HomeMy WebLinkAboutItem 11b - Citywide Street Lighting Assessment District ResolutionsCitywide Street Lighting Assessment District Resolutions
June 5, 2018
Page 1 of 5
DATE: June 5, 2018
TO: Honorable Mayor and City Council
FROM: Tom Tait, Public Works Services Director
By: Carmen Masud, Senior Management Analyst
SUBJECT: RESOLUTIONS INITIATING PROCEEDINGS FOR THE ANNUAL LEVY
AND COLLECTION OF ASSESSMENTS, APPROVING THE
PRELIMINARY ENGINEER’S REPORT, AND DECLARING INTENTION
TO LEVY AND COLLECT ASSESSMENTS FOR FISCAL YEAR 2018-19
AND APPOINTING A TIME AND PLACE FOR A PUBLIC HEARING FOR
THE ARCADIA CITYWIDE LIGHTING DISTRICT NO. 1
Recommendation: Find that the Resolutions are exempt under the
California Environmental Quality Act (“CEQA”); and adopt
Resolution No. 7216 initiating proceedings for the annual levy and
collection of assessments for the Arcadia Citywide Lighting District No. 1
pursuant to the provisions of Part 2 of Division 15 of the California Streets
and Highways Code and ordering the preparation of the Engineer’s
Report.
Recommendation: Adopt
Resolution No. 7217 approving the preliminary Engineer’s Report of
Willdan Financial Services for the Arcadia Citywide Lighting District No. 1.
Recommendation: Adopt
Resolution No. 7218 declaring its intention to levy and collect
assessments within the Arcadia Citywide Lighting District No. 1 for Fiscal
Year 2018-19 and appointing a time and place for a public hearing.
Recommendation: Adopt
SUMMARY
The Citywide Lighting District No. 1 (“Citywide Lighting District” or “District”) was formed
in the City of Arcadia pursuant to the Landscaping and Lighting Act of 1972 and
Proposition 218 balloting requirements. The District was formed for the purpose of
partially funding the ongoing operation, maintenance, and servicing of the City’s street
lighting system. The District budget for Fiscal Year 2018-19, as proposed, increased by
2.34%, or $28,900. The increase is due to an increase in salaries and wages,
electricity, and liability insurance. As a result, for Fiscal Year 2018-19 the annual
Citywide Street Lighting Assessment District Resolutions
June 5, 2018
Page 2 of 5
assessment rate for a single-family property owner in Zone 1 will increase from $19.65
to $20.04; and for a single-family property owner in Zone 2, the annual assessment rate
will increase from $33.50 to $34.17.
It is recommended that the City Council adopt the Resolutions initiating proceedings for
the annual levy and collection of assessments, approving the preliminary engineer’s
report, and declaring its intention to levy and collect assessments for Fiscal Year 2018-
19 and appointing a time and place for a public hearing for the Arcadia Citywide Lighting
District No. 1.
BACKGROUND
The City’s former Street Lighting District was originally established through the Street
Lighting Act of 1919 in the early 1950s and was set to expire on June 30, 2010. This
would have resulted in a loss of approximately $420,000 in annual revenue to the City
beginning in Fiscal Year 2010-11 and the ability to properly maintain the City’s street
lights. Renewal of the Lighting District could no longer be done through the Street
Lighting Act of 1919 because the assessments were based on the value of real
property, which Proposition 13 prohibits. Additionally, not all properties within the City
were included in the original assessment district, which resulted in an inequity of
assessments.
To address this issue, in 2009, the City Council directed the formation of a Citywide
Lighting District via the Landscaping and Lighting Act of 1972. Under this Act,
assessments are based on the special benefit that street lighting provides to properties
within the Citywide Lighting District area. Proposition 218 noticing and balloting
requirements were met and, on August 3, 2010, the City Council by Resolution adopted
the Engineer’s Report for the formation of the Citywide Lighting District and approved
the levy and collection of assessments beginning in Fiscal Year 2010-11.
DISCUSSION
To ensure appropriate allocation and annual levy of assessments based on proportional
special benefits, the Citywide Lighting District established two benefit zones to separate
general benefit and special benefit.
Zone 1 includes properties along major thoroughfares and includes parcels that
receive the general benefit of street lighting along arterial streets.
Zone 2 includes properties in residential neighborhoods that specifically benefit
from maintenance of street lighting on local streets.
In addition to the use of zones, the method of apportionment established for the
Citywide Lighting District to reflect the proportional special benefit of each parcel utilizes
a weighted methodology of apportionment referred to as an equivalent benefit unit
Citywide Street Lighting Assessment District Resolutions
June 5, 2018
Page 3 of 5
(“EBU”) methodology. The proportional special benefit calculation for each parcel is
determined by land use, number of units, and acreage. Furthermore, a benefit multiplier
factor is also employed to account for varying density levels of street lighting within the
City, which ranges from a standard level of street lighting to no street lighting. Some
areas in the City were developed with less lighting on their streets. These sparsely lit
neighborhoods still receive special benefits from their local lights even though their
overall lighting density is less than those streets with full lighting. They receive 20% of
the standard lighting density and pay 20% of the annual assessment rate. Properties in
areas of the City that do not have street lighting do not pay a street lighting assessment
fee.
The City’s Fiscal Year 2018-19 proposed Budget for the Lighting District is $1,266,200,
of which, $1,065,323 has been determined to specially benefit properties within the
Citywide Lighting District based on the assessment methodology. However, the District
was established to fund only a portion of this amount. As a result, the City will be
contributing approximately 60%, or $761,010, of the total street lighting budget while the
property owners (“District”) will pay about 40%, or $505,190, of street lighting costs. The
Citywide Lighting District budget for Fiscal Year 2018-19, as proposed, increased by
2.34%, or $28,900. The increase is due to an increase in salaries and wages,
electricity, and liability insurance. For Fiscal Year 2018-19 the annual assessment rate
for a single-family property owner in Zone 1 will increase from $19.65 to $20.04 ($0.39
increase); and for a single-family property owner in Zone 2, the annual assessment rate
will increase from $33.50 to $34.17 ($0.67 increase).
As part of the District formation, an assessment range formula was also developed to
provide reasonable increases and inflationary adjustments that are associated with
providing improvements for the Citywide Lighting District. The maximum rates for the
Citywide Lighting District are annually adjusted by an amount not to exceed 3% each
fiscal year. The adjusted maximum assessment rate is calculated independently of the
Citywide Lighting District’s annual budget. Although the proposed assessment rate for
property owners in Zone 1 and Zone 2 will increase, the assessment rate will still remain
less than the maximum assessment rate that the City is allowed to assess. The City
has never applied the maximum assessment rate for the Citywide Lighting District. As a
result, the proposed rates remain well below the allowed FY 2018-19 maximums of
$21.19 for Zone 1 and $36.03 for Zone 2.
Using the single-family property as the baseline for the assessment, the table below
shows the annual assessment rate levied in Fiscal Year 2017-18 and the proposed
Fiscal Year 2018-19 annual assessment rates for Zones 1 and 2:
Citywide Street Lighting Assessment District Resolutions
June 5, 2018
Page 4 of 5
1FY 2018-19 Maximum Assessment Rate for Zone 1 is $21.19; Zone 2 is $36.03
At the June 19, 2018, City Council Meeting, a public hearing will be conducted to allow
the public an opportunity to provide comment regarding the levy and collection of
assessment for the District. Fees can only be adopted after the conclusion of the public
hearing.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the
environment. Thus, this matter is exempt under CEQA.
FISCAL IMPACT
Fees collected under the Citywide Lighting District will help defray the total maintenance
costs of lighting in the subject areas. Upon conclusion of the public hearing and
adoption of the engineer’s report, a total of $505,190 will be levied and collected under
the Citywide Lighting District. The levy will not exceed the cost of providing the subject
services to the areas nor will the levy exceed the Maximum Assessment Rates allowed.
The levy has been set to ensure that the cost to the property owner does not exceed the
special benefit to that property.
RECOMMENDATION
It is recommended that the City Council find the following Resolutions are categorically
exempt pursuant to the California Environmental Quality Act (“CEQA”); and adopt:
a. Resolution No. 7216 initiating proceedings for the annual levy and collection of
assessments for the Arcadia Citywide Lighting District No. 1 pursuant to the
provisions of Part 2 of Division 15 of the California Streets and Highways Code
and ordering the preparation of the Engineer’s Report.
FY 17-18
Assessment Rate
FY 18-19
Assessment Rate1
Lighting District Total Budget $1,237,300 $1,266,200
Zone 1 (Arterial Lights)
Sparse Lighting
$19.65
($3.93)
$20.04
($4.01)
Zone 2 (Local Lights)
Sparse Lighting
$33.50
($6.70)
$34.17
($6.83)
Citywide Street Lighting Assessment District Resolutions
June 5, 2018
Page 5 of 5
b. Resolution No. 7217 approving the preliminary Engineer’s Report of Willdan
Financial Services for the Arcadia Citywide Lighting District No. 1.
c. Resolution No. 7218 declaring its intention to levy and collect assessments within
the Arcadia Citywide Lighting District No. 1 for Fiscal Year 2018-19 and
appointing a time and place for a public hearing.
Attachments: Resolution No. 7216
Resolution No. 7217
Resolution No. 7218
City of Arcadia
ARCADIA CITYWIDE
LIGHTING DISTRICT NO. 1
2018/2019 ENGINEER’S REPORT
Intent Meeting: June 5, 2018
Public Hearing: June 19, 2018
27368 Via Industria
Suite 200
Temecula, CA 92590
T 951.587.3500|800.755.6864
F 951.587.3510|888.326.6864
Property Tax Information Line
T. 866.807.6864
www.willdan.com/Financial
ENGINEER'S REPORT AFFIDAVIT
Establishment of Annual Assessments for the:
Arcadia Citywide Lighting District No. 1
City of Arcadia,
County of Los Angeles, State of California
This Report describes the Arcadia Citywide Lighting District No. 1 including the improvements,
budgets, parcels and assessments to be levied for fiscal year 2018/2019, 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 ______________, 2018.
Willdan Financial Services
Assessment Engineer
On Behalf of the City of Arcadia
By: ________________________________
Susana Hernandez
Project Manager
By: ________________________________
Richard Kopecky
R. C. E. # 16742
TABLE OF CONTENTS
I. INTRODUCTION .................................................................................................. 1
II. PLANS AND SPECIFICATIONS .......................................................................... 2
A. DESCRIPTION OF THE DISTRICT .................................................................................. 2
B. DESCRIPTION OF IMPROVEMENT AND SERVICES .................................................... 2
III. METHOD OF APPORTIONMENT ........................................................................ 4
A. BENEFIT ANALYSIS ........................................................................................................ 5
B. ASSESSMENT METHODOLOGY .................................................................................... 7
C. ASSESSMENT RANGE FORMULA............................................................................... 18
IV. DISTRICT BUDGET ........................................................................................... 18
A. BUDGET ......................................................................................................................... 18
B. PARCEL ASSESSMENT CALCULATION ..................................................................... 20
V. DISTRICT DIAGRAM ......................................................................................... 21
VI. ASSESSMENT ROLL ........................................................................................ 23
2018/2019 Arcadia Citywide Lighting District No. 1 Page 1 of 24
I. INTRODUCTION
The Arcadia Citywide Lighting District No. 1 (hereafter referred to as the “District”) was formed in
2010 for the purpose of funding in part, the ongoing operation, maintenance and servicing of
public lighting improvements within the City of Arcadia (hereafter referred to as the “City”) based
on the proportional special benefits to properties within the City.
The District was formed to levy and collect annual assessments on the County tax rolls to fund
such improvements and appurtenant facilities authorized pursuant to the Landscape and Lighting
Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code commencing with
§22500 (hereafter referred to as the “1972 Act”). In conjunction with the authority of the 1972 Act,
the assessments are calculated in compliance with the substantive and procedural requirements
of the California State Constitution Article XIIID (hereafter referred to as the “California
Constitution”).
As part of the District formation, the City conducted a property owner protest ballot proceeding for
the new special benefit assessments in accordance with the provisions of Government Code,
Section 53753, and the California Constitution. In conjunction with this ballot proceeding, the City
Council conducted a public hearing on July 20, 2010 to consider public testimonies, comments
and written protests regarding the formation of the District and levy of assessments. Upon
conclusion of the July 20, 2010 public hearing, property owner protest ballots received were
opened and tabulated. No majority protest existed.
On August 3, 2010, the City Council, by Resolution No. 6737, adopted the Engineer’s Report for
the formation of the District, including the assessment diagram; ordered the formation of the
District; approved the levy and collection of the assessments commencing in fiscal year
2010/2011, approved the assessment range formula as described in the formation Report; and
ordered the improvements and services to be made.
This Engineer’s Report (hereafter referred to as “Report”) was prepared in connection with the
establishment of the District and the levy and collection of annual special benefit assessments
related thereto commencing in fiscal year 2010/2011, pursuant to Chapter 1, Article 4 beginning
with §22565 of the 1972 Act and the provisions of the California Constitution. Said District shall
include all lots and parcels of land within the City at the time this Report was prepared, the
boundaries of which are coterminous with the City boundaries.
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 Assessor’s Office. The Los
Angeles 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.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 2 of 24
II. PLANS AND SPECIFICATIONS
A. DESCRIPTION OF THE DISTRICT
The territory within the District consists of all lots, parcels of land and subdivisions within the
City, the boundaries of which are coterminous with the City’s boundaries and the metes and
bounds that define the City boundaries are incorporated herein as the metes and bounds of
this District. An Assessment Diagram incorporated herein under Part IV of this Report, outlines
the boundaries of the District and the Zones therein. This diagram incorporates all lots, parcels
and subdivisions of land within the District and Zones as they existed at the time this Report
was prepared. The District generally includes all or a portion of the parcels identified on the
following Los Angeles County Assessor's Parcel Map Books:
5378;5379;5382;5383;5385;5764;5765;5766;5769;5770;5771;
5772;5773;5775;5776;5777;5778;5779;5780;5781;5782;5783;
5784;5785;5787;5788;5789;5790;5791;8501;8503;8509;8510;
8511;8532;8538;8541;8545;8571;8572;8573;8586;8587
Within the boundaries of the District, two (2) Zones – Zone 01 and Zone 02 – have been
established to identify parcels and areas within the District for reasons of separating general
benefits from special benefits, and differentiating between special benefits and maintenance
costs associated with street lighting along arterial streets versus non-arterial streets. It has
been determined that the parcels within these Zones receive differing degrees of special
benefits from the improvements and services to be provided by the District.
Zone 01 and Zone 02 were established to incorporate properties that receive direct and
particular special benefits from street light improvements and services along arterial streets
versus street lighting improvements and services that are along non-arterial streets. The two
Zones within the District and the improvements and benefits associated with the properties
therein are described in more detail in Part II (Method of Apportionment) of this Report.
B. DESCRIPTION OF IMPROVEMENT AND SERVICES
Improvements and Services Authorized by the 1972 Act
As generally defined by the Landscaping and Lighting Act of 1972 and applicable to this
District, the improvements and services and associated assessments may include but are not
limited to some or all of the following:
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, paving, or electrical facilities;
The acquisition of any existing improvement otherwise authorized pursuant to the Act;
The maintenance or servicing, of any of the foregoing including the furnishing of services
and materials for the ordinary and usual maintenance, operation, and servicing of any
improvement including but not limited to:
2018/2019 Arcadia Citywide Lighting District No. 1 Page 3 of 24
Repair, removal, or replacement of all or any part of any improvements;
The cleaning, sandblasting, and painting of improvements to remove or cover graffiti;
Electric current or other illuminating agent for any public lighting facilities;
The collection and accumulation of funds as reserves for the purpose of ensuing
appropriate cash flow for operational activities and long-term maintenance expenses.
Incidental expenses associated with the improvements including, but not limited to:
The cost of preparation of this report, including plans, specifications, estimates,
diagram, and assessment;
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 expenses incidental to the issuance of bonds or notes;
Costs associated with the proceedings held for the approval of a new or increased
assessment.
Any other expenses incidental to the construction, installation, or maintenance and
servicing of the improvements.
District Facilities and Improvements
Detailed maps and descriptions of the location and extent of the District’s existing street
lighting improvements are on file in the Office of Public Works Services Department, and by
reference these documents are made part of this Report. The following table provides a
summary of the street light inventory within the City at the time this Report was prepared:
Table 1
City of Arcadia Street Light Inventory
Street Lighting Edison-
Owned Lights
City-Owned
Lights Total Lights
District-wide Street Lights (Arterial Streets) (1) 915 547 1,462
District-wide Street Lights (Local Streets) 1,615 876 2,491
Total Street Lights 2,530 1,423 3,953
(1) One street light installed in 2017 at 56 E. Duarte Road (Arterial Street Light)
Approximately sixty-four percent (64%) of the streetlights within the District are owned and
maintained by Southern California Edison Company. The remaining thirty-six percent (36%)
of the streetlight facilities are owned by the City and are maintained by the City.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 4 of 24
The maintenance and servicing of the Southern California Edison Company-owned
streetlights is furnished by the Southern California Edison Company or by its successors or
assignees. The rates charged by the Edison Company include both the energy (electrical) and
maintenance costs and are regulated and authorized by the Public Utilities Commission of the
State of California. The City Public Works Services Department furnishes the maintenance
and servicing of the City-owned streetlights.
The Energy for City-owned streetlights is procured through the Clean Power Alliance and the
rate charged to the City is not regulated and authorized by the CPUC.
While the annual cost of providing the Southern California Edison Company-owned
streetlights versus the City-owned streetlights may vary slightly, the difference in annual cost
per light is considered negligible and has no bearing on the benefits.
The maintenance, operation and servicing of the District lighting improvements generally
includes the furnishing of labor, materials, equipment and electricity for the ordinary and usual
maintenance, operation, and servicing of street lights within the public right-of-ways and
easements dedicated to the City. These activities include but are not limited to:
Regular maintenance and servicing the street light systems including, cleaning,
sandblasting, repainting of poles and equipment to remove or cover graffiti and as needed
prevent corrosion; repair or replacement of lighting standards, bulbs and fixtures; and
furnishing of electric current or other illuminating agent.
Periodic repair and rehabilitation of the street lighting system including replacement of old
equipment with new or reconditioned equipment; and repair, removal or replacement of
related equipment as required including but not limited to lighting fixtures, poles, meters,
conduits, electrical cable and relocation of street light facilities as necessary including the
purchase and installation of related equipment and facilities.
Specifically not included in the District budget and the proportional special benefit
assessments is the installation and construction of new street lights and/or conversion of
existing street lights to decorative street lights. Such projects and expenditures would be
considered Capital Improvement Projects that are beyond the purpose of the assessments
for this District. If such projects are needed or desired, the cost of such would require
funding from other sources including but not limited to an additional special assessment
on the affected properties and/or funds contributed by the City.
III. METHOD OF APPORTIONMENT
Based on the provisions of the 1972 Act and the California Constitution, this section of the Report
summarizes an analysis of the general and special benefits provided by the City’s existing street
lighting improvements and services to be provided by the District; the resulting District structure
(zones of benefit); the formulas used to calculate each parcel’s proportional special benefit and
assessment obligation, including multiplier factor, based on the entirety of the cost of providing
the improvements (method of assessment); and the establishment of an inflationary formula for
such assessments to address anticipated cost increases due to inflation (assessment range
formula).
2018/2019 Arcadia Citywide Lighting District No. 1 Page 5 of 24
A. BENEFIT ANALYSIS
The 1972 Act permits the establishment of assessment districts by agencies for the purpose
of providing certain public improvements, which include but are not limited to the construction,
maintenance, operation, and servicing of public street lighting improvements 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.”
In conjunction with the provisions of the 1972 Act, the California Constitution Article XIIID
addresses several key criteria for the levy of assessments, notably:
Article XIIID Section 2d defines District as:
“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 XIIID Section 2i defines Special Benefit as:
“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 XIIID Section 4a defines proportional special benefit assessments as:
“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 method of apportionment (method of assessment) established herein is based on the
premise that each assessed property receives special benefits from street lighting
improvements and services that are funded by such assessments, and the assessment
obligation for each parcel reflects that parcel’s proportional special benefits as compared to
other properties that receive special benefits as outlined in the preceding definitions
established in the 1972 Act and the California Constitution.
To identify and determine the proportional special benefit to each parcel within the District, it
is necessary to consider the entire scope of the improvements provided as well as the
properties that benefit from those improvements. The District’s improvements and the
associated costs described in this Report, have been carefully reviewed and have been
identified and allocated based on a benefit rationale and calculations that proportionally
2018/2019 Arcadia Citywide Lighting District No. 1 Page 6 of 24
allocate the net cost of only those improvements determined to be of special benefit to
properties within the District.
Zones of Benefit
In an effort to ensure an appropriate allocation of the estimated annual cost to provide the
District improvements based on proportional special benefits, this District will be established
with benefit zones (“Zones”) as authorized pursuant to Chapter 1 Article 4, Section 22574 of
the 1972 Act:
“The diagram and assessment may classify various areas within an assessment district
into different zones where, by reason of variations in the nature, location, and extent of
the improvements, the various areas will receive differing degrees of benefit from the
improvements. A zone shall consist of all territory which will receive substantially the same
degree of benefit from the improvements.”
While the California Constitution requires that “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 or the maintenance and operation expenses of a public
improvement…”; it is reasonable to conclude that street lighting on arterial streets has been
installed primarily for the purpose of nighttime traffic illumination and circulation, and will
benefit both the community as a whole and the public at large. On the other-hand, local street
lighting improvements are not required in all areas of the City, which is evident in the absence of
street lighting within certain neighborhoods. Therefore, street lighting along non-arterial streets
(local street lights) provides special benefit to properties fronting these streets and was installed
in connection with the development of such properties. However, these improvements are not
mutually exclusive or typically isolated to a particular parcel but are rather shared and directly
affect entire neighborhoods or groups of parcels. The location and extent of the specific local
street light improvements in relationship to those neighborhoods or groups of parcels
immediately adjacent or in close proximity to those improvements must be considered.
Therefore, as part of this analysis, the District includes two distinct Zones. Zone 1 includes all
parcels that specially benefit from the maintenance of street lighting along arterial streets, and
Zone 2 includes remaining parcels within the City that specially benefit from maintenance of
street lighting along non-arterial streets (local street lights). The creation of these two zones
requires the apportionment of the total maintenance budget between these two zones, which
necessitates the need to separately analyze each zone’s maintenance costs to determine the
portion of each zone’s budget (identified in Part III) that is considered to be general benefit
versus special benefit.
While the extent and location of local street lighting improvements in the City has typically
resulted from property development or the specific needs of nearby properties, arterial street light
improvements were installed first and foremost to improve the overall safety of the community
and traffic circulation, and are more of an indirect result of property development. Therefore, a
significant portion of the maintenance costs in Zone 1 is considered general benefit and will not
be assessed against parcels within the District.
Based on a report completed by Meyer, Mohaddes Associates, in March 2006, regarding the
City’s Transportation Impact Fee Program, it is estimated that the number of vehicular trips
generated by properties within the City account for approximately 57% of the total daily trips on
the City’s arterial streets, with 43% being pass-through trips from outside the City. Utilizing this
information as part of the analysis for separating general benefits from special benefits, it is
2018/2019 Arcadia Citywide Lighting District No. 1 Page 7 of 24
reasonable to conclude that 43% of the street light improvements and associated costs of the
City’s arterial street lights can be identified as general benefit to the public at large. Likewise, it
is reasonable to apply this same 43% trip rationale to the vehicular trips generated by properties
within the City (57% of the total trips) to establish the general benefits associated with trips
generated within the City that are conferred on real property located in the District (43% x 57%
= 24.5%). Collectively this would suggest that approximately sixty-eight percent 67.5% (43% +
24.5% = 67.5%) of the maintenance costs in Zone 1 are for general traffic related improvements
along the City’s arterial streets, which together improve the overall safety of the community at-
large, and the properties therein and; therefore, are considered to be a general benefit and will
not be assessed.
In reviewing the location and extent of the City’s street lighting improvements and the relationship
these improvements have to properties within the District, it has been determined that local street
lights (street lights that are not located on arterial streets) were installed in connection with the
development of nearby properties. As such, these local lighting improvements have a direct and
particular relationship to, and provide special benefit to, the properties located in close proximity
to those street lighting improvements and on those streets. The special benefit affects these
properties in a way that is particular and distinct from its effect on other parcels and that real
property in general and the public at large do not share. Furthermore, certain areas of the City
do not have local street lighting, which provides further confirmation that local street lighting
specially benefits properties in close proximity to such local street lighting. Therefore, since
certain areas of the City forgo the need of local street lighting, the maintenance costs associated
with local street lighting is not considered to be a general benefit.
The District Budget, incorporated herein under Part III of this Report, provides a summary of
the total estimated cost of providing the street light improvements and the allocation of those
costs as general benefit versus special benefit for each Zone of the District. Details regarding
the location and extent of the street lighting improvements within the District and the Zones
therein are on file in the Office of Public Works Services Department and by reference these
documents are made part of this Report. A diagram showing the exterior boundaries of the
District and the two Zones therein is attached and incorporated herein under Part IV (District
Diagram) of this Report.
B. ASSESSMENT METHODOLOGY
In order to calculate and identify the proportional special benefit received by each parcel and
their proportionate share of the improvement costs it is necessary to consider not only the
improvements and services to be provided, but the relationship each parcel has to those
improvements as compared to other parcels in the District.
Article XIIID Section 4a reads in part:
“…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 or the maintenance
and operation expenses of a public improvement or for 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.”
Street lighting, like most public improvements, provides varying degrees of benefit (whether they
be general or special) based largely on the extent of such improvements, the location of the
improvements in relationship to the properties, the specific use and size of each property, and
2018/2019 Arcadia Citywide Lighting District No. 1 Page 8 of 24
the reason or need for such improvements as it relates to individual properties. In this District
these issues are each considered in determining the proportional special benefit to each parcel
by the use of benefit zones, the separation of general benefit and special benefit, and County
land use designations. The specific use and size of each property is accounted for to reflect each
parcel’s need for such improvements and its reasonable cost of the proportional special benefit
as compared to other properties that benefit from those improvements. Therefore, an equivalent
benefit unit methodology is utilized to assess properties accordingly.
Equivalent Benefit Units
In addition to the use of Zones, the method of apportionment established for this District to
reflect the proportional special benefit of each parcel utilizes a weighted methodology of
apportionment typically referred to as an Equivalent Benefit Unit (EBU) methodology. This
method of apportionment establishes the typical detached single-family home site as the basic
unit of assessment. A single-family residential unit is assigned one (1.0) Equivalent Benefit
Unit (EBU) and other property types (land uses) are proportionately weighted (weighted EBU)
based on a benefit formula that equates each property’s specific characteristics and special
benefits to that of the single-family residential unit. This proportional weighting may be based
on several considerations that may include, but are not limited to: the type of development
(land use), development-status (developed versus undeveloped), size of the property
(acreage or units), vehicular trip generation, street frontage, densities or other property related
factors including any development restrictions or limitations; as well as the density of lighting
associated with each property (addressed through the application of a benefit multiplier factor
which is discussed in the next section).
For the improvements and assessments outlined in this Report, it has been determined that
the most appropriate proportional special benefit calculation for each parcel is reasonably
determined by three basic property characteristics:
Land use — Commercial/Industrial Use; Residential Use, Institutional Use, Vacant Land
(Undeveloped Property), Public Property etc.;
Property Size — Acreage for non-residential properties; Units for residential properties.
Property size (acreage or units) provides a definable and comparative representation of
each parcel’s proportional special benefit not only to similar types of properties but to other
properties as well. The size of a property provides an appropriate and overall reflection of
numerous considerations associated with each parcel’s special benefits including
vehicular trip generation, average street frontage and development densities.
Lighting Density —The amount of street lighting within the City is not uniform and varies
from one area to the next, ranging from a standard level of street lighting to no street
lighting in certain neighborhoods of the City. To account for this varying level of street
lighting a benefit multiplier factor is applied, as discussed in the next section of this report
entitled “Benefit Multiplier Factor.”
The following outlines the special benefits and equivalent benefit unit calculations to be
applied to each of the various land use classifications identified for this District to establish
each parcel’s proportional special benefit compared to other parcels within each respective
Zone of the District:
2018/2019 Arcadia Citywide Lighting District No. 1 Page 9 of 24
Single-Family Residential Property — This land use is defined as a fully subdivided
residential home site with a single residential unit developed on the property. The special
benefits that local street lighting provides to such properties include, but are not limited to:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas; and
Improved nighttime ingress and egress to the property.
For purposes of establishing the proportional special benefits and equivalent benefit units
for other land uses in this District, the single-family residential land use is designated as
the basic unit of assessment and shall be assigned 1.000 EBU per parcel (unit).
Multi-Family Residential & Mixed Use Property — This land use is defined as a fully
subdivided residential parcel that has more than one residential unit developed on the
parcel. (This land use includes apartments, duplexes, triplexes, etc., but does not
generally include condominiums, town-homes). This land use designation also includes
properties identified by the County Assessor’s Office as mixed use property for which there
is more than one residential unit (known number of residential units) associated with the
property and for which the parcel’s primary use is residential, but may also include a
commercial component or unit associated with that property. The special benefits that
local street lighting provides to such properties include, but are not limited to:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas; and
Improved nighttime ingress and egress to the property.
Although multi-family residential properties receive similar special benefits to that of
single-family residential property and an appropriate and comparative calculation of
proportional special benefits is reasonably reflected by the parcel’s total number of
residential units, it would not be reasonable to conclude that on a per unit basis, the
benefits are equal. Studies have consistently shown that multi-family units impact public
infrastructure at reduced levels compared to a single-family residence, which is reflective
of their reduced structure size, trip generation and need for various public improvements.
Furthermore, as the density (number of units per parcel) increase, the average distance
from the street light improvements tends to increase and the number of vehicular trips
generated tends to decline because the population density per unit tends to decrease
(largely because of reduced unit sizes). Based on these considerations, it is reasonable
to conclude that the actual number of street lights per unit is less than that of a single-
family residential property and appropriate weighting of the proportional special benefit
per unit for multi-family residential properties as compared to a single-family residential is
best represented by the following sliding scale: 0.750 EBU per unit for the first 5 units;
plus 0.625 EBU per unit for units 6 through 25; plus 0.500 EBU per unit for units 26 through
2018/2019 Arcadia Citywide Lighting District No. 1 Page 10 of 24
50; plus 0.375 EBU per unit for units 51 through 100; plus 0.250 EBU per unit for units
101 or above.
Condominium/Town-home Property — This land use is defined as a fully subdivided
residential condominium or town-home parcel that typically has one residential unit
associated with each Assessor’s Parcel Number, but is part of a multi-unit development
for which each condominium or town-home parcel shares or has common interest
(common area) with the other residential parcels in that development. The special benefits
that local street lighting provides to such properties include, but are not limited to:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas; and
Improved nighttime ingress and egress to the property.
The development attributes of condominiums and town-homes tend to be a blend of the
single-family residential and multi-family residential properties. Like multi-family residential
properties, individual condominium and town-home units (individual parcels) within such
developments may not have actual street frontage where the local street light
improvements are located, but rather the common area lot which they share has street
frontage. (In most cases, each residential unit fronts a private road or driveway that directly
accesses the street where the local street light improvements are located). Because
condominium and town-home properties represent individual residential units that are
privately owned, like single-family residential properties these properties tend to be owner
occupied with relatively fewer vacancies per unit than multi-family residential properties,
which in turn represents greater average trip generation per unit than multi-family
residential properties. However, because this property type usually has a much higher
development density (greater number of units per acre) than single-family residential
properties the actual number of street lights per unit is clearly less than that of a single-
family residential property.
In consideration of the special benefits associated with these properties and the
development characteristics discussed above, it has been determined that an appropriate
allocation of special benefit for condominiums, town-homes and similar residential
properties is best represented by an assignment of 0.750 EBU per unit. (Because these
parcels typically represent a single residential unit or small group of units that are each
privately owned, no adjustment for multiple units is applied to this land use as it is for multi-
family residential properties).
Developed Commercial/Industrial Property — This land use is defined as a developed
property with structures (buildings) that is used or may be used for commercial purposes,
whether the structures are occupied or not. This land use does not include parcels for
which the primary use of the property is considered residential or Hotels and Motels
(transient residential). This land use classification includes most types of commercial
enterprises including but not limited to commercial retail; food services; banks; shopping
centers; recreational facilities; office buildings and professional buildings, as well as
industrial properties including service centers; warehousing and manufacturing. This land
use classification also includes any parcel that may incorporate a single residential unit,
2018/2019 Arcadia Citywide Lighting District No. 1 Page 11 of 24
but is also used in whole or in part for commercial purposes. The special benefits that local
street lighting provides to such properties include:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas;
Improved nighttime ingress and egress to the property;
Increased accessibility and/or hours of operation that result from adequate nighttime
lighting on the streets near or adjacent to the property; and
Greater nighttime visibility of the property and associated business with the property.
The presence of local street lighting or the lack thereof has a direct and distinct impact on
commercial/industrial properties and the businesses associated with those properties.
Utilizing trip generation data outlined by the Institute of Transportation Engineers
Informational Report, Seventh Edition; commercial/industrial properties generate on
average approximately four (4) times the daily vehicular trips per acre generated by a
typical single-family residential property (9.57 trips per single-family residential unit
compared to 42.32 trips per acre for commercial properties). While the actual daily trips
generated by a particular commercial/industrial property may be greater or less than this
average, it does provide a reasonable indicator of the proportionality of the special benefits
associated with local street lighting for such properties. In support of this finding, an
analysis of development densities in the City indicates that on average, single-family and
condominium developments yield approximately 4.06 residential units per acre.
Although the preceding evaluations suggest that the direct proportional special benefits to
commercial/industrial properties are reasonably reflected by an apportionment of 4.000
EBU per acre, because most commercial/industrial parcels represent a separate and
independent commercial enterprise or business with immediate proximity to local street
lighting, it has been determined that the proportional special benefit for any individual
commercial or industrial parcel is at least equal to that of a single-family residential
property. Therefore, a commercial/industrial parcel that is less than one-quarter of an acre
in size shall be assigned 1.000 EBU (minimum EBU). Likewise, it is reasonable to
conclude that there is a limit to the proportional special benefit that any single parcel
receives from local street lights (maximum EBU). In an analysis of the average street
frontage and number of lights per acre for various land use classifications, it has been
determined that commercial/industrial parcels shall not be assessed for any acreage
greater than ten (10.00) acres, which sets the maximum EBU at 40.000 EBU for this land
use classification.
Developed Hotel/Motel Property — Although Hotel/Motel Properties are certainly
viewed as commercial enterprises, these properties have more significant nighttime use
and traffic generation than other commercial/industrial properties that results from their
2018/2019 Arcadia Citywide Lighting District No. 1 Page 12 of 24
transient residential activities. The special benefits that local street lighting provides to
such properties include:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas;
Improved nighttime ingress and egress to the property;
Increased use of the property that result from adequate nighttime lighting immediately
adjacent to or near the property which is essential to the extended nighttime operation
associated with these properties; and
Greater nighttime visibility of the property that improves potential customer attraction
thereby increasing business activity and use of the property.
The presence of local street lighting or the lack thereof can have a direct and significant
impact on hotel and motel properties because of their heightened nighttime use of the
property. To reflect this increased proportional special benefit resulting from higher
nighttime use and need for local street lighting as compared to other commercial/ industrial
properties, the proportional special benefits and assessments for this land use
classification shall be based on 6.000 EBU per acre. As with commercial/industrial
properties, minimum and maximum acreage limits shall be applied in calculating each
parcel’s individual assessment. These acreage limits result in a minimum Equivalent
Benefit Unit of 1.500 EBU for parcels less than one-quarter of an acre and a maximum
Equivalent Benefit Unit of 60.000 EBU for parcels greater than ten acres.
Developed Institutional Property — This land use is defined as developed private
properties used for the purposes of public related services or activities, including but not
limited to Colleges, Private Schools, Places of Worship, Day Care Centers, Fraternal
Organizations, Hospitals, Convalescent or Retirement Homes, or other similar public
service or assembly type properties. The special benefits that local street lighting provides
to such properties include:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas; and
Improved nighttime ingress and egress to the property.
While properties in this land use classification are generally considered non-residential
properties, it has been determined that this land use classification clearly receives less
special benefit from local street lighting than commercial/industrial properties based on
several considerations: they represent businesses/operations that provide public related
or community services (educational, medical care, religious etc.); they are generally non-
profit organizations; and they have significantly less nighttime use and associated trip
generation. Based on the special benefits that local street lighting provides to such
2018/2019 Arcadia Citywide Lighting District No. 1 Page 13 of 24
properties and in consideration of their limited nighttime use, the Equivalent Benefit Units
applied to these properties shall be based on 2.000 EBU per acre with the same minimum
and maximum acreage limits that are applied to other acreage-based properties. These
limits result in a minimum Equivalent Benefit Unit of 0.500 EBU for parcels less than one-
quarter of an acre and a maximum Equivalent Benefit Unit of 20.000 EBU for parcels
greater than ten acres.
Developed Public Property — This land use is defined as developed public or
government-owned property used for public related services or activities, including but not
limited to city facilities including parks, community centers, fire and police stations, and
city offices; county or state offices and facilities; federal, state or county court facilities; US
postal service facilities; public schools; public utility facilities or offices; or other similar
developed public properties. The special benefits that local street lighting provides to such
properties include:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (especially vandalism) commonly associated with
poorly lighted areas; and
Improved nighttime ingress and egress to the property.
While many of these properties have the potential to be converted or utilized as
commercial or other non-residential enterprises, their purpose and function is specifically
for public related services and activities and they generally have no or limited nighttime
use and trip generation, which is similar to Institutional properties. Based on the special
benefits that local street lighting provides to such properties and in consideration of their
limited nighttime use, the Equivalent Benefit Units applied to these properties shall be
based on 2.000 EBU per acre with the same minimum and maximum acreage limits that
are applied to other acreage-based properties. These limits result in a minimum Equivalent
Benefit Unit of 0.500 EBU for parcels less than one-quarter of an acre and a maximum
Equivalent Benefit Unit of 20.000 EBU for parcels greater than ten acres.
The County Tax Collector’s Office typically identifies these properties as “Non-Taxable”
and does not generate tax bills for these properties and as a matter of practical application,
the calculated special benefit and proposed assessment obligation for such properties
cannot be collected through the secured tax roll in the same manner as other District
assessments. Therefore, the only other alternative to the City is the option to direct bill
these properties; otherwise, the total assessment amount applied to these properties
would not be recovered and would be lost revenue. In any case, the total amount of
maintenance cost allocated to these properties is directly related to special benefit
received by these properties and may not be reapportioned to any other parcel(s) within
the District.
Parking Lot/Limited Use Property — This land use classification is applied to developed
privately-owned properties that the City considers not to be fully developed
commercial/industrial, institutional or residential properties. This land use classification is
typically applied to parcels that are identified as parking lots with limited or no buildings;
but may also identify parcels that have limited or restricted non-residential use where the
typical commercial/industrial or institutional classification is not applicable or appropriate.
The special benefits that local street lighting provides to such properties include:
2018/2019 Arcadia Citywide Lighting District No. 1 Page 14 of 24
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety;
Reduction in property-related crimes (dumping, graffiti, vandalism and loitering)
commonly associated with poorly lighted areas;
Improved nighttime ingress and egress to the property; and
Potential increased use and trip generation that result from adequate nighttime lighting
which promotes extended hours of operation.
Based on these special benefits and in consideration of use and need for local street
lighting, the Equivalent Benefit Units applied to these properties shall be based on 1.000
EBU per acre with the same minimum and maximum acreage limits that are applied to
other acreage-based properties. These limits result in a minimum Equivalent Benefit Unit
of 0.250 EBU for parcels less than one-quarter of an acre and a maximum Equivalent
Benefit Unit of 10.000 EBU for parcels greater than ten acres.
Vacant Property — This land use is defined as property that has been identified as
undeveloped, but has reasonable development potential (Few or no development
restrictions). The special benefits that local street lighting provides to such properties
include:
Direct and/or ambient lighting of the property and the immediate area (street and
sidewalk) providing improved nighttime visibility and safety; and
Reduction in property-related crimes (dumping, graffiti, vandalism and loitering)
commonly associated with poorly lighted areas.
In an evaluation of the special benefits associated this land use as compared to that of
developed properties it becomes evident that the proportional special benefits associated
with vacant property are clearly less than those associated with developed properties.
Although vacant properties derive special benefits from local street lighting, these special
benefits are limited to the land (lot) itself. Conversely, approximately half of the direct and
immediate special benefits for developed properties are related to the daily use or potential
use of that property (specifically nighttime use). Based on these special benefit
considerations and the direct advantages of local street lighting, the Equivalent Benefit
Units applied to these properties shall be based on 0.500 EBU per acre with the same
minimum and maximum acreage limits that are applied to other acreage-based properties.
These limits result in a minimum Equivalent Benefit Unit of 0.125 EBU for parcels less
than one-quarter of an acre and a maximum Equivalent Benefit Unit of 5.000 EBU for
parcels greater than ten acres.
Exempt Property (Parcel) — This land use identifies parcels where, for various reasons,
it has been determined that the parcel does not and will not receive special benefits from
street lighting improvements. This land use classification may include but is not limited to:
Lots or parcels identified as public streets and other roadways;
2018/2019 Arcadia Citywide Lighting District No. 1 Page 15 of 24
Dedicated public easements including open space areas, utility rights-of-way,
greenbelts, parkways, or other publicly-owned or utility-owned land that serves the
community or general public and are not considered or classified as developed public
properties; and
Parcels of land that are privately owned, but cannot be developed independently from
an adjacent property or is part of a shared interest with other properties, such as
common areas, sliver parcels, bifurcated lots or properties with very restrictive
potential or use.
Because these properties either provide a public service that is comparable to street
lighting or they are dependent on another property or development, these types of parcels
have no direct need for street lighting and are considered to receive no special benefits
Therefore these parcel shall be exempt from assessment and are assigned 0.0000 EBU.
However, these properties shall be reviewed annually by the assessment engineer to
confirm the parcel’s use.
Special Case Property — In many districts where multiple land use classifications are
involved, there may be one or more properties where the standard land use classifications
do not accurately identify the use and special benefits received from the improvements,
or there may be factors related to that particular parcel that should be noted for review in
subsequent fiscal years. The following are some examples of properties that may be
classified as Special Case properties:
Example 1: A parcel may be identified as a Vacant Property, however only a small
percentage of the parcel’s total acreage can actually be developed. In this case, an
appropriate calculation would be based on the net acreage that can be utilized rather
than the gross acreage of the parcel. Therefore the parcel is identified as a Special
Case so that each year the parcel’s proportional special benefit and assessment is
accurately addressed utilizing the property's net acreage rather than gross acreage.
Example 2: The use of a particular property and its proportional special benefit is not
in question, but there is some characteristic or issue regarding the property that should
be noted or reviewed in future years.
Example 3: The most common reason for identifying a parcel as a Special Case is
usually related to development. A property may be identified by the County as Vacant
land, but the property is either being developed or has already been developed.
Another example would be a property that would normally be identified as Vacant
Land, but is being treated as Exempt Property because due to current and temporary
development restrictions that will likely change in the future. In this case, this
designation serves as a prompt to review the status of that property each year, and if
and when the status of that property changes, the land use designation can be
appropriately changed.
Therefore the Equivalent Benefit Units assigned to Special Case Properties will vary
depending on the circumstances and reasons for treating each particular property as a Special
Case. The Equivalent Benefit Unit(s) assigned to each such parcel may be based on adjusted
acreage, units or a combination of those factors. The City and/or the assessment engineer
tasked with the administration of the District shall annually review each parcel designated as
a Special Case Property and based on that review shall make appropriate adjustments to that
property’s land use and Equivalent Benefit Unit assignment as warranted.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 16 of 24
The following is a summary of property types and the Equivalent Benefit Unit assignments
described in the preceding discussion of Equivalent Benefit Units.
Table 2:
Equivalent Benefit Unit Assignments
Land Use Benefit Unit Calculations
Single Family Residential Property 1.000 per unit
Multi-Family Residential & Mixed Use
Property
0.750 per unit (units 1-5)
0.625 per unit (units 6-25)
0.500 per unit (units 26-50)
0.375 per unit (units 51-100)
0.250 per unit (units greater than 100)
Condominium/Town-home Property 0.750 per unit
Developed Commercial/Industrial Property 4.000 per acre (minimum 1.000 EBU; maximum 40.000 EBU)
Developed Hotel/Motel Property 6.000 per acre (minimum 1.500 EBU; maximum 60.000 EBU)
Developed Institutional Property 2.000 per acre (minimum 0.500 EBU; maximum 20.000 EBU)
Developed Public Property 2.000 per acre (minimum 0.500 EBU; maximum 20.000 EBU)
Parking Lot/Limited Use Property 1.000 per acre (minimum 0.250 EBU; maximum 10.000 EBU)
Vacant Property 0.500 per acre (minimum 0.125 EBU; maximum 5.000 EBU)
Exempt Property 0.000 per parcel
Special Case Property varied based on circumstances associated with each parcel
Benefit Multiplier Factor
In addition to the initial assignment of EBUs based on a parcel’s land use, number of units, and
acreage, a Benefit Multiplier Factor is also employed to account for the varying density levels of
street lighting within the City, which ranges from a standard level of street lighting to no street
lighting in certain neighborhoods of the City. In addition, the use of a Benefit Multiplier Factor
ensures that the differentiation in lighting density is captured as part of the special benefit
findings for each parcel. A Benefit Multiplier Factor shall be applied to each parcel’s EBU
assignment to calculate the final net number of EBUs that will be used to determine the
Maximum Assessment Rate per Zone, and each parcel’s unique assessment. The following
provides a description of the three different Benefit Multiplier Factors of 1.0, 0.20, and 0.00:
Benefit Multiplier Factor = 1.0
Parcels within the District that receive direct special benefits from local street light
improvements that were installed in connection with the development of the parcel or would
otherwise have been required or necessary for the development or future development of
such property to its full and best use; and the overall proximity and spacing of local street
lighting in the area is consistent with the City’s typical density and spacing standards. Parcels
with a Benefit Multiplier Factor equal to 1.0 may include, but is not limited to:
2018/2019 Arcadia Citywide Lighting District No. 1 Page 17 of 24
Parcels that are within 200 feet of a street light.
Parcels that are part of a single-family residential subdivision (tract) in which the average
distances from a street light is less than 200 feet;
Parcels that are part of a residential subdivision other than a single-family residential
subdivision (i.e., condominium projects, apartments or other residential properties) in
which the street frontage for the development (common area lot or actual parcel) is within
200 feet of a street light.
Non-residential properties (parcels or overall developments) that are within 200 feet of a
street light on a street that is adjacent to, used, or could be used to access the property.
These properties include both developed and undeveloped properties.
Benefit Multiplier Factor = 0.20
Parcels within the District that receive direct special benefits from local street light
improvements that were installed in connection with the development of the parcel or were
installed specifically for the properties in that area, but the overall density of street lighting is
approximately 20% of the standard lighting density, when compared to the lighting density of
parcels with a benefit multiplier factor equal to 1.0. Therefore, the Benefit Multiplier Factor for
these parcels equals 0.20. Parcels with a Benefit Multiplier Factor equal to 0.20 may include,
but is not limited to:
Parcels that are part of a single-family residential subdivision (tract) in which the average
distances from a street light is greater than 200 feet, but there are street lights located
along the street that the parcel fronts or along adjacent streets within the development
(possibly lights on the perimeter of the development). (Note: parcels that are within such
subdivisions that may be directly adjacent to or in closer proximity to a specific street light
shall be assessed the same as other parcels in that subdivision);
Parcels that are part of a residential development other than a single-family residential
subdivision (i.e., condominium projects, apartments or similar residential properties) in
which the street frontage for the development (common area lot or actual parcel) is within
400 feet of a street light, but more than the 200 feet established for Zone 01.
Non-residential properties (parcels or overall developments) that are within 400 feet of a
street light on a street that is adjacent to, used, or could be used to access the property.
These properties include both developed and undeveloped properties.
Benefit Multiplier Factor = 0.00
Parcels within the District that have limited or no local street light improvements within their
immediate proximity shall have a Benefit Multiplier Factor equal to 0.00 applied to their EBU
assignment. Therefore, these properties shall not be assessed and, as part of the notice and
ballot proceedings being conducted in connection with the formation of the District, the ballots
for these properties shall reflect a zero ($0.00) assessment amount.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 18 of 24
C. ASSESSMENT RANGE FORMULA
Pursuant to the California Constitution Article XIIID, the imposition of any new or increased
assessment requires certain noticing and meeting requirements. However, Proposition 218
Omnibus Implementation Act states that an assessment is not considered an increased
assessment if the assessment does not exceed an assessment formula adopted by the City
in accordance with Article XIIID of the California Constitution.
As part of the District formation and establishment of annual assessments to fund the ongoing
operation, maintenance and servicing of those improvements within the District, an
Assessment Range Formula was developed. The purpose of establishing an Assessment
Range Formula is to provide for reasonable increases and inflationary adjustment that are
inevitably associated with providing such improvements and activities. The Assessment
Range Formula is defined by the following:
The “Maximum Rates” for this District shall be annually adjusted by an amount not to exceed
three percent (3%) to establish the new Maximum Assessment Rates authorized for the
District each fiscal year. (These new rates may be referred to as Adjusted Maximum
Assessment Rates).
Beginning in the District’s second fiscal year (fiscal year 2011/2012) and each fiscal year
thereafter, the Maximum Assessment Rates will be recalculated and new Adjusted Maximum
Assessment Rates will be established for the fiscal year utilizing the Assessment Range
Formula described above. The Adjusted Maximum Assessment Rates shall be calculated
independently of the District’s annual budget and proposed assessments. Any proposed
annual assessment (Rate per EBU) less than or equal to the Adjusted Maximum Assessment
Rate for each respective Zone shall not be considered an increased assessment.
To impose a new or increased assessment other than the annual inflationary adjustment
provided by the preceding Assessment Range Formula, the City must comply with the
provisions of the California Constitution Article XIIID Section 4c, that requires a public hearing
and certain protest procedures including mailed notice of the public hearing and property
owner protest balloting. Property owners, through the balloting process, must approve such a
new or increased assessment before that new or increased assessment may be imposed.
IV. DISTRICT BUDGET
A. BUDGET
The City’s street light maintenance budget identifies an estimate of anticipated annual
expenses associated with the ongoing operation, maintenance and servicing of street light
improvements that includes, but is not limited to maintenance of street lights and related
facilities, energy costs and incidental expenses. The City provided the estimated total annual
cost of street light maintenance for fiscal year 2018/2019, an inventory of arterial street lights,
and the maintenance costs attributable to arterial street lights. Table 3 provides the City’s
street light maintenance budget for fiscal year 2018/2019 and Table 4 provide a detailed
inventory of the arterial street lights within the City of Arcadia as well as the maintenance cost
associated with these arterial street lights.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 19 of 24
Table 3
City of Arcadia Street Light Maintenance Budget
Description FY 2018-19
Salaries & Wages $317,300
Supplies 21,700
Contract Services 150,000
Electric 635,700
Vehicle Maintenance 25,000
City Liability Insurance 18,400
City Administration Services 98,100
Total $1,266,200
Table 4
City of Arcadia Arterial Street Light Maintenance Budget
Arterial Street Number of
Edison Lights
Number of City
Lights FY 2018-19
Baldwin 177 107 $37,023.79
Colorado 20 6 3,389.50
Duarte 122 1 15,904.59
Foothill 76 17 12,123.99
Huntington 52 237 91,096.28
Las Tunas 46 62 23,640.90
Live Oak 10 37 14,814.97
Lower Azusa Rd 12 0 3,327.24
Michillinda 51 16 18,577.08
Peck 14 0 3,881.78
Santa Anita 271 15 36,893.43
Second 19 1 5,268.13
Sunset 40 16 15,527.12
Campus 5 32 16,126.40
Total 915 547 $297,595.20
The budget for the District outlines the overall estimated annual cost to provide the District
improvements per Zone, that portion of the costs that are considered to be general benefit
and special benefit for each Zone, and the additional funding support from the City to establish
the proposed initial maximum assessment rates to be applied to the various parcels within
each Zone.
The District only partially funds the operation, maintenance and servicing of lighting
improvements throughout the City that provide special benefits to properties within the City.
The Fiscal Year 2018-19 District budget is $1,266,200, of which $1,065,323 has been
determined to be of special benefit to properties within the District based on the assessment
methodology. However, the District is being established to fund only a portion of this amount
equal to $505,190. As a matter of policy, the City will contribute the remaining $560,133 from
2018/2019 Arcadia Citywide Lighting District No. 1 Page 20 of 24
the general fund and other revenue sources. Therefore, the City’s contribution will not only
reduce the assessments against the District’s affected parcels, but it will further ensure that
property owners are not assessed for more than their proportional special benefit.
Table 5
City of Arcadia Citywide Lighting District No. 1
Fiscal Year 2018-19 Budget
Total Budget Zone 1
Arterial Lights
Zone 2
Local Lights
Arterial Lights $297,595 $297,595 $0
Local Street Light Improvements 870,505 0 870,505
Annual Maintenance Budget $1,168,100 $297,595 $870,505
Administration 98,100 24,993 73,107
Total Expense (see table above for breakdown) $1,266,200 $322,588 $943,612
City Contribution for General Benefit (67.5% of Primary) (1) (200,877) (200,877) 0
Total Special Benefit Costs $1,065,323 $121,711 $943,612
City Contribution for Special Benefit Reduction (560,133) (37,338) (522,794)
BALANCE TO LEVY (2) $505,190 $84,373 $420,818
Total Parcels 16,794 2,513 14,281
Parcels Levied 14,845 2,454 12,391
Total EBU Levied 16,525.62 4,210.21 12,315.41
Maximum Rates $21.19 $36.03
Applied Rates $20.04 $34.17
(1) The general benefit contribution applies to Arterial Streetlights only.
(2) Balance to Levy differs from FY18/19 Assessment Roll due to rounding.
B. PARCEL ASSESSMENT CALCULATION
Pursuant to the provisions of the California Constitution, the proportionate special benefit
derived by each parcel within the District and its corresponding assessment obligation shall
be determined in relationship to the entirety of the capital cost of a public improvement or the
maintenance and operation expenses of a public improvement.
The following formulas are used to calculate each parcel’s Levy Amount (proportional
assessment obligation):
Step 1: Based collectively on the preceding discussion and findings, the estimated annual
cost to provide the various District improvements have been allocated to each Zone and
2018/2019 Arcadia Citywide Lighting District No. 1 Page 21 of 24
separated between general benefit and special benefit. Those improvement costs determined
to be of general benefit shall not be assessed to properties within each Zone of the District
and these costs are deducted from the total budget to establish the improvement costs
determined to be of special benefit.
Total Zone Budget – General Benefit Costs = Total Zone Special Benefit Costs
Step 2: The Total Zone Budget minus any additional contributions from the City or other
revenue sources establishes the “Balance to Levy” for that Zone. This Balance to Levy amount
is the proportionately allocated to each parcel within the Zone based on their calculated EBU.
Total Zone Budget – Additional City Contribution = Balance to Levy (Zone)
Step 3: Each parcel’s proportional special benefit is calculated based on the Equivalent
Benefit Unit rationale previously discussed:
Parcel’s Land Use Benefit x (Acreage or Units) x Benefit Multiplier Factor = Parcel’s EBU
Step 4: The total number of Equivalent Benefit Units for the District and each Zone therein
is determined by the sum of all individual EBU(s) applied to parcels that receive a special
benefit from the improvements. An assessment amount per EBU (Assessment Rate) for each
Zone is established by taking the Balance to Levy in that Zone, and dividing that amount by
the total number of EBU(s) for that Zone.
Balance to Levy/ Total EBU = Maximum Assessment Rate per EBU (per Zone)
Step 5: This Assessment Rate is then applied back to each parcel’s individual EBU to
determine the parcel’s proportionate benefit and assessment obligation.
Maximum Assessment Rate per EBU x Parcel’s EBU = Parcel’s Assessment
V. DISTRICT DIAGRAM
The parcels within the District consist of the lots, parcels and subdivisions of land within the City.
The District Diagram identifies the boundaries of the District and the Zones therein, and is based
on the Los Angeles County Assessor’s Maps, the Los Angeles County Assessor’s secured roll
information and the street lighting improvements that existed at the time this Report was prepared.
The combination of this Diagram and the Assessment Roll outlined in Part IV of this Report;
collectively constitute the District’s Assessment Diagram.
A copy of the District Diagram is provided on the following page. A full size copy of this diagram
is on file in the Office of Public Works Services Department, and by reference this diagram is
made part of this Report.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 22 of 24
ASSESSMENT DIAGRAM
CITY OF ARCADIA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA
2018/2019 Arcadia Citywide Lighting District No. 1 Page 23 of 24
VI. ASSESSMENT ROLL
Parcel identification for each lot or parcel within the District is based on the District Diagram
presented herein and available parcel maps and property data from the Los Angeles County
Assessor’s Office at the time this Report was prepared. A summary of the parcels to be assessed
within this District along with the associated assessment amounts are provided herein. The actual
assessment roll listing each of the parcels to be assessed within this District along with their
respective assessment amounts have been provided to the City Clerk under a separate cover
due to the voluminous number of properties to be assessed.
If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid
parcel number for the fiscal year, a corrected parcel number and/or new parcel numbers will be
identified and resubmitted to the County Auditor/Controller. The assessment amount to be levied
and collected for the resubmitted parcel or parcels shall be based on the method of apportionment
and assessment rates described in this Report as approved by the City Council rather than a
proportionate share of the original assessment.
The following is a summary of the land use classifications (parcels) and assessment amounts for
the District and each Zone within the District as established by the assessment rates and method
of apportionment previously described.
District-wide
LAND USE PARCELS LEVIED FY 2018/19 EBUs FY 2018/19 ASSESSMENT
COM 713 1,671.72 $40,406.25
CONDO 3,771 2,809.05 83,141.07
HOT 11 123.18 2,931.69
INS 59 138.75 3,492.13
MFR 859 3,607.63 104,015.77
MIX 9 18.38 389.44
PARKING 119 57.55 1,448.85
PUB (1) 11 12.08 387.35
SFR 9,255 8,069.40 268,471.42
SPC 4 3.46 71.31
VAC 34 14.42 435.19
GRAND TOTAL (2) 14,845 16,525.62 $505,190.47
(1) Includes SBE charges $318.32
(2) Balance to Levy differs from FY18/19 Assessment Roll due to rounding.
2018/2019 Arcadia Citywide Lighting District No. 1 Page 24 of 24
Zone 1
LAND USE PARCELS LEVIED FY 2018/19 EBUs FY 2018/19
ASSESSMENT
COM 404 1,183.05 $23,708.32
CONDO 1212 909.00 18,216.36
HOT 6 90.40 1,811.69
INS 34 88.40 1,771.52
MFR 190 1,362.85 27,311.81
MIX 8 16.88 338.18
PARKING 61 36.64 734.21
PUB (1) 1 1.80 36.07
SFR 521 513.80 10,296.57
SPC 3 3.31 66.33
VAC 14 4.08 81.87
GRAND TOTAL (2) 2,454 4,210.21 $84,372.93
(1) Includes SBE charge of $36.07
(2) Balance to Levy differs from FY18/19 Assessment Roll due to rounding.
Zone 2
LAND USE PARCELS LEVIED FY 2018/19 EBUs FY 2018/19
ASSESSMENT
COM 309 488.67 $16,697.93
CONDO 2,559 1,900.05 64,924.71
HOT 5 32.78 1,120.00
INS 25 50.35 1,720.61
MFR 669 2,244.78 76,703.96
MIX 1 1.50 51.26
PARKING 58 20.91 714.64
PUB (1) 10 10.28 351.27
SFR 8,734 7,555.60 258,174.85
SPC 1 0.15 4.98
VAC 20 10.34 353.32
GRAND TOTAL (2) 12,391 12,315.41 $420,817.53
(1) Includes SBE charges of $282.25
(2) Balance to Levy differs from FY18/19 Assessment Roll due to rounding.