5-18-2021 AGENDA ITEM NO.19 - CONSIDERATION OF RENEWAL OF THE CITYWIDE LIGHTING AND MAINTENANCE DISTRICT AND PRELIMINARY APPROVAL OF THE ENGINEER'S REPORTAGENDA ITEM NO. 19
AGENDA STAFF REPORT
City of West Covina I Office of the City Manager
DATE: May 18, 2021
TO: Mayor and City Council
FROM: David Carmany
City Manager
SUBJECT: CONSIDERATION OF RENEWAL OF THE CITYWIDE LIGHTING AND MAINTENANCE
DISTRICT AND PRELIMINARY APPROVAL OF THE ENGINEER'S REPORT
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Adopt the following resolutions:
RESOLUTION NO.2021-48 — 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 THF, CITY OF WEST COVINA, CALIFORNIA, FOR THE
FISCAL YEAR COMMENCING JULY 1, 2021
RESOLUTION NO.2021-50 — A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
WEST COVINA, CALIFORNIA, PRELIMINARILY APPROVING THE CERTIFIED ENGINEER'S
REPORT AND DECLARING ITS INTENTION TO HOLD A PUBLIC HEARING ON JUNE 15,
2021 TO APPROVE CITYWIDE ASSESSMENTS COMMENCING IN FISCAL YEAR 2021-2022
TO FUND THE OPERATION AND MAINTENANCE OF STREETLIGHTS AND STREET TREES
WITHIN THE DISTRICT
BACKGROUND:
The Landscaping and Lighting Act of 1972 (California Streets and Highways Code section 22500 et seq.) (the
"Act") specifies the procedures for renewal of landscape maintenance districts.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 which
included: street tree maintenance, median maintenance, park maintenance, municipal pool maintenance, area
lighting maintenance, traffic signal maintenance, traffic engineering, and street lighting engineering. Since the
passage of Proposition 218 in November 1996 and the subsequent property owner approval in July 1997, the
Citywide District assessment currently funds only those services that have been designated as a "Special Benefit",
which is the maintenance of most of the streetlights and street trees within the City.
The Citywide Lighting and Maintenance District funds the operation and maintenance of assessable (special
benefit) street trees and street lighting. These funds are used for the operations and maintenance of street lights,
trimming of street trees, and removal and replacement of diseased street trees.
DISCUSSION:
The first step in the process is to adopt Resolution No. 2021-48, ordering the Engineer's Report.
The Engineer's Report, prepared by Willdan Financial Services, has been completed and includes plans and
specifications for improvements, estimated costs, an assessment diagram, and assessment spread for the estimated
costs, which is filed with the Office of the City Clerk. The report was prepared in accordance with the Act.
The City's General Fund finances a portion of the Citywide District through the City's payment of assessments on
City -owned properties in the amount of about $42,135. In addition, the Successor Agency of the City of West
Covina is projected to pay an assessment amount of about $451 to the Citywide District for the parcels owned by
the former Redevelopment Agency. At this time, this is an enforceable obligation cost of the Successor Agency,
and paid through the Recognized Obligation Payment Schedule (ROPS) funds.
Cost estimates based upon the projected operating and capital budgets for each district will be prepared.
Assessment rates sufficient to fund all eligible services will be recommended based upon these cost estimates
including contingencies.
Since the assessments for the Citywide Lighting and Maintenance District were approved in a mail ballot election
in July 1997 in accordance with Proposition 218, the renewal for the Citywide District can be completed in
accordance with the requirements of the Act, provided the assessment rates and/or the assessment methodology do
not change. 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 (CPI). The CPI for a one-year period from March 2020 to March 2021
for the Los Angeles, Long Beach, and Anaheim areas is 2.19%. Therefore, current rates are set at the max of
2.00%. The necessity for any increases has been evaluated as part of the Engineer's Reports.
The next step in the renewal process is the preliminary approval of the Engineer's Report and adoption of the
Resolution of Intention concerning the levy and collection of assessments for the District. Staff is recommending
setting a public hearing date of June 15, 2021 as required in the Act. At the public hearing, the City Council will
consider any written and oral comments regarding the level of assessments and proposed maintenance and capital
improvement work within the district. The public hearing requires a public notice be posted and published in a
locally circulated newspaper, but does not require notices be mailed to each resident. Upon the conclusion of the
hearing, the City Council should adopt a resolution confirming the Engineer's Report and assessment levy either as
proposed or as modified by the City Council.
The City intends to conduct a full study of what a proper level of maintenance would cost and explore how to set
the assessment rate accordingly. If rates are to be increased, the City will be required to comply with the
requirements of Proposition 218.
LEGAL REVIEW:
The City Attorney's Office has reviewed and approved the resolutions as to form.
OPTIONS:
The City Council has the following options:
1. Increase current assessment rates by 2.00%. This would generate an additional $37,741 in streetlights and
street trees assessment. Staff is recommending this option.
2. Maintain the current assessment rates. Maintaining the rates at their current levels (0% increase) would
deplete the reserves at a faster pace and require the General Fund to subsidize the district in future years.
3. Reduce the assessment rates; Citywide District reserves will be depleted at a faster pace requiring the City's
General Fund to subsidize the district.
4. To not renew the district. If the City Council does not wish to continue the districts and wishes to fund the
districts from the General Fund, the resolutions are not necessary.
Prepared by: Michael Ackerman, City Engineer
Fiscal Impact
FISCAL IMPACT:
For Fiscal Year 2021-22, the Engineer's Report for the Citywide Lighting and Maintenance District proposes to
use the voter approved adjustment to increase the assessment rates by 2.00% from their current levels, which
would generate an additional $37,741, in assessments. This is the amount of increase allowed under Proposition
218. The total projected income from the recommended rates is $1,874,062. Including the $3,013 interest and
$1,506,599 balance from the previous year, the total funds available is $3,383,674.
The proposed operating budget for the district is $1,628,801. The 2021-22 operating budget for the district
includes an administration and overhead charge of $78,111, personnel costs of $108,625 maintenance contracts
cost of $337,304, property and liability insurance costs of $22,370, utility costs of $1,000,000, $36,443
in -supplies, vehicles, maintenance and gas costs, and $124,059 in engineering costs. The administration and
overhead costs are derived from support services provided by various departments including: the City Manager's
office, City Attorney's office, City Clerk's office, Finance Department, and Human Resources Department.
Support services include but not limited to payroll, personnel recruitment, insurance claims, audits, budgets, and
purchasing.
The reserves are projected to be approximately $1,398,438 by the end of FY 2021-22. These reserves partially
cover the cash flow, which is needed to pay monthly expenses while income is received twice a year. The amount
necessary to avoid a net negative cash flow over the period of one year is $814,401, which is approximately
one-half of the proposed operating budget. The City's General Fund will be used to cover the temporary cash flow
deficiencies and later reimbursed when district funds become available. The annual administration cost is
$7,177.50 and will be paid from Account No. 188.71.4133.6110.
Since the City of West Covina is not exempt from assessments for this district, the City's total assessment is about
$54,102. The City pays this assessment using General Funds within the non -departmental operating budget.
There are no legal requirements or formal guidelines for the amount of reserves in an assessment district; however,
at least 50% is required to cover cash flow. A reserve between 100% and 200% is recommended by staff to cover
cash flow, future capital projects, emergencies, and as a benefit, it also provides interest income.
Attachments
Attachment No. 1 - 15 Year Rate History
Attachment No. 2 - Citywide Lighting and Maintenance Engineer's Report
Attachment No. 3 - 10 Year Fiscal Projection
Attachment No. 4 - Resolution No. 2021-48
Attachment No. 5 - Resolution No. 2021-50
CITY COUNCIL GOALS & OBJECTIVES: Enhance City Facilities and Infrastructure
Enhance the City Image and Effectiveness
ATTACHMENT NO. 1
West Covina
Citywide Lighting and Maintenance District
15 Rate History
For a Typical Single -Family Residential Property
2021-22
$56.54
Proposed
2020-21
$55.45
2019-20
$53.34
2018-19
$52.29
2017-18
$52.29
2016-17
$51.28
2015-16
$50.41
2014-15
$50.15
2013-14
$49.66
2012-13
$48.69
2011-12
$47.73
2010-11
$46.81
2009-10
$45.94
2008-09
$45.89
2007-08
$44.98
ATTACHMENT NO.2
City of West Covina
Citywide Lighting & Maintenance
District
FISCAL YEAR 2021/2022 ENGINEER'S REPORT
Intent Meeting: May 18, 2021
Public Hearing: June 15, 2021
fly WILLDAN
ENGINEER'S REPORT AFFIDAVIT
Citywide Lighting and Maintenance District
City of West Covina
County of Los Angeles, State of California
This Report describes the District including the improvements, budgets, parcels and
assessments to be levied for Fiscal Year 2021/2022 as they existed at the time of the
passage of the Resolution of Intention. Reference is hereby made to the Los Angeles
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
day of 12021.
Willdan Financial Services
Assessment Engineer
On Behalf of the City of West Covina
M
Chonney Gano, Project Manager
District Administration Services
Tyrone Peter
PE#C81888
TABLE OF CONTENTS
OVERVIEW...............................................................................................................................1
PROPOSITION 218 COMPLIANCE......................................................................................3
/. PLANS AND SPECIFICATIONS....................................................................................4
A. DESCRIPTION OF WORK..........................................................................................4
B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT.............................................5
C. DESCRIPTION OF IMPROVEMENTS AND SERVICES.........................................6
//. METHOD OF APPORTIONMENT..................................................................................7
A. PROPOSITION 218 BENEFIT ANALYSIS................................................................7
B. BENEFIT ANALYSIS...................................................................................................8
C. ASSESSMENT METHODOLOGY..............................................................................9
D. ASSESSMENT RANGE FORMULA........................................................................16
ESTIMATE OF COSTS..................................................................................................17
A. CAPITAL IMPROVEMENT PROJECT FUND.........................................................17
B. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF OPERATING
COSTS................................................................................................................................18
C. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF TOTAL
COSTS................................................................................................................................19
IV. BOUNDARY MAP.......................................................................................................... 21
V. ASSESSMENT ROLL....................................................................................................22
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OVERVIEW
The City of West Covina ("City"), annually levies and collects assessments in order to
provide and maintain facilities, improvements and services within the Citywide Lighting
and Maintenance District ("District"). The District was established in 1976 pursuant to
the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and
Highways Code ("1972 Act"). Prior to Fiscal Year ("FY") 1997-98 the District funded a
variety of public improvements and services which included: street tree maintenance,
median maintenance, park maintenance, municipal pool maintenance, area lighting
maintenance, traffic signal maintenance, traffic engineering, and street lighting
engineering. Since the passage of Proposition 218 ("Proposition") in November 1996
and the subsequent property owner approval in July 1997, the District assessment
currently funds only those services that have been designated as a "Special Benefit",
which is the maintenance of most of the street lights and street trees within the City.
These funds are used for the operations and maintenance of streetlights, trimming of
street trees, and removal and replacement of diseased street trees.
The Engineer's Report ("Report") has been prepared pursuant to Chapter 1, Article 4
and Chapter 3 of the 1972 Act, and presented to the City Council for their
consideration and approval of the proposed improvements and services to be
provided within the District and the levy and collection of annual assessments for FY
2021/2022.
This Report describes the District, the improvements and the proposed assessments
to be levied against properties in connection with the benefits the properties will
receive from the maintenance and servicing of the District improvements for FY
2021/2022. The annual assessments to be levied on properties within the District
provide a funding source for the continued operation and maintenance of local
landscape improvements installed in connection with the development of properties
within the District. Each fiscal year, the City establishes the District's assessments
based on an estimate of the costs to maintain, operate and service the landscape
improvements and based upon available revenues including fund balances, City
contributions and assessment limits. The costs of the improvements and the proposed
annual assessments budgeted and assessed against properties within the District
may include: the estimated expenditures for regular annual maintenance and repairs;
incidental expenditures related to the operation and administration of the District;
deficits or surpluses from prior years; revenues from other sources; and the collection
of adequate funds for operational reserves or periodic expenditures including
installments collected for long-term improvement projects. Each parcel is assessed
proportionately for only those improvements, services and expenses for which the
parcel will receive special benefit.
The word "parcel," for the purposes of this Report, refers to an individual property
assigned its own Assessor's Parcel Number ("APN") by the Los Angeles County
("County") Assessor's Office. The County Auditor/Controller uses Assessor's Parcel
Numbers and specific Fund Numbers to identify properties to be assessed on the tax
roll for the special benefit assessments.
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At a noticed annual Public Hearing, the City Council will accept all public comments
and written protests regarding the District and the annual levy of assessments. Upon
conclusion of the Public Hearing, the City Council will consider all public comments
and review the 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 the Council will, by Resolution, order the
improvements to be made and confirm the levy and collection of assessments
pursuant to the 1972 Act. The assessments as approved will be submitted to the
County Auditor/Controller to be included on the property tax roll for each parcel.
While the budgets outlined in this Report reflect the estimated costs necessary to fully
and adequately provide for the maintenance and operation of the improvements within
the District, many of these estimated costs and associated services cannot be funded
by the current assessment revenues and contributions from the City. To fully fund the
improvements, it may be necessary to increase assessment revenues by a
percentage greater than the currently approved inflationary adjustment, which is no
greater than the percentage increase of the Los Angeles -Long Beach -Anaheim
Consumer Price Index ("CPI") as published by the Department of Labor's Bureau of
Labor Statistics or 2% whichever is less. (As of January 2018, the Los Angeles -
Riverside -Orange County Consumer Price Index region name changed to Los -
Angeles -Long Beach -Anaheim Consumer Price Index). This will require the support
of the property owners for new or increased assessments through a ballot proceeding
conducted under the provisions of the California Constitution Article XIIID.
In FY 2017-18, the City conducted a property owner protest ballot proceeding for a
proposed Maximum Assessment increase of 12%. Based on the results of the protest
ballot, the City Council declined to adopt the new Maximum Assessment increase.
As required by the 1972 Act, this Engineer's Report describes the improvements to
be operated, maintained and serviced by the District, an estimated budget for the
District improvements, and the proposed assessments to be levied upon each
assessable lot or parcel within the District for FY 2021/2022.
This Report consists of five (5) parts:
Part I
Plans and Specifications: A general description of the District and the improvements
for which parcels are assessed. The proposed assessments as outlined in this Report
are based on the improvements that provide a special benefit to the properties within
the District. The plans and specifications contained in this Report generally describe
the nature, location and extent of the improvements.
Part II
Method of Apportionment: A description of how the proportionate amount of the
assessments is to be charged in proportion to the benefits received by each lot or
parcel within the boundaries of the District.
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Part III
Estimate of Costs: An estimate of the annual costs to properly operate, maintain,
and service the landscape improvements and appurtenant facilities. This budget
includes an estimate of the maintenance costs and incidental expenses including, but
not limited to: labor, materials, equipment and administration expenses as well as the
collection of appropriate funding necessary to properly support the improvements. Not
all services and costs identified in these budgets can be supported by the current
assessment revenues and City contributions, and as such, City staff shall make the
determination of which services and activities shall be provided based on available
revenues.
Part IV
Boundary Map: A diagram showing the boundaries of the District is provided in this
Report and includes all parcels determined to receive special benefits from the
improvements. Parcel identification, the lines and dimensions of each lot, parcel and
subdivision of land within the District are shown on the Los Angeles County Assessor's
Parcel Maps and shall include any subsequent lot line adjustments or parcel changes
therein. Reference is hereby made to the Los Angeles County Assessor's Parcel Maps
for a detailed description of the lines and dimensions of each lot and parcel of land
within the District. A diagram showing the overall boundaries of the District is on file
with the City Clerk and the Office of the City Engineer, and by reference is made part
of this Report.
Part V
Assessment Roll: A listing of the assessment amount associated with each parcel
within the District. The assessments presented herein are unchanged from the
previous fiscal year.
PROPOSITION 218 COMPLIANCE
On November 5, 1996, California voters approved Proposition 218. This Proposition
amended the California Constitution and was the latest in a series of initiatives reducing
the revenue -raising discretion of California local governments. The provisions of the
Proposition, now California Constitution Articles XIII C and XIII D, 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. Adds substantive and procedural requirements to assessments.
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4. Adds substantive and procedural requirements to property -related fees and
charges.
Proposition 218 required that beginning July 1, 1997, all new and existing assessments
(with some exceptions) must conform to new substantive and procedural requirements.
However, certain assessments are exempted from these requirements until they are
increased.
Generally, these exemptions include:
(a) Assessments used exclusively to fund sidewalks, streets, sewers, water, flood
control, drainage systems, or vector control.
(b) Assessments imposed pursuant to a petition signed by the persons owning all
of the parcels subject to the assessment at the time the assessment is initially
imposed.
(c) Assessments used exclusively for bond repayments, the cessation of which
would violate the Contract Impairment Clause of the U.S. Constitution.
(d) Assessments previously approved by a majority of voters.
The assessments for the District were approved in a mailed ballot election in July 1997
in accordance with the Article MID substantive and procedural requirements. Any
subsequent increases in the assessments above those initially approve by the mailed
election will be subject to the procedures and approval process of Section 4 of Article
XIIID of the California Constitution.
/, PLANS AND SPECIFICATIONS
A. DESCRIPTION OF WORK
The existing facilities to be maintained and serviced include street lighting facilities
and street trees.
The District will fund the costs in connection with the district maintenance and
servicing including, but not limited to, personnel, electrical energy, water, materials,
contracting services, and other expenses necessary for the satisfactory operation of
these facilities. The facilities are described as follows:
Landscaping and Appurtenant Facilities
Facilities include but are not limited to: trees, irrigation system, hardscape,
fixtures, sidewalk maintenance resulting from landscape growth and
appurtenant facilities, in public right-of-way, parkways, and dedicated
easements within the boundaries of the District.
Lighting and Appurtenant Facilities
Facilities include but are not limited to: poles, fixtures, bulbs, conduits,
conductors, equipment including guys, anchors, posts and pedestals, metering
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devices and appurtenant facilities as required to provide lighting in the public
right-of-way and dedicated easements within the boundaries of the District.
The public lighting system shall be maintained to provide adequate illumination.
Electricity for streetlights shall be furnished by the Southern California Edison
Company, and it shall be adequate for the intended purpose. Rates for power shall
be those authorized by the California Public Utilities Commission.
"Maintenance" means the furnishing of services and materials for the ordinary and
usual operation, maintenance and servicing of the landscaping, public lighting facilities
and appurtenant facilities, including repair, removal or replacement of all or part of any
of the landscaping, public lighting facilities or appurtenant facilities; providing for the
life, growth, health, and beauty of the landscaping, including cultivation, irrigation,
trimming, spraying, fertilizing, and treating for disease or injury; the removal of
trimmings, rubbish, debris, and other solid waste.
"Servicing" means the furnishing of water for the irrigation of landscaping and the
maintenance of any of the public lighting facilities and furnishing of electrical energy
for the public lighting facilities or for the lighting or operation of landscaping or
appurtenant facilities.
B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT
As applicable or may be applicable to this proposed District, the 1972 Act defines
improvements to mean one or any combination of the following:
The installation or planting of landscaping.
The installation or construction of statuary, fountains, and other ornamental structures
and facilities.
The installation or construction of public lighting facilities
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, clearing, removal of debris, the
installation or construction of curbs, gutters, walls, sidewalks, or paving, or water,
irrigation, drainage, or electrical facilities.
The maintenance or servicing, or both, of any of the foregoing.
The acquisition of any existing improvement otherwise authorized pursuant to this
section.
Incidental expenses associated with the improvements including, but not limited to:
The cost of preparation of the report, including plans, specifications, estimates,
diagram, and assessment;
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The costs of printing, advertising, and the publishing, posting and mailing of notices;
Compensation payable to the County for collection of assessments;
Compensation of any engineer or attorney employed to render services;
Any other expenses incidental to the construction, installation, or maintenance and
servicing of the improvements;
Any expenses incidental to the issuance of bonds or notes pursuant to Section
22662.5.
Costs associated with any elections held for the approval of a new or increased
assessment.
The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and
materials for the ordinary and usual maintenance, operation, and servicing of any
improvement, including:
Repair, removal, or replacement of all or any part of any improvement.
Providing for the life, growth, health, and beauty of landscaping, including cultivation,
irrigation, trimming, spraying, fertilizing, or treating for disease or injury.
The removal of trimmings, rubbish, debris, and other solid waste.
The cleaning, sandblasting, and painting of walls and other improvements to remove
or cover graffiti.
C. DESCRIPTION OF IMPROVEMENTS AND SERVICES
The following outlines the various improvements associated with the properties and
developments throughout the District. The detailed plans and specifications of the
District improvements are on file in the office of the City Public Works Department and
by reference are made part of this Report.
There are currently no ongoing Capital Improvement Projects:
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A METHOD OF APPORTIONMENT
A. PROPOSITION 218 BENEFIT ANALYSIS
The costs of the proposed improvements have been identified and allocated to
properties within the District based on special benefit. The improvements provided by
this District and for which properties are assessed are local public landscape
improvements and related amenities that were installed in connection with the
development of the properties or would otherwise be required for the development of
properties within each respective Zone of the District. The assessments and method
of apportionment is based on the premise that these improvements would otherwise
not have been required without the development of those parcels within the District.
Article MID Section 2(d) defines District as follows:
"District means an area determined by an agency to contain all parcels which will receive a
special benefit from a proposed public improvement or property -related service";
Article MID Section 2(i) defines Special Benefit as follows:
"Special benefit" means a particular and distinct benefit over and above general benefits
conferred on real property located in the district or to the public at large. General enhancement
of property value does not constitute "special benefit."
Article MID Section 4(a) defines proportional special benefit assessments as follows:
An agency which proposes to levy an assessment shall identify all parcels which will have a
special benefit conferred upon them and upon which an assessment will be imposed. The
proportionate special benefit derived by each identified parcel shall be determined in
relationship to the entirety of the capital cost of a public improvement, the maintenance and
operation expenses of a public improvement, or the cost of the property related service being
provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost
of the proportional special benefit conferred on that parcel." The 1972 Act permits the
establishment of assessment districts by agencies for the purpose of providing certain public
improvements which include the construction, maintenance, and servicing of public lights,
landscaping and appurtenant facilities. The 1972 Act further requires that the cost of these
improvements be levied according to benefit rather than assessed value":
"The net amount to be assessed upon lands within an assessment district may be apportioned
by any formula or method which fairly distributes the net amount among all assessable lots or
parcels in proportion to the estimated benefits to be received by each such lot or parcel from
the improvements."
Pursuant to Section 22574 of the 1972 Act permits the designation of zones of benefits
within any individual assessment district if "by reason of variation in the nature, location,
and extent of the improvements, the various areas will receive different degrees of
benefit from the improvements." Thus, the 1972 Act requires the levy of a true
"assessment" rather than a "special tax."
In addition, Proposition 218 the "Right to Vote on Taxes Act" which was approved on
the November 1996 Statewide Ballot, requires that a parcel's assessment may not
exceed the reasonable cost of the proportional special benefit conferred on that
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parcel. Prop. 218 provides that only special benefits are assessable and the City must
separate the general benefits from the special benefits.
The formula used for calculating assessments in this District reflects the composition
of the parcels, and the improvements and services provided in order to fairly apportion
the costs based on estimated benefit to each parcel.
B. BENEFIT ANALYSIS
The assessment is proposed to be levied to defray the cost of the operation, servicing,
and maintenance of street trees and street lighting and appurtenant facilities, including
but not limited to, personnel, electrical energy, utilities such as water, materials,
contracting services, and other items necessary for the satisfactory operation of these
services.
Street Lighting Benefit:
Proper maintenance and operation of the street lighting system benefits in proximity
adjacent to the lights by providing security, safety and community character, and
vitality. The amount of benefit received will vary with the different land use on the
property. There are three (3) categories from which the total special benefit of a parcel
is derived:
1. Security and Safety Benefit. The prevention of crime, the alleviation
of the fear of crime, and the prevention of traffic accidents in a community.
2. Community Character and Vitality Benefit. The promotion of social
interaction, promotion of business and industry, and the contribution to a
positive night time visual image for the community.
3. Lighting Intensity Benefit. As the lighting levels increase, so do the
benefits associated with the lighting. Lighting Standards usually require
approximately twice the level of lighting in commercial/industrial areas than in
residential areas.
Parcels, which are located on streets with streetlights, receive a special lighting
benefit. Parcels which are located on private streets receive a substantially reduced
benefit from local lighting, parcel which do not have any local streetlights receive no
benefit from street lighting.
Lighting at the street intersection, which is defined as safety lighting, is considered to
be the minimum lighting requirement for vehicular safety; therefore, safety lighting
represents the general benefit portion of street lighting. Additionally, lights, which are
on arterials of the City, which do not have parcels fronting on them, are considered a
general benefit. Those general benefit portions of the City's lighting budget will not be
assessed.
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Benefit Zones. Most parcels within the City front on streets with streetlights and
therefore receive a direct lighting benefit. However, there are some areas in the City,
which have a higher level of lighting and these have been designated as additional
Benefit Zones.
Zone A. The Civic Center and Plaza at West Covina areas receive a higher
level of street lighting.
Zone B. The properties along Glendora Avenue from Walnut Creek Parkway
to the 1-10 Freeway receive a higher level of street lighting than Zone A.
Those parcels which also have public lighting in adjacent alleyways receive an equal
amount of benefit for the alley lights as for the streetlights, therefore, these parcels
are assessed two times the benefit of the basic local lighting. The parcels that front
streets without streetlights do not receive a local lighting benefit and therefore are not
assessed.
Street Trees:
Trees, landscaping, hardscaping and appurtenant facilities, if well maintained, provide
beautification, shade and enhancement of the desirability of the surroundings.
The City maintains street trees throughout the City. The trees are located within the
public right-of-way and provide aesthetically pleasing environment, shade,
beautification, and according to some authorities' air purification and sound
attenuation. These positive attributes increase the desirability of properties located
on streets that have trees on them.
More importantly, proper maintenance of these facilities, especially routine trimming
of street trees and removal/replacement of deceased trees, is essential to the safety
of the users of adjacent properties.
Parcels that are located on streets which do not have trees do not benefit and are not
assessed. Street trees on arterials of the City that do not have parcels fronting on
them are considered a general benefit. There are approximately seven hundred and
eighty-four (784) such trees out of approximately twenty-seven thousand forty-eight
(27,048) street trees in the City, or 2.90%. Therefore, 2.90% of the City street tree
budget will be funded through the City's General Fund account.
C. ASSESSMENT METHODOLOGY
The methods of apportionment utilized for the District calculates the receipt of special
benefit from the respective improvements based on the actual or proposed land use
of the parcels. The special benefit received by each lot or parcel is equated to the
overall land use of the parcel based on the parcel's actual land use or proposed
planned development and is reliant upon the special benefit received from the
improvements planned or existing within the District.
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To identify and determine the special benefit to be received by each parcel, it is
necessary to consider the entire scope of the improvements. The costs associated
with the improvements shall be fairly distributed among the parcels based upon the
special benefit received by each parcel. Additionally, in compliance with Section 4 of
Article XIIID, each parcel's assessment may not exceed the reasonable cost of the
proportional special benefit conferred to that parcel. The benefit formula used to
determine the assessment obligation is therefore based upon both the improvements
that benefit the parcels of the District as well as the proposed land use of each property
as compared to other parcels that benefit from those specific improvements.
Equivalent Dwelling Units:
Since the assessments will be levied against parcels of property as shown on the tax
rolls, the final charges must be assigned by Assessor's Parcel Number. If
assessments were to be spread just by parcel, not considering land use or parcel size,
a single-family parcel would be paying the same as a fifty (50) unit apartment parcel
or a large commercial establishment in a similar zone and this would not be equitable
and would not satisfy the Prop. 218 requirements.
The single-family residential parcel has been selected as the basic unit for calculation
of assessment since it represents 80% of the parcels in the City. Therefore, the single-
family residential parcel is defined as an Equivalent Dwelling Unit ("EDU"). A
methodology has been developed to calculate the EDUs for other residential land uses
and for non-residential parcels. Every land -use is converted to EDUs: parcels
containing apartments are converted to EDUs based on the number of dwelling units
on each parcel of land; commercial and industrial parcels are converted based on the
lot size of each parcel of land.
The EDU method is usually seen as more appropriate and equitable for landscaping
and lighting districts, as the benefit to each parcel from the improvements being
maintained extends beyond the front of their property. Therefore, assessments are
apportioned as a function of land -use type and whether a property is developed or
not. This may be more clearly shown by taking an example of condominiums. Under
the current method of assessment, the frontage along the whole condominium
complex is measured, and then is divided by the number of units within the complex.
This spreads a relatively small assessment to each of the condominiums, which is not
commensurate with the benefit each one of them receives.
EDU Application:
Single -Family Residential - The single-family residential parcel has been selected
as the basic unit for calculation of the benefit assessment. The basic unit shall be
called an Equivalent Dwelling Unit (EDU). Parcels zoned for single-family residential
uses are assessed 1 EDU.
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Multi -Family Residential - Multiple residential (including condominiums) land use
equivalencies are determined based on the number of dwelling units on each parcel.
Due to population density and size of structure relative to the typical single-family
residence, each dwelling unit defined as multi -family residential, including
condominiums, would be 0.75 EDU. Benefits to a multi -family residential property do
not increase proportionately as the number of units increase. Therefore, the
population per unit decreases as the residential land use density increases and there
is a corresponding reduction in benefit to a parcel. Also, as the number of dwelling
units increase, the average value per rental unit decreases. Therefore, there is a
reduced benefit to a parcel as the number of dwelling units increase. By decreasing
the equivalency as the number of units increase, a reasonable benefit assessment is
achieved. Therefore, the equivalency is reduced to 0.5 EDU per dwelling unit, for five
(5) through fifteen (15) dwelling units (as parcels with 5 to 15 units are considered
"high medium density" as opposed to the "low density" of duplexes, triplexes and
fourplexes), and the equivalency is reduced to 0.25 EDU per dwelling unit for more
than 15 units, which are considered to be "high density". Fifteen units are established
as the limit of the "high medium density" category as State law (California Title 25,
Section 42) requires that apartment complexes with 16 or more dwelling units have a
manager located on the premises, which is an indication of "high density".
Mobile Homes - Mobile home parks, and mobile homes located within mobile home
parks, are converted to EDUs based on the population density and size of structure
relative to a single-family residence. Therefore, mobile home parks and mobile homes
located within mobile home parks would be assessed 0.5 EDU per mobile home. No
decrease would be applied to this factor, as mobile homes are all separate dwellings
with no common walls.
Non -Residential - In converting improved non-residential properties to EDUs, the
factor used is the City of West Covina's average density for single-family residential
areas, which are five (5) dwelling units per acre. All properties developed for non-
residential uses are therefore assigned 5 EDUs per acre for the first five (5) acres. It
is our experience, based upon a review of large non-residential parcels, that the
utilization of that portion of non-residential property greater than 5 acres more closely
resembles that of vacant land as it is typically undeveloped. Therefore, after the first
5 acres, each additional acre will be charged 25% of 5 EDUs which results in 1.25
EDUs per acre, similar to vacant land as described below.
Vacant Property:
Vacant property is described, as parcels with no improved structures. These
properties receive benefits based on their land, as this is the basis of their value.
Based on the opinions of professional appraisers, appraising current market property
values for real estate in Southern California, the land value portion of the property
typically ranges from 20 to 30 percent of the property's total value. Additionally, the
utilization of vacant property is significantly less than improved property, and vacant
2021 /2022 City of West Covina - Citywide Lighting and Maintenance District Page 11
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property has a traffic generation rate of 0. Therefore, it is recommended that vacant
property be assessed at the rate of 25 percent of improved property.
Vacant Residential - Parcels defined as residential parcels, which do not have
structures on the parcels, are assessed 25% of the parcel with a single-family dwelling
thereon. The parcel will be assessed 0.25 EDU per parcel.
Vacant Non -Residential - Parcels defined as parcels which are not residential
parcels and which do not have structures on the parcel area assessed based upon
the acreage of the parcel. The parcels will be assessed at the rate of 25% of the
developed non-residential properties, or 1.25 EDU per acre or any portion thereof,
with a minimum of 0.25 EDU per parcel and up to a maximum of 5 acres (6.25 EDUs)
per parcel, as parcels over five (5) acres may be considered as open space, and no
longer receive any benefit.
Public Property - Article XIIID of the California Constitution requires that all benefiting
public properties be assessed for their fair share of the benefit. Public property, which
is developed and used for residential or business purposes will be assessed the same
as private property with the same use. Schools will be assessed as
Commercial/Industrial uses. Parks will be assessed as vacant property.
Exempt - Excepted from the assessment would be the areas of public streets, public
avenues, public lanes, public roads, public drives, public courts, public alleys, public
easements, and right-of-way, public greenbelts, parkways and that portion of property
that is not developed and used for business purposes similar to private commercial,
industrial and institutional activities. Also, excepted from assessments would be utility
right-of-way, common areas (such as in condominium complexes), landlocked parcels
and small parcels vacated by the City as these parcels have little or no value and
therefore do not benefit from the improvements.
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The land use classification for each parcel has been based on the Los Angeles County
Assessor's Roll.
LAND USE CODES AND EQUIVALENT DWELLING UNITS
CodesLand Use
..
Single -Family Residential (SFR)
1.0 per unit
Condominiums
0.75 per unit
Multi -Family Residential
0.75 per unit for
0.5 per unit over 4
0.25 per unit
the first 4 units
and up to 15 units
over 15 units
Mobile Home Parks
0.5 per DU
Commercial/Industrial and Other
5.0 per acre for
1.25 per acre over
Non -Residential (including Schools)
the first 5 acres
5 acres
Vacant SFR
0.25 per parcel
Vacant (25% of Non -Residence
1.25 per acre (5 acre maximum)
EDUs) (includes Parks)
Benefit Factors:
There are varying levels of benefit to property from the operation and maintenance of
street lighting and street trees based on the different types of property use. Because
the benefit to the property varies depending on the type of land use of the property, a
Benefit Factor is applied to the EDU formula for each property for each type of
improvement to obtain Benefit Units for each Property.
(Equivalent Dwelling Unit) x (Benefit Factor) = Benefit Units
The following table outlines the Benefit Factors for street lighting:
Security & Safety
Community Character & Vitality
Schools will receive a residential benefit factor, as they tend to be in residential areas
and benefit similarly to residential property. Parks are assessed as vacant land and
receive a non-residential benefit factor.
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Benefit Units:
The budget for basic lighting is $1,166,931. The proposed applied basic lighting
assessment rate is estimated at $12.91 per BU, which includes the costs of basic
lighting and associated capital improvements, contribution to reserves, and
contingency totaling $1,342,694. Accordingly, a single-family residential parcel's
assessment would equal 3 BU x $12.91/BU = $38.73. The Following table provides a
preliminary summary of Street Lighting Benefit Units (BU's) for the City.
STREET LIGHT BENEFIT UNITS
Single Family Residential
20,733
20,733
20,733
3
62,199.00
Condominium
3,594
3,594
2,695.50
3
8,086.50
Multi -Family Residential
494
8,106
3,087.50
3
9,262.50
Mobile Home Parks
2
265
132.50
3
397.50
Commercial
690
1,324.85 4,206.18
4
16,824.73
Vacant SFR
131
52.46 32.75
98.26
r„7,047.18
Totals 25,985 32,698 2,421.78 32,649.23 103,915.66
(1) Government properties are assessed as Vacant Non-SFR land use.
Note: Zones A & B have different benefit factors. See following tables.
Lighting Benefit Zone A:
The budget for Zone A lighting is $53,773. The proposed applied preliminary basic
lighting assessment rate is estimated at $39.26 per BU, which includes the costs of
Zone A lighting and associated capital improvements, contribution to reserves, and
contingency totaling $68,063. The following table shows the preliminary summary of
the BUS in Zone A.
ZONE A BENEFIT UNITS
Commercial 42 68.40 278.79 4 1115.17
Vacant Non-SFR 18 52.12 154.62 4 618.48
Totals .0
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Lighting Benefit Zone B:
The budget for Zone B lighting is $17,423 and is additional to the budget for Zone A. The
proposed applied preliminary basic lighting assessment rate is estimated at $22.88 per
BU plus $39.26 per BU for Zone A, for a total applied assessment rate of $62.14 per BU,
which includes the costs lighting and associated capital improvements, contribution from
reserves, and contingency totaling $8,410. The following table shows the preliminary
summary of the BUs in Zone B.
ZONE B BENEFIT UNITS
Commercial 24 24.00
Vacant Non-SFR 3 3.00
30.74 4 122.95
3.10 4 12.39
No additional factors have been assigned for street trees; therefore, the Benefit Unit
factors are the same as the EDU factors for each land use.
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Street Tree Benefit:
The total budget for Street Trees is $390,674. The proposed applied preliminary
assessment rate is estimated at $17.81 per BU, which includes the costs of street tree
maintenance and associated capital improvements, contribution to reserves, and
contingency totaling $478,558. A single-family residential parcel's assessment would be
equal to 1 BU x $17.81/BU = $17.81. The following table provides a preliminary summary
of Street Tree Benefit Units (BUs) for the City.
STREET TREE BENEFIT UNITS
Land Ise
Parcels
Dwellings
Acres LUI'S
Benefit Factor
6enetit Inas
Single Family Residential
17,765
17,765
17.765.00 1
17,765.00
Condominium
1,354
1,354
1,01550 1
1,015.50
Mufti -Family Residential
243
6,888
2,405.75 1
2,405.75
Mobile Home Parks
1
108
54.00 1
54.00
Commercial
677
141.26
4,033.40 1
4,033.40
Vacant SFR
119
24.39
29.75 1
29.75
Vacant Non-SFR(including Parks
219
893.36
1,566.79 1
1566.79
Totals
20,378
26,115
1,059.01r
r .19
(1) Government properties are assessed as Vacant Non-SFR land use.
Assessment Rate Summary:
The following table summarizes the Applied and Maximum Assessment rates for
parcels in each of the zones of benefits:
ASSESSMENT RATE SUMMARY
Basic Local Lighting
$12-91
$12.9185
Light Zone A
$39-26
$39.2647
Light Zone B
$62-14
$62.1427
Street Tree Benefit
$17-81
$17.8187
'Note: City will apply the Applied Rate per benefit unit.
D. ASSESSMENT RANGE FORMULA
Any new or increased assessment requires certain noticing and meeting requirements by law.
Prior to the passage of Proposition 218 (California Constitution Articles XIIIC and XIIID),
legislative changes in the Brown Act defined a "new or increased assessment" to exclude
certain conditions. These conditions included "any assessment that does not exceed an
assessment formula or range of assessments previously adopted by the agency or approved
by the voters in the area where the assessment is imposed." This definition and conditions
were later confirmed through Senate Bill 919 (the Proposition 218 implementing legislation).
The purpose of establishing an assessment range formula is to provide for reasonable
increases and inflationary adjustment to annual assessments without requiring costly noticing
2021 /2022 City of West Covina - Citywide Lighting and Maintenance District Page 16
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and mailing procedures, which could add to the District costs and assessments. As part of the
District formation, balloting of property owners is required pursuant to the Article XIIID Section
4. The property owner ballots include an Assessment to be approved, as well as the approval
of an assessment range formula.
The Maximum Assessment is equal to the initial Assessment approved by property owners
adjusted annually by the percentage increase of the Local Consumer Price Index ("CPI") for
Los Angeles -Long Beach -Anaheim for All Urban Consumers from March to March up to 2%.
As of January 2018, the Los Angeles -Riverside -Orange County Consumer Price Index region
name changed to Los -Angeles -Long Beach -Anaheim Consumer Price Index. Each Fiscal
Year, the Maximum Assessment will be recalculated, and a new Maximum Assessment
established. For Fiscal Year 2021/2022, the percentage difference is 2%.
The Maximum Assessment is adjusted annually and is calculated independent of the annual
budgets and proposed assessments established for each Zone of the District. Any proposed
annual assessment (rate per EBU) less than or equal to this Maximum Assessment (for each
Zone) is not considered an increased assessment, even if the proposed assessment is much
greater than the assessment applied in the prior Fiscal Year.
///, ESTIMATE OF COSTS
The total estimate of costs for maintenance of the proposed improvements for FY
2021/2022, as defined under Section 22569 of the 1972 Act, are those as hereinafter
set forth. Said cost estimates include the total District costs for constructing or
installing any proposed improvements and for maintenance and servicing the existing
improvements including incidental expenses; the amount of any surplus or deficit in
the maintenance fund to be carried over from the previous year; any annual
installments to be collected over more than a single year; as well as the amount of
any contributions to be made from any other sources.
A. CAPITAL IMPROVEMENT PROJECT FUND
For FY 2021/2022, there are no planned capital improvements.
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B. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF OPERATING
COSTS
Existing Maintenance Optimal Maintenance
Direct Maintenance
Personnel Services
Full Time Salaries & Benefits $107,608
Overtime 1,017
Subtotal $108,625
Maintenance and Services
Maintenance Contracts $337,304
Utilities 1,000,000
Supplies, Vehicle Maintenance, and Gas 36,443
Property & Liability Insurance 22,370
Subtotal $1,396,117
Total Direct Maintenance
Engineering & Incidentals
Personnel Services
Full Time Salaries & Benefits
$33,826
Subtotal
$33,826
Maintenance and Services
Consultant Services
$10,767
Service Contracts
0
Supplies, Vehicle Maintenance, and Gas
1,355
Administration and Overhead
78,111
Subtotal
$90,233
Total Engineering & Incidentals
$1,504,742
$124,059
$215,216
2,034
$217,250
$674,608
2,000,000
72,886
44,740
$2,792,234
$67,652
$67,652
$21,534
0
2,710
156,222
$180,466
$3,009,484
$248,118
Note: The variance is the amount needed to support the recommended increased scope of work for Citywide Lighting and Maintenance
District. The recommended scope of work includes the repair and replacement of light standards, hardscape repair and replacement of off -
grade, cracked and broken sidewalks and ADA ramps, tree trimming, maintenance, and/or removal of the street trees on a citywide cycle,
and landscape maintenance including trash removal and clearing of the median plants, shrubbery, and irrigation
Note: Adjustments for budget to equal assessment amount.
'Totals may not foot due to rounding.
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C. PROPOSED INCREASE SCOPE OF WORK AND SUMMARY OF TOTAL
COSTS
The City's budget for the operation and services costs detail the estimated costs and
fund balances for FY 2021/2022 as available at the time of preparation of this Report.
The 1972 Act provides that the total cost can be recovered in the assessment spread
including incidental expenses. The latter can include engineering fees, legal fees,
printing, mailing, postage, publishing, and all other related costs identified with the
district proceedings.
The 1972 Act requires that a special fund be set-up for the revenue and expenditures
of the district. Funds raised by assessment shall be used only for the purpose as
stated herein. A contribution to the District by the City may be made to reduce
assessments, as the City Council deems appropriate. Any balance or deficit
remaining on July 1 sc must be carried over to the next fiscal year.
Also located in the budget is the proposed increase in scope of maintenance work at
optimal levels. Increased scope of work for Citywide Lighting and Maintenance District
is recommended to include the repair and replacement of light standards, hardscape
repair and replacement of off -grade, cracked and broken sidewalks and ADA ramps,
tree trimming, maintenance, and/or removal of the street trees on a citywide cycle,
and landscape maintenance including trash removal and clearing of the median
plants, shrubbery, and irrigation. It is estimated that the budget required for the
increased lighting, hardscape, and landscaping scope is approximately double the
existing LIVID budgets.
As costs have risen, maintenance has suffered. A full study of what a proper level of
maintenance would cost is needed to ascertain what a proper level of maintenance
would cost and explore how to properly set the assessment rate. Such a study will
take several months and, if rates are to be increased, would require a vote by the
affected property owners.
Pending completion of a further analysis, this report recommends that assessment
rates be maintained at their current levels for Fiscal Year 2021/2022.
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Existing Maintenance Optimal Maintenance
Previous Fiscal Year Fund Balance $1,506,599 $1,506,599
Revenues
Assessment Income (Total Balance to Levy)
$1,873,508
Interest
3,013
Total Projected Revenue
Expenditures
Direct Costs
Lighting
Direct Lighting
$1,166,931
Zone A
53,773
Zone B
17,423
Subtotal
$1,238,127
Street Lights
Direct Street Trees $390,674
Subtotal $390,674
$1,976,521
$1,873,508
3,013
$2,333,862
107,546
34,846
$2,476,254
$781,348
$781,348
$1,876,521
Capital Improvement ('i $0 0
Total Operating and Capital Budget $1,628,801 $3,257,602
Ending Fund Balance $1,754,319 $125,518
1) See Capital Project Fund Section III. A.
Note: The variance is the amount needed to support the recommended increased scope of work for Citywide Lighting and Maintenance
District. The recommended scope of work includes the repair and replacement of light standards, hardscape repair and replacement of off -
grade, cracked and broken sidewalks and ADA ramps, tree trimming, maintenance, and/or removal of the street trees on a citywide cycle,
and landscape maintenance including trash removal and clearing of the median plants, shrubbery, and irrigation
Note: Adjustments for budget to equal assessment amount.
'Totals may not foot due to rounding
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/K BOUNDARY MAP
A diagram showing the exterior boundaries of the District, boundaries of any zone
within the District and the lines and dimension of each lot or parcel of land within the
district is on file in the Office of the City Engineer.
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V, ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District shall be the parcel as
shown on the Los Angeles County Secured Roll for the year in which this Report is
prepared and reflective of the Assessor's Parcel Maps. A listing of the proposed lots
and parcels to be assessed within this District along with the assessment amounts
shall be submitted to the City Clerk, under a separate cover, and by reference is
made part of this Report.
2021/2022 City of West Covina Citywide Lighting and Maintenance District Page 22
ATTACHMENT NO. 3
West Covina Citywide Lighting and Maintenance District
10 Year Existina Plus 2%, Proiected Fiscal Proiection
Assessment Income
$1,874,062
$1,874,062
$1,874,062
$1,874,062
$1,874,062
$1,874,062
$1,874,062
$1,874,062
$1,874,062
Interest(t)
3,013
3,510
3,975
4,408
4,808
5,176
5,511
5,812
6,079
Total Revenues
$1,877,075
$1,877,572
$1,878,037
$1,878,470
$1,878,870
$1,879,238
$1,879,573
$1,879,874
$1,880,141
Prior Year Balance
1,506,599
1,754,873
1,987,356
2,203,852
2,404,167
2,588,100
2,755,452
2,906,020
3,039,598
Total Funding
$3,383,674
$3,632,445
$3,865,392
$4,082,322
$4,283,037
$4,467,338
$4,635,025
$4,785,894
$4,919,740
Maintenance Costs (2)
1,628,801
1,645,089
1,661,540
1,678,155
1,694,937
1,711,886
1,729,005
1,746,295
1,763,758
Total Cost
$1,628,801
$1,645,089
$1,661,540
$1,678,155
$1,694,937
$1,711,886
$1,729,005
$1,746,295
$1,763,758
Ending Balance
$1,754,873
$1,987,356
$2,203,852
$2,404,167
$2,588,100
$2,755,452
$2,906,020
$3,039,598
$3,155,981
Typical Assessment for SFR (3)
$56.54
$56.54
$56.54
$56.54
$56.54
$56.54
$56.54
$56.54
$56.54
Notes: (1) Interest is 0.4% of one-half of the previous year ending balance.
(2) 1% increase in maintenance cost each year due to inflation.
(3) Previously approved maximum highest rate of $56.54, may not be increased further without vote
ATTACHMENT NO.4
RESOLUTION NO.2021-48
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF WEST COVINA, CALIFORNIA, ORDERING THE
PREPARATION AND FILING OF A REPORT REGARDING
THE FISCAL YEAR 2021-22 ASSESSMENT TO BE LEVIED
IN CONNECTION WITH THE CITY'S CITYWIDE
LIGHTING AND MAINTENANCE DISTRICT
WHEREAS, the City's Citywide Lighting and Maintenance District (the "District") has
been established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways
Code Section 22500 et seq.) (the "Acf) to fiord the maintenance and servicing of certain public
street lighting and street trees throughout the City and
WHEREAS, in connection with the District, the City annually levies an assessment against
real property; and
WHEREAS, the City Council desires to initiate proceedings to levy the assessment for
Fiscal Year 2021-22 in connection with the District; and
WHEREAS, no increased assessments, new improvements nor substantial changes in
existing improvements within the District are proposed.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA,
CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The above recitals are true and correct.
SECTION 2. The City Council orders Willdan Financial Services, as assessment engineer,
to prepare and file with the City Clerk a report on the assessment in connection with the District
for Fiscal Year 2021-22. Such report shall include all information required by Section 22565 et
seq. of the Act.
SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall enter
the same in the book of original resolutions and it shall become effective immediately.
APPROVED AND ADOPTED this 18th day of May 2021.
Letty Lopez-Viado
Mayor
APPROVED AS TO FORM
Thomas P. Duarte
City Attorney
ATTEST
Lisa Sherrick
Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California,
do hereby certify that the foregoing Resolution No. 2021-48 was duly adopted by the City Council
of the City of West Covina, California, at a regular meeting thereof held on the 18th day of May,
2021, by the following vote of the City Council:
AYES:
NOES:
ABSENT:
ABSTAIN:
Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO. 5
RESOLUTION NO. 2021-50
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF WEST COVINA, CALIFORNIA, PRELIMINARILY
APPROVING THE ENGINEER'S REPORT FOR THE
CITYWIDE LIGHTING AND MAINTENANCE DISTRICT,
DECLARING ITS INTENTION TO LEVY AND COLLECT
ASSESSMENTS WITHIN SAID DISTRICT FOR FISCAL
YEAR 2021-22 AND SETTING A PUBLIC HEARING
REGARDING SUCH ASSESSMENTS
WHEREAS, the City's Citywide Lighting and Maintenance District (the `11strict") has been
established pursuant to the Landscaping and Lighting Act of 1972 (Streets and Highways Code
Section 22500 et seq.) (the "Acf) to fund the maintenance and servicing of certain public street
lighting and street trees in the City; and
WHEREAS, in connection with the District, the City annually levies an assessment against
real property; and
WHEREAS, by its Resolution No.2021-48, adopted May 18, 2021, the City Council directed
Wiffdan Financial, as assessment engineer (the "Engineer'), to prepare and file a report regarding the
District; and
WHEREAS, the Engineer has filed said report, entitled "City of West Covina, Citywide
Lighting & Maintenance District, Fiscal Year 2021/2022 Engineer's Report" (the "Report') and the
Report is on file and available for public inspection in the Office of the City Clerk and is incorporated
herein by reference; and
WHEREAS, the City Council desires to continue with proceedings to levy the assessment in
connection with the District for Fiscal Year 2021-22 as described in the Report.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA,
CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The Report is preliminarily approved.
SECTION 2. The City Council declares its intention to levy and collect assessments within
the District for Fiscal Year 2021-22 and notes that:
(a) The distinctive name of the District is the "City of West Covina Citywide Lighting
and Maintenance District."
(b) The boundaries of the District are the same as the boundaries of the City.
(c) The existing and proposed improvements are generally described as street lights, street
trees, and appurtenant facilities throughout the City. No substantial changes are
proposed to the nature of the improvements.
(d) Reference is made to the Engineer's Report, on file with the City Clerk, for a fill and
detailed description of the improvements, the boundaries of the assessment district and
any zones therein, and the proposed assessments upon assessable lots and parcels of
land within the District.
(e) The rate of the assessment is proposed to adjust upwards by 2.00% from the rate levied
in Fiscal Year 2020-21. Such adjustment is made according to a schedule of
adjustments approved by property owners in a mail ballot proceeding pursuant to
Article XJII D of the California Constitution and, therefore, does not constitute an
"increase" requiring additional mad ballot proceedings.
SECTION 3. A Public Hearing is set for Tuesday, June 15, 2021, at 700 p.m. in the City
Council Chambers located at 1444 West Garvey Avenue South in the City of West Covina, to take
the testimony on the issue of whether or not the assessments should be approved.
SECTION 4. The City Clerk shall give notice of said Public Hearing in the time, form, and
manner as required by law, including but not limited to publication of this resolution in accordance
with Streets and Highways Code Sections 22552 and 22553.
SECTION 5. The City Council finds that the levy and collection of these assessments is
statutorily exempt from the California Environmental Quality Act under § 15273 of the Guidelines,
as none of the proceeds will be used for capital expenses, but will be used instead for operation and
maintenance.
SECTION 6. The City Clerk shall certify to the adoption of this resolution and shall enter
the same in the book of original resolutions and it shall become effective immediately.
APPROVED AND ADOPTED this 18th day of May, 2021.
APPROVED AS TO FORM
Thomas P. Duarte
City Attorney
Letty Lopez-Viado
Mayor
ATTEST
Lisa Sherrick
Assistant City Clerk
I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California,
do hereby certify that the foregoing Resolution No. 2021-50 was duly adopted by the City Council of
the City of West Covina, California, at a regular meeting thereof held on the 18th day of May, 2021,
by the following vote of the City Council:
Lisa Sherrick
Assistant City Clerk