City of Culver City, California
City Council Agenda Item Report
RECOMMENDATION:
Staff recommends the City Council adopt a resolution initiating proceedings for a
proposed increase of assessments within Higuera Street Landscaping and Lighting
Maintenance District, the levy of annual assessments therein, and ordering the
preparation of an assessment engineer’s report. Staff also recommends the City
Council approve a professional services agreement with NBS Government Finance
Group dba NBS to prepare the engineer’s report for the proposed increase to the
annual assessment levies for Higuera Landscape and Lighting Assessment District
for Fiscal Year 2009/10, in an amount not to exceed $7,000;
A Budget Amendment requires a four-fifths vote
BACKGROUND/DISCUSSION:
The Higuera Street landscaping and street lighting improvements were installed in
1995 at the request of the property owners. The assessment area was formed and
the boundary includes properties on both sides of Higuera Street between Lindblade
and Hayden Avenues. Each of the properties directly or indirectly benefits from the
public improvements maintained by the District.
On May 4, 2009, staff will be recommending to the City Council to approve the
Engineer’s report, declare its intention to increase the annual assessment levy by a
Meeting Date: 04/20/2009 Item Number: A-6
AGENDA ITEM: FOUR-FIFTHS VOTE REQUIREMENT: Adoption of a Resolution
initiating Proceedings for a Proposed increase of Assessments within Higuera
Street Landscaping and Lighting Maintenance District, the Levy of Annual
Assessments Therein and Ordering the Preparation of an Assessment Engineer's
Report, and (2) Approval of a Professional Services Agreement with NBS
Government Finance Group (dba NBS) for the Preparation of the Annual
Assessment Engineer’s Report, and (3) Approval of a Related Budget Amendment
Contact Person/Dept.: Mate Gaspar/PW Phone Number: (310) 253-5602
Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [] Attachments: []
Public Notification: Master E-Mail Notification (04/15/09)
Department Approval:
Charles D. Herbertson (04/09/09)
City Attorney Approval:
Carol Schwab (by H. Baker) (04/16/09)
Chief Financial Officer Review:
Jeff Muir (by N. Kimball) (04/15/09)
City Manager Approval:
Jerry B. Fulwood (04/16/09) City of Culver City, California
City Council Agenda Item Report
majority ballot process by the property owners within the District per Proposition 218
requirements, and setting the date, time and place for the Public Hearing.
This year, based on a preliminary evaluation, staff is considering proposing the
assessment district be modified to provide for an automatic annual increase based
on the Consumer Price Index (CPI) plus 2%. If approved by the property owners in
the District, the annual CPI increase would be applied with an additional 2%
premium each year until the total revenues generated from the District match the
annual expenditures and the funds have a positive balance.
As stated earlier, the assessment process is much more difficult and time consuming
when increases are proposed. In order to complete the Engineer’s Report by the
deadline for inclusion in the upcoming 2009/10 tax rolls, it is recommended that the
preparation of the engineer’s report and other related assessment services be
conducted by a professional consulting firm.
NBS is a consulting firm that specializes in the processing of the annual assessment
levies to assessment districts for many agencies in the region. Recently, the
Redevelopment Agency contracted with NBS to prepare a proposed landscape
assessment district on Washington Boulevard near Meier Street.
NBS is proposing to conduct their professional services for an amount not-to-exceed
$7,000.
FISCAL ANALYSIS:
It should be the goal of an Assessment District, including the Higuera Street
Landscaping and Lighting Maintenance District, to be 100 percent self-supporting for
all expenditures (thereby eliminating the need for subsidy from other funds, including
the General Fund). Property owners within the District are charged their fair share of
these costs, as will be described in the Engineer’s Report. If the increase to the
assessment is not approved by the property owners within the district, then services
will be decreased accordingly to stay within the existing assessment amount, or the
City Council may determine to supplement the District with General Funds.
However, given the current economic situation, staff cannot recommend such a
subsidy at this time should one be necessary.
Culver City Municipal Code Section 15.01.045 states that incidental expenses
incurred in conjunction with assessment districts include the cost of preparation of
the engineer’s reports, assessment, printing, advertising, posting, and mailed
notices. There is funding available in Fund 425 – Landscape Maintenance District to
accommodate the professional services agreement with NBS. This funding includes City of Culver City, California
City Council Agenda Item Report
receipts from the respective assessment district annual levies, and therefore would
be appropriate to use for this purpose.
ATTACHMENT:
1. Resolution
MOTIONS:
1. Staff recommends the City Council adopt a resolution initiating proceedings for a
proposed increase of assessments within Higuera Landscape and Lighting
Assessment District, the levy of annual assessments therein, and ordering the
preparation of an assessment Engineer’s report;
2. Approve a professional services agreement with NBS Government Finance
Group dba NBS to prepare the engineer’s reports for the proposed increases to
the annual assessment levies for Higuera Landscape and Lighting Assessment
District for Fiscal Year 2009/10, in an amount not to exceed $7,000;
3. Authorize the City Attorney to review/prepare the necessary documents;
4. Authorize the City Manager to execute such documents on behalf of the City; and
5. Approve a budget amendment to appropriate funds in the amount of $7,000 from
Fund 425 Landscape Maintenance Assessment Districts reserve to object
account 42533100.612800 – Engineering Services (requires four-fifths vote).
4/20/09
Adopt a Resolution Initiating Proceedings for a
Proposed Increase of Assessments within Hiquera
Street Landscaping and Lighting Maintenance
District, the Levy of Annual Assessments therein
and Ordering the Preparation of an Assessment
Engineer's Report
MEETING DATE:
AGENDA ITEM:
ATTACHMENTS
Pages|109| Resolution 1-12RESOLUTION NO. 2009-R
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CULVER CITY, CALIFORNIA, INITIATING PROCEEDINGS FOR
A PROPOSED INCREASE OF ASSESSMENTS WITHIN THE
HIGUERA LANDSCAPE AND LIGHTING MAINTENANCE
ASSESSMENT DISTRICT, THE LEVY OF ANNUAL
ASSESSMENTS THEREIN AND ORDERING THE
PREPARATION OF AN ASSESSMENT ENGINEER'S REPORT.
WHEREAS, the City Council of the City of Culver City has by previous
Resolutions formed and levied annual assessments for the
Higuera Landscape and Lighting Maintenance Assessment District (the "District"), pursuant to
provisions of Chapter 15.01 of the Culver City Municipal Code ("CCMC"), that provides for the
levy and collection of assessments by the County of Los Angeles for the City of Culver City to
pay for the maintenance and services of all improvements and facilities related hereto; and,
WHEREAS, the City Council desires to increase assessments within the District;
and, has determined that all parcels within the District receive special benefit from the
improvements; and,
WHEREAS, the City Council has retained the consulting firm of NBS for the
purpose of assisting with the proposed increase in assessments and preparing an Assessment
Engineer's Report relating to proposed assessment increases within the District, which will take
effect for Fiscal Year 2009/10 (the "Engineer's Report"), to be filed with the City Clerk, in
accordance with CCMC Section 15.01.055.
NOW, THEREFORE, the City Council of the City of Culver City, DOES HEREBY
RESOLVE as follows:
1. The City Council hereby proposes to increase assessments within the
District to pay for increased costs to service and maintain the existing improvements with the
District_
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28D. SCOTT MALSIN, MAYOR
City of Culver City, California
ATTEST:
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MARTIN R. COLE, City Clerk CA1Rt5L A. SCHWAB, 'City Attorney
2. The City Council hereby orders the preparation of the Engineer's Report
in accordance with the requirements of the CCMC Section 15.01.055, to be filed with the City
Clerk for submission to the City Council. The Engineer's Report shall be prepared by NBS and
approved by the City Engineer, prior to filing with the City Clerk.
APPROVED AND ADOPTED this day of 2009.
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