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HomeMy WebLinkAboutResolution 2015-68-70 - Presidents Plaza I Property and Business Improvement District Fiscal Year 2015 - 2016Resolution Nos. 2015-68 2015-69 2015-70 CITY OF PALM DESERT CITY MANAGER'S OFFICE CITY COUNCIL STAFF REPORT REQUEST: CONSIDERATION OF ACTIONS RELATING TO PRESIDENTS PLAZA I PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2015/2016 SUBMITTED BY: Ryan Stendell, Senior Management Analyst DATE: July 9, 2015 CONTENTS: Vicinity Map Resolution No. 2015- 68 Resolution No. 2015- 69 Resolution No. 2015- 70 Preliminary Management District Plan Preliminary Engineer's Report Recommendation Waive further reading and adopt: 1. Resolution No. 2015- 68 declaring the results of the property owner protest ballot proceedings conducted for the proposed Presidents Plaza Property and Business Improvement District assessments commencing with fiscal year 2015/2016; 2. Resolution No. 2015- 69 approving and adopting the Management District Plan and Engineers Report for the Presidents Plaza I Property and Business Improvement District for fiscal year 2015/2016; and 3. Resolution No. 2015- 20 ordering the formation/renewal of the Presidents Plaza I Property and Business Improvement District and the levy collection of assessments for said district for fiscal year 2015/2016. 4. If approved, appropriate $225,835.00 to Fund 277 (Pres Plaza I PBID) for operations and maintenance costs for FY15/16. Background The Presidents Plaza I Business Improvement District was not approved by the property owners in August of 2013. Since that time, staff has hosted meetings with property owners and believes that many still wish the City to handle the maintenance in the parking area. While staff has contacted and discussed this arrangement with many Resolution Nos. 2015-68 2015-69 2015-70 Staff Report President's Plaza I PBID Page 2 July 9, 2015 owners, there are still some who are not easily reached. Ballots and letters explaining the history have been sent to each parcel owners' mailing address. If approved, the City can collect an annual assessment to pay for landscape maintenance, street sweeping, and parking lot lighting within the common parking lot areas. Each fiscal year the City Council reviews and approves a budget that is set at the first year of the district. Staff recommends that the City Council approve the attached resolutions to count the ballots and approve the management plan for fiscal year 2015/2016. Fiscal Analysis An appropriation is required to fund year one (FY15/16) expenses only if the district is approved by the property owners. The annual budget for the BID is setup to account for both direct and indirect costs associated with managing the parking area. Prepared By: yan Stendell Senior Management Analyst Reviewed and/Concur: f*' '06 /)"V Paul S. GOWn, Director of Finance at hn M. Wohlmuth, City Manager r r RESOLUTION NO. 2015-68 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DECLARING THE RESULTS OF A PROPERTY OWNER PROTEST PROCEEDING FOR THE PRESIDENT'S PLAZA PROPERTY AND BUSINESS IMPROVEMENT DISTRICT AND APPROVING CERTAIN RELATED ACTIONS, 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 called and duly held a property owner protest proceeding 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 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 California Constitution Article XIIID, for the purpose of presenting to the qualified property owners within the District the annual levy of assessments and maximum annual assessments over the next five years to pay for the costs and expenses associated with solid waste (refuse) collection services and the maintenance of parking lot landscaped areas, the maintenance and operation of parking lot lighting facilities, the maintenance of parking lot surface areas, and all appurtenant facilities related thereto; and, WHEREAS, the landowners of record within the District as of the close of the Public Hearing held on July 9, 2015 did cast their ballots, the results of which are illustrated below: Total Ballots Cast Yes Total No Total NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT, AS FOLLOWS: 1. The above recitals are true and correct. 2. The protest proceeding was conducted, with ballots presented to qualified property owners of the District for receipt by the City Clerk prior to the conclusion of the Public Hearing on July 9, 2015, weighted according to the proportional financial obligation of the affected property. RESOLUTION NO. 2015-68 3. The results of the tabulation of the valid property owner protest ballots returned by the property owners within said District, prior to the conclusion of the Public Hearing and property owner protest proceeding held for the District on July 9, 2015, is hereby confirmed and made public record. 4. The tabulation of the valid property owner protest ballots returned by the property owners within said District indicates approval of the assessments and maximum assessments allowed over the next five years. 5. The City Clerk is hereby directed to enter this Resolution on the minutes of the City Council which shall constitute the official declaration of the result of such property owner protest proceeding. 6. This Resolution shall become effective immediately upon its adoption. 7. The City Clerk shall certify the adoption of this Resolution. 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 City of Palm Desert ATTEST: RACHELLE D. KLASSEN, City Clerk City of Palm Desert RESOLUTION NO. 2015-69 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING AND ADOPTING THE MANAGEMENT DISTRICT PLAN AND ENGINEER'S REPORT FOR THE PRESIDENT'S PLAZA PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2015/2016 AND APPOINTMENT OF AN OWNERS ASSOCIATION The City Council of the City of Palm Desert, Califomia (hereafter referred to as the "City Council") does resolve as follows: WHEREAS, pursuant to the provisions of 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"), property owners within the District, representing more than 50 percent of the proposed assessments to be levied have presented to the City Council a written petition for the formation (re-establishment ) of the District; and, WHEREAS, the City Council pursuant to the Act, did by previous resolution directed the Assessment Engineer, Willdan Financial Services, (hereafter referred to as "Engineer") to prepare and file a Management District Plan and Engineer's Report (hereafter referred collectively as "Report") in connection with the formation of the President's Plaza Property and Business Improvement District, and the establishment of maximum assessments to pay for the maintenance and services authorized including solid waste (refuse) collection services; and the maintenance and operation of the common parking lot areas including the landscaped areas, lighting facilities, parking lot surface areas; and all appurtenant facilities and operations related thereto; and, WHEREAS, the City Council has examined and reviewed the Report as presented, and is satisfied with each and all of the items and documents as set forth therein, and finds that the levy has been spread in accordance with the special benefits received from the improvements, operation, maintenance and services to be performed, as set forth in said Report; and, NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT, AS FOLLOWS: 1. The above recitals are true and correct. 2. The Report as presented is hereby approved and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection. RESOLUTION NO.2015-69 3. Pursuant to the Act, the City Council hereby appoints the President's Plaza Owners Association as the owners association for the District. This owners association shall cause to be prepared a Report for each subsequent fiscal year for which assessments are to be levied and collected. Said annual Reports 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. 4. 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 and final approval of the Report and appointment of the District Owners Association. 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 City of Palm Desert ATTEST: RACHELLE D. KLASSEN, City Clerk City of Palm Desert RESOLUTION No.2016-70 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA ORDERING THE FORMATION/RE-ESTABLISHMENT OF THE PRESIDENT'S PLAZA PROPERTY AND BUSINESS IMPROVEMENT DISTRICT AND THE LEVY AND COLLECTION OF ASSESSMENTS FOR SAID DISTRICT FOR FISCAL YEAR 2015/2016 The City Council of the City of Palm Desert, Califomia (hereafter referred to as the "City Council") does resolve as follows: WHEREAS, the City Council, pursuant to the provisions of 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 Resolutions initiate proceedings and order the preparation of a Management District Plan and Engineer's Report (hereafter referred to collectively as "Report") in connection with the formation of the President's Plaza Property and Business Improvement District (hereafter referred to as the "District"), and the establishment of maximum assessments to pay for the maintenance and services authorized including solid waste (refuse) collection services; and the maintenance and operation of the common parking lot areas including the landscaped areas, lighting facilities, parking lot surface areas; and all appurtenant facilities and operations related thereto; and, WHEREAS, the City Council, pursuant to the Act did by previous Resolution appoint an owners association and this owners association shall cause to be prepared an annual Report regarding the District for the City Council's approval; and, WHEREAS, the City Council called and duly held a property owner protest ballot proceeding for the District pursuant to the provisions of the Act and the California Constitution Article XIIID, for the purpose of presenting to the qualified property owners within the District the annual levy of assessments and maximum annual assessments over the next three years to pay for the costs and expenses associated with and authorized for the District as outlined in the Report; and, WHEREAS, the protest proceeding was conducted, with ballots presented to qualified property owners of the District for receipt by the City Clerk on July 9, 2015, weighted according to the proportional financial obligation of each affected property, and the tabulation of said protest ballots returned by the property owners indicated approval of the assessments and maximum assessments authorized over the next five years; and, RESOLUTION No. 2015-70 NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL FOR THE DISTRICT, AS FOLLOWS: 1. The above recitals are true and correct. 2. The City Council desires to form the President's Plaza Property and Business Improvement District and to levy annual assessments for the duration of the five years outlined in the Report as authorized pursuant to the provisions of the Act. 3. The City Council hereby declares pursuant to the Act and the method of apportionment described in the Report, that said annual assessments shall not exceed the maximum assessments and inflationary adjustments approved by the property owners of record and shall commence with the first fiscal year beginning July 1, 2015 and ending June 30, 2016 to pay the costs and expenses of operating, maintaining and servicing said improvements for the District. 4. Following notice duly given, the City Council has held a full and fair Public Hearing in connection therewith; the levy and collection of assessments, and considered all oral and written statements, protests and communications made or filed by interested persons. The City has tabulated the property owner ballots returned by the close of the noticed public hearing and has determined that the property owners have approved the annual levy and collection of assessments and maximum assessments over the next five years as outlined in the combined Management District Plan and Engineer's Report, in compliance with the California Constitution Article XIIID. 5. Based upon its review of the combined Management District Plan and Engineer's Report, copies of which have been presented to the City Council and which is on file with the City Clerk, the City Council hereby finds and determines that: a. The territory of land within the District will receive special benefits from the operation, maintenance and servicing of the improvements and appurtenant facilities located within the boundaries of the District. b. The District includes all of the lands so benefited and is inclusive of all parcels identified on the assessment diagram of the District; and c. The net amount to be assessed upon the lands within the District in accordance with the proposed budget for the fiscal year commencing July 1, 2015 and ending June 30, 2016 is apportioned by a formula and method which fairly distributes the net amount among all eligible parcels in proportion to the special benefits to be received by each parcel from the improvements and services. RESOLUTION NO. 2015-70 d. The assessments so described in the combined Management District Plan and Engineer's Report are consistent with the assessments approved by the property owners within the District. 6. The Management District Plan and Engineer's Report and assessments as presented to the City Council and on file in the office of the City Clerk are hereby confirmed as filed. 7. The City Council hereby orders the proposed improvements to be made, and the levy and collection of annual assessments to pay for those improvements be presented to the County Auditor/Controller of Riverside commencing with Fiscal Year 2015/2016. The County Auditor/Controller shall enter on the County Tax Roll opposite each parcel of land the amount of levy, and such levies shall be collected at the same time and in the same manner as the County taxes are collected. After collection by the County, the net amount of the levy shall be paid to the City Treasurer. 8. The City Treasurer shall deposit all money representing assessments collected by the County for the District to the credit of a fund for the President's Plaza Property and Business Improvement District, and such money shall be expended only for the improvements described in the Management District Plan. 9. The adoption of this Resolution constitutes the District levy for the Fiscal Year commencing July 1, 2015 and ending June 30, 2016. 10. The City Clerk is hereby authorized and directed to file the levy with the County Auditor upon adoption of this Resolution. RESOLUTION NO. 2015-70 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 City of Palm Desert ATTEST: RACHELLE D. KLASSEN, City Clerk City of Palm Desert 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's Plaza Property and Business Improvement District City of Palm Desert Riverside County, State of Califomia 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 three fiscal years as they existed at the time of the passage of the Resolution of Intention. 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 2�4h day of 5vAe . 2015. Willdan Financial Services Assessment Engineer On Behalf oUIW City of Palm rt Q By. Jim M uire, Principal Consultant iL By: Richard Kopedry R. C. E. # 16742 ' OF TABLE OF CONTENTS OVERVIEW.............................................................................................................. 1 INTRODUCTION.............................................................................................. 1 FORMATION................................................................................................... 2 DESCRIPTION OF THE DISTRICT................................................................................4 DISTRICTBOUNDARY.....................................................................................4 IMPROVEMENTS AND ACTIVITIES......................................................................4 SPECIAL BENEFITS.........................................................................................5 METHOD OF APPORTIONMENT.................................................................................. 8 METHOD OF APPORTIONMENT RATIONALE....................................................... 8 PARKING LOT IMPROVEMENTS AND SERVICES ................................................... 8 SOLID WASTE (REFUSE) COLLECTION SERVICES...............................................8 METHOD OF APPORTIONMENT CALCULATIONS ................................................ 11 APPORTIONMENT OF DIRECT COSTS............................................................... 12 APPORTIONMENT OF INDIRECT COSTS............................................................ 14 TOTAL ANNUAL ASSESSMENT......................................................................... 14 ANNUAL BUDGET ADJUSTMENTS.................................................................... 15 DESCRIPTION OF BUDGET ITEMS............................................................................ 16 DIRECT BENEFIT COSTS............................................................................... 16 INDIRECT BENEFIT COSTS............................................................................ 17 LEVY BREAKDOWN....................................................................................... 17 DISTRICT STATISTICS................................................................................... 18 DISTRICT BUDGET........................................................................................ 19 APPENDIX A -ASSESSMENT DIAGRAM..................................................................... 1 APPENDIX B - PARCEL INFORMATION........................................................................ 1 APPENDIX C -ASSESSMENT ROLL........................................................................... 3 WILLIDAN *., ..)no Atom I 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 PBID Renewal Page 1 OWWILLIDAN 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 XIIID 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 XIIID, 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 PBID Renewal Page 2 WILLDAN I Rruncid SWAM 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 PB/D Renewal Page 3 i 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 PB/D Renewal Page 4 5 - F WD Savim 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 PB/D Renewal Page 5 WWILLDAN I n,.ndd serOM 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 PBID Renewal Page 6 WILLDAN :i The City recognizes that the Presidents Plaza Parking areas are important to our retail corridors of Hwy 111 and El Paseo. The City is currently in the process of updating its General Plan including a downtown commercial core corridor plan, and a large part of that study is how parking is arranged, including President's Plaza. It is likely that the City will have new ideas of how to utilize parking throughout its commercial core as the General Plan is approved. The General Plan is anticipated to be completed in January 2016. President's Plaza PBID Renewal Page 7 ViWILLDAN I Fro+ew 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 P61D Renewal Page 8 WI LLDAN Fkwxio Swvkm 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 PBID Renewal Page 9 4WWILLDAN I R s«Mcm 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 PB/D Renewal Page 10 W WILLIDAN 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 PBID Renewal Page 11 PWWILLDANsei I 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 PBID Renewal Page 12 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 PB/D Renewal Page 13 i 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 PBID Renewal Page 14 WILLDAN 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 PBID Renewal Page 15 Fhw1dW°8.O" 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 PBID Renewal Page 16 PWILLDAN MUM SOVIOn 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 is the actual cost to the District for the County to collect District assessments on the property tax bills. This charge is based on a flat rate per fund number. 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 Defiicit/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 PBID Renewal Page 17 WIV ' $.°�" 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 PBID Renewal Page 18 ��, no SOMCM 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 PBID Renewal Page 19 W" �, WI LLDAN ,.t r Frvna.l SerOM Table 4: Five Year Proposed Budget Plan Direct Benefit Costs Landscape Maintenance Costs $ 7,271 $ 7,490 $ 7,714 $ 7,946 $ 8,184 Landscape Utilities 5,703 5,874 6,050 6,232 6,419 Landscape Repairs 4,990 5,140 5,294 5,453 5,616 Lighting 14,256 14,684 15,124 15,578 16,046 Sweeping Services 5,703 5,874 6,050 6,232 6,419 Parking Lot Maintenance 12,299 12,668 13,048 13,439 13,842 Service Subtotal (Based on parking lot footage) $ 50,223 $ 51,729 $ 53,281 $ 54,880 $ 56,526 Solid Waste Removal Services 146,155 150.540 155.056 159. 708 164.499 Service Subtotal (Based on building square footage) $ 146,155 $ 150,540 $ 155,056 $ 159,708 $ 164,499 Total Direct Benefit 196,378 $ 202,269 $ 208,337 $ 214,588 $ 221,025 Indirect Costs District Administration 13,097 13,490 13,895 14,312 14,741 County Administration Fee 171 176 182 187 193 County Per Parcel Fee 17 17 18 18 19 Miscellaneous Expenses 6,353 6,544 6,740 6,942 7,150 Administrative Subtotal $ 19,638 $ 20,227 $ 20,834 $ 21,459 $ 22,103 Reserve Fund Collection (5%) 9,819 10,113 10,417 10,729 11.051 Total Indirect Cost $ 29,457 $ 30,340 $ 31,251 $ 32,188 $ 33,154 Levy Breakdown Total Direct and Indirect Costs 225,835 232,610 239,588 246,776 254,179 Anticipated Deficit or Surplus - - - - - Other Revenue Sources Balance to Levy $225,834.76 $ 232,609.80 $239,588.09 $246,775.74 $254,179.01 % increase 3 00% 3.00% 3.00% 3.00% District Statistics Total Parcels 46 46 46 46 46 Total Parcels To Levy 42 42 42 42 42 Total Building Square Footage 288,900 288,900 288,900 288,900 288,900 Total Front Footage (Parking Lot) 3,735 3,735 3,735 3,735 3,735 Levy Rate per Building Square Foot (2) $ 0.5059 $ 0.5211 $ 0.5367 $ 0.5528 $ 0.5694 % increase 3.00% 3.00% 3.00% 3.00% Levy Rate per Front Foot $ 13.4465 '$ 13.8499 '$ 14.2654 '$ 14.6933 '$ 15.1341 % increase 3.00% 3.00% 3.00% 3.00% Levy Rate for Admin/Reserves (') 15.00% 15.00% 15.00% 15.00% 15.00% Reserve Fund Balance Previous Balance 111,472 121,291 131,405 141,822 152,551 Estimated Ending Balance 121,291 131,405 141,822 152,551 163,602 (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 PBID Renewal Page 20 WILLIDAN i 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 PBID Renewal Page A-1 a� a ...YWILLIDAN ' Fk m cW SKvkm I APPENDIX B - PARCEL INFORMATION The parcel information for properties within the District shown on the following page (Table 5) lists the building square footage and front footage, used in calculating each parcel's proportionate special benefits and share of the District Costs. President's Plaza PB/D Renewal Page B-1 WILLDAN i Table 5: Parcel Information 1 627-212-002 73669 HIGHWAY 111 50.00 %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 %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 %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 % 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 50.00 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 - - - - 37 627-2224)44 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 111 140.00 140.00 9,312 9,300 Total 3,740.29 3,735.00 288,566 288,900 ' 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 PBID Renewal Page B-2 V WILLDAN I 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 PSID Renewal Page C-3 �WILLDAN I A. s.r... Table 6: Assessment Roll 1 627-212-002 73669 HIGHWAY 111 $672.32 $1,973.02 $396,80 $3,042.15 2 627-212-003 73677 HIGHWAY 111 2,689.30 4,401.36 1,063.60 8,154.25 3 627-212-004 73731 HIGHWAY 111 1,344.65 4,300.18 846.72 6.491.55 4 627-212-005 73640 EL PASEO 2,285.90 6,121.43 1,261.10 9.668.43 5 627-212-006 73660 EL PASEO 672.32 2,934.24 540.98 4,147.54 6 627-212-009 73690 EL PASEO 672.32 4,148.41 723.10 5.543.83 7 627-212-010 73700 EL PASEO 672.32 1,618.89 343.68 2,634.89 8 627-212-011 73710 EL PASEO 672.32 2,529.52 480.28 3,682.12 9 627-212-012 73722 EL PASEO 672.32 1,214.17 282.98 2,169.47 10 627-212-014 73730 EL PASEO 672.32 2,529.52 480.28 3,682.12 11 627-212-015 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 12 627-212-017 73670 EL PASEO 1,344.65 5,160.21 975.72 7,480.58 13 627-221-001 73741 HIGHWAY 111 672.32 2.428.34 465.10 3,565.76 14 627-221-002 73759 HIGHWAY 111 672.32 2,428.34 465.10 3,565.76 15 627-221-004 45145 SAN LUIS REY AV 2,890.99 9.207.44 1,814.76 13,913.19 16 627-221-008 73740 EL PASEO 672.32 2,681.29 503.04 3,856.65 17 627-221-009 73750 EL PASEO 672.32 2,327.16 449.92 3,449.40 18 627-221-010 73801 HIGHWAY 111 3,025.46 809.45 575.24 4,410.14 627-221-011 0.00 0.00 0.00 0.00 19 627-222-002 73845 HIGHWAY 111 672.32 2,225.97 434.74 3.333.04 20 627-222-003 73851 HIGHWAY 111 672.32 1.669.48 351.28 2,693.08 21 627-222-004 73861 HIGHWAY 111 672.32 1,669.48 351.28 2,693.08 22 627-222-005 73873 HIGHWAY 111 672.32 1.517.71 328.50 2,518.53 23 627-222-008 73891 HIGHWAY 111 1.344.65 3,389.55 710.12 5,444.32 24 627-222-014 73965 HIGHWAY 111 672.32 2,377.75 457.52 3,507.59 25 627-222-015 73981 HIGHWAY 111 672.32 1,973.02 396.80 3,042.15 26 627-222-021 672.32 1,922.43 389.22 2,983.98 27 627-222-024 73900 EL PASEO 672.32 2,580.11 487.86 3,740.29 28 627-222-025 73910 EL PASEO 672.32 2,529,52 480.28 3,682.12 29 627-222-026 73920 EL PASEO 672.32 2,529.52 480.28 3,682.12 30 627-222-027 73930 EL PASEO 672.32 2,630.70 495.46 3,798.48 31 627-222-028 73940 EL PASEO 672.32 2,529.52 480.28 3.682.12 32 627-222-029 73950 EL PASEO 672.32 2,428.34 465.10 3,565.76 33 627-222-030 672.32 2,529.52 480.28 3.682.12 34 627-222-034 73925 HIGHWAY 111 1.344.65 3,187.19 679.78 5,211.62 35 627-222-038 73890 EL PASEO 1,344.65 5,008.44 952.96 7.306.05 36 627-222-041 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 37 627-222-044 73990 EL PASEO 1,882.51 6,728.51 1,291.66 9.902.68 38 627-222-048 73941 HIGHWAY 111 1,344.65 3,946.05 793.60 6,084.29 39 627-222-052 73820 EL PASEO 3,361.62 5,919.07 1,392.10 10.672.79 40 627-222-053 73833 HIGHWAY 111 2,016,97 4,148.41 924.80 7,090.18 41 627-222-055 73970 EL PASEO 1,344.65 7,588.55 1,339.98 10,273.18 42 627-222-058 73993 HIGHWAY 111 1,882.51 4,704.90 988.12 7,575.53 Total $60,222.69 $146,155.45 $29,4W.72 $225,834.77 Sources: Riverside County Secured Roll; Willdan Financial Services President's Plaza PBID Renewal Page C-4 Sanchez, Gloria From: Moeller, Charlene <CMOELLER@palmspri.gannett.com> Sent: Wednesday, June 03, 2015 1:24 PM To: Sanchez, Gloria Subject: RE: Legal Notice - Res 2015-46 - PH 07/09/2015 President's Plaza PBID Rstblshmnt Hi Gloria Ad 1-CCC -Cd rind Will pLiblish can clatc(�,) 1-C(.1Lletrd. Charlene Moeller I Customer Care Representative / Legals The Desert Sun Media Group 750 N. Gene Autry Trail, Palm Springs, CA 92262 t 760.778.4578 1 f 760.778.4528 ley:-als(c thedesertsun.com / dpwlegals@thedesertsun.com The Coachella Valley's 41 Source in News & Advertising' www.DesertSun_Com I twitter @MyDesert I facebook thedesertsun This email and any files transmitted with it are confidential and intended for the individual to whom they are addressed. If you have received this email in error, please notify the sender and delete the message from your system From: gsanchez@cityofpalmdesert.org(mailto:gsanchez@cityofpalmdesert.org] Sent: Wednesday, June 03, 2015 11:25 AM To: Email, TDS-Legals Cc: rklassen@cityofpalmdesert.org; rstendell@cityofpalmdesert.org Subject: Legal Notice - Res 2015-46 - PH 07/09/2015 President's Plaza PBID Rstblshmnt PLEASE PUBLISH THE FOLLOWING: NOTICE OF PUBLIC HEARING Resolution No. 2015-46 — Declaring the City's Intention toform the President's Plaza Business Improvement District and to Levy and Collect Assessments Therek6 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 2105/2016. TWICE IN THE DESERT SUN Thursday, June 25, 2015 Thursday, July 2, 2015 If you have any questions or require additional information, please contact me. Thank you, Charlene! 0 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. RESOLUTION NO. 2015-46 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 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 located South of Palm Desert Drive at Highway 111; North of El Paseo; West of Portola Avenue; and East of Larkspur Lane as described in 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. 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 28th day of May, 2015, by the following vote: AYES: HARNIK, JONATHAN, SPIEGEL, TANNER, and WEBER NOES: NONE ABSENT: NONE ABSTAIN: NONE Susan Marie Weber, Mayor ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA