City of Culver City, California
Agenda Item Report
Date: 07/23/12 Item Number: PH-5
CITY COUNCIL AGENDA ITEM: PUBLIC HEARING - Adoption of a Resolution
Confirming the Assessment and Ordering the Levy for the Higuera Street
Landscape and Lighting Assessment District - Fiscal Year 2012/2013 (Note: Staff
Recommendation is to Continue this Public Hearing to August 6, 2012)
Contact Person/Dept.: Mate Gaspar/DPW Phone Number: (310) 253-5602
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [X] Action Item: [] Attachments: []
Commission Action Required: Yes [] No [X] Date: _______________
Public Notification: (E-Mail) Agenda and Meetings – City Council (07/20/12)
Property owners were mailed a courtesy notice on (07/18/12).
Department Approval:
Charles D. Herbertson (07/11/12)
City Attorney Approval:
Carol Schwab (by H. Baker) (07/17/12)
Chief Financial Officer Approval:
Jeff Muir (07/19/12)
City Manager Approval:
John M. Nachbar (07/20/12)
RECOMMENDATION:
Staff recommends the City Council take no action and continue this public hearing to
August 6, 2012.
PROCEDURE:
1. Staff recommends the City Council continue this public hearing to August 6, 2012
2. Mayor seeks motion from City Council to receive and file the affidavits of
publication and posting of notices and correspondence received in response to
the public hearing notices; and,
3. Mayor calls for a staff report and the City Council Members may pose questions
to staff as desired; and,
4. Mayor seeks a motion to open the public hearing; and
5. Mayor seeks a motion to close the public hearing after all public testimony has
been presented; and,
6. City Council discusses the item and arrives at its decision.
BACKGROUND:
The Higuera Street landscaping and street lighting improvements were installed in
1995 at the request of the property owners. The assessment district was formed
and the boundary includes properties on both sides of Higuera Street between
Lindblade Avenue and Hayden Avenue. Each of the properties directly or indirectly
benefits from the public improvements maintained in the District. City of Culver City, California
Agenda Item Report
In December 2009, following two failed attempts to increase the assessment, the
City Council approved the reduction of maintenance from 4 times a month to 2
times a month, removal of lantanas around the street trees, and reduction of
landscape irrigation by 30%, in order for the District expenditures to match the
District revenues.
On July 2, 2012, the City Council approved the Engineer’s Report, declared its
intention to order the assessment levy and collection of assessments, and set the
date, time and place for this public hearing, for Higuera Street Landscape and
Lighting Assessment District.
Unfortunately, due to a communications error, the required published notice for this
evening’s public hearing was not completed in a timely manner. Therefore, staff
recommends the City Council take no action on this item this evening and continue
this item to August 6, 2012.
DISCUSSION:
The total proposed fiscal year assessment levy for the District is $19,402.24. The
total proposed expenditure is $20,607.00. The charge per linear frontage footage
per parcel is $4.35. The purchase of three new irrigation controllers in fiscal year
2009/2010 is being amortized over a five year period and as a result the District will
have a projected operating deficit of $1,204.76. Nevertheless, staff is not
recommending seeking an increase to the assessment levy for Fiscal Year
2012/2013 and that the existing assessment levy be affirmed.
Taking into account the current revenue and expenditures for the District minus the
amortization costs of the new controllers, the District would have a positive fund
balance. Therefore, after the five year amortization period is completed, the fund’s
negative fund balance will be reduced each year by an annual surplus until the
balance is positive. Staff will continue to monitor the rate of expenditure growth and
recommend additional cutbacks to services to the District when deemed necessary.
Pursuant to Section 15.01.070.H of the Culver City Municipal Code (CCMC), any
interested persons may file a written protest with the City Clerk (or withdrawal a
previously filed protest) prior to the conclusion of the Public Hearing.
Should a majority protest exist against the increased levy of an annual assessment,
the City Council cannot impose the increase to the annual assessment. However,
pursuant to CCMC Section 15.01.070 (J and K), the City Council may choose to
order changes in any of the matters provided in the report, including changes in the
improvements or services, or both, any zones within the district, and the proposed
diagram or proposed assessment, or it may choose to adopt a resolution confirming
the diagram and assessment, either as originally proposed or as changed by it, so City of Culver City, California
Agenda Item Report
long as the changes do not result in an increase of the rates above the voter
approved maximum rates adjusted by an inflationary formula, if any. Adoption of
such resolution constitutes the assessment levy for Fiscal Year 2012/2013. The
City Council may also choose to dissolve the District pursuant to CCMC Section
15.01.065.A.3 or pay for the assessment with the City’s General Fund.
FISCAL ANALYSIS:
The Higuera Street Landscaping and Lighting Assessment District budget is 100
percent self-supporting for all expenditures. Property owners within the District are
charged for their fair share of these costs, as described in the Engineer’s Report.
ATTACHMENT:
None.
MOTION:
That the City Council:
Take no action and continue this item to August 6, 2012.