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HomeMy WebLinkAboutPalm Gate L&L Dist - Rmvl of 27 Palm TreesCITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: REQUEST AUTHORIZATION TO USE GENERAL FUNDS IN AN AMOUNT NOT TO EXCEED $16,500 FOR THE REMOVAL OF 27 PALM TREES ON THE PALM GATE LIGHTING AND LANDSCAPE DISTRICT PROPERTY, AND ESTABLISH A PROCEDURE TO RECAPTURE THE EXPENDITURE FROM THE ANNUAL ASSESSMENT LEVY SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works DATE: May 11, 2017 CONTENTS: Photos Recommendation By Minute Motion: 1. Authorize the use of General Funds in an amount not to exceed $16,500 for the removal of 27 palm trees on the Palm Gate Lighting and Landscape District (Palm Gate LLD) property; and 2. Authorize the Finance Department to set up a procedure to recapture the City's expenditure via the annual Palm Gate LLD assessment levy. Funds are available in Account No. 1104614-4337001, Repair/Maintenance Medians. Background The 27 palm trees that are outside the perimeter landscape of Deep Canyon Road in the Palm Gate LLD have only had the seed pods removed annually for many years due to the lack of funds collected by the Palm Gate LLD. Because of this, the dead palm fronds have accumulated on the top of the palm trees, and during windy conditions the dead fronds are dislodged and are damaging the adjacent properties. The City receives multiple calls each year about debris on the road and damage caused by these falling fronds. Palm Gate LLD is an underfunded landscape and lighting district, and the levies received do not cover all of the maintenance costs. The annual Palm Gate LLD levy is $3,185.70, which covers $1,182.21 for administration costs, and $1,930.00 for direct costs. The allocation of the direct costs is $850.00 for maintenance, $850.00 for palm tree pruning, and $230.00 for utilities. The remaining $73.49 is transferred into a Reserve Fund Collection, which as of June 30, 2016, had an estimated Reserve Balance of $323.00. Staff also contacted the Finance Department, and they have indicated that no funds are available for the Palm Gate LLD in other accounts. Staff Report Removal of 27 Palm Trees at Palm Gate LLD Page 2 of 2 May 11,2017 The amount collected covers only monthly maintenance such as removing debris from the sidewalk, litter control, weed control, and removal of the palm seed pods. In 2009, surveys were sent to the homeowners in Palm Gate LLD to gauge interest in the possibility of increasing the annual levy to cover necessary maintenance. The residents of the Palm Gate LLD voted against increasing the annual levy. In order to resolve the on -going maintenance issue, staff recommends the removal of all 27 palm trees at the Palm Gate LLD. Staff estimates the cost to remove the palm trees and grind out the stumps to be approximately $16,500. Staff recommends using all available Palm Gate LLD Reserve Balance funds with the City funding the balance of the cost. Once the trees are removed, the water meter will be removed and maintenance costs will be re-evaluated. This will eliminate certain maintenance items funded by the levy, and the savings will be used to repay the City for the cost to remove the palm trees. It is estimated that the payback period for the City to recoup the advanced funding could exceed 15 years. The payback will be reflected on the annual levy provided to each Palm Gate LLD homeowner. While it is not staffs' intention to lower the landscape standards for the landscape and lighting districts, it is staffs' opinion that this situation has reached the point where concern for public safety and the potential damage to adjacent, uninvolved properties outweighs aesthetic concerns. This action will not set a precedent for a lower level of maintenance at the other landscape and lighting districts within the City. Fiscal Analysis: The use of General Funds for the removal of the 27 palms at the Palm Gate LLD will be reimbursed from the annual assessment levy over a period of time, which could exceed 15 years. Prepared By: Randy Chav andscape Supervisor Mark Gr-er wood, P.E. Director )f Rublic Works „Larret M. Moore, Director of Finance Approval: Puri Aylaian, City Manager /bl Example of palm trees at Palm Gate LLD Example of property damage at uninvolved, adjacent property Example of property damage at uninvolved, adjacent property Example of property damage at uninvolved, adjacent property