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HomeMy WebLinkAboutItem 1b: Public Hearing & Close Ballot Proceedings for Citywide Street Lighting Assessment DistrictSUMMARY BACKGROUND Page 1 of 3 STAFF REPORT Public Works Services Department DATE: July 20, 2010 TO: Mayor and City Council FROM: Tom Tait, Public Works Services Director e Prepared by: Maria A. Taylor, Senior Management Analyst SUBJECT: CONDUCT A PUBLIC HEARING, CONSIDER ALL PROTESTS, CLOSE THE BALLOT PROCEEDINGS AT THE CONCLUSION OF THE PUBLIC HEARING FOR THE CITYWIDE STREET LIGHTING ASSESSMENT DISTRICT Recommendation: Approve At the June 1, 2010 Council meeting, City Council initiated proceedings and declared its intention for the formation of the Citywide Street Lighting Assessment District; approved the preliminary Engineer's Report outlining the data regarding the district and the assessments (plans and specifications, budget, method of apportionment, and assessment diagram and roll); and directed the property owner balloting process. Staff is requesting that the City Council conduct a Public Hearing to consider all protests to the proposed Citywide Street Lighting Assessment District and close the balloting proceedings at the conclusion of the Public Hearing. Results of the ballot will be declared at the August 3, 2010 Council meeting. The existing Street Lighting Assessment district expired on June 30, 2010. At the direction of the City Council, the proposed Lighting Assessment District cost sharing breakdown will continue to be the same. The City will pay 60% of the total cost to maintain and repair street lights, while property owners will continue to pay the remaining 40 %. However, the property owner portion for street light maintenance will be apportioned throughout the entire City. Without a property owner approved extension, the City will loose approximately $430,000 annually. On September 1, 2009, the City Council awarded a contract to Willdan Financial Services for assessment engineering services. On February 2, 2010, after several study sessions, the City Council approved the assessment methodology based on a Mayor and City Council July 20, 2010 two -zone approach. Zone 1 are property owners along major thoroughfares (arterial street lights) and Zone 2 are property owners who are in residential neighborhoods (local street lights). Additionally, property owners in Zones 1 and 2 who have sparse lighting will pay twenty percent (20 %) of what the annual rate is for that particular land use. Areas in the City that do not have street lighting will not pay for street lighting. At the March 2, 2010 City council meeting, Council awarded a Professional Services Agreement to the Lew Edwards Group for public outreach services for the proposed street lighting assessment district. Staff worked with the consultant and the City Attorney in distributing public outreach materials explaining the pros and cons of the City's proposed mail - ballot regarding the lighting assessment district. Subsequently, at its June 1, 2010 meeting, Council initiated proceedings and declared its intention for the formation of the Citywide Street Lighting District; approved the preliminary Engineer's Report outlining the data regarding the districts and their assessments (plans and specifications, budget, method of apportionment, and assessment diagram and roll); and directed the property owner balloting process. DISCUSSION Following the Council's approval of the property owner balloting process, approximately 14,720 ballots were mailed to the property owners on June 4, 2010, in accordance with Proposition 218, at least forty -five (45) days before the date of the Public Hearing. A ballot insert or a "Questions and Answers" informational sheet was also included in the ballot to help property owners better understand what the assessment is about. As part of the City's public outreach efforts, informational pieces were developed and approved through the City Attorney's office in order to make sure that they were in compliance with recent court case law. Additionally, staff met with community groups and made presentations at various City Commission meetings. Staff is requesting that the City Council conduct a Public Hearing to consider all protests to the proposed Citywide Street Lighting Assessment District and close the balloting proceedings at the conclusion of the Public Hearing. Ballot results will be declared during the August 3, 2010 Council meeting. If the ballot passes, staff will request that the Council order the levy of assessment for the formation of the Citywide Street Lighting Assessment District via the Landscaping and Lighting Act of 1972 (LLD). The first annual assessment will appear on the 2010 property tax bills. Conversely, if a majority protest exists, staff will request that the City Council abandon the formation of the Citywide Street Lighting Assessment District. ENVIRONMENTAL IMPACT The environmental assessment is not necessary for this evaluation. Page 2 of 3 Mayor and City Council July 20, 2010 FISCAL IMPACT The total proposed citywide lighting assessment budget is $1,071,595. Per City Council's direction, the proposed budget assessment for the general fund's portion is $642,957 (the City's street lighting contribution), while the special benefit or property owners portion is $428,638. If the formation of the Citywide lighting district fails, the City's general fund will have to shoulder the entire cost to operate and maintain the City's street lighting system, which will cost $1,071,595 per year. This takes effect in fiscal year 2010/11. RECOMMENDATION TT: MT 1. Conduct the Public Hearing, consider all protests and close the ballot proceedings at the conclusion of the Public Hearing for the Citywide Street Lighting Assessment District. 2. Close the Public Hearing and direct staff to review ballots and calculate whether a protest exists and to report back to the City Council at the August 3, 2010 City Council meeting with a recommendation to either approve or abandon the formation of the District based on the results of the ballots received. Approved by: 1? Page 3 of 3 Donald Penman, City Manager