Item 13 - Reso Estab. Assessments for LMD 19-1 to be Collected on the County Property Tax Roll for FY 21-22July 20, 2021, Item #13DATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA REPORT City of Poway July 20, 2021 Honorable Mayor and Members of the City Council Eric Heidemann, Director of Public Works f ~ CITY COUNCIL Will Wiley, Assistant Director of Public Works for Maintenance Operation~/ (858) 668-4705 or wwiley@poway.org _,, y Resolution Establishing Assessments for Poway Landscape Maintenance District 19-1 to be Collected on the San Diego County Property Tax Roll for Fiscal Year 2021-22 At the City Council meeting on June 15, 2021, the City Council adopted Resolution No. 21-039 declaring the intention to levy and collect assessments within Landscape Maintenance District (LMD) 19-1 and set the public hearing for July 20, 2021. The Fiscal Year 2021-22 assessment rate is proposed to increase from the Fiscal Year 2020-21 assessment rate of $859.74 per benefit unit to $872.63 per benefit unit. The service level will remain at level A and may be subject to adjustments depending on the frequency and magnitude of unplanned events. Recommended Action: It is recommended that the City Council take public input, close the public hearing and adopt the Resolution. Discussion: On May 21, 2019, a Proposition 218 ballot was passed to reorganize LMD 87-1, forming a new landscape maintenance district (LMD 19-1) by detaching 327 commercial properties. LMD 19-1 includes the following commercial developments: 1 of 5
July 20, 2021, Item #13TRACT PROJECT NAME TTM 85-04 Pomerado Business Park I and II TTM 86-02R Tech Business Center TTM 87-13 Parkway Business Centre I and II TTM 88-04R Trident Center TTM 98-05 Parkway Business Centre Ill TTM 99-07 Legacy/Toppan DR 95-13 Watkins Terminals DR 97-47 Discovery Isle TTM 00-01 Poway Views, LLC DR 03-13 Costco/Home Depot TTM 86-02R Poway Corporate Center TPM 06-04 Slough Poway 11, LLC Total revenue (assessments, the General Fund contribution and interest) is anticipated to be insufficient to offset LMD 19-1 's projected expenses this fiscal year. An assessment rate increase by the San Diego Consumer Price Index (CPI) increase of 1.5 percent is requested at this time. Assessments are proposed to increase from $859.74 per benefit unit to $872.63 per benefit unit. Proposition 218 balloting passed in 2019 allowed for an annual CPI increase, if necessary. The service level is to remain at level A because of a sufficient reserve fund balance, however, LMD 19-1 may be subject to future adjustments to align with assessment revenue and to accommodate unexpected repair needs that arise. A service level A consists of performing landscape maintenance services (e.g., irrigation inspection, removal of trash and debris, trimming of shrubs, fertilizing, mowing, edging, pruning, sweeping) for respective areas within LMD 19-1 on a weekly basis. The City Council's approved Fiscal Year 2021-22 Engineer's Report is on file in the Office of the City Clerk, 13325 Civic Center Drive and the Department of Public Works, 14467 Lake Poway Road, Poway, California. Environmental Review: This action is not subject to review under the California Environmental Quality Act (CEQA). Fiscal Impact: The Fiscal Year 2021-22 LMD 19-1 assessment shall increase from the Fiscal Year 2020-21 rate of $859.74 per benefit unit to $872.63 per benefit unit. Revenue for LMD 19-1 is comprised of $760,479.59 from assessments, $1,000 in estimated interest earnings and $149,049.00 in General Fund contributions. These estimated revenues are currently sufficient to cover planned service levels. Service levels may be subject to adjustments depending on the frequency and magnitude of unplanned events. Public Notification: A Notice of Public Hearing was published in the Poway News Chieftain on Thursday, July 1, 2021. Pursuant to Government Section 53753, all public notification requirements have been met. No responses have been received regarding the proposed assessments at the time this report was written. 2 of 5
July 20, 2021, Item #13Attachments: A. Resolution Reviewed/ Approved By: /. L---Wendy :a'~an Assistant City Manager 3 of 5 Reviewed By: Alan Fenstermacher City Attorney
July 20, 2021, Item #13RESOLUTION NO. 21-A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POWAY, CALIFORNIA, ESTABLISHING ASSESSMENTS FOR POWAY LANDSCAPE MAINTENANCE DISTRICT 19-1 TO BE COLLECTED ON THE SAN DIEGO COUNTY PROPERTY TAX ROLL FOR FISCAL YEAR 2021-22 WHEREAS, the City Council of the City of Poway desires to have Landscape Maintenance District assessments collected on the San Diego County Property Tax Roll; WHEREAS, pursuant to the provisions of the City of Poway Resolution No. 00-034 (Policies for Landscape Maintenance Districts) and Assessment law being the "Landscape and Lighting Act of 1972" (being part 2 of Division 15 of the California Streets and Highways Code), applicable provisions of "Proposition 218" (being Article XIII C of the California Constitution), and provisions of the "Proposition 218 Omnibus Implementation Act" (being California Senate Bill 919), and in accordance with the Resolution of Intention, being City of Poway Resolution No. 21-039 adopted by the City Council of the City of Poway, County of San Diego, State of California, in connection with the proceedings for Landscape Maintenance District 19-1, the Assessment Engineer for the City of Poway has submitted an Engineer's Report for the District as required by California Street and Highways Code, Section 2256; WHEREAS, on June 15, 2021, at a regular meeting of the Poway City Council, the amounts to be collected have been set forth in a public Engineer's Report; WHEREAS, on July 20, 2021, the City Council held a duly advertised public hearing to solicit comments from the public, both for and against, relative to this matter; and WHEREAS, this action is authorized by the laws of the State of California. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Poway as follows: SECTION 1: The Assessment Rate for one (1) zone is as follows: Zone A: $872.63 per benefit unit SECTION 2: The sum of assessments to be collected on the Fiscal Year 2021-22 San Diego County Property Tax Roll to provide for the maintenance of landscape improvements within Zones A of Landscape Maintenance District 19-1 is as follows: Zone A: $760,479.59 SECTION 3: Under Assessment Law, the City of Poway's General Benefit Contribution has been calculated as $149,049.00. 4 of 5 ATTACHMENT A
July 20, 2021, Item #13Resolution No. 21-Page 2 PASSED, ADOPTED AND APPROVED at a Regular Meeting of the City Council of the City of Poway, California on the 20th day of July, 2021 by the following vote, to wit: AYES: NOES: ABSENT: DISQUALIFIED: Steve Vaus, Mayor ATTEST: Deborah Harrington, Interim City Clerk 5 of 5