020 Ww1LLDAN ATTACHMENT B June 16, 2020, Item #7
AFFIDAVIT FOR THE ENGINEER'S ANNUAL LEVY REPORT Landscape Maintenance District 86-3 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 2020/2021, 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 __ 16_t_h __ day of __ J_un_e __ ~ 2020. Willdan Financial Services Assessment Engineer On Behalf of the City of Poway By:/t-Susa~e~ Project Manager, District Administration Services By:~::..........:..-=---...=..1£.------!.--+~~;.;;;;..;,:;..---Richard Kopecky R. C. E. # 16742 7 of26 June 16, 2020, Item #7
TABLE OF CONTENTS I. OVERVIEW .............................................................................................................. 1 A. INTRODUCTION ...................................................................................................... 1 B. COMPLIANCE WITH CURRENT LEGISLATION ................................................. 1 C. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT .......................................... 2 II. DESCRIPTION OF THE DISTRICT ........................................................................ 3 A. BOUNDARIES OF THE DISTRICT ........................................................................ 3 B. DESCRIPTION OF THE DISTRICT IMPROVEMENTS ........................................ 4 C. PROPERTIES BENEFITING FROM IMPROVEMENTS ....................................... 4 Ill. METHOD OF APPORTIONMENT .......................................................................... 4 A. GENERAL ................................................................................................................ 4 B. BENEFIT ANALYSIS ............................................................................................... 5 C. ASSESSMENT METHODOLOGY .......................................................................... 7 D. MAXIMUM ASSESSMENT RATE .......................................................................... 8 IV. DISTRICTBUDGETS .............................................................................................. 9 A. DESCRIPTION OF BUDGET ITEMS ..................................................................... 9 B. ZONE A BUDGET .................................................................................................. 10 C. ZONE B BUDGET .................................................................................................. 11 APPENDIX A -DISTRICT ASSESSMENT DIAGRAM ............................................... 12 APPENDIX B -2020/2021 ASSESSMENT ROLL ...................................................... 14 8 of26 June 16, 2020, Item #7
l 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 86-3 ("District''), formed May 20, 1986. The District is levied 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 CaliforniaConstitutionArticleXIIID ("Article XII ID"). The 1972Actand Article XIIID are collectively referred to herein as "Assessment Law". This Engineer's Annual Levy Report ("Report") describes the District, any annexations, or changes to the District including substantial changes to the District improvements, and the proposed assessments for Fiscal Year 2020/2021. The proposed assessments are based on the estimated cost to maintain the improvements that provide special benefits to properties within the District. The costs of improvements and the annual levy include all expenditures, deficits, surpluses, revenues, and reserves. Each parcel is assessed proportionately for only 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 to the Report or confirm the Report as submitted. Following final approval of the Report, and confirmation of the assessments, the Council may order the levy and collection of assessments for Fiscal Year 2020/2021 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 2020/2021. 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 XI 11 D and has made the following findings aid 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 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 2020/2021 9 of26 City of Poway Maintenance District 86-3 June 16, 2020, Item #7
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 1972Act. /ls 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 Ill 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; and, • Costs associated with any elections held for the approval of a new or increased assessment. 2020/2021 10 of 26 City of Poway Maintenance District 86-3 2 June 16, 2020, Item #7
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. fl 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. The Boundary Map shows the District boundary and the general location of District improvements. On February 25, 1992, by Council Resolution No. 92-039, Landscape Maintenance District 86-3 was divided into two zones: 86-3 Zone A for residential and 86-3 Zone B for commercia. Assessments for each zone of the District (LMD 86-3Aand 8) are being calculated by applying the zones' approved maximum assessment rate times the total units within each District zone. No new improvements or assessed parcels were added to the District during Fiscal Year 2019/2020. District 86-3 Zone A ( 159 residential parcels assessed), includes the following developments: Tract Pro·ect Name TM 3994 TTM 88-03 TTM 94-02 The Pond Sycamore Springs Poway Oaks District 86-3 Zone B (16 non-residential parcels; 205.936 commercial units; and 2 multi-residential, low-income housing apartments having 40.36 units) consists of the following developments: Tract Pro·ect Name TPM 90-04 TTM 90-05 Under Bldg. Permit DR 98-07NAR 98-11 TPM 01-06 DR 05-05 2020/2021 11 of 26 Wal Mart Creekside Plaza SteinMart Plaza/New Tenant Poway Hyundai Hillside Village Apartments Sciara Apartments City of Poway Maintenance District 86-3 3 June 16, 2020, Item #7
B. DESCRIPTION OF THE DISTRICT IMPROVEMENTS Facilities to be maintained by Zone A of the District are defined as landscape improvements within the right-of-ways and open space areas associated with annexed subdivisions and which are adjacent to portions of Pomerado Road, Old Pomerado Road, Metate Lane, Oak Knoll and Sage View Roads, including natural open space areas within the associated subdivisions. Facilities to be maintained by Zone B of the District are defined as landscape improvements within the right-of-ways and adjacent to portions of Poway, Midland, and Community Roads. Walls and fences adjacent to private property are to be maintained by the adjacent property owners. The District/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 include major repairs or reconstruction within the District'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. 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 C and Zone B is within Service Level A for Fiscal Year 2020/2021. 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 Assessment Law and in this Report, shall be assessed to those properties determined to receive benefit from the District's improvements. Ill 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: 2020/2021 12 of 26 City of Poway Maintenance District 86-3 4 June 16, 2020, Item #7
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 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 crirres, 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 with in the District receives benefit from the improvements. However, ea:h 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; 2020/2021 13 of 26 City of Poway Maintenance District 86-3 5 June 16, 2020, Item #7
• 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. 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 genera 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. Zone A: No new improvements were added during Fiscal Year 2020/2021: LANDSCAPE ELEMENT QUANTITY Landscaped Rig ht-of-Ways 11,034 Sq. Ft. Zone B: No new improvements were added during Fiscal Year 2020/2021: LANDSCAPE ELEMENT QUANTITY Landscaped median 22,913 Sq. Ft. 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 2020/2021 is determined to be: $0.1245 per square foot for landscaped right-of-ways, and $0.2998 per square foot for landscaped medians As part of the audit, the City shall determine the average expenditure from the Genera Fund for the maintenance of District landscape improvements. Based on an increase of 2.16 percent in the San Diego-Carlsbad Consumer Price Index (the average of All Urban Consumers and Urban Wage Earners and Clerical Workers), comparable services 2020/2021 14 of 26 City of Poway Maintenance District 86-3 6 June 16, 2020, Item #7
provided by the City of Poway staff for general landscape services, the general benen for Fiscal Year 2020/2021 will increase from Fiscal Year 2019/2020, based on the contribution rate per square foot, at a maximum for this District Zone A 11 , 034 sq. ft. landscaped R/VV X $0.1245 = $1,373.73 Zone B 22,913 sq. ft. landscaped median X $0.2998 = $6,869.32 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: • 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 throughoutthe 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. 2020/2021 15 of 26 City of Poway Maintenance District 86-3 7 June 16, 2020, Item #7
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 parcels within the District are scheduled to contribute in-lieu assessments in Fiscal Year 2020/2021. 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. 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 2020/2021 proposed assessment for each parcel were calculated and are shown in the Assessment Roll (Appendix 8). • The calculated Fiscal Year 2020/2021 assessment for Zone A is proposed to remain at the Fiscal Year 2019/2020 assessment rate of $163.00 per benefit unit. • The calculated Fiscal Year 2020/2021 assessment for Zone 8 is proposed to remain at the Fiscal Year 2019/2020 assessment rate of $75.31 per benefit unit. D. MAXIMUM ASSESSMENT RATE In 1998, property owners within the District received ballots as specified under Assessrrent Law. Zones A and 8 were balloted for an increase in assessments, including yearly cost indexing adjustments based on the San Diego-Carlsbad Consumer Price Index (SD-CPI), All Urban Consumers. An assessment rate increase for Zone A failed under the balloting process of property owners. Zone 8 property owners voted for an increase in assessment rates, and also approved any necessary future assessment increases based on related SD-CPI, All Urban Consumers. The maximum assessment rate for Zone A remains unchanged at $163.00 per benefit unit for Fiscal Year 2020/2021. The maximum assessment rate for Zone Bis $129.69, which is a 2.35% increase based on the SD-CPI, All Urban Consumers. 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 yecr. 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 owning balloting procedures as dictated by Article XIIID. 2020/2021 16 of 26 City of Poway Maintenance District 86-3 8 June 16, 2020, Item #7
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 2020/2021, commencing July 1, 2020 and ending June 30, 2021, 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. 2020/2021 17 of 26 City of Poway Maintenance District 86-3 9 June 16, 2020, Item #7
B. ZONE A BUDGET Fiscal Year Fiscal Year Fiscal Year BUDGET ITEMS 2018/2019(1) 2019/2020(2) 2020/2021(3) EXPENDITURES: Maintenance $11,815 $8,740 Water/power 10,054 12,460 Administration(4) 4,460 5,345 Total Expenditures $26,329 $26,545 REVENUES City General Benefit Contribution $1,298 $1,345 Assessment Re\enue 25,917 25,917 Interest Re\enue 998 1,000 Grant Re\enue 0 0 Capital Project Closeout 0 0 Miscellaneous 0 0 Total Revenues $28,213 $28,262 DISTRICT STATISTICS Total Number of Parcels 159 159 Total Parcels Le"1ed 159 159 Total EBU's 159 159 Rate per EBU (Equivalent Benefit Units) $163.00 $163.00 Maximum Rate per EBU $163.00 $163.00 OPERA TING RESERVE Beginning Reser\€ Balance $17,307 $13,165 Transfers In/Out (CIP) (6,026) (1,609) Reser\€ Fund Acti"1ty 1,884 1,717 Estimated Ending Reserve Balance $13,165 $13,273 CAPITAL IMPROVEMENT RESERVE CIP Fund Balance $30,092 $36,118 CIP Transfers In/Out (Operating Reser\€) 6,026 1,609 CIP Projects 0 0 Estimated Ending CIP Reserve Balance $36,118 $37,727 (1) Actual figures per Finance Fiscal Year 2018/2019 activity sheets. (2) (3) (4) 2020/2021 18 of 26 Approved budget. Proposed budget. Includes cost allocation for City staff support services. City of Poway Maintenance District 86-3 $9,373 15,533 3,411 $28,317 $1,374 25,917 1,000 0 0 0 $28,291 159 159 159 $163.00 $163.00 $13,273 912 (26) $14,159 $37,727 (912) 0 $36,815 10 June 16, 2020, Item #7
ZONE 8 BUDGET Fiscal Year Fiscal Year Fiscal Year BUDGET ITEMS 2018/2019(1) 2019/2020(2) 2020/2021(3) EXPENDITURES: Maintenance $17,106 $18,670 Water/power 4,754 6,830 Administration<4l 5,940 6,730 Total Expenditures $27,800 $32,230 REVENUES City General Benefit Contribution $6,487 $6,725 Assessment Rei,,enue 16,538 16,379 Interest Re1venue 3,332 2,500 Grant Rei,,enue 0 0 Capital Project Closeout 0 0 Miscellaneous 0 0 Total Revenues $26,357 $25,604 DISTRICT STATISTICS Total Number of Parcels 16 16 Total Parcels Le"1ed 16 16 Total EBU's 217.48 217.48 Rate per EBU (Equivalent Benefit Units) $75.31 $75.31 Maximum Rate per EBU $122.58 $126.71 OPERATING RESERVE Beginning Reseri,,e Balance $12,961 $13,900 Transfers In/Out (CIP) 2,382 8,841 Reseri,,e Fund Acti"1ty (1,443) (6,626) Estimated Ending Reserve Balance $13,900 $16,115 CAPITAL IMPROVEMENT RESERVE CIP Fund Balance $145,438 $143,056 CIP Transfers In/Out (Operating Reseri,,e) (2,382) (8,841) CIP Projects 0 0 Estimated Ending CIP Reserve Balance $143,056 $134,215 (1) Actual figures per Finance Fiscal Year 2018/2019 activity sheets. (2) (3) (4) 2020/2021 19 of 26 Approved budget. Proposed budget. Includes cost allocation for City staff support services. City of Poway Maintenance District 86-3 $19,021 6,231 3,850 $29,102 $6,869 16,379 2,000 0 0 0 $25,248 16 16 217.48 $75.31 $129.69 $16,115 2,290 (3,854) $14,551 $134,215 (2,290) 0 $131,925 11 June 16, 2020, Item #7
APPENDIX A -DISTRICT ASSESSMENT DIAGRAM A District Diagram has been prepared for the District in the format required by the 1972 Ad, 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 a: the Special Districts Office of the Public Works Department, during normal business hours. 2020/2021 20 of 26 City of Poway Maintenance District 86-3 12 June 16, 2020, Item #7
June 16, 2020, Item #7
APPENDIX B -2020/2021 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 2020/2021 Assessment Roll", and is on file with the City Clerk and is by reference made a part of this Report. 2020/2021 22 of 26 City of Poway Maintenance District 86-3 14 June 16, 2020, Item #7
APPENDIX B1 City of Pow y Land c.ape Maintenance District 86-3 Zone A Fi ca1 Ye r 2020/2021 Prellmin ry Roll Assessor Pare.el Numl>er DweUmg Benefit landuse Asses&ment 2020/2021 23 of 26 316-320-02-00 316-320-03-00 31 320-04-00 316-320-05-00 316-320-06.()() 3 6-320-07-00 31 320-08-00 31 320-20-00 316-320-21-00 316-320-22-00 316-320-3-00 31 320-24-0) 16-320-25-00 31 320-26-00 316-320-27-00 316-320-28-00 316-320-29-00 31 320-30-00 31 320-31-00 316-320-32-00 316-320-33-00 316-320-34-00 316-320-36--00 31 1-01-00 316-321-02-00 31 321-03-00 316-321-04-00 316-321-05-00 31 321-00-00 31 1-07-00 316-321-08-00 316-321-09-00 316-321-11-00 Units Unit& 1.00 RESIDENTlAL 63.00 1.00 RESIDE 163.00 .00 RESIDENTIAL 163 00 1.00 RESIDE TIAl 163_00 1.00 RESIDE TIAL 163.00 1.00 RESIDE 163 00 1.00 RESIDENTIAL 163.00 1 00 163.00 .00 163.00 1.00 RESIDE 16300 1.00 RESIDE 16300 1.00 RESIDE 163_00 1 00 RESIDE 16300 .00 RESIDE 16300 1.00 RESIDENTIAL 163 00 1.00 RESIDE 163.00 1.00 RESIDE 163.00 1 00 RESIDENTIAL 163 00 1.00 163.00 LOO 163_00 1.00 163.00 1.00 163.00 1.00 RESIDENTIAL 163.00 1.00 RESIDENTIAL 163 00 1.00 RESIDE 163.00 .00 RESIDE 163.00 1.00 RESIDE 163.00 1.00 RESIDE 163.00 1.00 RESIDE 163.00 .00 RESIDE 163.00 1.00 RESIDENTIAL 163 00 .00 RESIDE 163.00 1.00 RESIDE 163.00 1 00 RESIDE 16300 .00 RESIDENTIAL 163.00 1.00 RESIDE 163 00 1.00 RESIDE 163.00 1.00 RESIDE 163.00 1.00 RESIDE 163.00 1.00 163 00 1.00 163.00 1.00 RESIDE 163 00 1.00 RESIDE 163 00 1.00 RESIDE 163.00 1.00 RESIDE 163 00 .00 RESIDE 163.00 1.00 RESIDE 163.00 1.00 16300 1.00 163 00 1.00 RESIDE 163 00 .00 RESIDE 163.00 1.00 RESIDE 163 00 City of Poway Maintenance District 86-3 15 June 16, 2020, Item #7
DweUmg Benefit Assessor Parcel Numl>er Units Units La,..duse Assessment 2020/2021 24 of 26 316-321-20-00 316-321-21-00 316-321-22-00 316-321-23-00 316-321-24-00 316-321-25-00 316-321-26-00 316-321-27 -00 316-321-28-00 316-321-29-00 316-321-30-00 316-321..Jt-OO 316-321 2-00 316-321-33-00 316-321-35-00 317-2 1-05-00 317-2 1-06-00 317-2 1-07-00 317-2 1-08-00 317-2 1-09-00 317-2 ,_ 0-00 317-2 1-11-00 317 -2 1-2-00 317-2 1-3-00 317-211-14-00 317-2 1-15-00 317-2 1-6-00 317-2 1-7-00 317-2 1-8-00 317-2 1-19-00 317-2 1-20-00 317-2 1-21-00 317-2 1-22-00 317-2 1-23-00 317-2 1-24-00 317-2 1-25-00 317-2 1-26-00 317-2 1-27-00 317-2 1-28-00 317-2 1-29-00 317-2 1-30-00 317-2 1-31-00 317-2 1-32-00 317-2 ,~ 317-2 1-34-00 317-2 1-35-00 317-2 1-36-00 317-2 1-37-00 317 -2 1-38-00 317-2 1-39-00 1.00 RESIOENTIAl. 1.00 RESIDENTIAL 1.00 RESIDENTIAl 1.00 RESIDE T1AL 1.00 RESIDENTIAL 1.00 RESI OENTIAl. 1.00 RESIDENTIAL 1.00 RESIDENTlAL 1.00 RESIDENTIAL 1.00 RESIDENTIAL 1.00 RESI DENTIAl. 1.00 RESIDENTIAL 1.00 RESIDENTIAL 1.00 RESIDENTW. 1.00 RESIDENTIAL 1.00 RESIDENTIAL 1.00 RESIDE T1AL 1.00 RESIOENTIAL 1.00 RESIDENTIAL 1.00 RESIDE TlAL 1.00 RESIDENTIAL 1.00 RESIDENTIAL 1.00 RESIDE 1.00 RESIDE 1.00 RESIDENTlAL 1.00 RESIDENTIAL 1.00 RESIDE T1AL .00 RESIDENTIAL 1.00 RESIDE 1.00 RESIDENTlAL 1.00 RESIDENTlAL 1.00 RESIDENTlAL '1.00 RESIDENTlAL 1.00 RESIDENTIAL 1.00 RESIDE .00 RESIDENTlAL 100 RESI DENTIAl. 1.00 RESIDENTIAL 1.00 RESIDENTIAL 1.00 RESIDE T1AL .00 RESIDENTIAL 1.00 RESI DENTIAl. 1.00 RESIDENTIAL t.00 RESIDENTIAL 1.00 RESIDE T1AL 1.00 RESIDE .00 RESIOEN 1.00 RESIDE T1AL 1.00 RESIDENTIAL 1.00 RESIDENTIAl. 1.00 RESIDENTIAL 1.00 RESIDE 1.00 RESIDE TlAL 1.00 RESIOENTlAL 1.00 RESIDE 1.00 RESIDE 1.00 RESIDE 1.00 RESIDE 1.00 RESIDENTIAl City of Poway Maintenance District 86-3 163.00 163.00 16300 163.00 163.00 1 00 163.00 63 00 163.00 163.00 16300 163.00 163 00 16300 163.00 163 00 163.00 163.00 63.00 163.00 163 00 163.00 163.00 63.00 163.00 163 00 163 00 163.00 163.00 163 00 16300 16300 163.00 163 00 163.00 163.00 163.00 163.00 163 00 163.00 163.00 163.00 163.00 1 00 163.00 163.00 163.00 163 00 163.00 00 163.00 163 00 16300 16300 16300 16300 163 00 163 00 1 3 00 16 June 16, 2020, Item #7
Owe41mg Benefit Assessor Parcel Number U U Landuse Asses&ment mts nits 1.00 RESIDE TIAL 163.00 1.00 RESIDENTIAL 163.00 1.00 RESIOENTIAl. 63.00 1.00 RESIDENTlAL 163.00 1.00 RESIOENTIAl 163 00 1.00 RESIDENTIAL 163.00 1.00 RESIDENTIAL 163.00 .00 RESIDE 63.00 1.00 RESIDENTlAL 163.00 .00 RESIDENTIAL 163 00 1.00 RESIDE T1AL 163.00 1.00 RESIDENTIAL 163.00 .00 RESIDENTIAL 163.00 .00 RESIOENTIAl 63.00 1.00 RESIDENTIAL 163.00 1.00 RESIOENTIAl 163 00 1.00 RESIDENTIAL 163.00 .00 RESIOENTlAL 163.00 317-792-01-00 1.00 RESIDENTIAL 16300 317-792-02-00 1.00 RESIDENTlAL 163.00 317-192-03-00 1.00 RESIDENTlAL 16300 317-792-04-00 1.00 RESIDENTIAL 163.00 317 -792-05-00 1.00 RESIDENTIAL 63 00 317-792-06-00 1.00 RESIDENTIAL 16300 17-792-07-00 1.00 RESIDENTIAL 163.00 317-792-08-00 1.00 RESIDENTIAL 1 00 317-792-09-00 1.00 RESIDE 16300 317-792-0-00 1.00 RESIDENTIAL 163.00 317-792-1-00 1.00 RESIDENllAL 163.00 317.792. 2-00 100 RESIDENTIAL 163.00 317.792. 3-00 1.00 RESIDENTIAL 163 00 317-792--4--00 1.00 RESIDENTIAl 163.00 317-792-S-00 1.00 RESIDE 163 00 317.792. f>-00 1.00 RESIDENTIAL 163.00 317-792-7-00 1 00 RESIDENTIAL 163.00 317.792. 8-00 1.00 RESIDENTIAL 163.00 317-792-9-00 1.00 RESIDENTIAL 163.00 317-792-20-00 1.00 RESIDENTlAL 163.00 317-792-21-00 1.00 RESIDENTIAL 163.00 317-792-22-00 1.00 RESIDENTIAL 6300 317-792-23-00 1.00 RESIDENTIAL 163.00 317-792-2-4-00 1.00 RESIDE 163.00 317-792-25-00 1.00 RESIDE 163 00 317-792-26--00 1.00 RESIDENTlAL 163 00 317-792-27-00 100 RESIDENTIAL 16300 317-792-28-00 1.00 RESIDENTlAL 163.00 317-792-29-00 1.00 RESIDENTlAL 163.00 317-792-30-00 1.00 RESIDENTIAL 163.00 TOTA.LS 159 00 S25 917 00 TOT A.l PARCEL COUNT 159 2020/2021 25 of 26 City of Poway Maintenance District 86-3 17 June 16, 2020, Item #7
APPENDIX B2 City of Poway Landscape Maintenance District 86·3 Zone B Fiscal Year 2020/2021 Prellmlnary Roll Assessor Parcel Number Acreage EBU Landuse Assessment t -~ 3 -130-47..00 9.07 .28 RESIDENTIAL 2.732 26 3 7-130-67..00 0.66 2. N RESIDENTIAL 196.82 31 -130-68-00 1.36 5 NON RESIDENTIAL 409.70 3 -130-72 ..00 16. 9 65.96 NO RESIDENTIAL .967.44 317-190-44-00 1.67 6.68 N RESIDENTIAL 503.08 3 7-480-20-00 7.58 30.3 ON RESIDENTIAL 2,283. 3 7..a20-01..00 0.92 3.68 0 RESIDENTIAL zn. 4 3 '..820-02-00 0.69 2..76 N RESIDE 786 7..a20-03-00 0.69 76 RESIDE 7.86 317-320-04-00 .36 17 RES DENTIAL 1,313.42 3 -820-05-00 1.54 6. 6 RESIDEN 463.9 3 7-320-~ 0.8 3.24 RESIDENTIAL 2 00 3 7-320-07-00 0.92 3.68 RESIDENTIAL 2n 4 3 7-320-08-00 0.82 3.28 RESIDENTIAL 2 7.0 31 -820-09-00 .28 17.12 RESIDENTIAL 1.289.32 TOTAL 217.48 $16,378.50 TOTAL PARCEL COUNT 16 2020/2021 26 of 26 City of Poway Maintenance District 86-3 18 June 16, 2020, Item #7