The URL can be used to link to this page

RPVCCA_CC_SR_2015_06_16_03_Citywide_Landscaping_and_Lighting_Maintenance_DistCITY OFi�RANCHO PALOS VERDES PUBLIC HEARING Date: June 16, 2015 Subject: Citywide Landscaping and Lighting Maintenance District Subject Property: Citywide 1. Report of Notice Given: City Clerk Morreale 2. Declare the Hearing Open: Mayor Knight 3. Staff Report & Recommendation: Director of Public Works Throne 4. Public Testimony: Applicant: N/A Appellant: N/A 5. Council Questions: 6. Rebuttal: 7. Declare Hearing Closed: Mayor Knight 8. Council Deliberation: 9. Council Action: Public Hearing Cover Page CITY OF RANCHO 1 TO: HONORABLE MAYOR & CITY COUNCIL MEMBERS FROM: Sor MICHAEL THRONE, P.E., DIRECTOR iY16,2015 MAINTENANCESUBJECT: CITYWIDE LANDSCAPING AND LIGHTING DISTRICT (SUPPORTS 2014 CITY COUNCIL• OF ACCOUNTABILITY,GOVERNMENT EFFICIENCY, CONTROL, TRANSPARENCYAND OVERSIGHT) REVIEWED: DOUG . • - .•- - • •Senior . Administrative Analyst . i. RECOMMENDATIONS 1) Conduct a public hearing on the proposed levy and collection of assessments within the Citywide Landscaping and Lighting Maintenance District for Fiscal Year 2015-16 and the Engineer's Report prepared in connection therewith. 2) Adopt Resolution No. 2015- , a Resolution of the City Council of the City of Rancho Palos Verdes, making certain findings and confirming a diagram and assessments for the 2015-16 Fiscal Year in connection with the Citywide Landscaping and Lighting Maintenance District, pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code. BACKGROUND On May 5, 2015, the City Council approved the Engineer's Report for the Fiscal Year 2015-16 Citywide Landscaping and Lighting Maintenance District (the "Citywide District"). The Citywide District was formed in 1992 to levy assessments on parcels throughout the City to finance the ongoing operation, maintenance, and servicing of median landscaping, street trees, street lighting, and traffic signals within the boundaries of the City of Rancho Palos Verdes. The approved Engineer's Report established the Citywide District assessments for Fiscal Year 2015-16. A Resolution of Intention was also approved at the May 5, 2015 City Council meeting, which set this evening's public hearing on the proposed levy and collection of these assessments. Staff placed a notice of the public hearing in the Palos Verdes Peninsula News on May 21, 2015 (Exhibit A). In addition, the notice of the public hearing was posted at the Civic Center, Hesse Park, and Ladera Linda Community Center beginning on May 20, 2015. F Public Hearing — Citywide Landscaping & Lighting Maintenance District for FY 2015-16 June 16, 2015 Page 2 DISCUSSION The "Estimate of Cost" on page seven of the Engineer's Report for Fiscal Year 2015-16 provides a summary of the Citywide District revenue and expenditure amounts. Expenditures for Fiscal Year 2015-16 are estimated to be $799,966 (for street landscaping and related administrative expenditures) and the proposed assessment of $258,515 will fund a portion of these expenditures. Accumulated reserves of $42,503, interest earnings of $380, and $498,568 of City Contribution will be used to cover the expenditures in excess of the annual assessment. The $498,568 of City Contribution includes both Highway Users Tax and an accumulated fund balance in the Street Maintenance Fund. These funding sources are restricted for use on street landscaping and street lighting costs, as identified in the Final Engineer's Report. In addition to these revenues and expenditures, as directed by the City Council at the June 21, 2005 public hearing, the 1911 Act ad valorem property tax fund balance will be used to pay for the cost of maintaining citywide traffic signals and safety lighting. The budget for the upcoming Fiscal Year 2015-16 is estimated at $117,000. The approved Fiscal Year 2015-16 Engineer's Report groups parcels in the City into various zones, which receive differing degrees of benefit from the operation of the Citywide District as a result of variations in the nature, location, and extent of the proposed maintenance activities and improvements. The proposed Fiscal Year 2015-16 assessments for a single-family parcel range from $3.77 to $41.33. In all seven zones within the City, the proposed assessments for Fiscal Year 2015-16 are the same as the assessments levied in Fiscal Year 2014-15. It is not recommended to increase the existing assessments at this time. If Council chooses to consider increasing the assessment, pursuant to Proposition 218, the City must give written notice to all affected property owners, hold a public hearing and a mailed assessment ballot vote. This legal process could take about 9-12 months depending on the level of civic engagement and community outreach. The City Council cannot increase the assessment if a majority protest exists. A majority protest exists if, at the close of the public hearing, assessment ballots submitted (and not withdrawn) in opposition to the proposed increase exceed the assessment ballots submitted (and not withdrawn) in favor of the proposed increase. In determining whether a majority protest exists, assessment ballots will be weighted according to the proposed increased assessment against the property. This process could take about 9-12 months depending on the level of civic engagement and community outreach. CONCLUSION To levy assessments for the Citywide District's operation, the Landscaping and Lighting Act of 1972 requires the City Council to conduct a public hearing and adopt a resolution confirming the assessments. The City Council's approval of staff's recommendations will establish assessments for single-family parcels that range between $3.77 and $41.33. Approximately 94% of all properties within the City will be assessed $15.92 for Fiscal Year 2015-16. FISCAL IMPACT By adopting staff's recommendations, the City Council will be approving total assessments of $258,515 to fund the Citywide District's operations for the maintenance of street landscaping and related administrative expenses. The total estimate of the Citywide District expenses for Fiscal Year 2015-16 is $799,966. Accumulated reserves of $42,503, interest earnings of $380, and $498,568 of City Contribution will be used to cover Citywide District expenditures in excess of the annual assessment. These allocations are included in the City's proposed Fiscal Year 2015-16 2 Public Hearing — Citywide Landscaping & Lighting Maintenance District for FY 2015-16 June 16, 2015 Page 2 budget, which is scheduled for City Council adoption on June 16, 2015. Attachments: • Exhibit A -- Notice of Public Hearing (page 4) • Exhibit B — Affidavit of Posting (page 5) • Exhibit C — Engineer's Report for FY 2015-16 (page 6) • Exhibit D -- Resolution No. 2015- (page 30) NOTICE OF PUBLIC HEARING CITYWIDE LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT FOR FISCAL. YEAR 2015-16 NOTICE IS HEREBY GIVEN that a public hearing will be conducted for the Rancho Palos Verdes Citywide Landscaping and Lighting Maintenance District nnTuesday, jUOo 16, 2O15.a\7:O0PM, utFred Hesse Community Park, 293O1Hawthorne Boulevard. On May 5. 2015. the City Council adopted Resolution No. 2015-34 declaring its intention <Olevy and collect assessments within the Citywide Landscaping and Lighting Maintenance District for Fiscal Year 2D15-18 pursuant inthe Landscaping and Lighting Maintenance Act Of 1972, Pad 2 of Division 15 of the California Streets and Highways Code, and appointing a time and place for hearing objections thereto. A copy of RoaD|uUoO 2015- 34 follows below: LI IR RANCHO PAWS VERDES STATE OF CALIFORNIA COUNTY OF LOS ANGELLS )SS AFFIDAVIT OF POSTING CITY OF RANCHO PALOS VERDES) The undersigned, being first duly sworn, deposes and says: That at all times herein mentioned, she was and now is the appointed City Clerk of the City of Rancho Palos Verdes; That on May 20, 2015, she caused to be posted the following document entitled: Notice of Public Hearing — Citywide Landscaping and Lighting Maintenance District for Fiscal Year 2015-16, a copy of which is attached hereto, in the following locations: Civic Center 30940 Havvthorne Blvd, Rancho Palos Verdes Hesse Park 29301 Hawthorne Blvd. Rancho Palos Verdes Ladera Linda Community Center 32201 Forrestal Drive Rancho Palos Verdes I certify under penalty of perjury that the foregoing is a true and correct affidavit of posting. City Clerk Final Enaineer's Resort for Citywide Landscape and Lighting Maintenance District Fiscal Year 2015-16 Presented to the City of Rancho Palos Verdes Los Angeles County, California May 21, 2015 101 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page i ENGINEER'S REPORT CITY OF RANCHO PALOS VERDES CITYWIDE LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT The undersigned respectfully submits the enclosed report as directed by the City Council. DATED: May 21, 2015 BY: K. Dennis K4fngelh4yr R.C.E. No. 50255 I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll and Assessment Diagram thereto attached, was filed with me on the day of 2015. Carla Morreale, City Clerk, City of Rancho Palos Verdes Los Angeles County, California I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll and Assessment Diagram thereto attached, was approved and confirmed by the City Council of the City of Rancho Palos Verdes, California, on the day of 2015. Carla Morreale, City Clerk, City of Rancho Palos Verdes Los Angeles County, California E R11 - I-inal llmd15-Ib 21.Mag15 \'I.dcxs RI Hams & Associates 7 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page ii CITY OF RANCHO PALOS VERD S CITYWIDE LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT ENGINEER'S REPORT TABLE OF CONTENTS Certificates Introduction.............................................................. .....1 Report..............................................................................................................................3 Part A - Plans and Specifications.........................................................................5 Part D - Estimate of Cost-- ....... ...................... .................. ........ ............... -7 Part C - Assessment Roll.....................................................................................9 Part D - Method of Apportionment of Assessment.............................................10 Part E - Property Owner List..............................................................................18 Part F - Assessment District Diagram........................................................:.......18 Appendix — 3 Year Projection )2N Final I lmd 1516 21 May 15\Ldocx alttarris d& Associates Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District page 1 To insure a flow of funds for the on-going operation, maintenance and servicing of median landscaping, street trees, street lighting and traffic signals within the boundaries of the City of Rancho Palos Verdes, the City Council formed the Citywide Landscaping and Lighting Maintenance District on August 6, 1992. The Citywide Landscaping and Lighting Maintenance District ensures a fair and equitable levying of the necessary costs of operating, servicing and maintaining of the respective facilities, which in turn directly enhances the value of each and every parcel in the City. On November 5, 1996, the voters of the State of California adopted Proposition 218 creating Article X111 D of the California State Constitution which created requirements for the creation of new assessments or to increase existing assessments. Proposition 218 also established exemptions to its provisions for assessment districts created prior to its passage. The Citywide Landscaping and Lighting Maintenance District is currently deemed exempt from the requirements of Proposition 218. However, should assessments need to be increased in the future the District will have to comply with the requirements of Proposition 218, ADDITIONAL, STREET LIGHTING Fiscal Year 1995-96 was the first year that the City of Rancho Palos Verdes operated and maintained all of the street lights within the City. Prior to the incorporation of the City of Rancho Palos Verdes, the County of Los Angeles established County Lighting Maintenance Districts to install, operate and maintain street lights in areas throughout the County. Funds for street lighting came from a combination of ad -valorem tax revenue and, in more recent years, special assessments on properties benefiting from the street lighting. On January 17, 1995, the City Council directed Staff to analyze the feasibility of transferring jurisdiction for the entire citywide street lighting system from the County to the City. The purpose of the feasibility study was to determine whether or not it was feasible for the City to take over jurisdiction of the County owned street lighting facilities within the boundaries of the City and to review the fiscal impact which the transfer would have on the City. On February 7, 1995, the City Council received the feasibility report, authorized the transfer of the street lighting district from the County of Los Angeles to the City, and authorized the establishment of a special benefit zone along with the benefit methodology for possible future street lighting assessments in the Citywide Landscaping and Lighting Maintenance District. On April 6, 1995, the County of Los Angeles Board of Supervisors adopted a joint resolution that KPI -Final Ilmd15-1621Ma,15 VI.ducn Ilarris $ Associates 9 Rancho Palos Verdes May 21, 2415 Citywide Landscaping and Lighting Maintenance District Page 2 approved the transfer of the Street Lighting District from the County to the City. The transfer was effective July 1, 1995, On June 21, 2005, the City Council modified the FY 2005-06 Engineer's Report to provide for a temporary "credit" to property owners whereby the Traffic Signal and Safety Lighting operation and maintenance costs would be paid out of the 1911 Act Lighting Maintenance District fund balance. This temporary "credit" may be discontinued in any subsequent year at which time these costs will revert to being funded by the annual assessments and the assessment rates will be set at the previously approved maximum rates. This credit continues to be applied. ANNUAL PROCEEDINGS The annual proceedings for the Citywide Landscaping and Lighting Maintenance District are conducted under the Landscaping and Lighting Act of 1972, Part 2 of Division 15, Sections 22500 through 22679, of the Streets and Highways Code of the State of California (the "Act"). This report, as signed and presented to the Council for approval, has been prepared according to the methodology and rates approved by the City Council in 1992. The City Council annually reviews the current and projected year's costs for the operation, maintenance, and servicing of the District facilities and sets the assessment for the ensuing fiscal year, which runs between July 1 and June 30. In setting the annual assessment, the City Council will consider any proposed new improvements or any changes in existing improvements, and any fund balances or shortages, and adjust the assessment accordingly. Payment of the assessment for each parcel will be made in the same manner and at the same time as payments are made for property taxes for each property. This report contains the necessary data required to conduct the proceedings and is submitted to the City Clerk for filing in the office of the City Clerk where it shall remain open for public inspection. kIII-IimilllindIS-IG21MngI5 Vl.docs Harris & Associates 10 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 3 FISCAL, YEAR. 2015-16 CITY OF RANCHO PALOS VERDE ENGINEER'S REPORT PREPARED PURSUANT TO THE PROVISIONS OF THE LANDSCAPING AND LIGHTING ACTOF 1972 SECTION rt THROUGH Pursuant to Part 2 of Division 15 of the Streets and Highways Code of the State of California, and in accordance with the Resolution of Initiation adopted by the Council of the City of Rancho Palos Verdes, State of California, in connection with the proceedings for: CITY OF RANCHO PALOS VERDES CITYWIDE LANDSCAPING AND LIGHTING MAINTENANCE DISTRICT herein after referred to as the "Assessment District", I, K. Dennis Klingelhofer, P,E., authorized representative of Harris & Associates, the duly appointed ENGINEER OF WORK, submit herewith the "Report" consisting of six (6) parts as follows: PART A Plans and specifications for the improvements showing and describing the general nature, location and extent of the improvements. PART B An estimate of the cost of the proposed improvements for FY 2015-16, including incidental costs and expenses in connection therewith. PART C An assessment of the estimated cost of the improvements on each benefited lot or parcel of land within the Assessment District. The method of apportionment of assessments, indicating the proposed assessment of the total amount of the costs and expenses of the improvements upon the several lots and parcels of land within the Assessment District, in proportion to the estimated benefits to be received by such lots and parcels. kV I- I i"sl Ilord 1 5.16 21 May 15 V l .docs 11 Rancho Palos Verdes May 21.2D15 Citywide Landscaping and Lighting Maintenance District Page 4 PARTE A Ud W the names and addresses of the owners of neo| property within the Assessment District, as shown on the last equalized roll of the Assessor of the County of Los Angeles. PART The Diagram of the Assessment District Boundaries showing the exterior boundaries of the Assessment Diatdd, the boundaries nfany zones within the Assessment District and the lines and dimensions of each lot or parcel of land within the Assessment District. xm mla Im=vu^owa,uVI, oc, Harris & Associates Rancho Pales Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 5 PART A ELLAUSL T�I The facilities which have been constructed within the City of Rancho Palos Verdes, and those which may be subsequently constructed, will be operated, serviced and maintained as generally described as follows: FOR THE CITY OF RANCHO PALOS VERDES DE LANDSCAPING AND LIGHTING MAINTENANCE Fiscal Year 2015-16 The proposed improvements for FY 2035-16 may be generally described as the continued maintenance of eligible improvements within the District, including the operation, servicing and maintenance of landscaping, lighting and appurtenant facilities that are located in and along such streets and sidewalks, including but not limited to, personnel, utilities (such as water and electrical energy), materials, contracting services, and other items necessary for the satisfactory operation of these facilities described as follows: Landscaping and Appurtenant Facilities Landscaping, planting, shrubbery, trees, irrigation systems, hardscapes, fixtures, sidewalks and appurtenant facilities, in public street and sidewalk rights-of-way, including parkways, medians and dedicated easements within the boundary of said Assessment District. Lighting and Appurtenant Facilities Poles, fixtures, bulbs, conduits, equipment including guys, anchors, posts and pedestals, metering devices and appurtenant facilities as required to provide street lighting, traffic signals and safety lighting in public street and sidewalk rights-of-way and easements within the boundaries of said Assessment District. Maintenance means the furnishing of services and materials for the ordinary and usual maintenance, operation and servicing of the landscaping, public lighting facilities and appurtenant facilities, including repair, removal or replacement of all or part of any of the landscaping, public lighting facilities or appurtenant facilities; providing for the life, growth, health and beauty of the landscaping, including cultivation, irrigation, trimming, spraying, fertilizing and treating for disease or injury; the removal of trimmings, rubbish, debris and other solid waste; and the cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti. KPI Final Ii md15� Ib 21 Mav 15 VIAm, Harris & Associates 13 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District page 6 Servicing means the furnishing of water for the irrigation of the landscaping and the maintenance of any of the public lighting facilities or appurtenant facilities and the furnishing of electric current or energy, gas or other illuminating agent for the public lighting facilities, or for the lighting or operation of the landscaping or appurtenant facilities. The plans and specifications for the improvements, showing and describing the general nature, location, and the extent of the improvements, are on file in the office of the City Clerk and are incorporated herein by reference. RN 1-ivalIlmdl5-1(,21Ma)15VLdoca Harris & Associates 14 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District page 7 PART ESTIMATE " COST The estimated cost of the street and sidewalk improvements for Fiscal Year 2015-16, as described in Part A, are summarized herein and described below. All costs include administration and utilities where applicable. 1972 Act Fund 203 BEGINNING FUND BALANCE (7/1) $42,503 ' ESTIMATED REVENUES Proposed Assessment Levy $258,515 ' Ad Valorem Taxes, less delinquencies Interest Earnings $380 ' City Contribution to Cover Expenditures $498,568 ' Total Revenues $799,966 a' ESTIMAI ED EXPENDITURES Street Landscaping _M_ajor Thoroughfare Medians -_- -__ $372,960 Special Benefit Median Maintenance _---------- --- —Rue _ Beaupre (Zone B) $535 Alta Vista (Zone E) $865 Ocean Terrace (Zone F) _$_879_ Abalone Cove Shoreline Park Ma1nte Hance $50,000 California Coastal Trail Maintenance $11,000 Salvation Army Trail Maintenance $6,600 a Weed Abatement $15,000 2 _ Street Tree Trimming $230,000 Street Lights 1911 Act Fund 211 $1,722,059 $550,000 $15,500 $2,287,559 Traffic Signals & Safety Lighting $117,000 Street Lights $459,000 5 Ocean Terrace (Zone F) $1,040 $688,879 $576,000 Administration and Overhead Anticipated Delinquencies (3% $7,755 Administration and Overhead (15%) $103,332 $86,400 s $111,087 $86,400 Total Expenditures $799,966 ' $662,400 ENDING FUND BALANCE (6/30) $0 $1,625,159 s Cost Estimate Footnotes: 1 This item is budgeted within Fund 2.03, Program 3003, in the FY 2.015-16 Proposed City Budget, 2 This item is budgeted within Fund 101, Program 3009, in the FY 2015-16 Proposed City Budget. RP7 I-inalllnxll5-1621May15 V1.doo Harris & Associates 15 Rancho Palos Verdes May 21, 2415 Citywide Landscaping and Lighting Maintenance District Page 8 3This item is budgeted within Fund 203, Program 3010, in the FY 2015-16 Proposed City Budget, A This item is budgeted within Fund 202, Program 3004, in the FY 2015-16 Proposed City Budget. 5. This item is budgeted within Fund 211, Program 3011, in the FY 2015-16 Proposed City Budget. 6 Staff is currently evaluating alternatives for potential use of some or all of the 1911 Act Fund Balance (currently $1,625,159), including, but not limited to: (1) Acquisition of all street lights within the City boundaries from Southern California Edison and converting them to energy- efficient LED bulbs; (2) Expanding the scope of what is covered by the 1911 Act funds to include building and park exterior lighting, etc.; and/or (3) Reducing or suspending the assessments. These alternatives will likely be presented to City Council for consideration as part of the FY 2016-17 Budget Policy Issues. Estimated revenue generated by the 1972 Act proposed assessment for FY 2015-16 ($258,515) funds only a portion of the total cost for maintenance and servicing of these Citywide facilities ($799,966), with beginning 1972 Act Fund Balance ($42,503), interest earnings in the Fund ($380), and a City General Fund contribution ($498,568) covering the difference. Another alternative that will be explored as part of the FY 2016-17 Budget Policy Issues will be other potential ways to fund these maintenance costs rather than an ongoing General Fund contribution. A table showing how the budget is apportioned to each zone is provided on page 15. A three year projection of expenditures and revenues is shown in the appendix. The 1972 Act requires that a special fund be setup for the revenues and expenditures of the District. Funds raised by assessment shall be used only for the purpose as stated herein. A contribution to the District by the City may be made to reduce assessments, as the City Council deems appropriate. Any balance or deficit remaining on July 1 must be carried over to the next fiscal year. KPI - Final Il[lift L5-1621mo15 V'l.doca itI Harris & Associates 16 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District sage s PART C Y. 7i 2 Sjja The total proposed assessment for Fiscal Year 2015-16 and the amount of the total proposed assessment apportioned to each lot or parcel within the District, as shown on the latest assessment roll at the Los Angeles County Assessor's Office, are contained in the Assessment Roll on file in the office of the City Clerk of the City of Rancho Palos Verdes, which is incorporated herein by reference. The description of each lot or parcel is part of the County assessment roll and this roll is, by reference, made part of this Report. RP I - Final Ilmd 15 16 2 1 W,15 V Ldocx 1 Harris & Associates 17 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District page 10 METHOD OF APPORTION MENTOFASSESSMENT 1. GENERAL Part 2 of Division 15 of the Streets and Highways Code, the Landscaping and Lighting Act of 1972, permits the establishment of assessment districts by cities for the purpose of providing certain public improvements which include operation, maintenance and servicing of street lights, traffic signals, and landscaping. The 1972 Act requires that maintenance assessments be levied according to benefit rather than according to assessed value. Section 22573 provides that: 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 Act permits the designation of zones of benefit within any individual assessment district if "by reason of variations in the nature, location, and extent of the improvements, the various areas will receive differing degrees of benefit from the improvements" (Sec. 22574). Thus, the 1972 Act requires the levy of a true "assessment" rather than a "special tax." Excepted from the assessment would be the areas of all publicly owned property in use in the performance of a public function. The City has made a determination to also except public utility rights-of-way and open space. II. PARCEL CLASSIFICATION Since the assessment will be levied against properties as shown on the tax rolls, the final charges must be assigned by Assessor's Parcel Number. If assessments were to be spread just by parcel, not considering land use or parcel size, this would not be equitable: a single family parcel would be paying the same as a 50 unit apartment parcel or a large commercial establishment in a similar zone, instead of paying in proportion to benefit. The single family parcel has been selected as the basic unit for calculation of assessments and is defined as one Equivalent Dwelling Unit (EDU). A methodology has been developed to calculate the EDUs for other residential land uses and for non-residential parcels, as described below. }gipj FinalIlmdI5-1G21MayI5vkloc r I Harris & Associates M] Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District page 11 Single Family Residential. The single family residential parcel has been selected as the basic, unit for calculation of the benefit assessments. This basic unit shall be called an Equivalent Dwelling Unit (EDU). Parcels zoned for single family residential uses are assessed 1 EDU. Multiple F=amily Residential. Multiple family residential uses, as well as condominiums, are given a factor of .75 EDU per dwelling unit, Based on data from representative cities in Southern California, the multiple family residential factor of 75 percent is determined by the statistical proportion of relative trip generation from various types of residential uses, in combination with population density per unit. Non -Residential and Utilities. In converting improved non-residential properties to EDUs, the factor used is the City of Rancho Palos Verdes' minimum requirement for single family residential areas, which is 1 dwelling unit per 8,000 sq. ft, or 5.445 dwelling units per acre. The non-residential parcels (including utilities) will be assessed 5.445 EDU for the first acre or any portion thereof, and then 25% of 5.445 EDUs (1.36125) for every additional acre or portion thereof, as the utilization of that portion of non-residential property greater than one acre more closely resembles that of vacant land. The minimum number of EDUs per parcel will be 1 EDU. Vacant Property Vacant property is described as parcels with no improved structures. These properties receive benefits based on their land, as this is the basis of their value. Based upon the opinions of professional appraisers, appraising current market property values for real estate in Southern California, the land value portion of a property typically ranges from 20 to 30 percent of the property's total value; in Rancho Palos Verdes, we find that the average is about 50 percent. Additionally, the utilization of vacant property is significantly less than improved property, and vacant property has a traffic generation rate of 0. Therefore, we recommend that vacant property be assessed at the rate of 25 percent of improved property. Vacant Residential. Residential parcels which do not have structures on the parcels are assessed 25% of a parcel with a single family dwelling thereon. The parcels will be assessed 0.25 EDU per parcel. RI' "I -I innl I1ux115-I621Mn�'15 Vl.doca 19 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 12 Vacant Non -Residential. Parcels which are riot residential parcels and which do not have structures on the parcel are assessed based upon the acreage of the parcel. The parcels will be assessed at the rate of 25°/0 of the developed non-residential properties, or 1.36125 EDU per acre or any portion thereof, with a minimum of .25 EDU per parcel and up to a maximum of 5 acres (6.80625 EDUs) per parcel, as that portion of the parcel over 5 acres may be considered as open -space, and no longer receive any benefit. Vacant - Moratorium. The vacant parcels in the moratorium area of the City are assessed based upon the acreage of the parcel. The parcels will be assessed at the reduced rate of 10% of the developed non-residential properties, or 0.5445 EDU per acre, with a minimum of 0.1 EDU per parcel and a maximum of 5 acres (2.7225 EDUs) per parcel, as that portion of the parcel over 5 acres may be considered as open - space, and no longer receive any benefit. The reduced rate is deemed fair and equitable due to the building limitations in this area. All publicly owned property and utility rights-of-way are exempt from assessment, as well as the canyon parcel owned by the Palos Verdes Peninsula land Conservancy, which is identified by the 2015-16 Assessor's Parcel Number 7583-022-008. The land use classification for each parcel has been based on the Los Angeles County Assessor's Roll. Ili. BENEFIT DETERMINATION Property values in a community are increased when public infrastructure such as street lights, traffic signals, and median and parkway landscaping are in place, improved, operable, safe, clean and maintained. The proper functioning of street lighting and traffic signals is imperative for the welfare and safety of the property and owners and users of the property throughout the City. Proper maintenance and servicing of the street lighting system benefits properties within the District by providing proper illumination for ingress and egress and safe traveling at night. Properties within the District also benefit from the proper functioning of the District's traffic signal system. Proper operation of the street light and traffic signal systems is imperative to public convenience, orderly traffic flow, enhanced congestion management and safety. Improved security, fuel conservation, protection of property from crime and vandalism, and reduction of traffic accidents, are special and direct benefits to all properties within the City; lighting benefits are directly related to public safety and property protection and therefore increase desirability and property k I � final IImd 15 16 2 P&,%.15 V I_doux W Rancho Palos Verdes May 21, 2015 Citywide landscaping and Lighting Maintenance District Page 13 values. The City costs to administer the improvements are also considered a benefit to all properties. The City maintains trees and miscellaneous shrubbery throughout the City. The trees and shrubbery are located within the public street and sidewalk rights-of-way, including in medians and parkways. These trees and shrubbery provide an aesthetically pleasing environment, shade, beautification, and according to some authorities, air purification and sound attenuation. Weed abatement along public ways is necessary to eliminate fire hazards and unsightly conditions. These positive attributes increase the desirability of all properties throughout the City. There are two types of benefits: Citywide Benefits and Local Benefits, A. CITYWIDE BENEFITS Citywide Benefits represent the special benefits received by each and every parcel within the District from the improvements, and the associated costs of these benefits are spread equally, based on Equivalent Dwelling Units, to all parcels within the District. Benefits which enhance the desirability and value of all properties within the District include weed abatement, maintenance of street trees, medians, traffic signals and safety lighting, and street lighting on the major thoroughfares, which are the main travel ways of the City. The costs of the City to administer these programs are also considered a Citywide Benefit. Local Benefits represent the special benefits conferred by localized improvements to parcels within the area surrounding the improvements. The associated costs of these benefits are spread equally over the local area, based on Equivalent Dwelling Units, Local Benefits include the operation, servicing and maintenance of the Rue Beaupre median, Alta Vista median (formerly Landscape and Open -space Maintenance District No. 1) and Ocean Terrace median and street lights (formerly Landscape and Open - space Maintenance District No. 2). These facilities serve only properties within localized areas. Local Benefits also include the operation, servicing and maintenance of street lights which were previously maintained by the County of Los Angeles, which serve the properties adjacent to them. W, I - Final Hind 15 -IG 21AM 5 V Ldoct Ell I "anis & Associates 21 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 14 C. ZONES OF BENEFIT A system of zones has been developed to identify the specific benefit each parcel receives. Those zones are as follows: Zone A. Citywide Benefits, Only These parcels receive only Citywide benefits. Zone B. Rue Beaupre These parcels receive the local benefits of the Rue Beaupre median, as well as the Citywide benefits. Zone C. Clovercliff Park The maintenance of Clovercliff Park is no longer financed through this District; therefore, these parcels receive only the Citywide benefits. Zone D. Vanderlip Park The maintenance of Vanderlip Park is no longer financed through this District; therefore, these parcels receive only the Citywide benefits. Zone E. Alta Vista (Formerly Landscape and Open -space Maintenance District No. 1) These parcels receive the local benefits of the Alta Vista median, as well as the Citywide benefits. Zone F. Ocean Terrace (Formerly Landscape and Open -space Maintenance District No. 2) These parcels receive the local benefits of the Ocean Terrace median and street lights, as well as the Citywide benefits. Zone G. Miraleste Landscaping and Lighting District These parcels are included in an existing landscape and lighting maintenance district under the authority of the Miraleste Park District that maintains the medians in the major thoroughfares and the weed abatement for the area that would otherwise be maintained by the City. This area, therefore, benefits only from the street light / traffic signal system maintenance, street tree maintenance and administration for this District. Zone L. Street Lighting Overlay Zone These parcels receive the local benefit from the street lighting system formerly maintained by the County. This zone overlaps several of the zones above; therefore the parcels within this zone receive this benefit in addition RN -Final ILudtS-t(i 2lAday-1S VLdon Harris & Associates 22 Rancho Palos Verdes May 21, 2019 cping and Liq�ting Maintenance District to the benefits received from other respective zones. D. SUB -ZONES A system of sub -zones has been developed to classify the different land use types in the City. -chose sub -zones are as follows: O. Exempt 1. Single Family Residential Parcels 2. Multi -Family Residential Parcels 3. Non -Residential Parcels 4. Utilities' 6. Vacant Residential Parcels 6. Vacant Non -Residential Parcels 7. Vacant Moratorium Parcels IV. INVENTORY OF PARCELS The following information was obtained from the Los Angeles County Assessor's Roll, Assessor's Parcel Maps, and the City of Rancho Palos Verdes Planning Department. Lane! Use Parcels Dwelling Units Acres EDUs 0. Exempt 321 ----- --- ----- 1. Single Family Residential Parcels 13,101 13,101 - - - - - 13,101.00 2. Multi -Family Residential Parcels 1,612 2,943 - - - - - 2,207.25 3. Non -Residential Parcels 87 - - 329.23 701.03 4. Utilities 14 - - - - - 21.67 64.79 5. Vacant Residential Parcels 158 - - - - - - - - - - 39.50 6. Vacant Non -Residential Parcels 30 - - - - - 213.37 128.40 7. Vacant Moratorium Parcels 141 - - - - - 623.95 80.24 TOTALS: 15,464 16,044 1,188.22 16, 322.21 1 Utilities are assessed through the Board of Equalization and those parcels are not included in the Assessment Roll submitted to the County, but are listed separately. R - broil Ihnd15 16?IMm-15 VI dwx Harris & Associates 23 Rancho Palos Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 16 The distribution of EDUs per Zone is as follows: Zone EDU A 14,245.90 B 541.25 C 551.00 D 474.25 E 51.25 F 75.50 G 383.06 Total: 16,322.21 BUDGET APPORTIONMENT TO ZONES Citywide improvements (Zones A, B, C, D, E, F and G) Traffic Signals and Safety Lighting $0 Street Trees $230,000 Adminstrative Costs and Overhead $111,087 Reserves $0 Interest ($380) Beginning Fund Balance - 7/1 (positive) ($42,503) City Contribution ($236,669) Subtotal: t!$61,535 Citywide improvements except Miraleste (Zones A, B, C, D, E, and F) Weed Abatement $15,000 Medians $440,560 City Contribution ($261,899) Subtotal: $193,661 Rue Beaupre Medians (Zone B) $535 Alta Vista Medians (Zone E) $865 Ocean Terrace Medians and Lights (Zone F) $1,919 Total:1 $258,515 The following page provides a table that shows the summary of the annual assessments for each of the Zones of Benefit. 101-1 -final I lind 15 16 2 I.May 15 Vl.doc , RX Harris & Associates Im I 24 Rancho galas Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 17 Categories Category 8. Zone Zone Zone Zone Zone Zone Zone Asmt Rate _ Budget__ A B C D E F G $/EDU Citywide lighting, street trees, and administrative costs X X X X X X X $3.77 " $61,535 Citywide weed abatement & medians X X X X X X $12.15 $193,661 Rue Beaupre Medians X $0,99 $535 �.. Alta Vista X $16.88 $865 I Ocean Terrace X $25.41 $1,919 Total 2015-16 Assessment $15.92 $18.91 $15.92 $15.92 $32.60 $41.33 $3.77 with Credit ($/EDU) Total Max. Asmt $20.3 $21.37 $20.38 $20.38 $37,26 $45.79 $8.23 without Credit ($/EDU) The maximum Citywide lighting, street trees and administrative costs assessment rate is $8.23 per EDU. This Maximum Rate is reduced by the Traffic Signal Costs that are temporarily transferred into the 1911 Act funds. Total 2014-15 Assessment $15.92 $16.91 $15.92 $15.92 $32.80 $41.33 33.77 with Credit ($/EDU) An "X" in the table above indicates the category of benefit that is included in each Zone. The total assessment per zone is the sum of the assessments for each of the categories. Zone L - Street Lighting Overlay Zone. Because of the large reserve fund in the 1911 Act Lighting Maintenance District formerly administered by the County, those properties receiving a direct local benefit from this street lighting system will not be assessed for FY 2015-16. RPT-Iinn l II nuilS It 2Ni, 15 VklocH HIHarris & Associates 25 Rancho Paps Verdes May 21, 2015 Citywide Landscaping and Lighting Maintenance District Page 1B T' , A list of names and addresses of the owners of all parcels within this District is shown on the last equalized Property Tax Roll of the Assessor of the County of Los Angeles, which by reference is hereby made a pari of this report. This list is keyed to the Assessor's Parcel Plumbers as shown on the Assessment Roll on file in the office of the City Clerk of the City of Rancho Palos Verdes. The boundaries of the District are coterminous with the boundaries of the City of Rancho Palos Verdes. A diagram showing the exterior boundaries of the District, the boundaries of any zones within the District, and the lines and dimensions of each lot or parcel of land within the District has been submitted to the office of the City Clerk of the City of Rancho Palos Verdes, and is incorporated herein by reference. The lines and dimensions of each lot or parcel within the District are those lines and dimensions shown on the maps of the Assessor of the County of Los Angeles for Fiscal Year 2015-16. The Assessor's maps and records are incorporated by reference herein and made part of this report. A reduced copy of the assessment diagrams are attached. RPT I�inat 16n�115_I6?IMa�J51'Ltl�r,� 13 1 Harris & Associates W Rancho Pains Verdes May 21, 2015 Cityv ide Landscaping and Lighting Maintenance District Appendix N For Footnotes, see page 7 and 8 of the Report. Harris & Associates QAUsers\carolh\Dropbox (Hams & Associates)\Public Flnance\RPV\RPT- Final Ilmd15-16 21May15 V1.docx 1972 Act 1911 Act 1072 Act 1011 Act �u4ttl; i3 ., i t Fund 2D3 Fund 211 Farad 203 friend 211 BEGINNING FUND BALANCE (7l1) $42 $ -'� 1,7 ,059 $0 $1,625,159 $0 $1,515,011 ESTIMATED REVENUES Proposed Assessment Levy $2-5&St5 $258,515 $268,515 - Ad Valorem Taxes, fess delinquencies $550.000 $550,000 Interest Earnings $$ $380 $15,500 $380 $15,500 City Contribution to Cover Expenditures $556,914 _ $67$,075 Tata! Revenues - ?96$' ` 2x±558 815,809 $2,194,559 $$311,977 $2,080,511 ESTIMATED EXPENDITURES Street Landscaping Major Thoroughfare Medians $3T k 'r $380,419 $388,028 Special Benefit Median Maintenance Rue Beaupre (Zone B) $ f, $546 $557 - Alta Vista (Zone E) �� $882 $900 Ocean Terrace (Zone F) $� 1 $896 $914 _ Abalone Cove Shoreline Park Maintenance $51,000 $5,020 California Coastal Trail Maintenance $ } $11,220 $11,444 Salvation Army Trail Maintenance iii $6,732 $6,867 Weed Abatement $f5f s $15,300 $15,606 Street Tree Trimming $2343 $234,600 $239,292 Street Lights Traffic Signals & Safety Lighting 4 $119.340 $121,721 Street Lights70 ` $468,180 $477,544 Ocean Terrace (Zone F)Nw,r $1,061 $ ,1082 6$$3$79 7f;004E ` $702,95S $587,520 716,709 $599,270' Administration and Overhead Anticipated Delinquencies (3%) �'�� $7,755 $7,755 Administration and Overhead (15%)�} �pr';s $105,398 $88,128 $(i 5# $89,831 $113,153 $88,128 $116,251 $89,831 Total Expenditures $AN,` �r' , U $815,809 $675,648 $831,97€ $689,161 � ENDING FUND BALANCE (6130) 0 `-,,. � $1, 5; 459-;s $0 $1,515.011 ($0) $1,391,350 N For Footnotes, see page 7 and 8 of the Report. Harris & Associates QAUsers\carolh\Dropbox (Hams & Associates)\Public Flnance\RPV\RPT- Final Ilmd15-16 21May15 V1.docx .............. CITY OF RANCHO PALOS VERDES District Landscape and Lighting Maintenance Assessment Diagram / Boundary dor the ------------------ 2015-16 Fiscal Year Hawthorne BIWPage I of 2 % .—J ---------- Map N ............. Not to Scale % % s._._.._._ . ; ------------ Zone A includes all parcels in the City excluding Zone G co Legend, = Zone A Zones Zone C Zone 1) Zone E Zone c Zone G Parcel Boundary - CITY OF RANCHO PALOS VERDES Landscape and Lighting Maintenance District City Limit _ Assessment Diagram / Boundary Map for the 2015-16 Fiscal Year H"�mlane Blvd Page 2 of 2 F `tee � {N{ 1 it JeApaa r" Pap' Y Not to Scale Legend - Zone L ` Rf "' Verdes p,S Parcel Boundary r� l� 1uNRRbAS$OCIAtE$ Z2 E+eeuthe OsrY, Sule 20n Inro, GF'eTa 97RA • eta-en+sot Zone L (Street Lighting Overlay Zone) overlays other Zones shown on Page t Section 1. Pursuant to prior resolutions, the City Council of the City of Rancho Palos Verdes initiated proceedings and declared its intention to levy assessments against the assessable lots and parcels of property within an existing assessment district designated "Citywide Landscaping and Lighting Maintenance District" (the "District") pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (commencing with Section 22500) (the "Act") for the Fiscal Year commencing July 1, 2015 and ending June 30, 2016, and ordered Harris & Associates (the "Assessment Engineer") to prepare and file a written report in accordance with Article 4 of Chapter 1 of the Act (the "Engineer's Report"). The City Council, by prior resolution, approved such Engineer's Report. Section 2. The City Council hereby applies $117,000 of the 1911 Act Lighting Maintenance District fund balance to the costs and expenses of operating, maintaining, and servicing traffic signals and safety lighting, and determines to maintain a credit of $4.46 per EDU against the assessment rate for each assessable lot or parcel in the District. Such application of the fund balance is temporary and may be discontinued in any subsequent fiscal year. In such event, the credit of $4.46 per EDU may be discontinued with the assessments apportioned to each assessable lot or parcel in the District restored to amounts not in excess of the assessment rates for Fiscal Year 2004- 05. The City Council hereby finds and determines that the foregoing application of the fund balance will be just and equitable and in the public interest. Section 3. Following notice duly given in accordance with the law, the City Council has held a full and fair public hearing regarding the Engineer's Report and the levy and collection of the proposed assessments within the District for Fiscal Year 2015- 16 to pay for the costs and expenses of the improvements described in the Engineer's Report pursuant to the terms and provisions of the Act. All interested persons were afforded the opportunity to hear and be heard regarding protests and objections to the levy and collection of the proposed assessments against lots or parcels of property within the District. The City Council considered all oral and written statements, protests, and communications made or filed by interested persons. 30 Section 4. Based upon its review of the Engineer's Report and other reports and information, the City Council hereby finds and determines that (i) the land within the District will be benefited by the improvements described in the Engineer's Report, (ii) the District includes all of the lands so benefitedand (iii) the net amount to be assessed upon the lands within the District for the 2015-16 Fiscal Year, in accordance with the Engineer's Report, is apportioned by a formula and 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. Any and all oral and written protests and objections are hereby overruled by the City Council. Section 5. The City Council declares that the diagram and assessments in the Report are hereby confirmed as filed. Section 6. The City Council hereby orders the improvements described in t1l"I Engineer's Report to be made. Section 7. 'fhe assessment is in compliance with the provisions of the Act and the City Council has complied with all laws pertaining to the levy of annual assessments pursuant to the Act. Section 9. Public property owned by any public agency and in use in the performance of a public function, which is included within the boundaries of the District, shall not be subject to assessment to be made under these proceedings to pay for any of the costs and expenses of the improvements. Section 10, The assessments are levied for the purpose of paying the costs and expenses of the improvements described in the Engineer's Report for Fiscal Year 2015- 16. Section 11. The improvements described in the Engineer's Report shall be #erformed pursuant to law. Section 12. The Los Angeles County Auditor -Controller shall enter on the County Assessment Roll opposite each lot or parcel of land the amount of the assessment and such assessments shall then be collected at the same time and in the same manner as the County taxes are collected. After collection by the County, the net amount of the assessments shall be paid to the City Treasurer. 31 Section 14. The adoption of this Resolution constitutes the levy of assessments against the lots and parcels of land in the District for the Fiscal Year commencing July 1, 2015 and ending June 30, 2016. Section 15. The City Clerk is hereby authorized and directed to file the diagram and assessments, or a certified copy of the diagram and assessments, with the Los Angeles County Auditor -Controller, together with a certified copy of this Resolution upon its adoption, Section 16. A certified copy of the assessments and diagram shall be filed in the Public Works Department, with a duplicate copy on file in the City Clerk's Office, and open for public inspection. State of California County of Los Angeles )ss City of Rancho Palos Verdes ) 1, CARLA MORREALE, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2015- was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on June 16, 2015. City Clerk 32