RPVCCA_CC_SR_2012_07_17_02_WQFPP_Annual _User_Fee_Rate_FY12-13PUBLIC HEARING
Date:July 17,2012
Subject:Water Quality and Flood Protection Program -Annual User Fee
Rate -FY 12-13
Location:Citywide
1.Declare the Hearing Open:Mayor Misetich
2.Report of Notice Given:City Clerk Morreale
3.Staff Report &Recommendation:Director of Finance &IT McLean
4.Public Testimony:
Appellant:N/A
Applicant:N/A
5.Council Questions:
6.Rebuttal:
7.Declare Hearing Closed:Mayor Misetich
8.Council Deliberation:
9.Council Action:
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CITY OF
MEMORANDUM
RANCHO PALOS VERDES
TO:
FROM:
DATE:.
SUBJECT:
REVIEWED:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
DENNIS McLEAN,DIRECTOR OF FINANCE AND INFORMATION
TECHNOLOGY l[~rn otu (..
JULY 17,2012
PUBLIC HEARING·WATER QUALITY AND FLOOD
PROTECTION PROGRAM -ANNUAL USER FEE RATE -FY12·
13 (Supports 2012 City Council Goal for Public Infrastructure)
CAROLYN LEHR,CITY MANAGER G9--
Staff Coordinators:
RECOMMENDATION
Ron Dragoo,PE,Senior Engineer
Andy Winje,PE,Associate Engineer
1)Receive,review and file the independent Water Quality and Flood Protection Program
Annual Report,dated June 27,2012,prepared by the Oversight Committee for the
storm drain program.
2)Conduct a public hearing pursuant to Health and Safety Code Section 5473.2 and
Section 3.44.40 of the Rancho Palos Verdes Municipal Code on July17,2012 on the
Annual Report prepared by Harris &Associates,the Annual Report prepared by the
Oversight Committee and information provided by Staff,and determine whether to
collect the Storm Drain User Fee (the "Fee")for FY12-13,and if so,the rate per
Equivalent Residential Unit ("ERU")for FY12-13.
3)At the conclusion of the Public Hearing determine the existence or absence of a
majority protest.
4)In the absence of a majority protest,Staff recommends that the Council determine that
the rate per ERU for FY12-13 shall be $94.38 as set forth in the Annual Report,adopt
the attached Resolution No.2012-; A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF RANCHO PALOS VERDES FINALLY ADOPTING A REPORT,AS
FILED,IN CONNECTION WITH THE STORM DRAIN USER FEE ESTABLISHED
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PUBLIC HEARING·WATER QUALITY AND FLOOD PROTECTION
PROGRAM -ANNUAL USER FEE RATE -FY12·13
July 17,2012
Page 2 of 4
PURSUANT TO CHAPTER 3.44 OF THE RANCHO PALOS VERDES MUNICIPAL
CODE;DETERMINING THE AMOUNT OF SUCH FEE FOR FY12-13;AND
ORDERING THAT SUCH FEE BE COLLECTED ON THE COUNTY OF LOS
ANGELES TAX ROLL FOR FY12-13.
5)In the event of a majority protest,direct Staff to present to City Council at a subsequent
meeting a resolution determining the amount of the Storm Drain User Fee for FY12-13
and providing for an alternative method of collecting the Storm Drain User Fee for
FY12-13.
EXECUTIVE SUMMARY
Staff has timely published public notices for this Public Hearing in the Palos Verdes
Peninsula News on July 5,2012 and July 12,2012.During the Public Hearing,the City
Council shall make a decision whether to collect the User Fee for FY12-13.Prior to this
Public Hearing,Staff updated the Committee on April 10,2012,May 9,2012 (see staff
report included as Attachment B to the Oversight Committee's Annual Report)and June
27,2012,including the status of storm drain capital projects,storm drain lining projects,
catch basin filtration devices and other expenses for the program.At a public hearing
conducted on June 27,2012,Staff presented to the Committee the proposed project plan
and budget for the Storm Drain program for FY12-13,excerpts from the 2012 Five-Year
Financial Model,the 2012 Five-Year Capital Improvement Plan,as well as the 5-Year
Storm Drain Plan.During the public hearing,staff presented its recommendation to
increase the User Fee by 2%from $92.53/ERU to $94.38,the maximum increase allowed.
Upon concluding the public hearing,the Committee unanimously recommended to
increase the Fee to $94.38,the maximum allowable by the City's Ordinance.
If the Council elects to collect the Fee during FY12-13,it must decide whether to:
~Follow the recommendation of the Oversight Committee and Staff to increase the
User Fee to the maximum rate:$94.38/ERU;or
~Maintain the current Fee rate at $92.53/ERU;or
~Set the Fee rate at some other amount not to exceed $94.38;or
If the Council elects to not collect the Fee during FY12-13,it must decide whether to:
~Reduce the Fee to zero for FY12-13;or
~Repeal Chapter 3.44 (the User Fee Ordinance).
The City Council's decision should be based upon Staff's recommendation,the
recommendation from the Oversight Committee,its own review of the Fee rate,as well as
Staffs estimates of other revenue and current and projected expenditures (including the
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PUBLIC HEARING·WATER QUALITY AND FLOOD PROTECTION
PROGRAM -ANNUAL USER FEE RATE -FY12·13
July 17,2012
Page 3 of4
storm drain program),the current and projected General Fund Reserve and the fund
balance in the WQFP enterprise fund.
Staff's Finding and Recommendation
After the User Fee sunsets in 2016,there will be no dedicated funding source for
maintenance and repair of storm drains.The storm drain program will compete with other
projects and services for General Fund money,which currently has a structurally balanced
budget.In addition,other infrastructure projects remain unfunded.The dedicated funding
for arterial streets is insufficient;there is no dedicated funding for sewers;and at least $63
million of identified infrastructure projects remain unfunded (as outlined in the 2012 Five-
Year Capital Improvement Plan).Although the General Fund is contributing about $3
million annually into the Capital Improvement Projects Reserve (using transient occupancy
tax received from the Terranea Resort),it is not enough to pay for the City's infrastructure
needs.The estimated CIP Reserve at June 30,2013 will only be $11.4 million and the San
Ramon drainage project has a funding gap of at least $10 million.
In light of the significance of the multi-million dollar amount of unfunded CIP projects and
the City's Reserve Policy to set-aside funds to help pay for a portion of the future projects,
Staff recommends an increase of the Fee from $92.53/ERU to $94.38 forthe FY12-13,an
increase of 2%,as authorized under Chapter 3.44 of the Municipal Code.
At the time this report was finalized,no protests regarding the Fee had been received.
BACKGROUND AND DISCUSSION
Overview of Scope and Purpose for the Oversight Committee
A revised Scope and Purpose was approved by the City Council on May 5,2009,to be
effective with the 2009 Fee Review process.The process was outlined in the Resolution as
follows:
As described in Section 3.44.080 A.,"The committee shall hold at least one public hearing
and issue a report,on at least an annual basis,to inform city residents and the City Council
regarding how storm drain user fee revenues are being spent and to make
recommendations to the city council regarding future expenditures of the storm drain user
fee revenues."Staff expects to use maps,pictures,video and financial information regarding
the storm drain program to assist the Oversight Committee's understanding.
The Committee's review will include the following information provided by Staff:
~a comparison of budget v.actual accounting for the current fiscal year;
~a construction project status report,including information about expenditures to date and
major contract status (i.e.design and construction contracts);
~the proposed budget (including major projects)for the forthcoming year;
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PUBLIC HEARING·WATER QUALITY AND FLOOD PROTECTION
PROGRAM -ANNUAL USER FEE RATE -FY12·13
July 17,2012
Page 4 of 4
~an excerpt of the Five-Year Financial Model for the storm drain program,including the
estimated ending balance,if any,in the Water Quality and Flood Protection fund;
~an excerpt of the Five-Year Financial Model regarding the projected revenues ofthe General
Fund of the City for the current and forthcoming fiscal years,including but not limited to,
property taxes,sales taxes and transient occupancy taxes;the projected expenditures ofthe
General Fund of the City for the current and forthcoming fiscal years;and the estimated
ending General Fund reserves for the current and forthcoming fiscal years;and
~Staff's recommendation regarding the User Fee rate for the forthcoming year.
Staff believes that its presentations to the Oversight Committee made on April 10,2012,
May 9,2012 and June 27,2012 satisfied the provisions of Municipal Code section
3.44.080 that outlines the information to be annually reviewed by the Oversight Committee.
Passage of Measure C -November 6,2007
On November 6,2007,the voters approved an amendment to the User Fee ordinance to
include a voter enacted Oversight Committee and a 1O-year sunset of the storm drain user
fee.When the User Fee rate was established by the property owners in 2005,the total
User Fees to be collected over 30 years was estimated to be about $50 million to pay for
known construction projects,storm drain lining,maintenance,staffing and engineering.
Based upon the 1O-year sunset established with the passage of Measure C,the maximum
total User Fees that could be collected is estimated to be about $13 million.It appears as
though it will be necessary to secure other funding sources to continue the Storm Drain
program when the User Fee expires on June 30,2016.
ATTACHMENTS
RESOLUTION NO.2012-A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF RANCHO PALOS VERDES FINALLY ADOPTING A REPORT,AS FILED,IN
CONNECTION WITH THE STORM DRAIN USER FEE ESTABLISHED PURSUANT TO
CHAPTER 3.44 OF THE RANCHO PALOS VERDES MUNICIPAL CODE;DETERMINING
THE AMOUNT OF SUCH FEE FOR FISCAL YEAR 12-13;AND ORDERING THAT SUCH
FEE BE COLLECTED ON THE COUNTY OF LOS ANGELES TAX ROLL FOR FISCAL
YEAR 12-13
Annual Report of the Water Quality and Flood Protection Program,dated June 27,
2012,prepared by the Oversight Committee for the storm drain program
Annual Report for the Storm Drain User Fee -FY12-13,prepared by Harris &
Associates
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RESOLUTION NO.2012-__
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES FINALLY ADOPTING A REPORT,AS FILED,IN
CONNECTION WITH THE STORM DRAIN USER FEE ESTABLISHED
PURSUANT TO CHAPTER 3.44 OF THE RANCHO PALOS VERDES
MUNICIPAL CODE;DETERMINING THE AMOUNT OF SUCH FEE FOR
FISCAL YEAR 2012-13;AND ORDERING THAT SUCH FEE BE
COLLECTED ON THE COUNTY OF LOS ANGELES TAX ROLL FOR
FISCAL YEAR 2012-13
THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES HEREBY
FINDS,DETERMINES,ORDERS AND RESOLVES AS FOLLOWS:
S~ction 1.The City Council finds:
A.Pursuant to Ordinance No.418 of the City Council of the City of
Rancho Palos Verdes (the "City Council"),adopted on August 16,2005,and Chapter
3.44 of the Rancho Palos Verdes Municipal Code (the "Municipal Code"),the City
Council is authorized to levy an annual Storm Drain User Fee on each parcel of real
property in the City of Rancho Palos Verdes (the "City")that drains into City-maintained
storm drain infrastructure.The Storm Drain User Fee is levied to fund the City's Water
Quality and Flood Protection Program.
B.Pursuant to Section 5473 of the California Health and Safety Code,
the City elected in Ordinance No.418 to have the Storm Drain User Fee collected for
each fiscal year on the County of Los Angeles tax roll in the same manner,by the same
person,and at the same time as,together with,and not separately from the general
taxes of the City.
C.A written report (the "Report")entitled,"Annual Report for the Storm
Drain User Fee,FY 2012-13"has been prepared by Harris &Associates and has been
filed with the City Clerk.The Report contains a description of each parcel of real
property in the City that drains into the City's storm drain system and the proposed
amount of the Storm Drain User Fee for each such parcel for Fiscal Year 2012-13
(commencing July 1,2012 and ending June 30,2013),computed in conformity with
Chapter 3.44 of the Municipal Code.Such Report is on file in the office of the City Clerk
and incorporated herein by reference.
D.The City Clerk caused notice of a hearing on the Report to be
published in the Palos Verdes Peninsula News on July 5,2012,and July 12,2012.
E.The City Council held a public hearing on the Report on July 17,
2012 (the "Public Hearing").In addition,pursuant to Section 3.44.40 of the Municipal
Code,at the Public Hearing the City Council considered whether to collect the Storm
Drain User Fee for Fiscal Year 2012-13,and the rate per Equivalent Residential Unit
("ERU")for Fiscal Year 2012-13.In that regard,the City Council took into account the
current and projected revenues of the City for Fiscal Year 2012-13,including but not
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limited to,property taxes,sales taxes and transient occupancy taxes;the current and
projected expenditures of the City for Fiscal Year 2012-13,including,but not limited to,
proposed expenditures in connection with the City's storm drain system;the balance,if
any,in the Water Quality and Flood Protection Program Enterprise Fund;and the
current and projected General Fund reserves.In addition,the City Council took into
account any report and recommendation submitted by the Oversight Committee
established by the City Council in connection with the City's Water Quality and Flood
Protection Program.
F.All interested persons were given an opportunity to attend the
Public Hearing and express opinions about the Report and the proposed levy of the
Storm Drain User Fee for Fiscal Year 2012-13.The City Council heard and considered
all protests and objections against the Report and all testimony regarding the proposed
levy of the Storm Drain User Fee for Fiscal Year 2012-13.
G.No majority protest against the Report,determined in accordance
with Health and Safety Code Section 5473.2,exists.
Section 2.The City Council hereby overrules all protests and objections;
hereby approves and finally adopts the Report as filed;hereby determines that the
Storm Drain User Fee for Fiscal Year 2012-13 against each parcel described in the
Report shall be as described in the Report;and orders that the Storm Drain User Fee
shall be collected for Fiscal Year 2012-13 on the County of Los Angeles tax roll in the
same manner,by the same person,and at the same time as,together with,and not
separately from the general taxes of the City.
Section 3.The City Clerk is di~ected to file a copy of the Report,with a
statement endorsed on the Report over the City Clerk's signature that the Report has
been approved and finally adopted by the City Council,with the City Treasurer on or
before August 10,2012 pursuant to Section 4 of Ordinance No.418.
Section 4.The City Clerk is directed to file a copy of the Report,with a
statement endorsed on the Report over the City Clerk's signature that the Report has
been approved and finally adopted by the City Council,with the Auditor of the County of
Los Angeles on or before August 10,2012 pursuant to Section 5 of Ordinance No.418.
PASSED,APPROVED and ADOPTED this 17th day of July,2012.
Mayor
ATTEST:
City Clerk
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State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )
I,CARLA MORREALE,City Clerk of the City of Rancho Palos Verdes,hereby certify
that the above Resolution No.2012-was duly and regularly passed and adopted
by the said City Council at a regular meeting thereof held on July 17,2012.
City Clerk
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2012 ANNUAL REPORT ON THE WQFP PROGRAM
JUNE 27,2012
INTRODUCTION
An Oversight Committee was established by the Rancho Palos Verdes City Council in 2007 to
annually review project expenditures and plans for the Water Quality and Flood Protection (WQFP)
Program and to recommend a User Fee Rate for each fiscal year.The Committee consists ofthe
following members:
Lowell Wedemeyer (Chair)
Frank Lyon (Vice Chair)
Krista Johnson
YiHwaKim
Elizabeth Sala
The Committee met several times with the City's Finance and Information Technology and Public
Works staffs over the past couple months to review WQFP Program activities in FY 11-12 and planned
projects and budgeted expenditures in FY 12-13.Staff also provided the Committee with their
proposed Storm Drain Plan through FY 16-17,excerpts from the City's 2012 Five-Year Financial
Model,the 2012 Capital Improvement Plan (CIP),and Staffs recommendation for the FY 12-13 User
Fee Rate.
This report conveys the Committee's conclusions and recommendations in accordance with its
responsibilities designated by the City Council on May 5,2009 and documented in RPV Municipal
Code Section 3.44.080.
FY 11-12 EXPENDITURES
The WQFP Program expenditure plan (i.e.budget)approved by the City Council for FY 11-12 totaled
$4.15 million.Based upon the staff report,dated June 27,2012,$1.96 million had been spent or
committed through June 30,2012.Fiscal year expenditures are summarized by the Staff in the Storm
Drain Plan through FY16-17 (Attachment A).Major projects are described in the Schedule of Project
Descriptions in the Staff report dated May 9,2012 (Attachment B).
Staff estimates that there will be carryover from the Fiscal Year 11-12 budget to the Fiscal Year 12-13
budget in the approximate amount of $2.187 million.Based upon Staff reports to the Committee the
variance of $2.187 million,between the $4.15 million 11-12 budget and the estimated 11-12
expenditures of about $1.96 million,is primarily attributable to the following projects (in order of the
size ofthe variance):
1)The total carryover to fiscal year 12-13 for project areas 6 and 7 is $767,550.The estimated
carryover to fiscal year 12-13 on project area 6,the PVDE San Pedro Canyon project,is $525,050.
The estimated carryover to fiscal year 12-13 on project area 7,the Via Colinita System Project,is
$242,500.As reported by Staff to the WQFP Committee and the Council in May last year,Staff
decided to re-scope the PVDE San Pedro Canyon project during fiscal year 11-12 to achieve savings.
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Accordingly,during fiscal year 11-12 this budget item was divided into two separate design projects:
Miraleste Plaza Storm Drain Improvement Project (project area 6)and Via Colinita Improvements
Project (project area 7).The Miraleste Plaza drain project is currently being advertised for bids and a
bid opening is scheduled for July 24,2012.The Via Colinita project is currently at about 80%design
stage with construction anticipated this Fall.Staff expects to have both projects completed before the
next rainy season.That is,the $767,550 carryover from fiscal year 11-12 should be committed early in
fiscal year 12-13.Re-scoping of the projects to address only structural deficiencies will yield savings
for these projects.However,issues of system capacity in these canyons are still to be addressed during
the master planning process in future years.
2)The estimated carryover on project area 12,the update of the Drainage Master Plan,will be
$697,789.This is because the Drainage Master Plan Program is intended to be integrated into the
City's Geographic Information System ("GIS"),which Staff reports is planned to be upgraded in the
near future,subject to Council approval.The City's Geographic Information System is beyond the
purview of the WQFP Committee.The Committee concurs that it is prudent to upgrade the
Geographic Information System before further integration of the Drainage Master Plan into that
system.
3)The carryover on project area 12,Storm Drain/Filtration Maintenance is estimated to be
$274,556 due to lower than expected storm costs.Staff reported that the carryover is expected to be
used for near-term,urgent expenditures.
4)The carryover on the Storm Drain Lining,Other,portion of the fiscal year 11-12 budget,
project area 12,is estimated to be $259,795.On April 17,2012,the City Council awarded an
$805,000 construction contract to Sancon Engineering.The City Council also awarded contracts for
inspection and mapping services.Staff reported the carryover is because the construction schedule
proposed by the Contractor has a completion date of August 31.
5)The carryover on the San Ramon Canyon Stabilization Project from fiscal year 11-12 to 12-
13 is estimated to be $141,114.The design of the San Ramon Canyon Stabilization project is 98%
complete.However,the $10 million short-fall in project funding could delay implementation of the
design.
FY 11-12 User Fee collections are estimated to be about $1.28 million during fiscal year 11-12.
The Committee believes that all WQFP Program costs to date for FYll-12,including User Fee
revenues,have been properly spent to discover and mitigate storm drain problems in the City.
HISTORICAL SUMMARY OF USER FEE RATES,COLLECTIONS AND FUNDING.
The WQFP Committee evaluated an historical,financial summary of the User Fee from inception in
2007 to the end of the current Fiscal Year 11-12.A summary table entitled USER FEE RATE
HISTORY was prepared by Staff upon request.It is appended as Attachment C.The summary shows
that over the five fiscal years to date,the City has spent or committed an estimated $17.6 million
through the Water Quality Flood Protection Fund ("WQFP Fund"),of which approximately $7 million,
or 40%,was funded by User Fee collections.
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The summary also shows the effect of the 2%cap which the RPV ordinance imposes upon the
calculation of the maximum User Fee rate increase.Attachment C shows that inflation according to
the federal CPI totals 12.4%,for the five-year period.However,the RPV 2%cap,as actually applied,
has limited the fee increases to 9.4%.That is,the User Fee currently lags inflation by 3%over the
five-year period as a result ofRPV's 2%cap.
The cumulative total of actual collections attributable to annual CPI increases in the User Fee over the
five fiscal years is estimated to be $85,507,which is an average increase in user fee collections of
about $17,100 per year.
The Committee also evaluated the methodology for applying the RPV 2%cap when calculating the
maximum annual User Fee rate increase.
The WQFP Committee concurs with Staff that the existing method of calculation is the proper
application ofthe RPV 2%cap on annual User Fee increases.
PLANS FORFY 12-13
Staff presented the Committee with a proposed FY 12-13 Storm Drain expenditure plan (see
Attachment A).There is $1.34 million newly budgeted,not including previously authorized but
unspent funds.With the expected $2.187 million to be carried forward from FY 11-12,total WQFP
Program expenditures in FY 11-12 are projected to be about $3.5 million.
Major planned projects in FY 11-12 are described in Attachment B.
All planned projects appear necessary and are being funded appropriately under the present
circumstances.
USER FEE RATE FOR FY 12-13.
By unanimous vote,the WQFP Committee recommends that the annual Storm Drain User Fee
be increased by the 2%cap,which is less than the annual CPI inflation as of March 1,2012.
This will increase the Fee from $92.53 ERU in FY 2011-2012 to $94.38 ERU for FY 2012-2013.
OTHER COMMENTS
1)The Committee continues to believe that currently planned resources are inadequate to address
known storm drain repair needs in the City.Experience has shown that additional unknown needs are
likely to arise,requiring immediate attention.The San Ramon Canyon Stabilization Project alone is
estimated to cost around $19.4 million,of which a grant for $9.4 million was awarded by the State
Department of Water Resources,but definite sources for the remaining $10 million in costs are
currently unknown.
2)Taking note ofthe historic importance of the User Fee collections in funding critical WQFP
projects,as showed by Attachment C,the Committee again recommends that planning begin now for
funding long-term maintenance of the City's storm drain system beyond 2016,when the Storm Drain
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User Fee sunsets.The Committee recommends that such funding plans be included in future Five-
Year Financial Models.
Attachment A:Storm Drain Plan through FY 16-17
Attachment B:Description of Storm Drain Projects.
Attachment C:User Fee Rate History
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City of Rancho Palos Verdes
Storm Drain Plan through FY16-17 Attachment A
2 McCarreH Canyon ;7,487,716
McCarrell Canyon,Tarragon Property i i2Acquisition1,403,500 1,403,500
1 Sunnyside Ridge 417,361 .417,361
3 lovver San Ramon Canyon Stabilization 646,507 867,575 726,461 '141,114 '1,514,082 2,240,000
5 PVDE Miraleste Canyon System ·2,839,637
6 PVOE San Pedro Canyon System 570,000 44,950 525,050 570,000 2,438,992
4 Attamira Canyon ·1,750,000
Pi e Lining ·
12 Phase I 532,000 532,000
10 Phase II (Monero Stann Drain)174,723 I I 174,723
2 PVDS (from Cfipper to Seacove)210,000 210,000
10 Crest to Crestridge 59,700 59,700
10 Hawthorne to Silver Arrow 130,000 130,000
9 Tarapaca Drive 80,000 I I 80,000
5 Pontevedra Drive 317,792 317,792
12 Stann Drain lining,Othe.!.-1,155,452 1,146,698 81l6,903 :259,795 :324,642 329,881 335,278 340,836 347,653 3,980,440
-
Capacity &Secondary System Projects
7tVia Colinita System Projects I 204,2281 242,500 I ~242,500 :~_.I _l I I
446,728
Hawthorne Blvd.(closed FY1Q..ll,re-
allocated to the San Pedro Canyon Storm
2 Drain Project)
9 PVDE Lower Switchbacks ·485,000 485,000
6 South HawthomeNia Frascati ·440,000 440,000
11 Middlecrest Road Projecl ··1 139,160
3 PVDS (North of Barkentine)·446,000 446,000
·
Filtration Systems ·
12 Catch Basin Filtration Devices 354,734 13,756 .13,756 73,000 441,490
2 30502 PVDW Catch Basin 8,600 I ~8,600
·-----'I
Other Projects
McCarreU Canyon Interim,
2 Barkentine/Seacove 135,000 I I 135,000
McCarrell Canyon Interim,Gabion &Timber I I2Walls119,213 119,213
Palos Verdes Bay Club Interim i i2Improvements185,000 185,000
10 PVDS Salvation Army Ouijet 26,000 26,000
6 Bronco Drive 66,000 66,000
5 Noble View Canyon 27,000 27,000
12 Citywide Interim,Other 7,400 7,400
10 Alida Place Storm Drain Relocation 98,480 98,480
3 Tarapaca Landslide Stud~6,377 6,377
6 PVOE Engineering Reserve 20,360 20,360
6 PVDE Inlets ··
10 Mossbank Storm Drain Rehabilitation 245,885 !I 245,885
4 PVDS @ A1tamira Canyon ··
5 Via Canada 17,533 100,000 73,184 '26,816 '117,533
11 Marguerite Open Channel ·50,000 350,000 400,000
Miscellaneous Repairs &Maintenance
12lMiscellaneous Repairs 145,470 145,470
Storm Drain/Filtration Maintenance (inclUdes'l I I ' ,
Hawthorne,Montemalaga &Video I I
12l1nspeclion/Cleaning)562,864 366,036 91,480 i 274,556 i 222,162l_~~229,7271 231,§181 245,5441 250,4551 2,114,306
11,813
171,645 1,720,842
30,000 870,000
166,646
30,000
161,792
30,000
157,080
30,000
6,311 i 149,218
697,789 i 30,000
140,606
11,813
767,544 146,917
22,211 697,789
12 Administr
12 Drainage IVla;UCI riel"r1uy":UII
12 Storm Water Enterprise Asset Registry
12 Asset Maintenance Management Systerr
12 Hydrologic,Hydraulic &Pol-'~Jant Modelling
121Purchase of Push Camera
:ltion (contracVst~
IJI__'_#nl__n_.
12lAnalysis &PrioritazionofDeficiencies
12lCapitallmproveme:nf Programming
~~IPriigiio6j:¢li$~:'-'"-''';-'''''';'''"-'-"""""'>""7',"1.lIi64ili'f$al':4i~51;111'r':;'\ji~2,187,687 F~';'3;,a(iQ.2l'i"''1;5~;liaa:'I'''1~llit$!li!'1,:":~~a;Q.2t!;:':'';:':''l'1l1II1sa""'2f;~1;a1'fr'::,''a;4lI1~a~1
Note:This schedule reffects actual costs and does not include depreciation or capitalization ofstorm drain improvements,which are
included in the City's financial statements.
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CITY OF
MEMORANDUM
Presented May 9,2012
Attachment B
RANCHO PALOS VERDES
TO:
FROM:
DATE:
SUBJECT:
HONORABLE CHAIR AND MEMBERS OF THE OVERSIGHT
COMMITTEE FOR THE WATER QUALITY AND FLOOD
PROTECTION PROGRAM
TOM ODOM,DIRECTOR OF PUBLIC WORKS
DENNIS McLEAN,DIRECTOR OF FINANCE AND
INFORMATION TECHNOLOGY
MAY 9,2012
WATER QUALITY AND FLOOD PROTECTION PROGRAM -
DRAFT FY 12-13 BUDGET AND 5-YEAR PLAN
Project Manager:Ron Dragoo,Senior Engineer
Andy Winje,Associate Engineer
BACKGROUND AND DISCUSSION
This report contains a brief update regarding the major projects included in the Water
Quality and Flood Protection program including the FY12-13 budget and 5-Year plan,both
in draft form.
PROGRAM HIGHLIGHTS
Only two updates are noteworthy since the FY11-12 Midyear Report,dated April 10,2012
are as follows:
1)City Council awarded a construction contract to Sancon engineering on April 17,
2012 for the 2012 Storm Drain Rehabilitation and Lining Project;and
2)The addition of the Marguerite Open Channel project in FY12-13 and FY23-14.
Both updates are described later in this Report.
San Ramon Canyon (PVDE/PVDS Roadway)Stabilization Project
Final design is now about 98%complete with an expected completion date in May 2012.
Regulatory permits are still pending but expected in late spring.Staff expects that
2-14
Presented May 9,2012
Attachment B
WATER QUALITY AND FLOOD PROTECTION PROGRAM -DRAFT FY 12-13 BUDGET
AND 5-YEAR PLAN
May 9,2012
Page 2 of 6
advertising of the project to obtain competitive construction bids will begin in June,with
construction tentatively scheduled to begin in late Summer or early Fall.
The project has received a grant in an amount up to $9.46 Million from the State's
Department of Water Resources Stormwater Flood Management Grant (Prop 1E)program.
The remainder of the funds for the project are yet to be formally identified.The City has
received notification that it was not invited to submit a formal application for the FEMA
Hazard Mitigation Grant that was being pursued.Staff is still awaiting the decision
regarding the TIGER IV grant ($10 million application),which is due in June or July.Staff,
the City's advisors and the City Council are pursuing other federal funding opportunities as
well as help from local agencies (City of Los Angeles and County of Los Angeles)whose
constitue'nts will also receive benefits from the project.No commitments from these other
agencies have yet been received.
Please see the City's website to view updates regarding the project at
http://www.palosverdes.com/rpv/publicworks/San-Ramon/index.cfm.
Stormwater Master Plan Program
The upgrading of the GIS system and the archiving of data to be available through the GIS
system are understood and necessary precursors to a robust GIS-based stormwater tool.
A consultant's report provided a list of nine tasks to developing our anticipated end product
and staff is working on to complete the first three,which are data collection and
assessment,field verification and of inventory,and development of a database storage and
reporting system.These efforts will continue into next fiscal year.The final tasks have to
do with technical analysis of the system modeled against County standard rainfall events
and water quality requirements of the Regional Board,identifying and prioritizing capital
projects and reporting and will occur in following years.
Storm Drain Lining
City Council awarded a construction contract to Sancon engineering on April 17,2012 for
the 2012 Storm Drain Rehabilitation and Lining Project.City Council awarded professional
service agreements to CDM Consulting,Inc,and John M.Cruikshank Consultants,Inc.for
inspection and mapping services,respectively,on May 1,2012.Once these agreements
are executed,notice to proceed (NTP)will be given to the contractor.Staff anticipates the
work will be completed about three months after NTP is given.
Staff is beginning to develop a list of pipes to be investigated and potentially lined in FY12-
13.These pipes are predominately on the City's west side and will include diameters up to
84 inches.
PVDE/San Pedro Canyon System
Staff has broken this project into two design efforts to allow for concurrent work by distinct
consultants.Staff has received 95%level design effort for the Miraleste Plaza Storm Drain
2-15
Presented May 9,2012
Attachment B
WATER QUALITY AND FLOOD PROTECTION PROGRAM -DRAFT FY 12-13 BUDGET
AND 5-YEAR PLAN
May 9,2012
Page 3 of 6
Improvement project and expects similar submittal for the Via Colinita Improvements
Project soon.Upon review and finalization of the design documents,the projects will be
advertised for competitive bid and,hopefully,awarded and this summer.Staff intends to
complete these improvements prior to next year's rainy season.
FY12-13 Draft Budget and 5-Year Plan
Additional budget items for both FY12-13 and the five-year plan are described in the project
updates and on the attached spreadsheet entitled Storm Drain Plan through FY16-17.
PROJECT UPDATES
Project Name:San Ramon Canyon Stabilization Proiect
Project Area:Project Area 3
Budgeted Cost (Design &EIR):$1,514,082
Contract Award (Design &EIR):$1,342,000
Total/Estimated Costs:$19.4M (construction costs,partiallv unfunded)
Percentage Completion:90%(pre-construction activities only)
Project DescriptiOn:
City Council approved the recommended alternative (Tunnel Alignment)in March,2011,the design of
which is now about 95%complete.City Council certified the environmental (CEQA and NEPA)
documents and Coastal Development permit on Dec 20,2011 and applications for regulatory permits
have been submitted.Anticipated date to begin construction is dependant on funding;however,
construction could begin as early as late Summer to early Fall,2012.City was awarded a $9.46
Million grant from the State Department of Water Resources for the project.City Staff,its advisors
and the City Council are actively pursuing Federal funding opportunities and contributions from City of
LA and County of LA.
Project Name:Storm Drain Lining
Project Area:Project Area 12
BUdgeted Cost:$1,146,698 (including $839,617 carryover from
FY10-11)
Contract Award:$1,080,565
Total/Estimated Costs:$1,080,565
Percentage Completion:0%
Project Description:
City Council awarded a $805,000 construction contract to Sancon Engineering on April 17,2012.
Approximately 6,000 linear feet of CMP are included in this year's program.All unlined,City owned
corrugated metal pipes not already lined or scheduled for alternate repairs on the east side of the City
will be included in this year's program,ranging in diameter from 12 inches to 54 inches.Work
includes CCTV investigation,cleaning,lining by CIPP or paved invert methods,point repairs,ancillary
facilities,inspection,mapping and documentation exportable to GIS format.
Project Name:Catch Basin Filtration Devices
Project Area:Project Area 12
Budgeted Cost:$13,756
Contract Award:$0
Final/Estimated Costs:TBD
Percentage Completion:60%
Project Description:
2-16
Presented May 9,2012
Attachment B
WATER QUALITY AND FLOOD PROTECTION PROGRAM -DRAFT FY 12-13 BUDGET
AND 5-YEAR PLAN
May 9,2012
Page 4 of 6
Retrofitting of catch basins with filtration screens in this area of the City is required by the Regional
Board to address the trash problems at Lake Machado in Los Angeles.The City has until 2016 to
install screens in the 111 catch basin contributing to this drainage.Sixty eight (68)catch basins have
been retrofitted in FY 2010-11 at a cost of about $27,000,a savings of 78%over original estimates.
The City's compliance response is about 60%;therefore,ahead of schedule.The remaining basins in
this drainage are county owned and will require an MOU for maintenance with Los Angeles County.
Installation of these will be performed after an MOU is authorized by both agencies.The remaining
40%of the basins will come at a higher cost due to involvement of LA County and cost for completing
their flood permits.The City is partnering with other South Bay Cities to apply for a State Grant (Prop
84)that,if awarded,would cover at least a portion of the costs for the remaining catch basins to be
retrofitted.The project was on the short list published April 30,2012 and a full application will be
submitted with City of Torrance in the lead.Work done to date by the City may be counted as the
City's "match"allowing a large portion of the remaining basins to be covered by the grant,if awarded.
The project will be on hold until it is determined if qrant fundinq will be awarded.
Project Name:Roan System
Project Area:Proiect Area 7
Budaeted Cost:$242,500
Contract Award:TBD
Total/Estimated Costs:$446,728
Percentage Completion:0%
Project Description:
The Via Colin ita portion of this project is being addressed under the San Pedro Canyon Storm
Drain project and $50,000 was transferred to that project in FY11-12.The remaining portion is for
addressing the physical deficiencies in the Roan road area system
Project Name:Miscellaneous Repairs &Storm Drain Filtration
Maintenance
Project Area:Proiect Area 12
Budgeted Cost:$366,036
Contract Award:$107,462
Total/Estimated Costs:TBD
Percentage Completion:Ongoing/Annual
Project Description:
As a result of this program and the following maintenance activities,the City of Rancho Palos
Verdes has not received a single "after-hours"callout to address a rain related emergency
during the past four years.The lack of rain this year has resulted in not needing to perform any
emergency miscellaneous repairs this year.
~29 catch basins in the City with filtration devices installed were cleaned in November
2011 ;
~The City contracts with LA County for annual clearing of City-owned catch basins.The
County process is cumbersome and makes financial planning and required reporting
difficult.Staff has developed bid documents to engage the use of private contractors for
future years if costs can be justified;
~Repaired leaking CMP behind home on Ronsard Road.A new manhole and CIPP liner
was installed in an 18-inch CMP line after leaking was detected by a resident.The
manhole is needed to provide access to the one-off liner installation that was completed
in February,2012.
~A catch basin on PVDS adjacent to Wayfarer's Chapel was rebuilt.
~Design is completed for a point repair on a 12-inch concrete pipe on Via De Anzar.Field
work will begin as soon as access to private property can be obtained.
~Cleaned and video inspected 4,110 linear feet of CMP to date in FY11-12
2-17
Presented May 9,2012
Attachment B
WATER QUALITY AND FLOOD PROTECTION PROGRAM -DRAFT FY 12-13 BUDGET
AND 5-YEAR PLAN
May 9,2012
Page 5 of 6
Project Name:Drainaqe Master Plan Proqram
Project Area:Project Area 12
Budaeted Cost:$697,789
Contract Award:$0
Total/Estimated Costs:TBD
Percentage Completion:5%
Project Description:
The City is upgrading its GIS platform and PW Staff will continue improving GIS data and best
practices to maximize use for stormwater management planning.Many available as-built drawings
have been scanned and linked to existing GIS database.Establishing links to inspection video and
remaining drawings is underway.
Staff engaged RBF ConSUlting Engineers to develop a planning document to guide our efforts to build
a sustainable and useful management tool.Staff anticipates engaging a consultant in late Spring or
early Summer to verify existing atlas data in the field,develop data where gaps exist,and build a
digital library (database)that is compatible with and transferrable to the City's anticipated GIS
platform when it is acquired.
Project Name:San Pedro Canyon Storm Drains
Proiect Area:Project Area 6
Budaeted Cost:$570,000 (Re-allocated from Hawthorne Blvd.proiect)
Contract Award:$49,900 (to date for desiqn)
Final/Estimated Costs:TBD
Percentage Completion:10%
Project Description:
This project in San Pedro Canyon lies east of PVDE and is crossed several times by residential
streets.This project has become a priority due to observed flooding in the area,sediment and debris
accumulation in potentially undersized debris basins and degraded pipes and inlet/outlet structures.
Staff has engaged a consultant to provide design recommendations to rehabilitate existing facilities,
including construction drawings.The project has been broken into two pieces,Miraleste Plaza Storm
Drain Improvements and Via Colinita Storm Drain Improvements to facilitate concurrent design and
construction.The New County standards for hydrology assumptions suggest upsizing of pipes may
be necessary.However,that may have undesirable downstream consequences.Staff is working with
consultant to develop solutions to address known or anticipated deficiency issues based on field
observations,with a mind to restrict hydromodification (Le.effects on downstream areas)until a larger
stUdy can be performed (as part of the next master plan).Analysis and design work is underway,to
be followed bv construction of improvements.
2-18
Presented May 9,2012
Attachment B
WATER QUALITY AND FLOOD PROTECTION PROGRAM -DRAFT FY 12-13 BUDGET
AND 5-YEAR PLAN
May 9,2012
Page 6 of 6
Project Name:Via Canada Drainage Study &Repair
Project Area:Project Area 6
Budgeted Cost:$100,000
Contract Award:$73,185
Total/Estimated Costs:$90,700 (desiQn,construction and inspection)
Percentage Completion:95%
Proiect DescriDtion:
This project east of PVDE and north of Miraleste Canyon results from observed flooding at the bottom
of Via Canada (cul-du-sac)during moderate to heavy rain events.This drain in question is County
owned and the flooding issue was brought to their attention 10 years ago.Since no action had been
taken,the impacted homeowners have requested the City do something.
The hydraulic study and engineering design were completed in Fall 2011.The solution is installation
of two new.catch basins and connecter pipes to allow more water to enter the subsurface county
drain before it reaches the cul-du-sac.Construction began in November 2011 and a Notice of
Completion of construction was filed with the County on February 1,2012.The total cost for
engineering,inspection and construction totals about $91,000.The remaining funds from this project
will be re-allocated in the prOQram.
Proiect Name:Marguerite Open Channel
Project Area:Proiect Area 6
Budgeted Cost:$400,00
Contract Award:TBD
Total/Estimated Costs:TBD
Percentage Completion:0%
Project DescriDtion:
Staff has become aware of excessive erosion in a portion of open natural drainage channel,which
connects two piped systems between PVDW and the bluff.Studies of the issue are scheduled for FY
12-13 with implementation of any recommendations for improvement tentatively scheduled the
following year.
Attachment
Storm Drain Plan through FY16-17
2-19
City of Rancho Palos Verdes
Storm Drain Plan through FY16-17
Presented May 9,2012
Attachment 8
Backbone I"rolects I I I I
21McCarreil Canyon 1 7,487,716
McCarrell Canyon,Tarragon Property
21Acquisition
11Sunnyside Ridge
31 Lower San Ramon Canyon Stabilization
51PVDE Miraleste Canyon System
61pVDE San Pedro Canyon System
41Altamira Canyon
1,403,500
417,361
646,507 867,575
570,000
693,579
49,900 I
7,467,716
1,403,500
417,361
173,996 !I I I I I 1,514,082 1 2,240,000 1
I -2,839,637
520,100 !I I I. I I 570,000 I 2,438,992 I
1,750,000
Storm Drain/Filtration Maintenance~includes b I i
Hawthorne,Montemalaga &Video ,
12I1nspectionICleaning}...562,864 366,036 107,286 I
121Miscellaneous Repairs I 145,470
Capacitv &Secondarv Svstem Proiects
80,000
59,700
130,000
446,728
210,000
317,792
347,653 I 3,980,440340,836
.-'7
~x
440,000
--~
335,278
'f'.),-#'1-"'A-~
174,723
532,000
31815 f I ~I -'I,i 50,000 350000 --1 'If
I
258,750!222,162 I ..229,727\237,518\245,5441 250,4551 2,114,306
485,000
440,000
---1139;160
446,000.-,-----.-1 I I
44{490
8,600
--
135,000
119,213
I I 185,000
26,000
66,000
27,000
7,400
98,480
6,377
20,360
245,885
I I 117,533
400,000
145,470
68,185 !
"=r=I ~i l
1,146,698 1,101,965 I 44,733 l 324,642 I 329,881
I I
1
204,228 242,500 !
I
ir 485,000
Ir I
446,000
-.\.
\..1
I 354,734 1=7568,600
135,000
"'-bion &Timber
1 119,213
185,000
26,000
66,000
27,000
7,400
98,480
6,377
20,360
245,885
17,;331 100,::
91Tarapaca Drive
51Pontevedra Drive
21pVDS (frolTl g1ipper to Seacove)
61South HawthomeNia Frascati
61Bronco Drive
Hawthorne Blvd.(closed FY10-11,re-
allocated to the San Pedro Canyon Storm
21Drain Project)
31PVDS (North of Barkentine)
Pipe Lining
51Via Canada
2\Palos Verdes Bay Club Interim Improvements
31Tarapaca Landslide Study
71"ia GeliAita &Roan System Projects
51 Noble View Canyon
91pVDE Lower Switchbacks
Miscellaneous Repairs &Maintenance
41PVDS @Altamira Canyon
61pVDE Engineering Reserve
61PVDE Inlets
6INE'!v ~t",1arguente Open Channel
121Phase I
10lHawthorne to Silver Arrow
121Storm Drain Lining,Other
10lPhase II (Monero Storm Drain}
111 Middlecrest Road Project
10lAIIda Place Storm Drain Relocation
10lCrest to Crestridge
10lMossbank Storm Drain Rehabilitation
101 PVDS Salvation Army Outlet
121Citywide Interim,other
··•••·SubtOlli'p.roJect·&·Maliitenan¢e·'CoSt$'·~~'··cT1.4;844;89~;565.1~•••2;020,915·.'1,285,650 r5'1';'1~'ll04':'··'1l355;608.I.~!tM2i196··"';""586;38(["""""'S98;'108,1','22;fl59,;jME'£&;ilOT,1'81i"
121Purchase of Push Camera
121Administration (contracUstaff engineer)
121Drainage Master Plan Program
11,813
767,544
22,211
146,917
697,789
i
111,196 '
11,813
35,721'153,518 1,725,142
697,789 ~30,000 870,000
121 Storm Water Enterprise Asset Registry
12 Asset Maintenance Management System I ...f I-_
12 Hydrologic,Hydraulic &Pollutant Modeling I i I I----tl----I I I I
12 AnalySIS &Pnontlztng of DefiCIenCIes i .'. .......
12 Caoitallmorovement Proorammino '
2,019,160 (:·1;331Ii322·'····'1iM2;68!J':1;204;588.·'·c "·183;Qt&:,ili7't99;T..s3¥'·25;466';t.11.Y:;::9;!lO'Tilali·'
Note:This schedule reflects actual costs and does not include depreciation or capitalization of storm drain improvements,which are
included in the City's financial statements.
2
-
2
0
User Fee Rate History Attachment C
Note:CPllndex based upon LA -Oran~e -Riverside CPI-U (Urban City)Annual Change
User Fee Estimated
Index User Fee Incremental
(Increase Rate Estimated Cumulative
%limited to Maximum Adopted by Annual User Fee Increase Annual
Change 2%User Fee City Revenue -Not Revenue from
CPllndex CPI annually)FY Rate/ERU Council Actual CPI
Feb
2006 rate enacted by the voters)$86.00 $86.00 $1,118,439
2007 214.76 3.5%2.0%FY07-08 $87.72 $87.72 $1,140,808 $22,369
2008 221.431 3.1%2.0%FY08-09 $89.47 $89.47 $1,163,624 $45,185
2009 221.439 0.0%0.0%FY09-10 $89.47 $89.47 $1,163,624 $45,185
2010 224.62 1.4%1.4%FY10-11 $90.72 $90.72 $1,180,340 $61,901
2011 229.729 2.3% 2.0%FY11-12 $92.53 $92.53 $1,203,946 $85,507
2012 234.537 2.1%2.0%FY12-13 $94.39 ?
12.4%9.4%$260,147
Conservative estimate of user fee collected over 6 years $6,970,781
Estimated spent or committed in the WOFP fund throuqh 6/30/2012 $17,600,000
Percentaqe spent or committed in the WOFP fund from user fee collected 40%
2-21
Annual Report
for the
Water Quality and Flood Protection Program
Storm Drain User Fee
FY 2012·13
For the
City of Rancho Palos Verdes
Los Angeles County,California
July 2,2012
2-22
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
TABLE OF CONTENTS
Certificates Pg.1
Introduction Pg.2
Cost Estimates Pg.3
Annual Fee Rate Calculations Pg.4
Sample Calculations Pg.6
Assessment Roll Under Separate Cover
July 2,2012
Q:\RPV\SD Fee Admin\FY 12-13\reports\SD Fee Rpt 12-13 Final2Ju112.doc III Harris &Associates2-23
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012-13
FY 2012-13 Annual Report
City of Rancho Palos Verdes
Storm Drain User Fee
The undersigned respectfully submits the enclosed report as directed by the City Council.
DATED:July 2,2012
July 2,2012
Page 1
I HEREBY CERTIFY that the enclosed Annual Report,together with Assessment Roll thereto attached,
was filed with me on the __day of ,2012.
Carla Morreale,City Clerk,
City of Rancho Palos Verdes
Los Angeles County,California
By _
I HEREBY CERTIFY that the enclosed Annual Report,together with Assessment Roll thereto attached
was finally adopted and confirmed by the City Council of the City of Rancho Palos Verdes,California,on
the __day of ,2012.
Carla Morreale,City Clerk,
City of Rancho Palos Verdes
Los Angeles County,California
By _
Q:\RPV\SD Fee Admin\FY 12-I3\reports\SD Fee Rpt 12-13 Final 2Jul12.doc III Harris &Associates2-24
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
INTRODUCTION
July 2,2012
Page 2
To insure a flow of funds for the Water Quality and Flood Protection Program,the City of Rancho
Palos Verdes established a user fee in September 2005.This Fee ensures a fair and equitable levying
of the costs of the Water Quality and Flood Protection Program.
Pursuant to Section 3.44.40 of the City's Municipal Code,at a public hearing,the City Council will
consider whether to collect the Storm Drain User Fee for Fiscal Year 2012-13 (July 1,2012 through
June 30,2013),and,if so,establish the rate per Equivalent Residential Unit for Fiscal Year 2012-13.
In making its determinations,the City Council will take into account the current and projected
revenues of the City for Fiscal Year 2012-13,including but not limited to,property taxes,sales taxes
and transient occupancy taxes;the current and projected expenditures of the City for Fiscal Year
2012-13,including,but not limited to,proposed expenditures in connection with the City's storm
drain system;the balance,if any,in the Water Quality and Flood Protection Program Enterprise
Fund;and the current and projected General Fund reserves.In addition,the City Council will
consider any report and recommendation submitted by the Oversight Committee established by the
City Council in connection with the City's Water Quality and Flood Protection Program.
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 2005.
The Storm Drain User Fee is levied under the authority of the California Health and Safety Code
Section 5471 et seq.(the "Code").Payment of the fees 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 establish the annual fee rates and is submitted for
filing in the office of the City Clerk,where it shall remain open for public inspection.
Q:\RPv\SD Fee Admin\FY 12-13\reports\SD Fee Rpt 12-13 Final 2Jull2.doc III Harris &Associates
2-25
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
COST ESTIMATE
July 2,2012
Page 3
The estimated annual costs to fund the Water Quality and Flood Protection Program are provided
below in Table 1.
Table 1-Estimated Annual Costs
BEGINNING FUND BALANCE (7/1/12)
ESTIMATED REVENUES
Annual Fee Levy
Interest Earnings
City Contribution
ESTIMATED EXPENDITURES
Storm Drain Master Plan
Backbone Projects
Pipe Lining
Secondary Projects
Other Projects
Miscellaneous Repairs &Maintenance
Filtration Device Installation
Reserve for Anticipated Additional Costs
Administration (contracVstaff engineer)
ENDING FUND BALANCE (6/30/13)
The ending fund balance constitutes a Reserve for Future Projects.
Q:\RPV\SD Fee Admin\FY 12-13\reports\SD Fee Rpt 12-13 Final2Ju1l2.doc
$494,145
$1,394,473
$2,500
$0
$1,396,973
$30,000
$0
$324,642
$485,000
$50,000
$222,162
$73,000
$0
$149,218
$1,334,022
$557,096
III Harris &Associates2-26
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
ANNUAL FEE RATE CALCULATIONS
July 2,2012
Page 4
By definition,all properties that drain into the City's storm drain system use the storm drain system.
The amount of use attributed to each parcel is measurable by the amount of storm runoff contributed
by the property,which is directly proportional to the amount of impervious area on a parcel (such as
buildings and concrete).The more impervious area on a property,the more storm runoff the property
generates.Vacant,unimproved parcels are still in their natural states and do not contribute any
additional runoff to burden the system,therefore these parcels are not charged a storm drain fee.
Table 2 shows the estimated Impervious Percentages for single-family residential (SFR)properties of
various size ranges.These Impervious Percentages are the estimated percent impervious cover on a
property based on a ten percent data sampling of SFR parcels within the City of Rancho Palos Verdes
when the fee was initially adopted.
Because of the variations in condominiums and non-SFR properties,which include multi-family
residential,institutional (such as churches and private schools)and government-owned properties,
these properties were reviewed individually using the City GIS and Aerial photography to determine
the actual Impervious cover for each parcel.
Table 2-SFR Impervious Percentages
Land Impervious
Use Percentage SFR Size Ranges
SFR1 74.0%0.01 -0.16 acres (-1 sf --7,012 sf)
SFR2 58.0%0.161 -0.20 acres (-7,013 sf --8,755 sf)
SFR3 48.5%0.201 -0.28 acres (-8,756 sf --12,239 sf)
SFR4 41.0%0.281 -0.54 acres (-12,240 sf --23,565 sf)
SFR5 34.5%0.541 -2.99**acres (-23,566 sf --130,680 sf)
SFR6 n/a*3.0 acres and greater
*the actual ImpervIous percentage IS used for each parcel.
**the actual impervious percentage is used for SFR5 over 3/4 AC
if less than originally noticed.
The amount each parcel uses the storm drain system is computed by the following formula:
(Parcel Area)x (Impervious Percentage)=Drainage Units
The more Drainage Units a parcel has,the more storm run-off it generates,and the more it uses the
storm drain system.
It is often convenient to relate other land uses to a developed single family home,instead of working
exclusively with Drainage Units.Since 85%of the parcels within the City are designated as Single
Family Residential (SFR)parcels,and the median number of Drainage Units is 0.118 for all SFR
parcels,it makes sense to relate all parcels to this median residential property.Therefore,0.118
Drainage Units is set equal to one Equivalent Residential Unit (ERU).
Parcels within the City that have runoff flowing out of the City without going through any City-
maintained drainage infrastructure are not included in this fee.There are also a number of County-
maintained pipes within the City.Ifproperties drain exclusively to these pipes and the pipe system
Q:\RPV\SD Fee Admin\FY 12-13\reports\SD Fee Rpt 12-13 Final 2Ju1l2.doc III Harris &Associates2-27
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
July 2,2012
Page 5
does not include any City-maintained infrastructure,then they are not included in the fee.These
areas,which consist of approximately 3,043 parcels,are excluded from the Storm Drain User Fee.
For the purposes of this report,City-maintained infrastructure includes pipes,inlets,outlets,and
natural drainage courses,and is also referred to as the "City's storm drain system."
Inventory of Parcels
Table 3,below,provides a summary of parcels by land use and shows the total estimated Drainage
Units and ERUs for the City.
Table 3-Drainage Unit Summary Table
Land Imperv.Drainage
Use Parcels Acreage Percent Units ERU Land Use Description
SFR1 1,113 162.57 74.0%120.056 1,017.4318 SFR:0.01 -0.16 acres (-0 sf --7,012 sf)
SFR2 1,f)00 349.85 58.0%202.768 1,718.4219 SFR:0.161 -0.20 acres (-7,013 sf --8,755 sf)
SFR3 3,096 736.60 48.5%357.307 3,028.0663 SFR:0.201 -0.28 acres (-8,756 sf --12,239 sf)
SFR4 2,801 1,104.30 41.0%449.727 3,811.2507 SFR:0.281 -0.54 acres (-12,240 sf --23,565 sf)
SFR5 946 742.70 34.5%"213.013 1,805.1949 SFR:0.541 -2.99 acres (-23,566 sf --130,680 sf)
SFR6 10 52.38 actual"3.551 30.0930 SFR:3.0 acres and greater
CNDO 1,846 139.48 actual"95.727 811.2726 Condominiums
MFR 39 53.69 actual"41.736 353.6949 Multi-Family Residential
COM 45 143.21 actual"74.414 630.6270 Commercial
INST 20 114.80 actual"64.692 548.2371 Churches,Private Schools,Institutions
GOV 47 490.24 actual"120.454 1,020.7963 Government-owned parcels
11,863 4,089.82 1,743.445 14,775.0865
"the actual impervious percentages have been used for parcels with these land uses
which includes SFR5 parcels>.75 AC
The parcel areas for condominiums are calculated by dividing the total area of the condominium
complex (which includes the common area)by the number of condominium units,and the total
imperviousness of the entire complex is attributed to each individual condo parcel in the complex.
(This divides the runoff of the entire complex to each of the individual units.)Because the
condominium common areas are taken into consideration in this manner,they are exempt from the
charge.
Annual Fee Rate
Table 4 provides the calculation of the Maximum Annual Fee Rate for FY 2012-13 and shows the
actual proposed Fee Rate.
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City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
Table 4 -Annual Fee Rate
July 2,2012
Page 6
CPI CPI 2%Max.Actual
Increase Rate Rate Rate Rate
Base Year -FY 2006-07 $86.00 $86.00
FY 2007-08 3.8%$89.27 $87.72 $87.72 $87.72
FY 2008-09 3.3%$90.61 $89.47 $89.47 $89.47
FY 2009-10 0.0%$89.47 $91.26 $89.47 $89.47
FY 2010-11 1.4%$90.72 $91.26 $90.72 $90.72
FY 2011-12 2.3%$92.81 $92.53 $92.53 $92.53
FY 2012·13 2.1%$94.47 $94.38 $94.38 $94.38
The maximum rate will increase automatically on an annual basis by an amount equal to the annual
change in Consumer Price Index for all Urban Consumers (CPI)for the Los Angeles,Riverside,
Orange County Areas including all items as published by the U.S.Bureau of Labor Statistics as of
March 1 of each year,not to exceed a maximum increase of two percent (2%)per year.
The actual rate to be levied each year will be as approved by the City Council at a public hearing,
after they consider an Annual Fee Report outlining the estimated annual costs of the program.
Table 5 provides sample fee calculations for various land uses and parcel sizes based on the proposed
Actual Fee Rate.
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2-29
City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012-13
Table 5-Sample Calculations
July 2,2012
Page 7
Est.FY 12-13 Annual
land Use Parcel Parcel Imperv.Drainage Fee Rate/ERU
Designation Area (sf)Area (ac)x Percent =Units I 0.118 =ERU's $94.38
SFR1 3,500 0.08 x 0.740 =0.059 /0.118 =0.5000 $47.19
SFR2 7,400 0.17 x 0.580 =0.099 I 0.118 =0.8390 $79.18
SFR2 8,300 0.19 x 0.580 =0.110 I 0.118 =0.9322 $87.98
SFR3 9,200 0.21 x 0.485 =0.102 /0.118 =0.8644 $81.58
SFR3 10,000 0.23 x 0.485 =0.112 10.118 =0.9492 $89.59
SFR3 11,300 0.26 x 0.485 =0.126 /0.118 =1.0678 $100.78
SFR4 13,500 0.31 x 0.410 =0.127 /0.118 =1.0763 $101.58
SFR4 17,000 0.39 x 0.410 =0.160 /0.118 =1.3559 $127.97
SFR4 21,400 0.49 x 0.410 =0.201 /0.118 =1.7034 $160.77
SFR5 52,300 1.20 x 0.345 =0.414 /0.118 =3.5085 $331.13
CNDO*1,307 0.03 x 0.800 =0.024 /0.118 =0.2034 $19.20
CNDO*3,049 0.07 x 0.850 =0.060 /0.118 =0.5085 $47.99
Non-SFR 13,068 0.30 x 0.820 =0.246/0.118=2.0847 $196.75
Non-SFR 13,068 0.30 x 0.700 =0.210 /0.118 =1.7797 $167.97
Non-SFR 29,185 0.67 x 0.350 =0.235 /0.118 =1.9915 $187.96
Non-SFR 29,185 0.67 x 0.700 =0.469 /0.118 =3.9746 $375.12
Non-SFR 71,874 1.65 x 0.650 =1.073 /0.118 =9.0932 $858.22
Non-SFR 71,874 1.65 x 0.850 =1.403 /0.118 =11.8898 $1,122.16
Non-SFR 135,907 3.12 x 0.400 =1.248 /0.118 =10.5763 $998.19
Non-SFR 135,907 3.12 x 0.600 =1.872 /0.118 =15.8644 $1,497.28
0.118 =Drainage Units per median SFR ERU =Equivalent Residential Unit
*Condominium parcel areas =the area of the entire complex divided by the total number of units in the complex.
The Preliminary Fee Roll,which is a listing of each parcel to be charged a fee and the maximum and
actual fee for FY 2012-13,is on file in the office of the City Clerk.
Appeals Process
If a property owner disagrees with the calculation of his or her fee,based on the parcel area and
estimated impervious percentage assigned to the property,then the property owner may appeal the
calculation as follows:
1.Property owner must provide written documentation explaining the reason why the charge
should be changed.This documentation must include:
a.The name,phone number,mailing address,and email address,if available,of the property
owner.
b.The Assessor's Parcel Number (APN)of the property in question.
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City of Rancho Palos Verdes
Water Quality and Flood Protection Program
Storm Drain User Fee Annual Report -FY 2012·13
July 2,2012
Page 8
c.To-scale drawings of the property in question and the impervious areas located on it with
accompanying calculations.The to-scale drawings shall include the square footage and
labels for each impervious area (i.e.house,garage,driveway,patio,tool shed,carport,etc.).
2.If additional documentation is required or insufficient documentation was submitted,a
representative of the Public Works Department or his or her designee (Staff)will notify the
property owner in writing within two (2)weeks of receipt of the appeal.
3.Once Staff has determined that sufficient documentation has been submitted,Staff will perform
the initial review.Staffwill notify the property owner in writing within four (4)weeks from the
time sufficient documentation was submitted as to whether or not the fee amount will be
changed.
a.If the determination is to change the fee amount,then the new fee amount will be
do.cumented within the City's fee database.
b.If the determination is that the fee should not be changed,the property owner can appeal
Staffs decision to the Director of Public Works (Director).The appeal must be made in
writing and returned no later than four (4)weeks from the date of mailing of Staff s initial
review decision.The Director will notify the property owner in writing within four (4)
weeks from the date of receipt of the appeal as to whether or not the fee amount will be
changed.
If the Director's determination is that the fee should not be changed,the property owner can
appeal this decision to the City Council.The appeal must be made in writing and returned
no later than four (4)weeks from the date of mailing of the Director's appeal decision.The
City Clerk shall fix a time and place for hearing the appeal and shall give notice in writing to
the appellant in the manner prescribed in Section 3.16.090 for service of notice of hearing.
The City Council's determination on the appeal shall be final.
Appeals will be accepted annually up until June 30 for inclusion on the following fiscal year's
property tax roll submittal.However,if an appeal is granted by Staff,the Director or the City
Council that does not permit inclusion for the following fiscal year's property tax roll submittal,a
reimbursement will be provided to the property owner by the City.
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