HomeMy WebLinkAboutCC AG PKT 2015-05-26 #G AGENDA STAFF REPORT
DATE: May 26, 2015
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Victoria L. Beatley, Director of Finance/City Treasurer
SUBJECT: STREET LIGHTING ASSESSMENT DISTRICT
SUMMARY OF REQUEST:
That the City Council adopt the attached resolutions 1) initiating the annual levy
of the street lighting assessment, 2) setting the date for the public hearing for
June 22, 2015, and 3) approving the Engineer's Report. No increase in
assessments are projected for Fiscal Year 2015-2016.
BACKGROUND AND ANALYSIS:
Similar to previous years, the City contracted with Willdan Financial Services to
develop a proposal to initiate an annual levy of assessments for the Street
Lighting Assessment District for Fiscal Year 2015-2016. Under the provisions of
the "Landscaping and Lighting Act of 1972," (Part 2 of Division 15 of the Streets
and Highways Code of the State of California), the three resolutions included on
this agenda are required to initiate the levy process and must be passed in order
to schedule the date for Public Hearing. The Engineer's Report (prepared by
Willdan Financial Services) includes: 1) the plans and specifications for the
lighting improvements, 2) an estimate of the cost for the improvements, 3) a
diagram of the assessment district, and 4) an assessment of the estimated cost
of the improvements.
Upon conclusion of the public hearing, Council may adopt a resolution confirming
the diagram and assessment either as originally proposed or as modified by
Council. The adoption of the resolution shall constitute the levy of an
assessment for the fiscal year referred to in the assessment.
The assessment for each parcel of property in the district is based upon the
benefit derived from street lighting. Total estimated costs for providing street
lighting for 2015-2016 are $194,000, which includes utility costs of $184,500 and
assessment engineer costs of $9,500. The Reserve Fund is estimated to be $0
as of June 30, 2015.
Agenda Item G
In order to cover the estimated Fiscal Year 2015-2016 expenditures of $194,000,
total revenues required are $143,507 in assessments plus a General Fund
contribution of $50,493.
A comparison of the last two years' assessments to the proposed 2015-2016
assessment for certain parcels is summarized in the following table:
2013/14 2014/15 2015/16
Zone 1 Single family homes in College
Park East &West, the Hill & Cove Areas $21.86 $21.86 $21.86
Zone 2 Single family homes in Old Town $11.26 $11.26 $11.26
Zone 3 Leisure World Condominiums $ 1.21 $ 1.21 $ 1.21
Zone 4 Surfside $ 4.15 $ 4.15 $ 4.15
Exhibit B of the Engineer's Report gives additional examples of assessment
amounts by land use and zone for Fiscal Year 2015-2016. (A copy Exhibit B of
the Engineer's Report is not included with the Resolutions due to the large size of
the document; however, a copy is available for review upon request or in the City
Clerk's office.)
If the resolutions initiating the proceedings, setting the public hearing, and
approving the Engineer's Report are adopted, the following schedule of events
must occur in order to establish the assessments for Fiscal Year 2015-2016:
DATES
May 26 City Council adopts resolutions initiating proceedings,
approving Engineer's Report, and setting the date for public
hearing on June 22, 2015.
June 22 Hold public hearing, consider protests, and adopt resolution
confirming diagram and assessment.
August 10 File assessment with County Auditor,
August 25 Make necessary corrections to assessment roll for County
Assessor.
ENVIRONMENTAL IMPACT:
There is no environmental impact related to this item.
Page 2
LEGAL ANALYSIS:
No legal analysis is required for this item.
FINANCIAL IMPACT:
The General Fund will need to make a contribution to the Street Lighting Fund
estimated to be $50,300. In the proposed budget for Fiscal Year 2015-2016,
approved by the Director of Finance, a transfer into the Street Lighting Fund of
$50,300 has been budgeted and should be adequate to bridge the gap between
revenues generated by Street Lighting District No. 1 and expenditures expected
to be paid.
RECOMMENDATION:
That the City Council adopt the attached resolutions 1) initiating the annual levy
of the street lighting assessment, 2) setting the date for the public hearing for
June 22, 2015, and 3) approving the Engineer's Report.
n,
SUBMITTED " NOTED AND APPROVED:
Victoria L. Beatley Jill Ingram, City a ager
Director of Finance/City Treasurer ._.
Attachments:
A. Resolution No. 6559 Initiating Assessment Proceedings
B. Resolution No. 6560 Declaring Intention to Assess and set Public Hearing date
C. Resolution No. 6561 Approving Engineer's Report
D. Engineer's Report
Page 3
RESOLUTION NUMBER 6559
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
INITIATING PROCEEDINGS FOR THE ANNUAL LEVY AND
COLLECTION OF ASSESSMENTS WITHIN, AND ORDERING
THE PREPARATION OF AN ENGINEER'S REPORT FOR
STREET LIGHTING DISTRICT NO. 1
WHEREAS, the Seal Beach City Council has previously formed an assessment
district known and designated as STREET LIGHTING DISTRICT NO. 1
(hereinafter referred to as the "District") pursuant to the terms of the
"Landscaping and Lighting Act of 1972," being Division 15, Part 2 of the Streets
and Highways Code of the State of California, commencing with Section 22500
(the"Act"); and
WHEREAS, a map of the exterior boundaries of the District is on file in the Office
of the Seal Beach City Clerk and available for public review during normal
business hours; and
WHEREAS, at this time the City Council is desirous to initiate proceedings to
provide for the annual levy and collection of assessments for Fiscal Year 2015-
2016 to provide for the annual costs of maintenance and servicing of street
lighting within the District.
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:
Section 1. That the above recitals are all true and correct.
Section 2. That the public interest and convenience requires, and the City
Council hereby initiates proceedings for, the annual levy and collection of special
assessments for payment of the annual maintenance and servicing of street
lights within the District, including, but not limited to, the repair, removal or
replacement of such street lights. No new improvements or substantial changes
in existing improvements are proposed as a part of these proceedings.
Section 3. That the improvements are hereby referred to WILLDAN
FINANCIAL SERVICES, who is hereby directed to prepare and file an Engineer's
Report in accordance with Article 4 of Chapter 1 of the Act, and generally
containing the following:
X Plans and specifications describing the general nature, location
and extent of the improvements;
B. An estimate of the costs of the improvements for the District for the
Fiscal Year 2015-2016, including all of the following:
1. the total cost of the improvements, including all incidental
expenses;
2. the amount of any surplus or deficit in the Improvement
Fund for the District to be carried over from the 2015-16
fiscal year; and
3. the amount of any contributions to be made from sources
other than the assessments levied pursuant to the Act; and
C. A diagram of the District, showing the exterior boundaries of the
District,the area, boundaries, lines and dimensions of all properties
proposed to be assessed, with reference to the County Assessor's
Maps for the 2015-16 fiscal year; and
Resolution Number 6559
D. An assessment of the net total estimated costs of the
improvements stating the net amount to be assessed, describing
each assessable lot and parcel within the District by number or
letter, and assessing the net amount upon assessable lots and
parcels within the District in proportion to the benefits received.
E. A description of any publicly-owned property within the boundaries
of the District that is to be excluded from the assessment made
under these proceedings.
Upon completion of the preparation of said Report, the original shall be filed with
the City Clerk, who shall then submit the same to this legislative body for its
immediate review and consideration and make the same available for public
review.
Section 4. That the above Report shall include all costs and maintenance
expenses of said maintenance and servicing relating to the Fiscal Year
commencing July 1, 2015 and ending June 30, 2016.
PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a
regular meeting held on the 26th day of May, 2015 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH
I, Tina Knapp, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number 6559 on file in the
office of the City Clerk, passed, approved, and adopted by the City Council at a
regular meeting held on 26th day of May, 2015.
City Clerk
RESOLUTION NUMBER 6560
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
DECLARING ITS INTENTION TO PROVIDE FOR THE ANNUAL
LEVY AND COLLECTION OF ASSESSMENTS WITHIN STREET
LIGHTING DISTRICT NO. 1, AND SETTING A TIME AND PLACE
FOR PUBLIC HEARING THEREON
WHEREAS, the Seal Beach City Council, has previously formed an assessment
district known as STREET LIGHTING DISTRICT NO. 1 (hereinafter referred to
as the "District"), generally located within the entire City of Seal Beach, pursuant
to the terms of the "Landscaping and Lighting Act of 1972," being Division 15,
Part 2 of the Streets and Highways Code of the State of California, commencing
with Section 22500(the"Act"); and
WHEREAS, at this time the City Council is desirous to take proceedings to
provide for the annual levy and collection of assessments for Fiscal Year 2015-
2016 to provide for costs and expenses necessary to pay for the maintenance
and servicing of street lights within said District; and
WHEREAS, there has been presented and approved by this City Council an
Engineer's Report, as required by law, and this City Council is desirous of
continuing with the proceedings for said annual levy.
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE;
Section 1. That the above recitals are all true and correct.
Section 2. That the public interest and convenience requires, and it is the
intention of this legislative body to undertake proceedings for the annual levy and
collection of assessments to pay the cost and expenses for the maintenance and
servicing of improvements with the above-referenced District, for the Fiscal Year
commencing July 1, 2015 and ending June 30, 2016, and said improvements
generally being described as the maintenance and servicing of street lights within
the City, including, but not limited to, the repair, removal or replacement of such
street lights. No new improvements or any substantial changes in existing
improvements are proposed as part of these proceedings.
Section 3. That said improvements are of direct benefit to the properties within
the boundaries of said District, which District the legislative body previously
declared to be the area benefited by said improvements, and for particulars,
reference is made to the boundary map as previously approved by this legislative
body, a copy of which is on file in the office of the City Clerk and open for public
inspection, and is designated by the name of the District.
Section 4. That the Engineer's Report, prepared and filed by Willdan Financial
Services, as preliminarily approved by this legislative body, is on file with the City
Clerk and open for public inspection. Reference is made to said Report for a full
and detailed description of the improvements, the boundaries of the District and
any zones therein, and the proposed assessments upon assessable lots and
parcels of land within the District.
Section 5. That public property owned by any public agency and in use in the
performance of a public function that is included within the boundaries of the
District shall not be subject to assessment under these proceedings to pay for
any of the costs and expenses of said improvements.
Section 6. NOTICE IS HEREBY GIVEN THAT MONDAY, THE 22ND OF
JUNE 2015, AT THE HOUR OF 7:00 P.M., IN THE REGULAR MEETING
PLACE OF THE CITY COUNCIL, BEING THE COUNCIL CHAMBERS, CITY
HALL, IS THE TIME AND PLACE FIXED BY THIS LEGISLATIVE BODY FOR
HEARING PROTESTS OR OBJECTIONS IN REFERENCE TO THE ANNUAL
Resolution Number 6560
LEVY OF ASSESSMENTS AND TO ANY OTHER MATTERS CONTAINED IN
THIS RESOLUTION. ANY PERSONS WHO WISH TO OBJECT TO THE
PROCEEDINGS OR THE ANNUAL LEVY SHOULD FILE A WRITTEN
PROTEST WITH THE CITY CLERK PRIOR TO THE CONCLUSION OF THE
PUBLIC HEARING. A WRITTEN PROTEST SHALL STATE ALL GROUNDS
OF OBJECTION. A PROTEST BY A PROPERTY OWNER SHALL CONTAIN A
DESCRIPTION SUFFICIENT TO IDENTIFY THE PROPERTY OWNED BY THE
SIGNER THEREOF. THE CITY COUNCIL SHALL CONSIDER ALL ORAL
STATEMENTS AND ALL WRITTEN PROTESTS MADE OR FILED BY ANY
INTERESTED PERSON.
Section 7. That the assessments to be levied and collected against the
assessable lots and parcels of property within the District for Fiscal Year 2015-
2016 are not proposed to increase from the assessments levied and collected for
Fiscal Year 2014-2015.
Section 8. That the City Clerk is hereby authorized and directed to give notice
as required by law by causing a copy of this Resolution to be published in a
newspaper of general circulation within said City; said publication to be
completed not less than ten (10)days prior to the date set for the public hearing.
Section 9. For any and all information relating to these proceedings, including
information relating to protest procedures, your attention is directed to the person
designated below: Victoria L. Beatley — Director of Finance; City of Seal
Beach — 211 8th Street — Seal Beach, CA 90740; (562) 431-2527 Ext. 1311 or
email: vbeatley(&sealbeachca.gov.
PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a
regular meeting held on the 26th day of May, 2015 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Tina Knapp, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number on file in
the office of the City Clerk, passed, approved, and adopted by the City Council at
a regular meeting held on the 26th day of May, 2015.
City Clerk
RESOLUTION NUMBER 6561
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
APPROVING THE ENGINEER'S REPORT IN CONNECTION
WITH THE ANNUAL LEVY AND COLLECTION OF
ASSESSMENTS WITHIN STREET LIGHTING DISTRICT NO. 1
WHEREAS, the Seal Beach City Council, pursuant to the terms of the
"Landscaping and Lighting Act of 1972," being Division 15, Part 2 of the Streets
and Highways Code of the State of California, commencing with Section 22500
(the "Act") did, by previous resolution, initiate proceedings and order the
preparation of an Engineer's Report for the annual levy and collection of
assessments within an assessment district known and designated as STREET
LIGHTING DISTRICT NO. 1 (hereinafter referred to as the"District"); and
WHEREAS, there has now been presented to this City Council a Report entitled
"Engineer's Report, Annual Levy of Assessment, Street Lighting District No. 1,
Fiscal Year 2015-2016," as required by said Division 15, Part 2 of the Streets
and Highways Code and as previously directed by Resolution; and
WHEREAS, this City Council has now carefully examined and reviewed the
Report as presented, and is satisfied with each and all of the items and
documents as set forth therein, and is satisfied that the assessments have been
allocated in accordance with the benefits received from the proposed
improvements, as set forth in said Report.
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:
Section 1. That the above recitals are all true and correct.
Section 2. That the Report as presented, consists of the following:
A. Plans and specifications describing the general nature, location and
extent of the improvements;
B. An estimate of the costs of the improvements for the District for Fiscal
Year 2015-2016;
C. A diagram for the District, showing the area and properties proposed
to be assessed; and,
D. An assessment of the estimated costs of the improvements stating the
net amount to be assessed, describing each assessable lot and parcel
within the District, and assessing the net amount upon all assessable
lots and parcels within the District in proportion to benefits received.
That said Report is hereby approved as filed, and is ordered to be filed in the
Office of the City Clerk as a permanent record and to remain open to public
inspection.
Section 3. That the City Clerk shall certify to the passage and adoption of this
Resolution, and the minutes of this meeting shall so reflect the presentation of
said Report.
Resolution Number 6561
PASSED, APPROVED, and ADOPTED by the Seal Beach City Council at a
regular meeting held on the 26th day of hlay, 2015 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Tina Knapp, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number 6561 on file in the
office of the City Clerk, passed, approved, and adopted by the City Council at a
regular meeting held on 26th day of May, 2015.
City Clerk
City of Seal Beach
Street Lighting District No. 1
2015-2016 ENGINEER'S ANNUAL LEVY REPORT
INTENT MEETING: MAY 26, 2015
PUBLIC HEARING: JUNE 22, 2015
y
q. WWILLDAN
Financial Srvices
TABLE OF CONTENTS
/. INTRODUCTION........................................................................................1
A PROPOSITION 218 ........ ........ ................. ............... ........ ................2
///. BOUNDARIES OF DISTRICT....................................................................3
/V. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT...............................4
V. PLANS AND SPECIFICATIONS................................................................6
V/. FINANCIAL ANALYSIS.............................................................................7
V//. METHOD OF APPORTIONMENT OF ASSESSMENT..............................8
V///. ASSESSMENT DIAGRAM AND ROLL................ ...................,,................16
EXHIBITA ...........................................................................................................17
EXHIBITB ..........................................................................................................18
,O/WILI-DAN
Fimrorurt6al Services
INTRODUCTION
Pursuant to the order of the City Council of the City of Seal Beach and in compliance
with the requirements of Article 4 of Chapter 1 of the "Landscaping and Lighting Act of
1972" (herein after referred to as the "1972 Act "), being Part 2 of Division 15, Sections
22500 through 22679 of the Streets and Highways Code of the State of California, this
Report presents the engineering analysis for Fiscal Year 2015-2016 of the district
(hereinafter referred to as the "District") known as:
Street Lighting District No. 1
City of Seal Beach
Assessments for this District are being levied for the following
1, The maintenance and servicing of local street lights in close proximity to
certain lots and parcels which provide a direct special benefit to such
lots or parcels.
2. The maintenance and servicing of arterial street lights which provide a
special benefit to the assessable parcels within the District whether or
not such parcels are in close proximity to such lights.
The 1972 Act, in Section 22573, states that 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."
Details of the formula being used to spread the assessments throughout this District are
found under the heading "Method of Apportionment of Assessment".
2015/2016 City of Seal Beach Street Lighting District No, 1 Page 1 of 18
io/WILLDAN
Ftnmew semces
PROPOSITION
In November 1996 voters of the State of California passed Proposition 218 which added
Article MID to the California Constitution requiring new procedures for assessment
districts. Article MID requires that assessments comply with stated provisions by July
1, 1997, unless an assessment district meets certain exemptions. The exemptions from
the procedural and approval requirements are set forth in Section 5 of the Article and
include the following:
"(a) Any assessment imposed exclusively to finance the capital costs
or maintenance and operation expenses for sidewalks, streets,
sewers, water, flood control, drainage systems or vector control."
The City of Seal Beach Street Lighting District No. 1 qualifies as an existing assessment
with the District funding items that are considered exempt under provision (a) quoted
above, specifically street and sidewalk improvements. Using the definitions provided by
the Office of the Controller for the State of California in the Guidelines Relating to Gas
Tax Expenditures published by the Division of Local Government Fiscal Affairs, street
improvements include street lighting.
It is the Assessment Engineer's understanding that the City has determined that the
highest assessment rates used to calculate the annual assessments in years prior to
the approval of Proposition 218 established the maximum assessment rates.
Therefore, so long as the assessment rates do not exceed the maximum rates
established prior to the passage of Proposition 218, assessment balloting is not
required.
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 2 of 18
LLDAN
L1ry:rru�;i�l S�rc�s
//Z BOUNDARIES OF DISTRICT
The boundaries of the City of Seal Beach Street Lighting District No. 1 are coterminous
with the city limits of the City of Seal Beach and are shown on the map entitled
Assessment Diagram, City of Seal Beach Street Lighting District No. 1. The map of the
District is on file in the office of the City Clerk of the City of Seal Beach, and is available
for review and public inspection and by reference is made part of the report.
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 3 of 18
,O/W111DAN
Finonvial Services
IV. IMPROVEMENTS AUTHORIZED
As applicable or may be applicable to this proposed District, the 1972 Act defines
improvements to mean one or any combination of the following:
• The installation or planting of landscaping.
• The installation or construction of statuary, fountains, and other ornamental
structures and facilities.
• The installation or construction of public lighting facilities,:
• The installation or construction of any facilities which are appurtenant to any
of the foregoing or which are necessary or convenient for the maintenance or
servicing thereof, including, but not limited to, grading, clearing, removal of
debris, the installation or construction of curbs, gutters, walls, sidewalks, or
paving, or water, irrigation, drainage, or electrical facilities.
• The maintenance or servicing, or both, of any of the foregoing.
• The acquisition of any existing improvement otherwise authorized pursuant to
this section.
Incidental expenses associated with the improvements including, but not limited to:
• The cost of preparation of the report, including plans, specifications,
estimates, diagram, and assessment;
• The costs of printing, advertising, and the publishing, posting and mailing of
notices;
• Compensation payable to the County for collection of assessments;
• Compensation of any engineer or attorney employed to render services;
• Any other expenses incidental to the construction, installation, or
maintenance and servicing of the improvements;
• Any expenses incidental to the issuance of bonds or notes pursuant to
Section 22662.5.
• Costs associated with any elections held for the approval of a new or
increased assessment.
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 4 of 18
A(WILLDAN
Financial Sena ms
The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and
materials for the ordinary and usual maintenance, operation, and servicing of any
improvement, including:
• Repair, removal, or replacement of all or any part of any improvement.
• Providing for the life, growth, health, and beauty of landscaping, including
cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or
injury.
• The removal of trimmings, rubbish, debris, and other solid waste.
• The cleaning, sandblasting, and painting of walls and other improvements to
remove or cover graffiti.
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 5 of 18
I LLDAN I
Pinkie,sere
V PLANS AND SPECIFICATIONS
The improvements include the maintenance and servicing of the public street lighting
system within the City of Seal Beach. The City maintains Street Light Inventory Maps
that show and describe the general nature, location, and extent of the street lights.
These maps are on file in the office of the City Clerk where they are available for
inspection and are incorporated herein by reference.
Maintenance includes, but is not limited to, the removal, repair, or replacement of light
standards, poles, bulbs, fixtures, appurtenances, supplies, etc. Servicing includes the
furnishing of all electrical energy to the street lights.
The local street lighting improvements to be maintained and serviced in Zones 1 and 2
of this District include the residential portion of the Edison-owned street lights within the
boundaries of these zones. Zones 3 and 4 of this District have no local street lighting
improvements to be maintained. The local street lighting improvements to be
maintained and serviced in Zone 5 of this District include the non-residential portion of
the Edison-owned street lights within the boundaries of this zone.
The arterial street lighting improvements to be maintained and serviced by this District
include Edison and City-owned street lights on the following streets and highways:
• Beverly Manor Road - West of Seal Beach Boulevard
• Bolsa Avenue - Pacific Coast Highway to Seal Beach Boulevard
• Electric Avenue - Marina Drive to Seal Beach Boulevard
• First Street - Pacific Coast Highway to Ocean Avenue
• Lampson Avenue - Seal Beach Boulevard to East City Limit
• Main Street - Pacific Coast Highway to Ocean Avenue
• Marina Drive - West City Limit to Pacific Coast Highway
• Ocean Avenue - First Street to Seal Beach Boulevard
• Old Ranch Parkway - Seal Beach Boulevard to the 22 Freeway
• Pacific Coast Highway - West City Limit to East City Limit
• Seal Beach Boulevard - North City Limit to Ocean Avenue
• Westminster Avenue —West City Limit to East City Limit
• Bixby Old Ranch Town Center— Seal Beach Boulevard from 405 to Lampson
• Seal Beach Boulevard —At Heron Point/Forrestal Lane
• Old Bolsa Chica Road — East Side Fronting Bolsa Storage Facility Property
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 6 of 18
LLDAN I
ICU semms
V1. FINANCIAL ANALYSIS
The costs of providing the services that are to be funded by the District were estimated
by the City in connection with the Fiscal Year 2015-2016 City budget. The following
table details the District's estimated budget for Fiscal Year 2015-2016, as well as,
shows the Fiscal Year 2015-2016 Assessment Budget and how the local lighting benefit
is apportioned to each zone within the District:
Estimated Cost of Maintenance and Servicing
Servicing Costs (Utilities) $184,500
Assessment Engineer 9,500
City Administration 0
Budget For Fiscal Year 2015-2016 $194,000
Revenue for Fiscal Year 2015-2016
Reserve Fund Contribution /(Usage) $0
General Fund Contribution 50,493
Total Assessments for Fiscal Year 2015-2016 143,507
Total Revenue $194,000
ALLOCATION TO ZONES
Arterial Street Lighting Benefit $58,352
Local Street Lighting Benefit
Zone 1 $57,483
Zone 2 19,054
Zone 5 8,618
Subtotal Local Street Lighting Benefit $85,155
Total Assessment $143,507
FUND BALANCE INFORMATION
Estimated Beginning Reserve Fund Balance July 1, 2015 $0
Reserve Fund Contribution/(Usage) 0
Projected Ending Reserve Fund Balance June 30, 2016 $0
2015/2016 City of Seal Beach Street Lighting District No, 1 Page 7 of 18
" LLQAN I
�cial s"MS
V11. METHOD OF APPORTIONMENT OF ASSESSMENT
Section 22573 of the 1972 Act provides that assessments may be apportioned by any
formula or method which fairly distributes the net amount to be assessed among all
assessable lots or parcels within the District in proportion to the estimated benefits
received by each such lot or parcel from the improvements. The 1972 Act also permits
the classification of various areas within the 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 that will receive substantially the same degree of benefit from the
improvements.
All lots and parcels within the District boundaries, with the exception of utility operating
rights-of-way and public property, will be assessed.
The proposed method of apportionment of assessment for Local Street Lighting
Benefits and Arterial Street Lighting Benefits is described below:
LOCAL STREET LIGHTING BENEFITS
(FOR STREET LIGHTS IN CLOSE PROXIMITY TO LOTS AND PARCELS)
Maintenance and servicing of certain street lights along the streets and highways in
close proximity to certain lots or parcels provides a special benefit to such lots or
parcels for the following reasons:
• Such street lights, by virtue of the illumination they provide, improve security of such
lots or parcels.
• Such street lights improve ingress to and egress from such lots or parcels by
illuminating access after sunset, and by so improving ingress and egress, further
improve the security of such lots or parcels by improving the nighttime visibility of
such lots or parcels and the access of emergency vehicles thereto.
• Also, in the case of commercial lots or parcels, such street lights, by improving
ingress and egress, facilitate the opening and operation of businesses used after
sunset.
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 8 of 18
I'LLQAN I
'inancW services
The assessment formula recognizes that benefits received from street lights are based
on the following criteria:
A. TRAFFIC CIRCULATION
1. Improved ingress to and egress from lots or parcels within the District.
2. Improved ingress to and egress from commercial lots or parcels and a
corresponding promotion of business during nighttime hours.
B. SECURITY
1, Increased illumination after sunset and a corresponding reduction in
vandalism and other criminal acts and damage to improvements.
2. Increased illumination after sunset and a corresponding improvement to
the access of emergency vehicles to such lots or parcels.
3. Increased illumination after sunset and a corresponding reduction in
illegal dumping on vacant land.
C. INTENSITY
1. Intensity or degree of illumination provided on adjacent streets varies with
the type of street and the use of the adjacent property.
The basic unit for this formula is the single-family residence with the traffic circulation
benefits being assigned one-half unit and security and intensity benefits being assigned
one-quarter unit each, for a total of one unit. Multi-family residential, condominium and
townhouse parcels are assigned the following declining scale of fractional traffic
circulation benefit units: one-half unit per dwelling unit for the first 20, one-third unit for
the 21st through 50th, one-fourth unit for the 51st through 100th, and one-fifth unit for
each dwelling over 100.
For multi-family residential, condominium and townhouse parcels, security and intensity
benefits are assigned '/4-unit for each dwelling unit. However, figuring any dwelling
units over four would be set back sufficiently far from the lighted street that they
received minimal security and intensity benefit per unit, a maximum value of one unit
each for security and intensity is assigned.
Exhibit A provides examples of the direct assessment for local street lighting per parcel.
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For purposes of the local lighting benefits, the lots or parcels have been divided into the
following zones:
All residential zoned parcels within the areas generally known as College Park
1 East, College Park West and The Hill. This zone also includes the
condominium parcels on Montecito Road in the vicinity of the Rossmoor Center.
2 All residential zoned parcels including those used for commercial uses within
the Old Town area between Pacific Coast Highway and the Pacific Ocean.
3 All residential zoned parcels within the Leisure World complex west of Seal
Beach Boulevard between the San Diego Freeway and Westminster Avenue.
All residential zoned parcels within the Surfside community located between
4 Pacific Coast Highway and the Pacific Ocean immediately northwest of
Anderson Avenue.
5 All non-residential zoned, nonexempt parcels within the City..
6 All exempt parcels within the City.
LOCAL LIGHTING ASSESSMENT METHODOLOGY BY ZONE
Zone 1
Under the proposed formula, all single-family residences within Zone 1 will be assessed
the same amount. Multiple-family residential and condominium parcels with an equal
number of dwelling units will be assessed equal amounts. There are certain
condominiums and apartment complexes in Zone 1 that lie on large contiguous parcels.
For these parcels, the combined parcels' total assessment is computed, and then
evenly distributed among the units on such parcels. In no case will the assessment for
a dwelling unit on a multiple-family parcel exceed that of a single-family residence. The
local benefit assessment per unit in Zone 1 is determined to be a maximum of$17.71
Exception: Because of the distance between the nearest street lights and the
condominium units at Montecito, such parcels receive insignificant benefit from such
lights and are therefore not assessed for local street lighting benefits.
Zone 2
Under the proposed formula, all single-family residences within Zone 2 will be assessed
the same amount. Multiple-family residential and condominium parcels with an equal
number of dwelling units will be assessed equal amounts. There are certain
condominiums and apartment complexes in Zone 2 that lie on large contiguous parcels.
For these parcels, the combined parcels' total assessment is computed, and then
2015/2016 City of Seal Beach Street Lighting District No. 1 Page 10 of 18
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evenly distributed among the units on such parcels. In no case will the assessment for
a dwelling unit on a multiple-family parcel exceed that of a single-family residence. The
local benefit assessment per unit in Zone 2 is determined to be a maximum of$7.11.
There are certain parcels within Zone 2 on residential zoned lots or parcels that are
being used for non-residential uses. These parcels were assigned comparable units on
the basis of whether they had nominal, moderate, or high intensity, traffic circulation,
and security benefits. Because the intensity of the street lights in Zone 2 is the same
regardless of how a parcel is used, the intensity benefits determined for these non-
residential parcels are equivalent to those assigned to a single-family residential parcel.
Because of greater traffic generated by non-residential uses, those parcels determined
to have nominal, moderate and high traffic circulation benefits were assessed two, four,
and eight times, respectively, that of an equivalent single-family residential parcel.
Because parcels with non-residential uses generally require and therefore benefit more
from increased security due to the greater value of improvements on such parcels, such
parcels determined to have nominal, moderate, and high security benefits were
assessed two, four, and eight times, respectively, that of an equivalent single-family
residential parcel.
Exception: Because of the distance between the local street lights that benefit the Seal
Beach Trailer Park and the individual dwelling units within the park, the trailer park is not
assessed as a multi-family parcel. However, the Seal Beach Trailer Park has been
determined to receive some local lighting benefits which are equivalent to 3.25 units, the
benefiting parcel's unit distribution defined in Subsection C below. Single unit trailer
parcels are not assessed for local lighting benefits due to their considerable distance
from local streets.
Each of the parcels in Zone 2 being used for non-residential use is determined to be in
one of the following categories:
A. Commercial Parking Lots, Churches - 1.75 units based on intensity (.25 units),
nominal traffic circulation (1 unit) and nominal security benefit (.50 units).
B. Professional or Office Buildings, Service Shops - 2.25 units based on intensity
(.25 units), nominal traffic circulation (1 unit) and moderate security benefit (1
unit).
C. Store with Residence - 3.25 units based on intensity (.25 units), moderate
traffic circulation (2 units) and moderate security benefit (1 unit).
D. Hotels/Motels - 6.25 units based on intensity (.25 units), high traffic circulation
(4 units) and high security benefit (2 units).
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Zones 3 and 4
The local street lighting system within these zones is privately owned and is not the
responsibility of the City of Seal Beach, the parcels in Zones 3 and 4 are not assessed
for local street lighting.
Zone 5
Since the size of the parcels within Zone 5 (zoned non-residential) varies considerably,
it would not be equitable to determine that each parcel received a similar local street
lighting benefit from the maintenance and servicing of street lights in close proximity to
the lots or parcels. Therefore, the formula proposed for spreading the cost of local
street lighting assessments in Zone 5 is based on the front footage of each lot or parcel
on a street that provides local street lighting for that parcel. The local benefit
assessment per unit in Zone 5 is determined to be a maximum of$.15 per front foot.
Exceptions: Any non-residential zoned parcel within the Leisure World complex and
the Surfside Community are not assigned any local street lighting benefits because the
local street lighting system within these zones is privately owned and not the
responsibility of the City of Seal Beach.
Zone 6
Zone 6 is the District classification for all non-assessed parcels in the District, including
all federal, state, county and city owned parcels, which are exempt from the
assessment, as well as any privately owned parcels that are determined to receive no
benefit from the District improvements.
ARTERIAL STREET LIGHTING BENEFIT (FOR STREET LIGHTS ON ARTERIAL
STREETS)
Zones 1 through 4
The maintenance and servicing of street lights on arterial streets and highways,
previously named in this report and within the District, provides a special benefit which
is received by each and every assessable lot or parcel within the District, tending to
enhance their value for the following reasons. Each of the streets listed is a major
arterial street which improves access to all lots or parcels throughout the District. Such
street lights improve ingress to and egress from such lots or parcels by illuminating
access after sunset. Arterial street lights create a city-wide lighting system that provides
traffic circulation benefits. While local street lighting benefits properties adjacent to the
lighting, arterial street lighting benefits traffic circulation to and from all parcels city-wide.
Therefore, the formula proposed for spreading the arterial street lighting benefit is based
on the traffic circulation benefits for each lot or parcel with the basic unit being the
single-family residence assigned a traffic circulation unit of 1. The arterial benefit
assessment per unit is determined to be a maximum of$4.15.
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Typically, fewer people live on multi-family parcels on a per unit basis than on a single-
family parcel. Therefore, the benefit received by multi-family parcels, per unit, from
arterial street lights is less than single-family parcels. Multi-family residential,
condominium and townhouse parcels are assigned the following declining scale of
fractional benefit units, similar to those assigned above for local benefit street lighting:
one-half unit per dwelling for the first 20, one-third unit per dwelling for the 21 st through
50th, one-quarter unit per dwelling for the 51 st through 100th, and one-fifth unit for each
dwelling over 100.
There are certain condominiums and apartment complexes that lie on large contiguous
parcels. For these parcels, the combined parcel's total assessment is computed, and
then evenly distributed among the units on such parcels.
Within the Leisure World Community there are both residential cooperative and
condominiums. Because Leisure World exists as a community, each condominium and
each cooperative benefits the same as any other condominium and cooperative,
respectively, in Leisure World. The benefit units are computed as if all the
condominiums lie on one "parcel" and all the cooperative units lie on one "parcel," then
the computed benefit units are evenly distributed to the individual condominium or
cooperative units. There are also certain private recreational facilities within Leisure
World (Zone 3), such as libraries and clubhouses, which are accessible only by the
Leisure World residents. Such facilities are assumed to receive no arterial benefit and
therefore are not assessed.
Zone 5
Non-residential parcels were assigned comparable units on the basis of whether they
had nominal, moderate or high traffic circulation benefits and whether their operations
were primarily daytime, nighttime or a combination. Furthermore, the non-residential
parcels were compared to the single-family residential parcels to determine the traffic
circulation benefit for the nominal, moderate, and high classifications of non-residential
uses.
Each non-residential parcel was determined to be in one of the following categories:
Nominal- Daytime Use Only(ND)
• Office Buildings
• Professional Buildings
• Auto Repair Shops
• Churches
• Nurseries
• Commercial and Industrial Parking Lots
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Moderate - Daytime Use Only(MD)
• Banks
• Savings and Loans
• Stores
High - Daytime Use Only(HD)
• Restaurants (not open in evenings)
Nominal- Day and Night Use (NN)
• Commercial Parking Lots (if used in conjunction with nighttime establishments)
Moderate - Day and Night Use (MN)
• Service Stations
• Recreational Vehicle Facilities
• Clubs and Lodge Halls
• Markets
• Theaters
• Motels
• Shopping Centers including Parking Lots
High - Day and Night Use (HN)
• Restaurants (open in evenings)
• Hospitals
• Convalescent Homes
• Amusement Facilities
DAYTIME USE ONLY
Non-residential land uses classified as Nominal-Daytime Use Only (ND) were only
found to benefit from the lighting improvements slightly less than the single-family
parcels as the majority of the traffic circulation occurs during daylight hours. Therefore,
ND traffic circulation benefits for non-residential lots or parcels are two-thirds that of a
single-family residential lot or parcel. Moderate and High-Daytime Use Only (MD and
HD, respectively) traffic circulation land uses benefit more from the lighting
improvements because of their increased opportunity to use nighttime lighting and are
assigned one and one-third that of a single-family residential lot or parcel and two times
that of a single-family residential lot or parcel, respectively. As such, those lots or
parcels determined to have nominal, moderate or high traffic circulation benefits as well
as daytime operation (ND, MD, HD) were assessed two-thirds, one and one-third, and
two times, respectively, that of an equivalent single-family residential lot or parcel.
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DAY AND NIGHT USE
Because of the substantially greater benefit of uses which have nighttime traffic
circulation, non-residential lots or parcels categorized as Nominal-Day and Night Use
(NN) are two times that of a single-family residential or lot parcel, Moderate-Day and
Night Use (MN) traffic circulation benefits are four times that of a single-family
residential lot or parcel and High-Day and Night Use (HN) nighttime traffic circulation
benefits are six times that of a single-family residential lot or parcel. Therefore, those
parcels determined to have nominal, moderate or high traffic circulation benefits as well
as nighttime operation (NN, MN, HN) were assessed two, four, and six times,
respectively, that of an equivalent single-family residential lot or parcel.
Since the sizes of the non-residential lots or parcels vary considerably, it was
determined that the area of each non-residential lot or parcel would also be used in
determining the benefit received by each parcel. For this purpose, the size of an
average single-family lot or parcel was determined to be 5,000 square feet.
Consequently, the benefit received by each non-residential lot or parcel is computed as
follows:
Nominal- Daytime Use Only(ND)
0.67 units per 5,000 ft2 of lot or parcel area
Moderate - Daytime Use Only(MD)
1.33 units per 5,000 ft2 of lot or parcel area
High - Daytime Use Only(HD)
2.00 units per 5,000 ft2 of lot or parcel area
Nominal- Day and Night Use (NN)
2.00 units per 5,000 ft2 of lot or parcel area
Moderate - Day and Night Use (MN)
4.00 units per 5,000 ft2 of lot or parcel area
High - Day and Night Use (HN)
6.00 units per 5,000 ft2 of lot or parcel area
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V111. ASSESSMENT DIAGRAM AND ROLL
The Boundary Map and Diagram showing the boundaries of the District and Zones of
benefit is on file in the offices of the City Engineer and the City Clerk of the City of Seal
Beach where it is available for public inspection and is incorporated herein by reference.
For details of the lines and dimensions of the parcels within the District (City), reference
is made to the Orange County Assessor's Parcel Maps for Fiscal Year 2015-2016,
which are also incorporated herein by reference.
See the Assessment Roll (Exhibit B) also on file in the offices of the City Engineer and
the City Clerk, for assessments to individual parcels for Fiscal Year 2015-2016. For a
description of the lots or parcels in the District, reference is made to the Orange County
Assessment Roll, which is incorporated herein by reference.
In conclusion, it is my opinion that the assessments for Seal Beach Street Lighting
District No. 1 have been apportioned in direct accordance with the benefits that each
parcel receives from the improvements.
Willdan Financial Services
Assessment Engineer
Richard L. Kopecky, P.E., CE16742
Ij
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EXHIBITA
EXAMPLES OF ASSESSMENT BY LAND USE AND ZONE
Examples of Assessment by Land Use and Zone for the District follow:.
9
Zone 1: Residential Parcels in College Park East and West, The Hill and condominiums on Montecito
Road in the vicinity of the Rossmoor Center
Single-Family $4.15 $17.71 $21.86 $21.86
Condominium (per unit) $1.03 to $0.00 to $1.03 to $1.03 to
$1.62 $7.23 $8.79 $8.79
Zone 2: Residential Parcels in Old Town Area between PCH and the Pacific Ocean
Single-Family $4.15 $7.11 $11.26 $11.26
Condominium (single unit) $2.08 $7.11 $9.19 $9.19
Duplex $4.15 $14.22 $18.37 $9.19
Triplex $6.23 $21.33 $27.56 $9.19
26 Units $49.80 $99.54 $149.34 $5.74
Zone 3: Residential Parcels in Leisure World Complex
Cooperative $0.84 N/A $0.84 $0.84
Condominium (per unit) $1.21 N/A $1.21 $1.21
Zone 4: Residential Parcels in Surfside Community
Single-Family $4.15 N/A $4.15 $4.15
Zone 5: Non-residential, Nonexempt parcels in the City(acreage, front footage)
Nominal Daytime Use (.07 ac, 25 ff) $1.70 $3.75 $5.45 N/A $24.29 $0.15
Moderate Daytime Use(.07 ac, 25 f) $3.37 $3.75 $7.12 N/A $48.14 $0.15
High Daytime Use(.07 ac, 25 ff) $5.06 $3.75 $8.81 N/A $72.29 $0.15
Nominal Night Use(.07 ac, 25 ff) $5.06 $3.75 $8.81 N/A $72.29 $0.15
Moderate Night Use (.07 ac, 25 ff) $10.12 $3.75 $13.87 N/A $144.57 $0.15
High Night Use(.07 ac, 25 ff) $15.18 $3.75 $18.93 N/A $216.86 $0.15
Zone 6: Exempt Parcels
N/A N/A N/A N/A N/A N/A
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EXHIBIT B
ASSESSMENT ROLL
The assessed parcels and assessments are listed by their corresponding assessment
numbers in the following Assessment Roll.
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