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HomeMy WebLinkAboutRes 2015-44 to 2015-46 FY 15/16 Presidents Plaza I Property and Business Improvement District2015-44 2015-45 CITY OF PALM DESERT 2015-46 CITY MANAGER'S OFFICE CITY COUNCIL STAFF REPORT REQUEST: CONSIDERATION OF APPROVAL TO INITIATE PROCEEDINGS FOR THE FORMATION OF THE PRESIDENT'S PLAZA I PROPERTY AND BUSINESS IMPROVEMENT DISTRICT. SUBMITTED BY: Ryan Stendell, Senior Management Analyst DATE: May 23, 2013 CONDITIONS: Resolution No. 2015- 44 Resolution No. 2015- 45 Resolution No. 2015- 46 Preliminary Management District Map Preliminary Engineer's Report Correspondence with Property Owners Recommendation Waive further reading and adopt: 1. Resolution No. 2015- 44 initiating proceedings for the formation of the President's Plaza I Property and Business Improvement District (PBID) and the levy and collection of assessments for Fiscal Year 2015/2016 pursuant to the provisions of Part 7 of Division 18 of the California Streets and Highways Code; 2. Resolution No. 2015- 45 describing proposed improvements and services and approving the management district plan and preliminarily approving the engineer's report for fiscal year 2015/2016 regarding the proposed formation/renewal of the President's Plaza I Business Improvement District, pursuant to the provisions of Part 7 of Division 18 of the California Streets and Highways Code; and 3. Resolution No. 2015- 46 declaring the City's intention to form the President's Plaza I Business Improvement District, and to levy and collect assessments therein, and calling for an assessment ballot proceeding to submit to the qualified property owners within such district the question of levying assessments for such district, commencing Fiscal Year 2015/2016. Staff Report President's Plaza I PBID May 28, 2015 Page 2 of 2 Background 2015-44 2015-45 2015-46 The Presidents Plaza Parking area has been maintained for many years through a Property and Business Improvement District which funded trash collection, landscape maintenance, lighting maintenance and minor parking lot maintenance. In June of 2013 the PBID was rejected by the property owners. Staff sent a letter to the property owners (copy attached) indicating the options for moving forward with a new management method. As property owners began to understand the implications of their decision many of them attended meetings with staff indicating that they wished to reform the PBID. Staff proposed the same funding formula as was proposed in 2013 when the PBID failed. The Presidents Plaza I parking area is currently in need of substantial renovations and staff believes this parking area is very important to the success of the City's commercial core. The City is currently studying commercial core parking in the update of the City's General Plan and will have some ideas for utilizing this area as the plan is completed. Any proposed improvements or modifications would require both a substantial investment and property owner support. Staff is proposing an additional five-year period for Presidents Plaza I BID, as we anticipate several years could be spent in planning and design of any new facility. Staff recommends that the City Council approve the attached resolutions to initiate the re-formation process. If the resolutions are approved, a public hearing will be scheduled for July 9, 2015, to open and count the ballots received. Fiscal Analysis The assessment and collection of the levy funds the ongoing maintenance of the President's Plaza I Business Improvement District costs. Prepared 4W Ryan Stendell Senior Management Analyst (�10 Paul S. Gibson, Director of Finance Gity Manager RESOLUTION NO. 2015-44 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, INITIATING PROCEEDINGS FOR THE FORMATION OF THE PRESIDENT'S PLAZA PROPERTY AND BUSINESS IMPROVEMENT DISTRICT, AND THE LEVY AND COLLECTION OF ASSESSMENTS, PURSUANT TO THE PROVISIONS OF PART 7 OF DIVISION 18 OF THE CALIFORNIA STREETS AND HIGHWAYS CODE, FOR FISCAL YEAR 2015/2016 The City Council of the City of Palm Desert, California (hereafter referred to as the "City Council") does resolve as follows: WHEREAS, The City Council desires to initiate proceedings for the formation (re-establishment) of President's Plaza Property and Business Improvement District (hereafter referred to as the "District") pursuant to the provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act") and the levy and collection of assessments by the County of Riverside for the City of Palm Desert to pay for the Improvements and Activities as described in the Engineer's Report and the Management District Plan; and, WHEREAS, Pursuant to the Act, a written petition of the property owners within the District, representing more than 50 percent of the proposed assessment to be levied, has been presented to the City Council; and, WHEREAS, The City Council has retained Willdan Financial Services (hereafter referred to as the "Assessment Engineer") for the purpose of assisting with the formation of the District and establishment of the assessments, and to prepare and file a Management District Plan with the City Clerk in accordance with the Act; and in accordance with the requirements of the California Constitution, Article XIIID to prepare and file an Engineer's Report with the City Clerk; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES HEREBY RESOLVE AS FOLLOWS: 1. The above recitals are true and correct. 2. The City Council hereby orders the Assessment Engineer to prepare and file with the City Clerk the Engineer's Report and the Management District Plan concerning the formation and establishment of assessments for the District in accordance with the Act. 3. Proposed improvements: The improvements and activities within the District include: maintenance of parking lot landscaped areas, maintenance and operation of parking lot lighting facilities, debris removal, and maintenance of parking lot surface areas; and are more specifically described in the Engineer's Report and the Management Plan attached hereto and incorporated herein by reference. RESOLUTION NO. 2015-44 4. Boundaries and Designation: The District consists of all parcels located in the commercial business area known as the President's Plaza East and President's Plaza West within the City of Palm Desert. The territory of the proposed District is located South of Palm Desert Drive at Highway 111; North of El Paseo; West of Portola Avenue; and East of Larkspur Lane. The territory is within the City of Palm Desert, within the County of Riverside, State of California. The proposed district is designated as: "President's Plaza Property and Business Improvement District." The foregoing Resolution was passed and adopted by the City Council of the City of Palm Desert on the day of , 2015, by the following vote: AYES: NOES: ABSENT: ABSTAIN: Susan Marie Weber, Mayor ATTEST: Rachelle D. Klassen, City Clerk City of Palm Desert, California RESOLUTION NO. 2015-45 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DESCRIBING PROPOSED IMPROVEMENTS AND SERVICES AND APPROVING THE MANAGEMENT DISTRICT PLAN AND PRELIMINARILY APPROVING THE ENGINEER'S REPORT, REGARDING THE PROPOSED FORMATION/RE-ESTABLISHMENT OF THE PRESIDENT'S PLAZA BUSINESS IMPROVEMENT DISTRICT, PURSUANT TO THE PROVISIONS OF PART 7 OF DIVISION 18 OF THE CALIFORNIA STREETS AND HIGHWAYS CODE, FOR FISCAL YEAR 2015/2016 The City Council of the City of Palm Desert, California (hereafter referred to as the "City Council") does resolve as follows: WHEREAS, The City Council pursuant to the provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act"), did by previous Resolution, initiate proceedings for the formation/re-establishment of the President's Plaza Property and Business Improvement District (hereafter referred to as the "District"), pursuant to the provisions of the Act, and did order the preparation of a Management District Plan and an Engineer's Report for said District, and WHEREAS, The City Council has retained Willdan Financial Services (hereafter referred to as the "Assessment Engineer"), for the purpose of assisting with the formation of the District and establishment of the assessments, and to prepare and file a Management District Plan with the City Clerk in accordance with the Act; and an Engineer's Report in accordance with the requirements of the California Constitution, Article XIIID, and WHEREAS, The Assessment Engineer has presented to the City Council the combined Management District Plan and Engineer's Report, which is incorporated herein by reference, and WHEREAS, The City Council has examined and reviewed the combined Management District Plan and Engineer's Report as presented, and is satisfied with the District, the budget items and documents as set forth therein, and is satisfied that the assessments have been spread in accordance with the special benefits received from the improvements, operation, maintenance and services to be performed within the District; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES HEREBY RESOLVE AS FOLLOWS: 1. The above recitals are true and correct. 2. That the Management District Plan as presented, consists of the following: RESOLUTION NO. 2015-45 A. A Description of Improvements and services to be provided by the District B. The Annual Budget (Estimates of Costs and Expenses of Services, Operations and Maintenance); C. The District Roll containing the Levy of Assessments for each Assessor Parcel within the District; and, D. A Boundary Map for the boundaries of the District. 3. That the "Engineer's Report" as presented, consists of the following: A. A Description of Improvements. B. The Annual Budget (Costs and Expenses of Services, Operations and Maintenance). C. The Method of Apportionment. D. A Boundary Map for the boundaries of the District. The foregoing Resolution was passed and adopted by the City Council of the City of Palm Desert on the day of , 2015, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: Rachelle D. Klassen, City Clerk City of Palm Desert, California Susan Marie Weber, Mayor 4 RESOLUTION NO. 2015-46 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DECLARING THE CITY'S INTENTION TO FORM THE PRESIDENT'S PLAZA BUSINESS IMPROVEMENT DISTRICT AND TO LEVY AND COLLECT ASSESSMENTS THEREIN, AND CALLING FOR AN ASSESSMENT BALLOT PROCEEDING TO SUBMIT TO THE QUALIFIED PROPERTY OWNERS WITHIN SUCH DISTRICT THE QUESTION OF LEVYING ASSESSMENTS FOR SUCH DISTRICT, COMMENCING FISCAL YEAR 2015/2016 WHEREAS, The City Council pursuant to the provisions of the Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the Streets and Highways Code of California (hereafter referred to as the "Act"), did by previous Resolution, initiate proceedings for the formation of the President's Plaza Property and Business Improvement District (hereafter referred to as the "District"), pursuant to the provisions of the Act, and did order the preparation of a Engineer's Report and Management District Plan for said District, WHEREAS, A Management District Plan and Engineer's Report (combined Report) regarding the formation of the District and establishment of assessments has been prepared and filed with the City Clerk in accordance with the Act and the California Constitution, Article XIIID, and said Report has been presented to the City Council and is incorporated herein by reference, and WHEREAS, The City Council has, by previous resolution, approved the combined Management District Plan and Engineer's Report, which contain a full and detailed description of the improvements and services, the boundaries of the District, the estimated costs of improvements and services, and the proposed assessments upon assessable lots and parcels within the District; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES HEREBY RESOLVE AS FOLLOWS: 1. The above recitals are true and correct. 2. The City Council hereby declares its intention to form/renew the District for a period of three years and to levy and collect assessments within the District, pursuant to the Act, to pay the annual costs of the services and improvements, as described in the Engineer's Report and the Management District Plan. The City Council has determined at this time to call for an assessment ballot proceeding. 3. Calling an assessment ballot proceeding: Pursuant to California Constitution Article XIIID, an assessment ballot proceeding is hereby called on behalf of the District on the matter of establishing assessments for a three-year term on the properties within the District. 4. The assessment ballot proceeding for the District on the matter of authorizing the levy of the assessments, pursuant to California Constitution, Article XIIID, Section 4 consists of a RESOLUTION NO. 2015-46 ballot, included with the mailed notice required by Government Code Section 54954.6, distributed by mail, to the property owners of record within the District as of the close of the Intent Meeting. Each property owner may return the ballot by mail or in person to the City Clerk not later than the conclusion of the Public Hearing on July 9, 2015. The Public Hearing is scheduled to begin on Thursday, July 9, 2015, at 4:00 p.m., at the City Council Chambers, 73-510 Fred Waring Drive, Palm Desert. At the close of the Public Hearing, the City shall open and tabulate the ballots to determine if a majority protest exits. The ballots shall be weighted according to the proportional financial obligation of the affected property. A majority protest exists if, upon the conclusion of the hearing, ballots submitted in opposition to the assessment exceed the ballots submitted in favor of the assessment. 5. District Boundaries: The territory of the District is Highway 111; described in located South of Palm Desert Drive at North of El Paseo; West of Portola Avenue; and East of Larkspur Lane as the Engineer's Report and the Management District Plan, which are incorporated herein by reference. The District is designated as "President's Plaza Property and Business Improvement District." 6. Description of Services and Improvements: The improvements and activities within the District include: maintenance of parking lot landscaped areas, maintenance and operation of parking lot lighting facilities, debris removal, and maintenance of parking lot surface areas; and are more specifically described in the Engineer's Report and the Management Plan attached hereto and incorporated herein by reference. 7. Proposed Assessment Amounts: The proposed assessments are detailed in the Engineer's Report and the Management District Plan, which also detail the assessment range formula. 8. Notice of Public Hearing(s): The City Council hereby declares its intention to conduct a Public Hearing concerning the levy of assessments for the District in accordance with Government Code, Section 54954.6 and California Constitution, Article XIIID, Section 4(e). Notice is hereby given that a Public Hearing on these July 9, 2015 at 4:00 P.M., in the City Council Chambers, located at 73-510 Fred Waring Drive, Palm Desert. 9. Notice. Property owners will be provided an assessment ballot and notice of the public hearing at least 45 days prior to the public hearing. Completed ballots must be received by the City Clerk prior to the conclusion of the Public Hearing, after which they will be opened and tabulated. In addition to the ballots, District property owners may file a written protest regarding the District formation with the City Clerk prior to the conclusion of the hearing, or, having previously filed a protest, may file a written withdrawal of that protest. A written protest shall state all grounds of objection and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the public hearing, all interested persons shall be afforded the opportunity to hear and be heard. 2 RESOLUTION NO. 2015-46 10. The City Clerk is hereby authorized and directed to give notice of such hearing as provided by law. The foregoing Resolution was passed and adopted by the City Council of the City of Palm Desert on the day of , 2015, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: Rachelle D. Klassen, City Clerk City of Palm Desert, California Susan Marie Weber, Mayor 3 ERA 4 � 2'i1� _ � i1 • 1 Y[ 27368 Via Industria Suite 200 Temecula, CA 92590 T 951.587.3500 1 800.755.6864 F 951.587.3510 www.wilidan.com/financial ENGINEER'S REPORT AFFIDAVIT City of Palm Desert President' Plaza Property and Business Improvement District City of Palm Desert Riverside County, State of California This Report describes the District and defines improvements, budget and method of assessment apportionment, and the parcels proposed to be levied commencing in Fiscal Year 2015/2016 for a period of five fiscal years. Reference is hereby made to the Riverside 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 12015. Willdan Financial Services Assessment Engineer On Behalf of the City of Palm Desert Jim McGuire, Principal Consultant By: Richard Kopecky R. C. E. # 16742 l�W. W s�I UYWILLDAN i TABLE OF CONTENTS OVERVIEW.............................................................................................................. 1 INTRODUCTION.............................................................................................. 1 FORMATION................................................................................................... 2 DESCRIPTION OF THE DISTRICT................................................................................4 DISTRICT BOUNDARY.....................................................................................4 IMPROVEMENTS AND ACTIVITIES......................................................................4 SPECIAL BENEFITS.........................................................................................5 METHOD OF APPORTIONMENT.................................................................................. 7 METHOD OF APPORTIONMENT RATIONALE....................................................... 7 PARKING LOT IMPROVEMENTS AND SERVICES ................................................... 7 SOLID WASTE (REFUSE) COLLECTION SERVICES...............................................7 METHOD OF APPORTIONMENT CALCULATIONS ................................................ 10 APPORTIONMENT OF DIRECT COSTS............................................................... 11 APPORTIONMENT OF INDIRECT COSTS............................................................ 13 TOTAL ANNUAL ASSESSMENT......................................................................... 13 ANNUAL BUDGET ADJUSTMENTS.................................................................... 14 DESCRIPTION OF BUDGET ITEMS............................................................................ 15 DIRECT BENEFIT COSTS............................................................................... 15 INDIRECT BENEFIT COSTS............................................................................ 16 LEVY BREAKDOWN....................................................................................... 16 DISTRICT STATISTICS................................................................................... 17 DISTRICT BUDGET........................................................................................ 18 APPENDIX A -ASSESSMENT DIAGRAM..................................................................... 1 APPENDIX B - PARCEL INFORMATION........................................................................ 1 APPENDIX C -ASSESSMENT ROLL........................................................................... 3 LLD�s OVERVIEW Introduction The City of Palm Desert ("City") previously formed and established the President's Plaza Property and Business Improvement Assessment District ("District") beginning in Fiscal Year 1998/1999 to provide improvements and activities that confer special benefits upon real property within the boundaries of the District. The District was established and levied pursuant to Property and Business Improvement District Law of 1994, Part 7 of Division 18 of the California Streets and Highways Code. Pursuant to the Act, property owners within the District submitted a signed petition requesting formation of the District. The District was successfully formed for a term of five years ending in Fiscal Year 2002/2003. Subsequently, the District was renewed for five year terms in Fiscal Year 2003/2004 and Fiscal Year 2008/2009 with Fiscal Year 2012/2013 being the last year of the five year term. For five year each term, a maximum assessment was approved by the property owners through an assessment ballot proceeding, conducted according to provisions of the California Constitution Article XIIID, hereinafter referred to as "Proposition 218" or Constitution". In Fiscal Year 2013/2014 the property owner protest balloting for the proposed third renewal of the Management District Plan and assessments was unsuccessful and the District assessments ended in Fiscal Year 2102/2013. However, since the unsuccessful renewal of the District in Fiscal Year 2013/2014, property owners within the District have expressed a strong desire to reestablish the District. This combined Management District Plan and Engineer's Report hereinafter referred to as "Plan" or "Report", is presented for consideration by the property owners within the area known and commonly referred to as President's Plaza, to seek their support for the organization of a business improvement district in accordance with the provisions of the Property and Business Improvement District Law of 1994, Streets and Highways Code Section 36600 et. seq., hereinafter referred to as the "Act." This is the Management District Plan required by Section 36622 of the Act, for the proposed formation and establishment of the President's Plaza Property and Business Improvement District hereinafter referred to as "District" or "PBID", to fund services and activities to improve and convey special benefits to properties located within the boundaries of the District. This Report describes the PBID, improvements and activities, method of apportionment, the proposed assessments commencing in Fiscal Year 2015/2016, and the maximum assessment for the five-year duration proposed for this District. The proposed assessments are based on the estimated cost to provide the improvements, activities, and operations that provide a direct and special benefit to properties within the District. The estimated costs of improvements, activities, and operations include anticipated expenditures, deficits, surpluses, revenues, and reserves. President's Plaza I PBID Renewal Page 1 MKWILLDAN i The word "property," for the purposes of this Plan, refers to real property situated within the District, and identified as an individual property or parcel assigned its own Assessor's Parcel Number (APN) by the County of Riverside Assessor's Office. The County of Riverside Auditor/Controller uses APNs to identify on the tax roll parcels and properties assessed for taxes, special assessments, and fees and charges. All benefits derived from the assessments outlined in the Management District Plan and Engineer's Report are for services directly benefitting the property and business owners within this specialized district and are intended to support and enhance commerce, business and the overall safety, image and functionality within this commercial core. All services, projects, maintenance, and professional and administration services are provided solely to properties within the PBID to enhance the image and viability of properties and businesses within the President's Plaza Property and Business Improvement District (PBID) boundaries and are designed only for the direct special benefit of the assessed properties. No services will be provided to non -assessed parcels outside the PBID boundaries. Formation A written petition of the property owners within the PBID, representing more than 50 percent of the proposed assessment to be levied must be submitted to the Palm Desert City Council in order to proceed with the District formation. After the required signatures have been submitted to the City, the City Council may initiate proceedings for the renewal of the District by adopting a resolution expressing its intention to form the PBID and ballot the property owners for the proposed assessments in accordance with the provisions of the Constitution. The resolution of intention will reference the Management District Plan and the Engineer's Report (combined herein as one document), and will provide notice of the time and place of a public hearing on the re-establishment (formation) of the PBID and levy of assessments. Within 90 days of adopting the resolution of intention, the City Council may hold a public hearing on the matter, and cause notice to be provided to the property owners pursuant to Section 54954.6 of the Government Code. Assessment ballots (property owner protest ballots) shall be mailed to each property owner at least 45 days prior to the public hearing pursuant to Article X111D of the California Constitution. At the public hearing the City Council may provide the public and property owners the opportunity to provide oral protests and written protests prior to the adoption of the Management District Plan. Pursuant to the California Constitution Article X111D, the City Council will tabulate property owner assessment ballots received from property owners in order to determine whether majority protest exists. This tabulation will occur after the close of the Public Hearing. President's Plaza I PBID Renewal Page 2 WILLDAN If the property owners approve the renewal of the District and imposition of the assessments, the City Council will appoint an owners association for the District. This owners association shall make recommendations to the City Council regarding the expenditures of revenue derived from the levy of assessments and on the classification of properties as applicable. This owners association shall cause to be prepared an annual report each fiscal year for which assessments are to be levied and collected. Said annual report shall be filed with the City Clerk and shall contain: any proposed changes to the district boundary; the improvements and activities to be provided that year; the estimated costs for that year; the method of assessment; the amount of any surplus or deficit; and contributions from other sources. The City Council may approve the report as submitted or as modified. President's Plaza I PBID Renewal Page 3 WILLDAN I Vffj n nwxm service. DESCRIPTION OF THE DISTRICT District Boundary The District consists of all parcels located in the commercial business area known as the President's Plaza within the City of Palm Desert, County of Riverside. The District includes forty-two (42) assessed commercial parcels and three (3) non-contiguous and non -assessed parking lot parcels and one (1) non - assessed easement/walkway parcel. The boundary of the proposed District and the parcels therein are located South of Palm Desert Drive at Highway 111; North of El Paseo; West of Portola Avenue; and East of Larkspur Lane. President's Plaza is commonly referred to as President's Plaza East (the area east of San Luis Rey Avenue); and President's Plaza West (the area west of San Luis Rey Avenue) located within the boundaries of the District. Improvements and Activities The improvements and activities to be funded through the District for the special benefit of properties within the PBID generally include the maintenance, servicing, and operation of the following: • Parking lot landscaped areas: including, but not limited to, ground cover, shrubs, trees, plants, irrigation and drainage systems and associated appurtenant facilities; • Parking lot lighting facilities: including, but not limited to, bulbs, fixtures, poles, wiring, and electrical energy; • Debris removal: including, but not limited to: solid waste containers, refuse collection services, and regular mechanical sweeping of the parking lot; and, • Parking Lot Maintenance: including, but not limited to, patching of asphalt, slurry sealing, and parking lot striping required to properly maintain and ensure the satisfactory condition of the parking lots and appurtenant facilities. Properties within the District shall be proportionately assessed annually for the necessary activities, services, operation, administration, and maintenance required to keep the improvements in satisfactory condition including labor, material, and equipment. The services may include but are not limited to regular maintenance, repair, removal or replacement of all or any part of the improvements including patching of asphalt, slurry sealing, and striping of the parking lot areas; removal of trimmings, rubbish and debris; the cleaning, sandblasting, and repainting of walls and other improvements to remove or cover President's Plaza I PBID Renewal Page 4 *Yr WILLDAN Ft,.,ar I So -vim graffiti; providing for the growth, health and beauty of landscaping and lighting including cultivation, trimming, spraying, fertilizing or treating for disease or damage; and supplying necessary irrigation and electrical energy for the improvements; as well as solid waste and refuse collection services. The costs associated with the improvements are equitably spread among all benefiting parcels within the District utilizing the method of apportionment described in the Method of Apportionment section of this Report. The total funds collected shall be dispersed and used for only the services and operations provided to the District. Special Benefits All assessed properties within the District receive special benefits from the improvements and activities funded through the District assessments. Specifically, lighting and landscaping amenities within the parking lots, regular sweeping and maintenance of the parking lots, and refuse collection services and facilities. The special benefits of lighting (parking lot lights) are the convenience, safety, and security of property, improvements, and goods. Specifically: ➢ Enhanced deterrence of crime and the aid to police protection; ➢ Increased nighttime safety for patrons and employees; ➢ Improved visibility for pedestrians and motorists; ➢ Improved ingress and egress to property; ➢ Reduced vandalism and other criminal acts and damage to improvements or property; ➢ Enhanced aesthetic appeal of the parking areas and the properties that are associated with the parking areas; ➢ Increased promotion of business activities and opportunities during nighttime hours; and, ➢ The special economic enhancement to the properties and their ability to attract and sustain business and commercial activity as a result of the benefits identified above. The benefits associated with landscaped islands and medians within the parking lots are specifically: ➢ Improved aesthetic appeal of the parking areas and nearby parcels; ➢ Improved dust control; ➢ Enhanced adaptation of the urban environment within the natural environment; President's Plaza I PBID Renewal Page 5 a .. WILLDANW.I ➢ Improved traffic circulation; ➢ A positive representation of the businesses within the District; ➢ Centralized locations for refuse collection facilities; and, ➢ The special economic enhancement to the properties and their ability to attract and sustain business and commercial activity as a result of the benefits identified above. Debris removal (parking lot sweeping) and refuse collection are essential and necessary activities for all properties —particularly commercial properties. These activities and services are proposed to be funded through the assessments solely for the special benefit of properties within the District. The benefits associated with these services are: ➢ Enhanced aesthetic appeal of the parking areas and the properties that are associated with the parking areas; ➢ Improved dust control; ➢ A positive representation of the businesses within the District; and ➢ A centralized location of refuse collection facilities and availability of the service that would otherwise require individual facilities that could be cost prohibitive and physically restrictive. Parking lot maintenance is an essential and necessary activity for all properties, and in particular, for commercial properties. This improvement is funded through the assessments solely for the special benefit of properties within the District. The benefits associated with this service are: ➢ Increased safety to automobile, truck and pedestrian traffic within the parking areas and to the properties that are associated with the parking areas; ➢ Improved traffic circulation within the parking areas; ➢ Enhanced aesthetic appeal of the parking areas and the properties that are associated with the parking areas; ➢ Improved dust control; ➢ The special economic enhancement to the properties and their ability to attract and sustain business and commercial activity as a result of the benefits identified above. The on -going operation and maintenance of the landscaping, lighting, sweeping and refuse collection services, and parking lot areas provide no measurable general benefit to other properties outside the boundaries of the District, or to the public at large. Therefore, these improvements and the corresponding assessments are identified as providing 100% special benefit to parcels within the District. President's Plaza I PBID Renewal Page 6 WWILLDAN I Fr,.,ar SWAM METHOD OF APPORTIONMENT Method of Apportionment Rationale The costs of the District improvements have each been apportioned by a formula and method which fairly distributes the net amount to be assessed among all assessed parcels in proportion to the estimated special benefits to be received by each parcel from the improvements. Parking Lot Improvements and Services Assessed parcels within the District are adjacent to centralized parking facilities (lots) that provide access, parking, and delivery areas for the businesses and parcels within the District. Each parcel derives special benefit from the parking lot improvements and the services and activities necessary to maintain the parking lot. The improvements and activities include maintenance of several landscaped islands and medians, maintenance and operation of lighting facilities, parking lot maintenance, and sweeping services. Each assessed parcel within the District receives a direct and special benefit from these improvements and will share proportionately in the cost of maintaining the parking lots. The parking areas consist of the three parcels that are entirely parking lot area and portions of many of the assessed parcels within the District. The three parcels that are entirely parking lot area parcels (627-212-016; 627-221-011; and 627-222-043), and one easement/walkway parcel (627-222-042) are not assessed. These parcels are considered to be part of the improvements and maintenance and therefore receive no special benefit. In determining the method of apportionment for the improvements, each parcel's benefit is based on the parking area adjacent to, and associated with, each parcel. Therefore, it has been determined that a fair and reasonable reflection of each parcel's benefit for the parking lot improvements shall be based on the approximate front footage adjacent to the parking areas. Most parcels within the District front the parking lots on only one side. To ensure a reasonable and equitable apportionment of special benefit, parcels that front the parking lot on more than one side (corner properties), are only assessed for their front footage along the side of their property adjacent to the parking lot. Solid Waste (Refuse) Collection Services Establishing separate refuse receptacles for each parcel or business within President's Plaza, and thereby allowing for separate charges and agreements for this service, is not practical due to limited space and accessibility. Therefore, several common refuse containers have been placed within the parking lot area for use by all the properties and businesses, and patrons of these businesses, within the District. Historically, all developed properties within President's Plaza have shared proportionately in the costs associated with refuse collection based on the building square footage of the structures on each parcel. President's Plaza I PBID Renewal Page 7 WrWILLDAN i In determining the method of apportionment for refuse collection services, the possibility of factoring in business types as well as building square footage was considered. However, the inclusion of business types in the calculation of an annual assessment poses several problems. First, many of the parcels assessed include multiple business types, which could require a complex calculation to identify potential use of the service. Second, businesses often change from year to year or even month to month, making specific business related assessments difficult to track and time-consuming and expensive to administer. Third, establishing a method of apportionment that is business -specific rather than parcel -specific would likely result in annual changes for each parcel's assessment even if the cost of the service was unchanged. Finally, the level of service (number of pick-ups and receptacles) has changed very little over the years. Although many of the businesses and business types have changed within the District, the total cost of providing this service has remained fairly constant. In contrast to the total cost, it is not reasonable to assume that all developed parcels utilize or require the same level of refuse service —typically the larger the building, the greater amount of refuse that is generated. Therefore, it has been determined that a fair and reasonable estimate of each parcel's benefit for refuse collection is the building square footage determined for each parcel. As noted previously, due to limited space and accessibility, it is not practical for each parcel or business within President's Plaza to have separate containers or agreements with the waste hauler. However, it is recognized that the baseline level of service (i.e., number of bins, size of the bins and frequency of service) established for the District may not be adequate or appropriately reflect the needs of changing business within the District. Therefore, the following considerations and criteria shall be followed when the level of service provided requires modifications: 1. If the level of service is reduced, the incremental cost savings (if any) will be reviewed and applied as follows: a. Reserve Fund Account — The City staff and the owners' association will evaluate the existing available Reserve Funds to ensure an acceptable amount of money is being retained for normal annual operation of the District. Based on this evaluation, the owners' association will modify the annual report (recommendation to the City Council) to apply all or a portion of the cost savings to the Reserve Account. A fully funded Reserve is an amount equal to approximately one half of all annual operating expenses. However, most operating reserves are typically less than 50%, but greater than 25% of all annual operating expenses. b. Reduced Assessments — After reviewing the Reserve Account, any cost savings not applied to the Reserve Account (Reserve Fund Collection) will be passed on to each parcel within the District by reducing their annual assessment for the next fiscal year, in proportion to their estimated benefit (from the method of apportionment). President's Plaza 1 PBID Renewal Page 8 ,WWI W,W4 FewiddsoAvim 2. If the level of service is increased, the incremental cost increase (if any) will be reviewed and applied as follows: a. Increased service District -wide — The proposed five year assessment rates for the District incorporate an annual assessment adjustment to provided for anticipated cost of living increases (inflation), but also allows some flexibility for increased costs due to increased levels of service. If an increased level of service is required for the entire District, the increase is reflected in the annual budget. This budget increase will typically cause a proportional increase of the annual assessment. If the increased cost results in an assessment rate that exceeds the maximum assessment allowed, then reserve funds will be used to reduce the annual assessment to the maximum assessment allowed. If the reserve fund is not sufficient to cover the cost increase, the City Council may provide a temporary loan to the District or conduct a property owner ballot proceeding for an assessment increase. b. Increased service for one parcel — A baseline assessment rate and level of service has been established for all properties within the District. As businesses within the District change or continue to grow, these businesses may generate a need for an increased level of service, but it is not fair or equitable to spread the cost of this increased service to other properties within the District. Therefore, if a business requires an increased level of service, that particular business owner or the owner of the property on which the business is located, must pay the resulting cost increase as a surcharge. Either the City or the property owner may initiate the need for an increased service level. The City Council shall make the final determination as to the appropriate mechanism by which the increased level of service will be provided. The increased level of service may be accomplished by: • Increasing the number of pick-ups on the specific bin(s) used by the property or business. • Increasing the size of the specific bin(s) used by the property or business if space permits. • Providing separate bin(s) for the property or business if space and accessibility permits. • Any combination of the above. The costs associated with the increased level of service shall be the obligation of the business and/or property owner which is provided with the additional service. Payment for the increased level of service shall be reviewed by the owners association, which will make a recommendation to the City Council for approval. The additional cost of providing the increased level of service may be added to the annual assessment for the property as a surcharge (in addition to their annual assessment); upon written petition of the property owner and approval by the City Council (This may require a signed agreement between the property owner and the City of Palm Desert). However, before any action is taken to add a President's Plaza I PBID Renewal Page 9 WILLDAN I ii FkwvW Swvbn surcharge to the property tax roll as part of the property's annual assessment, the property owner/business shall work with City staff and the owners association to establish the necessary level of additional service. And arrange for direct payment for the service to the waste hauler or the City if at all possible. Method of Apportionment Calculations The apportionment of benefit within the District utilizes a weighting factor known as an Equivalent Benefit Unit (EBU). Each parcel's EBU represents a percentage of the total EBU applied for the entire District. Depending on the improvement or activity provided, the EBU assigned to each parcel is based on either the parcel's development (approximate building square footage) or the parcel's area of improvement (front footage to the parking lots). The cost of refuse collection services is apportioned based on each parcel's approximate building square footage. All other improvements and services funded through the District are associated with the parking lots. The total cost of the parking lot improvements and services is apportioned to each parcel based on their front footage to the parking lots. The sum of each parcel's proportionate share of refuse costs and parking lot costs represents the parcel's Total Direct Cost. In addition to a parcel's Total Direct Cost, each parcel is assessed for administration expenses and a reserve fund collection (Indirect Costs). The Indirect Costs for each parcel have been apportioned by a percentage of the parcel's Direct Costs, not to exceed fifteen percent (15%). Therefore, each parcel's Total Annual Assessment is the sum of its proportionate share of the Total Direct Cost and Total Indirect Costs. Although each parcel's proportional benefit and assessment for each improvement is calculated individually, each parcel's maximum assessment is based on the parcel's combined assessment for all costs and services. The rate applied to any one improvement or service may exceed the maximum rate originally established, provided the parcel's combined assessment does not exceed the combined maximum assessment established for the property (excluding changes in land use or development). The County requires that all annual assessments levied and submitted for collection on tax bills be rounded to the nearest even penny, thus allowing the total assessment to be split into two installments. In order to comply with the County's requirements, the calculation of each assessment component (i.e., refuse costs, parking lot costs and indirect costs) is rounded to the nearest even penny and then added together for the parcel's Total Annual Assessment. The following describes the general method used to arrive at each parcel's proposed assessment. President's Plaza I PBID Renewal Page 10 ,UWWILLDAN I k. a Firw Swvkm Apportionment of Direct Costs Refuse Collection Assessment The Total Refuse Cost estimated for refuse services is based on the City's contract with a waste hauler for service to President's Plaza. This Total Refuse Cost divided by the estimated Total Building Square Footage establishes a Rate per building square foot. This Rate is multiplied by each parcel's estimated building square footage to calculate the parcel's proportionate share of the refuse service cost. Total Refuse Cost / Total Building Square Footage = Rate per Building Square Foot Rate x Parcel Building Square Footage = Refuse Assessment Note: For purposes of calculating the refuse assessment, the building square footage for each parcel has been rounded to the nearest hundred square feet. Refer to Appendix "B" for building square footage applied. The following table (Table 1) provides the proposed Refuse assessment rates for Fiscal Year 2015/2016 through Fiscal Year 2019/2020. Table 1: Building Size Proposed Rates Fiscal Year 2015/2016 $0.5059 Fiscal Year 2016/2017 $0.5211 Fiscal Year 2017/2018 $0.5367 Fiscal Year 2018/2019 $0.5528 Fiscal Year 2019/2020 $0.5694 There are currently forty-two (42) developed commercial properties within the District that are assessed for refuse collection services based on their approximate proportional building square footage of the total 288,900 square feet. (Refer to the Assessment Roll for individual parcel Refuse assessments). President's Plaza I PBID Renewal Page 11 ZWWILLDAN I Parking Lot Assessment The Total Lot Cost estimated for parking lot improvements and services (maintenance) is based on the estimated annual costs to maintain the landscaping, lighting, and parking lot improvements, as well as provide mechanical sweeping of the parking lot, within President's Plaza. This Total Lot Cost divided by the applied parking lot Total Front Footage (3,735 Linear Feet), establishes a Rate per front foot. This Rate is multiplied by each parcel's applied front footage (proportional front footage) to calculate the parcel's proportionate share of the parking lot maintenance costs. Total Lot Cost / Total Front Footage = Rate per Front Foot Rate per front foot x Parcel Front Footage = Parking Lot Assessment Note: For purposes of calculating the parking lot assessment, each parcel's front footage is based on the parcel's footage rounded to the nearest five feet. Refer to Appendix "B" for front footage applied. The following table (Table 2) provides the Parking Lot assessment rates for Fiscal Year 2015/2016 through Fiscal Year 2019/2020. Table 2: Parking Lot Proposed Rates Fiscal Year 2015/2016 $13.4465 Fiscal Year 2016/2017 $13.8499 Fiscal Year 2017/2018 $14.2654 Fiscal Year 2018/2019 $14.6933 Fiscal Year 2019/2020 $15.1341 Each assessed parcel within the District receives direct and special benefits from the parking lot improvements and services. Each of these parcels is assessed proportionately based on their front footage adjacent to the parking lot. President's Plaza I PBID Renewal Page 12 WILLDAN r FkwwW smwe. Apportionment of Indirect Costs To ensure the improvements, activities, and services provided and funded through the District are continued, each parcel will be assessed for its proportional share of administrative and reserve costs (Indirect Costs). These Indirect Costs include all expenses related to the administration of the District as well as the collection of money toward a Reserve Fund. The annual assessment for Indirect Costs has been established at fifteen percent (15%) of the Total Direct Costs assessed to each parcel. The sum of each parcel's proportionate share of refuse costs and parking lot costs represents the parcel's Direct Cost. This Direct Cost multiplied by fifteen percent (15%) represents each parcel's proportionate share of the Indirect Costs. Parcel's Total Direct Cost X 15% = Indirect Assessment The following table (Table 3) provides a summary of the District's estimated Indirect Cost amounts for Fiscal Year 2015/2016 through Fiscal Year 2019/2020. Table 3: Total Proposed Indirect Costs Fiscal Year 2015/2016 $27,765.71 Fiscal Year 2016/2017 $28,598.68 Fiscal Year 2017/2018 $29,456.64 Fiscal Year 2018/2019 $30,340.34 Fiscal Year 2019/2020 $31,250.55 Total Annual Assessment Each parcel's Total Annual Assessment is the sum of their proportionate share of the Direct Costs and Indirect Costs. The preceding description of the method of apportionment outlines the estimated cost and rates applied for the District and the maximum amount projected. The maximum projected amounts were determined by applying an annual inflationary factor of three percent (3%) over the five-year duration of the District based on the first year assessments. President's Plaza I PBID Renewal Page 13 WILLDAN I nnwx ► savion Annual Budget Adjustments For the five years of the term of the PBID renewal, annual assessments may be adjusted by the President's Plaza I PBID owners' association up to three percent (3%) per year. Actual annual adjustments may range from zero percent (0%) to three percent (3%). Adjustments may differ from year to year depending on the service needs identified by the owners' association. In any event, assessments will not exceed the levels illustrated by the District Budget outlined in (Table 4). Any annual budget surplus or deficit will be accrued into the following year's PBID budget. Assessments will be set accordingly, within the constraints of the annual adjustment, to adjust for surpluses or deficits that are carried forward. President's Plaza I PBID Renewal Page 14 4WWILLDAN I DESCRIPTION OF BUDGET ITEMS Direct Benefit Costs Landscape Maintenance Contract — Includes all regularly scheduled labor, material (e.g. pipe, fertilizer, insecticides), and equipment required to properly maintain and ensure the satisfactory condition of all landscaping, irrigation and drainage systems, and appurtenant facilities. All landscaping improvements within the District are contracted for maintenance and service on a regular basis. The frequency and specific maintenance operations required within the District is determined by City staff, but is generally scheduled weekly. Landscape Water — Utility cost to furnish water required for landscape irrigation. Landscape Electric — Utility cost for furnishing of electricity required for the operation of the irrigation systems and ornamental lighting. Landscape Repairs — This item includes repairs that are not normally included in the yearly maintenance contract costs. This may include repair of damaged amenities due to vandalism and storms. Planned upgrades may also be included. These upgrades may include, but are not limited to, replacing plant materials or renovation of irrigation systems. Lighting — The furnishing of electricity required for the operation and maintenance of the lighting facilities (parking lot lighting, including but not limited to, bulbs, fixtures, poles, wiring, and electrical energy). The City contracts for the furnishing of its electricity for lighting, which includes normal maintenance and bulb replacement. This cost does not include repairs or replacement of damaged facilities due to vandalism, accidents or storms. Sweeping Services — Weekly cleaning of the parking lots and gutters using a contracted, mechanized service. Parking Lot Maintenance — Includes all regularly scheduled labor, material, and equipment for patching of asphalt, slurry sealing, and parking lot striping required to properly maintain and ensure the satisfactory condition of the parking lots and appurtenant facilities. The frequency and specific maintenance operations required within the District is determined by City staff, but slurry sealing and parking lot striping are generally scheduled annually, while patching of asphalt is performed on an as -needed basis. Parking lot maintenance for slurry sealing and parking lot striping within the District is contracted for service on a regular basis, while patching of asphalt may be performed by City staff or contracted for service as needed. Solid Waste Removal Services — The furnishing of bins and bi-weekly collection of solid waste. The City contracts with a waste hauler for this service. Only developed properties (with a structure) receive special benefit from this service and are assessed for this service. President's Plaza I PBID Renewal Page 15 WIIIDAN I sue. Indirect Benefit Costs District Administration — The cost to all departments and staff of the City, for providing the coordination of District services, operations and maintenance of the District, response to public concerns and education, and procedures associated with the levy and collection of assessments. This cost also includes contracting with professionals to provide additional administrative, legal, or engineering services specific to the District. County Administration Fee — This County to collect District assessments based on a flat rate per fund number. is the actual cost to the District for the on the property tax bills. This charge is County Per Parcel Fee — This is the cost to the District for the County to collect assessments on the property tax bills. This charge is on a per assessment basis, at $0.36 per assessment, and is in addition to the County Administration Fee. Miscellaneous Expenses — This is a fund for additional costs related to District administration including required formation, documentation, recordation, and legal fees. Reserve Fund Collection — The Reserve Fund provides for collection of funds to operate the District from the time period of July 1 (beginning of the Fiscal Year) through January when the County provides the City with the first installment of assessments collected from the property tax bills. The Reserve Fund eliminates the need for the City to transfer funds from non -District accounts to pay for District charges during the first half of the fiscal year. The Reserve Fund may also be used to offset any unforeseen costs such as repairs, legal fees, revenue deficits, or increased costs due to inflation or contractual agreements that are greater than originally planned. Levy Breakdown Total District Costs — This is the sum total of all budgeted Direct and Indirect costs. Anticipated Deficit/Surplus — This item may include anticipated costs of the District that exceed the amount to be collected. This item also reflects beginning balance deficits. When the actual cost and expenditures for the District are greater than the amount budgeted and collected in the prior fiscal year, the District has a Beginning Balance Deficit. This deficit may be the result of unforeseen and extraordinary costs incurred, or assessments actually collected being less than anticipated. When a deficit occurs, the deficit amount may be added to the amount to be collected through the levy for the current fiscal year or recovered through use of the Reserve Fund. When the actual costs and expenditures for the District are less than the amount budgeted and collected in the prior fiscal year, the District has a Beginning President's Plaza I PBID Renewal Page 16 WILLIDAN i Balance Surplus. When a surplus occurs, the amount may be used to reduce assessments for the following year or may be added to the Reserve Fund. Other Revenue Sources — This item may include additional funds designated for use by the District that are not from District assessments. These funds are added to the District account and may be added to the Reserve Fund or used to reduce assessments, and may be from either non -District or District sources including City General Fund Contributions or interest earnings on the Reserve Fund. Balance to Levy —This is the total amount to be levied and collected through assessments for the current fiscal year. The Balance to Levy represents the sum of Total Direct Costs, Indirect Costs, Revenue Deficits, Other Revenue Sources, Revenue Surpluses, and Contribution Replenishments. District Statistics Total Number of Parcels — The total number of parcels within the District. Total Parcels Levied — The total number of parcels within the District that will be assessed. Non -assessed lots or parcels include easements, common areas, and parcels within the boundaries of the District that currently do not benefit from the improvements. Total Building Square Footage — This is the sum total of the building square footage applied to parcels within the District. Total Parking Lot Front Footage (parking lot) — This is the sum total of the parking lot front footage applied to parcels within the District. Levy Rate per Building Square Foot — This amount represents the Rate being applied to each parcel's individual building square footage (calculation of each parcel's proportionate share of refuse collection costs). The Levy Rate per Square Foot is the result of dividing the estimated total refuse cost for that year by the sum of the District's Total Building Square Footage. The rate is calculated to three decimal places. Levy Rate per Front Foot — This amount represents the Rate being applied to each parcel's individual parking lot front footage (calculation of the parcel's proportionate share of parking lot maintenance costs). The Levy Rate per Front Foot is the result of dividing the estimated total parking lot costs for that year by the sum of the District's Total Parking Lot Front Footage. The rate is calculated to three decimal places. Levy Rate for Indirect Costs — This amount represents the percentage applied to each parcel's Direct Costs to determine the parcel's proportionate share of the amount to be assessed for administrative expenses and Reserve Fund Collection. A maximum rate of fifteen percent (15%) has been established. It is anticipated that the maximum amount will be collected each year in order to establish and maintain a reasonable Reserve Fund. President's Plaza I PBID Renewal Page 17 i District Budget The District Budget shown on the following page (Table 4) lists the estimated costs of providing the various improvements and services over the proposed 5- year term of the PBID. The costs and the resulting rate for each Fiscal Year are based on the estimated costs to provide the improvements and services that year. The projected annual costs anticipate over the five-year duration of the District assessments has been calculated based on an annual inflationary factor of three percent (3%) from the first fiscal year (Fiscal Year 2015/2016). However, this inflation factor does not mean the assessments will increase annually by three percent (3%). The owners' association appointed by the City Council will annually review the District costs and make recommendations for any changes or adjustments to the budget. Changes to the budget, could result in changes to the annual assessment, but the resulting total assessment may not exceed the maximum rates established in this Report without first obtaining property owner approval through an assessment balloting proceeding. President's Plaza I PBID Renewal Page 18 Table 4: Five Year Proposed Budget Plan Direct Benefit Cos# Landscape Maintenance Costs Landscape Utilities Landscape Repairs Lighting Sweeping Services Parking Lot Maintenance Service Subtotal (Based on parking lot footage) Solid Waste Removel Services Service Subtotal (Based on building square footage) Total Direct Benefit Indirect Costs District Administration County Administration Fee County Per Parcel Fee Miscellaneous Expenses Administrative Subtotal Reserve Fund Collection (5%) Total Indirect Cost Ley Breakdown Total Direct and Indirect Costs Anticipated Deficit or Surplus Other Revenue Sources Balance to Levy % increase Total Parcels Total Parcels To Levy Total Building Square Footage Total Front Footage (Parking Lot) Levy Rate per Building Square Foot 12) % increase Levy Rate per Front Foot % increase Levy Rate for AdminlResenes Reserve Fund Balance Previous Balance Estimated Ending Balance WILLDAN I �? tBn.,a�d sarvios. $ 7,271 $ 7,490 $ 7,714 $ 7,946 $ 8,184 5,703 5,874 6,050 6,232 6,419 4,990 5,140 5,294 5,453 5,616 14,256 14,684 15,124 15,578 16,046 5,703 5,874 6,050 6,232 6,419 12,299 12,668 13,048 13,439 13,842 $ 50,223 $ 51,729 $ 53,281 $ 54,880 $ 56,526 146,155 $ 146.155 150,540 $ 150,540 $ 155,056 155,056 $ 159,708 159,708 $ 164,499 164,499 196.378 $ 202,269 $ 208,337 $ 214.588 $ 221,025 13,097 13,490 13,895 14,312 14,741 171 176 182 187 193 17 17 18 18 19 6,353 6,544 6,740 6,942 7,150 $ 19,638 $ 20,227 $ 20,834 $ 21,459 $ 22.103 9,819 10,113 10,417 10.729 11,051 $ 29,457 $ 30,340 $ 31,251 $ 32.188 $ 33,154 225,835 232,610 239.588 246,776 254,179 $ 225, 834.76 $ 232,609.80 $ 239, 588.09 $ 246,775.74 $ 254,179.01 3.00% 3.00% 3.00% 3.00% 46 42 288,900 3,735 $ 0.5059 $ $ 13.4465 �$ 15.00% 111,472 121,291 46 46 46 46 42 42 42 42 288,900 288,900 288,900 288,900 3,735 3.735 3,735 3,735 0,5211 $ 0.5367 $ 0.5528 $ 0.5694 3.00% 3.00% 3.00% 3.00% 13.8499 '$ 14.2654 '$ 14.6933 '$ 15.1341 3.00% 3.00% 3.00% 3.00% 15.00% 15.00% 15.00% 15.00% 121.291 131,405 141,822 152,551 131.405 141,822 152,551 163,602 (1) Total Indirect costs including a 5% collection for reserves are 15% of the total Direct Benefit costs. Sources: City of Palm Desert; Willdan Financial Services President's Plaza I PBID Renewal Page 19 ilWWILLDAN I � FhwcW sue. APPENDIX A ASSESSMENT DIAGRAM The Assessment Diagram for the District is shown in reduced format on the following page and is inclusive of all parcels identified on the County of Riverside Assessor's Parcel Maps as Book 627, Pages 212, 221 and 222. The Assessment Diagram will be kept on file with the City Clerk of the City of Palm Desert. President's Plaza I PBID Renewal Page A-1 6 'ia APPENDIX B - PARCEL INFORMATION The parcel information for properties within the District page (Table 5) lists the building square footage and calculating each parcel's proportionate special benefits Costs. WILLDAN I ,5 FkwcW service. shown on the following front footage, used in and share of the District President's Plaza I PBID Renewal Page B-1 WILLDANMoe. I y Flrrr>cW s. Table 5: Parcel Information 1 627-212-002 73669 HIGHWAY 111 50.00 50.00 3,885 3,900 2 627-212-003 73677 HIGHWAY 111 200.00 200.00 8.650 8,700 3 627-212-004 73731 HIGHWAY 111 100.00 100.00 8,525 8,500 4 627-212-005 73640 EL PASEO 171.55 170.00 12,132 12,100 5 627-212-006 73660 EL PASEO 50.00 50.00 5,820 5,800 6 627-212-009 73690 EL PASEO 50.00 50.00 8,150 8,200 7 627-212-010 73700 EL PASEO 50.00 50.00 3,210 3,200 8 627-212-011 73710 EL PASEO 50.00 50.00 5,030 5,000 9 627-212-012 73722 EL PASEO 50.00 50.00 2,400 2,400 10 627-212-014 73730 EL PASEO 50.00 50.00 5,000 5,000 11 627-212-015 73625 HIGHWAY 111 221.55 220.00 20.987 21,000 627-212-016' - - - - 12 627-212-017 73670 EL PASEO 100.00 100.00 10.238 10,200 13 627-221-001 73741 HIGHWAY 111 50.00 50.00 4,750 4,800 14 627-221-002 73759 HIGHWAY 111 50.00 50.00 4,750 4,800 15 627-221-004 45145 SAN LUIS REY AVE 213.02 215.00 18,182 18,200 16 627-221-008 73740 EL PASEO 50.00 50.00 5,300 5,300 17 627-221-009 73750 EL PASEO 50.00 50.00 4,563 4,600 18 627-221-010 73801 HIGHWAY 111 225.16 225.00 1,568 1.600 627-221-011 - - - - 19 627-222-002 73845 HIGHWAY 111 50.00 50.00 4,435 4.400 20 627-222-003 73851 HIGHWAY 111 50.00 50.00 3,250 3,300 21 627-222-004 73861 HIGHWAY 111 50.00 50.00 3,250 3,300 22 627-222-005 73873 HIGHWAY 111 50.00 50.00 3,000 3,000 23 627-222-008 73891 HIGHWAY 111 100.00 100.00 6,712 6,700 24 627-222-014 73965 HIGHWAY 111 50.00 50.00 4,692 4,700 25 627-222-015 73981 HIGHWAY 111 50.00 50.00 3,900 3,900 26 627-222-021 50.00 50.00 3,762 3,800 27 627-222-024 73900 EL PASEO 50.00 50.00 5,050 5,100 28 627-222-025 73910 EL PASEO 50.00 50.00 5,000 5,000 29 627-222-026 73920 EL PASEO 50.00 50.00 5,000 5,000 30 627-222-027 73930 EL PASEO 50.00 50.00 5,150 5,200 31 627-222-028 73940 EL PASEO 50.00 5000 4,950 5,000 32 627-222-029 73950 EL PASEO 50.00 50.00 4,800 4,800 33 627-222-030 50,00 50.00 4,950 5,000 34 627-222-034 73925 HIGHWAY 111 100.00 100.00 6.276 6,300 35 627-222-038 73890 EL PASEO 100.00 100.00 9,900 9,900 36 627-222-041 73885 HIGHWAY 111 75.00 75.00 5,925 5,900 627-222-042' - - - - 627-222-043' 45211 PORTOLA AVE - - - - 37 627-222-044 73990 EL PASEO 140.63 140.00 13,338 13,300 38 627-222-048 73941 HIGHWAY 111 100.00 100.00 7.825 7,800 39 627-222-052 73820 EL PASEO 251.69 250.00 11,694 11,700 40 627-222-053 73833 HIGHWAY 111 151.69 150.00 8,238 8.200 41 627-222-055 73970 EL PASEO 100.00 100.00 15,017 15,000 42 627-222-058 73993 HIGHWAY 111 140.00 14000 9,312 9,300 Total 3,740.29 3,735.00 28865 66 288,900 " Assessor Parcel Numbers 627-212-016, 627-221-011, 627-222-021, and 627-222-043 are part of the District's parking lot and parcel 627-222-042 is an easement/walkway. These parcels are not assessed and therefore not assigned an Assessment Number Sources: Riverside County Secured Roll; Willdan Financial Services President's Plaza I PBID Renewal Page B-2 IrWILLDAN APPENDIX C ASSESSMENT ROLL Parcel identification, for each lot or parcel within the District, shall be the parcel as shown on the County Assessor's Map for the year in which this Report is prepared. The Assessment Roll, which includes a listing of assessor parcels assessed within this District, along with their assessment amounts, is shown in (Table 6) on the following page. President's Plaza I PBID Renewal Page C-3 Table 6: Assessment Roll 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 Total AWWILL > i 627-212-002 73669 HIGHWAY 111 $672.32 $1,973.02 $396.80 $3,042.15 627-212-003 73677 HIGHWAY 111 2.689.30 4,401.36 1,063.60 8,154.25 627-212-004 73731 HIGHWAY 111 1,344.65 4,300.18 846.72 6.491.55 627-212-005 73640 EL PASEO 2.285.90 6,121.43 1,261.10 9,668.43 627-212-006 73660 EL PASEO 672.32 2,934.24 540.98 4,147.54 627-212-009 73690 EL PASEO 672.32 4,148.41 723.10 5,543.83 627-212-010 73700 EL PASEO 672.32 1,618.89 343.68 2.634.89 627-212-011 73710 EL PASEO 672.32 2,529.52 480.28 3.682.12 627-212-012 73722 EL PASEO 672.32 1,214.17 282.98 2,169.47 627-212-014 73730 EL PASEO 672.32 2.529.52 480.28 3,682.12 627-212-015 73625 HIGHWAY 111 2,958.23 10,623.97 2,037.32 15,619,51 627-212-016 0.00 0.00 0.00 0.00 627-212-017 73670 EL PASEO 1,344.65 5,160.21 975.72 7.480.58 627-221-001 73741 HIGHWAY 111 672.32 2,428.34 465.10 3,565.76 627-221-002 73759 HIGHWAY 111 672.32 2,428.34 465.10 3,565.76 627-221-004 45145 SAN LUIS REY AV 2,890.99 9,207.44 1,814.76 13,913.19 627-221-008 73740 EL PASEO 672.32 2,681.29 503.04 3,856.65 627-221-009 73750 EL PASEO 672.32 2,327.16 449.92 3,449,40 627-221-010 73801 HIGHWAY 111 3,025.46 809.45 575.24 4,410.14 627-221-011 0.00 0.00 0.00 0.00 627-222-002 73845 HIGHWAY 111 672.32 2.225.97 434.74 3,333.04 627-222-003 73851 HIGHWAY 111 672.32 1.669.48 351.28 2,693.08 627-222-004 73861 HIGHWAY 111 672.32 1.669.48 351.28 2,693.08 627-222-005 73873 HIGHWAY 111 672.32 1.517.71 328.50 2,518.53 627-222-008 73891 HIGHWAY 111 1,344.65 3.389.55 710.12 5,444.32 627-222-014 73965 HIGHWAY 111 672.32 2,377,75 457.52 3,507.59 627-222-015 73981 HIGHWAY 111 672.32 1,973.02 396.80 3,042.15 627-222-021 672.32 1.922.43 389.22 2,983.98 627-222-024 73900 EL PASEO 672.32 2,580.11 487.86 3,740.29 627-222-025 73910 EL PASEO 672.32 2,529.52 480.28 3,682.12 627-222-026 73920 EL PASEO 672.32 2.529.52 480.28 3,682.12 627-222-027 73930 EL PASEO 672.32 2.630.70 495.46 3,798.48 627-222-028 73940 EL PASEO 672.32 2,529.52 480.28 3,682.12 627-222-029 73950 EL PASEO 672.32 2,428.34 465.10 3,565.76 627-222-030 672.32 2,529.52 480.28 3.682.12 627-222-034 73925 HIGHWAY 111 1,344.65 3,187.19 679.78 5.211.62 627-222-038 73890 EL PASEO 1,344.65 5.008.44 952.96 7,306.05 627-222-041 73885 HIGHWAY 111 1,008.49 2,984.83 599.00 4,592.32 627-222-042 0.00 0.00 0.00 0,00 627-222-043 45211 PORTOLA AVE 0.00 0.00 0.00 0.00 627-222-044 73990 EL PASEO 1,882.51 6,728.51 1,291.66 9,902.68 627-222-048 73941 HIGHWAY 111 1,344.65 3,946.05 793.60 6,084.29 627-222-052 73820 EL PASEO 3,361.62 5,919.07 1,392.10 10,672.79 627-222-053 73833 HIGHWAY 111 2,016.97 4,148.41 924.80 7,090.18 627-222-055 73970 EL PASEO 1,344.65 7,588.55 1.339.98 10,273.18 627-222-058 73993 HIGHWAY 111 1.882.51 4.704.90 988.12 7,575.53 $W,222.69 $146,166.45 $29,466.72 $225,834.77 Sources: Riverside County Secured Roll; Willdan Financial Services President's Plaza I PBID Renewal Page C-4 I I T Y Of PRIM OESERi 73-5io FRED WARING DRIVE. PALM DESERT, CALIFORNIA 922.60-2578 TEL: 760 346-o6i i FAX: 760 340-0574 info@palm-dcscri.org September 20, 201 _{ RE: President's Plaza I Property and Business Improvement District (PBID) Deal Pronerty Owner The City of Palm Desert has acted as a property manager for the Presidents PiaZ a I parking area since the mid 1980's. Property o•.vners paid the City through their tax bills to fund the operiations of their property which included-. land scaping'lightirig services, waste services, street sweeping and rain :rr maintenance to the parking area Traditionaliy, the PBID ra,i in five-y- ar cycir s, regriirina ov.,ners to re -ballot a' title core iC)r? Staff began the formai process of re-forming the PBID in early 2013 Ballots were sent out in June. and at its meeting of August 22 2013. the City Co�Incii directed staff to op the balk)ts and declare the results of the vote. Unfortunately the vote was unsuccessful v%r th 63°�, of responding voters opting out of the PBID The result of this vote means the City can no longer fund the oPerations of this parking area Due to the way tax assessments are collected. the City curler-i ly has six months of fund;ng frontl property ov•lners 'v'Jhich can be USed to cant n_;e sory ccs Staff is working to am a pl=<ri to UtiilLe \/0'J fluids in trle most effiC !et?t vva'y' L1"'tll a nei'J rilanagr'rl'e;lt approa:_f fc):ind Se.rvledes Will he affeir,-J a :n th::� v4a,y 1 7r-ash Sei ic_- Trash service is approximately 65`'of Yrle entire budget fo the entire PBID and in staff s op;n!on is the highest priority service VJe W:I divert any and all resources availaNe to ensure trash colleictie n continues 2 ar'%-ino L of 1,,y E'E? 1 R� ,.i::ed service should be expected !.ri crder t ctreiCii trash funding as Ioi,a, i:; poss;bie:: 3. Lc'r )ds_.-aoe & LOt? Inq Staf} r-las cut these Serv!cE's to a bat, mini,"lum f-)r saf='tv- a;! ct 'r r'l:'_lrves 1,V ao to assist funding of ffa seat yes. 4 PJrkum Lot Mt,3inJ eojoce Staff viill continf-A? Minor r_palr'v> wt(1 v`v f ":or try is available Property owners of the Presidents Piaza I parking area have sever;ai options for h:;_ to--y cali fund the operations, and maintenance of the parking area tr,dividuai 1'ro -;ert y_ 0ivfie.r Maintenance Each property owns their slice c the parking lot area Individually maintaining your pameml is an option t` r-ay or may not make sense based on tl-'.e desire of the owners. In ord �� nauarrnurrrnr i_et _. t'D i ire Sid Pl?z . r" i PIrriy J!Ti. ...,: for this to work each property owner would be required to keep their owr trash service on their, property, discontinuing the shared trash approach. 2. Corrrrrre-rci ll HOA Owners could form a Commercial HOA which provici :_ similar services to the owners without involvement of the City This cou!c' possibly yield a cost savings as the City's administrative charges can tt expensive corm tared to a private management company. If this option i�1 acceptable the City recommends that prop-�rIy oviners contact attorney. De ate a;Je,:- PBIO w/ City of Palm Dese.0 Staff has heard from a fix properl � oviners that they felt the old PBID was not a fair" assessm�ri` rnethod. Property owners cocild re -petition the City to look at a new PBICa that could be assessed differently. Staff s re ormalendation to the Cii.t v,ouid be to only accept a new PAID if there were funding for the Fong -term maintenance of th-e parK.ing area. This ar _a v - -, Severely underfiinded in the previous PRID I he direction property owners v.ish to take is extrerrieiy important rnovin3 forviard Stan is currently in the beginning straes of a design to rehabilitate the entire parking area. Notiv services are handied, is a big part of this disc!ission (i.e trash locations, etc: )_ it f..;rndirng could de s,_,: ;irr J by the City for this proiect property owners wou!-:i Li - I for its foni-terra, maintenance This saine approach ,was used in Presirj-w , Pl_lza IV cta,k1!r1y guc>>d s:.,-ccess AS this is an intricate issue. VJe woUld like to host an iworn-,alional meenting tv dlscUss , op'IcAs for hu"i to proceed Please join us at 2 p.m on Manday. October 21. 2013, in the, Adminislk- ative Conference Room at Palrn Desert City Nall Staff .will give; a hr;. presentahon re iaardinq cr;rre-it funding levels and Potential ways for property o'vJn 's tc nia("ia j.-their pa'K.Iiig area Ple'aSe CxitaCI rT1c- at ( i 30 ! 346-0,) 1 11, extension 38C3. or via e,-n i11 a' r�te!.de1 •:a +tyofpalr ,d .sort org sho+_i'd you have 3r1', questions p+ n CITY 0f PflIM 0 1 S I I I 0