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HomeMy WebLinkAboutItem 4.1 Fallon Vlg GHAD JR AnnexSTAFF REPORT DISTRICT CLERK FALCON VILLAGE File #360-60 GEOLOGIC HAZARD ABATEMENT DISTRICT DATE: December 20, 2011 TO: Honorable President and Board of Directors FROM: Joni Pattillo, City Manager, City of Dublir ~ ~~ ~, ~~ SUBJECT: Resolution Confirming Assessment and Ordering Levy and Collection Thereof to Pay for the Cost and Expenses of the Maintenance and Operations of Improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District Prepared by Mark Lander, City Engineer for the City of Dublin EXECUTIVE SUMMARY: On November 1, 2011, the Board of Directors of the Fallon Village Geologic Hazard Abatement District ("GHAD") adopted Resolution 3-11, expressing an intent to order an annual assessment to pay for the cost and expenses of the maintenance and operations of improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District ("Assessment"), initiating an Assessment ballot proceeding and setting a public hearing on the Assessment for December 20, 2011 ("Hearing"). The adoption of the proposed Resolution would confirm the Assessment and authorize the levy and collection thereof for the Jordan Ranch Annexation to the Fallon Village GHA collected annually for District improvements within the Jordan Ranch Annexation. FINANCIAL IMPACT: D. If approved, an Assessment will be levied and and activities that directly benefit the properties The GHAD does not currently have a source of revenues to finance its operations. An assessment on the properties within the District will generate funding to pay for the maintenance and operation of GHAD improvements, as well as contribute to reserves. The Engineers Report defines different assessment needs for a property based on the property size and use. The range of the initial assessment for residential units is between $243-541 per unit annually. RECOMMENDATION: It is recommended that the Board of Directors conduct public hearing, deliberate, and adopt the Resolution Confirming Assessment and Ordering Levy and Collection Thereof to pay for the Cost and Expenses of the Maintenance and Operations of Improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District. Page 1 of 3 ITEM NO. 4.1 ~~ ~ ~ .. Reviewed By Interim District Treasurer DESCRIPTION: r Reviewed By Interim District Manager Division 17 of the California Public Resources Code establishes legal standards for geologic hazard abatement district ("GHAD") formation, GHAD financing and the scope of GHAD authority (Section 26500 et seq.). On November 1, 2011, the Board of Directors of the Fallon Village Geologic Hazard Abatement District ("GHAD") adopted Resolution 3-11, expressing an intent to order an annual assessment to pay for the cost and expenses of the maintenance and operations of improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District ("Assessment"), initiating an Assessment ballot proceeding and setting a public hearing on the Assessment for December 20, 2011 ("Hearing"). In compliance with Proposition 218 and the GHAD Law, District staff thereafter mailed notices, balloting materials and instructions to each record owner of a parcel within the Jordan Ranch Annexation, announcing the date and time of the Hearing and procedures for ballot tabulation. The adoption of the attached Resolution would confirm the Assessment and authorize the levy and collection thereof for the Jordan Ranch Annexation to the Fallon Village GHAD. If approved, an Assessment will be levied and collected annually for District improvements and activities that directly benefit the properties within the Jordan Ranch subdivision. The annual assessments, if confirmed by the Board of Directors, will generate $541 per 5,200 square-foot single-family lot within the District (with the assessment pro-rated for smaller or attached residential units), and $0.055 per square foot of habitable non-residential space within the Jordan Ranch Annexation to the District. The assessment is adjusted annually based upon the percentage change in the San Francisco-Oakland-San Jose Consumer Price Index for All Urban Consumers. ANALYSIS: California Public Resources Code § 26550.5 provides that proceedings for the formation of a new GHAD may be initiated by a petition signed by owners of at least ten percent (10%) of the real property to be included within the proposed district. In order to defray the costs and expenses of maintaining and operating the GHAD improvements within Jordan Ranch, as designated in the Plan of Control for the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District ("Plan of Control") on file with the District Clerk, it is necessary to provide a reliable funding mechanism for the operation and maintenance of those improvements. Public Resources Code Sections 26650 et seq. authorize, after a noticed public hearing, the levy and collection of assessments upon benefited property to pay for the maintenance and operation of District improvements. Proposition 218 imposes additional requirements for the levy and collection of assessments, including the mailing of notice, balloting materials and instructions as specified in Government Code Section 53753 to each record owner of a parcel subject to the proposed assessment at least 45 days prior to a public hearing on the levy of the assessment. In addition, Proposition 218 requires the creation of an engineer's report that separates the special benefits provided to the properties to be assessed from the general benefits to the public at large. Page 2 of 3 An engineer's report for Jordan Ranch Annexation ("Engineer's Report") was prepared by a registered professional engineer certified by the State of California. The Engineer's Report separates the special benefits provided by the GHAD to property within the Jordan Ranch Annexation from general benefits conferred on the public at large, identifies the specially benefited parcels, and sets forth the estimated budget, the total assessment to be levied against each parcel of property within the Jordan Ranch Annexation, and provides a description of the method used in formulating the assessments. On November 1, 2011, the Board of Directors adopted Resolution 3-11, expressing the intent to order an annual Assessment for GHAD activities within the Jordan Ranch Annexation initiating an Assessment ballot proceeding and setting a Hearing on the Assessment for December 20, 2011. District staff thereafter mailed notices, balloting materials and instructions to each record owner of a parcel within the Jordan Ranch Annexation, announcing the date and time of the Hearing and procedures for ballot tabulation. Upon the conclusion of the Hearing, the Board of Directors must determine whether a majority protest exists in accordance with Government Code Section 53753. When the assessment ballots are tabulated, they will be weighted according to the proportional financial obligation of each affected property. If a majority protest exists, the proceedings related to the levy and collection of the Assessment must be abandoned. If the Board of Directors determines that a majority protest does not exist at the conclusion of the Hearing, the attached resolution confirming the Assessment and ordering the levy and collection thereof for the Jordan Ranch Annexation may be adopted. The resolution directs the Clerk of the Fallon Village GHAD to record a notice of assessment. Upon adoption of the attached resolution and recordation of the notice of assessment, the Assessment will be payable at the same time and in the same manner as general taxes on real property within the GHAD. The first assessment for each unit will not occur until a building permit is issued for the property. Assessments can only be added to the tax roll once per year and the data is required to be submitted to the County Tax Collector in August of each year. The adoption of the attached resolution is the final action required by the Board of Directors to levy the Assessment in the Jordan Ranch Annexation. NOTICING REQUIREMENTS/PUBLIC OUTREACH: A copy of the Staff Report was provided to Mission Valley Properties, owner of the Jordan Ranch development. ATTACHMENTS: 1. Location Map 2. Resolution Confirming Assessment and ordering Levy and Collection Thereof to Pay for the Cost and Expenses of the Maintenance and Operations of Improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District Page 3 of 3 -'~ Th'AGT 7'142 \~`~ 7'RF1 L7 .7853 ~ GRAD PARCEL 1 (185.9f ACRES} TRACT 8D34 i i ..-. SEL7/fJN 34 ~ SE'CT1t7N 35 ~- N8830'S2'~. 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(9.^5j :R7-930R SCALE: DATE: Jd6 NO.: 1'=5fl0' 10-2Q-10 d810Q1 RESOLUTION NO. -11 RESOLUTION OF THE BOARD OF THE FALCON VILLAGE GEOLOGIC HAZARD ABATEMENT DISTRICT ********************************************* CONFIRMING THE ASSESSMENT AND ORDERING THE LEVY AND COLLECTION THEREOF TO PAY FOR THE COST AND EXPENSES OF THE MAINTENANCE AND OPERATIONS OF IMPROVEMENTS WITHIN THE JORDAN RANCH ANNEXATION TO THE FALCON VILLAGE GEOLOGIC HAZARD ABATEMENT DISTRICT WHEREAS, this Resolution is adopted pursuant to the provisions of Division 17 (Section 26500 et seq.) of the Public Resources Code, entitled "Geologic Hazard Abatement Districts"; and WHEREAS, on May 3, 2011, the Board of Directors of the Fallon Village Geologic Hazard Abatement District ("District") adopted Resolution No. 2-11 which annexed the Jordan Ranch development to the District; and WHEREAS, on November 1, 2011, the Board of Directors of the District adopted Resolution No. 3-11 expressing an intent to order an annual assessment for the cost and expenses of the maintenance and operation of the improvements within the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District ("Assessment"), initiating an Assessment ballot proceeding and setting a public hearing on the Assessment ("Hearing")for December 20, 2011; and WHEREAS, District staff mailed notices, balloting materials and instructions to each record owner of a parcel within the Jordan Ranch Annexation on November 4, 2011, announcing that ballots would be canvassed and a Hearing conducted on December 20, 2011 on the levy and collection of the Assessment; and WHEREAS, the Hearing was conducted on December 20, 2011, in accordance with the requirements of California Constitution Article XIID, Public Resources Code Sections 26650 et seq., Government Code Section 53753 and other applicable law; and WHEREAS, upon the conclusion of the Hearing, the Board of Directors of the District determined that a majority protest did not exist pursuant to Public Resources Code Section 26653 and Government Code Section 53753; and WHEREAS, applicable law provides that if a majority protest has not been filed, after the Hearing the Board of Directors may adopt a resolution confirming the Assessment and ordering the levy and collection thereof. NOW, THEREFORE BE IT RESOLVED, by the Board of Directors of the Fallon Village Geologic Hazard Abatement District that: Item 4.1 Attachment 2 Fallon Vlg CHAD Section 1. Findings and Determinations The Board of Directors hereby finds and determines that the above recitals are true and correct and have served as the basis, in part, for the findings and actions of the District set forth below. Section 2. Direction 1. The Board of Directors hereby confirms the Assessment and orders the annual levy and collection thereof. The District shall assess against the properties within the Jordan Ranch Annexation, for the 2012-2013 fiscal year and for subsequent years, the assessment amounts apportioned in accordance with the engineer's report, on file with the District Clerk, adjusted for inflation annually to reflect the percentage change in the San Francisco-Oakland-San Jose Consumer Price Index for All Urban Consumers as of the preceding December. 2. The engineer's report and the Plan of Control for the Jordan Ranch Annexation to the Fallon Village Geologic Hazard Abatement District shall be available for public inspection at the District Clerk's office. 3. The District Clerk is hereby directed to record a notice of assessment, as provided for in Section 3114 of the California Streets and Highways Code, whereupon the Assessment shall attach as a lien upon the properties, as provided for in Section 3115 of the Streets and Highways Code. 4. The Assessment shall be payable at the same time and in the same manner as general taxes on real property within the District are payable. 5. All funds generated by the Assessment, and all interest earned on the Assessment, shall be segregated and deposited in a separate account for the exclusive benefit of the relevant parcels within the District. Section 3. Certification The District Clerk shall certify the adoption of this Resolution. Section 4. Effective Date This Resolution shall take effect immediately upon adoption. PASSED AND ADOPTED on the 20t" day of December, 2011, by the following vote: AYES: NAYS: Item 4.1 Attachment 2 Fallon Vlg CHAD ABSTAINED: ABSENT: President ATTEST: District Clerk Item 4.1 Attachment 2 Fallon Vlg CHAD