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HomeMy WebLinkAbout4.23 Street Light Maint AD 99-1 CITY CLERK File # D~~[Q]-~[Q] AGENDA STATEMENT CITY COUNCIL MEETING DATE: June 17, 2008 SUBJECT: Street Lighting Maintenance Assessment District 99-1 (Dublin Ranch and Tract 7067): Preliminary Engineer's Report Report Prepared by Melissa Morton, Public Works Director ATT ACHMENTS: 1) 2) Resolution Approving Preliminary Engineer's Report Resolution Appointing Time and Place of Hearing Protests of Proposed Assessments (July 15, 2008, 7:00 p.m.) Preliminary Engineer's Report 3) RECOMMENDATION: -'" .r (\ lJ'l' Adopt the resolutions approving the preliminary Engineer's Report and setting a public hearing date and time (July 15,2008, 7:00 p.m.) for the purpose of hearing protests to the proposed 2008-2009 assessment. FINANCIAL STATEMENT: 2008-2009 Sources and Use of Street Liflht Maintenance District Funds Revenues: Total Amount Proposed to be Assessed: Estimated Interest Revenue: Estimated Prior Year Collections and Penalties: Public Damage Reimbursement Less Estimated Collection and Delinquency Cost: Net Total Revenues $160,724 8,020 1,761 o (4,340) $166,165 Expenditures: Contract Maintenance and Utilities: Administration and Engineering: Total Operating Expenses: $109,391 3,750 $113,141 COPY TO: Page 1 of2 ITEM NO. *.L~ g:\assessdist\99-1 \99-1 stfrptintent2006 The revenue in this District is proposed to be higher than the maintenance cost for 2007-2008 by $43,024. See the Description below for further information regarding this recommendation. The proposed assessment, $38.90 per single-family home, is $1.18 per lot higher than the 2007-2008 assessment, but is within the maximum allowable assessment established by the initial Engineer's Report for this District. DESCRIPTION: Assessment District 99-1 funds the electric energy, maintenance, and repair costs associated with the decorative street lighting within all of the Dublin Ranch development (excepting the golf course) and also in Tract 7067, which is the Clifden Parc development off Mountain Rise Place in the western hills. This Assessment District was formed in 1999 at the request of the developers in Dublin Ranch. The Clifden Parc development was annexed in 2000, and Dublin Ranch Areas A and G were annexed in 2001. The remaining portions of Dublin Ranch, including Areas B, C, F and H, were annexed in December of2005 and were therefore a part of this District for the 2006-2007 assessment. The City began maintaining some of the lights in Dublin Ranch Phase I, and also in Clifden Parc, during the 2001-2002 Fiscal Year. It is expected that the City will be maintaining approximately 1,577 lights by the end of Fiscal Year 2008-2009. For Fiscal Year 2008-2009, no change is recommended with respect to the method of determining the assessments. The assessment for a single-family residence is proposed to be $38.90, which is an increase of $1.18 per individual lot over the 2007-2008 assessment. This amount is within the maximum assessment allowed by the initial Engineer's Report for the District, and is needed to fund increases in power and maintenance costs, as well as increases in inventory. For the first several years of operation, this District did not incur a significant maintenance cost; however, as these lights age, the number of repairs is increasing. As noted in the Preliminary Engineer's Report, a portion of the reserve is being set aside each year for future pole painting costs. The poles are expected to need repainting on a ten-year cycle, which means that the first poles may need painting in the next few years. Aside from the reserve specifically earmarked for pole painting, the reserve in this District has become extremely low. The reserve is allowed by law to be approximately 50% of the annual maintenance cost, and it is recommended that an effort be made to keep the reserve at that level in order to have funds available for emergencies. For a street lighting district, such an emergency could be a major underground electric line break or a series of pole or fixture failures. Therefore a significant rate increase took place in Fiscal Year 2006-2007 in order to bring the reserve back up to a comfortable level. The original Engineer's Report for this District prepared in 1999 provided for a maximum assessment of $34.22 per parcel, which could be increased annually based on the Consumer Price Index (CPI), as well as actual increases in the cost of utilities. In Fiscal Year 2007-2008, the maximum assessment was increased from $41.54 to $42.81. The Engineer's Report includes a chart which details the CPI and utility increases for each successive year. The April 2008 CPI rate of increase for San Francisco Bay Area Urban Wage Earners was 3.18%. The maximum assessment has therefore been adjusted by 3.18% to $44.17. Staff recommends that the City Council adopt the resolutions approving the preliminary Engineer's Report and setting a public hearing date and time (July 15, 2008, 7:00 p.m.) for the purpose of hearing protests to the proposed 2008-2009 assessment. Page 20[2 l~ t~b RESOLUTION NO. -08 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* APPROVING PRELIMINARY ENGINEER'S REPORT, CONFIRMING DIAGRAM AND ASSESSMENT CITY OF DUBLIN STREET LIGHTING MAINTENANCE ASSESSMENT DISTRICT 1999-1 WHEREAS, by its Resolution No. 32-08, a Resolution Directing Preparation of Annual Report for City of Dublin Street Lighting Maintenance Assessment District No. 1999-1, Dublin Ranch (the "District"), this Council designated the Public Works Director as Engineer of Work and ordered said Engineer to make and file a report in writing in accordance with and pursuant to the Landscaping and Lighting Act of 1972; and WHEREAS, said Engineer of Work has made and filed with the City Clerk a preliminary report in writing as called for in said Resolution No. 32-08 and under and pursuant to said Act, which report has been presented to this Council for consideration; and WHEREAS, said Council has duly considered said report and finds that each and every part of said report is sufficient; and that said report neither requires nor should be modified in any respect; NOW, THEREFORE, BE IT RESOLVED a) That the Engineer's estimate of the itemized and total costs and expenses of the acquisition of improvements and maintaining said improvements and of incidental expenses in connection therewith, as contained in said report be, and each of them are hereby preliminarily approved and confirmed; b) That the diagram showing the assessment district, description of the improvements to be acquired and maintained, and the boundaries and dimensions of the respective lots and parcels of land within said District, as contained in said report be, and it is hereby preliminarily approved and confirmed; c) That the assessment of the total amount of the cost and expenses of the proposed acquisition and maintenance of said improvements upon the several lots and parcels of land in said District in proportion to the estimated benefits to be received by such lots and parcels, respectively, from said acquisition and maintenance, and of the expenses incidental thereto, as contained in said report be, and they are hereby preliminarily approved and confirmed. PASSED, APPROVED AND ADOPTED this 17th day of June, 2008. AYES: NOES: ABSENT: ABSTAIN: ATTEST: Mayor City Clerk to --l1-0g '1-.2.~ A++tle..h meA-\-\ 2rJb ~ 7.,. RESOLUTION NO. -08 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* APPOINTING TIME AND PLACE OF HEARING PROTESTS IN RELATION TO PROPOSED ASSESSMENTS STREET LIGHTING MAINTENANCE ASSESSMENT DISTRICT 1999-1 WHEREAS, by its Resolution No. 32-08, a resolution directing preparation of annual report for City of Dublin Street Lighting Maintenance Assessment District 1999-1 (the "District"), this Council designated the Public Works Director as Engineer of Work and ordered that Engineer to make and file a report in writing in accordance with and pursuant to the Landscaping and Lighting Act of 1972; and WHEREAS, said Engineer of Work has made and filed with the City Clerk a preliminary report in writing as called for in said Resolution No. 32-08, and under and pursuant to said Act, which report has been presented to this Council for consideration; and WHEREAS, said Council has duly considered said report and each and every part thereof, and finds that each and every part of said report is sufficient; NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED, PURSUANT TO CHAPTER 3, SECTION 22624 OF THE ACT, AS FOLLOWS: Section 1 Intention: The City Council hereby declares that it is its intention to seek the Annual Levy of the Districts pursuant to the Act, over and including the land within the District boundaries, and to levy and collect assessments on all such land to pay the annual costs of the improvements. The City Council finds that the public's best interest requires such levy and collection. Section 2 District Boundaries: The boundaries of the District are described as the boundaries previously defined in the formation documents of the original District, within the boundaries of the City of Dublin, within the County of Alameda, State of California. Section 3 Description of Improvements: The improvements within the District may include operation, maintenance, acquisition and servicing of street lighting and appurtenant facilities within the boundaries of the District. Services provided include all necessary service, operations, administration and maintenance required to keep the improvements in a satisfactory operating condition. Section 4 Proposed Assessment Amounts: For Fiscal Year 2008-2009, the proposed assessments are outlined in the Engineer's Report which details any changes or increases in the annual assessment. Section 5 Public Hearing(s): The City Council hereby declares its intention to conduct a Public Hearing annually concerning the levy of assessments for the District in accordance with Chapter 3, Section 22626 of the Act. Section 6 Notice: The City Clerk is hereby directed to give notice of said hearing to all property owners in the District by causing the publishing of this Resolution once a week in a local newspaper published A++ac.V\N\e.f\t a 3~ J. 2- and circulated in the City, for two consecutive weeks not less than ten (10) days before the date of the Public Hearing, and by posting a copy of this Resolution in official posting locations customarily used by the City Council for the posting of notices. Any interested person may file a written protest with the City Clerk prior to the conclusion of the Public Hearing, or, having previously filed a protest, may file a written withdrawal of that protest. A written protest shall state all grounds of objection and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the Public Hearing, all interested persons shall be afforded the opportunity to hear and be heard. Section 7 Notice of Public Hearing: Notice is hereby given that a Public Hearing on these matters will be held by the City Council on Tuesdav. Julv 15.2008. at 7:00 p.m. or as soon thereafter as feasible in the City Council Chambers, located at lOO Civic Plaza, Dublin. Section 8 The City Clerk is hereby authorized and directed to give notice of such hearing as provided by law. PASSED, APPROVED, AND ADOPTED this 17th day of June, 2008. AYES: NOES: ABSENT Mayor ATTEST: City Clerk 2 400 t~ CITY OF DUBLIN STREET LIGHTING MAINTENANCE ASSESSMENT DISTRICT NO. 1999-1 (DUBLIN RANCH AREA AND TRACT 7067) ENGINEER'S ANNUAL LEVY REPORT FISCAL YEAR 2008/2009 INTENT MEETING: June 17, 2008 PUBLIC HEARING: July 15, 2008 MuniFinancial Corporate Office: 27368 Via Industria Suite 110 Temecula, CA 92590 Tel: (951) 587-3500 Tel: (800) 755-MUNI (6864) Fax: (951) 587-3510 Office Locations: Lancaster, CA Memphis, 1N Oakland, CA Orlando, FL Phoenix, AZ Sacramento, CA Seattle, WA www.muni.com A+-171t"~ Mllt\1 3 6 UO "J -z, ENGINEER'S REPORT AFFIDAVIT Street Lighting Maintenance Assessment District No. 1999-1 Pursuant to the Landscaping and Lighting Act of 1972 City of Dublin Alameda County, State of California This Report describes the District and services therein including the improvements, budgets, parcels and assessments to be levied for Fiscal Year 2008/2009 as they existed at the time of the passage of the Resolution of Intention. Reference is hereby made to the Alameda County Assessor's maps for a detailed description of the lines and dimensions of parcels within the District. The undersigned respectfully submits the enclosed Report as directed by the City Council. Dated this ~<hY of F' ZOOS. On Behalf of the City of Dublin ~~II~~~ Tif/;;P Public Works Director City of Dublin lti Db ~ 1.- TABLE OF CONTENTS I. OVERVIEW..................................... .................................................................................. 1 A. INTRODUCTION . ........ ... ... ..... ... ... .... .... ... .... ..... ...... ..... ... ............ .... ..... ..... ....... .... .... ... ... ...... ... 1 B. APPLI CABLE LEGISLATION......... .... .............. .................. ............... .... ....... ................... .......... 2 II. DESCRIPTION OF THE DISTRICT AND IMPROVEMENTS ..................................4 III. METH OD OF APPO R TI ONMENT ................................................................................ 5 A. BACKGROUND......... ...... ... ...... ... .... .... .... ....... ... ... ... ........ ............ ... .... ........... ..... .... ....... ... ... ..... 5 B. BENEFIT ANALYSIS ... ..... .............. ................. ...... ............ ....... .............. ..... ................. ........... 6 C. ASSESSMENT METHODOLOGy............ ....... .................................... ..... ................... ............... 7 D. LAND USE CLASSIFICATIONS............ ....... ................ ...................... ....... ...... ..... ...................... 8 E. INFLATIONARY FACTOR APPLIED TO MAxIMUM RATE ........................................................9 IV. D I STRI CT BUDGET ....................................................................................................... 10 A. DESCRIPTION OF BUDGET ITEMS ....................... ..................... ........ ...... ............ ................. .10 B. DISTRICT BUDGET ............ ..................... ........................ ............. ......... ..... .... ....... ............. ...14 APPENDIX A - DISTRICT BOUNDARY MAP ...................................................................15 APPENDIX B - 2008/2009 ASSESSMENT ROLL ............................................................... 17 '~2~ City of Dublin Street Lighting ;\Iaintenance "'\ssessment District 1999-1 Engineer's "'\nnual Levy Report Fiscal Year 2008/2009 I. OVERVIEW A. Introduction The City of Dublin ("City") annually levies and collects special assessments in order to maintain the improvements within the Street Lighting Maintenance Assessment District No. 1999-1 ("District"). The District was originally formed in 1999 and is annually levied pursuant to the Landscape and Lighting Act oj 1972, Part 2 oj DilJtsion 15 oj the GlIifomia Streets and Highwqys Code ("1972 Act"). A diagram of the boundaries of the District can be found within Appendix A of this document. This Engineer's Annual Levy Report ("Report") has been prepared in accordance with the provisions of Chapter 3, Section 22622 of the 1972 Act. This Report describes the District, the improvements therein, any annexations or other modifications to the District including any substantial changes to the improvements, the method of apportionment, the boundaries of the District, and financial information including the district budgets and proposed annual assessments for fiscal year 2008/2009. The proposed assessments are based on the historic and estimated costs to maintain the improvements that provide a special benefit to properties within the District. The costs of improvements and the annual levy including all expenditures, deficits, surpluses, revenues, and reserves are assessed to each parcel within the District proportionate to the parcel's special benefits. For the purposes of this Report, the word "parcel" refers to an individual property assigned its own Assessment Number by the County of Alameda Assessor's Office. The County of Alameda Auditor/Controller uses Assessment Numbers and specific Fund Numbers to identify properties assessed for special district benefit assessments on the tax roll. Pursuant to OJapter 3, beginning with Section 22620 of the 1972 Act, the City Council shall conduct a noticed annual public hearing to consider all public comments and written protests regarding the District. Following the annual public hearing and review of the Engineer's Annual Levy Report, the City Council may order amendments to the Report or confirm the Report as submitted. Following final approval of the Report and confirmation of the assessments contained therein, the City Council will by resolution: order the improvements to be made and confirm the levy and collection of assessments pursuant to Chapter +, A/tide " beginni/~~ with Section 22640 of the 1972 Act. The assessment rate and method of apportionment described in this Report as approved or modified by the City Council defines the assessments to be applied to each parcel within the District for fiscal year 2008/2009. A;JII lliFillalUia! Page 1 ~trb J '2, City of Dublin Street Lighting Maintenance "\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 The assessments as approved will be submitted to the County Auditor/Controller to be included on the property tax roll for each parcel within the District. If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the current fiscal year, a corrected parcel number and/or new parcel numbers will be identified and resubmitted to the County. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate contained in this Report as approved by the City Council. B. Applicable Legislation The District has been formed and is annually levied pursuant to the Landscaping and Ligbting Act of 1972, Part 2 of Division 15 of tbe California Streets and Higbwqys Code, beginning witb Section 22500. The assessments and methods of apportionment described in this Report utilize commonly accepted assessment engineering practices and have been calculated and proportionately spread to each parcel based on the special benefits received. Compliance with the California Constitution All assessments described in this Report and approved by the City Council are prepared in accordance with the 1972 Act and shall be in compliance with the provisions of the California Constitution Article xmD ("'Article XIllD''). On November 5, 1996, California voters approved the Right to Vote on Taxes Act (proposition 218) by a margin of 56.5% to 43.5%. The provisions of Proposition 218 became amendments to the California Constitutional Articles XIIIC and XIIID, can be summarized in four general areas: 1) Strengthens the general and special tax provisions of Proposition 13 and Proposition 62. 2) Extends the initiative process to all local taxes, assessments, fees, and charges. 3) A.dds substantive and procedural requirements to assessments. 4) Adds substantive and procedural requirements to property-related fees and charges. ivIlIlliFillolll'io! P{(~e 2 tt~ t.~ City of Dublin Street Lighting 1\[aintenance Assessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 The assessments contained in this report were initiated in accordance with a petition by the original developers pursuant to the establishment of the District. As such, the City has determined that the assessments are compliant with the substantive and procedural requirements of Article XIIID of the California Constitution. The proposed assessments for the current fiscal year may be less than or equal to the maximum assessment rates previously approved and adopted for the District. Any proposed assessment that exceeds the adjusted maximum assessment rate is considered an increased assessment. Pursuant to the provisions of the California Constitution Article XIIID, all new or increased assessments (the incremental increase) are subject to both the substantive and procedural requirements of Article XIIID Section 4, including a property owner protest proceeding. Provisions of the 1972 Act (Improvements and Services) The Method of Apportionment described for the District Report utilizes commonly accepted assessment-engineering practices and have been established pursuant to the 1972 Act and the provisions of the California Constitution Article XIIID. As generally defined by the 1972 Act, the improvements and the associated assessments for each District may include one or any combination of the following: 1) The installation or planting oflandscaping. 2) The installation or construction of statuary, fountains, and other ornamental structures and facilities. 3) The installation or construction of public lighting facilities, including, but not limited to streetlights and traffic signals. 4) The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof; including but not limited to, grading, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities. 5) The installation of park or recreational improvements including, but not limited to the following: a. Land preparation, such as grading, leveling, cutting and filling, sod, landscaping, irrigation systems, sidewalks, and drainage. b. Lights, playground equipment, play courts and public restrooms. 6) The maintenance or servicing, or both, of any of the foregoing including the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including, but not limited to: a. Repair, removal, or replacement of all or any part of any improvements; b. Grading, clearing, removal of debris, the installation, repair or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities; ,VItllliFillam1a! P'(ge" q 0.. ~2:~ City of Dublin Street Lighting i\Iaintenance Assessment District 1999-1 Engineer's i\nnual Levy Report Fiscal Year 2008/2009 c. Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; d. The removal of trimmings, rubbish, debris, and other solid waste; e. The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti. f. Electric current or energy, gas, or other agent for the lighting or operation of any other improvements. g. Water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements. 7) The acquisition of land for park, recreational or open-space purposes, or the acquisition of any existing improvement otherwise authorized by the Act. 8) Incidental expenses associated with the improvements including, but not limited to: a. The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment; b. The costs of printing, advertising, and the publishing, posting and mailing of notices; c. Compensation payable to the County for collection of assessments; d. Compensation of any engineer or attorney employed to render services; e. Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements; and, f. Costs associated with any elections held for the approval of a new or increased assessment. II. DESCRIPTION OF THE DISTRICT AND IMPROVEMENTS A. District The District was established to fund the electric energy, maintenance, and repair costs associated with the decorative street lighting within all of the Dublin Ranch development (excepting the golf course) and also in Tract 7067, which is the Clifden Parc development off Mountain Rise Place in the western hills. A special light fixture has been created as a community element, which is a benefit to the homeowners within the District boundary. The District was formed in 1999 by a formal petition of the developers in Dublin Ranch. The Clifden Parc development was annexed in 2000, and Dublin Ranch Areas A and G were annexed in 2001. The remaining portions of Dublin Ranch, including Areas B, C, F and H, were annexed in December of 2005 and were added to the assessment in 2006-2007. As of the current fiscal year the entire District is made up of single-family residential lots, with the exception of four commercial properties. iV[ulliFiIlCllUiCl! Pt~ge -+ 10 UO 2 v City of Dublin Street Lighting Maintenance Assessment District 1999-1 Engineer's Annual Levy Report Fiscal Year 2008/2009 B. Improvements The Improvements include the maintenance, operation, repair and replacement of all public street lighting facilities located within the public streets and within public easements within private streets within the District Boundaries, as shown in Appendix A and, including, but not limited to, the lighting poles, fixtures, conduits, conductors, service boxes, controllers, and appurtenances, and the furnishing of power, together with all incidental expenses for the maintenance, operation, and repair of the street lighting sys tem. For the first several years of operation, this District did not incur a significant maintenance cost; however, as these lights age, the number of repairs increase. A portion of funds collected from the annual assessments of this District are being set aside for future pole painting costs in a separate improvement fund commonly referred to as a Capital Improvement Fund (CIF). The Fund was established for proposed improvements and expenditures that are greater than can be conveniently raised from a single annual assessment. The poles are expected to need repainting on a ten-year cycle, with the first phase of the pole painting commencing in the next few years. The funds are not considered part of the regular maintenance of the improvements or the Reserve Fund. A Reserve of approximately $225,646.00 is projected to be retained at the end of fiscal year 2008-2009. This reserved is commensurate with the amount allowed by the 1972 Act, which permits a reserve of up to 50% of the operating cost for the District to cover the District costs for the first six months of the fiscal year prior to receipt of the assessments from the county. III. METHOD OF APPORTIONMENT A. Background Pursuant to the 1972 Act, the costs of the District may be apportioned by any formula or method that fairly distributes the net amount to be assessed, among all assessable parcels in proportion to the estimated benefits to be received by each such parcel from the improvements. The benefit formula used should reflect the composition of the parcels, and the improvements and services provided, to fairly proportion the costs based on special benefit to each parcel. MuniPinancia/ Page 5 \\eo'2-,~ City of Dublin Street Lighting ;\faintenance Assessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 B. Benefit Analysis Each of the proposed improvements, the associated costs and assessments have been carefully reviewed, identified and allocated based on special benefit pursuant to the provisions of the California Constitution. All the assessed parcels receive direct and special benefits from the improvements and activities to be funded through the District assessments. The improvements include all necessary activities, services, operation, administration, and maintenance required to keep the improvements in satisfactory condition. The net amount to be assessed upon all assessable lots or parcels of land within said street light maintenance assessment district by apportioning that amount among the several lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the acquisition and maintenance of said improvements. Special Benefit The method of apportionment (method of assessment) established herein is based on the premise that each assessed parcel within the District receives special benefits from the improvements and .the desirability and security of those properties is enhanced by the presence of public lighting and well-maintained landscaping in close proximity to those properties. The special benefits of street lighting and other public lighting facilities are the convenience, safety, and security of property, improvements, and goods. Specifically: 1) Enhanced deterrence of crime and the aid to police protection. 2) Increased nighttime safety on roads, streets and public areas. 3) Improved ability of pedestrians and motorists to see. 4) Improved ingress and egress to property. 5) Reduced vandalism and other criminal act and damage to improvements or property. 6) Improved traffic circulation and reduced nighttime accidents and personal property loss. The preceding special benefits contribute to the esthetic value and desirability of each of the assessed parcels within the District and thereby provide a special enhancement of the properties. Furthermore, it has been determined that the lack of funding to properly service and maintain the District improvements would have a negative impact on the properties within the District. JI!lIlliFill(/fIli(/! P(/ge6 l2 Db ),1// City of Dublin Street Lighting ;\Iaintenance c\ssessment District 1999-1 Engineer's c\nnual Levy Report Fiscal Year 2008/2009 General Benefit In reviewing each of the District improvements, the proximity of those improvements to both properties within the District and those outside the District as well as the reasons for installing and constructing such improvements, it is evident that the improvements are solely the result of developing properties within the District and the ongoing maintenance and operation of these improvements will directly effect the properties within the District. Although the improvements include public areas, easements, right-of-ways and other amenities available or visible to the public at large, the construction and installation of these improvements were only necessary for the development of properties within the District and were not required nor necessarily desired by any properties or developments outside the District boundary and any public access or use of the improvements by others is incidental. Therefore, it has been determined that the improvements and the ongoing maintenance, servicing and operation of those improvements provide no measurable general benefit to properties outside the District or to the public at large, but clearly provide distinct and special benefits to properties within the District. C. Assessment Methodology Each parcel is assigned a factor rate known as an Equivalent Dwelling Unit (EDU) to identify the parcel's proportionate special benefit from the improvements. Each parcel's EDU is calculated based on the parcel's land use. All single-family residential properties are assigned an EDU of 1.00, and all other property types are assigned an EDU proportionate to the special benefits they receive as compared to this single-family residential property. The total EDU s is divided into the total amount to be assessed (Balance to Levy) to establish the Levy per EDU (Rate). This Rate is then multiplied by the parcel's individual EDU to establish the parcel's levy amount. The following formulas are used to calculate each property's assessment: Total Balance to Levy / Total EDUs = Levy per EDU (Rate) Parcel EDU x Levy per EDU = Parcel Levy Amount The formula used reflects the composition of the parcels and properties, and the services provided, to accurately proportion the costs based on estimated special benefit to each parcel. lvIlIlJiFilJallcia! Page 7 l30b 7,~ City of Dublin Street Lighting ",-Iaintenance Assessment District 1999-1 Engineer's .\nnual Levy Report Fiscal Year 2008/2009 D. Land Use Classifications Every parcel within the District is assigned a land use classification based on available parcel information obtained from the Alameda County Assessor's Office and City records. To assess benefits equitably, it is necessary to relate the different type of parcel improvements to each other. The Equivalent Dwelling Unit method of assessment apportionment uses the single-family home site as the basic unit of assessment. A single- family home site equals one Equivalent Dwelling Unit (EDU). Every other land use is converted to EDU's based on an assessment formula that equates the property's specific development status, type of development (land use), and size of the property, as compared to a single-family home site. The EDU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development. Single-Family Residential (SFR) - This land use identifies properties that are developed for single-family residential use and are assigned a factor of 1.00 EDU per parcel. This is the base value that all other land use types are compared and weighted against (i.e. Equivalent Dwelling Unit EDU). This land use classification may include, but is not limited to lots or parcels identified as single family residential homes, condominium, vacant residential land zoned for four units or less, planned development (tract or townhouse type), and modular/manufactured single family residential unit. Commercial - This land use identifies properties that are considered improved commercial use and are assigned a factor of 5.50 EDU per gross acre. This land use classification may include, but is not limited to, lots or parcels identified as car washes, commercial garages, automotive dealerships, parking lots, funeral homes, nursing or boarding homes, hospitals, hotels/motels, banks, medical-dental, single and multi-story office buildings, bowling alleys, theatres, vacant commercial land, department stores, discount stores, restaurants, shopping centers, supermarkets, commercial or industrial condominium prior to sale of one unit, and miscellaneous commercial. Common Open Space & Other Exempt Property - This land use identifies properties that are exempt from assessment and are assigned 0.00 EDU. This land use classification may include, but is not limited to, lots or parcels identified as exempt public agencies, and property leased or owned by public utilities. AfllniFinallt"ia! Page 8 I ~ov ~z.. City of Dublin Street Lighting 11aintenance "\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 The following table shows the EDU factors for each property type in the District: Property Type Single-Family Residential (SFR) Commercial Exempt, Common Open Space, Public Land EDU Factor 1.00 5.50 0.00 Basis Parcel Acre Parcel E. Inflationary Factor Applied to Maximum Rate It is recognized that the cost of maintaining the District improvements increases slightly every year as a result of inflation. The District assessments include a formula for increasing assessments for each future fiscal year to offset increases in costs due to inflation. The City Council and the original District property owners approved the assessment adjustment formula described within this Report. The maximum assessment amount allowed for each fiscal year shall be increased in an amount equal to the annual percentage increase of the local San Francisco-Oakland-San Jose Area Consumer Price Index ("Index") for "All Urban Wage Earners and Clerical \vorkers" (applies to all costs except electricity), plus any actual increase in the cost of electricity. Each fiscal year the City shall identify the annual percentage difference in the Index between April of the current fiscal year and that of the previous April. Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living. In the event that the City Council determines that an inflation adjustment is not required for a given fiscal year, the City Council may authorize the assessment without applying the adjustment formula to the amount levied. If the budget and assessments for a district require an increase greater than the adjustment set forth in the formula, then the proposed increase would be subject to approval by the District property owners. Each fiscal year, the maximum assessment rate shall increase at the maximum amount allowable regardless of whether the increase is levied to the parcels within the District. The percentage difference of the Index for April 2007 to April 2008 was 3.18%. Utility costs consist of PG&E electric rates and research is still being done on calculating actual rate increases. For now the Index is being used as an estimate for the entire cost of maintenance within the District. Therefore, the maximum assessment rates allowed for fiscal year 2008/2009 have been adjusted from $42.81 to $44.17. However, the assessment rate for fiscal year 2008/2009 is proposed to be $38.90, an increase of $1.18 (3.1 %) over the prior year assessment rate. AllflliFiIlCl!ltiCl! P {(ge 9 15Db t. ~ City of Dublin Street Lighting Maintenance "\ssessment District 1999-1 Engineer's ""nnual Levy Report Fiscal Year 2008/2009 IV. DISTRICT BUDGET A. Description of Budget Items The following describes the services and costs that are funded through the District, shown in the budget. DIRECT COSTS: Maintenance - The cost of ongoing maintenance and servicing of the street lighting improvements including street light repair parts and the labor associated with performing the repair work. Contract with Alameda County - The cost of street light maintenance provided from the County of Alameda based on the current fiscal year contract. California Street Light Association - The cost of Street Light Association dues based on relative number of lights within the District. Utilities Electricity - The cost of street light electrical energy use, including miscellaneous PG&E charges. Miscellaneous Expenses - Costs that cannot easily be categorized into any of the other Direct Costs defined above. ADMINISTRATIVE COSTS: District Administration, Consulting - The costs of contracting with professionals to provide services specific to the levy administration, including preparation of the Engineer's Report, resolutions, and levy submittal to the County. These fees can also include any additional administrative, legal, or engineering services specific to the District such as the cost to prepare and mail notices of the public meeting and hearing. County per Parcel Fee - The cost to the District for the County to collect assessments on the property tax bills. lvIulliFillcJmia! Pew 10 I~OO~~1/ City of Dublin Street Lighting "-Iaintenance .\ssessment District 1999-1 Engineer's .\nnual Levy Report Fiscal Year 2008/2009 LEVY BREAKDOWN: Reserve Collection/ (Transfer) - The 1972 Act pursuant to Chapter 1, Article -1- S edion 22569 (a), provides for a District Reserve Fund. Negative amounts shown for this budget item represent transfers from the Reserve Fund that reduces the Balance to Levy. }"'laintaining a fully funded Reserve eliminates the need for the City to transfer funds from non-District accounts to pay for operational expenses during the first half of the fiscal year and also provides the District with sufficient funds to address any unforeseen or unusual expenditures that may occur during the year. Capital Improvement Fund Collection/ (Transfer) - The 1972 Act pursuant to ClJapter 5, beginnin.s with Sedion 22660, provides for the District to establish by resolution an assessment installment plan for proposed improvements and expenditures that are greater than can be conveniently raised from a single annual assessment. Depending on the nature of the planned improvements, the collection of funds necessary to complete the project may be collected over a period up to thirty years, but typically not more than five years. The funds collected shall be accumulated in a separate improvement fund commonly referred to as a Capital Improvement Fund (CIF) and are not considered part of the regular maintenance of the improvements or the Reserve Fund. Because the money accumulated in the Capital Improvement Fund is for a specific planned project (budgeted separately), the amount shown for this item in the annual budget will typically be a positive number representing the amount being collected that year as part of the Balance to Levy. A negative number (Transfer) should only occur after the project has been completed and excess funds are being credited back to the District's regular accounts. The actual fund balances and expenditures for Capital Improvements are clearly identified under the Fund Balance Information section of the Budget. General Fund Loans Repayment/(Advances) - This item represents repayments of amounts that had been temporarily advanced to the District from other revenue sources (usually the General Fund) or represents funds being loaned to the District for the current fiscal year that must be repaid by future assessments. Similar to the Reserve Collection/ (Transfer) line item, this item directly impacts the Reserve Fund Balances either positively or negatively. Repayments are shown as a pOSIt1ve number and represent additional monies being collected in the current annual assessment to repay a prior loan. These loans are typically for capital improvement expenditures or unforeseen expenditures incurred in prior years and Reserve Fund monies were not sufficient to cover the expenses. To ensure the ongoing operation and maintenance of the improvements, the City may advance funds to the District as a temporary loan to meet current expenditures, and collect repayment of the loan through the annual assessments the following year or possibly over several years. Generally, all available Reserve Funds are exhausted before a temporary loan is advanced to the District and the Beginning Reserve Fund Balance will be a negative number indicating the loan amount still outstanding. AflllliFillallcial Page II 11OU~v City of Dublin Street Lighting i',[aintenance "\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 A loan for the current fiscal year (Advance) is shown as a negative number. If the District is expected to incur significant expenditures in the current fiscal year for special services or capital improvements (upgrades or refurbishing of the improvements) and the proposed assessment revenues (annual assessments) and/or available Reserve Funds are not sufficient to cover the expenditures, the City may advance funds to the District as a temporary loan to meet the proposed expenditures. Generally, all available Reserve Funds must be exhausted before a temporary loan is advanced to the District and any funds temporarily loaned in excess of the available Reserve Funds will be reflected as a negative Ending Reserve Fund Balance. This negative Reserve Fund Balance will be repaid and replenished through future assessment revenues. Delinquency Contingency - This is the estimated amount designated for delinquent property tax payments that the County is unable to collect in the 2008/2009 fiscal year. Other Revenue/General Fund (Contributions) - This item includes additional funds designated for the District that are not annual assessments. These funds are added to the District account to reduce assessments, and may be from non-District or District sources including City General Fund Contributions and/or interest earnings. Any funds indicated on this line will be shown as a negative number indicating a reduction in the amount to be levied and represent funds that do not have to be repaid. Balance to Levy - This is the total amount to be collected for the current fiscal year through the annual assessments (for special benefits). The Balance to Levy represents the sum of Total Direct and Administration Costs, Reserve Fund Contributions or Transfers, Contributions from Other Revenue Source, and the Contribution Replenishment. Only those costs related to the improvements identified as special benefits are levied and collected on the tax roll. Total Parcels Levied - The total number of parcels within the District that will receive the special benefits during the current fiscal year. Total EDDs - The total Equivalent Dwelling Units within the District applied to the parcels described above. Levy per EDD - This amount represents the rate being applied to each parcel's individual EDU factor. The Levy per EDU is the result of dividing the "Special Assessment to Levy" by the Total EDUs of the District for the fiscal year. Maximum Levy per EDD - This is the rate per EDU approved by property owners within the District, in accordance with Proposition 218, adjusted for inflation as described in the Method of Apportionment. AJlflliFillflllcial PC(ge 12 \~t1b ~ v City of Dublin Street Lighting Maintenance "\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 Inflationary Factor - Annual percentage increase in the San Francisco-Oakland-San Jose Area Consumer Price Index for "All Urban \'Vage Earners and Clerical \'\'orkers," applies to all cost except water and electricity, plus any additional increase in the utility cost of water and electricity. Each fiscal year the City shall identify the change in the Index for April to April of the preceding year. ,vlllniFiIlCIIllici! P(~ge 13 l'1~ 2.z, City of Dublin Street Lighting Maintenance c\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 B. District Budget City of Dublin 2008109 Budget Worksheet Street Lighting Maintenance Assessment District No. 99-1 Fund Number717 I . . . Maintenance Contract Vvith Alameda County California Street Light Association Utilities Electricity Miscellaneous Expenses Sub- Total Direct Costs $3,000.00 15,000.00 391.00 91,000.00 0.00 $109,391.00 TOTAL DIRECT $109.391.00 ADMINISTRATION COSTS District Administration County per Parcel Fee TOTAL ADMIN $0.00 $3,750.00 2.732.30 $6,482.30 COLLECTIONS/(CREDITS) APPLIED TO LEVY TOTAL DIRECT AND ADMIN COSTS Reserve Collection/(Transfer) Capital Improvement Fund CoIlection/(Transfer) General Fund Loans Repayment/(Advances) Delinquency Contingency Other Revenues/General Fund (Contributions) TOTAL ADJUSTMENTS Balance to Levy (Budgeted) $0.00 $115.873.30 45,004.00 0.00 0.00 1,607.23 0.00 $46,611.23 $162,484.53 $0.00 Total Revenue at Maximum Rate Variance above/(below) Maximum Revenue $187,815.26 $28,701.74 Applied Charge 159,113.52 DISTRICT STATISTICS Total Parcels Total Parcels Levied Total Equivalent Benefit Units Proposed Levy per Benefit Unit Applied Levy per Benefit Unit 3316 3200 4,252.10 $38.21 $38.90 Maximum Levy per Benefit Unit (Prior Fiscal Year) Maximum Levy per Benefit Unit (Current Fiscal Year) Inflationary Factor Applied to Maximum Rate $42.81 $44.17 3.18% FUND BALANCE INFORMATION Beginning Reserve Fund Balance Reserve Fund Adjustments Interest Antidpated Reserve Balance $172,622.00 45,004.00 8,020.00 $225,646.00 Beginning CIF Balance CIF Adjustments Antidpated CIF Balance $95,838.00 73,238.00 $169,076.00 MttniPinanda! Page 14 2.0ub -'tv City of Dublin Street Lighting i\Iainrenance "\ssessment District 1999-1 Engineer's "\nnual Levy Report Fiscal Year 2008/2009 APPENDIX A - DISTRICT BOUNDARY MAPS Landscape Lighting District 99-1 M: ~~. BOUt.EVMQ t; ~ I !' <'~ ...' I'j "". tf ';:i!..s.... oIJBLI,\j ~'\"'t-". ~,0 ~~~. .. , City of Dublin 099-1 . Camp Parks RFTA D City of Dublin r -~---, l_u_.J City of Dublin. Sphere of Influence I i I I .L ':;,KPACf "4">91 '"Fdl.'.f 99-1 "'''HONiL''h~.1 r"~N''',.'~ .....~'.. I.f.IGI ,o.~ ','it<" . /.~"",,,..,~. ----.I"..t It,;}<)U March 2007 All1l1iFinallcial PC(ge 15 'Z I Vb -z, 2,/ City of Dublin Street Lighting ;\[aintenance "1.ssessment District 1999-1 Engineer's .1.nnual Levy Report Fiscal Year 2008/2009 Landscape Lighting District 99-1A City of Dublin o 99-1A _ Camp Parks RFTA c:::J City of Dublin l=-__I City of Dublin. Sphere of Influence . .."'.......,r'" '\ .."s \ "'" ~ t ,;> \ /-<' J ! """ / " ",",... -. .:f' ""- '" / >--.. " .," /, /"'" ./ "".. ..."" ~ .,; /~ I -- ."..",*~.. I __~_,~,,~BLlN BOULEV~ .. ~ -. ,~.....l '(1'1) March 2007 lvlltlliFille/lllia! Pew 16 2:2 on 2 ,.~ City of Dublin Street Lighting '\[aintenance :\ssessment District 1999-1 Engineer's Annual Levy Report F iscal Year 2008/2009 APPENDIX B - 2008/2009 ASSESSMENT ROLL Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the Alameda County Assessor's map for the year in which this Report is prepared. A listing of parcels assessed within this District, along with the assigned EDU value and assessment amounts, is included on the following pages. If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the current fiscal year, a corrected parcel number and/or new parcel numbers will be identified and resubmitted to the County Auditor/Controller. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate approved in this Report. Therefore, if a single parcel has changed to multiple parcels, the assessment amount applied to each of the new parcels shall be recalculated and applied according to the approved method of apportionment and assessment rate rather than a proportionate share of the original assessment. Non-assessable lots or parcels include areas of public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space areas and rights-of-ways including public greenbelts and parkways; utility rights-of-ways; common areas; landlocked parcels, small parcels vacated by the County, bifurcated lots, and any other property that can not be developed or has specific development restrictions. These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment. A1tflliFillam'la! Page 17