02-06-2001 - Renewal of the Citywide Lighting & Maintenance District & Landscape Maintenance District #'s 4, 6, & 7 - Ordering of Engineer's ReportsCity of West Covina
Memorandum
TO: Daniel G. Hobbs, City Manager AGENDA
and City Council ITEM NO: C-8d
FROM: Thomas M. Mayer
DATE: February 6, 2001
Public Works Director/City Engineer
SUBJECT: RENEWAL OF THE CITYWIDE LIGHTING AND MAINTENANCE
DISTRICT AND LANDSCAPE MAINTENANCE DISTRICT NOS. 4, 6, AND 7
- ORDERING OF ENGINEER'S REPORTS
SUMMARY: The City Council is being requested to adopt resolutions ordering the preparation of
the Engineer's Report for Maintenance Districts Nos. 4, 6, and 7 and for the
Citywide Lighting and Maintenance District. This action is the first step in the
annual renewal process for these districts.
BACKGROUND:
Cities throughout California have established Maintenance Districts to fund a variety of public
services such as maintenance of street trees, parks, medians, streets, traffic signals, and area lighting.
Maintenance Districts (MD's) can be established using various techniques. Four of the districts in
West Covina (MD4, MD6, MD7, and the Citywide District) were established in accordance with
the Landscaping and Lighting Act of 1972 (the "1972 Act").
Maintenance District No. 4 was established in 1975. This District is located in the southerly part of
the City (please refer to the attached diagram). The assessments collected are used to maintain
landscaping, irrigation, hardscape (e.g. sidewalks, walls, etc.), and area lighting on 130 acres of
public area within the boundaries of the district. To encourage innovative housing types and
neighborhood designs and to preserve the ridgelines in the San Jose Hills, this area was originally
developed with relatively narrow street rights -of -way and small lot sizes. The resulting surplus land
was converted to landscaped slope areas and park -like "green belt" areas containing walkways,
landscaping, and lighting.
Maintenance District Nos. 6 and 7 were established in 1980. They are generally located in the
north -facing slopes of the San Jose Hills at the eastern end of the City (please refer to the attached
diagram). The assessments collected are used to maintain landscaping and irrigation in public areas
within the boundaries of the districts. MD6 contains approximately 12 acres of landscaped and
irrigated areas and approximately 65 acres of natural area. MD7 contains approximately 7.5 acres
of landscaped and irrigated areas and 18.9 acres of natural area but is only 25% developed at this
time. When development is complete, MD7 will contain 25 acres of landscaped and irrigated areas
and 105 acres of natural area.
The Citywide Lighting and Maintenance District was established in 1976. As the name implies, this
District encompasses the entire City. Prior to Fiscal Year 1997-1998, the Citywide district funded a
variety of public improvements and services, including: street tree maintenance, median
maintenance, park maintenance, municipal pool maintenance, area lighting maintenance, traffic
signal maintenance, traffic engineering, and street lighting engineering. With the passage of
Proposition 218 in November 1996 and the subsequent property owner approval in July 1997, the
Citywide District assessment currently funds the maintenance of most of the street lights and street
trees within the City.
DISCUSSION:
Proposition 218 substantially altered the procedures and eligibility for services to be funded through
benefit assessment districts. The most significant impact of these changes for West Covina was the
restructuring of the Citywide Lighting and Maintenance District.
i
The Citywide District had supported a number of Municipal services, which were eligible due to
legislative enactments and judicial rulings relating to the underlying benefit assessment law. These
services included street lighting, street tree: maintenance, park maintenance, street median
maintenance, traffic signal maintenance, and! the maintenance of related facilities. With the
implementation of Proposition 218, only those services that provide a special and distinct benefit to
an individual property are eligible for an assessment.
Daniel G. Hobbs, City Manager
and City Council
Page 2 — February 6, 2001
On July 15, 1997, the City placed only those services which meet the test of "Special Benefit" as
required under Proposition 218, before the property owners in a mailed ballot election and received
a 70% approval. Since the Citywide District currently complies with the Proposition and no
modifications are contemplated, we have prepared renewals under the Landscaping and Lighting
Act.
The Proposition also contains an exemption for assessments established at the request of the
person(s) owning all the parcels within the district. Maintenance District Nos. 4, 6, and 7 satisfy
this condition and thus are exempt from the provisions of Proposition 218. However, the exemption
would not apply if the assessments were to be increased beyond the initially set assessment that was
approved by all the person(s) owning property within the district. Since no such assessment
increases are contemplated for these districts, we have prepared renewals under the Landscaping
and Lighting Act.
The 1972 Act specifies the procedures for annual renewals of Maintenance Districts. First, the City
Council adopts a resolution ordering the "Engineer's Report" for each district. This report includes
plans and specifications for improvements, estimated costs, an assessment diagram, and assessment
spread for the estimated costs which, upon completion, are filed with the City Clerk. Reports are
ordered in accordance with Division 15, Article 4, Chapter 1, Part 2 of the California Streets and
Highways Code. The subsequent steps are outlined in the table below along with tentative dates for
each action.
Preliminary approval of the City Council meeting of City Council meeting of
Engineer's Report and the April 3, 2001 April 17, 2001
Resolution of Intention.
Mailing of notices and ballots. Not required. Not required.
Public Meeting Not required. Not required
II City Council meeting of I City Council meeting of I
Public Hearing May 15, 2001 June 5, 2001
Upon completion of the Engineer's Report, the City Council will review the document and set dates
for public meetings and hearings as required. At the public hearing, the City Council shall consider
all protests against the proposed assessment.
FISCAL IMPACT:
The City's General Fund helps finance the Citywide District through the City's payment of
assessments on City -owned properties. Also, at the City Council's direction, the City's General
Fund absorbs all of the Engineering and Incidental costs associated with Maintenance District Nos.
4, 6, and 7 in a total amount of about $200,000 per year.
Cost estimates based upon the projected operating and capital budgets for each district will be
prepared. Based upon these cost estimates, including contingencies, assessment rates will be
recommended that will be sufficient to fund all eligible services. No increases in assessment rates
for Maintenance District Nos. 4, 6, and 7 are contemplated at this time. The voter -approved rates
for the Citywide District included a provision for not more than a 2% annual increase based on the
Consumer Price Index. The necessity for any increase will be evaluated as part of the Engineer's
Report.
OPTIONS:
The Streets and Highways Code specifies the required steps for renewing the districts. If the City
Council does not wish to continue the districts, the Resolutions are not necessary.
Daniel G. Hobbs, City Manager
and City Council
Palze 3 — February 6, 2001
RECOAEEVIENDATION:
It is recommended that the City Council adopt the following resolutions:
a) RESOLUTION NO. -2OOf ' % - A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, ORDERING THE CITY ENGINEER TO
PREPARE AND FILE A REPORT IN ACCORDANCE WITH PROPOSITION 218 AND
ARTICLE 4, CHAPTER 1, PART 2, "LANDSCAPING AND LIGHTING ACT OF 1972",
BEING DIVISION 15, STREETS AND HIGHWAYS CODE OF THE STATE OF
CALIFORNIA, ORDERING CERTAIN LANDSCAPING AND LIGHTING
MAINTENANCE IN THE CITY OF WEST COVINA, CALIFORNM FOR THE
SUBSEQUENT FISCAL YEAR COMMENCING JULY 1, 2001.
WEST COVINA LIGHTING AND MAINTENANCE DISTRICT
(2001-2002)
b) RESOLUTION NO. ,2001 - A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, INITIATING PROCEEDINGS FOR THE
CONFIRMATION OF THE WEST COVINA LANDSCAPE MAINTENANCE
DISTRICT NO. 4's LEVY. AND COLLECTION OF ASSESSMENT WITHIN THAT
DISTRICT PURSUANT TO PROPOSITION 218 AND THE LANDSCAPING AND
LIGHTING ACT OF 1972 FOR FISCAL YEAR 2001-2002.
WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO.4
(2001-2002)
c) RESOLUTION NO. -'-00/ ` - A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF WEST COVINA, CALIFORNIA, INITIATING PROCEEDINGS FOR
THE CONFIRMATION OF THE WEST COVINA LANDSCAPE MAINTENANCE
DISTRICT NO. 6's LEVY AND COLLECTION OF ASSESSMENT WITHIN THAT
DISTRICT PURSUANT TO PROPOSITION 218 AND THE LANDSCAPING AND
LIGHTING ACT OF 1972 FOR FISCAL YEAR 2001-2002.
WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO.6
(2001-2002)
d) RESOLUTION NO.--k0191 -/,9 - A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, INITIATING PROCEEDINGS FOR THE
CONFIRMATION OF THE WEST COVINA LANDSCAPE MAINTENANCE
DISTRICT NO. Ts LEVY AND COLLECTION OF ASSESSMENT WITHIN THAT
DISTRICT PURSUANT TO PROPOSITION 218 AND THE LANDSCAPING AND
LIGHTING ACT OF 1972 FOR FISCAL YEAR 2001-2002.
WEST COVINA LANDSCAPE MAINTENANCE DISTRICT NO.7
(2001-2002)
Prepared by:
Miguel ernan ez
Civil Engineering Assistant
Reviewed by and approved by:
AKOOA09�
Thomas M. Mayer
Public Works Director/City Engineer
Attachments: Resolutions (4)
TMM.MH.Z:AGENDA MD467 & CWD2001 02.doc